TCRLA_Public/080728.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

              Monday, July 28, 2008, Vol. 9, No. 148

                            Headlines


A R G E N T I N A

AR DESIA: Proofs of Claim Verification Deadline Is Nov. 7
BANCO COLUMBIA: Moody's Puts E+ Bank Financial Strength Rating
COMPANIA LATINOAMERICANA: Claims Verification Is Until Oct. 1
DANGER PRODUCCIONES: Claims Verification Deadline Is Oct. 8
DANICO SRL: Files for Reorganization in Buenos Aires Court

DELTA AIR: Extends Pinnacle Contract Through September 2008
INFORMATICA RIO: Proofs of Claim Verification Is Until Nov. 7
PSA FINANCE: Moody's Holds Caa1 Foreign Currency Deposit Ratings
RED NEOGAR: Proofs of Claim Verification Is Until Oct. 1
WR GRACE: Court Sets October 21 as ZAI Proof of Claims Bar Date


B E R M U D A

ARCH CAPITAL: Second Qtr. Net Income Drops to US$192.3MM in 2008
ATREUS INSURANCE: Proofs of Claim Filing Deadline Is Aug. 6
ATREUS INSURANCE: Sets Final Shareholders Meeting for Sept. 3
BRITISH CARIBBEAN: Proofs of Claim Filing Deadline Is Aug. 12
BRITISH CARIBBEAN: Sets Final Shareholders Meeting for Aug. 28

CENTRAL EUROPEAN: To Release 2nd Qtr. 2008 Earnings on July 30
FOSTER WHEELER: Finnish Unit Bags Contract From Prokon Nord
JAL FSC: Proofs of Claim Filing Deadline Is Aug. 6
JAL FSC: Sets Final Shareholders Meeting for Aug. 27
JAL FSC LESSEE: Proofs of Claim Filing Is Until Aug. 6

JAL FSC LESSEE: Sets Final Shareholders Meeting for Aug. 27
KE GAMMA: Proofs of Claim Filing Is Until Aug. 12
KE GAMMA: Will Hold Final Shareholders Meeting on Aug. 28
MONSANTO BERMUDA: Proofs of Claim Filing Deadline Is Aug. 6
MONSANTO BERMUDA: Sets Final Shareholders Meeting for Aug. 26

MONSANTO BERMUDA II: Proofs of Claim Filing Deadline Is Aug. 6
MONSANTO BERMUDA II: Sets Final Shareholders Meeting for Aug. 26


B R A Z I L

ADVANCED MICRO: Posts US$1.2 Bln Net Loss in 2008 Second Quarter
AMPEX CORPORATION: Has Until October 26 to File Chapter 11 Plan
BANCO NACIONAL: Copel Denies Knowledge of BNDESPar's Shares Sale
COMPANHIA PARANAENSE: Denies Knowledge of BNDESPar's Shares Sale
FORD MOTOR: Net Loss Slides to US$8.7BB in Quarter Ended June 30

HEXION SPECIALTY: Brazilian Unit Launches Plant Construction
M-REAL CORP: S&P Shifts Outlook to Neg., Holds B Credit Ratings
NET SERVICOS: Discloses Resolutions Reached at Jul. 17 Meeting
QUEBECOR WORLD: Catalyst Slashes Reclamation Claim to US$1.8 Mln
QUEBECOR WORLD: Inks Two Master Lease Pacts with National City

QUEBECOR WORLD: Mulls US$19.7MM Expansion of Dubuque, Iowa Plant
QUEBECOR WORLD: Signs US$55MM Printing Deal With Reader's Digest
UAL CORP: Faces Illegal Profiting Charges by Immigrant Workers
UAL CORP: JPMorgan Analyst Sees Disclosure of US$1 Bln Cash Call
UAL CORP: United Agrees with IAM on Voluntary Early Out Program


C A Y M A N  I S L A N D S

CONDO APARTMENTS: Proofs of Claim Filing Deadline Is July 30
CONDO APARTMENTS FINANCE: Claims Filing Deadline Is July 30
CONDO RESIDENTIAL: Proofs of Claim Filing Deadline Is July 30
GRAND ISLAND COMMODITY: Deadline for Claims Filing Is July 30
GRAND ISLAND COMMODITY II: Claims Filing Deadline Is July 30

GRAND ISLAND INCOME: Proofs of Claim Filing Deadline Is July 30
GRAND ISLAND MASTER: Deadline for Claims Filing Is July 30
HERBALIFE LTD: Gets Commerce Ministry OK to Conduct Biz in China
MARK & SOAMES: Deadline for Proofs of Claim Filing Is July 30
NAGAM LTD: Will Hold Final Shareholders Meeting on July 30


C H I L E

EMPRESAS IANSA: Weak Cash Flow Cues S&P's Negative Outlook Shift
INTERPUBLIC GROUP: Moody's Rates US$335MM Debt Facility at Ba3


D O M I N I C A N  R E P U B L I C

BANCO DOMINICANO: Buys Government's US$130MM Debt to Sun Land

* DOMINICAN REPUBLIC: Smuggling Could Bankrupt Garlic Growers
* DOMINICAN REPUBLIC: Client Debts May Shut Down Electric Firms
* DOMINICAN REPUBLIC: Banco Dominicano Buys US$130MM Gov't Debt


J A M A I C A

NATIONAL WATER: Settles Dispute With Natioan Workers Union
OLINT CORP: Problems Affecting SGL Holdings in Grenada


M E X I C O

AXTEL SAB: Operating Income Drops to MXN276.9MM in 2nd Qtr. 2008
CLEAR CHANNEL: Shareholders Approve Bain Capital-Led Merger
CORPORACION GEO: Net Profit Up 11.1% to MXN432.3MM in 2nd Qtr.
CORPORACION GEO: Sells Hipotecaria Su Casita Stakes for US$400MM
FOAMEX INTERNATIONAL: Picks Directors, Updates on Debt Reduction

GMAC LLC:  Jim Jones Resigns, Names Thomas Marano as ResCap CEO
MAXCOM TELECOM: Reports MXN11 Mil. Net Income in Second Quarter
PORTOLA PACKAGING: May 31 Balance Sheet Upside-Down by US$106.8M
PORTOLA PACKAGING: Will Restructure by Pre-Package Chapter 11
RADIOSHACK CORP: Earns US$41.4 Million in Second Quarter 2008

SEMGROUP LP: Bankruptcy Filing Cues Fitch to Put Default Ratings
SEMGROUP LP: Court OKs Use of Cash Collateral, First Day Motions
SEMGROUP LP: Fitch Cuts, Withdraws Rtngs After Bankruptcy Filing
SEMGROUP LP: Voluntary Ch. 11 Filing Cues Moody's to Junk Rtngs.
VITRO SAB: Reports US$5 Million Net Revenues in 2nd Quarter 2008

XERIUM TECH: Names CEO Stephen R. Light as Board Chairperson


P A N A M A

SOLO CUP: Moody's Affirms Corporate Family Rating at B3


P U E R T O  R I C O

MAXXAM INC: Inks Agreement with PBGC on PALCO Pension Plan
UNIBLEND: Case Summary & 20 Largest Unsecured Creditors
W HOLDING: Receives Notification of Non-Compliance From NYSE


T R I N I D A D  &  T O B A G O

HINDU CREDIT: Court Allows Gov't to Take Over Firm

V E N E Z U E L A

PETROZUATA FINANCE: Moody's Lowers US$755 Mil. Debt Rating to B3
RESIDENTIAL CAPITAL: Appoints Thomas Marano as Chairman and CEO


* BOND PRICING: For the Week June 21 - June 25, 2008


                         - - - - -


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

AR DESIA: Proofs of Claim Verification Deadline Is Nov. 7
---------------------------------------------------------
Luis Moisin, the court-appointed trustee for Ar Desia SA's
bankruptcy proceeding, will be verifying creditors' proofs of
claim until Nov. 7, 2008.

Mr. Moisin will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 1 in Buenos Aires, with the assistance of Clerk
No. 2, 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 Ar Desia 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 Ar Desia's accounting
and banking records will be submitted in court.

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

Mr. Moisin is also in charge of administering Ar Desia's assets
under court supervision and will take part in their disposal to
the extent established by law.

The debtor can be reached at:

     Ar Desia SA
     Martin Rodriguez 444
     Buenos Aires, Argentina

The trustee can be reached at:

     Luis Moisin
     Avenida Corrientes 4560
     Buenos Aires, Argentina


BANCO COLUMBIA: Moody's Puts E+ Bank Financial Strength Rating
--------------------------------------------------------------
Moody's Investors Service has assigned a bank financial strength
rating of E+ to Banco Columbia S.A.  At the same time, Moody's
assigned long- and short-term global local-currency deposit
ratings to the bank of B2 and Not Prime, as well as long- and
short-term foreign-currency deposit ratings of Caa1 and Not
Prime.  Moody's also assigned the bank A2.ar local-currency and
Ba1.ar foreign-currency deposit ratings on the Argentine
national scale.

The outlooks on the BFSR and on the global local-currency
deposit ratings are stable.  In addition, the long-term foreign-
currency deposit rating has a positive outlook in line with
Moody's outlook on Argentina's foreign-currency deposit ceiling.

Moody's said the E+ BFSR reflects Banco Columbia's modest
franchise and market share in its targeted business of consumer
finance, which is aimed at medium and low-income individuals.
The rating also incorporates Columbia's captive operation of
financing retirees in the Argentine social security system-
Anses -- which supports business volumes and fee generation.
Columbia is among the most active issuers of Mastercard in the
Argentine system.

The ratings, however, are constrained by Columbia's weak
financial fundamentals, particularly asset quality,
profitability and capital adequacy, which limit its growth
prospects.  Banco Columbia is very active in securitizing its
good quality consumer loans in light of its tight capitalization
and liquidity; as a result, Columbia's asset quality has
worsened sharply.  The bank's profitability has been pressured
by increasing funding costs as market conditions deteriorate, as
well as by the need for further provisioning.  The rating agency
said that Columbia is likely to be challenged to replenish
capital ratios as its profitability weakens.

Moody's additionally noted that Columbia faces harsh competition
from peers, which may affect its ability to build quality loans
and revenues, despite its relatively assured loan generation
capability.

Moody's B2 global local-currency deposit rating reflects Banco
Columbia's Baseline Credit Assessment of B3, as well as Moody's
assessment of moderate probability of systemic support to be
extended to the bank in case of stress because of its relatively
modest market share in terms of deposits.  Such an assessment
results in an one-notch lift of the local currency rating to B2.

These ratings were assigned to Banco Columbia S.A.

  -- Bank Financial Strength Rating: E+, with stable outlook.

  -- Long and short-term global local-currency deposit ratings:
     B2 and Not Prime, with stable outlook.

  -- Long- and short-term foreign-currency deposit ratings: Caa1
    (positive outlook) and Not Prime.

  -- Long-Term National Scale Local-Currency Deposit Rating:
     A2.ar

  -- Long -Term National Scale Foreign Currency Deposit Rating:
     Ba1.ar

Banco Columbia S.A. is headquartered in Buenos Aires, Argentina,
and it had assets of ARS 779.5 million, deposits for ARS 707.4
million, and equity of ARS 72.1 million, as of March 2008.


COMPANIA LATINOAMERICANA: Claims Verification Is Until Oct. 1
-------------------------------------------------------------
Marcelo Carlos Rodriguez, the court-appointed trustee for
Compania Latinoamericana de Asfaltos y Lubricantes SA's
bankruptcy proceeding, will be verifying creditors' proofs of
claim until Oct. 1, 2008.

Mr. Rodriguez will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 5 in Buenos Aires, with the assistance of Clerk
No. 10, 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 Compania Latinoamericana
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 Compania
Latinoamericana's accounting and banking records will be
submitted in court.

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

Mr. Rodriguez is also in charge of administering Compania
Latinoamericana's assets under court supervision and will take
part in their disposal to the extent established by law.

The debtor can be reached at:

     Compania Latinoamericana de Asfaltos y Lubricantes SA
     Avenida Callao 1755
     Buenos Aires, Argentina

The trustee can be reached at:

     Marcelo Carlos Rodriguez
     Cerrito 146
     Buenos Aires, Argentina


DANGER PRODUCCIONES: Claims Verification Deadline Is Oct. 8
-----------------------------------------------------------
Otto Reinaldo Munch, the court-appointed trustee for Danger
Producciones SRL's bankruptcy proceeding, will be verifying
creditors' proofs of claim until Oct. 8, 2008.

Mr. Munch will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 1 in Buenos Aires, with the assistance of Clerk
No. 1, 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 Danger Producciones 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 Danger Producciones'
accounting and banking records will be submitted in court.

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

Mr. Munch is also in charge of administering Danger
Producciones' assets under court supervision and will take part
in their disposal to the extent established by law.

The debtor can be reached at:

     Danger Producciones SRL
     Avenida Cordoba 652
     Buenos Aires, Argentina

The trustee can be reached at:

     Otto Reinaldo Munch
     Maipu 509
     Buenos Aires, Argentina


DANICO SRL: Files for Reorganization in Buenos Aires Court
----------------------------------------------------------
Danico SRL has requested for reorganization approval after
failing to pay its liabilities since June 2008.

The reorganization petition, once approved by the court, will
allow Danico to negotiate a settlement with its creditors in
order to avoid a straight liquidation.

The case is pending in the National Commercial Court of First
Instance No. 9 in Buenos Aires, with the assistance of Clerk
No. 17.

The debtor can be reached at:

            Danico SRL
            Pasteur 528
            Buenos Aires, Argentina


DELTA AIR: Extends Pinnacle Contract Through September 2008
-----------------------------------------------------------
Pinnacle Airlines Corp. disclosed in a regulatory filing with
the U.S. Securities and Exchange Commission that it will
continue to operate nine aircraft for Delta Air Lines, Inc.,
through September 2008, pursuant to the parties' agreement
reached last July 17.

Delta notified Pinnacle of its intent to terminate as of
July 31, 2008, the parties' Delta Connection Agreement, because
Pinnacle failed to meet the minimum arrival-time flight
performance requirements in late 2007.  Pinnacle called Delta's
decision “wrongful”, as Delta assigned “unrealistic” flight
schedules for Pinnacle since December 2007.  

The parties' agreement resolves the issues relating to Delta's
intent to terminate the DCA.  In connection with their
agreement, both parties affirmed and ratified the DCA in its
entirety, with certain adjustments to in-service dates.

According to the filing, Pinnacle has already taken delivery of
nine of the 16 CRJ-900 aircraft to be operated under the DCA,
and is operating these aircraft as a Delta Connection carrier in
accordance with the terms of the DCA.  

The parties have agreed to amend the DCA to defer the in-service
dates for the remaining seven aircraft to be operated under the
DCA.  The in-service dates have been revised as:

Aircraft No.  Original In-Service Date  Revised In-Service Date
------------  ------------------------  -----------------------  
        10              July 2008               January 2009
        11              July 2008               January 2009
        12              October 2008            January 2009
        13              October 2008            February 2009
        14              November 2008           February 2009
        15              December 2008           May 2009
        16              January 2009            May 2009

As a result of the delayed in-service dates, Pinnacle and the
aircraft manufacturer have also agreed to defer delivery of
certain of these aircraft to Pinnacle.  In some instances,
Pinnacle will acquire aircraft from the aircraft manufacturer
prior to their scheduled in-service date under the DCA.  
Pinnacle will use these aircraft as spare aircraft to support
its Delta Connection operations until the aircraft enter service
under the DCA.  Pinnacle will incur interest, depreciation
expense, and related aircraft ownership costs of approximately
US$2,000,000 during the third and fourth quarters of 2008 prior
to the related aircraft entering into service under the DCA.  
All other terms of the DCA remain unchanged.

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


INFORMATICA RIO: Proofs of Claim Verification Is Until Nov. 7
-------------------------------------------------------------
Ulderico Luis Laudren, the court-appointed trustee for
Informatica Rio SA's bankruptcy proceeding, will be verifying
creditors' proofs of claim until Nov. 7, 2008.

Mr. Laudren will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 1 in Buenos Aires, with the assistance of Clerk
No. 2, 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 Informatica Rio 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 Informatica Rio's
accounting and banking records will be submitted in court.

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

Mr. Laudren is also in charge of administering Informatica Rio's
assets under court supervision and will take part in their
disposal to the extent established by law.

The debtor can be reached at:

     Informatica Rio SA
     Sourigues 2516
     Buenos Aires, Argentina

The trustee can be reached at:

     Ulderico Luis Laudren
     Libertad 293
     Buenos Aires, Argentina


PSA FINANCE: Moody's Holds Caa1 Foreign Currency Deposit Ratings
----------------------------------------------------------------
Moody's Investors Service has assigned a bank financial strength
rating of E+ to PSA Finance Argentina Compania Financiera S.A.
(PSA Finance Argentina or the entity).

At the same time, Moody's gave long- and short-term global
local-currency deposit ratings to the entity of Ba3 and Not
Prime, as well as long- and short-term foreign currency deposit
ratings of Caa1 and Not Prime.  Moody's also assigned to PSA
Finance Argentina both a Aa2.ar local-currency and a Ba1.ar
foreign-currency deposit rating in the Argentine national scale.
The outlooks on the BFSR and on the global local currency
deposit ratings are stable.  In addition, the long-term foreign
currency deposit rating has a positive outlook in line with
Moody's outlook on Argentina's foreign currency deposit ceiling.

Moody's said the E+ BFSR reflects the status of PSA Finance
Argentina as a financial agent for PSA Peugeot Citroen in
Argentina, as well as its commercial and strategic dependence on
its French parent (Banque PSA Finance) and on the PSA Citroen
Group. Moreover, the BFSR incorporates the entity's adequate
risk-management policies, which are aligned to those of the
parent.  The BFSR also incorporates the company's small
franchise in the Argentinean market, as well as its monoline
business orientation, which is focused on consumer vehicle
financing.  Moreover, the rating is limited by PSA Finance
Argentina's concentrated funding profile and one that is almost
entirely sourced from interbank lending.

Moody's Ba3 global local-currency deposit rating incorporates
PSA Finance Argentina's Baseline Credit Assessment of B2, as
well as Moody's assessment of the probability of parental
support in case of stress.  This assessment results in a three-
notch lift of the local currency rating to Ba3.

On the other hand, Moody's claims that some financial indicators
shown by the entity (especially those related to profitability,
asset quality and capital adequacy), are seen as potentially
weakening in the near future.  A challenging operating
environment coupled with a strong competition in the car
financing segment would be responsible for the latter.

The following ratings were assigned to PSA Finance Argentina:

  -- Bank Financial Strength Rating: E+, with stable outlook.

  -- Long and short-term global local-currency deposit ratings:
     Ba3 and Not Prime, with stable outlook

  -- Long and short-term foreign currency deposit ratings: Caa1
     (positive outlook) and Not -Prime

  -- Long-Term National Scale Local-Currency Deposit Rating:
     Aa2.ar

  -- Long-Term National Scale Foreign Currency Deposit Rating:
     Ba1.ar

PSA Finance Argentina is headquartered in Buenos Aires,
Argentina, and it had assets of ARS348.6 million and a loan
portfolio amounting to ARS345 million, as of March 2008.


RED NEOGAR: Proofs of Claim Verification Is Until Oct. 1
--------------------------------------------------------
Marta Susana Polistina, the court-appointed trustee for Red
Neogar SA's bankruptcy proceeding, will be verifying creditors'
proofs of claim until Oct. 1, 2008.

Ms. Polistina will present the validated claims in court as
individual reports.  The National Commercial Court of First
Instance No. 5 in Buenos Aires, with the assistance of Clerk
No. 10, 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 Red Neogar 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 Red Neogar's
accounting and banking records will be submitted in court.

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

Ms. Polistina is also in charge of administering Red Neogar's
assets under court supervision and will take part in their
disposal to the extent established by law.

The debtor can be reached at:

     Red Neogar SA
     Av. Luis Maria Campos 1001
     Buenos Aires, Argentina

The trustee can be reached at:

     Marta Susana Polistina
     H. Yrigoyen 4027
     Buenos Aires, Argentina


WR GRACE: Court Sets October 21 as ZAI Proof of Claims Bar Date
---------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware set a Bar
Date for Zonolite Attic Insulation Claims to be filed in the W.
R. Grace Bankruptcy.   To preserve a claim against Grace, all
persons and entities with ZAI Claims must file these claims on
or before Oct. 31, 2008

ZAI claims are property-related claims that could include, among
others, the cost of abatement or removal, the diminution of
property value, economic loss, or other property-related claims
caused by ZAI manufactured by Grace.

ZAI is a loose-fill, non-roll vermiculite home attic insulation
that may contain naturally occurring asbestos.  It was sold from
the 1920/1930s to 1984, and it was sold or manufactured by Grace
under the brand name of Zonolite Attic Insulation and under
other brand names, including: Attic Fill, House Fill, Home
Insulation, Zonolite Insulating Fill, Econofil, Quiselle
Insulating Fill, Sears Micro Fill, Ward's Mineral Fill, Wickes
Attic Insulation, Attic Plus, Mica Pellets Attic Insulation,
Unifil and Cashway Attic Insulation.

ZAI may have a glittery granular appearance.  The granules are
shaped like small nuggets and expanded like an accordion and may
have a silvery, gold translucent or brownish cast.  After years
in the attic, the granules may darken to black or gray.  ZAI may
be found underneath subsequently installed insulation of other
types such as rolled fiberglass insulation.

The Bar Date does not apply to Asbestos Property Damage Claims,
Medical Monitoring Claims, Non-Asbestos Claims, Settled Pre-
Petition Asbestos Personal Injury Claims, or Non-Settled
Asbestos Personal Injury Claims.  These bar dates have passed.

For complete information, including a Bar Date Notice, ZAI Proof
of Claim Form and instructions for filing a claim, call 1-877-
465-4817, or write to Claims Processing Agent, W. R. Grace & Co.
Bankruptcy, P.O. Box 1620, Faribault, MN 55021-1620.

                      About W.R. Grace

Headquartered in Columbia, Maryland, W.R. Grace & Co. (NYSE:GRA)
-- http://www.grace.com/-- supplies catalysts and silica
products, especially construction chemicals and building
materials, and container products globally, including Argentina,
Australia and Ireland.

The company and its debtor-affiliates filed for chapter 11
protection on April 2, 2001 (Bankr. D. Del. Case No. 01-01139).  
David M. Bernick, P.C., Esq., at Kirkland & Ellis, LLP, and
Laura Davis Jones, Esq., at Pachulski Stang Ziehl & Jones, LLP,
represent the Debtors in their restructuring efforts.  The
Debtors hired Blackstone Group, L.P., for financial advice.
PricewaterhouseCoopers LLP is the Debtors' accountant.

Stroock & Stroock & Lavan, LLP, and Duane Morris, LLP, represent
the Official Committee of Unsecured Creditors.  The Creditors
Committee tapped Capstone Corporate Recovery LLC for financial
advice.  David T. Austern, the legal representative of future
asbestos personal injury claimants, is represented by Orrick
Herrington & Sutcliffe LLP and Phillips Goldman & Spence, PA.  
Elihu Inselbuch, Esq., at Caplin & Drysdale, Chartered, and
Marla R. Eskin, Esq., at Campbell & Levine, LLC, represent the
Official Committee of Asbestos Personal Injury Claimants.  The
Asbestos Committee of Property Damage Claimants tapped Scott
Baena, Esq., and Jay M. Sakalo, Esq., at Bilzin Sumberg Baena
Price & Axelrod, LLP, to represent it.  Thomas Moers Mayer,
Esq., at Kramer Levin Naftalis & Frankel, LLP, represents the
Official Committee of Equity Security Holders.

The Debtors' filed their Chapter 11 Plan and Disclosure
Statement on Nov. 13, 2004.  On Jan. 13, 2005, they filed an
Amended Plan and Disclosure Statement.  The hearing to consider
the adequacy of the Debtors' Disclosure Statement began on
Jan. 21, 2005.  The Debtors' exclusive period to file a Chapter
11 plan expired on July 23, 2007.

Estimation of W.R. Grace's asbestos personal injury liabilities
commenced on January 14, 2008.

At Dec. 31, 2006, the W.R. Grace's balance sheet showed total
assets of US$3,620,400,000 and total debts of US$4,189,100,000.
As of November 30, 2007, W.R. Grace's balance sheet showed total
assets of US$3,335,000,000, and total debts of US$3,712,000,000.



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

ARCH CAPITAL: Second Qtr. Net Income Drops to US$192.3MM in 2008
----------------------------------------------------------------
Arch Capital Group Ltd.'s net income available to common
shareholders for the 2008 second quarter was US$192.3 million
compared to US$199.4 million for the 2007 second quarter.

For the three months ended June 30, 2008, the company had net
revenues of US$835.9 million compared to net revenues of
US$867.3 million for the same period in 2007.

The company also reported after-tax operating income available
to common shareholders of US$185.4 million for the 2008 second
quarter, compared to US$205.6 million for the 2007 second
quarter.

The company's book value per common share, including the net
effect of share repurchases, increased to US$57.49 at June 30,
2008 from US$56.92 per share at March 31, 2008.  The company's
after-tax operating income available to common shareholders
represented a 20.5% annualized return on average common equity
for the 2008 second quarter, compared to 24.1% for the 2007
second quarter.  After-tax operating income available to common
shareholders, a non-GAAP measure, is defined as net income
available to common shareholders, excluding net realized gains
or losses, equity in net income or loss of investment funds
accounted for using the equity method and net foreign exchange
gains or losses, net of income taxes.

In establishing the reserves for losses and loss adjustment
expenses, the company has made various assumptions relating to
the pricing of its reinsurance contracts and insurance policies
and also has considered available historical industry experience
and current industry conditions.  The company's reserving method
to date has been, to a large extent, the expected loss method,
which is commonly applied when limited loss experience exists.  
Any estimates and assumptions made as part of the reserving
process could prove to be inaccurate due to several factors,
including the fact that relatively limited historical
information has been reported to the company through June 30,
2008.

Net investment income for the 2008 second quarter was
US$117.1 million, compared to US$113.9 million for the 2007
second quarter.  The increase in net investment income in the
2008 second quarter primarily resulted from a higher level of
average invested assets in the 2008 second quarter.  The pre-tax
investment income yield was 4.80% for the 2008 second quarter,
compared to 4.94% for the 2007 second quarter.

During the 2008 second quarter, the fair value of the company's
investment portfolio, which mainly consists of high quality
fixed income securities, decreased by US$141.2 million, on a
pre-tax basis.  The decline in value was primarily attributable
to interest-rate movements as the average credit quality rating
remained at “AA+” at June 30, 2008 and the portfolio's average
effective duration remained relatively constant at 3.36 years at
June 30, 2008, compared to 3.50 years at March 31, 2008.

