T R O U B L E D C O M P A N Y R E P O R T E R L A T I N A M E R I C A Tuesday, December 18, 2007, Vol. 8, Issue 250 Headlines A R G E N T I N A ACQUA FIORE: Files for Reorganization Petition in Buenos Aires AVIAR ROSARIO: Trustee Filing Individual Reports on Feb. 7, 2008 VERIFONE HOLDINGS: Purchases EFTPOS Services Business B A H A M A S BAC BAHAMAS: S&P Affirms BB/B Counterparty Credit Ratings B E L I Z E CONTINENTAL AIRLINES: Fitch Affirms B- Issuer Default Rating B E R M U D A FINANCIAL SOLUTIONS: Proofs of Claim Filing Deadline Is Jan. 4 FINANCIAL SOLUTIONS: Sets Final Shareholders Meeting for Jan. 24 PETRO-CANADA MANAGEMENT: Proofs of Claim Filing Is Until Jan. 4 PETRO-CANADA MANAGEMENT: Final Shareholders Meeting on Jan. 24 MONTPELIER RE: Board Declares US$0.075 Per Share Dividend SAXON HOLDINGS: Proofs of Claim Filing Deadline Is Dec. 27 SAXON HOLDINGS: Sets Final Shareholders Meeting for Jan. 17 B O L I V I A GAZPROM: In Talks with Bolivia for US$2-Bil. Gas Investment * BOLIVIA: Gets US$12.3-Mln Loan to Support to National Dev't * BOLIVIA: In Talks with Gazprom Over Gas Investments B R A Z I L ACXIOM CORP: Moody's Confirms Ba2 Corporate Family Rating BANCO DO BRASIL: Holders Sell Shares to Boost Trading BANCO NACIONAL: Grants BRL10-Mln Financing for INK Film Studios BANCO NACIONAL: Okays BRL2.49-Bln Loan for Gas Pipeline Project BANCO RURAL: Fitch Shifts Outlook, Affirms Junk National Ratings BRASKEM: Forms Two Companies to Install Petrochemical Projects COMPAGNIE GENERALE: S&P Raises Corporate Credit Rating to BB COSAN SA: Earns US$17 Million in Fiscal Year 2008 Second Quarter GENERAL MOTORS: Refuses to Pay Bonuses to Retirees, IUE-CWA Says * BRAZIL: Forming Joint Venture with Petroleos de Venezuela * BRAZIL: Petroleo Brasileiro Awards Aker Kvaerner Two Contracts C A Y M A N I S L A N D S ANRO VENTURES: Proofs of Claim Filing Deadline Is Jan. 8, 2008 BEAR STEARNS: BofA Withdraws Plea to Clarify Injunction Order BEAR STEARNS: Funds Want More Time to Answer Amici Brief BEAR STEARNS: Receives Subpoena from New York Attorney General BREA HOLDINGS: Proofs of Claim Filing Ends on Jan. 21, 2008 COMMERCIAL EQUITY: Last Day to File Proofs of Claim Is Jan. 21 COMMERCIAL INVESTMENTS: Proofs of Claim Filing Is Until Jan. 21 FEY INVESTMENTS: Proofs of Claim Filing Ends on Jan. 8, 2008 FREESPIRIT CAPITAL: Proofs of Claim Filing Deadline Is Dec. 31 FREESPIRIT CAPITAL MANAGEMENT: Claims Filing Ends on Dec. 31 JPMORGAN ABSOLUTE: Proofs of Claim Filing Deadline Is Jan. 10 JPMORGAN ABSOLUTE RETURN: Proofs of Claim Filing Ends on Jan. 10 LAKEHILL INVESTMENTS: Proofs of Claim Filing Is Until Jan. 21 LAGUNA EQUITY: Proofs of Claim Filing Deadline Is Jan. 21, 2008 LAGUNA INVESTMENTS: Proofs of Claim Filing Deadline Is Jan. 21 LAKEHILLS EQUITY: Proofs of Claim Filing Is Until Jan. 21, 2008 LANDMARK EQUITY: Proofs of Claim Filing Ends on Jan. 21, 2008 LIFE FUNDING: Proofs of Claim Filing Is Until Jan. 11, 2008 MARCUS EQUITY: Proofs of Claim Filing Deadline Is Jan. 21, 2008 MARCUS HOLDINGS: Proofs of Claim Filing Is Until Jan. 21, 2008 ORANGE EQUITY: Proofs of Claim Filing Deadline Is Jan. 21, 2008 ORANGE INVESTMENTS: Proofs of Claim Filing Is Until Jan. 21 WADHWANI GENERAL: Proofs of Claim Filing Ends on Jan. 10, 2008 WESTSHORE HOLDINGS: Proofs of Claim Filing Deadline Is Jan. 21 C H I L E BOSTON SCIENTIFIC: Inks US$425-Mln Buyout Deal w/ Avista Capital C O L O M B I A AES CHIVOR: Improved Debt Ratio Cues S&P To Lift Ratings to BB ECOPETROL: Inks Exploration Pact with Royal Dutch C O S T A R I C A ARMSTRONG HOLDINGS: Completes Net Asset Distribution to Holders BANCO BAC: S&P Affirms Low B Curr. Counterparty Credit Ratings D O M I N I C A N R E P U B L I C EURONET: Confirms Tax-Free All-Stock Offer for MoneyGram EURONET WORLDWIDE: S&P Places BB Rating Under Positive Watch * DOMINICAN REPUBLIC: Debt Servicing for 2008 Amounts to DOP91B * DOMINICAN REPUBLIC: Gets US$50-Million Loan for Roads Network E C U A D O R PETROECUADOR: Awards Projector Diesel Supply Contract * ECUADOR: Concluding Pact Talks with Foreign Mobile Phone Firms G U A T E M A L A AFFILIATED COMPUTER: To Install 24 Speed Cameras in Maryland J A M A I C A GOODYEAR TIRE: Develops Non-Pneumatic Tire for Moon-Use w/ NASA M E X I C O AMERICAN TOWER: Settles Securities Class Action for US$14 Mil. CARDTRONICS INC: Closes 12 Mil. Initial Public Shares Offering CEMEX SAB: Projects Good Fourth Quarter Financial Results GRUPO TMM: Directors & Shareholders OK Share Repurchase Program INTERNATIONAL RECTIFIER: Moody's Withdraws Assigned Ratings MCDERMOTT INTERNATIONAL: Unit Bags Drilling Contract from PEMEX QUAKER FABRIC: Wants Until April 14 to Exclusively File Plan N I C A R A G U A * NICARAGUA: Gets US$450,000 Loan from MIF for Regional Program P A N A M A NCO GROUP: Outsourcing Purchase Cues Moody's to Review Ratings * PANAMA: Obtains US$51.2-Million Financing from IDB P U E R T O R I C O APARTMENT INVESTMENT: Moody's Assigns Ba1 Corp. Family Rating LIN TV: Moody's Affirms Debt Ratings, Changes Outlook to Stable U R U G U A Y NAVIOS MARITIME: S&P Shifts Outlook; Affirms BB- Corp. Rating V E N E Z U E L A CHRYSLER LLC: To Idle 2 Plants in Michigan & Ontario in January CITGO PETROLEUM: Moody's Affirms Ba1 Corporate Family Rating CITGO PETROLEUM: S&P Affirms BB Corporate Credit Rating DEL MONTE: Paying US$0.04 Per Share Dividend on Jan. 31, 2008 DEL MONTE: Sharon McCollam Joins Board of Directors PETROLEOS DE VENEZUELA: Fire Breaks Out at Puerto La Cruz Unit PETROLEOS DE VENEZUELA: To Form Joint Venture with Petrobras PETROLEOS DE VENEZUELA: Moves Hocol Contract to Joint Venture - - - - - ================= A R G E N T I N A ================= ACQUA FIORE: Files for Reorganization Petition in Buenos Aires -------------------------------------------------------------- Acqua Fiore S.R.L. has requested for reorganization approval after failing to pay its liabilities since Nov. 4, 2007. The reorganization petition, once approved by the court, will allow Acqua Fiore to negotiate a settlement with its creditors in order to avoid a straight liquidation. The case is pending in the National Commercial Court No. 24 of First Instance in Buenos Aires. Clerk No. 47 assists the court on this case. The debtor can be reached at: Acqua Fiore S.R.L. Castanon 3436 Buenos Aires, Argentina AVIAR ROSARIO: Trustee Filing Individual Reports on Feb. 7, 2008 ---------------------------------------------------------------- Amparo Cueto, the court-appointed trustee for Aviar Rosario S.R.L.'s bankruptcy proceeding, will present the validated claims as individual reports in the National Commercial Court of First Instance in Rosario, Santa Fe, on Feb. 7, 2008. Ms. Cueto verified creditors' proofs of claim until Nov. 21, 2007. A general report that contains an audit of Aviar Rosario's accounting and banking records will be submitted in court on March 21, 2008. Ms. Cueto is also in charge of administering Aviar Rosario's assets under court supervision and will take part in their disposal to the extent established by law. The debtor can be reached at: Aviar Rosario S.R.L. Rioja 1275, Rosario Santa Fe, Argentina The trustee can be reached at: Amparo Cueto Bv. Orono 1217, Rosario Santa Fe, Argentina VERIFONE HOLDINGS: Purchases EFTPOS Services Business ----------------------------------------------------- VeriFone Holdings Inc. has acquired the EFTPOS services business of Peripheral Computer Industries to enhance its ability to provide acquirer banks and other organizations with one-stop electronic payments products and services. Local acquirers are increasingly reliant on partners to add value to their product offerings through expanded solutions and managed service offerings while at the same time reducing their cost of ownership. With an expanded services organization, VeriFone Australia now has the ability to provide one-stop shopping with a complete array of APCA-certified products, software solutions and an integrated services capability. APCA - Australian Payments Clearing Association - has defined standards for design, security and functionality in line with global standards. VeriFone has developed a broad portfolio of powerful system solutions and peripherals that have received APCA certification. "PCI has built up one of the largest EFTPOS service companies in Australia, with a superior service infrastructure, strong customer relationship management skills and a large help desk organization," said William C. Nichols, senior vice president, VeriFone Asia Pacific. "With the continuing growth in electronic payments and the industry's need to comply with global security standards such as PCI, EMV and local APCA mandates, these resources will further enhance VeriFone's ability to provide a full complement of integrated point-of-sale payment solutions and services. "With this acquisition VeriFone will provide a variety of value added services to our customers not only in Australia and New Zealand but across the South East Asia market," Mr. Nichols said. "Our Melbourne-based Helpdesk is capable of providing 7x24 coverage. VeriFone is the only company to offer key injection, repairs, installation and maintenance and software development in both Sydney and Melbourne to service local customers." The PCI acquisition will also provide a launch pad for VeriFone's expanded product portfolio of unattended, petro and retail solutions, which have seen considerable success around the globe. Australia is one of the largest EFTPOS markets in Asia, with an installed base of over 500,000 payment systems. VeriFone markets and supports secure technology that enables electronic payment transactions and value-added services at the point of sale throughout Asia and the Pacific Rim region. The company delivers advanced payment solutions based on leading-edge IP technologies such as Ethernet, Wi-Fi, CDMA and GPRS. About VeriFone VeriFone Inc. is headquartered in Santa Clara, California, and is a global market leader in the development and sale of point- of-sale electronic payment systems. The company has operations in Argentina, Australia, Brazil, China, France, India, Malaysia, Poland, the United Kingdom, the United States, among others. * * * As reported in the Troubled Company Reporter on Sept. 29, 2006, Moody's Investors Service has affirmed the Corporate Family Rating of B1 of VeriFone and revised the rating outlook to stable from negative. At the same time, Moody's assigned ratings to new bank credit facilities that VeriFone will use to finance its pending acquisition of Lipman Electronic Engineering Ltd. ============= B A H A M A S ============= BAC BAHAMAS: S&P Affirms BB/B Counterparty Credit Ratings --------------------------------------------------------- Standard & Poor's Rating Services has affirmed its 'BB/B' foreign currency counterparty credit ratings on Nassau, Bahamas- based BAC Bahamas Bank. The outlook is stable. "The ratings assigned to BAC Bahamas are based on the foreign currency ratings assigned to Banco BAC San Jose, S.A. (BAC San Jose)," said S&P's credit analyst Laurence Wattraint. BAC Bahamas is the offshore bank of Banco BAC San Jose and mirrors the Costa Rican onshore