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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

                 Wednesday, November 20, 2002, Vol. 3, No. 230


                              Headlines


* B E L G I U M *

LERNOUT & HAUSPIE: Assigns Causes of Action to Litigation Trust
SBT GROUP: Keppel Engineering Completes Asset Acquisition

* F I N L A N D *

SONERA CORP: Telia Announces Preliminary Results of Share Tender

* F R A N C E *

ALCATEL: Introduces Cost-Effective Core IP/MPLS Solution
ALCATEL: DiGi Awards Operation Support System Contract
CANAL PLUS: Likely to Announce Additional Job Cuts
FRANCE TELECOM: Buy-out Talks With Liberty Media Collapses
SCOR GROUP: Reviews Operation to Put Business Back on Track

* G E R M A N Y *

BAYER AG: In Sale Discussions With U.K.'s GlaxoSmithKline
DEUTSCHE TELEKOM: Moody's to Review Rating for Possible Downgrade
DEUTSCHE TELEKOM: To Complete Cable Asset Sale by Q1 of 2003
HVB GROUP: S&P Assigns Preliminary Rating in Synthetic RMBS Deal

* I T A L Y *

FIAT SPA: Job Cuts Meet Another String of Protests
TELECOM ITALIA: Agrees With Interbanca to Sell Shares in IMMSI

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

BCCOMPONENTS HOLDINGS: Vishay Intends to Acquire Business

* S W I T Z E R L A N D *

SWISS LIFE: Holding Plans to Create Additional Equity Capital
ZURICH FINANCIAL: Mulls on Divesting Profitable Operation

* U N I T E D   K I N G D O M *

ANTISOMA PLC: Roche to Obtain Rights to Portfolio of Cancer Drugs
EVANS SUTHERLAND: Books Multi-million Dollar Order From Indra
GLAXOSMITHKLINE: Investors Oppose Share Package for CEO
INDIGOVISION GROUP: Talks With Possible Buyer Continue
KINGFISHER PLC: Boosts Castorama Dubois Investissements Holding
MARCONI PLC: Opens New Broadcasting Revenue Streams
MARCONI PLC: Introduces ViPr for Network-Centric Communications
MYTRAVEL PLC: Ebookers Admits Interest in Buying Assets
TXU EUROPE: Defaults on More Than US$200 Million in Debt


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B E L G I U M
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LERNOUT & HAUSPIE: Assigns Causes of Action to Litigation Trust
---------------------------------------------------------------
Lernout & Hauspie Speech Products N.V. is assigning all of its
causes of action to a litigation trust. As a result of the
accounting irregularities and allegations of fraud relating to
L&H NV's prepetition activities, numerous potential Causes of
Action exist relating to these matters and to L&H NV's
acquisitions of various companies, including, but not limited
to, Dictaphone and L&H Holdings.  These potential Causes of
Action include actions against L&H NV's former officers and
directors, prepetition auditors -- possibly including KPMG or
any of its foreign or U.S. affiliates for, inter alia,
accounting fraud, financial advisors and other professionals and
the financial institutions involved in the alleged fraudulent
activities of and involving L&H NV's investments and activities
in Korea.

The Litigation Trust will pursue L&H NV's Assigned Causes of
Action in a manner as to maximize the recoveries to the
respective Classes of creditors and interests receiving
Litigation Trust Membership Interests under the Plan.  L&H NV,
however, is not assigning to the Litigation Trust Causes of
Action released in accordance with the Plan or Causes of Action
settled or resolved in the Plan or pursuant to a Final Order
of the Bankruptcy Court.  Other excluded Causes of Action
include:

(a) any and all Causes of Action settled or resolved in the Plan
    or pursuant to a Final Order of the Bankruptcy Court;

(b) that certain Cause of Action bearing the caption Apple
    Computer, Inc. v. Articulate Sys., Inc. And Dragon Sys.,
    Inc., (N.D. Cal.);

(c) any and all Causes of Action of L&H NV against former
    directors, officers, administrators, or administrators-in-
    fact of L&H NV, arising pursuant to Clause 530 of the
    "Wetboek van Vennootschappen") (the Belgian Company Code)
    dated May 7, 1999;