The company's investment portfolio includes certain funds that
invest in fixed maturity securities which, due to the ownership
structure of the funds, are accounted for by the Company using
the equity method.  In applying the equity method, these
investments are initially recorded at cost and are subsequently
adjusted based on the company's proportionate share of the net
income or loss of the funds (which include changes in the
market value of the underlying securities in the funds).  This
method of accounting is different from the way the company
accounts for its other fixed maturity securities.  Investment
funds accounted for using the equity method totaled
US$351.9 million at June 30, 2008, compared to US$294.4 million
at March 31, 2008 and US$236.0 million at Dec. 31, 2007.

A significant portion of the company's catastrophe-exposed
property business is written by a Bermuda-based subsidiary.  As
a result, generally, the company's effective tax rate is likely
to be favorably affected in periods that have a low level of
catastrophic losses incurred and adversely impacted in periods
with significant catastrophic claims activity.  The company
currently expects that its annual effective tax rate on pre-tax
operating income available to common shareholders for the year
ended Dec. 31, 2008 will be in the range of 2.0% to 4.0%.  In
addition, the company's Bermuda-based reinsurer incurs federal
excise taxes for premiums assumed on U.S. risks.  Such expenses
are included in the company's acquisition expenses.

Net foreign exchange gains for the 2008 second quarter of
US$0.3 million consisted of net unrealized gains of US$1.1
million and net realized losses of US$0.8 million, compared to
net foreign exchange losses for the 2007 second quarter of
US$6.5 million which consisted of net unrealized losses of
US$5.9 million and net realized losses of US$0.6 million.  Net
foreign exchange losses for the six months ended June 30, 2008
of US$23.3 million consisted of net unrealized losses of
US$21.2 million and net realized losses of US$2.1 million,
compared to net foreign exchange losses for the 2007 period of
US$16.2 million which consisted of net unrealized losses of
US$23.1 million and net realized gains of US$6.9 million.  Net
unrealized foreign exchange gains or losses result from the
effects of revaluing the company's net insurance liabilities
required to be settled in foreign currencies at each balance
sheet date.  The company holds investments in foreign currencies
which are intended to mitigate its exposure to foreign currency
fluctuations in its net insurance liabilities.  However, changes
in the value of such investments due to foreign currency rate
movements are reflected as a direct increase or decrease to
shareholders' equity and are not included in the statement of
income.

                           Other Events

The board of directors of ACGL has authorized the investment of
up to US$1.5 billion in ACGL's common shares through a share
repurchase program.  Repurchases under the program may be
effected from time to time in open market or privately
negotiated transactions through February 2010.  During
the 2008 second quarter, ACGL repurchased approximately 2.9
million common shares under the share repurchase program for an
aggregate purchase price of US$199.9 million.  Since the
inception of the share repurchase program through June 30, 2008,
ACGL has repurchased approximately 13.4 million common shares
for an aggregate purchase price of US$926.8 million.  As a
result of the share repurchase transactions to date, book value
per common share was reduced by US$2.09 per share at June 30,
2008, compared to US$1.45 at Dec. 31, 2007, while weighted
average shares outstanding for the 2008 second quarter and six
months ended June 30, 2008 were reduced by 11.9 million and
10.6 million shares, respectively, compared to 1.8 million
shares and 1.0 million shares for the 2007 second quarter and
six months ended June 30, 2007, respectively.

From July 1, 2008 to July 22, 2008, the company purchased
approximately 1.7 million common shares for an aggregate
purchase price of US$112.7 million.  The timing and amount of
the repurchase transactions under this program will depend on a
variety of factors, including market conditions and corporate
and regulatory considerations.

In May 2008, the company invested US$100.0 million in Gulf
Reinsurance Limited, a newly formed reinsurer based in the Dubai
International Financial Centre, as part of the company's joint
venture agreement with Gulf Investment Corporation GSC.  Under
the agreement, each of the company and GIC owns 50% of Gulf Re,
which has commenced writing property and casualty reinsurance.  
The company funded this investment by drawing on its existing
credit facility, which expires in August 2011, with interest
calculated based on 1 month, 3 month or 6 month LIBOR rates plus
27.5 basis points.

At June 30, 2008, the company's capital of US$4.29 billion
consisted of US$300.0 million of senior notes, representing 7.0%
of the total, US$100.0 million of revolving credit agreement
borrowings, representing 2.3% of the total, US$325.0 million of
preferred shares, representing 7.6% of the total, and common
shareholders' equity of US$3.56 billion, representing the
balance.  At Dec. 31, 2007, the company's capital of
US$4.34 billion consisted of US$300.0 million of senior notes,
representing 6.9% of the total, $325.0 million of preferred
shares, representing 7.5% of the total, and common shareholders'
equity of US$3.71 billion, representing the balance.  The
decrease in capital during 2008 was primarily attributable to
share repurchase activity and an after-tax decrease in the fair
value of our investment portfolio, partially offset by net
income and borrowings during the period.

                       About Arch Capital

Headquartered in Bermuda, Arch Capital Group Ltd. (NASDAQ: ACGL)
-- http://www.archcapgroup.bm-- is a public limited liability
company, which provides insurance and reinsurance on a worldwide
basis through operations in Bermuda, the United States, Europe
and Canada.  It provides a range of property and casualty
insurance and reinsurance lines, and focus on writing specialty
lines of insurance and reinsurance.  Arch Capital classifies its
business into two underwriting segments: reinsurance and
insurance.  The company's reinsurance operations are conducted
on a worldwide basis through its reinsurance subsidiaries, Arch
Reinsurance Ltd. and Arch Reinsurance Company.  The company's
insurance operations in Bermuda are conducted through Arch
Insurance (Bermuda), a division of Arch Re Bermuda, which has an
office in Hamilton, Bermuda.

                           *     *     *

In December 2006, A.M. Best assigned these ratings on to Arch
Capital's debts:

    -- “bb+” from “bb” on US$200 million 8% non-cumulative
       Series A preferred shares; and

    -- “bb+” from “bb” on US$125 million 7.875% non-cumulative
       Series B preferred shares.


ATREUS INSURANCE: Proofs of Claim Filing Deadline Is Aug. 6
-----------------------------------------------------------
Atreus Insurance Company Limited's creditors are given until
Aug. 6, 2008, to prove their claims to Robin J. Mayor, 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.

Atreus Insurance's shareholders agreed on July 21, 2008, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


ATREUS INSURANCE: Sets Final Shareholders Meeting for Sept. 3
-------------------------------------------------------------
Atreus Insurance Company Limited will hold its final general
meeting on Sept. 3, 2008, at 9:30 a.m. at Messrs. Conyers Dill &
Pearman, Clarendon House, Church Street, Hamilton, Bermuda.

These matters will be taken up during the meeting:

   -- receiving an account showing the manner in which
      the winding-up of the company has been conducted
      and its property disposed of and hearing any
      explanation that may be given by the liquidator;

   -- determination by resolution the manner in
      which the books, accounts and documents of the
      company and of the liquidator shall be
      disposed; and

   -- passing of a resolution dissolving the
      company.

Atreus Insurance's shareholders agreed on July 21, 2008, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


BRITISH CARIBBEAN: Proofs of Claim Filing Deadline Is Aug. 12
-------------------------------------------------------------
British Caribbean and Atlantic Investments Limited's creditors
are given until Aug. 12, 2008, to prove their claims to Robin J.
Mayor, 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.

British Caribbean's shareholders agreed on July 17, 2008, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


BRITISH CARIBBEAN: Sets Final Shareholders Meeting for Aug. 28
--------------------------------------------------------------
British Caribbean and Atlantic Investments Limited will hold its
final general meeting on Aug. 28, 2008, at 9:30 a.m. at Messrs.
Conyers Dill & Pearman, Clarendon House, Church Street,
Hamilton, Bermuda.

These matters will be taken up during the meeting:

   -- receiving an account showing the manner in which
      the winding-up of the company has been conducted
      and its property disposed of and hearing any
      explanation that may be given by the liquidator;

   -- determination by resolution the manner in
      which the books, accounts and documents of the
      company and of the liquidator shall be
      disposed; and

   -- passing of a resolution dissolving the
      company.

British Caribbean's shareholders agreed on July 17, 2008, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


CENTRAL EUROPEAN: To Release 2nd Qtr. 2008 Earnings on July 30
--------------------------------------------------------------
Central European Media Enterprises Ltd. will release its second
quarter 2008 financial results before United States market hours
on July 30, 2008.

The company will also host a teleconference to discuss its
second quarter 2008 results on July 30, 2008 at 10 a.m. New York
time (3:00 p.m. London and 4:00 p.m. Prague time).  The
teleconference will refer to presentation slides which will be
available on the company's web site at http://www.cetv-net.com
prior to the call.

To access the teleconference:

  Tel. Number: +1 973-321-1024 (U.S. and International)
  Reference passcode: 56145627.

The conference call will be broadcast live via
http://www.cetv-net.com.

A replay of the teleconference will be available for two weeks
following the call and can be accessed by:

  Tel. Numbers: +1 800-642-1687 (U.S.)
                +1 706-645-9291 (International)
  Passcode: 56145627.

A digital audio replay in mp3 format will also be archived on
the company's Web site.
    
Based in Bermuda, Central European Media Enterprises Ltd.,  is a
TV broadcasting company with leading networks in six Central and
Eastern European countries.  Launched in 1994, the company and
its partners now operate 16 channels in six countries, including
TV Nova, Nova Cinema and Galaxie Sport in the Czech Republic;
PRO TV, PRO Cinema, Pro International, Sport.ro, MTV and Acasa
in Romania; Nova TV in Croatia, TV Markiza in the Slovak
Republic; POP TV and Kanal A in Slovenia; and Studio 1+1, Kino
and Citi in Ukraine.  For the year ended Dec. 31, 2007, the
company generated segment revenues of US$840 million and segment
EBITDA of US$320 million.  Central European Media is traded on
the NASDAQ and the Prague Stock Exchange under the ticker symbol
"CETV".

                          *    *    *

As reported in the Troubled Company Reporter-Latin America on
April 25, 2008, Standard & Poor's Ratings Services assigned its
'BB' debt rating to the `475 million senior secured convertible
notes due 2013 issued by Bermuda-based emerging markets TV
broadcaster, Central European Media Enterprises Ltd. in March
2008.  The long-termcorporate credit rating was affirmed at
'BB'.  The outlook is stable.
   
At the same time, S&P raised the debt rating on both Central
European Media's EUR245 million and EUR150 million floating-rate
notes due, respectively, in 2012 and 2014 to 'BB' from the
previous 'BB-'.


FOSTER WHEELER: Finnish Unit Bags Contract From Prokon Nord
-----------------------------------------------------------
Foster Wheeler Ltd.'s Finnish subsidiary Foster Wheeler Energia
Oy, part of its Global Power Group, has been awarded a contract
by Prokon Nord Energiesysteme GmbH for a 26 MWe (gross megawatt
electric) circulating fluidized-bed (CFB) steam generator to be
located in Oostrozebeke, Belgium.

The new biomass-fired CFB will be owned by A&S Energy, a
partnership between the renewable power company, Aspiravi, and
the wood products manufacturing firm Spano, which operates a
facility in Oostrozebeke and which will be responsible for the
supply of non-recyclable wood residue to be used as fuel.  The
electricity produced will be sold to the local grid.

Foster Wheeler has received a full notice to proceed on this
contract.  The terms of the award were not disclosed, and the
contract will be included in the company's bookings for the
second quarter of 2008.

This will be the fourth CFB steam generator that Foster Wheeler
has provided to Prokon Nord in the past five years.  Foster
Wheeler CFBs are currently operating in Prokon Nord projects in
the German cities of Papenburg, Hamburg and Emlichheim.

Foster Wheeler will design and supply the steam generator and
auxiliary equipment.  Commercial operation of the new boiler is
scheduled for the autumn of 2010.

“Foster Wheeler's CFB technology provides environmentally
friendly fuel flexibility for demolition wood fired plants, such
as this,” said Tomas Harju-Jeanty, president and chief executive
officer of Foster Wheeler Energia Oy.  “The proven design of
this fourth CFB to Prokon Nord reflects the success of Foster
Wheeler's previous deliveries to the green energy power market.”

Foster Wheeler Ltd. (Nasdaq: FWLT) -- http://www.fwc.com/--
offers a broad range of engineering, procurement, construction,
manufacturing, project development and management, research and
plant operation services.  Foster Wheeler serves the refining,
upstream oil and gas, LNG and gas-to-liquids, petrochemical,
chemicals, power, pharmaceuticals, biotechnology and healthcare
industries.  The corporation is based in Hamilton, Bermuda, and
its operational headquarters are in Clinton, New Jersey.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 28, 2008, Moody's Investors Service upgraded Foster
Wheeler LLC's corporate family rating to Ba2 from Ba3, and
raised its probability of default Rating to Ba2 from Ba3.  The
outlook continues to be positive.

As reported in the Troubled Company Reporter-Latin America on
Feb. 5, 2008, Standard & Poor's Ratings Services revised its
outlook on Foster Wheeler Ltd. to positive from stable.  At the
same time, S&P affirmed its 'BB' corporate credit rating on the
company.  The company reported total debt of approximately
US$150 million at Sept. 30, 2007.


JAL FSC: Proofs of Claim Filing Deadline Is Aug. 6
--------------------------------------------------
JAL FSC Lessee (CHI) Company, Ltd's creditors are given until
Aug. 6, 2008, to prove their claims to Robin J. Mayor, 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.

JAL FSC's shareholders agreed on July 17, 2008, to place the
company into voluntary liquidation under Bermuda's Companies Act
1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


JAL FSC: Sets Final Shareholders Meeting for Aug. 27
----------------------------------------------------
JAL FSC Lessee (CHI) Company, Ltd., will hold its final general
meeting on Aug. 27, 2008, at 9:30 a.m. at Messrs. Conyers Dill &
Pearman, Clarendon House, Church Street, Hamilton, Bermuda.

These matters will be taken up during the meeting:

   -- receiving an account showing the manner in which
      the winding-up of the company has been conducted
      and its property disposed of and hearing any
      explanation that may be given by the liquidator;

   -- determination by resolution the manner in
      which the books, accounts and documents of the
      company and of the liquidator shall be
      disposed; and

   -- passing of a resolution dissolving the
      company.

JAL FSC's shareholders agreed on July 17, 2008, to place the
company into voluntary liquidation under Bermuda's Companies Act
1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


JAL FSC LESSEE: Proofs of Claim Filing Is Until Aug. 6
------------------------------------------------------
JAL FSC Lessee (NC2) Company, Ltd.'s creditors are given until
Aug. 6, 2008, to prove their claims to Robin J. Mayor, 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.

JAL FSC's shareholders agreed on July 17, 2008, to place the
company into voluntary liquidation under Bermuda's Companies Act
1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


JAL FSC LESSEE: Sets Final Shareholders Meeting for Aug. 27
----------------------------------------------------------
JAL FSC Lessee (NC2) Company, Ltd., will hold its final general
meeting on Aug. 27, 2008, at 9:30 a.m. at Messrs. Conyers Dill &
Pearman, Clarendon House, Church Street, Hamilton, Bermuda.

These matters will be taken up during the meeting:

   -- receiving an account showing the manner in which
      the winding-up of the company has been conducted
      and its property disposed of and hearing any
      explanation that may be given by the liquidator;

   -- determination by resolution the manner in
      which the books, accounts and documents of the
      company and of the liquidator shall be
      disposed; and

   -- passing of a resolution dissolving the
      company.

JAL FSC's shareholders agreed on July 17, 2008, to place the
company into voluntary liquidation under Bermuda's Companies Act
1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


KE GAMMA: Proofs of Claim Filing Is Until Aug. 12
-------------------------------------------------
KE Gamma Leasing Ltd.'s creditors are given until Aug. 12, 2008,
to prove their claims to Robin J. Mayor, 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.

KE Gamma's shareholders agreed on July 17, 2008, to place the
company into voluntary liquidation under Bermuda's Companies Act
1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


KE GAMMA: Will Hold Final Shareholders Meeting on Aug. 28
---------------------------------------------------------
KE Gamma Leasing Ltd. will hold its final general meeting on
Aug. 28, 2008, at 9:30 a.m. at Messrs. Conyers Dill & Pearman,
Clarendon House, Church Street, Hamilton, Bermuda.

These matters will be taken up during the meeting:

   -- receiving an account showing the manner in which
      the winding-up of the company has been conducted
      and its property disposed of and hearing any
      explanation that may be given by the liquidator;

   -- determination by resolution the manner in
      which the books, accounts and documents of the
      company and of the liquidator shall be
      disposed; and

   -- passing of a resolution dissolving the
      company.

KE Gamma's shareholders agreed on July 17, 2008, to place the
company into voluntary liquidation under Bermuda's Companies Act
1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


MONSANTO BERMUDA: Proofs of Claim Filing Deadline Is Aug. 6
-----------------------------------------------------------
Monsanto Bermuda Ltd.'s creditors are given until Aug. 6, 2008,
to prove their claims to Robin J. Mayor, 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.

Monsanto Bermuda's shareholders agreed on July 16, 2008, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


MONSANTO BERMUDA: Sets Final Shareholders Meeting for Aug. 26
-------------------------------------------------------------
Monsanto Bermuda Ltd. will hold its final general meeting on
Aug. 26, 2008, at 9:30 a.m. at Messrs. Conyers Dill & Pearman,
Clarendon House, Church Street, Hamilton, Bermuda.

These matters will be taken up during the meeting:

   -- receiving an account showing the manner in which
      the winding-up of the company has been conducted
      and its property disposed of and hearing any
      explanation that may be given by the liquidator;

   -- determination by resolution the manner in
      which the books, accounts and documents of the
      company and of the liquidator shall be
      disposed; and

   -- passing of a resolution dissolving the
      company.

Monsanto Bermuda's shareholders agreed on July 16, 2008, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


MONSANTO BERMUDA II: Proofs of Claim Filing Deadline Is Aug. 6
--------------------------------------------------------------
Monsanto Bermuda II Ltd.'s creditors are given until
Aug. 6, 2008, to prove their claims to Robin J. Mayor, 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.

Monsanto Bermuda's shareholders agreed on July 16, 2008, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda


MONSANTO BERMUDA II: Sets Final Shareholders Meeting for Aug. 26
----------------------------------------------------------------
Monsanto Bermuda II Ltd. will hold its final general meeting on
Aug. 26, 2008, at 9:30 a.m. at Messrs. Conyers Dill & Pearman,
Clarendon House, Church Street, Hamilton, Bermuda.

These matters will be taken up during the meeting:

   -- receiving an account showing the manner in which
      the winding-up of the company has been conducted
      and its property disposed of and hearing any
      explanation that may be given by the liquidator;

   -- determination by resolution the manner in
      which the books, accounts and documents of the
      company and of the liquidator shall be
      disposed; and

   -- passing of a resolution dissolving the
      company.

Monsanto Bermuda's shareholders agreed on July 16, 2008, to
place the company into voluntary liquidation under Bermuda's
Companies Act 1981.

The liquidator can be reached at:

         Robin J. Mayor
         Messrs. Conyers Dill & Pearman
         Clarendon House, 2 Church Street
         Hamilton, HM 11, Bermuda



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

ADVANCED MICRO: Posts US$1.2 Bln Net Loss in 2008 Second Quarter
----------------------------------------------------------------
Advanced Micro Devices Inc. disclosed on July 17, 2008 its
financial position and results of operations as of and for its
second fiscal quarter ended June 28, 2008.

In the second quarter of 2008, the company reported a net loss
of US$1.2 billion.  For continuing operations, the second
quarter loss was US$269 million and the operating loss was
US$143 million.  Loss from discontinued operations was US$920
million, including asset impairment charges of US$876 million.

The results for continuing operations for the second quarter of
2008 include a net favorable impact of US$97 million, which
consists of a US$193 million gain on sale of 200mm equipment,
reduced by US$36 million in marketable securities impairment
charges, US$30 million in amortization of acquired intangibles,
integration and other charges, and US$30 million in
restructuring charges.
  
The company reported second quarter 2008 revenue from continuing
operations of US$1.3 billion, a seven percent decrease compared
to the first quarter of 2008 and a three percent increase
compared to the second quarter of 2007.  As part of its
previously communicated review of its non-core businesses, the
company decided to divest its Handheld and DTV product
businesses, and therefore is classifying them as discontinued
operations for financial reporting.

In the first quarter of 2008 the company had revenue from
continuing operations of US$1.5 billion, a net loss of
US$358 million, a loss from continuing operations of US$308
million and an operating loss of US$214 million.  In the second
quarter of 2007 the company  had revenue from continuing
operations of US$1.3 billion, a net loss of US$600 million, a
loss from continuing operations of US$531 million and an
operating loss of US$396 million.

“While we had a disappointing quarter financially, customer
adoption of our recently introduced microprocessor and graphics
products and platform offerings is strong, and we see increasing
momentum across our businesses,” said Robert J. Rivet, the
company's chief financial officer.  “In the face of challenging
macroeconomic conditions, we remain committed to achieving
operating profitability in the second half of the year based on
the continued ramp of new products, increased market penetration
of our differentiated solutions, and continued actions designed
to reduce our breakeven point.”

Second quarter 2008 gross margin was 52 percent.  Excluding the
positive impact associated with the sale of 200mm manufacturing
equipment, second quarter 2008 gross margin was 37 percent,
compared to 41 percent in the first quarter of 2008 and 34
percent in the second quarter of 2007.

                          Balance Sheet

At June 28, 2008, the company's consolidated balance sheet
showed US$9.8 billion in total assets, US$8.1 billion in total
liabilities, US$189 million in minority interest in consolidated
subsidiaries, and US$1.5 billion in total stockholders' equity.

Headquartered in Sunnyvale, California, Advanced Micro Devices
Inc. (NYSE: AMD) -- http://www.amd.com/-- provides innovative
processing solutions in the computing, graphics and consumer
electronics markets.  Outside the United States, the company
has subsidiaries in Belgium, Brazil, China, Germany, Japan,
Malaysia and Bermuda.

                          *     *     *

As reported on Troubled Company Reporter-Latin America on
April 11, 2008, Standard & Poor's Ratings Services placed its
'B' corporate credit and senior unsecured ratings on Advanced
Micro Devices Inc. on CreditWatch with negative implications.

In January 2008, Fitch downgraded these ratings on Advanced
Micro Devices Inc., including its Issuer Default Rating to 'B-'
from 'B'; and its Senior unsecured debt to 'CCC'/RR6 from
'CCC+/RR6'.  Fitch said the rating outlook remains negative.


AMPEX CORPORATION: Has Until October 26 to File Chapter 11 Plan
---------------------------------------------------------------
The Hon. Arthur J. Gonzalez of the United States Bankruptcy
Court for the Southern District of New York extended the
exclusive periods of Ampex Corporation and its debtor-affiliates
to:

   a) file a Chapter 11 plan until Oct. 26, 2008, and

   b) solicit acceptances of that plan until Dec. 25, 2008.

As reported in the Troubled Company Reporter on July 4, 2008,
the requested extension of time will permit the Debtors to
obtain confirmation of their proposed Chapter 11 plan of
reorganization, without any disruption of their restructuring
operation of their businesses.  

The Court approved pursuant to Section 1125 of the Bankruptcy
Code the adequacy of the Debtors' disclosure statement dated
June 8, 2008, explaining an amended Chapter 11 plan.  The Court
set a hearing on July 31, 2008, at 10:00 a.m., to consider
confirmation of the Debtors' amended plan.

The Plan provides for the restructuring of the Debtors'
liabilities to maximize recovery to all stakeholders and to
improve financial viability of the reorganized Debtors.  All of
the Debtors' existing common stock will have no value and will
be canceled.  Upon emergence, at least 80% of the reorganized
Debtors' new common stock will be owned by Hillside Capital
Incorporated and its affiliates.  The new common stock will not
be registered and will not be traded on any public exchange.

Under the Plan, holders of Class 5 general unsecured creditors
will receive their pro rata share of the unsecured claim
distribution.  Distributions of new common stock will be made
after the Plan's effective date.  Hillside unsecured deficiency
claims, if any, will be deemed an allowed unsecured claim in the
amount of at least US$41.7 million.

                                    Estimated     Estimated
     Type of Claims     Treatment   Amount        Recovery
     --------------     ---------   -----------   --------
     Hillside           impaired  US$11,000,000     100%
      Secured Claims

     General
      Unsecured Claims  impaired  US$51,000,000     100%

A full-text copy of the Third Amended Disclosure Statement is
available for free at:

              http://ResearchArchives.com/t/s?2d9b

A full-text copy of the Amended Joint Chapter 11 Plan of
Reorganization is available for free at:

              http://ResearchArchives.com/t/s?2d9c

                         About Ampex

Headquartered in Redwood City, California, Ampex Corp. --  
http://www.ampex.com/-- (Nasdaq:AMPX) is a licensor of visual          
information technology.  The company has two business segments:
Recorders segment and Licensing segment.  The Recorders segment
primarily includes the sale and service of data acquisition and
instrumentation recorders (which record data and images rather
than computer information), and to a lesser extent mass data
storage products.  The Licensing segment involves the licensing
of intellectual property to manufacturers of consumer digital
video products through their corporate licensing division.

On March 30, 2008, Ampex Corp. and six affiliates filed for
protection under Chapter 11 of the Bankruptcy Code with the U.S.
Bankruptcy Court for the Southern District of New York (Case
Nos. 08-11094 through 08-11100).  Matthew Allen Feldman, Esq.,
and Rachel C. Strickland, Esq., at Willkie Farr & Gallagher LLP,
represent the Debtors in their restructuring efforts.  The
Debtors have also retained Conway Mackenzie & Dunleavy as their  
financial advisors.  In its schedules of assets and liabilities
filed with the Court, Ampex Corp. disclosed total assets of
US$9,770,089 and total debts of US$82,488,054.

The Debtors have nine foreign affiliates that are incorporated
in seven countries -- one each in the United Kingdom, Japan,
Belgium, Colombia and Brazil and two each in Germany and Mexico.  
With the exception of the affiliates located in the U.K. and
Japan, none of the other foreign affiliates conduct meaningful
business activity.  As of March 30, 2008, none of the foreign
affiliates have commenced insolvency proceedings.


BANCO NACIONAL: Copel Denies Knowledge of BNDESPar's Shares Sale
----------------------------------------------------------------
Companhia Paranaense de Energia SA, a.k.a. Copel, reported that
it is unaware that Banco Nacional de Desenvolvimento Economico e
Social SA's BNDESPar has any intention to sell the company's
shares.

