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            T R O U B L E D   C O M P A N Y   R E P O R T E R

                             E U R O P E

                 Monday, September 09, 2002, Vol. 3, No. 178


                              Headlines

* F R A N C E *

ALACTEL: Unveils In-car Digital Radio Technology
ALCATEL: New Contract Expands Global Master Purchase Agreement
FRANCE TELECOM: Shares Down on Rumor of Rights Issue
FRANCE TELECOM: Equant Announces First-Half 2002 Results
VIVENDI: Cohen, Milstein, Hausfeld & Toll Files Lawsuit
VIVENDI: To Sell Entire U.S. Publishing Business in Auction
VIVENDI: Names Robert de Metz Executive Vice President
VIVENDI: Securities Buyers Files Law Suit Vs. Vivendi

* G E R M A N Y *

DEUTSCHE TELEKOM: Mulling Sale of T-Mobile and T-Online Units
GRUNDIG: Secures Partnership Agreement With Asian Firm
MOBILCOM AG: To Hold Extraordinary General Meeting in October

* L U X E M B O U R G *

LLOYDS TSB: Lloyds TSB-US Small Cap Equity Fund in Liquidation

* N E T H E R L A N D S *

LAURUS NV: To Divest Spanish Operations to CVC Capital

* S W E D E N *

LM ERICSSON: Rights Offering Significantly Over-subscribed
SONG NETWORKS: Telenor Still Interested in Takeover

* U N I T E D   K I N G D O M *

BALDWINS INDUSTRIAL: Continuing Use of Lenders' Cash Collateral
BRITISH ENERGY: Calls for Help From Government
CORDIANT COMMUNICATIONS: To Announce Replacement of Top Executive
CORDIANT COMMUNICATIONS: Announces Interim Results
EIDOS: Confident of Good Christmas Sales
EIDOS: Announces Financial Results Ending June 30, 2002
GLOBAL CROSSING: Court Fixes September 30, 2002 Claims Bar Date
MARCONI: Analysts Worry Survival Amidst Bigger Competitors
MARCONI: Restructuring to Secure Easynet Share Until End of 2002
NTL INC: New York Court Confirms 2nd Amended Reorganization Plan
PSION: Gives Enhanced Communications for netBook Mobile Device
WORLDCOM INC: Intends to Assume Verizon Billing Agreements


===========
F R A N C E
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ALACTEL: Unveils In-car Digital Radio Technology
------------------------------------------------
Alcatel Space (http://www.alcatel.com),a pioneer in the
development of satellite radio systems, WorldSpace, the first
worldwide operator of satellite digital radio broadcast networks,
and towerCast, a terrestrial operator in France, in partnership
with the Fraunhofer Institute for Integrated Circuits IIS-A
(Fraunhofer) and Siemens VDO Automotive, supplier for automotive
electronic equipment, leader in automobile electronic, and in
association  with  several  public  and  private  French  radio
groups, including Radio France (France Info, Radio France
International), Europe 1, RTL,  and  NRJ,  will  implement  an
experimental  demonstration of in-car reception of digital radio
programs and associated telematics data services in Paris from
September 5 through October 31, 2002.

A hybrid digital broadcasting network operating in L band will be
demonstrated, combining the Westbeam of  WorldSpace's  geo-
stationary satellite  AfriStar, and towerCast's  terrestrial
repeater network in the Paris  region,  using a T-DAB terrestrial
digital audio broadcasting) bloc allocated  by  the CSA (Conseil
Sup‚rieur de l'Audiovisuel) - the French regulatory authority.
The combined AfriStar satellite signal and terrestrial repeater
signal will be received in a Citro‰n C8 vehicle, specially
equipped with a satellite receiver implemented by Fraunhofer and
Siemens   VDO   Automotive.  The demonstration will utilize
technology developed by Fraunhofer for WorldSpace, in particular
for satellite time diversity and terrestrial retransmission using
a modulation optimized for mobile reception.

At present, where the future of digital radio is topical in terms
of content, services, distribution and technological options,
Alcatel Space, WorldSpace, towerCast and their partners are
validating the operational aspects and demonstrating the
potential of a hybrid satellite and terrestrial transmission
system for digital radio programs and associated telematics data.

This demonstration is coming within the framework of the
recommendations of the  'Rapport Coutard' - a September 2001
French Ministry of Culture report on digital radio broadcasting.
The report addresses the current 'impasse' and technological
constraints of existing solutions, and suggests, in particular,
the use of more efficient audio compression standards and the
complementary use of satellite and terrestrial digital radio
broadcast systems.

This experimental demonstration will show:
-  the effectiveness of the hybrid architecture, offering
seamless handover between  the  satellite  and  the  terrestrial
repeater  signals,  thereby permitting reception both in urban
zones and in rural and suburban areas,
-  the  quality  and  reliability  of  a digital radio signal
broadcast for in-car reception, and
-  the  efficiency  of  new  audio  source  and transmission
techniques for optimized  use  of spectrum resources, and the
broadcast of telematics data to complement digital radio
programs.

This demonstration is also linked to the development by
WorldSpace Europe and Alcatel Space, in partnership with European
media and industrial groups,  of a platform to offer Pan-European
digital radio services using a similar hybrid system.  This
initiative, scheduled for commercial launch in 2006, is
underpinned by two recent (2002) European-wide market studies
that confirmed a strong interest - both from consumers and car
manufacturers and their suppliers - in such a service offering.

This demonstration permits a glimpse of the radio of the future,
and notably the breadth of services that will be offered to
consumers: reception of a large range of radio stations with
digital quality, at home, at the office or in the car, without
the need to change the dial while traveling; new musical and
thematic channels; up to the minute news programs in multiple
languages broadcast throughout Europe; ability to select radio
programs 'on demand'; additional benefits of receiving telematics
data services while driving in Europe.

Alcatel Space ranks among the world's leading space systems prime
contractors. Leveraging its dual expertise in civil and military
applications, Alcatel Space develops satellite technology
solutions for telecommunications, navigation, optical and radar
observation, meteorology, and scientific applications. The
company is also Europe's number one prime contractor for Earth
observation, meteorology and navigation ground segments, as well
as space systems operations. A fully-owned subsidiary of Alcatel
(100%), Alcatel Space generated 2001 revenues of 1.4 billion
Euros and has 6,000 employees.


ALCATEL: New Contract Expands Global Master Purchase Agreement
--------------------------------------------------------------
Alcatel announced that T-Systems - a division of the Deutsche
Telekom Group - has extended the scope of its Global Master
Purchase Agreement (GMPA) with Alcatel with a two-year pilot
service contract. Under this new contract, Alcatel will provide a
full range of services enabling T-Systems to quickly set up,
expand and maintain telecommunication systems for Telekom Global
Net (TGN), the global telecommunications network it operates for
Deutsche Telekom.

The new service contract expands the existing GMPA between both
companies, covering the supply by Alcatel of broadband switching
and transmission products (ATM and SDH/WDM).  In addition to the
setting up and expansion of telecom systems, the range of
services provided by Alcatel includes first and second level on-
site maintenance support. Alcatel will also service network
elements from third-party suppliers.

"Through this service agreement, T-Systems and its international
subsidiaries will benefit from Alcatel's worldwide presence and
standardized service processes, to achieve time-to-market
objectives and to strengthen its position as one of the world's
leading network operators," said Frederic Rose, Chief Operating
Officer of Alcatel's network servicesactivities.


FRANCE TELECOM: Shares Down on Rumor of Rights Issue
----------------------------------------------------
The promise of government assistance failed to protect France
Telecom's shares from the negative effect of a rights issue rumor
last week. The company's shares fell 11 percent last Thursday and
have suffered a 75 percent decline since the start of the year.

The company could obtain funding from a shareholder loan from the
government, a state-guaranteed bond issue, or the sale of shares
in France Telecom's mobile subsidiary Orange.

Government intervention, however, has gathered criticism from
those who question the government's role in funding private
sector companies.

Investors are wary the company will need the rights issue to be
able to refinance EUR15 billion in debt that matures next year.
The government, its majority shareholder, fears the company's
woes might prevent it from completing its privatization program,
says the Financial Times.


FRANCE TELECOM: Equant Announces First-Half 2002 Results
---------------------------------------------------------
Strong control of costs and working capital drive improved cash
position

Highlights of the First Half:
- Network Services Revenues Increased to USD783 Million
- Total Costs, Excluding Depreciation, Declined by USD169 Million
Compared with Pro Forma 2001 First Half
- EBITDA of USD76 Million Compared with Pro Forma EBITDA Loss of
USD10 Million in First Half 2001
- Net Cash and Cash Equivalents Totaled USD426 Million at June
30, 2002

Equant (New York Stock Exchange: ENT; Euronext Paris: EQU) today
announced financial results for the first half of the 2002
financial year.  Revenues for the first six months of 2002 were
USD1,474 million and EBITDA was USD76 million.  The net loss,
inclusive of non-recurring charges of USD66 million, was USD253
million or USD0.86 per share for the half year.

Commenting on Equant's results, Didier Delepine, president and
chief executive officer of Equant said: "These results confirm
our ability to manage the business towards profitability as we
aggressively control our costs and improve our cash position.

"The synergies arising from the merger of the two companies are
showing through in significantly reduced direct costs and SG&A
expenses with further reductions to come in the second half of
the year. Our ability to continue cutting our costs is a key
component of our drive to profitability against the backdrop of a
difficult economic environment.

"We are making no changes to our guidance for the current
financial year"

The Company presents its results under French Generally Accepted
Accounting Principles (French GAAP). The actual results for the
first half of 2002 are for the merged company. The actual results
for the first half of 2001 exclude the results of Global One and
discontinued operations.

The pro forma results for the first half of 2001 have been
prepared as if the Global One acquisition had occurred on January
1, 2001.  These pro forma results exclude discontinued
operations, assume that the new SITA contractual arrangements
were in place from January 1, 2001 and have been prepared on a
basis comparable with that of the first half of 2002. Some Global
One entities had been allocating costs differently from the
Company. Consequently, the Company has also made reallocations in
the pro forma results among costs of services and products sold,
selling expenses and G&A expenses.

The reallocations did not affect EBITDA, EBITDA margin or
adjusted operating loss, but did reduce pro forma gross profit by
USD28 million and gross margin by 1.8 percentage points.

A reconciliation of the actual 2001 first half year results of
Equant to the pro forma results is included in Annex B. The
discussion that follows compares the results for the first six
months of 2002 with the pro forma results for the first six
months of 2001 unless otherwise noted.

Revenues

Revenues for the first half of 2002 were USD1,474 million, a 5.4
percent decrease compared with the first half of 2001.

