TCRLA_Public/080305.mbx          T R O U B L E D   C O M P A N Y   R E P O R T E R

                       L A T I N  A M E R I C A

             Wednesday, March 5, 2008, Vol. 9, No. 46

                             Headlines


A R G E N T I N A

ALITALIA SPA: Net Debt Rises to EUR1.28 Billion at January 31
ALITALIA SPA: Air France-KLM Eyes Stake in Flight & Ground Units
BANCO SANTANDER RIO: Earns AS266 Million in 2007
CENTRAL DE NEGOCIOS: Court Appoints Sergio Gonzalez as Trustee
CLAXSON INTERACTIVE: Hikes Private Proposal to US$13.50 a Share

FORD MOTOR: Discloses Plans to Return to Profitability by 2009
FORD MOTOR: Likely to Close Sale Deal With Tata Motors in 2Q
FORD MOTOR: February 2008 Sales Decrease 7%
FORD MOTOR: February 2008 Sales in Canada Increase 4.1%
RIAL SRL: Proofs of Claim Verification Is Until March 28

TRANS-ROGAL SRL: Proofs of Claim Verification Is Until March 21
VALEANT PHARMA: Selling Asia Unit to Invida for US$37.8 Million
XALEX SRL: Trustee to Verify Proofs of Claim Until April 30


B A R B A D O S

DIGICEL GROUP: Eyes US$440 Million Operating Profit in March


B E R M U D A

SEA CONTAINERS: Committee Taps Navigant Consulting as Advisors
* BERMUDA: Fitch Says (Re)Insurance Market Thriving Amidst Chaos
* BERMUDA: Fitch Conference Call on Insurance Market Is Today


B R A Z I L

ACTUANT CORP: Acquires Superior Plant Services for US$57 Million
BANCO BRADESCO: Board Approves Complimentary Dividends Payment
BANCO DO BRASIL: 4th Quarter Results Disappointing, Analysts Say
BANCO DO BRASIL: Unit Posts BRL16.2 Million Loss in 2007
CHRYSLER LLC: Will Appeal Bankruptcy Court's Tooling Decision

CHRYSLER LLC: February 2008 Sales Down 14%, Fleet Sales Reduced
COMPANHIA ENERGETICA: UBS Affirms Neutral Rating on Firm
DELPHI CORP: Wants Plan-Filing Period Further Extended to May 31
DELPHI CORP: Ct. Extends Effectiveness of PBGC Letters of Credit
GENERAL MOTORS: February 2008 Sales Drop 13% Compared to 2007

GENERAL MOTORS: Hires Frederick Henderson as President and COO
HUGHES NETWORK: Net Income Up 161% to US$50 Million in 2007
HUGHES NETWORK: Completes Software Installation at Carrefour
JAPAN AIRLINES: Plans New Share Issuance to Upgrade Planes
JAPAN AIRLINES: Discloses Revival Plan for 2008 to 2010

JAPAN AIRLINES: Moody's Changes Ba3 Rating Outlook to Positive
POLYPORE INT'L: Buys All of Microporous Stock for US$76 Million
TELE NORTE: Will Launch Operations in Sao Paulo in July
* BRAZIL: FIDC Risks Due to Lack of Transparency, Fitch Says


C A Y M A N  I S L A N D S

AMA INVESTMENT: Proofs of Claim Filing Ends on March 11
JANUS GLOBAL: Proofs of Claim Filing Deadline Is March 11
JUST FOREX: Proofs of Claim Filing Is Until March 11
LATINVEST FUND: Proofs of Claim Filing Deadline Is March 11
MARUBENI JPS: Proofs of Claim Filing Ends on March 11


C O L O M B I A

ECOPETROL: Net Profit Jumps 52.6% to COP5.18 Trillion in 2007
MILLICOM INTERNATIONAL: Unit to Launch 3G Services in Colombia
SOLUTIA INC: S&P Ups Rating to 'B+' From 'D' on Bankruptcy Exit
* COLOMBIA: Ecuador/Venezuela Rift Won't Affect Fitch Ratings


C O S T A  R I C A

ARMSTRONG WORLD: S&P Says Outlook Is Stable; Holds 'BB' Rating
ARMSTRONG WORLD: Completes Strategic Review Following Evaluation
SIRVA INC: Schedules Filing Deadline Moved to March 21
SIRVA INC: Answers 360networks' Bid to Vacate Claims Order
SIRVA INC: Allowed to Employ TS&T as Conflicts Counsel

SIRVA INC: Allowed to Employ A&M as Restructuring Consultant
D O M I N I C A N   R E P U B L I C
PRC LLC: Obtains Final Court Nod to Use Lenders' Cash Collateral
PRC LLC: Gets Final Court Nod on US$30 Million DIP Financing
PRC LLC: Wants to Reject Four Austin & Plantation Pacts


E C U A D O R

PETROECUADOR: Completes Repairs to Pipeline


E L  S A L V A D O R

BIO-RAD LABS: Earns US$12.3 Million in Fourth Quarter 2007
* EL SALVADOR: Moody's Publishes Annual Report


G U A T E M A L A

BANCO INDUSTRIAL: Unit to Launch Up to 20 Branches in Honduras


J A M A I C A

NATIONAL COMMERCIAL: Unit & Man Investments to Offer Hedge Fund


M E X I C O

ALASKA AIRLINES: Earns US$135.4 Million in Year Ended Dec. 31
ARROW ELECTRONICS: Appoints Michael Long as President & COO
ARROW ELECTRONICS: Gail Hamilton Joins Board of Directors
BEARINGPOINT INC: Bags US$115 Million Contract From U.S. Army
PRIDE INTERNATIONAL: Earns US$784.3 Million in 2007

PRIDE INTERNATIONAL: Uncovers Evidence of Bribery
SHARPER IMAGE: Ramius Capital Discloses 12.2% Equity Stake
SR TELECOM: Quebec Court Extends CCAA Stay to May 2
WOLVERINE TUBE: Completes Biz Sale to Standish for US$25MM Cash


P A N A M A

CHIQUITA BRANDS: Signs Commitment Letter for US$400 Million Loan
CHIQUITA BRANDS: Moody's Rates New Senior Bank Pacts at 'Ba3'
CHIQUITA BRANDS: Stops Operations in Panama
KANSAS CITY: Hires Brian Bowers as Senior VP for Automotive
NCO GROUP: Completes US$325 Mil. Buyout of Outsourcing Solutions


P A R A G U A Y

AGILENT TECH: To Buy TILL Photonics; Closes Colloidal Purchase


P E R U

GOODYEAR TIRE: Redeems US$650 Million Senior Notes Due 2011


P U E R T O  R I C O

AEROMED SERVICES: Section 341(a) Meeting Slated for March 10
AEROMED SERVICES: June 9 Deadline Set for Proofs of Claim Filing
GENESCO INC: Anticipates Settlement of Litigation on Financing
R&G FINANCIAL: To Settle Claims in Shareholder Class Action


U R U G U A Y

PERNOD RICARD: To Reopen Braeval Distillery in July 2008


V E N E Z U E L A

PETROLEOS DE VENEZUELA: Exxon Wants Freeze Order Upheld
PETROLEOS DE VENEZUELA: Eni to Invest Up to US$20MM in Junin 5
PETROLEOS DE VENEZUELA: Gas Comunal to Take Up Gas Operations
PETROLEOS DE VENEZUELA: In Talks With Exxon on Chalmette Supply

                          - - - - -


=================
A R G E N T I N A
=================


ALITALIA SPA: Net Debt Rises to EUR1.28 Billion at January 31
-------------------------------------------------------------
The Alitalia Group's net debt as of Jan. 31, 2008, amounted to
EUR1.28 billion, showing an increase in net indebtedness of
EUR81 million compared to the situation on Dec. 31, 2007, this
trend is due to the typical seasonality of this month's proceeds
and payments, which are substantially in line with Budget
targets.

The net debt of the parent Alitalia S.p.A. including short-term
financial credits for subsidiaries on Jan. 31, 2008, including
short-term financial credits of subsidiaries, amounted to
EUR1.265 billion showing an increase of EUR78 million compared
to net debt as of Dec. 31, 2007.

The Group's cash-to-hand and short-term financial credits as of
Jan. 31, 2008, at the Group level and for Alitalia, amounted to
EUR282 million and EUR297 million respectively (the
corresponding figures on Dec. 31, 2007 were EUR367 million and
EUR379 million).

It should be noted that as of Jan. 31, 2008, there were several
leasing contracts at the Group level (referring almost entirely
to fleet aircraft mostly held by the parent company
amounting to EUR82 million) whose capital share, including lease
closure value, amounted to EUR94 million (of which EUR12 million
represent the current capital share falling due within 12 months
of the reference date, with EUR10 million held by the parent
company).

By comparison, the same figure as of Dec. 31, 2007, amounted to
EUR95 million (of which EUR12 million falling due in the 12
months from the reference date); the corresponding figures for
the parent company on Dec. 31, 2007, amounted to EUR82 million
and EUR10 million respectively.

It should also be noted that existing debts to banks are almost
entirely backed up by real guarantees (mortgages on aircraft) or
by personal guarantees (mainly guarantees issued by banks for
export credit).  The relative financing contracts contain
standard legal clauses relating to withdrawal.  None of the
contracts refer to specific requirements regarding assets or
economic/financial aspects, in order to maintain the credit
line.

During Jan. 2008, repayments were made of medium/long-term
financing amounting to about EUR3 million.  Regarding debts of a
financial, fiscal and social welfare nature, there were no
outstanding sums or payment irregularities on Jan. 31, 2008,
both for the parent company and for the other companies in the
Group.

As far as debts of a commercial nature are concerned, decisions
are still pending for the petitions filed by Alitalia regarding:

     * an injunction related to supposed different pricing
       policies, issued by a carrier for EUR6 million (two
       decrees);

     * injunction issued by a supplier of on-board movies for
       EUR1.2 million (two decrees);

     * injunction issued by an IT services supplier for
       EUR812,000;

     * injunction issued by an Italian subsidiary of an air
       carrier bankruptcy for EUR288,000;

     * injunction has been issued by a maintenance services
       supplier for EUR492,000;

     * injunction issued by the special manager of a firm for
       presumed debts relating to air ticket sales, for
       EUR3.2 million;

     * injunction issued by a fuel supplier for EUR1 million;

     * injunction issued by an airport management company for
       limited failure to pay handling fees for EUR375,000;

     * injunction issued by three suppliers, for EUR76,000.

There are no other injunction orders or executive actions
undertaken by creditors notified as of Jan. 31, 2008, nor are
there any threats by suppliers to suspend operations.
Furthermore, it should be noted that the Company, in
its ordinary running of the business, constantly focuses on
maintaining commercial relations with its clients and suppliers
that -- absent particular issues or operational distress --
offer enough financial flexibility to support its liquidity.

As reported in the TCR-Europe on Jan. 17, 2008, Alitalia and
Italy have commenced exclusive sale talks with Air France-KLM.
The carriers have until mid-March to reach an agreement, which
would be approved by the government.

                           About Alitalia

Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it -- provides air travel services for
passengers and air transport of cargo on national, international
and inter-continental routes.  The Italian government owns 49.9%
of Alitalia.  The company has operations in Argentina.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively.  Alitalia posted EUR93 million in
net profits in 2002 after a EUR1.4 billion capital injection.
The carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, and
EUR625.6 million in 2006.

Italian Transport Minister Alessandro Bianchi has warned that
Alitalia may file for bankruptcy if the current attempt to sell
the government's 49.9% stake fails.


ALITALIA SPA: Air France-KLM Eyes Stake in Flight & Ground Units
----------------------------------------------------------------
Air France-KLM S.A. plans to present a binding offer for
Alitalia S.p.A.'s AZ Fly unit and a fraction of AZ Servizi,
Thomson Financial reports, citing FILT-CGIL union secretary
general Fabrizio Solari.

Mr. Solaris told Thomson Financial thats Air France is only
interested in AZ Servizi's maintenance and part of its handling
operations.  AZ Fly and AZ Servizi handles Alitalia's flight and
ground operations respectively.

The union official added Air France will seek approval of its
offer from Alitalia's board before presenting it to the finance
ministry, Thomson Financial adds.

As reported in the TCR-Europe on Jan. 17, 2008, Alitalia and
Italy have commenced exclusive sale talks with Air France-KLM.
The carriers have until mid-March to reach an agreement, which
would be approved by the government.

                           About Alitalia

Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- provides air travel services for
passengers and air transport of cargo on national, international
and inter-continental routes.  The Italian government owns 49.9%
of Alitalia.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively.  Alitalia posted EUR93 million in
net profits in 2002 after a EUR1.4 billion capital injection.
The carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, and
EUR625.6 million in 2006.

Italian Transport Minister Alessandro Bianchi has warned that
Alitalia may file for bankruptcy if the current attempt to sell
the government's 49.9% stake fails.


BANCO SANTANDER RIO: Earns AS266 Million in 2007
------------------------------------------------
Banco Santander Rio S.A.'s profit increased 15.7% to ARS266
million in 2007, compared to 2006.

Business News Americas relates that Santander Rio "finished
amortizing the legal injunctions called amparos on its balance
sheet in December," which caused a ARS356 million loss last
year.  A ARS154 million gain in the fourth quarter 2007 from the
sale of part of Santander Rio's asset management and insurance
subsidiaries to parent bank Santander offset the charges,
BNamericas says.

Santander Rio's net interest income rose 12.2% to ARS781 million
in 2007, from 2006, fee income grew 32.5% to ARS954.1 million,
and administrative expenses increased 12.9% to ARS764 million.

Fitch analyst Santiago Gallo commented to BNamericas, "The
bank's interest and fee revenues have been very good over the
last few years, driven by strong activity and keeping asset
quality and administrative expenses under control."

Lending to the private sector increased 44.9% to ARS11.2 billion
in December 2007, from December 2006, BNamericas says, citing
Santander Rio.

According to BNamericas, Santander Rio's past-due loan ratio for
private sector loans declined to 0.65% in 2007, compared to 0.7%
in 2006, and the coverage ratio was 238%.

Mr. Gallo told BNamericas that Santander Rio's finishing
amortizing the amparos is very good for the bank's future as
they caused significant yearly charges.  "Now that these charges
are over, we expect results to remain very good in 2008 as long
as global markets do not affect Argentine government bonds
significantly as in last year's third quarter," Mr. Gallo
commented to BNamericas.

Santander Rio had ARS19.6 billion in assets and ARS1.58 billion
in equity in December 2007, BNamericas states.

Banco Santander Rio S.A. is headquartered in Buenos Aires,
Argentina.  The bank's service range includes savings accounts,
deposits, loans, money transfers, cash management, among others.
It is engaged in the consumer and commercial banking.
Additionally, it maintains an active presence in the
distribution and trading of public and private securities in
principal financial centers internationally. The bank operates a
network of 241 branches and has a presence in 21 provinces.

                         *     *     *

On Nov. 13, 2007, Moody's Investors Service said that Banco
Santander Rio S.A.'s long term foreign currency deposit rating
of Caa1 was limited by the country ceiling for foreign currency
deposits, while the bank's B2 foreign currency debt program was
based on its Ba1 global local currency deposit rating.


CENTRAL DE NEGOCIOS: Court Appoints Sergio Gonzalez as Trustee
--------------------------------------------------------------
The National Commercial Court of First Instance in Rosario,
Santa Fe, has appointed Sergio Gonzalez as trustee for Central
de Negocios S.R.L.'s bankruptcy proceeding.

Mr. Gonzalez will verify creditors' proofs of claim and present
the validated claims in court as individual reports.  The court
will determine if the verified claims are admissible, taking
into account the trustee's opinion, and the objections and
challenges that will be raised by Central de Negocios and its
creditors.

Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.

A general report that contains an audit of Central de Negocios'
accounting and banking records will be submitted in court.

Mr. Gonzalez will also be in charge of administering Central de
Negocios' assets under court supervision and will take part in
their disposal to the extent established by law.

The trustee can be reached at:

          Sergio Gonzalez
          San Martin 791, Rosario
          Santa Fe, Argentina


CLAXSON INTERACTIVE: Hikes Private Proposal to US$13.50 a Share
---------------------------------------------------------------
Claxson Interactive Group Inc., with the support of a group of
the company's controlling shareholders, the Cisneros Group,
Hicks Muse, Roberto Vivo and Luis H. Moreno, has submitted to
the special committee of independent directors a new amendment
to the going private proposal to increase the price per share
offered to acquire for cash all of the company's outstanding
Class A Common Shares held by shareholders other than the Group
from US$12.35 per share to US$13.50 per share.

The offer is subject to approvals and definitive documentation
and this proposed transaction, or any similar transaction, may
not take place on these or any other terms.

Headquartered in Buenos Aires, Argentina, and Miami, Florida,
Claxson Interactive Group Inc. (Pink Sheets: XSONF) has a
presence in the United States and all key Ibero-American
countries, including Mexico, Chile, Brazil, Spain and Portugal.
Claxson's principal shareholders are the Cisneros Group of
Companies and funds affiliated with Hicks, Muse, Tate & Furst
Inc.

                         *     *     *

To date, Claxson Interactive Group Inc.'s obligaciones
negociables for US$44,400,000 is rated BB by Fitch Argentina.
The rating action was based on the company's balance sheet at
Sept. 30, 2006.


FORD MOTOR: Discloses Plans to Return to Profitability by 2009
--------------------------------------------------------------
Ford Motor Company disclosed plans to further align its capacity
with demand at four U.S. manufacturing facilities as it works to
return its North American operations to profitability by 2009.

Chicago Assembly Plant and Louisville Assembly Plant will
operate on one shift beginning this summer.  The date for the
shift reduction has not been finalized.  Cleveland Engine Plant
#2 will operate on one shift beginning in late April.
Additionally, Cleveland Engine Plant #1, which has been idled
since May 2007, will resume production in the fourth quarter.
The company had planned to resume production resume this spring.

The change to a one-shift production pattern does not affect
production volume.  Rather, it allows the plants to operate more
efficiently by running continually and reducing "down weeks."
Approximately 2,500 employees will be affected at the three
plants.

"We remain focused on our plan to return the North American
automotive business to profitability," Mark Fields, Ford's
president of The Americas, said.  "These actions are necessary
as we align our capacity and product mix to meet real customer
demand."

Ford is currently offering its U.S. hourly workforce the
opportunity to select from one of 10 retirement and buyout
packages, including special offers that provide money for
education and a new entrepreneurial package that offer employees
interested in starting a business a lump sum payout and family
health insurance coverage.  Ford also enhanced its package
offering for retirement-eligible employees.

"The buyouts and capacity actions are designed to ensure that
our manufacturing facilities are operating in the most efficient
way," Joe Hinrichs, group vice president, Global Manufacturing,
said.  "By adjusting our operating patterns in this way, we can
produce the right volume and avoid down weeks.  The stability in
operations is better for our employees, our suppliers and the
quality of the product."

The Chicago Assembly Plant, opened in 1924, currently builds the
Ford Taurus, Taurus X, Mercury Sable and will be home to the
all-new 2009 Lincoln MKS, which will arrive in dealer showrooms
this summer.  It employs approximately 2,300 workers.  The plant
is slated to receive an additional new product as outlined in
the 2007 UAW-Ford Collective Bargaining Agreement, which expires
in 2011.

Opened in 1955, Louisville Assembly Plant produces the Ford
Explorer, Explorer Sport Trac and Mercury Mountaineer.  It
currently has approximately, 2,200 employees and is slated to
receive an investment in a new body shop and a new product as
outlined in the 2007 UAW-Ford Collective Bargaining Agreement,
which expires in 2011.

Opened in 1955, Cleveland Engine Plant #2 produces the 3.0-liter
engine.  It employs approximately 800 employees.  Cleveland
Engine Plant #1, which opened in 1951, produced the Duratec 3.5-
liter engine until it was temporarily idled in May 2007.
Production of the 3.5-liter continues at Lima Engine Plant.

                         About Ford Motor

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F)
-- http://www.ford.com/-- manufactures or distributes
automobiles in 200 markets across six continents.  With about
260,000 employees and about 100 plants worldwide, the company's
core and affiliated automotive brands include Ford, Jaguar, Land
Rover, Lincoln, Mercury, Volvo, Aston Martin, and Mazda.  The
company provides financial services through Ford Motor Credit
Company.

The company has operations in Japan in the Asia Pacific region.
In Europe, the company maintains a presence in Sweden, and the
United Kingdom.  The company also distributes its brands in
various Latin American regions, including Argentina and Brazil.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 15, 2008, Fitch Ratings affirmed the Issuer Default Ratings
of Ford Motor Company and Ford Motor Credit Company at 'B', and
maintained the Rating Outlook at Negative.

As reported in the Troubled Company Reporter on Nov. 19, 2007,
Moody's Investors Service affirmed the long-term ratings of Ford
Motor Company (B3 Corporate Family Rating, Ba3 senior secured,
Caa1 senior unsecured, and B3 probability of default), but
changed the rating outlook to Stable from Negative and raised
the company's Speculative Grade Liquidity rating to SGL-1 from
SGL-3.  Moody's also affirmed Ford Motor Credit Company's B1
senior unsecured rating, and changed the outlook to Stable from
Negative.  These rating actions follow Ford's announcement of
the details of the newly ratified four-year labor agreement with
the UAW.


FORD MOTOR: Likely to Close Sale Deal With Tata Motors in 2Q
------------------------------------------------------------
A luxury brands sale deal between Ford Motor Co. and Tata Motors
Ltd. is expected to close between April and June, according to
Ford's U.S. Securities and Exchange Commission annual report
filing.

As reported by the Troubled Company Reporter on Feb. 26, 2008,
the announcement of the sale of Ford Motor's Jaguar and Land
Rover Marques brands to Tata Motors is expected to be made on
March 6 or 7.  The transaction is speculated to be at a US$1.5
billion to US$2 billion range.

According to the Economic Times, both parties are still in talks
over issues relating to supply of engines, platforms and
technologies.

As previously reported in the TCR, Tata Motors and Ford met with
British union leaders to resolve final details before drawing up
a memorandum of understanding for the sale.  The union is
satisfied with Tata Motors assuring them, among others, of
keeping employment in the United Kingdom at its current level.

Ford committed to sell Jaguar and Land Rover in order to
restructure its core Automotive operations and build liquidity,
the SEC filing stated.

                           About Tata Motors

India's largest automobile company, Tata Motors Limited --
http://www.tatamotors.com/-- is mainly engaged in the business
of automobile products consisting of all types of commercial and
passenger vehicles, including financing of the vehicles sold by
the company. The Company's operating segments consists of
Automotive and Others. In addition to its automotive products,
it offers construction equipment, engineering solutions and
software operations.  Tata Motors has operations in Russia and
the United Kingdom.

                         About Ford Motor

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures or distributes automobiles
in 200 markets across six continents.  With about 260,000
employees and about 100 plants worldwide, the company's core and
affiliated automotive brands include Ford, Jaguar, Land Rover,
Lincoln, Mercury, Volvo, Aston Martin, and Mazda.  The company
provides financial services through Ford Motor Credit Company.

The company has operations in Japan in the Asia Pacific region.
In Europe, the company maintains a presence in Sweden, and the
United Kingdom.  The company also distributes its brands in
various Latin American regions, including Argentina and Brazil.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 15, 2008, Fitch Ratings affirmed the Issuer Default Ratings
of Ford Motor Company and Ford Motor Credit Company at 'B', and
maintained the Rating Outlook at Negative.

As reported in the Troubled Company Reporter on Nov. 19, 2007,
Moody's Investors Service affirmed the long-term ratings of Ford
Motor Company (B3 Corporate Family Rating, Ba3 senior secured,
Caa1 senior unsecured, and B3 probability of default), but
changed the rating outlook to Stable from Negative and raised
the company's Speculative Grade Liquidity rating to SGL-1 from
SGL-3.  Moody's also affirmed Ford Motor Credit Company's B1
senior unsecured rating, and changed the outlook to Stable from
Negative.  These rating actions follow Ford's announcement of
the details of the newly ratified four-year labor agreement with
the UAW.


FORD MOTOR: February 2008 Sales Decrease 7%
-------------------------------------------
Total Ford Motor Company sales, including Jaguar, Land Rover,
and Volvo, totaled 196,681, down 7%.

Ford's new Focus and SYNC are connecting with small car buyers.
Focus retail sales were up 36% in February -- the fourth month
in a row of higher retail sales.

"The new Focus and SYNC arrived at an opportune time," Jim
Farley, Ford's group vice president, Marketing and
Communications, said.  "We needed to raise awareness and
consideration among younger buyers -- and Focus and SYNC are
getting us back in the game."

Buyers age 16-35 account for 32% of retail sales for the 2008
Focus, compared with 28% for the previous model.  Focus is one
of 12 Ford, Lincoln and Mercury models equipped with SYNC, an
affordable, in-car connectivity technology that fully integrates
most Bluetooth-enabled cell phones and MP3 players by voice
activation.

Retail car sales were 4% higher than a year ago paced by the
Focus and the three mid-size sedans -- Ford Fusion, Mercury
Milan, and Lincoln MKZ -- which combined posted a retail sales
increase of 7%.

Crossover utility vehicles continued to see higher sales in
February (up 10%).  Higher sales for the Ford Edge (up 46%) and
Lincoln MKX (up 22%) led the increase in CUVs.

The MKZ and MKX helped Lincoln post higher retail sales in
February (up 2%) although total sales were down 11%, reflecting
lower fleet sales.

Among trucks, sales for Ford's F-Series pickup totaled 52,548,
off 5% from a year ago.  Sales for Ford's compact pickup, the
Ranger, totaled 7,431, up 27%.

Sales for traditional sport utility vehicles continued to
decline in February as combined sales for the Ford Explorer and
Expedition, Mercury Mountaineer, and Lincoln Navigator were 22%
lower than a year ago.

Ford, Lincoln and Mercury sales totaled 185,294, down 7%
compared with a year ago.   Lower daily rental sales (down 20%)
accounted for 60% of the decline.

                      North American Production

In the second quarter 2008, the company plans to produce 730,000
vehicles, a level 10% lower than a year ago when the company
produced 811,000 vehicles.  The reduction reflects the current
economic conditions.

In the first quarter 2008, the company plans to produce 685,000
vehicles, unchanged from the previously announced plan.

                         About Ford Motor

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F)
-- http://www.ford.com/-- manufactures or distributes
automobiles in 200 markets across six continents.  With about
260,000 employees and about 100 plants worldwide, the company's
core and affiliated automotive brands include Ford, Jaguar, Land
Rover, Lincoln, Mercury, Volvo, Aston Martin, and Mazda.  The
company provides financial services through Ford Motor Credit
Company.

The company has operations in Japan in the Asia Pacific region.
In Europe, the company maintains a presence in Sweden, and the
United Kingdom.  The company also distributes its brands in
various Latin American regions, including Argentina and Brazil.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 15, 2008, Fitch Ratings affirmed the Issuer Default Ratings
of Ford Motor Company and Ford Motor Credit Company at 'B', and
maintained the Rating Outlook at Negative.

As reported in the Troubled Company Reporter on Nov. 19, 2007,
Moody's Investors Service affirmed the long-term ratings of Ford
Motor Company (B3 Corporate Family Rating, Ba3 senior secured,
Caa1 senior unsecured, and B3 probability of default), but
changed the rating outlook to Stable from Negative and raised
the company's Speculative Grade Liquidity rating to SGL-1 from
SGL-3.  Moody's also affirmed Ford Motor Credit Company's B1
senior unsecured rating, and changed the outlook to Stable from
Negative.  These rating actions follow Ford's announcement of
the details of the newly ratified four-year labor agreement with
the UAW.


FORD MOTOR: February 2008 Sales in Canada Increase 4.1%
-------------------------------------------------------
In February, Ford Motor Company of Canada, Ltd., overall sales
increased 4.1% to 14,054 units. Total truck sales were up 6.1%
at 10,813 units and total car sales of 3,241 units mark a 2.1%
decline compared to last February.

February's heavy precipitation has not dampened the pace of
sales at Ford Motor Company of Canada, Ltd., with many vehicles
seeing significant double-digit increases compared to last
February.  In fact, six models hit February sales records,
including Canadian-built crossovers Ford Edge and Lincoln MKX.

"Canadians love the design and functionality of crossover
utility vehicles," Barry Engle, president and CEO, Ford of
Canada, said.  "Last year, sales of crossovers grew more quickly
than any other segment in the automotive industry, and in that
hot market, Ford sold more crossovers than any other
manufacturer.  We expect the rapid growth in crossovers to
continue this year, and we offer consumers a lot of choice with
Ford Edge, Ford Taurus X and Lincoln MKX, and coming soon, Ford
Flex."

           Six Models Set All-Time February Sales Records

    * Ford Edge sales increase 98%, for its best February on
      record;

    * Ford Escape sales rise 86%, marking its best February on
      record;

    * Ford Escape Hybrid up 66%, making this its best February
      ever;

    * Ford Fusion up 11%, for its best February ever;

    * Ford Mustang sales increase 65%;

    * Ford Ranger saw a 33% sales jump;

    * Lincoln MKX up 59%, marking its best February sales on
      record; and

    * Lincoln MKZ sales increase 9%, for its best February ever.

                   February 2008 Vehicle Sales

      Total vehicles           2008         2007      Change
      --------------           ----         ----      ------
      February               14,054       13,502        4.1%
      January & February     26,787       25,116        6.7%

      Total Cars
      ----------
      February                3,241        3,311       -2.1%
      January & February      6,103        6,326       -3.5%

      Total Trucks
      ------------
      February               10,813       10,191        6.1%
      January & February     20,684       18,790        10.1%

                         About Ford Motor

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F)
-- http://www.ford.com/-- manufactures or distributes
automobiles in 200 markets across six continents.  With about
260,000 employees and about 100 plants worldwide, the company's
core and affiliated automotive brands include Ford, Jaguar, Land
Rover, Lincoln, Mercury, Volvo, Aston Martin, and Mazda.  The
company provides financial services through Ford Motor Credit
Company.

The company has operations in Japan in the Asia Pacific region.
In Europe, the company maintains a presence in Sweden, and the
United Kingdom.  The company also distributes its brands in
various Latin American regions, including Argentina and Brazil.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 15, 2008, Fitch Ratings affirmed the Issuer Default Ratings
of Ford Motor Company and Ford Motor Credit Company at 'B', and
maintained the Rating Outlook at Negative.

