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 Wednesday, December 26, 2007, Vol. 8, Issue 254 Headlines A R G E N T I N A ALAMTEC SA: Proofs of Claim Verification Ends March 28, 2008 BANCO MACRO: Fitch Affirms Low B Issuer Default Ratings FUNDACION IFIL: Proofs of Claim Verification Is Until March 6 POTENCIAL TRUST: Proofs of Claim Verification Ends on March 28 PROYECTOS INDUSTRIALES: Claims Verification Deadline Is March 24 RED HAT: Hires James Whitehurst as President & CEO SUPERAR SRL: Files for Reorganization Petition in Buenos Aires TORRE I: Proofs of Claim Verification Deadline Is April 28, 2008 VALEANT PHARMA: Selling Infergen to Three Rivers for US$91 Mil. * ARGENTINA: S&P Puts Low B Sovereign Foreign & Local Ratings B A H A M A S HARRAH'S ENT: Gets Nevada Commission's OK on Proposed Purchase ISLE OF CAPRI: Brean Murray Reaffirms Buy Rating on Shares METROPOLITAN BANK: Ties Up with Aboitiz to Build Power Plant TEEKAY CORP: Moody's Affirms Low B Ratings B E L I Z E * BELIZE: S&P Puts Low B Sovereign Foreign & Local Ratings B E R M U D A FOSTER WHEELER: Unit Bags Contract for LNG Project in Australia TYCO INTERNATIONAL: Judge Awards US$460 Mil. to Three Law Firms TYCO INTERNATIONAL: Paying US$0.15 Per Share Dividend on Feb. 1 B O L I V I A * BOLIVIA: S&P Puts B Sovereign Foreign Currency Rating B R A Z I L ALERIS INT'L: Terrance Hogan to Lead Realigned Business Unit BASELL AF: Completes Merger Deal with Lyondell Chemical FIAT SPA: Names Gianni Coda to Head Fiat Group Purchasing GENERAL MOTORS: Inks Pact with Navistar on Medium Duty Truck Biz JAPAN AIRLINES: Speeds Up Restructuring Programs LYONDELL CHEMICAL: Closes Cash Tender Offers for Debt Securities LYONDELL CHEMICAL: Completes Merger Deal with Basell AF MILACRON INC: Messrs. Bertke & Moilliet To Lead Machinery Units NAVISTAR INT'L: Inks Pact with GM on Medium Duty Truck Business STRATUS TECH: To Bring Wireless Performance Services w/ LastMile UAL CORP: Appoints Keith Halbert as Chief Information Officer * BRAZIL: S&P Puts Low B Sovereign Foreign Currency Ratings C A Y M A N I S L A N D S AURORA RELATIVE: Proofs of Claim Filing Ends Today BASIS YIELD: Hearing on Summary Judgment Motion Set for Jan. 15 CANDIANO INC: Final Shareholders Meeting Is Today FFTW GLOBAL: Proofs of Claim Filing Deadline Is Dec. 26 FFTW GLOBAL: Will Hold Final Shareholders Meeting Today KAIROS LONG: Proofs of Claim Filing Deadline Is Dec. 26 KNE CAYMAN: Proofs of Claim Filing Deadline Is Today MET HOLDINGS: Proofs of Claim Filing Ends Today MPJ FUNDING: Proofs of Claim Filing Is Until Today NEW STAR: Proofs of Claim Filing Ends on Dec. 26 PATHFINDER EUROCLASS: Proofs of Claim Filing Is Until Dec. 26 PRISM INVESTMENTS: Proofs of Claim Filing Ends on Dec. 26 REXITER ASIA: Proofs of Claim Filing Deadline Is Dec. 26 SSGA CM: Proofs of Claim Filing Ends on Dec. 26 SSGA LOW: Proofs of Claim Filing Deadline Is Dec. 26 SSGA MARKET: Proofs of Claim Filing Is Until Dec. 26 SSGA US: Proofs of Claim Filing Deadline Is Dec. 26 C H I L E ALDEAVISION SOLUTIONS: Files Plan of Arrangement Under CCAA C O L O M B I A * COLOMBIA: Considers Sale of Foreign Bonds Early Next Year BRIGHTPOINT INC: Unit Extends Distribution Deal with Nokia POLYONE CORP: Promotes Willie Chien as Asia Unit Vice President * COLOMBIA: S&P Puts Low B Sovereign Foreign Currency Ratings C O S T A R I C A * COSTA RICA: S&P Puts Low B Sovereign Currency Ratings C U B A * CUBA: Re-Opens Cienfuego Refinery D O M I N I C A N R E P U B L I C * DOMINICAN REPUBLIC: S&P Puts Low B Sovereign Currency Ratings E C U A D O R * ECUADOR: S&P Puts Low B Sovereign Currency Ratings E L S A L V A D O R BANCO AGRICOLA: Fitch Changes Rating Outlook to Positive * EL SALVADOR: S&P Puts Low B Sovereign Currency Ratings G R E N A D A * GRENADA: S&P Puts Low B Sovereign Currency Ratings G U A T E M A L A * GUATEMALA: S&P Puts Low B Sovereign Currency Ratings J A M A I C A * JAMAICA: S&P Puts Low B Sovereign Currency Ratings M E X I C O AXTEL SAB: Extends Business Deal with Nextel Until August 2011 EPICOR SOFTWARE: Board Inks US$322-Mln Buyout Deal w/ NSB Retail EPICOR SOFTWARE: S&P Holds BB+ Rating with Negative Outlook MAXCOM TELECOM: Extends Exchange Offer for 11% Senior Notes SANMINA-SCI: Moody's Cuts Corp. Family Rating to B1 from Ba3 TIMKEN CO: Secures Two New Contracts with Siemens VAI Metals UNITED RENTALS: Balks at Decree to Forgo Summary Judgment US STEEL: Jill Ritchie to Oversee Governmental Affairs P A N A M A * PANAMA: S&P Puts Low B Sovereign Currency Ratings P A R A G U A Y AGILENT TECHNOLOGIES: Completes Velocity11 Acquisition * PARAGUAY: S&P Puts Low B Sovereign Currency Ratings P E R U * PERU: S&P Puts Low B Sovereign Foreign Currency Ratings P U E R T O R I C O ADVANCED MEDICAL: Posts US$25.9M Net Loss in Qtr. Ended Sept. 28 CLAIRE'S STORES: Posts US$13.8 Mln Net Loss in Qtr. Ended Nov. 3 INTERNATIONAL POWER: Fitch Affirms BB Issuer Default Rating MEDIRECT LATINO: Discloses Foreclosure Sale by Secured Lenders ROYAL CARIBBEAN: Board Declares US$0.15 Per Share Dividend U R U G U A Y * URUGUAY: S&P Puts Low B Sovereign Currency Ratings V E N E Z U E L A PETROLEOS DE VENEZUELA: Gets 90% Tenders & Consents from Holders * VENEZUELA: S&P Puts Low B Sovereign Currency Ratings * LATIN AMERICA: Moody's Says Exposure to US Slowdown Manageable - - - - - ================= A R G E N T I N A ================= ALAMTEC SA: Proofs of Claim Verification Ends March 28, 2008 ------------------------------------------------------------ Hugo D. Ubaldo, the court-appointed trustee for Alamtec SA's bankruptcy proceeding, verifies creditors' proofs of claim until March 28, 2008. Mr. Ubaldo will present the validated claims in court as individual reports on April 25, 2008. The National Commercial Court No. 10 of First Instance in Buenos Aires, with the assistance of Clerk No. 20, will determine if the verified claims are admissible, taking into account the trustee's opinion, and the objections and challenges that will be raised by Alamtec and its creditors. Inadmissible claims may be subject for appeal in a separate proceeding known as an appeal for reversal. A general report that contains an audit of Alamtec's accounting and banking records will be submitted in court. La Nacion didn't state the reports submission deadlines. Mr. Ubaldo is also in charge of administering Alamtec's assets under court supervision and will take part in their disposal to the extent established by law. The debtor can be reached at: Alamtec SA Libertad 160 Buenos Aires, Argentina The trustee can be reached at: Hugo D. Ubaldo Tucuman 1577 Buenos Aires, Argentina BANCO MACRO: Fitch Affirms Low B Issuer Default Ratings ------------------------------------------------------- Fitch Ratings has affirmed Banco Macro's ratings as: -- Foreign and local currency long-term Issuer Default Ratings (IDRs) 'B+'; -- Foreign and local currency short-term IDRs 'B'; -- Long-term National Rating at 'AA'(arg); -- Short-term National Rating at 'A1+(arg)'; -- Individual at 'D'; -- Support '5'; -- Support Floor 'NF'. The rating outlook is stable. In addition, Fitch has affirmed the ratings on BM's senior debt totaling US$450 million and US$150 million subordinated debt at 'B+/RR4' and 'B-/RR6/A(arg)', respectively. BM's ratings reflect its strong national franchise and growth potential, its solid overall performance and sound liquidity and capital base. They also take into account the fact that the operating environment in Argentina has significantly improved but remains potentially volatile. BM's long-term IDRs have a Stable Outlook and are at the country ceiling level, reflecting its strong local franchise and its sound performance. The Argentine economy has grown strongly since 2001, benefiting the operating environment for banks, with rising deposits and lending and steadily improving asset quality. Fitch expects BM's performance to remain sound, based on strong revenue generation, continued loan recoveries from the acquired banks and income from its securities portfolio. The latter declined in Q307 due to market volatility, but the impact was smaller than in most of its peers. BM's asset quality has improved significantly since 2002. Non-performing loans accounted for only 1.34% of total loans at end of September 2007, loan loss reserve coverage stood at 147% and exposure to the public sector has decreased considerably. BM's main funding source is its large retail deposit base and has accessed the national and international capital markets in order to diversify and extend the maturity of its funding. BM's liquidity is strong and its capital base is ample, boosted by an ARS470 million capital increase in March 2006 and a US$150 million subordinated debt issuance, which has strong equity-like features and qualifies as Tier 1. BM is 34.5% owned by a group of Argentine individuals led by Jorge Horacio Brito and Delfin Jorge Ezequiel Carballo. The former is also the bank's chairman and CEO. The balance is widely held by local and foreign investors. At end of September 2007, BM was the second-largest private sector bank in Argentina by assets. Fitch's National Ratings provide a relative measure of creditworthiness for rated entities in countries where the sovereign's foreign and local currency ratings are below 'AAA'. National ratings are not internationally comparable since the best relative risk within a country is rated 'AAA' and other credits are rated only relative to this risk. They are signified by the addition of an identifier, for the country concerned, such as 'AAA (arg)' for national ratings in Argentina. Fitch's Recovery Ratings are a relative indicator of creditor recovery prospects on a given obligation within an issuers' capital structure in the event of a default. Headquartered in Buenos Aires, Argentina, Banco Macro -- http://www.macro.com.ar/-- had consolidated assets of 11.6 billion (US$3.7 billion) and consolidated deposits of 6.0 billion (US$2 million) as of June 2007. FUNDACION IFIL: Proofs of Claim Verification Is Until March 6 ------------------------------------------------------------- Ines Clos, the court-appointed trustee for Fundacion I.F.I.L.'s (Instituto Para la Funcion Integral del Lenguage) bankruptcy proceeding, verifies creditors' proofs of claim until March 6, 2008. Ms. Clos will present the validated claims in court as individual reports on April 17, 2008. The National Commercial Court of First Instance in Buenos Aires will determine if the verified claims are admissible, taking into account the trustee's opinion, and the objections and challenges that will be raised by Fundacion I.F.I.L. and its creditors. Inadmissible claims may be subject for appeal in a separate proceeding known as an appeal for reversal. A general report that contains an audit of Fundacion I.F.I.L.'s accounting and banking records will be submitted in court. Infobae didn't state the reports submission deadlines. Ms. Clos is also in charge of administering Fundacion I.F.I.L.'s assets under court supervision and will take part in their disposal to the extent established by law. The trustee can be reached at: Ines Clos Sarmiento 944 Buenos Aires, Argentina POTENCIAL TRUST: Proofs of Claim Verification Ends on March 28 -------------------------------------------------------------- Juan J. Romanelli, the court-appointed trustee for Potencial Trust S.A.'s bankruptcy proceeding, verifies creditors' proofs of claim until March 28, 2008. Mr. Romanelli will present the validated claims in court as individual reports on May 15, 2008. The National Commercial Court of First Instance in Buenos Aires will determine if the verified claims are admissible, taking into account the trustee's opinion, and the objections and challenges that will be raised by Potencial Trust and its creditors. Inadmissible claims may be subject for appeal in a separate proceeding known as an appeal for reversal. A general report that contains an audit of Potencial Trust's accounting and