TCRLA_Public/080811.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, August 11, 2008, Vol. 9, No. 158

                             Headlines


A R G E N T I N A

BANCO HIPOTECARIO: Books ARS9.5MM Net Income in First Half 2008
BANCO MACRO: Reports ARS161 Million Net Income in 2nd Qtr. 2008
DANA HOLDING: Wants to Terminate Supply Agreement with Chrysler
DANA HOLDINGS: Chrysler Output May Suffer If Supply Pact Ends
EMPRESA DISTRIBUIDORA: Moves 2nd Quarter 2008 Release to Aug. 11


B E R M U D A

RAM HOLDINGS: Moody's Drops Preference Shares Rating to Ba1


B R A Z I L

BANCO BRADESCO: Non-Performing Loans Ratio Drops to 3.5% in June
BR MALLS: EBITDA Increases 96.6% to BRL54.1 Mln. in 2nd Quarter
CAMARGO CORREA: To Build US$3.2 Billion Hydropower Dam in Africa
ENERGISA SA: Reports BRL114MM Net Income in First Half 2008
GERDAU SA: Will Pay Dividends for Second Quarter 2008

GOL LINHAS: Moody's Cuts Corporate Family Rating to B1 From Ba3
GOL LINHAS: Will Suspend Quarterly Dividend Payment for 2008
TAM SA: To Add Rio de Janeiro-Miami Flight Schedule on Sept. 19
TAM SA: To Launch Direct Brasilia-Buenos Aires Flight Route
UNIAO DE BANCOS: Net Income Rises to BRL756 Million in 2Q 2008


C A Y M A N  I S L A N D S

BRIDGE INVESTMENT: Sets Final Shareholders Meeting for Aug. 12
NANTES LIMITED: Will Hold Final Shareholders Meeting on Aug. 12
NATIXIS INVESTMENT: Proofs of Claim Filing Deadline Is Aug. 13
QPM QUORUM: Will Hold Final Shareholders Meeting on Aug. 13


D O M I N I C A N   R E P U B L I C

BANCO INTERCONTINENTAL: Gov't Firm on Mejia's Fraud Involvement
JETBLUE AIRWAYS: To Start Dominican Republic-Puerto Rico Service


J A M A I C A

AIR JAMAICA: Kingston & St. Andrew Corp. to Sue Firm Over Debt
CABLE & WIRELESS: Fund Trustees to Sell 4 Jamaican Properties
WORLD WISE: Says Cease & Desist Order Won't Affect Operations


M E X I C O

HERCULES OFFSHORE: CEO to Present at Oil and Gas Conference
NORTEL NETWORK: Posts US$251 Mln Net Loss for First Half 2008

* MEXICO: S&P Issues Industry Credit Outlook on Universities


P U E R T O  R I C O

NEWPORT BONDING: A.M. Best Shifts B+ FS Rating Outlook to Neg.
REXVILLE OPEN: Case Summary & 20 Largest Unsecured Creditors


V E N E Z U E L A

CHRYSLER LLC: Dana Wants to End Supply Agreement by December 31
CHRYSLER LLC: Production May Suffer if Dana Severs Contract
CHRYSLER LLC: In Talks with Nissan on Midsize Cars Manufacturing
CHRYSLER LLC: S&P Cuts Ratings to CCC+ on Funding Constraints
CITGO PETROLEUM: Edouard Storm No Impact on Gulf Coast Plants

HARVEST NATURAL: Reports US$0.8 Mln. Net Income in 2nd Quarter
PETROLEOS DE VENEZUELA: Fails to Meet 198 Drill Goal for 2008
SIDERURGICA DEL TURBIO: S&P Affirms B Rating on US$100MM Notes

* BOND PRICING: For the Week August 11 - August 15, 2008


                          - - - - -


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

BANCO HIPOTECARIO: Books ARS9.5MM Net Income in First Half 2008
---------------------------------------------------------------
Banco Hipotecario SA has reported its Second Quarter and First
Semester 2008 results.

                    Highlights:

   -- First half results were ARS9.5 million, compared to
      ARS69.1 million of the second semester of 2007.  Net income
      was adversely influenced by the effect of certain of Banco
      Hipotecario's investments linked to the value of the bank's
      shares (total return swaps), that in the first half of 2008
      negatively impacted net income in ARS44.2 million.

   -- Core business results continued the positive trend,
      financial income from loans grew 11.9% in the quarter,
      18.3% in the semester and 63.9% year over year.

   -- Net fees from services for the quarter were remained stable
      during the quarter and were 56% higher than in second
      quarter 2007.

   -- Lending activity grew 6.3% in the quarter and 25.3% year
      over year.

   -- Deposits grew 16% in the quarter, 44.5% in the semester,
      and 119.6% year over year.

   -- Sound equity ratio of 25.4%.

   -- Banco Hipotecario ranks tenth in terms of assets, fourth in
      terms of household financing and third in terms of net
      worth in the local financial system.

Headquartered in Buenos Aires, Argentina, Banco Hipotecario SA
-- http://www.hipotecario.com.ar-- is an Argentinean commercial
bank and specialty mortgage provider.  Banco Hipotecario's
business lines include credit lines for consumers, short-term
financing for exporting companies, factoring services, deposit
accounts, purchase and sale of foreign currency, custodial
services, safe deposit box rentals, payroll bank accounts,
securities brokerage services and sales of insurance through
authorized agents and companies.  The bank launched this new
series of products and services as an alternative to its
mortgage loans business, which as a result of the economic
crisis, came to a temporary halt in 2002.  In late 2003, and in
the light of the favorable trends shown by economic variables,
Banco Hipotecario started to offer new housing mortgage loans.
The bank's subsidiaries consist of BHN Sociedad de Inversion
Sociedad Anonima.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 29, 2008, Standard & Poor's Ratings Services revised its
outlook on Banco Hipotecario to negative from stable.  The long-
term counterparty credit rating is still 'B+', the same as the
sovereign ratings.

In November 2007, Moody's Investors Service assigned a 'Ba1'
global local currency deposit rating to Banco Hipotecario.


BANCO MACRO: Reports ARS161 Million Net Income in 2nd Qtr. 2008
---------------------------------------------------------------
Banco Macro S.A. released its results for the second quarter
period ended June 30, 2008.

                            Summary:

   -- Banco Macro's net income totalled ARS161 million.  This
      result was 40%, or ARS45.7 million, higher than the second
      quarter of 2007's ARS115.3 million, and 6%, or
      ARS9.4 million above first quarter 2008.  The annualized
      second quarter 2008 ROAE and ROAA were 23.6% and 3.1%,
      respectively.

   -- The bank's net financial income was ARS398.6 million,
      increasing 70% year over year and 12% quarter over quarter.
      Banco Macro's operating income of ARS233.6 million jumped
      109% year over year compared to the ARS111.9 million posted
      in the second quarter 2007.

   -- Banco Macro's financing to the private sector showed an
      attractive growth of 47% year over year, or
      ARS3,446 million and 8% quarter over quarter, or
      ARS819 million.  Personal loans, which represent a
      strategic product for the bank, once again led annual
      private loan portfolio growth while overdrafts to Triple
      ?A? companies were the leading products for the second
      quarter 2008.

   -- Total deposits grew 2%, or ARS355 million quarter over
      quarter, totalling ARS14.9 billion and representing 81% of
      the Banco Macro's liabilities.  Quarterly deposit growth
      was led by public sector deposits (16%) while private
      sector deposits remained unchanged.

   -- Banco Macro continued showing a strong solvency ratio, with
      an excess capital of ARS1.66 billion (22.1% capitalization
      ratio).  In addition, the bank's liquid assets remained at
      a high level, reaching 53.6% of total deposits.

   -- The bank's non-performing loans to total loans ratio was
      2.03% and the coverage ratio reached 107.8%.

   -- During second quarter 2008, Banco Macro paid a cash
      dividend of ARS171 million.

   -- In the second quarter 2008, the bank repurchased
      13.6 million shares, according to the Share Buy Back
      Program launched on Jan. 8, 2008.

Headquartered in Buenos Aires, Argentina, Banco Macro (NYSE:
BMA; Buenos Aires: BMA) -- http://www.macro.com.ar/-- had
consolidated assets of ARS11.6 billion (US$3.7 billion) and
consolidated deposits of ARS6 billion (US$2 million) as of
June 2007.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 26, 2007, Fitch Ratings affirmed Banco Macro SA's Foreign
and local currency long-term Issuer Default Ratings at 'B+',
Foreign and local currency short-term IDRs at 'B', and
Individual at 'D'.  Fitch said the rating outlook is stable.


DANA HOLDING: Wants to Terminate Supply Agreement with Chrysler
---------------------------------------------------------------
Dana Holding Corporation asked the Bankruptcy Court for the
Southern District of New York to provide a declaratory judgment
confirming that the existing supply agreement between Dana and
Chrysler LLC will conclude on Dec. 31, 2008.

Dana is seeking to confirm its rights relative to the Settlement
Agreement reached by the two companies in August 2007 and
confirmed by the Bankruptcy Court one month later.  The
requested court action is an attempt to determine Dana's future
course as a supplier to Chrysler.

?Our goal is to establish a mutually rewarding supply agreement
with Chrysler moving forward,? John Devine, Dana executive
chairman, said.  ?However, Dana is prepared to exercise its
right to discontinue supplying Chrysler effective Jan. 1, 2009,
if we continue to be unsuccessful in engaging them to address
this goal in a meaningful way.?

?While we sincerely hope that this will not be the case, we have
informed Chrysler of our intentions in order to provide both
companies with the time to consider their options for ongoing
sourcing of the programs we currently support,? he added.
?While this is an isolated case, it serves to illustrate our
commitment to pursue only market-competitive business
opportunities moving forward.?

Mr. Devine acknowledged that a potential decision to vacate the
Chrysler business could have a substantial impact on select Dana
facilities, but cautioned that any related concerns would be
premature.  He said, ?It's far too early and inappropriate to
speculate on potential outcomes at a facility level.  To be
clear, our focus remains on achieving a market-competitive
agreement with Chrysler moving forward.?

Dana's history of supplying Chrysler dates back more than 70
years and includes supplying four-wheel drive and axle
technologies for the very first Willys MA Jeep(R) produced in
1941.  This relationship continues with Dana's supply of
drivetrain technologies for several Jeep models including the
Wrangler, Liberty, and select versions of the Grand Cherokee;
the Dodge Nitro and Viper vehicles; and select light- and
medium-duty versions of the Dodge Ram pickup truck.

                          About Chrysler LLC

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

                    About Dana Holding Corporation

Based in Toledo, Ohio, Dana Corporation -- http://www.dana.com/
-- designs and manufactures products for every major vehicle
producer in the world, and supplies drivetrain, chassis,
structural, and engine technologies to those companies.  Dana
employs 46,000 people in 28 countries.  Dana is focused on being
an essential partner to automotive, commercial, and off-highway
vehicle customers, which collectively produce more than 60
million vehicles annually.

Dana has facilities in China in the Asia-Pacific, Argentina in
the Latin-American regions and Italy in Europe.

The company and its affiliates filed for chapter 11 protection
on March 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354).  As of
Nov. 30, 2007, the Debtors listedUS$7,131,000,000 in total
assets and US$7,665,000,000 in total debts resulting in a
shareholders' deficit of US$534,000,000.

Corinne Ball, Esq., and Richard H. Engman, Esq., at Jones Day,
in Manhattan and Heather Lennox, Esq., Jeffrey B. Ellman, Esq.,
Carl E. Black, Esq., and Ryan T. Routh, Esq., at Jones Day in
Cleveland, Ohio, represented the Debtors.  Henry S. Miller at
Miller Buckfire & Co., LLC, served as the Debtors' financial
advisor and investment banker.  Ted Stenger from AlixPartners
served as Dana's Chief Restructuring Officer.

Thomas Moers Mayer, Esq., at Kramer Levin Naftalis & Frankel
LLP, represented the Official Committee of Unsecured Creditors.
Fried, Frank, Harris, Shriver & Jacobson, LLP served as counsel
to the Official Committee of Equity Security Holders.  Stahl
Cowen Crowley, LLC served as counsel to the Official Committee
of Non-Union Retirees.

The Debtors filed their Joint Plan of Reorganization on Aug. 31,
2007.  On Oct. 23, 2007, the Court approved the adequacy of the
Disclosure Statement explaining their Plan.  Judge Burton
Lifland of the U.S. Bankruptcy Court for the Southern District
of New York entered an order confirming the Third Amended Joint
Plan of Reorganization of the Debtors on Dec. 26, 2007.

The Debtors' Third Amended Joint Plan of Reorganization was
deemed effective as of Jan. 31, 2008.  Dana Corp., starting on
the Plan Effective Date, operated as Dana Holding Corporation.

(Dana Corporation Bankruptcy News, Issue No. 74; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or
215/945-7000)

                           *     *     *

As reported in the Troubled Company Reporter on Feb. 12, 2008,
Standard & Poor's Ratings Services assigned its 'BB-' corporate
credit rating to Dana Holding Corp. following the company's
emergence from Chapter 11 on Feb. 1, 2008.  The outlook is
negative.  At the same time, Standard & Poor's assigned Dana's
US$650 million asset-based loan revolving credit facility due
2013 a 'BB+' rating (two notches higher than the corporate
credit rating) with a recovery rating of '1', indicating an
expectation of very high recovery in the event of a payment
default.  In addition, S&P assigned a 'BB' bank loan rating to
Dana's US$1.43 billion senior secured term loan with a recovery
rating of '2', indicating an expectation of average recovery.

The TCR reported on Feb. 18, 2008, that Moody's Investors
Service affirmed the ratings of the reorganized Dana Holding
Corporation as: Corporate Family Rating, B1; Probability of
Default Rating, B1.  In a related action, Moody's affirmed the
Ba3 rating on the senior secured term loan and raised the rating
on the senior secured asset based revolving credit facility to
Ba2 from Ba3.  The outlook is stable.  The financing for the
company's emergence from Chapter 11 bankruptcy protection has
been funded in line with the structure originally rated by
Moody's in a press release dated Jan. 7, 2008.


DANA HOLDINGS: Chrysler Output May Suffer If Supply Pact Ends
-------------------------------------------------------------
Mike Ramsey and Alex Ortolani at Bloomberg News says Chrysler
LLC risks a possible production shutdown should supplier Dana
Holdings Inc. win a lawsuit to end a money-losing contract.

Dana has asked the Hon. Judge Burton Lifland of the U.S.
Bankruptcy Court for the Southern District of New York to
confirm that the parties' supply agreement ends Dec. 31, 2008.
Under the 2007 deal, Dana became the exclusive supplier of
driveshafts, axles and other parts to Chrysler until the end of
2008.  Because Chrysler refused to extend the deal into 2009,
Dana said, any orders beyond 2008 are ?unenforceable?.