Network Services' revenues increased by 2.9 percent to USD783
million in the first half of 2002. Revenues from the multi
national customer base serviced by the direct sales force
increased 8.6 percent and showed growth in all regions.  The
increase from direct sales more than offset a 9.5 percent
decrease from the indirect sales channels where the revenue
Equant derived from two of its key indirect channels, Deutsche
Telekom and Sprint, declined year over year.

Orders received in the first half totaled USD996 million.  Orders
with a value greater than one million dollars accounted for more
than USD750 million of the Company's half-year order intake for
the direct sales force.  During the half year, the Company signed
47 contracts with major international corporations each valued at
more than one million dollars.

Integration Services' revenues declined by 20.8 percent to USD209
million this half reflecting the economic slowdown and customers'
cutbacks in capital expenditures.  As a result of these cutbacks,
revenues for fulfillment services were 30 percent below last
year's levels, which in turn, resulted in lower installation and
maintenance revenues.

Revenues from SITA were USD362 million in the first half
reflecting the new contractual arrangements with SITA.  The
revenues for the first half of 2001 totaled USD384 million.

Other Services revenues in the first half were USD120 million, a
decrease of 19.1 percent from the 2001 half year.  The decrease
reflects a change in the product management agreements with
France Telecom Transpac reached in the second half of 2001,
together with the expected fall in revenues from circuit switched
voice services.

Gross Profit and Gross Margin

The Company's gross profit was USD425 million in the first half
of 2002, an increase of USD31 million, or 7.8 percent, from the
USD394 million in the same period of 2001, despite the USD83
million decline in revenue.  The gross margin was 28.8 percent
this half compared with 25.3 percent in the 2001 half year.

The 9.8 percent decline in the cost of services and products sold
arises mainly from an improvement in the network cost structure.
The actions taken by the Company to integrate its two networks
have already yielded significant synergies including USD90
million for circuit costs in the first half of 2002.


Operating Expenses

Selling expenses of USD150 million for the first half were down
15.9 percent from the comparable period last year, reflecting the
rationalization of the Company's sales and marketing operations.
The Company has integrated the two sales forces, made significant
headcount reductions and closed 10 under-performing sales
offices.  Selling expenses as a percent of revenue declined to
10.2 percent this half compared with 11.5 percent in the first
half of 2001.

General and administrative (G&A) expenses in the half-year were
USD199 million, an 11.7 percent decrease from the 2001 first
half.  The reduced G&A expenses result from the Company's
continuing restructuring and integration program, which has
reduced headcount and cut associated expenses for premises,
equipment and information technology.  G&A costs as a percent of
revenue decreased to 13.5 percent in the first half of 2002 from
14.5 percent in 2001.

Total costs and expenses, excluding depreciation, fell by USD169
million or 10.8 percent to USD1,398 million. The Company is on
track to deliver its targeted synergies for 2002 of USD300
million.


EBITDA and Margin

Earnings before interest, taxes, depreciation and amortization,
share plan costs and non-recurring charges (EBITDA) were USD76
million in the 2002 first half compared to an EBITDA loss of
USD10 million in the comparable period in 2001.  As a result of
the improved gross profit and the reduction in expenses, the
EBITDA margin for the half-year was 5.1 percent compared with a
negative 0.6 percent in the comparative period.


Other Operating Income and Expenses

Depreciation and Amortization (excluding goodwill)

Depreciation and amortization expense decreased 10.1 percent to
USD230 million for the half compared with USD255 million in the
first half of 2001.  The first half 2001 charge included
accelerated depreciation of USD68 million for assets acquired
with Global One.  The underlying increased depreciation charge
reflects the high levels of capital expenditure in the first half
of 2001 and the movement of assets into service from work in
progress after July 1, 2001.

Share Plan Costs

Under French GAAP there is no charge upon the issuance of options
and share awards but the Company continues to accrue for social
charges related to these grants.  In 2001 and 2002, the financial
statements reflect a reversal of excess accrued social charges
that had been built up in prior years because of a higher stock
price at that time. The charge for the six months would have been
approximately USD3 million under FAS 123 of US GAAP.

Non-recurring Charges - Restructuring and Integration Costs

The costs incurred to integrate and restructure Global One and
Equant, before reimbursement of USD42 million from France
Telecom, were USD90 million in the first half. The major
components of the charge, before recoveries from France Telecom,
include USD42 million for integration of the transmission
networks and other network elements, and USD19 million for
personnel related costs.

Other Non-recurring Charges

In the first half of 2002 the Company took a charge of USD18
million for the write off of certain assets, of which USD17
million related to capacity purchases from bankrupt providers.

The charge of USD18 million in 2001 for non-recurring items
primarily reflects the costs of other potential corporate
transactions prior to the transactions with Global One and France
Telecom.


Adjusted Operating Loss

The adjusted operating loss of USD154 million in the first half
of 2002 reflects a substantial improvement from the loss of
USD266 million in the comparable period of 2001 driven by the
growth in gross profit and reductions in SG&A.


Non-Operating Expenses

Financial Income

Interest income for the first half of 2002 was USD2 million
compared with USD11 million interest expense in the 2001 pro
forma period.  The cash injection from the transaction with
France Telecom allowed the Company to repay debt, which had built
up through June 2001.

In the first half of 2002, the Company recognized a foreign
exchange gain of USD4 million compared with a loss of USD20
million in the 2001 period. Following the acquisition of Global
One, foreign exchange hedging was applied to Global One entities.

Employee Profit Share

As required by the French legal code, Equant's French operations
make contributions to France Telecom's employee profit sharing
plan.

Equity in Loss of Affiliate

This charge represents the Company's share of the post-tax losses
of Radianz, its 49 percent-owned affiliate.  The loss is broadly
in line with the 2001 full year run rate.


Additional Information

Capital expenditures totaled approximately USD176 million for the
first six months of 2002, less than half of the USD381 million in
the pro forma 2001 first half.  The reduction is a direct result
of integration synergies and stringent controls on capital
expenditures.  The Company has also been able to reduce capital
expenditures by redeploying network equipment made surplus by the
integration of the two networks.

At June 30, 2002, the Company's net cash and cash equivalents
totaled USD426 million, an increase of USD53 million from
December 31, 2001.  The improved cash position reflects the
Company's continued focus on cash management together with
increased EBITDA, continued optimization of capital expenditures
and reduced working capital requirements.

On the basis of current activity levels and the associated cash
burn rates, and without recourse to either the loan from France
Telecom or any other source of finance, the Company does not
expect to require additional funding before 2004.

Employment at June 30, 2002 was 10,800 compared with 11,300 at
December 2001.  The reduction reflects the reorganization of the
businesses undertaken after the merger, including the transfer of
activities to related parties.


Related Party Revenues and Agreements

France Telecom

Revenues derived from the France Telecom Group totaled USD135
million in the first half, compared with USD120 million in the
2001 first half. The increase is primarily due to the transfer of
some of Equant's customers in France to France Telecom Transpac
under the arrangements put in place at the time of the merger.

In addition, in the first half of 2002, some USD144 million of
costs were incurred on behalf of France Telecom and transferred
to them on a pass-through basis by the Company.  The revenues
from these businesses are shown as "other operating income" while
the associated costs are primarily included in "costs of services
and products sold".  In the first half of 2001 other income was
netted against costs.

Radianz

Revenues from Radianz, the Company's 49 percent-owned joint
venture with Reuters, totaled USD51 million in the first half
year of 2002 compared with USD44 million in the first six months
of 2001.  The majority of these revenues arise from the pass-
through of costs incurred by the Company to Radianz.


Footnotes:

(1) Equant sold its Application Services division in October
2001.  Its results have, therefore, been excluded from the 2001
information.
(2) The pro forma results have been prepared, where information
is available, as if the France Telecom transaction, including the
acquisition of Global One, had occurred on January 1, 2001.
(3) Network Services (Indirect) refers to revenues derived from
agreements with Radianz, Deutsche Telekom, Sprint, France Telecom
Transpac, and other indirect channels.
(4) First half 2001 actual SITA revenue is as billed under the
former "Joint Venture" contractual arrangements. The 2001 half-
year pro forma results and the 2002 half-year actual results
reflect the new contractual arrangements with SITA.
(5) EBITDA: earnings before finance charges, income taxes, share
plan costs, non-recurring charges and depreciation and
amortization.

Equant is a recognized industry leader in global IP and data
services for multinational businesses, offering network,
integration and managed services to global business.  The network
has unmatched seamless global reach, connecting key business
centers in 220 countries and territories, with local support in
145 countries and territories.  Building on more than 50 years of
experience in data communications, Equant serves thousands of the
world's top companies.  Equant, a member of the France Telecom
Group, meets the diverse needs of global companies with the
industry's most extensive portfolio of managed data network
services.

Please refer to the charts: http://bankrupt.com/misc/Equant2.pdf

CONTACT:  Jim Armstrong
          Equant Investor Relations
          Tel:+1 678 346 3754
          E-mail: james.armstrong@equant.com

          Ashley Rayfield
          Equant Investor Relations
          Tel: +44 208 321 4581
          E-mail: ashley.rayfield@equant.com


VIVENDI: Cohen, Milstein, Hausfeld & Toll Files Lawsuit
--------------------------------------------------------
The following notice is issued by the law firm of Cohen,
Milstein, Hausfeld & Toll, P.L.L.C., on behalf of its client, who
filed a lawsuit against Vivendi Universal and certain of its
officers and directors (NYSE:V) in the United States District
Court for the Southern District of New York on behalf all persons
who purchased or otherwise acquired the securities of Vivendi
between Oct. 30, 2000 and Aug. 13, 2002, inclusive.

The Complaint charges defendants made misrepresentations and/or
omissions of material fact, including the following: (a)
Misstating Vivendi's cash position and ability to service its
debt obligations; (b) Misstating Vivendi's earnings in its public
filings with the SEC and elsewhere as a result of failing to
record write-downs of goodwill and other intangible assets
associated with, inter alia, the acquisition of U.S. Filter, the
equity investment in Elektrim Telekomunikacja, and the merger
among Vivendi, Seagram and Canal+ long after it had become
apparent that such assets were being carried at values vastly
higher than their true values; (c) Failing to disclose that the
exchange ratio for the merger between MP3.com, Inc. and Vivendi
was distorted due to artificial inflation in the price of Vivendi
American Depositary Receipts ("ADRs"); and (d) Failing to
disclose that Vivendi had significant off-balance-sheet
liabilities, including undisclosed sales of put options on tens
of millions of dollars worth of Vivendi shares during 2001.