bank. The two entities share the same client base and follow the same corporate policies, with the vast majority of business and assets originated in Costa Rica, denominated in U.S. dollars, and registered offshore. =========== B E L I Z E =========== CONTINENTAL AIRLINES: Fitch Affirms B- Issuer Default Rating ------------------------------------------------------------ Fitch Ratings has affirmed the debt ratings of Continental Airlines, Inc. as: -- Issuer Default Rating at 'B-'; -- Senior unsecured debt at 'CCC'/RR6 The Rating Outlook is Stable. Ratings for Continental Airlines reflect the airline's heavy fixed obligation funding burden, the risk of rising leverage levels in a potentially difficult 2008 industry operating environment, as well as ongoing vulnerability to fuel price and air travel demand shocks. While the airlines' recent cash flow generation performance has been encouraging, the operating outlook is increasingly uncertain in light of US$90-plus per barrel crude oil prices and growing worries over a possible United States economic slowdown in 2008. Planned available seat mile capacity growth will be relatively low next year (2-3%); however, the airline is financing new aircraft deliveries with additional secured debt, and it may see a modest increase in lease-adjusted leverage by year-end 2008. Cost pressures remain a significant credit concern, especially in light of the big run-up in crude and refined product prices witnessed since September. With relatively modest fuel hedge positions in place (approximately 32% of the fourth quarter purchases hedged with protection above US$2.23 per gallon of jet fuel), operating margins will suffer this winter as a result of the fuel price spike. Moreover, the outlook for 2008 is clearly being influenced by increasing doubts over the health of the U.S. economy and the resilience of both business and leisure air travel demand trends. Fitch expects revenue per available seat mile (RASM) growth for Continental Airlines and the entire industry to slow materially next year, pressuring margins and constraining free cash flow generation in a year when the airline's capital spending commitments and debt balances will rise. On the positive side, Continental Airlines' liquidity position is now much stronger after two years of solid unit revenue expansion and good free cash flow generation. As of Sept. 30, unrestricted cash totaled US$3 billion. The airline now expects year-end cash balances to total US$2.7 billion to US$2.8 billion. Fixed obligations for 2008 include approximately US$629 million of scheduled debt maturities and approximately US$200 million of required cash pension funding. Fitch expects the airline to continue funding its defined benefit pension plans at levels beyond minimum required amounts. Continental Airlines continues to outperform the broader industry in terms of yield and RASM growth, despite the fact that it has been growing faster than most of the other U.S. legacy carriers. International route economics in particular have remained excellent, and the airline expects to grow its international operations further with recently-announced twice- daily trips to London-Heathrow from both the Houston and Newark Liberty hubs, as well as expansion into new Latin American markets to be met partially through the new B737 NG aircraft entering the fleet next year. Industry-wide adjustments to 2008 capacity growth plans have been consistent during the fourth quarter, with Continental, Delta and Southwest all announcing earlier this month that they will pull some additional seats out of the domestic schedule for 2008. This provides some support for a more credible RASM soft landing scenario next year, but Fitch expects earnings and free cash flow to weaken as a result of the softening operating environment. A change in the Rating Outlook to Positive could follow in 2008 if a significant pull-back in energy prices and/or a continuation of reasonably strong U.S. economic growth drives stable or improving margins and modest improvements in leverage and cash flow coverage metrics. Movement toward industry consolidation could also improve the credit outlook for Continental Airlines and all of the legacy carriers. Continental Airlines Inc. (NYSE: CAL) -- http://continental.com/ -- is the world's fifth largest airline. Continental, together with Continental Express and Continental Connection, has more than 3,100 daily departures throughout Belize, Mexico, Europe and Asia, serving 154 domestic and 138 international destinations including Honduras and Bonaire. More than 400 additional points are served via SkyTeam alliance airlines. With more than 44,000 employees, Continental has hubs serving New York, Houston, Cleveland and Guam, and together with Continental Express, carries about 67 million passengers per year. ============= B E R M U D A ============= FINANCIAL SOLUTIONS: Proofs of Claim Filing Deadline Is Jan. 4 -------------------------------------------------------------- Financial Solutions Ltd.'s creditors are given until Jan. 4, 2007, to prove their claims to Jennifer Y. Fraser, the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Financial Solutions' shareholders agreed on Dec. 12, 2007, to place the company into voluntary liquidation under Bermuda's Companies Act 1981. The liquidator can be reached at: Jennifer Y. Fraser Canon's Court 22 Victoria Street, Hamilton Bermuda FINANCIAL SOLUTIONS: Sets Final Shareholders Meeting for Jan. 24 ---------------------------------------------------------------- Financial Solutions Ltd. will hold its final shareholders meeting on Jan. 24, 2008, at 10:00 a.m. at: Canon's Court 22 Victoria Street Hamilton, Bermuda These matters will be taken up during the meeting: -- receiving an account showing the manner in which the winding-up of the company has been conducted and its property disposed of and hearing any explanation that may be given by the liquidator; -- determination by resolution the manner in which the books, accounts and documents of the company and of the liquidator shall be disposed; and -- passing of a resolution dissolving the company. PETRO-CANADA MANAGEMENT: Proofs of Claim Filing Is Until Jan. 4 --------------------------------------------------------------- Petro-Canada Management Services Ltd.'s creditors are given until Jan. 4, 2007, to prove their claims to Jennifer Y. Fraser, the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Petro-Canada Management's shareholders agreed on Dec. 12, 2007, to place the company into voluntary liquidation under Bermuda's Companies Act 1981. The liquidator can be reached at: Jennifer Y. Fraser Canon's Court 22 Victoria Street, Hamilton Bermuda PETRO-CANADA MANAGEMENT: Final Shareholders Meeting on Jan. 24 -------------------------------------------------------------- Petro-Canada Management Services Ltd. will hold its final shareholders meeting on Jan. 24, 2008, at 9:00 a.m. at: Canon's Court 22 Victoria Street Hamilton, Bermuda These matters will be taken up during the meeting: -- receiving an account showing the manner in which the winding-up of the company has been conducted and its property disposed of and hearing any explanation that may be given by the liquidator; -- determination by resolution the manner in which the books, accounts and documents of the company and of the liquidator will be disposed; and -- passing of a resolution dissolving the company. MONTPELIER RE: Board Declares US$0.075 Per Share Dividend --------------------------------------------------------- Montpelier Re Holdings Ltd.'s Board of Directors has declared a quarterly dividend of US$0.075 per Common Share. The dividend is payable on Jan. 15, 2008 to shareholders of record on Dec. 31, 2007. Headquartered in Bermuda, Montpelier Re Holdings Ltd., through its operating subsidiary Montpelier Reinsurance Ltd., is a premier provider of global property and casualty reinsurance and insurance products. During the year ended Dec. 31, 2005, Montpelier underwrote US$978.7 million in gross premiums written. Shareholders' equity at Dec. 31, 2005, was US$1.1 billion. * * * As reported in the Troubled Company Reporter on Dec. 19, 2006, A.M. Best affirms these ratings on Montpelier Re Holdings: Montpelier Re Holdings Ltd. -- "bbb-" on senior unsecured debt; -- "bb+" on subordinated debt; and -- "bb" on preferred stock. MRH Capital Trust I and II (guaranteed by Montpelier Re Holdings Ltd.) -- "bb" on preferred securities. SAXON HOLDINGS: Proofs of Claim Filing Deadline Is Dec. 27 ---------------------------------------------------------- Saxon Holdings Ltd.'s creditors are given until Dec. 27, 2007, to prove their claims to Robin J. Mayor, the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Saxon Holdings' shareholder decided on Dec. 11, 2007, to place the company into voluntary liquidation under Bermuda's Companies Act 1981. The liquidator can be reached at: Robin J. Mayor Messrs. Conyers Dill & Pearman Clarendon House, Church Street Hamilton, HM DX, Bermuda SAXON HOLDINGS: Sets Final Shareholders Meeting for Jan. 17 ----------------------------------------------------------- Saxon Holdings Ltd. will hold its final shareholders meeting on Jan. 17, 2008, at 9:30 a.m. at: Messrs. Conyers Dill & Pearman Clarendon House, Church Street Hamilton, Bermuda These matters will be taken up during the meeting: -- receiving an account showing the manner in which the winding-up of the company has been conducted and its property disposed of and hearing any explanation that may be given by the liquidator; -- determination by resolution the manner in which the books, accounts and documents of the company and of the liquidator shall be disposed; and -- passing of a resolution dissolving the company. ============= B O L I V I A ============= GAZPROM: In Talks with Bolivia for US$2-Bil. Gas Investment ----------------------------------------------------------- Russian company Gazprom is in talks with the Bolivian government over the exploration of two gas sites that would require a US$2 billion investment, the Financial Times reports. "We are closing a deal with Gazprom in two sites for gas exploration. They are very interested. And we are very interested in them being our partners," Carlos Villegas, Bolivian hydrocarbons minister, told the FT. When asked about the deal, Sergei Kupriyanov, Gazprom's spokesperson, told the FT that there is indeed ongoing talks with Bolivia but cautioned "... It is too early to put a figure on a possible investment." Bolivia holds vast reserves of gas, second to Venezuela. But since the nationalization of its hydrocarbons industry, investments have become scarce. An investment from Gazprom could greatly boost the nation's production and could mean that Bolivia would be able to meet supply contracts with Argentina and Brazil. According to FT, Bolivia needs to double its current 39 million cubic meter of a day production to 75 million in order to meet supply commitments. Headquartered in Moscow, Russia, OAO Gazprom Neft -- http://www.gazprom-neft.ru/-- explores, produces, refines, markets, produces and sells petroleum products. The Company holds oilfield