Brazil's Dilma Rousseff Names Seven New Cabinet Members

By Rogerio Jelmayer

SÃO PAULO--Brazilian President Dilma Rousseff named seven new members to her cabinet as part of a continuing shake-up of the administration, which begins a second term Jan. 1.

Among the ministers named by Ms. Rousseff is Ricardo Berzoini, set to be the new communication minister, succeeding Paulo Bernardo. Ms. Berzoini is currently a member of Ms. Rousseff's cabinet as minister of institutional relations, a post set to be assumed by Pepe Vargas.

Mr. Berzoini will assume his new job amid expectations for a major consolidation in Brazil's telecommunications industry.

The sector is going through its largest upheaval since privatization of the government-run telephone system in 1998. The main operators, including Oi SA, Spain's Telefonica SA, Telecom Italia's TIM Participacoes unit and Mexico's America Movil SAB, are studying options to buy, sell or merge assets.

Oi said in August that it is considering acquisition possibilities in Brazil, including the potential purchase of TIM Participacoes, and that it hired Brazilian investment bank BTG Pactual to explore opportunities. Oi has a large share of Brazil's fixed-line market, but has fallen behind its rivals in the mobile race and has been trying to make up ground while cutting its heavy debt load.

The incoming ministers will assume their posts on Jan. 1, which will mark the inauguration of Ms. Rousseff's second four-year term.

So far, Ms. Rousseff has named 24 new ministers out of 39 cabinet posts.

Ms. Rousseff has also named, among others, Carlos Gabas as social pension minister and Antonio Carlos Rodrigues, as transports minister, succeeding Garibaldi Alves and Paulo Sergio Passos, respectively.

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