Brazilian newsletter Relatorio Reservado reported on July 23,
2008, that Banco Nacional reduced its voltage in energy
distributors.

Copel is making it clear that other comments on the company, its
executives, and its relations with shareholders are without
foundation.

Banco Nacional de Desenvolvimento Economico e Social SA is
Brazil's national development bank.  It provides financing for
projects within Brazil and plays a major role in the
privatization programs undertaken by the federal government.

                        *     *     *

Banco Nacional currently carries a Ba2 foreign long-term bank
deposit rating from Moody's Investors Service, and a BB+ long-
term foreign issuer credit rating from Standards and Poor's
Ratings Services. The ratings were assigned in August and May
2007.


COMPANHIA PARANAENSE: Denies Knowledge of BNDESPar's Shares Sale
----------------------------------------------------------------
Companhia Paranaense de Energia SA, a.k.a. Copel, said it is
unaware that Banco Nacional de Desenvolvimento Economico e
Social SA's BNDESPar has any intention to sell the company's
shares.

Brazilian newsletter Relatorio Reservado reported on July 23,
2008, that Banco Nacional reduced its voltage in energy
distributors.

Copel is making it clear that other comments on the company, its
executives, and its relations with shareholders are without
foundation.

Headquartered in Parana, Brazil, COPEL aka Companhia Paranaense
de Energia SA -- http://www.copel.com/ir-- (NYSE: ELP/LATIBEX:    
XCOP/BOVESPA: CPLE3, CPLE5, CPLE6) transmits and distributes
electricity to more than 3 million customers in the state of
Parana and has a generating capacity of nearly 4,600 megawatts,
primarily from hydroelectric plants.  The company also offers
telecommunications, natural gas, engineering, and water and
sanitation services.  The company restructured its utility
operations in 2001 into separate generation, transmission, and
distribution subsidiaries to prepare for full privatization,
which has been indefinitely postponed.  In response, Copel is
re-evaluating its corporate structure.  The government of Parana
controls about 59% of Copel.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 13, 2006, Moody's America Latina upgraded the corporate
family rating of Companhia Paranaense de Energia, a.k.a. Copel,
to Ba2 from Ba3 on its global scale.  Moody's also upgraded its
rating on the company's BRL500 million senior unsecured
guaranteed debentures due 2007 to Ba2 from Ba3 (Global Local
Currency) as well as its rating on the BRL400 million senior
secured Guaranteed debentures due 2009 to Ba1 from Ba2 (Global
Local Currency).  Moody's said the rating outlook is stable.  
This rating action concludes the review process initiated on
July 26, 2006, and still hold to date.


FORD MOTOR: Net Loss Slides to US$8.7BB in Quarter Ended June 30
----------------------------------------------------------------
Ford Motor Co. reported net loss of US$8.7 billion including
pre-tax special items totaling US$8 billion for the second
quarter ended June 30, 2008.  This compares with a net profit of
US$750 million in the second quarter of 2007.

According to the Wall Street Journal, Ford's loss was its
largest quarterly setback ever.

In a press statement, Ford said that its second quarter revenue,
excluding special items, was US$38.6 billion, down from
US$44.2 billion a year ago.  Adjusted to exclude Jaguar Land
Rover and Aston Martin from 2007 results, revenue would have
been down slightly, with lower volume, adverse product mix and
lower net pricing, partly offset by favorable exchange.  

Special items reduced pre-tax results by US$8 billion in the
second quarter, reflecting charges associated with asset
impairments of US$5.3 billion for Ford North America and US$2.1
billion for Ford Credit.  Because of deteriorating economic
conditions, demand has declined substantially, particularly in
North America.  At the same time, fuel and commodity prices have
increased substantially.

As a result, there has been a significant shift away from large
pickup trucks and traditional SUVs in North America.  This
prompted a review of the company's North American assets and
Ford Credit operating lease portfolio, which led to the pre-tax
non-cash impairment charges.

Automotive gross cash, which includes cash and cash equivalents,
net marketable securities, and loaned securities, was
US$26.6 billion at June 30, 2008, a decrease of US$2.1 billion
from the end of the first quarter.

The decrease reflects working capital increases, upfront
subvention payments to Ford Credit, and Automotive operating
losses, offset partly by the proceeds of the Jaguar Land Rover
sale.

WSJ indicated that most of Ford's loss was related to US$5.3
billion non-cash charges which reflected the drop in value of
plants and equipment for making trucks.  Ford, WSJ added, also
took an additional write-down of US$2.1 billion to cover
unprofitable auto leases made by its credit arm.

WSJ said, at July 23 composite trading on the New York Stock
Exchange, Ford was down 15% at US$5.11.  A selloff in the stock,
WSJ stated, showed worries about losses in the next quarters and
its impact on Ford's cash levels.

                       About Ford Motor Co.

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

The company has operations in Japan in the Asia Pacific region.  
In Europe, the company maintains a presence in Sweden, and the
United Kingdom.  The company also distributes its brands in
various Latin-American regions.  It has a subsidiary in Brazil,
Ford Motor Company Brasil Ltda.

                          *   *   *

As reported in the Troubled Company Reporter-Latin America on
June 24, 2008, Standard & Poor's Ratings Services on Friday said
it is placing its corporate credit ratings on the three U.S.
automakers, General Motors Corp., Ford Motor Co., and Chrysler
LLC, on CreditWatch with negative implications, citing the need
to evaluate the  financial damage being inflicted by
deteriorating U.S. industry conditions -- largely as a result of
high gasoline prices.

At the same time, TCR-LA reported that Moody's Investors Service
affirmed the B3 Corporate Family Rating and Probability of
Default Rating of Ford Motor Company, but changed the rating
outlook to negative from stable.  The company's Speculative
Grade Liquidity rating remains SGL-1.  The rating outlook for
Ford Credit has also been changed to negative from stable,
reflecting parent level concerns and deteriorating asset
quality.  The negative outlook for Ford reflects the
increasingly challenging environment faced by its and the other
domestic auto manufacturers as the outlook for US vehicle demand
falls, and as high fuel costs drive US consumers away from light
trucks and SUVs and toward more fuel efficient vehicles.


HEXION SPECIALTY: Brazilian Unit Launches Plant Construction
------------------------------------------------------------
Hexion Specialty Chemicals Inc.'s Brazilian subsidiary, Hexion
Quimica Industria e Comercio Ltda., has begun construction of a
formaldehyde and resins manufacturing complex to serve the
rapidly growing engineered wood products market in southern
Brazil.

Hexion's Board of Directors recently approved the construction
of a world-scale formaldehyde and resins manufacturing complex
in Montenegro, Brazil, with a rated annual capacity of 450,000
metric tons.  Both phenol formaldehyde resins and urea
formaldehyde resins will be produced.  The facility will include
manufacturing technology enabling it to produce leading-edge
resins that meet the highest environmental requirements, such
as the E-1 and E-0 standards for low-emitting resins.  The
facility is expected to begin operations in the second quarter
of 2009.

“Hexion is a recognized market and technology leader in forest
product resins, and this expansion will enable us to efficiently
serve our customers as they grow and expand their operations,”
said Luiz Cintra, Hexion's vice president for Latin America.

Manufacturing of forest products such as particleboard and MDF
for furniture and plywood for structural applications is
expected to grow rapidly in Latin America over the next five
years, Mr. Cintra said.  Building formaldehyde and resins
production capability in the region will enable Hexion to supply
resin systems critical to making those products while
significantly reducing shipping costs, he added.  Hexion
currently has three other manufacturing facilities in Brazil,
located in Curitiba, Cotia and Paulinia, as well as
administrative sales offices in Sao Paulo.

                    About Hexion Specialty

Based in Columbus, Ohio, Hexion Specialty Chemicals Inc. --
http://www.hexionchem.com/-- is a producer of thermosetting
resins, or thermosets.  Thermosets are a critical ingredient in
virtually all paints, coatings, glues and other adhesives
produced for consumer or industrial uses.   Hexion Specialty
Chemicals is controlled by an affiliate of Apollo Management
L.P.

Outside the United States, the company has regional headquarters
in: China through Hexion Specialty Chemicals Singapore Pte Ltd.;
Australia through Hexion Specialty Chemicals Australia Pty.; the
Netherlands through Hexion Specialty Chemicals B.V.; and in
Brazil through Hexion Quimica Industria e Comercio Ltda.

Hexion Specialty Chemicals Inc.'s balance sheet at March 31,
2008, showed  the company had total assets of US$4.2 billion and
total liabilities of US$5.5 billion, resulting in a
shareholders' deficit of US$1.3 billion.


M-REAL CORP: S&P Shifts Outlook to Neg., Holds B Credit Ratings
---------------------------------------------------------------
Standard & Poor's Rating Services has revised its outlook on
Finland-based forest product company M-real Corp. to negative
from stable.  At the same time, all ratings on M-Real were
affirmed, including the 'B-' long-term and 'B' short-term
corporate credit ratings.
     
“The outlook revision reflects deterioration in M-Real's
liquidity position,” said S&P's credit analyst Jacob Zachrison.
     
The deterioration results from negative operating cash flow
generation in the first half of 2008 with poor prospects for any
significant medium-term improvement, large upcoming debt
maturities in 2009, and the expiry in 2009 of a EUR500 million
revolving credit facility which is M-real's key liquidity
source.
     
“These factors could lead to serious difficulties in meeting the
company's debt obligations over the next 18 months,” Mr.
Zachrison said.
     
The ratings on M-real continue to reflect its exposure to
challenging market conditions, commoditized products, weak
pricing power, and high and escalating input costs.  They also
reflect its weak operating performance, profitability, credit
measures, and increased refinancing and liquidity risks.
     
These factors are partly offset by the group's large and modern
asset base, significant restructuring initiatives, meaningful
diversification among paper grades, and sizable shares of the
European fine paper and paperboard markets.  On June 30, 2008,
M-real had adjusted debt of about EUR2.3 billion (including
about EUR86 million in postretirement and leasing liabilities).
     
The negative outlook reflects challenging market conditions and
the increased risk of a further deterioration in the company's
liquidity position or failure to address upcoming refinancing
needs over the near term.  These factors could lead to a
downgrade.

Headquartered in Espoo, Finland, M-real Corp. --
http://www.M-Real.com/-- produces and distributes coated and   
uncoated fine papers for printing and packaging industries.  The
company has operations in Brazil and Mexico.


NET SERVICOS: Discloses Resolutions Reached at Jul. 17 Meeting
--------------------------------------------------------------
At a meeting on July 17, 2008, the members of Net Servicos de
Comunicacao SA's board:

1. acknowledged the company's operating and financial results
   for the second quarter of 2008;

2. acknowledged the Fiscal Council and Independent Auditors'
   opinion on the results for the second quarter of 2008;

3. approved, with no reservations, the company's operating and
   financial results for the second quarter of 2008, as well as
   their release to the market;

4. acknowledged and approved the contracting of the BAND NEWS,
   BAND SPORTS and RECORD NEWS channels for broadcasting in
   digital technology, and of the new channel for HDTV
   transmission, which will be signed by the Secretary and filed
   at the company's headquarters; and

5. approved, without reservations, the assignment of the loan
   from Banco Inbursa S.A, INSTITUCION DE BANCA MULTIPLE, GRUPO
   FINANCEIRO INBURSA, in the amount of US$200,000,000, to its
   subsidiaries.

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.


QUEBECOR WORLD: Catalyst Slashes Reclamation Claim to US$1.8 Mln
----------------------------------------------------------------
Catalyst Paper (USA), Inc., informed the U.S. Bankruptcy Court
for the Southern District of New York that it has amended the
amount of its reclamation claim to US$1,852,016 against Quebecor
World Inc. and its debtor-affiliates.

Catalyst formerly demanded a US$8,388,821, reclamation claim on
goods it sold to the Debtors 20 days before the bankruptcy
filing.

                       About Quebecor World

Based in Montreal, Quebec, Quebecor World Inc. (TSX: IQW) (NYSE:
IQW), -- http://www.quebecorworldinc.com/-- provides market
solutions, including marketing and advertising activities, well
as print solutions to retailers, branded goods companies,
catalogers and to publishers of magazines, books and other
printed media.  It has 127 printing and related facilities
located in North America, Europe, Latin America and Asia.  In
the United States, it has 82 facilities in 30 states, and is
engaged in the printing of books, magazines, directories, retail
inserts, catalogs and direct mail.

The company has operations in Mexico, Brazil, Colombia, Chile,
Peru, Argentina and the British Virgin Islands.

Quebecor World and 53 of its subsidiaries, including those in
Canada, filed a petition under the Companies' Creditors
Arrangement Act before the Superior Court of Quebec, Commercial
Division, in Montreal, Canada, on Jan. 20, 2008.  The Honorable
Justice Robert Mongeon oversees the CCAA case.  Francois-David
Pare, Esq., at Ogilvy Renault, LLP, represents the Company in
the CCAA case.  Ernst & Young Inc. was appointed as Monitor.

On Jan. 21, 2008, Quebecor World (USA) Inc., its U.S.
subsidiary, along with other U.S. affiliates, filed for chapter
11 bankruptcy on Jan. 21, 2008 (Bankr. S.D.N.Y Lead Case No. 08-
10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.   The
Official Committee of Unsecured Creditors is represented by Akin
Gump Strauss Hauer & Feld LLP.

Based in Corby, Northamptonshire, Quebecor World PLC --
http://www.quebecorworldplc.com/-- is the U.K. subsidiary of
Quebecor World Inc. that specializes in web offset magazines,
catalogues and specialty print products for marketing and
advertising campaigns.  The company employs around 290 people.
Quebecor PLC was placed into administration with Ian Best and
David Duggins of Ernst & Young LLP appointed as joint
administrators effective Jan. 28, 2008.

As of Sept. 30, 2007, Quebecor World's unaudited consolidated
balance sheet showed total assets of US$5,554,900,000, total
liabilities of US$3,964,800,000, preferred shares of
US$175,900,000, and total shareholders' equity of
US$1,414,200,000.

The Debtors have until Sept. 30, 2008, to file a plan of
reorganization in the chapter 11 case.  The Debtors' CCAA stay
has been extended to July 25, 2008.  (Quebecor World Bankruptcy
News, Issue No. 21; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


QUEBECOR WORLD: Inks Two Master Lease Pacts with National City
--------------------------------------------------------------
Quebecor World (USA) Inc., entered into two prepetition master
lease agreements with National City Commercial Capital Company,
LLC.  National City asserts that the Debtor has defaulted under
the terms of the Master Lease Agreements.

Accordingly, National City asks the Court to compel the Debtor
to decide whether to assume or reject the Lease Agreement, and
compel the Debtor to pay US$20,273 per month.

If the Debtor fails to deliver the amounts, National City asks
the Court to direct the Debtor to immediately deliver the
equipment subject to the Lease Agreement, or lift the automatic
stay, or award National City with an administrative claim for
all monies coming due postpetition.

Frank Peretore, Esq., at Peretore & Peretore, P.C., in Sparta,
New Jersey, tells the Court that National City has demanded
payments from the Debtor but the Debtor has not paid the
demanded amounts.  He asserts that if the Debtor does not decide
whether to assume or reject the Leases, National City will
continue to be irreparably harmed since the Debtor is using the
leased equipment yet not making the required monthly payments.

Aside from the US$20,273 monthly payment, National City also
seeks payment of the rental for the use of the leased equipment,
plus counsel fees, taxes and late charges.

                       About Quebecor World

Based in Montreal, Quebec, Quebecor World Inc. (TSX: IQW) (NYSE:
IQW), -- http://www.quebecorworldinc.com/-- provides market
solutions, including marketing and advertising activities, well
as print solutions to retailers, branded goods companies,
catalogers and to publishers of magazines, books and other
printed media.  It has 127 printing and related facilities
located in North America, Europe, Latin America and Asia.  In
the United States, it has 82 facilities in 30 states, and is
engaged in the printing of books, magazines, directories, retail
inserts, catalogs and direct mail.

The company has operations in Mexico, Brazil, Colombia, Chile,
Peru, Argentina and the British Virgin Islands.

Quebecor World and 53 of its subsidiaries, including those in
Canada, filed a petition under the Companies' Creditors
Arrangement Act before the Superior Court of Quebec, Commercial
Division, in Montreal, Canada, on Jan. 20, 2008.  The Honorable
Justice Robert Mongeon oversees the CCAA case.  Francois-David
Pare, Esq., at Ogilvy Renault, LLP, represents the Company in
the CCAA case.  Ernst & Young Inc. was appointed as Monitor.

On Jan. 21, 2008, Quebecor World (USA) Inc., its U.S.
subsidiary, along with other U.S. affiliates, filed for chapter
11 bankruptcy on Jan. 21, 2008 (Bankr. S.D.N.Y Lead Case No. 08-
10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.   The
Official Committee of Unsecured Creditors is represented by Akin
Gump Strauss Hauer & Feld LLP.

Based in Corby, Northamptonshire, Quebecor World PLC --
http://www.quebecorworldplc.com/-- is the U.K. subsidiary of
Quebecor World Inc. that specializes in web offset magazines,
catalogues and specialty print products for marketing and
advertising campaigns.  The company employs around 290 people.
Quebecor PLC was placed into administration with Ian Best and
David Duggins of Ernst & Young LLP appointed as joint
administrators effective Jan. 28, 2008.

As of Sept. 30, 2007, Quebecor World's unaudited consolidated
balance sheet showed total assets of US$5,554,900,000, total
liabilities of US$3,964,800,000, preferred shares of
US$175,900,000, and total shareholders' equity of
US$1,414,200,000.

The Debtors have until Sept. 30, 2008, to file a plan of
reorganization in the chapter 11 case.  The Debtors' CCAA stay
has been extended to July 25, 2008.  (Quebecor World Bankruptcy
News, Issue No. 21; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


QUEBECOR WORLD: Mulls US$19.7MM Expansion of Dubuque, Iowa Plant
----------------------------------------------------------------
Quebecor World Dubuque Inc., proposed an approximately
US$19,700,000 growth plan, including a 40,000-square foot
addition at its Kerper Boulevard plant, in Dubuque, Iowa, the
Telegraph Herald reported.  However, Dan McDonald at Greater
Dubuque Development Corp., told the newspaper that the expansion
of the Quebecor Plant is not expected to create jobs due to the
modernization of printing equipment.  

The report related that the Iowa Department of Economic
Development Board agreed to provide a US$400,000, forgivable
loan and a US$100,000, loan as state economic development
assistance for the project.  QWI Dubuque also received
US$249,483, in tax credits, the report said.

                       About Quebecor World

Based in Montreal, Quebec, Quebecor World Inc. (TSX: IQW) (NYSE:
IQW), -- http://www.quebecorworldinc.com/-- provides market
solutions, including marketing and advertising activities, well
as print solutions to retailers, branded goods companies,
catalogers and to publishers of magazines, books and other
printed media.  It has 127 printing and related facilities
located in North America, Europe, Latin America and Asia.  In
the United States, it has 82 facilities in 30 states, and is
engaged in the printing of books, magazines, directories, retail
inserts, catalogs and direct mail.

The company has operations in Mexico, Brazil, Colombia, Chile,
Peru, Argentina and the British Virgin Islands.

Quebecor World and 53 of its subsidiaries, including those in
Canada, filed a petition under the Companies' Creditors
Arrangement Act before the Superior Court of Quebec, Commercial
Division, in Montreal, Canada, on Jan. 20, 2008.  The Honorable
Justice Robert Mongeon oversees the CCAA case.  Francois-David
Pare, Esq., at Ogilvy Renault, LLP, represents the Company in
the CCAA case.  Ernst & Young Inc. was appointed as Monitor.

On Jan. 21, 2008, Quebecor World (USA) Inc., its U.S.
subsidiary, along with other U.S. affiliates, filed for chapter
11 bankruptcy on Jan. 21, 2008 (Bankr. S.D.N.Y Lead Case No. 08-
10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.   The
Official Committee of Unsecured Creditors is represented by Akin
Gump Strauss Hauer & Feld LLP.

Based in Corby, Northamptonshire, Quebecor World PLC --
http://www.quebecorworldplc.com/-- is the U.K. subsidiary of
Quebecor World Inc. that specializes in web offset magazines,
catalogues and specialty print products for marketing and
advertising campaigns.  The company employs around 290 people.
Quebecor PLC was placed into administration with Ian Best and
David Duggins of Ernst & Young LLP appointed as joint
administrators effective Jan. 28, 2008.

As of Sept. 30, 2007, Quebecor World's unaudited consolidated
balance sheet showed total assets of US$5,554,900,000, total
liabilities of US$3,964,800,000, preferred shares of
US$175,900,000, and total shareholders' equity of
US$1,414,200,000.

The Debtors have until Sept. 30, 2008, to file a plan of
reorganization in the chapter 11 case.  The Debtors' CCAA stay
has been extended to July 25, 2008.  (Quebecor World Bankruptcy
News, Issue No. 21; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


QUEBECOR WORLD: Signs US$55MM Printing Deal With Reader's Digest
----------------------------------------------------------------
Quebecor World Inc. has reached a new multi-year agreement
valued at approximately US$55 million with Reader's Digest
Association to print magazines and books for the New York-based
publisher.  The agreement includes renewal work on titles like
Family Handyman, Reader's Digest Large Print, Weekly Reader, QVC
books and Select Editions books.  The agreement also includes
significant new work for Quebecor World, including Weekly Reader
Current Events and Reader's Digest Milwaukee magazine.

“Our partnership with the Reader's Digest Association dates back
more than 30 years,” said Jacques Mallette, President and CEO,
Quebecor World Inc.  “We are pleased that this agreement not
only continues our partnership but will further expand the scope
and scale of the services we provide to the Reader's Digest
Association.”

“Our ability to serve the Reader's Digest Association through
our integrated Publishing Services Group allows us to deliver
the value and quality an industry publishing leader such as the
Reader's Digest Association demands,” said Kevin J. Clarke,
President of Quebecor World's Publishing Services Group.  “This
successful partnership also shows the value of our strategy to
integrate our magazine, book and directory operations into a
single operating structure.  Innovative publishers like Reader's
Digest Association are increasingly serving their readers and
advertisers across these multiple media platforms.”

Quebecor World's continental platform and full-service offering
provides added value to Reader's Digest.  The work will be
produced at Quebecor World's facilities in the United States and
Canada and Reader's Digest will benefit from Quebecor World's
leading Logistics Services to improve delivery and reduce postal
costs.

Al Perruzza, Senior Vice President of Global Operations at
Reader's Digest Association, said, “Quebecor World has
demonstrated continuing high levels of service, quality and
value over the many years we have been able to work with the
company.  We are pleased to renew and expand on this
relationship, and look forward to Quebecor World being a valued
partner to us in the years ahead.”

                       About Reader's Digest

The Reader's Digest Association, Inc. (RDA) is a global
publisher and direct marketer of books, magazines and home
entertainment products that inform, entertain and inspire people
of all ages and cultures around the world.  The company
publishes 92 magazines, including its flagship magazine --
Reader's Digest.  RDA's corporate headquarters are located near
Pleasantville, New York.

                       About Quebecor World

Based in Montreal, Quebec, Quebecor World Inc. (TSX: IQW) (NYSE:
IQW), -- http://www.quebecorworldinc.com/-- provides market
solutions, including marketing and advertising activities, well
as print solutions to retailers, branded goods companies,
catalogers and to publishers of magazines, books and other
printed media.  It has 127 printing and related facilities
located in North America, Europe, Latin America and Asia.  In
the United States, it has 82 facilities in 30 states, and is
engaged in the printing of books, magazines, directories, retail
inserts, catalogs and direct mail.

The company has operations in Mexico, Brazil, Colombia, Chile,
Peru, Argentina and the British Virgin Islands.

Quebecor World and 53 of its subsidiaries, including those in
Canada, filed a petition under the Companies' Creditors
Arrangement Act before the Superior Court of Quebec, Commercial
Division, in Montreal, Canada, on Jan. 20, 2008.  The Honorable
Justice Robert Mongeon oversees the CCAA case.  Francois-David
Pare, Esq., at Ogilvy Renault, LLP, represents the Company in
the CCAA case.  Ernst & Young Inc. was appointed as Monitor.

On Jan. 21, 2008, Quebecor World (USA) Inc., its U.S.
subsidiary, along with other U.S. affiliates, filed for chapter
11 bankruptcy on Jan. 21, 2008 (Bankr. S.D.N.Y Lead Case No. 08-
10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.   The
Official Committee of Unsecured Creditors is represented by Akin
Gump Strauss Hauer & Feld LLP.

Based in Corby, Northamptonshire, Quebecor World PLC --
http://www.quebecorworldplc.com/-- is the U.K. subsidiary of
Quebecor World Inc. that specializes in web offset magazines,
catalogues and specialty print products for marketing and
advertising campaigns.  The company employs around 290 people.
Quebecor PLC was placed into administration with Ian Best and
David Duggins of Ernst & Young LLP appointed as joint
administrators effective Jan. 28, 2008.

As of Sept. 30, 2007, Quebecor World's unaudited consolidated
balance sheet showed total assets of US$5,554,900,000, total
liabilities of US$3,964,800,000, preferred shares of
US$175,900,000, and total shareholders' equity of
US$1,414,200,000.

The Debtors have until Sept. 30, 2008, to file a plan of
reorganization in the chapter 11 case.  The Debtors' CCAA stay
has been extended to July 25, 2008.  (Quebecor World Bankruptcy
News, Issue No. 21; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


UAL CORP: Faces Illegal Profiting Charges by Immigrant Workers
--------------------------------------------------------------
The Chicago Working Hands Legal Clinic on behalf of immigrant
workers at O'Hare Airport, commenced a lawsuit against United
Airlines for alleged illegal profiting from wholesale violations
of state and federal law, Doug Cunningham of
DemocracticUnderground.Com reports.

“The companies profited from illegal exploitation of the workers
by use of the temporary agency Ideal Staffing Solutions to bring
workers in,” Jed Untereker, Esq., states in an interview with
the independent workers news.  He asserts that the lawsuit sends
a message to all employees that they have obligations even to
temporary workers.

Among the parties included in the lawsuit are Alitalia and
Singapore Airlines.

                      About UAL Corporation

Based in Chicago, Illinois, UAL Corporation (NASDAQ: UAUA)
-- http://www.united.com/-- is the holding company for United
Airlines, Inc.  United Airlines is the world's second largest
air carrier.  The airline flies to Brazil, Korea and Germany.

The company filed for chapter 11 protection on Dec. 9, 2002
(Bankr. N.D. Ill. Case No. 02-48191).  James H.M. Sprayregen,
Esq., Marc Kieselstein, Esq., David R. Seligman, Esq., and
Steven R. Kotarba, Esq., at Kirkland & Ellis, represented the
Debtors in their restructuring efforts.  Fruman Jacobson, Esq.,
at Sonnenschein Nath & Rosenthal LLP represented the Official
Committee of Unsecured Creditors before the Committee was
dissolved when the Debtors emerged from bankruptcy.

