On September 17, Standard&Poor's lowered its ratings on Chilean electricity provider Empresa Eléctrica del Norte Grande S.A (Edelnor) to 'D' from 'CC' following the company filing for Chapter 11 reorganization. The proposed plan of reorganization will only impair U$S340 million of unsecured bank loans, including a 10-year 7.75% US$250 million loan granted by UBS with final maturity in March 2006 and a seven-year 10.5% US$90 million loan maturing in June 2005. On September 16, Edelnor obtained consent from 98.7% of its lenders to proceed with filing the reorganization plan under Chapter 11 of the U.S. Bankruptcy Code. The plan allows lenders to elect to receive either 15-year senior-secured Novation Certificates for 92.14% of the amount originally lent, a
