TCRLA_Public/080722.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

            Tuesday, July 22, 2008, Vol. 9, No. 144

                            Headlines


A N T I G U A  &  B A R B U D A

AMERICAN AIRLINES: To Launch Miami-Antigua Nonstop Daily Flights


A R G E N T I N A

AEROLINEAS ARGENTINAS: Faces Lawsuit in New Zealand
AEROLINEAS ARGENTINAS: Government to Take Over Airline
ALEGRE PAVIMENTOS: Proofs of Claim Verification Is Until Oct. 13
AMF PLAYCENTER: Proofs of Claim Verification Deadline Is Oct. 14
DELTA AIR: Expects Increase in Cargo Biz Revenue to US$600 Mil.

DELTA AIR: Terminates Flights in Toledo, Ohio & Lansing
DELTA AIR: To End ExpressJet Delta Operations by September 1
DF CONSTRUCCIONES: Proofs of Claim Verification Is Until Aug. 21
SPEED FEET: Proofs of Claim Verification Deadline Is Sept. 3
TRASVAL SA: Proofs of Claim Verification Is Until Aug. 8


B A H A M A S

HARRAH'S ENTERTAINMENT: Moody's Cuts Corp. Family Rating to B3


B E R M U D A

GLOBAL CROSSING: Liquidators to Seek Their Release
GLOBAL CROSSING HOLDINGS: Liquidators to Seek Their Release
SCOTTISH RE: Poor Flexibility Cues S&P to Junk Unit's Ratings


B R A Z I L

BR MALLS: To Release Second Quarter 2008 Earnings on August 6
BRASIL TELECOM: Telemar Eyes BRL3 Bil. More to Pay Acquisition
BRASIL TELECOM: Zacks Keeps Buy Recommendation on Firm's Shares
GERDAU AMERISTEEL: Names Rick J. Mills as New Board of Director
NET SERVICOS: Reports BRL28 Mil. Net Income in 2008 Second Qtr.

SHARPER IMAGE: Changes Corporate Name to "TSIC, Inc."
SHARPER IMAGE: Exclusive Plan Filing Date Extended to Sept. 16
SHARPER IMAGE: States Join Opposition to Claims Bar Date
TAM SA: Will Release Second Quarter 2008 Results on August 14


C A Y M A N  I S L A N D S

AUSPEX FUND: Will Hold Final Shareholders Meeting on July 25
CYPRESS LIMITED: Proofs of Claim Filing Deadline Is July 25
EXPORTCITRUS LTD: Proofs of Claim Filing Is Until July 25
HAWK CAPITAL: To Hold Final Shareholders Meeting on July 25
INTERJUICE TRADING: Proofs of Claim Filing Deadline Is July 25

MENEMSHA CAPITAL: Sets Final Shareholders Meeting for July 25
MULTI CAPITAL: Deadline for Proofs of Claim Filing Is July 25
NEW CITY HARAJUKU: Sets Final Shareholders Meeting on July 25
PARMALAT SPA: Investors to Get Notice on Class Suit Settlement
PS PROPERTY: Will Hold Final Shareholders Meeting on July 25

RISK ASSURANCE: A.M. Best Affirms and Withdraws B+ FSR
SAVANNAH-BALTIMORE: Final Shareholders Meeting Is on July 25
SPNY PARTICIPATION: Sets Final Shareholders Meeting for July 25
UBP EMERGING: Proofs of Claim Filing Deadline Is July 25
WATERFALL VANILLA: Proofs of Claim Filing Deadline Is July 25


C H I L E

EMPRESAS CMPC: S&P's Stable Outlook Shows Strong Credit Profile


C O S T A  R I C A

GLOBAL CROSSING: Launches Submarine Cable in Costa Rica


D O M I N I C A N   R E P U B L I C

BASIC ENERGY: S&P Holds BB- Rating After Failed Grey Wolf Merger  

* DOMINICAN REPUBLIC: S&P Affirms B+/B Sovereign Credit Rating


J A M A I C A

AIR JAMAICA: Spends Almost US$1.4MM Due to Flight Cancellations
CABLE & WIRELESS: Relaunches Homefone in Jamaica
NAT'L COMMERCIAL: Court Won't Give Bank Directions on Olint
NAT'L COMMERCIAL: Court Okays Michael Hylton as Bank's Attorney
OLINT CORP: Court Lets Michael Hylton Represent Nat'l Commercial

NATIONAL WATER: Jeremy Palmer Blames Commission for Bad Service


M E X I C O

ALLIS-CHALMERS: S&P Raises Ratings to 'B+' from 'B'
AXTEL SAB: Seven Units Merge for Administrative Efficiencies
BEARINGPOINT INC: Gets Non-Compliance Notice Letter From NYSE
BHM TECHNOLOGIES: Committee Wants to Retain Chanin as Advisor
CARDTRONICS INC: Closes Exchange Offer on 9.250% Senior Notes

CONTINENTAL AIRLINES: Posts US$3MM Net Loss in 2008 2nd Quarter
DISTRIBUTED ENERGY: US$10.18MM Sale to Proton Business Approved
FIAT SPA: Ends Diesel Engine Joint Venture with Cummins Inc.
GRUPO TMM: Comments on Auditor's Going Concern Report


V E N E Z U E L A

NORTHWEST AIR: CEO Urges Congress to Close Trading Loopholes

* VENEZUELA: Fitch Withdraws Ratings on Four Heavy Oil Projects

* Large Companies With Insolvent Balance Sheet


                         - - - - -


===============================
A N T I G U A  &  B A R B U D A
===============================

AMERICAN AIRLINES: To Launch Miami-Antigua Nonstop Daily Flights
----------------------------------------------------------------
Caribbean Net News reports that American Airlines Inc. will
launch daily nonstop service from Miami to Antigua.

According to Caribbean Net, American Airlines' Miami-Antigua
route will start on Nov. 2, 2008.  The airline will use its
Boeing 737-800 aircraft configured with 16 seats in First Class
and 132 seats in the Main Cabin.

Caribbean Net relates that American Airlines' Senior Vice
President for Miami, Caribbean and Latin America, Peter J.
Dolara, said,  "It's just a convenient nonstop flight away from
South Florida on American Airlines, as well as a convenient
connecting flight from dozens of other destinations via our
Miami hub."

Based in Fort Worth, Texas, American Airlines Inc., a wholly
owned subsidiary of AMR Corp., operates the largest scheduled
passenger airline in the world with service throughout North
America, the Caribbean, Latin America, Europe and Asia.  The
airline flies to Belgium, Brazil, and Japan.

                          *    *    *

As reported in the Troubled Company Reporter-Latin America on
April 17, 2008, Fitch Ratings has affirmed AMR Corp.'s Issuer
default rating at 'B-' and Senior unsecured debt at 'CCC/RR6' as
well as its principal operating subsidiary, American Airlines,
Inc.'s Issuer default rating at 'B-' and Secured bank credit
facility at 'BB-/RR1'.  Fitch's rating outlook for both AMR
Corp. and American Airlines has been revised to stable from
positive.

As reported in the Troubled Company Reporter-Latin America on
March 26, 2008, Standard & Poor's Ratings Services revised its
outlook on the  long-term ratings on AMR Corp. (B/Negative/B-3)
and subsidiary American Airlines Inc. (B/Negative/--) to
negative from positive.  S&P also lowered its short-term rating
on AMR to 'B- 3' from 'B-2' and affirmed all other ratings on
AMR and American.



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

AEROLINEAS ARGENTINAS: Faces Lawsuit in New Zealand
----------------------------------------------------
Symon Ross at The Wall Street Journal reports that Aerolineas
Argentinas is facing a lawsuit filed by the New Zealand Commerce
Commission for failure to provide information and documents
during a probe into charges of price fixing and anticompetitive
behavior in the air-cargo industry.

According to the Journal, the Commission said it filed criminal
charges against Aerolineas Argentinas, Cathay Pacific Airways
Ltd., and Singapore Airlines Ltd.  The probe in New Zealand was
launched while the U.S. Justice Department was investigating
price fixing on air-cargo shipments to and from the U.S.

The Journal relates that Aerolineas Argentinas failed to provide
documents and information to the Commission by November 2007,
breaching Section 103 of New Zealand's Commerce Act.  The
District court in Auckland will determine if the airline
breached the law.  Once proven guilty, Aerolineas Argentinas
will face a penalty of a summary conviction and fines of up to
NZ$30,000, or about US$23,000.

Aerolineas Argentinas is controlled by Spanish tourism group
Marsans, which purchased the airline in 2001 when the Argentine
company was bankrupt.  Aerolineas Argentinas has 80% of the
domestic flights in Argentina.

Aerolineas Argentinas is behind on the payment of its June 2008
salary and other benefits.  The airline has been facing protests
and complaints about poor service.  It was forced to run under
state-controlled fares.  Despite subsidized jet fuel, it has
accumulated growing debts.  Aerolineas Argentinas declared
operating losses of US$100 million in the first half of the
year.

Aerolineas Argentinas had financial problems in the past.  As
reported in the Troubled Company Reporter on June 15, 2000,
Aerolineas Argentinas needed a US$650 million capital injection
and sweeping cost cuts to save it from bankruptcy.  Aerolineas'
biggest shareholder covered a bulk of its losses, which Spanish
sources put at US$300 million in 2000.  Aerolineas Argentinas
also defaulted on a US$50 million bonds due on Dec. 23, 2003.
In 2005 the airline admitted the possibility of letting
Argentine partners into the company.  Earlier in 2008, Marsans
reached a preliminary accord to reduce its stake in Aerolineas
Argentinas to 35% from 95% including a local private investor
(35%) and greater participation of the Argentine state and
provinces.


AEROLINEAS ARGENTINAS: Government to Take Over Airline
------------------------------------------------------
Aerolineas Argentinas' owner, Spanish travel group Marsans, has
agreed to sell the airline to the Argentine government, Reuters
reports, citing Transport Secretary Ricardo Jaime.

The Financial Times relates that the agreement would be
finalized on Monday by Argentine Planning Minister Julio De Vido
and Marsans.  The government will also send a bill to congress
seeking authorization for the purchase of Aerolineas Argentinas.

According to Reuters, Mr. Jaime said that the government will
purchase all of Marsans' shares.  Mr. Jaime said, "We're going
to start the due diligence process that will allow us to
determine the value of the shares."

Mercopress, citing a spokesperson for Marsans, relates that the
final price of the operation will be known in two months time.  
The purchase includes Aerolineas Argentinas' subsidiary Austral.  
According to Mr. Jaime, the transfer of ownership would take 60
days.  According to FT, Julio Alak, a former representative for
the state, will run Aerolineas Argentinas during this period.

The government will seek ways to inject funds to Aerolineas
Argentinas, Mercopress says, citing Mr. Jaime.

Aerolineas Argentinas would need US$150 million for maintenance
and spare parts, FT states, citing Jorge Perez Tamayo, president
of the Argentine pilots' union.

Aerolineas Argentinas is controlled by Spanish tourism group
Marsans, which purchased the airline in 2001 when the Argentine
company was bankrupt.  Aerolineas Argentinas has 80% of the
domestic flights in Argentina.

Aerolineas Argentinas is behind on the payment of its June 2008
salary and other benefits.  The airline has been facing protests
and complaints about poor service.  It was forced to run under
state-controlled fares.  Despite subsidized jet fuel, it has
accumulated growing debts.  Aerolineas Argentinas declared
operating losses of US$100 million in the first half of the
year.

Aerolineas Argentinas had financial problems in the past.  As
reported in the Troubled Company Reporter on June 15, 2000,
Aerolineas Argentinas needed a US$650 million capital injection
and sweeping cost cuts to save it from bankruptcy.  Aerolineas'
biggest shareholder covered a bulk of its losses, which Spanish
sources put at US$300 million in 2000.  Aerolineas Argentinas
also defaulted on a US$50 million bonds due on Dec. 23, 2003.
In 2005 the airline admitted the possibility of letting
Argentine partners into the company.  Earlier in 2008, Marsans
reached a preliminary accord to reduce its stake in Aerolineas
Argentinas to 35% from 95% including a local private investor
(35%) and greater participation of the Argentine state and
provinces.


ALEGRE PAVIMENTOS: Proofs of Claim Verification Is Until Oct. 13
----------------------------------------------------------------
The court-appointed trustee for Alegre Pavimentos S.A.'s
bankruptcy proceeding, will be verifying creditors' proofs of
claim until Oct. 13, 2008.

The trustee will present the validated claims in court as
individual reports on Nov. 24, 2008.  The National Commercial
Court of First Instance in Buenos Aires 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 Alegre Pavimentos 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 Alegre Pavimentos'
accounting and banking records will be submitted in court on
Feb. 10, 2009.

The debtor can be reached at:

           Alegre Pavimentos S.A.
           Zavaleta 1300
           Buenos Aires, Argentina
           Telephone: (011) 4911-1514
           Fax: (011) 4911-1514


AMF PLAYCENTER: Proofs of Claim Verification Deadline Is Oct. 14
----------------------------------------------------------------
The court-appointed trustee for AMF Playcenter S.A.'s bankruptcy
proceeding, will be verifying creditors' proofs of claim until
Oct. 14, 2008.

The trustee will present the validated claims in court as
individual reports on Nov. 25, 2008.  The National Commercial
Court of First Instance in Buenos Aires 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 AMF Playcenter 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 AMF Playcenter's
accounting and banking records will be submitted in court on
Feb. 12, 2009.


DELTA AIR: Expects Increase in Cargo Biz Revenue to US$600 Mil.
---------------------------------------------------------------
Delta Air Lines, Inc. is looking to grow its cargo business by
US$600,000,000 in revenue in 2008, from US$482,000,000 in 2007,
according to The Atlanta-Journal Constitution.

Delta invested in among others, a US$2,000,000 set of four giant
coolers and infrastructure in its hub in Atlanta, Georgia, which
it will use to store perishable shipments, particularly
temperature-sensitive pharmaceuticals, the report says.

Additionally, Delta's cargo division in Atlanta also adopted in
May 2008, technological improvements, including the scanning
technology, which Delta expects to roll out to other hubs by the
end of 2008, according to the newspaper.

Delta “largely ignored” its cargo business when it underwent
financial trouble, which ultimately led to its filing for
Chapter 11 protection in September 2005, Vice President for
Delta -- Cargo Division Neel Shaah told AJC.

As Delta grows in its share of international flights, cargo
rises in importance, AJC notes, quoting Mr. Shaah.

Delta's cargo operation employs 775 people, including about 300
in Atlanta.

                         About Delta Air

Based in Atlanta, Georgia, Delta Air Lines Inc. (NYSE:DAL) --
http://www.delta.com/-- is the world's second-largest airline
in terms of passengers carried and the leading U.S. carrier
across the Atlantic, offering daily flights to 328 destinations
in 56 countries on Delta, Song, Delta Shuttle, the Delta
Connection carriers and its worldwide partners.  Delta flies to
Argentina, Australia and the United Kingdom, among others.

The company and 18 affiliates filed for chapter 11 protection on
Sept. 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17923).
Marshall S. Huebner, Esq., at Davis Polk & Wardwell, represents
the Debtors in their restructuring efforts.  Timothy R. Coleman
at The Blackstone Group L.P. provides the Debtors with financial
advice.  Daniel H. Golden, Esq., and Lisa G. Beckerman, Esq., at
Akin Gump Strauss Hauer & Feld LLP, provide the Official
Committee of Unsecured Creditors with legal advice.  John
McKenna, Jr., at Houlihan Lokey Howard & Zukin Capital and James
S. Feltman at Mesirow Financial Consulting, LLC, serve as the
Committee's financial advisors.

The Debtors filed a chapter 11 plan of reorganization and
disclosure statement explaining that plan on Dec. 19, 2007.  On
Jan. 19, 2007, they filed revisions to the plan and disclosure
statement, and submitted further revisions to the plan on
Feb. 2, 2007.  On Feb. 7, 2007, the Court approved the Debtors'
disclosure statement.  In April 25, 2007, the Court confirmed
the Debtors' plan.  That plan became effective on April 30,
2007.  The Court entered a final decree closing 17 cases on
Sept. 26, 2007.  (Delta Air Lines Bankruptcy News, Issue No.
103; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


DELTA AIR: Terminates Flights in Toledo, Ohio & Lansing
-------------------------------------------------------
Delta Air Lines, Inc. said it will discontinue all passenger
service to and from Toledo Express Airport in Ohio, effective
Sept. 1, “due to high fuel prices”, Toledoblade.com reports.

The elimination of Delta's remaining three daily flights to
Cincinnati follows the airline's decision earlier in 2008, to
stop its Toledo service to Atlanta, Georgia, the report says.

Similarly, Delta told officials at Lansing, Michigan, that it is  
dropping its three daily flights at Capital Region International
Airport by the end of August, according to the Lansing State
Journal.

Delta will leave two dozen people from Lansing, Michigan,
unemployed, the report notes.

In a statement addressed to Lansing officials, Delta said its
exit is part of a move to reduce “select flights that cannot be
profitable” because of record-high fuel prices over the past
year.

