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        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                  

          Thursday, June 8, 2006, Vol. 7, Issue 113

                        Headlines


A R G E N T I N A

AUTOPISTAS DEL SOL: Argentine S&P Puts B+ Ratings on Three Debts
CONARY SA: Seeks Court Approval to Reorganize Business
DOCANE SA: Sets July 3 Deadline for Verification of Claims
ELENCO SA: Verification of Proofs of Claim Deadline Is June 28
FUNDACION COLEGIO: Moves Claims Verification Deadline to June 30

ISIDRO MORENO: Verification of Proofs of Claim Ends on July 14
LA FABRICA: Trustee Won't Validate Claims After July 13
PANAMERICANA LOGISTIC: Files Reorganization Petition
SURPROJECT SA: Creditors Must Present Proofs of Claim by Aug. 7
TONING CENTER: Deadline for Verification of Claims Is on Aug. 3

ULTRAPLAST SRL: Creditors Must Submit Proofs of Claim by Sept. 1

* ARGENTINA: World Bank Launches New Country Assistance Strategy

B E R M U D A

FOSTER WHEELER: Inaugurates US$950M Oryx GTL Plant in Qatar
GLOBAL CROSSING: Announces Latest Enhancements in IP VPN Service
GLOBAL CROSSING: Selects Infinera to Enhance Optical Network
LORAL SPACE: Unstayed Confirmation Order Moots Appeal

B O L I V I A

* BOLIVIA: Will Start Port & Railway Construction Tender Process

B R A Z I L

BANCO NACIONAL: Provides Financing to the State of Piaui
BERTIN LTDA: S&P Affirms B+ Long-Term Corporate Credit Rating
PETROLEO BRASILEIRO: Starts Albacora-Leste Prod'n With Repsol
REPSOL YPF: Partners With Petrobras in Albacora-Leste Production

* BRAZIL: Launching Buy-Back Program of Euro, Dollar Bonds
* BRAZIL: World Bank Approves US$1.1 Billion in Loans

C A Y M A N   I S L A N D S

BROWNSTONE GLOBAL: Schedules June 19 Final Shareholders Meeting
CHASER CAPITAL: Last Day to File Proofs of Claim Is June 29
CHASER CAPITAL MASTER: Proofs of Claim Must be Filed by June 29
CONISTON LIMITED: Final Shareholders Meeting Set for June 20
CONROE LIMITED: Final Shareholder Meeting Scheduled for June 20

FARIPSA LIMITED: Liquidating Assets Under 2004 Companies Law
GAZELLE GLOBAL: Holding Annual General Meeting on June 19
HEATON PROPERTIES: Starts Voluntary Liquidation of Assets
INFOR INTERMEDIATE: Declares Voluntary Liquidation of Business
INFOR INTERMEDIATE: Creditors Must File Claims by June 29

INFOR GLOBAL: Shareholder Declares Company's Liquidation
INFOR GLOBAL: Creditors Have Until June 29 to File Claims
INVIERNO HOLDINGS: Shareholders Places Company Under Liquidation
IOMIO HOLDINGS: Schedules June 19 Final Shareholders Meeting
LABMORGAN INT'L: Shareholders Declares Company's Liquidation

LASERLINE LIMITED: Creditors Have Until June 29 to File Claims
LONDON CREDIT: Last Day to File Proofs of Claim Is June 28
MALACCA FUND: Schedules Final Shareholders Meeting on June 16
MALIPUS LIMITED: Shareholder Declares Company's Liquidation
OKANAGAN LIMITED: Final Shareholder Meeting Is on June 20

RONDAU LIMITED: Final Shareholders Meeting Scheduled for June 20
SUPER SMART: Creditors Must File Proofs of Claim by June 29
TCR SOUTH AMERICA: Final Shareholders Meeting Set for June 20
VIALTA INT'L: Last Day to File Proofs of Claim Is June 29
WMC CAYMAN I: Last Day to File Proofs of Claim Is June 16

WMC CAYMAN II: Creditors Must File Proofs of Claim by June 16
ZEST INVESTMENT VII: Proofs of Claim Must be Filed by June 29

C O L O M B I A

ECOPETROL: Bids Submission for Cartagena Plant Moved to June 30

* COLOMBIA: Extends Bidding Deadline for 100% Stake in Ecogas
* COLOMBIA: Holds Trade Talks with Three LatAm Countries
* COLOMBIA: Meets Venezuelan Foreign Minister to Discuss US-FTA
* COLOMBIA: Says CenAm FTA Won't Replace Trade with Venezuela

C O S T A   R I C A

* COSTA RICA: Posts Recovery of Consumers' Confidence

C U B A

* CUBA: Thai Firms Interested in Establishing Trade Links

D O M I N I C A N   R E P U B L I C

DOMINICAN REPUBLIC: Awards EUR93-Mil. Contract to Alstrom SA

E C U A D O R

BANCO DEL PICHINCHA: Posts US$11 Mil. First Quarter Earnings

E L   S A L V A D O R

* EL SALVADOR: Holds Trade Talks with Three LatAm Countries
* EL SALVADOR: Mobile Telecom Reaches 35% of Market

G U A T E M A L A

* GUATEMALA: Holds Trade Talks with Three LatAm Countries
* GUATEMALA: Will Begin Construction of Power Link with Mexico

H O N D U R A S

* HONDURAS: Holds Trade Talks with Three LatAm Countries

J A M A I C A

KAISER ALUMINUM: Mr. Bodnar Says Holder Affidavits Are Defective

M E X I C O

MERIDIAN AUTOMOTIVE: Liquidation Analysis in Amended Joint Plan
GRUPO MEXICO: Declares Force Majeure Due to Strike at Canaea
TV AZTECA: Time Warner Cable Systems Adds Subsidiary's Program

* MUNICIPALITY OF TULTITLAN: Moody's Rates Local Currency at B1
* MEXICO: Will Begin Construction on Power Interconnection

P A N A M A

* PANAMA: Will Analyze Proposal on Waterway Extension

P A R A G U A Y

* PARAGUAY: Petropar Will Incur Higher Costs for Sugar Cane

P E R U

SANTANDER BANCORP: Declares US$0.16 Dividend per Common Share

P U E R T O   R I C O

MUSICLAND HOLDING: Walking Away from 122 Contracts & Leases

U R U G U A Y

* URUGUAY: Will Hold Trade Talks with China

V E N E Z U E L A

* VENEZUELA: Minister Meeting Colombian Counterpart on June 15
* IDB Presents New Dev't Initiative for LatAm & the Caribbean


                          - - - - -  


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


AUTOPISTAS DEL SOL: Argentine S&P Puts B+ Ratings on Three Debts
----------------------------------------------------------------
The Argentine arm of Standard & Poor's assigned these ratings on
Autopistas del Sol S.A.:

   -- ONs, increasing interest rate, 10 years due, in dollars

      * Last due: no date
      * Rated date: June 2, 2006
      * Rate: raB+
      * Date of balance: March 31, 2006
   
   -- Obligaciones Negociables with discount, 5 years due, in
      dollars
      
      * Last due: no date
      * Rated date: June 2, 2006
      * Rate: raB+
      * Date of balance: March 31, 2006
   
   -- Obligaciones Negociables with discount, 5 years due, in
      dollars

      * Last due: no date
      * Rated date: June 2, 2006
      * Rate: raB+
      * Date of balance: March 31, 2006
   

CONARY SA: Seeks Court Approval to Reorganize Business
------------------------------------------------------
A Buenos Aires court is studying the request for reorganization
submitted by local company Conary S.A., says Infobae.

The report adds that that the Company filed a "Concurso
Preventivo" petition following cessation of debt payments.

Under Insolvency protection, the Company will be able to draft a
proposal designed to settle its debts with creditors.  The
reorganization also prevents an outright liquidation.


DOCANE SA: Sets July 3 Deadline for Verification of Claims
----------------------------------------------------------
The verification of creditors' proofs of claim for the Docane
S.A. insolvency case is set to end on June 23, 2006, states
Infobae.  

Moises Gorelik, the court-appointed trustee who will examine the
claims, will submit the validation results as individual reports
on Aug. 29, 2006.  He will also present a general report in
court on Oct. 9, 2006.

On Apr. 9, 2007, the company's creditors will vote on the
settlement proposal prepared by the company.  

As reported in the Troubled Company Reporter on March 31, 2006,
Docane S.A. filed a petition to reorganize its business after
defaulting on its debt payments.

The trustee can be reached at:

         Moises Gorelik
         Avenida Cordoba 850
         Buenos Aires, Argentina


ELENCO SA: Verification of Proofs of Claim Deadline Is June 28
--------------------------------------------------------------
The verification of creditors' proofs of claim for the Elenco
S.A. insolvency case is set to end on June 28, 2006, states
Infobae.  

Buenos Aires Court No. 18 appointed Bernardino Kopcow as the
trustee who will facilitate the reorganization proceeding.

On April 6, 2007, the company's creditors will vote on a
settlement proposal prepared by the company.  

Clerk No. 35 assists the court in handling the company's
reorganization.

The debtor can be reached at:

         Elenco S.A.
         Alsina 815
         Buenos Aires, Argentina

The trustee can be reached at:

         Bernardino Kopcow
         Lavalle 1527
         Buenos Aires, Argentina


FUNDACION COLEGIO: Moves Claims Verification Deadline to June 30
----------------------------------------------------------------
Court No. 2 of Bahia Blanca, Buenos Aires, extended the deadline
for the verification of creditors' proofs of claim against
bankrupt firm Fundacion Colegio Hispano Argentino to
June 30, 2006, from March 30, 2006.  Alberto Jose Ricciardi, the
court-appointed trustee, will validate the claims.

Clerk No. 3 assists the court in this proceeding.

The debtor can be reached at:

         Fundacion Colegio Hispano Argentino
         Lamadrid 441, Bahia Blanca
         Buenos Aires, Argentina

The trustee can be reached at:

         Alberto Jose Ricciardi
         Lamadrid 449, Bahia Blanca
         Buenos Aires, Argentina


ISIDRO MORENO: Verification of Proofs of Claim Ends on July 14
--------------------------------------------------------------
The court-appointed trustee, Felisa Tumilasci, will verify
claims from the Isidro Moreno Gonzalez y Angel Antonio Moreno
"Mavi" Soc. de Hecho's creditors until July 14, 2006.  After the
verification period, the trustee will submit the individual and
general reports in court.  Dates for submission of these reports
are yet to be disclosed.

Court No. 14 of Buenos Aires' civil and commercial tribunal
approved a reorganization petition filed by the company,
according to a report from Argentine daily La Nacion.

The informative assembly will be held on May 8, 2007.  The
creditors will vote to ratify a completed settlement plan during
the assembly.

The city's Clerk No. 27 assists the court on the case.

The debtor can be reached at:

       Isidro Moreno Gonzalez y Angel Antonio Moreno
       "Mavi" Soc. de Hecho  
       Mexico 2094
       Buenos Aires, Argentina

The trustee can be reached at:

       Felisa Tumilasci
       Callao 449
       Buenos Aires, Argentina


LA FABRICA: Trustee Won't Validate Claims After July 13
-------------------------------------------------------
Court-appointed trustee Susana Graciela Marino won't validate
claims against bankrupt company La Fabrica de Quesos S.A. after
July 13, 2006, Infobae reports.

Ms. Marino will present the validated claims in court as
individual reports on Sept. 8, 2006.  The trustee will also
submit a general report on the case on Oct. 23, 2006.

A Buenos Aires court handles the company's bankruptcy case.

The trustee can be reached at:

         Susana Graciela Marino
         Uruguay 560
         Buenos Aires, Argentina


PANAMERICANA LOGISTIC: Files Reorganization Petition
----------------------------------------------------
A Buenos Aires court is reviewing the merits of Panamericana
Logistic S.A.'s petition to reorganize.  Infobae recalls that
the Company filed the petition following cessation of debt
payments.  A reorganization will allow the company to avoid
liquidation of its assets by negotiating a debt restructuring
scheme with its creditors.

The debtor can be reached at:

          Panamericana Logistic S.A.
          C. Pellegrini 1135
          Buenos Aires, Argentina


SURPROJECT SA: Creditors Must Present Proofs of Claim by Aug. 7
---------------------------------------------------------------
Creditors of bankrupt company Surproject S.A. are required to
present proofs of their claims to Felipe Florio, the court-
appointed trustee, by Aug. 7, 2006, La Nacion reports.  

Creditors who fail to submit the required documents by Aug. 7
will not qualify for any post-liquidation distributions.

Buenos Aires' Court No. 1 declared the company bankrupt at the
behest of Banca Nazionale del Lavoro S.A., which the company
owes US$10,687.32.

Clerk No. 2 assists the court on the case.

The debtor can be reached at:

         Surproject S.A.
         Uruguay 651
         Buenos Aires, Argentina

The trustee can be reached at:

         Felipe Florio
         Uruguay 618
         Buenos Aires, Argentina


TONING CENTER: Deadline for Verification of Claims Is on Aug. 3
---------------------------------------------------------------
Alejandro Sabsay, the court-appointed trustee for the bankruptcy
case of Toning Center S.A. has started verifying creditors'
proofs of claim.  The verification phase will end on
Aug. 3, 2006.

La Nacion relates that Buenos Aires' Court No. 21 declared the
company bankrupt at the request of Comercial Argentina Chilena
de Espectaculos y Servicios, which the company owes
US$2,006,463.18.

Clerk No. 42 assists the court in this case.

The debtor can be reached at:

         Toning Center S.A.
         Esmeralda 486
         Buenos Aires, Argentina

The trustee can be reached at:

         Alejandro Sabsay
         Bartolome Mitre 1131
         Buenos Aires, Argentina    


ULTRAPLAST SRL: Creditors Must Submit Proofs of Claim by Sept. 1
----------------------------------------------------------------
Creditors of bankrupt company Ultraplast S.R.L. are required to
submit proofs of their claims to Armando Gutman, the court-
appointed trustee, by Sept. 1, 2006, La Nacion reports.  

Creditors who fail to submit the required documents by Sept. 1
will not qualify for any post-liquidation distributions.

Buenos Aires' Court No. 3 declared the company bankrupt at the
behest of Obra Social del Personal de la Industria Plastica,
which the company owes US$17,250.19.

Clerk No. 5 assists the court on the case.

The debtor can be reached at:

         Ultraplast S.R.L.
         Avenida Corrientes 2963
         Buenos Aires, Argentina

The trustee can be reached at:

         Armando Gutman
         Esmeralda 625
         Buenos Aires, Argentina


* ARGENTINA: World Bank Launches New Country Assistance Strategy
----------------------------------------------------------------
The World Bank Group launched its new Country Assistance
Strategy or CAS for Argentina, which will guide the Bank Group's
program in the country through 2008.   In addition, the Board
approved two loans totalling US$180 million for the Basic
Municipal Services Project and the Urban Flood Prevention and
Drainage program.

The CAS was prepared with the Argentine authorities within the
context of broader discussions and consultations with civil
society and the private sector, and includes support from both
the International Bank for Reconstruction and Development or
IBRD and the International Finance Corporation, the private
sector arm of the World Bank Group.  The CAS includes up to
US$3.3 billion in new IBRD financing for Argentina in support of
investment operations to support the three pillars of sustained
economic growth with:

   -- equity,
   -- greater social inclusion, and
   -- improved governance.

"This assistance strategy seeks to build an investment
partnership to support Argentina in its efforts to translate the
strong recovery and welcome reductions in poverty and
unemployment achieved in recent years into sustainable private
sector-led economic growth and widely shared development that
reaches every Argentine citizen," said Axel van Trotsenburg,
World Bank Country Director for Argentina, Chile, Paraguay and
Uruguay.  "With substantial new investment operations and a
complementary program of analytical and advisory services, the
Bank remains committed to a strong partnership with Argentina in
the years to come."

The IFC is prepared to continue its support for private sector
development by providing long-term financing and structured
finance products to companies and projects in strategic sectors,
with an emphasis on groups expanding on a South-South basis and
export-oriented or export facilitating projects.

               New Country Assistance Strategy

The Bank's investment partnership with Argentina will focus on a
number of key areas.

The bulk of lending will be in:

    -- Infrastructure, particularly in transportation, including

        -- road network management,

        -- rehabilitation and maintenance through
           performance-based contracts,

        -- water supply and sanitation targeting priority
           municipal level investments and maintenance with
           poverty criteria, and

        -- urban flood and drainage.

    -- Social investments, especially in health, notably
       maternal and child health but also support for broader
       health sector reform, and Income Transfer Programs,
       through support to the emergency Heads of Household
       program and its transition to a more streamlined social
       safety net.

Lending is also planned for:

    Environmental sustainability and rural development.  

    -- The CAS supports the Government's efforts to re-launch
       the environmental agenda which has suffered as result of
       the crisis.  Assistance will focus on forestry
       management, marine and coastal resources, and an
       integrated water resources management project.

   Public Sector Strengthening.  

   -- The lending program seeks to support the twin objectives
      of improving basic service delivery to the poor and
      rebuilding public institutions at both the federal and
      provincial levels of government.  Lending is planned to
      continue the advances in the national social security
      system supported by previous Bank assistance, in the
      National Social and Fiscal Data Identification System to
      improve the administration of social assistance programs,
      and in subnational administration.