banking records will be submitted in court. Infobae didn't state the reports submission deadlines. Mr. Romanelli is also in charge of administering Potencial Trust's assets under court supervision and will take part in their disposal to the extent established by law. The trustee can be reached at: Juan J. Romanelli Gandara 2700 Buenos Aires, Argentina PROYECTOS INDUSTRIALES: Claims Verification Deadline Is March 24 ---------------------------------------------------------------- Carlos Alberto Perez, the court-appointed trustee for Proyectos Industriales S.R.L.'s bankruptcy proceeding, verifies creditors' proofs of claim until March 24, 2008. Mr. Perez will present the validated claims in court as individual reports on May 8, 2008. The National Commercial Court of First Instance in Buenos Aires will determine if the verified claims are admissible, taking into account the trustee's opinion, and the objections and challenges that will be raised by Proyectos Industriales and its creditors. Inadmissible claims may be subject for appeal in a separate proceeding known as an appeal for reversal. A general report that contains an audit of Proyectos Industriales' accounting and banking records will be submitted in court on July 3, 2008. Mr. Perez is also in charge of administering Proyectos Industriales' assets under court supervision and will take part in their disposal to the extent established by law. The trustee can be reached at: Carlos Alberto Perez Larrea 785 Buenos Aires, Argentina RED HAT: Hires James Whitehurst as President & CEO -------------------------------------------------- Red Hat Inc.'s Board of Directors has elected James M. Whitehurst, as President and Chief Executive Officer and a member of the Board of Directors of Red Hat, effective Jan. 1, 2008. Mr. Whitehurst will succeed Matthew J. Szulik as President and Chief Executive Officer. Mr. Szulik will continue to serve as Chairman of the Board. On behalf of Red Hat's Board of Directors, William S. Kaiser, lead director, said, "For nearly a decade, Matthew Szulik's vision and leadership legitimized free, open source software as an innovative and profitable business model. From Red Hat's early days as a small, private company, Szulik transformed Red Hat into a globally recognized brand whose approach to technology development and customer service has redefined the software industry." Mr. Kaiser added, "The Board is delighted that Jim Whitehurst will serve as CEO. We are confident that he will bring a combination of strategic insight and operational excellence needed to sustain growth while continuing to deliver industry leading customer service. His experience with large, global companies will be essential as Red Hat continues to scale to $1 billion in revenue and beyond." "After an extensive search, Red Hat has selected a talented executive who has successfully led a global technology-focused organization at Delta," added Mr. Szulik. "Jim is a hands on guy who will be a strong cultural fit at Red Hat." "Red Hat has changed the way people consume technology. This is an outstanding company that I feel privileged to join," said Jim Whitehurst. "Our outlook is positive with strong technology, great people, solid management and a global brand. Red Hat leads the software industry in delivering value to its customers. I welcome this opportunity to lead Red Hat into the future." Mr. Whitehurst joined Delta Airlines in 2002, serving in various roles, most recently as Chief Operating Officer, responsible for Operations, Sales and Customer Service, Network and Revenue Management, Marketing and Corporate Strategy. Prior to joining Delta, Mr. Whitehurst served as Vice President and Director of The Boston Consulting Group and held various leadership roles in their Chicago, Hong Kong, Shanghai and Atlanta offices. A native of Columbus, Ga., Mr. Whitehurst graduated from Rice University in Houston, Texas, with a bachelor's degree in Computer Science and Economics. He also attended Friedrich- Alexander University in Erlangen, Germany, holds a general course degree from the London School of Economics and an MBA from Harvard Business School. Nosal Partners, an executive search firm, assisted the Red Hat Board of Directors in this search. About Red Hat Headquartered in Raleigh, North Carolina Red Hat, Inc. -- http://www.redhat.com/-- is an open source and Linux provider. Red Hat provides operating system software along with middleware, applications and management solutions. Red Hat also offers support, training, and consulting services to its customers worldwide and through top-tier partnerships. The company has offices in Singapore, Germany, and Argentina, among others. * * * As reported in the Troubled Company Reporter-Latin America on Oct. 19, 2007, Standard & Poor's Ratings Services has revised its outlook on Red Hat Inc. to positive from stable and affirmed the ratings, including the 'B+' corporate credit rating. SUPERAR SRL: Files for Reorganization Petition in Buenos Aires -------------------------------------------------------------- Superar S.R.L. has requested for reorganization approval after failing to pay its liabilities. The reorganization petition, once approved by the court, will allow Superar to negotiate a settlement with its creditors in order to avoid a straight liquidation. The case is pending in the National Commercial Court of First Instance in Buenos Aires. The debtor can be reached at: Superar S.R.L. Avenida Corrientes 2312 Buenos Aires, Argentina TORRE I: Proofs of Claim Verification Deadline Is April 28, 2008 ---------------------------------------------------------------- Elba Nelida Staniscia, the court-appointed trustee for Torre I Viaducto Carranza S.A.'s bankruptcy proceeding, verifies creditors' proofs of claim until April 28, 2008. Ms. Staniscia will present the validated claims in court as individual reports on June 10, 2008. The National Commercial Court of First Instance in Buenos Aires will determine if the verified claims are admissible, taking into account the trustee's opinion, and the objections and challenges that will be raised by Torre I and its creditors. Inadmissible claims may be subject for appeal in a separate proceeding known as an appeal for reversal. A general report that contains an audit of Torre I's accounting and banking records will be submitted in court on Aug. 11, 2008. Ms. Staniscia is also in charge of administering Torre I's assets under court supervision and will take part in their disposal to the extent established by law. The trustee can be reached at: Elba Nelida Staniscia Avenida Rivadavia 3320 Buenos Aires, Argentina VALEANT PHARMA: Selling Infergen to Three Rivers for US$91 Mil. --------------------------------------------------------------- Valeant Pharmaceuticals International and Three Rivers Pharmaceuticals LLC have signed a definitive agreement for Valeant to divest the United States and Canadian rights to the hepatitis C drug Infergen (interferon alfacon-1) to Three Rivers. Valeant will receive from Three Rivers approximately US$70.8 million in cash upon closing, and up to US$20.5 million in two noncontingent payments over the following eighteen months. Under the terms of the agreement, Three Rivers will be assigned all United States and Canadian rights to Infergen and will acquire the remaining Infergen inventory from Valeant. The transaction is expected to close during the first quarter of 2008. "The sale of Infergen to Three Rivers is an important step forward in executing our strategy of simplifying our operations," said Timothy C. Tyson, Valeant's president and chief executive officer. "We believe that by focusing our resources on products and regions where we have the greatest potential for market share growth and profitability, we will be able to improve our margins and yield better long-term shareholder value." "We are thrilled to add Infergen to our growing portfolio of antiviral agents," stated Donald J. Kerrish, RPh, Three River's president and chief executive officer. "This acquisition further promotes Three Rivers' continuous strategy to expand its product offerings through product acquisition and internal product development in highly specialized therapeutic disease categories like hepatitis C." Infergen, or consensus interferon, is a bio-optimized, selective and highly potent type 1 interferon alpha originally developed by Amgen and launched in the United States in 1997. It is currently indicated as monotherapy for the treatment of adult patients suffering from chronic hepatitis C viral infections with compensated liver disease and is dosed three times per week. According to the Centers for Disease Control and Prevention, an estimated 3.9 million Americans (1.8 percent) have been infected with the hepatitis C virus (HCV). HCV causes an estimated 10,000 to 12,000 deaths annually in the United States and is the leading cause of the need for liver transplants. The prevalence of HCV is increasing and approximately half of all patients with compensated liver disease do not respond to first-line treatment. There are approximately 250,000 of these non- responder patients currently in the U.S. and the number is growing by an estimated 50,000 each year. About Valeant Pharmaceuticals Headquartered in Costa Mesa, California, Valeant Pharmaceuticals International -- http://www.valeant.com/-- is a global specialty pharmaceutical company with US$823 million of 2005 revenues. It has offices in Argentina, Singapore and Taiwan. * * * In January 2007, Moody's Investors Service confirmed the ratings of Valeant, including the B2 Corporate Family Rating, and concluded the rating review for possible downgrade, which was first initiated on Oct. 23, 2006. Valeant's rating outlook is stable, Moody's said. * ARGENTINA: S&P Puts Low B Sovereign Foreign & Local Ratings ------------------------------------------------------------- Standard & Poor's Ratings Services has assigned B+ long-term sovereign local and foreign currency ratings and B short-term sovereign local and foreign long-term ratings on Argentina. Standard & Poor's also placed 4 sovereign foreign currency recovery rating and a BB transfer and convertibility assessment rating. The outlook for these ratings is stable. Standard & Poor's Ratings currently rates 117 sovereign governments and has established transfer and convertibility assessments for each country with a rated sovereign. A transfer and convertibility assessment is the rating associated with the probability of the sovereign restricting non-sovereign access to foreign exchange needed for debt service. For most countries, Standard & Poor's analysis concludes that this risk is less than the risk of sovereign default on foreign currency obligations; thus, most transfer and convertibility assessments exceed the sovereign foreign currency rating. A non-sovereign entity can be rated as high as the transfer and convertibility assessment if its stress-tested operating and financial characteristics support the higher rating. Standard & Poor's sovereign foreign currency recovery ratings reflect its opinion on the extent to which a sovereign government will be able and willing to repay nonofficial foreign currency debt holders post-default. ============= B A H A M A S ============= HARRAH'S ENT: Gets Nevada Commission's OK on Proposed Purchase -------------------------------------------------------------- Harrah's Entertainment Inc. has received approval from the Nevada Gaming Commission for its proposed acquisition by affiliates of Apollo Management, L.P. and TPG Capital. This approval follows the recommendation the Nevada Gaming Control Board at its hearing on Dec. 5, 2007. "We are grateful to the Nevada Gaming Commission and their counterparts at the Nevada Gaming Control Board, as well as all of the other regulators that approved this extraordinary transaction," said Gary Loveman, chairman, president and CEO of Harrah's Entertainment. "Moving forward as