The Troubled Company Reporter said on June 20, 2008, that in
response to rising fuel costs, the company is adding to
previously announced plans to reduce domestic capacity by 10%
year over year in the second half this year and now plans for
total domestic capacity reductions of 13% in the second half of
2008.  As previously announced, Delta plans to remove the
equivalent of 15 to 20 mainline and 60 to 70 regional jet
aircraft from its operation by the end of 2008.

                         About Delta Air

Based in Atlanta, Georgia, Delta Air Lines Inc. (NYSE:DAL) --
http://www.delta.com/-- is the world's second-largest airline
in terms of passengers carried and the leading U.S. carrier
across the Atlantic, offering daily flights to 328 destinations
in 56 countries on Delta, Song, Delta Shuttle, the Delta
Connection carriers and its worldwide partners.  Delta flies to
Argentina, Australia and the United Kingdom, among others.

The company and 18 affiliates filed for chapter 11 protection on
Sept. 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17923).
Marshall S. Huebner, Esq., at Davis Polk & Wardwell, represents
the Debtors in their restructuring efforts.  Timothy R. Coleman
at The Blackstone Group L.P. provides the Debtors with financial
advice.  Daniel H. Golden, Esq., and Lisa G. Beckerman, Esq., at
Akin Gump Strauss Hauer & Feld LLP, provide the Official
Committee of Unsecured Creditors with legal advice.  John
McKenna, Jr., at Houlihan Lokey Howard & Zukin Capital and James
S. Feltman at Mesirow Financial Consulting, LLC, serve as the
Committee's financial advisors.

The Debtors filed a chapter 11 plan of reorganization and
disclosure statement explaining that plan on Dec. 19, 2007.  On
Jan. 19, 2007, they filed revisions to the plan and disclosure
statement, and submitted further revisions to the plan on
Feb. 2, 2007.  On Feb. 7, 2007, the Court approved the Debtors'
disclosure statement.  In April 25, 2007, the Court confirmed
the Debtors' plan.  That plan became effective on April 30,
2007.  The Court entered a final decree closing 17 cases on
Sept. 26, 2007.  (Delta Air Lines Bankruptcy News, Issue No.
103; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


DELTA AIR: To End ExpressJet Delta Operations by September 1
------------------------------------------------------------
Delta Air Lines Inc. and ExpressJet mutually agreed to cease all
ExpressJet Delta Connection operations as of Sept. 1, 2008.

ExpressJet currently operates 23 ERJ-145 aircraft for Delta
Connection on flights that primarily operate out of Los Angeles
and Salt Lake City.  Delta intends to award a portion of this
flying, including all routes currently operated by ExpressJet at
its Salt Lake City hub, to another Delta Connection carrier.
Delta will rebook customers whose scheduled service is impacted
by these changes.

“We are pleased to be able to reach a mutual agreement on the
termination of our partnership with ExpressJet,” said Don
Bornhorst, senior vice president for Delta Connection.  “While
we expect minimal impact to customers, Delta will work to ensure
that alternate transportation options are arranged as quickly as
possible.”

“With the losses we were experiencing from our Delta pro-rate
flying combined with our ability to return aircraft to the
lessor, this termination of service is in the best interest of
our company,” said Jim Ream, ExpressJet president and chief
executive officer.

After Sept. 1, ExpressJet will retain the 23 ERJ-145 aircraft it
currently flies Delta Connection.

Customers with impacted flights scheduled on ExpressJet will
be notified by Delta reservations agents and offered alternate
flights or refunds if their flights have been cancelled.   
Customers can also contact Delta directly at 1-800-221-1212.

                         About Delta Air

Based in Atlanta, Georgia, Delta Air Lines Inc. (NYSE:DAL) --
http://www.delta.com/-- is the world's second-largest airline
in terms of passengers carried and the leading U.S. carrier
across the Atlantic, offering daily flights to 328 destinations
in 56 countries on Delta, Song, Delta Shuttle, the Delta
Connection carriers and its worldwide partners.  Delta flies to
Argentina, Australia and the United Kingdom, among others.

The company and 18 affiliates filed for chapter 11 protection on
Sept. 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17923).
Marshall S. Huebner, Esq., at Davis Polk & Wardwell, represents
the Debtors in their restructuring efforts.  Timothy R. Coleman
at The Blackstone Group L.P. provides the Debtors with financial
advice.  Daniel H. Golden, Esq., and Lisa G. Beckerman, Esq., at
Akin Gump Strauss Hauer & Feld LLP, provide the Official
Committee of Unsecured Creditors with legal advice.  John
McKenna, Jr., at Houlihan Lokey Howard & Zukin Capital and James
S. Feltman at Mesirow Financial Consulting, LLC, serve as the
Committee's financial advisors.

The Debtors filed a chapter 11 plan of reorganization and
disclosure statement explaining that plan on Dec. 19, 2007.  On
Jan. 19, 2007, they filed revisions to the plan and disclosure
statement, and submitted further revisions to the plan on
Feb. 2, 2007.  On Feb. 7, 2007, the Court approved the Debtors'
disclosure statement.  In April 25, 2007, the Court confirmed
the Debtors' plan.  That plan became effective on April 30,
2007.  The Court entered a final decree closing 17 cases on
Sept. 26, 2007.  (Delta Air Lines Bankruptcy News, Issue No.
103; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


DF CONSTRUCCIONES: Proofs of Claim Verification Is Until Aug. 21
----------------------------------------------------------------
Juan E. Cavalieri, the court-appointed trustee for D.F.
Construcciones S.R.L.'s bankruptcy proceeding, will be verifying
creditors' proofs of claim until Aug. 21, 2008.

Mr. Cavalieri will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance in Quilmes, Buenos Aires, 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 D.F. Construcciones and its creditors.

Infobae didn't state the submission dates for the individual
reports.

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 D.F. Construcciones'
accounting and banking records will be submitted in court on
Sept. 19, 2008.

The debtor can be reached at:

       D.F. Construcciones S.R.L.
       Calle 148, Numero 750
       Berazategui, Buenos Aires
       Argentina

The trustee can be reached at:

       Juan E. Cavalieri
       San Martin 528, Quilmes
       Buenos Aires, Argentina


SPEED FEET: Proofs of Claim Verification Deadline Is Sept. 3
------------------------------------------------------------
Alfredo Donatti, the court-appointed trustee for D.F.
Construcciones S.R.L.'s bankruptcy proceeding, will be verifying
creditors' proofs of claim until Sept. 3, 2008.

Mr. Donatti will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 6 in Buenos Aires, with the assistance of Clerk
No. 12, 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 D.F. Construcciones 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 D.F. Construcciones'
accounting and banking records will be submitted in court.

La Nacion didn't state the submission dates for the reports.

The debtor can be reached at:

       Speed Feet SA
       Tucuman 829
       Buenos Aires, Argentina

The trustee can be reached at:

       Alfredo Donatti
       Montevideo 31
       Buenos Aires, Argentina


TRASVAL SA: Proofs of Claim Verification Is Until Aug. 8
--------------------------------------------------------
The court-appointed trustee for Trasval S.A.'s bankruptcy
proceeding, will be verifying creditors' proofs of claim until
Aug. 8, 2008.

The trustee will present the validated claims in court as
individual reports on Sept. 23, 2008.  The National Commercial
Court of First Instance in Mar del Plata, Buenos Aires, 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 Trasval 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 Trasval's accounting
and banking records will be submitted in court on Nov. 4, 2008.



=============
B A H A M A S
=============

HARRAH'S ENTERTAINMENT: Moody's Cuts Corp. Family Rating to B3
--------------------------------------------------------------
Moody's Investors Service downgraded Harrah's Entertainment
Inc.'s (HET) Corporate Family Rating to B3 from B2 and affirmed
its Speculative Grade Liquidity Rating at SGL-3.  Moody's also
downgraded various classes of debt issued by Harrah's Operating
Company, Inc. (HOC) including its senior secured guaranteed bank
revolving and term loan credit facilities each to Ba3 from Ba2,
senior unsecured parent and operating company guaranteed notes
to Caa1 from B3, senior unsecured parent only guaranteed notes
to Caa2 from Caa1, and senior subordinated notes to Caa2 from
Caa1.   HOC is a wholly-owned direct subsidiary of HET.  The
rating outlook is stable.

The downgrade is prompted Moody's expectation that--given the
material softness in the Las Vegas and Atlantic City gaming
markets -- that HET's credit metrics will deteriorate from
already weak levels and reflect a credit profile more
appropriate for a B3.  This is in contrast to our previous
expectations of modest deleveraging over the next few years.

Las Vegas and Atlantic City reported much larger than expected
declines in gaming revenues in May and June, respectively.  
Year-to-date market trends are worse than Moody's had
anticipated.  Given the pace of deterioration in these markets
(comprising about 60% of Harrah's EBITDA) along with high debt
levels incurred to finance its leveraged buyout, Harrah's
consolidated credit metrics are expected to weaken over the next
12 to 18 months.  By year-end 2008, Debt to EBITDA and EBITDA to
Interest are expected to deteriorate to 9.8 times and 1.5 times,
respectively, incorporating Moody's standard analytic
adjustments.  

Moody's affirmed HOC's Speculative Grade Liquidity rating of
SGL-3.  The SGL-3 reflects adequate liquidity.  The company's
negative free cash flow position is offset by a high cash
balance that will be used to fund deficits, as well as the
company's US$2.0 billion revolving credit facility that is
expected to remain fully available to the company.  Adequate
head room under the senior secured leverage covenant remains.
Given that HOC's assets will be fully encumbered, the company
cannot quickly sell assets to raise alternate liquidity.  

The stable rating outlook reflects Harrah's acceptable liquidity
position that should be sufficient to support operations during
this period of industry stress.

Ratings downgrades/assessments updated:

Harrah's Entertainment, Inc.

  -- Corporate Family Rating to B3 from B2
  -- Probability of default rating to B3 from B2

Rating Outlook: Stable

Harrah's Operating Company, Inc.

  -- Senior secured guaranteed revolving credit facility to Ba3,
     (LGD 2, 19%) from Ba2 (LGD 2, 19%)

  -- Senior senior secured guaranteed term loans to Ba3 (LGD 2,
     19%) from Ba2 (LGD 2, 19%)

  -- Senior unsecured guaranteed notes to Caa1 (LGD4, 63%) from
     B3 (LGD 4, 63%)

Harrah's Operating Company, Inc.

  -- Senior unsecured debt to Caa2 (LGD 5, 88%) from Caa1
     (LGD 5, 88%)

  -- Senior subordinated notes to Caa2 (LGD 5, 96%) from Caa1
     (LGD 5, 96%)

Rating Outlook: Stable

Harrah's Entertainment, Inc. -- http://www.harrahs.com-- is the    
world's largest provider of branded casino entertainment. Since
its beginning in Reno, Nevada, more than 70 years ago, Harrah's
has grown through development of new properties, expansions and
acquisitions, and now owns or manages casinos on four
continents. The company's properties operate primarily under the
Harrah's, Caesars and Horseshoe brand names; Harrah's also owns
the London Clubs International family of casinos and the World
Series of Poker.  The company has operations in Bahamas.  HET
generated consolidated revenues of US$10.8 billion for the last
12 months ended March 31, 2008.  Affiliates of Apollo LLC and
Texas Pacific Group acquired the company through a US$31 billion
leverage buy-out in early 2008.



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

GLOBAL CROSSING: Liquidators to Seek Their Release
--------------------------------------------------
Malcom Butterfield and Michael Morrison will ask the Supreme
Court of Bermuda for their release as Global Crossing Ltd.'s
joint liquidators.  Those who are against their release should
notify the court by Aug. 7, 2008.


GLOBAL CROSSING HOLDINGS: Liquidators to Seek Their Release
-----------------------------------------------------------
Malcom Butterfield and Michael Morrison will ask the Supreme
Court of Bermuda for their release as Global Crossing Holdings
Ltd.'s joint liquidators.  Those who are against their release
should notify the court by Aug. 7, 2008.


SCOTTISH RE: Poor Flexibility Cues S&P to Junk Unit's Ratings
-------------------------------------------------------------
Standard & Poor's Ratings Services has lowered its counterparty
credit and financial strength ratings on Scottish Annuity & Life
Insurance Co. (Cayman) Ltd. and affiliated operating companies
to 'CCC+' from 'B-'.
   
Standard & Poor's also lowered its ratings on all these
companies' dependent unwrapped securitized deals by one notch.
The ratings on the parent holding company, Scottish Re Group
Ltd. (CCC-/Watch Neg/--), are unchanged.
   
All of these ratings remain on CreditWatch with negative
implications.
     
“The downgrade reflects the greater-than-expected deterioration
in the group's already severely limited financial flexibility
and liquidity,” said Standard & Poor's credit analyst Robert A.
Hafner.  “This has resulted primarily from the higher-than-
expected asset impairments leading to additional collateral
posting requirements, as disclosed in the company's recent 10-K
filing.”  The US$971.7 million of investment impairments taken
in 2007 and US$751.7 million of additional impairments expected
to be recognized in first-quarter 2008 GAAP financials
substantially reflect a mark-to-market write-down necessitated
by the inability to assert the intent and ability to hold these
securities to recovery of amortized value rather than projected
losses.

Nonetheless, the uncertain economic value of these investments
and associated impairments increase the stress on Scottish Re's
financial condition and degrades its liquidity, capitalization,
and financial flexibility.
   
The group's liquidity decreased to about US$65 million as of
June 30, 2008, from nearly US$400 million at year-end 2007.  
According to company management, the pending sale of its
international and wealth-management operations is expected to
provide additional liquidity in excess of US$70 million during
the third quarter.  Although this might provide sufficient
resources to meet liquidity needs for the next several months,
unexpected developments--including further declines in the
market value of investments -- could exhaust liquidity resources
sooner.  Scottish Re is taking multiple concurrent actions to
maintain its liquidity, ensure statutory reserve credits are not
lost, and preserve its solvency.
   
It is Standard & Poor's opinion that the only strong option
available to the company for preserving longer-term solvency is
the sale of its North American segment, which constitutes the
bulk of its remaining operations.  Given its weak liquidity
position, management indicates that if the group does not
quickly find a buyer, it could be forced to seek bankruptcy
protection relatively soon.  Substantial incentives exist for
the interested parties to reach a definitive agreement, which
increases the likelihood the group will be successful in
securing the sale of these operations before exhausting its
liquidity.
   
The ratings will remain on CreditWatch negative at least until
Scottish Re secures the sale of its North American segment and
its liquidity demands are better balanced by its liquidity
resources.  

S&P will lower the ratings again if the sale of its
international, wealth-management, or North American segment do
not materially progress as expected and alternative capital,
liquidity, and XXX reserve funding is not secured.

Scottish Re Group Ltd. -- http://www.scottishre.com/-- is a
global life reinsurance specialist.  Scottish Re has operating
businesses in Bermuda, Grand Cayman, Guernsey, Ireland, the
United Kingdom, United States, and Singapore.  Its flagship
operating subsidiaries include Scottish Annuity & Life Insurance
Company (Cayman) Ltd. and Scottish Re (US), Inc.  Scottish
Re Capital Markets, Inc., a member of Scottish Re Group Ltd.,
is a registered broker dealer that specializes in securitization
of life insurance assets and liabilities.  On Sept. 30, 2007,
Scottish Re reported total assets of US$13.4 billion and
shareholder's equity of US$869 million.



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

BR MALLS: To Release Second Quarter 2008 Earnings on August 6
-------------------------------------------------------------
BR Malls Participacoes S.A. schedules its release of the
company's second quarter 2008 earnings on Aug. 6, 2008 (after
market closing).
    
The release will be available on the company's web site at:

     http://www.brmalls.com.br/ir

Conference Calls:

    English
    -----------------------------
    Aug. 7, 2008  3:00 p.m. (EDT)
    4:00 p.m. (Brasilia Time)
    Phone: 1-800-860-2442
    Code: BRMALLS
    Replay: 1-877-344-7529
    Code: 6033#1

    Portuguese
    -------------------------
    Aug. 7, 2008
    2:00 p.m. (EDT)
    3:00 p.m. (Brasilia Time)
    Phone: 55-11-2188-0188
    Code: BRMALLS
    Replay: 55-11-2188-0188
    Code: BRMALLS
    
Participants are requested to connect ten minutes prior to the
time set for the conference calls.

Slides and Webcast: A slide presentation will be available for
viewing and downloading on the company's web site.  The
Conference Calls will be broadcast live over the Internet on the
same website, remaining available after the event.

Replay: A conference call replay facility will be available from
Aug. 7 through Aug. 13, 2008.  In order to access the replay,
dial above mentioned numbers.