exploration and development licenses in the Yamal-Nenets and Khanti-Mansiisk autonomous regions, as well as in theOmsk and Tomsk regions, and in Chukotka. The Company's main oil processing center is the Omsk Refinery. Gazprom Neft is one of Russia's largest oil companies handling downstream and upstream operations. It was known as Sibneft before April 2007. * * * As of Aug. 24, 2007, Gazprom Neft carries a Ba1 Corporate Family and Ba2 Senior Unsecured Debt ratings from Moody's. Moody's said the outlook is positive. Gazprom Neft also carries BB+ Long-Term Foreign Issuer Credit and Local Issuer Credit ratings from Standard & Poor's. S&P said the outlook is positive. * BOLIVIA: Gets US$12.3-Mln Loan to Support to National Dev't ------------------------------------------------------------- The Inter-American Development Bank has granted a US$12.3 million loan to Bolivia to support the National Development Finance System's lending for production activities. The multisector global credit program will provide funds to the Banco de Desarrollo Productivo to ensure that the productive sector has the financing it needs in order to grow. The program will have three pillars. The first will include: -- A multisector global credit program to fund the BDP's second-tier credit lines -- A grant for technical cooperation financed under the IDB Fund for Special Operations for the institutional strengthening of the BDP and framework design and implementation -- A Multilateral Investment Fund (MIF) operation to support development of private-sector banks and financial institutions Another MIF operation to build the capital market's capacity to channel resources to small and medium-sized enterprises. The second pillar will amplify the program's impact through a credit guarantee mechanism to help BDP draw upon local savings and various operations that will allow the bank to act as a catalyst for private-intermediary lending for the production sector. The third pillar will include pilot investment projects that will contribute international best practices, as well as support for the amendments of laws and regulations specified by the government. * * * As reported in the Troubled Company Reporter-Latin America on Nov 6, 2007, Standard & Poor's Ratings Services revised its outlook on the Republic of Bolivia to stable from negative. S&P also said that it affirmed its 'B-' long-term and 'C' short-term credit ratings on the sovereign. * BOLIVIA: In Talks with Gazprom Over Gas Investments ----------------------------------------------------- Russian company Gazprom is in talks with the Bolivian government over the exploration of two gas sites that would require a US$2 billion investment, the Financial Times reports. "We are closing a deal with Gazprom in two sites for gas exploration. They are very interested. And we are very interested in them being our partners," Carlos Villegas, Bolivian hydrocarbons minister, told the FT. When asked about the deal, Sergei Kupriyanov, Gazprom's spokesperson, told the FT that there is indeed ongoing talks with Bolivia but cautioned "... It is too early to put a figure on a possible investment." Bolivia holds vast reserves of gas, second to Venezuela. But since the nationalization of its hydrocarbons industry, investments have become scarce. An investment from Gazprom could greatly boost the nation's production and could mean that Bolivia would be able to meet supply contracts with Argentina and Brazil. According to FT, Bolivia needs to double its current 39 million cubic meter of a day production to 75 million in order to meet supply commitments. * * * As reported in the Troubled Company Reporter-Latin America on Nov 6, 2007, Standard & Poor's Ratings Services revised its outlook on the Republic of Bolivia to stable from negative. S&P also said that it affirmed its 'B-' long-term and 'C' short-term credit ratings on the sovereign. =========== B R A Z I L =========== ACXIOM CORP: Moody's Confirms Ba2 Corporate Family Rating --------------------------------------------------------- Moody's Investors Service has confirmed Acxiom Corp.'s Ba2 corporate family rating and assigned a negative rating outlook, concluding a review for possible downgrade initiated on May 17, 2007, following the company's announcement that it had entered into a definitive agreement to be acquired by Silver Lake and ValueAct Capital for US$3.0 billion. On Oct. 1, 2007, the company reached a settlement agreement with Silver Lake and ValueAct Capital to terminate the previously announced acquisition pursuant to which it received US$65 million in cash. The negative outlook reflects the challenges the company will have to regain organic revenue growth and profitability and the potential impact from the downturn in the financial services market, which accounts for approximately 25% of their business. The Ba2 corporate family rating confirmation reflects the company's leadership position in the database marketing services space, solid free cash flow and liquidity position and moderate financial leverage, as measured by debt to EBITDA. The rating is constrained by its relatively high client (top 30 clients represented about 50% of fiscal 2007 revenues) and business line concentration, modest size -- measured by profitability and return on assets -- and market challenges including consumer privacy and potential regulatory concerns. The ratings could be downgraded if the company were to increase its share repurchase or acquisition activity such that there is a leveraging event that results in free cash flow to debt of less than 5%, or if operating margins decline significantly from historical results. Given the negative outlook, a rating upgrade is unlikely at the present time. The rating outlook could be stabilized were the company to demonstrate free cash flow to debt exceeding 15% on a sustained basis. Ratings confirmed: -- Corporate Family Rating - Ba2 -- Probability of Default Rating - Ba3 -- US$544 million Senior Secured Term Loan due September 2012 - Ba2, LGD 3, 30% -- US$200 million Senior Secured Revolving Credit Facility expiring September 2011 - Ba2, LGD 3, 30% Based in Little Rock, Arkansas, Acxiom(R) Corporation (Nasdaq: ACXM) -- http://www.acxiom.com/-- integrates data, services and technology to create and deliver customer and information management solutions for many of the largest, most respected companies in the world. The core components of Acxiom's solutions are Customer Data Integration technology, data, database services, IT outsourcing, consulting and analytics, and privacy leadership. Founded in 1969, Acxiom has locations throughout the United States, Europe, Australia and China. Acxiom has a team of specialists with sales and business development associates based in the largest Latin American markets: Brazil, Argentina and Mexico. BANCO DO BRASIL: Holders Sell Shares to Boost Trading ----------------------------------------------------- Banco do Brasil SA's shareholders, Previ and BNDES Participacoes SA, have sold shares totaling 87.2 million and raised US$1.9 billion, Bloomberg News reports, citing a statement from the company. Previ and BNDES will be selling another 13.1 million shares within the month. According to Bloomberg, the bank has gained 40% this year as a result of increased consumer borrowing particularly from the agricultural sector. Brazil's National Treasury control's Banco do Brasil with a 69% stake. The bank and its shareholders sold 52.3 million shares last year, raising BRL2.27 billion. BB Banco de Investimento SA, Banco UBS Pactual SA and Deutsche Bank are managing the offering. The new shares start trading Dec. 17 on the Sao Paulo stock exchange. Banco do Brasil is Brazil's federal bank and is the largest in Latin America with some 20 million clients and over 7,000 points of sale (3,200 branches) in Brazil, and 34 offices and partnerships in 26 other countries. In addition to its traditional retail banking services, Banco do Brasil underwrites and sells bonds, conducts asset trading, offers investors portfolio management services, conducts financial securities advising, and provides market analysis and research. As reported on May 22, 2007, Standard & Poor's Ratings Services raised its long-term foreign currency counterparty credit rating on Brazilian government-related entity Banco do Brasil to 'BB+' from 'BB', after Brazil's foreign currency sovereign credit rating was upgraded to BB+. BANCO NACIONAL: Grants BRL10-Mln Financing for INK Film Studios --------------------------------------------------------------- Banco Nacional de Desenvolvimento Economico e Social approved BRL10 million financing within the scope of Procult, targeted to audiovisual, for INK Geracao e Producao de Conteudos Ltda. These funds are destined to construction of the new headquarters of Grupo Academia -- with five recording studios in Vila Leopoldina, Sao Paulo. With this project, the company centralizes, optimizes and enables higher synergy between the activities performed by the three units of the group. The new headquarters should also generate expansion of the group's productive capacity with the construction of five recording studios and four other smaller studios destined to the selection of casting and costume design, and for light and camera tests. At their existing facilities, the group has only four small-sized studios. INK acquired the land where the new headquarters are being constructed, in Vila Leopoldina, in 2005. The region has been undergoing a revitalization process, turning into a new audiovisual complex, which already shelters different companies in the sector (advertising agencies, producers and infrastructure service providers). The total land area is 9,582 square meter with seven workshops. These will all have their structure restored to shelter Group activities. The restoration of the existing workshops started in March 2007 and should be concluded this year. The completion of communication and data network facilities is forecast for January 2008. The reception, administrative and project development areas will occupy two workshops, with two or three floors, respectively. At the center of this block, there will be an auditorium with capacity for 90 people. The five recording studios shall have acoustic treatment and air-conditioning. Each studio will have its group of individual and collective dressing rooms, besides areas for the production and supporting teams. One of the warehouses will shelter four smaller studios, distributed on three floors: ground floor, first and mezzanine, with room for deposit. The VT studios, three-meter height, will be located on the ground floor, same place of the cafeteria with a 70 seat capacity and maximum production of approximately 400 meals per day, supplying meals including for filming teams working in external sets. The company currently has 174 employees and another 17 hirings are planned for 2008, already in view of its growing activities. The audiovisual production activity involves the hiring of many temporary employees (freelancers). INK hires an average of 625 temporary professionals per month. The main companies of the group are INK