To ensure the effectiveness and integrity of these investments,
the CAS emphasizes concrete measures to strengthen the operating
environment for Bank projects.  In this context, a Fiduciary
Action Plan will promote three things:

   -- broader awareness of public investment,
   -- enhanced Bank supervision, and
   -- help to ensure transparent and competitive procurement.

The Bank's Executive Directors commended Argentina on the
strength of the economic and social recovery from the crisis of
2001-2002.  They recognized the important progress towards
increasing growth, reducing poverty, and expanding employment.  
They also acknowledged the challenges in sustaining these gains.  
Many Directors stressed the need to strengthen the investment
climate to sustain growth, consolidate the fiscal adjustment to
underpin macroeconomic stability, and reform social policies to
protect the vulnerable.  In this regard, Directors emphasized
the importance of improving governance and renegotiating
infrastructure and public service concessions.  They urged that
this process be conducted in a fair and transparent manner,
including the adoption of a clear and stable policy framework
that restores the conditions for private sector participation.   
The progress on restructuring Argentina's public debt was noted,
as well as the need to address the remaining non-performing
debt.

            Basic Municipal Services and Urban Flood
                Prevention and Drainage programs

The Board also approved two loans totalling US$180 million for
Argentina to support the implementation of the Basic Municipal
Services Project and the Urban Flood Prevention and Drainage
program.

The Basic Municipal Services Project that amounts to US$110
million will improve the quality of municipal services through
the provision of water supply and sanitation, urban drainage and
roads infrastructure in an equitable and fiscally sustainable
manner.  Specifically, the project will aim to:

   -- Improve the coverage, quality and efficiency of water
      supply and sanitation;

   -- Enhance access to urban drainage infrastructure;

   -- Increase access to paved roads and reduce logistic costs
      through investments in the pavement of urban and          
      productive roads; and

   -- Improve the operational and commercial performance of
      municipal basic services through demand driven technical
      assistance.

The Urban Flood Prevention and Drainage Program that has an
allotment of US$70 million will reduce Argentina's
vulnerabilities to flooding, through a mix of physical,
institutional and financial measures.   Flooding is a major
natural hazard in Argentina.  This project will develop a risk
management program for five provinces:

   -- Chaco,
   -- Corrientes,
   -- Misiones,
   -- Santa Fe and
   -- Entre Rios,

which are located along the two main rivers, the Parana and
Uruguay, constituting Argentina's most vulnerable region to
flooding.  The program will improve the security of economic
assets and people living in flood-prone areas, by:

   -- constructing defense facilities to reduce future losses,

   -- implementing a housing program for the benefit of the
      lowest-income population, and

   -- strengthening national and provincial institutions and
      systems for dealing with future floods.

The Basic Municipal Services Project, a US$110 million
investment loan from the IBRD is a LIBOR-based, fixed-spread
loan, repayable in 14.5 years, and has a 4.5 year grace period.  
The Urban Flood Preention and Drainage Program, a US$70 million
adaptable program loan from the IBRD, is a LIBOR-based, fixed-
spread loan, repayable in 14.5 years, and has a 4.5-year grace
period.

                        *    *    *

Fitch Ratings assigned these ratings on Argentina:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling     RD      Dec. 14, 2005
   Long Term IDR       B       Dec. 14, 2005
   Short Term IDR      B-      Jun.  3, 2005
   Local Currency
   Long Term Issuer
   Default Rating      B       Jun.  3, 2005




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


FOSTER WHEELER: Inaugurates US$950M Oryx GTL Plant in Qatar
-----------------------------------------------------------
Foster Wheeler Ltd. reported that the US$950 million Oryx Gas-
to-Liquids plant at Ras Laffan Industrial City, Qatar, it
designed was officially inaugurated by His Highness, Sheikh
Hamad Bin Khalifa Al-Thani, Emir of the State of Qatar.

Foster Wheeler and other dignitaries and guests from Qatar and
other countries attended the ceremony.  Oryx GTL is a joint
venture between state-owned Qatar Petroleum with a 51% stake and
South African-based petrochemical company, Sasol Ltd with a 49%
stake.  Foster Wheeler's UK subsidiary, Foster Wheeler Energy
Limited, part of its Global Engineering and Construction Group,
is the engineering partner for Sasol's GTL projects and was part
of the multi-company project management team comprising Qatar
Petroleum, Sasol Ltd and Foster Wheeler for this groundbreaking
project.

"We congratulate Qatar Petroleum and Sasol for their vision in
developing this innovative route for the conversion of Qatar's
vast natural gas resources into ultra-low emission diesel and
other environmentally benign energy products," said Steve
Davies, chairman and chief executive officer of Foster Wheeler
Energy Limited.  "Foster Wheeler is proud to be associated with
this first-of-a-kind GTL facility and to have played a key role
in realizing our clients' vision, from the early concept phase
through to successful completion."

The Oryx GTL plant is a "world first" -- the first plant to
convert natural gas to liquid fuel at commercial scale.  It
utilizes the proprietary, low-temperature Sasol Slurry Phase
Distillate(TM) process that is based on Fischer-Tropsch
technology.  330 million cubic feet per day of lean natural gas
from Qatar's North Gas Field in the Gulf provided the feedstock
to produce a planned 34,000 barrels per day of liquids.  This
will comprise 24,000 b/d of diesel, 9,000 b/d of naphtha and
1,000 b/d of liquefied petroleum gas.

Foster Wheeler's involvement started with an initial conceptual
analysis and development of the GTL process for Sasol in 1998.  
This work developed into feasibility and front-end engineering
design work for the Oryx GTL facility and completion of the
engineering, procurement and construction bid evaluation in
December 2002.  The EPC contract was awarded in March 2003 and
Foster Wheeler has continued to support the project as part of
the team managing the EPC contractor.

"Oryx GTL is a defining moment in the growth in a whole new
industry. GTL will grow here in Qatar and, as a result of this
groundbreaking venture, also in many other parts of the world.  
Sasol is proud to have worked with Qatar Petroleum, Chevron and
partners like Foster Wheeler in developing this exciting new
industry.  We are at the threshold of providing the world with
an attractive alternative to crude-derived transportation
fuels," commented Pat Davies, chief executive, Sasol.

Headquartered in Hamilton, Bermuda, Foster Wheeler Ltd.
-- http://www.fwc.com/-- is a global company offering, through
its subsidiaries, a broad range of engineering, procurement,
construction, manufacturing, project development and management,
research and plant operation services.  Foster Wheeler serves
the refining, upstream oil and gas, LNG and gas-to-liquids,
petrochemical, chemicals, power, pharmaceuticals, biotechnology
and healthcare industries.

At Dec. 31, 2005, Foster Wheeler's balance sheet showed a
US$341,796,000 equity deficit compared to a US$525,565,000
equity deficit on Dec. 31, 2004.

                        *    *    *

As reported in the Troubled Company Reporter on May 25, 2006,
Standard & Poor's Ratings Services raised Foster Wheeler's
corporate credit rating to to B+ from B- and its senior secured
notes rating to B+ from CCC+.  At the same time, Standard &
Poor's assigned its 'BB-' bank loan rating and '1' recovery
rating to the company's five-year, US$250 million credit
facility due 2010.

                        *    *    *

On May 26, 2006, Moody's Investors Service upgraded Foster
Wheeler's corporate family rating to B1 from B3 and assigned
a Ba3 rating to FWC's US$250 million senior secured bank
revolving credit facility.  The rating outlook is changed to
Positive.


GLOBAL CROSSING: Announces Latest Enhancements in IP VPN Service
----------------------------------------------------------------
Global Crossing disclosed the latest enhancements to its Global
Crossing IP VPN Service(TM).  These enhancements will enable
customers to maximize network productivity by:

   -- improving performance,
   -- increasing bandwidth efficiencies and
   -- reducing expenses,

while placing fewer demands on their network resources.

Among the latest industry-leading enhancements is iMPLS Option
B, which improves Internet Protocol Virtual Private Network (IP
VPN) connectivity between partner networks, offering customers
more intelligent, transparent and scalable network reach that
improves overall network efficiencies.  The feature allows a VPN
to cross the network backbone of more than one service provider,
enabling customers to reach more locations and a wider customer
base.  It also provides customers with seamless connectivity to
ensure uninterrupted business communications.

"Global Crossing continues to invest in the advanced IP
technology enhancements that meet the performance and
scalability needs of multinational enterprises," said Anthony
Christie, Global Crossing's chief marketing officer.  "These
latest enhancements ensure our customers a leading-edge,
converged IP environment for maximum performance and network
efficiency while reducing total cost of ownership."

Global Crossing continues to experience accelerating IP traffic
growth at rates faster than the industry in general, driven by
the growth for IP VPN and converged IP services during 2005 and
continuing through the first quarter of 2006.  IP traffic on
Global Crossing's global IP backbone increased 65 percent in
2005 and grew 26 percent in the first quarter of 2006.  As
Global Crossing continues to add feature enhancements that
further improve an enterprise's total cost of ownership,
converged IP and IP VPN growth rates are expected to remain
strong.

Global Crossing's latest enhancements also include improved load
balancing with Multi-Link Point-to-Point Protocol.  By
supporting multiple Classes of Service, MLPPP improves network
performance and gives customers greater flexibility in network
design.  It allows all CoS to share the same connections while
preserving CoS priority and Quality of Service performance.

Packet interleaving allows IP VPN service customers to better
utilize their existing network capacity, and it supports real-
time and non-real-time data packets at lower speeds without
causing excessive delay. When used with MLPPP, packet
interleaving breaks incoming long packets into a sequence of
shorter packets with enough information maintained to reassemble
the initial long frame at the receiving end.

Finally, compressed Real-time Transport Protocol is an IP VPN
enhancement that conserves bandwidth and allows users to better
utilize their network resources.  As a result, customers can
send more Voice over Internet Protocol calls over their network,
minimizing the need to invest in additional network
infrastructure.  cRTP reduces bandwidth consumption of VoIP
calls by compressing packet headers and allows customers to
transmit 20 to 60 percent more VoIP calls over a single
connection.

"Global Crossing's latest enhancements to its IP VPN feature set
-- including cRTP and the improved load balancing capability of
its MLPPP -- make Global Crossing's industry leading IP VPN
service an even more compelling offer in the marketplace,"
stated Josh Holbrook, senior analyst at Yankee Group.  
"Increasingly enterprises are looking to do more with less in
managing their telecom spend, and Global Crossing's IP VPN
Service delivers the higher performance and efficiency they
seek."

Global Crossing IP VPN Service provides a private, scalable,
reliable and cost-effective wide area network solution.  It
gives customers global access to pertinent information required
to increase productivity, improve workflow, and quicken
decision-making giving them a competitive advantage in the
marketplace.

In operation since 2001 and reaching more than 600 cities in 60
countries and six continents, Global Crossing's MPLS-based IP
VPN service runs directly on the company's global fiber-optic
network, which operates at 99.999% availability.  Global
Crossing's IP VPN offering supports multiple classes of service.  
In addition to secure data transport, the IP VPN offering also
provides access to VoIP, IP Video and other IP services,
providing a complete platform for managing the transition to IP
convergence.

                     About Global Crossing

Headquartered in Florham Park, New Jersey, Global Crossing
Ltd. -- http://www.globalcrossing.com/-- provides
telecommunication services over the world's first integrated
global IP-based network, which reaches 27 countries and more
than 200 major cities around the globe including Bermuda,
Argentina, Brazil, Chile, Mexico, Panama, Peru and Venezuela.
Global Crossing serves many of the world's largest corporations,
providing a full range of managed data and voice products and
services.  The company filed for chapter 11 protection on
Jan. 28, 2002 (Bankr. S.D.N.Y. Case No. 02-40188).  When the
Debtors filed for protection from their creditors, they listed
US$25,511,000,000 in total assets and US$15,467,000,000 in total
debts.  Global Crossing emerged from chapter 11 on Dec. 9, 2003.

As of Dec. 31, 2005, Global Crossing's balance sheet reflected a
US$173 million equity deficit compared to a US$51 million of
positive equity at Dec. 31, 2004.


GLOBAL CROSSING: Selects Infinera to Enhance Optical Network
------------------------------------------------------------
Global Crossing has selected the Infinera DTN scalable optical
system to enhance the speed and flexibility of provisioning its
digital optical network.  Initial deployment by Global Crossing
of the Infinera DTN has begun in the southeastern United States.  
Global Crossing is planning for additional capacity in other
regions of the U.S. later this year.

Global Crossing chose the Infinera DTN because it delivers
reliable, cost-effective IP services that meet the needs of
enterprise and carrier data customers worldwide.

"Infinera's solution enables us to deliver new services quickly
and economically, as well as respond to the present and
developing needs of our customers as they cope with the
challenges of industry consolidation and IP convergence," said
Jim Watts, Global Crossing's vice president of global transport
engineering.  "The differentiated design and configuration of
our network make us a market leader in IP services, and Infinera
DTN plays an important role in our competitive edge."

Global Crossing installed and turned up the first 1,500-
kilometer route in less than three weeks.  The Infinera DTN has
been deployed as part of Global Crossing's optical transport
network architecture in support of core PoP-to-PoP IP capacity.

The Infinera DTN is the first optical system designed to combine
scalable DWDM, reconfigurable optical switching, and GMPLS-based
service intelligence in a single platform.  With the industry's
first large-scale photonic integrated circuits, the Infinera
system delivers 100 Gigabits per second of DWDM capacity on
every line card.  The flexibility of digital operations is
designed to minimize the optical "fine-tuning" required to turn
up multiple wavelengths, and should result in improved
installation, turn-up times, performance monitoring and
bandwidth management.

"We are very pleased to be part of Global Crossing's IP
networking strategy," said Jagdeep Singh, Infinera co-founder
and CEO.  "The scalability of photonic integration makes the
Infinera DTN the ideal optical transport solution for a
worldwide IP provider like Global Crossing."

                        About Infinera

Infinera -- http://www.infinera.com-- provides Digital Optical  
Networking systems to telecommunications carriers worldwide.  
Infinera's systems are unique in their use of a breakthrough
semiconductor technology: the Photonic Integrated Circuit.  
Infinera's systems and PIC technology are designed to provide
optical networks with simpler engineering and operations, faster
time-to-service, and more flexible networking.

                    About Global Crossing

Headquartered in Florham Park, New Jersey, Global Crossing
Ltd. -- http://www.globalcrossing.com/-- provides
telecommunication services over the world's first integrated
global IP-based network, which reaches 27 countries and more
than 200 major cities around the globe including Bermuda,
Argentina, Brazil, Chile, Mexico, Panama, Peru and Venezuela.
Global Crossing serves many of the world's largest corporations,
providing a full range of managed data and voice products and
services.  The company filed for chapter 11 protection on
Jan. 28, 2002 (Bankr. S.D.N.Y. Case No. 02-40188).  When the
Debtors filed for protection from their creditors, they listed
US$25,511,000,000 in total assets and US$15,467,000,000 in total
debts.  Global Crossing emerged from chapter 11 on Dec. 9, 2003.

As of Dec. 31, 2005, Global Crossing's balance sheet reflected a
US$173 million equity deficit compared to a US$51 million of
positive equity at Dec. 31, 2004.


LORAL SPACE: Unstayed Confirmation Order Moots Appeal
-----------------------------------------------------
The Loral Stockholders Protective Committee took an appeal to
the U.S. District Court for the Southern District of New York
from Bankruptcy Judge Robert Drain's Aug. 1, 2005, order
confirming Loral Space & Communications Ltd.'s Fourth Amended
Joint Plan of Reorganization.  In an Order entered May 26, 2006,
District Judge Marrero tells the shareholder group that their
appeal is moot and must be dismissed.

Judge Marrero's Decision is published at 2006 WL 1458465.   

The District Court observes that the committee failed to seek a
stay pending appeal.  Moreover, there was no showing that the
parties who might be adversely affected by the appeal had been
notified thereof or given an opportunity to participate.  The
transactions that occurred in reliance on the confirmed plan
were simply too numerous, and a reopening of the confirmation
proceedings for re-valuation and possible redistribution of
estate assets would create an unmanageable situation for the
bankruptcy court.

                     About Loral Space

Loral Space & Communications -- http://www.loral.com/-- is a   
satellite communications company.  It owns and operates a fleet
of telecommunications satellites used to broadcast video
entertainment programming, distribute broadband data, and
provide access to Internet services and other value-added
communications services.  Loral also is a world-class leader in
the design and manufacture of satellites and satellite systems
for commercial and government applications including direct-to-
home television, broadband communications, wireless telephony,
weather monitoring and air traffic management.

The Company and various affiliates filed for chapter 11
protection (Bankr. S.D.N.Y. Case No. 03-41710) on July 15,
2003.  Stephen Karotkin, Esq., and Lori R. Fife, Esq., at Weil,
Gotshal & Manges LLP, represented the Debtors in their
successful restructuring and prosecution of their Fourth Amended
Joint Plan of Reorganization to confirmation on Aug. 1, 2005.  
As of Dec. 31, 2004, the Company listed assets totaling
approximately US$1.2 billion and liabilities totaling
approximately US$2.3 billion.




=============
B O L I V I A
=============


* BOLIVIA: Will Start Port & Railway Construction Tender Process
----------------------------------------------------------------
The Bolivian government will launch the tender process for the
construction of a port and railway logistics system linking the
country to the Atlantic Ocean through Paraguay, according to
local paper El Diario.