As reported in the Troubled Company Reporter on Nov. 19, 2007,
Moody's Investors Service affirmed the long-term ratings of Ford
Motor Company (B3 Corporate Family Rating, Ba3 senior secured,
Caa1 senior unsecured, and B3 probability of default), but
changed the rating outlook to Stable from Negative and raised
the company's Speculative Grade Liquidity rating to SGL-1 from
SGL-3.  Moody's also affirmed Ford Motor Credit Company's B1
senior unsecured rating, and changed the outlook to Stable from
Negative.  These rating actions follow Ford's announcement of
the details of the newly ratified four-year labor agreement with
the UAW.


RIAL SRL: Proofs of Claim Verification Is Until March 28
--------------------------------------------------------
The court-appointed trustee for Rial S.R.L. Empresa
Constructora's bankruptcy proceeding, will be verifying
creditors' proofs of claim until March 28, 2008.

The trustee will present the validated claims in court as
individual reports on May 15, 2008.  The National Commercial
Court of First Instance in Cordoba will determine if the
verified claims are admissible, taking into account the
trustee's opinion, and the objections and challenges that will
be raised by Rial S.R.L. and its creditors.

Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.

A general report that contains an audit of Rial S.R.L.'s
accounting and banking records will be submitted in court on
July 2, 2008.

The trustee is also in charge of administering Rial S.R.L.'s
assets under court supervision and will take part in their
disposal to the extent established by law.

The debtor can be reached at:

          Rial S.R.L. Empresa Constructora
          Parana 257, Ciudad de Cordoba
          Cordoba, Argentina


TRANS-ROGAL SRL: Proofs of Claim Verification Is Until March 21
---------------------------------------------------------------
Carlos Wulff, the court-appointed trustee for Trans-Rogal SRL's
bankruptcy proceeding, will be verifying creditors' proofs of
claim until March 21, 2008.

Mr. Wulff will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 19 in Buenos Aires, with the assistance of Clerk
No. 37, will determine if the verified claims are admissible,
taking into account the trustee's opinion, and the objections
and challenges that will be raised by Trans-Rogal and its
creditors.

Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.

A general report that contains an audit of Trans-Rogal's
accounting and banking records will be submitted in court.

Mr. Wulff is also in charge of administering Trans-Rogal's
assets under court supervision and will take part in their
disposal to the extent established by law.

The debtor can be reached at:

          Trans-Rogal SRL
          Caseros 3422
          Buenos Aires, Argentina

The trustee can be reached at:

          Carlos Wulff
          Virrey del Pino 2354
          Buenos Aires, Argentina


VALEANT PHARMA: Selling Asia Unit to Invida for US$37.8 Million
---------------------------------------------------------------
Valeant Pharmaceuticals International has completed the sale of
Valeant's Asia Pacific operations to Invida Pharmaceutical
Holdings Pte. Ltd. for a one time payment of approximately
US$37.8 million in cash.  Under the terms of the agreement,
Invida will acquire Valeant's current licensing rights and
commercial operations in Asia Pacific for the products currently
marketed in twelve Asian markets, including Singapore, the
Philippines, Taiwan, Korea, and China.  Certain product rights
in Japan are also included in the transaction.

The divestment comprises approximately 230 stock-keeping units
(SKUs), including global brands such as Kinerase(R), Dermatix(R)
and Efudix(R).

"The sale of our Asian markets and operations to Invida is an
important first step in simplifying our business," said J.
Michael Pearson, Valeant's chief executive officer and chairman.
"Asia Pacific was a subscale operation for Valeant and was
diverting unnecessary management attention and resources."

Commenting on the acquisition, Dr. Guido Oelkers, Invida's chief
executive officer, said, "This acquisition is in line with
Invida's transformation from a sales-oriented service company
into a company that integrates the core capabilities of a
specialty pharmaceutical company.  The addition of Valeant's
portfolio will boost Invida's resources and enable us to further
enhance our medical and marketing capabilities."

                    About Invida Pharmaceutical

Invida Pharmaceutical Holdings Pte. Ltd. --
http://www.invida.com/-- is the holding company of Pharmalink,
the leading pharmaceutical and healthcare commercialization
provider in Asia Pacific; and Inovail, an independently-managed
specialty pharmaceutical company focused on market-driven
innovation in the areas of dermatology, complementary oncology
and female healthcare.  Headquartered in Singapore, Invida's
focus is in the Asia Pacific region, where it has offices in 13
countries.  Invida's shareholders include Temasek Holdings,
Quintiles Transnational and the Zuellig Group.

                  About Valeant Pharmaceuticals

Headquartered in Costa Mesa, California, Valeant Pharmaceuticals
International -- http://www.valeant.com/-- is a global
specialty pharmaceutical company with USUS$823 million of 2005
revenues.  It has offices in Argentina, Singapore and Taiwan.

                         *     *     *

In January 2007, Moody's Investors Service confirmed the ratings
of Valeant, including the B2 Corporate Family Rating, and
concluded the rating review for possible downgrade, which was
first initiated on Oct. 23, 2006.  Valeant's rating outlook is
stable, Moody's said.


XALEX SRL: Trustee to Verify Proofs of Claim Until April 30
-----------------------------------------------------------
Juan Carlos Alcuaz, the court-appointed trustee for Xalex SRL's
reorganization proceeding, will be verifying creditors' proofs
of claim until April 30, 2008.

Mr. Alcuaz will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 8 in Buenos Aires, with the assistance of Clerk No.
15, will determine if the verified claims are admissible, taking
into account the trustee's opinion, and the objections and
challenges that will be raised by Xalex  and its creditors.

Inadmissible claims may be subject for appeal in a separate
proceeding known as an appeal for reversal.

A general report that contains an audit of Xalex's accounting
and banking records will be submitted in court.

La Nacion didn't state the reports submission deadlines.

Creditors will vote to ratify the completed settlement plan
during the assembly on Feb. 9, 2009.

The debtor can be reached at:

         Xalex SRL
         Belgrano 766
         Buenos Aires, Argentina

The trustee can be reached at:

         Juan Carlos Alcuaz
         Cordoba 1522
         Buenos Aires, Argentina



===============
B A R B A D O S
===============


DIGICEL GROUP: Eyes US$440 Million Operating Profit in March
------------------------------------------------------------
Digicel Group expects its operating profits to increase to
US$440 million in March 2008, compared to US$220 million in
March 2007, Tony Best at The Nation Newspaper reports.

Dennis O'Brien told The Nation Newspaper that Digicel's rapid
growth in and out of the Caribbean would be reflected in its
bottom line at the end of the firm's financial year on March 31,
2008.

Mr. O'Brien commented to The Nation Newspaper, "We are pretty
pleased with the way things are going.  We will probably double
our operating profits this year for March '08 over March '07.
Our financial year ends in March.  In March '07 we did US$220
million.  This year we will bring that to around US$440 million
to March '08.  That's operating profit, earnings before
interest, taxes and depreciation.  Jamaica, St Vincent, Antigua
and Barbados made significant contributions to that bright
picture.  All of our established markets are contributing to
that profit figure.  We are growing in all of our markets and we
have taken more market share away from Cable & Wireless.  We
know clearly that Digicel is No. 1 in most of the markets we are
in at the moment."

Cable & Wireless' claims about their market share and supremacy
are false, The Nation Newspaper states, citing Mr. O'Brien.

Digicel Ltd. is a wireless services provider in the Caribbean
region founded in 2000, and controlled by Denis O'Brien.  The
company started operations in Jamaica in April 2001 and now
offers GSM mobile services in Caribbean countries including
Jamaica, St. Lucia, St. Vincent, Aruba, Grenada, Barbados,
Bermuda, Cayman, and Curacao among others.  Digicel finished
FY2005 with 1.722 million total subscribers -- 97% pre-paid --
estimated market share of 67% and revenues and EBITDA of US$478
million and US$155 million, respectively.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 20, 2007, Fitch Ratings took these rating actions for
Digicel Group Ltd., Digicel Ltd. and Digicel International
Finance Ltd.:

Digicel Group Ltd.

    -- Proposed US$1.4 billion senior subordinated notes
       due 2015 assigned 'CCC+/RR5'

Digicel Ltd.

    -- Foreign currency Issuer Default Rating downgraded
       to 'B-' from 'B'; and

    -- US$450 million senior notes due 2012 downgraded
       to 'B-/RR4' from'B/RR4'.

Digicel International Finance Ltd.

    --US$850 million senior secured credit facility
      assigned 'B/RR3'.

Fitch said the outlook on all ratings is stable.



=============
B E R M U D A
=============


SEA CONTAINERS: Committee Taps Navigant Consulting as Advisors
--------------------------------------------------------------
The Official Committee of Unsecured Creditors in Sea Containers
Ltd. and its debtor-affiliates Chapter 11 cases seeks authority
from the U.S. Bankruptcy Court for the District of Delaware to
employ Navigant Consulting, Inc., to provide litigation
consulting services, nunc pro tunc to Feb. 15, 2008.

Ronald J. Silverman, Esq., at Bingham McCutchen LLP, in New
York, relates that Navigant Consulting has extensive experience,
knowledge and resources in the actuarial field, and in providing
testimony in court.  He adds that the firm is well-qualified to
serve the SCL Committee in providing litigation consulting
services.

As consultant, Navigant Consulting will:

    (a) advise the SCL Committee with respect to pension claims
        asserted against the Debtors, including the extent and
        validity of the claims and the calculation of claims
        under the so-called "prudent investor" rule and under
        other standards;

    (b) assist and advise the SCL Committee in its consultations
        with the Debtors and the Official Committee of Unsecured
        Creditors of Sea Containers Services Ltd. relative to the
        calculation of pension claims and the development of a
        plan of reorganization;

    (c) provide expert witness testimony, including the
        preparation of an expert report under Rule 7026 of the
        Federal Rules of Bankruptcy Procedure, and appearance for
        deposition or trial;

    (d) attend the meetings of the SCL Committee; and

    (e) perform other services as may be required and are deemed
        to be in the interests of the SCL Committee.

Navigant Consulting will be paid for professional services based
on its standard hourly rates.  Navigant Consulting
professionals, who are expected to be principally responsible
for the matters in the bankruptcy cases, will be paid in their
current hourly rate:

       Designation                  Hourly Rate
       -----------                  -----------
       Paul Braithwaite               US$650
       John Parks                     US$600
       Joseph J. DeVito               US$500
       Robert Hendel                  US$375

Mr. Silverman relates that Navigant Consulting will not seek to
be compensated separately for certain staff, clerical and
resource charges.  The firm, however, will be reimbursed for
charges and expenses.

Joseph DeVito, managing director at Navigant Consulting, assures
the Court that, except as set forth in his declaration, Navigant
Consulting, and its directors and employees do not hold or
represent any interest adverse to the Debtors' bankruptcy
estates or creditors.  He declares that Navigant Consulting is a
"disinterested person" as that term is defined in Section
101(14) of the Bankruptcy Code.

                         About Sea Containers

Based in Hamilton, Bermuda, Sea Containers Ltd. --
http://www.seacontainers.com/-- provides passenger and freight
transport and marine container leasing.  Registered in Bermuda,
the company has regional operating offices in London, Genoa, New
York, Rio de Janeiro, Sydney, and Singapore.  The company is
owned almost entirely by United States shareholders and its
primary listing is on the New York Stock Exchange (SCRA and
SCRB) since 1974.  On Oct. 3, the company's common shares and
senior notes were suspended from trading on the NYSE and NYSE
Arca after the company's failure to file its 2005 annual report
on Form 10-K and its quarterly reports on Form 10-Q during 2006
with the U.S. Securities and Exchange Commission.

Through its GNER subsidiary, Sea Containers Passenger Transport
operates Britain's fastest railway, the Great North Eastern
Railway, linking England and Scotland.  It also conducts ferry
operations, serving Finland and Estonia as well as a commuter
service between New York and New Jersey in the U.S.

Sea Containers Ltd. and two subsidiaries filed for chapter 11
protection on Oct. 15, 2006 (Bankr. D. Del. Case No. 06-11156).
Edmon L. Morton, Esq., Edwin J. Harron, Esq., Robert S. Brady,
Esq., Sean Matthew Beach, Esq., and Sean T. Greecher, Esq., at
Young, Conaway, Stargatt & Taylor, represent the Debtors in
their restructuring efforts.

The Official Committee of Unsecured Creditors and the Financial
Members Sub-Committee of the Official Committee of Unsecured
Creditors of Sea Containers Ltd. is represented by William H.
Sudell, Jr., Esq., and Thomas F. Driscoll, Esq., at Morris,
Nichols, Arsht & Tunnell LLP.  Sea Containers Services, Ltd.'s
Official Committee of Unsecured Creditors is represented by
attorneys at Willkie Farr & Gallagher LLP.

In its schedules filed with the Court, Sea Containers disclosed
total assets of US$62,400,718 and total liabilities of
US$1,545,384,083.

The Court gave the Debtors until April 15, 2008, to file
a plan of reorganization.


* BERMUDA: Fitch Says (Re)Insurance Market Thriving Amidst Chaos
----------------------------------------------------------------
Fitch Ratings stated in a Special Report that Bermuda continues
to develop as a thriving domicile for (re)insurance
organizations, attributable to an attractive regulatory and tax
environment, an accumulation of investment capital and
underwriting talent, and innovative approaches to risk
management.  Fitch's report also delves into the agency's first
discussion of a separate Rating Outlook for this market.

To coincide with the release of this Special Report, Fitch's
Insurance Group will host a conference call on the Bermuda
market on Wednesday, March 5 at 10am ET (1500 GMT).  A separate
press announcement with dial-in information will be released to
market participants shortly.

In the Special Report, Fitch outlines the Bermuda market's key
characteristics, identifies challenges expected to have an
impact on the market in 2008, and discusses Fitch's 2008
financial projections for the market.  The report also
introduces Fitch's Bermuda market aggregate index, a group of
Bermuda-based (re)insurers that are important components of the
Bermuda (re)insurance market, and provides Fitch's first
discussion of a separate Rating Outlook for the Bermuda market.

Though this market has enjoyed this tremendous operating success
in the past two years, Bermuda (re)insurers will face
significant pressure on profitability going forward
asproperty/casualty insurance pricing continues to trend
steadily downward.

Key near-term challenges facing the Bermuda market include
managing the execution risk derived from expansion strategies
adopted by some market participants, coping with the market's
unique infrastructure challenges, and retaining financial and
competitive advantages derived from the island's tax status.


* BERMUDA: Fitch Conference Call on Insurance Market Is Today
-------------------------------------------------------------
Fitch Ratings will host a teleconference to discuss the Bermuda
insurance and (Re)insurance markets and trends expected to
affect this industry in 2008 on Wednesday, March 5.  Fitch's
analysts will also delve into the agency's first discussion of a
separate Rating Outlook for this market.

The teleconference is set for 10 a.m. ET (1500 GMT) and is being
held to coincide with the release of the Special Report of the
same subject, "Bermuda Market Overview," now available on the
Fitch web site under Financial Institutions > Insurance >
Special Reports.

Fitch notes that while Bermuda's insurance market has enjoyed
tremendous operating success in the past two years, Bermuda
(re)insurers will face significant pressure on profitability
going forward as property/casualty insurance pricing continues
to trend steadily downward.  Key near-term challenges facing the
Bermuda market include managing the execution risk derived from
expansion strategies adopted by some market participants, coping
with the market's unique infrastructure challenges, and
retaining financial and competitive advantages derived from the
island's tax status.

Senior credit analysts from Fitch's North American Insurance
group will lead the conference call.  Operator-assisted Q&A will
follow for phone participants.

Live Telephone Dial-Ins:

    -- Live US and North America: +1-866-529-2924
    -- Live International: +1-706-634-4949
    -- Conference ID # 37588146
    -- Leader: Mark Rouck
    -- Title: Bermuda's Insurance Market

As an added benefit, market participants also may listen to the
conference call via the Web.  For this listen-only mode, please
use the link:

    -- http://audioevent.mshow.com/342573

Replay Information:

    -- Replay U.S. and North America: +1-800-642-1687

    -- Replay International: +1-706-645-9291

    -- Replay Dates: March 5, 2008 11:00a.m. ET - April 5, 2008
       11:59pm ET



===========
B R A Z I L
===========


ACTUANT CORP: Acquires Superior Plant Services for US$57 Million
----------------------------------------------------------------
Actuant Corporation has acquired Superior Plant Services, LLC,
for approximately US$57 million in cash.  Funding for the
completed transaction came from the company's revolving credit
facility.

SPS will operate as part of Hydratight, within Actuant's
Industrial Segment.  Brian Kobylinski, Leader of Actuant's
Industrial Segment, stated: "SPS is a great addition to our
global joint integrity platform, adding a significant presence
to our service business both in oil & gas in the important Gulf
of Mexico region and in power generation in the mid-Atlantic.
Its long-standing customer relationships and trained workforce
of over 125 service technicians represent excellent complements
to our existing Hydratight business.  SPS President Al Shiyou
and his management team have been successful in growing their
business and we look forward to them joining the Actuant team."

                             About SPS

Headquartered in Terrytown, Louisiana, SPS is a specialized
maintenance services company serving the oil & gas and nuclear
power industries in North America, primarily in the Gulf of
Mexico and mid-Atlantic regions of the United States.  Its
services include field machining, flange weld testing, line
isolation, bolting, heat treating, and metal disintegration. SPS
generated approximately US$25 million in revenues last year.

                       About Actuant Corp.

Headquartered in Butler, Wis., Actuant Corp. (NYSE: ATU) --
http://www.actuant.com/-- is a diversified industrial company
with operations in more than 30 countries including Australia,
China, Italy, United Kingdom, Brazil, among others.  The Actuant
businesses are market leaders in highly engineered position and
motion control systems and branded hydraulic and electrical
tools and supplies.  The company employs a workforce of more
than 6,700 worldwide.

                         *     *     *

In June 2007, Moody's Investors Service assigned a Ba2 (LGD3,
43%) rating to Actuant Corporation's US$250 million senior
unsecured notes and affirmed the company's Ba2 Corporate Family
Rating.

Standard & Poor's Ratings Services assigned its 'BB-' rating to
Actuant Corp.'s proposed US$250 million senior unsecured notes
due 2017.  The proceeds from the notes will be principally used
to repay a portion of borrowings under the company's senior
credit facility due 2009.


BANCO BRADESCO: Board Approves Complimentary Dividends Payment
--------------------------------------------------------------
Banco Bradesco S.A.'s Board of Directors has approved the
Board of Executive Officers' proposal for the payment to the
company's stockholders of Complementary Dividends to the
Interest on Own Capital and Dividends related to the fiscal year
2007, for BRL65,200,000, of which BRL0.030760433 per common
stock and BRL0.033836477 per preferred stock, benefiting the
stockholders registered in the Bank's books on March 3, 2008.
The company's stocks were traded "ex-right" on referred
Dividends since March 4.

The payment will be made on March 17, 2008, with no Withholding
Income Tax.  The dividends related to the stocks under custody
at CBLC - Brazilian company and Depository Corporation will be
paid to CBLC, which will transfer them to the stockholders
through its Custody Agents.  Thus, the amount of Interest and
Dividends paid to stockholders, related to the fiscal year of
2007, totals BRL2,822,796,086.42.

Headquartered in Sao Paulo, Brazil, Banco Bradesco S.A. (NYSE:
BBD) -- http://www.bradesco.com.br/-- prides itself on serving
low-and medium-income individuals in Brazil since the 1960s.
Bradesco is Brazil's largest private bank, with more than 3,000
banking branches, and also a leader in insurance and private
pension management.  Bradesco has branches throughout Brazil as
well as one in New York, and Japan.  Bradesco offers Internet
banking, insurance, pension plans, annuities, credit card
services (including football-club affinity cards for the soccer-
mad population), and Internet access for customers.  The bank
also provides personal and commercial loans, along with leasing
services.

                           *     *     *

On Nov. 12, 2007, Moody's Investors Service assigned a Ba2
foreign currency deposit rating to Banco Bradesco.


BANCO DO BRASIL: 4th Quarter Results Disappointing, Analysts Say
----------------------------------------------------------------
Banco do Brasil's fourth quarter results were disappointing and
failed to meet market expectations, Business News Americas
reports, citing banking analysts in and outside Brazil.

As reported in the Troubled Company Reporter-Latin America on
Feb. 28, 2008, Banco do Brasil's net profit dropped 2.48% to
BRL1.22 billion in the fourth quarter 2007, compared to
BRL1.25 billion in the same period in 2006 and BRL1.35 billion
in the third quarter of 2007.  Banco do Brasil's return on
equity declined to 22.2% in the fourth quarter 2007, from 26.7%
in the fourth quarter 2006, and 26.3% in the third quarter 2007.

Brokerage Agora Corretora analyst Aloisio Villeth Lemos
commented to BNamericas, "BB [Banco do Brasil] frustrated
expectations and grew less than the market, while the big
private sector banks fulfilled expectations.  BB and [federal
savings bank] Caixa Economica Federal were less profitable than
the private sector banks, which is only natural for federal
banks."  According to BNamericas, Caixa Economica had BRL2.51
billion in net profits for the full year 2007 and return on
equity of 23.7%, down from 26.0% in 2006.

BNamericas notes that Bear Stearns analyst Saul Martinez reduced
his earnings estimates for Banco do Brasil to BRL6.39 billion
for this year, from BRL6.85 billion, with return on equity of
23.7%.  Mr. Martinez lowered the earnings forecast for Banco do
Brasil for 2009 to BRL7.21 billion, from BRL7.81 billion, the
report says.

BNamericas relates that Banco do Brasil expects recurring return
on equity of up to 27% this year, compared to 25.3% last year.

The report says that Deutsche Bank analyst Mario Pierry reduced
his 2008 earnings estimates for Banco do Brasil by 3% to BRL6.78
billion due to:

           -- slower service fee income growth,
           -- higher costs,
           -- provisions, and
           -- taxes.

Mr. Pierry expects Banco do Brasil's return on equity to be
25.3% this year, and then slipping to 25.2% in 2009, as net
profits increase 19% to BRL8.09 billion, BNamericas notes.  Mr.
Pierry said in a report, "[W]e expect the bank to deliver solid
earnings growth and profitability in 2008, driven by several
cost-cutting initiatives and continued expansion in the more
profitable retail segment."  Mr. Pierry cut the target price for
Banco do Brasil shares to BRL38 from BRL40 and kept his "buy
rating" on the stock, BNamericas relates.

Lika Takahashi from Banco Fator told BNamericas that lending
growth at Banco do Brasil was below the market average in 2007
and failed to keep pace with private sector opponents Bradesco,
Itau, and Unibanco.  The analyst blamed Banco do Brasil's
"moderate growth" on slower growth in agricultural loans and a
decline in trade financing, BNamericas states.

Banco do Brasil is Brazil's federal bank and is the largest in
Latin America with some 20 million clients and more than 7,000
points of sale (3,200 branches) in Brazil, and 34 offices and
partnerships in 26 other countries.  In addition to its
traditional retail banking services, Banco do Brasil underwrites
and sells bonds, conducts asset trading, offers investors
portfolio management services, conducts financial securities
advising, and provides market analysis and research.

                            *     *     *

On Nov. 6, 2007, Moody's Investors Service assigned a Ba2
foreign currency deposit rating to Banco do Brasil.  On Aug. 23,
2007, Moody's assigned a Ba2 long-term bank deposit rating on
the bank with a stable outlook.

In May 2007, Standard & Poor's Ratings Services raised its long-
term foreign currency counterparty credit rating on Brazilian
government-related entity Banco do Brasil to 'BB+' from 'BB',
after Brazil's foreign currency sovereign credit rating was
upgraded to BB+.


BANCO DO BRASIL: Unit Posts BRL16.2 Million Loss in 2007
--------------------------------------------------------
Banco do Brasil's microcredit arm Banco Popular do Brasil's loss
declined 59.9% to BRL16.2 million in 2007, from BRL40.5 million
in 2006.

According to Business News Americas, Banco Popular had net
income of BRL89,000 and operating income of BRL518,000 in
December 2007, its first profits ever.

Banco Popular's net interest income was BRL7.14 million for the
full year 2007, compared to losses of BRL15.6 million in 2006,
while service fee income increased 55.6% to BRL42.4 million,
BNamericas relates.

Banco Popular's loan book declined 55.5% to BRL30.5 billion in
2007, compared to 2006, BNamericas states.

Banco do Brasil is Brazil's federal bank and is the largest in
Latin America with some 20 million clients and more than 7,000
points of sale (3,200 branches) in Brazil, and 34 offices and
partnerships in 26 other countries.  In addition to its
traditional retail banking services, Banco do Brasil underwrites
and sells bonds, conducts asset trading, offers investors
portfolio management services, conducts financial securities
advising, and provides market analysis and research.

                            *     *     *

On Nov. 6, 2007, Moody's Investors Service assigned a Ba2
foreign currency deposit rating to Banco do Brasil.  On Aug. 23,
2007, Moody's assigned a Ba2 long-term bank deposit rating on
the bank with a stable outlook.

In May 2007, Standard & Poor's Ratings Services raised its long-
term foreign currency counterparty credit rating on Brazilian
government-related entity Banco do Brasil to 'BB+' from 'BB',
after Brazil's foreign currency sovereign credit rating was
upgraded to BB+.


CHRYSLER LLC: Will Appeal Bankruptcy Court's Tooling Decision
-------------------------------------------------------------
Chrysler LLC, Chrysler Motors Company LLC, and Chrysler
Canada Inc., took an appeal under 28 U.S.C. Section 158(a)
before the U.S. District Court for the Eastern District of
Michigan from the orders of the Honorable Phillip Shefferly of
the U.S. Bankruptcy Court for the Eastern District of Michigan
that denies:

    i) the lifting of the automatic stay to allow Chrysler to
       regain possession of tooling located in Plastech
       Engineered Products Inc. and its debtor-affiliates'
       plants; and

   ii) the issuance of a preliminary injunction in connection
       with the proposed recovery of the tooling equipment.

As reported in the Troubled Company Reporter on Feb. 22, 2008,
Judge Shefferly said in a court opinion that the Debtors needed
to keep the tooling equipment to faciliate them in their
reorganization.  The balancing of interests favored Plastech,
the Court said.

The Court affirmed the Debtors' contentions that the automatic
stay applies to both the tooling paid by Chrysler and the
tooling
that Chrysler has not paid for.  "Even assuming that the Debtor
has only a possessory interest in the tooling paid for by
Chrysler, that is a sufficient interest by itself to cause the
application of the automatic stay," Judge Shefferly said.

In addition, the Court was convinced that if Chrysler takes
immediate possession of the tooling, the Debtor will not be able
to continue to provide parts uninterrupted to its other major
customers and therefore any prospect of an effective
reorganization will be lost.

                     About Plastech Engineered

Based in Dearborn, Michigan, Plastech Engineered Products, Inc.
-- http://www.plastecheng.com/-- is full-service automotive
supplier of interior, exterior and underhood components.  It
designs and manufactures blow-molded and injection-molded
plastic products primarily for the automotive industry.
Plastech's products include automotive interior trim, underhood
components, bumper and other exterior components, and cockpit
modules.  Plastech's major customers are General Motors, Ford
Motor Company, and Toyota, as well as Johnson Controls, Inc.

Plastech is a privately held company and is the largest family-
owned company in the state of Michigan.  The company is
certified as a Minority Business Enterprise by the state of
Michigan.  Plastech maintains more than 35 manufacturing
facilities in the midwestern and southern United States.  The
company's products are sold through an in-house sales force.

The company and eight of its affiliates filed for Chapter 11
protection on Feb. 1, 2008 (Bankr. E.D. Mich. Lead Case No. 08-
42417).  Gregg M. Galardi, Esq., at Skadden Arps Slate Meagher &
Flom LLP, and Deborah L. Fish, Esq., at Allard & Fish, P.C.,
represent the Debtors in their restructuring efforts.  The
Debtors chose Jones Day as their special corporate and
litigation counsel.  Lazard Freres & Co. LLC serves as the
Debtors' investment bankers, while Conway, MacKenzie & Dunleavy
provide financial advisory services.  The Debtors also employed
Donlin, Recano & Company as their claims and noticing agent.

An Official Committee of Unsecured Creditors has been appointed
in the Debtors' cases.

As of Dec. 31, 2006, the company's books and records
reflected assets totaling US$729,000,000 and total liabilities
of US$695,000,000.  (Plastech Bankruptcy News, Issue No. 9;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)

                        About Chrysler LLC

Based in Auburn Hills, Michigan, Chrysler LLC --
http://www.chrysler.com/-- a unit of Cerberus Capital
Management LP, produces Chrysler, Jeep(R), Dodge and Mopar(R)
brand vehicles and products.  The company has dealers worldwide,
including Canada, Mexico, U.S., Germany, France, U.K.,
Argentina, Brazil, Venezuela, China, Japan and Australia.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 13, 2007, Standard & Poor's Ratings Services affirmed its
'B' corporate credit rating on Chrysler LLC and DaimlerChrysler
Financial Services Americas LLC and removed it from CreditWatch
with positive implications, where it was placed Sept. 26, 2007.
S&P said the outlook is negative.


CHRYSLER LLC: February 2008 Sales Down 14%, Fleet Sales Reduced
---------------------------------------------------------------
Chrysler LLC reported total February 2008 sales of 150,093 units
which is 14% below the same period last year.  This includes a
significant reduction in fleet and reflects the company's
ongoing commitment to reduce daily-rental fleet vehicle sales.
All sales figures are reported as unadjusted.

"While the auto industry is experiencing the impact of slow
economic growth, Chrysler LLC February results reflect progress
within each brand," Vice Chairman and President Jim Press said.
"The positive numbers for Dodge cars, the all-new Chrysler Town
& Country and the Jeep(R) Patriot prove our renewed focus on
consumer feedback, such as the demand for good fuel economy, is
resonating—and translating into sales of our New Day Value
Packages.

"While becoming a more agile company, we're developing a more
personalized relationship with our customers and strengthening
collaboration with our dealer partners.  It's the sum total of
their feedback that will guide the evolution of our dynamic
product lineup and really make it a New Day—and a new era—at
Chrysler LLC."

February sales highlight strong core products like the Dodge
Caliber—offering good mileage at a low price.  Increased sales
of Dodge Caliber (up 10%), and Dodge Avenger (up 60%),
demonstrate Chrysler's strong positioning in the all-important
car market, offering customers what they are looking for now
more than ever—vehicles with high quality, great performance and
tremendous value.