and Filme Mais. The first one had a participation of around 69% of total group revenues in 2006. This picture reflects the relevance of the publicity segment for the group and the difference in size between the individual publicity market and the entertainment one (for independent productions). Filme Mais had a 20% participation in total revenues in 2006. The investment intends to reinforce the group's strategy of expansion into new segments, mainly cinematographic, TV and publicity in new medias. Banco Nacional de Desenvolvimento Economico e Social is Brazil's national development bank. It provides financing for projects within Brazil and plays a major role in the privatization programs undertaken by the federal government. * * * Banco Nacional currently carries a Ba2 foreign long-term bank deposit rating from Moody's, and a BB+ long-term foreign issuer credit rating from Standards and Poor's. The ratings were assigned in August and May 2007, respectively. BANCO NACIONAL: Okays BRL2.49-Bln Loan for Gas Pipeline Project --------------------------------------------------------------- Banco Nacional de Desenvolvimento Economico e Social has approved a BRL2.49 billion financing for Transportadora Urucu Manaus S/A for the implementation, in the State of Amazonas, of the Coari-Manaus natural gas pipeline with around 383 kilometers of extension. The project also foresees the construction of another nine natural gas distribution branches to service seven Amazonian municipalities located along the main gas pipeline, and the installation of a duct to transport liquefied petroleum gas (GLP duct), with 279 kilometers of extension, connecting the Arara Pole, in Urucu, to Terminal de Solimoes (Tesol), in Coari. The project, which integrates the federal government Growth Acceleration Program, and should generate around 36 thousand new jobs during the implementation phase, nine thousand jobs being direct. The Coari-Manaus gas pipeline will have capacity to transport 5.5 million cubic meters of natural gas a day. This transportation capacity, however, can be further increased in subsequent phases, according to the market development, to 10 million cubic meters/day, upon the installation of additional compression stations along the main line. The construction of the Coari-Manaus gas pipeline will allow the natural gas produced in Urucu, which is currently reinjected and burned, reaches the Capital of Amazonas and the other seven municipalities (Coari, Codajas, Anori, Anama, Caapiranga, Manacapuru and Iranduba) for thermoelectric generation and other uses, as a substitute to other petroleum derivatives, especially combustible oil and diesel oil. Among the other merits of the project, which will imply strong insertion of natural gas into the regional energetic matrix, the company can highlight: * economic gains as a result of the commercial use of the natural gas produced in Urucu; * environmental gains due to the substitution of the consumption of diesel oil and combustible oil by natural gas, and lower concentration of nitrogen oxides and sulfur; and * economy of foreign currency, by enabling the replacement of a significant volume of diesel oil, mostly imported, by national origin natural gas. The transportation company Urucu Manaus S/A is a specific purpose society created to develop the gas pipeline, aimed at allowing the economic use of Petrobras natural gas reserves in the Solimoes Basin. Environment Petrobras entered into a partnership with the government of the State of Amazonas, through the Secretariat of Sustainable Development, for an amount of BRL42.4 million, for implementation of programs to promote sustainable development in the communities within the project area of influence. Among these programs, we can mention the ones addressed to the productive chains of cashews, honey, manioc flour and wood (forest handling plans). The Coari-Manaus Gas Pipeline project relies on the license for installation granted by the Institute for Environmental Protection of the State of Amazonas. The process for environmental licensing for the Coari-Manaus Gas Pipeline involved extensive discussions with governmental agencies in the State of Amazonas, social movements, environmental organizations, class entities, public and private firms, professionals, researchers and political leaders within the area of influence of the gas pipeline. To conduct the EIA- RIMA, Petrobras hired Universidade Federal do Amazonas, which formed a team comprising 57 researchers. Market The Exploration and Production Unit at the Solimoes Basin, located in the Petroleum Province of Urucu, 650 kilometers southwest of Manaus, is responsible for an average production of 60 thousand cubic meters/day of petroleum, besides 9.5 million cubic meters/day of associated natural gas. This volume makes Amazonas the second largest National producer of equivalent oil, and, in the municipality of Coari, the largest Brazilian producer. Petroleum from Urucu is high quality, being the lightest among the Country's oil processed in refineries. The largest Natural Gas Processing Unit in Brazil is located in Urucu, which, in conjunction with the other two units existing in the region, have a daily capacity to process 1.5 thousand tons of GLP and 9.6 million cubic meters of natural gas. Banco Nacional de Desenvolvimento Economico e Social is Brazil's national development bank. It provides financing for projects within Brazil and plays a major role in the privatization programs undertaken by the federal government. * * * Banco Nacional currently carries a Ba2 foreign long-term bank deposit rating from Moody's, and a BB+ long-term foreign issuer credit rating from Standards and Poor's. The ratings were assigned in August and May 2007, respectively. BANCO RURAL: Fitch Shifts Outlook, Affirms Junk National Ratings ---------------------------------------------------------------- Fitch Ratings has revised Banco Rural S.A.'s National Long-term rating Outlook to Positive from Stable. At the same time, the agency affirmed the bank's National Long- and Short-term ratings at 'CCC(bra)' and 'C(bra)', respectively, and its Support rating at '5'. Banco Rural's revised Outlook reflects Fitch's opinion regarding the potential for business development at the bank following a capital infusion of BRL100 million in November 2007, which reflects the controlling family's commitment to the bank. The shareholders also maintained some BRL70 million in the form of deposits related to resources obtained from an investment fund made up of special state and municipal securities, with a total value of BRL196 million. In addition, the bank reported important gains in November 2007 (BRL88 million before taxes) from the sale and appreciation of shares of the BM&F, the Brazilian commodities and exchange market, most of which are expected to be used for more conservative reserves, building a cushion for future earnings. Although the above events are very positive and Banco Rural's indicators in general have improved in 2007, Fitch understands that its ratios are relatively weak, but adequate for its current ratings. The factors that would lead to an improvement in the ratings are the maintenance of satisfactory liquidity generated from recurring business and an increase in the funding base, and consequently business, to generate recurring taxable operational profitability to enable the bank to diminish the high level of intangibles tax credits in its capital base. Banco Rural's National ratings reflect the effects of erosion in the bank's image as a result of its name having been linked to a political crisis in June 2005. As a result, it reported a significant reduction in assets, funding and liquidity, incurring heavy losses in 2005 and 2006, as well as capital deterioration. Despite the improvements in 2007, Fitch believes the bank still faces the arduous task of operating in a manner conducive to sustained profitability. The agency also considers that the success of the bank's planning depends, in large part, on the willingness of investors to resume investing in the bank. Founded in 1948, Banco Rural is a multiple bank controlled by five members of the Rabello family -- 84.7% of the common shares -- with a tradition in lending to small and medium-sized companies. Headquartered in Minas Gerais, it had 49 service posts (21 branches) in Brazil at September 2007 and two overseas subsidiaries. BRASKEM: Forms Two Companies to Install Petrochemical Projects -------------------------------------------------------------- Braskem S.A., in partnership with Pequiven, has announced the creation of two companies to install in Venezuela integrated petrochemical projects at the Jose Petrochemical Complex. The formal announcement of the creation of Propilsur and Polimerica was made Dec. 13, in Caracas during a meeting held between the president of Venezuela, Hugo Chavez, and the president of Brazil, Luiz In cio Lula da Silva. The initiative marks an important milestone in the partnership between Braskem and Pequiven to install two petrochemical projects that boast competitiveness levels on par with the best projects in the world with total investment of approximately US$ 3.5 billion. This is also a decisive step by Braskem in its internationalization strategy, with the goal of becoming one of the ten largest global petrochemical companies. Prolipropileno del Sur, S.A. - Propilsur will be responsible for the construction of a polypropylene plant with capacity of 450,000 tons per year combined to a propane dehydrogenation unit, providing the project with greater integration and operational flexibility. In light of this new scope, the total investment in the project is estimated at approximately US$ 900 million. The operational startup of Propilsur is expected for the second half of 2010. Polietilenos de America, S.A. - Polimerica will be responsible for the construction of an ethane cracker with natural gas as feedstock, with ethylene production capacity of 1.3 million t/year, combined with the production of 1.1 million tons per year of polyethylene, which will be produced in three industrial plants - high density polyethylene, low density polyethylene and low linear density polyethylene, with estimated cost of US$2.6 billion and operational startup scheduled for the second half of 2012. Based on the shareholders' agreement signed Dec. 13, the companies will be equally controlled by Braskem and Pequiven and will be based on modern corporate governance practices, ensuring equal rights for partners in the management and equal representation in the Board of Directors, where decisions will be taken based on the shareholders consensus. Braskem (BOVESPA: BRKM5; NYSE: BAK; LATIBEX: XBRK) -- http://www.braskem.com.br/-- is a thermoplastic resins producer in Latin American, and is among the three largest Brazilian- owned private industrial companies. The company operates 13 manufacturing plants located throughout Brazil, and has an annual production capacity of 5.8 million tons of resins and other petrochemical products. The company reported consolidated net revenues of about US$9 billion in the trailing twelve