(d) any and all Causes of Action arising out of or relating to
    any criminal proceeding initiated against former directors,
    officers, administrators, or administrators-in-fact of L&H
    NV, including, but not limited to, Causes of Action for
    indemnification;

(e) any and all Causes of Action, the enforcement, prosecution,
    litigation, or settlement of which either: (a) must be
    initiated, or already has been initiated outside the
    jurisdiction of the courts of the United States or (b) would
    have an adverse impact on, or would impair the enforcement,
    prosecution, litigation, or settlement of the Debtor's
    Assigned Causes of Acton by the Litigation Trust, as such
    adverse impact or impairment may be determined by the
    Curators, with the consent of the Litigation Monitoring
    Committee, which consent will not be withheld unreasonably;
    and

(f) any Causes of Action asserted against any third party who
    has asserted a Claim against L&H NV unless and until:

    (a) L&H NV has asserted any and all of L&H NV's
        counterclaims against such third party or rights
        to set-off or recoupment against the third party,
        including L&H NV's rights under Section 502(d) of
        the Bankruptcy Code, and (b) such counterclaims,
        rights to setoff or recoupment, or rights under
        Section 502(d) of the Bankruptcy Code have been
        determined by a Final Order or otherwise.  L&H NV
        will retain defenses, counterclaims, and setoffs
        to any causes of action or claims asserted against
        it.

The Litigation Trust will be established as of the Effective
Date.  The Litigation Trustee will also be appointed on the
Effective Date.

On the Effective Date, the Estate and L&H NV will be deemed to
have, and will have, irrevocably assigned and transferred to the
Litigation Trust all of their rights, title and interest in and
to any and all of the Assigned Causes of Action and any proceeds
thereof received by the Estate.  Each of the Debtor's Assigned
Causes of Action, except as otherwise provided in the Plan, will
be free and clear of all Liens, claims, encumbrances and other
interests.  Except as otherwise provided in the Plan, L&H NV
will not have any further right, title or interest in any of the
Debtor's Assigned Causes of Action, and neither L&H NV nor Post
Effective Date L&H NV will be entitled to receive any portion of
any amounts recovered on account of any of the Debtor's Assigned
Causes of Action.

                    Funding The Litigation Trust

On the Effective Date, Post Effective Date L&H NV will pay to
the Litigation Trust $600,000 for the establishment of a reserve
to pay the fees, expenses and costs of the Litigation Trust and
the Litigation Trustee.  In addition, Post Effective Date L&H NV
will pay to the Litigation Trust $100,000 for the establishment
of a reserve to pay the fees, expenses and costs of a Litigation
Monitoring Committee.  To the extent that the Litigation Trustee
and the Litigation Monitoring Committee reasonably agree that
the amounts of the Litigation Trust Reserve and the Litigation
Monitoring Committee Reserve exceed the amounts reasonably
anticipated to be incurred by the Litigation Trust and the
Litigation Trustee in the pursuit of their duties and
obligations, the excess amounts will be returned to the
successors of the Estate and will be treated as Available Cash
for Distributions to holders of Allowed Claims.

To the extent that the Litigation Trustee reasonably determines
that the amount of the Litigation Trust Reserve is not
sufficient to pursue its duties and obligations, the Litigation
Trustee may request from Post-Effective Date L&H NV and the
Curators additional funding for the Litigation Trust Reserve,
and the consent of Post-Effective Date L&H NV and the Curators
with respect to the request for additional funding for the
Litigation Trust Reserve will not be withheld unreasonably.
Post Effective Date L&H NV will have no obligation to the
Litigation Trust or any holder of an interest therein other than
its obligations to reasonably cooperate as a party to the
Debtor's Assigned Causes of Action assigned to the Litigation
Trust.  In addition, the Litigation Trustee may, with the
written consent of the Litigation Monitoring Committee, borrow
funds to finance the operations of the Litigation Trust, which
borrowing(s) may include equity participation features.