Chrysler brand truck sales were led by the Chrysler Town &
Country, which posted sales of 11,952 units for February,
representing a 1% increase versus the same period last year.
Chrysler Aspen sales increased 31% with 2,879 units compared
with February 2007 when sales were 2,202 units.

The all-new Jeep Patriot set a new sales record for the month of
February with 5,195 units sold.  The vehicle is one of
Chrysler's recently introduced models that achieve 28 miles per
gallon or better in highway driving.

Chrysler LLC and its Dealer Advertising Association launched the
New Day Celebration campaign last month in 55 regional markets.
Solid February sales of the 12 vehicles featuring New Day Value
Packages, including the Dodge Caliber, Dodge Avenger, and
Chrysler Sebring—all developed in response to input from
customers and dealers—affirm Chrysler's new direction to listen
intently, move quickly and offer the best value in the American
market.

The all-new 2009 Dodge Journey continues to arrive in showrooms
in March.  Dodge Journey is a global vehicle that meets life's
changing demands by offering five or seven passenger seating and
a choice of four or six cylinder engines.  Dodge Journey arrives
to market with a starting U.S. Manufacturer's Suggested Retail
Price of US$19,985 (including US$625 destination).

The Company finished the month with 436,399 units of inventory,
or a 73-day supply.  Inventory is down by 11% compared with
February 2007 when it was at 492,230 units.

                         About Chrysler LLC

Headquartered in Auburn Hills, Michigan, Chrysler LLC --
http://www.chrysler.com/-- a unit of Cerberus Capital
Management LP, produces Chrysler, Jeep(R), Dodge and Mopar(R)
brand vehicles and products.  The company has dealers worldwide,
including Canada, Mexico, U.S., Germany, France, U.K.,
Argentina, Brazil, Venezuela, China, Japan and Australia.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 13, 2007, Standard & Poor's Ratings Services affirmed its
'B' corporate credit rating on Chrysler LLC and DaimlerChrysler
Financial Services Americas LLC and removed it from CreditWatch
with positive implications, where it was placed Sept. 26, 2007.
S&P said the outlook is negative.


COMPANHIA ENERGETICA: UBS Affirms Neutral Rating on Firm
--------------------------------------------------------
Swiss investment bank UBS has affirmed its neutral rating on
Companhia Energetica de Sao Paulo following reports that the Sao
Paulo local government is getting ready for the auction of
Companhia Energetica's shares, Business News Americas reports.

As reported in the Troubled Company Reporter-Latin America on
March 3, 2008, the Sao Paulo local government will publish a
list of prequalified bidders for Companhia Energetica on
March 14 and a list of companies that offer a financial
guarantee of BRL1.74 billion.  The state will host the auction
on March 26.

BNamericas relates that the state wants to sell 7.0 million
preferred and 85.9 million ordinary shares in Companhia
Energetica.

UBS said in a report, "In our opinion, these are important dates
to watch to understand the real interest in the asset by
potential bidders."  Risks to Companhia Energetica investments
are low returns on capex for expansions and a negative
macroeconomic environment, UBS told BNamericas.

Headquartered in Sao Paulo, Brazil, Companhia Energetica de Sao
Paulo (BOVESPA: CESP3, CESP5 and CESP6) is the country's third
largest power generator, majority owned by the State of Sao
Paulo.  CESP operates 6 hydroelectric plants with total
installed capacity of 7,456 MW and reported net revenues of
BRL1,983 million in the last twelve months through
Sept. 30, 2006.

As reported in the Troubled Company Reporter-Latin America on
Oct. 10, 2007, Standard & Poor's Ratings Services raised its
ratings on electricity generator Companhia Energetica de Sao
Paulo, including its corporate credit rating to 'B' from 'B-'.
At the same time, S&P raised its Brazil national scale ratings
on CESP to 'brBBB-' from 'brBB'.  S&P said the outlook remains
positive on both scales.


DELPHI CORP: Wants Plan-Filing Period Further Extended to May 31
----------------------------------------------------------------
Delphi Corp. and its debtor-affiliates ask the U.S. Bankruptcy
Court for the Southern District of New York to further extend
their exclusive periods to:

    (a) file a plan of reorganization through and including
        May 31, 2008; and

    (b) solicit acceptance of that plan through and including
        July 31, 2008.

As reported in the Troubled Company Reporter on Jan. 28, 2008,
the Court confirmed the Debtors' First Amended Joint Plan of
Reorganization.  The Debtors anticipate having the Plan become
effective as soon as reasonably practicable.  Out of an
abundance of caution, however, the Debtors are seeking an
extension of the Exclusive Periods to prevent any lapse in
exclusivity.

A further extension of the Exclusive Periods is justified by the
significant progress the Debtors have made toward emerging from
Chapter 11, John Wm. Butler, Jr., Esq., at Skadden, Arps, Slate,
Meagher & Flom LLP, in Chicago, Illinois, relates.  The Debtors,
he notes, have developed, solicited, and achieved confirmation
of a reorganization plan that was accepted by 81% of their
creditors and 78% of their stockholders.  Upon the effective
date of the Plan, the Debtors' comprehensive settlements with
General Motors Corp., Delphi's U.S. labor unions, and other
settling parties will be implemented.  "All of this was the
result of diligent work by the Debtors over many months," Mr.
Butler avers.

The Debtors' efforts, according to Mr. Butler, were affected by
severe dislocations in the capital markets that began late in
the second quarter of 2007 and that have continued through the
first quarter of 2008.  "This turbulence in the capital markets
was a principal cause of the delay in the Debtors' emergence
from Chapter 11 before the end of 2007," he explains.  The
continued turbulence constitutes an additional factor justifying
a further extension of the Exclusive Periods, he asserts.

Although the Court has confirmed the Plan, the Debtors must
still procure fully committed exit financing that will support
implementation of the Plan and consummate all of the
transactions contemplated by the Plan and Delphi's investment
agreement with its Plan investors.  The tasks of securing exit
financing and satisfying all other conditions to the
effectiveness of the Plan and Investment Agreement are
significant for both their magnitude and complexity and also
justify an extension of the Exclusive Periods, Mr. Butler adds.

The size and complexity of the Debtors' Chapter 11 cases alone
constitute sufficient cause to extend the Exclusive Periods,
Mr. Butler points out.

The Debtors' request for an extension of the Exclusive Periods
is not a negotiation tactic, Mr. Butler clarifies.  He assures
the Court that the Debtors are paying their bills as they come
due, including the statutory fees paid quarterly to the U.S.
Trustee.

                        About Delphi Corp.

Headquartered in Troy, Michigan, Delphi Corporation (PINKSHEETS:
DPHIQ) -- http://www.delphi.com/-- is the single supplier of
vehicle electronics, transportation components, integrated
systems and modules, and other electronic technology.  The
company's technology and products are present in more than
75 million vehicles on the road worldwide.  Delphi has regional
headquarters in Japan, Brazil and France.

The company filed for chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represents the Official Committee of Unsecured Creditors.  As of
March 31, 2007, the Debtors' balance sheet showed
US$11,446,000,000 in total assets and US$23,851,000,000 in total
debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court confirmed the Debtors' First Amended Plan on
Jan. 25, 2008.

(Delphi Bankruptcy News; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)

                            *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 16, 2008, Moody's Investors Service assigned ratings to
Delphi Corporation for the company's financing for emergence
from Chapter 11 bankruptcy protection: Corporate Family Rating
of (P)B2; US$3.7 billion of first lien term loans, (P)Ba3; and
US$0.825 billion of 2nd lien term debt, (P)B3.  In addition, a
Speculative Grade Liquidity rating of SGL-2 representing good
liquidity was assigned.  The outlook is stable.

As reported in the Troubled Company Reporter on Jan. 11, 2008,
Standard & Poor's Ratings Services expects to assign its 'B'
corporate credit rating to Troy, Michigan-based automotive
supplier Delphi Corp. upon the company's emergence from Chapter
11 bankruptcy protection, which may occur by the end of the
first quarter of 2008.  S&P expects the outlook to be negative.
In addition, Standard & Poor's expects to assign these
issue-level ratings: a 'B+' issue rating (one notch above the
corporate credit rating), and '2' recovery rating to the
company's proposed US$3.7 billion senior secured first-lien term
loan; and a 'B-' issue rating (one notch below the corporate
creditrating), and '5' recovery rating to the company's proposed
US$825 million senior secured second-lien term loan.


DELPHI CORP: Ct. Extends Effectiveness of PBGC Letters of Credit
----------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
has authorized Delphi Corp. and its debtor-affiliates to:

    (a) extend the effectiveness of the letters of credit issued
        by Delphi to the Pension Benefits Guaranty Corp. until
        April 15, 2008; and

    (b) increase the aggregate amount outstanding under the PBGC
        Letters of Credit by an additional US$10 million.

As reported in the Troubled Company Reporter on May 22, 2007,
the Debtors sought and obtained the Court's permission to
perform under two sets of pension funding waivers issued by the
United States Internal Revenue Service and provide the PBGC with
letters of credit in connection with the IRS Waivers.  The PBGC
Letters of Credit may be drawn upon by the PBGC in favor of the
Debtors' pension plans in the event the conditions set forth in
the IRS Waivers are not satisfied.

The IRS Waivers' main purpose was to facilitate the transfer of
certain of the Debtors' hourly pension obligations to General
Motors Corp. under Section 414(l) of the Internal Revenue Code,
as set forth in the Debtors' confirmed Joint Plan of
Reorganization.

Under the First Waivers, the IRS waived the minimum funding
requirements for Delphi's pension plan year ended Sept. 30,
2006.  Under the Second Waivers, the IRS temporarily waived
Delphi's minimum funding obligations concerning Delphi's hourly
pension plan for the pension plan year ended Sept. 30, 2007.

In return, the Debtors committed to make:

    * an accelerated US$10 million contribution to the Delphi
      Hourly Plan upon their emergence from Chapter 11;

    * a US$10 million contribution to the Hourly Plan as a
      partial prepayment of Delphi's post-emergence minimum
      funding obligations; and

    * a US$20 million contribution to the Hourly Plan within five
      days after the Effective Date of their Joint Plan of
      Reorganization.

By their terms, the IRS Waivers will expire if Delphi has not
emerged from Chapter 11 by Feb. 29, 2008.  If the Waivers are
permitted to expire, the Debtors may face an excise tax claim
aggregating more US$1.4 billion for the pension plan year ended
Sept. 30, 2006, John Wm. Butler, Jr., Esq., at Skadden, Arps,
Slate, Meagher & Flom LLP, in Chicago, Illinois, notes.  In
addition, for the pension plan year ended Sept. 30, 2007, the
Debtors will have to make redundant cash contributions that will
result in projected overfunding of the Hourly Plan.

The Debtors are unlikely to emerge from Chapter 11 by Feb. 29,
2008.  Consequently, the Debtors initiated discussions with the
PBGC to extend the expiration date for the IRS Waivers.

After arm's-length negotiations, the PBGC agreed to recommend to
the IRS that the IRS Waivers be extended from Feb. 29, 2008,
through and including March 31, 2008, in exchange for (i) the
extension of the PBGC Letters of Credit from March 15, 2008,
through and including April 15, 2008; and (ii) a US$10 million
increase in the aggregate amount outstanding under the Letters
from US$150 million to US$160 million.

On Feb. 27, 2008, IRS and the PBGC extended the IRS Waivers
until March 31, 2008, Delphi Corp. vice president and chief
restructuring officer John D. Sheehan disclosed in a regulatory
filing with the U.S. Securities and Exchange Commission.

The PBGC Settlement is fair, equitable, in the best interests of
the Debtors and their estates, Mr. Butler avers.  He maintains
that the Settlement will assist the Debtors in efficiently
effecting the Section 414(l) Transfer of the Hourly Plan to GM,
and allow Delphi to emerge from Chapter 11 successfully.

                       About Delphi Corp.

Headquartered in Troy, Michigan, Delphi Corporation (PINKSHEETS:
DPHIQ) -- http://www.delphi.com/-- is the single supplier of
vehicle electronics, transportation components, integrated
systems and modules, and other electronic technology.  The
company's technology and products are present in more than
75 million vehicles on the road worldwide.  Delphi has regional
headquarters in Japan, Brazil and France.

The company filed for chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represents the Official Committee of Unsecured Creditors.  As of
March 31, 2007, the Debtors' balance sheet showed
US$11,446,000,000 in total assets and US$23,851,000,000 in total
debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court confirmed the Debtors' First Amended Plan on
Jan. 25, 2008.

(Delphi Bankruptcy News; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)

                            *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 16, 2008, Moody's Investors Service assigned ratings to
Delphi Corporation for the company's financing for emergence
from Chapter 11 bankruptcy protection: Corporate Family Rating
of (P)B2; US$3.7 billion of first lien term loans, (P)Ba3; and
US$0.825 billion of 2nd lien term debt, (P)B3.  In addition, a
Speculative Grade Liquidity rating of SGL-2 representing good
liquidity was assigned.  The outlook is stable.

As reported in the Troubled Company Reporter on Jan. 11, 2008,
Standard & Poor's Ratings Services expects to assign its 'B'
corporate credit rating to Troy, Michigan-based automotive
supplier Delphi Corp. upon the company's emergence from Chapter
11 bankruptcy protection, which may occur by the end of the
first quarter of 2008.  S&P expects the outlook to be negative.
In addition, Standard & Poor's expects to assign these
issue-level ratings: a 'B+' issue rating (one notch above the
corporate credit rating), and '2' recovery rating to the
company's proposed US$3.7 billion senior secured first-lien term
loan; and a 'B-' issue rating (one notch below the corporate
creditrating), and '5' recovery rating to the company's proposed
US$825 million senior secured second-lien term loan.


GENERAL MOTORS: February 2008 Sales Drop 13% Compared to 2007
-------------------------------------------------------------
General Motors Corp. dealers in the United States delivered
270,423 vehicles in February, a decrease of 13% compared with an
unusually strong February last year.

"Our new launch vehicles, including the award-winning Chevrolet
Malibu and Cadillac CTS, had a sensational month, as did the
Chevrolet Cobalt, Saturn Aura, and the Pontiac G6," Mark LaNeve,
vice president, GM North America Vehicle Sales, Service and
Marketing, said.  "Most importantly, despite tough market
conditions, we anticipate our total retail vehicle sales share
to have remained flat for the first two months of the year
compared to 2007.  We are encouraged by our performance in the
key passenger car categories, and while the overall market for
trucks is challenging, we anticipate holding our share for full-
size pickups and utilities."

Truck sales declined 20% compared with a year ago.

GM's fuel-efficient cars saw strong growth.  Chevrolet Cobalt
total sales were up 56% with retail up 24%; Pontiac G6 was up 50
percent total and 6% retail; and Buick LaCrosse total sales were
up 12% compared with February 2007.

The Buick Enclave, GMC Acadia and Saturn Outlook together
accounted for more than 11,000 vehicle sales in the month, an
increase of 94% compared with the same month last year.  Outlook
sales were up 15%; Acadia sales increased 39%; and there were
more than 3,800 Buick Enclaves sold.

Also of note, the Chevrolet Equinox compact crossover utility
had total sales of more than 8,600 vehicles for a 15% increase,
and a retail sales increase of 8% compared to a year ago.

"Our sales increase at Cadillac shows the power of new products
to attract consumers -- even in a tough market," Mr. LaNeve
added.  "Additionally, Saturn Outlook had a 15 percent total
sales increase, illustrating that vehicle's contribution to the
mid-utility crossover segment performance.  We remain focused on
offering vehicles that have industry-leading value, great fuel
economy and the best warranty coverage of any full-line
automaker."

                      Certified Used Vehicles

February 2008 sales for all certified GM brands, including GM
Certified Used Vehicles, Cadillac Certified Pre-Owned Vehicles,
Saturn Certified Pre-Owned Vehicles, Saab Certified Pre-Owned
Vehicles, and HUMMER Certified Pre-Owned Vehicles, were 42,305
vehicles, down 1% from last February.  Year-to-date sales are
79,974 vehicles, down 7% from the same period last year.

GM Certified Used Vehicles, the industry's top-selling certified
brand, posted February sales of 37,716 vehicles, equivalent to
last February's results.  Cadillac Certified Pre-Owned Vehicles
sold 3,270 vehicles, up 5% from February 2007.  Saturn Certified
Pre-Owned Vehicles sold 706 vehicles, down 44%.  Saab Certified
Pre-Owned Vehicles sold 458 vehicles, down 15%, and HUMMER
Certified Pre-Owned Vehicles sold 155 vehicles, up 52%.

"Certified sales are off to a solid start in the first quarter,"
Mr. LaNeve said.  "February sales for GM Certified Used Vehicles
were up 13% from last month, but equivalent year over year to a
strong sales performance in February 2007.  Cadillac Certified
Pre-Owned Vehicles posted a 5% sales increase over last
February, while Hummer Certified Pre-Owned Vehicles rose 52%."

In February, GM North America produced 350,000 vehicles (129,000
cars and 221,000 trucks).  This is up 1,000 units or less than
1% compared to February 2007 when the region produced 349,000
vehicles (130,000 cars and 219,000 trucks).  Production totals
include joint venture production of 22,000 vehicles in February
2008 and 20,000 vehicles in February 2007.

The region's 2008 first-quarter production forecast remains
unchanged at 965,000 vehicles (357,000 cars and 608,000 trucks).
Additionally, GM North America's initial 2008 second-quarter
production forecast is set at 1.08 million vehicles (408,000
cars and 672,000 trucks), down 62,000 units or 5% from second-
quarter 2007 actuals.  In the second-quarter of 2007 the region
produced 1.142 million vehicles (402,000 cars and 740,000
trucks).

                            About GM

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM employs
about 266,000 people around the world and manufactures cars and
trucks in 35 countries, including the United Kingdom, Germany,
France, Russia, Brazil and India.  In 2007, nearly 9.37 million
GM cars and trucks were sold globally under the following
brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden,
HUMMER, Opel, Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's
OnStar subsidiary is the industry leader in vehicle safety,
security and information services.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 28, 2008, Fitch Ratings affirmed the Issuer Default
Rating of General Motors at 'B', with a Rating Outlook Negative.

As reported in the Troubled Company Reporter on Nov. 9, 2007,
Moody's Investors Service affirmed its rating for General Motors
Corporation (B3 Corporate Family Rating, Ba3 senior secured,
Caa1 senior unsecured and SGL-1 Speculative Grade Liquidity
rating) but changed the outlook to Stable from Positive.  In an
environment of weakening prospects for US auto sales GM has
announced that it will take a non-cash charge of $39 billion for
the third quarter of 2007 related to establishing a valuation
allowance against its deferred tax assets in the US, Canada and
Germany.

As reported in the Troubled Company Reporter on Oct. 23, 2007,
Standard & Poor's Ratings Services affirmed its 'B' corporate
credit rating and other ratings on General Motors Corp. and
removed them from CreditWatch with positive implications, where
they were placed Sept. 26, 2007, following agreement on the new
labor contract.  The outlook is stable.


GENERAL MOTORS: Hires Frederick Henderson as President and COO
--------------------------------------------------------------
Rick Wagoner, General Motors Corp. chairman and chief executive
officer, disclosed that the board of directors approved these
appointments, effective immediately, at its meeting yesterday:

    * Frederick (Fritz) A. Henderson, 49, vice chairman and chief
      financial officer, is elected president and chief operating
      officer;

    * Ray Young, 46, currently group vice president - finance, is
      elected executive vice president and chief financial
      officer, replacing Mr. Henderson; and

    * Thomas G. Stephens, 59, currently group vice president,
      global powertrain and global quality, is also elected
      executive vice president.

"There's a lot going on at GM today," Mr. Wagoner said.
"Besides our massive business transformations in the U.S. and
Europe, we're experiencing explosive growth in emerging markets
-- in some cases, in countries where GM doesn't have a long
history.  The industry is in the midst of the largest technology
transformation it has ever faced.  And GM continues to implement
a truly global automotive operating structure.

"It's an opportune time to further bolster our top leadership
structure; specifically, it's the right time to reestablish GM's
traditional President and Chief Operating Officer position," Mr.
Wagoner continued.  "And Fritz Henderson is the right person to
assume this role. He's had a broad range of experiences in
leading three of our regions and in a number of other GM
businesses over the years, and he's made a tremendous
contribution in each role.  I look forward to working closely
with Fritz and Bob Lutz, who so ably leads our global product
development team, as we continue to implement the plan to
transform General Motors for our second 100 years.

"Ray Young brings a wealth of finance and operating experience
to the CFO role, including leading GM do Brasil to record
business results in his most recent assignment.  Tom Stephens'
promotion recognizes the huge role that advanced propulsion
strategies will play in GM's future, as well as Tom's strong
leadership and technical skills," Mr. Wagoner added.

"GM is in the process of a remarkable transformation under Rick
Wagoner's strong leadership. Tremendous progress has been made,"
George Fisher, presiding director of the GM board of directors,
commented.  "The promotion of Fritz Henderson to president and
chief operating officer, along with Bob Lutz's continued success
at transforming our global product activities, and the
promotions of Ray Young and Tom Stephens, will further solidify
our leadership structure for today and the future.  The GM board
is excited about the direction that GM is headed and believes
these executive appointments will further support our business
strategy and the work that needs to be done to achieve our
growth, technology leadership and financial objectives."

Mr. Henderson and Young will report to Mr. Wagoner.  Reporting
to Mr. Henderson, in addition to Mr. Stephens, will be the four
regional presidents; Troy Clarke, GM North America; Carl-Peter
Forster, GM Europe; Maureen Kempston Darkes, GM Latin America,
Africa and Middle East; and Nick Reilly, GM Asia-Pacific.  Also
reporting to Mr. Henderson will be Bo Andersson, group vice
president, global purchasing and supply chain, and Gary Cowger,
group vice president, global manufacturing and labor relations.
The remaining global functional leaders and Vice Chairman Bob
Lutz will continue to report to Mr. Wagoner.

                            About GM

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM employs
about 266,000 people around the world and manufactures cars and
trucks in 35 countries, including the United Kingdom, Germany,
France, Russia, Brazil and India.  In 2007, nearly 9.37 million
GM cars and trucks were sold globally under the following
brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden,
HUMMER, Opel, Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's
OnStar subsidiary is the industry leader in vehicle safety,
security and information services.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 28, 2008, Fitch Ratings affirmed the Issuer Default
Rating of General Motors at 'B', with a Rating Outlook Negative.

As reported in the Troubled Company Reporter on Nov. 9, 2007,
Moody's Investors Service affirmed its rating for General Motors
Corporation (B3 Corporate Family Rating, Ba3 senior secured,
Caa1 senior unsecured and SGL-1 Speculative Grade Liquidity
rating) but changed the outlook to Stable from Positive.  In an
environment of weakening prospects for US auto sales GM has
announced that it will take a non-cash charge of $39 billion for
the third quarter of 2007 related to establishing a valuation
allowance against its deferred tax assets in the US, Canada and
Germany.

As reported in the Troubled Company Reporter on Oct. 23, 2007,
Standard & Poor's Ratings Services affirmed its 'B' corporate
credit rating and other ratings on General Motors Corp. and
removed them from CreditWatch with positive implications, where
they were placed Sept. 26, 2007, following agreement on the new
labor contract.  The outlook is stable.


HUGHES NETWORK: Net Income Up 161% to US$50 Million in 2007
-----------------------------------------------------------
Hughes Communications, Inc. reported financial results for the
fourth quarter and year ended Dec. 31, 2007.  The company's
consolidated operations are currently classified into four
reportable segments: North America VSAT; International VSAT;
Telecom Systems; and Corporate and Other.  The North America
VSAT, International VSAT and Telecom Systems segments represent
all the operations of Hughes Network Systems, LLC, Hughes'
principal operating subsidiary.

                   Hughes Network Systems, LLC

"HNS delivered strong financial results in 2007," said president
and chief executive officer, Pradman Kaul.  "Revenues increased
by 13% over 2006 to US$970 million and our profitability in 2007
was also very strong.  Operating Income for the year was US$90
million, a growth of 56% over 2006; EBITDA* increased by 28% to
US$139 million in 2007 over 2006, and Net Income increased by
161% to US$50 million.  All of the segments showed robust
growth.  The major revenue growth contributors were the
consumer, international and the mobile satellite markets with
growth rates of 13%, 11% and 77% respectively in 2007 over 2006.
The consumer base grew to 379,900 subscribers at Dec. 31, 2007,
a growth of 16% over the subscriber base at Dec. 31, 2006.  Our
North America and International enterprise groups provided a
solid revenue base contributing in aggregate over half of HNS'
total revenue in 2007.  I am also very pleased to report that we
were awarded a record US$1.1 billion of new orders in 2007
representing a growth of 30% over 2006."

"These impressive full-year results were a result of sustained
quarterly performances, including a strong fourth quarter,"
continued Mr. Kaul.  "We grew fourth quarter 2007 Revenues by
15%, Operating Income by 39% and Net Income by 95% over the
fourth quarter of 2006.  The revenue growth engines in the
fourth quarter of 2007 were the consumer, international, and
mobile satellite markets with growth rates of 14%, 25% and 52%
respectively over the fourth quarter of 2006.  We were awarded
US$333 million of new orders in the fourth quarter of 2007,
including significant orders from Camelot, State Bank of India,
Best Western, Sherwin Williams, Walmart, Blockbuster, Hess, BP,
Harris and Hughes Telematics."

                       Selected Highlights:

    -- Hughes Network Systems, LLC accepted the in-orbit handover
       of the SPACEWAY(TM) 3 commercial communications satellite
       from Boeing. HNS will utilize the Boeing-built satellite
       to provide HughesNet(R) broadband satellite services
       throughout North America.  The satellite is currently
       going through the system testing phase and the company
       expects to commence service later in the first quarter of
       2008.

    -- Hughes Network Systems' wholly owned European subsidiary
       Hughes Network Systems Ltd. signed an amendment to the
       contract previously executed in August 2007 with U.K.
       lottery operator Camelot PLC for providing managed network
       services for over 27,000 lottery sites in the U.K.  The
       amendment extends the contract's term to 10 years and also
       provides additional functionality.  This brings the total
       value of the 10 year contract to over US$150 million
       making it the largest single order awarded to Hughes
       Network Systems in 2007.

    -- Hughes entered into a definitive agreement to acquire
       Helius, Inc., a portfolio company of Canopy Ventures. The
       acquisition will combine the skills of Helius, a
       recognized leader in providing business IPTV solutions for
       applications such as training, corporate communications
       and digital signage, with the extensive broadband
       networking experience and customer base of Hughes.  Hughes
       plans to deploy Helius' innovative IP video technologies
       to enhance its existing HughesNet service offerings.

    -- Hughes Network Systems signed an agreement with Dow
       Electronics to be a distributor of HughesNet satellite
       broadband Internet service in the Southeastern United
       States, home to many consumers who are not served by high-
       speed landline Internet providers. Under the terms of the
       agreement, Dow Electronics will market primarily to
       retailers in Florida, Alabama, Georgia, Mississippi,
       Louisiana, South Carolina, North Carolina, Arkansas,
       Tennessee, Puerto Rico and the U.S. Virgin Islands who
       will sell and install the HughesNet satellite broadband
       access service.

    -- Hughes Network Systems signed an agreement with CVS
       Systems, Inc. to be a distributor of HughesNet satellite
       broadband Internet service in the Midwest and Great Lakes
       region of the country, home to many consumers who are not
       served by high-speed landline Internet providers.  Under
       the terms of the agreement, CVS will market primarily to
       retailers in Illinois, Indiana, Kansas, Kentucky,
       Michigan, Missouri and Ohio who will sell and install the
       HughesNet satellite broadband access service.

    -- Hughes Network Systems' 9201 mobile satellite IP terminal,
       which operates over the Inmarsat Broadband Global Area
       Network system, was part of the CNN satellite
       newsgathering solution honored by the National Academy of
       Television Arts and Sciences with the Technology and
       Engineering Emmy award which was announced recently at the
       International Consumer
       Electronics Show in Las Vegas.

    -- Hughes' Brazilian service subsidiary was selected by Rede
       Smart, a Martins Group company, to provide HughesNet
       broadband satellite managed network services to Rede
       Smart's 930 grocery stores throughout Brazil.

    -- Hughes Network Systems signed EMBARQ(TM) to be a reseller
       of HughesNet broadband satellite Internet access.  EMBARQ
       has a comprehensive range of services designed to help
       businesses of all sizes be more productive and communicate
       with their customers.  EMBARQ's business customers in
       rural areas of the United States will now be provided with
       high-speed Internet access comparable to the services that
       are available in urban markets.

    -- Hughes India signed a contract with Comat Technologies to
       supply 10,000 broadband satellite terminals, together with
       its nationwide HughesNet satellite services and
       applications to be delivered at rural business centers
       across multiple states in India.  Comat is the premier e-
       governance organization in India, having more than a
       decade of experience working with government, public,
       private and multi-lateral organizations.

To summarize, Mr. Kaul said, "We are very pleased with the
strong and balanced financial results that we have delivered in
2007.  We are currently at an advanced stage in the in-orbit
system testing of SPACEWAY 3 and we are looking forward to
commencing service on SPACEWAY 3 by the end of this quarter.  We
expect that SPACEWAY 3 will provide us significant cost benefits
and also open up new revenue opportunities going forward in the
North American enterprise and consumer markets.  We have a
robust orders backlog coming into 2008 as a result of an
outstanding new orders performance in 2007.  All of these have
positioned HNS very well for 2008 and beyond."

Commenting on Hughes' financial performance, executive vice
president and chief financial officer, Grant Barber said, "Our
revenue and profitability showed strong growth in the fourth
quarter of 2007.  For the twelve months ended December 2007,
Hughes delivered earnings per share of US$2.26 compared to a
loss of US$2.43 in the same period in 2006, both on a fully
diluted basis.  We also generated cash from operations of US$93
million in 2007 and closed the year with a healthy consolidated
cash and marketable securities position of US$151 million."

                    About Hughes Network Systems

Headquartered in Germantown, Maryland, Hughes Network Systems
LLC (NASDAQ:HUGH) -- http://www.hughes.com/-- a wholly owned
subsidiary of Hughes Communications Inc., provides broadband
satellite networks and services for large enterprises,
governments, small businesses, and consumers.  Hughes offers
complete turnkey solutions, including program management,
installation, training, maintenance and support-for professional
and rapid deployment anywhere, worldwide.  The company owns and
operates a global base of HughesNet shared hub services
throughout the United States, Brazil, China, Europe, and India.
In Europe, Hughes maintains operations facilities and/or sales
offices in Germany, U.K., Italy, Czech Republic, and Russia.