a private company after the closing of the transaction, we will continue to deliver superior customer service, further our development in international markets and strengthen our competitive position in each of the markets where we operate." The transaction is expected to close in early 2008. Headquartered in Las Vegas, Nevada, Harrah's Entertainment Inc. (NYSE: HET) -- http://www.harrahs.com/-- has grown through development of new properties, expansions and acquisitions, and now owns or manages casino resorts on four continents and hosts over 100 million visitors per year. The company's properties operate under the Harrah's, Caesars and Horseshoe brand names; Harrah's also owns the London Clubs International family of casinos and the World Series of Poker. Harrah's also owns the London Clubs International family of casinos. In January, it signed a joint venture agreement with Baha Mar Resorts Ltd. to operate a resort in Bahamas. * * * Harrah's Entertainment Inc. continues to carry Standard & Poor's BB long-term foreign and local issuer credit ratings, which were placed in December 2006. ISLE OF CAPRI: Brean Murray Reaffirms Buy Rating on Shares ---------------------------------------------------------- Brean Murray analyst Ryan L. Worst has reaffirmed his "buy" rating on Isle of Capri Casinos Inc.'s shares, Newratings.com reports. According to Newratings.com, the target price for Isle of Capri was decreased to US$26 from US$30. Mr. Worst said in a research note that Isle of Capri has undertaken key initiatives to boost its operations, including the recent 20% drop in corporate headcount and a focus on issues in the UK business. Mr. Worst told Newratings.com that Isle of Capri may boost its asset portfolio through divestitures/acquisitions. "There is concern surrounding the macroeconomic environment," Newratings.com says, citing Brean Murray. Isle of Capri's "riverboat gaming revenues seem to be sustaining positive trends." Based in Biloxi, Mississippi and founded in 1992, Isle of Capri Casinos Inc. (Nasdaq: ISLE) -- http://www.islecorp.com/-- owns and operates casinos in Biloxi, Lula and Natchez, Mississippi; Lake Charles, Louisiana; Bettendorf, Davenport, Marquette and Waterloo, Iowa; Boonville, Caruthersville and Kansas City, Missouri and a casino and harness track in Pompano Beach, Florida. The company also operates and has a 57.0% ownership interest in two casinos in Black Hawk, Colorado. Isle of Capri Casinos' international gaming interests include a casino that it operates in Freeport, Grand Bahama, a casino in Coventry, England, and a two-thirds ownership interest in casinos in Dudley and Wolverhampton, England. * * * As reported in the Troubled Company Reporter on June 21, 2007, Standard & Poor's Ratings Services revised its rating outlook on Isle of Capri Casinos Inc. to negative from stable. Ratings on the company, including the 'BB-' corporate credit rating, were affirmed. METROPOLITAN BANK: Ties Up with Aboitiz to Build Power Plant ------------------------------------------------------------ The Metropolitan Bank & Trust Co. will build a US$400-million 246-megawatt power plant in Toledo, Cebu, in partnership with the power producer Aboitiz Power Corp., the Philippine Daily Inquirer reports. According to the report, Aboitiz's Unit Abovant Holdings Inc. teamed up with Metrobank's subsidiary Global Business Power Corp. and Global Formosa for the project. The power plant, the report says, will be commissioned by 2010 and is expected to meet Cebu's growing demand for power in light of increased business process outsourcing activities and new hotels. It will also supply the electric requirements of large industries in the Toledo-Balamban area, the Inquirer adds. The report also reveals that Taiwanese firm Formosa Heavy Industries, Global Power's partner in Global Formosa, will act as contractor and technical partner for the Cebu power plant. Metropolitan Bank and Trust Company -- http://www.metrobank.com.ph/-- is the flagship company of the Metrobank Group. Metrobank provides a host of deposit, savings, and loan products as well as electronic banking services like Internet banking, mobile banking, and phone banking, as well as its huge ATM network. Metrobank is also the leading provider of trade finance in the country, and its overseas branch network has enabled it to service the fund remittances of Filipino overseas contract workers. The bank has 583 local branches and 35 international branches and offices located in Taiwan, China, Japan, Korea, Guam, United States, Hong Kong, Singapore, Bahamas, and in Europe. * * * In November 2006, Moody's Investors Service revised the outlook of Metropolitan Bank & Trust Co.'s foreign currency long-term deposit rating of B1 and foreign currency subordinated debt rating of Ba3 from negative to stable. The outlooks for Metropolitan Bank's foreign currency Not-Prime short-term deposit rating and bank financial strength rating of "D" remain stable. On Sept. 21, 2006, Fitch Ratings upgraded Metrobank's Individual rating to 'D' from 'D/E'. All the bank's other ratings were affirmed: * Long-term Issuer Default rating 'BB-' -- with a stable Outlook; * Short-term rating 'B'; and * Support rating '3. On March 3, 2006, Standard and Poor's Rating Service assigned a CCC+ rating on Metrobank's US$125-million non-cumulative capital securities, whereas Moody's Investors Service Rating Agency issued a B- rating on the same capital instruments. TEEKAY CORP: Moody's Affirms Low B Ratings ------------------------------------------ Moody's Investors Service affirmed its debt ratings of Teekay Corporation -- Corporate Family of Ba2, senior unsecured of Ba3 and speculative grade liquidity rating of SGL-2. The rating outlook was changed to stable from negative. While certain financial metrics remain weak for the Ba2 rating category, the rating action considers the stability to operating performance achieved by the company's having about half of the fleet operating under long-term charters, the aggregate revenues of which cover the company's consolidated operating expenses with modest cushion. Moreover, a substantial level of operating cash flow, a large liquidity cushion and the retained value of the MLP subsidiaries also support the Ba2 rating. These factors balance the risk of having a portion of operating cash flow exposed to the highly cyclical spot market and the elevated financial leverage resulting from acquisitions and ongoing investments to grow the business. The Ba2 rating indicates that Moody's believes the company's risk profile is stronger than that implied by estimated Debt to EBITDA of about 7.0 times and EBIT to Interest of about 1.6 times, each on a consolidated basis at Dec. 31, 2007. This is because of the fixed fleet's coverage of operating expenses, supportive long-term fundamentals of the marine transportation sectors that Teekay serves, Teekay's share of distributions by its MLP's and the contractually non-recourse terms of a substantial majority of the MLPs' debt obligations. The stable outlook reflects the expectation that Teekay's credit profile is nearing an inflection point and that Teekay will soon begin de-levering which should restore credit metrics to levels more supportive of the Ba2 rating category and more consistent with Teekay's strong competitive position. The period of simultaneous, large scale, primarily debt-financed, investments in newbuildings will continue in 2008. However, a number of these vessels will start long-term charters at accretive rates upon their deliveries. The current weak metrics result partly from the newbuilding programs, particularly the nine liquefied natural gas newbuildings ordered by the three LNG joint ventures that cost an aggregate of US$2.2 billion, of which five of the remaining six deliver during 2008. These vessels are on initial 20 or 25-year time charters that have been structured to provide a financial return to Teekay and its partners. The combination of proceeds of additional primary offerings of equity interests of Teekay's publicly-traded subsidiaries and lower capital outlays from 2009 should facilitate the anticipated debt reduction, particularly at the Teekay parent level where the rated notes are issued. The ratings may be downgraded if management does not demonstrate a commitment to de-levering, such as through returning proceeds of the anticipated additional primary offerings to Teekay shareholders rather than to paying down debt obligations of Teekay. A downgrade could also follow if Retained Cash Flow to Net Debt is not sustained above 10%, Debt to EBITDA was not to fall below 6.0 times or EBIT to Interest was to remain below 1.7 times. The outlook could be changed to positive if Retained Cash Flow to Net Debt is sustained above 15% or if Teekay sustains positive free cash flow and accelerates the de-levering of the capital structure. Debt to EBITDA sustained below 5.0 times or EBIT to Interest sustained above 3.0 times could also result in a positive outlook. Headquartered in Nassau, Bahamas, Teekay Corporation (NYSE: TK) -- http://www.teekay.com/-- transports more than 10.0% of the world's seaborne oil, has expanded into the liquefied natural gas shipping sector through its publicly-listed subsidiary, Teekay LNG Partners L.P., and is further growing its operations in the offshore production, storage and transportation sector through its publicly-listed subsidiary, Teekay Offshore Partners L.P. With a fleet of over 180 vessels, offices in 17 countries and 6,300 seagoing and shore-based employees, Teekay provides a comprehensive set of marine services to the world's leading oil and gas companies, helping them seamlessly link their upstream energy production to their downstream processing operations. It has location in Nassau, The Bahamas. =========== B E L I Z E =========== * BELIZE: S&P Puts Low B Sovereign Foreign & Local Ratings ---------------------------------------------------------- Standard & Poor's Ratings Services has assigned B long- and short-term sovereign local and foreign currency ratings on Belize. Standard & Poor's also placed 3 sovereign foreign currency recovery rating and a B+ transfer and convertibility assessment rating. The outlook for these ratings is stable. Standard & Poor's Ratings currently rates 117 sovereign governments and has established transfer and convertibility assessments for each country with a rated sovereign. A transfer and convertibility assessment is the rating associated with the probability of the sovereign restricting non-sovereign access to foreign exchange needed for debt service. For most countries, Standard & Poor's analysis concludes that this risk is less than the risk of sovereign default on foreign currency obligations; thus, most transfer and convertibility assessments exceed the sovereign foreign currency rating. A non-sovereign entity can be rated as high as the transfer and convertibility assessment if its stress-tested operating and financial characteristics support the higher rating. Standard & Poor's sovereign foreign currency recovery ratings reflect its opinion on the extent to which a sovereign government will be able and willing to repay nonofficial foreign currency debt holders post-default. ============= B E R M U D A ============= FOSTER WHEELER: Unit Bags Contract for LNG Project in Australia --------------------------------------------------------------- Foster Wheeler Ltd. disclosed that the joint venture led by a subsidiary of its Global Engineering and Construction Group has been awarded an engineering, procurement, and construction management contract by Woodside Burrup Pty Ltd for the onshore portion of Woodside's Pluto Liquefied Natural Gas Project in Western Australia. Foster Wheeler's joint venture partner for the project is WorleyParsons Services Pty Ltd. The contract value was not disclosed and the project will be included in the company's fourth-quarter 2007 bookings. The scope of