months through Sept. 30, 2007. * * * As reported in the Troubled Company Reporter-Latin America on Dec. 10, 2007, Standard & Poor's Ratings Services has raised its long-termcorporate credit rating on Brazilian petrochemical company, Braskem S.A. to 'BB+' from 'BB'. At the same time, the rating was removed from CreditWatch, where it was placed with positive implications on Nov. 26, 2007. COMPAGNIE GENERALE: S&P Raises Corporate Credit Rating to BB ------------------------------------------------------------ Standard & Poor's Ratings Services has raised its corporate credit ratings to 'BB' from 'BB-' on global oil and gas seismic company Compagnie Generale de Geophysique - Veritas (aka CGG- Veritas). The outlook is stable. At the same time, the ratings on the unsecured high yield notes were raised to 'BB-' from 'B+'. The issue ratings on the US$1.34 billion of senior secured credit facilities were raised to 'BB+' from 'BB-', while S&P revised its recovery rating on this debt to '2' from '3', indicating the expectation of substantial recovery (70%-90%) in the event of a payment default. "The upgrade reflects CGG-Veritas' strong nine-month operating performance in 2007 and favorable perspectives, together with increased confidence that 2008 should allow for significant free cash flow and debt reduction," said S&P's credit analyst Karl Nietvelt. Credit ratios should strengthen as a result in 2008: S&P forecasts that the ratio of adjusted debt to adjusted EBITDA will improve to about 1.3 at end 2008 from 2.3 expected for 2007. S&P calculates such adjusted EBITDA as well as funds from operations after deduction of capitalized multi-client cash spending, as industry standard reported EBITDA and operating cash flow is viewed as aggressive. The ratings reflect Compagnie Generale's leading position, together with Schlumberger's WesternGeco (not rated), in the global oil and gas seismic sector. The company benefits from its dual exposure to seismic services, complemented by seismic- equipment manufacturing (SERCEL). Competitive advantages include the global reach of its 20-vessel seismic data- acquisition fleet, access to advanced modern equipment and technology, and an attractive and growing seismic data library, notably for the Gulf of Mexico. Offsetting credit weaknesses are the sector's intense competition, the continued high cyclicality for the offshore segment--principally because of rapid new-build of marine vessels rather than because of demand, which is anticipated to stay strong--together with S&P's expectation that current record demand for SERCEL equipment will return to more normalized levels from 2009 onward. "The stable outlook on CGG-Veritas reflects our expectation of a continued very strong performance in 2008, together with expectations of debt reduction by year-end 2008," said Mr. Nietvelt. The ratings also factor in management's financial policy, and commitment toward debt reduction. The favorable sector outlook implies some degree of flexibility at this rating level, although not for major debt-financed acquisitions. Acquisition risk has recently increased in the sector, as highlighted by recent acquisitions by peers, such as PGS and WesternGeco. The company's current ratings factor in some flexibility for small debt-financed acquisitions, while large acquisitions, if any, are assumed to be largely share-based transactions. One-notch rating upside exists, should management decide to bring debt down significantly more than currently anticipated. Downside pressure, currently limited, could arise should the company's external growth policies be more aggressive than anticipated. France-based Compagnie Generale De Geophysique-Veritas is formerly known as Compagnie Generale de Geophysique. The Group's principal activities are to manufacture geophysical equipment and software and to provide geophysical services and information. The Group operates in Europe, Africa, the United States, Canada, Brazil and Columbia. COSAN SA: Earns US$17 Million in Fiscal Year 2008 Second Quarter ---------------------------------------------------------------- Cosan SA said in a statement that its net profits decreased 67% to US$17.7 million in the second quarter of fiscal year 2008, compared to US$54 million in the second quarter of fiscal year 2007. Business News Americas relates that Cosan's 2008 fiscal year is from May 2007 to April 2008. Its second quarter 2008 ended on October 2007. Cosan's chief financial officer Paulo Diniz said in a Web cast, "A decrease in sugar and ethanol volumes sold, lower ethanol prices and the exchange rate were the three key reasons for the [profit] reduction in the second quarter of FY08 [fiscal year 2008]." BNamericas notes that Cosan's Ebitda decreased to US$42 million in the second quarter of fiscal year 2008, compared to US$106 million in the same period in the fiscal year 2007. The firm's net operating revenue dropped to US$328 million, from US$463 million as sugar and ethanol prices declined. Sugar sales dropped to 59% of Cosan's total sales in the second quarter of fiscal year 2008, compared 63% in the year-ago period. Mr. Diniz told BNamericas that Cosan's results in the second quarter of fiscal year 2008 "were slightly better than expected." The firm is "building stocks for the ethanol intercrop period" -- December 2007 to April 2008. "We expect domestic ethanol prices to increase as much as 20% during the intercrop period, or maybe even more, as the ethanol market is going through sustained growth in Brazil," Mr. Diniz commented to BNamericas. Headquartered in Sao Paulo, Brazil, Cosan S.A. Industria e Comercio, is the third largest sugar producer in the world. In 2004/2005 it crushed more than 26 million tons of sugar cane in fourteen mills located in the Central South region of Brazil, with sugar sales of 2.3 million tons and ethanol sales of 825 million liters. * * * As of February 2007, Cosan carries Moody's Ba2 global local currency and foreign currency ratings and Standard and Poor's BB corporate credit rating. GENERAL MOTORS: Refuses to Pay Bonuses to Retirees, IUE-CWA Says ---------------------------------------------------------------- The International Union of Electronic, Electrical, Salaried, Machine and Furniture Workers-Communications Workers of America disclosed in their Website that General Motors Corp. is playing Scrooge in a big way this holiday season, at least in the eyes of their 25,000 GM/Delphi Corp. IUE-CWA retirees, by refusing to provide their "Christmas Bonus." The bonus actually is a lump sum payment provided in December and is used by many IUE-CWA retirees to buy Christmas and holiday gifts for their families. IUE-CWA has been negotiating with GM since early October for a new contract covering 2,500 workers at the Moraine, Ohio, SUV assembly plant. GM has told IUE-CWA that it will not pay the lump sum payment to retirees until an agreement has been reached. IUE-CWA President Jim Clark said GM's decision was shameful, especially coming in the weeks just before Christmas. "I am very disappointed in GM's decision to withhold the Christmas lump sum payment to thousands of retirees. These retired workers, who live on a fixed income, count every dollar, especially in today's economy with gasoline, oil and food prices skyrocketing. To deprive them of the ability to purchase Christmas and holiday gifts for their families is unconscionable and GM must answer for this shameful act. "Unfortunately, our retirees won't be receiving their regular bonus in time for Christmas this year and we want to be very clear: The union negotiators are not the Grinch Who Stole Christmas." The Moraine workers currently produce the Chevrolet Trailblazer, Trailblazer SS, Saab 9-7 X, GMC Envoy, Envoy Denali and Isuzu Ascender. As a result of the competitive improvements negotiated by IUE- CWA Local 798 in 2006, GM provided IUE-CWA with a letter of intent to allocate future product to the Moraine Assembly Plant. As of Dec. 14, 2007, GM has identified no product. Despite the commitment made by GM in 2006, the company's refusal to so far indicate a new product for the production plant has resulted in speculation that GM is looking to close the plant. This is a major hurdle in current negotiations and must be addressed by GM, IUE-CWA said. Job Cut Plans From January through June, GM will be displacing 340 workers at the Moraine plant, which employs 2,250, due to low market demand, the Dayton Business Journal reports citing company officials. The paper disclosed that GM and IUE-CWA denied a report by automotive magazine Wardsauto.com, insisting that the Moraine plant is shuttering due to shortage in the vehicle production. Jessica Peck, spokeswoman at the Moraine plant, suggests that workers are likely to be called back to work, according to the paper. Headquartered in Detroit, Michigan, General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- was founded in 1908. GM employs about 280,000 people around the world and manufactures cars and trucks in 33 countries, including the United Kingdom, Germany, France, Russia, Brazil and India. In 2006, nearly 9.1 million GM cars and trucks were sold globally under the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab, Saturn and Vauxhall. GM's OnStar subsidiary is the industry leader in vehicle safety, security and information services. * * * As reported in the Troubled Company Reporter-Latin America on Nov. 9, 2007, Moody's Investors Service affirmed its rating for General Motors Corporation (B3 Corporate Family Rating, Ba3 senior secured, Caa1 senior unsecured and SGL-1 Speculative Grade Liquidity rating) but changed the outlook to Stable from Positive. In an environment of weakening prospects for US auto sales GM has announced that it will take a non-cash charge of US$39 billion for the third quarter of 2007 related to establishing a valuation allowance against its deferred tax assets (DTAs) in the US, Canada and Germany. As reported in the Troubled Company Reporter on Oct. 23, 2007, Standard & Poor's Ratings Services affirmed its 'B' corporate credit rating and other ratings on General Motors Corp. and removed them from CreditWatch with positive implications, where they were placed Sept. 26, 2007, following agreement on the new labor contract. S&P said the outlook is stable. * BRAZIL: Forming Joint Venture with Petroleos de Venezuela ----------------------------------------------------------- Brazilian state-owned oil company Petroleo Brasilieiro SA aka Petrobras will form a joint venture with Venezuelan counterpart Petroleos de Venezuela SA for the construction and operation of the Abreu E Lima plant in Brazil, Business News Americas reports. Petroleos de Venezuela said in a statement that it will hold a 40% stake in the joint venture, while Petrobras will own a 60% stake. BNamericas relates that the plant will be able to process a total of 200,000 barrels per day. The joint venture holds a contract with Petroleos de Venezuela to refine about 100,000 barrels per day of upgraded crude from the Carabobo 1 block in Venezuela's Orinoco. Petroleos de Venezuela's head Rafael Ramirez said in a statement that the firm