                           *     *     *

Moody's Investors Service assigned a B1 rating to Hughes Network
Systems LLC's proposed US$115 million senior unsecured term
loan, due 2014.  In addition, the ratings agency affirmed the B1
corporate family rating, the B1 rating on the existing US$450
million senior notes due 2014 and the Ba1 rating on the US$50
million senior secured revolving credit facility.  The proceeds
of the new term loan will be used primarily to fund capital
expenditures and for general corporate purposes.


HUGHES NETWORK: Completes Software Installation at Carrefour
------------------------------------------------------------
Hughes Network Systems, LLC has completed the installation of a
HughesNet(R) Managed Service Solution connecting 108 Hypermarket
store locations of Carrefour in Brazil to deliver Carrefour TV.
CerejaPRN, the largest in-store media company in Brazil,
selected Hughes Network in late 2007 to connect all Carrefour
stores via its nationwide HughesNet broadband satellite service.

Every store is now equipped with flat screen panels in strategic
locations with high consumer traffic, such as the produce and
meat sections, and at cashier stations.  Both editorial content
and advertising from Carrefour and other advertisers will be
delivered to these locations.  Selected partners will provide
this new in-store media solution with beauty, cuisine, and
travel tips, as well as technology and sports news, to enhance
the shopping experience for customers, 24 hours a day, 7 days a
week.

"With its nationwide footprint and high quality of service,
Hughes was the only company able to meet all our operational
requirements and cost-effectively enable our project," said
CerejaPRN's operations director, Flavia Sampaio.  "HughesNet
two-way connectivity throughout Brazil also allows us to
proactively manage the entire service provided to Carrefour
remotely."

The HughesNet Digital Signage solution is capable of
simultaneously transmitting a large amount of content to every
point in the network and is bidirectional, meaning that each
remote point can receive and transmit information by satellite,
enabling CerejaPRN to monitor every Carrefour supermarket
remotely.  The HughesNet solution also provides advanced
reporting and reliability measures -- reassuring advertisers
that their messages are delivered to the point of purchase.

Hughes sales director in Brazil, Fabio Riccetto said, "Retailers
can use our HughesNet solution to enhance customer satisfaction,
differentiate the shopping experience, and as a result, increase
sales.  We are excited to be selected and integrated with
CerejaPRN's retail media solutions, which validates our ability
to deliver superior network coverage and quality cost-
effectively."

CerejaPRN is a joint-venture between Cereja Digital, a leading
out-of-home digital media company in Brazil, and Premier Retail
Networks, a wholly-owned subsidiary of Thomson SA.

                  About Premier Retail Networks

Premier Retail Networks, a wholly-owned subdiary of Thomson SA
(NYSE: TMS) has 300 million viewers every month and is the
worldwide leader in retail media networks, will lead the
development of this new approach to advertizing.  In 2007, the
company extended the reach of its in-store media networks to
various countries including Poland, China and now Brazil in
conjunction with Cereja Digital.  Its in-store media networks
passed the 300 million viewer threshold.  In Brazil surveys show
that consumers make 75% of their purchase decisions at the POP.

                    About Carrefour Network

Carrefour's new digital retail media network will include three
channels, each one with specific configuration and lineup.  The
Storewide channel, placed at higher traffic locations and
primary corridors, will be used to inform and entertain
consumers while motivating them to visit other store sections.
The Checkout channel will provide customers with entertainment
and information

                  About Hughes Network Systems

Headquartered in Germantown, Maryland, Hughes Network Systems
LLC (NASDAQ:HUGH) -- http://www.hughes.com/-- a wholly owned
subsidiary of Hughes Communications Inc., provides broadband
satellite networks and services for large enterprises,
governments, small businesses, and consumers.  Hughes offers
complete turnkey solutions, including program management,
installation, training, maintenance and support-for professional
and rapid deployment anywhere, worldwide.  The company owns and
operates a global base of HughesNet shared hub services
throughout the United States, Brazil, China, Europe, and India.
In Europe, Hughes maintains operations facilities and/or sales
offices in Germany, U.K., Italy, Czech Republic, and Russia.

                           *     *     *

Moody's Investors Service assigned a B1 rating to Hughes Network
Systems LLC's proposed US$115 million senior unsecured term
loan, due 2014.  In addition, the ratings agency affirmed the B1
corporate family rating, the B1 rating on the existing US$450
million senior notes due 2014 and the Ba1 rating on the US$50
million senior secured revolving credit facility.  The proceeds
of the new term loan will be used primarily to fund capital
expenditures and for general corporate purposes.


JAPAN AIRLINES: Plans New Share Issuance to Upgrade Planes
----------------------------------------------------------
Japan Airlines Corp. intends to sell new preferred shares this
month in order to raise about JPY150 billion that will be used
for the upgrade of its fleet, the Asahi Shimbun reports.

The issuance is in line with the airline's JPY379 billion,
three-year plan to buy sixty-five, fuel-efficient aircraft,
published reports say.  There are fourteen companies, which are
expected to buy the new shares, including UBS AG, Mizuho
Corporate Bank Ltd., and Bank of Tokyo.

Asahi Shimbun says that this move is aimed at keeping JAL
competitive with its rival All Nippon Airways Co.

"Selling preferred shares will give the airline a necessary
injection of funds," Osuke Itazaki, an analyst in Tokyo at
Credit Suisse Group, told Bloomberg.  "Since they will need to
pay dividends on the stock it may not be the best thing for
other shareholders in the short-term."

Bloomberg News adds that Asia's "most indebted carrier" will
issue the shares by March 17, where part of the proceeds will be
used to refinance debt.  The airline has JPY28 billion of bonds
that are coming due this year.

                      About Japan Airlines

Tokyo-based Japan Airlines International Company, Limited --
http://www.jal.com/en/-- was created as a result of the merger
of Japan Airlines and Japan Air Systems to boost domestic
coverage.  Japan Airlines flies to the United States, Brazil and
France.

                         *     *     *

As reported on Feb. 9, 2007, Standard & Poor's Ratings Services
affirmed its 'B+' long-term corporate credit and issue ratings
on Japan Airlines Corp. (B+/Negative/--) following the company's
announcement of its new medium-term management plan.  S&P said
the outlook on the long-term corporate credit rating is
negative.

As reported on Oct. 10, 2006, Moody's Investors Service affirmed
its Ba3 long-term debt ratings and issuer ratings for both Japan
Airlines International Co., Ltd and Japan Airlines Domestic Co.,
Ltd.  The rating affirmation is in response to the planned
restructuring of the Japan Airlines Corporation group on Oct. 1,
2006 with the completion of the merger of JAL's two operating
subsidiaries, JAL International and Japan Airlines Domestic.
JAL International will be the surviving company.  Moody's said
the rating outlook is stable.

Fitch Ratings Tokyo analyst Satoru Aoyama said that the
company's debt obligations and expenses for new aircraft have
placed it in an unfavorable financial position.  Fitch assigned
a BB- rating on the company, which is three notches lower than
investment grade.


JAPAN AIRLINES: Discloses Revival Plan for 2008 to 2010
-------------------------------------------------------
The JAL Group has released its Medium Term Revival Plan for
FY2008-2010, the three fiscal years from April 1, 2008, to
March 31, 2011.  Building on corporate restructuring carried out
over the past years, the JAL Group will continue focusing its
energy and resources on the creation of a business foundation
capable of stable growth and profit generation in any
environment.  The Group will gear itself up to take full
advantage of the huge business opportunity presented by airport
expansion in the Tokyo metropolitan area in 2010, which includes
increases in slots at Haneda and Narita airports, and the
internationalization of Haneda Airport.

The FY2008-2010 JAL Group Medium Term Plan continues and expands
on the implementation of core elements outlined in previous
corporate plans, whilst taking into consideration recent changes
in the business environment such as the unabated rise in fuel
prices; concerns of a fall in global demand resulting from the
knock-effects of the sub-prime loan crisis; and fierce
competition expected in the air transportation business both in
Japan and abroad.

The airline group will continue fleet downsizing and renewal by
replacing older aircraft with new mostly medium and small-size
aircraft to increase competitiveness and reduce costs.  To build
a more profit-focused network, it will carry out further route
restructuring by shifting to high profit, high growth routes and
continue increasing the number of flights operated by low
overheads airlines subsidiaries: JALways, JAL Express and J-AIR.
‘Premium strategies’ aimed at wooing business and top-tier
travelers through product and service enhancement and
development will be expanded.  Another key feature of the plan
will be expanded group-wide cost reform, including increasing by
10% the productivity of the workforce a year ahead of schedule.

Following this pathway has already yielded positive results, as
indicated by JAL Group’s upward revision of its forecast
operating income for FY2007, the year ending March 31, 2008.
The Group originally forecast a JPY35 billion income for FY2007,
but this was increased to JPY48 billion when the results for the
first half of the year were announced on November 6, 2007.

As a result of early successes in restructuring its business,
the JAL Group in the FY2008-2010 revival plan has increased its
operating income target for FY2010 to JPY96 billion up from the
JPY88 billion target set in last year’s plan.

                  Preferred Share Issuance

Furthermore, it was decided at a JAL Corporation board meeting
to issue to 14 companies approximately JPY150 billion of shares
of preferred stock by means of a third-party allocation.   The
capital generated will be used to bolster the JAL Group’s
business restructuring activities outlined in the Medium Term
Revival Plan, helping to speed up, for example, fleet renewal
and product and service quality enhancements.

The FY2008-2010 Medium Term Revival Plan focuses on these six
points:

    1. Maintain flight safety

Following on from FY2007, the entire Group will continue
nurturing a safety culture and strengthening its safety
management systems to ensure that the highest levels of flight
safety, the foundation and social responsibility of the JAL
Group, are maintained at all times.

    2. Improve Business Profitability

The JAL Group aims to increase profitability in all air
transport business segments through fleet renewal and
downsizing, matching supply better to demand whilst decreasing
costs; concentrating resources on high growth high profit
routes; increasing the operations of low overhead Group
subsidiary airlines JALways, JAL Express and J-AIR; and
employing ‘premium strategies’ targeted at business and top-tier
travelers.

a) Fleet Strategy: Over the period of the plan, JAL will retire
    46 aircraft from its fleet such as classic-type 747 and MD-81
    aircraft, at the same time as introducing 65 more fuel-
    efficient, mainly small and medium-size aircraft to its fleet
    including the state-of-the-art Boeing 787 Dreamliner.

b) Low Overheads Subsidiary Airline Strategy: JAL will expand
    the use on international and domestic routes of Group
    subsidiary airlines: JALways, JAL Express, J-AIR.  These
    three subsidiary airlines offer the same level of service as
    JAL, but with approximately 10% lower overheads.  JALways
    operates on international routes, primarily leisure and Asia
    business routes.  JAL Express currently serves domestic Japan
    routes, but in FY2009 will start operating 737-800 aircraft
    on international routes, primarily China.  J-AIR operates CRJ
    regional jets in Japan and its operations will expand with
    the introduction of Embraer 170 to the JAL fleet in FY2008.

c) Route Strategy: JAL will concentrate resources on high
    growth, high profit markets, adjust schedules and flight
    frequency to match demand and increase customer convenience
    whilst exploring opportunities in new markets where business
    demand is strong.

d) Premium Strategies: Using effective sales channels, JAL aims
    to maximize revenue by employing premium strategies which
    appeal primarily to high yield business and top-tier
    travelers. Responding to customer feedback and changes in the
    market, the airline group will continue creating products and
    services of the highest quality.

    3. Personnel Cost Reduction & Workforce Productivity
       Improvement

In FY2007, JAL initiated a bold review of its work content and
work processes, work form, manpower allocation and restructuring
of affiliated businesses. As this has progressed at a good pace,
JAL expects to achieve its target of a 10% increase in the
productivity of its workforce by the end of FY2008, one year
earlier than originally expected.

    4. Additional Personnel Cost Measures

Furthermore, by reviewing the wage system, JAL will continue to
reduce personnel costs - the Group’s biggest fixed expense -
resulting in a reduction in costs of 10 billion yen on a yearly
basis.

    5. Invest in Human Assets

The JAL Group will strengthen its operational processes and
structure, building a system in which staff can develop a strong
awareness of safety and customer opinion, and are able to
acquire techniques and know-how through training.

    6. Global Environmental Measures

For more than 15 years, the JAL Group has been implementing a
variety of measures that are helping group-wide to reduce and
offset the impact its business activities have on the
environment. JAL will continue to fulfill its obligation to the
environment and society. The JAL Group has been investing in
more fuel-efficient aircraft and engines to reduce the CO2
emissions of its fleet; helping to monitor greenhouse gases in
the upper atmosphere with specially developed air-sampling
equipment fitted on aircraft; and has been conducting a wide
range of recycling programs and air and noise pollution
reduction measures, just to name a few of the environmental
activities the Group has been involved in.

                        About Japan Airlines

Tokyo-based Japan Airlines International Company, Limited --
http://www.jal.com/en/-- was created as a result of the merger
of Japan Airlines and Japan Air Systems to boost domestic
coverage.  Japan Airlines flies to the United States, Brazil and
France.

                         *     *     *

As reported on Feb. 9, 2007, Standard & Poor's Ratings Services
affirmed its 'B+' long-term corporate credit and issue ratings
on Japan Airlines Corp. (B+/Negative/--) following the company's
announcement of its new medium-term management plan.  S&P said
the outlook on the long-term corporate credit rating is
negative.

As reported on Oct. 10, 2006, Moody's Investors Service affirmed
its Ba3 long-term debt ratings and issuer ratings for both Japan
Airlines International Co., Ltd and Japan Airlines Domestic Co.,
Ltd.  The rating affirmation is in response to the planned
restructuring of the Japan Airlines Corporation group on Oct. 1,
2006 with the completion of the merger of JAL's two operating
subsidiaries, JAL International and Japan Airlines Domestic.
JAL International will be the surviving company.  Moody's said
the rating outlook is stable.

Fitch Ratings Tokyo analyst Satoru Aoyama said that the
company's debt obligations and expenses for new aircraft have
placed it in an unfavorable financial position.  Fitch assigned
a BB- rating on the company, which is three notches lower than
investment grade.


JAPAN AIRLINES: Moody's Changes Ba3 Rating Outlook to Positive
--------------------------------------------------------------
Moody's Investors Service has changed to positive from stable
the rating outlook for the Ba3 long-term debt rating and issuer
rating on Japan Airlines International Co., Ltd.  The outlook
change reflects Moody's view that JALI is likely to improve its
cash flow generation and strengthen its financial profile over
the intermediate term, despite stagnant airline passenger demand
and ongoing price hikes for aircraft fuel.

Moody's also believes that the JAL group's financial profile is
likely to be improved by its recent announcement of a planned
issuance of new preferred stocks, to raise up to JPY153.5
billion, by the end of March 2008.

JAL group aims at concentrating on individual high-price
passengers to increase the unit revenue.  The group also has
been executing its business strategy of restructuring its
aircraft fleet and route network to reduce overall fixed costs.
Moody's also notes that the group has also raised fuel
surcharges on several occasions, successfully shifting the
burden of more expensive aircraft fuel onto its passengers.

Moody's believes that JAL group's price initiatives have been
facilitated by the company's stable and strong position in the
domestic market, as one of the two oligopolistic airline groups
-- JAL group and All Nippon Airways Co., Ltd. (Baa3).

JAL group's operating profit for the nine months ended December
2007 jumped to JPY82.5 billion from an operating loss of
JPY5.8 billion for the same period of the previous year.  In
Moody's opinion, the group's cost reduction measures taken place
so far has contributed to its reforms of cost structure.

JAL group announced its new business plan on February 29, 2008,
including a capital injection from major creditor banks, trading
companies and oil companies, of up to JPY153.5 billion.  The
group has announced that the new capital is for the purchase of
cost-effective new aircraft for fleet restructuring, and that
cash flow from operation and asset disposals will be used for
debt reduction.  This will contribute to further improve its
cost structure and financial profile over the medium term.

Moody's also notes that the allocation of the new capital to all
the major creditor banks, including government-related financial
institutions, implies that the relationship between JAL group
and the Japanese government remains firm.

Headquartered in Tokyo, Japan Airlines International Co., Ltd.
is the country's largest airline company, fully owned by Japan
Airlines Corporation.

                         *     *     *

As reported on Feb. 9, 2007, Standard & Poor's Ratings Services
affirmed its 'B+' long-term corporate credit and issue ratings
on Japan Airlines Corp. (B+/Negative/--) following the company's
announcement of its new medium-term management plan.  S&P said
the outlook on the long-term corporate credit rating is
negative.

Fitch Ratings Tokyo analyst Satoru Aoyama said that the
company's debt obligations and expenses for new aircraft have
placed it in an unfavorable financial position.  Fitch assigned
a BB- rating on the company, which is three notches lower than
investment grade.


POLYPORE INT'L: Buys All of Microporous Stock for US$76 Million
---------------------------------------------------------------
Polypore International Inc., through its subsidiaries, Daramic,
LLC and Daramic Acquisition Corporation, has purchased 100% of
the stock of Microporous Holding Corporation, the parent company
of Microporous Products L.P., from Industrial Growth Partners II
L.P. and other stockholders for total consideration of
approximately US$76 million.  The acquisition was funded with a
combination of cash, assumption of debt and borrowings under
Polypore's existing credit facility.

Daramic, a global leader in the transportation and industrial
battery separator market, manufactures a broad range of high-
performance battery separator membranes.  The acquisition of
Microporous adds rubber-based battery separator technology to
the Daramic product line.  This acquisition broadens Polypore's
participation in the deep-cycle industrial battery market (e.g.
golf cart and stationary batteries), adds to the membrane
technology portfolio and product breadth, enhances service to
common customers and adds cost-effective production capacity.

                           2008 Guidance

As a result of its acquisition of Microporous, Polypore has
increased its financial guidance for fiscal 2008.  For the year
ending Jan. 3, 2009, Polypore now expects to achieve net sales
of US$580 million to US$605 million, Adjusted EBITDA of US$170
million to US$178 million and earnings per diluted share in the
range of US$0.90 to US$1.01.  These estimates are based on an
assumed full-year weighted average fully diluted share count of
40.7 million shares.  Additionally, the company estimates total
capital expenditures of approximately US$52 million in 2008.

Headquartered in Charlotte, North Carolina, Polypore
International Inc., develops, manufactures and markets
specialized polymer-based membranes used in separation and
filtration processes.  The company is managed under two business
segments.  The energy storage segment, which currently
represents approximately two-thirds of total revenues, produces
separators for lead-acid and lithium batteries.  The separations
media segment, which currently represents approximately one-
third of total revenues, produces membranes used in various
health care and industrial applications.  The company has
operations in Australia, Germany and Brazil.

                         *     *     *

In July 2007, Standard & Poor's Ratings Services revised its
outlook on Charlotte, N.C.-based Polypore International Inc. and
its subsidiary Polypore Inc. to positive from stable.  At the
same time, S&P affirmed its ratings on both companies, including
the 'B' corporate credit rating.


TELE NORTE: Will Launch Operations in Sao Paulo in July
-------------------------------------------------------
Tele Norte Leste Participacoes SA's Mobile Solutions Marketing
Manager Roni Wajnberg told Business News Americas that the
company will start operating in Sao Paulo by July with up to
BRL2 billion in investments.

Mr. Wajnberg commented to BNamericas, "We will start our 2G and
3G operations in Sao Paulo by mid-year [to] July.  We already
offer corporate voice and data solutions in this area but we
don't offer mobility yet.  We firmly intend to become the number
one player in the Sao Paulo mobile telephony market thanks to
our powerful convergence of services and to all the innovative
products we already offer in other states."

According to BNamericas, Tele Norte expects to eventually launch
operations outside Brazil but for now it wants to start up and
get established in Sao Paulo.

"At first we need to make it happen in Sao Paulo.  Later on we
will think of a national platform and, when we succeed at that,
we will invest in offering our services to other countries.  For
us to build a national platform, we need to have a national
company," Mr. Wajnberg told BNamericas.

Headquartered in Rio de Janeiro, Brazil, Tele Norte Leste
Participacoes SA -- http://www.telemar.com.br-- is a provider
of fixed-line telecommunications services in South America.  The
company markets its services under its Telemar brand name.  Tele
Norte's subsidiaries include Telemar Norte Leste SA; TNL PCS SA;
Telemar Internet Ltda.; and Companhia AIX Participacoes SA.

                        *     *     *

As reported on April 27, 2007, Standard & Poor's Ratings
Services placed on CreditWatch with negative implications the
'BB+' corporate credit rating on Tele Norte Leste Participacoes
S.A.  The creditwatch resulted from TmarPart's decision to buy
out its holding company's preferred shares.


* BRAZIL: FIDC Risks Due to Lack of Transparency, Fitch Says
------------------------------------------------------------
Fitch Ratings said in a special report that the risks associated
with Brazilian Fundos de Investimento em Direitos Creditorios
(FIDCs), which are backed by payroll deductible loans, are not
easily identified on performance information due to lack of
sufficient transparency in the surveillance reports.  The report
titled "Underestimated Risks in Brazilian Investment Funds
Backed by Payroll Deductible Loans" also details how Fitch is
weighing these risks in its credit analysis.

"The current competitive environment among banks and the need to
maintain portfolio growth has inserted elements of risk into
this product that need to be carefully analyzed," says Fitch's
Latin America Structured Finance Group Senior Director, Jayme
Bartling.  "Constant voluntary repurchases of problematic loans
by the lending banks are decreasing the levels of default ratios
and providing misleading credit enhancement levels," Mr.
Bartling added.

Although Fitch views the concept underlying the payroll
deductible loan product positively, as direct-deduction monthly
loan installments from the borrower's salary or benefits
eliminates the risk associated with a borrower's willingness to
pay, there are a number of additional risks, including:
operational problems and limitations for originating payroll
deductible loans; increased competition among lending financial
institutions; levels of renegotiated loans that present payment
problems due to operational issues; increasing prepayment and
refinancing rates; and capital structures of securitization
programs and the purchase rates used for acquisition of the
loans.

In 2006, institutions raised BRL1.7 billion in the local capital
markets through the securitization of payroll deductible loans.
In 2007, issuance totaled BRL1.1 billion.  This decline can be
explained by the current

environment of consolidation in the mid-sized banking sector and
the initial public offerings during the course of the year,
which diminished the need for financing using portfolio sales
via FIDCs.  Nevertheless, FIDCs are an important source of
funding to these banks, which should be back to tap the market
once the proceeds of the IPOs have been allocated to origination
of new assets and liquidity ratios tighten.  As of Jan. 31,
2008, investor exposure to FIDC issuances backed by payroll
deductible loans in Brazil, as measured by total fund net worth,
was BRL4.1 billion.



==========================
C A Y M A N  I S L A N D S
==========================


AMA INVESTMENT: Proofs of Claim Filing Ends on March 11
-------------------------------------------------------
AMA Investment Ltd.'s creditors have until March 11, 2008, to
prove their claims to David A.K. Walker and Lawrence Edwards,
the company's liquidators, or be excluded from receiving any
distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

AMA Investment's shareholder decided on Jan. 21, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

             David A.K. Walker and Lawrence Edwards
             PricewaterhouseCoopers
             Strathvale House, George Town
             Grand Cayman, Cayman Islands

Contact for inquiries:

             Jodi Jones
             P.O. Box 258, Grand Cayman KY1-1104
             Cayman Islands
             Telephone: (345) 914 8694
             Fax: (345) 945 4237


JANUS GLOBAL: Proofs of Claim Filing Deadline Is March 11
---------------------------------------------------------
Janus Global Funds SPC's creditors have until March 11, 2008, to
prove their claims to David A. K. Walker and Lawrence Edwards,
the company's liquidators, or be excluded from receiving any
distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

Janus Global's shareholder decided on Dec. 12, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

             David A. K. Walker and Lawrence Edwards
             Attn: Miguel Brown
             PwC Corporate Finance & Recovery (Cayman) Limited
             P.O. Box 258, Grand Cayman KY1-1104
             Cayman Islands
             Telephone: (345) 914 8665
             Fax: (345) 945 4237


JUST FOREX: Proofs of Claim Filing Is Until March 11
----------------------------------------------------
Just Forex Fund Limited's creditors have until March 11, 2008,
to prove their claims to David A. K. Walker and Lawrence
Edwards, the company's liquidators, or be excluded from
receiving any distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

Just Forex's shareholder decided on Dec. 16, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidators can be reached at:

             David A. K. Walker and Lawrence Edwards
             Attn: Miguel Brown
             PwC Corporate Finance & Recovery (Cayman) Limited
             P.O. Box 258, Grand Cayman KY1-1104
             Cayman Islands
             Telephone: (345) 914 8665
             Fax: (345) 945 4237


LATINVEST FUND: Proofs of Claim Filing Deadline Is March 11
-----------------------------------------------------------
Latinvest Fund Ltd.'s creditors have until March 11, 2008, to
prove their claims to David A. K. Walker and Lawrence Edwards,
the company's liquidators, or be excluded from receiving any
distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

Latinvest Fund's shareholders agreed on Dec. 13, 2007, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

             David A. K. Walker and Lawrence Edwards
             Attn: Miguel Brown
             PwC Corporate Finance & Recovery (Cayman) Limited
             P.O. Box 258, Grand Cayman KY1-1104
             Cayman Islands
             Telephone: (345) 914 8665
             Fax: (345) 945 4237


MARUBENI JPS: Proofs of Claim Filing Ends on March 11
-----------------------------------------------------
Marubeni JPS (Cayman Islands) Finance Ltd.'s creditors have
until March 11, 2008, to prove their claims to Michelle Ancosky,
the company's liquidator, or be excluded from receiving any
distribution or payment.

In their proofs of claim, creditors must indicate their full
names, addresses, the full particulars of their debts or claims,
and the names and addresses of their lawyers, if any.

Marubeni JPS' shareholder decided on Dec. 21, 2007, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

             Michelle Ancosky
             Attn: Bryant Terry
             Marubeni Caribbean Power Holdings, Inc.
             c/o Ogier, Queensgate House
             South Church Street, P.O. Box 1234
             Grand Cayman KY1-1108, Cayman Islands
             Telephone: (345) 949 9876
             Fax: (345) 949 1987



===============
C O L O M B I A
===============


ECOPETROL: Net Profit Jumps 52.6% to COP5.18 Trillion in 2007
-------------------------------------------------------------
Ecopetrol's net profit increased 52.6% to COP5.18 trillion in
2007, compared to COP3.4 trillion in 2006.

Business News Americas relates that the increase in Ecopetrol's
profit was due to an increase in output and international oil
prices.  According to BNamericas, Ecopetrol production rose to
399,000 barrels of oil equivalent per day in 2007, compared to
385,000 barrels of oil equivalent per day in 2006.  BNamericas
says that the average West Texas Intermediate price for oil was
US$72.30 per barrel in in 2007, compared to US$66.20 per barrel
in 2006.

Ecopetrol's operating revenue rose to COP22.3 trillion in 2007,
from COP18.4 trillion in 2006, BNamericas notes.  Oil exports
represented 28% of Ecopetrol's operating revenue, while domestic
sales accounted for 72%, BNamericas states.

Ecopetrol is an integrated-oil company that is wholly owned by
the Colombian government.  The company's activities include
exploration for and production of crude oil and natural gas, as
well as refining, transportation, and marketing of crude oil,
natural gas and refined products.  Ecopetrol is Latin America's
fourth-largest integrated-oil concern.  Operations are organized
into Exploration & Production, Refining & Marketing,
Transportation, and International Commerce & Gas.  Ecopetrol
produced 385,000 barrels a day of oil and gas in 2006 and has
330,000 barrels a day of refining capacity, according to the
company's Web site.  In 2005 it produced about 60 percent of
Colombia's daily output.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 6, 2007, Fitch Ratings affirmed Ecopetrol S.A.'s foreign
and local currency issuer default ratings at 'BB+' and 'BBB-',
respectively.


MILLICOM INTERNATIONAL: Unit to Launch 3G Services in Colombia
--------------------------------------------------------------
Millicom International Cellular S.A.'s Colombian unit Tigo will
launch 3G services in Colombia in the second half of this year,
Colombian news service Portafolio reports.

Business News Americas relates that Tigo will offer its clients
several new services including mobile broadband and
videoconferencing using the 3G technology.

Tigo President Jose Manuel Astigarraga told BNamericas that the
firm will chose on March 7 the vendor that will provide the
required infrastructure to launch 3G.

According to Portafolio, the estimated investment could be US$40
million.

International consultancy Frost & Sullivan's research analyst
Gina Sanchez told BNamericas that Tigo's planned launching of 3G
services was an expected move after America Movil's Colombian
operator Comcel started to provide similar services.  The 3G
services will let Tigo increase its average revenue per unit,
BNamericas says, citing Ms. Sanchez.  Ms. Sanchez told
BNamericas that Colombian operators will have to launch value
added services to continue expanding their revenues due to the
high penetration of mobile telephony in the country.

Tigo will need additional spectrum for 3G, BNamericas notes,
citing the company's Commercial Vice President Ramiro Avendano.
Tigo is waiting for the Colombian government's decision on the
firm's request for 10 megahertz of additional spectrum,
BNamericas states.

                             About Tigo

Millicom International Cellular launched Tigo in Colombia in
2006 to replace the old national brand of Colombia Movil OLA.

                    About Millicom International

Headquartered in Bertrange, Luxembourg, and controlled by
Sweden's AB Kinnevik, Millicom International Cellular S.A.
-- http://www.millicom.com/-- is a global telecommunications
investor with cellular operations in Asia, Latin America and
Africa.  It currently has cellular operations and licenses in 16
countries.  The Group's cellular operations have a combined
population under license of around 391 million people.

The Central America Cluster comprises Millicom's operations in
El Salvador, Guatemala and Honduras.  The population under
license in Central America at December 2005 is 26.4 million.
The South America Cluster comprises Millicom's operations in
Bolivia and Paraguay.  The population under license in South
America at December 2005 is 15.2 million.

                           *     *     *

As reported in the Troubled Company Reporter-Europe on Nov. 16,
2007, Moody's Investors Service upgraded ratings of Millicom
International Cellular S.A.  The corporate family rating was
upgraded to Ba2 from Ba3 and the rating on the existing senior
notes was upgraded to B1 from B2.  Moody's said the outlook on
the ratings is stable.


