Light Servicos de Electricidade S.A.

MIGA reinsured a guarantee issued by the Overseas Private Investment Corporation of the United States to AES Corporation and Houston Industries Energy, Inc., both of the United States. The two companies each received a $7.5 million guarantee for their equity investments in the privatization of Light-Servicos de Electricidade, S.A. (Light) in Brazil. MIGA's guarantee covers the risks of transfer restriction and expropriation.

Light, the third-largest distributor of electric power in Brazil, supplies electricity to Rio de Janeiro. The project will improve the availability of electric power and the reliability of service. In addition, the successful privatization of Light is expected to encourage foreign and local investors to participate in the privatization of other sectors.

Employees will be trained in Brazil and the United States. Field technicians will be trained in operations and maintenance, and senior managers will receive advanced management training. Brazilian businesses will benefit from the local sourcing of most of the goods and services for the power project.