Brazil-Meat giant files for chapter eleven.

BRAZIL-MEAT GIANT FILES FOR CHAPTER ELEVEN.

Brazilian meatpacker Arantes Alimentos Ltda has initiated a renegotiation of debts with its creditors, company controler Aderbal Arantes Junior said in an interview Thursday with local newspaper O Estado de S. Paulo.

In January, the company filed for protection from creditors under the local equivalent of the U.S. Chapter 11 bankruptcy law.

At that time, the company listed total debt of 1.3 billion Brazilian reals ($590 million), including BRL1.1 billion with a group of 24 banks, said the newspaper.

"Our intention is to solve the problem (of debts)," said Arantes. "If we need to sell a portion of company assets we will sell them; if we need to sell everything, we will do that."

Arantes is one of the 10 largest Brazilian beef exporters. The company has an aggregate daily slaughtering capacity of about 5,500 head of cattle at the seven slaughterhouses it operates in the Brazilian states of Mato Grosso, Goias and Maranhao.