[grazi]

You would have to cut out the old lathe where it is bulged with a grinder with diamond wheel. Then buy a sheet of metal lathe, comes in 2'x8'. Usually costs $6.00 per sheet at home cheapo or blowes. Get some 1" or 1 1/2" masonry nails with washers and nail the lathe to the block wall. The cup of the diamond lathe should face up to create a little bowl for the cement to sit in. Next, get a bag of mortar mix and just trowel on a coat to fill up the diamonds. This won't look too fancy, just to fill the lathe. Wait a day or so and trowel on the finish coat with a square trowel. Depending on the finish your trying to match is how long you wait to finish and what you use. Alot of times you will use a damp sponge about an hour later. If you post a pic, I can get into more detail about finishing it. That's the only tricky part.