Dana, Bloomberg relates, said rising steel prices mean it's
losing US$75 million annually on its parts agreement for six
Chrysler models.

Bloomberg says that, according to the complaint, Chrysler has
told Dana it doesn't have the right to end the supply agreement.

According to Bloomberg, Dana said it supplies parts to
Chrysler's Jeep Liberty, Wrangler and some Grand Cherokee sport-
utility vehicles, as well the Dodge Nitro SUV, Viper sports car
and some Dodge Ram pickups.

Dana in a regulatory filing with the Securities and Exchange
Commission said orders from Chrysler make up 3% of its total
revenues for the first half of 2008.  Ford is Dana's single
largest customer, comprising 19% of revenues for the first half.
Its other largest customers are General Motors, 6% of revenues;
and Toyota, 5%.

James Gillette, a consultant with CSM Worldwide Inc. in Grand
Rapids, Michigan, told Bloomberg Chrysler would have few options
to replace Dana's axles and driveshafts.  ?It puts an enormous
amount of pressure on Chrysler,? Mr. Gillette told Bloomberg in
an interview.  ?It's not like there are 200 other suppliers they
could go to. Dana does have some level of bargaining power.?

According to Bloomberg, Dana Chairman John Devine said on a
conference call with analysts that the partsmaker is ?not out
here to pick a fight with Chrysler?.  Mr. Devine explained the
Chrysler business has ?a significant loss and we need to address
that?.

Bloomberg relates that Kevin Frazier, a spokesman for Chrysler,
said Chrysler's view is that ?while the agreement may end on
Jan. 1, 2009, the underlying purchase orders were intended to
continue in accordance with their terms?.

Mr. Gillette told Bloomberg that Magna International Inc.,
American Axle & Manufacturing Holdings Inc. and Tower Automotive
LLC are capable of stepping in for Dana as a Chrysler supplier.
Cerberus Capital Management LP also owns a significant stake in
Tower.

                           About Chrysler

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

Daimler AG owns roughly 19% stake in Chrysler.  Cerberus Capital
Management LP acquired about 81% of Chrysler in August 2007 for
aboutUS$7.4 billion.

                          About DANA

Based in Toledo, Ohio, Dana Corporation -- http://www.dana.com/
-- designs and manufactures products for every major vehicle
producer in the world, and supplies drivetrain, chassis,
structural, and engine technologies to those companies.  Dana
employs 46,000 people in 28 countries.  Dana is focused on being
an essential partner to automotive, commercial, and off-highway
vehicle customers, which collectively produce more than
60 million vehicles annually.

Dana has facilities in China in the Asia-Pacific, Argentina in
the Latin-American regions and Italy in Europe.

The company and its affiliates filed for chapter 11 protection
on March 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354).  As of
Nov. 30, 2007, the Debtors listed US$7,131,000,000 in total
assets and US$7,665,000,000 in total debts resulting in a total
shareholders' deficit of US$534,000,000.

Corinne Ball, Esq., and Richard H. Engman, Esq., at Jones Day,
in Manhattan and Heather Lennox, Esq., Jeffrey B. Ellman, Esq.,
Carl E. Black, Esq., and Ryan T. Routh, Esq., at Jones Day in
Cleveland, Ohio, represent the Debtors.  Henry S. Miller at
Miller Buckfire & Co., LLC, served as the Debtors' financial
advisor and investment banker.  Ted Stenger from AlixPartners
served as Dana's Chief Restructuring Officer.

Thomas Moers Mayer, Esq., at Kramer Levin Naftalis & Frankel
LLP, represens the Official Committee of Unsecured Creditors.
Fried, Frank, Harris, Shriver & Jacobson, LLP served as counsel
to the Official Committee of Equity Security Holders.  Stahl
Cowen Crowley, LLC served as counsel to the Official Committee
of Non-Union Retirees.

The Debtors filed their Joint Plan of Reorganization on
Aug. 31, 2007.  On Oct. 23, 2007, the Court approved the
adequacy of the Disclosure Statement explaining their Plan.
Judge Burton Lifland of the U.S. Bankruptcy Court for the
Southern District of New York entered an order confirming the
Third Amended Joint Plan of Reorganization of the Debtors on
Dec. 26, 2007.

The Debtors' Third Amended Joint Plan of Reorganization was
deemed effective as of Jan. 31, 2008.  Dana Corp., starting on
the Plan Effective Date, operated as Dana Holding Corporation.

(Dana Corporation Bankruptcy News, Issue No. 79; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or
215/945-7000)

                          *     *     *

As reported in the Troubled Company Reporter on Feb. 12, 2008,
Standard & Poor's Ratings Services assigned its 'BB-' corporate
credit rating to Dana Holding Corp. following the company's
emergence from Chapter 11 on Feb. 1, 2008.  The outlook is
negative.  At the same time, Standard & Poor's assigned Dana's
US$650 million asset-based loan revolving credit facility due
2013 a 'BB+' rating (two notches higher than the corporate
credit rating) with a recovery rating of '1', indicating an
expectation of very high recovery in the event of a payment
default.  In addition, S&P assigned a 'BB' bank loan rating to
Dana's US$1.43 billion senior secured term loan with a recovery
rating of '2', indicating an expectation of average recovery.

The TCR reported on Feb. 18, 2008, that Moody's Investors
Service affirmed the ratings of the reorganized Dana Holding
Corporation as: Corporate Family Rating, B1; Probability of
Default Rating, B1.  In a related action, Moody's affirmed the
Ba3 rating on the senior secured term loan and raised the rating
on the senior secured asset based revolving credit facility to
Ba2 from Ba3.  The outlook is stable.  The financing for the
company's emergence from Chapter 11 bankruptcy protection has
been funded in line with the structure originally rated by
Moody's in a press release dated Jan. 7, 2008.


EMPRESA DISTRIBUIDORA: Moves 2nd Quarter 2008 Release to Aug. 11
----------------------------------------------------------------
Empresa Distribuidora y Comercializadora Norte S.A. a.k.a.
Edenor, disclosed these webcast alert:

   What:     Edenor S.A. Second Quarter 2008 Earnings Conference
             Call

   When:     Aug. 11, 2008 at 10:00 a.m. EDT or 11:00 a.m.
             Argentina

   Where:    http://www.videonewswire.com/event.asp?id=50649

   How: Log on to the web at the address above.

   Contact:

           Ivana Del Rossi
           Tel. Number: (54-11) 4346-5127

                        or

            Veronica Gysin
            Tel. Number: (54-11) 4346-5231

The conference call will be archived at:

     http://www.videonewswire.com/event.asp?id=50649

Based in Buenos Aires, Argentina, Empresa Distribuidora y
Comercializadora Norte S.A. aka Edenor is the largest
electricity distribution company in Argentina in terms of number
of customers and volume of energy sold.  The company commenced
operations in 1992, as a result of the privatization of the
previously state-owned SEGBA.  At that time, it was granted a
95-year concession to distribute electricity on an exclusive
basis in its concession area, the greater Buenos Aires
metropolitan area and northern portion of the City of Buenos
Aires.  EASA, which is controlled by Dolphin Energia S.A., is
Edenor's holding company.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 1, 2007, Standard and Poor's Argentina assigned its 'B'
Rating on US$220 Million Bond issued by Empresa Distribuidora y
Comercializadora Norte S.A with annual fixed interest rate of
10.5% Notes due 2017.  S&P said the outlook is positive.



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

RAM HOLDINGS: Moody's Drops Preference Shares Rating to Ba1
-----------------------------------------------------------
Moody's Investors Service has downgraded to A3, from Aa3, the
insurance financial strength rating of RAM Reinsurance Company
Ltd.  In the same rating action, Moody's also downgraded the
rating of the preference shares of RAM Holdings, Ltd., to Ba1
and the rating of Blue Water Trust I, a related contingent
capital facility, to Baa3.  This rating action reflects Moody's
views on RAM Re's overall credit profile in the current
environment, including increased expected and stress loss
projections among its mortgage-related risk exposures relative
to previous estimates and significantly constrained new business
prospects.

The significant reduction in overall market volumes for
financial guaranty enhancement has resulted in substantially
lower underwriting opportunities for most monoline reinsurance
companies.  Moody's notes that RAM Re has treaty relationships
with all of the primary financial guarantors, but only two of
RAM Re's primary clients have been actively writing business
during 2008.  According to Moody's, future demand for
reinsurance would likely be influenced by:

    * a recovery in bond insurance underwriting volumes;

    * primary companies' underwriting focus and risk tolerance;
      and

    * the need for primary guarantors to cede risk to improve
      their capital adequacy positions.

However, Moody's also commented that the recent deterioration in
the credit profile of several monoline financial guaranty
reinsurers could result in the primary guarantors placing less
value on the benefits of reinsurance.

Moody's has re-estimated expected and stress loss projections on
RAM Re's insured portfolio, focusing on the company's mortgage-
related exposures as well as other sectors of the portfolio
potentially vulnerable to deterioration in the current
environment.  Based on Moody's revised assessment of the risks
in RAM Re's portfolio, estimated stress-case losses would
approximate US$708 million at the Aa3 threshold and US$621
million at the A3 threshold.  This compares to Moody's estimate
of RAM Re's claims paying resources of approximately US$870
million at the Aa3 level and US$833 million at the A3 level.

In the estimate of RAM Re's capitalization at the A3 level,
Moody's has incorporated a modest increase in ceding commissions
paid to the primaries, consistent with the provisions of the
various treaty arrangements.  Relative to Moody's 1.3x ?target?
level for capital adequacy, RAM Re is currently US$50 million
below the Aa3 target level and is US$26 million above the A3
target level.

Moody's notes that, beyond RAM Re's affected mortgage related
exposures, portfolio risks appear to be well contained as
reflected in its low risk municipal portfolio and structured
risks with high underlying ratings.  Most structured finance
sectors outside of residential mortgage products are performing
well.  While portfolio losses could increase in a sharp economic
downturn, premium accretion, investment earnings and portfolio
amortization should help to offset any resulting impact on
capital adequacy.  Moody's noted, however, that downward rating
pressure could occur if RAM Re's capital cushion were to be
eroded due to increases in projected loss estimates on the
insured portfolio.

Moody's will continue to evaluate RAM Re's ratings in the
context of the future performance of the company's mortgage
related exposures relative to expectations and resulting capital
adequacy levels.  Moody's will also monitor other developments
at the company including any strategic options pursued by
management in response to the weak demand conditions.  RAM Re,
as a Bermuda domiciled reinsurer, maintains Regulatory 114
trusts in favor of the primary financial guaranty ceding
companies, which to some extent reduces the risk of capital
extraction from the operating company.

Moody's stated that the ratings review will focus on:

   * the robustness of RAM Re's franchise and prospective
     business opportunities given its weaker credit standing;

   * the extent to which triggers and covenants in reinsurance
     treaty arrangements are enforced by the primary ceding
     companies; and

   * the strategic options that would be pursued by the company
     if the weak new business environment persists.

These ratings have been downgraded:

RAM Reinsurance Company Ltd.

   -- insurance financial strength to A3 from Aa3;

RAM Holdings Ltd.

   -- preference shares to Ba1 from Baa1; and

Blue Water Trust I

   -- contingent capital securities to Baa3 from at A2.

RAM Holdings, Ltd. is a Bermuda-based holding company.  Its
operating subsidiary RAM Reinsurance Company Ltd. provides
financial guaranty reinsurance for U.S. and international public
finance and structured finance transactions.



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

BANCO BRADESCO: Non-Performing Loans Ratio Drops to 3.5% in June
----------------------------------------------------------------
Business News Americas reports that Banco Bradesco's non-
performing loans ratio dropped to 3.5% at the end of June 2008
from 3.7% at June 2007.

According to the report, market relations department director,
Jean Philippe Leroy, said the bank believes it has put enough
measures in place to protect itself against possible increases
in non-performing loans.

?It's fair to say we are always concerned to have the best asset
quality we can,? Mr. Leroy said.

BNAmericas relates that of specific interest to analysts were
the bank's payroll deductible loans, which hit BRL6.65 billion
(US$4.26 billion) at end-June, only 5.4% higher than at end-
March.  The line has increased more rapidly in previous quarters
and is up 48.1% from end-June 2007, the report notes.

Meanwhile, BNAmericas says the bank's capital adequacy ratio was
12.9% at end-June, down from 16.1% at the same time in 2007.

However, the report says, Mr. Leroy confirmed Bradesco's
confidence in its reserve levels.

?We consider the capitalization ratio of Bradesco extremely
sound.  If we look at Basel II it even increases and if on top
of that we consider the level of the central bank, it goes to
17%,? Mr. Leroy was quoted by BNAmericas as saying.  ?This is
much more than enough, considering the minimum ratio in Brazil
is 11%.  So we are totally comfortable.?

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

                          *     *     *

In February 2008, Moody's Investors Service assigned a Ba2
foreign currency deposit rating to Banco Bradesco S.A.


BR MALLS: EBITDA Increases 96.6% to BRL54.1 Mln. in 2nd Quarter
---------------------------------------------------------------
BR Malls Participacoes S.A. has released its results for the
Second Quarter of 2008.

