UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 or 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of _August, 2003
GRUPO IUSACELL, S.A. de C.V.
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(Translation of registrant's name into English)
Prol. Paseo de la Reforma
1236
Col. Santa Fe, Deleg. Cuajimalpa
05438, Mexico D.F.
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(Address of principal executive office)
Indicate by check mark whether the registrant files or will fill annual reports
under cover of Form 20-F or Form 40-F: Form 20-F __X__ Form 40-F ____
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g-3-2(b) under the Securities and Exchange Act of
1934. Yes __X__ No____
Documents Furnished By the Registrant
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1. Press Release of the Registrant dated August 14, 2003
Iusacell Announcement
MEXICO CITY--(BUSINESS WIRE)--Aug. 14, 2003--Grupo Iusacell, S.A.
de C.V. (BMV:CEL)(NYSE:CEL) ("Iusacell" or the "Company") announced
today that its subsidiary, Grupo Iusacell Celular, S.A. de C.V.
("Iusacell Celular") formally requested an additional extension of its
temporary Amendment and Waiver (the "Amendment") of certain provisions
and defaults under its US$266 million Amended and Restated Credit
Agreement, dated as of March 29, 2001 (the "Credit Agreement"). The
lenders under the Credit Agreement acknowledge receiving the Iusacell
Celular request and are currently considering and evaluating the
Company's request.
During the first half of 2003, Iusacell Celular exceeded the
permitted leverage ratio under the Credit Agreement of 2.50. On April
28, 2003 Iusacell Celular and the lenders entered into a temporary
amendment and waiver to the Credit Agreement to increase the permitted
leverage ratio from 2.50 to 2.70. After receiving various extensions,
on July 27, 2003, the amendment was further extended until August 14,
2003.
Upon expiration of the amendment and if the additional extension
is not granted, an Event of Default (as defined in the Credit
Agreement) will occur as if the Amendment had never been executed.
Accordingly, the lenders under the Credit Agreement have the right to
declare the indebtedness under their loan immediately due and payable.
Additionally, Iusacell previously publicly announced that, pending
agreement with its lenders on a restructuring plan, Iusacell Celular
did not made the US$7.5 million interest payment due on July 15, on
Iusacell Celular's 10% bonds due 2004. The 30-day cure period to make
the interest payment, before an event of default is declared has
expired. As a result, an event of default has occurred under the
Indenture governing the bonds, and the bondholders have the right to
accelerate the principal of the bonds or take other legal actions, as
specified in the Indenture, as they deem appropriate.
About Iusacell
Grupo Iusacell, S.A. de C.V. (Iusacell) (NYSE:CEL)(BMV:CEL) is a
wireless cellular and PCS service provider in seven of Mexico's nine
regions, including Mexico City, Guadalajara, Monterrey, Tijuana,
Acapulco, Puebla, Leon and Merida. The Company's service regions
encompass a total of approximately 92 million POPs, representing
approximately 90% of the country's total population.
This press release contains statements about expected future
events and financial results that are forward-looking and subject to
risks and uncertainties. For those statements, the Company claims the
protection of the safe harbor for forward-looking statements contained
in the Private Securities Litigation Reform Act of 1995. Discussion of
factors that may affect future results is contained in our filings
with the Securities and Exchange Commission.
CONTACT: Grupo Iusacell, S.A. de C.V., Mexico City
Jose Luis Riera K., 011-525-5109-5927
or
Carlos J. Moctezuma, 011-5255-5109-5759
carlos.moctezuma@iusacell.com.mx
SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
GRUPO IUSACELL, S.A. DE C.V.
Date: August 14, 2003 /s/ Jose Ignacio Morales Elcoro
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Name: Jose Ignacio Morales Elcoro
Title: Attorney in fact
/s/ Jorge Narvaez Massini
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Name: Jorge Narvaez Massini
Title: Attorney in fact