Judge Eugene R. Wedoff confirmed the Debtors' Second Amended
Plan on Jan. 20, 2006.  The company emerged from bankruptcy
protection on Feb. 1, 2006.

(United Airlines Bankruptcy News, Issue No. 162; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or      
215/945-7000)

                         *     *     *

The Troubled Company Reporter-Latin America said on June 3,
2008, that Fitch Ratings revised the Rating Outlook for UAL
Corp. and its principal operating subsidiary United Airlines,
Inc. to Negative from Stable.  Debt ratings for both entities
have been affirmed as: UAL & United Issuer Default Ratings at
'B-'; United's secured bank credit facility (Term Loan and
Revolving Credit Facility) at 'BB-/RR1'; and Senior unsecured
rating for United at 'CCC/RR6'.

The TCR-LA said on July 22, 2008, that Moody's Investors Service
lowered the Corporate Family and Probability of Default ratings
of UAL Corp. (United) to Caa1 from B2, the secured bank debt
rating to B3 from B1 and certain tranches of the Enhanced
Equipment Trust Certificates (EETC) of United Airlines, Inc.
(United Airlines).  Moody's affirmed the SGL-3 Speculative Grade
Liquidity Assessment.  Moody's said the rating outlook is
negative.


UAL CORP: JPMorgan Analyst Sees Disclosure of US$1 Bln Cash Call
----------------------------------------------------------------
Jim Baker, an analyst for J.P. Morgan Securities, disclosed on
July 18, 2008, that there were anticipated “significant” capital
disclosures from UAL Corp., for as much as US$1,000,000,000.  
UAL was expected to disclose a US$1,000,000,000 “cash call”, in
the form of a large debt offering or emergency funding from
banks to follow similar borrowings made by its competitors --
American Airlines, Airtran, Continental Airlines, JetBlue and
Southwest Airlines, the Observer reports.

“We have identified the need for United to do the same, the only
question appears to be timing and magnitude,” Mr. Baker said.

               UAL, Chase Renew Credit Card Accord

UAL released its second quarter 2008 financial results on
July 22, and simultaneously, issued a press statement disclosing
that it reached an agreement in principle with its Mileage Plus
co-branded bank card partner, Chase Bank U.S.A., N.A., and
Paymentech, L.L.C., to extend the term of their corresponding
agreements.  Paymentech is a subsidiary of Chase Paymentech
Solutions, L.L.C. -- a joint venture that includes an affiliate
of JPMorgan.

As part of the transaction, United Air Lines, Inc. will receive
a payment of US$600 million from Chase Bank, which relates to
the advance purchase of frequent flyer miles and the extension
of the contract.  The company also expects this transaction will
improve cash flow by about US$200 million in the next two years.

In addition, the level of reserve or holdback that United is
required to maintain under its credit card processing agreement
with Chase and Paymentech has been reduced to US$25 million.  
This reduction will result in the release of about
US$350 million in previously restricted cash.     

As a result of its agreement with Chase Bank, United expects to
increase its cash position by approximately US$1.2 billion,
including US$1 billion in the short term and an additional
US$200 million over the next two years.  Combined with the
previously announced approximately US$550 million raised from
new transactions in the second and third quarters, the company
will have increased its total cash balance by US$1.7 billion and
continues to have more than US$3 billion in unencumbered hard
assets.

“We got what we needed out of that contract,” Frederic Brace,
UAL's chief financial officer told Bloomberg.  “We got a higher
price per mile. That was important to us, and the liquidity.”

“We are very excited to renew our successful relationship with
United Airlines, offering consumers and small businesses
compelling travel rewards for many years to come,” Bloomberg
quotes Steve Fox, general manager of Chase Card Services, as
saying.  “This agreement will deepen and strengthen our
relationship with regarding marketing and product offerings,
enhancing the overall program.”

UAL, which posted a US$2.73 billion net loss for the second
quarter, originally entered into the credit card agreement with
Chase Bank and Paymentech in October 2005.  Chase Bank has
exclusive rights in the United States to issue credit cards that
accumulate frequent flyer miles under the loyalty program
Mileage Plus.  Chase Bank buys Mileage Plus miles from United.  
The miles are transferred to cardholders' Mileage Plus accounts
when purchases are made using the cardholders' Chase Bank/United
credit cards.  Although the Credit Card Accord between the
parties expired in 2007, United had been negotiating with Chase
Bank to extend the agreement through 2012.

Under its Plan of Reorganization, United grants Chase a lien
upon, and security interest in, their assets.  The security
interest constitutes a “silent lien”, and secures United's
payment obligation to Chase Bank to repurchase the pre-purchased
miles.

As widely reported, U.S. airlines have been subscribing to
different measures in their attempt to cope with escalating fuel
prices, including implementing massive job cuts and drastic
fleet reductions.

                      About UAL Corporation

Based in Chicago, Illinois, UAL Corporation (NASDAQ: UAUA)
-- http://www.united.com/-- is the holding company for United
Airlines, Inc.  United Airlines is the world's second largest
air carrier.  The airline flies to Brazil, Korea and Germany.

The company filed for chapter 11 protection on Dec. 9, 2002
(Bankr. N.D. Ill. Case No. 02-48191).  James H.M. Sprayregen,
Esq., Marc Kieselstein, Esq., David R. Seligman, Esq., and
Steven R. Kotarba, Esq., at Kirkland & Ellis, represented the
Debtors in their restructuring efforts.  Fruman Jacobson, Esq.,
at Sonnenschein Nath & Rosenthal LLP represented the Official
Committee of Unsecured Creditors before the Committee was
dissolved when the Debtors emerged from bankruptcy.

Judge Eugene R. Wedoff confirmed the Debtors' Second Amended
Plan on Jan. 20, 2006.  The company emerged from bankruptcy
protection on Feb. 1, 2006.

(United Airlines Bankruptcy News, Issue No. 162; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or      
215/945-7000)

                         *     *     *

The Troubled Company Reporter said on June 2, 2008, that Fitch
Ratings has revised the Rating Outlook for UAL Corp. and its
principal operating subsidiary United Airlines, Inc. to Negative
from Stable.  Debt ratings for both entities have been affirmed
as: UAL & United Issuer Default Ratings at 'B-'; United's
secured bank credit facility (Term Loan and Revolving Credit
Facility) at 'BB-/RR1'; and Senior unsecured rating for United
at 'CCC/RR6'.

The TCR said on July 22, 2008, that Moody's Investors Service
lowered the Corporate Family and Probability of Default ratings
of UAL Corp. (United) to Caa1 from B2, the secured bank debt
rating to B3 from B1 and certain tranches of the Enhanced
Equipment Trust Certificates (EETC) of United Airlines, Inc.
(United Airlines).  Moody's affirmed the SGL-3 Speculative Grade
Liquidity Assessment.  The rating outlook is negative.


UAL CORP: United Agrees with IAM on Voluntary Early Out Program
---------------------------------------------------------------
UAL Corporation's unit, United Airlines Inc., and the
International Association of Machinists (IAM) have come to an
agreement on an opportunity for eligible customer service and
ramp employees to voluntarily separate from the company.  The
program will be available for up to 400 customer service and
ramp employees.

Employees who are at least 45 years old and have at least 15
years of service with the company as of September 7, 2008 will
be eligible to participate.  Participants will be entitled to
severance payments based on years of service and retiree travel
benefits.

“As we move forward with our previously announced capacity
reductions, this agreement with the IAM will assist us in
mitigating the impact of involuntary furloughs on our IAM
employees,” said Scott Dolan, senior vice president of Airport
Operations and Cargo for United.

United will continue to explore viable alternatives to furloughs
as a result of capacity reductions with all unions representing
its employees.

                      About UAL Corporation

Based in Chicago, Illinois, UAL Corporation (NASDAQ: UAUA)
-- http://www.united.com/-- is the holding company for United
Airlines, Inc.  United Airlines is the world's second largest
air carrier.  The airline flies to Brazil, Korea and Germany.

The company filed for chapter 11 protection on Dec. 9, 2002
(Bankr. N.D. Ill. Case No. 02-48191).  James H.M. Sprayregen,
Esq., Marc Kieselstein, Esq., David R. Seligman, Esq., and
Steven R. Kotarba, Esq., at Kirkland & Ellis, represented the
Debtors in their restructuring efforts.  Fruman Jacobson, Esq.,
at Sonnenschein Nath & Rosenthal LLP represented the Official
Committee of Unsecured Creditors before the Committee was
dissolved when the Debtors emerged from bankruptcy.

Judge Eugene R. Wedoff confirmed the Debtors' Second Amended
Plan on Jan. 20, 2006.  The company emerged from bankruptcy
protection on Feb. 1, 2006.

(United Airlines Bankruptcy News, Issue No. 161; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or      
215/945-7000)

                         *     *     *

The Troubled Company Reporter-Latin America said on June 3,
2008, that Fitch Ratings revised the Rating Outlook for UAL
Corp. and its principal operating subsidiary United Airlines,
Inc. to Negative from Stable.  Debt ratings for both entities
have been affirmed as: UAL & United Issuer Default Ratings at
'B-'; United's secured bank credit facility (Term Loan and
Revolving Credit Facility) at 'BB-/RR1'; and Senior unsecured
rating for United at 'CCC/RR6'.

The TCR-LA said on July 22, 2008, that Moody's Investors Service
lowered the Corporate Family and Probability of Default ratings
of UAL Corp. (United) to Caa1 from B2, the secured bank debt
rating to B3 from B1 and certain tranches of the Enhanced
Equipment Trust Certificates (EETC) of United Airlines, Inc.
(United Airlines).  Moody's affirmed the SGL-3 Speculative Grade
Liquidity Assessment.  Moody's said the rating outlook is
negative.



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

CONDO APARTMENTS: Proofs of Claim Filing Deadline Is July 30
------------------------------------------------------------
Condo Apartments Equity Ltd.'s creditors have until
July 30, 2008, to prove their claims to Mohamed Mahsoom M.
Ameen, 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.

Condo Apartments' shareholder decided on June 30, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

                Mohamed Mahsoom M. Ameen
                c/o Gulf Investment House K.S.C.
                P.O. Box 28808
                Souk Al-Safat, 1st Floor
                Safat 13149, Kuwait

Contact for inquiries:

                Daniel Wood
                c/o Walkers (Dubai) LLP
                Telephone: (971) 4-363-7912
                Fax: (971) 4-363-7033

                            or
                 
                Walker House
                87 Mary Street, George Town
                Grand Cayman, Cayman Islands


CONDO APARTMENTS FINANCE: Claims Filing Deadline Is July 30
-----------------------------------------------------------
Condo Apartments Finance Ltd.'s creditors have until
July 30, 2008, to prove their claims to Mohamed Mahsoom M.
Ameen, 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.

Condo Apartments' shareholder decided on June 30, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

                Mohamed Mahsoom M. Ameen
                c/o Gulf Investment House K.S.C.
                P.O. Box 28808
                Souk Al-Safat, 1st Floor
                Safat 13149, Kuwait

Contact for inquiries:

                Daniel Wood
                c/o Walkers (Dubai) LLP
                Telephone: (971) 4-363-7912
                Fax: (971) 4-363-7033

                  or
                 
                Walker House
                87 Mary Street, George Town
                Grand Cayman, Cayman Islands


CONDO RESIDENTIAL: Proofs of Claim Filing Deadline Is July 30
-------------------------------------------------------------
Condo Residential Ltd.'s creditors have until July 30, 2008, to
prove their claims to Mohamed Mahsoom M. Ameen, 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.

Condo Residential's shareholders decided on June 30, 2008, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

                Mohamed Mahsoom M. Ameen
                c/o Gulf Investment House K.S.C.
                P.O. Box 28808
                Souk Al-Safat, 1st Floor
                Safat 13149, Kuwait

Contact for inquiries:

                Daniel Wood
                c/o Walkers (Dubai) LLP
                Telephone: (971) 4-363-7912
                Fax: (971) 4-363-7033

                  or
                 
                Walker House
                87 Mary Street, George Town
                Grand Cayman, Cayman Islands


GRAND ISLAND COMMODITY: Deadline for Claims Filing Is July 30
-------------------------------------------------------------
Grand Island Commodity Trading Fund I's creditors have until
July 30, 2008, to prove their claims to David A.K. Walker and
Nick Freeland, the company's liquidators, or be excluded from
receiving any distribution or payment.

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

Grand Island Commodity's shareholders decided on June 26, 2008,
to place the company into voluntary liquidation under The
Companies Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

              David A.K. Walker and Nick Freeland
              PwC Corporate Finance & Recovery (Cayman) Limited
              c/o PricewaterhouseCoopers Cayman Islands
              P.O. Box 258
              Strathvale House, George Town
              Grand Cayman, Cayman Islands

Contact for inquiries:

              Julia Yates
              Telephone: (345) 914-8605
              Fax: (345) 945-4237


GRAND ISLAND COMMODITY II: Claims Filing Deadline Is July 30
------------------------------------------------------------
Grand Island Commodity Trading Fund II's creditors have until
July 30, 2008, to prove their claims to David A.K. Walker and
Nick Freeland, the company's liquidators, or be excluded from
receiving any distribution or payment.

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

Grand Island Commodity's shareholders decided on June 26, 2008,
to place the company into voluntary liquidation under The
Companies Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

              David A.K. Walker and Nick Freeland
              PwC Corporate Finance & Recovery (Cayman) Limited
              c/o PricewaterhouseCoopers Cayman Islands
              P.O. Box 258
              Strathvale House, George Town
              Grand Cayman, Cayman Islands

Contact for inquiries:

              Julia Yates
              Telephone: (345) 914-8605
              Fax: (345) 945-4237


GRAND ISLAND INCOME: Proofs of Claim Filing Deadline Is July 30
---------------------------------------------------------------
Grand Island Income Fund's creditors have until July 30, 2008,
to prove their claims to David A.K. Walker and Nick Freeland,
the company's liquidators, or be excluded from receiving any
distribution or payment.

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

Grand Island Income's shareholders decided on June 26, 2008, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

              David A.K. Walker and Nick Freeland
              PwC Corporate Finance & Recovery (Cayman) Limited
              c/o PricewaterhouseCoopers Cayman Islands
              P.O. Box 258
              Strathvale House, George Town
              Grand Cayman, Cayman Islands

Contact for inquiries:

              Julia Yates
              Telephone: (345) 914-8605
              Fax: (345) 945-4237


GRAND ISLAND MASTER: Deadline for Claims Filing Is July 30
----------------------------------------------------------
Grand Island Master Fund Ltd.'s creditors have until
July 30, 2008, to prove their claims to David A.K. Walker and
Nick Freeland, the company's liquidators, or be excluded from
receiving any distribution or payment.

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

Grand Island Master's shareholders decided on June 26, 2008, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

              David A.K. Walker and Nick Freeland
              PwC Corporate Finance & Recovery (Cayman) Limited
              c/o PricewaterhouseCoopers Cayman Islands
              P.O. Box 258
              Strathvale House, George Town
              Grand Cayman, Cayman Islands

Contact for inquiries:

              Julia Yates
              Telephone: (345) 914-8605
              Fax: (345) 945-4237


HERBALIFE LTD: Gets Commerce Ministry OK to Conduct Biz in China
----------------------------------------------------------------
Herbalife Ltd. reported that China's Ministry of Commerce has
granted five additional licenses for the company to conduct
direct-selling business in the provinces of Beijing, Guangdong,
Shandong, Zhejiang and Guizhou.  All licenses are effective
immediately, except Beijing which will be activated after the
company opens service outlets.

Herbalife received its first direct-selling license in China in
March 2007 for the cities of Suzhou and Nanjing in the Jiangsu
province.  An additional license was granted in July of the same
year to conduct business throughout the entire province.

“We are honored to receive these additional licenses from the
Chinese government,” said Herbalife Chairman and CEO Michael O.
Johnson.  “We appreciate this opportunity to expand our business
in this important marketplace.”

The company also announced the opening of its store in Shanghai.  
Herbalife now operates 91 retail stores in 30 provinces in China

Herbalife Ltd. (NYSE: HLF) -- http://www.herbalife.com/-- is a
global network marketing company that sells weight management,
nutritional supplement, energy & fitness products and personal
care products through a network of over 1.7 million independent
distributors where the company currently sells the products
through retail stores and an employed sales force.  The company
reports in the U.S., Canada, Jamaica, Mexico, Costa Rica, El
Salvador, Panama, the Dominican Republic, Brazil, Europe,
Africa, New Zealand, and Australia.  Herbalife was
founded in 1980 and is based in Grand Cayman, Cayman Islands.

                          *      *      *

In April 2007, Standard & Poor's Ratings Services said that its
'BB+' corporate credit rating on Herbalife Ltd. remains on
CreditWatch with negative implications following the company's
announcement that the company's board of directors has rejected
a bid to be acquired by Whitney V L.P.  The board indicated that
although it views Whitney's bid as too low, it would consider an
improved offer.


MARK & SOAMES: Deadline for Proofs of Claim Filing Is July 30
-------------------------------------------------------------
Mark And Soames Ltd.'s creditors have until July 30, 2008, to
prove their claims to David A.K. Walker and Lawrence Edwards,
the company's liquidators, or be excluded from receiving any
distribution or payment.

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

Mark And Soames' shareholders decided on June 26, 2008, to place
the company into voluntary liquidation under The Companies Law
(2004 Revision) of the Cayman Islands.

The liquidators can be reached at:

                David A.K. Walker and Lawrence Edwards
                c/o  PricewaterhouseCoopers Cayman Islands
                P.O. Box 258
                Strathvale House, George Town
                Grand Cayman, Cayman Islands

Contact for inquiries:

                Skye Quinn
                Telephone: (345) 914-8678
                Fax: (345) 945-4237


NAGAM LTD: Will Hold Final Shareholders Meeting on July 30
----------------------------------------------------------
Nagam Ltd. will hold its final shareholders meeting on
July 30, 2008, at 9:30 a.m., at its Registered Office, George
Town, Grand Cayman, Cayman Islands.

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.

Nagam's shareholders agreed on May 16, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

                Raymond E. Whittaker
                c/o FCM Ltd.
                P.O. Box 1982
                Grand Cayman, Cayman Islands
                Tel: (345) 946-5125
                Fax: (345) 946-5126



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

EMPRESAS IANSA: Weak Cash Flow Cues S&P's Negative Outlook Shift
----------------------------------------------------------------
Standard & Poor's Ratings Services has revised its outlook on
the Chilean sugar and agribusiness producer Empresas Iansa S.A.
(Iansa; BB+/--) to negative from positive.
      
“The action reflects the higher-than-expected deterioration in
the company's financial metrics as a result of weaker cash-flow
generation levels and greater use of debt to finance increased
working capital needs -- related to the merger with Jugos
Concentrados S.A. -- and capital expenditures,” said S&P's
credit analyst Ivana Recalde.  For 2008, S&P expects financial
metrics to remain weak as a consequence of lower profitability
levels in the sugar business, given the reduction in sugar
volumes produced in the domestic market that present higher
margins than imports.  This would be only partially compensated
by improvements in the juice business and in international sugar
prices.  

In the medium term, Empresas Iansa's cash-flow generation would
depend on management's ability to increase sugar production in
the domestic market, adjust its commercial strategy in the juice
business, and successfully execute the diversification strategy.
     
The rating on the sugar company reflects the inherent risks
affecting the agriculture commodity business, including
international sugar price volatility and climatic risk.  The
company also faces the challenge of increasing sugar beet
production levels in the domestic market, in a context of
important competition of alternative crops.  These risks are
somewhat counterbalanced by the protection provided by the sugar
price band system in Chile and by the improvements in sugar beet
productivity.  The ratings are also underpinned by the company's
good competitive position as the only sugar producer in Chile
and as one of the lowest-cost producers of sugar from beets.
     
With total sales of US$426 million during 2007, Empresas Iansa
is one of the largest agribusiness companies in Chile and the
only sugar producer in the country, providing approximately 70%
of the sugar consumed in the domestic market.  Since November
2005, the company has been controlled indirectly by United
Kingdom-based ED&F Man Ltd. (not rated), a large international
sugar firm conducting business as principal merchants, brokers,
ship owners, refiners, and distributors in the sugar industry.
     
The negative outlook reflects the short to medium-term
challenges of improving financial metrics in a context of
increased working capital needs, relatively high capital
expenditure levels, and still relatively weak cash-flow
generation levels.  S&P would revise the outlook to stable if
the company improves its financial metrics to EBITDA interest
coverage of about 3.5, funds from operations-to–total debt ratio
in the range of 25%-30%, and debt-to-EBITDA ratio of about 3.0.

Headquartered in Santiago, Chile, Empresas Iansa S.A. --
http://www.azucar.cl/-- is the sole producef of sugar and sugar  
by-products in Chile.  The non-sugar businesses include the
production of frozen juice concentrate for the export market
under a joint venture with Cargill (Patagonia), the production
and sale of tomato paste in Peru (Icatom) and the production and
sale of frozen vegetables and fruits in Chile (Iansafrut).  ED&F
Man, a sugar distributor and trader based in the U.K.,
indirectly owns 22.8% of the company's equity.  The remaining
equity is owned by a group of Chilean pension funds and the
public.  It operates five plants, located in Curico, Linares,
Chillan Los Angeles and Rapaco, as well as a packaging plant in
Santiago.


INTERPUBLIC GROUP: Moody's Rates US$335MM Debt Facility at Ba3
--------------------------------------------------------------
Moody's assigned a Ba3 rating to The Interpublic Group of
Companies, Inc.'s (IPG) new US$335 million senior unsecured
revolving credit facility expiring on July 18, 2011.  The
facility allows IPG to increase the aggregate commitment to a
maximum amount of US$485 million if lenders agree to the
additional commitments.

In Moody's opinion the bank credit facility enhances IPG's
already solid liquidity position, which as of March 31, 2008 was
supported by (1) a large cash balance of US$1.5 billion (2) free
cash flow of US$212 million generated over the LTM period ended
03/31/2008 (3) US$750 million mostly unused Enhanced Liquidity
Facility (ELF) maturing in June 2009 (4) modest near-term debt
maturities and a largely unencumbered balance sheet.  The new
facility effectively replaces the ELF when it matures in 2009.  
IPG has an SGL-1 speculative grade liquidity rating.  The rating
outlook is positive.

The new facility is not guaranteed by IPG's subsidiaries and
ranks pari passu with other senior unsecured indebtedness of the
company.  The credit agreement possesses more stringent
covenants as compared to the ELF, which had no covenants.  It
has a minimum interest coverage covenant of 4.5x and a maximum
leverage covenant of 3.5x at Sept. 30, 2008, stepping down to
3.25x at March 31, 2009.  Additionally, IPG is required to
maintain minimum consolidated LTM EBITDA of US$600 million
commencing with the first fiscal quarter ended Sept. 30, 2008.  
The company has the ability to add back US$75 million of non-
cash charges to EBITDA in any period of four fiscal quarters.  
Further, cash acquisitions, capital expenditures and restricted
payments (dividends, share repurchases and distribution of
assets or securities to stockholders) together cannot exceed
US$600 million in any fiscal year.  IPG can carry forward US$200
million of the unused amount to the succeeding year if leverage
is below 2.75x. Moody's notes that covenants under the facility
(particularly interest coverage) may be tight over the next
twelve months but should ease as the company expands its
operating margins.  The tightness of the covenant will likely
result in the company maintaining its significant cash balance
as interest income is netted against interest expense under the
calculation.  Based on the company's positive momentum in the
last twelve months and prospects for improving margins over the
coming year, we expect IPG to grow EBITDA and be covenant
compliant over the next 12 months.  Besides the substandard
margins, economic pressure is the only anticipated near term
challenge facing the company.

New York-based, Interpublic Group of Companies Inc. (NYSE: IPG)
-- http://www.interpublic.com/-- is one of the world's leading
organizations of advertising agencies and marketing services
companies.  Major global brands include Draftfcb, FutureBrand,
GolinHarris International, Initiative, Jack Morton Worldwide,
Lowe Worldwide, MAGNA Global, McCann Erickson, Momentum, MRM
Worldwide, Octagon, Universal McCann and Weber Shandwick.
Leading domestic brands include Campbell-Ewald, Carmichael
Lynch, Deutsch, Hill Holliday, Mullen, The Martin Agency and
R/GA.  Revenues and EBITDA for the LTM period ended March 31,
2008 were US$6.7 billion and US$1 billion respectively.

The company has operations in Argentina, Brazil, Barbados,
Belize, Chile, Colombia, Costa Rica, Dominican Republic,
Ecuador, El Salvador, Guatemala, Honduras, Jamaica, Mexico,
Nicaragua, Panama, Paraguay, Puerto Rico, Peru, Uruguay and
Venezuela.



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

BANCO DOMINICANO: Buys Government's US$130MM Debt to Sun Land
-------------------------------------------------------------
Banco Dominicano del Progreso S.A. has bought the Dominican
Republic government's US$130 million debt to Sun Land from
foreign investors, Dominican Today reports, citing the country's
Economy Minister Temistocles  Montas.

Dominican Today reports that according to Standard & Poor's the
Dominican Republic improved its credit rating.  S&P excluded the
country from the list of unreliable nations.

As reported in the Troubled Company Reporter-Latin America on
July 22, 2008, S&P 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.  

According to Dominican Today, S&P said the Dominican debt's
notes were first bought by foreign investors in February.  They
were then purchased by an undisclosed bank.

Banco Dominicano del Progreso S.A. is headquartered in the
Dominican Republic.  It is controlled by a number of well
known families in the Dominican Republic that also have
interests in other financial entities involved in insurance,
stock brokerage, factoring, and leasing.

                        *     *     *

In June 2007, Fitch Ratings assigned a 'C' short-term issuer
default rating on Banco Dominicano del Progreso S.A.  Fitch said
that rating outlook is placed in watch negative.


* DOMINICAN REPUBLIC: Smuggling Could Bankrupt Garlic Growers
-------------------------------------------------------------
Members of the Constanza Valley Garlic Producers Association
said they could go bankrupt due to smuggling at the border
between the Dominican Republic and Haiti, Dominican Today
reports.

According to Dominican Today, the Constanza Valley Garlic
Producers Association admitted that it is on the verge of losing
over 2,500 tons of the crop due to lack of a market.

Authorities have yet to detain the spice from China that was
smuggled across Haiti's border, Dominican Today says, citing the
Constanza Valley.  According to the report, farmers complained
that trucks and containers with garlic reach the markets at
Santiago and Santo Domingo despite the controls at the border,
creating an unfair competition.