Speakers:

   * Carlos Medeiros: Chief Executive Officer
   * Leandro Bousquet Viana: Chief Financial Officer and          
                             Ivestor Relations Officer
   * Leandro Bousquet Viana: CFO and IRO

   *  Renata Motta: Investor Relations Manager

   * Antonio Quirino: IR Analyst

      Tel.: (55-21) 3138-9900
      Fax: (55-21) 3138-9901
      E-mail: ri@brmalls.com.br

Headquartered in Rio de Janeiro, Brazil, BR Malls is the largest
integrated shopping mall company in Brazil with a portfolio of
34 malls, representing 985.2 thousand square meters in total
Gross Leasable Area (GLA) and 427.5 thousand square meters in
owned GLA.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 1, 2008, Standard & Poor's Rating Services has affirmed its
'BB-' long-term global scale corporate credit rating on
Brazilian shopping mall developer BR Malls Participacoes S.A.  
At the same time, S&P lowered its national scale corporate
credit rating on the company to 'brA' from 'brA+'.  S&P's
outlooks are negative.


BRASIL TELECOM: Telemar Eyes BRL3 Bil. More to Pay Acquisition
--------------------------------------------------------------
Heloiza Canassa of Bloomberg News reports that Telemar
Participacoes SA is raising up to BRL3 billion (US$1.89 billion)  
before October this year to pay for acquiring Brasil Telecom
Participacoes SA.

Citing a company statement, Bloomberg relates that the funds
would be raised through an international bond sale or loans with
foreign banks.

Report shows that Telemar has borrowed last week BRL4.3 billion
from state-controlled Banco do Brasil SA in an eight-year loan
program.  Telemar has sold BRL3.6 billion of floating-rate notes
in the domestic market, with a two-year maturity.

According to Bloomber, Telemar, last May, agreed to pay
BRL5.86 billion for a controlling stake in Brasil Telecom
allowing the company to hold almost two-thirds of Brazil's land
lines and 19 percent of the domestic mobile-phone subscribers.
In addition, Brasil Telecom stockholders were offered BRL3.9
billion in extraordinary dividends and another BRL315 million
under the condition they don't file any objections to the deal,
which could close in 2008, the report states.

Under the deal, Telemar disclosed, Brasil Telecom and three
pension funds of state-controlled companies would own 49.8
percent of the new company, Bloomberg says.

Brazilian President Luiz Inacio Lula da Silva has expressed his   
support to the deal.

Headquartered in Brasilia, Brazil, Brasil Telecom Participacoes
SA -- http://www.brasiltelecom.com.br-- is a holding company
involved in the telecommunications sector.  Its main activity is
the management of Brasil Telecom SA (BrT), which operates a
local fixed-line telephone in Brazil.  BrT also provides data
and voice, broadband and Internet services.  It also owns Nova
Tarrafa Participacoes Ltda and Nova Tarrafa Inc., which provide
Internet services.

                         *     *     *

In April 2008, Moody's Investors Service placed Brasil Telecom
Participacoes S.A.'s Ba1 rating on review for possible upgrade
after the announced acquisition by Tele Norte Leste
Participacoes S.A.


BRASIL TELECOM: Zacks Keeps Buy Recommendation on Firm's Shares
---------------------------------------------------------------
Zacks Investment Research is keeping its "Buy" recommendation on
Brasil Telecom Participacoes SA's shares.  The company reported
better-than-expected results in the second quarter of 2008, and
the short-term outlook remains positive.  The company also has
solid cash flow, decent operating margins in the wireline
business, and an attractive valuation.

The growth in the wireless and the broadband segments are
encouraging and should continue in future quarters.  The
economic environment in Brazil remains positive, despite the
continued rate hikes and threat of worldwide inflation.  The
merger with Tele Norte Leste Participacoes is very positive, and
the voluntary public tender offer will create a more positive
environment for the stock in the very short term.

Brasil Telecom is trading at 9.5x Zacks Investment's 2008
earnings per share estimate, below the industry mean and median,
and an enterprise value to EBITDA (a more common valuation
metric for the telecom industry) of just 3.0x Zacks Investment's
2008 estimate.  The EV/2008 EBITDA valuation remains well below
the industry mean, and is close to the low point of the
historical range of 3.0x to 6.0x for most of the wireline Latin
American telecom operators.

Brasil Telecom is trading at just 0.8x its price/sales ratio,
well below the industry mean and also below other Latin American
telecom operators.  Zacks Investment thinks the stock is trading
at a highly attractive valuation.  Zacks Investment's target
price is US$90.00, which is based on an EV/2008 estimated EBITDA
of 3.8x, close to the industry mean.

Headquartered in Brasilia, Brazil, Brasil Telecom Participacoes
SA -- http://www.brasiltelecom.com.br-- is a holding company
involved in the telecommunications sector.  Its main activity is
the management of Brasil Telecom SA (BrT), which operates a
local fixed-line telephone in Brazil.  BrT also provides data
and voice, broadband and Internet services.  It also owns Nova
Tarrafa Participacoes Ltda and Nova Tarrafa Inc., which provide
Internet services.

                         *     *     *

In April 2008, Moody's Investors Service placed Brasil Telecom
Participacoes S.A.'s Ba1 rating on review for possible upgrade
after the announced acquisition by Tele Norte Leste
Participacoes S.A.


GERDAU AMERISTEEL: Names Rick J. Mills as New Board of Director
---------------------------------------------------------------
Gerdau Ameristeel has appointed former Corporate Vice President
of Cummins, Inc., Rick J. Mills to its Board of Directors.  With
more than 30 years of experience in global business development
within the manufacturing industry, Mr. Mills' broad experience
in
corporate finance, accounting and global management will provide
strategic depth to Gerdau Ameristeel's Board of Directors, which
now consists of eleven members.

"As Gerdau Ameristeel continues to expand and consolidate the
North American steel industry, Rick Mills' extensive experience
will provide valuable insight to the continued growth of our
company," Gerdau Ameristeel's President and Chief Executive
Officer, Mario Longhi said.

Mr. Mills joined Cummins, Inc., the world's leader in the
manufacture of large diesel engines, in 1970 and has served in
various senior executive positions most recently as a Corporate
Vice President for Cummins, Inc. from 1996 until his retirement
in May of this year.  He also serves on the Boards of Directors
of Rohm and Haas Company and Flowserve, Inc.

Headquartered in Tampa, Florida, Gerdau Ameristeel Corporation
(NYSE: GNA; TSX: GNA.TO) -- http://www.ameristeel.com/-- is a
mini-mill steel producer in North America.  Through its
vertically integrated network of 17 mini-mills, 17 scrap
recycling facilities and 52 downstream operations, Gerdau
Ameristeel serves customers throughout North America.  The
company's products are sold to steel service centers, steel
fabricators, or directly to original equipment manufactures for
use in a variety of industries, including construction, cellular
and electrical transmission, automotive, mining and equipment
manufacturing.  Gerdau Ameristeel is a unit of Brazilian firm
Gerdau SA.

                          *     *     *

As reported in the Troubled Company Reporter on Nov. 26, 2007,
Moody's Investors Service affirmed the ratings of Gerdau
Ameristeel Corporation including its 'Ba1' Corporate Family
Rating and Probability of Default Rating, as well as the US$405
million Senior Unsecured Regular Bond issued.  Moody's outlook
for all ratings is stable.  Moody's also affirmed Gerdau
Brazil's (fictitious entity representing the Brazilian
operations of Gerdau S.A. Comprising Gerdau Acominas S.A.,
Gerdau Acos Longos S.A., Gerdau Acos Especiais S.A., and Gerdau
Comercial de Acos SA) Ba1 Global Local Currency Corporate Family
Rating.

As reported in the Troubled Company Reporter-Latin America on
July 7, 2008, Standard & Poor's Ratings Services has revised its
outlook on Tampa, Florida-based Gerdau Ameristeel Corp., to
stable from negative.  S&P affirmed all ratings, including the
'BB+' corporate credit rating.


NET SERVICOS: Reports BRL28 Mil. Net Income in 2008 Second Qtr.
---------------------------------------------------------------
Net Servicos de Comunicacao S.A. has earned BRL28 million for
the 2008 second quarter compared to net income of BRL31 million
for the same quarter in 2007.

Net revenue in the quarter was BRL891.1 million, 27% higher than
the BRL700.9 million in 2007 second quarter.  This growth was
driven by the 7% increase in the Average Revenue per User, from
BRL125.65 in second quarter of 2007 to BRL134.87 in second
quarter of 2008, as well as by the 50% increase in the company's
revenue generating units.

The company continues to pursue its strategy of accelerated
growth, generating adequate return to support this growth and
ensure excellence in the services rendered.

Accordingly, the company recently launched Net Digital HD Max,
the first Pay TV service in Brazil with content in high
definition, which can be viewed whenever and however desired.  
This product contains high definition programming, combining the
convenience of recording desired content through an internal
160GB hard disc, which allows for up to 100 hours of recording.  
In addition to the Net Digital content, this product offers
premium content in high definition, as was the case with the
Euro Cup and will be the case with the 2008 Beijing Olympic
Games, in addition to an exclusive channel with non-stop
programming in high definition.

The company also launched the new Net Virtua broadband
portfolio, which now offers speeds of 3, 6 and 12 Mbps, thus,
reaffirming its leadership in Brazil's high-speed connection
segment by offering 12 Mbps to all households covered by its
bidirectional network.  Since the launch of the “Megaflash”
portfolio, Net Virtua was recognized by InfoExame Magazine for
the highest average navigation speed and the best cost/benefit
ratio in Brazil.

Net Fone.com, a product that combines Virtua, with fast, stable
and unlimited internet connection, and Net Fone, the digital
voice service and, depending on the region's technical
feasibility, excellent quality signal on the free channels
through its cable network, achieved the mark of 112,000 clients
in the quarter.  Of this total, 56% received the free channels'
signals through Net's network, and 44% received only the
combination of Virtua and Net Fone.  Though launched recently,
product sales have been brisk, showing clients' appreciation of
this new product, which effectively brought a smart alternative
in the Brazilian market.

Pay TV subscriber base ended the quarter with 2,709,000 clients,
18% above the same period in the previous year.  The Broadband
subscriber base reached 1,798,000 clients in 2Q08, a 61%
increase over the 2Q07, and the number of Voice subscribers
climbed 178% over the 2Q07 to a total of 982,000 clients.

Operating Costs ended the quarter at BRL418.9 million, 26%
higher than the BRL333.0 million in 2Q07.  As a percentage of
revenues, they fell slightly, from 47.5% in 2Q07 to 47.0% in
2Q08.  The items that most contributed to the increase were the
higher bandwidth consumption for Internet service as a result of
the larger NET Virtua client base, higher expenses with call
center and personnel, required to meet the growing demand for
client service, maintenance and installation, while maintaining
the quality of the services provided.

For the 2008 second quarter, Selling, General and Administrative
expenses totaled BRL233.0 million, 7% higher than the BRL218.4
million for the same quarter of 2007.  As a percentage of net
revenue, they declined from 31.2% in 2Q07 to 26.1% in 2Q08.  
Selling Expenses and General and Administrative Expenses rose
39% and 16%, respectively, over the 2Q07, offset by the 70%
reduction in Other Revenue/Expenses due to the increase in such
expenses in 2Q07, as a result of the accounting reconciliation
conducted at Vivax after it was acquired by the company.

EBITDA in the quarter totaled BRL231.8 million, and EBITDA
margin remained at 26%, 18% more than the BRL196.5 million in
2Q07.  Even considering the company increased sales expenses due
to a higher number of net additions and high sales of the new
product, Net Fone.com, this result remains within the Company's
positive range for its accelerated growth strategy, focused on
continuous improvement in the quality of services rendered.

                       About Net Servicos

Headquartered in Sao Paulo, Brazil, Net Servicos de Comunicacao
SA -- http://nettv.globo.com/NETServ/us/empr/sobr_visao.jsp--       
is the largest pay-television operator in Latin America.  The
company operates in 79 Brazilian cities, including Sao Paulo,
Rio de Janeiro, Belo Horizonte and Porto Alegre.  It is also the
leading provider of high-speed cable modem Internet access
through Net Virtua service.  Its advanced network of coaxial and
fiber-optic cable covers over 44,000 kilometers and passes
approximately 9 million homes.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 21, 2008, Moody's Investors Service assigned a Ba2 foreign
currency rating to the proposed up to US$200 million guaranteed
long term senior unsecured notes to be issued by Net Servicos de
Comunicacao S.A.  The rating outlook is stable.


SHARPER IMAGE: Changes Corporate Name to "TSIC, Inc."
-----------------------------------------------------
The Asset Purchase Agreement between Sharper Image Corp. and the
joint venture composed of Gordon Brothers Retail Partners, LLC,
GB Brands, LLC, Hilco Merchant Resources, LLC, and Hilco
Consumer Capital, LLC, requires Sharper Image to change its name
and the caption of its Chapter 11 case.

For this reason, Sharper Image sought and obtained the Court's
approval to change its name to "TSIC, Inc."

At the Debtor's behest, the Court further amended the caption of
the  Chapter 11 case to reflect the name change.  

                       About Sharper Image

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
UnsecuredCreditors has been appointed in the case.  Whiteford
Taylor Preston LLC is the Committee's Delaware counsel
When the Debtor filed for bankruptcy, it listed total assets of
US$251,500,000 and total debts of US$199,000,000.  

The Court extended the exclusive period during which the Debtor
may file a Plan through and including Sept. 16, 2008.  

(Sharper Image Bankruptcy News, Issue No. 17; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or        
215/945-7000)


SHARPER IMAGE: Exclusive Plan Filing Date Extended to Sept. 16
--------------------------------------------------------------
Judge Kevin Gross of the U.S. Bankruptcy Court for the District
of Delaware extended the exclusive period during which The
Sharper Image Corp., now known as TSIC, Inc., may file a Plan
through and including Sept. 16, 2008.  Judge Gross also extended
the period during which the Debtor may solicit acceptances of
the plan, through and including Nov. 15.

Sharper Image sought and obtained the Court's approval to change
its name to "TSIC, Inc." in relation to an an Asset Purchase
Agreement by the Debtor with Gordon Brothers Retail Partners,
LLC, GB Brands, LLC, Hilco Merchant Resources, LLC, and Hilco
Consumer Capital, LLC.

                       About Sharper Image

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
UnsecuredCreditors has been appointed in the case.  Whiteford
Taylor Preston LLC is the Committee's Delaware counsel
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. 17; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or        
215/945-7000)


SHARPER IMAGE: States Join Opposition to Claims Bar Date
---------------------------------------------------------
The states of Washington, Massachusetts, Hawaii, Maryland, Ohio,
Oregon, New York, Connecticut, Missouri and Tennessee join the
opposition of Roberta A. DeAngelis, Acting United States Trustee
for Region 3, to the motion by The Sharper Image Corp., now
known as TSIC, Inc. to establish the Claims Bar Date.  The
States fully support all of the measures suggested by the U.S.
Trustee.

According to Laura McCloud, Esq., Assistant Attorney General at
the Office of the Attorney General of Tennessee, there was an
enormous amount of unfavorable publicity about the Debtor's
decision not to honor the gift and merchandise certificates, and
then to only honor them in a highly restricted fashion.  That
publicity, she asserts, flatly stated that the Certificates were
worthless, or were unlikely to receive anything if a claim were
filed in the Debtor's bankruptcy case.

Ms. McCloud insists that the Certificates are entitled to
priority status under Section 507(a)(7) of the Bankruptcy Code,
citing In re WW Warehouse, Inc, 313 B.R. 588 (Bankr. D. Del.
2004), and must be paid in full in order to confirm a Chapter 11
Plan.  She points out that every effort should be made for the
Certificate Holders to claim their statutory rights.

The States join the U.S. Trustee's suggestion that the Bar Date
not be set before September 15.  Ms. McCloud submits that it is
unfair to expect consumers to become aware of the Bar Date,
learn of the steps they need to take, and carry them out, within
30 days, particularly when there is no clear need for
expediency, and the Debtor provides no adequate explanation for
why such a short time period should be necessary.  Thus, the 60
days suggested by the U.S. Trustee should be the bare minimum
imposed, she says.

        Debtor Objects to U.S. Trustee's Cross-Motion

The Debtor objects to the U.S. Trustee's motion for the Debtors
to file schedules acknowledging claims based on the gift cards
and merchandise certificates.

Steven K. Kortanek, Esq., at Womble Carlyle Sandridge & Rice,
PLLC, in Wilmington, Delaware, tells the Court that the U.S.
Trustee's modifications are impracticable.  In addition to the
cost and burden associated with the production of the schedules,
it provides no benefit to Certificate Holders or to the estate.

Mr. Kortanek insists that the U.S. Trustee's proposed procedures
complicate the notification and proof of claim filing process
for the Debtor and the Certificate Holders, and leave
Certificate Holders in the same situation they are under the
Debtor's proposed bar date procedures.  Accordingly, the U.S.
Trustee's Cross-Motion should be denied.

The Official Committee of Unsecured Creditors join the Debtors'
response to the U.S. Trustee's Cross-Motion.  The Committee
states that Section 507(a)(7) -- providing for "deposit" of
money in connection with the purchase, lease, or rental of
property, or the purchase of services, including gift
certificates -- requires a fact-sensitive inquiry.

The Committee believes that the dispute over the Bar Date Motion
is not the appropriate forum to debate the application of
Section 507(a)(7) priority to the universe of certificate
claims, which has yet to be defined in the absence of an
established bar date.