During the Class Period, defendants' false statements
artificially inflated Vivendi ADRs to as high as $75.00 per ADR.
Late in June 2002, news leaked from Vivendi that its debt was at
alarming levels, causing Vivendi's ADRs to decline in price from
$28 to $20. Vivendi's ordinary shares declined in similar
fashion. Nonetheless, Messier reassured the market that liquidity
was not a problem. However, as ratings agencies continued to
downgrade the Company's debt, the ADRs and ordinary shares
continued to decline. On July 2, 2002, Vivendi's debt was
downgraded again and the Company was in danger of default. On
July 3, 2002, Messier was forced to resign.

If you purchased or acquired Vivendi securities during the Class
Period, you may, no later than Sept. 16, 2002, move to be
appointed as a Lead Plaintiff.

The plaintiff's counsel -- Cohen, Milstein, Hausfeld & Toll,
P.L.L.C. -- has significant experience in prosecuting investor
class actions and actions involving financial fraud. The firm has
offices in Washington, D.C., Seattle, and New York and is active
in major litigation pending in federal and state courts
throughout the nation. You may visit the firm's website at
www.cmht.com.

The firm's reputation for excellence has been recognized on
repeated occasions by courts, which have appointed the firm to
lead positions in complex multi-district or consolidated
litigation. Cohen, Milstein, Hausfeld & Toll, P.L.L.C. has taken
a lead role in numerous important cases on behalf of defrauded
investors, and has been responsible for a number of outstanding
recoveries which, in the aggregate, total in the billions of
dollars.

If you have any questions about this notice or the action, or
with regard to your rights, please contact either of the
following:

CONTACT:  COHEN, MILSTEIN, HAUSFELD & TOLL, P.L.L.C.
          Steven J. Toll/Mary Ann Fink,
          Phone: 888/240-0775 or 202/408-4600
          E-mail: stoll@cmht.com / mfink@cmht.com


VIVENDI: To Sell Entire U.S. Publishing Business in Auction
------------------------------------------------------------
Vivendi Universal will expand the offering of its U.S. publishing
arm, Houghton Mifflin, to include all of its Vivendi Universal
Publishing business, reports say.

Houghton Mifflin has already attracted a joint offer from two
U.S. private equity firms, which emerged as top bidders in the
USD1.5-2 billion auction.

Vivendin Publishing includes the European textbook and French-
language and Spanish-language educational business. Sale of the
operations will reportedly fetch more than US$5 billion.

Two interested buy-out groups include a team including Thomas H.
Lee Partners, BBlackstone Group, Bain Capital and Apax Partners
and another party including Lazard LLC's private-equity unit and
Carlyle Group for the second.

CONTACT:  Vivendi Universal
          Headquarters
          42 Avenue de Friedland
          75380 Paris Cedex 08
          France
          Tel: +33 1 71 71 10 00
          Fax: +33 1 71 71 11 79


VIVENDI: Names Robert de Metz Executive Vice President
------------------------------------------------------
Robert de Metz has been appointed Executive Vice President of
Vivendi Universal (http://www.vivendiuniversal.com)anda member
of the holding company's management team.

He will carry out disposals, mergers and acquisitions in
collaboration with Jean-Bernard Levy, Chief Operating Officer,
and Jacques Espinasse, Senior Executive Vice President and Chief
Financial Officer.

Robert de Metz, 50, is a graduate of IEP, the Paris institute of
political studies, and of ENA, and a former Treasury official
with France's General Inspectorate of Finance. He previously
served as a fund manager. He was a member of the Executive Board
of Paribas from 1997-2000, where his main responsibilities
included taking charge of many mergers and acquisitions.

Contact Information:

Alain Delrieu
Tel:+33 1 71 71 10 86
Antoine Lefort
Tel:+33 1 71 71 11 80


VIVENDI: Securities Buyers Files Law Suit vs. Vivendi
------------------------------------------------------
A lawsuit seeking class action status has been filed in the
United States District Court for the Southern District of New
York on behalf of all persons who purchased or otherwise acquired
publicly traded securities and the American Depository Shares of
Vivendi Universal (http://www.vivendiuniversal.com),S.A. from
April 23, 2001 through July 2, 2002, inclusive. Also included are
all those who acquired Vivendi securities through its acquisition
of USA Networks and Houghton Mifflin.

The Complaint alleges that Vivendi, one of the world's largest
media companies, and its former CEO, Jean Marie Messier, took
Vivendi on an acquisition binge that resulted in Vivendi amassing
approximately $18 billion in debt. The complaint also alleges
that Vivendi represented that it was successfully implementing
recent mergers and that it was not as susceptible to economic
problems as competitors. These false statements artificially
inflated the price of Vivendi's ADRs to as high as $68.80 per ADR
and allowed Vivendi to complete additional acquisitions in its
buying spree between 1998 and 2001. Late in June 2002, news from
inside the Company indicated that Vivendi's debt was at alarming
levels. The price per ADR continued to slide until, on July 3,
2002, Messier was forced to resign. On this revelation, the price
of Vivendi's ADRs plummeted to $15.65. The collapse wiped out
billions of dollars in Vivendi shareholder value.

Plaintiff seeks to recover damages on behalf of all Class
members. Plaintiff is represented by the law firm of Schatz &
Nobel, P.C., which has significant experience prosecuting class
actions on behalf of investors. If you wish to discuss this
action or have any questions concerning this notice or your
rights or interests with respect to these matters, please contact
attorneys Andrew M. Schatz or Nancy A. Kulesa at (800) 797-5499,
or by e-mail at sn06106@aol.com. For more information about
Schatz & Nobel, P.C., please visit our website at
http://www.snlaw.net

If you acquired Vivendi between April 23, 2001 and July 2, 2002,
and wish to act as a lead plaintiff, you may move the Court to
act in that capacity not later than September 16, 2002.

Contact Information:

Nancy A. Kulesa
Phone: 1-800-797-5499
E-mail: sn06106@aol.com


=============
G E R M A N Y
=============


DEUTSCHE TELEKOM: Mulling Sale of T-Mobile and T-Online Units
-------------------------------------------------------------
Deutsche Telekom may partially sell T-Mobile and T-Online to cut
EUR 64 billion debts according to reports citing interim CEO
Helmut Sihler, who presented the idea at an analyst meeting.

Analysis from investment bank Goldman Sachs figures the sell-off
may raise EUR3 billion for the Company, with T-Mobile accounting
for EUR2 billion and T-Online being credited with EUR 1 billion,
the Telecom.paper reports.

Under the plan, parts of T-Mobile and T-Online would be sold to
other companies and financial institutions, instead of taking
them to the stock exchange.

The company's results for the first half of 2002 reflected a 53%
increase in T-Mobile's revenue, which totaled EUR 9.14 (5.97)
billion.

T-Online (including DeTeMedien), on the other hand, posted
revenue gains of 22.2%, coming in at EUR 864 million (compared to
EUR 707 million for the same period last year).


GRUNDIG: Secures Partnership Agreement With Asian Firm
------------------------------------------------------
German firm Grundig GmbH has signed a letter of intent with
Taiwan's Sampo Corp., an Asian investor, which may help the
Company avoid creditor protection, AFX reports.

Chairman Hans-Peter Kohlhammer confirmed the Sampo Corp. would
acquire a stake in the consumer electronics firm. He also said
that negotiations are ongoing, with no fixed date for the final
agreement.

The company's credit line, which banks previously refused to
extend beyond the end of August, has now been activated according
to the Financial Times.

Grundig, which is 89%-owned by Kathrein, expects losses of around
EUR75 million for 2002.


MOBILCOM AG: To Hold Extraordinary General Meeting in October
-------------------------------------------------------------
Mobilcom AG scheduled an extraordinary general meeting on October
17 to discuss changes in management, among other issues, AFX
reports.

The meeting was proposed by Millenium GmbH, which is controlled
by the wife of the company's founder, former chairman and chief
executive Gerhard Schmid. Millennium holds a 10% stake in the
company, while Schmid holds around 39%.

The agenda of the meeting will include the removal of all capital
members of Mobilcom's subsidiary board and the introduction of
new rules regarding capital increases and the number of
management board members, the report says citing a company
statement.

The capital members referred include two representatives of
France Telecom SA, which holds a 28.5% share in the company.

Another concern to be addressed will be Gerhard Schmid's non-
payment of a premium for a share option program, which has been
declared null and void. Management will reportedly seek
shareholder approval to claim damages from Schmid.


===================
L U X E M B O U R G
===================


LLOYDS TSB: Lloyds TSB-US Small Cap Equity Fund in Liquidation
---------------------------------------------------------------
Notice is hereby given to the shareholders of the Lloyds TSB
International Portfolio (LIP)- US Small Cap Equity Fund that the
Board of Directors of the Company has decided to liquidate the
Lloyds TSB International Portfolio-US Small Cap Equity Fund on
October 4, 2002.

The Board of Directors has decided to appoint Lloyds TSB Bank
plc, 1, rue Schiller, L-2519 Luxembourg as liquidator of the
Fund.

We would like to remind shareholders of the former "Excalibur
Fund" that they are authorized to convert their shares into the
LIP-US Small Cup Equity Fund shares and therefore, to participate
in the liquidation of this Fund.

The shareholders should note that the seventeen other Funds
within the Lloyds TSB International Portfolio still remain
available and that they can switch free of charge into any of
these. Alternatively, they may ask for an earlier redemption of
their shares free of charge, in accordance with the terms of the
Prospectus. Shareholders' instructions should be forwarded to the
Manager of the SICAV, Lloyds TSB Bank plc, to arrive no later
than 4:00 pm (Luxembourg time) on October 3, 2002.

In the event the shareholders have not informed the Company or
the Manager  of the Company of their decision to switch into
another Lloyds TSB International Portfolio Fund or to redeem
their shares prior to the liquidation date, we will reimburse
their shares at eh net asset value calculated on October 4, 2002
and pay the proceeds to them by cheque.

In accordance with the conditions of the prospectus assets, which
cannot be distributed to the beneficiaries upon the close of the
liquidation of the Fund will be deposited with the Custodian Bank
for a period of six months thereafter that is until April 4,
2003. After that date redemption may be obtained from the Caisse
des Consignations, to the following address:

Caisse des Consignations
Tresorerie de l'Etat
3, rue du St Esprit
L-1475 Luxembourg


=====================
N E T H E R L A N D S
=====================


LAURUS NV: To Divest Spanish Operations to CVC Capital
------------------------------------------------------
Laurus NV has agreed to sell its Spanish Grupo El Arbol
Distribucion y Supermercados SA unit to a company owned by funds
managed by CVC Capital Partnerships, AFX reports. The move is
seen as an important step in the restructuring effort of the
company.

According to the deal, Laurus will provide El Arbol a total of
EUR54 million loan to repay debt. The Spanish operations, which
suffered weak performance and continuing losses in the past year
contributed to the company's debt load.