Dominican Today relates that garlic producers said they owe the
banks over DOP1 billion.   They said they would go bankrupt if
they don't sell the harvest.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 22, 2008, Standard & Poor's Ratings Services 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.


* DOMINICAN REPUBLIC: Client Debts May Shut Down Electric Firms
---------------------------------------------------------------
DR1 Newsletter reports that some electricity generators may
close down due to the non-payment of reportedly DOP160 million
in debts by a number of agencies.

According to  DR1, the agencies' non-payment of the electricity
they use are forcing electricity firms to reduce the level of
service.  Some generators that can't maintain themselves
financially because they aren't getting the money they need to
stay on-line in the next few days may have to shut down.

Citing letters sent to the Superintendent of Electricity, DR1
says that delays in payment have extended to 90 days or more in
some cases.  The letters ask authorities to implement procedures
that oblige electricity users to pay within the timeframe
established in the law.

Listin Diario relates that one of the letters accused EGE-Haina
of not paying some of the firms that buy electricity on the spot
market, causing "a financial imbalance".

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 22, 2008, Standard & Poor's Ratings Services 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.


* DOMINICAN REPUBLIC: Banco Dominicano Buys US$130MM Gov't Debt
---------------------------------------------------------------
Banco Dominicano del Progreso S.A. has bought the government of
the Dominican Republic's US$130 million debt to Sun Land from
foreign investors, Dominican Today reports, citing the country's
Economy Minister Temistocles  Montas.

Dominican Today relates that Standard & Poor's reported that the
Dominican Republic improved its credit rating.  S&P excluded the
country from the list of unreliable nations.  S&P removed the
country from CreditWatch, where it was placed on Feb. 8, 2008,
with negative implications.  

According to Dominican Today, S&P said the Dominican debt's
notes were first bought by foreign investors in February.  They
were then purchased by an undisclosed bank.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 22, 2008, Standard & Poor's 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.  

As reported in the Troubled Company Reporter-Latin America on
May 4, 2007, Moody's Investors Service upgraded the Dominican
Republic's ratings to reflect a general improvement in credit
conditions associated with a stronger-than-expected recovery
from the 2003 banking and exchange-rate crisis.

As reported in the Troubled Company Reporter-Latin America on
Sept. 3, 2007, Fitch Ratings affirmed the Dominican Republic's
foreign currency and local currency Issuer Default Ratings at
'B', with a Positive Outlook.  Fitch also affirmed the country
ceiling at 'B+' and the short-term foreign currency IDR at 'B'.



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

NATIONAL WATER: Settles Dispute With Natioan Workers Union
----------------------------------------------------------
National Water Commission of Jamaica Ltd. has settled a salary
dispute with a union representing its workers, Radio Jamaica
reports.

Radio Jamaica relates that the management of The Commission held
a meeting with the union last Friday, resulting to a settlement
that workers involved in the sit-in would be reimbursed this
month from the one-day salary deductions.

According to Radio Jamaica, union workers threatened industrial
action and a lock-down on Thursday when the company decided to
dock the workers salary due to a strike at its Marescaux Road
office.

Radio Jamaica notes that The Commission said that cash flow
problems prompted delays in the salary and informed its
employees about the late pay.  Workers then held demonstrations
against the firm.

The union gave The Commission a stern warning that further delay
of salaries won't be tolerated, Radio Jamaica notes, citing
National Workers Union Vice President Granville Valentine.

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.


OLINT CORP: Problems Affecting SGL Holdings in Grenada
------------------------------------------------------
Radio Jamaica reports that Olint Corp. Limited's problems in
Jamaica are affecting Grenadan investment firm SGL Holdings
Incorporated.

According to Radio Jamaica, SGL Holdings is reportedly
experiencing difficulty paying its customers due to the freezing
of Olint's assets.  SGL Holdings officials advised that until
Olint's problems are solved, they won't be able to make any
payments.

Radio Jamaica relates that SGL Holdings said it is making
efforts to get information from the Turks and Caicos Islands
authorities on the status of the probes on Olint's operations.

Radio Jamaica states after being directed in May to cease and
desist from conducting securities business as it didn't have a
license, SGL Holdings stopped accepting new deposits.  It was in
the process of preparing an application to the Grenada Authority
for the Regulation of Financial Institutions.

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.



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

AXTEL SAB: Operating Income Drops to MXN276.9MM in 2nd Qtr. 2008
----------------------------------------------------------------
Axtel, S.A.B. de C.V. has released its unaudited second quarter
results ended June 30, 2008.

    Highlights:

  -- Axtel's geographic expansion continued during the second
     quarter, with operations commencing in Matamoros, Nuevo
     Laredo, Culiacan, Mazatlan, Coatzacoalcos and Minatitlan,
     reaching 33 cities with integrated voice, data and Internet
     services.

  -- During the second quarter, Axtel became the first
     telecommunications company in Mexico to provide data,
     Internet and voice services to business and residential
     customers using WiMAX.

  -- Axtel successfully adapted its network and related systems
     to jump start participation in local number portability,
     introduced in Mexico on July 5, 2008.  The company has been
     able to bring in new customers, with their existing numbers
     from other companies, thus ensuring the "carrier-class"
     reliability of its network.

                     Revenues from operations

Revenues from operations totaled MXN2,933.2 million in the
second quarter of year 2008 from MXN3,116 million for the same
period in 2007, a decrease of MXN182.8 million, or -6%.

Revenues from operations totaled MXN11,849.7 million in the
twelve-month period ended June 30, 2008, compared to MXN9,880.5
million in the same period in 2007, an increase of MXN1,969.2
million, or 20%.

Local services:

Local service revenues contributed with 46% of total revenues
during the second quarter, compared with 43% in the second
quarter of 2007, totaling MXN1,363.9 million for the three-month
period ending on June 30, 2008, representing a 3% increase
compared to the same quarter in 2007.  During the quarter,
cellular revenues and monthly rents increased 9% and 4%,
respectively, compensating reduced measured service revenues
resulting from further penetration of commercial offers
including free local calling.  For the twelve-month period ended
June 30, 2008, revenues from local services totaled MXN5,386.9
million, an annual increase of MXN516.5 million, or 11%, from
MXN4,870.4 million recorded in the same period in 2007.  Monthly
rents, measured service and value-added services revenues
represented 62% of local revenues during the twelve-month period
ended June 30, 2008.

Long distance services:

Long distance service revenues totaled MXN341.7 million in the
quarter ending June 30, 2008, compared to MXN419.4 million in
the same quarter in 2007.  During this period, long-distance
revenues per minute marginally declined from MXN0.82 to MXN
0.81.  For the twelve-month period ended June 30, 2008, long
distance revenues grew to MXN1,383.8 million from MXN1,162.4
million registered in the same period in 2007, an increase of
MXN221.4 million or 19%.

Data & Network:

Revenues from data and network revenues amounted to MXN618.4
million for the three-month period ended June 30, 2008, compared
to MXN628.4 million in the same period in 2007, a decrease of
MXN9.9 million.  Dedicated Internet and VPNs represented 89% of
data & network revenues during the quarter.  For the
twelve-month period ended June 30, 2008, data and network
services revenues totaled MXN2,503.2 million from MXN1,577.3
million registered in the same period in 2007, an increase of
MXN925.9 million.

International traffic:

In the second quarter of 2008, International traffic revenues
totaled MXN228.7 million, declining MXN101.7 million or 31%
versus same quarter of previous year.  Reduced tariffs explain
this variation.  For the twelve-month period ended June 30,
2008, international traffic revenues totaled MXN1,054.1 million
from MXN932.2 million registered in the same period in 2007, an
increase of MXN121.9 million or 13%.

Other services:

Revenue from other services represented 13% or MXN380.5 million
of total revenues in the second quarter of 2008, compared to
MXN411.7 million registered in the same period in 2007.  The
decline is mainly explained by less activation fees caused by
lower additional lines compared with the same quarter of 2007.
For the twelve-month period ended June 30, 2008, other services
revenues totaled MXN1,521.7 million from MXN1,338.2 million
registered in the same period in 2007, an increase of MXN183.5
million.

                           Consumption

Local Calls:

Local calls totaled 626.6 million in the three-month period
ended June 30, 2008, an increase of 16.9 million, or 3%, from
609.7 million recorded in the same period in 2007.  A higher
number of lines in service during this quarter explain this
increase.  For the twelve-month period ended June 30, 2008,
local calls increased to 2,476.5 million from 2,246.6 million
registered in the same period in 2007, an increase of 229.8
million calls or 10%.

Cellular (Calling Party Pays):

Minutes of use of calls completed to a cellular line amounted to
345.6 million in the three-month period ended June 30, 2008,
compared to 265.7 million in the same period in 2007, an 30%
improvement equivalent to 79.9 million minutes.  For the
twelve-month period ended June 30, 2008, cellular minutes grew
291.3 million, or 31%, from 933.4 million registered in the
twelve-month period ended June 30, 2007, to 1,224.7 million in
the same period in 2008.

Long distance:

Outgoing long distance minutes amounted to 423.6 million
for the three-month period ended June 30, 2008 from 512.9
million in the same period in 2007, a 89.3 million minutes
reduction.  The reduction in the quarter continues reflecting
Axtel's strategy of canceling high-volume no-margin traffic.
Domestic long distance minutes represented 95% of total traffic
during the quarter.  For the twelve-month period ended June 30,
2008, outgoing long distance minutes amounted 1,689.2 million,
compared to 1,483.1 million registered in the same period in
2007, an increase of 206.1 million of minutes, or 14%.

                        Operating Data

Lines in Service:

As of June 30, 2008, lines in service totaled 972 thousand, an
increase of 128.2 thousand from the same date in 2007.  During
the second quarter of 2008, net additional lines totaled 6.6
thousand.  As of June 30, 2008, residential lines represented
67% of total lines in service.

Line equivalents (E0 equivalents):

As of June 30, 2008, line equivalents totaled 464.7 thousand, an
increase of 39.8 thousand from the same date in 2007.

Internet subscribers:

As of June 30, 2008, Internet subscribers totaled 111.9
thousand, an increase of 5%, from 107.6 thousand recorded on the
same date in 2007.  Broadband subscribers increased 33% totaling
86.6 thousand as of June 30, 2008.

             Cost of Revenues and Operating Expenses

Cost of Revenues:

For the three-month period ended June 30, 2008, the cost of
revenues declined MXN164.3 million, compared with the same
period of year 2007, primarily due to MXN138.3 million and
MXN32.6 million decreases in long distance and links and
co-locations costs, respectively.  For the twelve-month period
ended June 30, 2008, the cost of revenues reached MXN4,197.3
million, an increase of MXN685.2 million in comparison with the
same period in year 2007.

Gross Profit:

For the second quarter of 2008, the gross profit accounted for
MXN1,929.3 million, a marginal decrease of MXN18.4 million or
-1%, compared with the same period in year 2007.  The gross
profit margin increased from 62.5% to 65.8% year-over-year is
mostly due to improved long distance and cellular margins.  For
the twelve-month period ended June 30, 2008, Axtel's gross
profit totaled MXN7,652.4 million, compared to MXN6,368.4
million recorded in the same period of year 2007, a gain of
MXN1,284 million or 20%.
    
Operating expenses:

For the second quarter of year 2008, operating expenses totaled
MXN928.7 million compared to MXN886.4 million for the same
period in year 2007.  The 5% incremental expenses are mainly due
to the costs associated in the twelve new cities opened during
the last twelve-months.  For the twelve-month period ended June
30, 2008, operating expenses totaled MXN3,609.8 million, coming
from MXN3,107.9 million in the same period in 2007, an increase
of MXN501.9 million.  Personnel represented 49% of total
operating expenses during the twelve-month period ended June 30,
2008 versus 46% in the year-earlier period.
    
                         Adjusted EBITDA

The Adjusted EBITDA totaled MXN1,000.5 million for the
three-month period ended June 30, 2008, compared to MXN1,061.2
million for the same period in 2007, a decrease of 6%. As a
percentage of total revenues, adjusted EBITDA represented 34.1%
in the second quarter of 2008, same margin as in the year-
earlier quarter.  For the twelve-month period ended June 30,
2008, adjusted EBITDA amounted to MXN4,042.6 million, compared
to MXN3,260.5 million in the same period in year 2007, a
positive variation of MXN782.2 million, or 24%.

                 Depreciation and Amortization

Depreciation and amortization totaled MXN723.7 million in the
three-month period ended June 30, 2008 compared to MXN693.5
million for the same period in year 2007, an increase of MXN30.2
million or 4%.  The larger depreciation and amortization charge
is explained by capital expenditures associated with the
geographic expansion and network deployments.  Depreciation and
amortization for the twelve-month period ended June 30, 2008
reached MXN2,703.4 million, from MXN2,251.1 million in the same
period in year 2007, an increase of MXN452.3 million, or 20%.

                    Operating Income (loss)

Operating income totaled MXN276.9 million in the three-month
period ended June 30, 2008 compared to an operating income
of MXN367.7 million registered in the same period in year 2007,
a decline of MXN90.9 million or -25%.  For the twelve-month
period ended June 30, 2008 Axtel's operating income reached MXN
1,339.2 million when compared to the result registered in the
same period of year 2007 of MXN1,009.4 million, MXN329.9 million
or 33% above.

                Comprehensive financial result

The comprehensive financial gain was MXN49.1 million for the
three-month period ended June 30, 2008, compared to a loss of
MXN129.3 million for the same period in 2007.  A net interest
expense decrease of MXN19.2 million due to reduced indebtedness
and a foreign-exchange gain of MXN215.5 million compared to
MXN113.3 million in the year-earlier quarter due to the
appreciation of the peso, explain the majority of the CFR
difference.  For the twelve-month period ended June 30, 2008,
the reduced loss is explained by larger foreign-exchange and
monetary positions gain offset by increased net interest
expense.

                             Debt

The MXN811.4 million reduction in total debt versus year-earlier
date is mostly explained by the prepayment of certain lease
obligations and a more favorable exchange rate on June 30, 2008
compared to the same date in 2007.

                      Capital Investments

The investments associated with the six new cities launched in
this quarter, the preparation for the additional cities to be
opened in the second half of the year and the deployment of
WiMAX, Axtel invested MXN1,010.3 million in network and
infrastructure during the second quarter of 2008, compared to
MXN710.1 million in the year-earlier quarter.  The majority of
the company's capital investments are devoted to access or last-
mile assets.

                       About Axtel SAB

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.


CLEAR CHANNEL: Shareholders Approve Bain Capital-Led Merger
-----------------------------------------------------------
Based on a preliminary vote count, Clear Channel Communications,
Inc. shareholders approved the adoption of a merger agreement
with a group led by Bain Capital Partners, LLC and Thomas H. Lee
Partners, L.P.  The number of shares voted in favor of the
transaction represented more than 74% of the total shares
outstanding and entitled to vote at the meeting.  The
preliminary tabulation indicates that approximately 97% of the
shares voted were cast in favor of the transaction.  The parties
intend to consummate the merger on Wednesday, July 30, 2008.

“We are pleased with the outcome of [Thursday']s vote,” said
Mark Mays, Chief Executive Officer of Clear Channel.  “On behalf
of Clear Channel's Board of Directors, I want to thank our
shareholders and hard-working employees for their support
throughout this process.”

On May 13, 2008, Clear Channel Communications entered into a
third amendment to its previously announced merger agreement
with a private equity group co-led by Thomas H. Lee Partners,
L.P. and Bain Capital Partners, LLC.  Under the terms of the
merger agreement, as amended, Clear Channel shareholders will
receive US$36.00 in cash for each share they own.

As an alternative to receiving the US$36.00 per share cash
consideration, Clear Channel's shareholders were offered the
opportunity on a purely voluntary basis to exchange some or all
of their shares of Clear Channel common stock on a one-for-one
basis for shares of Class A common stock of CC Media Holdings,
Inc., the new corporation formed by the private equity group to
acquire Clear Channel (subject to aggregate and individual
caps).  The private equity group reserved the right to require
that a portion (up to 1/36th) of the consideration payable to
Clear Channel shareholders be paid in the form of additional
shares of Class A common stock of CC Media.  Clear Channel
shareholders have elected, on a voluntary basis, to exchange a
total of approximately 23,200,000 shares of Clear Channel common
stock for an equivalent number of shares of Class A common stock
of CC Media.  The private equity group has informed Clear
Channel that they do not expect to cause CC Media to issue any
shares of additional equity consideration in exchange for shares
of Clear Channel that have elected to receive the cash
consideration.  It is anticipated that the Class A common stock
of CC Media will be quoted on the Over-the-Counter Bulletin
Board under the ticker symbol CCMOV.

At the meeting, all proxy cards and ballots were turned over to
the independent inspector of elections, Mellon Investor
Services, LLC, for final tabulation and certification.

The tender offer for AMFM Operating Inc.'s outstanding 8% Senior
Notes due 2008 (CUSIP No. 158916AL0) is scheduled to expire at
8:00 a.m., New York City time, on July 30, 2008, concurrent with
the closing of the merger.  Accordingly, the price determination
date and time with respect to the tender offer will be 2:00
p.m., New York City time, on July 28, 2008, assuming the merger
and the offer expiration date occur as contemplated on
July 30, 2008.  Payment for the Notes will occur on or before
July 31, 2008, and the total consideration paid to validly
tendering holders will reflect the actual date of payment.  The
completion of the tender offer is conditioned upon the
satisfaction or waiver of all of the conditions precedent to the
merger and is subject to extension by AMFM Operating Inc. in its
sole discretion.

               About Clear Channel Communications

Based in San Antonio, Texas, Clear Channel Communications Inc.
(NYSE:CCU) -- http://www.clearchannel.com/-- is a media
and entertainment company specializing in "gone from home"
entertainment and information services for local communities and
premiere opportunities for advertisers.  The company's
businesses include radio, television and outdoor displays.
Outside U.S., the company operates in 11 countries -- Norway,
Denmark, the United Kingdom, Singapore, China, the Czech
Republic, Switzerland, the Netherlands, Australia, Mexico and
New Zealand. As of Dec. 31, 2007, it owned 717 core radio
stations, 288 non-core radio stations which are being marketed
for sale and a leading national radio network operating in the
United States.

In addition, it had equity interests in various international
radio broadcasting companies.  As of Feb. 13, 2008, the company
sold 217 non-core radio stations.  In March 2008, the company
announced that it has completed the sale of its Television Group
to Newport Television LLC.

                          *     *     *


As reported by the Troubled Company Reporter-Latin America on
June 23, 2008, Standard & Poor's Ratings Services lowered its
corporate credit rating on Clear Channel Communications to 'B'
from 'B+' based on the proposed financing of the company's
pending leveraged buyout by the private equity group co-led by
Thomas H. Lee Partners L.P. and Bain Capital Partners LLC.  
At the same time, S&P removed all the ratings from CreditWatch,
where they had been placed with negative implications on
Oct. 26, 2006, following the company's announcement that it was
exploring strategic alternatives to enhance shareholder value,
including a possible sale of the company.  The outlook is
stable.

S&P further assigned its 'B' bank loan rating and '3' recovery
rating on Clear Channel's US$16.1 billion of new senior secured
credit facilities.  The '3' recovery rating indicates S&P's
expectation for meaningful (50% to 70%) recovery of principal
and pre-petition interest in the event of a payment default.
S&P also assigned its 'CCC+' rating on the company's
US$2.3 billion of new senior unsecured notes, with a recovery
rating of '6', indicating its expectation for negligible (0% to
10%) recovery in the event of a payment default.

At the same time, S&P lowered its rating on the company's US$5.1
billion of existing senior unsecured notes to 'CCC+' from 'B-'
and assigned a recovery rating of '6' on these issues.
The 'B-' rating on the company's existing 8% senior notes due
November 2008 at its AMFM Operating Inc. subsidiary remains on
CreditWatch with negative implications pending the completion of
the company's tender offer for these notes.   S&P lowered the
rating on Clear Channel's existing US$750 million of 7.65%
senior notes due 2010 to 'CCC+' from 'B-' and assigned a
recovery rating of '6', reflecting the potential for this issue
to remain outstanding until maturity.
     

CORPORACION GEO: Net Profit Up 11.1% to MXN432.3MM in 2nd Qtr.
--------------------------------------------------------------
Corporacion Geo S.A.B de C.V. released its second quarter 2008
results.  Year-on-year sales, EBITDA and net income rose 27.1%,
25.2% and 11.1%, respectively.

Corporacion Geo Chairperson and Chief Executive Officer, Luis
Orvananos Lascurain commented, “We reported another excellent
quarter, with record revenue and EBITDA growth, building on our
first quarter's strong results.  This performance once again is
validation of the success of our strategy: to focus on the
fast-growing economic and affordable housing segment.  Geo is
clearly filling a need for an important segment of the
population, supported by the government's social policy.  We
sold more than 13,000 homes this quarter, 61% of which reflect
the strong demand from this segment.  Top line growth also
underscores the success of the measures implemented to reduce
production seasonality.”

Mr. Lascurain said, “We made headway in the development of
Mexico's first sustainable city.  We are the leader in this
Government-supported initiative, having sold 20,000 homes at
Zumpango to date with another 8,000 to 9,000 under construction
this year.”

In closing, Mr. Lascurain stated, “The clearly defined strategy
we have established ensures Geo's continued progress towards our
goals, realizing our vision for 2012.  We remain committed to
creating sustainable communities and cities while increasing
productivity and efficiencies through the launch of Geo's 'Alpha
Project', the housing industry's first prefabricated components
factory in Latin America.  Our objective is to become the leader
in quality, brand, innovation, service and value added features
for low-income housing, while maintaining our focus on
profitability and financial strength.”

Unless otherwise stated, all financial figures discussed in this
announcement, are unaudited, prepared in accordance to Mexican
Financial Reporting Standards and represent comparisons between
the three-month periods ended June 30, 2008, and the equivalent
three-month periods ended June 30, 2007 and March 31, 2007.  
Results for second quarter 2007 are expressed in constant
Mexican Pesos, as of Dec. 31, 2007, while first quarter 2008 and
second quarter 2008 results are in nominal pesos.

             Results for the Second Quarter of 2008

Revenues

Revenues for the quarter rose 27.1% year-on-year to
MXN4,615.6 million.  This revenue growth was driven primarily by
a 25.1% increase in the number of homes sold, a total of 13,009
units, compared to 10,399 units sold in second quarter 2007, as
Geo continued to implement its strategy that focuses on the
high-growth, low-income segment of the population.  In fact,
61.8% of total sales for the quarter were concentrated in the
lower income segment, compared to 53% in 2007.  This is in line
with the company's 2008 objective to reach 60% of total units
sold in the low-income segment.  Including the affordable plus
segment, over 90% of units sold were at the affordable entry
level.  This strategy had a marginal impact on its average
selling price, which increased 2.7% year-on-year to MXN332,852.

The strong increase in revenue in second quarter 2008 exceeds
the average growth expected for a second quarter, reflecting the
change in seasonality of Geo's business.  While traditionally
the first half of the year represented 40% of annual sales, the
objective is to bring that percentage up to approximately 45%,
reducing seasonality.

Homes sold through INFONAVIT mortgages represented 68% of total
units, up from 56% in the second quarter of last year.  Homes
sold through FOVISSSTE represented over 18.2% of total units, up
from 17.7% last year.  This increase is evidence of INFONAVIT
and FOVISSSTE's support of Geo's product, and is further
validation of Geo's strategy to increase its focus on the low-
income segment, which is served by these institutions.  

Operating Profit

Operating profit for the quarter increased 26.7% year-on-year to
MXN790 million with operating margin declining 5 bps to 17.1%
during the period.  This reflects the combined effect of the 55
bps decrease in gross margin following the change in sales mix
as the company increases its focus on the fast growing lower
income segments, largely offset by a 50 bps SG&A improvement.
Improvement in SG&A as a percentage of sales was due to tighter
administrative cost control and streamlining of the
administrative functions, including a staff reduction.

EBITDA

EBITDA for the quarter increased 25.2% year-on-year to
MXN1,096.9 million, with EBITDA margin down 36 bps to 23.8% from
24.1% in second quarter 2007.  This reduction was mainly due to
the decrease in gross margin explained above.  Growth in
capitalized expenses exceeded revenue growth, as more debt was
used to finance the higher growth in second quarter 2008 to
change production seasonality.

Comprehensive Result of Financing

Comprehensive Result of Financing for the quarter rose 37.6%
year-on-year to MXN117.8 million.  This largely reflected the
MXN50.6 million increase in financial expenses resulting from
the increase in working capital loans, financial leasing and
long term debt used to finance the company's growth and to
reduce the seasonality of its business.

Geo's monetary position declined by MXN12.7 million year-on-year
as this effect was eliminated at the beginning of 2008, a result
of the application of the new Mexican accounting principles.

Net Profit, Margin, & ROE

Net Profit for the quarter rose 11.1% to MXN432.3 million,
equivalent to an EPS of MXN0.80, from a net profit of MXN389.2
million, or an EPS of MXN0.73, in second quarter 2007.  Net
Profit margin, however, declined 135 bps to 9.4% during the
period, due to increases in the Comprehensive Result of
Financing, tax provision and Minority Interest.  The effective
income tax rate (provision) for second quarter 2008 rose to
32.8% compared with 28.5% in second quarter 2007, mainly
reflecting inflationary fiscal effects that increased the
taxable amounts.  Additionally, the MXN17.2 million increase in
minority interest was the result of land acquisitions through
joint ventures with Prudential Real Estate Investors and Solida
Banorte, announced in 2004 and 2007, respectively.

Earnings per share for the last twelve-months decreased 10.4% to
MXN2.83 from MXN3.16 in second quarter 2007.  Return on Majority
Equity in second quarter 2008 declined to 20.3% year over year
from 29.7% in second quarter 2007, and quarter-on-quarter by 61
bps from 20.9%.

                       Financial Structure
    
Cash & Cash Equivalents

Cash balance as of June 30, 2008 was MXN1,709.1 million, down
9.7% versus MXN1,893.5 million as of June 30, 2007 (net of
restricted cash at that date), and up by MXN75.5 million on a
sequential basis.

Accounts Receivable and Collections

Accounts Receivable as of June 30, 2008 increased 29% against
second quarter 2007 or MXN1,761 million, closing at
MXN7,829.4 million.  The Accounts Receivable to Revenues ratio
was 47.2%, 3.7 percentage points above the second quarter 2007
level.  This MXN596.9 million increase is due mainly to the
change in seasonality of the business, reflected in a
considerable increase in units sold while still in production,
to be finished and paid for during the second half of 2008.

Inventories and Land Bank

Inventories as of June 30, 2008 rose 19.6% to MXN9,513.7 million
against second quarter 2007.