                Financial and Operating Highlights
                  for the Second Quarter of 2008

   -- Gross revenues totaled BRL78.8 million in the second
      quarter of 2008, an increase of 79.8% over the second
      quarter of 2007, and BRL150.6 million year-to-date, an
      increase of 96.1% over the first six months of 2007.  The
      original malls of the portfolio (malls in the portfolio
      since Jan. 1, 2007) recorded organic gross revenue growth
      of 16.8% and 17.4% in the second quarter 2008 and in the
      first half of 2008 respectively;

   -- Consolidated NOI totaled BRL65.5 million in the second
      quarter 2008, 102.2% higher than in the second quarter
      2007, and BRL121.5 million in the first half 2008, a growth
      of 118.9% year-on-year.  The NOI margin also improved from
      86.2% in the second quarter 2007 to 90.7% in the second
      quarter 2008, and from 84.6% in the first half 2007 to
      88.4% in the first half 2008;

   -- Also in the second quarter 2008, same-property NOI
      increased 20.9% year-on-year.  This substantial increase in
      same-property NOI was primarily fueled by growth in the
      acquired malls, which grew 32.1% over the second quarter
      2007.  In the first half 2008 same-property NOI went up
      24.1%, year-on-year;

   -- EBITDA reached BRL54.1 million in the second quarter 2008,
      an increase of 96.6% over the second quarter 2007 and the
      EBITDA margin also improved substantially, widening from
      66.8% to 74.9%.  Year-to-date EBITDA totaled BRL101.5
      million, representing growth of 103.4% over the first half
      2007, while EBITDA margin increased from 69.1% to 73.1%;

   -- Funds from Operations (FFO) reached BRL48.4 million in
      second quarter 2008, an increase of 46% over second quarter
      2007, and BRL67.8 million in the first half 2008, an
      increase of 52.4% year-on-year.  FFO margins reached 67%
      and 48.9% for the second quarter 2008 and first half 2008
      respectively;

   -- In the second quarter 2008, BR Malls acquired interest in
      six malls, including the acquisition of 100% of Shopping
      Campinas, which jointly increased the company's owned GLA
      by 37,600 square meters.  The first five acquisitions were
      of additional ownership interest in malls from the
      company's existing portfolio;

   -- The company's Key Operating Indicators remain strong.
      Consolidated SSS and SSR grew 10.8% and 9.5% year-on-year,
      respectively, in second quarter 2008 and 10.7% and 8.9%,
      year-on-year, respectively, for the first half 2008;

   -- The Late Payments index (30 days) continues to decrease,
      reaching 4.7% at the end of June 2008, versus 11.1% at the
      end of June 2007;

During the quarter, BR Malls negotiated 352 leasing contracts,
including Greenfield projects and expansions corresponding to
approximately 50,298 square meters of GLA.  In the first half
2008, the company negotiated 608 contracts, totaling 75,213
square meters of GLA.  The company's leasing spread for contract
renewals and new contracts has been above 13% and above 20%,
respectively.

BR Malls is the largest integrated shopping mall company in
Brazil, with a portfolio of 34 malls, comprising 985.2 thousand
square meters of gross leasable area (GLA) and 429.1 thousand
square meters of owned GLA.  The company currently has 5
greenfield projects under development and 11 expansion projects,
which, together, will increase its total GLA to 1,260.2 thousand
square meters and its owned GLA to 614.8 square meters within
the next three years.

Headquartered in Rio de Janeiro, Brazil, BR Malls is the largest
integrated shopping mall company in Brazil with a portfolio of
34 malls, representing 985.2 thousand square meters in total
Gross Leasable Area (GLA) and 429.1 thousand square meters in
owned GLA.

                         *     *     *

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


CAMARGO CORREA: To Build US$3.2 Billion Hydropower Dam in Africa
----------------------------------------------------------------
Bloomberg News reports that Camargo Correa SA will construct a
US$3.2 billion hydropower dam on the Zambezi River with the
Mozambique government.

The dam, called Mepanda N'Kuwa, will be 60 kilometers away from
Cahora Bassa, southern Africa's biggest hydropower plant, and is
expected to have a production capacity of some 1,500 megawatts
of electricity when completed.

According to Reuters, Mozambique's government hopes the new dam
will be finished by 2013.

Camargo Correa signed a memorandum of understanding to invest
some US$3.2 billion for the dam, Reuters says, citing
Mozambique's government.  Mozambique's Planning and Development
Minister Aiuba Quereneia said in a phone interview with
Bloomberg that Camargo Correa will seek funds for the hydropower
project.

Reuters relates that Minister Quereneia said, ?We would want the
building of the dam to begin at least by July next year as part
of our strategy to secure Mozambique and the regions energy
needs.?

Macauhub cited Ambassador Antonio Sousa e Silva as saying in a
Mozambican radio program that preliminary studies on finance,
material, and human resources for the project are ?in course?.

Camargo may operate the dam, Reuters states, citing Minister
Quereneia.

Camargo Correa SA is one of the largest private industrial
conglomerates in Brazil.  The company is a holding company with
interests in cement, engineering and construction, textiles,
footwear and sportswear manufacturing.  It also owns non-
controlling equity interests in the energy, transportation
(highway concessions) and steel businesses.  During the last 12
months through June 2007, Camargo Correa had net sales of
BRL9.2 billion and EBITDA of BRL1.4 billion.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 15, 2008, Fitch Ratings affirmed Camargo Correa SA's 'BB'
foreign and local currency issuer default ratings.  Fitch also
revised Camargo Correa's rating outlook to positive from stable.


ENERGISA SA: Reports BRL114MM Net Income in First Half 2008
-----------------------------------------------------------
Energisa S.A. recorded net income of BRL114 million in the first
half of 2008, a year-on-year growth of 47.5%.  Temporary effects
from the adoption of IFRS (CVM Rule 469) have negatively
affected the result in BRL14 million.

The successful plan to reduce indebtedness, carried out in
second half of 2007, started to produce material results.  Net
financial expenses dropped by 57.7%, from BRL100.6 million in
first half of 2007 to BRL42.2 million at the end of second
quarter 2008.

The 6.9% growth of the energy market also drove results, mainly
in the concession areas of the Northeast-region subsidiaries,
Energisa Sergipe and Energisa Paraiba, which recorded
consumption increases of 8.9% and 7.2%, respectively.  Combined
with these positive factors, cost management generated operating
improvements that resulted in an BRL8.8 million increase in the
consolidated result from electric energy services (EBIT).  The
EBIT in first half of 2008 came to BRL252.2 million, a growth of
3.6% as compared to first half of 2007.

Adjusted EBITDA (earnings before interest, taxes, depreciation
and amortization) in first half of 2008 totaled
BRL325.2 million, versus BRL328.6 million in first half of 2007.
The slight decrease derives primarily from the sale of
generation assets in second half of 2007, which are no longer
part of the consolidated results this year.  The generation
units have posted, in average, cash generation (EBITDA) of
approximately BRL25 million in each six-month period.

Among Energisa's subsidiaries, the highlight was Energisa
Paraiba, which recorded net income of BRL69.3 million, and whose
adjusted EBITDA came to BRL31.8 million in the second half of
2007, a 31.9% increase compared to the same period last year.
The sound performance of the Paraiba-state subsidiary derives
mainly from the market growth (7.2%), the positive results of
the program against fraud, and the reduction in energy
losses.

In the 12-month period ended June 2008, losses have reached
their lowest level ever, at 18.77%, with a steep reduction
trend, since, in first half of 2008, losses stood at 17.47%,
versus 20.34% in the same period of 2007.

Energisa Paraiba, formerly Saelpa, was privatized in December
2000, becoming managed by the Energisa Group.  At the time,
losses were as high as 35% per month.

Energisa's consolidated losses stood at 13.8%, 0.87 percentage
points lower in the 12-month period ended June 2008 as compared
to the previous period.

Gross operating revenues came to BRL594 million in second
quarter 2008, slightly below the same period of the previous
year.  In the six-month period, however, these revenues were up
2.4%, reaching BRL1,206.2 million, driven by the 6.3% increase
in energy sale revenues in the captive market and by the impact
of negative tariff revisions in three of the five distributors.
The small revenue increase is also related to the effect (4%
reduction in consolidated revenues) from the sale of the natural
gas thermal energy generation unit Usina Termeletrica Juiz de
Fora at the end of 2007, which no longer integrates Energisa's
assets.

                          About Energisa

Energisa SA -- http://www.energisa.com.br/-- is a holding
company that controls the electric energy distributors Sociedade
Anonima de Eletrificacao da Paraiba (Saelpa), Empresa Energetica
de Sergipe (Energipe), Companhia Forca e Luz Cataguazes-
Leopoldina, Companhia Energetica da Borborema, and Companhia de
Eletricidade de Nova Friburgo.  The group serves approximately
two million clients and has distributed 7,278 gigawatt hours in
2007 in the states of Paraiba, Sergipe, Minas Gerais, and Rio de
Janeiro.  The group's energy generation installed capacity is
insignificant.  The group's controlling shareholder is the
Botelho family.

As reported in the Troubled Company Reporter-Latin America on
June 27, 2008, Standard & Poor's Ratings Services assigned its
'BB-' corporate credit rating to the Brazilian electric utility
holding company Energisa S.A.  S&P said the outlook is stable.

As reported in the Troubled Company Reporter-Latin America on
Feb. 26, 2008, Moody's Investors Service assigned a Ba3 rating
to the existing 7-year US$250 million Notes Units jointly issued
by Empresa Energetica de Sergipe aka. Energipe (US$162.5
million) and Sociedade Anonima de Eletrificacao da Paraiba aka.
Saelpa (US$87.5 million) and guaranteed by Energisa S.A.  In
addition, Moody's affirmed the Ba3 local currency corporate
family and A3.br Brazil National Scale corporate family ratings
for Energisa SA.  Moody's said the rating outlook is stable.

As reported in the Troubled Company Reporter-Latin America on
Feb. 11, 2008, Fitch Ratings assigned a Local Currency Issuer
Default Rating and Foreign Currency IDR of 'BB-' to Brazil's
Energisa S.A. and its subsidiaries:

    -- Empresa Energetica de Sergipe S.A. (Energipe);
    -- Sociedade Anonima de Eletrificacao da Paraiba (Saelpa);
    -- Companhia Forca e Luz Cataguazes-Leopoldina.

Fitch said the outlook for all corporate ratings is stable.


GERDAU SA: Will Pay Dividends for Second Quarter 2008
-----------------------------------------------------
Gerdau S.A. and Metalurgica Gerdau S.A. will pay on
Aug. 27, 2008, dividends for the second quarter of 2008.

Dividends will be calculated and paid based on the position held
by shareholders on Aug. 15, 2008.  The payment will constitute
an anticipation of the annual minimum dividend, as stated in
these by-laws:

           a) Metalurgica Gerdau -- BRL0.60 per common and
                                    preferred share;

           b) Gerdau -- BRL 0.36 per common and preferred share.

Shares acquired on Aug. 18, 2008, and thereafter, will be traded
?Ex-Dividend?.

Headquartered in Porto Alegre, Brazil, Gerdau S.A. --
http://www.gerdau.com.br/-- produces and distributes crude
steel and related long rolled products, drawn products, and long
specialty products.  In addition to Brazil, Gerdau operates in
Argentina, Canada, Chile, Colombia, Uruguay, India and the
United States.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 26, 2007, Moody's Investors Service affirmed Gerdau S.A.'s
Ba1 corporate family rating and stable outlook.


GOL LINHAS: Moody's Cuts Corporate Family Rating to B1 From Ba3
---------------------------------------------------------------
Moody's Investors Service has downgraded all debt ratings of GOL
Linhas Aereas Inteligentes S.A. and GOL Finance -- Corporate
Family Rating to B1 from Ba3.  At the same time, all ratings
were placed under review for possible further downgrade.

The rating downgrade reflects the continued deterioration in
financial strength of GOL Linhas and prospects for a further
decline in the financial metrics absent a significant
improvement in the company's cost structure.  Despite these
pressures, the ratings acknowledge the company's low-cost
business model and strong brand and market share in Brazil.
Although the company's labor costs remain low relative to other
airlines, the company's wage and benefit costs have increased
due to a large, non-unionized workforce.  As well, incremental
costs associated with the integration and realignment of the
route network of VRG Linhas Aereas S.A. and ongoing regulatory
restrictions on GOL Linhas' operations at Congonhas Airport have
pressured operating profits and generated negative free cash
flow.  Although the company has represented that the integration
of VRG is progressing and regulatory issues are being addressed,
absent a material reduction in fuel costs, VRG's operations are
expected to continue to pressure GOL Linhas' consolidated
financial results and generate cash operating losses.

The review process will focus on the ability of GOL Linhas to
successfully integrate VRG and make that operation profitable in
2008.  As well, the review will focus on the company's ability
to improve profitability and key credit metrics during the 3rd
and 4th quarters as a result of higher yields.  The review will
also consider the company's liquidity profile, with a focus on
expected free cash flow in 2008-2009 and the likelihood that GOL
Linhas will be able to access revolving lines of credit if
necessary.  Moody's believes the outcome of these issues may
well be challenged by the difficult operating environment facing
the company due to ongoing air traffic control issues and
infrastructure problems, the impact of higher fuel costs and
slowing demand as the weaker growth in other economies spreads
to the Brazilian economy.  Moody's notes that weakening demand
could affect the company's ability to raise fares to offset
lower load factors and higher fuel costs.

The company has increased its fuel hedges, which are now
comparable to other airlines, and initiated a program under
which the level of hedges is sustained at the higher levels to
provide improved insulation from fuel cost volatility.  GOL
Linhas' exposure to fuel costs has been further moderated by the
strength of the Brazilian Real relative to the U.S. dollar in
2007 and 2008.  The company has slowed its ambitious expansion
plan and now plans to expand the fleet by a net 11 aircraft
through 2010.  Nonetheless, costs have risen due to meaningful
increases in the size of the company's route network and
aircraft fleet, wage increases and lower aircraft productivity
due to continuing inefficiencies associated with the Brazilian
air traffic control and regulatory restrictions placed on
Congonhas Airport during 2007.  Although the company has
eliminated most of VRG international routes, GOL Linhas' unit
costs have increased due to the challenges of realigning the
operations of VRG.  GOL Linhas has several planned initiatives
to increase revenues by increasing sales to customers through
its installment-purchase plan and increasing cargo and ancillary
revenues.  However, these efforts to boost sales are unlikely to
offset incremental costs, primarily fuel-related.  Absent a
material decline in fuel costs, these actions may not be
sufficient to allow the company to improve levels of
profitability and cash flow generation to levels consistent with
the B1 rating category.  Debt to EBITDA of 8.6 and EBIT to
interest expense of 0.7 for the 12 months to March 31, 2008,
both weakened from the previous year.

While GOL Linhas reported retained cash and cash equivalents of
approximately BRL1.2 billion at March 31, 2008, the company's
liquidity is expected to weaken over the course of the next 12
months in light of the likelihood of continued negative
consolidated cash flow from operations.  As well, although the
company expects to refinance all debt maturing in 2008, the
company's financial flexibility has deteriorated due to an
increase in debt and meaningful debt maturities and capital
spending needs. The company faces approximately BRL189 million
in planned capital spending relating to spare parts and
inventories, expansion of its aircraft maintenance center and
investment in new information technology systems in 2008, and
approximately BRL285 million of aircraft deliveries have been
financed through a combination of sale-leasebacks and financings
supported by the U.S. Exim Bank.  As well, the company has
approximately BRL188 million in debt maturing in 2008 and BRL
206 million of debt maturities in 2009.  The company's 3
revolving lines of credit, which allow for total borrowings of
BRL577 million and under which approximately BRL500 million is
available, contain no financial covenants.  Nonetheless, other
loans contain a number of covenants that require GOL Linhas to
maintain defined debt leverage, minimum cash and interest
expense coverage ratios.  Although the company was in compliance
with all of the covenants at March 31, 2008, the lenders could
accelerate their demand for repayment of principal and interest
on the loans under certain circumstances, including the failure
to comply with financial metrics, which would increase its cash
requirements.  The company's recent decision to suspend
dividends for the remainder of 2008 provides additional
financial flexibility for liquidity management.