work to be undertaken by the Foster Wheeler-led joint venture includes a single liquefied natural gas production train with forecast production of 4.3 million tonnes of LNG per year, a fractionation unit, an acid gas recovery unit, gas purification units, tankage storage facilities, a boil-off gas compressor, loading berths, gas turbine power generation units and utilities. LNG production is scheduled to start at the end of 2010. "We are delighted to be once again selected to play a pivotal ongoing role in Woodside's strategic objective of expanding its world-scale LNG operations," said Umberto della Sala, president and chief operating officer of Foster Wheeler Ltd. "We have used our extensive technical experience and knowledge of the global LNG industry and the Western Australian labor market to develop an execution strategy in line with Woodside's pace- setting schedule for Pluto." About Foster Wheeler Foster Wheeler Ltd. (Nasdaq: FWLT) -- http://www.fwc.com/-- offers a broad range of engineering, procurement, construction, manufacturing, project development and management, research and plant operation services. Foster Wheeler serves the refining, upstream oil and gas, LNG and gas-to-liquids, petrochemical, chemicals, power, pharmaceuticals, biotechnology and healthcare industries. The corporation is based in Hamilton, Bermuda, and its operational headquarters are in Clinton, New Jersey. * * * As reported in the Troubled Company Reporter on Dec. 18, 2006, Standard & Poor's Ratings Services revised its outlook on Foster Wheeler Ltd. to positive from stable. At the same time, Standard & Poor's affirmed its 'B+' corporate credit rating and other ratings on the company. The company had about US$217 million of total debt at Sept. 29, 2006. TYCO INTERNATIONAL: Judge Awards US$460 Mil. to Three Law Firms --------------------------------------------------------------- Three law firms representing plaintiffs in a securities class- action lawsuit against Tyco International Ltd. and its auditor PricewaterhouseCoopers LLP received a US$460 million fee award from federal judge Paul Barbodoro in New Hampshire, Nathan Koppel of The Wall Street Journal reports. The firms, according to WSJ, are Grant & Eisenhofer PA, Milberg Weiss LLP, and Schiffrin, Barroway, Topaz & Kessler LLP. In addition, WSJ says, Judge Barbodoro approved Tyco's US$3.2 billion settlement payment with regards to the lawsuit. The class action suit, WSJ relates, alleged that the company committed securities fraud by improperly accounting for acquisitions and manipulating quarterly results. As reported in the Troubled Company Reporter on May 18, 2007, funding for the settlement includes any recovery Tyco may have from its claims against former key officers who were charged with securities fraud and conspiracy. Tyco also agreed to give shareholders the right to pursue, and benefit from, the company's claims of accounting malpractice against its former auditor. Based in Pembroke, Bermuda, Tyco International Ltd. (NYSE: TYC) (BSX: TYC) -- http://www.tyco.com/-- provides vital products and services to customers in four business segments: Electronics, Fire & Security, Healthcare, and Engineered Products & Services. With 2006 revenue of US$41 billion, Tyco employs approximately 240,000 people worldwide. Effective June 29, 2007, Tyco International Ltd. completed the spin-offs of Covidien and Tyco Electronics, formerly its Healthcare and Electronics businesses, respectively, into separate, publicly traded companies in the form of a distribution to Tyco shareholders. Notice of Default from BoNY In its annual report for the year ended Sept. 28, 2007, Tyco said that on Nov. 8, 2007, The Bank of New York delivered to the company a notice of events of default. The notice claims that the actions taken by the company in connection with its separation into three public entities constitute events of default under the indentures. TYCO INTERNATIONAL: Paying US$0.15 Per Share Dividend on Feb. 1 --------------------------------------------------------------- The Board of Directors of Tyco International Ltd. has declared a regular quarterly cash dividend of US$0.15 per common share. The dividend is payable on Feb. 1, 2008, to shareholders of record as of Jan. 3, 2008. Based in Pembroke, Bermuda, Tyco International Ltd. (NYSE: TYC) (BSX: TYC) -- http://www.tyco.com/-- provides vital products and services to customers in four business segments: Electronics, Fire & Security, Healthcare, and Engineered Products & Services. With 2006 revenue of US$41 billion, Tyco employs approximately 240,000 people worldwide. Effective June 29, 2007, Tyco International Ltd. completed the spin-offs of Covidien and Tyco Electronics, formerly its Healthcare and Electronics businesses, respectively, into separate, publicly traded companies in the form of a distribution to Tyco shareholders. Notice of Default from BoNY In its annual report for the year ended Sept. 28, 2007, Tyco said that on Nov. 8, 2007, The Bank of New York delivered to the company a notice of events of default. The notice claims that the actions taken by the company in connection with its separation into three public entities constitute events of default under the indentures. ============= B O L I V I A ============= * BOLIVIA: S&P Puts B Sovereign Foreign Currency Rating ------------------------------------------------------- Standard & Poor's Ratings Services has assigned B- long-term sovereign local and foreign currency ratings and C short-term sovereign local and foreign currency ratings on Bolivia. Standard & Poor's also place a B transfer and convertibility assessment rating. The outlook for these ratings is stable. Standard & Poor's Ratings currently rates 117 sovereign governments and has established transfer and convertibility assessments for each country with a rated sovereign. A transfer and convertibility assessment is the rating associated with the probability of the sovereign restricting non-sovereign access to foreign exchange needed for debt service. For most countries, Standard & Poor's analysis concludes that this risk is less than the risk of sovereign default on foreign currency obligations; thus, most transfer and convertibility assessments exceed the sovereign foreign currency rating. A non-sovereign entity can be rated as high as the transfer and convertibility assessment if its stress-tested operating and financial characteristics support the higher rating. Standard & Poor's sovereign foreign currency recovery ratings reflect its opinion on the extent to which a sovereign government will be able and willing to repay nonofficial foreign currency debt holders post-default. =========== B R A Z I L =========== ALERIS INT'L: Terrance Hogan to Lead Realigned Business Unit ------------------------------------------------------------ Aleris International Inc. will make several management promotions effective Jan. 2, 2008, relating to the realignment of its Aluminum Recycling and Specification Alloy business units into a new business unit named Recycling & Specification Alloys -- Americas. The business unit will operate 25 production facilities in the US, Mexico and Brazil. Terrance J. Hogan will be promoted to Senior Vice President and General Manager and will lead the realigned business unit. Mr. Hogan joined Aleris in 2005 as a part of the acquisition of Alumitech where he had served as President for ten years. He has worked in the aluminum recycling industry since 1988. Mr. Hogan earned his bachelor's degree in accounting from Alfred University, in Alfred, New York. William Edwin Hoag (Ed) has been named Vice President, Global Metals Procurement, replacing Alan Dick who, as previously announced, has become the Senior Vice President Manufacturing, Rolled Products North America. Mr. Hoag has been leading Aleris's Specification Alloy business unit since June 1, 2005. He joined IMCO Recycling in 1996 as General Manager, Recycling United Kingdom and prior to the merger with Commonwealth, served as the Vice President Aluminum Division. Prior to joining IMCO, he held a number of positions with Alcoa, Inc. in the United States and internationally. Mr. Hoag earned a Bachelor of Science degree in Chemistry from Mount Union College. Michael T. Keown has been promoted to vice president for Scrap Metals Procurement in North America reporting to Mr. Hoag. Mr. Keown joined Commonwealth Industries in 1998 and has held a number of positions of increasing responsibilities. Since 2005, he has served as the Director, Materials North Plants for Global Metals Procurement at Aleris. Mr. Keown earned his bachelor's degree in Accounting from Oakland City University in Indiana. About Aleris Headquartered in Beachwood, Ohio, Aleris International Inc. (NYSE: ARS) -- http://www.aleris.com/-- manufactures rolled aluminum products and offers aluminum recycling and the production of specification alloys. The company also manufactures value-added zinc products that include zinc oxide, zinc dust and zinc metal. The company operates 42 production facilities in the United States, Brazil, Germany, Mexico and Wales, and employs approximately 4,200 employees. * * * As reported in the Troubled Company Reporter on Sept. 21, 2007, Standard & Poor's Ratings Services revised its outlook on Aleris International Inc. to negative from stable. At the same time S&P affirmed its 'B+' corporate credit rating and the other ratings on the company. Concurrently, S&P assigned a 'B-' rating to the company's recent US$105 million 9% senior notes due 2014, which are an add-on to the company's existing US$600 million 9% senior notes due 2014. BASELL AF: Completes Merger Deal with Lyondell Chemical ------------------------------------------------------- Basell AF and Lyondell Chemical Company has completed their merger, creating LyondellBasell Industries, the world's third- largest independent chemical company. LyondellBasell businesses include polymers, chemicals, fuels and technology with combined pro forma revenues of nearly US$43 billion for the 12 months ended Sept. 30, 2007. The company has 60 manufacturing sites in 19 countries on five continents and nearly 15,000 employees worldwide. "With the combination of Basell and Lyondell, we have created a global leader in the petrochemical industry, with exceptional capabilities in both chemicals and fuels," said Volker Trautz, Chief Executive Officer of LyondellBasell. "Each of our businesses has a long and successful heritage. As we go forward, the values, dedication and ingenuity that made our predecessors strong and successful will remain at the core of our culture." Basell, which is owned by Access Industries, acquired Lyondell's outstanding common shares for US$48 per common share in an all-cash transaction with a total enterprise value of approximately US$20 billion, including the assumption of debt. LyondellBasell is the global leader in polyolefin technology, production and marketing. It is the largest producer of polypropylene and advanced polyolefin products, a leading supplier of polyethylene and catalysts, and the industry leader in licensing polypropylene and polyethylene processes. The company also is an industry leader in propylene oxide and derivatives and a leading producer of advanced fuel products. Its North American refinery is among the most advanced heavy crude oil refineries in the industry. "LyondellBasell was formed with a focus on customers and markets, a dedication to operational excellence and an emphasis on innovation," Mr. Trautz said. "Our products benefit people and communities all over the world. We are committed to operating our businesses with the highest principles of integrity, ethics and corporate responsibility, including the highest standards of health, safety and environmental performance. As an industry leader, we recognize the importance of being a responsible corporate citizen in our communities." Len Blavatnik, founder and Chairman of Access Industries, said: "The combination of the world class talent, technology, refining and petrochemical capabilities from Lyondell and Basell creates an unrivaled global petrochemical platform. LyondellBasell is a dynamic addition to Access's industrial portfolio." Access Industries is a privately held, U.S.