The Committee seeks to caution the Court against a premature
decision that cannot account for the various considerations that
affect whether the claims are entitled to priority.

According to the Committee, the Debtor has estimated its total
liability on account of outstanding Certificates at
approximately US$43,500,000 as of the Petition Date.  A hasty
determination of a priority status will substantially reduce, or
altogether eliminate, distribution to general unsecured
creditors.

Moreover, the Committee asserts that an extended bar date for
certificate claims is unnecessary, and runs against the best
interests of the estate.

Based on a shared understanding, the Debtor and Committee have
established a framework that will maximize the potential for a
distribution to be made to general unsecured creditors, the
Committee maintains, and the estate's best interests will be
served if that framework is allowed to proceed with as few
interruptions as possible.

                       About Sharper Image

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
UnsecuredCreditors has been appointed in the case.  Whiteford
Taylor Preston LLC is the Committee's Delaware counsel
When the Debtor filed for bankruptcy, it listed total assets of
US$251,500,000 and total debts of US$199,000,000.  

The Court extended the exclusive period during which the Debtor
may file a Plan through and including Sept. 16, 2008.  Sharper
Image sought and obtained the Court's approval to change its
name to "TSIC, Inc." in relation to an an Asset Purchase
Agreement by the Debtor with Gordon Brothers Retail Partners,
LLC, GB Brands, LLC, Hilco Merchant Resources, LLC, and Hilco
Consumer Capital, LLC.

(Sharper Image Bankruptcy News, Issue No. 17; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or        
215/945-7000)


TAM SA: Will Release Second Quarter 2008 Results on August 14
-------------------------------------------------------------
TAM S.A. will release its results for the second quarter 2008 on
Aug. 14, 2008.  The information will be available on the
company's Web site at http://www.tam.com.br/irand through the  
Comissao de Valores Mobiliarios and Securities and Exchange
Commission before the market open.  

The conference calls in Portuguese and English will be on
Aug. 14 at 9:00 am and 10:30 am (Eastern Time), respectively. In
addition, TAM will hold a meeting with analysts and investors in
Sao Paulo.

TAM S.A. currently -- http://www.tam.com.br/-- has business
agreements with the regional airlines Pantanal, Passaredo,
Total and Trip.  As of Jan. 14, the daily flight on the Corumba
-- Campo Grande route in Mato Grosso do Sul began to be operated
by a partnership with Trip.  With the expansion of the agreement
with NHT, TAM will now be serving 82 destinations in Brazil,
45 of which with its own flights.  In addition, the company is
strengthening its presence in Rio Grande do Sul and Santa
Catarina.

The company's international operations include direct flights
to 17 destinations: New York and Miami (USA), Paris (France),
London (England), Milan (Italy), Frankfurt (Germany), Madrid
(Spain), Buenos Aires and Cordoba (Argentina), Santiago (Chile),
Caracas (Venezuela), Montevideo and Punta del Este (Uruguay),
AsunciOn and Ciudad del Este (Paraguay), and Santa Cruz de
la Sierra and Cochabamba (Bolivia)

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 14, 2008, Standard & Poor's Ratings Services has lowered
its long-term corporate credit rating on Brazil-based airline
TAM S.A. to 'BB-' from 'BB'.  S&P's outlook is revised to stable
from negative.

On June 23, 2008, TCR-Latin America reported that Fitch Ratings
has affirmed the 'BB' Foreign and Local Currency Issuer Default
Ratings of TAM S.A.  Fitch has also affirmed the 'BB' rating of
its US$300 million senior unsecured notes due in 2017 as well as
the company's 'A+(bra)' national scale rating and its first
debentures issuance of BRL500 million.  Fitch has revised its
rating outlook to negative from stable.





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

AUSPEX FUND: Will Hold Final Shareholders Meeting on July 25
------------------------------------------------------------
Auspex Fund Ltd. will hold its final shareholders meeting on
July 25, 2008, at 11:00 a.m., at the registered office of the
Company.

These matters will be taken up during the meeting:

   1) accounting of the wind-up process, and
   
   2) authorizing the liquidators of the company to retain the
      records of the company for a period of five years from the
      dissolution of the company, after which they may be  
      destroyed.

Auspex Fund's shareholder agreed on June 6, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

                 Walkers SPV Limited,
                 Walker House, 87 Mary Street
                 George Town, Grand Cayman
                 Cayman Islands


CYPRESS LIMITED: Proofs of Claim Filing Deadline Is July 25
-----------------------------------------------------------
Cypress Limited's creditors have until July 25, 2008, to prove
their claims to Richard L. Finlay, 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.

Cypress' shareholders decided on June 13, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

                David Dyer
                c/o  Deutsche Bank (Cayman) Limited
                P.O. Box 1984
                Boundary Hall, Cricket Square
                171 Elgin Avenue, George Town
                Grand Cayman, Cayman Islands


EXPORTCITRUS LTD: Proofs of Claim Filing Is Until July 25
---------------------------------------------------------
ExportCitrus Ltd.'s creditors have until July 25, 2008, to prove
their claims to Richard L. Finlay, 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.

ExportCitrus' shareholder decided on July 25, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

                Richard L. Finlay
                c/o  Conyers Dill & Pearman
                P.O. Box 2681GT
                George Town, Grand Cayman
                Cayman Islands

Contact for inquiries:

                Krysten Lumsden
                Telephone: (345) 945-3901
                Fax: (345) 945-3902


HAWK CAPITAL: To Hold Final Shareholders Meeting on July 25
-----------------------------------------------------------
Hawk Capital Ltd. will hold its final shareholders meeting on
July 25, 2008, at 11:30 a.m., at the registered office of the
Company.

These matters will be taken up during the meeting:

   1) accounting of the wind-up process, and
   
   2) authorizing the liquidators of the company to retain the
      records of the company for a period of five years from the
      dissolution of the company, after which they may be  
      destroyed.

Hawk Capital's shareholder agreed on June 6, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

                 Walkers SPV Limited,
                 Walker House, 87 Mary Street
                 George Town, Grand Cayman
                 Cayman Islands


INTERJUICE TRADING: Proofs of Claim Filing Deadline Is July 25
--------------------------------------------------------------
Interjuice Trading S.A.'s creditors have until July 25, 2008, to
prove their claims to Richard L. Finlay, 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.

Interjuice Trading's shareholder decided on July 25, 2008, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

                Richard L. Finlay
                c/o  Conyers Dill & Pearman
                P.O. Box 2681GT
                George Town, Grand Cayman
                Cayman Islands

Contact for inquiries:

                Krysten Lumsden
                Telephone: (345) 945-3901
                Fax: (345) 945-3902


MENEMSHA CAPITAL: Sets Final Shareholders Meeting for July 25
-------------------------------------------------------------
Menemsha Capital Offshore Fund Ltd. will hold its final
shareholders meeting on July 25, 2008, at 9:30 a.m., at the
registered office of the Company.

These matters will be taken up during the meeting:

   1) accounting of the wind-up process, and
   
   2) authorizing the liquidators of the company to retain the
      records of the company for a period of five years from the
      dissolution of the company, after which they may be  
      destroyed.

Menemsha Capital's shareholders agreed on June 3, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

                 Walkers SPV Limited,
                 Walker House, 87 Mary Street
                 George Town, Grand Cayman
                 Cayman Islands


MULTI CAPITAL: Deadline for Proofs of Claim Filing Is July 25
-------------------------------------------------------------
Multi Capital Ltd.'s creditors have until July 25, 2008, to
prove their claims to Richard L. Finlay, 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.

Multi Capital's shareholder decided on July 25, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

                Richard L. Finlay
                c/o  Conyers Dill & Pearman
                P.O. Box 2681GT
                George Town, Grand Cayman
                Cayman Islands

Contact for inquiries:

                Krysten Lumsden
                Telephone: (345) 945-3901
                Fax: (345) 945-3902


NEW CITY HARAJUKU: Sets Final Shareholders Meeting on July 25
-------------------------------------------------------------
New City Harajuku Holdings (Cayman) Ltd. will hold its final
shareholders meeting on July 25, 2008, at 9:00 a.m., at the
registered office of the Company.

These matters will be taken up during the meeting:

   1) accounting of the wind-up process, and
   
   2) authorizing the liquidators of the company to retain the
      records of the company for a period of five years from the
      dissolution of the company, after which they may be  
      destroyed.

New City Harajuku's shareholder agreed on June 3, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

                 Walkers SPV Limited,
                 Walker House, 87 Mary Street
                 George Town, Grand Cayman
                 Cayman Islands


PARMALAT SPA: Investors to Get Notice on Class Suit Settlement
--------------------------------------------------------------
A multi-national notification program has begun, as ordered by
the United States District Court for the Southern District of
New York, to alert investors, brokers, financial institutions,
and other nominees who bought the common stock and/or bonds of
Parmalat Finanziaria S.p.A. and its subsidiaries and affiliates
from Jan. 5, 1999, through and including Dec. 18, 2003, about a
partial settlement of a class action.

The lawsuit alleges that Parmalat and numerous other defendants
participated in a fraudulent financial scheme, resulting in the
understatement of Parmalat's debt and the overstatement of its
net assets.  Parmalat ultimately filed for bankruptcy, and the
value of its securities declined.

The partial settlement resolves the case against Parmalat S.p.A.
and will result in Parmalat providing 10,500,000 shares of stock
in the Parmalat company that has emerged from reorganization
proceedings in Italy.  That stock will then either be sold, and
money paid to Class members, or the stock will be distributed
among Class Members.

Parmalat agreed to provide 10,500,000 shares in the reorganized
Parmalat company to compensate Class members and to pay
attorneys' fees, expenses and administrative costs. The Court
defined “Class members” in the settlement to include all people
and entities who bought Parmalat common stock and/or bonds from
Jan. 5, 1999, through and including Dec. 18, 2003, and were
damaged thereby, regardless of where such people live or where
they purchased their Parmalat securities.

In May 2004, the Court appointed the law firms of Cohen,
Milstein, Hausfeld & Toll, P.L.L.C, of Washington, D.C. and
Grant & Eisenhofer, P.A., of Wilmington, DE, to represent the
Class, and the law firm of Spector, Roseman & Kodroff, P.C., of
Philadelphia, PA, has served as counsel. These firms have been
litigating this case known as In re Parmalat Securities
Litigation, No. 04 MD 1653 (LAK), since that time, and they
negotiated the partial settlement.

                        About Parmalat

Headquartered in Milan, Italy, Parmalat S.p.A.
-- http://www.parmalat.net/-- sells nameplate milk products
that can be stored at room temperature for months.  It also has
about 40 brand product lines, which include yogurt, cheese,
butter, cakes and cookies, breads, pizza, snack foods and
vegetable sauces, soups and juices.

The company's U.S. operations filed for chapter 11 protection on
Feb. 24, 2004 (Bankr. S.D.N.Y. Case No. 04-11139).  Gary
Holtzer, Esq., and Marcia L. Goldstein, Esq., at Weil Gotshal &
Manges LLP, represent the Debtors.  When the U.S. Debtors filed
for bankruptcy protection, they reported more than US$200
million in assets and debts.  The U.S. Debtors emerged from
bankruptcy on April 13, 2005.

Parmalat S.p.A. and its Italian affiliates filed separate
petitions for Extraordinary Administration before the Italian
Ministry of Productive Activities and the Civil and Criminal
District Court of the City of Parma, Italy on Dec. 24, 2003.
Dr. Enrico Bondi was appointed Extraordinary Commissioner in
each of the cases.  The Parma Court has declared the units
insolvent.

On June 22, 2004, Dr. Bondi filed a Sec. 304 Petition, Case No.
04-14268, in the United States Bankruptcy Court for the Southern
District of New York.

Parmalat has three financing arms: Dairy Holdings Ltd., Parmalat
Capital Finance Ltd., and Food Holdings Ltd.  Dairy Holdings and
Food Holdings are Cayman Island special-purpose vehicles
established by Parmalat S.p.A.  The Finance Companies are under
separate winding up petitions before the Grand Court of the
Cayman Islands.  Gordon I. MacRae and James Cleaver of Kroll
(Cayman) Ltd. serve as Joint Provisional Liquidators in the
cases.  On Jan. 20, 2004, the Liquidators filed Sec. 304
petition, Case No. 04-10362, in the United States Bankruptcy
Court for the Southern District of New York.  In May 2006, the
Cayman Island Court appointed Messrs. MacRae and Cleaver as
Joint Official Liquidators.  Gregory M. Petrick, Esq., at
Cadwalader, Wickersham & Taft LLP, and Richard I. Janvey, Esq.,
at Janvey, Gordon, Herlands Randolph, represent the Finance
Companies in the Sec. 304 case.

The Honorable Robert D. Drain presides over the Parmalat
Debtors' U.S. cases.  On June 21, 2007, the U.S. Court granted
Parmalat permanent injunction.


PS PROPERTY: Will Hold Final Shareholders Meeting on July 25
------------------------------------------------------------
PS Property Ltd. will hold its final shareholders meeting on
July 25, 2008, at 10:00 a.m., at the registered office of the
Company.

These matters will be taken up during the meeting:

   1) accounting of the wind-up process, and
   
   2) authorizing the liquidators of the company to retain the
      records of the company for a period of five years from the
      dissolution of the company, after which they may be  
      destroyed.

PS Property's shareholder agreed on June 4, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

                 Walkers SPV Limited,
                 Walker House, 87 Mary Street
                 George Town, Grand Cayman
                 Cayman Islands


RISK ASSURANCE: A.M. Best Affirms and Withdraws B+ FSR
------------------------------------------------------
A.M. Best Co. has affirmed the financial strength rating of B+
and issuer credit rating of “bbb-” of Risk Assurance Company of
Saint Peter's University Hospital (Cayman Islands).  The outlook
for both ratings is negative.

Concurrently, A.M. Best has withdrawn the ratings and assigned a
category NR-4 (Company Request) to Risk Assurance.  These rating
actions reflect the company's management decision to withdraw
from A.M. Best's interactive rating process.

The affirmations recognize Risk Assurance's good capitalization,
experienced management team and conservative investment
strategies.  Partially offsetting these positive rating factors
are the company's fluctuating results, limited market scope,
short operating history and high retention levels.

Risk Assurance Company provides hospital professional and
general liability coverage for its parent company, Saint Peter's
University Hospital, and its affiliated entities.


SAVANNAH-BALTIMORE: Final Shareholders Meeting Is on July 25
------------------------------------------------------------
Savannah-Baltimore Offshore Ltd. will hold its final
shareholders meeting on July 25, 2008, at 10:30 a.m., at the
registered office of the Company.

These matters will be taken up during the meeting:

   1) accounting of the wind-up process, and
   
   2) authorizing the liquidators of the company to retain the
      records of the company for a period of five years from the
      dissolution of the company, after which they may be  
      destroyed.

Savannah-Baltimore's shareholders agreed on June 5, 2008, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

                 Walkers SPV Limited,
                 Walker House, 87 Mary Street
                 George Town, Grand Cayman
                 Cayman Islands


SPNY PARTICIPATION: Sets Final Shareholders Meeting for July 25
---------------------------------------------------------------
SPNY Participation Ltd. will hold its final shareholders meeting
on July 25, 2008, at 12:00 p.m., at the registered office of the
Company.

These matters will be taken up during the meeting:

   1) accounting of the wind-up process, and
   
   2) authorizing the liquidators of the company to retain the
      records of the company for a period of five years from the
      dissolution of the company, after which they may be  
      destroyed.

SPNY Participation's shareholder agreed on June 6, 2008, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

                 Walkers SPV Limited,
                 Walker House, 87 Mary Street
                 George Town, Grand Cayman
                 Cayman Islands


UBP EMERGING: Proofs of Claim Filing Deadline Is July 25
--------------------------------------------------------
UBP Emerging Opportunities Ltd.'s creditors have until
July 25, 2008, to prove their claims to Richard L. Finlay, 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.

UBP Emerging's shareholder decided to place the company into
voluntary liquidation under The Companies Law (2004 Revision) of
the Cayman Islands.

The liquidator can be reached at:

                Richard L. Finlay
                c/o  Conyers Dill & Pearman
                P.O. Box 2681GT
                George Town, Grand Cayman
                Cayman Islands

Contact for inquiries:

                Krysten Lumsden
                Telephone: (345) 945-3901
                Fax: (345) 945-3902


WATERFALL VANILLA: Proofs of Claim Filing Deadline Is July 25
-------------------------------------------------------------
Waterfall Vanilla Strategies Ltd.'s creditors have until
July 25, 2008, to prove their claims to Walkers SPV Limited, 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.

Waterfall Vanilla's shareholder decided on June 25, 2008, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

                Walkers SPV Limited
                c/o Walker House, 87 Mary Street
                George Town, Grand Cayman
                Cayman Islands

Contact for inquiries:

                Anthony Johnson
                Telephone: (345) 914-6314



=========
C H I L E
=========

EMPRESAS CMPC: S&P's Stable Outlook Shows Strong Credit Profile
---------------------------------------------------------------
Standard & Poor's Ratings Services' rating profile on Empresas
CMPC S.A. and its subsidiary, Inversiones CMPC S.A., reflect the
company's strong business mix, solid competitive position in the
Chilean and Argentine tissue markets, competitive cost profile,
and intermediate financial policy.  Those strengths help to
moderate the effects of the cyclical forest products industry
and the market volatility affecting sales in the Latin American
countries where the company operates.