     Application Of Litigation Trust Proceeds And Expenses

The Curators will be responsible for distributing the Debtor's
Litigation Proceeds to holders of Litigation Trust Beneficial
Interests who received the interests on account of the Allowed
Class 3 Unsecured Claims.  The Litigation Trustee will be
responsible for making the distributions to holders of
Litigation Trust Beneficial Interests who received the interests
on account of their Class 4 PIERS/Old Convertible Subordinated
Notes Claims.

Specifically, on receipt of the proceeds of any Debtor's
Assigned Causes of Action assigned to the Litigation Trust, the
Litigation Trustee will:

(a) determine whether to distribute such proceeds to holders of
    Litigation Trust Beneficial Interests who received such
    interests on account of their Allowed Class 4 PIERS/Old
    Convertible Subordinated Notes Claims; and

(b) distribute such proceeds to the Curators for distribution
    to the holders of Litigation Trust Beneficial Interests who
    received such interests on account of their Allowed Class 3
    Unsecured Claims.

In the event that the Litigation Trustee distributes the
proceeds either to:

  -- the holders of Litigation Trust Beneficial Interests who
     received the interests on account of their Allowed Class 4
     PIERS/Old Convertible Subordinated Notes Claims, or

  -- the Curators for distribution to holders of Litigation
     Trust Beneficial Interests who received the interests on
     account of their Allowed Class 3 Unsecured Claims, or

if there are no more proceeds that can be realized by the
Litigation Trust, then the Litigation Trustee will apply the
proceeds, net of amounts paid or deductions made by reason of
set-off to the Litigation Trustee or by reason of reduction in
judgment or reimbursement obligations of the Litigation Trustee:

(a) after utilizing amounts in the Litigation Trust Reserve
    and the Litigation Monitoring Committee Reserve, to
    the payment of any associated taxes and unpaid
    administrative expenses of the Litigation Trust, the
    Litigation Trustee and the Litigation Monitoring Committee;

(b) pro rata, to the payment of the reasonable unpaid fees and
    expenses incurred in employing professionals for the
    Litigation Trustee and the Litigation Monitoring Committee,
    and the compensation and expenses of the Litigation Trustee;

(c) to either the Litigation Trust Reserve or the Litigation
    Monitoring Committee Reserve for the reasonably anticipated
    amount of any future expenses and obligations to the extent
    the amounts in the reserves are insufficient; and

(d) the balance to the Curators for distribution to the holders
    of Litigation Trust Beneficial Interests who received the
    interests on account of their Allowed Class 3 Unsecured
    Claims and to holders of Litigation Trust Beneficial
    Interests who received the interests on account of their
    Allowed Class 4 PIERS/Old Convertible Subordinated
    Notes Claims.

           Timing Of Litigation Trust Distributions

The Litigation Trustee and the Curators, as the case may be,
will distribute the Debtor's Litigation Proceeds at times as the
Litigation Trustee and the Curators deem appropriate, but only
after paying all outstanding Litigation Administrative Costs and
reserving for any additional reasonable Litigation
Administrative Costs that may be incurred thereafter.

                    Litigation Trust Reserve

The Litigation Trust will withhold, from the amounts to be
distributed to holders of Litigation Trust Beneficial Interests,
amounts sufficient to be distributed on account of the
Litigation Trust Beneficial Interests that may be granted to
holders of Claims that are Disputed Claims as of the date of
distribution of proceeds, and the Litigation Trust will place
the withheld proceeds in reserve.  To the extent the Disputed
Claims ultimately become Allowed Claims, and Litigation Trust
Beneficial Interests are granted to the holders of the Claims,
payments with respect to the interest will be made from the
Litigation Reserve. The Litigation Trustee, in consultation with
Post Effective Date L&H NV, will determine the amount to reserve
in the Litigation Reserve based on the amount of Disputed Claims
determined or estimated for the purposes of the Disputed Claims
Reserve.

                Compensation Of Litigation Trustee

The Litigation Trustee will receive compensation for services to
the Litigation Trust as agreed on by the Litigation Trustee, and
both the L&H Creditors' Committee and the Curators, for its
services and will be entitled to reimbursement of reasonable
expenses incurred in performing its duties out of the assets of
the Litigation Trust.