Luis Arce, the economy minister of Bolivia, told El Diario that
works for the port and railway will include extending the Santa
Cruz-Motacucito line to Puerto Busch.

Business News Americas reports that the port, which will be
constructed in Puerto Busch on the Paraguayan river, will be
used for the transport of Bolivian produce through the Paraguay-
Parana canal.

BNamericas recalls that Uruguay, where the waterway ends, had
expressed in March its willingness to collaborate on the
project.  The country's President Tabare Vasquez had agreed to
grant Bolivia access to ports Nueva Palmira and Montevideo, as
well as the operation of facilities like a platform for the
loading and unloading of Bolivian cargo.

India's Jindal Steel and Power reportedly plans to partner with
a Chinese firm to participate in the project.

The economy ministry officials in charge of the Puerto Busch
project gave no further details regarding the project,
BNamericas says.

                        *    *    *

Fitch Ratings assigned these ratings on Bolivia:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    B-       Jun. 17, 2004
   Long Term IDR      B-       Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating     B-       Dec. 14, 2005




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


BANCO NACIONAL: Provides Financing to the State of Piaui
--------------------------------------------------------
Demian Fiocca, the president of Banco Nacional de
Desenvolvimento Economico e Social aka BNDES, signed on
June 1, 2006, financing agreements for social projects in the
State of Piaui, which will have impact in the improvement of the
population life conditions.  The visit of Fiocca and the
director of the BNDES Social Inclusion Area, Elvio Gaspar, to
Piaui is part of an itinerary to the Northeast region, which
still includes Pernambuco and Ceara.

In Piaui, the BNDES president and director disclosed a financing
of BRL12 million, with non-disbursable resources from the Social
Fund, for the restructure of the State public health care
system.  It is the highest credit volume ever approved in the
ambit of the BNDES Social Fund, formed by a part of the Bank's
profit.

The project, which includes investments in the improvement of
physical installations and acquisition of equipment in small
size 75 hospitals of Piaui, will benefit over two million
people, which represents approximately 70% of the State
population.

Also with the Social Fund resource, BNDES is completing the
analysis of the financing project of Associacao de Apicultores
da Microrregiao de Simplicio Mendes, in the amount of BRL1.5
million.  The project, destined to investments in the
improvement of honey production and export, will benefit 930
small producers of low income from 30 communities of the micro-
region.

The analysis of this financing occurs in the ambit of the
Program for Collective Productive Investments or Proinco,
created by BNDES last year to support investment projects
carried out by association, foundations, cooperatives,
productive arrangements, and that are capable of decisively
influencing in the economic and social development of the
involved regions.

The BNDES entourage went to Ceara, where, in Fortaleza, they
announced financings for the investment projects in the State.  
The board of BNDES approved three financings to the State of
Ceara, involving:

   -- the Program for Water Resources Management and Integration
      of the State of Ceara or Progerirh II;

   -- the Project for Hydro-Agricultural Achievement of
      Castanhao; and

   -- the implantation of a tourism complex in the municipality
      of Aquiraz.

With a financing of BRL71.8 million from BNDES, Progerirh II
aims at promoting the efficient, integrated and participative
management of the water resources of the State of Ceara.  The
program has as objective the implantation of the sections 2 and
3 of the Integration Axis Castanhao - Metropolitan Region of
Fortaleza, amplifying the water supply to the population and
stimulating the economy of the region.  The Progerirh II works
will generate approximately 2.2 thousand jobs.

The Castanhao project will have a financing of BRL41.7 million
from BNDES, equivalent to 68% of the total investment, of
BRL61.2 million. The goal is the creation of a new agricultural
border in Ceara, with the implantation of social and economic
projects aimed at agribusiness (hydro-agricultural activities).  
Besides the generation of five thousand direct jobs, the project
will provide the expansion and improvement of the social-
economic infrastructure of the region, from the more efficient
achievement of the wealth and water resources of the Castanhao
Dam.

With total investment of BRL118.8 million, the installation of
Aquiraz Golf & Beach Villas Tourism Complex will have a
financing of BRL55.1 million from BNDES, contributing to the
strengthening of the tourism in the region.

                        *    *    *

As reported in the Troubled Company Reporter on March 3, 2006,
Standard & Poor's Ratings Services raised its foreign currency
counterparty credit rating on Banco Nacional de Desenvolvimento
Economico e Social S.A. aka BNDES to 'BB' with a stable outlook
from 'BB-' with a positive outlook.  The company's local
currency credit rating was also shifted to 'BB+' with a stable
outlook from 'BB' with a positive outlook.




BERTIN LTDA: S&P Affirms B+ Long-Term Corporate Credit Rating
-------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'B+' long-term
corporate credit rating on Bertin Ltda.  

The outlook is stable.

The ratings on Bertin reflect the company's

   -- highly leveraged financial risk profile;

   -- limited capacity to generate free operating cash flows
      (due to aggressive capital expenditures program);

   -- exposure to a low-margin, volatile and cyclical industry;
      and

   -- potential sanitary/trade barriers on its exports.  

These risks are partially offset by the company's:

   -- strong competitive position on meat and leather exports,
      which is supported by its low cost position;

   -- vertically integrated operations that allows for a
      relatively diversified product mix and customer base;

   -- increasing focus on value-added products and business
      diversification and

   -- adequate liquidity position.

"Bertin has benefited from its very competitive cost position
and large production capacity to constitute a captive and
diversified export customer base in recent years, with exports
already representing more than 50% of its net revenue," said
credit analyst Jean-Pierre Cote Gil, Corporate & Infrastructure
Ratings Group.  "Nevertheless, Bertin is exposed to a number of
risks and challenges associated with its segment, including
relatively low margins, volatile prices and exposure to foreign
currency swings, potential trade embargos, limited product
differentiation, and high levels of working capital demand."

The stable outlook incorporates Standard & Poor's expectations
that Bertin's low-cost position will allow it to deliver robust
volume growth and stable margins in the near future, even under
a scenario of volatile foreign exchange rates, and that it will
grow its smaller business segments (hygiene and cleaning,
personal protective equipment, and dog toys) in a prudent way
with no significant increase in debt leverage from current
levels.


PETROLEO BRASILEIRO: Starts Albacora-Leste Prod'n With Repsol
-------------------------------------------------------------
Repsol YPF and the state-owned Brazilian oil company, Petroleo
Brasileiro SA or Petrobras, have started production at the
country's largest offshore floating platform, making the Spanish
company the third largest oil producer in Brazil.

The Albacora-Leste field will have a production capacity of
180,000 bpd, and its development required an investment of
nearly US$2 billion.

The P-50 Albacora-Leste platform, in which Repsol YPF holds a
10% stake, is in the Campos Basin, in the state of Rio de
Janeiro, anchored to the seabed at a depth of 1,240 meters and
120 km from the coast.

This project for 16 producing wells and 14 injection wells (all
horizontal) has a compression capacity for 6 million cubic
meters per day of gas, allows Brazil to be self-sufficient in
oil.

Total certified reserves at the Albacora-Leste field are 534
million barrels of oil and 183 billion standard cubic feet of
gas or 32.6 million barrels of oil equivalent, of which 409
million boe are proven.  Net reserves for Repsol YPF in this
project amount to 40.9 million boe.

P-50 Albacora-Leste is one of the most modern and complex
production units in the world, and uses cutting edge technology
which has made the project simpler, improved efficiency and
considerably reduced costs.

Antonio Brufau, Chairman and CEO of Repsol YPF, stated that the
start-up of this floating platform, the largest in Brazil and
among the largest in the world, "is fruit of the extraordinary
understanding with the Brazilian authorities and Petrobras, and
forms part of Repsol YPF's strategy to associate with the state
companies owning the reserves in the countries where we
operate."

"Repsol YPF is one of the companies leading the way in the
process of opening up the oil sector in Brazil," Mr. Brufau
said, adding "Our participation in this great project responds
to the company's policy of geographical diversification in the
exploration and production of hydrocarbons in its upstream
activities."

                    Repsol YPF in Brazil

Repsol YPF has been operating in Brazil since 1997, and is
currently the country's third largest oil producer, ranks second
in refining capacity, and is the only integrated oil company
throughout the oil chain, apart from the state-owned Petrobras.

Repsol YPF conducts exploration and production activities in
Brazil, at 25 blocks in the offshore Santos, Campos and Espirito
Santo basins.  In refining, we have a refining capacity of 54
thousand barrels per day and hold a 30% stake in the REFAP and
Manguinhos refineries.

The company also has a network of 320 service stations in the
country; operations in lubricants, asphalt and specialties; and
sells natural gas and LPG to nearly 700,000 customers.

Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro
S.A. aka Petrobras was founded in 1953.  The company explores,
produces, refines, transports, markets, distributes oil and
natural gas and power to various wholesale customers and retail
distributors in the country.

                        *    *    *

Petroleo Brasileiro SA's long-term corporate family rating is
rated Ba3 by Moody's and its foreign currency long-term debt is
rated BB by Fitch.

                        *    *    *

Fitch assigned these ratings on Petroleo Brasileiro's senior
unsecured notes:

  Maturity Date           Amount        Rate       Ratings
  -------------           ------        ----       -------
  April  1, 2008      US$400,000,000    9%          BB+
  July   2, 2013      US$750,000,000    9.125%      BB+
  Sept. 15, 2014      US$650,000,000    7.75%       BB+
  Dec.  10, 2018      US$750,000,000    8.375%      BB+


                        *    *    *

On June 20, 2005, Moody's Investors Service upgraded the ratings
of Spanish-Argentine oil company Repsol YPF's local subsidiary
YPF S.A. Moody's upgraded YPF's senior unsecured rating to Ba3
from B1 and the unit's domestic currency issuer rating to Baa2
from Baa3.

YPF's foreign currency issuer rating of Caa1 remained unchanged,
as it is constrained by the sovereign ceiling of Argentina.
YPF's Corporate Family Rating (formerly known as the senior
implied rating) is aligned with the foreign currency issuer
rating at Caa1.


REPSOL YPF: Partners With Petrobras in Albacora-Leste Production
----------------------------------------------------------------
Repsol YPF and the state-owned Brazilian oil company, Petroleo
Brasileiro SA or Petrobras, have started production at the
country's largest offshore floating platform, thus making the
Spanish company the third largest oil producer in Brazil.

The Albacora-Leste field will have a production capacity of
180,000 bpd, and its development required an investment of
nearly US$2 billion.

The P-50 Albacora-Leste platform, in which Repsol YPF holds a
10% stake, is in the Campos Basin, in the state of Rio de
Janeiro, anchored to the seabed at a depth of 1,240 meters and
120 km from the coast.

This project for 16 producing wells and 14 injection wells (all
horizontal) has a compression capacity for 6 million cubic
meters per day of gas, allows Brazil to be self-sufficient in
oil.

Total certified reserves at the Albacora-Leste field are 534
million barrels of oil and 183 billion standard cubic feet of
gas or 32.6 million barrels of oil equivalent, of which 409
million boe are proven.  Net reserves for Repsol YPF in this
project amount to 40.9 million boe.

P-50 Albacora-Leste is one of the most modern and complex
production units in the world, and uses cutting edge technology
which has made the project simpler, improved efficiency and
considerably reduced costs.

Antonio Brufau, Chairman and CEO of Repsol YPF, stated that the
start-up of this floating platform, the largest in Brazil and
among the largest in the world, "is fruit of the extraordinary
understanding with the Brazilian authorities and Petrobras, and
forms part of Repsol YPF's strategy to associate with the state
companies owning the reserves in the countries where we
operate."

"Repsol YPF is one of the companies leading the way in the
process of opening up the oil sector in Brazil," Mr. Brufau
said, adding "Our participation in this great project responds
to the company's policy of geographical diversification in the
exploration and production of hydrocarbons in its upstream
activities."

                   Repsol YPF in Brazil

Repsol YPF has been operating in Brazil since 1997, and is
currently the country's third largest oil producer, ranks second
in refining capacity, and is the only integrated oil company
throughout the oil chain, apart from the state-owned Petrobras.

Repsol YPF conducts exploration and production activities in
Brazil, at 25 blocks in the offshore Santos, Campos and Espirito
Santo basins.  In refining, we have a refining capacity of 54
thousand barrels per day and hold a 30% stake in the REFAP and
Manguinhos refineries.

The company also has a network of 320 service stations in the
country; operations in lubricants, asphalt and specialties; and
sells natural gas and LPG to nearly 700,000 customers.

Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro
S.A. aka Petrobras was founded in 1953.  The company explores,
produces, refines, transports, markets, distributes oil and
natural gas and power to various wholesale customers and retail
distributors in the country.

                        *    *    *

Petroleo Brasileiro SA's long-term corporate family rating is
rated Ba3 by Moody's and its foreign currency long-term debt is
rated BB by Fitch.

                        *    *    *

Fitch assigned these ratings on Petroleo Brasileiro's senior
unsecured notes:

  Maturity Date           Amount        Rate       Ratings
  -------------           ------        ----       -------
  April  1, 2008      US$400,000,000    9%          BB+
  July   2, 2013      US$750,000,000    9.125%      BB+
  Sept. 15, 2014      US$650,000,000    7.75%       BB+
  Dec.  10, 2018      US$750,000,000    8.375%      BB+


                        *    *    *

On June 20, 2005, Moody's Investors Service upgraded the ratings
of Spanish-Argentine oil company Repsol YPF's local subsidiary
YPF S.A. Moody's upgraded YPF's senior unsecured rating to Ba3
from B1 and the unit's domestic currency issuer rating to Baa2
from Baa3.

YPF's foreign currency issuer rating of Caa1 remained unchanged,
as it is constrained by the sovereign ceiling of Argentina.
YPF's Corporate Family Rating (formerly known as the senior
implied rating) is aligned with the foreign currency issuer
rating at Caa1.


* BRAZIL: Launching Buy-Back Program of Euro, Dollar Bonds
----------------------------------------------------------
Bloomberg News reports that the Brazilian government will buy
back this week up to US$4 billion of euro- and dollar-
denominated bonds that will mature from 2007 to 2030.  Brazil
will tap into surging dollar inflows from exports to lower its
foreign debt making it less vulnerable to currency declines.

"The timing was perfect," Raphael Kassin, who manages US$3.5
billion of emerging-market debt at ABN Amro Asset Management,
told Bloomberg in a telephone interview from London.  "Investors
who were a bit worried should feel more comfortable knowing they
can sell the bonds to the government."

Analysts quoted by Bloomberg said that Brazil's buy back program
gives a good signal to investors, telling them of the country's
economic health.  

Brazil's foreign debt fell to US$82 billion in March from US$115
a year earlier, according to the country's central bank.

Bloomberg says the yield to the 2015 call date on the
government's benchmark dollar bond due in 2040 -- which was not
made eligible to be repurchased -- fell to 7.38% while the yield
to maturity dropped to 8.79% from 8.87% at the end of last week,
according to the data from JPMorgan Chase & Co.

Credit Suisse Group and Morgan Stanley are managing the buyback.

                        *    *    *

Fitch Ratings assigned these ratings on Brazil:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    BB-      Nov. 18, 2004
   Long Term IDR      BB-      Dec. 14, 2005
   Short Term IDR     B        Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating     BB-      Dec. 14, 2005


* BRAZIL: World Bank Approves US$1.1 Billion in Loans
-----------------------------------------------------
The World Bank Board of Executive Directors approved US$1.1
billion in loans to Brazil.  The loans will support the
country's:

   -- growth,
   -- improvements in road infrastructure, and
   -- rural poverty reduction in Northeast Brazil.

The Board also discussed the Brazil Country Assistance Strategy
Progress Report, which assesses progress at mid-term and
describes adjustments being made to further enhance the
contribution of the World Bank in Brazil.

    Brazil Country Assistance Strategy Progress Report

Brazil has made steady progress in the last two years in meeting
long-term development targets:

   -- unemployment has declined,
   -- poverty has been reduced, i
   -- income inequality is improving, and
   -- those in need increasingly have access to a more efficient
      social safety net.  

Inflation is in single digits, the balance of payments has
recorded surpluses and the country's debt vulnerability has been
reduced.   

"Brazil's blend of mature macroeconomic management and policies
aimed at enhancing social equity has yielded positive results
and laid the foundations for sustainable growth," said John
Briscoe, World Bank Brazil Country Director.

The Brazil CAS Progress Report refocuses World Bank Group
support to areas where less progress has been made, yet where
the durability of success will be determined.  This will imply
increasing Bank support to five sectors:

   -- Investing in growth, including enhanced emphasis on
      improving competitiveness and investing in infrastructure;

   -- Improving environmental sustainability in the "green" and
      "brown" environmental arenas;

   -- Making fiscal adjustment sustainable, enhancing the
      quality of public spending to deliver the most effective
      services most efficiently, thus freeing up resources for
      investment, as well as improving public sector management;

   -- Building human capital for improved equity and growth; and

   -- Regional development in both urban and rural environments,
      with a special focus on the northeast and selected urban
      areas.