Moody's notes that former employees of the old (pre-bankruptcy)
VRG have filed numerous claims against GOL Linhas seeking
reimbursement of wages and other compensation.  Although
following emergence from bankruptcy VRG was structured to limit
its exposure to the pre-bankruptcy liabilities of the former
Varig and GOL Linhas believes these claims are without merit,
Brazil's bankruptcy law does not provide solid precedent
governing these issues.  As a result, the legal process is
likely to be prolonged, and the claims, if successful, could
cause a moderate increase in the company's adjusted total debt.

Downgrades:

Gol Finance:

    -- Senior Unsecured Regular Bond/Debenture, Downgraded to B1
       from Ba3

Gol Linhas Aereas Inteligentes S.A.:

    -- Corporate Family Rating, Downgraded to B1 from Ba3

Outlook Actions:

Gol Finance:

    -- Outlook, Changed To Rating Under Review From Negative

Gol Linhas Aereas Inteligentes S.A.:

    -- Outlook, Changed To Rating Under Review From Negative

Based in Sao Paulo, Brazil, GOL Intelligent Airlines aka GOL
Linhas Areas Inteligentes S.A. (NYSE: GOL and Bovespa: GOLL4) --
http://www.voegol.com.br-- through its subsidiary, GOL
Transportes Aereos S.A., provides airline services in Brazil,
Argentina, Bolivia, Uruguay, and Paraguay.  The company's
services include passenger, cargo, and charter services.  As of
March 20, 2006, Gol Linhas provided 440 daily flights to 49
destinations and operated a fleet of 45 Boeing 737 aircraft.
The company was founded in 2001.


GOL LINHAS: Will Suspend Quarterly Dividend Payment for 2008
------------------------------------------------------------
GOL Linhas Aereas Inteligentes S.A.'s Board of Directors has
voted to suspend quarterly dividend payment for the remainder of
2008.

GOL Linhas has paid BRL664.7 million in dividends to its
shareholders since 2004.  Given the current environment for the
airline industry, the Board believes suspending dividends is in
the company and shareholders' best interests, as it will allow
GOL Linhas to employ cash to fund investments and improve credit
ratios.  Suspending dividends is one of many strategies the
company is employing to offset higher fuel prices and provide
management with the necessary flexibility to continue making
investments, including GOL Linhas' fleet renewal program, recent
adjustments to the fleet plan, integration of GTA and VRG
operations and the implementation of a new ticket sales system.
These initiatives are expected to contribute to revenues and
optimize costs.

?The company is taking the necessary steps to set the stage for
the next phase of growth, in line with our strategy of
profitable expansion through our low-cost structure,? said
Constantino de Oliveira Junior, GOL Linhas' President and Chief
Executive Officer.

The 2008 dividend policy forecasted fixed quarterly dividend
payments of BRL0.18 per share for both common and preferred
shares.  The company is committed to distributing a minimum
dividend of 25 percent of the year's net profit, and, if
necessary, will issue a supplemental dividend payment at year-
end to meet the minimum dividend as required by Brazilian
Corporate Law.

Based in Sao Paulo, Brazil, GOL Intelligent Airlines aka GOL
Linhas Areas Inteligentes S.A. (NYSE: GOL and Bovespa: GOLL4) --
http://www.voegol.com.br-- through its subsidiary, GOL
Transportes Aereos S.A., provides airline services in Brazil,
Argentina, Bolivia, Uruguay, and Paraguay.  The company's
services include passenger, cargo, and charter services.  As of
March 20, 2006, Gol Linhas provided 440 daily flights to 49
destinations and operated a fleet of 45 Boeing 737 aircraft.
The company was founded in 2001.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 25, 2007, Fitch Ratings affirmed the 'BB+' foreign and
local currency issuer default ratings of Gol Linhas Aereas
Inteligentes S.A.  Fitch also affirmed the outstanding US$200
million perpetual bonds and US$200 million of senior notes due
2017 at 'BB+' as well as the company's 'AA-' (bra) national
scale rating.  Fitch said the rating outlook is stable.


TAM SA: To Add Rio de Janeiro-Miami Flight Schedule on Sept. 19
---------------------------------------------------------------
Beginning Sept. 19, TAM will operate a new daily flight linking
Rio de Janeiro directly to Miami.  The new flight will be
operated by a Boeing 767-300 aircraft configured for the
Business and Economy classes and with a capacity for up to 205
passengers.

The flight will leave Confins airport, in Belo Horizonte (Minas
Gerais state), at 7:30 p.m., arriving at 8:25 p.m. at Tom Jobim
International Airport (Galeao airport), in Rio de Janeiro, and
then take off at 11:05 p.m. and fly directly to the Miami
International Airport in Florida, landing at 6:30 a.m. the
following day.  The return journey will be by a flight leaving
Miami at 10:05 p.m. and flying directly to Rio de Janeiro
(Galeao airport), where it will arrive at 7:10 a.m. and take off
at 9:30 a.m. to land in Belo Horizonte (Confins airport) at
10:35 a.m.

This will be TAM's fourth daily flight to Miami and the only one
without connections or stops from Rio de Janeiro.  In all, there
will be 28 flights weekly between Brazil and Miami.  At present
there are two daily flights from Sao Paulo (Guarulhos airport)
to Miami, and on Sundays, one of them makes a stop in Salvador
(Bahia state), both on the way to Miami and on the flight back.
In addition to this, there is the daily flight from Manaus
(Amazonas state) to Miami.  All flights make connections with
incoming and outgoing flights.

?Rio de Janeiro is the second-largest Brazilian market, able to
make this new flight a great success.  Increasing our service to
this public is part of our search for excellence in our
services,? said TAM's Vice-President of Planning and Alliances,
Paulo Castello Branco.

                           About TAM

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

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

                          *     *     *

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

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


TAM SA: To Launch Direct Brasilia-Buenos Aires Flight Route
-----------------------------------------------------------
TAM S.A. will begin operating direct flights from Brasilia to
Buenos Aires, Argentina, as of Aug. 8.  With the launch of this
new route, TAM will become the only airline to offer non-stop
flights between the Brazilian and Argentinean capitals, allowing
passengers to reach their destination more quickly.  The new
flights will be operated by Airbus A320 aircraft, configured for
Business and Economy classes.

The flights will leave Brasilia at 11:00 a.m. and arrive at the
Ezeiza International Airport, Buenos Aires, at 2:45 p.m.  In the
opposite direction, the flights will leave Buenos Aires at
3:40 p.m. and will arrive in Brasilia at 7:15 p.m.

This new route will allow passengers coming from Buenos Aires to
make immediate connections in Brasilia, with easy access to the
destinations served by TAM in the North and Northeast regions.
From Brazil, passengers will also have a new option for travel
to Buenos Aires, as well as a faster and more convenient
journey.

The company will also restart flights from Curitiba to Buenos
Aires as of Aug. 8.  The flights will leave Curitiba at
11:00 a.m., stop in Porto Alegre, and will arrive at the Ezeiza
International Airport at 2:20 p.m.  In the opposite direction,
the flights will leave Buenos Aires at 3:30p.m., stop in Porto
Alegre, and land in Curitiba at 6:40 p.m.

Currently, TAM has 56 flights weekly between Brazil and Buenos
Aires, seven of which are flights operated by TAM Airlines, a
subsidiary with its Headquarters in Asuncion, Paraguay.  With
the new routes, TAM will have 63 flights weekly to Buenos Aires,
offering direct flights from Brasilia, Curitiba, Porto Alegre,
Recife, Rio de Janeiro, Salvador and Sao Paulo.  In addition to
serving these cities directly, the company has convenient
connections with its entire network in Brazil and abroad,
allowing the transit of passengers from other destinations.

                           About TAM

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

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

                          *     *     *

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

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


UNIAO DE BANCOS: Net Income Rises to BRL756 Million in 2Q 2008
--------------------------------------------------------------
Uniao de Bancos Brasileiros SA's net income reached
BRL756 million in the second quarter of 2008, up 18.5% when
compared to second quarter 2007.  The highlight in the quarter
was the operating income of BRL1,358 million, up 19.9% when
compared to the first quarter of 2008.

Stockholders' equity was BRL12.7 billion, and annualized return
on average equity reached 26.6% in second quarter 2008.

The bank's total assets reached BRL172 billion, up 32.7% when
compared to June 30, 2007.  Annualized return on average assets
was 1.9% in second quarter 2008.

The loan portfolio reached BRL68,991 million, up 4.3% in the
quarter and 33.6% in 12 months. Retail portfolio increased 39.2%
in 12 months.  The highlights in this period were the 86.9%
growth in Auto loans, 48.9% in Small and Medium Companies
portfolio, 35.9% in Credit Cards and 33.9% in Payroll loans (own
origination).  Wholesale portfolio grew 25.5% in 12 months, as a
result of an increasing demand from large companies for funds
in the Brazilian market, mainly due to the lower liquidity in
the international market.

The balance of Allowance for Loan Losses reached BRL3,268
million in June 2008, representing 4.7% of the loan portfolio,
from which BRL985 million are based on percentages above those
required by the regulatory authority.

Total personnel and administrative expenses posted a 3.2%
increase in the quarter.  In the first half of 2008, these
expenses posted a 7.1% increase when compared to 1H07, largely
due to growth in volume of business, increase of employees and
wage increases.  It is worth mentioning the increase of only
4.9% in other administrative expenses under Unibanco's direct
management in the same period, below the inflation rate of
6.05%, due to the efficiency gains and cost controls, despite
the expansion of business activities.

As a consequence of operational efficiency management, the
efficiency ratio reached 42% in second quarter 2008 vis-a-vis
47% verified in second quarter 2007, a 500 basis points
improvement.  In the same period, the cost to average assets
ratio also favorably decreased from 4.6% to 3.7%.

The bank remains satisfied and confident with the ongoing
results and the continuous improvement of its performance.

The earnings conference call will take place on Aug. 8.  For
additional information and to download the complete documents,
please access the bank's Investor Relations website.

                      About Uniao de Bancos

Headquartered in Sao Paulo, Brazil, Uniao de Bancos Brasileiros
SA -- http://www.unibanco.com/-- is a full-service financial
institution providing a range of financial products and services
to a diversified individual and corporate customer base
throughout Brazil.  The company's businesses comprise segments:
Retail, Wholesale, Insurance and Pension Plans and Wealth
Management.  Uniao de Bancos and its associated companies
FinInvest, LuizaCred, PontoCred and Tecban (Banco 24 Horas)
offer a network composed of 17,000 points of service.  It also
counts on 7,580 automated teller machines and all 30 Hours'
products and services, including the telephone service and the
Internet banking.  The company's international network consists
of branches in Nassau and the Cayman Islands; representatives
offices in New York; banking subsidiaries in Luxembourg, the
Cayman Islands and Paraguay; and a brokerage firm in New York
-- Unibanco Securities Inc.

                           *     *     *

In April 2008, Moody's Investors Service assigned a Ba2 foreign
currency deposit rating to Uniao de Bancos Brasileiros SA.



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

BRIDGE INVESTMENT: Sets Final Shareholders Meeting for Aug. 12
--------------------------------------------------------------
Bridge Investment Holding Ltd. will hold its final shareholders
meeting on Aug. 12, 2008, at 10:00 a.m., at the offices of
Deloitte, Fourth Floor, Citrus Grove, P.O. Box 1787, 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.

Bridge Investment's shareholders agreed on July 8, 2008, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

                    Stuart Sybersma
                    Attn: Mervin Solas
                    Deloitte
                    P.O. Box 1787GT
                    Grand Cayman, Cayman Islands.
                    Telephone: (345) 949-7500
                    Fax: (345) 949-8258


NANTES LIMITED: Will Hold Final Shareholders Meeting on Aug. 12
---------------------------------------------------------------
Nantes Limited will hold its final shareholders meeting on
Aug. 12, 2008, at Seocho-Gu, Banpo 1 Dong 32-8, Samho Garden
Manson A-405, Seoul, Korea.

The accounting of the wind-up process will be taken up during
the meeting.

Nantes' shareholder decided on April 4, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

                 Chi Po, Yim
                 c/o Maples and Calder
                 P.O. Box 309
                 Ugland House, Grand Cayman
                 Cayman Islands


NATIXIS INVESTMENT: Proofs of Claim Filing Deadline Is Aug. 13
--------------------------------------------------------------
Natixis Investment Services Japan Ltd.'s creditors have until
Aug. 13, 2008, to prove their claims to Walkers SPV Limited, the
company's liquidator, or be excluded from receiving any
distribution or payment.

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

Natixis Investment's shareholder decided on July 1, 2008, to
place the company into voluntary liquidation under The Companies
Law (2004 Revision) of the Cayman Islands.

The liquidator can be reached at:

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

Contact for inquiries:

                  Anthony Johnson
                  Telephone: (345) 914-6314


QPM QUORUM: Will Hold Final Shareholders Meeting on Aug. 13
-----------------------------------------------------------
QPM Quorum Long Short Equity Brazil Fund Ltd. will hold its
final shareholders meeting on Aug. 13, 2008, at 10:30 a.m., at
the 3rd Floor, Queensgate House, 113 South Church Street, 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.

QPM Quorum's shareholder decided on June 26, 2008, to place the
company into voluntary liquidation under The Companies Law (2004
Revision) of the Cayman Islands.

The liquidator can be reached at:

                 Carlos Eduardo Soares Castanho
                 Rua Iguatemi, Andar
                 Cj.301, Itaim Bibi
                 Sao Paulo, Brazil

Contact for inquiries:

                 Bryant Terry
                 c/o Ogier
                 P.O. Box 1234
                 Queensgate House, South Church Street
                 Grand Cayman, Cayman Islands
                 Telephone: (345) 949-9876
                 Fax: (345) 949-1987



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

BANCO INTERCONTINENTAL: Gov't Firm on Mejia's Fraud Involvement
---------------------------------------------------------------
The Dominican government will publish the parts of the court's
decision on the Banco Intercontinental fraud case that condemns
former president Hipolito Mejia, Diariolibre.com.do reports,
citing Marino Vinicio Castillo, the Dominican Executive Branch's
Adviser on Drugs.

As reported in the Troubled Company Reporter-Latin America on
Aug. 7, 2008, Mr. Mejia defended his administration and himself
against President Leonel Fernandez's fraud accusations related
to Banco Intercontinental, describing President Fernandez's
allegations as ?unfounded and politicking?.  Mr. Mejia said
he is satisfied with the conviction of those implicated in the
Banco Intercontinental fraud.