Around 30 million of the loan will be long term, unsecured and
subordinated, the report says. CVC has the option to convert the
long term, unsecured and subordinated loan to equity, however.

Laurus will also be liable for lawsuits that may be filed against
the unit.

CVC will perform complete audit of the unit in September. The
deal is expected finished around the middle of October.


===========
S W E D E N
===========


LM ERICSSON: Rights Offering Significantly Over-subscribed
-----------------------------------------------------------
Now that the subscription period for Ericsson's rights offering
of approximately SEK 30 billion has ended, preliminary results
indicate that more than 99.5% of the new B shares offered,
representing gross proceeds of approximately SEK 29.9 billion,
have been subscribed for by the exercise of rights.

Further, the results indicate that new B shares representing
approximately 35 % of the total rights offering have been applied
for on a non-preferential basis, meaning that the rights offering
is over-subscribed.

Approximately half of the above 35 % was applied for by Investor
AB and AB Industriven pursuant to their commitments as disclosed
in the rights offering prospectus. As a result of the rights
offering being fully subscribed, there will be no allocation of
new B shares to the underwriters pursuant to their underwriting
commitments.

Ericsson (http://www.ericsson.com)expects the rights offering to
be concluded according to the following timetable:

On or about:

September 12
Press release announcing final confirmation of the subscription
level
Final trading day for interim shares (BTAs)

September 13
No trading neither in BTA's nor new B shares

September 16
Trading in new B shares and ADSs commences

September 19
Delivery of new B shares and ADSs to shareholders' accounts
(subscribed for by exercising rights)
Payment for shares allocated pursuant to subscriptions without
Preferential rights

"The successful completion of the rights offering reflects the
strong support of our shareholders and their belief in Ericsson
and the telecom market," says Michael Treschow, Chairman of
Ericsson. "We have always been driven by the conviction that
communications is a basic human need. We believe that the telecom
market is a long-term growth market and with the rights offering
we now have the confidence and security of a strengthened
financial position."

Ericsson is shaping the future of Mobile and Broadband Internet
communications through its continuous technology leadership.
Providing innovative solutions in more than 140 countries,
Ericsson is helping to create the most powerful communication
companies in the world.

Contact Information:

Gary Pinkham
Vice President
Investor Relations
Phone: +46 8 719 0858, +46 730 371 371
E-mail: investorrelations@ericsson.com


SONG NETWORKS: Telenor Still Interested in Takeover
---------------------------------------------------
Telenor's CEO John Fredrik Baksaas admitted his company is still
interested in acquiring Song Networks AB, provided their terms
are accepted, AFX reports.  Telenor previously offered to buy a
majority stake in the company, but that offer was rejected by
Song's bondholders.

"It's not like we can't live without Song, but that deal would
have improved our position," Telenor's CEO said.

The business combination agreement, which Song transacted with
Telenor Business Solutions Holding AS on July 19, was terminated
on August 13 due to a lack of support from ad hoc committee
bondholders of Song Networks concerning the restructuring terms.

Song Networks expects to complete a restructuring by the end of
October.

Last month, Song posted revenues of SEK 559 (IS$61 million) in
the second quarter, a 5% decrease over the last quarter.

Song Networks Holding AB, formerly Tele1 Europe Holding AB, is
the leading pan-Nordic competitive provider of broadband
communications services.

CONTACT: Jenny Moquist
         Investor Relation Manager
         Song Networks Holding AB
         Telephone: +46 8 5631 0219
         Mobile: +46 701 810 219
         E-mail: jenny.moquist@songnetworks.net


===========================
U N I T E D   K I N G D O M
===========================


BALDWINS INDUSTRIAL: Continuing Use of Lenders' Cash Collateral
---------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of Texas has
given Baldwins Industrial Services, Inc., and Baldwin Leasing, LP
its interim approval to use their Lenders' Cash Collateral.

The Court finds that the Debtors have an immediate need to use
Cash Collateral to avoid immediate and irreparable harm to their
estates pending a final hearing.  The Debtors propose adequate
protection for any interest in the Cash Collateral held by
Sterling Bank or Asset Finance Group by granting replacement
liens of equal weight and effect as the Lenders' existing liens
and by providing the Lenders with an accounting for all Cash
Collateral.

The Debtors are allowed to use the Cash Collateral until the
final hearing in strict accord with their 3-Week Cash Budget:

                                  Week Ending
                                  -----------
                       09/01/02     09/08/02     09/15/02
                       --------     --------     --------
Beginning Cash         $ 200        $ 199        $ 270
Total Receipts           630          375          698
Total Disbursements     (631)        (505)        (378)
Ending Cash              199          270          590

The hearing to consider final approval of the Motion and the
Debtors' permanent ability to dip into their Lenders' Cash
Collateral is scheduled on September 11, 2002 at 9:30 a.m. in
Courtroom 403, United States Courthouse, 515 Rusk Avenue,
Houston, Texas 77002.

Baldwins, one of the largest crane rental companies in the
Southwestern United States, filed for chapter 11 protection on
August 26, 2002. Jack M. Partain, Jr., Esq., at Fulbright &
Jaworksi represents the Debtors in their restructuring efforts.

When the Company filed for chapter 11 protection it listed assets
of not more than 10 million and estimated debts at not more than
50 million.


BRITISH ENERGY: Calls for Help From Government
----------------------------------------------
Former state company British Energy, whose shares were suspended
from trading in London Stock Exchange, asked the government for
bailout as electricity prices plunged, Associated Press.

The Company recently posted full-year losses of nearly US$780
million. TheDepartment of Trade and Industry has also assured the
Company's management had already held negotiations for possible
financial support as well as longer-term restructuring plans.

The Company sought help from the government after negotiations
with state-owned British Nuclear Fuels to take over running the
firm's Magnox reactors failed.  The operation was previously seen
as a potential short-term help for the Company.

A department spokeswoman also expressed belief that the matter
will not affect safety and security of supply, and that the
agency is prepared to act to maintain the Company's service.

The Company, which was privatized in 1996 produces a fifth of the
nation's electricity. It has eight has eight nuclear power
stations in Britain and employs 5,200 people in the United
Kingdom.

British Energy also disclosed they might undertake "appropriate
insolvency proceedings" once the negotiations with the government
failed.

The company's shares fell down from US$10.97 three years ago to
US$1.27.  The firm has a current market value of GBP500 million
(IS$780 million).


CORDIANT COMMUNICATIONS: To Announce Replacement of Top Executive
-----------------------------------------------------------------
Cordiant Communications PLC is expected to announce David Hearn
as replacement for former chief executive Michael Bungey, AFX
reports. Bungey previously announced he is stepping down after
the Company releases its six-month results.

Hearn who was hinted to become the group's new chief executive is
the head of its Bates Worldwide unit.

There are also reports that the company would also announce
further job cuts after it shed 1000 of its workforce this year.
Downturn in advertising revenue has forced Cordiant to trim down
17 percent of its manpower last year, a number equivalent to 1600
people.

A spokesman for the company reportedly refused to give comment.

The company, which lost key accounts including Wendy's
International and Korean carmaker Hyundai's business handled by
Bates in the US, has issued its third profit warning in four
months. Cordiant admitted it is renegotiating its debt covenants
with bankers.

Cordiant's share price has lost almost half of its value in the
last six months.


CORDIANT COMMUNICATIONS: Announces Interim Results
---------------------------------------------------
Cordiant is the world's eighth largest global marketing
communications group with over 9,500 employees in more than 216
offices spanning 80 countries (including affiliates).

-Bates Group creates a completely integrated, media neutral,
broadly
based communications capability.

-Senior management succession plan in place.

-Pre-tax profits (before exceptional items and goodwill) GBP11.5
million
(2001: GBP22.1 million).

-Revenues decreased by 9.8% at constant exchange rates to
GBP277.1 million (2001: GBP308.8 million).

-Revenues decreased by 12.0% on an underlying basis.

-On an underlying basis operating expenses (before exceptional
items and goodwill) decreased by 10.3%.

-Operating profit (before exceptional items and goodwill) down
30.8% at constant exchange rates to GBP18.1 million (2001:
GBP26.3 million).

-Operating margins (before exceptional items and goodwill) at
6.5% (2001: 8.5%).

-Adjusted diluted headline earnings per share down to 1.7p (ADS
12.2c) from 3.4p (restated) (ADS 24.5).

Michael Bungey, Chief Executive of Cordiant, commented:

'Depressed trading levels persist throughout our markets.  Whilst
conditions may have stablized, I see no signs of a recovery
anytime soon.  Our cost cutting exercises have been extensive
and, where necessary, will continue.

Our strategy is to deliver an integrated, media neutral, broad-
based communications capability.  This is what clients tell me
they want.  It's a bold strategy that will deliver further
efficiencies across the Group as well as a unique platform from
which to generate increased revenue.'

Enquiries:

INTERIM STATEMENT

Introduction

The Group experienced significant reductions in client spend in
the second-half of 2001 and trading conditions have remained
challenging this year.  Although further reductions have been
felt in the first six months of 2002, the rate of decline has
reduced resulting in a more stable operating environment.  The
Group's operating results have benefited from the steps taken in
2001 to reduce operating expenses and the Group continues to
focus on tight cost control.

Realised savings have mitigated the impact of the expected
decline in underlying revenues, and where unit performance has
weakened further, action has been taken to reduce the cost base.

The Group's revenue growth has been disclosed on both a reported
and an underlying basis, meaning at constant exchange rates and
after comparing revenues generated in the most recent year by
acquired companies, to revenues generated by such companies in
the preceding year assuming that such companies had been owned
for an equivalent period in the preceding year. The Group's
percentage change in operating expenses has also been disclosed
on an underlying basis.

In the sections that follow operating expenses, operating profit,
operating margin and earnings have been disclosed before goodwill
amortisation and exceptional operating costs, to highlight the
underlying performance of theGroup's operations.

Operating performance

Group revenues declined by 9.8% at constant exchange rates to
GBP277.1 million ($399.0 million) in the first six months of
2002.  Underlying revenues declined by 8.0% on a full year basis
in 2001, as a flat underlying performance in the first half was
followed by a rapid deceleration in second half expenditures.

Reduced activity levels have continued into 2002 resulting in a
first-half underlying revenue decline of 12.0%.

Operating profits decreased by 30.8% at constant exchange rates
to GBP18.1 million ($26.1 million).  The steps taken in 2001 to
significantly reduce the Group's operating costs have continued
in 2002.  Operating expenses in the first half of 2002 were
reduced by 7.8% at constant exchange rates, and by 10.3% on an
underlying basis, to GBP259.0 million ($372.9 million).  The
Group achieved an operating margin of 6.5% down from 8.5% in
2001.