The three loans approved by the World Bank Board support these
overall objectives in three specific areas:

   Sustainable and Equitable Growth

      -- The US$601.5 million Second Programmatic Loan for
         Sustainable and Equitable Growth consolidates Brazil's
         key achievements in implementing an agenda of
         microeconomic reforms in 2004-2005.  It supports
         selected measures aimed at reducing logistics costs;
         improving the investment climate; deepening financial
         intermediation and improving technology absorption and
         innovation.  The Brazil Growth Program, of which this
         is the second operation, seeks to deepen microeconomic
         reforms needed to enhance the country's long-term
         growth prospects. In particular:

         Key actions in logistics will:

         (i) cut customs release times by 40 percent;
         (ii) cut container handling costs in ports by 10%; and
         (iii) lower road transport costs by about 5 percent.

         In the investment climate area,

         (i) the PPP law will facilitate public-private
             partnership in infrastructure;

         (ii) the Bankruptcy law will increase the speed of
              resolution and the recovery value of insolvent
              enterprises;

         (iii) legal reforms will improve contract enforcement
               and

         (iv) integration of tax collection will simplify
              business registration and operation in selected
              cities.

         In the financial sector, reforms will:

(i) accelerate the expansion of the insurance
      industry,

(ii) increase access to bank accounts from 95 million
to 103 million people by the end of the program,
and

         (iii) increase financial access.

         In the technology and innovation field, the new
         Innovation Law will:

(i) increase technology transfer contracts between
      universities and the private sector by 20%; and

(ii) increase the private share in Research &
Development
     expenditures by 10%.

"A successful program of continued sound economic management,
reforms, and implementation of actions in the four areas
supported by the loan could help Brazil reach an average annual
growth rate of 4 percent or more over the next five years," said
Mr. Briscoe.  "Increasing growth equitably is important to
provide employment and raise the incomes of the poor, directly
reducing poverty."

   Road Transport

   -- The US$501.25 Million Road Transport Project aims to
      stimulate higher economic growth by increasing
      effectiveness in the use of Brazil's federal road
      infrastructure.  This is to be achieved through support to
      the first phase of Brazil's Federal Road Maintenance and
      Rehabilitation Program and a comprehensive program of
      institutional strengthening activities to improve
      efficiency and sustainability of road transport
      investment programs.  The project is expected to:

      -- Improve the quality of public expenditures in the road
         sector, by expanding the use of output-based contracts,
         and streamlining procedures and strengthening capacity
         in the National Department for Transport Infrastructure
         to manage contracts;

      -- Support the Government in pursuing policy discussions
         about progressive decentralization of the federal road
         network to states and the management of portions of the
         road network to the private sector; and

      -- Promote adequate allocation of resources to increase
         the efficiency and sustainability of the Federal Road
         Maintenance and Rehabilitation Program to improve the
         road network conditions to optimal levels.

    Rural Poverty Reduction

   -- The Board also approved US$37.5 million additional
      financing to support the scaling-up of the Ceara Rural
      Poverty Reduction Project to:

      -- Improve the well-being and incomes of the rural poor
         through greater access to basic social and economic
         infrastructure and services and support for productive
         activities;

      -- Increase the social capital of rural communities and
         capacity to organize collectively to meet their own
         needs;

      -- Enhance local governance by greater citizen
         participation and transparency in decision-making, by
         strengthening community associations and municipal
         councils; and

      -- Foster closer integration of development policies,
         programs and projects in rural areas at the local
         level, by assisting municipal councils to extend their
         role in seeking funding from, setting priorities for
         and making decisions on the allocation of resources
         from programs beyond the Bank-supported project

These fixed-spread IBRD loans in U.S. Dollars have a repayment
period of 17 years, including five years of grace.

                        *    *    *

Fitch Ratings assigned these ratings on Brazil:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    BB-      Nov. 18, 2004
   Long Term IDR      BB-      Dec. 14, 2005
   Short Term IDR     B        Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating     BB-      Dec. 14, 2005




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


BROWNSTONE GLOBAL: Schedules June 19 Final Shareholders Meeting
---------------------------------------------------------------
Brownstone Global Opportunities Fund Ltd. asks shareholders to
attend a final meeting at 10:00 a.m. on June 19, 2006, at the
company's registered offices.

The liquidator will lay accounts before the meeting showing how
the winding up has been conducted and how the property has been
disposed of to the date of final winding up on June 19.

During the meeting, the shareholders will authorize the  
liquidators to retain the records of the company for a period of
six years from the dissolution of the company after which
they may be destroyed.

Any person who is entitled to attend and vote may appoint a
proxy in his stead.  A proxy need not be a member or a creditor.

The company's liquidator can be reached at:

   Lawrence Edwards
   Attn: Jodi Jones
   P.O. Box 219 George Town
   Grand Cayman, Cayman Islands
   Telephone: (345) 914 8694
   Facsimile: (345) 949 4590
   
The company can be reached at:

   Brownstone Global Opportunities Fund Ltd.  
   P.O. Box 219 George Town
   Grand Cayman, Cayman Islands


CHASER CAPITAL: Last Day to File Proofs of Claim Is June 29
-----------------------------------------------------------
Chaser Capital Currency Fund Ltd.'s creditors are required to
submit proofs of claim by June 29, 2006, to the company's
liquidators:

   G. Jim Cleaver
   Gordon I. MacRae
   Kroll (Cayman) Limited
   P.O. Box 1102 George Town
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the June 29 deadline
won't receive any distribution that the company will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Parties-in-interest may contact:

   Korie Drummond
   Kroll (Cayman) Limited
   4th Floor, Bermuda House, Dr. Roy's Drive
   Grand Cayman, Cayman Islands
   Tel: +1 (345) 946-0081
   Fax: +1 (345) 946-0082


CHASER CAPITAL MASTER: Proofs of Claim Must be Filed by June 29
---------------------------------------------------------------
Chaser Capital Currency Master Fund Limited's creditors are
required to submit proofs of claim by June 29, 2006, to the
company's liquidators:

   G. Jim Cleaver
   Gordon I. MacRae
   Kroll (Cayman) Limited
   P.O. Box 1102 George Town
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the June 29 deadline
won't receive any distribution that the company will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Parties-in-interest may contact:

   Korie Drummond
   Kroll (Cayman) Limited
   4th Floor, Bermuda House, Dr. Roy's Drive
   Grand Cayman, Cayman Islands
   Tel: +1 (345) 946-0081
   Fax: +1 (345) 946-0082


CONISTON LIMITED: Final Shareholders Meeting Set for June 20
------------------------------------------------------------
Coniston Limited's sole shareholder will hold a final meeting
with the company's joint liquidators, Janet Crawshaw and Jamal
Young, at 10:00 a.m. on June 20, 2006, at:

   HSBC Financial Services (Cayman) Limited
   P.O. Box 1109, George Town
   Grand Cayman, Cayman Islands

The parties will lay accounts before the meeting, showing how
the winding up has been conducted and how the property has been
disposed of June 20, 2006.

The shareholder will also authorize the liquidators 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.

Any person who is entitled to attend and vote at this meeting
may appoint a proxy in his stead.  A proxy need not be a member
or a creditor.

The joint liquidators can be reached at:

   Janet Crawshaw
   Jamal Young
   Attn: Marguerite Britton
   P.O. Box 1109 George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 949-7755
   Fax: (345) 949-7634


CONROE LIMITED: Final Shareholder Meeting Scheduled for June 20
---------------------------------------------------------------
Conroe Limited's sole shareholder will hold a final meeting with
the company's joint liquidators, Janet Crawshaw and Jamal Young,
at 10:15 a.m. on June 20, 2006, at:

   HSBC Financial Services (Cayman) Limited
   P.O. Box 1109, George Town
   Grand Cayman, Cayman Islands

The parties will discuss before the meeting how the winding up
has been conducted and how the property has been disposed of as
of June 20, 2006.

The shareholder will also authorize the liquidators 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.

Any person who is entitled to attend and vote at this meeting
may appoint a proxy in his stead.  A proxy need not be a member
or a creditor.

The joint liquidators can be reached at:

   Janet Crawshaw
   Jamal Young
   Attn: Marguerite Britton
   P.O. Box 1109 George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 949-7755
   Fax: (345) 949-7634


FARIPSA LIMITED: Liquidating Assets Under 2004 Companies Law
------------------------------------------------------------
Faripsa Limited's sole shareholder placed the company in
voluntary liquidation on May 11, 2006, under the Cayman's
Companies Law (2004 Revision).  

Condor Nominee Limited was appointed as the company's
liquidator.  As such, Condor will facilitate the winding up of
Faripsa's business.  

Interested parties may contact the liquidator at:

      Condor Nominee Limited
      P.O. Box 487
      4th Floor, FirstCaribbean House
      25 Main Street, George Town
      Grand Cayman, Cayman Islands

The company published a notice of its liquidation in the Cayman
Islands Gazette on May 29, 2006.


GAZELLE GLOBAL: Holding Annual General Meeting on June 19
---------------------------------------------------------
Gazelle Global Fund Limited will hold its annual general meeting
at 11:00 a.m. on June 19, 2006, at:

   PricewaterhouseCoopers
   5TH Floor, Strathvale House
   South Church Street, George Town
   Grand Cayman, Cayman Islands

These will be taken during the meeting:

   1) accounting of the liquidation process showing how the
      winding up has been conducted during the preceding year,

   2) requesting the members' approval of the liquidation fees
      incurred to date, approval of the liquidator's estimated
      costs to completion, and

   3) hearing any explanation that may be given by the
      liquidator.

A member entitled to attend and vote at the meeting may appoint
a proxy, who need not be a member, in his stead.

The liquidator can be reached at:

   J. I. Nicholas Freeland
   PricewaterhouseCoopers
   P.O. Box 219 George Town
   Strathvale House, George Town
   Grand Cayman, Cayman Islands


HEATON PROPERTIES: Starts Voluntary Liquidation of Assets
---------------------------------------------------------
Heaton Properties Limited's sole shareholder placed the company
in voluntary liquidation on May 11, 2006, under the Cayman's
Companies Law (2004 Revision).

Martin Pollock and Lana Farrington were appointed liquidators to
facilitate the winding up of Heaton Properties' business.

Interested parties may contact the liquidators at:

      Condor Nominee Limited
      P.O. Box 487
      4th Floor, FirstCaribbean House
      25 Main Street, George Town
      Grand Cayman, Cayman Islands

The company published a notice of its liquidation in the Cayman
Islands Gazette on May 29, 2006.


INFOR INTERMEDIATE: Declares Voluntary Liquidation of Business
--------------------------------------------------------------
Infor Intermediate Holdco Ltd.'s sole shareholder decided on
April 30, 2006, to place the company in voluntary liquidation
under the Cayman's Companies Law (2004 Revision).

Prescott Ashe at Maples and Calder was appointed as liquidator
to facilitate the winding up of Infor Intermediate's business.

The liquidator can be reached at:

      Prescott Ashe
      Maples and Calder
      P.O. Box 309 George Town
      Ugland House, South Church Street, George Town
      Grand Cayman, Cayman Islands


INFOR INTERMEDIATE: Creditors Must File Claims by June 29
---------------------------------------------------------
Infor Intermediate Holdco Ltd.'s creditors are required to send
by June 29 their names and addresses, the particulars of their
debts or claims, and the names and addresses of their attorneys-
at-law, if any, to the company's liquidator:

   Prescott Ashe
   c/o Maples and Calder
   P.O. Box 309GT, Ugland House
   South Church Street, George Town
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the June 29 deadline
won't receive any distribution that the company will make.
Creditors are required to present proofs of claim personally or
through their solicitors.


INFOR GLOBAL: Shareholder Declares Company's Liquidation
--------------------------------------------------------
Infor Global Solutions Topco Ltd.'s sole shareholder decided on
April 30, 2006, to place the company in voluntary liquidation
under the Cayman's Companies Law (2004 Revision).

Prescott Ashe at Maples and Calder was appointed as liquidator
to facilitate the winding up of Infor Global's business.

The liquidator can be reached at:

      Prescott Ashe
      Maples and Calder
      P.O. Box 309 George Town
      Ugland House, South Church Street, George Town
      Grand Cayman, Cayman Islands


INFOR GLOBAL: Creditors Have Until June 29 to File Claims
---------------------------------------------------------
Infor Global Solutions Topco Ltd.'s creditors are required to
send by June 29 their names and addresses, the particulars of
their debts or claims, and the names and addresses of their
attorneys-at-law, if any, to the company's liquidator:

   Prescott Ashe
   c/o Maples and Calder
   P.O. Box 309GT, Ugland House
   South Church Street, George Town
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the June 29 deadline
won't receive any distribution that the company will make.
Creditors are required to present proofs of claim personally or
through their solicitors.


INVIERNO HOLDINGS: Shareholders Places Company Under Liquidation
----------------------------------------------------------------
Invierno Holdings Limited's sole shareholder placed the company
in voluntary liquidation on May 11, 2006, under the Cayman's
Companies Law (2004 Revision).

Martin Pollock and Lana Farrington were appointed liquidators to
facilitate the winding up of Invierno Holdings' business.

Interested parties may contact the liquidators at:

      Condor Nominee Limited
      P.O. Box 487
      4th Floor, FirstCaribbean House
      25 Main Street, George Town
      Grand Cayman, Cayman Islands

The company published a notice of its liquidation in the Cayman
Islands Gazette on May 29, 2006.


IOMIO HOLDINGS: Schedules June 19 Final Shareholders Meeting
------------------------------------------------------------
Iomio Holdings Ltd. invites shareholders to attend a final
meeting at 9:00 a.m. on June 19, 2006, at the company's
registered offices.

The liquidator will lay accounts before the meeting showing how
the winding up has been conducted and how the property has been
disposed of to the date of final winding up on June 19.

During the meeting, the shareholders will authorize the  
liquidators to retain the records of the company for a period of
six years from the dissolution of the company after which
they may be destroyed.

Any person who is entitled to attend and vote may appoint a
proxy in his stead.  A proxy need not be a member or a creditor.

The company's liquidator can be reached at:

   Raymond E. Whittaker
   FCM LTD.
   P.O. Box 1982, George Town
   Grand Cayman, Cayman Islands
   Tel: 345-946-5125
   Fax: 345-946-5126


LABMORGAN INT'L: Shareholders Declares Company's Liquidation
------------------------------------------------------------
Labmorgan International Ltd.'s sole shareholder decided on
April 28, 2006, to place the company in voluntary liquidation
under the Cayman's Companies Law (2004 Revision).

James C. P. Berry, the appointed liquidator, will start
disposing the company's assets on June 30, 2006.

The liquidator can be reached at:

   James C. P. Berry
   c/o P.O. Box 694 George Town
   Grand Cayman, Cayman Islands
   Attn: Ella K. Lockwood
   Tel: 949 8666
   Fax: 949 0626


LASERLINE LIMITED: Creditors Have Until June 29 to File Claims
--------------------------------------------------------------
Laserline Ltd.'s creditors are required to send by June 29 their
names and addresses, the particulars of their debts or claims,
and the names and addresses of their attorneys-at-law, if any,
to the company's liquidator:

   Buchanan Limited
   Attn: Francine Jennings
   P.O. Box 1170 George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 949-0355
   Fax: (345) 949-0360

Creditors who are not able to comply with the June 29 deadline
won't receive any distribution that the company will make.
Creditors are required to present proofs of claim personally or
through their solicitors.


LONDON CREDIT: Last Day to File Proofs of Claim Is June 28
----------------------------------------------------------
London Credit Fund Ltd.'s creditors are required to submit
proofs of claim by June 28, 2006, to the company's liquidators:

   S.L.C. Whicker
   K.D. Blake
   KPMG
   Attn: Nick Seaman
   P.O. Box 493 George Town
   Grand Cayman, Cayman Islands
   Tel: 345-914-4320 or 345-949-4800
   Fax: 345-949-7164

Creditors who are not able to comply with the June 28 deadline
won't receive any distribution that the company will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

London Credit started its voluntary liquidation on May 10, 2006.


MALACCA FUND: Schedules Final Shareholders Meeting on June 16
-------------------------------------------------------------
Malacca Fund (Cayman) Ltd.'s shareholders are invited to attend
a final meeting at 10:30 a.m. on June 16 at:

   KPMG
   2nd Floor, Century Yard
   P.O. Box 493 George Town
   Grand Cayman, Cayman Islands

During the meeting, the shareholders are expected to:

   1. confirm, ratify and approve how the liquidators, S.L.C.
      Whicker and K.D. Lloyd are handling the winding up
      process;

   2. approve the liquidators' remuneration, that being fixed by
      the time properly spent by the liquidators and their
      staff;

   3. lay accounts before the meeting showing how the winding up
      has been conducted and how the property of the company has
      been disposed of as at the date of the final meeting and
      to approve those accounts;

   4. authorize the liquidators to retain any unclaimed
      distributions to shareholders for a period of five years
      from the date of dissolution of the company, and to deduct
      reasonable amounts from the unclaimed distributions as
      compensation for monitoring the funds and liaising with
      the shareholders, and, if any of the distributions remain
      unclaimed at the end of this five year period, to pay the
      remaining funds to the Cayman Islands Government pursuant
      to Section 181 of the Companies Law (2004 Revision); and

   5. authorize the liquidators to retain the records of the
      company and of the liquidators for a period of five years
      from the dissolution of the company, after which they may
      be destroyed.

Any person who is entitled to attend and vote at this meeting
may appoint a proxy in his stead.  A proxy need not be a member
or creditor.