As reported in the TCR-LA, the Supreme Court agreed with the
National District Court of Appeals' decision of upholding the
10-year prison sentence it imposed against Marcos Baez Cocco and
Luis Alvarez Renta.  The prosecution had appealed the sentences
against the Banco Intercontinental officials and also appealed
Vivian Lubrano del Castillo's acquittal, seeking six years in
prison.  Ms. Lubrano de Castillo was sentenced to five years of
imprisonment.

The government will ?apply the parts that affect? Mr. Mejia in
the court's conviction of 10 years in prison of former Banco
Intercontinental executives, Diariolibre.com.do relates, citing
Mr. Castillo.  ?We're now going to publish all the parts of the
sentence that condemns him, and the reason why his
administration had to be prosecuted,? Diariolibre.com.do quoted
Mr. Castillo as saying.

Located in the Dominican Republic, Banco Intercontinental a.k.a.
Baninter collapsed in 2003 as a result of a massive fraud and a
resulting deficit of US$2.2 billion.  As a consequence, all of
its branches were closed.  The bank's current and savings
accounts holders were transferred to the bank's new owner --
Scotiabank.  The bankruptcy of Baninter was considered the
largest in world history, in relation to the Dominican
Republic's Gross Domestic Product.  The resulting deficit was
equal to 12% to 15% of the country's national GDP.  It costs
Dominican taxpayers DOP55 billion and resulted to the country's
worst economic crisis.


JETBLUE AIRWAYS: To Start Dominican Republic-Puerto Rico Service
----------------------------------------------------------------
JetBlue Airways Corp. will launch its first intra-Caribbean
service with daily nonstop service between San Juan, Puerto
Rico, and Santo Domingo, Dominican Republic, beginning
Dec. 18, 2008, subject to government approval.  Fares on the
route will range from US$89 to US$275 each way.

JetBlue will also offer increased service from the United States
mainland to the Caribbean over the winter holiday season with
nonstop service between Boston and Santo Domingo, also subject
to government approval, and add more flights on existing routes
from New York to Puerto Plata, Santiago and Santo Domingo and
from Boston to San Juan.

?Demand for JetBlue's high value Caribbean service continues to
exceed our expectations,? said Jim Fuoco, the airline's manager
of route planning.  ?This winter we're pleased to redeploy
capacity into some of our strongest markets for the holiday
season and also add new service between Santo Domingo and San
Juan, one of our customers' most-requested routes.  JetBlue is
proud to be the leading value airline in the Caribbean, with as
many as 50 daily flights to the region this winter.?

Other Dominican Republic Capacity Increases

This winter JetBlue will offer its first-ever nonstop service
between Boston and Santo Domingo, with a once-daily ?holiday
shuttle? in December and January.  In addition, the airline
intends to bolster its frequent service between New York's John
F. Kennedy International Airport and the Dominican Republic by
adding a fourth daily departure to Santiago, a third daily
departure to Santo Domingo, and a second daily departure to
Puerto Plata over the holiday season.

?The Dominican Republic is dedicated to supporting all of
JetBlue's efforts to provide the Caribbean with additional air
service,? said Dominican Republic Vice Minister of Tourism
Magaly Toribio.  ?JetBlue's new flights from Boston and San Juan
to our capital city, Santo Domingo, will help meet the growing
demand of visitors and enhance our collective economies,? she
said.

San Juan Capacity Increases

In addition to its new route to Santo Domingo, JetBlue will also
offer Puerto Rico travelers increased service to Boston's Logan
International Airport this winter.  The airline will add a
second daily flight between Boston and San Juan during the peak
holiday season.  And as previously announced, JetBlue will
increase service to San Juan from both New York and Orlando
beginning in September.

?We applaud JetBlue for deepening its engagement in the
Caribbean at a time when preserving and expanding air access in
the region is of utmost concern to all our islands,? said
Terestella Gonzalez Denton, Executive Director, Puerto Rico
Tourism Company.  ?It is very rewarding to see that our work
with the airline has resulted in the addition of a second daily
flight from Boston, which is a very important market for us, to
San Juan.  We are committed to ensuring the profitability of
this flight to make it a permanent fixture for JetBlue.
Further, the addition of the San Juan-Santo Domingo route is a
testament to the Caribbean's potential as a source of revenue
for the airline industry and sets an example for the industry
that should continue to invest in the region.?

JetBlue will this winter be the second-largest U.S. airline to
the Atlantic/Caribbean region with as many as 50 daily flights.
The airline offers service from a variety of U.S. gateways to
Aruba; Bermuda; Cancun; Nassau; St. Maarten; Aguadilla, Ponce,
and San Juan, Puerto Rico; and Puerto Plata, Santiago and Santo
Domingo, Dominican Republic.

                      About JetBlue Airways

Based in Forest Hills, New York, JetBlue Airways Corporation
(Nasdaq: JBLU) -- http://www.jetblue.com/-- is a passenger
airline that provides customer service primarily on point-to-
point routes.  As of Dec. 31, 2007, the company served 53
destinations in 21 states, Puerto Rico, Mexico and the
Caribbean.

JetBlue currently serves 53 cities with 600 daily flights.

                           *     *     *

As reported in the Troubled Company Reporter-Latin America on
July 25, 2008, Moody's Investors Service downgraded the
Corporate Family and Probability of Default Ratings of JetBlue
Airways Corp. to Caa2 from Caa1, as well as the ratings of its
outstanding corporate debt instruments and certain Enhanced
Equipment Trust Certificates.  Moody's said the outlook is
negative.



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

AIR JAMAICA: Kingston & St. Andrew Corp. to Sue Firm Over Debt
--------------------------------------------------------------
Kingston and St. Andrew Corporation, a.k.a. KSAC, will file a
lawsuit against Air Jamaica for failing to pay its debts,
Jamaica Information Service reports, citing Kingston's Mayor
Desmond McKenzie.

Air Jamaica owes KSAC about J$10 million, according to Radio
Jamaica.

KSAC is also suing other firms who also defaulted on their
obligations.

As reported in the Troubled Company Reporter-Latin America on
Aug. 7, 2008, Radio Jamaica said Mayor McKenzie is angry at
several entertainment venues and promoters due to their refusal
to pay advertising fees since 1998.

Mayor McKenzie, Jamaica Information relates, said at a joint
press briefing with the Inland Revenue Department at KSAC's
Church Street offices that a list of delinquent firms has been
submitted to KSAC's lawyers ?with instructions to take immediate
action against these companies to bring them in line with the
terms of their obligations to the municipality.?

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

                           *    *     *

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

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


CABLE & WIRELESS: Fund Trustees to Sell 4 Jamaican Properties
-------------------------------------------------------------
The Trustees of the Cable and Wireless Jamaica Pension Fund,
have placed for sale on the international real estate market
four prime Jamaican properties attributable to a strategic
portfolio realignment.

Rezworth Burchenson of Prime Asset Management said that, ?For
the institutional investor or developer, this represents a
unique opportunity to acquire some of Jamaica's most desired
real estate in its most sought after locations.  We are pleased
that the local and international interest has been very high.?

The properties for sale are:

   * The Towers: This prestigious office complex is located in
     the New Kingston business district, the primary centre of
     commerce in Jamaica, and comprises two towers with a total
     building area of 112,850 square feet.

   * Cinema Lands: Also located in New Kingston, this property
     comprises 7.58 acres of the most sought after location as
     this is the last remaining undeveloped land in Kingston.  It
     is best suited for a first class business hotel or a
     commercial development.

   * New Kingston Shopping Centre: Located in the New Kingston
     business district, this mixed use Centre is used for both
     retail and offices.  This property is situated on 2.26 acres
     with a total building size, including basement, of 175,848
     square feet.

   * Fairview Shopping Centre: Located in the tourist mecca of
     Montego Bay, this property is tenanted by many established
     businesses mainly in the retail sector.  The Centre houses
     four buildings with a total area of 101,000 square feet on
     5.96 acres.

Jamaica has seen a major influx of Spanish Hotel chains in the
last five years with foreign direct investments from these
projects estimated at billions of U.S. dollars.  These
investments include well known resort chains such as RIU,
Fiesta, Iberostar, Bahia Principe (Groupo Pinero) and AM
Resorts.  Surprisingly, many of the international hotel chains
lack a presence in the Jamaican capital and this sale represents
perhaps the last opportunity to purchase the remaining
undeveloped land in the business district of the capital,
Kingston.

The properties have been placed on the market and will be
offered to the highest bidders via a sealed bid process that
closes on Sept. 12, 2008.

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

                         *     *     *

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


WORLD WISE: Says Cease & Desist Order Won't Affect Operations
-------------------------------------------------------------
Radio Jamaica reports that World Wise Partners Limited's legal
representative, Christopher Townsend, said that the cease and
desist order imposed by the Financial Services Commission on the
firm won't affect its operations.

Radio Jamaica relates that the FSC issued an order last Tuesday
to prohibit World Wise from accepting any money from the public.
The report says that World Wise was informing its clients of
payment schedules when the order was made.

According to Radio Jamaica, World Wise's customers have been
anxious since the firm stopped disbursements in June 2007.
Radio Jamaica notes that World Wise had said it needed time for
reorganization, which involved a reduction of operations and
closure of accounts that are less than US$5,000.

The order contains instructions that World Wise already carried
out months ago, Radio Jamaica says, citing Mr. Townsend.  ?World
Wise Partners had announced some months ago that they would not
be taking on new clients or partners, they had also announced
that existing partners would not be allowed to invest any more
money.  They had also announced that they would be refunding
money to their clients,? the attorney added.

                        About World Wise

World Wise Partners Limited is an independently owned and
operated group of professionals in Jamaica that provide
partnership business services, particularly in the formation of
partnerships.



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

HERCULES OFFSHORE: CEO to Present at Oil and Gas Conference
-----------------------------------------------------------
Hercules Offshore, Inc., reported that its Chief Executive
Officer and President, John T. Rynd, will present at EnerCom's
The Oil & Gas Conference in Denver on  Aug. 12, 2008, at
3:10 p.m. MDT (5:10 p.m. EDT).

Interested parties may listen to the presentation live over the
Internet at http://www.herculesoffshore.com. Go to the
?Investor Relations? link and select ?Event Calendar? under
?News & Events?.

To listen to the live presentation, please go to the Web site at
least 15 minutes early to register, download and install any
necessary audio software.  A replay of the presentation will be
available within 24 hours after the conclusion of the
presentation through the company's web site for one month.

Headquartered in Houston, Texas, USA, Hercules Offshore, Inc.
(Nasdaq: HERO) provides shallow-water drilling and lift boat
services to the oil and natural gas exploration and production
industry in the United States Gulf of Mexico and
internationally.  It operates a fleet of 35 jackup rigs, 27
barge rigs, 65 liftboats, three submersible rigs, one platform
rig and a fleet of marine support vessels.   Its services are
organized in four segments, Domestic Contract Drilling Services,
International Contract Drilling Services, Domestic Marine
Services and International Marine Services.  The company's
Domestic Contract Drilling Services and Domestic Marine Services
are conducted in the United States Gulf of Mexico, its
International Contract Drilling Services are conducted offshore
Qatar and India, and its International Marine Services are
conducted in West Africa.  The company also has operations in
Venezuela, Trinidad, and Mexico.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 5, 2008, Standard & Poor's Ratings Services affirmed its
'BB' bank loan and recovery rating of '2' on the US$1.15 billion
senior secured credit facilities of Hercules Offshore Inc., as
well as its 'BB-' Corporate Credit Rating with stable outlook.
The recovery rating of '2' indicates S&P's expectation of
substantial (70% to 90%) recovery in the event of a payment
default.


NORTEL NETWORK: Posts US$251 Mln Net Loss for First Half 2008
-------------------------------------------------------------
Nortel Network Corp. posted US$251 million in net losses on
US$5.38 billion in net revenues for the first half ended
June 30, 2008, compared with US$140 million in net losses on
US$5.05 billion in net revenues for same period in 2007.

Nortel posted US$113 million in net losses on US$2.6 billion in
net revenues for the second quarter ended June 30, 2008,
compared with US$37 million in net losses on US$2.56 billion in
net revenues for same period in 2007.

As of June 30, 2008, Nortel Network had US$15.87 billion in
total assets, US$13.37 billion in total liabilities, and
US$2.5 billion in total shareholders' equity.

"Nortel's financial performance in the first half of 2008 has
been consistent and disciplined. We have achieved our objectives
and are on track to meet our targets for the year," said Nortel
president and CEO Mike Zafirovski.  "In the second quarter, the
company focused on the work at hand and improved productivity,
stepped-up cost reduction activities and enhanced margin
performance. We delivered gross margin of 43.1%, the seventh
consecutive quarter of year-over-year improvement, and
management operating margin of 4.3%, the eighth consecutive
quarter of year-over-year improvement."

"We continue to see strong customer momentum in key growth areas
of our business. In recent months, we've signed a comprehensive
global managed services telepresence agreement with Deloitte,
have secured approximately 20 wins for our innovative 40G
offering, and earlier this week signed on as the official
network infrastructure partner for the London 2012 Olympic and
Paralympic Games," said Zafirovski. "In the second half, faced
with a challenging business environment, we will continue our
focus on execution and on delivering accelerated growth in key
segments in order to achieve our financial objectives for the
year."

                        About Nortel Networks

Nortel Networks Corporation -- http://www.nortel.com--
(NYSE/TSX: NT) is a global supplier of networking solutions
serving both service provider and enterprise customers.  It
supplies end-to-end networking products and solutions that help
organizations enhance and simplify communications.  Nortel
operates in four segments: Carrier Networks, Enterprise
Solutions, Metro Ethernet Networks and Global Services.  Nortel
Networks Limited is the company?s principal operating
subsidiary.

The company's executive offices are located in Toronto and has
operations in the United Kingdom, China, Australia, Argentina
and Brazil, among others.

                           *     *     *

In May 2008,  Standard & Poor's Ratings Services revised its
outlook on Toronto-based telecommunications equipment provider
Nortel Networks Ltd. to positive from stable.  At the same time,
S&P affirmed the ratings, including the 'B-' long-term corporate
credit rating, on the company.  The ratings on NNL are based on
the consolidation with parent Nortel Networks Corp.