would start production from the block in two years. The company is also open to Petrobras' participation in exploration and production on the Carabobo 1 block. Petrobras launched in September 2007 the groundwork for Abreu e Lima without Petroleos de Venezuela, BNamericas states. About Petroleos de Venezuela Petroleos de Venezuela SA -- http://www.pdv.com/-- is Venezuela's state oil company in charge of the development of the petroleum, petrochemical and coal industry, as well as planning, coordinating, supervising and controlling the operational activities of its divisions, both in Venezuela and abroad. The company has a commercial office in China. About Petroleo Brasileiro Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp -- 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 Brazil. Petrobras has operations in China, India, Japan, and Singapore. * * * As reported in the Troubled Company Reporter-Latin America on May 14, 2007, Fitch Ratings upgraded Brazil's long-term foreign and local currency sovereign Issuer Default Ratings to 'BB+' from 'BB' and the Country Ceiling to 'BBB-' from 'BB+'. In addition, Fitch affirmed Brazil's Short-term IDR at 'B'. Fitch said the rating outlook is stable. * BRAZIL: Petroleo Brasileiro Awards Aker Kvaerner Two Contracts ---------------------------------------------------------------- Brazilian state-run oil firm Petroleo Brasileiiro SA has awarded Norwegian engineering and construction company Aker Kvaerner two contracts to supply subsea manifolds for Campos basin projects, according to Aker Kvaerner's statement. Aker Kvaerner told Business News Americas that its Brazilian unit Aker Kvaerner Subsea will "design, manufacture and deliver two oil production manifolds for Petroleo Brasileiro's Albacora RWI project and one gas export pipeline-end manifold to the Jubarte phase two project." According BNamericas, the contracts total US$90 million. Deliveries will begin in 2009 for the Albacora RWI project and in 2010 for Jubarte. Aker Kvaerner told BNamericas that the work at Albacora includes two four-slot manifolds ran through an integrated multiplexed control system, multiple vertical connection modules and several individually retrievable modules. Aker Kvaerner will supply in Jubarte: -- one subsea gas export pipeline-end manifold with six slots; -- a multi-plexed data acquisition and monitoring system; -- six-inch and 10-inch vertical connection modules; and -- individually retrievable gas production and pig deviation modules. * * * As reported in the Troubled Company Reporter-Latin America on May 14, 2007, Fitch Ratings upgraded Brazil's long-term foreign and local currency sovereign Issuer Default Ratings to 'BB+' from 'BB' and the Country Ceiling to 'BBB-' from 'BB+'. In addition, Fitch affirmed Brazil's Short-term IDR at 'B'. Fitch said the rating outlook is stable. =========================== C A Y M A N I S L A N D S =========================== ANRO VENTURES: Proofs of Claim Filing Deadline Is Jan. 8, 2008 -------------------------------------------------------------- Anro Ventures Ltd.'s creditors are given until Jan. 8, 2008, to prove their claims to Eagle Holdings Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Anro Ventures' shareholder decided on April 26, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Eagle Holdings Ltd. c/o Barclays Private Bank & Trust (Cayman) Limited 4th Floor, FirstCaribbean House P.O. Box 487, George Town Grand Cayman KY1-1106 BEAR STEARNS: BofA Withdraws Plea to Clarify Injunction Order ------------------------------------------------------------- Bank of America N.A. withdrew, without prejudice, its request for modification of Judge Lifland's August 2007 Injunction Order to permit it to exercise its voting rights under an indenture entered with Bear Stearns High-Grade Structured Credit Strategies Master Fund, Ltd., and Bear Stearns High-Grade Structure Credit Strategies Enhanced Fund, Ltd. BofA and each of the Bear Stearns Funds are parties to various derivative transactions, including without limitation, interest rate, total return, credit spread, credit default and credit index swap transactions. In October 2007, BofA asked Judge Lifland permission to exercise its voting rights to consent to and vote in favor of further amending the Indenture to provide that: (1) no payment will be made to any Preference Shareholder unless and until the entire indebtedness on all of the Enhanced Fund's outstanding Secured Floating Rates Notes of various classes and seniority have been paid and discharged; and (2) all of the Enhanced Fund's discount current and future commercial paper notes outstanding, have been paid and discharged and no more CP Notes will be issued by the Enhanced Fund. In November, Judge Lifland postponed ruling on BofA's request, stating that a change in the Indenture would prevent the Bear Stearns Funds from getting any payment from the collateralized debt obligations before all of its notes, bonds, and other debt is repaid in full. Judge Lifland also said that he didn't want to rule on BofA's request because the Bear Stearns Funds' Chapter 15 petition is still pending on appeal. BofA did not provide details on the Indenture. During the November hearing, Judge Lifland said he is "too much in the dark" to grant relief without further information. He instructed BofA to "come back and explain more completely" what it was asking for. Jantra Van Roy, Esq., at Zeichner Ellman & Krause, LLP, in New York, represents BofA. About Bear Stearns Funds Grand Cayman, Cayman Islands-based Bear Stearns High-Grade Structured Credit Strategies Enhanced Leverage Master Fund Ltd. and Bear Stearns High-Grade Structured Credit Strategies Master Fund Ltd. are open-ended investment companies, which sought high income and capital appreciation relative to the London Interbank Offered Rate, and designed for long-term investors. On July 30, 2007, the Funds filed winding up petitions under the Companies Law (2007 Revision) of the Cayman Islands. Simon Lovell Clayton Whicker and Kristen Beighton at KPMG were appointed joint provisional liquidators. The joint liquidators filed for Chapter 15 petitions before the U.S. Bankruptcy Court for the Southern District of New York the next day. On Aug. 30, 2007, the Honorable Burton R. Lifland denied the Funds protection under Chapter 15 of the Bankruptcy Code. Fred S. Hodara, Esq., Lisa G. Beckerman, Esq., and David F. Staber, Esq., at Akin Gump Strauss Hauer & Feld LLP, represent the liquidators in the United States. The Funds' assets and debts are estimated to be more than US$100,000,000 each. (Bear Stearns Funds Bankruptcy News; Bankruptcy Creditors' Service Inc.; http://bankrupt.com/newsstand/or 215/945-7000) BEAR STEARNS: Funds Want More Time to Answer Amici Brief -------------------------------------------------------- Fred S. Hodara, Esq., at Akin Gump Strauss Hauer & Feld, LLP, in New York, has asked the United States District Court for the Southern District of New York to extend until Jan. 4, 2008, the time for Foreign Representatives of the Bear Stearns High Grade Structured Credit Strategies Master Fund, Ltd., and Bear Stearns High-Grade Structured Credit Strategies Enhanced Leverage Master Fund, Ltd., to file their reply to the amici curiae brief filed by Professor Jay Westbrook, Professor Kenneth Klee, and Daniel Glosband. The Foreign Representatives' response deadline was originally scheduled on Dec. 12, 2007. In a letter addressed to District Judge Sweet, Mr. Hodara said that FTI Capital Advisors, LLC, has informed the Foreign Representatives that it intends to file an amicus curiae brief in opposition of the Appeal. Mr. Hodara said extension of the reply deadline will permit the Foreign Representatives to efficiently address the issues raised by the amici briefs. In another letter, Lance Gotthoffer, Esq., at Reed Smith, in New York, told Judge Sweet that his firm will submit a brief, on behalf of Bear Stearns High-Grade Structured Credit Strategies (Overseas) Ltd., in support of the Bankruptcy Court's decision denying the Cayman Islands-based Funds' Chapter 15 petition. The Overseas Fund is one of the two "feeder" funds that invested in the collapsed Cayman Islands funds. About Bear Stearns Funds Grand Cayman, Cayman Islands-based Bear Stearns High-Grade Structured Credit Strategies Enhanced Leverage Master Fund Ltd. and Bear Stearns High-Grade Structured Credit Strategies Master Fund Ltd. are open-ended investment companies, which sought high income and capital appreciation relative to the London Interbank Offered Rate, and designed for long-term investors. On July 30, 2007, the Funds filed winding up petitions under the Companies Law (2007 Revision) of the Cayman Islands. Simon Lovell Clayton Whicker and Kristen Beighton at KPMG were appointed joint provisional liquidators. The joint liquidators filed for Chapter 15 petitions before the U.S. Bankruptcy Court for the Southern District of New York the next day. On Aug. 30, 2007, the Honorable Burton R. Lifland denied the Funds protection under Chapter 15 of the Bankruptcy Code. Fred S. Hodara, Esq., Lisa G. Beckerman, Esq., and David F. Staber, Esq., at Akin Gump Strauss Hauer & Feld LLP, represent the liquidators in the United States. The Funds' assets and debts are estimated to be more than $100,000,000 each. (Bear Stearns Funds Bankruptcy News; Bankruptcy Creditors' Service Inc.; http://bankrupt.com/newsstand/or 215/945-7000). BEAR STEARNS: Receives Subpoena from New York Attorney General -------------------------------------------------------------- New York Attorney General Andrew Cuomo sent subpoenas to Bear Stearns Cos., Merrill Lynch & Co., and Deutsche Bank AG, seeking information related to the packaging and selling of debt tied to "high-risk mortgages," the Wall Street Journal reported. The investigation is examining how investment banks adequately reviewed the quality of mortgages before packaging them into products that were then sold to investors, Reuters says. The subpoenas also asked information about how the debt was pooled into securities, including the investment firms' relationship with credit-rating firms, Reuters added. Mr. Cuomo stated in October that he had subpoenaed the investment banks in relation to his probe into the United States mortgage loan market, Reuters related. Bear Stearns Cos. is parent to Bear Stearns High-Grade Structured Credit Strategies Master Fund, Ltd., and Bear Stearns High-Grade Structured Credit Strategies Enhanced Leverage Master Fund, Ltd., who are undergoing winding up proceedings in the Cayman Islands. The Cayman Island hedge funds invested in collateralized debt obligations related to U.S. subprime mortgage loans. About Bear Stearns Funds Grand Cayman, Cayman Islands-based Bear Stearns High-Grade Structured Credit Strategies Enhanced Leverage Master Fund Ltd. and Bear Stearns High-Grade Structured Credit Strategies Master Fund Ltd. are open-ended investment companies, which sought high income and capital appreciation relative to the London Interbank Offered Rate, and designed for long-term investors. On July 30, 2007, the Funds filed winding up petitions under