                  Indemnification and Exculpation

>From and after the Effective Date, the Litigation Trustee and
members of the Litigation Monitoring Committee, and their
respective post-Effective Date directors, members, officers,
will be exculpated and indemnified as provided in the Litigation
Trust Agreement.

The Litigation Trustee and the Litigation Monitoring Committee,
from and after the Effective Date, are exculpated by all
Persons, holders of Claims and Equity Interests, Entities, and
parties-in-interest receiving distributions under the Plan, from
any and all claims, Causes of Action, and other assertions of
liability arising out of its discharge of the powers and duties,
except solely for actions or omissions arising out of its gross
negligence, willful misconduct or breach of its fiduciary
duties.

No holder of a Claim or an Equity Interest will have or pursue
any claim or Cause of Action:

(a) against the Litigation Trustee or the Litigation Monitoring
    Committee for Distributions made in accordance with the
    Plan, or for implementing the provisions of the Plan, or

(b) against any holder of a Claim for receiving or retaining
    payments or other Distributions as provided for by the Plan.

The Litigation Trustee and the Litigation Monitoring Committee
will not be liable for any action taken or omitted in good faith
and reasonably believed by it to be authorized within the
discretion or rights or powers conferred on it by the Plan or
the Litigation Trust Agreement.

In performing its duties under the Plan and the Litigation Trust
Agreement, each of the Litigation Trustee and the Litigation
Monitoring Committee will have no liability for any action taken
by the Litigation Trustee and the Litigation Monitoring
Committee in good faith in accordance with the advice of
counsel, accountants, appraisers and other professionals
retained by it, Post Effective Date L&H NV, or the Litigation
Trust.

The Litigation Trustee and the Litigation Monitoring Committee
may rely without independent investigation on copies of orders
of the Bankruptcy Court reasonably believed by it to be genuine,
and will have no liability for actions taken in good faith in
reliance thereon.  None of the provisions of the Plan will
require the Litigation Trustee or the Litigation Monitoring
Committee to expend or risk their own funds or otherwise incur
personal financial liability in the performance of any of their
duties or in the exercise of any of its rights and powers. The
Litigation Trustee and the Litigation Monitoring Committee may
rely without inquiry on writings delivered to it, which it
reasonably believes in good faith to be genuine and to have been
given by a proper Person. (L&H/Dictaphone Bankruptcy News, Issue
No. 32; Bankruptcy Creditors' Service, Inc., 609/392-0900)


SBT GROUP: Keppel Engineering Completes Asset Acquisition
---------------------------------------------------------
Keppel Engineering Pte Ltd, the wholly owned subsidiary of Keppel
Corporation Limited (KCL) through Keppel Integrated Engineering
Limited (KIE), has successfully completed the asset acquisition
of the environmental technology and engineering group Seghers
Better Technology (SBT).

This follows the signing of the purchase agreement for the assets
at EUR 19.1 million, which was announced on 30 October 2002.

The acquisition will move the Keppel Group ahead in building a
sustainable environmental business under its Infrastructure
Division, and in achieving growth that will enhance shareholder
value.

Keppel Engineering will own the Belgian group's environmental and
process technologies and intellectual properties, commercial
network, customer base and sophisticated human capital base.

Said Mr Yick Ping Wong, Managing Director of Keppel Engineering,
"Together with the completion of the acquisition, we have also
re-employed SBT's personnel who have valuable experience,
expertise and skill sets.

"These employees have been in the business for many years. Apart
from possessing a thorough understanding of the technologies and
markets, they also have a proven track record of successful
international projects. They are currently servicing customers
from all over the world."

SBT has an existing backlog of about EUR 15 million of business.
Keppel Engineering aims to continue SBT's businesses in Europe,
the USA, and Asia, where the Belgian group has been serving a
large number of customers that include municipalities and
multinational companies and across a wide range of industries.
Its notable industrial customers include Vivendi / U.S. Filter,
OTV, Lurgi, Interbrew, Bechtel, Heineken, Cargill and Shell.

Mr Yick added, "Demand for SBT's technology and engineering
solutions is underpinned by the robust prospects in the
environmental industry, particularly in the Asian countries,
namely China, Hong Kong, Taiwan, Korea and Singapore, where SBT
has solidified a good presence.