At the same time, S&P assigned a 'B-' bank loan rating to NNL's
proposed US$500 million 10.75% senior unsecured notes due 2016.
The notes are being issued as an add-on to the existing
US$450 million 10.75% senior unsecured notes due 2016, issued
July 2006.  S&P also assigned a recovery rating of '4' to the
notes, indicating the expectation for average (30%-50%) recovery
in the event of payment default.  Nortel will use the net
proceeds from the new debt issuance, together with cash
balances, to repay Nortel Network Corp.'s US$675 million 4.25%
convertible notes maturing Sept. 1.

At the same time, Moody's Investor Service said Nortel Network
Corp.'s Senior Unsecured Convertible, Exchange Bond, Debenture
ratings remains unchanged at B3 with LGD assessment changed to
LGD4, 66% from LGD4, 67%.


* MEXICO: S&P Issues Industry Credit Outlook on Universities
------------------------------------------------------------
Standard & Poor's Ratings Services has released its Industry
Credit Outlook report on Mexican public universities.

Despite achieving progress in some areas of public finance over
the past decade, Latin America still lags the developed world
in higher education financing.  While other regions, such as
North America and Europe, have developed a variety of funding
sources for universities, Latin America's higher education
system is still anchored in traditional financing -- direct
support from federal or state sponsors.  Mexico is the only
country in Latin America in which S&P's rates the credit
quality of universities.

The credit quality of rated Mexican public universities benefits
from strong government support, solid student demand, and lower
debt than their international peers.  Nevertheless, S&P believes
these institutions will be somewhat challenged to strengthen
their credit quality.  Student fees are fixed and unlikely to
change anytime soon, endowment funds are absent, financial
management sophistication is lacking in most cases, and pension
systems are unfunded.  In 2008, however, S&P doesn't expect
changes to occur that could significantly affect the ratings.

S&P currently rates three Mexican public universities:
Universidad Autonoma de Nuevo Leon (mxA/Positive/--), Benemerita
Universidad Autonoma de Puebla (mxA/Stable/--), and Universidad
Autonoma del Carmen (mxA-/Stable/--).  Two of these have
maintained stable ratings and outlooks over the past two years,
and one has a positive outlook.  Without harming their credit
quality, these universities have managed the risks inherent in
the country's higher education sector, including rising
operating expenditures and insufficient resources to finance
important capital projects.

      Universities are likely to stay predominantly public

Public institutions for both undergraduate and graduate
education dominate higher education in Mexico.  Private higher
education has been growing steadily in market share over the
past several years, but student enrollment and programs are
still limited compared with those of public universities.  The
Nuevo Leon University and Benemerita Universidad, in the states
of Nuevo Leon and Puebla, respectively, meet more than 50% of
student demand for higher education in their own states,
overwhelmingly surpassing private institutions.

Although the three rated Mexican public universities are located
in very different states in terms of economic development,
federal and state support for them has been equitably
distributed over the years.

From 2000 through 2005, official data indicate that demand for
higher education in Mexico increased noticeably.  Indeed,
students' enrollment at universities reached 20.8% of Mexicans
20 to 24 years of age in 2005 compared with 17.7% in 2000.
Nevertheless, higher education coverage in Mexico does not
compare favorably internationally; in Organisation for Economic
Cooperation and Development countries -- mostly the highest
income economies of the world -- enrollment is about 67%.
Therefore, S&P still expects an increasing number of students
in Mexico to seek higher education and public institutions to
continue to respond to this need in the coming years, given the
demographics of the country.

S&P also sees regional inequalities in coverage, however. Seven
states out of 31 account for half of Mexico's higher education
enrollment, and only ten institutions service about 40% of the
country's students.  As a result, most states do not have
adequate higher education resources.

    Government support continues to be important to the sector

Federal transfers and, to a lesser extent, state transfers,
dominate Mexican public universities' revenue structure.  On
average, federal and state transfers together account for more
than 70% of total revenues.  Federal transfers have been and
should remain relatively stable in the near future because, by
law, public universities cannot receive lower amounts than in
previous years. State transfers can be more volatile, though.

Student fees for undergraduate programs are negligible because
in Mexico access to education is considered a public good.  For
graduate programs, public universities do charge substantial
fees, but these continue to be a limited revenue source.  This
revenue structure is unlikely to change soon.  Also, endowment
funds are not a common practice, as they are in the United
States or other countries, and this forces Mexican universities
to depend heavily on transfers, limiting their financial
flexibility.

             Budgetary performance is prudent with
              potential to improve debt management

Budgets of public universities are rather inflexible.  A
significant portion is fixed costs, limiting the universities'
ability to reduce certain expenses.  Indeed, 90% of the
universities' budgets go to operating expenditures, leaving
only a small portion for capital projects.  Over the past few
years, the rated universities have maintained operating
surpluses, which usually allow them to finance some
infrastructure projects.  The Nuevo Leon University has been
the strongest performer among the rated universities, with
double-digit surpluses in each of the past five years.

For the rest of 2008, S&P doesn't expect the universities'
budgetary performance to change significantly from that of the
past few years.  Most operating expenditures should be covered
by federal and state transfers, and S&P doesn't anticipate a
significant increase in capital projects.

Some public universities carry low-to-moderate debt levels
because they don't often make significant capital expenditures
and they usually receive government capital transfers for
infrastructure projects.  Considering the sector's needs, S&P
assumes that debt levels will increase in the coming years as
student demand remains strong and infrastructure projects
require investment.  Nevertheless, the universities' decision
makers do not have clear plans indicating the type of financing
they will pursue, apart from the traditional federal and state
transfers.  None of the rated institutions have issued debt in
the local capital market, but they have had access to bank
loans, mostly guaranteed by recurrent federal or state
transfers.  Unfunded pension liabilities continue to be a vexing
issue, and for this, too, the universities are expecting some
type of support from the federal government soon.

Although managements are generally stable, their financial
administration shows room for improvement. The universities
don't depend on specific teams to manage their finances with
medium or long-term planning.  For example, even though
reelection of deans is allowed and it is common to see key
officials remaining over many years, in most cases no formal
debt or liquidity policies are in place.  University officials
still have a lot of discretion in managing funds; therefore,
S&P believes that universities could potentially improve their
financial management and transparency in the coming years.
However, uncertainty in the management of funds poses credit
risks, especially when universities have outstanding debts.

           Universities will need to diversify revenues
               to meet infrastructure needs ahead

Assuming that student demand for higher education in Mexico
will increase, universities will have to explore different ways
to finance their infrastructure needs.  The biggest challenge
facing all public universities in Mexico in the next decade will
be the diversification of their revenue mix to reduce reliance
on transfers.  This could allow them more opportunities to
finance capital projects with their own resources and could
improve their financial flexibility, positively affecting the
ratings.

Nevertheless, S&P doesn't expect the rated Mexican public
universities to incur significant amounts of debt in 2008.  Of
the three, Benemerita Universidad and Universidad Autonoma del
Carmen will see the highest near-term pressures as they attempt
to resolve their unfunded pension obligations.



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

NEWPORT BONDING: A.M. Best Shifts B+ FS Rating Outlook to Neg.
--------------------------------------------------------------
A.M. Best Co. has revised the outlook to negative from stable
and affirmed the financial strength rating of B+ and issuer
credit rating of ?bbb-? of Newport Bonding and Surety Company.

The revised outlook is due to Newport's decline in underwriting
performance, which has resulted in a downward trend of operating
earnings and a combined ratio above breakeven for three
consecutive years.  In addition, reductions in surplus have been
reported. A.M. Best is concerned that surplus levels will not
remain sufficient to support risk-adjusted capital levels.
Newport is taking several corrective actions such as utilizing
its subrogation rights to recover losses that stemmed from prior
year surety contracts, as well as non-renewing unprofitable
business, and early indications are favorable as 2008 surplus
levels have returned to historical norms.

The ratings reflect Newport's adequate capitalization and
consistent stream of investment income, which have partially
mitigated recent underwriting losses, which stemmed from prior
year activity.  Partially offsetting these positive rating
factors are the company's elevated underwriting expenses,
geographic concentration and downward trend in operating
earnings driven by unfavorable underwriting results.  Newport's
commission expenses remain elevated, which diminish underwriting
profits and therefore capital appreciation.  However, the
commission costs compare similarly to local peers in Puerto
Rico, which does not regulate the commercial insurance lines.
In addition, with all of its business produced in Puerto Rico,
Newport is exposed to judicial, regulatory and economic concerns
on the island.

Newport Bonding and Surety Company is based in Hato Rey, Puerto
Rico.


REXVILLE OPEN: Case Summary & 20 Largest Unsecured Creditors
------------------------------------------------------------
Debtor: Rexville Open MRI & CT Center, Inc.
         Urb Cana, RR 13 Calle 11
         Bayamon, PR 00957

Bankruptcy Case No.: 08-05015

Type of Business: The Debtor provides medical imaging services.

Chapter 11 Petition Date: Aug. 1, 2008

Court: District of Puerto Rico (Old San Juan)

Judge: Sara E. de Jesus Kellogg

Debtor's Counsel: Luisa S. Valle Castro, Esq.
                      Email: notices@condelaw.com
                   C. Conde & Associates
                   254 Calle San Jose 5th Fl.
                   San Juan, PR 00901-1523
                   Tel: (787) 729-2900
                   http://www.condelaw.com/

Total Assets:US$691,309

Total Debts: US$2,967,120

A copy of Rexville Open MRI & CT Center, Inc.'s petition is
available for free at http://bankrupt.com/misc/prb08-05015.pdf



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

CHRYSLER LLC: Dana Wants to End Supply Agreement by December 31
---------------------------------------------------------------
Dana Holding Corporation asked the U.S. Bankruptcy Court for the
Southern District of New York to provide a declaratory judgment
confirming that the existing supply agreement between Dana and
Chrysler LLC will conclude on Dec. 31, 2008.

Dana is seeking to confirm its rights relative to the Settlement
Agreement reached by the two companies in August 2007 and
confirmed by the Bankruptcy Court one month later.  The
requested court action is an attempt to determine Dana's future
course as a supplier to Chrysler.

?Our goal is to establish a mutually rewarding supply agreement
with Chrysler moving forward,? John Devine, Dana executive
chairperson, said.  ?However, Dana is prepared to exercise its
right to discontinue supplying Chrysler effective Jan. 1, 2009,
if we continue to be unsuccessful in engaging them to address
this goal in a meaningful way.?

?While we sincerely hope that this will not be the case, we have
informed Chrysler of our intentions in order to provide both
companies with the time to consider their options for ongoing
sourcing of the programs we currently support,? he added.
?While this is an isolated case, it serves to illustrate our
commitment to pursue only market-competitive business
opportunities moving forward.?

Mr. Devine acknowledged that a potential decision to vacate the
Chrysler business could have a substantial impact on select Dana
facilities, but cautioned that any related concerns would be
premature.  He said, ?It's far too early and inappropriate to
speculate on potential outcomes at a facility level.  To be
clear, our focus remains on achieving a market-competitive
agreement with Chrysler moving forward.?

Dana's history of supplying Chrysler dates back more than 70
years and includes supplying four-wheel drive and axle
technologies for the very first Willys MA Jeep(R) produced in
1941.  This relationship continues with Dana's supply of
drivetrain technologies for several Jeep models including the
Wrangler, Liberty, and select versions of the Grand Cherokee;
the Dodge Nitro and Viper vehicles; and select light- and
medium-duty versions of the Dodge Ram pickup truck.

                    About Dana Holding Corporation

Based in Toledo, Ohio, Dana Corporation -- http://www.dana.com/
-- designs and manufactures products for every major vehicle
producer in the world, and supplies drivetrain, chassis,
structural, and engine technologies to those companies.  Dana
employs 46,000 people in 28 countries.  Dana is focused on being
an essential partner to automotive, commercial, and off-highway
vehicle customers, which collectively produce more than 60
million vehicles annually.

Dana has facilities in China in the Asia-Pacific, Argentina in
the Latin-American regions and Italy in Europe.

                      About Chrysler LLC

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

                           *     *     *

As reported in the Troubled Company Reporter June 24, 2008,
Moody's Investors Service affirmed the B3 Corporate Family
Rating and Probability of Default Rating of Chrysler LLC, but
changed the outlook to negative from stable.  The change in
outlook reflects the increasingly challenging environment faced
by Chrysler 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.

As reported in the Troubled Company Reporter on May 9, 2008,
Fitch Ratings downgraded the Issuer Default Rating of Chrysler
LLC to 'B' from 'B+', with a Negative Rating Outlook.  Fitch has
also downgraded the senior secured bank facilities, including
senior secured first-lien bank loan to 'BB/RR1' from 'BB+/RR1';
and senior secured second-lien bank loan to 'CCC+/RR6' from
'BB+/RR1'.  The recovery rating on the second lien was also
downgraded from 'BB+/RR1' to 'CCC+/RR6' based on lower asset
value assumptions and associated recoveries in the event of a
stress scenario.


CHRYSLER LLC: Production May Suffer if Dana Severs Contract
------------------------------------------------------------
Mike Ramsey and Alex Ortolani at Bloomberg News says Chrysler
LLC risks a possible production shutdown should supplier Dana
Holdings Inc. win a lawsuit to end a money-losing contract.

Dana has asked the Hon. Judge Burton Lifland of the U.S.
Bankruptcy Court for the Southern District of New York to
confirm that the parties' supply agreement ends Dec. 31, 2008.
Under the 2007 deal, Dana became the exclusive supplier of
driveshafts, axles and other parts to Chrysler until the end of
2008.  Because Chrysler refused to extend the deal into 2009,
Dana said, any orders beyond 2008 are ?unenforceable?.

Dana, Bloomberg relates, said rising steel prices mean it's
losing US$75 million annually on its parts agreement for six
Chrysler models.

Bloomberg says that, according to the complaint, Chrysler has
told Dana it doesn't have the right to end the supply agreement.

According to Bloomberg, Dana said it supplies parts to
Chrysler's Jeep Liberty, Wrangler and some Grand Cherokee sport-
utility vehicles, as well the Dodge Nitro SUV, Viper sports car
and some Dodge Ram pickups.

Dana in a regulatory filing with the Securities and Exchange
Commission said orders from Chrysler make up 3% of its total
revenues for the first half of 2008.  Ford is Dana's single
largest customer, comprising 19% of revenues for the first half.
Its other largest customers are General Motors, 6% of revenues;
and Toyota, 5%.

James Gillette, a consultant with CSM Worldwide Inc. in Grand
Rapids, Michigan, told Bloomberg Chrysler would have few options
to replace Dana's axles and driveshafts.  ?It puts an enormous
amount of pressure on Chrysler,? Mr. Gillette told Bloomberg in
an interview.  ?It's not like there are 200 other suppliers they
could go to.  Dana does have some level of bargaining power.?