-based industrial group that was founded in 1986 and has long-term holdings worldwide in three key sectors: natural resources and chemicals; telecommunications and media; and real estate. About Lyondell Headquartered in Houston, Texas, Lyondell Chemical Company (NYSE:LYO) -- http://www.lyondell.com/-- is North America's third-largest independent, publicly traded chemical company. Lyondell manufactures chemicals and plastics, a refiner of heavy, high-sulfur crude oil and a significant producer of fuel products. Key products include ethylene, polyethylene, styrene, propylene, propylene oxide, gasoline, ultra low-sulfur diesel, MTBE and ETBE. The company also has locations in Austria, France, Italy, The Netherlands, Belgium, Germany, Spain, United Kingdom, Brazil, China, Japan, Taiwan, India and Singapore. About Basell Basell -- http://www.basell.com/-- produces polypropylene and advanced polyolefin products, supplies polyethylene and catalysts, and provides technical services for its proprietary technologies. Basell, together with its joint ventures, has manufacturing facilities in 19 countries and sells products in more than 120 countries. Basell is privately owned by Access Industries. Basell has regional offices in Belgium, Germany, the United States, Brazil and Hong Kong, as well as sales offices in the major markets around the globe. * * * As reported in the Troubled Company Reporter-Latin America on Dec. 13, 2007, Fitch Ratings has downgraded Basell AF SCA's and Lyondell Chemical Co.'s Long-term Issuer Default ratings to 'B+' from 'BB-' and removed them from Rating Watch Negative where they were originally placed on July 17, 2007. Stable Outlooks are assigned to the Long-term IDRs. Basell's Short-term IDR is also affirmed at 'B'. In July 2007, Moody's Investors Service maintains all ratings of Basell group under review for downgrade following the announcement by the company on July 17, 2007 that it has signed a definitive agreement to acquire Lyondell (Ba3/stable outlook) in a transaction valued at approximately US$19 billion, including the assumption of debt. FIAT SPA: Names Gianni Coda to Head Fiat Group Purchasing --------------------------------------------------------- Fiat S.p.A. stated that Gianni Coda assumed responsibility for Fiat Group Purchasing, the newly created department to which purchasing activities of Fiat Group Automobiles, Iveco, CNH, Fiat Powertrain Technologies and Fast Buyer will report. Consistent with the objectives of the various Fiat group sectors, Fiat group purchasing will be in charge of defining, managing and homogenizing specific purchasing activities. The new department will organize purchasing strategies and ensure the highest level of integration among the various Fiat Group companies as well as the strengthening of partnerships with suppliers in its specific field. It will also follow the development of vendor companies through the definition of common working methods and processes so as to guarantee an adequate support to the alliance strategies of the group. About Fiat S.p.A. Headquartered in Turin, Italy, Fiat S.p.A. -- http://www.fiatgroup.com/-- manufactures and sells automobiles, commercial vehicles, and agricultural and construction equipment. It also manufactures, for use by the company's automotive sectors and for sale to third parties, other automotive-related products and systems, principally power trains (engines and transmissions), components, metallurgical products and production systems. Fiat's creditors include Banca Intesa, Banca Monte dei Paschi di Siena, Banca Nazionale del Lavoro, Capitalia, Sanpaolo IMI, and UniCredito Italiano. Fiat operates in Argentina, Australia, Austria, Belgium, Brazil, Bulgaria, China, Czech Republic, Denmark, France, Germany, Greece, Hungary, India, Ireland, Italy, Japan, Lituania, Netherlands, Poland, Portugal, Romania, Russia, Singapore, Spain, among others. * * * As of Dec. 10, 2007, Fiat S.p.A. Carries Moody's long-term corporate family rating of Ba1 and probability of default rating of Ba1 with positive outlook. The company also carries Standard & Poor's BB+ on long-term foreign issuer credit rating, BB+ on long-term local issuer credit rating, B on short-term foreign issuer and local issuer credit ratings. GENERAL MOTORS: Inks Pact with Navistar on Medium Duty Truck Biz ---------------------------------------------------------------- General Motors Corp. and International Truck and Engine Corporation, the principal operating subsidiary of Navistar International Corporation, have entered into a non-binding memorandum of understanding under which Navistar would purchase certain assets, intellectual property and distribution rights for GM's medium-duty truck business. As proposed, Navistar would acquire GM's medium-duty truck business, which includes assets and intellectual property rights to manufacture GMC and Chevrolet brand vehicles in the class 4-8 gross vehicle weight range. It also includes purchase of the related service parts business. Navistar would sell a competitive line of Chevrolet and GMC vehicles and service parts through GM's proprietary dealer network in the United States and Canada. The agreement is another step in GM's plan to focus on designing, manufacturing and selling cars and light trucks globally. The deal would leverage Navistar's strengths in commercial trucks and engines, and advance its strategy to build scale and reduce costs. "Navistar's expertise in building International(R) brand commercial trucks and its track record in the medium-duty segment makes them an excellent choice to acquire and continue growing the business. We intend to work closely with Navistar to make this transition seamless to our dealers and customers," Troy Clarke, president of GM North America, said. "This is another example of how we're strategically growing our business for trucks, engines and parts, building scale and reducing costs," Daniel C. Ustian, chairman, president and CEO, Navistar International Corporation, said. "We are proud to incorporate the GM truck brands into our portfolio, and will utilize the scale to build on the success of both the International and GM product lines and their respective distribution networks." Navistar would add the GMC(R) TopKick and Chevrole(R) Kodiak truck brands to its growing portfolio of brands, which currently includes International(R) brand trucks and tractors, IC(R) brand buses, Workhorse(R) brand chassis for motor homes and step vans, and MaxxForce(R) brand engines. When a deal is definitively concluded, production of the vehicles would move from GM's plant in Flint, Michigan, to a Navistar facility to be named. GM would retain ownership of its Flint plant and continue to build other products at the facility. GM will continue its medium-duty truck relationship with Isuzu to market W-Series trucks through GM's medium-duty dealer network. The deal is expected to close in 2008 subject to completion of satisfactory due diligence, the negotiation of a definitive purchase agreement, customary regulatory clearance and board approval. Upon closing, transition of the business could take several months to conclude. About International Truck and Engine International Truck and Engine Corporation, a wholly owned subsidiary of Navistar International Corporation, produces medium trucks, heavy trucks, severe service vehicles, MaxxForce brand diesel engines, parts and service. International and its affiliates sell their products, parts and services through a network of nearly 1,000 dealer outlets in the United States, Canada, Brazil and Mexico and from more than 60 dealers in 90 countries throughout the world. About Navistar International Headquartered in Warrenville, Illinois, Navistar International Corporation (Other OTC: NAVZ) -- http://www.navistar.com/-- is a holding company whose wholly owned subsidiaries produce International(R) brand commercial trucks, MaxxForce brand diesel engines, IC brand school and commercial buses, and Workhorse brand chassis for motor homes and step vans. It also is a private-label designer and manufacturer of diesel engines for the pickup truck, van and SUV markets. The company also provides truck and diesel engine parts and service. Another wholly owned subsidiary offers financing services. About GM 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. JAPAN AIRLINES: Speeds Up Restructuring Programs ------------------------------------------------ Japan Airlines International Co., Ltd., which is undergoing restructuring programs, plans to implement planned personnel cuts one year ahead of schedule and consolidate four maintenance units, sources disclosed to Jiji Press. The plans will be included in the airline's business program for fiscal 2008-2010 to be compiled in February next year, states Jiji Press. According to Jiji Press, its sources said JAL now plans to reduce its group workforce by 4,300 from 53,100 by fiscal 2008 ending in March 31, 2009, instead of the originally predicted fiscal 2009. The report adds that JAL plans to integrate, by the end of 2010, its four maintenance units JAL Narita Aircraft Maintenance Co., JAL Tokyo Aircraft Maintenance Co., JAL Engine Technologies Co. and JAL Aviation Technologies Co. Jiji Press relates that JAL believes it can speed up the personnel reduction as it has received applications to leave the company from more employees than expected through its voluntary retirement programs. About Japan Airlines Tokyo-based Japan Airlines International Company, Limited -- http://www.jal.com/en/ -- was created as a result of the merger of Japan Airlines and Japan Air Systems to boost domestic coverage. Japan Airlines flies to the United States, Brazil and France. * * * As reported on Feb. 9, 2007, that Standard & Poor's Ratings Services affirmed its 'B+' long-term corporate credit and issue ratings on Japan Airlines Corp. (B+/Negative/--) following the company's announcement of its new medium-term management plan. The outlook on the long-term corporate credit rating is negative. As reported on Oct. 10, 2006, that Moody's Investors Service affirmed its Ba3 long-term debt ratings and issuer ratings for both Japan Airlines International Co. Ltd. and Japan Airlines Domestic Co., Ltd. The rating affirmation is in response to the planned restructuring of the Japan Airlines Corporation group on Oct. 1, 2006 with the completion of the merger of JAL's two operating subsidiaries, JAL International and Japan Airlines Domestic. JAL International will be the surviving company. The rating outlook is stable. Fitch Ratings Tokyo analyst Satoru Aoyama said that the company's debt obligations and expenses for new aircraft have placed it in an unfavorable financial position. Fitch assigned a BB- rating on the company, which is three notches lower than investment grade. LYONDELL CHEMICAL: Closes Cash Tender Offers for Debt Securities ---------------------------------------------------------------- Lyondell Chemical Company and its subsidiaries Equistar Chemicals, LP and Equistar Funding Corporation has completed their previously announced cash tender offers for the outstanding debt securities issued by Lyondell or the Equistar Issuers, as applicable. The Offers for each series of Notes expired at 12:01 a.m. EST on Dec. 20, 2007. Lyondell and the Equistar Issuers have accepted for purchase a majority in aggregate principal amount of each of the Notes, and each of the supplemental indentures effecting the proposed amendments as described in the Offer to Purchase and Consent Solicitation Statement dated Nov. 20, 2007, has become effective. Lyondell's Notes CUSIP Number Security Description ------------ ------------------------------------- 552078AV9 10.500% Senior Secured Notes due 2013 552078AW7 8.000% Senior Notes due 2014 552078AX5 8.250% Senior Notes due 2016 552078AY3 6.875% Senior Notes due 2017 Equistar Issuers' Notes CUSIP Number Security Description ------------ ----------------------------- 29444NAF9 10.125% Senior Notes due 2008 29444NAD4 8.750% Notes due 2009 29444NAH5 10.625% Senior Notes due 2011 Goldman, Sachs & Co. and Merrill Lynch & Co. served as dealer managers for the Offers. D.F. King, Inc., served as the Tender Agent and Information Agent for the Offers. About Lyondell Headquartered in Houston, Texas, Lyondell Chemical Company (NYSE:LYO) -- http://www.lyondell.com/-- is North America's third-largest independent, publicly traded chemical company. Lyondell manufactures chemicals and plastics, a refiner of heavy, high-sulfur crude oil and a significant producer of fuel products. Key products include ethylene, polyethylene, styrene, propylene, propylene oxide, gasoline, ultra low-sulfur diesel, MTBE and ETBE. The company also has locations in Austria, France, Italy, The Netherlands, Belgium, Germany, Spain, United Kingdom, Brazil, China, Japan, Taiwan, India and Singapore. * * * As reported in the Troubled Company Reporter-Latin America on Dec. 13, 2007, Fitch Ratings has downgraded Basell AF SCA's and Lyondell Chemical Co.'s Long-term Issuer Default ratings to 'B+' from 'BB-' and removed them from Rating Watch Negative where they were originally placed on July 17, 2007. Stable Outlooks are assigned to the Long-term IDRs. Basell's Short-term IDR is also affirmed at 'B'. LYONDELL CHEMICAL: Completes Merger Deal with Basell AF ------------------------------------------------------- Basell AF and Lyondell Chemical Company has completed their merger, creating LyondellBasell Industries, the world's third- largest independent chemical company. LyondellBasell businesses include polymers, chemicals, fuels and technology with combined pro forma revenues of nearly US$43 billion for the 12 months ending Sept. 30, 2007. The company has 60 manufacturing sites in 19 countries on five continents and nearly 15,000 employees worldwide. "With the combination of Basell and Lyondell, we have created a global leader in the petrochemical industry, with exceptional capabilities in both chemicals and fuels," said Volker Trautz, Chief Executive Officer of LyondellBasell. "Each of our businesses has a long and successful heritage. As we go forward, the values, dedication and ingenuity that made our predecessors strong and successful will remain at the core of our culture." Basell, which is owned by Access Industries, acquired Lyondell's outstanding common shares for US$48 per common share in an all- cash transaction with a total enterprise value of approximately US$20 billion, including the assumption of debt. LyondellBasell is the global leader in polyolefin technology, production and marketing. It is the largest producer of polypropylene and advanced polyolefin products, a leading supplier of polyethylene and catalysts, and the industry leader in licensing polypropylene and polyethylene processes. The company also is an industry leader in propylene oxide and derivatives and a leading producer of advanced fuel products. Its North American refinery is among the most advanced heavy crude oil refineries in the industry. "LyondellBasell was formed with a focus on customers and markets, a dedication to operational excellence and an emphasis on innovation," Mr. Trautz said. "Our products benefit people and communities all over the world. We are committed to operating our businesses with the highest principles of integrity, ethics and corporate responsibility, including the highest standards of health, safety and environmental performance. As an industry leader, we recognize the importance of being a responsible corporate citizen in our communities." Len Blavatnik, founder and Chairman of Access Industries, said: "The combination of the world class talent, technology, refining and petrochemical capabilities from Lyondell and Basell creates an unrivaled global petrochemical platform. LyondellBasell is a dynamic addition to Access's industrial portfolio." Access Industries is a privately held, U.S.-based industrial group that was founded in 1986 and has long-term holdings worldwide in three key sectors: natural resources and chemicals; telecommunications and media; and real estate. About Basell Basell -- http://www.basell.com/-- produces polypropylene and advanced polyolefin products, supplies polyethylene and catalysts, and provides technical services for its proprietary technologies. Basell, together with its joint ventures, has manufacturing facilities in 19 countries and sells products in more than 120 countries. Basell is privately owned by Access Industries. Basell has regional offices in Belgium, Germany, the United States, Brazil and Hong Kong, as well as sales offices in the major markets around the globe. About Lyondell Headquartered in Houston, Texas, Lyondell Chemical Company (NYSE:LYO) -- http://www.lyondell.com/-- is North America's third-largest independent, publicly traded chemical company. Lyondell manufactures chemicals and plastics, a refiner of heavy, high-sulfur crude oil and a significant producer of fuel products. Key products include ethylene, polyethylene, styrene, propylene, propylene oxide, gasoline, ultra low-sulfur diesel, MTBE and ETBE. The company also has locations in Austria, France, Italy, The Netherlands, Belgium, Germany, Spain, United Kingdom, Brazil, China, Japan, Taiwan, India and Singapore. * * * As reported in the Troubled Company Reporter-Latin America on Dec. 13, 2007, Fitch Ratings has downgraded Basell AF SCA's and Lyondell Chemical Co.'s Long-term Issuer Default ratings to 'B+' from 'BB-' and removed them from Rating Watch Negative where they were originally placed on July 17, 2007. Stable Outlooks are assigned to the Long-term IDRs. Basell's Short-term IDR is also affirmed at 'B'. MILACRON INC: Messrs. Bertke & Moilliet To Lead Machinery Units --------------------------------------------------------------- Milacron Inc. has appointed David J. Bertke to vice president for machinery technologies in North America, and Guy G. A. Moilliet as managing director for machinery technologies in Europe. Both appointments are effective immediately. Mr. Bertke is responsible for all of Milacron's North American- based machinery businesses, including injection molding, extrusion and blow molding, as well as the company's machinery operations in Asia. A 35-year veteran of Milacron, he most recently served as general manager of the company's global extrusion business. He has a bachelor's of science degree in mechanical engineering from the University of Notre Dame and a master's degree in business administration from Xavier University. Mr. Moilliet is responsible for all of Milacron's injection molding and blow molding machinery operations in Europe. He most recently held the position of managing director of Ferromatik Milacron, the company's European injection molding machinery business headquartered in Malterdingen, Germany. Prior to joining Milacron, he was chief operating officer for Mikron Technologies in Biel, Switzerland, and president of Illinois Tool Works in Hamburg. He holds a bachelor's degree as well as a post-graduate degree in biology from the University of Berne. Messrs. Bertke and Moilliet replace Robert K. Simpson, former vice president of global plastics machinery, who is leaving Milacron to pursue other interests. Headquartered in Cincinnati, Ohio, Milacron Inc. (NYSE: MZ) -- http://www.milacron.com/ -- is a global manufacturer and supplier of plastics-processing equipment and related supplies. Milacron is also one of the largest global manufacturers of synthetic water-based industrial fluids used in metalworking applications. The company has major manufacturing facilities in Brazil, North America, Europe, and Asia. Milacron's annual revenues approximated US$805 million over the last twelve months. The company has an office in South Korea, and joint ventures in China and India. In Europe, the company maintains operations in Belgium, Germany, Italy, the Netherlands, Spain, and England. * * * As reported in the Troubled Company Reporter on Jan. 2, 2007, Standard & Poor's Ratings Services revised its outlook on Cincinnati, Ohio-based Milacron Inc., to developing from negative. At the same time, Standard & Poor's affirmed its ratings on the company, including its 'CCC+' corporate credit rating. NAVISTAR INT'L: Inks Pact with GM on Medium Duty Truck Business --------------------------------------------------------------- International Truck and Engine Corporation, the principal operating subsidiary of Navistar International Corporation, and General Motors Corp. have entered into a non-binding memorandum of understanding under which Navistar would purchase certain assets, intellectual property and distribution rights for GM's medium-duty truck business. As proposed, Navistar would acquire GM's medium-duty truck business, which includes assets and intellectual property rights to manufacture GMC and Chevrolet brand vehicles in the class 4-8 gross vehicle weight range. It also includes purchase of the related service parts business. Navistar would sell a competitive line of Chevrolet and GMC vehicles and service parts through GM's proprietary dealer network in the United States and Canada. The agreement is another step in GM's plan to focus on designing, manufacturing and selling cars and light trucks globally. The deal would leverage Navistar's strengths in commercial trucks and engines, and advance its strategy to build scale and reduce costs. "Navistar's expertise in building International(R) brand commercial trucks and its track record in the medium-duty segment makes them an excellent choice to acquire and continue growing the business. We intend to work closely with Navistar to make this transition seamless to our dealers and customers," Troy Clarke, president of GM North America, said. "This is another example of how we're strategically growing our business for trucks, engines and parts, building scale and reducing costs," Daniel C. Ustian, chairman, president and CEO, Navistar International Corporation, said. "We are proud to incorporate the GM truck brands into our portfolio, and will utilize the scale to build on the success of both the International and GM product lines and their respective distribution networks." Navistar would add the GMC(R) TopKick and Chevrole(R) Kodiak truck brands to its growing portfolio of brands, which currently includes International(R) brand trucks and tractors, IC(R) brand buses, Workhorse(R) brand chassis for motor homes and step vans, and MaxxForce(R) brand engines. When a deal is definitively concluded, production of the vehicles would move from GM's plant in Flint, Michigan, to a Navistar facility to be named. GM would retain ownership of its Flint plant and continue to build other products at the facility. GM will continue its medium-duty truck relationship with Isuzu to market W-Series trucks through GM's medium-duty dealer network. The deal is expected to close in 2008 subject to completion of satisfactory due diligence, the negotiation of a definitive purchase agreement, customary regulatory clearance and board approval. Upon closing, transition of the business could take several months to conclude. About GM 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. About International Truck and Engine International Truck and Engine Corporation, a wholly owned subsidiary of Navistar International Corporation, produces medium trucks, heavy trucks, severe service vehicles, MaxxForce brand diesel engines, parts and service. International and its affiliates sell their products, parts and services through a network of nearly 1,000 dealer outlets in the United States, Canada, Brazil and Mexico