Construction in Progress and Materials at the end of June 2008
grew year-on-year by MXN930.2 million, a 22.8% increase, in line
with Geo's operating growth.

Total land bank inventories increased MXN631.9 million in the  
second quarter 2008, or 16.4% against second quarter 2007.  As
of June 30, 2008, Geo's land bank was equivalent to 298,119
units, through a combination of its own land, land outsourcing,
optioned land and joint ventures with Prudential Real Estate
Investors and Banorte's Solida.  Through these, Geo controls a
land bank representing 4.5 to 5 years of continued annual unit
production growth, with low financial cost and limited ownership
risk.

Operating Free Cash Flow

During second quarter 2008 Geo generated a negative Free Cash
Flow of MXN576.3 million, compared with negative
MXN872.6 million in second quarter 2007, an improvement of
MXN296.4 million.

          Debt and Structure of Financial Liabilities

Total Debt for second quarter 2008 increased year-on-year by
MXN1,600 million, or 32.9%.  As a result, the leverage ratio
rose to 1.3x from 1.2x as of June 2007, but remained unchanged
quarter-on-quarter. During this period however, Geo's profile
improved with short-term debt falling to 55.9% of total debt, at
June 30, 2008 from 59.6% of total debt at June 30, 2007.

Bridge Loans represented 34.1% of Total Debt, and are used to
finance the construction of approximately 30,500 homes at Geo's
107 business units.  Bridge loan structures are based on project
cycles, with their maturity always exceeding the period required
for each project's completion and payment collection.  Bridge
loan payment is also linked to housing sales, not to a specific
date, and Geo obtains a new bridge loan for each project, with
the physical project acting as collateral.

Geo has available lines of credit in excess of MXN8,833 million;
of which MXN3,624 correspond to bridge loans, MXN5,209 to
credits for land purchase, direct credits, commercial papers,
euro-commercial paper, the Certificados Bursatiles program
(medium term notes program) and leasing.  This access to capital
provides the company with financial resources necessary to
guarantee the long-term continuity of its operations.

Year-on-year, the average cost of debt rose 24 bps to 9.39% in
second quarter 2008, mainly reflecting the leader rate increase.

                        Labor & Headcount

As of June 30, 2008, Geo had 13,271 temporary workers, up 3.2%
from second quarter 2007.  In addition, non-union management and
fixed personnel consisted of 7,139 employees, an increase of
8.1% when compared to June 2007.  The increase in
administrative, technical and commercial staff is based on Geo's
current and expected growth rate, which will assure continuity
of its new talent program.

                     Share Repurchase Program

During the second quarter of the year, Geo purchased 420,000
shares through the buyback program and sold 432,700 shares.
Therefore, the number of shares in the Buyback Fund at the end
of the quarter was 2,184,200.  In addition, total shares
outstanding as of June 30, 2008 were 537,848,659.

                   Key Events for the Quarter

INFONAVIT Best Post-Sales Award

Last June, General Director of INFONAVIT, Victor Borras
presented Geo with an award at INFONAVIT'S 4th Economic Housing
Forum for best post-sales support services and maintenance
practices at Geo's “Joyas del Desierto”, a housing development
located in the city of Torreon, Coahulila.

New Joint Venture

Geo completed a joint venture with “Multimedios Redes” in June,
providing Geo's customers access to triple play services
(telephone, broadband Internet and cable) without up-front costs
for the company's customers.  These kinds of synergies provide
important value-added services and underscore Geo's commitment
to its clients.

Geo Evolution ERP Project Milestones

During second quarter 2008, Geo made major advances on its ERP
project.  This project represents a total investment of more
than US$20 million and has already been fully implemented at
Geo's corporate offices and in Mexico's central region or
approximately 40% of Geo's total business.  Implementation in
the southern region (Jalisco and Guerrero) will continue
throughout the third quarter of 2008 with full and complete
implementation expected by the 1H09.

               Expectations for Fiscal Year 2008

Management maintains its financial expectations as revised
within its first quarter 2008 earnings announcement.  Management
confirms revenue and EBITDA growth expectations of 12% to 14% in
real terms, equivalent to 16% to 18% in nominal terms --
assuming inflation levels of 4%.  In addition, management
continues to expect the accounts receivable to sales ratio to
end the year between 42% to 44%.  Net debt at year-end is
expected to decline to the range of MXN3.9 to MXN4.2 billion.  
As a result, the total debt to EBITDA ratio is anticipated to
range between 1.4 to 1.6 times.  Furthermore, for 2008 the
company expects a negative free cash flow between MXN1 to
US$1.2 billion.

                      About Corporacion Geo

Headquartered in Mexico, Corporacion Geo, S.A. de C.V. --
http://www.corporaciongeo.com-- specializes in the construction  
of affordable low-income housing with operations in 33 cities
across 15 states in Mexico.

                          *      *      *

As reported in the Troubled Company Reporter-Latin America on
Aug. 20, 2007, Standard & Poor's ratings services has lowered
its long-term corporate credit rating on Corporacion Geo S.A.B.
de C.V. to 'BB-' from 'BB'.  At the same time, S&P lowered its
national scale rating on Geo to 'mxA-' from 'mxA'.  The outlook
is stable.  All ratings were removed from CreditWatch, where
they were placed on June 18, 2007, with negative implications.  
S&P also lowered its senior unsecured ratings on Geo's long-term
domestic medium-term notes to 'mxA-' from 'mxA', and affirmed
its 'mxA-2' ratings on Geo's short-term debt programs.


CORPORACION GEO: Sells Hipotecaria Su Casita Stakes for US$400MM
----------------------------------------------------------------
(PRNewswire/Pam)

Corporacion Geo S.A.B. de C.V. has sold its 6.94% stake in
Hipotecaria Su Casita, subsequent to the offer made by Caja
Madrid.

The total amount to be received by Corporacion Geo from this
transaction should amount to approximately US$400 million pesos.  
The funds obtained through this transaction should be received
between October and November 2008, and will be used to reduce
debt and improve the company's Financial Structure.

Headquartered in Mexico, Corporacion Geo, S.A. de C.V. --
http://www.corporaciongeo.com-- specializes in the construction  
of affordable low-income housing with operations in 33 cities
across 15 states in Mexico.

                          *      *      *

As reported in the Troubled Company Reporter-Latin America on
Aug. 20, 2007, Standard & Poor's ratings services lowered its
long-term corporate credit rating on Corporacion Geo S.A.B. de
C.V. to 'BB-' from 'BB'.  At the same time, S&P lowered its
national scale rating on Geo to 'mxA-' from 'mxA'.  S&P said the
outlook is stable.  All ratings were removed from CreditWatch,
where they were placed on June 18, 2007, with negative
implications.  S&P also lowered its senior unsecured ratings on
Geo's long-term domestic medium-term notes to 'mxA-' from 'mxA',
and affirmed its 'mxA-2' ratings on Geo's short-term debt
programs.


FOAMEX INTERNATIONAL: Picks Directors, Updates on Debt Reduction
----------------------------------------------------------------
Foamex International Inc. elected Eugene I. Davis, Robert B.
Burke, Seth Charnow, Thomas M. Hudgins, John G. Johnson, Jr.,
David J. Lyon, and Gregory E. Poling, as directors for a term of
one year.

The company also discloses that total debt as of June 29, 2008,
was approximately US$417.6 million, after giving effect to the
US$100 million put option to certain stockholders.  The company
has already received assignments of second lien term loans in
the amount of US$13 million in connection with its second lien
term loan offering, which expires July 24, 2008.  The second
term lien loan offering and rights offering are anticipated to
close on July 30, 2008.

At the annual meeting of stockholders on July 18, 2008, Jack
Johnson, president and chief executive officer of Foamex
reviewed the company's growth plans for the future.  Highlighted
in the discussion was the further expansion of the company's
footprint in Asia.

Mr. Johnson also discussed the establishment of retail sales for
its new sleep accessories product lines, including memory foam
pillows and mattress toppers.  He noted that the company has
expanded its Auburn, Indiana, fabrication and packaging
operations to handle this downstream big box market.

In addition, he commented on the launch of several sustainable
specialty foam products for home furnishings, explaining that
the company is leveraging its patented VPF technology and
proprietary formulations utilizing renewable plant-based
ingredients.

Finally, he outlined several current and upcoming key product
launches for the electronics, medical, and industrial markets.  
Mr. Johnson said, “All of these growth initiatives will enhance
shareholder value.”

                  About Foamex International Inc.

Headquartered in Linwood, Pennsylvania, Foamex International
Inc. (FMXIQ.PK) -- http://www.foamex.com/-- produces cushioning  
for bedding, furniture, carpet cushion and automotive markets.  
The company also manufactures polymers for the industrial,
aerospace, defense, electronics and computer industries.  Foamex
has Asian locations in Malaysia, Thailand and China.  The
company's Latin American subsidiary is in Mexico.

The company and eight affiliates filed for chapter 11 protection
on Sept. 19, 2005 (Bankr. Del. Case Nos. 05-12685 through 05-
12693).  

On Feb. 2, 2007, the Court confirmed the Debtors' Second Amended
Joint Plan of Reorganization.  The Plan of Reorganization of
Foamex International Inc. became effective and the company
emerged from chapter 11 bankruptcy protection on Feb. 12, 2007.

                          *     *     *

As reported in the Troubled Company Reporter on April 8, 2008,
Foamex International Inc.'s consolidated balance sheet at
Dec. 30, 2007, showed US$430.6 million in total assets and
US$728.7 million in total liabilities, resulting in a
US$298.1 million total stockholders' deficit.


GMAC LLC:  Jim Jones Resigns, Names Thomas Marano as ResCap CEO
---------------------------------------------------------------
GMAC Financial Services disclosed that Thomas Marano, non-
executive chairman of Residential Capital LLC is named ResCap
chairman and chief executive officer, effective immediately.  He
succeeds ResCap's CEO Jim Jones, who has elected to leave the
company.  

Mr. Marano will remain a Cerberus Capital Management L.P.
employee and be dedicated to ResCap to fulfill this role.  He
will report to GMAC CEO Alvaro de Molina.

“[Mr. Marano] brings extensive experience in the mortgage and
capital markets to ResCap at this critically important time for
the company,” Mr. de Molina said.  “Under [Mr. Marano's]
leadership, ResCap will continue to execute our ongoing plan to
streamline the business and focus on core mortgage lending and
servicing businesses in the U.S. and select international
markets.”

Mr. Marano was appointed to the ResCap board as non-executive
chairman in April 2008, at which time he also joined Cerberus as
a managing director.  Prior to this, Mr. Marano spent more than
25 years at Bear Stearns & Co., Inc., recently heading the
worldwide operations of mortgage trading and originations and
serving on the company's board of directors.

Additional management changes were disclosed and effective
immediately to further strengthen the ResCap leadership team.

   -- Joshua Weintraub, Cerberus employee and executive
      committee member of the ResCap board, will assume the role
      of ResCap vice chairman.

   -- Tony Renzi, chief operating officer of ResCap's U.S.
      Residential Funding Group, is named to the newly created
      position of ResCap chief operating officer.

   -- Jerry Lombardo, a Cerberus Operations employee, will join
      the company and lead the management of the Treasury
      function as treasury executive, succeeding Treasurer Bill
      Casey who has left the company.

   -- Thomas W. Neary has joined ResCap from Wells Fargo &
      Company as executive vice president and senior managing
      director of Capital Markets.

“These management moves will further bolster the leadership team
at ResCap and provide a diverse set of talents and skill sets as
we work to stabilize the company and weather the near-term
market challenges,” Mr. de Molina said.  “As we make this
transition, we thank [Mr. Jones] for his leadership at ResCap in
executing a major restructuring of the business and managing
efforts to reduce risk and preserve liquidity.”

In June, ResCap disclosed a comprehensive series of
transactions, which included extending unsecured debt
maturities, renewing critical funding lines and gaining
additional liquidity support from GMAC and its shareholders.

                          About ResCap

Headquartered in Minneapolis, Minnesota, Residential Capital LLC
-- http://www.rescapholdings.com/-- is the home mortgage unit
of GMAC Financial Services, which is in turn wholly owned by
GMAC LLC.

                          About GMAC LLC

GMAC LLC -- http://www.gmacfs.com/-- formerly General Motors          
Acceptance Corporation, is a global, diversified financial
services company that operates in approximately 40 countries in
automotive finance, real estate finance, insurance and other
commercial businesses.  GMAC was established in 1919 and employs
approximately 26,700 people worldwide.

In Latin America, the company has operations in Argentina,
Brazil, Chile, Colombia, Ecuador, Mexico, Venezuela.

GMAC Financial Services is in turn wholly owned by GMAC LLC.

Cerberus Capital Management LP led a group of investors that
bought a 51% stake in GMAC LLC from General Motors Corp. in
December 2006 for $14 billion.

                          *     *     *

As reported by the Troubled Company Reporter-Latin America on
June 7, 2008, Fitch Ratings has downgraded the long-term Issuer
Default Rating of GMAC LLC and related subsidiaries to 'BB-'
from 'BB'.  Fitch has also downgraded GMAC's unsecured long-term
ratings to 'B+' from 'BB-', reflecting the potential for reduced
recovery in a default scenario should the company encumber
assets.   Additionally, Fitch has affirmed the 'B' short-term
ratings.  The Rating Outlook remains Negative.

As reported in the Troubled Company Reporter-Latin America on
April 25, 2008, Moody's Investors Service downgraded GMAC LLC's
senior rating to B2 from B1; the rating remains on review for
further possible downgrade.  This action follows Moody's rating
downgrade of ResCap LLC, GMAC's wholly owned residential
mortgage unit, to Caa1 from B2.


MAXCOM TELECOM: Reports MXN11 Mil. Net Income in Second Quarter
---------------------------------------------------------------
Maxcom Telecomunicaciones, S.A.B. de C.V., has released its
unaudited financial and operating results for the quarter ended
June 30, 2008.
   
               Results for Second Quarter 2008

Financial Highlights:

  -- Second quarter 2008 revenues reached MXN670 million and
     increased by MXN91 million or 16% in comparison to the
     second quarter of 2007.

  -- EBITDA increased by 26% to reach MXN204 million in
     comparison to the second quarter of 2007.

  -- EBITDA margin increased by 240 basis points to 30% this
     reporting quarter, when compared to the same period last
     year.

  -- The company posted net income during the second quarter of
     MXN11 million, which compares favorably to a net income of
     MXN0.2 million reported in the second quarter of 2007.

Operating Highlights:

  -- Total company Revenue Generating Units or RGUs, increased
     to 439,407 or 39% in the second quarter of 2008 compared to
     the same period last year.  The company recorded RGU net
     adds of 47,930 in the quarter.

  -- Total company customer base increased by 15% to reach
     230,498 customers.

  -- Voice RGUs (formerly voice lines in service) increased 20%
     to reach 365,048.  Voice RGUs include residential voice,
     commercial voice, public telephony lines and wholesale
     lines.

  -- Data residential RGUs increased by 97% to 20,354.

  -- The company added 24,669 mobile RGUs to its residential and
     commercial business divisions during the second quarter,
     which brought to 39,515 the mobile RGU base.

  -- Pay TV number of RGUs reached 11,217. The company recorded
     TV net adds of 3,034 in the quarter.

  -- The company installed 3,562 public telephones during the
     quarter bringing the number of coin operated phones to
     31,292.

  -- Residential RGU per customer increased from 1.1 in the
     second quarter of 2007 to 1.4 in the second quarter 2008.

  -- Commercial RGU per customer increased from 11.4 in the
     second quarter of 2007 to 13.7 in the second quarter 2008.

                            Revenues

Maxcom total revenues for the second quarter of 2008 were MXN670
million, an increase of 16% over revenues of MXN579 million,
recorded in the second quarter of 2007.  The following table is
a breakdown of the sources of revenue for the company.

Total revenues for the first six months ended June 30, 2008 were
MXN1,294 million, an increase of 17% over revenue of MXN1,109,
million recorded in the same period of last year.  The following
table is a breakdown of the sources of revenue for the company.

Residential

Residential revenues represented 41% of the total during the
second quarter, compared with 38% in the same quarter of 2007.
Revenues in the residential business segment reached MXN272
million, an increase of 24% in comparison to MXN219 million in
the second quarter of 2007.

For the six months ended June 30, 2008 revenues from the
residential business totaled MXN529 million, or 41% of total
revenues from MXN432 million recorded in the same period of
2007.
    
Maxcom sales force has successfully been able to up sell
different
products and services as well as bundled products under double,
riple and quadruple play.  This quarter RGU per customer
increased from 1.1 in the second quarter of 2007 to 1.4 in the
second quarter of 2008.

Commercial

Commercial revenues represented 30% of the total during the
second quarter of 2008, compared with 27% in the same quarter of
2007.  Revenues in the Commercial Business reached MXN203
million, an increase of 28% in comparison to MXN158 million in
the same period of 2007.

The 28% or MXN45 million increase in revenues during the second
quarter of 2008 is mainly explained by an increase in the
average revenue per customer that the company recorded and an
18% increase in the number of RGUs.  The increase in RGUs was
mainly driven by:

It is important to highlight that the number of customers
decreased by 2% in comparison to the second quarter of 2007.
This decrease is due to a fewer number clients that had only one
or two commercial voice lines.  The Commercial business has been
able to increase its voice line per customer from 11.2 in the
second quarter of 2007 to 13.5 lines per customer in the second
quarter of 2008.

For the six months ended June 30, 2008 revenues from the
commercial business totaled MXN393 million, or 30% of total
revenues, compared to MXN274 million recorded in the same period
of 2007.

In addition, RGU per commercial customer increased from 11.4 in
the second quarter of 2007 to 13.7 in the second quarter of 2008
demonstrating the ability of the commercial sales force to get
customers to buy more tailored comprehensive products and
outsourced services.

Public Telephony

Public Telephony represented 15% of total revenues during the
second quarter of 2008.  Revenues in this business unit totaled
MXN102 million, an increase of 4% when compared to MXN98 million
in 2007.  The increase in revenues is attributed to the 28%
growth in the base of public telephones installed.  However and
partially offsetting this revenue growth, as the number of
public telephones continues to grow, the average revenue per
public telephone tends to decline.  For the six months ended
June 30, 2008 revenues from the public telephony business
totaled MXN196 million, or 15% of total revenues, compared to
MXN182 million recorded in the same period of 2007.

Wholesale

In 2008, Wholesale revenues decreased by 15% to reach MXN81
million, in comparison to the MXN95 million registered during
the same quarter in the previous year.  The decrease in the
Wholesale Business revenues was mainly driven by a change in the
overall traffic mix in the network by terminating long distance
minutes to less expensive top tier cities where the company has
excess capacity.  For the six months ended June 30, 2008,
revenues from the wholesale business decreased from
MXN201 million recorded in the first six months of 2007 to
MXN153 million.

Other Revenue

Other revenue represented 2% of total revenues and reached MXN12
million, in comparison to MXN9 million or 2% of total revenues
in the previous quarter.  Other revenues are primarily comprised
of lease of microwave frequencies and CPE sales.  For the six
months ended June 30, 2008 revenues from other businesses
totaled MXN23 million, or 2% of total revenues from MXN20
million recorded in the same period of 2007, also 2% of total
revenues.

                    Network Operation Cost

Network Operation Costs in the second quarter of 2008 increased
7% or MXN18 million to reach MXN264 million in comparison to
MXN246 million in the previous year, and was mainly due to a 9%
increase in network operating services and an increase in
installation expenses of 30%.  However and partially offsetting
this increase, technical expenses decreased by 5%.

However, these increases were offset by lower costs in the
amounts paid to carriers for calling party pays.

For the six months ended June 30, 2008 network operation costs
totaled MXN511 million from MXN471 million, a 9% increase in
comparison to the same period last year.

Gross margin for the second quarter of 2008 was 61%, 308 basis
points higher than the 58% gross margin recorded in the same
period of 2007.  For the six months ended June 30, 2008 gross
margin was 60%, 294 basis points higher than the 58% gross
margin recorded in the same period of 2007.

                             SG&A

SG&A expenses were MXN202 million in the second quarter of 2008,
18% above MXN171 million in the same period of 2007.  The MXN31
million increase was mainly driven by higher salaries and staff
related costs, wages and benefits as a result of an increasing
headcount specifically in the residential and commercial sales
forces which have increased as a result of the increased
coverage areas.  In addition, an increase in insurance costs,
bad debt expenses, external advisory expenses and stock
option compensation.  These increases were partially offset by
lower sales commissions and marketing expenses, among others.

For the six months ended June 30, 2008 SG&A expenses totaled
MXN387 million, 17% above MXN330 million reported in the same
period last year.

                   EBITDA and Adjusted EBITDA

EBITDA for the second quarter of 2008 was MXN204 million, a 26%
increase from MXN162 million in the same period of last year.
EBITDA Margin was 30% during the period, 240 basis points higher
than 28% in the second quarter of 2007.  For the six months
ended June 30, 2008, BITDA amounted to MXN396 million, 28%
higher than the MXN308 million registered in the same period of
2007. EBITDA margin for the six months of 2008 was 31%, 282
basis points higher than the 28% margin recorded in the same
period of 2007.

Adjusted EBITDA for the second quarter of 2008 was MXN208
million, 25% higher than MXN166 million in the same period of
last year.  Adjusted EBITDA Margin was 31% during the period,
244 basis points higher than 29% in the second quarter of 2007.
For the six months ended June 30, 2008, Adjusted EBITDA amounted
to MXN402 million, 28% higher than the MXN314 million registered
in the same period of 2007.  Adjusted EBITDA margin for the six
month period of 2008 was 31%, 273 basis points higher than the
28% margin reported in the same period of 2007.

                        Operating Income

Operating Income for the second quarter of 2008 was MXN80
million, 43% higher than MXN56 million in the previous year.
Operating margin for the second quarter was 12%.  For the six
months ended June 30, 2008, operating income for the company
reached MXN150 million, 34% higher than the result registered in
the same period of 2007 of MXN112 million.

                Comprehensive Financial Result

During the quarter, the company registered a Comprehensive
Financial Result of MXN43 million, a MXN39 million increase when
compared to MXN4 million in the same period of 2007.

The higher Comprehensive Financial Result was due to a marginal
net exchange rate gain in the second quarter of 2008, compared
to a net exchange rate gain of MXN41 million recognized in the
same period of last year as a result of the Peso revaluation,
mainly due in part to the US$ cash position of the company.  At
June 30, 2008 the exchange rate between the Mexican Peso and the
United States Dollar was MXN10.2841, compared to MXN10.7926 at
the end of June 30, 2007.  Also, the company recorded an
increase of 11% or MXN4 million on the amount of net interest
paid which increased from MXN39 million in the second quarter of
2007 to MXN43 million in the second quarter of 2008.

For the six months ended June 30, 2008, comprehensive cost of
financing for the company reached MXN107 million when compared
to MXN68 million recorded in the same period of 2007.

As a result of the change in the accounting standards in Mexico,
inflationary accounting (NIF B-10) is not required in a
low-inflation environment.  As of the second quarter of 2008 the
company prepared its financial statements in terms of historical
Mexican pesos.  Therefore, the comprehensive financial result
will no longer be affected by the results in monetary position.
In this case the company recorded a monetary position gain of
MXN6 million in the second quarter of 2007 which does not
compare to the second quarter of 2008.

                             Taxes

During the first quarter of 2008 and according to the latest tax
reform in Mexico, asset tax was replaced with the flat corporate
tax (Impuesto Empresarial a Tasa Unica).  The IETU is calculated
on a cash-flow basis, with the base determined by reducing
taxable revenue -- mainly income derived from the sale of goods,
the rendering of independent services and the leasing of
tangible goods -- with specific deductions.  Since Capex is
deductible, the company is able to minimize tax payments given
the aggressive Capex plan for 2008.

The company recorded MXN13 million in taxes during the second
quarter 2008, compared to MXN49 million in the second quarter of
2007.  For the six months ended June 30, 2008, the company
recorded MXN7 million in taxes, which compare to MXN58 million
recorded in the same period of 2007.

While Asset Tax, IETU and Income Tax represent cash outflows,
Deferred Income Tax is a non-cash item.

                          Net Income

The company posted net income during the second quarter of 2008
of Ps.11 million, which compares favorably to net income of
MXN0.2 million reported in the second quarter of 2007.  For the
six months ended June 30, 2008, the company registered a net
income of MXN20 million in comparison to a net loss of MXN17
million, in the same period of 2007.

                     Capital Expenditures

Capital Expenditures during the period totaled MXN352 million,
lower than the MXN431 million recorded in the second quarter of
2007.  Capital Expenditures were primarily used for telephone
network systems, the build out of new clusters, and equipment
for Maxcom's network expansion.

                         Indebtedness

At June 30, 2008 the company reported its Indebtedness level at
MXN2,074 million.  The company's leverage ratio measured by
Debt/EBITDA, presented a decrease, from 3.4 times in 2007 to 2.7
times in 2008.  In addition, net Debt/EBITDA ratio presented an
even more important profile reduction from 3.1 times in 2007 to
0.5 times in 2008, as a result of the recent initial public
offering which yielded cash resources for the company's
expansion plans.

               Adoption of New Accounting Standards

B-10: As of Jan. 1, 2008, the company has adopted the changes to
"Inflationary Effects", B-10 in accordance with the Mexican
Financial Standards (NIF) which establishes the rules for the
recognition of inflationary effects in the country; furthermore,
it incorporates changes such as, reclassifying accumulated
results for non-monetary assets and has the possibility of
choosing between the national consumer price index (INPC) and
the value of UDIs.  It has been determined that the country does
not face an inflationary environment, and therefore the company
as of Jan. 1, 2008 will suspend the recognition of these
inflationary effects in its financial information. Consequently,
the financial information corresponding to the period ended June
30, 2007 is expressed in Millions of Mexican Pesos of purchasing
power at Dec. 31, 2007 (date on which bulletin B-10 was still in
effect) and the financial information for June 30, 2008 is in
current Mexican Pesos.

                          About Maxcom

Headquartered in Mexico City, Mexico, Maxcom Telecomunicaciones,
SA de CV, is a facilities-based telecommunications provider
using a "smart-build" approach to deliver last-mile connectivity
to micro, small and medium-sized businesses and residential
customers in the Mexican territory.  Maxcom Telecomunicaciones
launched commercial operations in May 1999 and is currently
offering Local, Long Distance and Internet & Data services in
greater metropolitan Mexico City, Puebla and Queretaro.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Feb. 4, 2008, Moody's Investors Service confirmed Maxcom
Telecomunicaciones, S.A. de C.V.'s corporate family rating at
B3.  At the same time, Moody's confirmed its B3 rating on the
company's US$200 million in Senior Unsecured notes due in 2014.  
Moody's said the outlook for all ratings is now positive.  
Moody's rating action concludes the review for upgrade initiated
in November 2007.