SOLUTIA INC: S&P Ups Rating to 'B+' From 'D' on Bankruptcy Exit
---------------------------------------------------------------
Standard & Poor's Ratings Services raised its corporate credit
rating on Solutia Inc. to 'B+' from 'D', following the company's
emergence from bankruptcy on Feb. 28, 2008, and the
implementation of its financing plan.  The outlook is stable.

S&P also affirmed its 'B+' rating and '3' recovery rating on
Solutia's proposed senior secured term loan.  In addition, S&P
assigned its 'B-' rating to Solutia's US$400 million unsecured
bridge loan facility.  S&P also withdrew its 'B-' rating on the
proposed US$400 million unsecured notes, which have been
replaced by the bridge facility in Solutia's capital structure.

"Our rating actions on Solutia factor in recent changes to the
company's financing plan, including the increase of the unrated
asset-backed revolving credit facility to $450 million from
$400 million, revised debt pricing, and the decision to fund the
$400 million bridge loan facility in the company's capital
structure," said Standard & Poor's credit analyst Paul Kurias.

The bridge facility initially existed as a contingency measure.
The facility has an initial maturity of one-year, and will
rollover automatically so long as there is no event of default.

Solutia has utilized proceeds from the term loan, unsecured
bridge loan, the unrated US$450 million asset-backed revolving
credit facility, and a US$250 million rights equity issue to pay
certain creditors following its emergence from bankruptcy,
including creditors at a Belgium-based subsidiary, Solutia
Europe S.A./N.V. (B/Watch Dev/B).  Accordingly, S&P will
withdraw its ratings on Solutia Europe.  Proceeds are also
expected to be used to reduce underfunded levels in
postretirement employee benefit liabilities.

Total adjusted debt, pro forma for the transaction, including
the present value of capitalized operating leases, tax-adjusted
unfunded postretirement employee benefits, and environmental
reserves, is estimated at US$2.2 billion for the fiscal year
ended Dec. 31, 2007.

The ratings reflect Solutia's highly leveraged financial profile
and a business mix that includes a large commodity-oriented
nylon segment, that is somewhat vulnerable to economic and
cyclical downturns and volatility in raw material,
transportation, and energy costs.  These risks are tempered by
meaningful contributions of relatively stable specialty
businesses in the company's portfolio, good market shares in
most businesses, geographic diversity, and an ongoing portfolio
restructuring effort aimed at improving Solutia's cost
competitiveness and profitability.

Solutia Inc. (NYSE:SOA-WI) -- http://www.solutia.com/--
is a performance materials and specialty chemicals company.  The
company focuses on providing solutions for a better life through
a range of products, including Saflex(r) interlayer for
laminated glass, CPFilms(r) aftermarket window films, high-
performance nylon polymers and fibers sold under brands
including Vydyne(r) and Wear-Dated(r), Flexsys(r) chemicals for
the rubber industry, and specialty products such as Skydrol(r)
aviation hydraulic fluid and Therminol(r) heat transfer fluid.
Solutia's businesses are world leaders in each of their market
segments.  With its headquarters in St. Louis, Missouri, USA,
the company operates globally with approximately 6,000 employees
in more than 60 countries that includes Malaysia, China,
Singapore, Belgium, and Colombia.


* COLOMBIA: Ecuador/Venezuela Rift Won't Affect Fitch Ratings
-------------------------------------------------------------
Fitch Ratings believes that heightened diplomatic tensions
between Colombia, Venezuela, and Ecuador are unlikely to put
downward pressure on Colombia's sovereign ratings in the near
term. Fitch will continue to monitor the situation closely.

Ecuador and Venezuela have moved military forces to their
borders with Colombia and have recalled their respective
ambassadors from Bogota in response to the killing of
Revolutionary Armed Forces of Colombia (FARC) leader, Raul
Reyes, by Colombian troops in Ecuador.  Additionally, Venezuelan
president Hugo Chavez has threatened to respond militarily if
Colombia violates its border.  Fitch's base case assumes that a
military response from either Venezuela or Ecuador toward
Colombia is unlikely.  However, the escalation of the diplomatic
warfare could over time lead to erosion of trade links between
Colombia and Venezuela, making it necessary for Colombia to
further diversify the destination of its exports.

"Trade links between Colombia and Venezuela are strong, which
mitigates the risk of military action," said Fitch's Sovereign
Group Senior Director, Shelly Shetty.  "Colombia is helping to
meet some of the food shortages in Venezuela, while the latter
is an important destination for Colombian manufacturing
exports", added Ms. Shetty.  Approximately 15% of Colombia's
exports and about one-third of its manufacturing exports are
destined for Venezuela.

Fitch believes that Colombia's ratings are well-anchored at
'BB+' with a Stable Outlook.  Fitch upgraded Colombia's ratings
last year to reflect the improving public debt dynamics
underpinned by the country's high economic growth, disciplined
fiscal policies, and deft liability management.  Favorable
trends continued in 2007, with GDP estimated to have reached
close to 7% in 2007, and growth is expected to be approximately
5% in 2008.  At the same time, healthy revenue growth and
expenditure restraint continue to buttress fiscal accounts.  On
the other hand, the central bank missed its inflation target
last year and Colombia is running a current account deficit of
over 3% of GDP, although it is well-funded by FDI flows.

While Colombia's sovereign creditworthiness could come under
pressure if diplomatic tensions take a turn for the worse,
resulting in broad trade disruption and a dramatic reduction in
Colombian exports to Venezuela, this is not Fitch's base case.
Additionally, Colombia's economic outlook could become more
clouded if heightened tensions hurt investor and consumer
confidence.  Increased security has been the driving force
behind Colombia's improved growth prospects and any reversal in
this trend could dampen domestic demand.  Signs of faltering
foreign direct investment flows that have been critical in
financing Colombia's current account deficits would also be
negative for Colombia's external accounts.



==================
C O S T A  R I C A
==================


ARMSTRONG WORLD: S&P Says Outlook Is Stable; Holds 'BB' Rating
--------------------------------------------------------------
Standard & Poor's Ratings Service revised its outlook on
Armstrong World Industries Inc. to stable from developing.  At
the same time, S&P affirmed the 'BB' corporate credit and 'BBB-'
senior secured ratings on the Lancaster, Pennsylvania-based
company.

"The outlook change reflects Armstrong's announcement that it
has completed its strategic review process and plans to return
$500 million to shareholders during 2008," said Standard &
Poor's credit analyst Thomas Nadramia.

A US$260 million special cash dividend will be paid on March 31,
2008, leaving US$240 million available to be returned to
shareholders later in the year if the company performs as
expected.

"The affirmation of the corporate rating considers the company's
sizable liquidity to fund these payments, including over
$500 million of cash balances at year-end 2007.  Therefore, the
impact on existing credit metrics is expected to be minimal,"
Mr. Nadramia said.

He added, "Despite the ongoing challenging residential
construction market, Armstrong's good cash flow characteristics
and position in the ceilings segment should enable it to
maintain a combination of adequate liquidity and credit measures
consistent with the current rating.

"We could revise the outlook to negative if volumes weaken more
than expected or if economic conditions materially hurt
profitability, causing credit measures to deteriorate
significantly from current levels.  We are less likely to revise
the outlook to positive in the near term given the challenging
operating environment.  However, should Armstrong continue to
post improvements to its operating margins and maintain its
strong credit metrics through the current downturn, we could
consider an outlook revision to positive."

                        About Armstrong World

Headquartered in Lancaster, Pennsylvania, Armstrong World
Industries, Inc. (NYSE:AWI) -- http://www.armstrong.com/-- ,
designs, manufactures and sells flooring products and ceiling
systems around the world.  It also designs, manufactures and
sells kitchen and bathroom cabinets.  Its business segments
include resilient flooring, wood flooring, building products and
cabinets. On Dec. 6, 2000, it filed a voluntary petition for
relief under Chapter 11 of the United States Bankruptcy Code in
the United States Bankruptcy Court.  On Aug. 18, 2006, it
emerged from Chapter 11.  On April 3, 2006, Armstrong World
acquired HomerWood Inc.  On May 1, 2006 it acquired Capella
Engineered Wood LLC, and its parent company, Capella Inc.  On
March 27, 2007, it entered into an agreement to sell the
principal operating companies in its European textile and sports
flooring business segment to Tapijtfabriek H. Desseaux N.V. and
its subsidiaries.  These businesses were classified as
discontinued at Oct. 2, 2006.

The company has Asia-Pacific locations in Australia, China, Hong
Kong, Indonesia, Japan, Malaysia, Philippines, Singapore, South
Korea, Taiwan, Thailand and Vietnam.  It also has locations in
Colombia, Costa Rica, Greece and Iceland, among others.


ARMSTRONG WORLD: Completes Strategic Review Following Evaluation
----------------------------------------------------------------
Armstrong World Industries Inc. completed its strategic review,
disclosed in February 2007, after extensive evaluation of
alternatives, including a possible sale of Armstrong World's
individual businesses and the entire company.

Based on market conditions, including continued deterioration in
the U.S. residential housing market and dramatic tightening of
the credit markets, the board of directors concluded that it is
in the best interest of Armstrong and its shareholders to
continue to execute the company's strategic operating plan under
its current structure as a publicly traded company.

The company's projected financial position would allow the
return of US$500 million of capital to shareholders in 2008, and
its credit agreements have been amended to permit this.
Seasonal cash usage is such that the board of directors has
declared a special cash dividend of US$4.50 per common share,
payable on March 31, 2008, to shareholders of record on
March 11, 2008.  This special cash dividend represents an
aggregate payment of approximately US$260 million, leaving
US$240 million available to be returned to shareholders later in
the year if the business performs as expected.

The board of directors based its decision to declare a special
dividend on the substantial amount of cash generated in 2007,
and on expectations that future cash generation will more than
meet the company's needs.

"Armstrong's board of directors thoroughly explored a
comprehensive range of alternatives, weighing the interests of
our shareholders, customers and employees," Michael D. Lockhart,
Armstrong chairman and chief executive officer, said.  "We
believe that Armstrong can continue to create shareholder value
by outperforming our markets with innovative products and
services that deliver value and performance."

Armstrong also stated that the Armstrong World Industries
Asbestos Personal Injury Trust has informed the company's board
of directors that it "supports the board's decision to conclude
the strategic review and pay a special dividend."  The trust
further notified Armstrong that it "currently expects to have
sufficient liquidity to pay claims against the trust for the
foreseeable future and has no present plans to dispose of
company common stock."

                       About Armstrong World

Headquartered in Lancaster, Pennsylvania, Armstrong World
Industries, Inc. (NYSE:AWI) -- http://www.armstrong.com/-- ,
designs, manufactures and sells flooring products and ceiling
systems around the world.  It also designs, manufactures and
sells kitchen and bathroom cabinets.  Its business segments
include resilient flooring, wood flooring, building products and
cabinets. On Dec. 6, 2000, it filed a voluntary petition for
relief under Chapter 11 of the United States Bankruptcy Code in
the United States Bankruptcy Court.  On Aug. 18, 2006, it
emerged from Chapter 11.  On April 3, 2006, Armstrong World
acquired HomerWood Inc.  On May 1, 2006 it acquired Capella
Engineered Wood LLC, and its parent company, Capella Inc.  On
March 27, 2007, it entered into an agreement to sell the
principal operating companies in its European textile and sports
flooring business segment to Tapijtfabriek H. Desseaux N.V. and
its subsidiaries.  These businesses were classified as
discontinued at Oct. 2, 2006.

The company has Asia-Pacific locations in Australia, China, Hong
Kong, Indonesia, Japan, Malaysia, Philippines, Singapore, South
Korea, Taiwan, Thailand and Vietnam.  It also has locations in
Colombia, Costa Rica, Greece and Iceland, among others.

                           *     *     *

Standard & Poor's Ratings Service recently revised its outlook
on Armstrong World Industries Inc. to stable from developing.
At the same time, S&P affirmed the 'BB' corporate credit and
'BBB-' senior secured ratings on the Lancaster, Pennsylvania-
based company.


SIRVA INC: Schedules Filing Deadline Moved to March 21
------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
extended the time by which Sirva Inc. and its debtor-affiliates
should file their Schedules and Statements to March 21, 2008.

As reported by the Troubled Company Reporter on Feb. 25, 2008,
the Debtors asked the court that the deadline be moved to
April 20, 2008, or 75 days after their bankruptcy filing.  The
Debtors also asked the Court to permanently waive the
requirement that the Schedules and Statements be filed, that is,
in the event that the Debtors' prepackaged plan of
reorganization is confirmed prior to the filing deadline.

Prior to the Court's ruling, the Official Committee of Unsecured
Creditors and Triple Net Investments IX, LP, objected to the
Debtors' request to waive the requirement, as provided by
Section 521 of the Bankruptcy Code.

The Committee told Judge James M. Peck that the Debtors'
bankruptcy proceeding is not an appropriate case for waiving the
fundamental statutory duty required by Section 521.

The Debtors have declared that no creditor or party-in-interest
will be prejudiced.  However, the Committee stated, there are
thousands of general unsecured creditors which will have zero
recovery under the Debtors' proposed plan of reorganization.
The information contained in the Schedules and Statements is
critical for the confirmation of the Plan, since it allows the
creditors to assess the solvency of the other Debtors, or
whether substantive consolidation is appropriate.

Triple Net added that because it is not an unimpaired creditor,
its ability to recover its US$2,021,546 claim depends on access
to financial information found in the Debtors' Schedules and
Statements.  Triple Net said that the Debtors are seeking to bar
the debt of thousands of unsecured creditors.

The Committee and Triple Net asked the Court to deny the waiver
request.  The Committee added that the deadline for filing
claims against prepetition secured lenders, as well as the
scheduling of confirmation proceedings, should be adjusted to
provide for the filing of Schedules and Statements.

                          About SIRVA Inc.

Headquartered in Westmont, Illinois, SIRVA Inc. (Pink Sheets :
SIRV.PK) -- http://www.sirva.com/-- is a provider of relocation
solutions to a well-established and diverse customer base.  The
company handles all aspects of relocation, including home
purchase and home sale services, household goods moving,
mortgage services and home closing and settlement services.
SIRVA conducts more than 300,000 relocations per year,
transferring corporate and government employees along with
individual consumers.  SIRVA's brands include Allied, Allied
International, Allied Pickfords, Allied Special Products, DJK
Residential, Global, northAmerican, northAmerican International,
Pickfords, SIRVA Mortgage, SIRVA Relocation and SIRVA
Settlement.  The company has operations in Costa Rica.

The company and 61 of its affiliates filed separate petitions
for Chapter 11 protection on Feb. 5, 2008 (Bankr. S.D.N.Y. Case
No. 08-10433).  Marc Kieselstein, Esq. at Kirkland & Ellis,
L.L.P. is representing the Debtor.  An official Committee of
Unsecured Creditors has been appointed in this case.  When the
Debtors filed for bankruptcy, it reported total assets of
US$924,457,299 and total debts of US$1,232,566,813 for the
quarter ended Sept. 30, 2007.

(Sirva Inc. Bankruptcy News, Issue No. 6; Bankruptcy Creditors'
Services Inc. http://bankrupt.com/newsstand/or 215/945-7000)


SIRVA INC: Answers 360networks' Bid to Vacate Claims Order
----------------------------------------------------------
Sirva Inc. and its debtor-affiliates oppose the Reconsideration
Motion filed by the Official Committee of Unsecured Creditors of
360networks (USA) Inc. and its debtor-subsidiaries, asserting
that it fails to demonstrate extreme and undue hardship required
for its approval, and is merely the creditor's attempt to
enhance its recovery.

As reported in the Troubled Company Reporter on Feb. 26, 2008,
the Official Committee of Unsecured Creditors of 360networks
(USA) and its debtor-subsidiaries asked the U.S. Bankruptcy
Court for the Southern District of New York to reconsider its
order authorizing the payment of the Debtors' pre-bankruptcy
filing unsecured claims dated Feb. 5, 2008, pursuant to Rules 59
and 60 of the Federal Rules of Civil Procedure.

The 360networks Committee holds an unliquidated claim against
Debtor SIRVA Relocation LLC resulting from an action captioned
"The Official Committee of Unsecured Creditors of 360networks
(USA) Inc., et al. v. U.S. Relocation Services, Inc.," Adv. Pro.
No. 03-03127 (ALG), pending before Judge Allan L. Gropper before
the United States Bankruptcy Court for the Southern District of
New York.

In the Preference Action before Judge Gropper, the 360networks
Committee, on behalf of itself and 360networks (USA), Inc., and
360fiber Inc. and their debtor subsidiaries, are seeking the
avoidance, recovery and return, from U.S. Relocation Services,
Inc. -- now known as SIRVA Relocation LLC -- of US$1,863,014 in
preferential transfers made by 360 to U.S. Relocation, plus
prejudgment interest at the highest applicable rate from
March 26, 2002, plus sanctions in connection with counsel for
U.S. Relocation's conduct in defending the Preference Action,
for a total claim against U.S. Relocation estimated to be in the
excess of US$2,200,000.

The Preference Action, prior to it being stayed by the
commencement of the bankruptcy proceedings, had been sub judice
with Judge Gropper on fully-briefed cross motions for summary
judgment.

Norman N. Kinel, Esq., at Dreier LLP in New York, asserted that
the Debtors' proposed treatment of unsecured creditors is
discriminatory and impermissible under applicable law.  The
Debtors propose, in their Plan of Reorganization dated Jan. 28,
2008, that in the two classes of unsecured creditors -- one will
receive a 100% distribution, and the other will receive no
distribution.

Mr. Kinel explained that although debtors are permitted to pay
unsecured prepetition debts to critical vendors, the relief
sought and obtained by the Debtors in the Prepetition Claims
Order classifies an open-ended category of creditors as
critical, without adequate basis.

Moreover, the Prepetition Claims Order was entered without due
notice to the parties-in-interest that are adversely affected,
including the 360networks Committee, depriving them of the
opportunity to object or be heard, Mr. Kinel states.

"[T]he 360networks Committee is not even listed as a creditor in
the Debtors' list of thirty (30) largest creditors attached to
their petitions, even though the 360networks Committee is in
fact one of the 10 largest creditors of the Debtors,
notwithstanding that such claim is presently unliquidated," Mr.
Kinel maintains.

                           Debtors Respond

Marc Kieselstein, P.C., at Kirkland and Ellis LLP in Chicago,
Illinois, says that pursuant to Rule 59 and 60 of the Federal
Rules of Civil Procedure, the Court may grant extraordinary
remedies in extraordinary circumstances to prevent extreme and
undue hardship, citing In re Miller, No. 07-13481, 2008 WL
110907 (Bankr. S.D.N.Y. Jan. 4,2008).  He points out that the
relief provided by the order dated February 5, 2008, authorizing
the payment of prepetition unsecured claims, is not
extraordinary, and is a "typical first day order."

According to Mr. Kieselstein, the 360networks Committee has not
demonstrated that the Debtors' ability to honor their existing
obligations in the ordinary course of business creates the level
of harm necessary to warrant a reconsideration; and does not
make specific allegations with respect to its disputed,
unliquidated, and unsecured claim.

In addition, the Debtors had complied with the notice
requirements by providing copies of their first day pleadings to
the United States Trustee two business days in advance of the
Petition Date.  Accordingly, the Debtors ask the Court to deny
the Reconsideration Motion with prejudice.

                           Parties React

The 360networks Committee states that all debtors, including the
Debtors in the Chapter 11 cases, must meet the burdens of the
Bankruptcy Code and Bankruptcy Rules, as well as the
requirements of due process.

According to the 360networks Committee, the Debtors have
improperly taken advantage of standard first-day orders, by
including unnecessary and discriminatory terms, and failing to
provide any advance notice to parties-in-interest that are
adversely affected.  The Prepetition Claims Order was entered
without advance notice to any party other than the United States
Trustee and the Debtors' prepetition secured lenders, enabling
the Debtors to pay certain chosen unsecured prepetition
creditors at will.

The 360networks Committee believes that it was improper for the
Prepetition Claims Order to be entered on a final basis, without
giving any other party-in-interest aside from the U.S. Trustee
and the Debtors' Prepetition Secured Lenders, an opportunity to
be heard and object.

The Official Committee of Unsecured Creditors of the Debtors'
Chapter 11 cases, on the other hand, tell Judge Peck that the
Prepetition Claims Order gives the Debtors authority to pay
unsecured claims which cannot be argued as critical.

According to the Committee, the Debtors have justified the
relief they sought by asserting that it is typical in
"prepackaged" bankruptcy cases.  However, the Committee says,
not all prepackaged cases are the same.  In fact, the Debtors'
case is unusual since they propose to pay nothing to a broad
group of unsecured creditors under their Plan.

The Committee maintains that neither the Bankruptcy Code, nor
any necessity doctrine or general Court order, support the
proposition that debtors can make unlimited and unspecified cash
payments to unidentified general unsecured creditors, in the
context of a cram-down plan.  Accordingly, the Committee insists
that a reconsideration of the Prepetition Claims Order is
warranted.

Similarly, Triple Net Investments IX, LP, supports the
360networks Committee's request stating that the Prepetition
Claims Order was entered without notice and with no opportunity
for affected creditors, including itself, to be heard.

                          About SIRVA Inc.

Headquartered in Westmont, Illinois, SIRVA Inc. (Pink Sheets :
SIRV.PK) -- http://www.sirva.com/-- is a provider of relocation
solutions to a well-established and diverse customer base.  The
company handles all aspects of relocation, including home
purchase and home sale services, household goods moving,
mortgage services and home closing and settlement services.
SIRVA conducts more than 300,000 relocations per year,
transferring corporate and government employees along with
individual consumers.  SIRVA's brands include Allied, Allied
International, Allied Pickfords, Allied Special Products, DJK
Residential, Global, northAmerican, northAmerican International,
Pickfords, SIRVA Mortgage, SIRVA Relocation and SIRVA
Settlement.  The company has operations in Costa Rica.

The company and 61 of its affiliates filed separate petitions
for Chapter 11 protection on Feb. 5, 2008 (Bankr. S.D.N.Y. Case
No. 08-10433).  Marc Kieselstein, Esq. at Kirkland & Ellis,
L.L.P. is representing the Debtor.  An official Committee of
Unsecured Creditors has been appointed in this case.  When the
Debtors filed for bankruptcy, it reported total assets of
US$924,457,299 and total debts of US$1,232,566,813 for the
quarter ended Sept. 30, 2007.

(Sirva Inc. Bankruptcy News, Issue No. 6; Bankruptcy Creditors'
Services Inc. http://bankrupt.com/newsstand/or 215/945-7000)


SIRVA INC: Allowed to Employ TS&T as Conflicts Counsel
------------------------------------------------------
Judge James M. Peck approved the application of Sirva Inc. and
its debtor-affiliates to hire Togut, Segal & Segal LLP, as its
conflict counsel, nunc pro tunc to February 5, 2008.  He ruled
that Togut Segal will provide services on matters which the
Debtors' other professionals cannot handle, due to possible
conflicts of interest.

Judge Peck further said that Togut Segal will not perform the
usual scope of services, except to maintain a familiarity with
Debtors' reorganization.  In the event there is an identifiable
actual or potential conflict of interest requiring immediate
attention, Togut Segal can assume its duties without impeding
the progress of the bankruptcy case.

As reported in the Troubled Company Reporter on Feb. 13, 2008,
the Debtors proposed that Togut Segal will perform services on
matters that the Debtors may encounter which are not
appropriately handled by Kirkland & Ellis LLP, the Debtors'
proposed counsel, and other professionals because of a potential
conflict of interest or, alternatively, which can be more
efficiently handled by the firm.

Eryk J. Spytek, senior vice president, general counsel and
secretary of SIRVA, clarifies that Togut Segal will not perform
the usual scope of services, other than to maintain a
familiarity with the case and progress of the Debtors'
reorganization.  In the event there is a conflict of interest
requiring immediate attention, the firm is able to assume its
duties without impeding the progress of the bankruptcy case.

As reported in the Troubled Company Reporter on Feb. 15, 2008,
the U.S. Trustee for Region 2 objected to the employment of
Togut Segal & Segal as conflicts counsel.

"[T]he Debtors have not disclosed any conflicts necessitating
the employment of conflicts counsel," Diana G. Adams, United
States Trustee for Region 2, told the Court.

Togut Segal & Segal seeks to perform services upon the approval
of its retention, which at this juncture would solely be to
enable to stay ahead of the learning curve to obviate the need
for them to come up to speed later in the case if an actual
conflict is disclosed, Paul K. Schwartzberg, Esq., trial
attorney for the U.S. Trustee, said.

Mr. Schwartzberg argued that the determinative question in
approving the employment of a professional is whether it is
reasonably necessary to have that professional employed.

                Togut Disagrees with U.S. Trustee

Albert Togut, Esq., senior member of Togut, Segal & Segal,
countered that a conflicts counsel is necessary to satisfy the
requirements of Section 327(a) of the Bankruptcy Code, providing
for the disinterestedness of the Debtors' general bankruptcy
counsel.

Mr. Togut said it can be a challenge for Kirkland & Ellis which
has 1,400 lawyers, offices in Chicago, New York, Washington,
D.C., Los Angeles, San Francisco, London, Munich and Hong Kong,
more than US$1,000,000,000 in revenues, and every kind of
client.

Mr. Togut pointed out that since the Debtors have 60,000
creditors, 3,200 employees, 50 subsidiaries, and more than
US$4,000,000,000 in revenues, it is possible that prior to
confirmation, there can be a conflict between these complex
business structures.

The purpose of conflicts counsel, Mr. Togut explained, is
recognized as necessary "to ensure the integrity of these highly
complex reorganization cases, especially where there is a mega-
debtor, and a mega-lawfirm as its counsel."

Togut Segal specializes in being conflicts counsel, and have no
regular retainers, Mr. Togut added.

The existence of a conflicts counsel avoids any arguments that
the Debtors' counsel is favoring one of its regular clients over
the interests of the estate, Mr. Togut related, citing In re
Oneida Ltd., et al., 06-10489 (ALG).

According to Mr. Togut, bringing the conflicts counsel into the
case in the beginning allows it to familiarize with the
contested matters especially in multi-billion dollar, fast-track
cases.  It will also be cost-effective, since the Debtors can
rely on the conflicts counsel's judgment on what to do, when to
do it, and how much effort needs to be expended as the case
unfolds.

In addition, the Debtors have agreed that the Togut Segal's fees
and expenses should not be subject to any terms or conditions
other than as provided in their agreement, and in accordance
with the Bankruptcy Code and Bankruptcy Rules, Mr. Togut
insisted, and the U.S. Trustee's judgment should not substitute
for the Debtors' business judgment.

Mr. Togut maintained that Togut Segal intends to provide
irreducible minimum services, and will not "duplicate Kirkland's
fine efforts."

                          About SIRVA Inc.

Headquartered in Westmont, Illinois, SIRVA Inc. (Pink Sheets :
SIRV.PK) -- http://www.sirva.com/-- is a provider of relocation
solutions to a well-established and diverse customer base.  The
company handles all aspects of relocation, including home
purchase and home sale services, household goods moving,
mortgage services and home closing and settlement services.
SIRVA conducts more than 300,000 relocations per year,
transferring corporate and government employees along with
individual consumers.  SIRVA's brands include Allied, Allied
International, Allied Pickfords, Allied Special Products, DJK
Residential, Global, northAmerican, northAmerican International,
Pickfords, SIRVA Mortgage, SIRVA Relocation and SIRVA
Settlement.  The company has operations in Costa Rica.

The company and 61 of its affiliates filed separate petitions
for Chapter 11 protection on Feb. 5, 2008 (Bankr. S.D.N.Y. Case
No. 08-10433).  Marc Kieselstein, Esq. at Kirkland & Ellis,
L.L.P. is representing the Debtor.  An official Committee of
Unsecured Creditors has been appointed in this case.  When the
Debtors filed for bankruptcy, it reported total assets of
US$924,457,299 and total debts of US$1,232,566,813 for the
quarter ended Sept. 30, 2007.

(Sirva Inc. Bankruptcy News, Issue No. 6; Bankruptcy Creditors'
Services Inc. http://bankrupt.com/newsstand/or 215/945-7000)


SIRVA INC: Allowed to Employ A&M as Restructuring Consultant
------------------------------------------------------------
Judge James M. Peck authorized Sirva Inc. and its debtor-
affiliates to hire Alvarez & Marsal North America, LLC as their
restructuring consultant in connection with their Chapter 11
cases.

Judge Peck ruled that Alvarez & Marsal will be paid provided
that those payments will not be subject to challenge, except
under the reasonableness standard under Section 330 of the
Bankruptcy Code.  The United States Trustee will retain all
rights to object to Alvarez & Marsal's compensation and
expenses.

Eryk J. Spytek, senior vice president, general counsel &
secretary of SIRVA, Inc., relates that the Debtors selected
Alvarez & Marsal because the firm has extensive experience in
providing restructuring consulting services in reorganization
proceedings and has an excellent reputation for the services it
has rendered in Chapter 11 cases on behalf of debtors and
creditors throughout the United States.

Mr. Spytek states that Alvarez & Marsal has agreed to provide
Ray Dombrowski, a managing director of Alvarez & Marsal, to
serve as the Debtors' Chief Restructuring Officer.  Moreover,
the firm has agreed to provide other temporary employees to
support Mr. Dombrowski and the remaining Company management team
during the postpetition period.  The Debtors believe that
Mr. Dombrowski and the additional personnel will not duplicate
the services that are being provided to the Debtors in the
Chapter 11 cases by any other professional.

Mr. Spytek further notes that through the services that Alvarez
& Marsal has provided to the Debtors to date, the firm has
become thoroughly familiar with the Debtors' operations and is
highly qualified to serve as their restructuring consultant.

As restructuring consultant, Alvarez & Marsal will:

    * perform a updated financial review of the Debtors,
      including a review and assessment of financial information
      that has been, and that will be, provided by the Debtors to
      its creditors;

    * assist with the identification and implementation of short-
      term cash management procedures and cost reduction and
      operations improvement opportunities;

    * monitor the Debtors' performance, submitted its business
      plan to the Debtors' creditors and report to the Debtors'
      Board, creditors and other key constituent groups;

    * develop possible restructuring plans or strategic
      alternatives on maximizing the enterprise value of the
      Debtors' various business lines for the board of directors'
      review;

    * assist the Debtors' management team and counsel focused on
      the coordination of resources related to the ongoing
      reorganization effort;

    * serve as the principal contact with the Debtors' creditors
      with respect to the Debtors' financial, operational and
      Chapter 11 administrative matters; and

    * perform other services, consistent with the role of Alvarez
      & Marsal as requested or directed by the Board and CEO and
      agreed to by such officer.