"Our plan going forward is to build upon SBT's brand name and
reputation by combining its renowned environmental technology and
engineering expertise with Keppel Engineering's competitive
strengths in project management, general contracting and
commercial capabilities.

"Keppel will work quickly to realise the synergistic benefits of
SBT and Keppel Engineering, and solidify a strong business model
by focusing on equipment and process engineering, as well as
technology development. This will allow us to provide a broader
range of products and solutions to customers. We are confident
that this will advance us to be a world-class leader in
environmental technology and engineering."

As part of its strategic plan of retaining the Belgian identity
for this environmental business, Keppel Engineering has nominated
three Belgium subsidiaries of KIE to purchase the assets of SBT.

These companies will be renamed Seghers Keppel Technology Group
(SKTG), Seghers Keppel Technology for Services & Machinery (Zele)
and Seghers Keppel Technology for Services & Machinery
(Ruisbroek).

While the two latter companies are responsible for equipment
manufacturing and servicing, Seghers Keppel Technology Group will
spearhead the process technology business in waste-to-energy
incineration, sewage water and sludge treatment.

SBT, which went under receivership in September 2002, is one of
the major global environment technology providers offering
technologies and services in waste-to-energy incineration, air
pollution control and treatment of new water, potable water and
sewage water.

Keppel Corporation is a leading Singapore based company listed on
the Singapore Exchange Securities Trading Ltd. It is involved in
three core businesses of Offshore and Marine, Infrastructure and
Property. With global operations in more than 25 countries,
Keppel continues to leverage its international network, resources
and strong branding to grow key businesses into global entities.

CONTACT:  Ms Sarah Seah
          Group Corporate Communications Manager
          Keppel Corporation Limited
          Phone: 65 68857 420
          E-mail: sarah.seah@kepcorp.com


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F I N L A N D
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SONERA CORP: Telia Announces Preliminary Results of Share Tender
----------------------------------------------------------------
Based on preliminary calculations as of November 17, 2002, shares
in Sonera, including shares represented by American Depository
Shares, and warrants to subscribe for shares in Sonera,
representing a total of approximately 94.8 percent of the shares
in Sonera (on a fully diluted basis), have been tendered.

Telia expects to announce the final results on Thursday November
21, 2002, whereafter trading in Sonera exchanged shares and
warrants is expected to commence on the Helsinki Exchanges.

As a result of the extension of the offer, it is expected that
Telia shares and warrants will be available on book-entry
accounts on Monday, December 9, 2002, when trading in Telia
shares and warrants 2002/2005:A on the Helsinki Exchanges and
Telia ADSs on NASDAQ National Market is intended to commence.


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F R A N C E
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ALCATEL: Introduces Cost-Effective Core IP/MPLS Solution
--------------------------------------------------------
Alcatel 7770 Optical Broadband Exchange first IP core router
built to make carrier IP networks profitable

Alcatel, (Paris: CGEP.PA and NYSE: ALA) a worldwide leader in
carrier-class network infrastructure solutions, announced the
most cost-effective core IP/MPLS solution available: the Alcatel
7770 Optical Broadband Exchange (OBX), designed to radically
improve reliability, scalability and the economics of IP
networking.

"We tested the Alcatel 7770 platform as the next generation
carrier-class core router for its ability to offer premium and
differentiated IP services, safeguarding our investments in the
edge," said Chang Wai Leong, director, IP Business-Global Market,
SingTel. "We were impressed by the Alcatel core router and
believe it delivers a future-proof investment for an IP core that
converges voice, mobile and data at a lower cost."

Network Strategy Partners (NSP), in its newly-published paper,
"Reliable IP Nodes: A Prerequisite to Profitable IP Services",
provides a quantitative risk analysis and an economic analysis of
the impact of reliable IP nodes to carrier profitability.
"Today's IP infrastructure burdens carriers with unpredictable
performance, despite expensive and complex workarounds," stated
Susan Almeida, NSP's co-founder and managing partner. "We found
in our study that a reliable IP node architecture - such as the
Alcatel solution - stands to boost carrier profitability by
dramatically reducing annual downtime costs, eliminating the
substantial "parallel network tax" of today's dual-router
configurations, and gaining additional revenues by removing
reliability as a barrier to mainstream adoption of "tight-SLA" IP
services like IP-VPNs, voice, and video."