Bates Group

The principal trend in our industry over recent years has been
the diversification of the world's advertising groups into wider
marketing communication groups.  Cordiant itself has increased
its non-advertising revenues from 22% in 1997 to 50% of total
revenues in 2001. Although most communication groups now offer a
very wide range of services, independent business identities,
management structures and profit and loss accounts, all remain in
place as a barrier to the integration of these varied services
into co-ordinated client offering.

In order to meet the increasing demand from clients, and in the
process enhance its competitive offering, the Bates Group will
integrate Bates Advertising, marketing services network 141,
branding and design group Fitch and specialist network
Healthworld into a single, integrated communications offering to
existing and future clients. This integration will maintain the
brands of the individual units so that specialist skills can also
continue to be accessed by clients on a standalone basis as
required.  FD International and Scholz & Friends remain
unaffected by this initiative.

The Bates Group's ability to deliver a media neutral, broadly
based communications capability is intended to be a source of
real competitive advantage and a key revenue driver in the
future. The integration will be both operational and financial.
The result is 'one company and one profit and loss account', that
will enable the Bates Group to deliver an inherently more
efficient and effective service structure for clients. The Bates
Group will also deliver a stronger presence in every territory
where it is implemented, particularly in the key markets of the
United States, the United Kingdom and Australia.

The Bates Group integration will deliver cost savings, through
reduced management costs, the co-location of operations and the
elimination of duplicated support functions.

All of the integration and cost saving initiatives will be
implemented within the Group's existing financial arrangements.

Management

Michael Bungey is to retire from his position as Cordiant's Chief
Executive Officer at the end of March 2003. The Board confirms
that it intends to appoint David Hearn, currently Chairman and
CEO of Bates Worldwide, as Mr Bungey's successor. These changes
are in accordance with the Board's succession planning which
commenced in July 2000 when Mr Bungey signalled his intention to
relinquish his position as Chairman and CEO of Bates Worldwide,
resulting in the subsequent appointment of Mr Hearn to that role
in May 2002. The Board is currently seeking a successor to
Professor Ted Levitt who retired as a non-executive Director in
December 2001. It is also the Board's intention to appoint a
further non-executive director in due course.

Geographical analysis

United Kingdom

Reported revenues declined by 5.8% to GBP55.7 million ($80.2
million). Underlying revenues declined by 12.8% principally due
to reduced activity at the Group's branding, design and field
marketing operations which offset growth from the UK agency.
Operating expenses decreased by 6.3% at constant exchange rates
to GBP49.7 million ($71.5 million). On an underlying basis,
operating expenses decreased by 11.7%. Operating profits totalled
GBP6.0 million ($8.7 million), with operating margins of 10.8% up
from 10.5% in 2001.

North America

North American revenues declined by 19.3% at constant exchange
rates to GBP81.2 million ($116.9 million). Revenues declined by
19.5% on an underlying basis, primarily as a result of the lower
levels of activity in the Group's Specialist Communications
businesses. Operating expenses decreased by 19.2% at constant
exchange rates to GBP75.9 million ($109.3 million). On an
underlying basis operating expenses were reduced by 19.4%.
Operating profits totalled GBP5.3 million ($7.6 million) with
operating margins reduced to 6.5% from 6.7% in 2001.

The loss of the Hyundai and Wendys accounts is a disappointing
outcome after several years of highly effective advertising that
helped both clients grow market share. These account losses,
while having a negligible impact on results for the first half of
2002, are expected to reduce underlying revenues, on a full year
basis, by approximately 1.5% in 2002 and by 3.0% in 2003.

Continental Europe

Revenues decreased by 10.4% at constant exchange rates to GBP65.7
million ($94.6 million). On an underlying basis revenues declined
by 12.2%, reflecting significant reductions in client spending
compared to a strong performance in the first six months of 2001.
Operating expenses decreased by 4.5% at constant exchange rates
to GBP62.7 million ($90.3 million).  On an underlying basis,
operating expenses decreased by 6.8%.  Operating profits totalled
GBP3.0 million ($4.3 million), with operating margins down to
4.6% from 10.6% in 2001. The decline in margin is primarily
attributable to client losses in Norway and a
weak German market.

Asia Pacific and Latin America

Asia Pacific and Latin American revenues increased by 0.9% on a
constant currency basis to GBP74.5 million ($107.3 million) but
decreased by 1.0% on an underlying basis. Growth in many Asian
markets, Australia and Brazil, has been offset by reduced
spending in Korea and Greater China. Operating expenses increased
by 3.5% at constant exchange rates to GBP70.7 million ($101.8
million).

On an underlying basis operating expenses were reduced by 0.6%.
Operating profits totalled GBP3.8 million ($5.5 million), with
operating margins down to 5.1% from 7.3% in 2001.

Business segment analysis

Advertising and Integrated Marketing

Advertising and Integrated Marketing revenues decreased by 9.5%
at constant exchange rates and by 10.3% on an underlying basis to
GBP212.5 million ($306.0 million).  Operating expenses decreased
by 8.0% at constant exchange rates and by 8.9% on an underlying
basis to GBP200.1 million ($288.1 million).  Operating profits
totalled GBP12.4 million ($17.9 million), with operating margins
declining to 5.8% from 7.4% in 2001.

Advertising and Integrated Marketing represents the results of
Bates Worldwide (including Diamond Ad and 141 Worldwide) and
Scholz & Friends. The results of CCG.XM, which were previously
included within Specialist Communications, are now included
within 141 Worldwide.  The Advertising and Integrated Marketing
result for 2001 has been restated to reflect this change.

Specialist Communications

Specialist Communications revenues decreased by 10.5% at constant
exchange rates to GBP64.6 million ($93.0 million). Revenues
decreased by 17.2% on an underlying basis in the first six
months, reflecting reduced activity levels in branding and design
and business communications, particularly in North America.

Operating expenses decreased by 6.9% at constant exchange rates
and by 14.8% on an underlying basis to GBP58.9 million ($84.8
million).  Operating profits totalled GBP5.7 million ($8.2
million) with operating margins of 8.8% in 2002 down from 12.3%
in 2001.

Specialist Communications represents the results of the
Healthworld, FD
International and Fitch:Worldwide.

Goodwill amortisation

Goodwill amortisation for the first six months of 2002 was
GBP15.1 million ($21.7 million).

The 2001 interim result has been restated to reflect goodwill
amortisation, since this accounting treatment was first
implemented in the 2001 full-year result. This has led to a prior
year restatement to the profit and loss account of GBP22.7
million ($32.7 million). The balance sheet as at 30 June 2001 has
also been restated to reduce purchased goodwill by an equivalent
amount.

Exceptional operating costs

As a result of the loss of the Hyundai account in the United
States, the Group has incurred an exceptional charge in respect
of severance of GBP2.3 million ($3.3 million) in the first six
months. The Group also incurred an exceptional financing charge
of GBP2.4 million ($3.5 million) in respect of costs associated
with renegotiating its principal financing arrangements.

As a result of the Bates Group integration and other cost
initiatives the Group expects to record additional exceptional
operating expenses of approximately GBP27.0 million in the second
half of the year to achieve annualised cost savings of
approximately GBP22.0 million.

Joint ventures and associates

The Group's share of operating profits (before goodwill
amortisation of GBP1.0 million) decreased to GBP3.3 million ($4.7
million) from GBP3.7 million ($5.3 million) in 2001.  The Group's
share of Zenith Optimedia's operating profits decreased to GBP2.5
million ($3.6 million) from GBP2.7 million ($3.9 million) in
2001.  Zenith Optimedia expect profitability to show greater
weighting to the second half as a result of Optimedia merging
with Zenith.  The 2001 interim result included Zenith's
contribution only.  Zenith Optimedia achieved underlying revenue
growth of over 4.0% in the first half.

Financial items, taxation and returns attributable to
shareholders

In April 2002, the Group signed definitive documentation with its
banks and the holders of the Notes amending the terms of the
Group's principal financing arrangements.  New financial
covenants were set to reflect the change in operating performance
of the Group following the industry downturn in 2001.  As a
result of the requirement to amend the financial covenants, the
Group has incurred increased financing costs.

Net interest payable and similar items increased to GBP9.4
million ($13.5 million) from GBP7.3 million ($10.5 million) in
2001. Average net debt for the first six months increased to
GBP170.7 million ($245.9 million) from GBP166.0 million ($239.0
million), in 2001.

The tax charge for the first six months of GBP2.4 million ($3.5
million) represents an effective tax rate (before goodwill
amortisation) of 35.0% (2001: 32.5%). Equity minority interests
were GBP2.4 million ($3.5 million) an increase of 33.3% on last
year, principally due to an improved performance in Brazil.

Earnings attributable to Ordinary shareholders before goodwill
amortisation and exceptional operating expenses, decreased to
GBP6.7 million ($9.6 million) from GBP13.1 million ($18.9
million) in 2001. Adjusted diluted headline earnings per share
was 1.7p (ADS 12.2c) compared to 3.4p (restated) (ADS 24.5c) in
2001.  The reported loss, after goodwill amortisation and
exceptional operating expenses,
attributable to Ordinary shareholders was GBP14.1 million ($20.3
million), compared to GBP9.6 million (restated) ($13.8 million)
in 2001.

Dividend

It is the Board's continuing policy not to pay an interim
dividend.

Cash flow

Net operating cash inflow for the Group (defined as operating
profit plus depreciation and amortisation, less financing costs
and taxation paid) totaled GBP6.8 million (2001: GBP23.7
million).  Capital expenditure totalled GBP4.0 million (2001:
GBP12.7 million) and net cash outflows from acquisitions were
GBP8.7 million (2001: GBP12.4 million).  Utilisation of property
provisions totalled GBP2.0 million (2001: GBP1.5 million) and no
equity dividend was paid (2000: GBP8.1 million). Net cash outflow
for the period, before working capital movements and financing
flows, totalled GBP6.6 million (2001: GBP10.5 million). As at 30
June 2002, the Group had a net debt balance of GBP173.2 million
(2001: GBP169.2 million).
Outlook

The revenue environment in 2002 has proved weaker than expected
as our industry enters a second year of decline.  With little
evidence of a near-term recovery in marketing expenditures, it
has proved necessary to take further action this year to align
our operating expenses to market conditions.  Exceptional costs
implementing these cost savings will be incurred this year to
ensure an appropriate operating structure and cost base moving
into 2003.  Key to the Group's ongoing operating performance is
our continued focus on effective cost management and the
formation of the Bates Group, an initiative that will deliver
clear differentiation in the marketplace, a stronger product for
clients and
importantly enhance the potential for growth when more positive
trends return to our markets.