In exchange for the contemplated services, the Debtors will
pay Alvarez & Marsal based on the firm's applicable hourly
rates:

           Professional              Hourly Rates
           ------------              ------------
           Managing Director       US$500 - US$700
           Director                US$400 - US$500
           Associates              US$300 - US$400
           Analyst                 US$200 - US$300

Moreover, in consideration of Mr. Dombrowski serving as the
Chief Restructuring Officer, the Debtors have agreed to
compensate Alvarez & Marsal at a rate of US$625 per hour.

Prior to the Petition Date, the Debtors paid approximately
US$3,100,000 to Alvarez & Marsal for prepetition fees and
expenses incurred.  In addition, the Debtors paid a retainer of
US$150,000 to Alvarez & Marsal in July, 2007, for payment of
prepetition fees and expenses incurred when the firm helped them
in their restructuring process.  As of the Petition Date, A&M
will continue to hold US$150,000 retainer, and will apply it
against the final fees and expenses specific to the engagement
as finally allowed by the Court.

Jeffrey Stegenga, a managing director at Alvarez & Marsal,
attests that the firm is a "disinterested person," as the term
is defined in Section 101(14) of the Bankruptcy Code.

                          About SIRVA Inc.

Headquartered in Westmont, Illinois, SIRVA Inc. (Pink Sheets :
SIRV.PK) -- http://www.sirva.com/-- is a provider of relocation
solutions to a well-established and diverse customer base.  The
company handles all aspects of relocation, including home
purchase and home sale services, household goods moving,
mortgage services and home closing and settlement services.
SIRVA conducts more than 300,000 relocations per year,
transferring corporate and government employees along with
individual consumers.  SIRVA's brands include Allied, Allied
International, Allied Pickfords, Allied Special Products, DJK
Residential, Global, northAmerican, northAmerican International,
Pickfords, SIRVA Mortgage, SIRVA Relocation and SIRVA
Settlement.  The company has operations in Costa Rica.

The company and 61 of its affiliates filed separate petitions
for Chapter 11 protection on Feb. 5, 2008 (Bankr. S.D.N.Y. Case
No. 08-10433).  Marc Kieselstein, Esq. at Kirkland & Ellis,
L.L.P. is representing the Debtor.  An official Committee of
Unsecured Creditors has been appointed in this case.  When the
Debtors filed for bankruptcy, it reported total assets of
US$924,457,299 and total debts of US$1,232,566,813 for the
quarter ended Sept. 30, 2007.

(Sirva Inc. Bankruptcy News, Issue No. 6; Bankruptcy Creditors'
Services Inc. http://bankrupt.com/newsstand/or 215/945-7000)



===================================
D O M I N I C A N   R E P U B L I C
===================================


PRC LLC: Obtains Final Court Nod to Use Lenders' Cash Collateral
----------------------------------------------------------------
The Honorable Martin Glenn of the U.S. Bankruptcy Court for the
Southern District of New York permitted, on a final basis, PRC
LLC and its debtor-affiliates to use their prepetition lenders'
cash collateral pursuant to a budget.

A full-text copy of the Initial 13-Week Cash Flow Forecast up to
the week ending April 25, 2008, is available for free at:

               http://researcharchives.com/t/s?28aa

Each 13-week cash flow budget under the DIP Revolving Facility
will, at all times, include and provide for the payment of the
cure payments to Advanced Contact Solutions, Inc., Judge Glenn
ruled.

As adequate protection, the Prepetition Lenders are granted
replacement security interests in and liens on all the
Collateral, subject and subordinate only the DIP Lenders' liens
and the Carve-Out.

To address their working capital needs and fund their
reorganization efforts, the Debtors required the use of cash
collateral of certain secured lenders under:

    -- a US$160,000,000 Amended and Restated First Lien Credit
       and Guaranty Agreement, dated as of Nov. 29, 2006, as
       amended and restated on Dec. 20, 2006; and

    -- a US$67,000,000 Amended and Restated Second Lien Credit
       and Guaranty Agreement, dated as of Nov. 29, 2006, as
       amended and restated on Dec. 20, 2006.

As of the date of bankruptcy, about US$119,400,000 was
outstanding under the First Lien Credit Agreement, and about
US$67,000,000 was outstanding under the Second Lien Credit
Agreement.

In connection with the Credit Agreements, the Debtors granted
liens and executed security agreements in favor of The Royal
Bank of Scotland, PLC, as agent for the Lenders, in
substantially all of the Debtors' assets, including cash
generated by their business and the company's bank accounts.

Philip Goodeve, chief financial officer of PRC, LLC, asserted
that the use of cash collateral will provide the Debtors with
the additional necessary capital with which to operate their
business, pay their employees, maximize value, and successfully
reorganize under Chapter 11.

                           About PRC LLC

Founded in 1982 and based in Fort Lauderdale, Florida, PRC, LLC
-- http://www.prcnet.com/-- is a leading provider of customer
management solutions.  PRC markets its services to brand-
focused, Fortune 500 U.S. corporations and delivers these
services through a global network of call centers in the U.S.,
Philippines, India, and the Dominican Republic.

PRC is the sole member of each of PRC B2B, LLC, and Precision
Response of Pennsylvania, LLC, and the sole shareholder of
Access Direct Telemarketing, Inc., each of which is a debtor and
debtor-in-possession in PRC's joint Chapter 11 cases.

Panther/DCP Intermediate Holdings, LLC, is the sole member of
PRC.

PRC, together with its operating subsidiaries PRC B2B, Access
Direct, and PRC PA, is a leading provider of complex,
consultative, outsourced services in the Customer Care and Sales
& Marketing segments of the business process outsourcing
industry.  Since 1982, the company has acquired and grown
customer relationships for some of the world's largest and most
brand-focused corporations in the financial services, media,
telecommunications, transportation, and retail industries.

The company and four of its affiliates filed for Chapter 11
protection on Jan. 23, 2008 (Bankr. S.D.N.Y. Lead Case No. 08-
10239).  Alfredo R. Perez, Esq., at Weil, Gotshal & Manges, LLP,
represents the Debtors in their restructuring efforts.  The
Debtors chose Stephen Dube, at CXO LLC, as their restructuring
and turnaround advisor.  Additionally, Evercore Group LLC
provides investment and financial counsel to the Debtors.

The Debtors' consolidated financial condition as of Dec. 31,
2007 showed total assets of US$354,000,000 and total debts of
US$261,000,000.

The Debtors submitted to the Court a Chapter 11 Plan of
Reorganization on Feb. 12, 2008.  (PRC LLC Bankruptcy News,
Issue No. 6; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


PRC LLC: Gets Final Court Nod on US$30 Million DIP Financing
------------------------------------------------------------
The Honorable Martin Glenn of the U.S. Bankruptcy Court for the
Southern District of New York authorized PRC LLC and its debtor-
affiliates, on a final basis, to obtain up to US$30,000,000 in
postpetition financing from The Royal Bank of Scotland plc and
certain lenders pursuant to a Revolving Credit Facility among
the parties.

All objections not otherwise resolved or withdrawn are overruled
on their merits, said Judge Glenn.

The DIP Loan will be utilized to fund working capital and
capital expenditure needs and general corporate purposes of the
Debtors.  A portion of the loan, the Carve-Out, will be used to
pay:

    (a) all fees of the Clerk of the U.S. Bankruptcy Court and
        the Office of the United States Trustee pursuant to
        Section 1930 of the Judicial and Judiciary Procedures
        Order;

    (b) not more than US$50,000, in reasonable fees and expenses
        of a Chapter 7 Trustee in the event of a conversion of
        the Debtors' cases; and

    (c) not more than US$1,000,000 in the aggregate, in allowed
        fees and expenses of professional hired by the Debtors
        and the Official Committee of Unsecured Creditors, after
        the occurrence and during the continuation of an Event of
        Default.

The Court ruled that the amount of issued and outstanding
letters of credit under the Revolving Facility should not exceed
an aggregate of US$4,000,000 at any time.

To secure the DIP financing, the DIP Lenders are granted (i)
priming liens on all property of the Debtors that constitutes
collateral under the First Lien Credit Agreement, which will be
senior in all respects to interests of the Prepetition Lenders;
and (ii) first priority liens on all property of the Debtors
that is not collateral under the First Lien Credit Agreement,
including, but not limited to, all causes of action arising
under Chapter 5 of the Bankruptcy Code.

The Official Committe of Unsecured Creditors may, however, spend
up to US$100,000 of the proceeds of the Revolving Facility or
the Carve-Out to investigate potential claims arising out of or
in connection with the Prepetition Credit Facility, Judge Glenn
ruled.

Pursuant to Section 364(c)(1) of the Bankruptcy Code, all
amounts owing by the Debtors under the Revolving Facility
constitute allowed superpriority administrative expense claims
in the Debtors' cases subject to the Carve-Out, the Court
ordered.

Neither the proceeds of the Revolving Facility nor the Carve-Out
may be used (i) to challenge the amount, validity, perfection or
enforceability of, or assert any counterclaim or offset to the
DIP Loan and Prepetition Credit Facilities; (ii) to challenge
the security interests and liens of the DIP Lenders and the
Prepetition Lenders; or (iii) to litigate against any of the
Prepetition Lenders or DIP Lenders.

The Final DIP Agreement sets forth certain affirmative covenants
of the Debtors, among others that the Debtors (x) must file, no
later than 30 days after the bankruptcy date, a plan of
reorganization consistent with the terms of the Restructuring
Term Sheet filed on the Petition Date and (y) file a disclosure
statement in support of that Plan no later than 30 days after
the date that Plan is filed with the Court.

The Debtors have filed a Joint Plan of Reorganization dated
Feb. 12, 2008.  They are currently asking permission from the
Court to file a disclosure statement for that Plan no later than
March 13, 2008.

The Debtors' DIP Loan Obligations will not be discharged by the
entry of an order confirming a Chapter 11 plan, Judge Glenn
clarified.

Unless accelerated as a result of an Event of Default, the
Revolving Facility will expire and the borrowings will be due
and payable upon the earlier of:

    (i) July 23, 2008;

   (ii) the closing date of any sale of the Debtors or all of the
        Debtors' assets that has been approved by the Court; and

  (iii) the effective date of a plan of reorganization that has
        been confirmed by the Court.

A full-text copy of the Final DIP Order is available for free
at: http://researcharchives.com/t/s?28a9

                           About PRC LLC

Founded in 1982 and based in Fort Lauderdale, Florida, PRC, LLC
-- http://www.prcnet.com/-- is a leading provider of customer
management solutions.  PRC markets its services to brand-
focused, Fortune 500 U.S. corporations and delivers these
services through a global network of call centers in the U.S.,
Philippines, India, and the Dominican Republic.

PRC is the sole member of each of PRC B2B, LLC, and Precision
Response of Pennsylvania, LLC, and the sole shareholder of
Access Direct Telemarketing, Inc., each of which is a debtor and
debtor-in-possession in PRC's joint Chapter 11 cases.

Panther/DCP Intermediate Holdings, LLC, is the sole member of
PRC.

PRC, together with its operating subsidiaries PRC B2B, Access
Direct, and PRC PA, is a leading provider of complex,
consultative, outsourced services in the Customer Care and Sales
& Marketing segments of the business process outsourcing
industry.  Since 1982, the company has acquired and grown
customer relationships for some of the world's largest and most
brand-focused corporations in the financial services, media,
telecommunications, transportation, and retail industries.

The company and four of its affiliates filed for Chapter 11
protection on Jan. 23, 2008 (Bankr. S.D.N.Y. Lead Case No. 08-
10239).  Alfredo R. Perez, Esq., at Weil, Gotshal & Manges, LLP,
represents the Debtors in their restructuring efforts.  The
Debtors chose Stephen Dube, at CXO LLC, as their restructuring
and turnaround advisor.  Additionally, Evercore Group LLC
provides investment and financial counsel to the Debtors.

The Debtors' consolidated financial condition as of Dec. 31,
2007 showed total assets of US$354,000,000 and total debts of
US$261,000,000.

The Debtors submitted to the Court a Chapter 11 Plan of
Reorganization on Feb. 12, 2008.  (PRC LLC Bankruptcy News,
Issue No. 6; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


PRC LLC: Wants to Reject Four Austin & Plantation Pacts
-------------------------------------------------------
PRC LLC and its debtor-affiliates seek authority from the U.S.
Bankruptcy Court for the Southern District of New York to
reject, effective as of Feb. 29, 2008:

    (i) a lease between PRC LLC and Equastone Austin I, LP, for
        commercial office space located at 9001 IH 35, in Austin,
        Texas;

   (ii) an exclusive listing agreement between PRC and Site
        Selection Group LLC for the marketing of the Austin Lease
        to prospective assignees;

  (iii) a lease between PRC and Citicorp Vendor Finance, Inc.,
        for the use of copy machines in Austin, Texas; and

   (iv) a lease and related agreements between PRC, Presidential
        Suites, Ltd., and Crossroads Business Park Associates for
        about 3,388 square feet of commercial office space
        located at 8151 West Peters Road, Suite 3300, in
        Plantation, Florida.

Alfredo R. Perez, Esq., at Weil, Gotshal & Manges LLP, in
Houston, Texas, says that the Agreements represent an
unnecessary expense for the Debtors' estates.

"Rejection of these contracts and leases will assist the
Debtors' reorganization efforts by decreasing their monthly
expenses for properties and equipment that are not a part of
their continuing operations, and will not be utilized as part of
their reorganization efforts," Mr. Perez points out.

The Debtors relate that they are currently winding up their
operations in Austin, and the office being leased will soon be
unoccupied while the leased copy machines had already been
reclaimed by Citicorp.

With respect to the Listing Agreement, the Debtors inform the
Court that they have not been able to realize any value from the
premises because the current rent is either at or above market
rates.

Likewise, the Debtors do not have use for the office space in
Florida, Mr. Perez avers.  It is currently subleased to a third
party, the term of which is about to expire on March 31, 2008.
The sublessee has indicated that it does not need the premises
and the Debtors have been unable to find a replacement tenant.

                           About PRC LLC

Founded in 1982 and based in Fort Lauderdale, Florida, PRC, LLC
-- http://www.prcnet.com/-- is a leading provider of customer
management solutions.  PRC markets its services to brand-
focused, Fortune 500 U.S. corporations and delivers these
services through a global network of call centers in the U.S.,
Philippines, India, and the Dominican Republic.

PRC is the sole member of each of PRC B2B, LLC, and Precision
Response of Pennsylvania, LLC, and the sole shareholder of
Access Direct Telemarketing, Inc., each of which is a debtor and
debtor-in-possession in PRC's joint Chapter 11 cases.

Panther/DCP Intermediate Holdings, LLC, is the sole member of
PRC.

PRC, together with its operating subsidiaries PRC B2B, Access
Direct, and PRC PA, is a leading provider of complex,
consultative, outsourced services in the Customer Care and Sales
& Marketing segments of the business process outsourcing
industry.  Since 1982, the company has acquired and grown
customer relationships for some of the world's largest and most
brand-focused corporations in the financial services, media,
telecommunications, transportation, and retail industries.

The company and four of its affiliates filed for Chapter 11
protection on Jan. 23, 2008 (Bankr. S.D.N.Y. Lead Case No. 08-
10239).  Alfredo R. Perez, Esq., at Weil, Gotshal & Manges, LLP,
represents the Debtors in their restructuring efforts.  The
Debtors chose Stephen Dube, at CXO LLC, as their restructuring
and turnaround advisor.  Additionally, Evercore Group LLC
provides investment and financial counsel to the Debtors.

The Debtors' consolidated financial condition as of Dec. 31,
2007 showed total assets of US$354,000,000 and total debts of
US$261,000,000.

The Debtors submitted to the Court a Chapter 11 Plan of
Reorganization on Feb. 12, 2008.  (PRC LLC Bankruptcy News,
Issue No. 6; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)



=============
E C U A D O R
=============


PETROECUADOR: Completes Repairs to Pipeline
-------------------------------------------
Petroecuador has completed repairs to the broken pipeline that
caused an oil spill into a swamp in a mountainous region,
Reuters reports.

As reported in the Troubled Company Reporter-Latin America on
March 4, 2008, Petroecuador's 160-man cleanup crew contained the
4,000 barrel oil spill caused when landslides hit the pipeline,
which transports almost 70% of the 511,000 barrels of crude
produced daily in Ecuador.  About 262 feet of the pipeline was
destroyed.  Petroecuador shut the pipeline and declared force
majeure to suspend oil supply obligations.

"It's fixed and we have restarted pumping," Petroecuador
spokesperson Miguel Vasquez commented to Reuters.

Ecuadorian Oil Minister Galo Chiriboga told reporters that
technicians dug the mouth of the pipeline from under 45 meters
of rocks and mud and soldered the damage to resume oil flow.

Petroecuador's daily output was not disrupted when the pipeline
was damaged, Reuters states, citing Mr. Vasquez.

Headquartered in Quito, Ecuador, Petroecuador --
http://www.petroecuador.com.ec-- is an international oil
company owned by the Ecuador government.  It produces crude
petroleum and natural gas.

                           *     *     *

In previous years, Petroecuador, according to published reports,
was faced with cash-problems.  The state-oil firm has no funds
for maintenance, has no funds to repair pumps in diesel,
gasoline and natural gas refineries, and has no capacity to pay
suppliers and vendors.  The government refused to give the much-
needed cash alleging inefficiency and non-transparency in
Petroecuador's dealings.  In 2008, a new management team was
appointed to turn around the company's operations.



====================
E L  S A L V A D O R
====================


BIO-RAD LABS: Earns US$12.3 Million in Fourth Quarter 2007
----------------------------------------------------------
Bio-Rad Laboratories Inc.'s reported net income for the 2007
fourth quarter was US$12.3 million compared to US$16.6 million
during the fourth quarter of the prior year.  For the full 2007
fiscal year, the company's net income was US$92.9 million,
compared to US$103.2 million net income for 2006.

These results reflect non-cash charges of US$12.9 million, which
includes a one-time charge of US$7.7 million for purchased in-
process R & D, and approximately US$5.2 million in amortization
of intangibles related to DiaMed.  Including the DiaMed
acquisition, fourth-quarter basic earnings from operations were
US$0.46 per share, compared to US$0.63 during the same period
last year.  Fourth-quarter gross margin was 50.8% compared to
54.1% during the same quarter last year.  The lower margin in
the most recent quarter reflects the impact of the DiaMed
acquisition including foregone profit margin and the
amortization of intangibles.

Fourth-quarter revenues were US$459.6 million, up 34% compared
to US$343.0 million reported for the fourth quarter of 2006.
For the full year, sales grew by 14.7% to US$1,461.0 million
compared to US$1,273.9 million in 2006.  Excluding revenue from
the DiaMed acquisition, Bio-Rad sales grew by 9.8%, or 5.2%
after normalizing for the impact of currency effects.  Full-year
gross margin was 54.2% compared to last year's figure of 55.9%.
Revenues, earnings, and gross margin for 2006 were all favorably
impacted by one-time additional revenue of US$11.7 million which
was the result of a licensing settlement agreement reached with
bioMerieux SA in 2006.

This increase was due to a combination of organic growth across
Bio-Rad's two main product areas, the Life Science and Clinical
Diagnostics segments, as well as the addition of DiaMed Holding
AG products to the company's portfolio in the fourth quarter,
which resulted in additional revenue of US$62.0 million and
impacted fourth-quarter and full-year results.  Excluding the
revenue from the DiaMed acquisition, fourth-quarter revenues
were up 15.9%, or 9.0% on a currency-neutral basis, compared to
the same quarter last year.

"Operationally, 2007 was another year of progress for Bio-Rad
and one of investment as we welcomed DiaMed Holding AG into our
organization," Norman Schwartz, Bio-Rad president and chief
executive officer, said.  "As 2008 moves forward, we will
continue to explore opportunities to expand our business and
improve our operational efficiencies."

As of Dec. 31, 2007, the company's balance sheet reflected a
total assets of US$1,971.5 million, total liabilities of
US$999.9 million resulting to a total stockholders' equity of
US$971.6 million.

                     About Bio-Rad Laboratories

Headquartered in Herculed, California, Bio-Rad Laboratories Inc.
(AMEX:BIO) -- http://www.bio-rad.com-- manufactures and
supplies the life science research, healthcare, analytical
chemistry and other markets with a range of products and systems
used to separate chemical and biological materials, and to
identify, analyze and purify their components.  Bio-Rad operates
through two segments: life science and clinical diagnostics.
Each operates in both the United States and international
markets.  Each of Bio-Rad's segments maintains a sales force to
sell its products on a direct basis.  On Sept. 7, 2006, the
company acquired the medical diagnostics business of Provalis
plc.  In October 2006, Bio-Rad acquired Blackhawk BioSystems
Inc.  In November 2006, it acquired Ciphergen Biosystems Inc.'s
ProteinChip systems business and worldwide technology rights to
its surface enhanced laser desorption and ionization.  Aside
from the United State, the company maintains operations in
Bulgaria, Canada, Denmark, Greece, India, Philippines, Taiwan,
and The Netherlands, Brazil, El Salvador, Mexico and Puerto
Rico.

                        *     *     *

Bio-Rad Laboratories continues to carry Moody's Investors
Service's 'Ba2' corporate family rating and 'Ba3' senior
subordinate debt rating, assigned in July 2003.


* EL SALVADOR: Moody's Publishes Annual Report
----------------------------------------------
In its annual report on El Salvador, Moody's Investors Service
says the government's Baa3 bond ratings and stable outlook
reflect the presence of a manageable debt burden with stable-to-
improving debt ratios, and a very favorable debt amortization
profile as the government typically places long-dated, 20-year
bonds.

"The ratings incorporate recurring fiscal costs of a pension
reform that involved a shift from a public 'pay-as-you-go'
system to one that is fully-funded but private," said Moody's
Vice President Mauro Leos, author of the report. "At present,
the pension-related component of the deficit accounts for the
bulk of the government's financing needs."

He said the authorities' strong commitment to full dollarization
since 2002 has strengthened a monetary regime that is also
supported by conservative macroeconomic policies.  Accordingly,
Mr. Leos noted, "adoption of the US dollar as El Salvador's
official currency is viewed by Moody's as credible and
sustainable."

He said family remittances on the order of 18% of GDP constitute
a steady and reliable source of foreign exchange earnings and
represent an important support factor of the rating.  Even
though the economy has shown increased resilience to external
shocks, he cautioned, El Salvador remains vulnerable to
downturns in US economic activity.

"The ratings are constrained by government and external debt
ratios that remain above those of the Baa peer group," added Mr.
Leos.  "Limited economic policy flexibility in the context of
dollarization, including the absence of a lender-of-last-resort,
is another limiting factor for El Salvador's ratings."

Despite a challenging political environment in which coalition
building is a demanding process, the risk of reform reversal
remains moderate, according to the Moody's analyst, who added
that policy continuity is implicitly incorporated into the
ratings' stable outlook.

Moody's report, "El Salvador: 2008 Credit Analysis," is a yearly
update to the markets and is not a rating action.



=================
G U A T E M A L A
=================


BANCO INDUSTRIAL: Unit to Launch Up to 20 Branches in Honduras
--------------------------------------------------------------
Banco Industrial's International Banking Director Luis Prado
told Business News Americas that its Honduran unit Banco del
Pais SA aka Banpais will launch up to 20 branches this year.

As reported in the Troubled Company Reporter-Latin America on
Dec. 21, 2007, Banco Industrial purchased 90% of Banco del Pais
for US$90 million.

Mr. Prado told BNamericas that the planned branches are part of
Banpais' strategy to attract individual clients.  Banpais will
be seeking to expand its retail banking business, which is
currently very small and "has good growth potential given low
penetration of financial services" among Hondurans, BNamericas
states, citing Mr. Prado.

                       About Banco del Pais

Banco del Pais SA is a Honduras-based company principally
engaged in the banking sector.  The Company provides a wide
range of services for both individuals and businesses.  It
specializes in personal loans, savings and current accounts,
credit and debit cards, cash management and related financial
services.  The Company offers also a range of banking technology
solutions, including BP ACH Pronto, Banpais x Internet and
Banpais en su empresa.  Banco del Pais SA operates through a
network of branches located in the biggest cities in Honduras.
It is headquartered in San Pedro Sula, Honduras.

                       About Banco Industrial

Banco Industrial SA is the largest bank in Guatemala.  As of
June 30, 2007, it had consolidated assets of approximately
US$4.5 billion and equity of US$373.3 million.  As of Sept. 30,
2007, Banpais had US$925 million in assets, US$600 million in
deposits, and earnings of approximately US$22 million.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 21, 2008, Moody's Investors Service affirmed its Ba3 long-
term foreign currency deposit rating on Banco Industrial S.A.
Mooyd's said the outlook is positive.

As reported in Troubled Company Reporter-Latin America on
Jan. 15, 2008, Standard & Poor's Ratings Services affirmed its
'BB-/B' counterparty credit and CD ratings on Banco Industrial
S.A.  S&P said the outlook is stable.



=============
J A M A I C A
=============


NATIONAL COMMERCIAL: Unit & Man Investments to Offer Hedge Fund
---------------------------------------------------------------
The National Commercial Bank's NCB Capital Markets has
collaborated with U.K.-based Man Investments to "offer a hedge
fund with a principal protected feature to lessen the
possibility of reduce the original capital invested," Dennise
Williams at The Jamaica Observer reports, citing sources.

Ms. Williams relates that her source at NCB Capital commented
that, "One thing we have learnt over the last couple years is
that people are looking outside of Jamaica for higher returns
and we have to meet the needs of our clients."

According to The Observer, "the principal protected element of
the hedge fund means that during the lifetime of the product,
the investor will get back their original investment."  The
maturity date of the product is May 31, 2019, the report adds.

Investors can cash out "at the prevailing market price" and the
Financial Services Commission has stipulated that NCB Capital
offer the product as a private placement limited to less than
100 investors, Ms. Williams relates, citing sources.

                        About NCB Capital

NCB Capital Markets Ltd. is the wealth and asset management arm
of the National Commercial Bank of Jamaica's group of companies
offering investment options and advice for institutions and
individuals.

                    About National Commercial

Headquartered in Kingston, Jamaica, the National Commercial Bank
Jamaica Limited  -- http://www.jncb.com/-- provides commercial
and retail banking, wealth management services.  The company's
services include personal banking, business banking, mortgage
loans, wealth management and insurance services.  Founded in
1977, the bank primarily operates in West Indies and the UK.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 18, 2006, Standard & Poor's Rating Services affirmed its
'B/B' counterparty credit and CD ratings on National Commercial
Bank Jamaica Ltd.  S&P said the outlook is stable.

As reported in the Troubled Company Reporter-Latin America on
May 2, 2007, Fitch Ratings affirmed these ratings on Jamaica-
based National Commercial Bank Jamaica Limited: long-term
foreign and local currency Issuer Default at 'B+'; short-term
foreign and local currency rating at 'B'; individual at 'D'; and
support at 4.  The rating outlook on the bank's ratings is
stable, in line with Fitch's view of the sovereign's
creditworthiness.



===========
M E X I C O
===========


ALASKA AIRLINES: Earns US$135.4 Million in Year Ended Dec. 31
-------------------------------------------------------------
Alaska Airlines Inc. reported net income of US$135.4 million
for the year ended Dec. 31, 2007, compared with a net loss of
US$56.1 million for the year ended Dec. 31, 2006.

The 2006 results included US$189.5 million of fleet transition
costs related to the company's MD-80 fleet, and a US$24.8
million restructuring charge associated with the voluntary
severance package offered to certain of the company's employees
represented by the International Association of Machinists and
to the company's flight attendants as part of new four-year
collective bargaining agreements.

Both periods include adjustments to reflect the timing of gain
or loss recognition resulting from mark-to-market fuel hedge
accounting.  The company recorded a US$43.3 million gain in 2007
compared to a US$78.4 million loss in 2006.

The year's most important trend was the dramatic increase in raw
and economic fuel costs and the related increase in passenger
revenue as the company attempted to pass along the increased
fuel costs.

Total operating revenues increased US$377.4 million, or 14.0%,
to US$3.07 billion in 2007, as compared to total operating
revenues of US$2.69 billion in 2006.  The new Capacity Purchase
Agreement with Horizon made up US$265.0 million of the increase,
with mainline revenues contributing US$112.4 million of the
increase.

Under the CPA, Alaska pays Horizon a contractual amount for the
purchased capacity in the incentive markets regardless of the
revenue collected on those flights.  The amount paid to Horizon
is generally based on Horizon's operating costs plus a margin.
Alaska bears the inventory and revenue risk in those markets.
Accordingly, Alaska records the related passenger revenue.

For the year, total operating expenses increased US$66.4 million
to
US$2.86 billion compared to US$2.79 billion in 2006 as a result
of new purchased capacity costs recorded under the CPA with
Horizon, offset by a decline in mainline operating costs.

Net nonoperating income was US$1.2 million in 2007 compared to
US$4.0 million in 2006.

Income tax expense for 2007 was US$80.6 million compared to a
tax benefit of US$36.1 million in 2006.

                    Line of Credit Modification

In April 2007, the company announced a Second Amendment of the
US$160.0 million variable-rate credit facility, dated March 25,
2005, with a syndicate of financial institutions.  The terms of
the Second Amendment provide that any borrowings will be secured
by either aircraft or cash collateral.

The Second Amendment (i) increased the size of the facility to
US$185.0 million; (ii) improved the collateral advance rates for
certain aircraft; (iii) extended the agreement by two years with
a maturity date of March 31, 2010; and (iv) repriced the credit
facility to reflect current market rates.

The company currently has no immediate plans to borrow using
this credit facility.  In July 2007, the company executed a
Third Amendment to the credit facility, which amended a covenant
restriction to allow borrowings between the company and its
affiliates of up to US$500.0 million, versus US$300.0 million
previously.

                           Balance Sheet

At Dec. 31, 2007, the company's consolidated balance sheet
showed US$4.22 billion in total assets, US$3.35 billion in total
liabilities, and US$875.3 million in total stockholders' equity.