The Alcatel 7770 OBX delivers true telco-grade reliability, based
on the Alcatel Carrier Environment Internet System (ACEIS) - an
essential component of building five nines (99.999%) reliability
into IP core networks. In addition, unparalleled scalability from
100 Gbps to 1.9 Tbps of line capacity means the 7770 OBX will
grow in line with IP service provider networks for significantly
longer than existing routers.

"The Alcatel concept of a 15 to 20 year life cycle for a router
is unheard of in the industry, and as an established vendor with
a global presence, I think Alcatel will give service providers a
good reason to reconsider their current network architecture,"
said Mark Bieberich, senior analyst, Yankee Group.

The Alcatel 7770 OBX was designed specifically for true carrier-
class networking: a turning point for the Internet core. With its
combined scalability and ACEIS technology, operators can avoid
spending up to 50 percent more for the same network performance.
Higher service availability and performance ensure premium
revenue opportunities, which are further enhanced by superior
traffic management capabilities. Building on the strengths of the
Alcatel 7770 product line technology, the OBX brings to market an
optimized modularity and central office practicality.

"Alcatel has leveraged its expertise in delivering carrier-grade
voice and data networks to now deliver that guaranteed
reliability to IP networks," said Michel Rahier, President of
Alcatel's broadband networking activities. "As the world migrates
to all-broadband networks, Alcatel, as the worldwide broadband
leader, can deliver the solutions that enable an extensive range
of premium voice, mobile and data services which business and
consumers want and will pay for."

The Alcatel 7770 OBX is part of a comprehensive portfolio of
carrier grade data and next generation voice products, managed by
Alcatel's industry-leading network and service management
portfolio, which enables a seamless end-to-end platform for
delivering the latest business and residential services.

For more product information, please visit:
www.alcatel.com/bnd/7770_OBX

To review the Network Strategy Partners paper, please visit:
www.nspllc.com or contact Laurie Leone at 203.840.9164 or
lleone@nspllc.com.

About Network Strategy Partners
Network Strategy Partners, LLC (NSP) helps service providers,
enterprises, and equipment vendors make strategic decisions,
mitigate risk and affect change through business and technology
consulting engagements. NSP's consultants are thought-leaders in
the networking industry and influence its direction through
confidential engagements for industry leaders and through public
appearances and trade magazine articles. These interactions
assure NSP's clients that they will be among the first to know
the latest industry concepts and emerging technology trends.
NSP's consultants combine advanced academic degrees with
practical business, financial analysis, and engineering
experience.

About Alcatel
Alcatel designs, develops and builds innovative and competitive
communications networks, enabling carriers, service providers and
enterprises to deliver any type of content, such as voice, data
and multimedia, to any type of consumer, anywhere in the world.
Relying on its leading and comprehensive products and solutions
portfolio, stretching from end-to-end optical infrastructures,
fixed and mobile networks to broadband access, Alcatel's
customers can focus on optimizing their service offerings and
revenue streams. With sales of EURO 25 billion in 2001, Alcatel
operates in more than 130 countries.


ALCATEL: DiGi Awards Operation Support System Contract
------------------------------------------------------
Alcatel (Paris: CGEP.PA and NYSE: ALA), a world leader in next
generation network services, and DiGi Telecommunications, a
leading telecommunications service provider in Malaysia,
announced the signing of a contract for the supply and
installation of the DiGi Network Automated Management Information
Control System (DiNAMICS). This integrated system will enable
DiGi to improve its operational efficiency and to provide
superior quality of service to its customer base.

Alcatel's solution includes the provisioning and streamlining of
systems detecting network alarms and problems with their impact
on the affected end-user services in DiGi's multi-vendor mobile
environment. These systems - commonly called fault management,
problem management and service management - will enable DiGi to
proactively address network problems, minimize service downtime
and prevent fail-over services. Alcatel's integrated fault and
service management system is built on Micromuse's Netcool leading
software suite and is engineered to provide a real-time, end-to-
end view of the network "health" and its efficiency.