The liquidator can be reached at:

   S.L.C. WHICKER
   Attn: Caroline Cookson
   P.O. Box 493 George Town
   Grand Cayman, Cayman Islands
   Tel: 345-914-4331 or 345-949-4800
   Fax: 345-949-7164
   Facsimile: 345-949-7164


MALIPUS LIMITED: Shareholder Declares Company's Liquidation
-----------------------------------------------------------
Malipus Limited's sole shareholder placed the company in
voluntary liquidation on May 11, 2006, under the Cayman's
Companies Law (2004 Revision).

Martin Pollock and Lana Farrington were appointed liquidators to
facilitate the winding up of Malipus' business.

Interested parties may contact the liquidators at:

      Condor Nominee Limited
      P.O. Box 487
      4th Floor, FirstCaribbean House
      25 Main Street, George Town
      Grand Cayman, Cayman Islands

The company published a notice of its liquidation in the Cayman
Islands Gazette on May 29, 2006.


OKANAGAN LIMITED: Final Shareholder Meeting Is on June 20
---------------------------------------------------------
Okanagan Limited's sole shareholder will hold a final meeting
with the company's joint liquidators, Janet Crawshaw and Jamal
Young, at 10:30 a.m. on June 20, 2006, at:

   HSBC Financial Services (Cayman) Limited
   P.O. Box 1109, George Town
   Grand Cayman, Cayman Islands

The parties will lay accounts before the meeting, showing how
the winding up has been conducted and how the property has been
disposed of June 20, 2006.

The shareholder will also authorize the liquidators 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.

Any person who is entitled to attend and vote at this meeting
may appoint a proxy in his stead.  A proxy need not be a member
or a creditor.

The joint liquidators can be reached at:

   Janet Crawshaw
   Jamal Young
   Attn: Marguerite Britton
   P.O. Box 1109 George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 949-7755
   Fax: (345) 949-7634


RONDAU LIMITED: Final Shareholders Meeting Scheduled for June 20
----------------------------------------------------------------
Rondau Limited asks shareholders to attend a final general
meeting on June 20, 2006, at:

   UMS
   22 rue de Villereuse,
   1207 Geneva, Switzerland

During the meeting, the company's liquidator, Alain Andrey, will
present an account of the winding up process.

The liquidator can be reached at:

   Alain Andrey
   P.O. Box 309 George Town
   Grand Cayman, Cayman Island


SUPER SMART: Creditors Must File Proofs of Claim by June 29
-----------------------------------------------------------
Super Smart Ltd.'s creditors are required to send by June 29
their names and addresses, the particulars of their debts or
claims, and the names and addresses of their attorneys-at-law,
if any, to the company's liquidator:

   Buchanan Limited
   Attn: Francine Jennings
   P.O. Box 1170 George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 949-0355
   Fax: (345) 949-0360

Creditors who are not able to comply with the June 29 deadline
won't receive any distribution that the company will make.
Creditors are required to present proofs of claim personally or
through their solicitors.


TCR SOUTH AMERICA: Final Shareholders Meeting Set for June 20
-------------------------------------------------------------
TCR South America Partners, Ltd., invites shareholders for a
final meeting at 9:00 a.m. on June 20, 2006, at:

   Caledonian House6
   69 Dr. Roy's Drive
   Grand Cayman, Cayman Islands

The purposes of the meeting are:

   1. lay before the members of the company the report of the
      joint liquidators on the winding up process;

   2. approve the report of the joint liquidators; and

   3. approve the remuneration of the joint liquidators.

The liquidators can be reached at:

   Bernard McGrath
   Caledonian House
   P.O. Box 1043 George Town
   Grand Cayman, Cayman Islands
   Tel: 9490050
   Fax: 9498062


VIALTA INT'L: Last Day to File Proofs of Claim Is June 29
---------------------------------------------------------
Vialta International, Inc.'s creditors are required to submit
proofs of claim by June 29, 2006, to the company's liquidators:

   Linburgh Martin
   Jeff Arkley
   P.O. Box 1034 George Town
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the June 28 deadline
won't receive any distribution that the company will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Parties-in-interest may contact:

   Neil Gray
   Close Brothers (Cayman) Limited
   Fourth Floor, Harbour Place
   P.O. Box 1034 George Town
   Grand Cayman, Cayman Islands
   Tel: (345) 949 8455
   Fax: (345) 949 8499


WMC CAYMAN I: Last Day to File Proofs of Claim Is June 16
---------------------------------------------------------
WMC Cayman I's creditors are required to send by June 16 proofs
of claim to the company's liquidators:

   Mike Hughes
   Wendy Ebanks
   Maples Finance Limited
   P.O. Box 1093 George Town
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the June 16 deadline
won't receive any distribution that the company will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

The company's shareholders approved on Dec. 12, 2005, WMC's
liquidation.


WMC CAYMAN II: Creditors Must File Proofs of Claim by June 16
-------------------------------------------------------------
WMC Cayman II's creditors are required to send by June 16 proofs
of claim to the company's liquidators:

   Mike Hughes
   Wendy Ebanks
   Maples Finance Limited
   P.O. Box 1093 George Town
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the June 16 deadline
won't receive any distribution that the company will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

As previously reported, WMC Cayman started winding up operations
on Dec. 12, 2005.


ZEST INVESTMENT VII: Proofs of Claim Must be Filed by June 29
-------------------------------------------------------------
Zest Investment VII's creditors are required to submit proofs of
claim by June 29, 2006, to the company's liquidator:

   Piccadilly Cayman Limited
   c/o BNP Paribas Bank & Trust Cayman Limited
   P.O. Box 10632 APO
   Grand Cayman, Cayman Islands

Creditors who are not able to comply with the June 28 deadline
won't receive any distribution that the company will make.
Creditors are required to present proofs of claim personally or
through their solicitors.

Parties-in-interest may contact:

   Regina Forman
   3rd Floor Royal Bank House
   George Town
   Grand Cayman, Cayman Islands
   Tel: 345 945 9208
   Fax: 345 945 9210




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


ECOPETROL: Bids Submission for Cartagena Plant Moved to June 30
---------------------------------------------------------------
Ecopetrol, the state-owned oil firm of Colombia, extended the
deadline for the submission of offers for its Cartagena refinery
to June 30, at the request of the bidders, according to local
paper El Universal.

According to BNamericas, that the Cartagena project is aimed at
increasing the processing capacity of the refinery to 140,000
barrels a day (b/d) of crude from 75,000b/d.  It will include a
new cracking unit and hydrotreatment units.

BNamericas relates that the four bidders for the project, pre-
selected in February, include:

     -- Glencore, a Swiss mining and trading company,
     -- UK oil major BP's North American unit,
     -- Marubeni, a Japanese engineering company, and
     -- Petroleo Brasileiro, Brazil's federal energy company.

BNamericas states that construction will conclude in 2010.  Each
company, however, is allowed to propose a schedule of its own as
part of its bid.

Ecopetrol will disclose the winning bidder on July 14, El
Universal states.

Ecopetrol is an integrated oil Company majority-owned by the
Colombian government.  The Company's activities include
exploration for and production of crude oil and natural gas and
refining, transportation, distribution, and marketing of refined
products. Ecopetrol is Latin America's fourth-largest integrated
oil concern.

                        *    *    *

Fitch assigned a BB rating on Ecopetrol's foreign currency long-
term debt.


* COLOMBIA: Extends Bidding Deadline for 100% Stake in Ecogas
-------------------------------------------------------------
The government of Colombia moved the deadline for the submission
of bids to acquire 100% of Ecogas, the state-run gas transport
firm, to June 28 from June 7, according to a joint statement
made by the finance and public credit and the mines and energy
ministries.

Business News Americas reports that to guarantee participation,
the extension was made at the request of Colombia's attorney
general and "solidarity sector" representatives from:

   -- pension funds,
   -- unions, and
   -- cooperatives.

BNamericas relates that as stated in the country's privatization
law, the 100% stake of Ecogas must first be offered to these
groups.

According to BNamericas, the government plans to sell the gas
transport company for about COP750 billion -- COP10,000 for each
of its 75 million shares.

BNamericas states that the sale of Ecogas will end the
government's participation in the natural gas business.

The winning bidder in the initial stock offering will be
announced on July 4 while the remaining stock will be offered on
July 5, BNamericas reports.

                        *    *    *

As reported in the Troubled Company Reporter on June 7, 2006,
Fitch Ratings revised the rating outlook on Colombia's 'BB'
long-term foreign currency issuer default rating to positive
from stable.  The outlook on the 'BBB-' local currency IDR
remained Stable.  The ratings affirmed by Fitch are:

   -- Foreign currency Issuer Default Rating (IDR) 'BB';
   -- Local currency Issuer Default Rating (IDR) 'BBB-';
   -- Country Ceiling 'BB';
   -- Short-term 'B'.


* COLOMBIA: Holds Trade Talks with Three LatAm Countries
--------------------------------------------------------
Colombia launched trade talks with El Salvador, Guatemala and
Honduras in its Bogota province earlier this week, Xinhua News
Agency reports.

One of the main aims of the negotiations is the consolidation of
Colombia's presence in the three markets, Colombia's Trade
Ministry told Xinhua.

According to Xinhua, Colombia exports almost US$250 million
worth of products to El Salvador, Guatemala and Honduras every
year.  The most important exports are the manufactured goods
being the most important exports.

Jorge Botero, the trade minister of Colombia, told Xinhua that
the negotiations would be held in six rounds -- three in
Colombia and the remaining, in the other three countries --
which will cover:

    -- market access,
    -- customs procedures,
    -- public contracts,
    -- investment, and
    -- services.

Negotiations should be concluded by November this year, Xinhua
states, citing Minister Botero.  

Xinhua states that the countries' representatives will now meet
in Plaza de los Artesanos in a bid to reach a trade deal that
involves more than US$200 million in annual trade with Colombia.

                        *    *    *

As reported in the Troubled Company Reporter on June 7, 2006,
Fitch Ratings revised the rating outlook on Colombia's 'BB'
long-term foreign currency issuer default rating to positive
from stable.  The outlook on the 'BBB-' local currency IDR
remained Stable according to Fitch.  The ratings affirmed by
Fitch are:

   -- Foreign currency Issuer Default Rating (IDR) 'BB';
   -- Local currency Issuer Default Rating (IDR) 'BBB-';
   -- Country Ceiling 'BB';
   -- Short-term 'B'.

                        *    *    *

Fitch Ratings assigned these ratings on Guatemala:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    BB+      Feb. 22, 2006
   Long Term IDR      BB+      Feb. 22, 2006
   Short Term IDR     B        Feb. 22, 2006
   Local Currency
   Long Term Issuer
   Default Rating     BB+      Feb. 22, 2006

                        *    *    *

Fitch also rated Guatemala's senior unsecured bonds:

Maturity Date          Amount        Rate       Ratings
-------------          ------        ----       -------
Aug. 3, 2007        US$150,000,000     8.5%         BB+
Nov. 8, 2011        US$325,000,000    10.25%        BB+
Aug. 1, 2013        US$300,000,000     9.25%        BB+
Oct. 6, 2034        US$330,000,000     8.125%       BB+

                       *    *    *

Fitch Ratings assigned these ratings on El Salvador:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling     BB+      Jun. 18, 2004
   Long Term IDR       BB+      Dec. 14, 2005
   Short Term IDR      B        Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating      BB+      Dec. 14, 2005

                        *    *    *

Moody's Investor Service assigned these ratings on Honduras:

                     Rating     Rating Date
                     ------     -----------
   Senior Unsecured    B2       Sept. 29, 1998
   Long Term IDR       B2       Sept. 29, 1998


* COLOMBIA: Meets Venezuelan Foreign Minister to Discuss US-FTA
---------------------------------------------------------------
Colombia's foreign minister Carolina Barco and her Venezuelan
counterpart Ali Rodriguez Araque will meet on June 15 in Caracas
to discuss the impact of the Colombia-US free trade pact and
other bilateral issues, El Universal reports.  

"For June 15th, we have panned a high-ranking meeting with
Minister Barco to analyze our common agenda and address
prominent issues in our relations," minister Rodriguez Araque
told Radio Caracol. "We will tackle, particularly, the impact of
the FTA entered into by Colombia and the United States, as well
as Colombian-Venezuelan trade. There has been a sustained growth
of USD 3 billion. Rather than keeping this trend, it should
raise."

                        *    *    *

On Jun 6, 2006, Fitch Ratings revised the rating outlook on
Colombia's 'BB' ong-term foreign currency issuer default rating
to positive from stable.  Fitch said the outlook on the 'BBB-'
local currency IDR remains Stable.

                      *    *    *

Venezuela's foreign currency long-term debt is rated B1 by  
Moody's, B+ by Standard & Poor's, and BB- by Fitch.

                        *    *    *

Colombia's ratings affirmed by Fitch are:

   -- Foreign currency Issuer Default Rating (IDR) 'BB';
   -- Local currency Issuer Default Rating (IDR) 'BBB-';
   -- Country Ceiling 'BB';
   -- Short-term 'B'.


* COLOMBIA: Says CenAm FTA Won't Replace Trade with Venezuela
-------------------------------------------------------------
Jorge Humberto Botero, Colombia's minister of trade, said that
the country's trade talks with Honduras, Guatemala and Salvador
are not aimed at replacing the Venezuelan market after it left
the Andean Community of Nations, El Universal reports.

"This negotiation is valuable on its own merits. It is not an
alternative or a substitute mechanism due to an extremely
hypothetical deterioration of our relations with Venezuela,"
Minister Botero emphasized.  "Negotiations are not born from the
need to replace a market that we do not view as endangered, but
from delving into integration with countries with which we have
a lot of political links and economic synergy that should be
materialized in trade flows."

The trade minister noted that despite Venezuela's withdrawal
from CAN, trade between Colombia and Venezuela reached US$4
billion in 2005, the AFP news agency reports.

"From the view of actual flow of trade, services and investment,
there has been no hurdle in bilateral trade," Minister Botero
said in a press conference.

                        *    *    *

Venezuela's foreign currency long-term debt is rated B1 by  
Moody's, B+ by Standard & Poor's, and BB- by Fitch.

                        *    *    *

On Jun 6, 2006, Fitch Ratings revised the rating outlook on
Colombia's 'BB' ong-term foreign currency issuer default rating
to positive from stable.  Fitch said the outlook on the 'BBB-'
local currency IDR remains Stable.

Colombia's ratings affirmed by Fitch are:

   -- Foreign currency Issuer Default Rating (IDR) 'BB';
   -- Local currency Issuer Default Rating (IDR) 'BBB-';
   -- Country Ceiling 'BB';
   -- Short-term 'B'.




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


* COSTA RICA: Posts Recovery of Consumers' Confidence
-----------------------------------------------------
A recovery in consumers' confidence was recorded in a survey
conducted by the Opinion Studies Center of the University of
Costa Rica, Inside Costa Rica reports.

Analysts told Inside Costa Rica that the index had been falling
and by November 2005, it arrived at 33.9%.  With the
inauguration of President Oscar Arias, however, the index rose
to 45.7% and is increasing gradually.

According to Inside Costa Rica, the survey indicated that the
most optimistic consumers are:

  -- those with a higher level of education,
  -- those with larger income, and,
  -- those who are young.

The citizens see the Arias administration as a window of
opportunity, Inside Costa Rica says, citing Edgar Gutierrez --
the dean of the School of Statistics.

                        *    *    *

Costa Rica is rated by Moody's:

      -- CC LT Foreign Bank Depst Ba2
      -- CC LT Foreign Curr Debt  Ba1
      -- CC ST Foreign Bank Depst NP
      -- CC ST Foreign Curr Debt  NP
      -- Foreign Currency LT Debt Ba1
      -- Local Currency LT Debt   Ba1

Fitch assigned these ratings to Costa Rica:

      -- Foreign currency long-term debt, BB
      -- Local currency long-term debt, BB
      -- Foreign currency short-term debt, B

Costa Rica carries these ratings from Standard & Poor's:

      -- Foreign Currency LT Debt BB
      -- Local Currency LT Debt   BB+
      -- Foreign Currency ST Debt B
      -- Local Currency ST Debt   B




=======
C U B A
=======


* CUBA: Thai Firms Interested in Establishing Trade Links
---------------------------------------------------------
Cuba has attracted a growing number of Thai firms eager to
establish trade links with the country, Prensa Latina reports.

Prensa Latina relates Pedro Luis Padron, Cuba's deputy minister
of foreign trade, met with his Thai counterpart, Dr. Preecha
Laohapongchana, at the headquarters of the Thai Trade Ministry
late last week to discuss ways to increase exchange between
their countries.  The meeting was also attended by Maria Luisa
Fernandez Equilaz, the Cuban Ambassador to Thailand, and by
other trade officials.

Dr. Preecha confirmed to Prensa Latina that the Thai business
sector and economic authorities are interested in promoting and
extending trade links with Cuba.  

A delegation of Thai businesspeople will attend the coming
Havana International Fair for the second consecutive year, the
Thai minister told Prensa Latina.

                        *    *    *

Moody's assigned these ratings on Cuba:

      -- CC LT Foreign Bank Depst, Caa2
      -- CC LT Foreign Curr Debt, Caa1
      -- CC ST Foreign Bank Depst, NP
      -- CC ST Foreign Curr Debt, NP
      -- Issuer Rating, Caa1




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


DOMINICAN REPUBLIC: Awards EUR93-Mil. Contract to Alstrom SA
------------------------------------------------------------
The government of the Dominican Republic awarded a EUR92.5
million contract to Alstom SA to supply three of its Metropolis
metro trains for Santo Domingo, the company told Dominican
Today.

