Alana Gandra
Reporter - Agência Brasil

Rio - The Varig Group Workers (Trabalhadores do Grupo Varig) (TGV), represented by the investement group, NV Participações, which made the only bid at the June 8 Varig auction now admits it may be unable to make a mandatory deposit this Friday. The bidders have to deposit US$75 million in order to close the deal (they offered slightly over R$1 billion (around US$500 million) for Varig Operations).

"We are not 100% certain that we will have the money on Friday," declared Marcio Marsillac, a coordinator at TGV. According to Marsillac, the NV Participações bid was made in the name of a consortium of investors whose identities are secret. "They will reveal themselves when the time is right," said Marsillac.

Meanwhile, Ricardo Largman, the TGV spokesperson, says negotiations continue with the investors in order to close the deal. He says the talks are complicated because they involve international creditors and investors and a difficult financial restructuring plan.

Translation: Allen Bennett