According to Bloomberg, Dana Chairman John Devine said on a
conference call with analysts that the partsmaker is ?not out
here to pick a fight with Chrysler?.  Mr. Devine explained the
Chrysler business has ?a significant loss and we need to address
that?.

Bloomberg relates that Kevin Frazier, a spokesman for Chrysler,
said Chrysler's view is that ?while the agreement may end on
Jan. 1, 2009, the underlying purchase orders were intended to
continue in accordance with their terms?.

Mr. Gillette told Bloomberg that Magna International Inc.,
American Axle & Manufacturing Holdings Inc. and Tower Automotive
LLC are capable of stepping in for Dana as a Chrysler supplier.
Cerberus Capital Management LP also owns a significant stake in
Tower.

                    About Dana Holding Corporation

Based in Toledo, Ohio, Dana Corporation -- http://www.dana.com/
-- designs and manufactures products for every major vehicle
producer in the world, and supplies drivetrain, chassis,
structural, and engine technologies to those companies.  Dana
employs 46,000 people in 28 countries.  Dana is focused on being
an essential partner to automotive, commercial, and off-highway
vehicle customers, which collectively produce more than 60
million vehicles annually.

Dana has facilities in China in the Asia-Pacific, Argentina in
the Latin-American regions and Italy in Europe.

                      About Chrysler LLC

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

                           *     *     *

As reported in the Troubled Company Reporter June 24, 2008,
Moody's Investors Service affirmed the B3 Corporate Family
Rating and Probability of Default Rating of Chrysler LLC, but
changed the outlook to negative from stable.  The change in
outlook reflects the increasingly challenging environment faced
by Chrysler 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.

As reported in the Troubled Company Reporter on May 9, 2008,
Fitch Ratings downgraded the Issuer Default Rating of Chrysler
LLC to 'B' from 'B+', with a Negative Rating Outlook.  Fitch has
also downgraded the senior secured bank facilities, including
senior secured first-lien bank loan to 'BB/RR1' from 'BB+/RR1';
and senior secured second-lien bank loan to 'CCC+/RR6' from
'BB+/RR1'.  The recovery rating on the second lien was also
downgraded from 'BB+/RR1' to 'CCC+/RR6' based on lower asset
value assumptions and associated recoveries in the event of a
stress scenario.


CHRYSLER LLC: In Talks with Nissan on Midsize Cars Manufacturing
----------------------------------------------------------------
Chrysler LLC is planning to outsource the engineering and
development of its cars, The Wall Street Journal reports.

According to WSJ, Chrysler LLC is having discussions with
Japan's Nissan Motor Co. about jointly producing midsize cars, a
partnership that would move the U.S. auto maker toward a radical
new business model.

The Journal citing people familiar with the matter, states that
both companies agreed in early 2008 to team up on pickup trucks
and subcompact cars.  Since then, the Journal relates, they have
been negotiating a deal: Nissan to manufacture midsize sedans
and Chrysler would sell it in the U.S. under its own name.

Under its earlier agreement with Nissan, Chrysler will start
selling a subcompact car made by Nissan by about 2011, WSJ
states.  Chrysler, WSJ notes, also has a deal under which
China's Chery Automobile Co. will make small cars for it.

A deal, according to WSJ, would signal a switch in the way
Chrysler operates, particularly in its passenger-car business.
Chrysler intends to continue developing new trucks, sport-
utility vehicles and minivans itself, from the ground up, WSJ
adds.

A partnership with Nissan on midsize sedans would put Chrysler
on a path to becoming a marketer and seller of cars made by
others, WSJ says.

WSJ states that this outsourcing approach has worked for
computer makers but could be risky for the auto industry.
Sophisticated car buyers, WSJ says, who are aware that Nissan is
manufacturing sedans for Chrysler might simply buy Nissan's
version of the car.  WSJ, citing Michael Ward, an automotive
analyst at Soleil Securities Group, indicates that success of
such deals comes down to marketing and branding.

Outsourcing the manufacturing of cars could offer one big
advantage for Chrysler and its majority shareholder, Cerberus
Capital Management LP, ?it could save Chrysler the billions of
dollars it costs to develop a full line of vehicles in-house,?
WSJ points out.

Chrysler is still deciding how to add a new midsize sedan to its
lineup, WSJ states, while Nissan is working on a redesign of its
Altima sedan.  The talks have centered on having Nissan produce
a version of that car for Chrysler, WSJ.

                         About Chrysler LLC

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

                           *     *     *

As reported in the Troubled Company Reporter on Aug 1, 2008,
Standard & Poor's Ratings Services lowered the ratings on
General Motors Corp., Ford Motor Co., and Chrysler LLC, all to
'B-' from 'B'.  The ratings on GM and Ford were removed from
CreditWatch with negative implications, where they had been
placed on June 20, 2008.  Chrysler will remain on CreditWatch
pending the renewal of certain bank lines at DaimlerChrysler
Financial Services Americas LLC, which S&P expects to be
completed in the next few days.  If the bank lines are renewed
as expected, S&P would affirms the ratings on Chrysler and DCFS
and remove them from CreditWatch.

On July 31, 2008, TCR said that Fitch Ratings has downgraded the
Issuer Default Rating of Chrysler LLC to 'CCC' from 'B-'.  The
rating outlook is negative.  The downgrade reflects Chrysler's
restricted access to economic retail financing for its vehicles,
which is expected to result in a further step-down in retail
volumes.  Lack of competitive financing is also expected to
result in more costly subvention payments and other forms of
sales incentives.  Fitch is also concerned with the state of the
securitization market and the ability of the automakers to
access this market on an economic basis over the near term,
given the steep drop in residual values, higher default rates,
higher loss severity being experienced and jittery capital
markets.


CHRYSLER LLC: S&P Cuts Ratings to CCC+ on Funding Constraints
-------------------------------------------------------------
Standard & Poor's Ratings Services said lowered its ratings on
Chrysler LLC, including the corporate credit rating, to 'CCC+'
from 'B-'.

At the same time, S&P lowered the counterparty credit rating on
DaimlerChrysler Financial Services Americas LLC, the auto
finance affiliate of Chrysler, to 'CCC+' from 'B-'. In addition,
S&P removed all ratings from CreditWatch with negative
implications, where they were placed originally on June 20,
2008.  S&P lowered the ratings to 'B-' on July 31, 2008, and
stated then that the ratings would remain on CreditWatch until
certain bank lines at DCFS had been renewed, which has occurred.
The outlook on both issuers is negative.

Separately, S&P revised the recovery rating on DCFS's
US$2 billion first-lien revolving credit facility andUS$4
billion first-lien term loan to '3', indicating that lenders can
expect meaningful (50% to 70%) recovery in the event of a
payment default, from '1'.  The issue level rating on this debt
is now 'CCC+', the same as the issuer credit rating on DCFS.
The first-lien recovery rating revision is largely as a result
of the change in business prospects for DCFS, given the weaker
economy, increased gas prices, and the resultant reduction in
demand for large cars and trucks and the precipitous decline in
residual values.

?The downgrades [] reflect our view that the amount and
structure of DCFS's recently renewed bank lines leave the
finance company with fewer options to overcome any new funding
challenges during the next year,? said Standard & Poor's credit
analyst Robert Schulz.  S&P believes Chrysler's and DCFS's
sources of funding, including these bank lines, which are used
to backstop a private securitization conduit, are currently
sufficient to operate the business now that Chrysler has exited
lease financing and assuming no incremental challenges are
created by the uncertain credit markets.  But the US$24 billion
DCFS facility is less than S&P expected and moreover includes
mandatory reductions in commitments totaling US$4 billion over
the next 12 months.  These changes are a reflection of the tense
state of the capital markets, the dismal outlook for the U.S.
auto market this year and next, and the capital markets'
skeptical view of Chrysler's prospects.

The greatest threats to the ratings in the near term are the
depth of economic weakness in the U.S., the extent of the demand
shift away from light trucks, and the ability of the finance
company to continue its timely access to the asset-backed
securities (ABS) markets in support of Chrysler's sales.  DCFS
remains heavily reliant on the public ABS markets to supplement
funding provided by the private conduit.

Although Chrysler does not publicly release financial
statements, S&P expects the company to experience a net cash
outflow from its automotive operations in 2008, its first full
year since being acquired by Cerberus Capital Management L.P.
from Germany's Daimler AG.  Aggressive fixed-cost reduction and
conservative industry sales assumptions have kept Chrysler at or
above most of its financial targets through the first half of
2008.  However, S&P believes the significantly weakened demand,
particularly for pickup trucks and SUVs, will lead to a
continued high rate of cash outflows through the end of 2008 and
into 2009.  Another major headwind has been plummeting used-
pickup and SUV prices, which is causing losses on some leasing
activities.  Chrysler announced in July 2008 that it would stop
offering leases to potential customers through its financial
affiliate effective Aug. 1.

Because of the severe industry weakness, Chrysler recently
augmented its restructuring actions, which will lead to total
reductions of about 26,000 hourly and salaried workers and
elimination of 1.1 million units of capacity.  In June 2008,
Chrysler announced plans to close an additional minivan plant by
the end of this year and reduce shifts at another truck plant to
one shift from two.

S&P expects U.S. light-vehicle sales to be 14.4 million units in
2008, the lowest in 15 years and down sharply from 16.1 million
units in 2007. S&P expects sales to fall further in 2009, to
about 14.1 million units, as the economy remains weak and
housing prices and consumers' access to credit remain under
pressure.

The negative outlook reflects S&P's expectation that current
liquidity and funding access could become dangerously
constrained if management's cost-cutting actions fall short of
plan, if industry conditions continue to worsen beyond S&P's
expectations, or if DCFS's access to the ABS markets is
inadequate, whether for company-specific reasons or because of
broader market conditions.  S&P could lower the ratings if S&P
came to believe that Chrysler's cash and short-term investments
would drop below the mid-single-digit billions before the middle
of 2009, if Chrysler appeared unable to successfully meet its
2010 payments to the UAW health care trust, or if the finance
company was unable to continue its timely access to the ABS
markets in support of Chrysler's sales.  This could occur if
U.S. industry light-vehicle sales drop significantly below 14
million units this year or next, or if higher gas prices lead to
an even more substantial decline in light-truck demand beyond
levels witnessed in June.  S&P also could lower the ratings if
DCFS loses sufficient and economical access to funding from
securitization markets for any substantial length of time.

S&P does not expect to revise the outlook to stable within the
next year, given the economic outlook, ongoing turnaround plan
execution risk, and pressure on liquidity.


CITGO PETROLEUM: Edouard Storm No Impact on Gulf Coast Plants
-------------------------------------------------------------
Citgo Petroleum Corp.'s spokesperson Shawn Trahan sent an E-mail
to Reuters, saying  that Tropical Storm Edouard hasn't affected
its oil refineries at the U.S. Gulf Coast.

Reuters states that Citgo Petroleum's refineries at the Gulf
Coast include:

           -- wholly owned 156,000 barrel per day plant in Corpus
              Christi, Texas;

           -- wholly owned 429,500 barrels per day Lake Charles
              complex in Louisiana;

           -- 192,760 barrel per day jointly venture refinery in
              Chalmette, Louisiana; and

           -- 270,200 barrel per day joint venture refinery in
              Houston.

Margot Habiby Bloomberg News relates that Edouard hit the the
Texas coast on Aug. 5, 2008, and halted 6% of oil production in
the U.S. Gulf of Mexico.

Headquartered in Houston, Texas, Citgo Petroleum Corp. --
http://www.citgo.com/-- is owned by PDV America, an indirect,
wholly owned subsidiary of Petroleos de Venezuela S.A., the
state-owned oil company of Venezuela.

Petroleos de Venezuela is Venezuela's state oil company in
charge of the development of the petroleum, petrochemical, and
coal industry, as well as planning, coordinating, supervising,
and controlling the operational activities of its divisions,
both in Venezuela and abroad.

                            *     *     *

As reported in the Troubled Company Reporter-Latin America on
Dec. 21, 2007, CITGO Petroleum Corporation's Issuer Default
Rating was lowered by Fitch to 'BB-' from 'BB' following the
company's announcement that it has taken out a US$1 billion
bridge loan and used the proceeds to make a US$1 billion loan to
parent Petroleos de Venezuela SA (PDVSA IDR 'BB-', Negative
Outlook).


HARVEST NATURAL: Reports US$0.8 Mln. Net Income in 2nd Quarter
--------------------------------------------------------------
Harvest Natural Resources, Inc. has reported 2008 second quarter
earnings and an operations update.  Highlights for the quarter
include:

   -- Receipt of a cash dividend from Petrodelta of US$58 million
      net to Harvest Natural relating to net income as reported
      under International Financial Accounting Standards for the
      period of April 2006 through December 2007;

   -- Production growth resulting from Petrodelta's drilling
      program with June 2008 oil production averaging in excess
      of 15,000 barrels per day;

   -- Continuing progress in the company's domestic and
      international exploration programs; and

   -- Completion of the buyback of 4.6 million shares authorized
      under the US$50 million 2007 Share Repurchase Program and
      Board authorization of the repurchase of an additional
      US$20 million of common stock outstanding.

                             Earnings

Harvest Natural reported 2008 second quarter earnings of
US$0.8 million compared with a loss of US$6.9 million for the
same period last year.  The company adopted the successful
efforts method of accounting in 2007.  The second quarter
results include exploration charges of US$2.9 million.
Petrodelta reported second quarter earnings of US$36.3 million,
US$11.6 million net to Harvest Natural's 32% interest, under
International Financial Accounting Standards (IFRS).  After
adjustments to Petrodelta's IFRS earnings, primarily to conform
to United States GAAP, Harvest's 32% share of Petrodelta's
earnings was US$9.1 million.  Further, the company received a
net US$58 million cash dividend from Petrodelta in the second
quarter.

Harvest Natural President and Chief Executive Officer, James A.
Edmiston, said, ?During the second quarter we received our first
cash dividend payment from Petrodelta.  Petrodelta's drilling
program commenced in April of 2008 and the production results to
date have been outstanding.  We expect continued increases in
production as the Petrodelta development program progresses
and expands to the new fields. Elsewhere our exploration
programs are advancing steadily and we are eagerly anticipating
the spud of our first exploratory well in our US Gulf Coast
program in the coming weeks.  We completed our US$50 million
share buyback at what we continue to believe are prices which
fail to recognize the value of our Venezuelan assets and the
substantial potential of our exploration portfolio.  Further,
there is adequate cash flow in Petrodelta to fulfill our planned
development program in Venezuela and sufficient cash on hand to
proceed with our exploration programs elsewhere.  As a result,
the Board has extended the stock repurchase program for an
additional US$20 million of common shares.  With Petrodelta's
results beginning to confirm the potential of our Venezuelan
business, and the continued momentum in our exploration
programs, Harvest is well positioned to execute its growth and
diversification strategy.?