PORTOLA PACKAGING: May 31 Balance Sheet Upside-Down by US$106.8M
----------------------------------------------------------------
Portola Packaging Inc. reported last week preliminary results
for its fiscal 2008 third quarter ended May 31, 2008.

At May 31, 2008, the company's consolidated balance sheet,
preliminary and subject to change as described in “Notification
of Late Filing,” showed US$170.0 million in total assets and
US$276.8 million in total liabilities, resulting in a US$106.8
million stockholders' deficit.

Portola reported a net loss of US$3.4 million for the third
quarter of fiscal year 2008 compared to a net loss of US$1.3
million for the third quarter of fiscal year 2007.  The company
reported sales of US$75.1 million for the third quarter of
fiscal year 2008 compared to US$68.7 million for the third
quarter of fiscal year 2007, an increase of 9.3%.  Portola
reported operating income of US$2.0 million for the third
quarter of fiscal year 2008, compared to operating income of
US$3.8 million reported in the third quarter of fiscal year
2007, a decrease of US$1.8 million.  The decrease quarter over
quarter was primarily due to a US$1.1 million decrease in gross
margins, higher human resource related costs, bad debt expenses
as well as increased restructuring costs.  Gross margins were
substantially impacted by the time lag in passing higher resin
costs to customers as well as higher utility, lease, freight and
labor related costs.  The increase in selling expense relates to
costs of new product introductions that are being made over the
next two quarters.
     
EBITDA decreased US$1.7 million to US$6.6 million in the third
quarter of fiscal year 2008 compared to US$8.3 million in the
third quarter of fiscal year 2007.  Adjusted EBITDA, which
excludes the effect of restructuring charges, (gains) or losses
on the sale of assets and other non-recurring expenses,
decreased US$1.3 million to US$7.0 million in the third quarter
of fiscal year 2008 compared to US$8.3 million reported in the
third quarter of fiscal year 2007. Lower quarter over quarter
Adjusted EBITDA was primarily due to decreased operating income.

The company said that although the third quarter was extremely
challenging principally due to resin and other energy related
cost increases, there were some positives.  Throughout the third
quarter, the company continued to implement several improvement
initiatives aimed at reducing cost and enhancing margins in the
upcoming quarters, most notably was the announcement to
discontinue operations at the Clifton Park, New York facility.  
The volume currently produced in the New York facility will
transfer to other Portola facilities in the U.S.  These
restructuring efforts are expected to result in an annualized
reduction in compensation, utility and other expenses of
approximately US$3.2 million.  In response to rising energy and
non-resin related cost increases that have been encountered in
recent months, the company has begun implementing price
increases.

                   Notification of Late Filing

The company will not be able to file its Quarterly Report on
Form 10-Q for the third quarter ended May 31, 2008, because it
has not completed the investigation of the accounting
irregularities at the company's China subsidiaries, Portola
(Asia Pacific) Holding Limited and Shanghai Portola Packaging
Company Limited and the restatement process, if necessary, which
could impact the financial statements for the fiscal 2008 third
quarter.  The company currently expects to file the
restatements, if necessary, as soon as possible following
completion of the investigation and expects to file its
Quarterly Report on Form 10-Q for the Third Quarter of fiscal
2008 at that time or shortly thereafter.

On June 27, 2008, the company determined that its previously
issued financial statements for the fiscal year ended Aug. 31,
2007 (including restating the quarterly interim periods within
that year) and its quarterly financial statements for the
quarters ended Nov. 30, 2007, and Feb. 29, 2008, should no
longer be relied upon as a result of the accounting
irregularities discovered at the company's China subsidiaries.  
These irregularities primarily consisted of errors in the
accounts receivable, accounts payable, inventory and cost of
sales accounts and totaled up to approximately US$2.5 million
net over the periods indicated.

                      About Portola Packaging

Headquartered in Batavia, Illinois, Portola Packaging Inc. --
http://www.portpack.com/-- designs, manufactures and markets      
tamper-evident plastic closures used in dairy, fruit juice,
bottled water, sports drinks, institutional food and other non-
carbonated beverage markets.  The company also produces a wide
variety of plastic bottles for use in dairy, water and juice
markets, including various high density bottles, as well as
five-gallon polycarbonate water bottles.  In addition, the
company designs, manufactures and markets capping equipment for
use in high speed bottling, filling and packaging production
lines.  Portola is also engaged in the manufacture and sale of
tooling and molds used for blow molding.  The company has
locations in China, Mexico and Belgium.


PORTOLA PACKAGING: Will Restructure by Pre-Package Chapter 11
-------------------------------------------------------------
Portola Packaging Inc. entered into a restructuring support
agreement with its principal secured lenders and holders in
excess of 80% in amount of its 8-1/4% Senior Notes due 2012
which will enable the company to significantly reduce its
outstanding indebtedness.  The company plans to implement the
proposed restructuring through a pre-packaged Chapter 11
bankruptcy filing.

In connection with the restructuring, the company also has
reached agreement with Wayzata Investment Partners LLC, a
Minnesota-based investment firm with more than US$6 billion in
assets under management, which will provide the company with
access to a US$10 million bridge facility to fund the
restructuring process.

Pursuant to the restructuring, holders of the senior notes will
receive 100% of the common stock of reorganized Portola in
exchange for their claims.  Wayzata is expected to be the
company's controlling shareholder upon emergence from Chapter
11.

Importantly, the restructuring contemplates that all obligations
owed to trade creditors, suppliers, customers and employees in
the ordinary course of business will be unimpaired and
unaffected by the restructuring.

The company expects to commence the formal process of vote
solicitation in early August.  When the necessary votes are
received, the restructuring will be finalized through a
voluntary pre-packaged bankruptcy filing under chapter 11 of the
U.S. Bankruptcy Code to be commenced in early September 2008.

The company anticipates that the restructuring process will be
completed by the end of October 2008 at the latest.

“We are pleased to have achieved such strong support for a
consensual restructuring that dramatically improves our balance
sheet, reduces our annual cash interest obligations by
approximately US$15 million, and enables continued reinvestment
in our products and future growth,” Brian J. Bauerbach,
Portola's President and CEO, stated.  “We are thrilled to have
the continued support of Wayzata and look forward to its long
term commitment to the business.”

                         Notice of Default

As reported in the Troubled Company Reporter on July 21, 2008,
Portola Packaging received a notice of default under its
US$60.0 million revolving credit agreement dated Jan. 16, 2004,
with General Electric Capital Corporation.

The notice was prompted by the company's filing stating that the
company was investigating accounting irregularities at certain
subsidiaries in China that may require restatement of these
financial statements for approximately $2.5 million net over
these periods, in total.

            S&P Cuts Corporate Credit Rating to 'CCC-'

Standard & Poor's Ratings Services said on July 23, 2008, it
lowered its ratings on Portola Packaging Inc. by one notch,
including its corporate credit rating to 'CCC-' from 'CCC'.  The
outlook remains negative.
     
The downgrade reflects a potential debt restructuring that S&P  
could view as tantamount to a default, heightened liquidity
concerns, and continued poor operating results.  The company
recently disclosed that it is evaluating alternatives that could
include a restructuring of its funded debt obligations.
     
On June 30, 2008, Portola received a notice of default and
reservation of rights from General Electric Capital Corp. in
accordance with the credit agreement governing its US$60 million
senior secured revolving credit facility.  The notice was
prompted by Portola's earlier filing stating that it was
investigating accounting irregularities at certain subsidiaries
in China that may require an unfavorable restatement of
financial statements.
     
Portola reported on July 7, 2008, that GECC continued to make
funds available under the credit agreement.
     
“However, we are becoming increasingly concerned about its
continuing access to the facility in light of the accounting
investigation and ongoing discussions with GECC and Wayzata
Investment Partners LLC regarding forbearance arrangements that
would allow the company to pursue a balance sheet
restructuring,” credit analyst Henry Fukuchi said.
      
“In addition, recent operating results have been weaker than
expected due to ongoing challenges related to resin and energy-
related cost increases,” Mr. Fukuchi said.

With annual sales of about US$284 million, Batavia, Illinois-
based Portola produces tamper-evident plastic closures on
packaging applications for noncarbonated beverages such as dairy
drinks, fruit juices, and water; cosmetics; and food products.

                      About Portola Packaging

Headquartered in Batavia, Illinois, Portola Packaging Inc. --
http://www.portpack.com/-- designs, manufactures and markets      
tamper-evident plastic closures used in dairy, fruit juice,
bottled water, sports drinks, institutional food and other non-
carbonated beverage markets.  The company also produces a wide
variety of plastic bottles for use in dairy, water and juice
markets, including various high density bottles, as well as
five-gallon polycarbonate water bottles.  In addition, the
company designs, manufactures and markets capping equipment for
use in high speed bottling, filling and packaging production
lines.  Portola is also engaged in the manufacture and sale of
tooling and molds used for blow molding.  The company has
locations in China, Mexico and Belgium.


RADIOSHACK CORP: Earns US$41.4 Million in Second Quarter 2008
-------------------------------------------------------------
RadioShack Corporation reported second quarter 2008 net income
was US$41.4 million, compared to US$47.0 million in the prior
year.  Second quarter 2007 net income was favorably impacted by
a US$10.0 million reversal of an income tax contingency reserve.
Second quarter 2008 net income was negatively impacted by
US$4.3 million related to the one-time charge of the previously
announced amendment to its corporate headquarter lease partially
offset by the favorable impact of a state sales tax settlement.

Second quarter 2008 comparable store sales increased 6.9% versus
the second quarter of 2007.  The increase in comparable sales
was driven by strong initial sales of digital-to-analog TV
converter boxes, continued strong performance in GPS devices,
increased sales in video gaming, prepaid wireless phones and
significant improvement in AT&T post-paid business.  The sales
of the converter boxes are a result of the transition of full-
power television broadcast signals in the United States to
digital only, which is currently scheduled to take place in the
first quarter 2009.  The positive trends in these categories
were partially offset by poor performance in the Sprint post-
paid business.  Despite an improvement in Sprint's post-paid
business versus prior quarters, it continues to be a significant
negative impact to the company's performance.  But for the
Sprint post-paid and related wireless accessory business,
comparable store sales in the second quarter would have
increased 12.7%.

Total sales in the second quarter of 2008 were up US$60 million
to US$995 million versus total sales of $935 million for the
same period last year.  The overall sales increase was driven by
increases in company owned stores of 7.5%, sales to
dealer/franchise outlets of 6.1% and our on-line business which
increased 29.8%. The increases in these channels were partially
offset by a 2.7% decrease in our kiosk business.  The decrease
in kiosk sales is attributable to significant decreases in our
Sprint kiosk business, partially offset by increases in our
Sam's Club kiosks.

“The economic environment continues to be challenging, however,
as a credit to our team, we are pleased with our progress as we
begin to drive profitable growth,” said Julian Day, Chairman and
Chief Executive Officer.  “We continue our focus on
opportunities to offer our customers solutions to their needs.  
Our improved sales this quarter reflect our success in
improving our merchandising, store operations and overall
customer experience.”

                         Operating Income

Second quarter 2008 operating income increased 10% to
US$71.3 million from US$64.9 million in the prior year.  After
adjusting for the one-time and unusual items related to the
headquarters lease amendment and state sales tax settlement,
proforma operating income for second quarter 2008 was
US$78.3 million compared to US$64.9 million in the prior year,
or a 21% improvement.  Operating income increased due to the
comparable store sales increase, partially offset by a 110 basis
point reduction in gross margin rate and slightly higher SG&A
costs.  The gross margin rate was impacted by negative mix
associated with greater promotional activity, the strong
sales results of TV converter boxes and a shift in wireless
towards a higher mix of upgrade versus new subscriber business.

Selling, general and administration expenses increased
US$15 million to US$375 million compared to US$360 million for
the same period last year.  The majority of the increase was due
to the one-time, non-cash charge related to the headquarters
lease combined with a greater investment in store payroll, with
a goal of improving overall customer experience and driving
profitable same store sales.

“We are seeing the benefits of our work last year to establish
the company financial model allowing additional volume to
translate directly into increased earnings for the company.  
After successfully right-sizing the cost structure, we have
increased our focus on top line sales with the goal of improving
gross profit dollars.  We will continue to work to improve the
mix of sales and gross margin rate in order to maximize our
overall profitability,” stated Jim Gooch, RadioShack's Executive
Vice President and Chief Financial Officer.

                Corporate Campus Lease Amendment

As the company announced late last month, RadioShack amended its
corporate headquarters lease.  Despite the one-time non-cash
pre-tax net charge of US$12.1 million (US$7.4 million after-
tax), the company anticipates this transaction will save
approximately US$300 million in rent and occupancy over the
remaining length of the original lease.

                          Cash Position

RadioShack's cash balance at the end of the second quarter of
2008 was US$578 million which was a decrease of US$52 million
versus June 30, 2007.  The decrease in cash is a result of the
company retiring a total of US$317 million in debt and equity
during the past twelve months.  The net US$265 million
improvement in cash flow was driven by improved operating
performance, more efficient capital spending and a continued
focus on balance sheet management.

                    Share Repurchase Program

RadioShack announced that its board of directors has approved a
new US$200 million share repurchase program.  The new
authorization does not have an expiration date and purchases
under the authorization are anticipated to be made from time to
time.

                       About RadioShack

RadioShack Corporation (NYSE: RSH) -- http://radioshack.com/--
retails consumer electronics specialty products through almost
6,000 company-operated stores and dealer outlets in the United
States, over 100 RadioShack locations in Mexico and nearly 800
wireless phone kiosks.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
June 25, 2007, Fitch Ratings has downgraded these ratings for
RadioShack Corporation:

   -- Issuer Default Rating to 'BB' from 'BB+';
   -- Bank credit facility to 'BB' from 'BB+';
   -- Senior unsecured notes to 'BB' from 'BB+'.

Fitch affirmed the short-term IDR at 'B'.


SEMGROUP LP: Bankruptcy Filing Cues Fitch to Put Default Ratings
----------------------------------------------------------------
Fitch Ratings has lowered the Issuer Default Ratings of
SemGroup, L.P., SemCrude L.P, and SemCAMS Midstream Co. to 'D'
following the bankruptcy petition by SemGroup and most of units
on July 22, 2008.  These ratings are removed from Rating Watch
where they were placed on July 17, 2008.  The bank facility and
securities ratings of SemGroup and units remain on Rating Watch
Negative pending a review of the bankruptcy court petition.
Ratings affected by this action are:

SemGroup, L.P.
SemCrude, L.P.
SemCAMS Midstream Co.
  -- IDR lowered to 'D' from 'B-'.

Ratings remaining on Rating Watch Negative
SemGroup, L.P.
  -- Senior unsecured 'B/RR3'.

SemCrude L.P.
  -- Senior secured working capital facility 'BB-/RR1';
  -- Senior secured revolving credit facility 'B+/RR1';
  -- Senior secured term loan B 'B+/RR1'.

SemCAMS Midstream Co. (SemCAMS)
  -- Senior secured working capital facility 'BB-/RR1';
  -- Senior secured revolving credit facility 'B+/RR1';
  -- Senior secured term loan B 'B+/RR1'.

SemGroup L.P. -- http://www.semgrouplp.com/-- is a midstream   
service company providing the energy industry means to move
products from the wellhead to the wholesale marketplace.  
SemGroup provides diversified services for end users and
consumers of crude oil, natural gas, natural gas liquids,
refined products and asphalt.  Services include purchasing,
selling, processing, transporting, terminaling and storing
energy.  SemGroup serves customers in the United States, Canada,
Mexico, Wales, Switzerland and Vietnam.  SemMaterials Mexico, S.
de R.L. de C.V. is a major subsidiary of the company.


SEMGROUP LP: Court OKs Use of Cash Collateral, First Day Motions
----------------------------------------------------------------
SemGroup L.P. received approval from the U.S. Bankruptcy Court
for the District of Delaware of its essential initial motions
requesting relief, including authorization to use cash
collateral.

The use of cash collateral will enable SemGroup to utilize
existing cash and cash generated through normal business
operations to meet its obligations post-Chapter 11 filing,
including trade payables and wages and benefits.  SemGroup's
bank lenders have also approved the use of cash collateral.
   
Meanwhile, SemGroup is continuing its negotiations with lenders
to secure sufficient debtor-in-possession financing.  The
company anticipates obtaining a DIP facility within a week of
the Chapter 11 filing, which occurred on July 22, 2008.
   
The Court also approved SemGroup's initial request for
US$50 million to support its Supplier Protection Program.  Under
the Program, certain suppliers who contractually commit to
continue doing business with SemGroup, on the same terms as
before the Chapter 11 filing, will be eligible to receive full
payment, as due, for goods and services that were delivered
before the filing, but for which the supplier has not yet been
paid.
   
In addition, the company received the following approvals to
ensure business as usual during its restructuring.  The ability
for SemGroup to:
   
   -- manage its Supply Chain by continuing to pay trade vendors
      in the ordinary course of business;

   -- reimburse employees for business-related expenses; and

   -- pay certain shipping and related obligations without
      interruption.
   
“The approval of these motions will provide critical relief to
our employees, customers and suppliers,” Terry Ronan, acting
president and CEO of SemGroup, said.  “They help ensure that we
will be able to operate our business as usual as we undertake
our reorganization to maximize value for our creditors.”

                      About SemGroup L.P.

SemGroup L.P. -- http://www.semgrouplp.com/-- is a midstream   
service company providing the energy industry means to move
products from the wellhead to the wholesale marketplace.  
SemGroup provides diversified services for end users and
consumers of crude oil, natural gas, natural gas liquids,
refined products and asphalt.  Services include purchasing,
selling, processing, transporting, terminaling and storing
energy.  SemGroup serves customers in the United States, Canada,
Mexico, Wales, Switzerland and Vietnam.  SemMaterials Mexico, S.
de R.L. de C.V. is a major subsidiary of the company.

SemGroup L.P. and its debtor affiliates filed for Chapter 11
protection on July 22, 2008 (Bankr. D. Del. Lead Case No.: 08-
11525) These represent the Debtors' restructuring efforts: John
H. Knight, Esq., L. Katherine Good, Esq. and Mark D. Collins,
Esq. at Richards Layton & Finger; Harvey R. Miller, Esq.,
Michael P. Kessler, Esq. and Sherri L. Toub, Esq. at Weil,
Gotshal & Manges LLP; and Martin A. Sosland, Esq. and Sylvia A.
Mayer, Esq. at Weil Gotshal & Manges LLP.  Kurtzman Carson
Consultants L.L.C. is the Debtors' claims agent.  The Debtors'
financial advisors are The Blackstone Group L.P. and A.P.
Services LLC.  Margot B. Schonholtz, Esq. and Scott D. Talmadge,
Esq. at Kaye Scholer LLP; and Laurie Selber Silverstein Esq. at
Potter Anderson & Corroon LLP represent the Debtors' prepetition
lenders.  The Debtors' consolidated, unaudited financial
conditions as of June 30, 2007, showed US$5,429,038,000 in total
assets and US$5,033,214,000 in total debts.  In their petition,
they showed more than US$1,000,000,000 in estimated total assets
and more than US$1,000,000,000 in total debts.


SEMGROUP LP: Fitch Cuts, Withdraws Rtngs After Bankruptcy Filing
----------------------------------------------------------------
Fitch Ratings has downgraded the ratings of SemGroup, L.P.,
SemCrude L.P, and SemCAMS Midstream Co. and simultaneously
withdrawn all ratings.  Ratings affected by this action are:

These ratings are being withdrawn:

SemGroup, L.P.
SemCrude, L.P.
SemCAMS Midstream Co.

  -- Issuer default Rating D

Fitch Ratings has downgraded, removed from Rating Watch
Negative, and simultaneously withdrawn these:

SemGroup, L.P.
  -- Senior unsecured to 'C' from'B/RR3'.

SemCrude L.P.
  -- Senior secured working capital facility to 'CCC' from
     'BB-/RR1';

  -- Senior secured revolving credit facility to 'CC' from
     'B+/RR1';

  -- Senior secured term loan B to 'CC' from 'B+/RR1'.

SemCAMS Midstream Co. (SemCAMS)
  -- Senior secured working capital facility to 'CCC' from
     'BB-/RR1';

  -- Senior secured revolving credit facility to 'CC' from
     'B+/RR1';

  -- Senior secured term loan B to 'CC' from 'B+/RR1'.

On July 22, 2008, SemGroup, LP and its major domestic wholly-
owned subsidiaries filed a petition for bankruptcy under Chapter
11 reflecting severe liquidity strains following a spike in
crude oil prices.  The company is seeking buyers for its assets
and does not appear likely to emerge from bankruptcy.  
Additional news disseminated from the company and media reports
highlight large losses in trading positions which have
subsequently been closed, sold, or transferred to other parties
as well as previously undisclosed exposures to an affiliate of
the company's co-founder and former chief executive officer.  

At this time, Fitch is unable to evaluate, with any precision,
estimated recovery levels on the various facilities and
instruments in the capital structure. Consequently, no recovery
ratings are assigned.  To date, the company has not obtained
debtor-in-possession financing, restricting ongoing business
activities and impairing realizable asset values from potential
sales.  Bank facility and debt instrument ratings reflect their
relative ranking in the capital structure and/or their
collateral position.  Fitch believes recovery prospects for the
SemGroup LP senior unsecured noteholders are extremely poor.  A
protracted bankruptcy proceeding appears likely.

SemGroup is a privately held midstream energy partnership
focused primarily on providing gathering, transportation,
processing, and marketing services for crude oil and refined
products in the U.S. Midcontinent region and Canada.  
Additionally, through its SemMaterials subsidiary, SemGroup
stores, transport and markets asphalt and asphalt products in
the United States and Mexico.


SEMGROUP LP: Voluntary Ch. 11 Filing Cues Moody's to Junk Rtngs.
----------------------------------------------------------------
Moody's Investors Service has downgraded SemGroup, L.P.'s
Corporate Family Rating to Ca from Caa2, its Probability of
Default Rating to D from Caa3, its senior unsecured rating to C
(LGD 5; 86%) from Ca (LGD 4; 69%), and its first secured bank
facilities to Caa3 (LGD 3; 38%) from B3 (LGD 2; 21%).  These
actions affect rated cross guaranteed debt at parent SemGroup
and its subsidiaries SemCams Holding Company and SemCrude, L.P.

The downgrades reflect that on July 22, 2008 SemGroup, L.P.
filed, on behalf of itself and most of its subsidiaries,
voluntary petitions under Chapter 11 of the United States
Bankruptcy Code in the United States Bankruptcy Court for the
District of Delaware.

The ratings had been under review for downgrade, with the new
ratings being Moody's final ratings for the company.  These
ratings will be withdrawn in the near future due to the
bankruptcy.

More specifically, the ratings affected include:

At parent SemGroup, L.P.:

  -- Corporate Family rating: Ca
  -- Probability of Default Rating: D
  -- Guaranteed senior unsecured notes: C

At wholly-owned SemCrude, L.P.:

  -- Senior secured working capital facility: Caa3
  -- Senior secured bank revolver: Caa3
  -- Senior secured term loan: Caa3

At wholly-owned SemCams Holding Company:

  -- Senior secured working capital facility: Caa3
  -- Senior secured bank revolver: Caa3
  -- Senior secured term loan: Caa3

Moody's first downgraded SemGroup's ratings on July 17, 2008
after receiving SemGroup's May 2008 consolidating financial
statements on July 15, 2007.  The ratings were downgraded again
on July 21, 2008 to the most recent level.  Subsequently,
SemGroup filed for Chapter 11 bankruptcy protection.

The bankruptcy filing documents brought to light additional
hedging liabilities that had not been reflected in SemGroup's
liability structure at the time of the July 21, 2008 downgrades,
which had assumed a 35% loss for the consolidated liabilities.  
In light of the new information, the expected consolidated loss
was increased to 50%.

The large majority of the firm's assets include accounts
receivable, inventories, cash margin deposits, and balance sheet
cash, with a minority of assets being in the fixed asset
category.  The fixed assets consist of logistical assets that
support the movement of crude oil and refined products from
point of production to consuming regions.

SemGroup, L.P. is headquartered in Tulsa, Oklahoma.


VITRO SAB: Reports US$5 Million Net Revenues in 2nd Quarter 2008
----------------------------------------------------------------
Vitro S.A.B. de C.V. earned US$5 million on net revenues of
US$725 million for the second quarter of 2008, compared to net
income of US$10 million on net revenues of US$634 million for
the same period last year.

Commenting on the results for the quarter, Enrique Osorio, Chief
Financial Officer, said, “Our business fundamentals remain
strong.  Demand rose in most segments of our business.  On a
comparable basis, sales for the quarter reached an all-time high
of US$725 million.  Higher energy costs, however, impacted
EBITDA for the quarter.  But, overall we are confident in the
health of the business as we look ahead.”

David Gonzalez, President of Glass Containers business unit,
commented, “This was another excellent quarter for containers.  
We posted record comparable sales driven by strong volume
increases across the board.  Domestic sales were up more than 22
percent year-over-year, and export sales rose almost 12 percent,
including those to the US market, proving again that this is a
fairly defensive business to economic downturns.  Foreign
subsidiaries also were strong with sales growth of almost 22
percent.”

“EBITDA, in turn, decreased 6 percent year-over-year as higher
energy prices, cost of raw materials and the impact of having
two cosmetics glass container plants working in parallel as we
transition production to our new plant in Toluca continue to
impact this business.  However, cost reduction programs,
increased efficiencies, productivity and capacity utilization
offset a large portion of these higher costs,” Mr. Gonzalez
said.

Commenting on Flat Glass business unit, Hugo Lara noted, “Flat
Glass sales rose 9 percent this quarter, also achieving a
quarterly record.  Sales in our US subsidiary remained flat and
have begun to show signs of recovery despite weak market
conditions, as we focus on larger value added commercial
projects.  Vitro Cristalglass, our Spanish subsidiary, continued
to grow despite the contraction in residential construction in
the country.  Our recently acquired French subsidiary is helping
to partially offset a challenging second half for Vitro
Cristalglass.  Auto glass sales to the OEM market remained
strong, as small to mid size cars rose from 24 percent to 43
percent of our portfolio over the past year.  Sales to the
domestic float glass market also performed well as construction
activity in Mexico continues to grow with no sign of weakness
evident.  EBITDA, in turn, fell 25 percent driven by higher
energy and raw material costs and a lower contribution from
Vitro America and Vitro Cristalglass.”