According to Dominican Today, the order is part of the
government's development efforts set on meeting the rising
demand for public transport and reduction of road traffic
congestion in Santo Domingo.

AFX News Limited relates that Alstom will ship about 57 cars for
the metro project.  The company's officials told Dominican Today
that it was shortlisted for the order in March.

Dominican Today says that three Alstom sites will be involved in
the project:

    -- the site in Charleroi, Belgium, in charge of the
       manufacture and integration of the traction systems,

    -- the site in Le Creusot, France, which will provide the
       bogies, and

    -- the site in Barcelona, Spain, responsible for the car
       manufacture and assembly.

The train-sets will run on the first line of Santo Domingo's
metro system, Dominican Today states.  The line, which is yet
under construction, will link Villa Mella with La Feria and will
be launched in early 2008.

                        *    *    *

The Troubled Company Reporter - Latin America reported on
May 9, 2006, that Fitch Ratings upgraded these debt and issuer
Default Ratings of the Dominican Republic:

   -- Long-term foreign currency Issuer Default Rating
      to B from B-;

   -- Country ceiling upgraded to B+ from B-;

   -- Foreign currency bonds due 2006 to B-/RR4 from CCC+/RR4;

   -- Foreign currency Brady bonds due 2009 to B/RR4
      from B-/RR4;

   -- Foreign currency bonds due 2011 to B/RR4 from B-/RR4;

   -- Foreign currency bonds due 2013 to B-/RR4 from CCC+/RR4;

   -- Foreign currency bonds due 2018 to B/RR4 from B-/RR4; and

   -- Foreign currency collateralized Brady bonds due 2024
      to B+/RR3 from B/RR3.

Fitch also affirmed these ratings:

   -- Long-term local currency Issuer Default Rating: B; and
   -- Short-term Issuer Default Rating: B.

Additionally, Fitch assigned a debt and Recovery Rating to this
issue:

   -- Foreign currency bonds due 2027: B/RR4.

Fitch said the rating outlook for the long-term foreign and
local currency IDRs is Stable.




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


BANCO DEL PICHINCHA: Posts US$11 Mil. First Quarter Earnings
------------------------------------------------------------
Banco del Pichincha, the largest bank in Ecuador, reported
US$11.0 million earnings in the first quarter of 2006, Business
News Americas reports.

Jorge Chiriboga, the vice president of the company, told
BNamericas that the results slightly surpassed expectations.

As indicated in the figures from local banking regulator
Superban, Pichincha's net profits was 45.5% higher in this
year's first quarter compared to the same quarter in 2005, which
reported US$7.55 million in profits.

BNamericas relates that net interest income rose 33% to US$35.6
million in the first quarter of 2006 compared to the first
quarter of 2005.  Net financial margin rose to US$44.9 million
from the US$23.0 last year.  The net financial margin growth was
attained due to a 278% raise in commission and fee income to
US$30.8 million from the US$11.1 million recorded in last year's
first quarter.  Operating expenses also increased 18% to US$43.6
million.

Pichincha ranked first by assets in the local financial system
with a market share of 23.8%, BNamericas states.  The bank
assets rose 23% to US$2.49 billion, while loans grew 40% to
US$1.39 billion.  However, liabilities increased 24% to US$2.25
billion, with deposits growing 22% at US$1.98 billion.

BNamericas states that the past-due loan ratio was at 4.06% by
the end of March.  Last year, it was 6.20%.

"If we consider results before provisions, Banco del Pichincha
is in first place in the banking system ranking.  Our bank has
made larger provisions than the rest, which is why we aren't top
of the net profits ranking," Mr. Chiriboga told BNamericas.

Banco del Pichincha was founded in 1906 and has 222 branches in
about 80 towns and cities and 416 ATMs.

                        *    *   *

As reported in the Troubled Company Reporter on Aug. 16, 2005,
Fitch Ratings affirmed the long-term foreign currency and
support ratings assigned to Banco del Pichincha and Subsidiaries
at 'B-' and '5', respectively.  At the same time, Fitch assigned
a short-term rating of 'B' to the bank.




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


* EL SALVADOR: Holds Trade Talks with Three LatAm Countries
-----------------------------------------------------------
El Salvador launched trade talks with Colombia, Guatemala and
Honduras in Colombia's Bogota province earlier this week, Xinhua
News Agency reports.

One of the main aims of the negotiations is the consolidation of
Colombia's presence in the three markets, Colombia's Trade
Ministry told Xinhua.

According to Xinhua, Colombia exports almost US$250 million
worth of products to El Salvador, Guatemala and Honduras every
year.  The most important exports are the manufactured goods
being the most important exports.

Jorge Botero, the trade minister of Colombia, told Xinhua that
the negotiations would be held in six rounds -- three in
Colombia and the remaining, in the other three countries --
which will cover:

    -- market access,
    -- customs procedures,
    -- public contracts,
    -- investment, and
    -- services.

Negotiations should be concluded by November this year, Xinhua
states, citing Minister Botero.  

Xinhua states that the countries' representatives will now meet
in Plaza de los Artesanos in a bid to reach a trade deal that
involves more than US$200 million in annual trade with Colombia.

                        *    *    *

As reported in the Troubled Company Reporter on June 7, 2006,
Fitch Ratings revised the rating outlook on Colombia's 'BB'
long-term foreign currency issuer default rating to positive
from stable.  The outlook on the 'BBB-' local currency IDR
remained Stable.  The ratings affirmed by Fitch are:

   -- Foreign currency Issuer Default Rating (IDR) 'BB';
   -- Local currency Issuer Default Rating (IDR) 'BBB-';
   -- Country Ceiling 'BB';
   -- Short-term 'B'.

                        *    *    *

Fitch Ratings assigned these ratings on Guatemala:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    BB+      Feb. 22, 2006
   Long Term IDR      BB+      Feb. 22, 2006
   Short Term IDR     B        Feb. 22, 2006
   Local Currency
   Long Term Issuer
   Default Rating     BB+      Feb. 22, 2006

                        *    *    *

Fitch also rated Guatemala's senior unsecured bonds:

Maturity Date          Amount        Rate       Ratings
-------------          ------        ----       -------
Aug. 3, 2007        US$150,000,000     8.5%         BB+
Nov. 8, 2011        US$325,000,000    10.25%        BB+
Aug. 1, 2013        US$300,000,000     9.25%        BB+
Oct. 6, 2034        US$330,000,000     8.125%       BB+

                       *    *    *

Fitch Ratings assigned these ratings on El Salvador:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling     BB+      Jun. 18, 2004
   Long Term IDR       BB+      Dec. 14, 2005
   Short Term IDR      B        Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating      BB+      Dec. 14, 2005

                        *    *    *

Moody's Investor Service assigned these ratings on Honduras:

                     Rating     Rating Date
                     ------     -----------
   Senior Unsecured    B2       Sept. 29, 1998
   Long Term IDR       B2       Sept. 29, 1998


* EL SALVADOR: Mobile Telecom Reaches 35% of Market
---------------------------------------------------
Mobile sector in El Salvador holds 35% of the telecom market,
one of the highest rates in Central America, local newspaper El
Mundo reports.

El Mundo relates that the country's telecoms regulator Siget
recorded 2.4 million mobile users in the country.

As indicated in a study that ended in April 15, prepaid phone
users rose to 80% in 2006 from the 73% recorded in 2004.

According to Business News Americas, there are 969,000 fixed
line phones installed -- about 14% penetration in this segment.    

BNamericas recalls that the mobile segment increased 59.3% in
2005.  Fixed telephony clients grew by 17.9%.

                       *    *    *

Fitch Ratings assigned these ratings on El Salvador:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling     BB+      Jun. 18, 2004
   Long Term IDR       BB+      Dec. 14, 2005
   Short Term IDR      B        Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating      BB+      Dec. 14, 2005




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


* GUATEMALA: Holds Trade Talks with Three LatAm Countries
---------------------------------------------------------
Guatemala launched trade talks with Colombia, El Salvador and
Honduras in Colombia's Bogota province earlier this week, Xinhua
News Agency reports.

One of the main aims of the negotiations is the consolidation of
Colombia's presence in the three markets, Colombia's Trade
Ministry told Xinhua.

According to Xinhua, Colombia exports almost US$250 million
worth of products to El Salvador, Guatemala and Honduras every
year.  The most important exports are the manufactured goods
being the most important exports.

Jorge Botero, the trade minister of Colombia, told Xinhua that
the negotiations would be held in six rounds -- three in
Colombia and the remaining, in the other three countries --
which will cover:

    -- market access,
    -- customs procedures,
    -- public contracts,
    -- investment, and
    -- services.

Negotiations should be concluded by November this year, Xinhua
states, citing Minister Botero.  

Xinhua states that the countries' representatives will now meet
in Plaza de los Artesanos in a bid to reach a trade deal that
involves more than US$200 million in annual trade with Colombia.

                        *    *    *

As reported in the Troubled Company Reporter on June 7, 2006,
Fitch Ratings revised the rating outlook on Colombia's 'BB'
long-term foreign currency issuer default rating to positive
from stable.  The outlook on the 'BBB-' local currency IDR
remained Stable according to Fitch.  The ratings affirmed by
Fitch are:

   -- Foreign currency Issuer Default Rating (IDR) 'BB';
   -- Local currency Issuer Default Rating (IDR) 'BBB-';
   -- Country Ceiling 'BB';
   -- Short-term 'B'.

                        *    *    *

Fitch Ratings assigned these ratings on Guatemala:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    BB+      Feb. 22, 2006
   Long Term IDR      BB+      Feb. 22, 2006
   Short Term IDR     B        Feb. 22, 2006
   Local Currency
   Long Term Issuer
   Default Rating     BB+      Feb. 22, 2006

                        *    *    *

Fitch also rated Guatemala's senior unsecured bonds:

Maturity Date          Amount        Rate       Ratings
-------------          ------        ----       -------
Aug. 3, 2007        US$150,000,000     8.5%         BB+
Nov. 8, 2011        US$325,000,000    10.25%        BB+
Aug. 1, 2013        US$300,000,000     9.25%        BB+
Oct. 6, 2034        US$330,000,000     8.125%       BB+

                       *    *    *

Fitch Ratings assigned these ratings on El Salvador:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling     BB+      Jun. 18, 2004
   Long Term IDR       BB+      Dec. 14, 2005
   Short Term IDR      B        Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating      BB+      Dec. 14, 2005

                        *    *    *

Moody's Investor Service assigned these ratings on Honduras:

                     Rating     Rating Date
                     ------     -----------
   Senior Unsecured    B2       Sept. 29, 1998
   Long Term IDR       B2       Sept. 29, 1998


* GUATEMALA: Will Begin Construction of Power Link with Mexico
--------------------------------------------------------------
Guatemala and Mexico will begin construction works on an
electric power interconnection on June 13, Fernando Canales,
Mexico's energy minister, told government news agency Notimex.

The electric power interconnection is part of the Mesoamerican
energy integration program or PIEM, Notimex relates, citing
Minister Canales.

Notimex reports that the line will extend 30km from Tapachula in
Chiapas, Mexico, to the border.  It will continue 60km to Los
Brillantes.

The transmission line between Mexico and Guatemala will result
to a reduction of power generation costs in the region and a
more rational use of present-day installed capacity, BNamericas
reports.

                        *    *    *

Fitch Ratings assigned these ratings on Guatemala:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    BB+      Feb. 22, 2006
   Long Term IDR      BB+      Feb. 22, 2006
   Short Term IDR     B        Feb. 22, 2006
   Local Currency
   Long Term Issuer
   Default Rating     BB+      Feb. 22, 2006

                        *    *    *

Fitch also rated Guatemala's senior unsecured bonds:

Maturity Date          Amount        Rate       Ratings
-------------          ------        ----       -------
Aug. 3, 2007        US$150,000,000     8.5%         BB+
Nov. 8, 2011        US$325,000,000    10.25%        BB+
Aug. 1, 2013        US$300,000,000     9.25%        BB+
Oct. 6, 2034        US$330,000,000     8.125%       BB+


                        *    *    *

As reported in the Troubled Company Reporter on April 17, 2006,
Standard & Poor's Ratings Services placed an mxBB+ long-term
rating on the state of Mexico.  S&P said the outlook is stable.




===============
H O N D U R A S
===============


* HONDURAS: Holds Trade Talks with Three LatAm Countries
--------------------------------------------------------
Honduras launched trade talks with Colombia, El Salvador and
Guatemala in Colombia's Bogota province earlier this week,
Xinhua News Agency reports.

One of the main aims of the negotiations is the consolidation of
Colombia's presence in the three markets, Colombia's Trade
Ministry told Xinhua.

According to Xinhua, Colombia exports almost US$250 million
worth of products to El Salvador, Guatemala and Honduras every
year.  The most important exports are the manufactured goods
being the most important exports.

Jorge Botero, the trade minister of Colombia, told Xinhua that
the negotiations would be held in six rounds -- three in
Colombia and the remaining, in the other three countries --
which will cover:

    -- market access,
    -- customs procedures,
    -- public contracts,
    -- investment, and
    -- services.

Negotiations should be concluded by November this year, Xinhua
states, citing Minister Botero.  

Xinhua states that the countries' representatives will now meet
in Plaza de los Artesanos in a bid to reach a trade deal that
involves more than US$200 million in annual trade with Colombia.

                        *    *    *

As reported in the Troubled Company Reporter on June 7, 2006,
Fitch Ratings revised the rating outlook on Colombia's 'BB'
long-term foreign currency issuer default rating to positive
from stable.  The outlook on the 'BBB-' local currency IDR
remained Stable.  The ratings affirmed by Fitch are:

   -- Foreign currency Issuer Default Rating (IDR) 'BB';
   -- Local currency Issuer Default Rating (IDR) 'BBB-';
   -- Country Ceiling 'BB';
   -- Short-term 'B'.

                        *    *    *

Fitch Ratings assigned these ratings on Guatemala:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    BB+      Feb. 22, 2006
   Long Term IDR      BB+      Feb. 22, 2006
   Short Term IDR     B        Feb. 22, 2006
   Local Currency
   Long Term Issuer
   Default Rating     BB+      Feb. 22, 2006

                        *    *    *

Fitch also rated Guatemala's senior unsecured bonds:

Maturity Date          Amount        Rate       Ratings
-------------          ------        ----       -------
Aug. 3, 2007        US$150,000,000     8.5%         BB+
Nov. 8, 2011        US$325,000,000    10.25%        BB+
Aug. 1, 2013        US$300,000,000     9.25%        BB+
Oct. 6, 2034        US$330,000,000     8.125%       BB+

                       *    *    *

Fitch Ratings assigned these ratings on El Salvador:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling     BB+      Jun. 18, 2004
   Long Term IDR       BB+      Dec. 14, 2005
   Short Term IDR      B        Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating      BB+      Dec. 14, 2005

                        *    *    *

Moody's Investor Service assigned these ratings on Honduras:

                     Rating     Rating Date
                     ------     -----------
   Senior Unsecured    B2       Sept. 29, 1998
   Long Term IDR       B2       Sept. 29, 1998




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


KAISER ALUMINUM: Mr. Bodnar Says Holder Affidavits Are Defective
----------------------------------------------------------------
Judge Fitzgerald has approved a stipulated Stay Order, which
permitted the distribution of "Funds and Stock Subject to
Appeal" to certain holders of the Kaiser Aluminum Corporation
and its debtor-affiliates' senior notes -- 10-7/8% Notes, 9-7/8%
Notes, and 7-3/4% SWD Revenue Bonds.

To distribute the Funds and Stock, the Stay Order requires the
holders of the Senior Notes to submit an affidavit providing a
promise to return monies they received upon a reversal of the
Guaranty Decision on appeal.

Joseph J. Bodnar. Esq., at Monzack and Monaco, P.A., in
Wilmington, Delaware, relates that approximately 400 holder
affidavits were delivered to Law Debenture Trust Company on
April 25, 2006.

However, Mr. Bodnar says, several of the Holder Affidavits are
defective because of holders' failure to:

    (1) sign the affidavit or sign on behalf of the correct
        noteholder;

    (2) sign the verification or identify the signer of the
        verification;

    (3) obtain the NYSE Medallion Stamp Signature;

    (4) indicate the dollar amount of the noteholder's holdings;

    (5) include all pages of the Holder Affidavit;

    (6) state the noteholder's net worth or the net worth stated
        was insufficient under the terms of the Holder
        Affidavit; or

    (7) provide the noteholder's address, tax identification
        number, and complete broker information.

Law Debenture supplied the Senior Indenture Trustees with a list
detailing the specific defects.  Mr. Bodnar notes that no party
disputed that the Holder Affidavits are, in fact, defective.

A full-text copy of the list of the defective Holder Affidavits
is available for free at http://researcharchives.com/t/s?aa6

According to Mr. Bodnar, Law Debenture has been working with the
Senior Indenture Trustees to resolve the issues consensually.
However, as of May 9, 2006, no corrections were obtained.

For this reason, Law Debenture objects to the Holder Affidavits
submitted.