Empresas CMPC has performed better than most of its peers during
industry downturns because of its cost advantages, product
diversity, and strong competitive position in its local markets.
Strong brand loyalty and proprietary distribution channels
enable the company to control 76% of the Republic of Chile's
tissue market, while expanding market penetration in other South
American markets and becoming the leading tissue producer in
South America.  The company's favorable cost position stems from
a low-cost fiber base resulting from the favorable Chilean
climate.  This supports significantly above-average forestry
growth rates and provides the company with a distinguished
position in pulp and wood products relative to its global
competition.

With its processing capacity of 1.9 million tons per year and
currently record high prices, the cyclical pulp sector is
responsible for a larger proportion of Empresas CMPC's EBITDA.  
As of December 2007, pulp production accounted for 57% of
consolidated EBITDA, compared with 40% in 2006.  Although this
higher exposure to pulp could result in greater earnings'
volatility, the company's low-cost advantage over global
industry peers should increase cash flow throughout the cycle.  
In addition, risks arising from investments in economies that
are more volatile than Chile's (Argentina, Peru, and Uruguay)
are mitigated by the company's important revenue diversification
based on location.

The company's financial performance during 2007 and first-
quarter 2008 reflects an expected improvement in its cash
generation and credit metrics.  During the 12 months ended in
March 2008, the funds-from-operations-to-total debt and EBITDA
interest coverage ratios improved to 49.3% and 11.1,
respectively, from 27.7% and 6.9 in fiscal 2006.  S&P expects
Empresas CMPC to continue benefiting from the high prices for
pulp.  S&P expects the company's funds-from-operations-to-total
debt to be more than US$650 million in the next three years,
which would provide Empresas CMPC with enough cash to internally
finance the bulk of its aggressive capital expenditures (capex)
plan and to pay dividends at an expected payout ratio of 40% of
net income.  In addition, S&P doesn't expect the company to
reduce its current debt levels, maintaining a debt-to-capital
ratio of about 20% to 25% in the medium term.

                         Liquidity

The company's liquidity is adequate.  After obtaining a US$250
million credit facility in May 2008, its pro forma debt
amortization schedule is relatively smooth, with annual payments
of US$120 million to US$240 million from 2008 to 2012.  Empresas
CMPC has historically held a conservative amount of cash, which
averaged US$170 million in the past three years and totaled
US$160 million as of March 31, 2008.  This, coupled with the
company's good access to the domestic and global financial
markets and sizable uncommitted local bank lines, supports an
adequate liquidity profile.

Empresas CMPC is in full compliance with the financial covenants
included in some of its debt instruments (mostly debt-to-equity
and interest coverage ratios).

                            Outlook

The stable outlook reflects the company's strong business
profile, which should translate into healthy free cash flow
generation through the cycle and allow the company to continue
to implement growth initiatives on a scale commensurate with the
rating.  The current rating and outlook also incorporate
Empresas CMPC's ability to maintain its total debt-to-EBITDA
ratio at less than 2.0 and a projected funds-from-operations-to-
total debt ratio of at least 40% on average throughout the
business cycle.  The company's business profile and material
exposure to commodity risk limit upside rating potential.  
Ratings could also come under pressure if CMPC more aggressively
uses debt to finance further expansions, or if the company
becomes more dependent on the volatile pulp business segment in
the long term.

                       About Empresas CMPC

Headquartered in Santiago, Chile, Empresas CMPC S.A. --
http://www.cmpc.cl/-- is one of the largest forest products  
companies in Latin America, with consolidated sales of about
US$3.4 billion during the 12 months ended March 31, 2008.  The
company participates in several industry product categories,
exporting a significant portion of global commodities -- mostly
pulp and forestry products -- and selling higher value-added
products such as tissue in Chile and Argentina, and to a lesser
degree in Uruguay, Peru, Colombia, and Mexico.



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

GLOBAL CROSSING: Launches Submarine Cable in Costa Rica
-------------------------------------------------------
Global Crossing Ltd. has disclosed the lighting of its new
fiber-optic submarine cable in Esterillos of Parrita,
Puntarenas.  Global Crossing; Instituto Costarricense de
Electricidad (ICE), the state-run entity responsible for Costa
Rica's telecommunications; and the Radiografica Costarricense
S.A. (RACSA) hosted a ceremony on July 18, at the new Unqui
cable station in the town of Esterillos.  Costa Rican President
Oscar Arias along with executives from Global Crossing, ICE, and
RACSA would attend the event to launch the new system.

The fiber-optic submarine cable will facilitate the expansion of
ICE's international network to the rest of the world through
Global Crossing's network, allowing Costa Rica to increase
reliability of its international telecommunications and
strengthen the country's competitiveness, not only within Latin
America, but on a worldwide scale.

“We're excited to reinforce our partnership with ICE in this
initiative to expand Costa Rica's telecommunications services
and increased connectivity around the world.  This agreement is
another step in the ongoing, cooperative effort between ICE,
RACSA and Global Crossing to promote the continuous social and
economic growth of the country,” said John Legere, Global
Crossing's CEO.

The new cable connection is an extension of the Pan American
Crossing (PAC), which connects the United States' west coast,
Mexico, Panama, Venezuela and the Virgin Islands, in addition to
the east coast of the United States, South America, Europe and
Asia, via Global Crossing's other underwater cable systems.

With the new Global Crossing connection, Costa Rica will benefit
from the security, reliability and global reach of Global
Crossing's high-quality IP network.  Additionally, this joint
project provides ICE with a reliable international network
infrastructure on both coasts, supporting the exponential growth
of Internet traffic and transport of mission critical IP
business applications in the region.

ICE's capacity to transport international traffic will increase,
as will the possibilities for businesses in the region.  As an
example, the new bandwidth enables the transmission of
approximately 185 million e-mails per second, assuming an
average e-mail of 20KB; allows 2.5 million people to watch a
video online, assuming 1.5M per connection; and can handle 60
million phone calls.  Global Crossing's branch reaching Costa
Rica has a design capacity of 256 STM1 equivalents, allowing for
future increases in capacity as ICE's service requirements grow.

ICE has modernized and expanded its communications
infrastructure at an international level, enabling national and
multinational companies in the country to speed the flow
information.  The new cable landing is an important milestone
for Costa Rica as it strives to develop a telecommunications
infrastructure that will support the country's fast-growing
demand for broadband applications.

                      About Global Crossing

Headquartered in Florham Park, New Jersey, Global Crossing Ltd.
(NASDAQ: GLBC) -- http://www.globalcrossing.com/-- provides       
telecommunication  services over the world's first integrated
global IP-based network.  Global Crossing serves many of the
world's largest corporations, providing a full range of managed
data and voice products and services.  The company filed for
chapter 11 protection on Jan. 28, 2002 (Bankr. S.D.N.Y. Case No.
02-40188).  When the Debtors filed for protection from their
creditors, they listed US$25,511,000,000 in total assets and
US$15,467,000,000 in total debts.  Global Crossing emerged from
chapter 11 on Dec. 9, 2003.

Global Crossing's Latin American business has operations in
Argentina, Brazil, Chile, Colombia, Ecuador, Panama, Peru,
Mexico, Venezuela and the United States (Florida).  It also has
operations in the United Kingdom.

                         *     *     *

At Sept. 30, 2007, Global Crossing Ltd.'s balance sheet showed
total assets of US$2.6 billion, total debts of US$2.7 billion
and a US$74 million stockholders' deficit.

As reported in the Troubled Company Reporter-Latin America on
Nov. 8, 2007, Global Crossing Ltd. said in a statement that its
net loss increased 75% to US$89 million in the third quarter
2007, compared to US$51 million in the third quarter 2006.



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

BASIC ENERGY: S&P Holds BB- Rating After Failed Grey Wolf Merger  
----------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'BB-' corporate
credit rating and other ratings on U.S. oilfield service
provider Basic Energy Services Inc. and removed the ratings from
CreditWatch with positive implications where they were placed on
April 22, 2008.
     
“The rating action follows the termination of Basic's planned
merger of equals agreement with land contract drilling firm Grey
Wolf Inc.,” said Standard & Poor's credit analyst Jeffrey
Morrison.  Grey Wolf is rated 'BB-/Watch Pos/--'.
     
The companies announced this week that Grey Wolf's shareholders
did not approve the merger agreement at a special meeting of
shareholders.  S&P also affirmed the ratings on Basic's senior
secured and senior unsecured issues and the recovery ratings are
unchanged. The outlook is stable.
     
The ratings on Basic Energy Services reflect its status as a
small, though growing, competitor in historically cyclical and
competitive U.S. oilfield services markets and an acquisitive
growth strategy.  Somewhat offsetting these concerns are an
expanding suite of products and services, a consistent track
record of free cash flow generation when excluding acquisition
outlays, and moderate debt leverage for the current ratings.

Headquartered in Midland, Texas, Basic Energy Services Inc.
(NYSE:BAS) -- http://www.basicenergyservices.com/-- operates in
the major oil and gas producing markets in the US including
South Texas, the Texas Gulf Coast, the Ark-La-Tex region, North
Texas, the Permian Basin of West Texas, the Mid Continent,
Louisiana Inland Waters and the Rocky Mountains.  Founded in
1992, Basic Energy has more than 4,600 employees in 11 states.

In the Dominican Republic, Basic Energy controls power companies
Cepm, Cespm and Ege Haina.

As reported on May 1, 2007, Basic Energy head Rolando Gonzalez
Bunster told Business News Americas that the company and its
Dominican Republic affiliates will construct a 35-megawatt
thermo plant in Haiti.


* DOMINICAN REPUBLIC: S&P Affirms B+/B Sovereign Credit Rating
--------------------------------------------------------------
Standard & Poor's Ratings Services has affirmed its 'B+/B'
sovereign credit rating on the Dominican Republic and removed it
from CreditWatch, where it was placed on Feb. 8, 2008, with
negative implications.
     
S&P also said that the outlook on the Dominican Republic is
negative.
      
“The negative outlook reflects the Dominican Republic's widening
fiscal and current account deficits,” explained S&P's credit
analyst Joydeep Mukherji.  “These have led to increased debt and
declining international reserves, resulting in diminishing
external liquidity.”  It also reflects the growing risk that
lower external liquidity and rising macroeconomic strain could
hurt creditworthiness.
     
The government recently announced a package of fiscal measures
to address imbalances that had been growing in the first half of
2008.  A combination of increased government spending and higher
fuel prices has led to widening fiscal and current account
deficits and a concomitant erosion of external liquidity.  Net
international reserves fell to nearly US$1.2 billion as of
July 11, 2008, from more than US$1.6 billion at year-end 2007.  
Over the last month, the central bank has significantly
tightened monetary policy to reduce demand and control
inflation.
     
S&P expects that the recently announced fiscal measures --
including controls on spending -- could, if successfully
implemented, reduce the overall fiscal deficit to about 4% of
GDP this year and perhaps 3.4% in 2009, versus a projected 6%
deficit in 2008 without corrective fiscal measures.  Similarly,
the current account deficit could reach 7% of GDP this year
versus a projected 8.5% deficit without corrective measures.  
Implementation of the austerity measures could help stabilize
international reserves at roughly their current levels by year-
end 2008.  Although these policies should reduce external
vulnerabilities, the economy will slow markedly in the second
half of 2008 and in 2009, increasing economic uncertainty.
     
S&P has placed the rating on CreditWatch negative because of
uncertainty concerning the payment and legality of government
promissory notes due between March and July 2008.  The
outstanding promissory notes, part of a series totaling
US$130 million issued over the course of 2006 to SunLand Corp.
and subsequently sold to nonresident investors, fell into
arrears in September 2007.  The arrears were cleared by early
2008, and a local bank bought the notes in February 2008.
     
Subsequently, the notes that matured during the course of this
year have been fully paid, based on information currently
available to S&P.  Hence, it is S&P's assessment that the
remaining notes are likely to be fully paid, resulting in the
decision to remove the rating from CreditWatch.  Nevertheless,
this matter highlights the Dominican Republic's institutional
weakness, which is a significant rating constraint.
     
Failure to stabilize the economy and reverse the recent
deterioration in external liquidity could lead to lower credit
quality.  “If the recent measures the government has announced
are insufficient and if economic performance declines more than
expected, the sovereign's creditworthiness could be negatively
affected,” Mr. Mukherji added.  “On the other hand, successful
implementation of policies that lower fiscal and external
vulnerabilities but do not lead to a hard landing of the economy
could result in us revising the outlook to stable.”



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

AIR JAMAICA: Spends Almost US$1.4MM Due to Flight Cancellations
---------------------------------------------------------------
Air Jamaica's expenses were almost US$1.4 million in the first
four months of this year, Radio Jamaica reports, citing Don
Wehby, Minister Without Portfolio in the Finance Ministry.

Radio Jamaica says the expenses were due to flight
cancellations.  Air Jamaica spent for the re-routing,
accommodation, and the issuing of travel certificates to
passengers inconvenienced by the 300 cancellations over the same
period.  The cancellations included 141 scheduled changes, The
Jamaica Observer relates, citing Minister Wehby.

Headquartered in Kingston, Jamaica, Air Jamaica --
http://www.airjamaica.com/-- was founded in 1969.  It flies
passengers and cargo to almost 30 destinations in the Caribbean,
Europe, and North America.  Air Jamaica offers vacation packages
through Air Jamaica Vacations.  The company closed its intra-
island services unit, Air Jamaica Express, in October 2005.  The
Jamaican government assumed full ownership of the airline after
an investor group turned over its 75% stake in late 2004.  The
government had owned 25% of the company after it went private in
1994.  The Jamaican government does not plan to own Air Jamaica
permanently.

                          *    *     *

As reported in the Troubled Company Reporter-Latin America on
June 12, 2007, Moody's Investors Service assigned a B1 rating
to Air Jamaica Limited's guaranteed senior unsecured notes.

On July 21, 2006, Standard & Poor's Rating Services assigned a
"B" long-term foreign issuer credit rating on Air Jamaica Ltd.,
which is equal to the long-term foreign currency sovereign
credit rating on Jamaica, based on the government's
unconditional guarantee of both principal and interest payments.


CABLE & WIRELESS: Relaunches Homefone in Jamaica
------------------------------------------------
Cable and Wireless Plc's Jamaican subsidiary has relaunched its
fixed-line product Homefone, The Jamaica Gleaner reports.

According to The Gleaner, Homefone now uses mobile GSM network
to offer service to new clients.  Cable and Wireless Jamaica
Limited stopped accepting new customers to its pre-paid Homefone
system in July 2007.  It started offering the service again
under the brand Homefone Xpress in June 2008 in post-paid
format.

The Gleaner relates that Cable and Wireless Jamaica's Corporate
Communications and Corporate Affairs Vice President Errol Miller
said, "The solution is geared towards meeting the needs of
consumers who want regular Homefone service in areas that have
no fixed-line infrastructure but have adequate GSM coverage."

The report says that Homefone is restricted to St. Catherine,
Clarendon, and St. Elizabeth subscribers.  Mr. Miller explained,
"We have deliberately adopted a strategy of selective
availability, because we have no intention of compromising on
the quality of service we deliver to our existing mobile
customers or our Homefone Xpress customers.  We do not
anticipate an impact on the service we deliver to our mobile
customers because we are only making it available in areas where
our mobile network can accommodate additional traffic."

Headquartered in London, Cable & Wireless Plc --
http://www.cw.com/new/-- operates through two standalone   
business units -- International and Europe, Asia & US.  The
International business unit operates integrated
telecommunications companies in 33 countries, with principal
operations in the Caribbean, Panama, Macau, Monaco and the
Channel Islands.  The Europe, Asia & U.S. business unit provides
enterprise and carrier solutions to the largest users of
telecoms services across the U.K., U.S., continental Europe and
Asia -- and wholesale broadband services in the U.K.  The
company also has operations in India, China, the Cayman Islands
and the Middle East.

Headquartered in London, Cable & Wireless Plc
-- http://www.cw.com/new/-- operates through two standalone   
business units -- International and Europe, Asia & US.  The
International business unit operates integrated
telecommunications companies in 33 countries, with principal
operations in the Caribbean, Panama, Macau, Monaco and the
Channel Islands.  The Europe, Asia & U.S. business unit provides
enterprise and carrier solutions to the largest users of
telecoms services across the U.K., U.S., continental Europe and
Asia -- and wholesale broadband services in the U.K.  The
company also has operations in India, China, the Cayman Islands
and the Middle East.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on
May 26, 2008, Standard & Poor's Ratings Services has revised its
outlook on Cable & Wireless PLC to developing from stable.  The
developing outlook means ratings can be raised, lowered, or
affirmed.  The 'BB-' long-term and 'B' short-term corporate
credit ratings remain unchanged.