Addressing the balance sheet, Mr. Osorio noted, “Net debt to
EBITDA rose to 3.6 times from 3.3 times in the first quarter of
the year, as capital expenditures to strengthen Vitro's market
position and expand our client base increased.  The average cost
of debt, in turn, dropped 30 basis points year-over-year to 9.2
percent.”

“This quarter demonstrates once again the resilience of our
business.  We will continue to build on Vitro's strong position
in the glass industry, while taking the steps to manage to the
extent possible the volatility in natural gas prices,”
Mr. Osorio stated.

                           About Vitro

Headquartered in Monterrey, Mexico, Vitro, S.A.B. de C.V. (BMV:
VITROA; NYSE: VTO), through its two subsidiaries, Vitro Envases
Norteamerica, SA de C.V. and Vimexico, S.A. de C.V., is a
leading global glass producer, serving the construction and
automotive glass markets and glass containers needs of the food,
beverage, wine, liquor, cosmetics and pharmaceutical industries.


As reported in the Troubled Company Reporter-Latin America on
April 30, 2008, Fitch affirmed Vitro, S.A.B. de C.V.'s Foreign
currency issuer default rating at 'B'; Local currency issuer
default rating at 'B'; and Senior unsecured notes due in 2012,
2013 and 2017 at 'B+/RR3'.


XERIUM TECH: Names CEO Stephen R. Light as Board Chairperson
------------------------------------------------------------
Xerium Technologies Inc.'s board of directors has appointed
Stephen R. Light, the firm's president and chief executive
officer, as chairperson of the board of directors.  

The board also has appointed Michael Phillips, who has served as
a director since December 1999, to the new position of vice
chairman of the board.  John S. Thompson, who stepped down after
serving as board chairman since July 2004, will continue to
serve as a director.

“The entire board and I are very grateful to [Mr. Thompson] for
his stewardship during times of momentous change and progress,
including the IPO, a major debt refinancing, and a smooth
transitioning to new leadership,” Mr. Light commented.  “We look
forward to continuing to benefit from [[Mr. Thompson's] wisdom
and experience as an active member of our board.  All of us at
Xerium are fully committed to moving forward with our recently
announced strategic repositioning, which calls for us to improve
this company's financial strength and operational efficiency to
the benefit of our numerous stakeholders, which includes all of
our employees, suppliers, customers, and shareholders.”

Mr. Light joined Xerium as president and CEO, well as a
director, in February 2008.  Prior to joining Xerium, he
completed the turnaround of Flow International Corp., a producer
of industrial waterjet cutting and cleaning equipment.  Mr.
Light also served as president and CEO of OmniQuip Textron, and
held senior level management positions at General Electric,
Emerson Electric and N.V. Phillips.

Mr. Phillips is a partner with private equity firm Apax Partners
Beteiligungsberatung GmbH, which is an affiliate of Apax Europe
IV GP Co. Ltd., the beneficial owner of approximately 54.3% of
the outstanding shares of common stock of Xerium Technologies.

Mr. Phillips joined Apax Partners in 1992, he is a member of the
Executive Committee and Apax Approval, Investment and Exit
Committees and he leads the Munich office.

Mr. Thompson has served as a director and chairman of the board
since July 2004.  He served as chief executive officer of SPS
Technologies Inc., a manufacturer of specialty fasteners,
assemblies, precision components, metalworking, magnetic
products and superalloys listed on the New York Stock Exchange,
from April 2002 to December 2003, when he retired.  He also
served as its president and chief operating officer from October
1999 to March 2002, and as a director from April 2000 to
December 2003.

                    About Xerium Technologies

Headquartered in Youngsville, North Carolina, Xerium
Technologies Inc. (NYSE: XRM) --  http://xerium.com/--  
manufactures and supplies two types of consumable products used
primarily in the production of paper: clothing and roll covers.
The company, which operates around the world under a variety of
brand names, utilizes a broad portfolio of patented and
proprietary technologies to provide customers with tailored
solutions and products integral to production, all designed to
optimize performance and reduce operational costs.  With 35
manufacturing facilities in 15 countries around the world,
Xerium has approximately 3,700 employees.

In Europe the company has subsidiaries in Austria, Italy,
Germany, Sweden, Spain, the United Kingdom, Finland, France,
Switzerland and Ireland.  Xerium also has subsidiaries in Asia,
particularly in China, Hong Kong, Australia, Japan and Vietnam.
Three subsidiaries are meanwhile located in Central and South
America, specifically Brazil, Mexico and Argentina.

                         *      *     *

As disclosed in the Troubled Company Reporter-Latin America on
June 10, 2008 , Moody's Investors Service has revised Xerium
Technologies, Inc.'s outlook to positive from negative, upgraded
its speculative grade liquidity rating to SGL-3 from SGL-4, and
upgraded its probability of default rating to Caa1 from Caa2.
The rating action reflects the company's recent amendment to its
credit agreement on May 30, 2008, the completion of its goodwill
impairment test, and the recent filing of its delinquent
financial statements.  Under the new amendment, credit agreement
covenant compliance becomes more certain as financial covenants
have been loosened.  As a result, Moody's believes that over the
next twelve months Xerium will possess adequate liquidity and
likely comply with its financial covenants.  At the same time,
Xerium will likely rely on its revolving credit facility as it
remains unclear if the company can cover all cash requirements
from internal sources with the burden posed by the increased
debt service.  All other ratings have been affirmed.



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

SOLO CUP: Moody's Affirms Corporate Family Rating at B3
-------------------------------------------------------
Moody's Investors Service has assigned a Speculative Grade
Liquidity Rating of SGL-2 to Solo Cup Company.  Concurrently,
Moody's also affirmed Solo Cup's B3 Corporate Family Rating and
stable outlook.  The SGL-2 liquidity rating reflects Solo Cup's
adequate cash flow, covenant cushion and availability under
credit facilities.  Solo Cup's liquidity has been improved
through the reduction in debt from the proceeds of asset sales
and positive free cash flow generation from cost management and
the divestiture of less profitable product lines.  Funds from
operations are expected to cover all cash needs over the next
four quarters with the exception of the seasonally heavy first
quarter which will require a modest draw on the revolver,
depending upon resin prices.  Free cash flow is expected to be
sufficient for a modest level of debt reduction.  Additional
asset sales pending are bound by covenant to be applied to
further debt reduction.  The company is expected to maintain
adequate cushion under its interest coverage ratio and leverage
ratio covenant tests despite significant covenant step downs
into year end 2008.  Solo Cup has exceeded expectations year to
date resulting in better than projected cushion under financial
covenants.

The SGL-2 rating remains sensitive to the company's level of
funds from operations and cushion under financial covenants.  A
significant negative variance in operating performance would
pressure the rating.  Moody's ratings incorporate an expectation
that the company will continue to maintain adequate cushion
under its covenants, generate sufficient cash flow to cover the
majority of cash needs, complete all asset sales before year
end, and require only modest borrowings under its revolver.
                   
Headquartered in Highland Park, Illinois, Solo Cup Company --
http://www.solocup.com/-- manufactures disposable foodservice  
products for the consumer and retail, foodservice, packaging,
and international markets.  Solo Cup has broad expertise in
plastic, paper, and foam disposables and creates brand name
products under the Solo, Sweetheart, Fonda, and Hoffmaster
names.  The company was established in 1936 and has a global
presence with facilities in Asia, Canada, Europe, Mexico, Panama
and the United States.



====================
P U E R T O  R I C O
====================

MAXXAM INC: Inks Agreement with PBGC on PALCO Pension Plan
----------------------------------------------------------
On July 10, 2008, Maxxam Inc. and The Pension Benefit Guaranty
Corporation entered into an agreement pursuant to which the
company essentially agreed, among other things, that should the
PBGC elect to terminate The Pacific Lumber Company (Palco)
Pension Plan in the future, the company would continue to be
liable for any unfunded obligations then outstanding with
respect to the  Plan.  If such a termination was to be
initiated, the company expects it would first take actions to
assume sponsorship of the Palco Pension Plan in order to avoid
such termination.  

Palco is an an indirect wholly owned subsidiary of the company.  
On Jan. 18, 2007, Palco and its subsidiaries, including Scotia
Pacific Company LLC (Scopac), filed separate voluntary petitions
for reorganization under Chapter 11 of the U.S. Bankruptcy Code.  

The PBGC Agreement terminates on the earliest of (i) the fifth
anniversary of the effective date of the agreement, (ii) the
date the Palco Pension Plan is assumed by the company, (iii) the
date the Palco Pension Plan is terminated under certain standard
termination procedures set forth in the Employee Retirement
Income Security Act of 1974 (ERISA), or (iv) the date the Palco
Pension Plan is properly merged into another plan in accordance
with ERISA and the Internal Revenue Code.

The company has previously disclosed that, under ERISA, if
Palco's pension plan were to be terminated under certain
circumstances, the company would be jointly and severally liable
for any unfunded obligations with respect to the Palco Pension
Plan.  The plan of reorganization proposed by Mendocino Redwood
Company and Palco's principal creditor, Marathon Structured
Finance Fund L.P., in Palco, Scopac and Palco's other
subsidiaries' bankruptcy cases, includes a provision pursuant to
which the Palco Pension Plan would be assumed by the entity that
would succeed the Debtors under the MRC/Marathon Plan.  

The MRC/Marathon Plan, the first of two plans of reorganization
filed on the Jan. 30, 2008 deadline, would reorganize and
continue the businesses of the Debtors.  The second, which was a
plan proposed on behalf of the holders of Scopac's US$713.8
million principal amount (as of Dec. 31, 2006) of Timber
Collateralized Notes, provides for an auction of Scopac's
timberlands to the highest bidder.

A full-text copy of the Agreement dated July 10, 2008, between
The Pension Benefit Guaranty Corporation and the company, is
available for free at http://researcharchives.com/t/s?2ff6

                        About MAXXAM Inc.

Headquartered in Houston, MAXXAM Inc. (AMEX: MXM) is a publicly-
traded company, with business interests in three industries:
forest products, real estate investment and development and
racing operations.  MAXXAM's top revenue source is Kaiser
Aluminum, which has been in Chapter 11 bankruptcy since 2002.  
MAXXAM's timber subsidiary, Pacific Lumber, owns about 205,000
acres of old-growth redwood and Douglas fir timberlands in
Humboldt County, California.  MAXXAM's real estate interests
include commercial and residential properties in Arizona,  
California, Texas, and Puerto Rico.  The company also owns the  
Sam Houston Race Park, a horseracing track near Houston.  Its  
chairperson and chief executive officer, Charles Hurwitz,  
controls 77% of MAXXAM.

MAXXAM Inc.'s consolidated balance sheet at March 31, 2008,
showed US$483.5 million in total assets and US$779.6 million in
total liabilities, resulting in a US$296.1 million total
stockholders' deficit.

                       Going Concern Doubt

As reported in the Troubled Company Reporter on May 9, 2008,
Deloitte & Touche LLP, in Houston, expressed substantial doubt
about MAXXAM Inc.'s ability to continue as a going concern after
auditing the company's consolidated financial statements for the
year ended Dec. 31, 2007.  

The auditing firm pointed to the uncertainty surrounding the
ultimate outcome of the separate voluntary petitions for
reorganization under Chapter 11 of the Bankruptcy Code filed by
certain of the company's wholly owned subsidiaries, and its
effect on the company, as well as the company's operating losses
at its remaining subsidiaries.


UNIBLEND: Case Summary & 20 Largest Unsecured Creditors
-------------------------------------------------------
Debtor: Uniblend Manufacturing Corp.
        P.O. Box 1589
        Guayama, PR 00785

Bankruptcy Case No.: 08-04745

Type of Business: The Debtor manufactures degreasers, coolants,
                  car wash and protectant products.

Chapter 11 Petition Date: July 23, 2008

Court: District of Puerto Rico (Old San Juan)

Debtor's Counsel: Alexis Fuentes Hernandez, Esq.
                  (afuentes1@msn.com)
                  P.O. Box 9022726
                  San Juan, PR 00902-2726
                  Tel: (787) 607-3436

Total Assets:   US$816,109

Total Debts:  US$1,913,454

A copy of Uniblend Manufacturing Corp.'s petition is available
for free at:

             http://bankrupt.com/misc/prb08-04745.pdf


W HOLDING: Receives Notification of Non-Compliance From NYSE
------------------------------------------------------------
W Holding Company, Inc., the bank holding company for
Westernbank Puerto Rico, has been notified by the New York Stock
Exchange, Inc. (NYSE) that the company is not in compliance with
NYSE Listed company Manual Section 802.01C because the average
closing price of the company's common stock has been less than
US$1 for 30 consecutive trading days.  

Accordingly, the company is subject to the procedures specified
in Section 802.01C, which provides, among other things, that the
company must bring its share price and average share price back
above US$1 within six months following receipt of notification
of non-compliance.  If at the expiration of the six-month cure
period, the company's share price and average share price over
the preceding 30 trading days do not exceed US$1, the NYSE will
commence suspension and delisting proceedings.

W Holding Company, Inc. (NYSE: WHI) -- http://www.wholding.com.  
-- is the financial holding company for Westernbank Puerto Rico,
the second-largest commercial bank in Puerto Rico, based on
total assets, operating through 56 full-fledged branches,
including 20 Expresso of Westernbank branches), including 33 in
the southwestern region of Puerto Rico, 7 in the northeastern
region, 14 in the San Juan Metropolitan area and 2 in the
eastern region of Puerto Rico, and a fully functional banking
site on the Internet.  W Holding also owns Westernbank Insurance
Corp., a general insurance agent placing property, casualty,
life and disability insurance, whose results of operations and
financial condition are reported on a consolidated basis.



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

HINDU CREDIT: Court Allows Gov't to Take Over Firm
--------------------------------------------------
Francis Joseph at The Trinidad Guardian reports that the High
Court of Trinidad and Tobago has granted the government full
control of Hindu Credit Union Co-Operative Society Limited, a
company at Main Road, Chaguanas.

The Guardian relates that Charles Mitchell, the Commissioner for
Co-Operative Development, had asked Justice Nolan Bereaux in the
Port-of-Spain High Court for the intervention of Hindu Credit.  
The company has been experiencing financial problems over the
past months.  It has failed to repay depositors their money
despite requests from lawyers.

The report says  that in June 2008, chartered accountants Ernst
and Young began inspecting Hindu Credit's books, accounts, and
records after a public outcry and calls for an internal audit in
accordance with the Co-Operative Societies Act.  On July 17,
2008, Ernst and Young employees were prohibited from entering
Hindu Credit. The company remained closed for days.  Mr.
Mitchell then intervened on behalf of the thousands of deposits
of Hindu Credit, which has about
US$5 billion in assets.  

The Guardian notes that agents of the Commissioner of Co-
Operative Development started to take over Hindu Credit after
securing court authorization.  Chartered accountants RD
Rampersad and Co. was appointed the provisional liquidator to:

   -- to take over and manage Hindu Credit's affairs and  
      investments;

   -- to ascertain, take possession and protect the assets;

   -- to locate, secure and take possession of all accounts,
      books, records, securities and other papers;

   -- to exercise such powers to let the Commissioner of Co-
      Operative Development to conduct an inquiry through Ernst
      and Young;

   -- to appoint an attorney to assist the liquidator; and

   -- to defend any action, suit, or proceeding brought against
      Hindu Credit.

According to the report, the court also issued a mandatory order
for Hindu Credit's board of directors and staff to disclose to
the liquidator the identity and location of the company's assets
in and outside Trinidad and Tobago.  The court order allows the
liquidator to take possession of the assets.

The Guardian states that Hindu Credit has been prohibited to
dispose its assets in an outside the country.  The court ordered
the company to allow Ernst and Young to enter its premises to
peruse its books, accounts, records, and computers for the
completion of the statutory inquiry.



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

PETROZUATA FINANCE: Moody's Lowers US$755 Mil. Debt Rating to B3
----------------------------------------------------------------
Moody's Investors Service has downgraded the rating on
Petrozuata Finance Inc.'s US$755 million in bonds outstanding to
B3 from B2.  The rating remains under review for possible
further downgrade.  The downgrade follows the announcement by
Petroleos de Venezuela (PDVSA, rated B1), the Venezuelan state-
owned oil company and owner of Petrozuata, that it has reached
agreement with holders of 77% of the Petrozuata's bonds to
tender for their bonds at a price equal to par plus one-third of
the early redemption premium specified in the indenture.

The offer will be accompanied by a consent solicitation
requesting bondholder approval of amendments to the indenture
and other related financing documents which require the approval
of a minimum of two-thirds of bondholders to take effect.  Among
other changes, the amendments are expected to eliminate all
restrictive covenants, events of default other than payment
defaults, and the trustee-administered waterfall of accounts,
and release all of bondholders' collateral and security
interests.  Holders of over 77% of the debt have entered into a
Lock-Up Agreement with Petroleos de Venezuela SA, a.k.a. PDVSA,
whereby they have agreed to accept the tender offer and the
proposed terms of the consent solicitation in principle.  The
tender offer is expected to be consummated within approximately
two months, but in any event no longer than 90 days after the
Lock-up Agreement takes effect.

Moody's recognizes that the terms of the tender offer have been
negotiated between PDVSA on behalf of Petrozuata and holders of
a large majority of the debt and that remaining bondholders will
not be forced to accept it.  In Moody's opinion, however, the
expected terms of the consent solicitation do not leave any
bondholders who may be unhappy with the tender offer a
reasonable alternative.  Despite the fact that bondholders will
receive in excess of par, in Moody's opinion the tender offer
will represent a distressed exchange in light of its terms and
the circumstances surrounding it.  According to our definition,
this constitutes an event of default though it may not have been
considered so under the terms of the indenture itself.  The
review will consider the implications of the proposed amendments
for the rating of any bonds not tendered. If the amendments are
implemented as currently proposed, the security of any remaining
bonds will be materially impaired.

Petrozuata is the last of four heavy oil projects located in
Venzuela's Orinoco Basin rated by Moody's.  All four projects
have been nationalized by the Venezuelan government.  Prior to
its nationalization, Petrozuata was 50.1% owned by Conoco
Phillips and 49.9% owned by PDVSA.  The debt ratings on Cerro
Negro, Hamaca, and Sincor, the other three projects, have all
been withdrawn.  The debt of all three projects was either
repaid or restructured following negotiations with lenders.
However, the tender offer for Cerro Negro's debt, which
contained terms very similar to those of Petrozuata's tender
offer, was also deemed to constitute a distressed exchange by
Moody's.


RESIDENTIAL CAPITAL: Appoints Thomas Marano as Chairman and CEO
---------------------------------------------------------------
GMAC Financial Services disclosed that Thomas Marano, non-
executive chairman of Residential Capital LLC is named ResCap
chairman and chief executive officer, effective immediately.  He
succeeds ResCap's CEO Jim Jones, who has elected to leave the
company.  

Mr. Marano will remain a Cerberus Capital Management L.P.
employee and be dedicated to ResCap to fulfill this role.  He
will report to GMAC CEO Alvaro de Molina.

“[Mr. Marano] brings extensive experience in the mortgage and
capital markets to ResCap at this critically important time for
the company,” Mr. de Molina said.  “Under [Mr. Marano's]
leadership, ResCap will continue to execute our ongoing plan to
streamline the business and focus on core mortgage lending and
servicing businesses in the U.S. and select international
markets.”

Mr. Marano was appointed to the ResCap board as non-executive
chairman in April 2008, at which time he also joined Cerberus as
a managing director.  Prior to this, Mr. Marano spent more than
25 years at Bear Stearns & Co., Inc., recently heading the
worldwide operations of mortgage trading and originations and
serving on the company's board of directors.

Additional management changes were disclosed and effective
immediately to further strengthen the ResCap leadership team.

   -- Joshua Weintraub, Cerberus employee and executive
      committee member of the ResCap board, will assume the role
      of ResCap vice chairman.

   -- Tony Renzi, chief operating officer of ResCap's U.S.
      Residential Funding Group, is named to the newly created
      position of ResCap chief operating officer.

   -- Jerry Lombardo, a Cerberus Operations employee, will join
      the company and lead the management of the Treasury
      function as treasury executive, succeeding Treasurer Bill
      Casey who has left the company.

   -- Thomas W. Neary has joined ResCap from Wells Fargo &
      Company as executive vice president and senior managing
      director of Capital Markets.

“These management moves will further bolster the leadership team
at ResCap and provide a diverse set of talents and skill sets as
we work to stabilize the company and weather the near-term
market challenges,” Mr. de Molina said.  “As we make this
transition, we thank [Mr. Jones] for his leadership at ResCap in
executing a major restructuring of the business and managing
efforts to reduce risk and preserve liquidity.”

In June, ResCap disclosed a comprehensive series of
transactions, which included extending unsecured debt
maturities, renewing critical funding lines and gaining
additional liquidity support from GMAC and its shareholders.

                         About GMAC LLC

GMAC LLC -- http://www.gmacfs.com/-- formerly General Motors          
Acceptance Corporation, is a global, diversified financial
services company that operates in approximately 40 countries in
automotive finance, real estate finance, insurance and other
commercial businesses.  GMAC was established in 1919 and employs
approximately 26,700 people worldwide.

GMAC Financial Services is in turn wholly owned by GMAC LLC.

Cerberus Capital Management LP led a group of investors that
bought a 51% stake in GMAC LLC from General Motors Corp. in
December 2006 for US$14 billion.

                          About ResCap

Headquartered in Minneapolis, Minnesota, Residential Capital LLC
-- http://www.rescapholdings.com/-- is the home mortgage unit
of GMAC Financial Services, which is in turn wholly owned by
GMAC LLC.  Its Latin American operations are located in
Argentina, Brazil, Chile, Colombia, Mexico and Venezuela.

                            *     *     *

As disclosed in the Troubled Company Reporter on July 18, 2008,
Standard & Poor's Ratings Services has raised its counterparty
credit rating on Residential Capital LLC to 'CCC+/C' from 'SD'
(selective default).

The TCR-LA reported on June 19, 2008, that Moody's Investors
Service assigned ratings of Caa2 and Caa3 to Residential Capital
LLC (ResCap)'s senior secured and junior secured bonds,
respectively.  These bonds were issued as part of ResCap's bond
exchange which was completed on June 4, 2008.  The ratings of
ResCap's unsecured senior debt and unsecured subordinate debt
were affirmed at Ca and C, respectively.  Ratings are under
review for downgrade.  Separately the senior unsecured rating of
GMAC LLC was downgraded to B3 from B2 with a negative outlook.

As disclosed in the Troubled Company Reporter-Latin America on
June 10, 2008, Fitch Ratings has downgraded Residential Capital
LLC's long- and short-term Issuer Default Ratings to 'D' from
'C' following completion of the company's distressed debt
exchange.  Fitch has also removed ResCap from Rating Watch
Negative, where it was originally placed on May 2.


* BOND PRICING: For the Week June 21 - June 25, 2008
----------------------------------------------------

  Issuer               Coupon    Maturity   Currency    Price
  ------               ------    --------   --------    -----

  ARGENTINA
  ---------
Alto Palermo SA          7.875     5/11/17     USD      68.12
Argnt-Bocon PR11         2.000     12/3/10     ARS      52.07
Argnt-Bocon PR13         2.000     3/15/24     ARS      54.69
Arg Boden                2.000     9/30/08     ARS      15.37
Autopistas Del Sol      11.500     5/23/17     USD      50.58
Bonar Arg $ V           10.500     6/12/12     ARS      69.64
Arg Boden                7.000     10/3/15     USD      69.02
Bonar X                  7.000     4/17/17     USD      69.54
Argent-EURDIS            7.820    12/31/33     EUR      61.47
Argent-Par               0.630    12/31/38     ARS      34.61
Banco Hipot SA           9.750     4/27/16     USD      69.75
Banco Macro SA           9.750    12/18/36     USD      64.00
Banco Macro SA           9.750    12/18/36     USD      64.31
Buenos-EURDIS            8.500     4/15/17     EUR      62.00
Buenos-$DIS              9.250     4/15/17     USD      69.75
Buenos Aire Prov         9.375     9/14/18     USD      64.25
Buenos Aire Prov         9.625     4/18/28     USD      60.00
Mendoza Province         5.500     9/04/18     USD      65.00

  BERMUDA
  -------
XL Capital Ltd           6.500    12/31/49     USD      55.79

  BRAZIL
  ------
CESP                     9.750     1/15/15     BRL      67.57
Gol Finance              7.500     4/03/17     USD      69.84
Gol Finance              7.500     4/03/17     USD      66.50
Gol Finance              8.750     4/29/49     USD      67.00
Tam Capital Inc.         7.375     4/25/17     USD      73.22
Tam Capital Inc.         7.375     4/25/17     USD      71.37

  CAYMAN ISLANDS
  --------------
Mazarin Fdg Ltd          0.100     9/20/68     EUR       3.97
Mazarin Fdg Ltd          0.250     9/20/68     USD       4.31
Mazarin Fdg Ltd          0.250     9/20/68     USD       4.31
Mazarin Fdg Ltd          0.250     9/20/68     USD       4.31
Mazarin Fdg Ltd          0.250     9/20/68     USD       4.31
Mazarin Fdg Ltd          0.250     9/20/68     USD       4.31
Mazarin Fdg Ltd          0.250     9/20/68     USD       4.31
Mazarin Fdg Ltd          0.510     9/20/68     USD      10.41
Mazarin Fdg Ltd          0.630     9/20/68     GBP      12.76
Mazarin Fdg Ltd          1.440     9/20/68     GBP      25.27
Shinsei Fin Caym         6.418     1/29/49     USD      65.34
Shinsei Finance          7.160     7/29/49     USD      68.43
Vontobel Cayman          9.900     7/25/08     CHF      48.60

  COLUMBIA
  --------
Colombia Tes             5.250     3/20/13     COP      74.40

  JAMAICA
  -------
Jamaica Govt LRS         7.500     10/6/12     JMD      72.10
Jamaica Govt LRS        12.750     6/29/22     JMD      70.46
Jamaica Govt LRS        12.750     6/29/22     JMD      70.48
Jamaica Govt LRS        12.850     5/31/22     JMD      71.01
Jamaica Govt LRS        13.325    12/15/21     JMD      74.06
Jamaica Govt            13.375     4/27/32     JMD      69.16

  PUERTO RICO
  -----------
Puerto Rico Cons.        5.900     4/15/34     USD      45.00
Puerto Rico Cons.        6.500     4/01/16     USD      74.25

  VENEZUELA
  ---------
Petroleos de Ven         5.250     4/12/17     USD      66.85
Petroleos de Ven         5.375     4/12/27     USD      56.83
Petroleos de Ven         5.500     4/12/37     USD      55.65
Venezuela                6.000    12/09/20     USD      69.50
Venezuela                7.000     3/31/38     USD      68.10



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

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.


           * * * End of Transmission * * *