Refer to chart for further information:
http://bankrupt.com/misc/Cordiant2.pdf

Contact Information:

Michael Bungey
Chief Executive Officer
Art D'Angelo
Finance Director
Nathan Runnicles
Investor Relations
Tel: +44 20 7262 4343


EIDOS: Confident of Good Christmas Sales
----------------------------------------
Entertainment software developer Eidos is confident it will post
good Christmas sales due to the "most robust and rounded release
schedule" of computer games in history, Financial Times reports.

Chief Executive Mike McGarvey mentioned big titles that would
allow it to benefit from a computer games market when hardware
prices are cut down. Commandos 2 is set to be released, while
both HitMan 2 and Timesplitters2 is still being tested by
hardware manufacturers for certification before release in
October.

Mr. McGarvey is pinning his hope in Timesplitters2, which
recently became just the second PlayStation2 title ever to be
given top marks in Sony's official PlayStation2 magazine, the
report says.

The CEO though admitted they had to work hard to meet the
forecast mid-November launch of Lara Croft title, Tomb Raider:
Angel of Darkness, but reassured there will not be delays.

In the 15 months to June 30, Eidos' sales fell from GBP159.7
million to GBP128.9 million.

Eidos Interactive is one of the world's largest independent
publishers and developers of entertainment software. Eidos
develops and publishes a diverse mix of titles for the PC,
PlayStation(R) game console, PlayStation(R)2 computer
entertainment system, Nintendo GameCube(TM) and the Xbox(TM)
video game system from Microsoft.


EIDOS: Announces Financial Results Ending June 30, 2002
-------------------------------------------------------
On December 12, 2001 Eidos plc, one of the world's leading
publishers and developers of entertainment software, announced
that it was changing its year-end from March to June.

The results announced today are for the fifteen months ended June
30, 2002. Eidos has previously reported on the 12 months to March
31, 2002, on May 15, 2002.

Net revenue was (pound) 128.9 million (USD196.0 million)1 for the
fifteen months, a decrease of 19.3% on the previous period. On a
US GAAP basis the Group had a loss before tax for the fifteen
months of (pound) 30.7 million (USD46.7 million) compared to a
loss of (pound) 111.5 million in 2001. This resulted in a loss
per share of 23.4p (35.6c) for the fifteen months compared to a
loss per share of 97.8p for the previous period.

Highlights for the fifteen months to June 30, 2002:

     (i) Twenty-one titles released in the fifteen-month period
   Gross margin pre exceptional charges increased 7.5% to 58.3%
from 50.8%
     (ii) Total operating losses pre goodwill and exceptional
charges reduced by 35.1%
     (iii) Operating expenses pre goodwill and exceptional
charges reduced by 20.6%
     (iv) Significant cash resources at June 30, 2002
     (v)  Strong line-up of franchise titles set for multi-format
release in coming months

Commenting on these results Michael McGarvey, Chief Executive
Officer, said:

"As is common for Eidos and many other publishers at this time of
year, there has been relatively little activity since we
announced our results for the twelve months to March 31, 2002. We
released one new title during the intervening period, the Xbox
version of the best-selling Championship Manager: Season 01/02.
In addition we shipped further language versions of both Deus Ex
on PlayStation 2 and Blood Omen 2 on PlayStation 2, Xbox and PC
CD.

Overall, our results for the fifteen-month period continue to
reflect many of the significant improvements that we have
reported on previously. These include improved gross margins,
reduced operating expenses and reduced operating losses.

All of the next generation video game consoles have now
successfully launched and the installed base of next generation
consoles is expected to reach around 44 million units by
Christmas 2002. As a result we believe that the outlook for the
entertainment software industry remains strong. We have an
exciting release schedule that includes key franchise titles such
as Lara Croft Tomb Raider: The Angel of Darkness, Hitman 2,
TimeSplitters 2 and Championship Manager 4 which are due for
release across a range of platforms in the coming months. We
believe that this robust line-up, combined with a sustained focus
on our business processes and operating fundamentals will enable
Eidos to take full advantage of the opportunities that this
growing market presents."

Note 1: Due to the change of year-end in the current period, the
comparative fifteen months have been derived on a proforma basis
from the previously published results for the year ended March
31, 2001 and the quarter ended June 30, 2001. Unaudited proforma
results for the 12-month periods to June 30, 2001 and June 30,
2002, prepared in accordance with UK GAAP, are also available
from Eidos on request.

Commenting on these results John van Kuffeler, Chairman, stated:

Review of Operations

Turnover for the 15 months to June 30, 2002 decreased 27.0% from
(pound) 176.6 million to (pound) 128.9 million (pre exceptional
charges). Operating losses pre goodwill and exceptional charges
were reduced by 35.1% from (pound) 34.4 million to (pound) 22.3
million. The loss per share was 22.9p, or 12.8p excluding
goodwill, compared to a loss per share of 97.7p and 80.3p in the
prior period respectively, based on a weighted average number of
shares in issue during the period of 133,957,160 (2001:
115,291,497). The 2001 comparatives for earnings per share have
been restated for the Rights Issue that occurred during the
current period, in accordance with FRS14 - Earnings per share.

In the fifteen months to June 30, 2002 we shipped 21new titles
(2001: 23), including eleven for PlayStation 2 and three for
Xbox. A number of key franchise titles such as Blood Omen 2, Soul
Reaver 2, and the PC CD versions of Commandos 2 and Championship
Manager Season 01/02, all sold in excess of 500,000 units during
the period. Whilst we were broadly satisfied with the performance
of these particular titles, the balance of our portfolio of new
releases did not meet expectations. Catalogue sales of earlier
versions of franchise titles such as Tomb Raider and
TimeSplitters remained strong in the period.

The gross margin for the 15 months to June 30, 2002 was 58.3%
compared to 50.8% (pre exceptional charges) for the corresponding
period last year. Improved controls over channel and inventory
exposures contributed to the increase in margins in the period,
whilst royalty costs were also greatly reduced. In line with
previous guidance, gross margins are forecast to fall slightly in
the coming year as a result of a shift in the sales mix towards
console titles. They are nevertheless expected to remain
significantly ahead of the levels reported during the period to
March 31, 2001.

Operating expenses before goodwill fell by 20.6% to (pound)99.3
million, compared to (pound)125.1 million for the same period
last year (pre exceptional charges). As previously reported,
improved controls over variable marketing expenses have
contributed to this decrease; however the majority of the savings
have come from sustained downward pressure on the Group's fixed
cost base. Overall fixed costs excluding goodwill amortization
and exceptionals were reduced by 26.0% in the period from
(pound)55.4 million to (pound)41.0 million, on a like for like
basis. The reduction in the goodwill amortization charge resulted
from the goodwill relating to the 1998 acquisition of Crystal
Dynamics becoming fully amortized during the period to June 30,
2002.

Under US GAAP, turnover post-exceptional charges for the fifteen
months to June 30, 2002, decreased 14.2% from (pound)171.1
million to (pound)146.7 million. Post-exceptional operating
expenses under US GAAP and before goodwill fell by 20.2% to
(pound)102.4 million from (pound)128.3 million for the same
period last year. The net loss in accordance with US GAAP for the
fifteen month period has fallen from (pound)112.8 million in the
prior period to (pound)31.4 million in the current period. The
basic loss per share has also fallen from 97.8p to 23.4p
accordingly.

As highlighted in our results for the twelve months to March 31,
2002, the Group has achieved savings in its fixed cost base of
(pound)22.7 million over a two-year period. The Group has borne a
certain level of one-off costs relating to the change of year-
end. However after adjusting for these costs, it remains the
Group's intention to hold its fixed costs, wherever possible, at
levels which are judged more commensurate with the ongoing needs
of the business.

Financing and Cashflow

The Group had net cash balances of (pound)59.1 million at June
30, 2002 (2001: (pound)8.7 million). Included within this sum is
(pound)11.4 million that comprises a tax rebate of (pound)10.5
million plus accrued interest of (pound)0.9 million. The Group
received the monies in the period following the submission of a
claim to the Inland Revenue. The claim remains subject to final
agreement by the Inland Revenue. Until such time as the Inland
Revenue has concluded its work in this respect, the Group has
prudently treated this sum as a contingent liability.

The Group had cash balances of (pound)47.7 million at June 30,
2002 excluding this sum. This strong position reflects the
success of the May 2001 Rights Issue and the disposal of the
Group's remaining stake in Opticom in November and December 2001.

The net cash outflow from operating activities for the period was
(pound)18.6 million reflecting the operating loss incurred during
the period.

Profit on Investments

The Group disposed of its remaining shareholding in Opticom
during the period, realizing net proceeds of (pound)11.0 million
and a net profit of (pound)8.5 million. This profit was partially
off-set by write downs and losses on other disposals of
(pound)4.1 million, which occurred following a review of the
Group's other investments in the period.

Taxation

The Group recorded a small tax charge in the period. This largely
comprises the Group's share of taxes payable in its profitable
joint venture companies. Significant brought forward losses
remain available within the Group to offset future trading
profits. The Group has however reviewed the provisions of FRS19 -
Deferred Tax, and believes that no further amounts should be
recognized in respect of these losses.

Dividends

No dividend has been paid during the period and the Board is not
proposing to recommend the payment of a final dividend.

Change of year-end

As previously announced on December 12, 2001, the Group has
changed its year-end during the current financial year, to June
30.

Historically, a significant proportion of sales have taken place
in the fourth quarter of the Group's financial year. Consequently
revenues for the year have been difficult to predict until a late
stage of the financial year. Changing the year-end will reduce
this uncertainty and as a result should increase the Group's
ability to respond to changing circumstances and take appropriate
corrective action. Following these fifteen-month results, we will
be adopting a twice-yearly reporting cycle based on a June 30,
year-end.

Current Trading and Future Prospects

We will shortly be entering the busiest and most exciting period
of the Group's financial year. Key franchise titles including
Hitman 2 (PlayStation 2, Xbox and PC CD), TimeSplitters 2
(PlayStation 2, GameCube and Xbox) and Championship Manager 4
(Xbox and PC CD) are all scheduled for release in the coming
months. In addition, Lara Croft Tomb Raider: The Angel of
Darkness, the latest installment of the Tomb Raider franchise is
due to be released for the first time on PlayStation 2 and also
on PC CD. The critical acclaim that these titles and other future
Eidos releases received during the recent E3 trade show in Los
Angeles reaffirms our belief that they have the potential to
achieve mass-market acceptance and so reach the widest possible
audience of gamers. We were particularly pleased to see
TimeSplitters 2 named the best first person shooter of the show
on both the PlayStation 2 and GameCube formats, by the
independent online games magazine, IGN.