NAT'L COMMERCIAL: Court Won't Give Bank Directions on Olint
-----------------------------------------------------------
Jamaica's High Court has dismissed the National Commercial Bank
Jamaica Limited's application to seek direction on how to
operate Olint Corp. Limited's accounts, Paul Henry at The
Jamaica Observer reports.

As reported in the Troubled Company Reporter-Latin America on
July 18, 2008, the court ordered National Commercial to keep
Olint's accounts open allowing the bank to keep on accepting
deposits and encashing withdrawals.  The National Commercial
later went to the High Court to get directions on the accounts.

The Observer relates that the court found National Commercial's
application had no merit.  According to the National
Commercial's general counsel Dave Garcia, National Commercial
would be taking the matter to the London-based Privy Council,
Jamaica's final court of appeal.

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 U.K.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 3, 2008, Fitch Ratings affirmed National Commercial
Bank Jamaica Limited's ratings on long-term foreign and local
currency Issuer Default Ratings at 'B+'; short-term foreign and
local currency IDRs at 'B'; Individual at 'D'; Support at 4; and
Support Floor at 'B'.

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.


NAT'L COMMERCIAL: Court Okays Michael Hylton as Bank's Attorney
---------------------------------------------------------------
Paul Henry at The Jamaica Observer reports that the Jamaican
Appeal Court has ruled that Michael Hylton could continue
representing the National Commercial Bank Jamaica Limited's case
against Olint Corp. Limited.

As reported in the Troubled Company Reporter-Latin America on
June 4, 2008, the court started hearing Olint's complaint on the
bank's hiring Michael Hylton as legal representative in its
legal battle with the firm.  Olint took out an injunction
against National Commercial on Jan. 11, when the bank decided to
close the investment club's accounts for being allegedly an
unregulated company operating in breach of the Securities Act.  
Olint said that Mr. Hylton was a former solicitor general and
chairperson of the Financial Services Commission, which had
issued a cease-and-desist order on Olint in March 2006.

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 U.K.

                        *     *     *

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.


OLINT CORP: Court Lets Michael Hylton Represent Nat'l Commercial
----------------------------------------------------------------
Paul Henry at The Jamaica Observer reports that the Jamaican
Appeal Court has ruled that Michael Hylton could continue
representing National Commercial Bank Jamaica Limited's case
against Olint Corp. Limited.

As reported in the Troubled Company Reporter-Latin America on
June 4, 2008, the court started hearing Olint's complaint on  
National Commercial's hiring Michael Hylton as legal
representative in its legal battle with the firm.  Olint took
out an injunction against National Commercial on Jan. 11, when
the bank decided to close the investment club's accounts for
being allegedly an unregulated company operating in breach of
the Securities Act.  Olint said that Mr. Hylton was a former
solicitor general and chairperson of the Financial Services
Commission, which had issued a cease-and-desist order on Olint
in March 2006.

Olint Corp. Limited is an investment scheme based in Jamaica.
It has operations in Turks and Caicos and the U.S.  It has been
facing legal problems since 2006 when the Financial Services
Commission served a cease-and-desist order on the firm.  On
Dec. 24, 2007, the court ruled that the operations of Olint
breached provisions of the Securities Act.  The firm had been
dealing in securities and engaging in the participation of a
profit-sharing agreement, issuing investment contracts, and
providing advice to potential investors without licenses and
registration.  Olint appealed the ruling and was granted a stay
of execution of the cease-and-desist order until the appeal was
heard in February 2008.  In May 2008, the National Commercial
Bank Jamaica Limited attempted to close three Olint accounts in
the bank.  However, Olint secured an injunction from the court
barring the National Commercial from closing the accounts.
Olint has suspended payments to its members since early this
year.


NATIONAL WATER: Jeremy Palmer Blames Commission for Bad Service
---------------------------------------------------------------
Black River Mayor and Chairman of St. Elizabeth Parish Council,
Jeremy Palmer, has claimed that the National Water Commission of
Jamaica's service to St. Elizabeth residents is poor, The
Jamaica Observer reports.

The water shortages in St. Elizabeth is one of the major
problems the parish frequently encounters, The Observer states,
citing the mayor.

As reported in the Troubled Company Reporter-Latin America on
July 10, 2008, recent drought conditions have affected 10% of
The Commission's 460 water systems all across Jamaica.  The
Commission that one of the badly affected areas is the St.
Elizabeth well.

The National Water Commission is a statutory organization
charged with the responsibility of providing potable water and
wastewater services for the people of Jamaica.

                        *     *     *

The National Water Commission of Jamaica had been criticized for
failing to act promptly in cutting its losses.  For the fiscal
years 2002 and 2003, the water commission accumulated a net loss
of US$2.11 billion.  The deficit fell to US$1.86 billion the
following year, and to US$670 million in 2004 and 2005.

Jamaican citizens have been complaining to the commission about
water disruptions in their communities, resulting to
restrictions of water use.



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

ALLIS-CHALMERS: S&P Raises Ratings to 'B+' from 'B'
---------------------------------------------------
Standard & Poor's Ratings Services raised its ratings on
Houston-based oilfield services company Allis-Chalmers Energy
Inc., including the corporate credit rating.  The ratings were
raised to 'B+' from 'B'.  The outlook was revised from positive
to stable.
     
"The upgrade reflects expected improvements in operating
performance as a result of strong industry conditions during the
second half of 2008, adherence to its stated financial policy,
and meaningful improvements in the company's scale and product
offerings during the past year," said Standard & Poor's credit
analyst Amy Eddy.
     
S&P expect the company's pro forma EBITDA to increase to
approximately US$300 million from less than US$200 million in
2007 after it completes its acquisition of Bronco Drilling
Company Inc.  Furthermore, management has also displayed a
willingness to maintain financial leverage in the 3x debt to
EBITDA area.  About half of Bronco's purchase price (including
the refinancing of Bronco's debt) will be funded with equity.
     
Despite the upgrade, the 'B+' corporate credit rating on Allis
continues to reflect several weaknesses:

Operating performance at Allis, specifically their rental
services segment, and Bronco's rig utilization rates were soft
during the fourth quarter of 2007 and the first quarter of 2008,
which resulted in lower cash flows;

The company is very acquisitive.  While the acquisitions have
improved Allis' scale and scope of operations, they also raise
questions as to whether management has the ability to
effectively manage such rapid growth.

Furthermore, the acquisition of Bronco represents the company's
first venture in the domestic land rig business; and

The oilfield services industry is highly cyclical.  S&P expects
demand for services to improve during the second half of 2008
because of robust commodity prices, but the rig count has
historically been very volatile, and a reversion to low drilling
activities would result in significantly lower cash flows for
Allis.
     
Headquartered in Houston, Texas, Allis-Chalmers Energy Inc.
(NYSE: ALY) -- http://www.alchenergy.com-- is an oilfield   
services company.  It provides services and equipment to oil and
natural gas exploration and production companies, domestically
primarily in Texas, Louisiana, New Mexico, Colorado, Oklahoma,
Mississippi, Wyoming, Arkansas, West Virginia, offshore in the
Gulf of Mexico, and internationally primarily in Argentina and
Mexico.  Allis-Chalmers provides rental services, international
drilling, directional drilling, tubular services, underbalanced
drilling, and production services.


AXTEL SAB: Seven Units Merge for Administrative Efficiencies
------------------------------------------------------------
Axtel S.A.B de C.V. disclosed in a filing with the U.S.
Securities and Exchange Commission the planned merger of seven
of its subsidiaries.

According to the disclosure, subsidiaries Impulsora e
Inmobiliaria Regional S.A. de C.V., Adequip, S.A. de C.V.,
Avantel Equipos S.A. de C.V., Avantel Recursos S.A. de C.V.,
Avantel Servicios, S.A. de C.V., and Avantel Telecomunicaciones,
S.A. de C.V. will merge with and into Servicios Axtel S.A. de
C.V., with the latter being the surviving entity.

Axtel says the merger will have no impact in its operations,
shareholders and bondholders.  The units decided to merger to
pursue administrative efficiencies, the company explains.

The merger will become effective upon compliance with certain
publication and registration requirements under Mexican Law,
which is expected to occur during the following weeks.

Pursuant to an agreement that the six units entered into, they
will be merged with and into Servicios Axtel, S.A. de C.V., with
the latter being the surviving entity.

San Pedro Garza Garcia, Mexico, July 16, 2008 – Axtel, S.A.B. de
C.V. (BMV: AXTELCPO; OTC: AXTLY) (“AXTEL” or “the Company”), a
fixed-line integrated telecommunications company in Mexico,
announced today that pursuing administrative efficiencies,
certain of its subsidiaries will merge among themselves,
pursuant to an agreement that the relevant subsidiaries have
entered into with no impact in the operations of the Company or
to shareholders, bondholders or any other stakeholder of AXTEL.

Impulsora e Inmobiliaria Regional, S.A. de C.V., Adequip, S.A.
de C.V., Avantel Equipos, S.A. de C.V., Avantel Recursos, S.A.
de C.V., Avantel Servicios, S.A. de C.V. and Avantel
Telecomunicaciones, S.A. de C.V. will be merged with and into
Servicios Axtel, S.A. de C.V., with the latter being the
surviving entity.

The merger will become effective upon compliance with certain
publication and registration requirements under Mexican Law,
which is expected to occur during the following weeks.

Axtel, S.A.B de C.V. -- http://www.axtel.com.mxformerly known  
as Axtel S.A. de C.V., is a fixed-line integrated
telecommunications company in Mexico.  The company provides
local and long distance hat provides local and long distance
telephony, broadband Internet, data and built-to-suit
communications solutions.

                          *     *     *

As reported by the Troubled Company Reporter-Latin America on
Aug. 16, 2007, Standard & Poor's affirmed the 'BB-' corporate
credit and senior unsecured debt ratings on Axtel and its notes
due 2013 and 2017.

In November 2007, Moody's Investors Service gave Axtel S.A.B Ba2
Long-Term Corporate Family Rating and Senior Unsecured Debt
Rating.


BEARINGPOINT INC: Gets Non-Compliance Notice Letter From NYSE
-------------------------------------------------------------
BearingPoint Inc. has received a letter from the New York Stock
Exchange stating that it is not in compliance with the NYSE
listing standard requiring a listed common stock to maintain a
minimum average closing price of US$1.00 per share for 30
consecutive trading days.

It is the company's intention to cure this deficiency, and it
will remain in communication with the NYSE throughout the
process.  Under the NYSE's rules, the Company has six months
from the date of the NYSE notice to cure this deficiency before
the NYSE initiates suspension and delisting procedures.  During
this period, the company's common stock will continue to be
listed on the NYSE, subject to ongoing reassessment.  The NYSE
notification will not affect the Company’s business operations,
does not change its SEC reporting requirements and has no effect
under any of the company's credit agreements or various
debentures.

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 of Dec. 31, 2007, the company had total assets of
US$1,981.4 million, total liabilities of US$2,450.6 million
resulting to a total stockholders' deficit of US$469.2 million.

                           *     *     *

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%).


BHM TECHNOLOGIES: Committee Wants to Retain Chanin as Advisor
--------------------------------------------------------------
The Official Committee of Unsecured Creditors of BHM
Technologies Holdings, Inc. and its debtor-subsidiaries ask
approval from the United States Bankruptcy Court for the Western
District of Michigan to retain Chanin Capital Partners as its
financial advisor.

The Committee states that Chanin has assisted and advised
numerous committees, trustees, secured creditors, debtors, and
other constituencies in the Chapter 11 process and is
experienced in analyzing and testifying regarding corporate
restructuring issues and measuring the economics of any
potential merger and acquisition transactions.

The Committee needs assistance in collecting and analyzing
financial and other information in relation to the Chapter 11
cases.  Chanin will render these services:

   (a) review and analyze the Debtors' operations, financial
       condition, business plan, strategy, and operating
       forecasts;

   (b) analyze any merger, divestiture, joint-venture, or
       investment transaction;

   (c) assist in the determination of an appropriate go-forward
       capital structure for the Debtors;

   (d) assist the Committee in developing, evaluating,
       structuring and negotiating the terms and condition of a
       restructuring or Plan of Reorganization, including the
       value of the securities, if any, that may be issued to
       the Committee under any such restructuring or Plan;

   (e) provide testimony, as necessary, before the bankruptcy
       court; and

   (f) provide the Committee with other appropriate general
       restructuring advice and litigation support.

Chanin will seek compensation for its services on a monthly flat
fee basis.  The firm will maintain detailed records of any
actual and necessary costs and expenses incurred in connection
with the services and will record its time in increments of 1/10
of one hour.  Chanin has advised the Committee that it is not
the general practice of investment banking firms to keep
detailed time records similar to those customarily kept by
attorneys.

The Committee proposes to pay Chanin a flat monthly fee of
US$50,000 and submits that such fees are at the low end of the
range of compensation as compared to other professional services
firms providing similar financial advisory and related
investment banking services.

To the best of the Committee's knowledge, information and
belief, Chanin has no connection with, and holds no interest
adverse to, the Debtor, its estate, its creditors, or any other
party-in-interest, except in matters unrelated to the Debtors'
cases.

Chanin is a “disinterested person”, as defined in Sections 328
and 101(14) of the Bankruptcy Code.

Headquartered in Ionia, Michigan, BHM Technologies Holdings
Inc. -- http://www.browncorp.com/-- manufactures and sells
automobile parts including air bags and electrical systems.  It
has manufacturing facilites in Mexico and operates under Brown
Corp.

BHM Technologies Holdings, Inc. and 14 affiliates filed separate
voluntary petitions under Chapter 11 on May 19, 2008 (Bankr.
W.D. Mich. Lead Case No. 08-04413).  Hannah Mufson McCollum,
Esq., Kay Standridge Kress, Esq., Robert S. Hertzberg, Esq., and
Leon R. Barson, Esq. of Pepper Hamilton LLP, represent the
Debtors in their restructuring efforts.  When the Debtors filed
for bankruptcy, it listed estimated assets and debts to be both
between US$100 million and US$500 million.

The Debtors have until Sept. 16, 2008, to exclusively file their
bankruptcy plan.  (BHM Technologies Bankruptcy News, Issue
No. 7; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


CARDTRONICS INC: Closes Exchange Offer on 9.250% Senior Notes
-------------------------------------------------------------
Cardtronics Inc. has completed an offer to exchange all of
its outstanding 9.250% Senior Subordinated Notes due 2013 -
Series B that were issued on July 20, 2007 in a private offering
for an equal amount of its 9.250% Senior Subordinated Notes due
2013 - Series B that have been registered under the Securities
Act of 1933.  Based on information provided by Wells Fargo,
N.A., the exchange agent for the exchange offer, the company
received tenders from holders of 100% of the outstanding amount
of the Existing Notes.

The form and terms of the Exchange Notes are substantially the
same as the form and terms of the Existing Notes for which they
were exchanged, except that the transfer restrictions and the
registration rights applicable to the Existing Notes do not
apply to the Exchange Notes.

The exchange offer expired at midnight New York City time on
July 16, 2008.  The offer was made pursuant to the terms and
conditions included in Cardtronics' prospectus dated June 17,
2008 and served to satisfy the company's obligations under a
registration rights agreement entered into with the initial
purchasers of the Existing Notes at the time they were
originally issued.

Headquartered in Houston, Texas, Cardtronics Inc. --
http://www.cardtronics.com/-- is a non-bank owner/operator of
ATMs with more than 25,750 locations.  The company operates in
every major U.S. market, at approximately 1,700 locations
throughout the U.K., and at over 700 locations in Mexico.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
June 16, 2008, Standard & Poor's Ratings Services revised its
outlook on Houston-based Cardtronics Inc. to positive from
stable.  At the same time, S&P affirmed the ratings on the
company, including the 'B+' corporate credit rating.

On July 2007, Moody's Investors Service assigned a Caa1 rating
to Cardtronics, Inc.'s proposed additional US$125 million “tack-
on” high yield subordinated notes, which will be used to fund
the US$135 million acquisition of the assets of financial
services business of 7-Eleven.


CONTINENTAL AIRLINES: Posts US$3MM Net Loss in 2008 2nd Quarter
---------------------------------------------------------------
Continental Airlines Inc. disclosed on Wednesday its financial
results for the second quarter ended June 30, 2008.  

The company reported a second quarter 2008 net loss of
US$3 million, compared with net income of US$228 million in the
same period last year.  Excluding US$22 million of previously
reported net after tax special items, Continental recorded a net
loss of US$25 million.

The company said the combination of record high fuel prices,
weakening economic conditions and a weak dollar has resulted in
the worst financial environment for U.S. network carriers since
the September 11 terrorist attacks.

“My co-workers are doing a great job working through the
significant challenges facing our industry,” said Larry Kellner,
Continental's chairman and chief executive officer.  “We will
continue to work together to react to the market and maintain
our focus on providing quality service to customers.”