                           Venezuela

Petrodelta delivered 1.2 million barrels of oil or 13,600
barrels of oil per day, and 3.1 billion cubic feet of natural
gas to PDVSA Petroleo, S.A. for the three months ending June 30,
2008, compared to 1.3 million barrels of oil or 14,700 barrels
of oil per day, and 3.4 billion cubic feet of natural gas to
PDVSA Petroleo, S.A for the same period in 2007.

The average price received for oil deliveries was US$83.12. The
average price is determined by market prices for the quality of
oil produced by Petrodelta and the impact of the Law of Special
Contribution to Extraordinary Prices at the Hydrocarbons
International Market ("Windfall Profits Tax") implemented by the
Venezuelan government.

For the second quarter of 2008, the world market price for the
quality of oil produced by Petrodelta averaged approximately
US$100.20 per barrel, or 81% of WTI.  The Windfall Profits Tax,
which is applied as a further reduction to the price per barrel
received above certain thresholds, reduced the actual price for
Petrodelta's crude deliveries by US$17.08 per barrel to US$83.12
per barrel. The application of the tax from its effective date
of April 15, 2008 reduced Petrodelta's gross quarterly earnings
by US$11.1 million, or US$3.5 million net to Harvest Natural's
32% interest.  The natural gas price is contractually fixed at
US$1.54 per thousand cubic feet.

                  Petrodelta Development Activities

Petrodelta commenced drilling operations in the Uracoa field on
April 21, 2008, with the first well coming on line May 29, 2008.
As of June 30, 2008, Petrodelta has drilled and completed two
successful wells, each with initial production rates of 1,600
barrels of oil per day, average drilling time of 33 days and
average cost of US$3.2 million.  A third well has been
successfully completed and began production on Aug. 2, 2008, and
is currently being tested.  Going forward, Petrodelta expects to
improve drilling time performance to an average of less than 25
days to drill and complete with costs below US$2.5 million per
well.

The drilling program, and ongoing workover and field improvement
activities resulted in average production rates exceeding 15,000
barrels of oil per day in June and 16,500 barrels of oil per day
currently.  The company is projecting Petrodelta's production to
reach 23,000 to 25,000 barrels of oil per day by the end of
2008.  Petrodelta's average daily production rate for 2008 is
projected to be between 16,500 and 17,500 barrels of oil per
day, having started the year with a production rate of 13,000
barrels of oil per day.

Petrodelta has contracted a second drilling rig which is now in
Venezuela being assembled, and is expected to begin drilling
early in the fourth quarter of 2008 in the Temblador field.
Petrodelta is planning to add at least one more rig prior to the
end of the year.

                        Exploration Programs

Dussafu Marin, Gabon

Harvest Natural has received final government approvals and
closed the purchase in April for the 50-percent operated
interest in the offshore production sharing contract.  The
sharing contract work commitment includes the acquisition and
processing of 500 kilometers of 2-D seismic, completion of
engineering studies and the drilling of a conditional well.
Depending on permitting and vessel availability, the company's
plans to shoot the 2-D seismic during the second half of this
year and the Company recently began contracting for the
reprocessing of 1,076 square kilometers of existing 3-D data
covering the pre-existing, undeveloped Gamba discoveries on the
block.  Remaining 2008 net expenditures on the Dussafu block are
expected to be US$2.3 million.

Budong-Budong, Indonesia

In April, the final Indonesian governmental approval was
received for the farm-in of the Budong-Budong Exploration
Production Sharing Contract to earn a 47% working interest.  The
work program includes the acquisition and processing of 550
kilometers of 2-D seismic and the drilling of two exploration
wells.  Harvest Natural will fund 100% of the first US$17.2
million of expenditures to earn its 47% interest.  The 2-D
seismic acquisition program commenced in February and should be
complete prior to year-end.  Remaining 2008 net expenditures on
the Budong-Budong block are expected to be US$6.4 million.

United States Operations

During the second quarter 2008, the company made significant
progress on two projects within its Gulf Coast Area of Mutual
Interest (AMI) which was announced in April of this year.

The first project is an exploration prospect in Calcasieu
Parish, Louisiana.  The AMI participants have secured a 6,800
acre leasehold on the prospect.  The initial exploratory well on
the prospect, the Harvest Hunter No. 1, has been permitted and
the company is expecting the rig to be mobilized before the end
of August 2008.  The projected dry hole cost of the well is
US$5.5 million.  The company incurred costs of approximately
US$1.2 million during the second quarter of 2008 for the
purchase of tubulars and other preparatory expenses for drilling
of the well.  The well will be drilled to approximately 12,000
feet and will test the overpressured Vicksburg formation.

The second project in the Gulf Coast AMI is Harvest Natural's
Bay Exploration project located near Galveston, Texas.  On
July 1, 2008, the AMI participants acquired 6,510 acres of
offshore leases representing all or part of 12 separate tracts
at the Texas General Land Office lease sale.  This newly
acquired acreage is generally contiguous to and complements the
5,418 acres previously held by the participants in the area.
The AMI participants are now re-processing a proprietary 3-D
seismic survey which covers a significant portion of the project
area where the company and its partners have identified thirteen
leads in the regionally prolific Frio and Vicksburg intervals.

Remaining 2008 net expenditures on the company's currently
identified U.S. exploration programs are expected to be
US$11 million, inclusive of the costs associated with the
drilling of the Harvest Hunter No. 1 well.

                      About Harvest Natural

Harvest Natural Resources, Inc. (NYSE: HNR) --
http://www.harvestnr.com/-- is an independent energy company
engaged in the acquisition, exploration, development, production
and disposition of oil and natural gas properties.  The company
has acquired and developed significant interests in the
Venezuela, Russia and has also undeveloped acreage offshore of
China.  The company's only producing assets are in Venezuela.
Its subsidiary, Harvest Vinccler S.C.A. has been providing
operating services to Petroleos de Venezuela SA (PDVSA).

                         *     *     *

As reported in December 2007, Harvest Natural Resources said in
a statement that it incurred a US$6.5 million loss in the first
quarter 2007, and a net loss of US$62.5 million as of Dec. 31,
2006.

Moody's Investors Service Upgraded the company's senior implied
rating to Caa1 from Caa2 in September 2004.  The rating still
hold to date.


PETROLEOS DE VENEZUELA: Fails to Meet 198 Drill Goal for 2008
-------------------------------------------------------------
El Universal reports that Petroleos de Venezuela SA has failed
to reach its goal of 198 drills set for this year under its Oil
Sowing Plan.

Petroleos de Venezuela's Exploration and Production Vice
President Luis Vierma told reporters that Venezuela had almost
180 active units, 50% increase in less than six months, El
Universal relates.  According to the report, the figure fails to
meet the goal of 198 units set for this year under the Oil
Sowing Plan and the peak of 205 units set for 2010.

El Universal relates that Petroleos de Venezuela nationalized
about 41 drills that had been outsourced, mainly in the western
region of the country, as the firm was affected by the lack of
drills and rigs available for rental in foreign markets and
delayed delivery of the units manufactured by Chinese firms.

The ?best scenario? for Petroleos de Venezuela was ?to pass from
112 to 121 drills by the end of 2007?, compared to a goal of 191
drills set in its business plan, El Universal says, citing
figures mentioned by Mr. Vierma in the National Assembly.
Petroleos de Venezuela had planned to add another 53 units that
would be auctioned in the first quarter of 2008, El Universal
notes.

Venezuelan President Hugo Chavez decided to transfer several
drill to countries like Ecuador and Bolivia, El Universal
states.

Petroleos de Venezuela S.A. -- http://www.pdvsa.com/-- is
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad.  The company has a commercial office in China.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
April 28, 2008, Standard & Poor's Ratings Services affirmed its
'BB-' long-term corporate credit rating on Petroleos de
Venezuela S.A.  S&P said the outlook is stable.

In March 2007, Fitch Ratings gave a BB- rating to PdVSA's
Senior Unsecured debt.

On Feb. 7, 2007, Moody's Investors Service affirmed the
company's B1 global local currency rating.


SIDERURGICA DEL TURBIO: S&P Affirms B Rating on US$100MM Notes
--------------------------------------------------------------
Standard & Poor's Ratings Services has affirmed its 'B' long-
term corporate credit rating on Siderurgica del Turbio S.A. and
its 'B' rating on the company's US$100 million 10% notes due
2016.  The outlook is stable.

?The rating on Sidetur reflects the challenges it faces due to
Venezuela's political, regulatory, and business environment, its
high correlation with the Venezuelan construction industry,
client concentration, cyclical end markets, and exchange
controls in Venezuela.  These factors more than offset the
benefits derived from current favorable steel market conditions,
its leading position in niche markets, and its comfortable debt
maturity profile,? said S&P's credit analyst Juan Pablo Becerra.

Siderurgica del Turbio has significant exposure to the
construction sector in Venezuela, which represents close to 75%
of total volume.  Sales to this end market are closely tied to
Venezuela's political and economic conditions because
construction in Venezuela often increases in the years
surrounding presidential elections as the Venezuelan government
increases spending on social and other programs.  This sector in
Venezuela increases or decreases at a rate that is several times
that of the Venezuelan economy.  S&P anticipates that the
construction sector will slow down in 2008 compared with 2007,
but the rating agency uncertain of its performance during the
upcoming years.

As of June 2008, the company's principal customer in Venezuela
was Preca, a retail and wholesale distributor of steel and
hardware products, representing almost 20% of total revenues.
Its 10 largest customers in Venezuela accounted for close to 40%
of its total revenues, which compares negatively with other
international peers.  S&P believes the company's client
concentration could be a threat for the company due to its
strong dependence on these clients.

The stable outlook reflects S&P's expectation that Siderurgica
del Turbio will generate enough cash flow to finance its capital
expenditure program during the next three years, and Sivensa
will remain debt-free.  The ratings could be pressured downward
if the company's financial profile considerably deteriorates or
if its current business strength suffers from potential economic
and political changes in Venezuela.  In contrast, although the
company's financial performance has been strong during the past
three years, a sharp improvement in the political, regulatory,
and business environment in Venezuela would be needed for an
upgrade.

Headquartered in Caracas, Venezuela, Siderurgica del Turbio SA
-- http://www.sidetur.com.ve/-- is a subsidiary of Sivensa, one
of the largest industrial conglomerates in Venezuela.  The
company produces finished and semifinished steel products,
including long steel, reinforcing bars and special quality
steel.  Its semifinished product is billets.  During the first
half of 2008, the company generated US$243 million in revenues.



* BOND PRICING: For the Week August 11 - August 15, 2008
--------------------------------------------------------

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

   ARGENTINA
   ---------
Alto Palermo SA          7.875     5/11/17     USD      68.13
Argnt-Bocon PR11         2.000     12/3/10     ARS      51.26
Argnt-Bocon PR13         2.000     3/15/24     ARS      54.24
Arg Boden                2.000     9/30/08     ARS      15.20
Arg Boden                7.000     10/3/15     USD      64.85
Autopistas Del Sol      11.500     5/23/17     USD      50.45
Bonar ArgUS$ V          10.500     6/12/12     ARS      68.58
Bonar X                  7.000     4/17/17     USD      66.00
Inversiones y Rep        8.500      2/2/17     USD      68.13
Argent-EURDIS            7.820    12/31/33     EUR      59.63
Argent-$DIS              8.280    12/31/33     USD      72.75
Argent-Par               0.630    12/31/38     ARS      34.22
Banco Hipot SA           9.750     4/27/16     USD      69.05
Banco Macro SA           9.750    12/18/36     USD      62.63
Banco Macro SA           9.750    12/18/36     USD      64.31
Buenos-EURDIS            8.500     4/15/17     EUR      63.53
Buenos-$DIS              9.250     4/15/17     USD      70.62
Buenos Aire Prov         9.375     9/14/18     USD      66.45
Buenos Aire Prov         9.625     4/18/28     USD      62.75
Mendoza Province         5.500     9/04/18     USD      65.75

   BERMUDA
   -------
XL Capital Ltd           6.500    12/31/49     USD      56.00

   BRAZIL
   ------
CESP                     9.750     1/15/15     BRL      68.04
Gol Finance              7.500     4/03/17     USD      69.85
Gol Finance              7.500     4/03/17     USD      69.00
Gol Finance              8.750     4/29/49     USD      68.25
Tam Capital Inc.         7.375     4/25/17     USD      73.91
Tam Capital Inc.         7.375     4/25/17     USD      74.23

   CAYMAN ISLANDS
   --------------
Mazarin Fdg Ltd          0.100     9/20/68     EUR       4.22
Mazarin Fdg Ltd          0.250     9/20/68     USD       4.43
Mazarin Fdg Ltd          0.250     9/20/68     USD       4.43
Mazarin Fdg Ltd          0.250     9/20/68     USD       4.43
Mazarin Fdg Ltd          0.250     9/20/68     USD       4.43
Mazarin Fdg Ltd          0.250     9/20/68     USD       4.43
Mazarin Fdg Ltd          0.250     9/20/68     USD       4.43
Mazarin Fdg Ltd          0.510     9/20/68     EUR      10.83
Mazarin Fdg Ltd          0.630     9/20/68     GBP      13.24
Mazarin Fdg Ltd          1.440     9/20/68     GBP      26.07
Shimao Property          8.000     12/1/16     USD      62.94
Shinsei Fin Caym         6.418     1/29/49     USD      65.69
Shinsei Fin Caym         6.418     1/29/49     USD      69.51
Shinsei Finance          7.160     7/29/49     USD      68.83

   JAMAICA
   -------
Jamaica Govt LRS         7.500     10/6/12     JMD      72.31
Jamaica Govt LRS        12.750     6/29/22     JMD      74.17
Jamaica Govt LRS        12.750     6/29/22     JMD      71.12
Jamaica Govt LRS        12.850     5/31/22     JMD      70.57
Jamaica Govt LRS        13.325    12/15/21     JMD      70.58
Jamaica Govt            13.375     4/27/32     JMD      69.26

   VENEZUELA
   ---------
Petroleos de Ven         5.250     4/12/17     USD      64.97
Petroleos de Ven         5.375     4/12/27     USD      54.63
Petroleos de Ven         5.500     4/12/37     USD      53.67
Venezuela                5.750     2/26/16     USD      74.32
Venezuela                6.000    12/09/20     USD      67.25
Venezuela                7.000     3/31/38     USD      66.19



                             ***********

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.  Marie Therese Profetana, 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
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            * * * End of Transmission * * *