and from more than 60 dealers in 90 countries throughout the world. About Navistar International Based in Warrenville, Illinois, Navistar International Corp. (NYSE:NAV) -- http://www.nav-international.com/-- is the parent company of Navistar Financial Corp. and International Truck and Engine Corp. The company produces International brand commercial trucks, mid-range diesel engines and IC brand school buses, Workhorse brand chassis for motor homes and step vans, and is a private label designer and manufacturer of diesel engines for the pickup truck, van and SUV market. The company also provides truck and diesel engine parts and service sold under the International brand. A wholly owned subsidiary offers financing services. The company has operations in Brazil, Iceland and India. * * * As reported in the Troubled Company Reporter-Latin America on Oct. 29, 2007, Standard & Poor's Ratings Services said that its 'BB-' corporate credit ratings on North American truck and diesel engine producer Navistar International Corp. and subsidiary Navistar Financial Corp. remain on CreditWatch with negative implications, where they were placed on Jan. 17, 2006. STRATUS TECH: To Bring Wireless Performance Services w/ LastMile ---------------------------------------------------------------- Stratus Technologies Group Inc. and LastMile Communications Ltd. have partnered to deliver on-demand high performance services and high definition multi-media content within the Doral, FL wireless broadband network. Doral, a 15 square mile city in Miami-Dade County is home to 35,000 residents, the Dolphin and Miami International Malls, the U.S. Federal Reserve Bank, Doral Golf Resort & Spa, and many Fortune 500 companies. The City's wireless network, which is based on the Stratus MuniWireless 2.0 Business Model, will provide Internet access and services including email, VoIP, High Definition Internet Protocol Television, Out of Home Advertising, Emergency Broadcast, and Video Security services to local businesses, residents, the Doral municipal government, and its new police department. After evaluating a number of integrators and wireless mesh technology vendors, the City of Doral awarded the contract to Stratus Technologies Group, which will spearhead the citywide project that brings together a team of 10 leading technology companies including LastMile Communications. The wireless broadband network will be designed by Stanford Certified Project Manager Dr. Rafael Marrero-Gonzalez, Chief Scientist, Stratus Technologies Group. LastMile's patented edge caching technology which incorporates enhanced device type detection will be deployed throughout the Doral wireless network to improve video delivery performance to wireless devices such as the Apple Inc. iPhone, create city- centric "hyper-local" advertising promoting economic development, become an extension to the emergency broadcast/Amber Alert system using capabilities on high definition digital displays and provide caching for video security applications. "We are extremely pleased with the versatility of the LastMile technology and its ability to generate revenue and offset costs to the city and its residents while at the same time improving performance and services," said Dr. Rafael Marrero-Gonz lez, EVP and Chief Scientist, Stratus Technologies Group. "Their ability to bring extremely targeted localized content to the edge of the network will provide Doral's residents with complete and accurate local business information, video and services not currently available on Internet search engines such as Google Inc. or Yahoo! Inc. "Public safety is of primary importance to the city of Doral, and LastMile's edge caching technology along with outdoor video displays will enable us to provide better coverage and improve our ability to reach residents and businesses with important messages, emergency notifications and weather alerts," said Doral's Chief of Police Ricardo Gomez. "Stratus has brought together the top technology partners to deliver a state of art wireless network for the City of Doral and LastMile is pleased to play a part in their solutions and deployments," said Skip Ballou, President of LastMile USA, a wholly owned subsidiary of LastMile Communications, Ltd. "Stratus and the City of Doral have a grand vision for the future of wireless broadband technology and what it can achieve for a city. There is no doubt in my mind that this can be replicated time and time again throughout cities around the world. We appreciate the opportunity to bring our patented solutions to the table, deliver lasting value in the network and to work with Firetide, International Business Machines Corp. and the other selected partners in the venture." "The municipal wireless broadband network in Doral will drive economic development, improve public safety and provide access to local information and entertainment to our residents," said Doral City Manager Sergio Purrinos. "We are especially excited about the ability to reach our mobile audience with high quality video across the city in the high traffic shopping districts, public venues, and transit systems. LastMile's technology enables all of that." The wireless network in Doral Fla. is planned to be rolled out in early 2008 across the entire 15 square miles. About LastMile Communications LastMile Communications -- http://www.lastmilecoms.com/-- is a British company pioneering a secure, edge of network wireless content delivery solution that helps supply rich media and data to business and residential customers. Its unique node-based enabling technology can work with virtually any network to generate revenues and deliver applications making it a truly multi-purpose component that adds value to any wireless network within fixed geographical locations, such as communities or office parks. By storing content locally on nodes, users can access or download information at speeds significantly faster than that of cellular or other mobile networks. The result creates tremendous savings on backhaul traffic, yet delivers a high performance wireless content delivery system for service providers, municipalities and users across many industries. LastMile has offices located in both Exeter and London in the United Kingdom, as well as Raleigh, North Carolina, United States. About Stratus Technologies Stratus Technologies is a global solutions provider focused exclusively on helping its customers achieve and sustain the availability of information systems that support their critical business processes. Based upon its 25 years of expertise in server and services technology for continuous availability, Stratus is a trusted solutions provider to customers in telecommunications, financial services, banking, manufacturing, life sciences, public safety, transportation & logistics, and other industries. * * * As reported in the Troubled Company Reporter on Mar. 1, 2006, Moody's Investors Service affirmed Stratus Technologies corporate family rating of B2 and assigned B1 rating to its proposed first lien term loan and Caa1 rating to its proposed second lien term loan. Net proceeds from the US$175 million first lien term loan and US$125 million second lien term loan will be used to refinance existing US$145 million senior notes and repurchase US$130 million preferred stock held largely by the company's sponsors. Moody's said the rating outlook is stable. This rating was affirmed: * B2 corporate family rating These ratings were assigned: * US$30 million revolving credit facility due 2011 -- B1 * US$175 million first lien term loan due 2011 -- B1 * US$125 million second lien term loan due 2012 -- Caa1 This rating will be withdrawn: * US$170 million senior unsecured note due 2008 - B3 UAL CORP: Appoints Keith Halbert as Chief Information Officer ------------------------------------------------------------- UAL Corporation has named Keith Halbert as its senior vice president and Chief Information Officer. Mr. Halbert joins United from Electronic Data Systems, where he was vice president and CIO. In his new role, Halbert will oversee all aspects of United's information technology functions, including corporate IT strategy, applications development, technical operations, information security and infrastructure planning. "To strengthen our business we put a strategic plan in place that includes 250 initiatives and a planned US$4 billion capital investment over the next five years," says John Tague, executive vice president, United Airlines. "Having a proven transformational leader like Keith is critical to successfully executing this plan, and ensuring that we have the infrastructure and systems in place to improve our service to customers and provide better support to our employees." While at EDS, Mr. Halbert led the company's digital transformation efforts and implemented a three-year IT transformation plan that has consistently improved the company's performance and reduced its operating expenses. Prior to joining EDS, Mr. Halbert served as managing director of Knowledge Management for The Feld Group, Inc., a privately held technology management consultancy acquired by EDS, where he jointly developed a CIO management system that was deployed in six major companies. While at Feld, Mr. Halbert also held several in-house leadership positions, including a three-year role as senior vice president and chief development officer for Delta Airlines where he developed and implemented applications and infrastructure to support Delta's customer experience, revenue management, airline operations and enterprise shared services business strategies. While at Feld, Mr. Halbert also served for two years as senior vice president and chief development officer for First Data Resources, where he developed and led a multi-year IT transformation effort focused on restructuring legacy systems to improve client service. He also served in a one-year role as senior vice president and chief development officer for Home Depot where he developed and led their IT transformation effort that improved their channel execution, enabled the supply chain, enhanced the customer experience and increased trade partner collaboration. "I am thrilled to be joining United at a time when they are focused on strengthening the performance of the company," said Mr. Halbert. "I see this as a tremendous opportunity to build on the great work United already has underway to transform the IT organization to support the company's vision to be the global airline of choice for premium customers, employees and investors." Mr. Halbert will assume his role on Jan. 11, 2008, and will report to Mr. Tague. About UAL Corp. Based in Chicago, Illinois, UAL Corporation (NASDAQ: UAUA) -- http://www.united.com/-- is the holding company for United Airlines, Inc. United Airlines is the world's second largest air carrier. The airline flies to Brazil, Korea and Germany. The company filed for chapter 11 protection on Dec. 9, 2002 (Bankr. N.D. Ill. Case No. 02-48191). James H.M. Sprayregen, Esq., Marc Kieselstein, Esq., David R. Seligman, Esq., and Steven R. Kotarba, Esq., at Kirkland & Ellis, represented the Debtors in their restructuring efforts. Fruman Jacobson, Esq., at Sonnenschein Nath & Rosenthal LLP represented the Official Committee of Unsecured Creditors before the Committee was dissolved when the Debtors emerged from bankruptcy. Judge Wedoff confirmed the Debtors' Second Amended Plan on Jan. 20, 2006. The company emerged from bankruptcy protection on Feb. 1, 2006. * * * As reported in the Troubled Company Reporter on Nov. 29, 2007, Moody's Investors Service affirmed the ratings of UAL Corp. debt -- corporate family rating at B2 -- following the company's announced plans to amend its US$2.055 billion bank credit facilities (comprising a term loan facility of US$1.8 billion and a revolving credit facility of US$255 million) to provide the flexibility to implement up to US$500 million of shareholder initiatives. This