In response to these challenges, Continental implemented a
number of initiatives in the second quarter of 2008 to maintain
its competitive position in the industry and bolster its cash
balance including:

  -- Announcing capacity reductions beginning in September 2008,
     which Continental expects will result in a 10-percent
     decline in domestic mainline capacity, a 15.4-percent
     decline in domestic mainline departures and a 6.7-percent
     decline in consolidated capacity in the fourth quarter 2008
     compared to the same period in 2007

  -- Accelerating the retirement of 67 Boeing 737-300 and
     737-500 aircraft, removing a majority of the least fuel
     efficient aircraft from its mainline fleet by the end of
     2009, driving the difficult decision to eliminate
     approximately 3,000 positions across all work groups

  -- Entering into a new seven-year capacity purchase agreement
     with ExpressJet Airlines Inc. to provide regional jet
     service at lower rates, resulting in approximately
     US$50 million of annual savings
   
  -- Raising approximately US$900 million through a variety of
     initiatives including an amended credit card marketing
     agreement, issuance of common stock, sale of Continental's
     remaining equity interest in Copa Holdings S.A. and several
     secured borrowings
    
  -- Entering into framework agreements for a planned transition
     to the Star Alliance, linking worldwide networks and
     services of alliance members including United, Lufthansa,
     Air Canada, Singapore, ANA and Air China, to benefit
     customers and create revenue opportunities, cost savings
     and other efficiencies

  -- Implementing a new checked bag policy charging non-Elite  
     customers on certain economy-class tickets a US$25 service
     fee for a second checked bag, and numerous fuel surcharge
     and fare increases

               Second Quarter Revenue and Capacity

Total revenue for the quarter of US$4.0 billion increased
US$334 million, or 9.0 percent over the same period in 2007, as
a result of increased fuel surcharges on passenger tickets and
on cargo, as well as international growth, increased fees and
fare increases.  Passenger revenue grew US$254 million, or 7.5
percent, compared to the second quarter of last year.

“Despite solid operational and financial performance, we were
unable to generate enough revenue to keep pace with the
stratospheric increase in fuel prices,” said Jeff Smisek,
president.  “We will continue to take actions to increase our
revenue and decrease our costs, while preserving our culture and
core product integrity.”

Consolidated revenue passenger miles for the quarter increased
0.5 percent year-over-year on a capacity increase of 2.7
percent, resulting in a second quarter consolidated load factor
of 81.4 percent, 1.8 points below the second quarter record set
in 2007.

Consolidated yield for the quarter increased 7.0 percent year-
over-year.  Consolidated revenue per available seat mile for the
quarter increased 4.6 percent year-over-year due to increased
yields.

Mainline RPMs in the second quarter of 2008 decreased 0.2
percent compared to the second quarter 2007, on a capacity
increase of 2.0 percent.  Mainline load factor was 81.7 percent,
down 1.8 points year-over-year.  Mainline yield increased 6.0
percent over the same period in 2007.  As a result, second
quarter 2008 mainline RASM was up 3.8 percent over the second
quarter of 2007.

            Second Quarter Operational Accomplishments

During the quarter, Continental recorded a U.S. Department of
Transportation on-time arrival rate of 73.1 percent and a
systemwide mainline segment completion factor of 99.5 percent.

For the fifth straight year, Continental was named the “Best
Airline in North America” at the 2008 OAG Airline of the Year
Awards.

In conjunction with the Transportation Security Administration,,
Continental expanded its paperless boarding pass pilot program,
already in place at its Houston hub, to include its New York hub
at Newark Liberty International Airport as well as Washington
National Airport and Boston's Logan International Airport.  The
program allows customers to receive boarding passes
electronically on their cell phones or PDAs, which are scanned
by TSA security officers at the checkpoint and can be used to
board Continental's flights, eliminating the need for paper
boarding passes.

During the quarter, Continental launched the first-ever nonstop
seasonal service between its hub at Cleveland Hopkins
International Airport and Charles de Gaulle Airport in Paris,
France.

                  High Fuel Costs Taking a Toll

Continental's mainline cost per available seat mile increased
15.1 percent (down 4.8 percent holding fuel rate constant and
excluding special charges) in the second quarter compared to the
same period last year.  The company's average price per mainline
gallon of fuel, including fuel taxes, increased 66.2 percent
year-over-year.

“We had another quarter of outstanding cost control excluding
the impact of fuel,” said Jeff Misner, Continental's executive
vice president and chief financial officer.  “The entire team
continues to impress me with their ability to find new ways to
do things better and more efficiently, helping us mitigate
rising fuel costs.”

Record-high jet fuel prices are adversely affecting the
company's financial results.  In the second quarter of 2008, the
price of a barrel of West Texas Intermediate crude oil averaged
almost US$119 per barrel compared to less than US$65 per barrel
for the same period last year, with crude oil prices peaking at
US$140.21 per barrel and Gulf Coast jet fuel peaking at
US$169.79 per barrel during the quarter.  Mainline fuel costs
increased US$542 million, or 66 percent, in the second quarter
compared to the second quarter of 2007.

During the quarter, Continental also incurred additional fuel
costs of US$124 million year-over-year that were included as
part of its regional capacity purchase cost.  As a result, the
total year-over-year impact of higher fuel costs on the company
for the second quarter was US$666 million, accounting for the
company's increase in operating expenses compared to the second
quarter of 2007.  Continental's annualized fuel costs increase
by approximately US$43 million for each US$1-per-barrel rise in
the price of crude oil.

During the quarter, Continental recognized a total of US$112
million in fuel hedging gains.  Of this total, US$79 million of
realized gains were included as operating expenses when the
underlying fuel hedged was used.  The remaining US$33 million
are unrealized gains which relate to fuel hedges for the third
quarter of 2008 and beyond which under accounting rules were
required to be recognized in the second quarter.  This US$33
million of gains, which are included in the company's statement
of operations under nonoperating income (expense), were caused
by the company's hedge positions in crude and heating oil
experiencing a relatively higher increase in value than the jet
fuel being hedged.

As of July 16, 2008, Continental had hedged approximately 63
percent of the company's projected consolidated fuel
requirements for the third and fourth quarters of 2008, and had
hedged approximately 29 percent of its projected consolidated
fuel requirements for the first half of 2009.

                 Other Financial Accomplishments

During the quarter, Continental completed a public offering of
11 million shares of its common stock, raising net proceeds of
US$162 million, and sold its remaining equity stake in Copa,
raising net proceeds of US$149 million.

In June 2008, Continental amended its bankcard joint marketing
agreement with Chase bank, under which Chase purchases frequent
flyer mileage credits to be earned by OnePass members for making
purchases using a Continental Airlines credit card issued by
Chase.  Under the agreement, Continental received a payment of
US$413 million, of which US$235 million related to the advance
purchase of frequent flyer mileage credits and the balance of
which is in consideration of certain other commitments with
respect to the co-branding relationship, including the extension
of the term of the agreement until Dec. 31, 2016.

During the second quarter, Continental closed transactions to
borrow approximately US$208 million under various debt
agreements, secured by aircraft purchase agreements and mainline
jet aircraft.  The company received net proceeds of US$173
million and expects to receive the remaining borrowings in the
fourth quarter of 2008.

                        Current Liquidity

Continental ended the second quarter with approximately
US$3.4 billion in unrestricted cash and short-term investments,
which is US$604 million higher than at Dec. 31, 2007.

Additionally, the company held student loan-related auction rate
securities reported as non-current assets at June 30, 2008, with
a par value of US$293 million and a fair value of US$264
million.  At Dec. 31, 2007, student loan-related auction rate
securities totaled US$387 million (par and fair value) and were
reported as current assets (US$285 million in short-term
investments and US$102 million in restricted cash, cash
equivalents and short-term investments).  

                          Long-Term Debt

At June 30, 2008, the company had approximately US$5.8 billion
(including current maturities) of long-term debt and capital
lease obligations, versus approximately US$5.0 billion
(including current maturities) of long-term debt and capital
lease obligations, at Dec. 31, 2007.  The company does not
currently have any undrawn lines of credit or revolving credit
facilities and substantially all of its otherwise readily
financeable assets are encumbered.  However, the company's
unrestricted investment in student loan-related auction rate
securities are not pledged as collateral under any of its debt.  
The company was in compliance with all debt covenants at
June 30, 2008.

                          Balance Sheet

At June 30, 2008, the company's consolidated balance sheet
showed US$13.8 billion in total assets, US$12.1 billion in total
liabilities, and US$1.7 billion in total stockholders' equity.

Full-text copies of the company's consolidated financial
statements for the quarter ended June 30, 2008, are available
for free at http://researcharchives.com/t/s?2faa

                    About Continental Airlines


Continental Airlines Inc. (NYSE: CAL) -- http://continental.com/
-- is the world's fifth largest airline.  Continental, together
with Continental Express and Continental Connection, has more
than 2,900 daily departures throughout the Americas, including
Belize and Mexico, Europe and Asia, serving 144 domestic and 139
international destinations.  More than 500 additional points are
served via SkyTeam alliance airlines.  With more than 45,000
employees, Continental has hubs serving New York, Houston,
Cleveland and Guam, and together with Continental Express,
carries approximately 69 million passengers per year.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 22, 2008, that Moody's Investors Service affirmed the B2
Corporate Family Rating of Continental Airlines, Inc. as well as
the ratings of its outstanding corporate debt instruments and
selected classes of Continental's Enhanced Equipment Trust
Certificates.  The Speculative Grade Liquidity rating was
lowered to SGL-3 from SGL-2. The outlook has been changed to
negative from stable.

As reported by the Troubled Company Reporter-Latin America on
April 23, 2008, Standard & Poor's Ratings Services revised its
rating outlook on Continental Airlines Inc. (B/Negative/B-3) to
negative from stable.  S&P also placed its ratings on selected
enhanced equipment trust certificates that are secured by
regional jets on CreditWatch with negative implications.

In December 2007, Fitch Ratings affirmed Continental Airlines
'B-' issuer default rating with a stable outlook.


DISTRIBUTED ENERGY: US$10.18MM Sale to Proton Business Approved
---------------------------------------------------------------
The United States Bankruptcy Court for the District of Delaware
authorized Distributed Energy Systems Corp. to sell its Proton
Energy Systems Inc. business, Bill Rochelle of Bloomberg News
reports.

As reported by the Troubled Company Reporter on June 12, 2008,
Distributed Energy and its affiliates asked the Court to approve
a proposed bidding procedures for the sale of their Proton
Energy and Northern Power Systems Inc. units, subject to better
and higher offers.  A July 10 auction was set for both assets.

A. Proton Energy

The Debtors and Baker Companies Inc. reached an agreement on
June 4, 2008, wherein Baker will purchase all outstanding
capital stock of Proton.  At a July 10 auction, the price rose
US$637,000 to US$10.187 million, according to Mr. Rochelle.

A full-text copy of Proton's asset purchase agreement is
available for free at http://ResearchArchives.com/t/s?2da0

B. Northern Power

The Debtors entered into a US$10,500,000 asset purchase
agreement dated June 4, 2008, with NEA Acquisition Corp.  The
deal includes the assumption of certain liabilities.  According
to Mr. Rochelle, there was a US$9.2 million contract for the
business.  

A full-text copy of Northern's asset purchase agreement is
available for free at http://ResearchArchives.com/t/s?2d9f

                          DIP Financing

As reported by the Troubled Company Reporter on June 17, 2008,
the Hon. Mary F. Walrath of the United States Bankruptcy Court
for the District of Delaware authorized Distributed Energy and
Northern Power Systems Inc. to obtain, on an interim basis, up
to US$2,000,000 in postpetition financing under a secured loan
facility from Perseus Partners VII LP, as lender.

A hearing is scheduled for June 25, 2008, at 2:00 p.m., to
consider final approval of the Debtors' DIP request.

Judge Walrath also authorized the Debtors to use Perseus' cash
collateral.

                   About Distributed Energy

Based in Wallingford, Connecticut, Distributed Energy Systems
(Nasdaq: DESC) -- http://www.distributed-energy.com/-- through      
its subsidiaries, engages in the design, development,
manufacture, and sale of on-site hydrogen gas delivery systems
worldwide.  It has operations in Mexico.

Distributed Energy Systems Corp. and its wholly owned
subsidiary, Northern Power systems Inc., filed for Chapter 11
bankruptcy protection on May 4, 2008 (Bankr. D. Del. Lead Case
No. 08-11101).  Robert S. Brady, Esq. and Robert F. Poppiti,
Jr., at Young, Conaway, Stargatt & Taylor represent the Debtors
in their restructuring efforts.  The Debtors selected Epiq
Bankruptcy Solutions LLC as their claims agent.  An Official
Committee of Unsecured Creditors has been appointed in the case.  
No professionals have yet been appointed for the Committee.  The
Debtors disclosed in its schedules, assets of US$19,593,387 and
debts of US$43,558,713.


FIAT SPA: Ends Diesel Engine Joint Venture with Cummins Inc.
------------------------------------------------------------
The Fiat Group (FIA.MI) and Cummins Inc. (NYSE:CMI) subsidiaries
CNH Global N.V. (NYSE:CNH) and Iveco S.p.A. have agreed to
unwind their existing joint ventures in the area of diesel
engines.

Cummins has disposed of its one-third interest in European
Engine Alliance to develop and produce the New Engine Family
engine range.  As a result of this transaction, FPT (the Fiat
Group's sector which develops, produces and sells engines and
transmissions to both Fiat Group's subsidiaries and to third
parties worldwide) will wholly manage EEA.

EEA is a joint venture formed in 1996 as a three-way partnership
among Cummins, Iveco (the Fiat Group's commercial vehicles and
buses subsidiary), and New Holland (now part of CNH - Case New
Holland, the majority-owned Fiat Group subsidiary which operates
in the agricultural and construction equipment businesses)

Cummins has agreed to acquire CNH's 50% stake in Consolidated
Diesel Corporation, a joint venture company set up in 1980 by
Cummins and Case Corporation (now part of CNH).  CDC will become
a wholly-owned entity of Cummins Inc.

Mr. Alfredo Altavilla, CEO of FPT, said, “This transaction
confirms Fiat Group's strategy to further strengthen its engine
and transmissions capabilities under the guidance of FPT.  Full
control of EEA will enable FPT to develop the new generation of
NEF engines.  At the same time, FPT has already started gradual
substitution of the CDC engines leveraging its new product
portfolio.  Moreover, this transaction enables CNH and Iveco to
take advantage of Fiat Group's synergies and to further leverage
on FPT's key technology developments particularly towards
overcoming the challenges of increasing engine emission
regulations and attention on fuel consumption.”

                         About Cummins

Headquartered in Columbus, Indiana, Cummins Inc. (NYSE: CMI)
-- http://www.cummins.com/-- designs, manufactures, distributes
and services engines and related technologies, including fuel
systems, controls, air handling, filtration, emission solutions
and electrical power generation systems.

Cummins has Latin-American operations, particularly in
Venezuela, Brazil, Peru, Colombia, and Argentina.  Its
operations in the Asia-Pacific are found in China, Japan and
Korea.  Its also has facilities in Europe, particularly in the
United Kingdom.

                         About Fiat

Based in Turin, Italy, Fiat SpA -- http://www.fiatgroup.com/--
designs, manufactures, and sells automobiles, trucks, wheel
loaders, excavators, telehandlers, tractors and combine
harvesters.  Outside Europe, the company has subsidiaries in the
United States, Japan, India, China, Mexico, Brazil, and
Argentina.

                         *     *     *

The company continues to carry Standard & Poor's Ratings
Services' BB long-term corporate credit rating.  The company
also carries B short-term rating.  S&P said the outlook is
stable.


GRUPO TMM: Comments on Auditor's Going Concern Report
-----------------------------------------------------
Grupo TMM S.A.B. has commented on its Auditors' Report on the
company's Consolidated Financial Statements for the year ended
Dec. 31, 2007, included in its Annual Report on Form 20-F for
the period, filed with the U.S. Securities in Exchange and
Commission on June 30, 2008.

The Auditors' Report states that “The continuation of the
company as a going concern is dependent upon the company's
ability to meet its financing requirements on a continuing
basis, to comply with its present financing arrangements, and to
succeed in its future operations.”

However, the Report also stated that the company's management
has taken the following steps to improve its operating and
financial results:

   a) the acquisition of operating assets for the logistics
      segment,

   b) the acquisition of a new fleet of new vessels to replace
      an aging fleet of leased vessels,

   c) an organizational restructuring to reduce administrative
      expenses, and

   d) the commencement of a financing project to replace certain
      debt with Trust Certificates having more favorable
      conditions and interest rates.

The company's management believes that its 2008 business plan
considers a significant increase in income and generation of
cash from operations.  These increases would be derived from
business levels and assets that are substantially in place as of
the end of the company's fiscal year 2007.  The company's
management also believes that the aforementioned will permit the
company to continue on its positive trend of increasing
efficiency and coverage ratios and realizing its current
strategy of creating a healthy and competitive financial
structure for the company in the medium term.

TMM reported at Dec. 31, 2007, cash provided by operating
activities of US$37.2 million, and of US$15.6 million in the
first quarter of 2008.  Cash flow from operations had not been
positive since 2004.