the Companies Law (2007 Revision) of the Cayman Islands. Simon Lovell Clayton Whicker and Kristen Beighton at KPMG were appointed joint provisional liquidators. The joint liquidators filed for Chapter 15 petitions before the U.S. Bankruptcy Court for the Southern District of New York the next day. On Aug. 30, 2007, the Honorable Burton R. Lifland denied the Funds protection under Chapter 15 of the Bankruptcy Code. Fred S. Hodara, Esq., Lisa G. Beckerman, Esq., and David F. Staber, Esq., at Akin Gump Strauss Hauer & Feld LLP, represent the liquidators in the United States. The Funds' assets and debts are estimated to be more than US$100,000,000 each. (Bear Stearns Funds Bankruptcy News; Bankruptcy Creditors' Service Inc.; http://bankrupt.com/newsstand/or 215/945-7000) BREA HOLDINGS: Proofs of Claim Filing Ends on Jan. 21, 2008 ----------------------------------------------------------- Brea Holdings Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Brea Holdings' shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 COMMERCIAL EQUITY: Last Day to File Proofs of Claim Is Jan. 21 -------------------------------------------------------------- Commercial Equity Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Commercial Equity's shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 COMMERCIAL INVESTMENTS: Proofs of Claim Filing Is Until Jan. 21 --------------------------------------------------------------- Commercial Investments Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Commercial Investments' shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 FEY INVESTMENTS: Proofs of Claim Filing Ends on Jan. 8, 2008 ------------------------------------------------------------ Fey Investments Ltd.'s creditors are given until Jan. 8, 2008, to prove their claims to Condor Nominees Limited, the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Fey Investments' shareholder decided on Nov. 22, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Condor Nominees Limited c/o Barclays Private Bank & Trust (Cayman) Limited 4th Floor, FirstCaribbean House P.O. Box 487, George Town Grand Cayman KY1-1106 FREESPIRIT CAPITAL: Proofs of Claim Filing Deadline Is Dec. 31 -------------------------------------------------------------- The Freespirit Capital Management - Asia Fund's creditors are given until Dec. 31, 2007, to prove their claims to Eric Sandlund, the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. The Freespirit Capital's shareholder decided on Nov. 23, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Eric Sandlund 3 Pickering Street, #02-18 Nankin Row Singapore 048660, Singapore FREESPIRIT CAPITAL MANAGEMENT: Claims Filing Ends on Dec. 31 ------------------------------------------------------------ The Freespirit Capital Management - Asia (Non-US Feeder) Fund's creditors are given until Dec. 31, 2007, to prove their claims to Eric Sandlund, the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. The Freespirit Capital's shareholder decided on Nov. 23, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Eric Sandlund 3 Pickering Street, #02-18 Nankin Row Singapore 048660 JPMORGAN ABSOLUTE: Proofs of Claim Filing Deadline Is Jan. 10 ------------------------------------------------------------- JPMorgan Absolute Return Mortgage Fund, Ltd.'s creditors are given until Jan. 10, 2008, to prove their claims to Warren Keens and Roger Priaulx, the company's liquidators, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. JPMorgan Absolute's shareholders agreed on Oct. 31, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Warren Keens Roger Priaulx Attention: Kim Charaman Fourth Floor Harbor Place, P.O. Box 1034 Grand Cayman KY1-1102, Cayman Islands Telephone: (345) 949 8455 Fax: (345) 949 8499 JPMORGAN ABSOLUTE RETURN: Proofs of Claim Filing Ends on Jan. 10 ---------------------------------------------------------------- JPMorgan Absolute Return Mortgage Master Fund, Ltd.'s creditors are given until Jan. 10, 2008, to prove their claims to Warren Keens and Roger Priaulx, the company's liquidators, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. JPMorgan Absolute's shareholders agreed on Oct. 31, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Warren Keens Roger Priaulx Attention: Kim Charaman Fourth Floor Harbor Place, P.O. Box 1034 Grand Cayman KY1-1102, Cayman Islands Telephone: (345) 949 8455 Fax: (345) 949 8499 LAKEHILL INVESTMENTS: Proofs of Claim Filing Is Until Jan. 21 ------------------------------------------------------------- Lakehill Investments Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Lakehill Investments' shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 LAGUNA EQUITY: Proofs of Claim Filing Deadline Is Jan. 21, 2008 --------------------------------------------------------------- Laguna Equity Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Laguna Equity's shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 LAGUNA INVESTMENTS: Proofs of Claim Filing Deadline Is Jan. 21 -------------------------------------------------------------- Laguna Investments Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Laguna Investments' shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 LAKEHILLS EQUITY: Proofs of Claim Filing Is Until Jan. 21, 2008 --------------------------------------------------------------- Lakehills Equity Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Lakehills Equity's shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 LANDMARK EQUITY: Proofs of Claim Filing Ends on Jan. 21, 2008 ------------------------------------------------------------- Landmark Equity Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Landmark Equity's shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 LIFE FUNDING: Proofs of Claim Filing Is Until Jan. 11, 2008 ----------------------------------------------------------- Life Funding Limited's creditors are given until Jan. 11, 2008, to prove their claims to David Dyer, the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Life Funding's shareholders agreed on Nov. 26, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: David Dyer Deutsche Bank (Cayman) Limited Boundary Hall, Cricket Square P.O. Box 1984, Grand Cayman KY1-1104 Cayman Islands MARCUS EQUITY: Proofs of Claim Filing Deadline Is Jan. 21, 2008 --------------------------------------------------------------- Marcus Equity Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Marcus Equity's shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 MARCUS HOLDINGS: Proofs of Claim Filing Is Until Jan. 21, 2008 -------------------------------------------------------------- Marcus Holdings Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Marcus Holdings' shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 ORANGE EQUITY: Proofs of Claim Filing Deadline Is Jan. 21, 2008 --------------------------------------------------------------- Orange Equity Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Orange Equity's shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 ORANGE INVESTMENTS: Proofs of Claim Filing Is Until Jan. 21 ----------------------------------------------------------- Orange Investments Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Orange Investments' shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 WADHWANI GENERAL: Proofs of Claim Filing Ends on Jan. 10, 2008 -------------------------------------------------------------- Wadhwani General Partners Limited's creditors are given until Jan. 10, 2008, to prove their claims to Warren Keens and John Sutlic, the company's liquidators, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Wadhwani General's shareholders agreed on Nov. 21, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Warren Keens John Sutlic Attention: Kim Charaman Close Brothers (Cayman) Limited Fourth Floor, Harbor Place P.O. Box 1034, Grand Cayman KY1-1102 Cayman Islands Telephone: (345) 949 8455 Fax: (345) 949 8499 WESTSHORE HOLDINGS: Proofs of Claim Filing Deadline Is Jan. 21 -------------------------------------------------------------- Westshore Holdings Limited's creditors are given until Jan. 21, 2008, to prove their claims to Westport Services Ltd., the company's liquidator, or be excluded from receiving any distribution or payment. In their proofs of claim, creditors must indicate their full names, addresses, the full particulars of their debts or claims, and the names and addresses of their lawyers, if any. Westshore Holdings' shareholders agreed on Nov. 20, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Westport Services Ltd. Attention: Bonnie Willkom P.O. Box 1111, Grand Cayman KY1-1102 Cayman Islands Telephone: (345)-949-5122 Fax: (345)-949-7920 ========= C H I L E ========= BOSTON SCIENTIFIC: Inks US$425-Mln Buyout Deal w/ Avista Capital ---------------------------------------------------------------- Boston Scientific Corporation and Avista Capital Partners have signed a definitive agreement under which Avista will acquire from Boston Scientific its fluid management and venous access businesses for US$425 million in cash. The transaction is expected to close in the first quarter of 2008, subject to regulatory approvals and customary conditions. Boston Scientific disclosed its intent to sell these businesses as part of its plan to divest non-strategic assets. Avista said that upon close of the transaction, the combined fluid management/venous access business will operate as an independent company under a new name. Ron Sparks, an Avista healthcare industry advisor, will become chairman and chief executive officer of the new company. Dave McClellan, president of Boston Scientific's Oncology business, will become president of the new company. The fluid management franchise, formerly North American Medical Instruments Corporation, produces a range of products used to manage fluid and measure pressure during angiography and angioplasty procedures. The fluid management franchise employs approximately 750 people in its Glens Falls, New York manufacturing facility. The venous access franchise, whose products are also manufactured in Glens Falls, offers a portfolio of implantable devices designed to provide access to the blood stream for patients requiring intravenous antibiotics, nutrition, chemotherapy and blood sampling. The venous access franchise is part of Boston Scientific's Oncology business, and employs approximately 150 people in locations around the United States. The projected revenue for the two businesses in 2007 is approximately US$170 million. "We now have under agreement the divestitures of all five non- strategic businesses we had identified for sale," Jim Tobin, president and chief executive officer of Boston Scientific, said. "In addition, our expense and head count reduction initiative is well under way, and we continue to make progress monetizing our investment portfolio and restructuring several businesses. These measures should help us further our overall goals of restoring profitable growth, increasing shareholder value and continuing to strengthen Boston Scientific for the future." In addition to the two sales, Boston Scientific has