Full-text copies of the company's consolidated financial
statements for the year ended Dec. 31, 2007, are available for
free at http://researcharchives.com/t/s?28a7

                       About Alaska Airlines

Headquartered in Seattle, Washington, Alaska Airlines Inc. --
http://alaskaair.com/-- is a wholly owned subsidiary of Alaska
Air Group Inc. (NYSE: ALK).  Air Group is also the parent
company of Horizon Air Industries Inc. and Alaska Air Group
Leasing.  Alaska Airlines and Horizon Air together serve 92
cities through an expansive network in Alaska, the Lower 48,
Hawaii, Canada and Mexico.

                           *     *     *

On Sept. 4, 2003, Standard & Poors Ratings Services assigned its
BB- corporate credit rating on Alaska Airlines Inc.  The rating
still holds to date.


ARROW ELECTRONICS: Appoints Michael Long as President & COO
-----------------------------------------------------------
Arrow Electronics Inc.'s board of directors has named Michael J.
Long as its president and chief operating officer.  In addition,
the company reported that Mr. Long has been elected to the Arrow
Electronics's board and nominated for re-election at the annual
meeting of shareholders in May 2008.

A 17-year veteran of the company, Mr. Long, 49, will continue to
report to Arrow's Chairman and Chief Executive Officer William
E. Mitchell.  As president and chief operating officer of Arrow,
Mr. Long will be responsible for all of the company's business
operations, including Arrow's Global Components and Enterprise
Computing Solutions groups.

"Mike has proven his abilities and delivered on the strategic
objectives of the company," Mr. Mitchell said.  "He has an
exceptional track record as an operating executive, has been a
powerful contributor to Arrow's growth agenda and has
demonstrated his ability to lead global management teams.  As we
continue to accelerate our strategic and operational
performance, I am delighted that all of Arrow's businesses will
now benefit from Mike's leadership, his focus on driving growth
and his commitment to the development of the best team in the
industry."

Mr. Long previously served as senior vice president of Arrow and
president of the company's global components business.  That
business accounted for US$11.2 billion of the company's US$16
billion total revenues in 2007.

"Arrow is a great company with a tremendous future and
significant growth opportunities," said Mr. Long.  "I am proud
of this recognition and I look forward to working with our
experienced and capable leadership team to deliver value to our
customers, suppliers, and all of our stakeholders around the
world."

Mr. Long has been with Arrow since its 1991 acquisition of
Schweber Electronics, where he held various leadership roles.
In 1994, he served as president of Capstone Electronics, an
Arrow company, and was appointed president of Gates/Arrow
Distributing in 1995. Long then served as president and COO of
Arrow North American Computer Products (now Arrow Enterprise
Computing Solutions), and next as president of the company's
North America and Asia-Pacific components business.

Mr. Long holds a bachelor's degree in business administration
from the University of Wisconsin.  He serves on the board of
AmerisourceBergen, and is a member of the board of trustees of
the Denver Zoo.

                       About Arrow Electronics

Headquartered in Melville, New York, Arrow Electronics Inc.
-- http://www.arrow.com/-- provides products, services and
solutions to industrial and commercial users of electronic
components and computer products.   Arrow serves as a supply
channel partner for nearly 600 suppliers and more than 130,000
original equipment manufacturers, contract manufacturers and
commercial customers through a global network of over 270
locations in 53 countries and territories.

The company operates in France, Spain, Portugal, Denmark,
Estonia, Finland, Ireland, Latvia, Lithuania, Norway, Sweden,
Italy, Germany, Austria, Switzerland, Belgium, the Netherlands,
United Kingdom, Argentina, Brazil, Mexico, Australia, China,
Hong Kong, Korea, Philippines and Singapore.

                            *     *     *

Arrow Electronics senior subordinated stock continues to carry
Moody's Investors Service's Ba1 rating.  The company's senior
preferred stock is rated at Ba2.


ARROW ELECTRONICS: Gail Hamilton Joins Board of Directors
---------------------------------------------------------
Arrow Electronics Inc. has added Gail E. Hamilton, former
executive vice president of Symantec, to the company's board of
directors.  This addition, together with the election of Michael
J. Long, will bring the total number of directors on the board
to 12.

"I am delighted to have Gail join our board. She brings over 20
years of experience growing technology and services businesses
in the enterprise market.  I know Arrow will benefit from her
proven track record of creating value for customers in this
industry," said William E. Mitchell, chairman and chief
executive officer of Arrow Electronics.

Ms. Hamilton formerly served as executive vice president of
global services and support for Symantec, a global leader in
infrastructure software.  Prior to that, she was executive vice
president of Symantec's product delivery, and also served as
senior vice president of the company's Enterprise Solutions
Division.

Before joining Symantec, Ms. Hamilton held leadership positions
at Compaq and Microtec Research after spending 16 years at
Hewlett-Packard in positions of increasing responsibility.

Ms. Hamilton serves on the boards of Open Text Corp. Ixia, and
Surgient, Inc., and was a board member of Washington Group
International before its sale to URS Corporation.  She holds a
master of science in electrical engineering from Stanford and a
bachelor of science in electrical engineering and computer
science from the University of Colorado.

                       About Arrow Electronics

Headquartered in Melville, New York, Arrow Electronics Inc.
-- http://www.arrow.com/-- provides products, services and
solutions to industrial and commercial users of electronic
components and computer products.   Arrow serves as a supply
channel partner for nearly 600 suppliers and more than 130,000
original equipment manufacturers, contract manufacturers and
commercial customers through a global network of over 270
locations in 53 countries and territories.

The company operates in France, Spain, Portugal, Denmark,
Estonia, Finland, Ireland, Latvia, Lithuania, Norway, Sweden,
Italy, Germany, Austria, Switzerland, Belgium, the Netherlands,
United Kingdom, Argentina, Brazil, Mexico, Australia, China,
Hong Kong, Korea, Philippines and Singapore.

                            *     *     *

Arrow Electronics senior subordinated stock continues to carry
Moody's Investors Service's Ba1 rating.  The company's senior
preferred stock is rated at Ba2.


BEARINGPOINT INC: Bags US$115 Million Contract From U.S. Army
-------------------------------------------------------------
BearingPoint Inc. has been awarded a contract to support the
U.S. Army Medical Research and Materiel Command (MRMC), along
with eight other firms.  BearingPoint's contract is for
one year with four annual options, and has a maximum first year
value of US$21.7 million and an initial five year ceiling of
US$115 million.

The MRMC's mission is to deliver the best possible medical
solutions to protect, treat and heal U.S. service members.
BearingPoint will support this mission through proven enterprise
resource planning (ERP) and project management competencies
focused on the following areas:

     * medical research and logistics
     * information technology
     * product support
     * scientific and technological assessment support

The majority of the initial contract work will be performed at
Fort Detrick, Md., where MRMC is headquartered.  BearingPoint
currently supports MRMC in a variety of ways including advising
MRMC on how best to meet certain requirements mandated by the
Base Realignment and Closure Commission, and Oracle system
implementations.

"We're proud of our ongoing work for the Army, providing world-
class medical and technology consulting services," said Roger
Foxhall, managing director for BearingPoint's Defense Healthcare
team.  "We have the personnel and the track record to help MRMC
successfully meet its military medical readiness objectives."

Headquartered in McLean, Virginia, BearingPoint Inc., (NYSE: BE)
-- http://www.BearingPoint.com/-- provides of management and
technology consulting services to Global 2000 companies and
government organizations in 60 countries worldwide.  The firm
has approximately 17,500 employees, and major practice areas
focusing on the Public Services, Financial Services and
Commercial Services markets.

BearingPoint has global locations including in Indonesia,
Australia, Austria, China, India, Japan, Mexico, Portugal,
Singapore and Thailand.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America
Dec. 11, 2007, Moody's Investor Service confirmed BearingPoint
Inc.'s B2 corporate family rating and assigned a negative rating
outlook.  The rating agency also downgraded the company's US$250
million Series A Subordinated Convertible Notes to Caa1 from B3
(LGD5, 86%) and US$200 million Series B Subordinated Convertible
Notes to Caa1 from B3 (LGD5, 86%).


PRIDE INTERNATIONAL: Earns US$784.3 Million in 2007
---------------------------------------------------
Pride International Inc. reported net income of US$135.0 million
for the three months ended Dec. 31, 2007, compared to net income
of US$68.9 million for the same period in 2006.

Results for the fourth quarter of 2007 included income from
discontinued operations of US$17.3 million primarily
representing three tender-assist rigs that the company agreed to
sell in August 2007 for US$213 million in cash.  The sale of the
three units was completed during the first quarter of 2008. In
the fourth quarter of 2006, income from discontinued operations
was US$36.9 million.

For the full year of 2007, net income was a record US$784.3
million.  The results reflected a gain of US$268.6 million
resulting from the sale of the company's Latin America Land and
E&P Services segments in August 2007.

Cash flow from operating activities totaled US$685.0 million for
the 12 months ended Dec. 31, 2007, while capital expenditures
were US$656.4 million, including US$315.9 million invested in
two advanced capability, ultra-deepwater drillships currently
under construction.  The company expected capital expenditures
for the 12 months ended Dec. 31, 2008 to be US$995 million, with
an estimated US$610 million relating to the ultra-deepwater
drillship construction projects, including a third project
announced in January 2008.

Total debt at Dec. 31, 2007 was US$1,191.5 million, while net
debt (total debt less cash and cash equivalents of US$890.4
million) was US$301.1 million.

Louis A. Raspino, President and Chief Executive Officer of Pride
International, Inc., stated, "We achieved record financial
performance in 2007, with continued excellent operational
execution and safety results.  Equally important, and specific
to our transition to a pure focus offshore drilling company, we
achieved a number of strategic initiatives during 2007 and early
2008, including the disposal of approximately US$1.3 billion of
non-strategic assets and the addition of three ultra-deepwater
drillships currently under construction, which are expected to
be available in 2010 and 2011.  With the three projects, the
company has now committed approximately US$2.8 billion since
2005 to the expansion of its deepwater presence.  In addition,
we have secured attractive, multi-year contracts on two of our
new drillships.

"We believe our investments in the deepwater market sector are
timely, as we continue to witness exceptional activity levels
with growing evidence that suggests the strong industry demand
for deepwater capacity could remain well beyond 2010.  Since the
beginning of 2008, we have secured or extended contracts for
four rigs representing revenues in excess of US$3.3 billion,
inclusive of performance bonus opportunities, and totaling 22
rig years.  With the recent contract extensions for the
semisubmersible rigs Pride Rio de Janeiro and Pride Portland, we
now have earnings visibility to 2017 and our total backlog of
contracts is approaching a record US$8 billion, before
performance bonus opportunities, representing an estimated 140
percent of our current market capitalization.  This revenue
backlog and the resulting expected cash flow represents a solid
financial base to support further growth initiatives and offers
the company valuable flexibility as we evaluate and execute
strategies that increase shareholder value."

                 Offshore Drilling Segment Results

The company's Offshore Drilling Segment reported revenues for
the three months ended December 31, 2007 of US$473.8 million,
compared to US$509.7 million in the third quarter of 2007, while
earnings from operations were US$202.3 million, compared to
US$212.2 million over the same comparative period.  Results for
the quarter were negatively impacted by planned out-of-service
time, repairs and maintenance involving several rigs in the
company's deepwater, midwater and jackup fleets, resulting in a
slight decline in fleet utilization to 72 percent in the fourth
quarter of 2007 from 75 percent in the previous quarter of 2007.
The earnings decline was partially offset by lower operating
costs, which fell to US$242.9 million in the fourth quarter of
2007, from US$250.4 million in the third quarter of 2007.  The
three percent decline was attributable to reduced activity in
both the company's jackup rig fleet, resulting in part from the
mobilizations of two jackup rigs to Mexico from the U.S. Gulf,
and the midwater rig fleet, resulting from shipyard programs on
two rigs.


                     About Pride International

Headquartered in Houston, Texas, Pride International Inc.
(NYSE: PDE) -- http://www.prideinternational.com/-- provides
onshore and offshore contract drilling and related services in
more than 25 countries, operating a diverse fleet of 277 rigs,
including two ultra-deepwater drillships, 12 semisubmersible
rigs, 28 jackups, 16 tender-assisted, barge and platform rigs,
and 214 land rigs.  The company maintains worldwide operations
in France, Mexico, Kazakhstan, India, and Brazil, among others.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 22, 2007, Standard & Poor's Ratings Service raised its
corporate credit rating on offshore contract drilling firm Pride
International Inc. to 'BB+' from 'BB'.  At the same time, S&P
raised the rating on the company's unsecured debt to 'BB+' from
'BB-'.  S&P said the outlook is stable.


PRIDE INTERNATIONAL: Uncovers Evidence of Bribery
-------------------------------------------------
Pride International Inc. has found evidence that company
officials, from 2001 through 2005, made improper payments to
government officials of some countries, including Mexico and,
Venezuela, to handle customs, immigration and tax issues,
published reports say.

According to a U.S. Securities and Exchange Commission filing,
the payments were used to clear jack-up rig and equipment
through customs in Mexico and to get extensions on drilling
contracts in Venezuela, Bloomberg News reports.  The Venezuelan
and Mexican payments amounted to less than US$1 million.

Tom Fowler of Houston Chronicle relates that the company also
discovered evidence suggesting that payments totaling less than
US$2 million were directly or indirectly made from 2001 to 2005
to government officials in Saudi Arabia, Kazakhstan, Brazil,
Nigeria, Libya, Angola, and the Republic of the Congo.

Reports say that Pride's management and the audit committee
deemed that senior operations management knew or should have
known the improper payments.  The company's former COO quit his
job in 2006, and will stay as a worker during the investigation
to assist inquiries and answer questions.  Others have been
terminated, resigned, or placed on leave.

The company would likely face fines, and civil and criminal
penalties Civil penalties under anti-bribery provisions; and
fines and sanctions from foreign jurisdictions, reports state.

                   About Pride International

Headquartered in Houston, Texas, Pride International Inc.
(NYSE: PDE) -- http://www.prideinternational.com/-- provides
onshore and offshore contract drilling and related services in
more than 25 countries, operating a diverse fleet of 277 rigs,
including two ultra-deepwater drillships, 12 semisubmersible
rigs, 28 jackups, 16 tender-assisted, barge and platform rigs,
and 214 land rigs.  The company maintains worldwide operations
in France, Mexico, Kazakhstan, India, and Brazil, among others.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 22, 2007, Standard & Poor's Ratings Service raised its
corporate credit rating on offshore contract drilling firm Pride
International Inc. to 'BB+' from 'BB'.  At the same time, S&P
raised the rating on the company's unsecured debt to 'BB+' from
'BB-'.  S&P said the outlook is stable.


SHARPER IMAGE: Ramius Capital Discloses 12.2% Equity Stake
----------------------------------------------------------
In a regulatory filing with the United States Securities and
Exchange Commission, Ramius Capital Group, LLC, and its
affiliated entities disclosed their individual ownership of
Sharper Image Corporation stock:

                                                 % of Sharper
                                                      Image's
                                      No. of      outstanding
    Entity                            shares           shares
    ------                            ------      -----------
    Parche, LLC                      295,915             2.0%
    Starboard Value                1,553,555            10.3%
     and Opportunity
      Master Fund, Ltd
    RCG Enterprise, Ltd              295,915             2.0%
    RCG Starboard Advisors, LLC    1,849,470            12.2%
    Ramius Capital Group, LLC      1,849,470            12.2%
    C4S & Co., LLC                 1,849,470            12.2%
    Peter A. Cohen                 1,849,470            12.2%
    Jeffrey M. Solomon             1,849,470            12.2%
    Thomas W. Strauss              1,849,470            12.2%

The aggregate percentage of shares owned by each of the entities
is based upon 15,154,249 shares outstanding, as of December 7,
2007, which is the total number of shares outstanding as
reported in Sharper Image's quarterly report filed with the
Securities and Exchange Commission on December 10, 2007.

Jeffrey M. Solomon, managing member of C4S, relates that Parche,
Starboard Value, RCG Enterprise, RCG Starboard Advisors, Ramius
Capital and C4S have sole voting and dispositive powers for all
their shares.

As of the close of business on February 22, 2008, and as
managing members of C4S, each of Messrs. Cohen, Stark, Strauss
and Solomon may be deemed the beneficial owner of the (i)
1,553,555 shares beneficially owned by Starboard Value and (ii)
295,915 shares beneficially owned by Parche.  Messrs. Cohen,
Stark, Strauss and Solomon have the shared power to vote and
direct disposition of all their stocks.

Mr. Solomon states that the shares purchased by Starboard Value
and Parche were purchased with the working capital of the
entities in open market purchases.  The aggregate purchase cost
of the 1,849,470 shares beneficially owned in the aggregate by
Starboard Value and Parche is approximately US$18,350,750,
excluding brokerage commissions.

Certain shares reported as beneficially owned by Parche were
acquired in private transactions with various transferors for
which Ramius Capital or an affiliate serves as the investment
manager, the managing member, or the managing member of the
investment manager.  Moreover, Ramius Capital is the sole member
of RCG Starboard Advisors, which is the managing member of
Parche.

Parche acquired from the transferors an aggregate of 103,471
shares on February 27, 2006, at a per share price of US$11.04,
equal to the last reported sales price on the NASDAQ National
Market on the date the transaction was completed, or an
aggregate of US$1,142,320.  The total of 103,471 shares
transferred to Parche were initially acquired by the transferors
for an aggregate of US$1,142,320.

In separate regulatory filings with the United States Securities
and Exchange Commission, Ramius Capital Group LLC disclosed that
an aggregate of 1,416,000 shares of Sharper Image common stock
have been disposed on various dates:

                                          Total     Beneficially
                                          Shares     Owned After
    Entity                Date     Price  Disposed   Transaction
    -------               ----     -----  --------  ------------
    Parche LLC          02/20/08 US$0.37   128,000       295,915
                        02/25/08 US$0.49    22,400       273,515
                        02/26/08 US$0.33    76,160       197,355

    Starboard Value     02/20/08 US$0.37   672,000     1,553,555
    and Opportunity     02/25/08 US$0.49   117,600     1,435,955
    Master Fund, Ltd.   02/26/08 US$0.33   399,840     1,036,115

These parties are also deemed beneficial owners of the Shares
beneficially owned by Parche:

    * RCG Enterprise, Ltd., as the sole non-managing member of
      Parche and owner of all its economic interests;

    * RCG Starboard Advisors, LLC, as the managing member of
      Parche;

    * Ramius Capital Group, L.L.C., as the sole member of
      Starboard Advisors;

    * C4S & Co., L.L.C., as the managing member of Ramius; and

    * each of Peter A. Cohen, Morgan B. Stark, Jeffrey M. Solomon
      and Thomas W. Strauss, as the managing members of C4S.

Similarly, these parties are deemed beneficial owners of the
Shares beneficially owned by Starboard:

    * Starboard Advisors, as the investment manager of Starboard;

    * Ramius, as the sole member of Starboard Advisors;

    * C4S, as the managing member of Ramius; and

    * each of Messrs. Cohen, Stark, Solomon and Strauss, as the
      managing members of C4S.

Each of Messrs. Cohen, Stark, Solomon and Strauss, Enterprise,
Starboard Advisors, Ramius and C4S disclaims beneficial
ownership of the Shares except to the extent of their pecuniary
interest in the shares.

Based in San Francisco, California, Sharper Image Corp. --
http://www.sharperimage.com/-- is a multi-channel specialty
retailer.  It operates in three principal selling channels: the
Sharper Image specialty stores throughout the U.S., the Sharper
Image catalog and the Internet.  The company has operations in
Australia, Brazil and Mexico.  In addition, through its Brand
Licensing Division, it is also licensing the Sharper Image brand
to select third parties to allow them to sell Sharper Image
branded products in other channels of distribution.  The company
filed for Chapter 11 protection on Feb. 19, 2008 (Bankr. D.D.,
Case No. 08-10322).  Steven K. Kortanek, Esq. at Womble,
Carlyle, Sandridge & Rice, P.L.L.C. represents the Debtor in its
restructuring efforts.  An official Committee of Unsecured
Creditors has been appointed in the case.  When the Debtor filed
for bankruptcy, it listed total assets of US$251,500,000 and
total debts of US$199,000,000.

(Sharper Image Bankruptcy News Issue No. 4, Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or
215/945-7000)


SR TELECOM: Quebec Court Extends CCAA Stay to May 2
---------------------------------------------------
SR Telecom obtained an order from the Quebec Superior Court to
extend to May 2, 2008, the period of the court-ordered stay of
proceedings against SR Telecom under the Companies' Creditors
Arrangement Act.

The purpose of the stay of proceedings is to provide SR Telecom
with an opportunity to develop a plan of arrangement to propose
to its creditors.  SR Telecom filed for creditor protection
under the CCAA on Nov. 19, 2007.

Headquartered in Quebec, Canada, SR Telecom (TSX: SRX) --
http://www.srtelecom.com/-- delivers broadband wireless access
(BWA) solutions that enable service providers to deploy voice,
Internet and next-generation services in urban, suburban and
remote areas.  The company has offices in Mexico, France and
Thailand.

SR Telecom Inc.'s consolidated balance sheet at June 30, 2007,
showed CDN$83.9 million in total assets and CDN$97.9 million
in total liabilities, resulting in a CDN$14.0 million total
stockholders' deficit.


WOLVERINE TUBE: Completes Biz Sale to Standish for US$25MM Cash
---------------------------------------------------------------
Wolverine Tube Inc. has closed the sale of its Small Tube
Products business to Standish Capital.  The Altoona,
Pennsylvania based operation produces precision redraw and cut
tubing for a variety of applications including the welding,
controls, transportation and electrical industries.  This
business has been included in Wolverine's commercial products
segment.  The transaction includes substantially all of the
assets of this business plus assumption of certain liabilities.
The purchase price is US$25 million cash plus a working capital
adjustment as at the closing date, estimated to be approximately
US$3 million.  Net proceeds from the sale will increase the
company's cash balances.

Harold M. Karp, President and Chief Operating Officer, stated,
"The sale of the Altoona operations is in line with our focus on
value added, heat transfer tubing products, fabricated products,
and joining technology products."

Steven S. Elbaum, Chairman, commented, "The sale of this non-
strategic asset enhances the company's liquidity and capital
allocable to its core business and long term growth
opportunities."

                   About Wolverine Tube Inc.

Headquartered in Huntsville, Alabama, Wolverine Tube Inc.
(OTC:WLVT) -- http://www.wlv.com/ and http://www.silvaloy.com/
manufactures and distributes copper and copper alloy tubular
products, fabricated and metal joining products, well as rod and
bar products.  The company focuses on developing and
manufacturing tubular products with heat transfer capabilities
used in engineered applications.  The company's major customers'
headquarters are in North America and include commercial and
residential air conditioning and refrigeration equipment
manufacturers, appliance manufacturers, industrial equipment
manufacturers, utilities and other power generating companies,
refining and chemical processing companies, and plumbing
wholesalers.  Wolverine classifies products as commercial
products, wholesale products, and rod, bar and other products.
The company has operations in China, Mexico and Portugal.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 22, 2007, Moody's Investors Service confirmed Wolverine
Tube's Caa2 corporate family rating, Caa2 probability of default
rating, and Caa3 senior unsecured rating (LGD4, 63%).  Moody's
outlook for the rating is negative.



===========
P A N A M A
===========


CHIQUITA BRANDS: Signs Commitment Letter for US$400 Million Loan
----------------------------------------------------------------
Chiquita Brands International and its main operating subsidiary,
Chiquita Brands LLC entered into a commitment letter, dated
Feb. 4, 2008, with Cooperatieve Centrale Raiffeisen -
Boerenleenbank B.A., "Rabobank Nederland", New York Branch to
refinance a CBL existing senior secured revolving credit
facility and a portion of its outstanding term loan C with a new
six-year secured credit facility, including a US$200 million
revolving credit facility and a US$200 million term loan.

On Feb. 12, 2008, Chiquita issued US$200 million of 4.25%
convertible senior notes due Aug. 15, 2016, the net proceeds of
which were used to repay a portion of term loan C.

Chiquita said the commitment letter contains financial
maintenance covenants that provide greater flexibility than
those in CBL's existing senior secured credit facility.  The
company expects this new credit facility and term loan to close
by March 31, 2008.

The company is currently in compliance with the amended
covenants under the CBL facility and it expects to remain in
compliance with the existing CBL credit facility.

Chiquita said in a regulatory filing with the Securities and
Exchange Commission that in the event the company is unable to
complete the refinancing and its business performance
deteriorates compared to current expectations, or even if it
completes the refinancing, its financial performance
deteriorates significantly below current expectations, it could
default under the applicable financial covenants.

As of Dec. 31, 2007, Chiquita's indebtedness was approximately
US$814 million.  Chiquita said its high level of indebtedness
limits its ability to borrow additional funds and requires it to
dedicate a substantial portion of its cash flow from operations
to service debt, thereby reducing the availability of its cash
flow to fund working capital, capital expenditures and other
general corporate expenditures.

                      About Chiquita Brands

Headquartered in Cincinnati, Ohio, Chiquita Brands International
Inc. (NYSE:CQB) -- http://www.chiquita.com/-- operates as an
international marketer and distributor of bananas and other
fresh produce sold under the Chiquita and other brand names in
over 80 countries.  It sells packaged salads under the Fresh
Express brand name primarily in the United States.  The company
also distributes and markets fresh-cut fruit and other branded,
value-added fruit products.  Chiquita operates its business
through three segments: the banana segment includes the
sourcing, transportation, marketing and distribution of bananas;
the fresh select segment includes the sourcing, marketing and
distribution of whole fresh fruits and vegetables other than
bananas, and the fresh cut segment includes value-added salads,
foodservice and fresh-cut fruit operations.  Remaining
operations, reported in other, primarily consist of processed
fruit ingredient products, which are produced in Latin America
and sold in other parts of the world, and other consumer
packaged goods.

Chiquita employs approximately 25,000 people operating in more
than 70 countries worldwide, including Belgium, Columbia,
Germany, Panama, Philippines, among others.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 28, 2008, Standard & Poor's Ratings Services assigned its
'CCC' senior unsecured rating to Chiquita Brands International
Inc.'s US$200 million convertible senior notes due 2016.  Net
proceeds from the issuance were used to repay a portion of the
US$375 million term loan C (US$132 million outstanding at
Dec. 31, 2007, pro forma for this notes offering) of its senior
secured credit facility.


CHIQUITA BRANDS: Moody's Rates New Senior Bank Pacts at 'Ba3'
-------------------------------------------------------------
Moody's Investors Service rated the proposed new senior secured
guaranteed bank agreements of Chiquita Brands, LLC at Ba3.  The
ratings on CBLLC's existing bank revolving credit agreement and
term loan C are upgraded to Ba3 from B1, and will be withdrawn
when the new bank agreements are executed.  Parent Chiquita
Brands International, Inc.'s ratings are affirmed, including its
B3 corporate family rating and B3 probability of default rating.
The rating outlook remains negative.

Ratings upgraded:

Chiquita Brands, LLC

   -- Existing US$200 million senior secured revolving credit
      agreement to Ba3 (LGD2,18%) from B1 (LGD2, 26%)

   -- Existing senior secured Term Loan C, reduced to
      US$132 million, to Ba3 (LGD2,18%) from B1 (LGD2, 26%)

Ratings assigned:

Chiquita Brands, LLC

   -- New US$200 million senior secured revolving credit
      agreement at Ba3 (LGD2,19%)

   -- New US$200 million senior secured term loan at Ba3
      (LGD2,19%)

Ratings affirmed:

Chiquita Brands International, Inc.

   -- Corporate family rating at B3

   -- Probability of default rating at B3

Ratings affirmed, and LGD percentages revised:

Chiquita Brands International, Inc.

   -- US$250 million 7.5% senior unsecured notes due 2014 at Caa2
      (LGD5); LGD % to 82% from 89%

   -- US$225 million 8.875% senior unsecured notes due 2015 at
      Caa2 (LGD5); LGD % to 82% from 89%

The upgrade in the ratings of CBLLC's existing senior secured
bank facilities is the result of the application of proceeds
from the recent unrated US$200 million senior unsecured
convertible notes issuance at the holding company to the partial
repayment of Term Loan C.  This increase in the amount of debt
that is effectively subordinated to the senior secured bank
facility and simultaneous reduction in the amount of senior
secured bank debt resulted in a lower expected loss on the
existing bank facilities.  CBLLC's proposed new bank revolving
credit and term loan will be secured by a first lien on the
collateral pledged to the existing agreements; however, the
current separation of collateral by facility under the existing
agreements will be eliminated.  The new bank facilities will be
guaranteed by the holding company and by material direct and
indirect domestic operating subsidiaries and by certain material
non-US operating subsidiaries.

The affirmation of the holding company's ratings is based on the
fact that fiscal year 2007 reported EBIT stabilized at a level
close to that of fiscal 2006, adding back certain non-recurring
charges in both years; and that the 2007 restructuring is
expected to generate cost savings of US$60 million to US$80
million in fiscal 2008, which should soften the impact of rising
costs across the industry.

Chiquita's B3 corporate family rating incorporates the company's
weak credit metrics and challenged operating performance.
Ratings also reflect continued uncertainty with regard to long
term structural changes occurring in the company's key European
Union banana market, the need to improve results at the
company's salads and healthy snacks to historical levels, and
continued pressure from rising input costs.  Ratings are
supported by Chiquita's solid franchise as one of the largest
global fresh fruit and vegetable companies with strong market
shares and good diversification in terms of product offerings,
geographic reach, and raw material supply.

Headquartered in Cincinnati, Ohio, Chiquita Brands International
Inc. (NYSE:CQB) -- http://www.chiquita.com/-- operates as an
international marketer and distributor of bananas and other
fresh produce sold under the Chiquita and other brand names in
over 80 countries.  It sells packaged salads under the Fresh
Express brand name primarily in the United States.  The company
also distributes and markets fresh-cut fruit and other branded,
value-added fruit products.  Chiquita operates its business
through three segments: the banana segment includes the
sourcing, transportation, marketing and distribution of bananas;
the fresh select segment includes the sourcing, marketing and
distribution of whole fresh fruits and vegetables other than
bananas, and the fresh cut segment includes value-added salads,
foodservice and fresh-cut fruit operations.  Remaining
operations, reported in other, primarily consist of processed
fruit ingredient products, which are produced in Latin America
and sold in other parts of the world, and other consumer
packaged goods.