Also, as part of TMM's strategy to grow with the acquisition of
profitable assets with contracted revenues, the company has
completed a Trust Certificates Program for up to 9.0 billion
pesos through three tranches.  This Trust Certificate facility
is non-recourse to the company and is tied to the useful life of
the vessels purchased with the proceeds.  The first and third
tranches were rated AA and the second tranche was rated AA- by
Fitch Ratings, reflecting TMM's continued quality operating
performance, increased demand for maritime transportation
services and the Mexican Navigation Law principles.

This Program is the largest placement of long-term debt tied to
the useful life of transportation assets that has been issued in
the Mexican Market, setting a milestone for this kind of
transaction in Mexico.

As reported in the Troubled Company Reporter-Latin America on
July 17, 2008, Grant Thornton, S.C., raised substantial doubt
about the ability of Grupo TMM, S.A.B, to continue as a going
concern after it audited the company's financial statements for
the year ended Dec. 31, 2007.  The auditing firm pointed to the
company's sustained substantial losses from continuing
operations during the past five years.

Under Mexican law, when a company has accumulated losses in
excess of two-thirds of its capital stock, any third party with
legal interest may request the corresponding judicial
authorities to declare the dissolution of the company.  In Grupo
TMM's audited report for the year ended Dec. 31, 2004, our
independent auditors expressed substantial doubt about its
ability to continue as a “going concern”.  This situation no
longer existed in 2005 when the company obtained enough net
income to absorb all accumulated losses.  However, in the
company's audited report for the periods ended Dec. 31, 2006,
and Dec. 31, 2007, the company's independent auditors again
indicated that a substantial doubt exists as to its continuation
as a going concern because it had sustained substantial losses
from continuing operations during the past five years.

                        About Grupo TMM

Headquartered in Mexico City, Grupo TMM, S.A.B. (NYSE: TMM)(MEX
VALORIS: TMMA) -- http://www.grupotmm.com/-- is a Latin
American multimodal transportation and logistics company.
Through its branch offices and network of subsidiary companies,
TMM provides a dynamic combination of ocean and land
transportation services.


Grupo TMM S.A.B. has commented on its Auditors' Report on the
company's Consolidated Financial Statements for the year ended
Dec. 31, 2007, included in its Annual Report on Form 20-F for
the period, filed with the U.S. Securities in Exchange and
Commission on June 30, 2008.

The Auditors' Report states that “The continuation of the
company as a going concern is dependent upon the company's
ability to meet its financing requirements on a continuing
basis, to comply with its present financing arrangements, and to
succeed in its future operations.”

However, the Report also stated that the company's management
has taken the following steps to improve its operating and
financial results:

   a) the acquisition of operating assets for the logistics
      segment,

   b) the acquisition of a new fleet of new vessels to replace
      an aging fleet of leased vessels,

   c) an organizational restructuring to reduce administrative
      expenses, and

   d) the commencement of a financing project to replace certain
      debt with Trust Certificates having more favorable
      conditions and interest rates.

The company's management believes that its 2008 business plan
considers a significant increase in income and generation of
cash from operations.  These increases would be derived from
business levels and assets that are substantially in place as of
the end of the company's fiscal year 2007.  The company's
management also believes that the aforementioned will permit the
company to continue on its positive trend of increasing
efficiency and coverage ratios and realizing its current
strategy of creating a healthy and competitive financial
structure for the company in the medium term.

TMM reported at Dec. 31, 2007, cash provided by operating
activities of US$37.2 million, and of US$15.6 million in the
first quarter of 2008.  Cash flow from operations had not been
positive since 2004.

Also, as part of TMM's strategy to grow with the acquisition of
profitable assets with contracted revenues, the company has
completed a Trust Certificates Program for up to 9.0 billion
pesos through three tranches.  This Trust Certificate facility
is non-recourse to the company and is tied to the useful life of
the vessels purchased with the proceeds.  The first and third
tranches were rated AA and the second tranche was rated AA- by
Fitch Ratings, reflecting TMM's continued quality operating
performance, increased demand for maritime transportation
services and the Mexican Navigation Law principles.

This Program is the largest placement of long-term debt tied to
the useful life of transportation assets that has been issued in
the Mexican Market, setting a milestone for this kind of
transaction in Mexico.

As reported in the Troubled Company Reporter-Latin America on
July 17, 2008, Grant Thornton, S.C., raised substantial doubt
about the ability of Grupo TMM, S.A.B, to continue as a going
concern after it audited the company's financial statements for
the year ended Dec. 31, 2007.  The auditing firm pointed to the
company's sustained substantial losses from continuing
operations during the past five years.

Under Mexican law, when a company has accumulated losses in
excess of two-thirds of its capital stock, any third party with
legal interest may request the corresponding judicial
authorities to declare the dissolution of the company.  In Grupo
TMM's audited report for the year ended Dec. 31, 2004, our
independent auditors expressed substantial doubt about its
ability to continue as a “going concern”.  This situation no
longer existed in 2005 when the company obtained enough net
income to absorb all accumulated losses.  However, in the
company's audited report for the periods ended Dec. 31, 2006,
and Dec. 31, 2007, the company's independent auditors again
indicated that a substantial doubt exists as to its continuation
as a going concern because it had sustained substantial losses
from continuing operations during the past five years.

                        About Grupo TMM

Headquartered in Mexico City, Grupo TMM, S.A.B. (NYSE: TMM)(MEX
VALORIS: TMMA) -- http://www.grupotmm.com/-- is a Latin
American multimodal transportation and logistics company.
Through its branch offices and network of subsidiary companies,
TMM provides a dynamic combination of ocean and land
transportation services.



=================
V E N E Z U E L A
=================

NORTHWEST AIR: CEO Urges Congress to Close Trading Loopholes
------------------------------------------------------------
Northwest Airlines (NYSE: NWA) CEO Doug Steenland told members
of Congress that surging oil prices are severely challenging the
airline industry -- and unregulated oil speculation is a major
cause of the industry's pain -- as he testified before the House
Committee on Energy and Commerce, Subcommittee on Oversight and
Investigations.

Mr. Steenland, who also serves as Chairman of the Board of
Directors for the Air Transport Association, said fuel is
quickly approaching 40% of the airline industry's operating
costs -- and growing.  In 2008, U.S. airlines are expected to
spend US$61.2 billion on jet fuel, US$20 billion more than in
2007, and are projected to incur losses totaling close to
US$10 billion.

"If the current pricing dynamic does not change, our industry
will be severely challenged and will continue shrinking -– to
the detriment of customers, employees and the communities we
serve.  It is as simple and stark as that," said Mr. Steenland.

Mr. Steenland noted, "Unfortunately, the U.S. airline industry
has become the poster child for why reform is needed" as it
relates to speculative commodities trading of oil futures.  "The
price of jet fuel, which as you know is tied to the price of
oil, is out of control."

             Steenland Cites Supply-Demand Disconnect

Mr. Steenland explained that worldwide daily demand for oil has
increased about 2% over the past 12 months, while prices
have increased over 100% in that same time period.  "Supply and
demand fundamentals alone do not explain the price increases and
volatility experienced in the energy markets," said Mr.
Steenland.

A major cause of this disconnect, Mr. Steenland says, is an
increase in speculative investments in the futures markets by
financial institutions such as pension funds, investment banks
and hedge funds.  In March of 2008, world oil consumption was
about 87 million barrels a day.  However, about 1.2 billion
barrels of oil were traded on an average day on the NYMEX and
the London Intercontinental Exchange.  The volume of paper
transactions, or trades, was 13 times greater than the actual
amount of oil used daily worldwide.

Mr. Steenland said this volume of speculative activity is
excessive, and that additional regulation is necessary because
it "has placed upward pressure on oil prices irrespective of
market fundamentals."

                   Steenland Urges Congress to
               Close Commodities Trading Loopholes

Mr. Steenland said Congress needs to close commodities trading
loopholes and increase regulation of commodities trading here
and abroad.  To address this situation, the ATA has developed a
list of common-sense measures that will level the playing the
field between regulated and unregulated exchanges, which should
squeeze from the market a speculator premium.

               Labor, Business and Trade Support
                    Steenland/ATA proposals

Adding further support to Steenland's testimony and the
proposals from ATA, a coalition of labor, business and trade
organizations signed onto letter to the subcommittee's chairman,
Congressman Bart Stupak.  The coalition, including the Air Lines
Pilots Association (ALPA) and International Association of
Machinists and Aerospace Workers (IAM) District 143, wrote,
"Experts agree that today's surging oil prices are beyond those
warranted by supply-demand fundamentals and are due, in large
part, to rampant speculation."

The 15-member coalition added, "In early June, speculators
traded more than 1.9 billion barrels of crude oil -– 22 times
the size of the physical oil market, including US$150 billion
traded on the New York Mercantile Exchange alone.  Sophisticated
"paper" speculators who never intend to use oil are driving up
costs for consumers and making huge profits with little to no
risk."

The coalition is also calling for immediate Congressional
action against oil speculators and applauded Congressman Stupak
for his proposed "Prevent Unfair Manipulation of Prices Act of
2008" -- or PUMP Act -- with its focus on "opening up the market
to greater transparency and fairness to level the playing field
for all traders."

In addition to ATA, ALPA, and IAM District 143, the coalition
includes: The Air Carriers Association of America, Airports
Council International, the American Association of Airport
Executives, the American Society of Travel Agents, the
Association of Professional Flight Attendants, Industrial Energy
Consumers of America, International Brotherhood of Teamsters,
National Air Traffic Controllers Association, National Business
Travel Association, National Farmers Union, and the Regional
Airline Association.

              Changes in Fuel Surcharge Methodology

NWA Cargo will change to a distance-based fuel surcharge
methodology in long-haul international markets effective June
25th, 2008, subject to government approvals where required.

This new fuel surcharge methodology will add an additional
US$0.10 per kilogram surcharge for longer-haul shipments.  This
will apply between North America and points in Asia beyond Japan
and Korea, and from North America to India -- the longest routes
in the NWA cargo network.

Shipments from North America to transatlantic markets and also
from North America to Japan and Korea are not impacted.

"In an environment of unprecedented fuel prices, adjusting fuel
surcharges to more accurately reflect distance will better align
the surcharges collected with the actual expense incurred to
transport the freight," said Tom Bach, President-NWA Cargo.

Under the new methodology, fuel surcharge amounts between North
America and Shanghai (PVG) and Guangzhou (CAN) will also
increase US$0.10 to US$0.50 per kilogram above existing all-in
rates.

Additionally, domestic surcharges will increase from US$0.44 per
pound to US$0.48 per pound.

Full details on the new surcharge methodology including local
currency equivalents and shipper built unit charges may be
obtained from local NWA Cargo sales offices or at
http://www.nwa.com/services/shipping/cargo/surcharge.shtml/

                     About Northwest Airlines

Northwest Airlines Corp. (NYSE: NWA) -- http://www.nwa.com/--     
is the world's fourth largest airline with hubs at Detroit,
Minneapolis/St. Paul, Memphis, Tokyo and Amsterdam, and about
1,400 daily departures.  Northwest is a member of SkyTeam, an
airline alliance that offers customers one of the world's most
extensive global networks.  Northwest and its travel partners
serve more than 1000 cities in excess of 160 countries on six
continents.  Northwest and its travel partners serve more than
1000 cities in excess of 160 countries on six continents,
including Italy, Spain, Japan, China, Venezuela and Argentina.

The company and 12 affiliates filed for chapter 11 protection on
Sept. 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17930).  Bruce
R. Zirinsky, Esq., and Gregory M. Petrick, Esq., at Cadwalader,
Wickersham & Taft LLP in New York, and Mark C. Ellenberg, Esq.,
at Cadwalader, Wickersham & Taft LLP in Washington represent the
Debtors in their restructuring efforts.  The Official Committee
of Unsecured Creditors has retained Scott L. Hazan, Esq., at  
Otterbourg, Steindler, Houston & Rosen, P.C. as its bankruptcy  
counsel in the Debtors' chapter 11 cases.

When the Debtors filed for bankruptcy, they listed
US$14.4 billion in total assets and US$17.9 billion in total
debts.  On Jan. 12, 2007, the Debtors filed with the Court their
Chapter 11 Plan.  On Feb. 15, 2007, they Debtors filed an
Amended Plan & Disclosure Statement.  The Court approved the
adequacy of the Debtors' Disclosure Statement on March 26, 2007.  
On May 21, 2007, the Court confirmed the Debtors' Plan.  The
Plan took effect May 31, 2007.  (Northwest Airlines Bankruptcy
News, Issue No. 95; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


* VENEZUELA: Fitch Withdraws Ratings on Four Heavy Oil Projects
---------------------------------------------------------------
Fitch Ratings withdraws the rating on the Venezuelan Heavy Oil
Projects:

  -- Cerro Negro Finance Ltd.
  -- Petrozuata Finance Ltd.
  -- Sincrudos de Oriente Sincor, C.A.
  -- Petrolera Hamaca, S.A.

Fitch rated the bonds of Cerro Negro and Petrozuata at 'CCC' and
the bank loans of Sincrudos de Oriente and Petrolera Hamaca at
'B-'.  The rating has been withdrawn due to inadequate
information.


* Large Companies With Insolvent Balance Sheet
----------------------------------------------

                                      Total
                                Shareholders       Total
                                     Equity        Assets
Company                 Ticker      (US$MM)       (US$MM)
-------                 ------  ------------      -------
Arthur Lange             ARLA3       (24.32)        34.09
Kuala                    ARTE3       (33.57)        11.86
Bombril                  BOBR3      (480.75)       423.86
Caf Brasilia             CAFE3      (949.47)        40.58
Chiarelli SA             CCHI3       (73.37)        44.84
Ceper-Inv                CEP          (7.77)       120.08
Ceper-B                  CEP/B        (7.77)       120.08
Telefonica Hldg          CITI     (1,481.31)       307.89
Telefonica Hldg          CITI5    (1,481.31)       307.89
SOC Comercial PL         COME       (751.50)       450.17
Marambaia                CTPC3        (1.38)        79.73
DTCOM-DIR To Co          DTCY3       (13.89)        13.03
Aco Altona               ESTR        (41.68)       144.91
Estrela SA               ESTR3       (68.40)       112.36
Bombril Holding          FPXE3    (1,064.31)        41.97
Fabrica Renaux           FTRX3       (40.90)       127.74
Cimob Partic SA          GAFP3       (56.35)        92.77
Gazola                   GAZ03       (43.13)        22.28
Haga                     HAGA3      (116.89)        20.31
Hercules                 HETA3      (245.33)        45.85
Doc Imbituba             IMB13       (21.11)       215.55
IMPSAT Fiber Networks    IMPTQ       (17.17)       535.01
Minupar                  MNPR3       (27.58)       158.43
Wetzel SA                MWET3       (15.02)       137.09
Nova America SA          NOVA3      (300.97)        41.80
Paranapamema SA          PMAM3      (105.13)     3,724.69
Paranapamema-PRF         PMAM4      (105.13)     3,724.69
Recrusul                 RCSL3       (67.90)        27.89
Telebras-CM RCPT         RCTB30     (171.66)       230.92
Rimet                    REEM3      (219.34)        93.47
Schlosser                SCL03       (84.39)        44.57
Tecel S Jose             SJ0S3       (26.86)        80.42
Sansuy                   SNSY3       (63.13)       235.18
Teka                     TEKA3      (347.07)       538.30
Telebras SA              TELB3      (171.66)       230.92
Telebras-CM RCPT         TELE31     (171.66)       230.92
Telebras SA              TLBRON     (171.66)       230.92
TECTOY                   TOYB3        (1.43)        39.50
TEC TOY SA-PREF          TOYB5        (1.43)        39.50
TEC TOY SA-PF B          TOYB6        (1.43)        39.50
TECTOY SA                TOYBON       (1.43)        39.50
Texteis Renaux           TXRX3      (118.94)        84.92
Varig SA                 VAGV3    (8,194.58)     2,169.10
FER C Atlant             VSPT3      (123.44)     2,012.29
Wiest                    WISA3      (140.97)        71.37




                       *******************

Monday's edition of the TCR-LA delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-LA editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Monday
Bond Pricing table is compiled on the Friday prior to
publication.  Prices reported are not intended to reflect actual
trades.  Prices for actual trades are probably different.  Our
objective is to share information, not make markets in publicly
traded securities.  Nothing in the TCR-LA constitutes an offer
or solicitation to buy or sell any security of any kind.  It is
likely that some entity affiliated with a TCR-LA editor holds
some position in the issuers' public debt and equity securities
about which we report.

Tuesday's edition of the TCR-LA features a list of companies
with insolvent balance sheets obtained by our editors based on
the latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets.  A company may establish reserves on its balance
sheet for liabilities that may never materialize.  The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.

A list of Meetings, Conferences and Seminars appears in each
Thursday's edition of the TCR-LA. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com

                            ***********


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
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA.  Tara Eliza E. Tecarro, Sheryl Joy P. Olano,
Rizande de los Santos, and Pamella Ritah K. Jala, Editors.

Copyright 2008.  All rights reserved.  ISSN 1529-2746.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without
prior written permission of the publishers.

Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

The TCR Latin America subscription rate is US$625 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for
members of the same firm for the term of the initial
subscription or balance thereof are US$25 each.  For
subscription information, contact Christopher Beard at
240/629-3300.


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