Our results for the fifteen months to June 30, 2002 underline the
significant improvements we have introduced to our business. The
increase in gross margins and the reductions in fixed operating
expenses that we have achieved in the period, coupled with the
strong cash position resulting from our May 2001 rights issue,
gives us the best possible foundation for the current year and
beyond. Wherever possible, we have put the necessary measures in
place to maintain the levels of prudence and operational
efficiency required to lock-in these improvements in our reported
financial performance. We will continue an on-going review of all
of our business critical processes which we believe will yield
further demonstrable results and help prepare the Group for the
next stage in its evolution.

The outlook for consumer spending in certain of the economies in
which we operate remains uncertain. Nevertheless, we believe that
there are strong signs that the market for entertainment hardware
and software has significant momentum and that it should continue
to demonstrate solid growth in the immediate future. Independent
sources* estimate that the market for entertainment software
remains on course to grow from USUSD17.7bn in 2001 to USUSD21.4bn
in 2003. We believe that our strategy of focusing on franchise
properties with proven track records of success will provide the
best possible opportunity for profiting from this growth. New
titles such as Backyard Wrestling and Swingerz Golf give our
portfolio further depth and increase our opportunities to
participate fully in a growth market, without unduly exposing our
release schedule to the risks inherent in bringing new concepts
and franchises to market.

We are now in the final stages of the development and testing of
several of our key franchise titles. The full efforts of senior
management are being directed towards the timely delivery of
these titles. The Board believes that the factors which gave us
cause for optimism when we announced our results for the 12
months to March 31, 2002 remain unchanged and consequently that
our future prospects remain good. We continue to believe that our
balanced portfolio approach to our business, when combined with
our ongoing efforts to drive further lasting change and real
process improvement, gives us the best possible basis for
delivering on our plans for improved financial performance and
sustainable growth.

To see Financial Results:
http://bankrupt.com/misc/Eidos.doc

CONTACT:  EIDOS PLC
          Michael McGarvey
          Phone: 0011 44 20 8636 3000


GLOBAL CROSSING: Court Fixes September 30, 2002 Claims Bar Date
---------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
established September 30, 2002, at 5:00 p.m., Eastern Time, as
the last date and time by which proofs of claim must be filed in
the Chapter 11 cases involving Global Crossing Ltd., and its
debtor-affiliates.

The proof of claim must be received on or before the Bar Date by
the Debtors' claims agent, Bankruptcy Services LLC, either by
mailing, or delivering by messenger or overnight courier, the
original proof of claim to:

Global Crossing Claims Processing
c/o United States Bankruptcy Court
Southern District of New York
P.O. Box 5014
Bowling Green Station
New York, New York 10274-5014


MARCONI: Analysts Worry Survival Amidst Bigger Competitors
----------------------------------------------------------
Being cut down to size by debt restructuring analyst are worried
on how Marconi would survive in a market dominated by bigger
rivals like Alcatel and Nortel Networks. Restructuring of its
GBP4 billion (US$6.26 billion) debt had left the Company at one-
eight the size of its main European rival, Alcatel SA, and a
workforce one-third of its peak.

Marconi now concentrates on selling to patron instead of selling
an expanded range of telecom equipment to operators in a world-
ide scale.

Alcatel and Nortel Networks are seen as rival that has the
capacity to monopolize the market. Investors are worried that
Marconi, when cornered by this obstacle, can no longer find other
alternative source of funding. Analysts are saying the Company
has no "Plan B," nor spare cash, according to Dow Jones.

The Company however is confident they will not need cash, and
that in case the need arise, it would not get any, says the
report.

Citing Marconi Chief Executive Mike Parton, the report says the
Company no longer believes on the influence of big suppliers that
sells complete networks to global operators.

Mr. Parton insisted they would concentrate on areas where they
have strong foothold.

The restructuring gave the Company GBP498 million to downsize and
GBP635 million in cash to operate with what remained. The plan is
aimed at picking the business up at the end of 2003 without
further cutbacks.


MARCONI: Restructuring to Secure Easynet Share Until End of 2002
----------------------------------------------------------------
Communications equipment maker Marconi will hold on to its 72
percent control in internet service provider Easynet until the
end of the year, The Guardian reports citing chief Executive
David Rowe. Mr. Rowe confirms the Company need not put the
business on "fire sale" after the debt restructuring.

Easynet's shares had been affected by rumors that financially
troubled Marconi might sell the stake at a low price to raise
cash.  Marconi picked up its holding in Easynet in July 2001 in
exchange for Ipsaris fibre-optic network in the UK.

The restructuring announced last week made Mr. Rowe confident it
can sustain without until the end of the year without putting the
Easynet stake for sale.


NTL INC: New York Court Confirms 2nd Amended Reorganization Plan
----------------------------------------------------------------
NTL Incorporated announced that the United States Bankruptcy
Court for the Southern District of New York confirmed its Second
Amended Joint Reorganization Plan on September 5, 2002, clearing
the way for NTL's emergence from Chapter 11 protection.

Consummation of the Plan remains subject to the satisfaction or
waiver of the conditions set forth in the Plan. The Plan is
expected to be consummated in October 2002, by which time NTL
expects to emerge from Chapter 11. The company and certain of its
non- operating subsidiaries filed Chapter 11 petitions on May 8,
2002.

Commenting on the court's action, the company's President and
CEO, Barclay Knapp, said: "We are extremely pleased to be
emerging from these cases so quickly. The support we have
received from our various stakeholders has allowed us to move
through this process without significant interruption to our
business. We believe we have taken the steps needed to solidify
NTL's financial position for the future. I would like to extend
our deepest appreciation to our customers and business partners
for their loyalty during this process. I would also like to
extend my personal thanks to all of our employees and advisors
who have worked so diligently during these past months to ensure
the success of this process and the future of our company. Over
the next few weeks we will complete the remaining items of the
plan, including finalizing the exit financing facility for NTL UK
and Ireland, and emerging from this process."

The Plan provides for NTL to be reorganized into two new groups,
the holding companies for which will be the corporations
currently named NTL Communications Corp. and NTL Incorporated.

On the effective date of the Plan:

--  NTL Communications Corp., will be renamed "NTL Incorporated"
and will be the holding company for substantially all of NTL's
businesses and operations in the U.K. and Ireland;

--  NTL Incorporated will be renamed "NTL Europe, Inc." and will
be the holding company for substantially all of NTL's businesses
and investments in continental Europe as well as certain other
minority investments and interests;

--  NTL UK and Ireland Board of Directors will initially be
constituted as a new nine-member board selected by the Official
Creditors Committee. The following seven members were named as
part of the Company's Confirmation Hearing filing: Jeffrey D.
Benjamin; James E. Bolin; David Elstein; William R. Huff; Barclay
Knapp; Duncan Lewis; and George R. Zoffinger. In addition, Mr.
Edwin Banks was named to be a member of the Board of Directors
upon the naming of a ninth member. It was also announced that it
is the current intention of the parties that the Board of
Directors may be expanded to 11 members in the future to include
the permanent CFO of NTL UK and Ireland (as to which a search has
already commenced) and another person to be named by the new
board. In addition, Barclay Knapp was confirmed as President and
CEO; and --  NTL Euroco will have a new three-member board.
Members named were: Michael J. Cochran; H. Sean Mathis; and
Jeffrey A. Brodsky. In addition, Jeffrey A. Brodsky will serve as
the new company's CEO. Mr. John F. Gregg will serve as the new
company's CFO.

The company's previously announced rights offering and noteholder
election option to purchase shares of common stock and warrants
in NTL UK and Ireland is expected to commence on September 6,
2002, and expire at 5:00 p.m., New York City Time, on October 3,
2002, unless extended in accordance with their terms. The record
date for the rights offering and noteholder election option was
August 26, 2002.

All classes entitled to vote on the Plan voted overwhelmingly in
favor of acceptance of the Plan. The record date for voting for
the Plan was May 8, 2002. The record date for determining persons
entitled to distributions under the Plan is close of business on
September 16, 2002.

As of May 8, 2002, there were 276,626,476 shares of the company's
old common stock, 183,811.52 shares of the company's old senior
preferred stock and 4,873,529.52 shares of the company's old
junior preferred stock issued and outstanding.

Under the terms of the Plan, the outstanding pre-Chapter 11
common stock and preferred stock of the company and all of the
publicly-traded debt securities of NTL (other than the publicly-
traded debt securities of NTL (Triangle) LLC, the publicly-traded
debt securities of Diamond Holdings Limited, which will be
reinstated under the terms of the Plan, and the Diamond Cable
Communications Limited publicly-traded debt securities
transferred to NTL UK and Ireland under the terms of the Plan)
will be cancelled in exchange for distributions from New NTL and
Euroco substantially as follows:

--  Holders of Diamond Cable Communications Limited notes will
receive their pro rata share of 27,271,736 shares of NTL UK and
Ireland Common Stock;
--  Holders of NTL Communications Corp.'s senior notes will
receive their pro rata share of (i) 165,504,192 shares of NTL UK
and Ireland Common Stock, (ii) 75,800 shares of NTL Euroco
Preferred Stock (assuming a USD50.00 liquidation preference per
share), (iii) 0.725% of the Delaware Cash Amount (as defined in
the Plan), (iv) 5.012% of the NTL Cash Amount (as defined in the
Plan), and (v) the value of 331,222 shares of NTL Euroco Common
Stock;

--  Holders of NTL Communications Corp.'s subordinated notes will
receive their pro rata share of (i) 3,292,516 shares of NTL UK
and Ireland Common Stock, (ii) 6,615 shares of NTL Euroco Common
Stock, (iii) 1,520 shares of NTL Euroco Preferred Stock (assuming
a USD50.00 liquidation preference per share), (iv) 0.014% of the
Delaware Cash Amount, (v) 0.100% of the NTL Cash Amount, and (vi)
the NTL UK and Ireland Noteholder Election Option allocable to
holders of NTL Communications Corp.'s subordinated notes;

--  Holders of NTL (Delaware), Inc., subordinated notes (other
than France Telecom) will receive their pro rata share of (i)
2,661,253 shares of NTL UK and Ireland Common Stock, (ii)
10,692,532 shares of NTL Euroco Common Stock, (iii) 5,987,820
shares of NTL Euroco Preferred Stock (assuming a USD50.00
liquidation preference per share), (iv) 8.540% of the Delaware
Cash Amount, and (v) the NTL UK and Ireland Noteholder Election
Option allocable to holders of NTL (Delaware), Inc. subordinated
notes (other than France Telecom);

--  Holders of NTL Incorporated's subordinated notes (other than
France Telecom) will receive their pro rata share of (i)
1,270,303 shares of NTL UK and Ireland Common Stock, (ii)
6,270,159 shares of NTL Euroco Common Stock, (iii) 1,434,880
shares of NTL Euroco Preferred Stock (assuming a USD50.00
liquidation preference per share), (iv) 13.720% of the Delaware
Cash Amount, (v) 94.887% of the NTL Cash Amount, and (vi) the NTL
UK and Ireland Noteholder Election Option allocable to holders of
NTL Incorporated's subordinated notes (other than France
Telecom);

--  Holders of the company's old senior preferred stock will
receive their pro rata share of (i) 2,996,475 NTL UK and Ireland
Series A Warrants, (ii) 1,284,203 NTL UK and Ireland Equity
Rights, and (iii) 642,102 shares of NTL Euroco Common Stock;

--  France Telecom will receive (i) 100% of the Company's
interest in Suez Lyonnaise Telecom, (ii) 22,402,468 NTL UK and
Ireland Series A Warrants, and (iii) 9,601,058 NTL UK and Ireland
Equity Rights;

--  Holders of the company's old common stock will receive their
pro rata share of (i) 9,601,058 NTL UK and Ireland Series A
Warrants, (ii) 4,114,739 NTL UK and Ireland Equity Rights, and
(iii) 2,057,369 shares of NTL Euroco Common Stock; and

--  Holders of the company's old warrants and old options will
not be entitled to, and will not, receive or retain any property
or interest on account of such old warrants and old options.