Mr. Bodnar explains that absent any objection, the Holder
Affidavits would be deemed approved and distributions would be
made to the holders without the necessary information that Law
Debenture needs to recover the distributions upon successful
appeal of the Guaranty Decision.

Law Debenture says it is willing to continue to work with the
Senior Indenture Trustees to resolve the defects.

Liverpool Limited Partnership supports Law Debenture's
objection.

                    About Kaiser Aluminum

Headquartered in Foothill Ranch, California, Kaiser Aluminum
Corporation -- http://www.kaiseraluminum.com/-- is a leading  
producer of fabricated aluminum products for aerospace and high-
strength, general engineering, automotive, and custom industrial
applications.  The Company, along with its Jamaican
subsidiaries -- Alpart Jamaica Inc. and Kaiser Jamaica
Corporation -- filed for chapter 11 protection on Febr. 12, 2002
(Bankr. Del. Case No. 02-10429), and has sold off a number of
its commodity businesses during course of its cases.  Corinne
Ball, Esq., at Jones Day, represents the Debtors in their
restructuring efforts.  On June 30, 2004, the Debtors listed
US$1.619 billion in assets and US$3.396 billion in debts.
(Kaiser Bankruptcy News, Issue No. 97; Bankruptcy Creditors'
Service, Inc., 215/945-7000)




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


MERIDIAN AUTOMOTIVE: Liquidation Analysis in Amended Joint Plan
---------------------------------------------------------------
Meridian Automotive Systems, Inc., and its debtor-affiliates
believe that their First Amended Joint Plan of Reorganization
meets the "best interest of creditors" test under Section
1129(a)(7) of the Bankruptcy Code.  The Debtors believe that the
Holders of Claims and Prepetition Meridian Interests in each
Impaired Class will receive at least as much under the Plan
as they would if the Debtors were liquidated under Chapter 7 of
the Bankruptcy Code.

The Debtors believe that the value of any distributions to each
class of allowed claims in a chapter 7 liquidation would be less
than the anticipated value of Distributions under the Plan
because those distributions in a chapter 7 case would not occur
for a substantial period of time.  "It is likely that
distribution of the liquidation proceeds could be delayed after
the completion of the liquidation in order to reconcile claims
asserted in the chapter 7 case and prepare for distributions,"
Richard E. Newsted, the Debtors' president and chief executive
officer, says.

Mr. Newsted relates that the Debtors' Liquidation Analysis
reflects the projected outcome of a hypothetical, orderly
liquidation of the Debtors under Chapter 7.

Major assumptions made for purposes of the Liquidation Analysis:

    * The asset values used are based on the projected book
      values of each Debtor's assets as of June 30, 2006.

    * The cash and cash equivalents projected to be available on
      the June 30, 2006, are based on the projected book balance
      and do not include any check float amount.

    * The majority of accounts receivable are assumed to be
      collected over a three to six-month period, with any
      remaining balances sent to a collections agency.

    * Inventory is assumed to be liquidated over a four to six-
      week period, with remaining balances sold for scrap or
      destroyed.

    * Machinery and equipment, and construction in progress that
      represents the majority of assets at the Debtors'
      Fowlerville, Michigan, facility that have not yet been
      capitalized.  All of these items are assumed sold over a
      nine to twelve-month liquidation period.  Proceeds from
      these sales have been estimated based on current general
      market conditions.

    * The Debtors believe, and the Liquidation Analysis assumes,
      that most of the other current and long-term assets would
      generate little or no recovery in a liquidation scenario.

    * Liquidation fees and costs include severance payments for
      those employees retained for the liquidation, wind-down
      costs, professional fees, costs associated with
      liquidation of the Debtors' assets, and Chapter 7 trustee
      fees.  Wind-down costs include payments of utilities,
      insurance, real estate tax security, MIS, rent and
      building maintenance.

    * All available non-Debtor intercompany accounts payable are
      assumed to be paid, whether in part or in whole, to the
      Debtor entities and become part of that Debtor's available
      distributable funds.

                 Meridian Automotive Systems, Inc.
          Consolidated Hypothetical Liquidation Analysis
                         (US$ in Thousands)

                                      Hypothetical Liquidation
                                      ------------------------
                                      Recovery           Value
                                      --------           -----
                      Projected Net
                     Book Value     Low  High      Low      High
                    -------------   ---  ----      ---      ----
Cash                      $500     100% 100%     $500      $500

Accounts               126,876      49%  54%   61,755    68,656
  Receivables (net)

Inventory (net)         67,331      44%  58%   29,501    39,165

Property, Plant,       233,203      39%  45%   90,056   105,129
  & Equipment (net)

Other current &         46,296       8%  10%    3,881     4,544
  Long-term Assets

Investment in                -        -    -      630     2,104
  Non-Debtor Affiliate
                       ========      === ==== ========  ========
                       $474,206      39%  46% $186,322  $220,097
                                              ========  ========
    Less: Cost of Liquidation                 $27,854    $21,799
                                              -------    -------
Hypothetical Liquidation Value
available for Distribution                    $158,468  $198,298

Estimated Super-priority &
Secured Claims:

    DIP Financing                             $42,600    $42,600
    Professional Fee Carve Out                 $5,000     $5,000
    Senior Secured Claims                    $110,868   $150,698

Hypothetical Liquidation Value
  Available for Administrative,
  Priority Prepetition Junior
Secured Claims & Unsecured Claims                 -          -
                                              ========  ========

Headquartered in Dearborn, Mich., Meridian Automotive Systems,
Inc. -- http://www.meridianautosystems.com/-- supplies  
technologically advanced front and rear end modules, lighting,
exterior composites, console modules, instrument panels and
other interior systems to automobile and truck manufacturers.  
Meridian operates 22 plants in the United States, Canada and
Mexico, supplying Original Equipment Manufacturers and major
Tier One parts suppliers.  The Company and its debtor-affiliates
filed for chapter 11 protection on April 26, 2005 (Bankr. D.
Del. Case Nos. 05-11168 through 05-11176).  James F. Conlan,
Esq., Larry J. Nyhan, Esq., Paul S. Caruso, Esq., and Bojan
Guzina, Esq., at Sidley Austin Brown & Wood LLP, and Robert S.
Brady, Esq., Edmon L. Morton, Esq., Edward J. Kosmowski, Esq.,
and Ian S. Fredericks, Esq., at Young Conaway Stargatt & Taylor,
LLP, represent the Debtors in their restructuring efforts.  Eric
E. Sagerman, Esq., at Winston & Strawn LLP represents the
Official Committee of Unsecured Creditors.  The Committee also
hired Ian Connor Bifferato, Esq., at Bifferato, Gentilotti,
Biden & Balick, P.A., to prosecute an adversary proceeding
against Meridian's First Lien Lenders and Second Lien Lenders to
invalidate their liens.  When the Debtors filed for protection
from their creditors, they listed US$530 million in total assets
and approximately US$815 million in total liabilities.  
(Meridian Bankruptcy News, Issue No. 28; Bankruptcy Creditors'
Service, Inc., 215/945-7000).


GRUPO MEXICO: Declares Force Majeure Due to Strike at Canaea
------------------------------------------------------------
Grupo Mexico SA told Dow Jones Newswires that it declared force
majeure on the June and July copper deliveries as the strike at
its Cananea copper mine continues.

According to Dow Jones, operations at Mexico's two largest
copper mines that are both owned by Grupo Mexico have come to a
halt due to the strikes.  

Grupo Mexico said in a filing with the Mexican Stock Exchange
that the Cananea strike went on despite the best efforts of the
company.

Dow Jones recalls that Cananea mine workers walked off the job
last week, alleging that the firm had refused to give half of
the workers the day off to celebrate the 100th anniversary of a
historic 1906 strike at the mine.

Dow Jones relates that the strike was expected to last for
several days.   The union said in a press release that the
workers will continue the work stoppage until the government
recognizes Napoleon Gomez Urrutia as the union's leader and that
state authorities release four union members arrested during an
at La Caridad.

As reported in the Troubled Company Reporter on March 28, 2006,
workers at the La Caridad mine went on strike after the mine
operator Industrial Minera Mexico reportedly refused to conduct
a collective contract review.

The Troubled Company Reporter also reported on April 21, 2006,
that miners commenced the strike after the Mexican government
didn't recognize Napoleon Gomez Urrutia as union leader of the
Miner and Steelworkers Union.  Mexico's Labor Ministry, with the
support of Grupo Mexico, recognized on Feb. 17 Elias Morales as
the union's leader in place of Mr. Urrutia, citing allegations
of embezzling US$55 million.  But union members asserted that
deposing Mr. Urrutia without a hearing is not legal.  

Grupo Mexico SA de C.V. -- http://www.grupomexico.com/--   
through its ownership of Asarco and the Southern Peru Copper
Company, Grupo Mexico is the world's third largest copper
producer, fourth largest silver producer and fifth largest
producer of zinc and molybdenum.

                        *    *     *

Fitch Ratings assigned these ratings to Grupo Mexico SA de C.V.:

     -- foreign currency long-term debt, BB; and
     -- local currency long-term debt, BB.


TV AZTECA: Time Warner Cable Systems Adds Subsidiary's Program
--------------------------------------------------------------
Azteca America, a Hispanic television network of the United
States and a subsidiary of TV Azteca S.A. de CV, disclosed that
its programming is available on the Time Warner Cable systems in
Laredo, Brownsville-McAllen, El Paso, San Antonio and Corpus
Christi, effective since June 1.

"These cable carriage agreements are expected to represent
considerable gains in our cable coverage, and consolidate our
presence in Texas," said Luis J. Echarte, Chairman of Azteca
America.  "This is a tribute to the tenacity and business sense
of our friends at Una Vez Mas and Time Warner."
    
The Brownsville-McAllen, San Antonio and Corpus Christi markets
correspond to existing over-the-air stations KNDF, KVDF and
KYDF.  The Laredo and El Paso markets are new to Azteca America.  
The signals are available to consumers through Time Warner's
basic cable service.  Azteca America's Una Vez Mas affiliate
station group operates all markets.
    
"We continue to consolidate our operations in Texas because it's
a primary target for Una Vez Mas and a natural market for Azteca
America," said Terry Crosby, CEO of Una Vez Mas.  The station
group currently has 17 stations with Azteca America, making it
the largest affiliate station group of the network.

                    About Azteca America

Azteca America is the fastest-growing Hispanic network in the
United States.  The network is a wholly owned subsidiary of TV
Azteca S.A. de C.V., one of the two largest producers of
Spanish-language television content in the world.  Azteca
America currently has presence in 48 Hispanic market.
    
                      About TV Azteca

TV Azteca is one of the two largest producers of Spanish-
language television programming in the world, operating two
national television networks in Mexico -- Azteca 13 and Azteca 7
-- through more than 300 owned and operated stations across the
country.  TV Azteca affiliates include Azteca America Network, a
new broadcast television network focused on the rapidly growing
US Hispanic market, and Todito, an Internet portal for North
American Spanish speakers.

                        *    *    *

Moody's Investor Services rated TV Azteca's senior unsecured
debt at B1.
                     

* MUNICIPALITY OF TULTITLAN: Moody's Rates Local Currency at B1
---------------------------------------------------------------
Moody's assigned issuer ratings of Baa2.mx (Mexico National
Scale) and B1 (Global Scale, local currency) to the Municipality
of Tultitlan.  The ratings reflect financial performance
characterized by persistent deficits and weakening liquidity, as
well as the municipality's large debt load and debt service
requirements.  The ratings also take into account the weak
condition of the municipal water utility, and the significant
non-bank liabilities of both the utility and the municipal
government.  Finally, the analysis considers the credit strength
derived from the municipality's substantial, industrial-based
economy, while recognizing the challenges associated with its
large infrastructure needs driven by rapid population growth.

The municipality has posted financing deficits-averaging 8% of
total revenues-in eight of the nine years through 2005.  A small
financing surplus in 2002 is the only departure from this
pattern.  A worrisome recent development has been narrowing and
sometimes negative operating margins (before capital items), as
current expenditures have grown to consume an increasing share
of revenues. Preliminary 2005 figures indicate a financing
deficit equal to 5.9% of total revenues, though year-to-year
balance sheet changes indicate that the deficit could indeed be
larger, closer to 15%.  The municipality's weak financial
performance has led to shrinking liquidity, as short-term
liabilities have ballooned and the use of short-term loans to
meet cash flow needs has increased.

While the contribution of Tultitlan's own-source revenues-about
one-third of operating revenues-is close to the median for rated
municipalities, its total revenues per capita are well below the
median.  The municipality has achieved some success in recent
years in increasing property tax revenues through improved
collection efforts, but this has not yet had an appreciable
impact on financial performance.  On the expenditure side,
personnel costs have been consuming well over 50% of total
revenues in recent years, and operating costs (including
personnel) have been accounting for over 90%. The 2006 budget
projects that personnel costs will consume 60% of revenues.

Tultitlan's debt load has long been heavy relative to other
rated municipalities. From 1997 to 2002, net direct and
guaranteed debt averaged about 20% of total revenue and, after a
brief drop in 2003, increased again to 31% at the end of 2005.  
Short-term debt has been growing since 2003.  Its large share of
the 2005 debt balance could cause principal and interest
payments to consume 12% to 14% of total revenues in 2006,
excluding additional borrowing that may be required this year.  
This figure is high, but is nonetheless typical for Tultitlan.

When the current administration's term ends in August 2006, the
only bank loan it intends to leave outstanding is a MXN94
million borrowing from Banobras, most of which was utilized in
2005 to finance a traffic interchange.  The loan is to be repaid
over 10 years, with no grace period beyond a six-month
disbursement period, and carries an interest rate of TIIE+1.71.  
Looking ahead to 2007, when annual debt service for this loan
will likely reach its peak, Moody's expects the Banobras loan to
require 3% to 4% of total revenues, a manageable burden.  
However, this projection fails to incorporate future borrowing
needs that are likely to remain high.  Even if Tultitlan is able
to avoid the need for cash flow borrowing, it still faces
pressing infrastructure needs that cannot be sufficiently
financed with its own resources.

Compounding the municipality's challenges is the weak financial
condition of its water utility, APAST.  The utility has
persistently generated large operating deficits, which it has
financed primarily by withholding payment to the state water
authority, CAEM, for bulk deliveries of water.  By the end of
2005 APAST owed CAEM MXN415 million, an amount more than 2.5
times APAST's budget.  It has also obtained small short-term
loans-in the range of MXN10 to MXN20 million-in recent years to
meet year-end cash flow needs, which the municipal government
has repaid directly to the bank.  Both the municipal government
and APAST have also accumulated significant arrears with the
power company, Luz y Fuerza, as well as the state pension
provider, ISSEMyM.

One of the industrial suburbs located north of Mexico City,
Tultitlan is a city with a 2000 census population of more than
432,000.  Available sociodemographic indicators for the
municipality are above the averages for the State of Mexico.  
Although reliable data for municipal GDP per capita are not
available, it is likely that the city's strong industrial sector
also places it above the state average by this measure.  Like
many other cities in the metro area, Tultitlan's population has
grown at an explosive pace in recent decades-increasing more
than eight-fold from 1970 to 2000.  This rapid growth has
created large infrastructure needs.

Moody's issuer ratings are opinions of the ability of entities
to honor their senior unsecured financial obligations, that is,
without incorporating credit support derived from the use of
federal revenue-sharing or other resources as collateral.  
Moody's will later assign ratings under the Mexico National
Scale evaluating the additional credit support provided to the
municipality's borrowings by such collateral guarantees or trust
agreements, as these are developed.

Moody's Mexico National Scale ratings are opinions of the
relative creditworthiness of issuers and issues within Mexico.  
The Moody's Global Scale rating for borrowings in local currency
allows investors to compare the issuer's creditworthiness to all
other issuers in the world.  It incorporates all Mexico-related
risks, including the potential volatility of the Mexican
economy.  For comparative purposes, Moody's Global Scale, Local
Currency rating for domestic debt issued by the Mexican
governent is Baa1.


* MEXICO: Will Begin Construction on Power Interconnection
----------------------------------------------------------
Mexico and Guatemala will begin construction works on an
electric power interconnection on June 13, Fernando Canales,
Mexico's energy minister, told government news agency Notimex.

The electric power interconnection is part of the Mesoamerican
energy integration program or PIEM, Notimex relates, citing
Minister Canales.

Notimex reports that the line will extend 30km from Tapachula in
Chiapas, Mexico, to the border.  It will continue 60km to Los
Brillantes.

The transmission line between Mexico and Guatemala will result
to a reduction of power generation costs in the region and a
more rational use of present-day installed capacity, BNamericas
reports.

                        *    *    *

Fitch Ratings assigned these ratings on Guatemala:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    BB+      Feb. 22, 2006
   Long Term IDR      BB+      Feb. 22, 2006
   Short Term IDR     B        Feb. 22, 2006
   Local Currency
   Long Term Issuer
   Default Rating     BB+      Feb. 22, 2006

                        *    *    *

Fitch also rated Guatemala's senior unsecured bonds:

Maturity Date          Amount        Rate       Ratings
-------------          ------        ----       -------
Aug. 3, 2007        US$150,000,000     8.5%         BB+
Nov. 8, 2011        US$325,000,000    10.25%        BB+
Aug. 1, 2013        US$300,000,000     9.25%        BB+
Oct. 6, 2034        US$330,000,000     8.125%       BB+


                        *    *    *

As reported in the Troubled Company Reporter on April 17, 2006,
Standard & Poor's Ratings Services placed an mxBB+ long-term
rating with stable outlook on the state of Mexico.  