also disclosed agreements to sell its cardiac surgery, vascular surgery and auditory businesses. "Boston Scientific's fluid management and venous access businesses maintain strong leadership positions in their respective markets and are recognized for benefiting interventional cardiologists, radiologists and oncologists, and their patients," David Burgstahler, a partner at Avista Capital Partners. "Furthermore, given his extensive experience in the medical device field, Ron Sparks is a great fit to drive growth for the combined business going forward." "We are very excited about this transaction," Larry Pickering, Avista Capital Partners' healthcare industry partner, added. "The fluid management franchise has exceptional brands and a cutting-edge manufacturing facility at Glens Falls with unique custom kitting capabilities. The venous access business has robust R&D capabilities, a knowledgeable sales force and a strong new product introduction track record, which should continue to propel organic growth." "I am eager and delighted to work with the existing fluid management and venous access teams to build on their leading franchises in oncology, radiology and interventional cardiology to create a world-class, stand-alone medical device company," Ron Sparks said. "We want to recognize the important work these teams have done in developing these franchises, well as the valuable role we expect them to play going forward." "This is an exciting time for fluid management and venous access, and we are thrilled to be joining the talented Avista team as we develop a strategy to drive long-term growth and expand our businesses," Dave McClellan said. "We greatly appreciate the contributions our Fluid management and venous access employees have made to Boston Scientific," Mr. Tobin added. "We wish them continued success in providing customers and patients with quality products and innovative therapies." Fluid management/venous access will be Avista's fifth investment in the healthcare industry. In 2007, Avista made healthcare investments in BioReliance and VWR International and in 2006 Avista disclosed investments in Nycomed and MedServe. While at DLJ Merchant Banking Partners, the Avista partners were involved in numerous healthcare transactions including Accellent, Charles River Laboratories, Focus Diagnostics, KCI, Prometheus Labs and Warner Chilcott. About Avista Capital Partners Avista Capital Partners -- http://www.avistacap.com/-- is a private equity firm with offices in New York City and Houston, Texas. Founded in 2005, Avista manages $2 billion in private equity capital. Avista's strategy is to make controlling or influential minority investments in growth-oriented media, healthcare and energy companies. Through its team of seasoned investment professionals and industry experts, Avista seeks to partner with management teams to invest in and add value to well-positioned businesses. About Boston Scientific Headquartered in Natick, Massachusetts, Boston Scientific Corporation (NYSE: BSX) -- http://www.bostonscientific.com/-- develops, manufactures and markets medical devices used in a broad range of interventional medical specialties. The company has offices in Argentina, Chile, France, Germany, and Japan, among others. * * * As reported in the Troubled Company Reporter-Latin America on Oct. 24, 2007, Standard & Poor's Ratings Services affirmed its ratings on Boston Scientific Corp., including the 'BB+' corporate credit rating, and removed them from CreditWatch, where they were placed with negative implications Aug. 3, 2007. S&P said the rating outlook is negative. =============== C O L O M B I A =============== AES CHIVOR: Improved Debt Ratio Cues S&P To Lift Ratings to BB -------------------------------------------------------------- Standard & Poor's Ratings Services raised the ratings on AES Chivor & CIA S.C.A. E.S.P. to 'BB' from 'BB-' mainly due to the company's improved financial risk profile, partly evidenced by better debt-service coverage ratios. The outlook is positive. The rating on the Colombia-based power generator reflects the challenges of operating in the highly competitive and largely hydro-based Colombian power system, its exposure to weather conditions, and the company's volatile cash flow generation. These weaknesses are partly offset by the company's low variable generation cost, relatively large dam and favorable hydrology in its region, its sizable portfolio of short- and medium-term power sales contracts, and good debt service coverage ratios. AES Chivor's cash flow generation has benefited in the last years from a gradual increase of power prices in Colombia, to about US$40 per MWh during the first nine months of 2007 from about US$25 per MWh in 2003. This was mainly due to growing demand for power (4%-5% per year) and low generation capacity additions. The combination of the company's good operating performance and lower debt levels was reflected in improved funds from operations to total debt of 34.3% and FFO interest coverage 4.4 in the 12 months ended Sept. 30, 2007, compared with 26.9% and 3.7 in 2006, and 22.8% and 3.1, respectively, in 2005. These ratios should remain at least at similar levels in 2008 and 2009 due to debt amortization and expected favorable power prices,in Colombia. An upgrade would be based on lower volatility of AES Chivor's cash flow generation and a further improvement of its financial flexibility, which would require a reduction of the company's high refinancing risk in 2014. However, a significant deterioration of its debt service coverage ratios resulting from a strong reduction of power prices in Colombia could result in a negative rating action. AES Chivor is the fourth-largest power generator in Colombia through its ownership of a 1,000 MW hydropower plant that represents about 8% of the country's total installed capacity. Chivor was privatized and acquired by Chile's largest thermal generator, AES Gener S.A. in December 1996. ECOPETROL: Inks Exploration Pact with Royal Dutch ------------------------------------------------- Colombian state-run oil firm Ecopetrol said in a statement that it has signed an accord with Royal Dutch Shell for the exploration two deepwater blocks in the US Gulf of Mexico. Business News Americas relates that Ecopetrol will have a 25% stake in the 777 and 778 blocks on the Clearwater prospect in the Garden Banks area. Shell Offshore will own a 65% stake in the blocks and Newfield Exploration will hold a 10% stake. Ecopetrol said in a statement, "With entry into the Gulf of Mexico - together entering Peru and Brazil -- Ecopetrol is continuing with its international expansion strategy and has finished the year with E&P activities in three regions." According to BNamericas, Ecopetrol wants to produce about 550,000 barrels per day by 2011. Output would total 402,000 barrels per day by year-end. About 50% of growth would be from within Colombia, while the other 50% will come from Ecopetrol's expanding operations abroad. About Royal Dutch Shell Royal Dutch Shell plc is engaged in all principal aspects of the oil and natural gas industry, and also has interests in chemicals and additional interests in power generation and renewable energy (mainly in wind and advanced solar energy). The company operates in five segments: Exploration & Production, which searches for and recovers oil and natural gas around the world and is active in 38 countries; Gas & Power, which liquefies and transports natural gas, and develops natural gas markets and related infrastructure; Oil Products, which include all of the activities necessary to transform crude oil into petroleum products and deliver these to customers worldwide; Chemicals, which produces and sells petrochemicals to industrial customers globally, and Other Industry Segments and Corporate, which include Renewables and Hydrogen. In May 2007, Rubis acquired the German liquefied petroleum gas distribution subsidiary from Shell. About Ecopetrol Ecopetrol will invest some US$3.7 billion next year and about US$12.5 billion through 2012. The firm raised US$2.8 billion from its November 2007 initial public offering by selling a 10.1% stake in the company to the public, BNamericas states. Ecopetrol is an integrated-oil company that is wholly owned by the Colombian government. The company's activities include exploration for and production of crude oil and natural gas, as well as refining, transportation, and marketing of crude oil, natural gas and refined products. Ecopetrol is Latin America's fourth-largest integrated-oil concern. Operations are organized into Exploration & Production, Refining & Marketing, Transportation, and International Commerce & Gas. Ecopetrol produced 385,000 barrels a day of oil and gas in 2006 and has 330,000 barrels a day of refining capacity, according to the company's Web site. In 2005 it produced about 60 percent of Colombia's daily output. * * * As reported in the Troubled Company Reporter-Latin America on Nov. 6, 2007, Fitch Ratings affirmed Ecopetrol S.A.'s foreign and local currency issuer default ratings at 'BB+' and 'BBB-', respectively. Fitch said the outlook for all ratings is stable. =================== C O S T A R I C A =================== ARMSTRONG HOLDINGS: Completes Net Asset Distribution to Holders --------------------------------------------------------------- Armstrong Holdings, Inc., the former parent company of Armstrong World Industries, Inc., has completed its previously announced distribution of its entire net assets to shareholders. Checks to record holders were mailed on Dec. 12, 2007. Shareholders who have ACKH stock in brokerage accounts will receive the distribution in their accounts in the near future. The company's common stock had traded on the Over-the-Counter Bulletin Board under the symbol "ACKH." Direct shareholders did not need to return their stock certificates to receive a distribution. Those certificates are void and have no value. When they receive their distribution checks through the mail, direct shareholders should follow instructions enclosed with their payment to cancel or destroy those Armstrong Holdings stock certificates. The company will file Articles of Dissolution with the Commonwealth of Pennsylvania and will cease to exist. Direct shareholders with questions concerning their accounts should contact American Stock Transfer & Trust Company at 800- 937-5449. About Armstrong Holdings Inc. Based in Lancaster, Pennsylvania, Armstrong Holdings Inc. (OTC Bulletin Board: ACKH) -- http://www.armstrong.com/-- was the parent holding company of Armstrong World Industries Inc. On Oct. 2, 2006, Armstrong World Industries Inc. emerged from Chapter 11 reorganization under its Fourth Amended Plan of Reorganization, which provided for the cancellation of the AWI stock owned by the company. The company has conducted no business and had no operations since Oct. 2, 2006. The company has Asia-Pacific locations in Australia, China, Hong Kong, Indonesia, Japan, Malaysia, Philippines, Singapore, South Korea, Taiwan, Thailand and Vietnam. It also has locations in Colombia, Costa Rica, Greece and Iceland, among others. * * &nb