Chiquita, with revenues of approximately $4.7 billion for the
fiscal year ended Dec. 31, 2007, employs approximately 25,000
people operating in more than 70 countries worldwide, including
Belgium, Columbia, Germany, Panama, Philippines, among others.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 28, 2008, Standard & Poor's Ratings Services assigned its
'CCC' senior unsecured rating to Chiquita Brands International
Inc.'s US$200 million convertible senior notes due 2016.  Net
proceeds from the issuance were used to repay a portion of the
US$375 million term loan C (US$132 million outstanding at
Dec. 31, 2007, pro forma for this notes offering) of its senior
secured credit facility.


CHIQUITA BRANDS: Stops Operations in Panama
--------------------------------------------
Chiquita Brands Inc. has stopped its Panamanian operations,
Latin American News Agency Prensa Latina reports.

According to Prensa Latina, members of cooperatives and workers
celebrated withdrawal of the Banana Transnational company
Chiquita Brand from Panama, which has controlled fruit business
in the country for the last 80 years.

Massive social changes are expected in the banana area, Prensa
Latina says, citing Chiriqui Land Company's General Secretay
Salustiano de Gracia, who affirmed the commitment to get the
cooperative off the ground.

Prensa Latina relates that the Multiple Services Cooperative of
Armuelles Port bought assets from Chiquita on April 25, 2003,
with the help of the government.

Cincinnati, Ohio-based Chiquita Brands International, Inc.
(NYSE: CQB) -- http://www.chiquita.com/-- markets and
distributes fresh food products including bananas and nutritious
blends of green salads.  The company markets its products under
the Chiquita(R) and Fresh Express(R) premium brands and other
related trademarks.  Chiquita employs approximately 25,000
people operating in more than 70 countries worldwide, including
Belgium, Columbia, Germany, Panama, Philippines, among others.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 28, 2008, Standard & Poor's Ratings Services assigned its
'CCC' senior unsecured rating to Chiquita Brands International
Inc.'s US$200 million convertible senior notes due 2016.

As reported in the Troubled Company Reporter on March 4, 2008,
Moody's Investors Service rated the proposed new senior secured
guaranteed bank agreements of Chiquita Brands, LLC at Ba3.
Moody's said that the rating outlook remains negative.


KANSAS CITY: Hires Brian Bowers as Senior VP for Automotive
-----------------------------------------------------------
Kansas City Southern has appointed Brian H. Bowers as senior
vice president intermodal and automotive.  Mr. Bowers will
direct The Kansas City Southern Railway Company and advise
Kansas City Southern de Mexico, S.A. de C.V. on the sales and
marketing of these business units.  Mr. Bowers will report to
executive vice president sales and marketing Daniel W.
Avramovich.

"KCS has a vast number of opportunities for business growth,
especially in the NAFTA corridor and International Intermodal
Corridor," said Mr. Avramovich.  "With 32 years of
transportation leadership experience, Brian will play a
critical role in helping to bring these opportunities to
fruition and further develop these corridors."

Mr. Bowers spent ten years with Schneider National, Inc., where
most recently he served as senior vice president global
wholesale services.  While at Schneider, he also held leadership
roles over global business development, intermodal and
optimodal.  Prior to Schneider, he was president of Hub Group
Dallas, Houston and New Orleans for ten years.  He has also held
leadership positions with North American Van Lines and Roadway
Express.  He holds a master of business administration from Ohio
State University and a bachelor of arts in history and political
science from Drake University.

Headquartered in Kansas City, Missouri, Kansas City Southern --
http://www.kcsouthern.com/en-us-- is an international
transportation holding company comprised of three primary
railroads: The Kansas City Southern Railway Company, Kansas City
Southern de Mexico, and Panama Canal Railway Company.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 28, 2008, Fitch Ratings upgraded the foreign and local
currency Issuer Default Ratings of Kansas City Southern de
Mexico, S.A. de C.V. to 'BB-'from 'B+'.  Fitch said the Rating
Outlook is stable.  Fitch also upgraded Kansas City Southern de
Mexico's US$165 million 7.375% senior notes due 2014; US$460
million 9.375% senior notes due 2012; US$175 million 7.625%
senior notes due 2013 to 'BB-' from 'B+' rating.


NCO GROUP: Completes US$325 Mil. Buyout of Outsourcing Solutions
----------------------------------------------------------------
NCO Group Inc. completed its acquisition of Outsourcing
Solutions Inc. for US$325 million in cash, subject to certain
post-closing adjustments.

NCO funded a portion of the acquisition with a US$139 million
Add-on Term Loan B to its senior credit facility.  Additionally,
One Equity Partners, NCO management and other co-investors
provided NCO with the remainder of the funding for the
acquisition through additional equity investments.  NCO is a
portfolio company of OEP, a private equity investment fund.

The acquisition is expected to be accretive to NCO's earnings
in 2008 and beyond.  The combined company will have over 29,000
employees operating in 10 countries.

"We are excited at the opportunities created by this
acquisition, which will better enable us to service our
markets," Michael J. Barrist, chairman and chief executive
officer of NCO, said.  "The combined organization will be
uniquely positioned to offer our
customers a host of new and expanded products along with
unparalleled access to advanced technologies, industry
experience, and global service capabilities."

                About Outsourcing Solutions Inc.

Outsourcing Solutions Inc. is a provider of business process
outsourcing services, specializing in accounts receivable
management services.

                        About NCO Group Inc.

Based in Horsham, Pennsylvania, NCO is a global provider of
business process outsourcing services, primarily focused on
accounts receivable management and customer relationship
management.  NCO has over 25,000 full and part-time employees
who provide services through a global network of over 100
offices.  The company is a portfolio company of One Equity
Partners and reported revenues of about $1.2 billion for the
twelve month period ended Sept. 30, 2007.  NCO provides services
through over 100 offices in the United States, Canada, the
United Kingdom, Australia, India, the Philippines, the Caribbean
and Panama.

                            *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 31, 2008, Moody's Investors Service placed NCO Group Inc.'s
corporate family and probability of default ratings at 'B2'.
The rating outlook is stable.



===============
P A R A G U A Y
===============


AGILENT TECH: To Buy TILL Photonics; Closes Colloidal Purchase
--------------------------------------------------------------
Agilent Technologies Inc. has signed an agreement to acquire
TILL Photonics GmbH and has completed the acquisition of
Colloidal Dynamics.  Both companies will join the recently
created Materials Science Solutions Unit within Agilent's Life
Science and Chemical Analysis business.  Financial details were
not disclosed.  The TILL Photonics GmbH acquisition is expected
to be final at the end of March, subject to certain closing
conditions.

In addition to the acquisitions, Agilent is announcing five
enhancements to its flagship gas chromatograph and GC/mass
spectrometer platforms, designed to improve analysis of complex
mixtures and make powerful qualitative and quantitative
capabilities accessible to a wider range of laboratories.

                   Acquisitions For Business Unit

The Agilent Materials Science Solution Unit (MSSU) was formed in
2007 under the leadership of Mike Gasparian, vice president and
general manager.  MSSU's focus is to provide microscopy,
particle analysis and optical spectroscopy solutions for the
materials testing, life sciences and chemical analysis markets,
as well as to advance nanotechnology.

"Our Materials Science Solutions Unit targets expansion of
measurement platforms for research scientists in many existing
and new market segments," said Mike Gasparian, vice president
and general manager of Agilent's Materials Science Solutions
Unit.  "When final, the TILL Photonics acquisition will position
Agilent as a premier provider of advanced optical and
fluorescence microscopy systems.  Colloidal Dynamics launches
our particle-measurement portfolio, allowing us to offer
customers unmatched zeta-potential and particle-size measurement
tools."

TILL Photonics develops and markets innovative life science
products for fluorescence microscopy.  The acquisition will
complement Agilent's atomic force microscope (AFM) platform and
is consistent with Agilent's strategy of providing customers
with comprehensive workflow solutions.  TILL Photonics employees
are expected to join Agilent when the acquisition becomes final
at the end of March.  Headquartered in Munich, Germany, the
company was founded in 1993.

"I expect the novel TILL microscopy platform will experience
optimal maturing conditions as a part of Agilent and will appeal
to a much wider base of customers leveraging a strong sales and
support function," said Dr. Rainer Uhl, founder of TILL
Photonics and professor at the BioImaging Center of the
University of Munich.

The acquisition of privately held Colloidal Dynamics enables
Agilent to have a complementary suite of particle-analysis
solutions to materials science customers in the polymer,
specialty chemical, inks/pigments, food, pharmaceutical and
materials research markets.

"Our joining Agilent allows us to continue to pioneer particle
measurements and tap into worldwide service and support for our
products," said Dave Cannon, former CEO of Colloidal Dynamics
Group.  "Joining Agilent allows us to make the most of the
synergies that exist between the two companies; there are
exciting opportunities to grow."

           New Workflow Innovations Launched At Pittcon

7890A GC and 5975C GC/MS

     * The first GC x GC configuration that doesn't use cryogen
       cooling.  This removes a great deal of cost and
       complexity, making the high peak capacity and resolving
       power of this method accessible to a much wider range of
       labs.

     * The acquisition of the Blos bead nitrogen/phosphorous
       detector technology for the GC, designed to substantially
       increase productivity and uptime.

     * The Agilent J&W High-Efficiency Capillary GC Column
       product line.  Smaller internal diameter delivers high
       resolution while shorter lengths increase speed.

     * A new Triple-Axis detector for the 5975C GC/MS, delivering
       the industry's strongest signal at any given operating
       gain.

     * An upgrade to Agilent's Deconvolution Reporting Software
       for GC/MS, used to extract MS signals from complex
       mixtures.  It is especially useful with dirty matrices.

LC

     * The high-performance 1200 Series Rapid Resolution Liquid
       Chromatography autosampler, delivering the lowest
       carryover and highest precision of any autosampler on the
        market.

     * The latest version of its popular triple quadrupole mass
       spectrometer, the Agilent 6410B.  It features faster
       polarity switching scans to allow complex samples showing
       strong fragmentation in negative polarity to be analyzed
       in a single run.  Agilent also announced the landmark sale
       of the 500th 6410 triple quad in less than two years.

                         About Agilent Tech

Agilent Technologies Inc. (NYSE: A) -- http://www.agilent.com/
-- is the world's premier measurement company and a technology
leader in communications, electronics, life sciences and
chemical analysis.  The company's 19,000 employees serve
customers in more than 110 countries.

The company has operations in India, Argentina, Puerto Rico,
Bolivia, Paraguay, Venezuela, and Luxembourg, among others.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Oct. 26, 2007, Moody's Investors Service assigned a Ba1
rating to Agilent Technologies, Inc.'s proposed offering of
US$500 million senior notes due 2017 and affirmed its existing
ratings and stable outlook.



=======
P E R U
=======


GOODYEAR TIRE: Redeems US$650 Million Senior Notes Due 2011
-----------------------------------------------------------
The Goodyear Tire & Rubber Company has completed the redemption
of its outstanding US$650 million of senior secured notes due
2011.

The redemption will result, as previously indicated, in
annualized interest expense savings of approximately US$75
million to US$80 million, of which about US$65 million will be
realized in 2008.

"Eliminating this high-cost debt is an important step in our
debt reduction plan," said Goodyear's vice president and
treasurer, Damon J. Audia.  "Since January 2007, we have removed
more than US$3 billion in debt from our balance sheet."

The senior secured notes were comprised of US$450 million of
fixed rate notes, which bore interest at 11.25%, and US$200
million of floating rate notes, which bore interest at LIBOR
plus 825 basis points.

Mr. Audia also confirmed the company's previously announced
intention to repay US$100 million in 6 3/8 % notes when they
mature on March 17, 2008.

Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company
(NYSE: GT) -- http://www.goodyear.com/-- is the world's largest
tire company.  The company manufactures tires, engineered rubber
products and chemicals in more than 90 facilities in 28
countries.  Goodyear's operations are located in Argentina,
Austria, Chile, Colombia, France, Italy, Guatemala, Jamaica,
Peru, Russia, among others.  Goodyear employs more than 80,000
people worldwide.

                           *     *     *

In June 2007, Standard & Poor's Ratings Services raised its
ratings on Goodyear Tire & Rubber Co., including its corporate
credit rating to 'BB-' from 'B+'.  The ratings still apply to
date.



====================
P U E R T O  R I C O
====================


AEROMED SERVICES: Section 341(a) Meeting Slated for March 10
------------------------------------------------------------
The U.S. Trustee for Region 21 will convene a meeting of
creditors in Aeromed Services Corp.'s Chapter 11 case, on
March 10, 2008, at 9:00 a.m., at Ochoa Building, 500 Tanca St.,
1st Floor in San Juan, Puerto Rico.

This is the first meeting of creditors required under Section
341(a) of the Bankruptcy Code in the Debtors' case.  The Section
341(a) Meeting has been scheduled within the time required by
Rule 2003 of the Federal Rules of the Bankruptcy Procedure.

All creditors are invited, but not required, to attend.  The
Meeting of Creditors offers the one opportunity in a bankruptcy
proceeding for creditors to question a responsible officer of
the
Debtors under oath about the company's financial affairs and
operations that would be of interest to the general body of
creditors.

                    About Aeromed Services Corp.

Headquartered in San Juan, Puerto Rico -- Aeromed Services Corp.
-- http://www.aeromedems.com/-- offers ambulance services.  The
company filed for protection on Jan. 31, 2008 (Bankr. D. P.R.
Case No. 08-00518).  Alexis Fuentes Hernandez, Esq. represents
the Debtor in its restructuring efforts.  When the company filed
for protection against it creditors, it listed US$1 million to
US$100 million in assets and debts.


AEROMED SERVICES: June 9 Deadline Set for Proofs of Claim Filing
----------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Puerto Rio set
June 9, 2008, as the final date for creditors of Aeromed
Services Corp. to file proofs of claim.

The Court also established Aug. 4, 2008, for governmental units
to file proofs of claim.

Headquartered in San Juan, Puerto Rico -- Aeromed Services Corp.
-- http://www.aeromedems.com/-- offers ambulance services.  The
company filed for protection on Jan. 31, 2008 (Bankr. D. P.R.
Case No. 08-00518).  Alexis Fuentes Hernandez, Esq. represents
the Debtor in its restructuring efforts.  When the company filed
for protection against it creditors, it listed US$1 million to
US$100 million in assets and debts.


GENESCO INC: Anticipates Settlement of Litigation on Financing
--------------------------------------------------------------
Genesco Inc. and The Finish Line Inc. said they are anticipating
to reach an agreement for the settlement of all litigation
relating to a proposed merger of Finish Line and Genesco and UBS
Securities LLC and UBS Loan Finance LLC's financing.

The litigation concerning the commitment made by UBS to finance
the Genesco transaction is pending in the United States District
Court for the Southern District of New York.

The terms of the settlement are expected to be:

    -- The merger agreement between Genesco and Finish Line will
       be terminated; the financing commitment from UBS to Finish
       Line will be terminated; and

    -- UBS and Finish Line will pay to Genesco an aggregate of
       US$175 million in cash along with a number of Class A
       shares of Finish Line common stock equal to 12.0% of the
       total post-issuance Finish Line outstanding shares of
       common stock.

It is contemplated that Genesco and The Finish Line will enter
into a mutual standstill agreement.  It is also contemplated
that The Finish Line will pay its portion of the cash payment
from cash reserves.

Consummation of the settlement is subject to negotiation and
execution of a definitive settlement agreement and approval of
the boards of directors of Genesco and Finish Line.

                    Court Wants Merger Deal Closed

As reported in the Troubled Company Reporter on Jan. 2, 2008,
the Chancery Court for the State of Tennessee ordered Finish
Line to specifically perform the terms of its merger agreement
with Genesco Inc.

As reported in the Troubled Company Reporter on Sept. 25, 2007,
Genesco filed suit in Chancery Court in Nashville seeking an
order requiring Finish Line to consummate its merger with
Genesco and to enforce The Finish Line's rights against UBS
under the Commitment Letter for financing the transaction.

"No more delays by The Finish Line and UBS; no more reservation
of rights; no more bankers' putting their pencils down," Genesco
Chairman and Chief Executive Officer Hal N. Pennington said.
"We want a court of competent jurisdiction to enforce our rights
under the Merger Agreement and for The Finish Line and UBS to
live up to their obligations."

At that time, Alan H. Cohen, Chief Executive Officer of The
Finish Line commented that "[w]hile the litigation proceeds, we
are continuing to operate our business in the ordinary course
and are focused on implementing our product and branding
strategies."

Alan N. Salpeter, Esq., represents Finish Line.

                        About The Finish Line

The Finish Line Inc. (NASDAQ: FINL) --
http://www.finishline.com/-- and -- http://www.manalive.com/--
together with its subsidiaries, is a mall-based specialty
retailer in the United States.  The company operates under the
Finish Line, Man Alive and Paiva brand names.  Finish Line is a
mall-based specialty retailer of men's, women's and children's
brand name athletic, lifestyle and outdoor footwear, soft goods,
activewear and accessories.  As of April 20, 2007, the company
operated 693 Finish Line stores in 47 states.

                         About Genesco Inc.

Headquartered in Nashville, Tennessee, Genesco Inc. (NYSE: GCO)
-- http://www.genesco.com/-- is a specialty retailer of
footwear, headwear and accessories in more than 1,900 retail
stores in the U.S., Canada and Puerto Rico, principally under
the names Journeys, Journeys Kidz, Shi by Journeys, Johnston &
Murphy, Underground Station, Hatworld, Lids, Hat Zone, Cap
Factory, Head Quarters and Cap Connection.  The company also
sells footwear at wholesale under its Johnston & Murphy brand
and under the licensed Dockers.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 7, 2008, Standard & Poor's Ratings Services said its
ratings on specialty footwear and headwear retailer Genesco Inc.
remain on CreditWatch with developing implications following the
announcement that the Chancery Court for the State of Tennessee
ordered The Finish Line Inc. to specifically perform the terms
of its merger agreement with Nashville, Tennessee-based Genesco.
However, the court did not offer an opinion as to the solvency
of the merged entity.  The resolution of that issue will be
determined by a New York court in a lawsuit filed by UBS.  In
response to the court's decision, The Finish Line is considering
its options, including the possibility of an appeal.

S&P lowered its corporate credit rating on Genesco Inc. to 'B+'
from 'BB-'.  At the same time, S&P lowered its issue-level
rating on the company's subordinated debt to 'B-' from 'B'.


R&G FINANCIAL: To Settle Claims in Shareholder Class Action
-----------------------------------------------------------
R&G Financial Corporation has reached an agreement in principle
to settle all claims with the lead plaintiffs in a shareholder
class action originally filed in 2005.  Under the terms of the
settlement, which is subject to notice being provided to the
class and final approval by the United States District Court for
the Southern District of New York, the company and the other
settling defendants will pay the plaintiffs an aggregate of
US$39 million.

The company also reached an agreement in principle to settle all
claims in the shareholder derivative litigation filed against
the company in 2005.  The derivative settlement is also subject
to notice and approval from the United States District Court for
the Southern District of New York.

In connection with these settlements, the company agreed to
certain corporate governance enhancements which will, among
other things, impose additional director independence
requirements.  As part of the global settlement, the company
will pay approximately US$29 million and the company's insurers
and certain individual defendants will pay an aggregate of
approximately US$11 million.

"I am pleased with the settlement that we reached with the
plaintiffs," said R&G Financial President and Chief Executive
Officer, Rolando Rodriguez.  "Today is another significant step
in our efforts to fully address our pending legal and regulatory
matters."

The company had been in discussions, led by a mediator, with the
lead plaintiffs and the derivative plaintiffs regarding a
settlement.

Headquartered in San Juan, Puerto Rico, R&G Financial Corp.
(PNK: RGFC.PK) -- http://www.rgonline.com/-- is a financial
holding company with operations in Puerto Rico and the United
States, providing banking, mortgage banking, investments,
consumer finance and insurance through its wholly owned
subsidiaries, R-G Premier Bank, R-G Crown Bank, R&G Mortgage
Corporation, Puerto Rico's second largest mortgage banker, R-G
Investments Corporation, the company's Puerto Rico broker-
dealer, and R-G Insurance Corporation, its Puerto Rico insurance
agency.  The company operates 37 bank branches in Puerto Rico,
36 bank branches in the Orlando, Tampa/St. Petersburg and
Jacksonville, Florida and Augusta, Georgia markets, and 44
mortgage offices in Puerto Rico, including 36 facilities located
within R-G Premier Bank's banking branches.

                         *     *     *

As of September 2007, R&G Financial carried Fitch Ratings' CCC
long-term issuer default rating.



=============
U R U G U A Y
=============


PERNOD RICARD: To Reopen Braeval Distillery in July 2008
--------------------------------------------------------
Pernod Ricard S.A. plans to reopen its Braeval distillery, near
Tomintoul, Scotland, in July 2008 to boost its Speyside whisky
production, the Scotsman reports.

According to the report, Pernod, whose first half profits soared
18% to EUR588 million, opted to reopen the distillery following
a surge in demand for its premium whisky brands.

The company, the Scotsman relates, intends to install a new mash
tun, six new stills and eight new "washbacks" at the Braeval
plant, which has lain dormant for the past six years.

"Demand for Scotch whisky is at a record high.  This latest
investment will enable us to meet our growing demand as well as
demonstrate our commitment to developing our business in
Scotland," Chivas chief executive Christian Porta was quoted by
the Scotsman as saying.

The expansion plans are yet to submitted to Moray Council, the
paper adds.

                        About Pernod Ricard

Headquartered in Paris, France, Pernod Ricard --
http://www.pernod-ricard.com/-- produces and distributes
spirits and wines.  The Company operates in Europe, North
America, Central and South America, and the Asia-Pacific region.
In Latin America and South America, the company operates in
Argentina, Brazil, Chile, Colombia, Mexico, Uruguay and
Venezuela.

                           *     *     *

Pernod Ricard carries Standard & Poor's local and foreign
currency ratings of BB+/Stable/B.



=================
V E N E Z U E L A
=================


PETROLEOS DE VENEZUELA: Exxon Wants Freeze Order Upheld
-------------------------------------------------------
Exxon Mobil has asked the London High Court to uphold the order
freezing US$12 billion in Petroleos de Venezuela SA's assets,
various reports say.

Exxon Mobil's counsel Catharine Otton-Goulder, during last
week's hearing, said: "This ruling should be upheld in order to
support the arbitration process between both parties," El
Universal states.

Ms. Otton-Goulder, Agence France-Presse relates, says that the
English and Welsh court has jurisdiction on this case, even
though it is not linked to any of the parties.  According to the
report, Ms. Otton-Goulder has rejected the arguments of PDVSA's
lawyer Gordon Pollock asking the judge to lift the freezing
injunction.

As previously reported, the asset-freeze order against Petroleos
de Venezuela was made so that Exxon Mobil Corp. would be able to
extract compensation should it win a pending arbitration.
Petroleos de Venezuela has appealed the asset-freeze order.
Petroleos de Venezuela contends that the U.K. court doesn't have
the authority to award the injunction because the case involved
U.S. and Venezuelan firms.

                   About Petroleos de Venezuela

Petroleos de Venezuela SA -- http://www.pdv.com/-- is
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad.  The company has a commercial office in China.

PDVSA is one of the top exporters of oil to the US with proven
reserves of 77.2 billion barrels of oil -- the most outside the
Middle East -- and about 150 trillion cu. ft. of natural gas.

PDVSA's exploration and production take place in Venezuela, but
the company also has refining and marketing operations in the
Caribbean, Europe, and the US.

                           *     *     *

As of Feb. 14, 2008, Fitch Ratings held Petroleos de Venezuela
SA's long-term issuer default rating and local currency long
term issuer default rating at BB-.  Fitch said the ratings
outlook was negative.


PETROLEOS DE VENEZUELA: Eni to Invest Up to US$20MM in Junin 5
--------------------------------------------------------------
Petroleos de Venezuela said that Italian oil firm Eni will
invest up to US$20 million from 2009 to 2014 on reserve
certification on Junin 5 block on the Orinoco heavy crude belt.

As reported in the Troubled Company Reporter-Latin America on
March 4, 2008, Petroleos de Venezuela SA signed a new accord
with Eni.  Petroleos de Venezuela and Eni would invest US$10
billion in a joint venture to conduct exploration and production
activities in the Orinoco heavy crude belt.

According to Petroleos de Venezuela, the reserve certification
could be extended to 2016.

Business News Americas relates that Petroleos de Venezuela and
Eni will consider creating a joint venture for exploration and
production on a block in Orinoco that would be awarded by
Venezuela's oil and energy ministry.

"Eni's Slurry hydroprocessing process" will be used on Junin 5,
BNamericas states, citing Petroleos de Venezuela.

Petroleos de Venezuela SA -- http://www.pdv.com/-- is
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad.  The company has a commercial office in China.

PDVSA is one of the top exporters of oil to the US with proven
reserves of 77.2 billion barrels of oil -- the most outside the
Middle East -- and about 150 trillion cu. ft. of natural gas.

PDVSA's exploration and production take place in Venezuela, but
the company also has refining and marketing operations in the
Caribbean, Europe, and the US.

                           *     *     *

As of Feb. 14, 2008, Fitch Ratings held Petroleos de Venezuela
SA's long-term issuer default rating and local currency long
term issuer default rating at BB-.  Fitch said the ratings
outlook was negative.


PETROLEOS DE VENEZUELA: Gas Comunal to Take Up Gas Operations
-------------------------------------------------------------
The People's Ministry of Energy and Petroleum and Petroleos de
Venezuela will take measures needed to ensure immediate re-
establishment of the gas service in certain places where those
problems have risen by taking direct action with new subsidiary
PDVSA Gas Comunal, Venezuelan Energy Minister Rafael Ramirez
said.

Minister Ramirez stated that if gas private companies stop
providing the service because their economic margin is not
enough, then the state-run oil holding will get involved to
solve the problem and take up the operations through PDVSA Gas
Comunal.

According to Minister Ramirez, Petroleos de Venezuela bought
companies Tropigas and Vengas and inaugurated PDVSA Gas Communal
in 2007, helping the company get 60% of the domestic market and
empower it to take an active part in the gas sector.

"We met with the private guilds that pool the liquefied
petroleum gas (LPG) companies in order to join efforts and solve
the investment troubles that have arisen in this regard,"
Minister Ramirez said.

The People's Ministry and Petroleos de Venezuela recognized the
need to replace at least 40% of gas canisters and ordered to buy
one million gas canisters on behalf of PDVSA Gas Comunal, which
will give them on gratuitous loan to private providers.
Petroleos de Venezuela will be responsible for about 70 trucks
engaged in gas distribution.

Minister Ramirez commented, "We are working on a reliable gas
supply. We must back the companies' financial operations,
because they have faced strong speculation by the only importer
of the parts needed to supply the service.  We will make the
imports directly."

Private companies in the gas sector are very small and cannot
cope with provisioning of equipments and distribution of
canisters.

"We are talking about 250 companies spread throughout the
country; some of them have 24 employees only," Minister Ramirez
said.

Petroleos de Venezuela will cover the expenses through its
subsidiary PDVSA Gas Comunal.  Community councils, welfare
Missions -- particularly Mission Ribas or Mission Che Guevara --
and the People's Power are expected to be responsible for
distribution of gas canisters to end users.  The goal is to
prevent price speculation.

Minister Ramirez said that progress has been made on the startup
and operations of filling community stations in the hands of
community councils, backed by PDVSA Gas Comunal.  One filling
station opened in Santa Rosa, Barinas state, and started
operations with a filling capacity of 6,000 gas canisters per
day.

The initiatives are aimed at preventing concentration of the
service in major cities.  Otherwise, transportation to remote
sites makes goods more expensive.

The minister urged the Venezuelan people not to fall in media
manipulation.  "I make a call not to be nervous.  The gas
sector, not even during the oil sabotage, stopped providing the
service, and will not stop doing it now," Minister Ramirez said.

Petroleos de Venezuela SA -- http://www.pdv.com/-- is
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad.  The company has a commercial office in China.

PDVSA is one of the top exporters of oil to the US with proven
reserves of 77.2 billion barrels of oil -- the most outside the
Middle East -- and about 150 trillion cu. ft. of natural gas.

PDVSA's exploration and production take place in Venezuela, but
the company also has refining and marketing operations in the
Caribbean, Europe, and the US.

                           *     *     *

As of Feb. 14, 2008, Fitch Ratings held Petroleos de Venezuela
SA's long-term issuer default rating and local currency long
term issuer default rating at BB-.  Fitch said the ratings
outlook was negative.


PETROLEOS DE VENEZUELA: In Talks With Exxon on Chalmette Supply
---------------------------------------------------------------
Petroleos de Venezuela is in talks with Exxon Mobil Corp. over
supplies to the Chalmette plant, Reuters reports, citing
Venezuelan Oil Minister Rafael Ramirez.

Minister Ramirez commented to journalists, "There has been, with
respect to the Chalmette refinery, the intention by Exxon to
ignore the supply contracts -- an issue we are discussing."

Exxon had rejected cargoes from the Petro Monagas heavy oil
project, formerly the Cerro Negro heavy crude upgrader that
Exxon operated until its nationalization in 2007, Reuters says,
citing a source.  "A couple of cargoes have been pushed back for
not meeting the quality specification," the source told Reuters.

Reuters says that Chalmette was getting less than it normally
does from the Petro Monagas project, where it receives most of
its crude.  This may have been related to maintenance at
Chalmette, which in January started two months of planned
maintenance to add new environmental controls, Reuters notes,
citing the source.  The source explained to Reuters that the
cargo rejections don't necessarily indicate operational problems
at Petro Monagas because Petroleos de Veenzuela could have
"incorrectly described the specifications of the crude being
offered."

Petroleos de Venezuela SA -- http://www.pdv.com/-- is
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad.  The company has a commercial office in China.

PDVSA is one of the top exporters of oil to the US with proven
reserves of 77.2 billion barrels of oil -- the most outside the
Middle East -- and about 150 trillion cu. ft. of natural gas.

PDVSA's exploration and production take place in Venezuela, but
the company also has refining and marketing operations in the
Caribbean, Europe, and the US.

                           *     *     *

As of Feb. 14, 2008, Fitch Ratings held Petroleos de Venezuela
SA's long-term issuer default rating and local currency long
term issuer default rating at BB-.  Fitch said the ratings
outlook was negative.




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S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter - Latin America is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
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Pamella Ritah K. Jala, Tara Eliza Tecarro, Frauline S. Abangan,
and Peter A. Chapman, Editors.

Copyright 2008.  All rights reserved.  ISSN 1529-2746.

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