More on NTL:

--  On May 2, 2002, NTL announced that the Company, a steering
committee of its lending banks and an unofficial committee of its
public bondholders had reached an agreement in principle on
implementing a reorganization plan. The members of the bondholder
committee held in the aggregate over 50% of the face value of the
Company's and its debtor subsidiaries' publicly-traded debt
securities. In addition, France Telecom and another holder of the
Company's preferred stock agreed to the reorganization plan.

--  On May 8, 2002, the company and certain of its non-operating
subsidiaries filed the First Amended Joint Reorganization Plan
with the Court.

--  On May 24, 2002, the company and certain of its non-operating
subsidiaries filed the Plan and a disclosure statement relating
thereto with the Court.

--  On June 21, 2002, an official committee of creditors,
comprised of the members of the unofficial committee of public
bondholders and three additional members, was appointed by the
United States Trustee to oversee the Chapter 11 cases.

--  On July 2, 2002, the court approved a USD630 million credit
facility for the company including USD500 million in new
financing.

--  On July 15, 2002, the court approved the amended disclosure
statement relating to the Plan and set the date for the Plan
confirmation hearing on September 5, 2002.

--  NTL offers a wide range of communications services to homes
and business customers throughout the United Kingdom, Ireland,
Switzerland, France, Germany and Sweden.


PSION: Gives Enhanced Communications for netBook Mobile Device
--------------------------------------------------------------
Psion Teklogix (http://www.psionteklogix.com), a global provider
of rugged mobile devices and wireless LAN system implementation
and support, announced an enhanced Symbian operating system and
an upgraded PC card slot allowing ISDN and General Packet Radio
Services connectivity for its netBook mobile computer, a sub-
notebook-sized solution for the mobile sales, service and
professional field workforce. The enhancements mean greatly
improved connectivity options for the mobile user, with both
wired and wireless Ethernet, an improved TCP/IP stack for more
stable LAN and WLAN communications, plus connectivity to ISDN and
GPRS.

Falling in between a tablet-based PDA and a notebook in size, the
netBook supports Java, HTML, C/C++ and OPL development
environments, and offers the benefits of a traditional PDA such
as portability, 'instant -on' capability and long battery life,
along with the ease-of-use qualities associated with a notebook
such as a large screen and a touch-type keyboard.

The enhanced OS is designed to increase flexibility for mobile
workers offering improved options and incorporating a new secure
web browser from Opera (version 5) for wirelessly connecting to
the Web and company networks using data rates of up to 114 Kb/s.

"With the widespread adoption of mobile enterprise computing
solutions, users are becoming more demanding and hence products
must fulfil these requests to win marketshare," said Norbert
Dawalibi, vice president marketing, strategy and business
development, Psion Teklogix. "The enhanced netBook OS meets these
demands by allowing its users to stay at the forefront of the
industry both from a technology and competitive standpoint."

Since the launch of the original netBook, Psion Teklogix has
focused on the application requirements and development tools
that corporations need to deploy mobile solutions. With the
netBook updates the company will tap into new vertical markets
with local and wide area wireless requirements, including
education and passenger transport.

The netBook features a full VGA high-quality colour touch screen
and supports a PC card drive plus an additional slot for either a
compact flash card or disk drives for large data storage
requirements, such as IBM's 1 gigabyte (GB) Microdrive(TM), the
world's smallest hard disk drive. Running on a rechargeable
lithium-ion battery pack, the netBook can do a full working day
out in the field, with up to 8.5 hours' operation on a full
recharge of just 2.5 hours.

Psion Teklogix is a global provider of rugged mobile devices and
wireless LAN systems and support to the enterprise. The company'
s systems, installed in more than 15,000 sites worldwide, provide
mobile workers with anytime, anywhere access to enterprise IT
systems. Psion Teklogix offers the widest range of connectivity
options, and a choice of real-time, near-time and batch
technologies. The largest operating division of Psion PLC, Psion
Teklogix plays a key role in its parent company's vision to
create new ways to access mobile data and the mobile Internet.
Psion Teklogix has 43 sales and support offices and 95
independent distributors throughout the world.

Contact Information:

Ted Zwibel
Psion Teklogix
Tel: 905/813-9900
E-mail: ted.zwibel@teklogix.com


WORLDCOM INC: Intends to Assume Verizon Billing Agreements
----------------------------------------------------------
Pursuant to Sections 365(a) and (b) of the Bankruptcy Code,
Worldcom Inc., and its debtor-affiliates seek the Court's
authority to assume:

-- the Agreement for Billing and Collection Services by
andbetween Debtors MCI WorldCom Communications, Inc. and
Telecom*USA, Inc. and Verizon Services Corp., acting on behalf of
itself and its certain affiliated operating telephone companies,
dated September 19, 2001; and

-- the Billing Services Agreement by and between MCI
Telecommunications Corp., Telecom*USA, Inc. and certain Verizon
operating telephone companies, dated October 19, 1997.

By their terms, the Billing Services Agreements are scheduled to
expire on September 10, 2002.

Under the Billing Services Agreements, the Verizon OTCs bill on
Verizon local telephone bills, collect and purchase amounts owed
to the Debtors by its customers for long distance services
rendered by the Debtors on Verizon's local telephone bills.  In
return, the Debtors pay the Verizon OTCs billing and service
fees.  According to Lori R. Fife, Esq., at Weil Gotshal & Manges
LLP, in New York, the Debtors send the Verizon OTCs two types of
rated traffic to place on their local bills:

-- dial-one traffic pre-packaged into an invoice-ready format by
the Debtors for 2,500,000 customers, and

-- dial-around and casual traffic for 2,300,000 customers,
consisting primarily of services including 1-800 Collect and
programs, whereby customers are able to dial codes including
1010220 prior to making a long distance call.

The Verizon OTCs purchase the Debtors' account receivables at
full retail value.  The Verizon OTCs pay the Debtors the
receivables, less any recourse items including unbillables,
adjustments and bad debt items.  The Verizon OTCs then invoice
the Debtors for billing and collection fees.  The Debtors bill
its customers hundreds of millions of dollars per month in
revenues under the Billing Services Agreements and the Verizon
OTCs bill the Debtors millions of dollars in monthly fees under
the Billing Services Agreements.

If the Billing Services Agreements expire, Ms. Fife fears that
the Debtors' billing system for 4,800,000 customers would be
eliminated.  Converting the 2,500,000 invoice-ready customers to
the Debtors' direct billing would create a loss of billing
revenue of tens of millions of dollars through 2003 and increased
expenses totaling of tens of millions of dollars.

Moreover, the expiration of the Billing Services Agreements would
eliminate any opportunity for the Debtors to offer casually
dialed products because, due to the transitory nature of these
services, the Debtors do not have billing names and addresses for
these customers.  These services generate hundreds of millions of
dollars per year in revenue, which revenue would be permanently
lost if the Agreements terminate.

On August 22, 2002, the Debtors and the Verizon OTCs entered into
an Agreement for Extension and Assumption of Billing Services
Agreements and For Cure of Defaults, pursuant to which:

1. The Debtors and the Verizon OTCs have agreed to modify the
Billing Services Agreements to extend their term to December 31,
2003, subject to approval of the assumption and modification by
this Court.  As extended, all terms of the Billing Services
Agreements will remain in full force and effect, including the
rates set out in the amendment to the Letter of Agreement that
extended the Billing Services
Agreements to June 20, 2002;

2. The Debtors have agreed to cure all defaults under the Billing
Services Agreements.  The Debtors owes the Verizon OTCs at least
$34,527,000 under the Billing Services Agreements and that
additional fees or other amounts may also be owing; and

3. Pursuant to the Utility Order, the Debtors and the Verizon
Entities agree to negotiate in good faith to determine whether
they can reach agreement with respect to potential rights of
setoff and recoupment between the Verizon Entities and the
Debtors.  The Assumption Agreement is without prejudice to the
Verizon Entities' and the Debtors' respective rights, claims and
defenses -- including any rights, claims and defenses of setoff
and recoupment - with respect to any funds that the Debtors claim
that the Verizon Entities owe or any funds that the Verizon
Entities claim that the Debtors owe in addition to the Verizon
OTCs' claims under the Billing Services Agreements, which claims
will be satisfied in full.  The Debtors acknowledge that the
Verizon
Entities have disputed a substantial portion of the amounts,
which the Debtors claim that the Verizon Entities owe.  Inorder
to preserve their asserted rights of setoff and recoupment, the
Verizon Entities have retained and placed an administrative
freeze on the full amount that the Debtors allege that Verizon
owes them -- with respect to the receivables that Verizon is
holding, as well as additional amounts that the Debtors claim
that Verizon owes them for other claims.  In order to further the
negotiations between the parties, they agreed that the
continuation of the Administrative Freeze, and the absence of any
motion by Verizon for relief from the automatic stay under
Section 362 of the Bankruptcy Code to the extent necessary to
permit a setoff, will not be deemed a violation of the automatic
stay during the Standstill Period.  The Standstill Period will
begin on the Petition Date and continue through and including 15
days after written notice of termination of the Standstill Period
is given by the Debtors, which notice may not be sent by the
Debtors any time before 30 days after entry of an order approving
this motion. (Worldcom Bankruptcy News, Issue No. 6; Bankruptcy
Creditors' Service, Inc.,609/392-0900)


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        S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter -- Europe is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Trenton, NJ
USA, and Beard Group, Inc., Washington, DC USA. Kimberly MacAdam,
Larri-Nil Veloso, Ma. Cristina Canson and Jean Claire Dy,
Editors.

Copyright 2002.  All rights reserved.  ISSN 1529-2754.

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