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


* PANAMA: Will Analyze Proposal on Waterway Extension
-----------------------------------------------------
The government is expected to consider the proposal made by the
Panama Canal Authority to extend the country's waterway, Prensa
Latina reports.

Parliament President Elias Castillo was positive that the
deputies will study the offer no later than June 12, official
sources told Prensa Latina.

Prensa Latina states that the National Assembly will then
discuss the proposal after it is being analyzed.

According to Prensa Latina, the government has made no official
statement on the issue.  However, observers believe the
ministerial meeting is unnecessary as President Martin Torrijos
and his main colleagues are in favor of the US$5.25 billion
project.

Prensa Latina relates that conditions will be favorable to hold
a national referendum for the approval of the canal extension,
after the government and the National Assembly sessions are
held.  

Polls show that majority of the citizens support the expansion,
Prensa Latina says.   Still, the number of those who are against
the plan is increasing.

To the opponents of the canal expansion, engaging in a billion
dollar project to be carried out in seven years is unjustifiable
and will place the Panama into permanent debt, Prensa Latina
reports.

                        *    *    *

Fitch Ratings assigned these ratings on Panama:

                     Rating     Rating Date
                     ------     -----------
   Country Ceiling    BBB      Apr.  8, 2005
   Long Term IDR      BB+      Dec. 14, 2005
   Short Term IDR       B      Dec. 14, 2005
   Local Currency
   Long Term Issuer
   Default Rating     BB+      Dec. 14, 2005




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


* PARAGUAY: Petropar Will Incur Higher Costs for Sugar Cane
-----------------------------------------------------------
Paraguay's  President Nicanor Duarte Frutos said in a statement
that Petropar, the country's state-owned oil company, will raise
the price it pays for sugar cane to PYG108,000 per ton from
PYG10,000 a ton.

The president said this is to encourage cane production for
ethanol.

Alejandro Takahashi, the head of Petropar, said in a statement
that the company wants to increase the production capacity of
its Mauricio Jose Troche ethanol plant.

Business News Americas relates that the plant's daily ethanol
production average is at 150,000 liters.

                        *    *    *

As reported in the Troubled Company Reporter on May 26, 2006,
Moody's Investors Service upgraded these ratings on Paraguay:

   -- Long-term foreign currency rating: B3 from Caa1 with
      stable outlook.

Moody's assigned this rating:

   -- Short-term foreign currency rating: Not Prime.

                        *    *    *

Standard & Poor's assigned these ratings on Paraguay:

     -- Foreign Currency LT Debt B-
     -- Local Currency LT Debt   B-
     -- Foreign Currency ST Debt C
     -- Local Currency ST Debt   C




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


SANTANDER BANCORP: Declares US$0.16 Dividend per Common Share
-------------------------------------------------------------
The Board of Directors of Santander BanCorp, declared a cash
dividend amounting to US$0.16 per common share.  The dividend
shall be payable on July 3, 2006, to shareholders of record as
of June 9, 2006.     

Cash dividends on common shares are eligible for direct
reinvestment under the Company's Dividend Reinvestment and Cash
Purchase Plan.  For information on how to participate, contact
the transfer agent and registrar at:

     Mellon Investor Services LLC
     Phone: (800) 851-9677

Santander BanCorp is a publicly held financial holding company
that is traded on the New York Stock Exchange (SBP) and on
Latibex (Madrid Stock Exchange) (XSBP).  About 91% of the
outstanding common stock of Santander BanCorp is owned by Banco
Santander Central Hispano, S.A aka Santander.  The company has
four wholly owned subsidiaries -- Banco Santander Puerto Rico,
Santander Securities Corporation, Santander Financial Services
and Santander Insurance Agency.  

                        *    *   *

As reported in the Troubled Company Reporter on May 30, 2006,
Fitch affirmed the Individual ratings of Santander Bancorp and
Banco Santander Puerto Rico at 'C'.  




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


MUSICLAND HOLDING: Walking Away from 122 Contracts & Leases
-----------------------------------------------------------
As of May 26, 2006, Musicland Holding Corp. and its debtor-
affiliates ask the U.S. Bankruptcy Court for the Southern
District of New York's authority to reject 122 executory
contracts and unexpired leases pursuant to the Court-approved
Expedited Rejection Procedures.

The Leases to be rejected are:

                                                 Proposed
      Shopping Center/Mall                    Rejection Date
      --------------------                    --------------
      Bangor                                             -
      Burnsville                                         -
      Charlottesville Fashion                            -
      Columbia Center                                    -
      Cross Country Center                               -
      Crossroads Mall                                    -
      Diamond Center                                     -
      Four Seasons Town Center                           -
      Horton Plaza                                       -
      Indian Mall                                        -
      Livingston Mall                                    -
      Mall Del Norte                                     -
      McCain Mall                                        -
      321 Merle Hay Mall                           5/31/06
      Brookfield Square                            5/31/06
      Cool Springs Galleria                        5/31/06
      Dakota Square Mall                           5/31/06
      Hemet Valley Mall                            5/31/06
      Memorial Mall                                5/31/06
      Merced Mall                                  5/31/06
      Middlesex Mall                               5/31/06
      Roseburg Valley Mall                         5/31/06
      Salem Center                                 5/31/06
      Serramonte Center                            5/31/06
      Windward Mall                                5/31/06
      Carnation Mall                               6/05/06
      Columbia Mall                                6/05/06
      Crosscreek Mall                              6/05/06
      Desoto Square                                6/05/06
      Hickory Point Mall                           6/05/06
      Nanuet Mall                                  6/05/06
      Oakwood Mall                                 6/05/06
      Rimrock Mall                                 6/05/06
      Towne W Square                               6/05/06

The Contracts to be rejected are:

                                                      Rejection
Counter Party                Description                 Date
-------------                -----------              ---------
A.V.E.L.A. Inc.              Content License Pact       4/25/06

Advanced Communication       Letter Agreement           4/25/06
Design, Inc.                 to AMG video database

Airline Promotions South     Marketing Agreement        4/25/06

All Media Guide, Inc.        Image Agreement            4/25/06

All Media Guide, Inc.        Service Agreement          4/25/06

All Media Guide, Inc.        Data & License Agreement   4/25/06

American Automobile Asso.    Marketing Agreement        4/25/06

Art Minds Surf & Sport       Content License            4/25/06
Photography                  Agreement

AT&T Wireless Services       Service Agreement          4/25/06

C3 Premedia Solutions        Service Agreement          4/25/06

Capital Concepts             License Agreement          4/25/06

Card Fact Ltd.               Services Agreement         4/25/06

Cartoon Network, LP, LLP     License Agreement          4/25/06

Creative Labs Inc.           Distribution Agreement     4/25/06

Crimzon Rose Accessories     Vendor Agreement           4/25/06

Crisp Wireless, Inc.         Software License           4/25/06

Geneon Entertainment Inc     Merchandising License      4/25/06

Geity Images, Inc.           Contact License Pact       4/25/06

Graphic Communications       Marketing Agreement        4/25/06
Holding, Inc.

IAM Mobile LLC               Distribution Agreement     4/25/06

InTouch Group Inc.           License Agreement          4/25/06

M2 Media Group LLC           Marketing Partnership      4/25/06

Mercury Cloud LLC            Project Order No. 3        4/25/06

MUZE Inc.                    License Agreement          4/25/06

Tennessee Pacific Group LLC  Supply Agreement           4/25/06

PRO/Phase Marketing Inc.     Management Agreement       4/25/06

Retail Choice LLC            Service Agreement          6/24/06

Data Sales Co., Inc.         HP Printers                4/28/06

First Corp.                  50 HP computers            4/28/06

Microsoft Licensing GP       Two License Agreements     4/28/06

Eric Weisman                 Severance Agreement        4/28/06

Digital On-Demand            License Agreement          5/05/06

Transport Logistics, Inc.    Logistic Services          5/05/06

Deluxe Media Services Inc.   Product Warehousing        5/05/06

Airborne Entertainment       Content License Pact             -

Bellsouth Telecommunication  Nine Service Agreements          -

Case-IT/BMI Inc.             Supply Agreement                 -

Choice Point Services Inc    Service Agreement                -

Columbiasoft Corp.           License Agreement                -

Diversified Distribution     Distribution Agreement           -
Systems, Inc.

Excell Marketing LC          Two Marketing Agreements         -

Hershey Foods                Two Marketing/Supply Pacts       -

Hudson Highland Group        Service Agreement                -
Global Resources

Iiona Wellman                Content License Pact             -

Index Stock Imagery Inc.     Content License Pact             -

Inge Johnsson                Content License Pact             -

JGA, Inc.                    Service Agreement                -

Laffler, Todd                Content License Agreement        -

Line 6, Inc.                 Content License Pact             -

McDonald's Corporation       Marketing Agreement              -

Mobile365, Inc.              Content Delivery Agreement       -

Monster, Inc.                Service Agreement                -

Nine Squared                 License Agreement                -

Pepsi-Cola                   Equipment Agreement              -

Performics, Inc.             Data License Agreement           -

Pico Franchising LLC         License Agreement                -

Picturesnow.com Inc.         Content License Pact             -

Playphone Inc.               Services Agreement               -

Rentrak Corp                 Service Agreement                -

RETNA Ltd.                   Content License Pact             -

Savage Monsters              License Agreement                -

Scentair Technologies        Service Agreement                -

Senn-Delaney Consulting      Service Agreement                -

Shukat Arrow Hafer & Weber   Consulting Agreement             -

Signature Dining Inc.        Service Agreement                -

Skyzone Entertainment        Software License Agreement       -

Solutionary Inc.             Services Agreement               -

Speed Racer Enterprises      Content License Pact             -

Stereo Advantage Inc.        Sale of electronics              -

Syncsor Incorporated         License Agreement                -

Twinship Inc.                Content License Pact             -

Universal Studios Licensing  Merchandising License            -

Varsity Gold Inc., VG2,      Marketing Agreement              -
VG marketing, Access VG

Vulcan Sports Media Inc.     License Agreement                -

Walker Interactive Systems   License Agreement                -

Weichert Relocation Co.      Service Agreement                -

                            Objections

1. Data Sales Co.

On behalf of Data Sales Co. Inc., a lessor under a Master
Equipment Lease dated July 28, 1997, Brian F. Leonard, Esq., at
Leonard, O'Brien, Spencer, Gale & Sayre, Ltd., in Minneapolis,
Minnesota, relates that although the Debtors have given notice
that they intend to reject the Master Lease Agreement, the
Debtors are still utilizing many of the Printers, and have
failed to give Data Sales a specific and written notice of the
location of each of the Printers.  Accordingly, Data Sales
cannot effectively and expeditiously take possession of the
Printers.

Data Sales asks the Court to postpone the effective date of the
rejection of the Master Lease until:

   -- the Debtors provide proper notice of the location of the
      Printers; and

   -- it has had ample and reasonable time to remove those
      Printers from the Debtors' business locations.

2. Transport Logistics

Prior to the Petition Date, pursuant to a Logistics Services
Agreement with the Debtors, Transport Logistics, Inc.,
coordinated a substantial portion of the Debtors' distribution
chain and, among other things, managed the Debtors' use of
regional distribution centers, freight payment, audits, claims
management and collections, Janice B. Grubin, Esq., at Gardner
Carton & Douglas LLP, in New York, tells the Court.

Subsequent to the sale of substantially all of the Debtors'
assets, the Debtors' shipping under the LS Agreement has
steadily but rapidly diminished, Ms. Grubin notes.  However,
Transport Logistics is continuing to receive charges on the
Debtors' accounts as of May 15, 2006.

Transport Logistics does not object to the Debtors' rejection of
the LS Agreement.  Instead, Transport Logistics wants to
preserve its rights to seek administrative expense priority for
its claims relating to services and charges to which it is
entitled, where the charges correspond to shipments and orders
sought or accepted by the Debtors postpetition, notwithstanding
any deemed date of rejection of the LS Agreement.

Headquartered in New York, New York, Musicland Holding Corp., is
a specialty retailer of music, movies and entertainment-related
products.  The Debtor and 14 of its affiliates filed for chapter
11 protection on Jan. 12, 2006 (Bankr. S.D.N.Y. Lead Case No.
06-10064).  James H.M. Sprayregen, Esq., at Kirkland & Ellis,
represents the Debtors in their restructuring efforts.   Mark T.
Power, Esq., at Hahn & Hessen LLP, represents the Official
Committee of Unsecured Creditors.  When the Debtors filed for
protection from their creditors, they estimated more than US$100
million in assets and debts.  (Musicland Bankruptcy News, Issue
No. 12; Bankruptcy Creditors' Service, Inc., 215/945-7000)




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


* URUGUAY: Will Hold Trade Talks with China
-------------------------------------------
Uruguay will hold discussions with China to explore the
possibility of trade agreement between the two countries, BBC
Monitoring Americas reports.

According to BBC, the two nations will meet in an economic and
trade forum -- called Road To China -- that started on June 2.

BBC relates that the forum aims to strengthen economic and trade
exchanges between Uruguay and China.  Mario Bergara, the deputy
finance minister of Uruguay, opened the forum.  

Minister Bergara told BBC that Uruguay was looking into
opportunities with the world although its main focus was on
local trade organization through the Southern Common Market or
Mercosur.  He said that China has an enormous market and there
are many things that can be traded with the Asian country.

                        *    *    *

As reported in the Troubled Company Reporter on May 26, 2006,
Fitch Ratings revised the Outlooks on the Oriental Republic
of Uruguay's Sovereign ratings to Positive from Stable.  The
long-term foreign currency Issuer Default Rating is affirmed at
'B+', and the long-term local currency IDR is affirmed at 'BB-'.
The Short-term IDR is affirmed at 'B' and the Country Ceiling is
affirmed at 'BB-'.

                        *    *    *

Moody's upgraded Uruguay's long-term foreign currency rating to
B1 from B3 under the revised foreign currency ceilings on
May 24, 2006.




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


* VENEZUELA: Minister Meeting Colombian Counterpart on June 15
--------------------------------------------------------------
Venezuelan foreign minister Ali Rodriguez Araque will meet on
June 15 in Caracas his Colombian counterpart Carolina Barco to
discuss the effects of the Colombia-US free trade agreement and
other bilateral issues, El Universal reports.

"For June 15th, we have panned a high-ranking meeting with
Minister Barco to analyze our common agenda and address
prominent issues in our relations," minister Rodriguez Araque
told Radio Caracol. "We will tackle, particularly, the impact of
the FTA entered into by Colombia and the United States, as well
as Colombian-Venezuelan trade. There has been a sustained growth
of USD 3 billion. Rather than keeping this trend, it should
raise."

                        *    *    *

Venezuela's foreign currency long-term debt is rated B1 by  
Moody's, B+ by Standard & Poor's, and BB- by Fitch.


* IDB Presents New Dev't Initiative for LatAm & the Caribbean
-------------------------------------------------------------
Inter-American Development Bank President Luis Alberto Moreno
presents a new initiative to promote economic opportunities for
the low-income majority of Latin America and the Caribbean, a
region where poverty and inequality levels have hardly changed
over the past five decades.

Mr. Moreno outlines the Building Opportunity for the Majority
initiative, which will guide a growing portion of the IDB's
lending and establish benchmarks and targets to measure its
performance over the next five years.

Some 360 million people, or 70% of the population in Latin
America and the Caribbean, have incomes under US$300 a month,
measured on a purchasing power parity basis, according to the
World Resources Institute.  While they constitute a US$510
billion-a-year market, these neglected consumers and producers
pay a "poverty penalty" that raises their living costs, stunts
their productivity and limits their opportunities to accumulate
assets.

Low-income people in this region lack access to running water,
reliable electricity, good roads and safe transportation.  Their
homes tend to be precariously built on land they probably can't
prove they own.  Their businesses are hobbled by a scarcity of
credit and excessive bureaucratic requirements.

Mr. Moreno believes the IDB, as the leading source of
multilateral financing for Latin America and the Caribbean, must
work creatively with governments, the private sector and civil
society to help more people move into the middle class.

To that end, the IDB will devote increasing amounts of its
lending, which can rise to US$8 billion a year, to finance
innovative partnership projects in a few key areas where it may
make a difference, such as enabling entrepreneurship and
expanding access to:

   -- affordable housing,
   -- basic infrastructure,
   -- microfinance and
   -- modern communication technologies.

In many cases, these challenges could be addressed by adapting
to the public sector some of the strategies employed by
businesses and non-profit organizations that are successfully
serving clients or working with entrepreneurs at the base of the
social and economic pyramid.

Building Opportunity for the Majority will be launched at a June
12-13 conference at the IDB.

At the conference WRI's Lash will present the results of his
think-tank's investigation of the purchasing power of low-income
people in Latin America and the Caribbean and the "poverty
penalty" this population endures.  Instituto Libertad y
Democracia President Hernando de Soto will present the Lima-
based ILD's survey of unregistered businesses, farms and urban
properties in the region.



                        ***********


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.  Marjorie C. Sabijon, Sheryl Joy P. Olano, Stella
Mae Hechanova, Christian Toledo, Editors.

Copyright 2006.  All rights reserved.  ISSN 1529-2746.

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             * * * End of Transmission * * *