level of shareholder initiatives would likely be within United's anticipated free cash flow and should still preserve the company's adequate level of liquidity. Moody's said the outlook remains stable. Standard & Poor's Ratings Services meanwhile affirmed its 'B' corporate credit rating on UAL Corp. and subsidiary United Air Lines Inc. following disclosure of a proposed amendment to United's bank credit agreement that would permit UAL to pursue "shareholder initiatives" (which could include a special dividend or share repurchases) of up to US$500 million. S&P said the outlook remains stable. * BRAZIL: S&P Puts Low B Sovereign Foreign Currency Ratings ----------------------------------------------------------- Standard & Poor's Ratings Services has assigned BB+ long-term sovereign foreign currency rating and B short-term sovereign foreign currency rating on Brazil. Standard & Poor's also placed a BBB long-term sovereign foreign currency rating and an A-3 short-term sovereign local currency rating on Brazil. The ratings company also placed a 3 sovereign foreign currency recovery ratings and a BBB transfer and convertibility assessment rating on the country. The outlook for all the ratings is positive. Standard & Poor's Ratings currently rates 117 sovereign governments and has established transfer and convertibility assessments for each country with a rated sovereign. A transfer and convertibility assessment is the rating associated with the probability of the sovereign restricting non-sovereign access to foreign exchange needed for debt service. For most countries, Standard & Poor's analysis concludes that this risk is less than the risk of sovereign default on foreign currency obligations; thus, most transfer and convertibility assessments exceed the sovereign foreign currency rating. A non-sovereign entity can be rated as high as the transfer and convertibility assessment if its stress-tested operating and financial characteristics support the higher rating. Standard & Poor's sovereign foreign currency recovery ratings reflect its opinion on the extent to which a sovereign government will be able and willing to repay nonofficial foreign currency debt holders post-default. =========================== C A Y M A N I S L A N D S =========================== AURORA RELATIVE: Proofs of Claim Filing Ends Today -------------------------------------------------- Aurora Relative Value Offshore Fund Limited's creditors are given until Dec. 26, 2007, to prove their claims to Avalon Management 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. Aurora Relative's shareholder decided on Nov. 16, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Avalon Management Limited c/o P.O. Box 715, Grand Cayman KY1-1107 Cayman Islands Telephone: (+1) 345 946-4422 Fax: (+1) 345 769-9351 BASIS YIELD: Hearing on Summary Judgment Motion Set for Jan. 15 --------------------------------------------------------------- Representing the Joint Provisional Liquidators, Karen B. Dine, Esq., at Pillsbury Winthrop Shaw Pittman LLP, in New York, notified the U.S. Bankruptcy Court for the Southern District of New York that, as of Dec. 7, 2007, no answer, objection or other responsive pleading has been received with respect to the Foreign Representatives' request for summary judgment for recognition of Basis Yield Alpha Fund (Master)'s Chapter 15 case as a foreign main proceeding. Ms. Dine states that the JPL's counsel has reviewed the Bankruptcy Court's docket and no answer, objection or other pleading to the Motion appeared so far. Pursuant to the Motion, objections, if any, were to be filed and served no later than Dec. 6. On Nov. 29, the Bankruptcy Court signed a stipulation scheduling a hearing on the Summary Judgment Motion, to be held on Jan. 15, 2008, at 9:45 a.m. Objections to the request are due by Jan. 8. About Basis Yield Basis Yield Alpha Fund (Master) is a Cayman Islands mutual fund. It operates as a master-feeder structure that allows investors' funds to be channeled through two companies operating in a single jurisdiction to a "master" company operating in the same jurisdiction. These two feeder funds are Basis Yield Alpha Fund (US), a US feeder fund for US taxable investors, and Basis Yield Alpha Fund, a non-US feeder for all other investors. On Aug. 29, 2007, Hugh Dickson, Stephen John Akers, and Paul Andrew Billingham filed a chapter 15 petition for Basis Yield (Bankr. S.D.N.Y. Case No. 07-12762). Karen Dine, Esq. at Pillsbury Winthrop Shaw Pittman LLP represents the petitioners. (Basis Yield Bankruptcy News, Issue No. 9; Bankruptcy Creditors' Service Inc. http://bankrupt.com/newsstand/or 215/945-7000). CANDIANO INC: Final Shareholders Meeting Is Today ------------------------------------------------- Candiano, Inc., will hold its final shareholders meeting on Dec. 26, 2007, at: Citco Trustees (Cayman) Limited Regatta Office Park, West Bay Road Windward One, Grand Cayman Cayman Islands These agenda will be taken during the meeting: 1) accounting of the winding-up process; and 2) giving explanation thereof. Candiano's shareholders agreed on Nov. 14, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: CDL Company Ltd. P.O. Box 31106 SMB, Grand Cayman Cayman Islands FFTW GLOBAL: Proofs of Claim Filing Deadline Is Dec. 26 ------------------------------------------------------- FFTW Global Credit Fund SPC's creditors are given until Dec. 26, 2007, to prove their claims to William Vastardis, 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. FFTW Global's shareholder decided on Nov. 15, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: William Vastardis Vastardis Capital Services, 41 Madison Avenue 30th Floor, New York U.S.A. FFTW GLOBAL: Will Hold Final Shareholders Meeting Today ------------------------------------------------------- FFTW Global Credit Fund SPC will hold its final shareholders meeting on Dec. 26, 2007, at 10:00 a.m. at: Vastardis Capital Services 41 Madison Avenue, 30th Floor New York, U.S.A. These agenda will be taken during the meeting: 1) accounting of the winding-up process; and 2) authorizing the liquidator to retain the records of the company for a period of three years from the dissolution of the company, after which they may be destroyed. FFTW Global's shareholders agreed on Nov. 15, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: William Vastardis Vastardis Capital Services 41 Madison Avenue 30th Floor, New York U.S.A. KAIROS LONG: Proofs of Claim Filing Deadline Is Dec. 26 ------------------------------------------------------- Kairos Long Only Fund Ltd.'s creditors are given until Dec. 26, 2007, to prove their claims to Avalon Management 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. Kairos Long's shareholder decided on Oct. 8, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Avalon Management Limited Third Floor, Zephyr House Mary Street, P.O. Box 715 Grand Cayman KY1-1107, Cayman Islands Telephone: (+1) 345 946-4422 Fax: (+1) 345 769-9351 KNE CAYMAN: Proofs of Claim Filing Deadline Is Today ---------------------------------------------------- KNE Cayman Ltd.'s creditors are given until Dec. 26, 2007, to prove their claims to Daniel Rewalt and Giles Le Sueur, 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. KNE Cayman's shareholders agreed on Nov. 16, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidators can be reached at: Daniel Rewalt Giles Le Sueur Maples Finance Jersey Limited Le Masurier House, La Rue Le Masurier St. Helier Jersey JE2 4YE, Channel Islands MET HOLDINGS: Proofs of Claim Filing Ends Today ----------------------------------------------- Met Holdings, Inc.'s creditors are given until Dec. 26, 2007, to prove their claims to Daniel Rewalt and Giles Le Sueur, 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. Met Holdings' shareholders agreed on Nov. 16, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidators can be reached at: Daniel Rewalt Giles Le Sueur Maples Finance Jersey Limited Le Masurier House, La Rue Le Masurier St. Helier Jersey JE2 4YE, Channel Islands MPJ FUNDING: Proofs of Claim Filing Is Until Today -------------------------------------------------- MPJ Funding Corporation's creditors are given until Dec. 26, 2007, to prove their claims to Daniel Rewalt and Giles Le Sueur, 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. MPJ Funding's shareholders agreed on Nov. 16, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidators can be reached at: Daniel Rewalt Giles Le Sueur Maples Finance Jersey Limited Le Masurier House, La Rue Le Masurier St. Helier Jersey JE2 4YE, Channel Islands NEW STAR: Proofs of Claim Filing Ends on Dec. 26 ------------------------------------------------ New Star European Leaders Hedge Fund Limited's creditors are given until Dec. 26, 2007, to prove their claims to S.L.C. Whicker and K.D. Blake, 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. New Star's shareholder decided on Nov. 6, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: S.L.C. Whicker K.D. Blake Attention: Dorra Mohammed KPMG P.O. Box 493, George Town Grand Cayman KY1-1106, Cayman Islands Telephone: 345-914-4475 Fax: 345-949-7164 PATHFINDER EUROCLASS: Proofs of Claim Filing Is Until Dec. 26 ------------------------------------------------------------- Pathfinder Euroclass Fund, Ltd.'s creditors are given until Dec. 26, 2007, to prove their claims to Mourant Cayman Nominees, 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. Pathfinder Euroclass' shareholder decided on July 16, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Mourant Cayman Nominees, Ltd. Attention: Mourant du Feu & Jeune Third Floor, Harbor Center 42 North Church Street, P.O. Box 1348 Grand Cayman KY1-1108, Cayman Islands Telephone: (+1) 345 949 4123 Fax: (+1) 345 949 4647 PRISM INVESTMENTS: Proofs of Claim Filing Ends on Dec. 26 --------------------------------------------------------- Prism Investments Ltd.'s creditors are given until today to prove their claims to Avalon Management 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. Avalon Management's shareholder decided on Nov. 14, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Avalon Management Limited Attention: Mourant du Feu & Jeune 3rd Floor, Zephyr House 122 Mary Street, P.O. Box 715 Grand Cayman KY1-1107, Cayman Islands Telephone: (+1) 345 949 4123 Fax: (+1) 345 949 4647 REXITER ASIA: Proofs of Claim Filing Deadline Is Dec. 26 -------------------------------------------------------- Rexiter Asia Ex Japan Long/Short Fund, Ltd.'s creditors are given until Dec. 26, 2007, to prove their claims to Avalon Management 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. Rexiter Asia's shareholder decided on Nov. 12, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Avalon Management Limited Third Floor, Zephyr House Mary Street, P.O. Box 715 Grand Cayman KY1-1107, Cayman Islands Telephone: (+1) 345 946-4422 Fax: (+1) 345 769-9351 SSGA CM: Proofs of Claim Filing Ends on Dec. 26 ----------------------------------------------- SSGA CM Limited Duration Alpha Fund, Ltd.'s creditors are given until Dec. 26, 2007, to prove their claims to Avalon Management 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. SSGA CM's shareholder decided on Nov. 12, 2007, to place the company into voluntary liquidation under The Companies Law (2004 Revision) of the Cayman Islands. The liquidator can be reached at: Avalon Management Limited Third Floor, Zephyr House Mary Street, P.O. Box 715 Grand Cayman KY1-1107, Cayman Islands Telephone: (+1) 345 946-4422 Fax: (+1) 345 769-9351 SSGA LOW: Proofs of Claim Filing Deadline Is Dec. 26 ---------------------------------------------------- SSGA Low Volatility US Equity Market Neutral Fund, Ltd.'s creditors are given until Dec. 26, 2007, to prove their claims to Avalon Management 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. SSGA Low's shareholder decided on Nov. 12, 2007, to place the company into voluntary liq