According to DiGi's Chief Technology Officer, Jon Eddy, "The set
up of DiNAMICS will enable DiGi to have a real-time, end-to-end
view of the entire network infrastructure throughout the country,
allowing us to proactively monitor network glitches, respond
immediately with an effective solution and avoid service
downtime".

"Through such innovation, our customers can be assured of
superior network quality which promotes consistent and reliable
service. Thus, reflecting our dedication and commitment towards
enhancing our customers mobile communications' experience," added
Mr Eddy.

"We are pleased to start a new relationship with DiGi, and are
committed to support DiGi for the critical functionalities of its
end-to-end network and service management. This contract is a
breakthrough for us in Malaysia. Through this award, Alcatel
strengthens its leading position to provide advanced Operation
Support System solutions for multi-technology and multi-vendor
networks," said Jean-Pierre Gaillat, Vice President of Alcatel
Services' OSS activities.

About DiGi Telecommunications Sdn Bhd
DiGi, with its core philosophy of It's About You, is a telco that
listens to its customers and tailors its services to suit their
lifestyles - services that are meaningful and relevant, enhancing
the way they live, work and play. DiGi is the first telco to
launch the prepaid concept for mobile services in Malaysia and
till today, DiGi remains the market leader. DiGi is also the
first telco in Malaysia to launch a cost-saving postpaid mobile
service to suit the different usage and lifestyle patterns of the
customers of today in line with full regulation.
With its unwavering focus on providing customer-delight, DiGi
offers the most comprehensive and innovative range of products
and services to take customers beyond mere satisfaction. This is
reflected in its many industry-leading offerings, all of which
are delivered with an exceptional standard of service that best
exemplifies DiGi's professionalism and commitment.

About Alcatel
Alcatel designs, develops and builds innovative and competitive
communications networks, enabling carriers, service providers and
enterprises to deliver any type of content, such as voice, data
and multimedia, to any type of consumer, anywhere in the world.
Relying on its leading and comprehensive products and solutions
portfolio, stretching from end-to-end optical infrastructures,
fixed and mobile networks to broadband access, Alcatel's
customers can focus on optimizing their service offerings and
revenue streams. With sales of
EURO 25 billion in 2001, Alcatel operates in more than 130
countries.

About Alcatel Services
To meet today's increasing demand for customized turnkey network
solutions, Alcatel's services range from business and technology
consulting, network design - integrating Alcatel and third party
equipment including operation support systems, implementation
management up to technical network operation and maintenance
services.

Having successfully built Europe's and Latin America's largest
optical backbones, deployed and integrated over 10,000 sites for
major mobile networks in Europe, Asia and Latin America, and
operating major networks world-wide, Alcatel's services expertise
serves all telecom carrier segments as well as the telecom
requirements of non-carriers like Oil & Gas, Transport and
Utility companies.

As OSS have become a key differentiator for Service Providers to
compete for customers and to enhance margins, Alcatel Services
offers a complete portfolio of end-to-end OSS solutions based on
state-of-the-art in-house developed products and best in class
partners products.


CANAL PLUS: Likely to Announce Additional Job Cuts
--------------------------------------------------
Pay-television operator Canal Plus, is expected to
announce more job cuts at its Paris headquarters by the end of
the year.

Canal Plus' new chief executive, Xavier Couture, told Le Figaro
of the need for the group's central costs to align with its more
modest ambitions.  He reportedly considered the employment of 800
of the company's 3,500 staff at the holding level as
"disproportionate."

Troubles at Vivendi Universal have affected the operator, forcing
it to retract its thrust towards leadership in the European pay-
television market.

Canal Plus' subscriber base in its domestic operation shrank for
the first time in 17 years.

As a strategic move to revive the operation, Canal Plus is
currently aiming to regain exclusivity over national league
football rights.  It has been sharing the rights with satellite
rival, TPS, since 2000.

The French professional football league reportedly tend to favor
a EUR480 million a year bid for exclusive television broadcasting
rights for 2004 to 2007 from the operator; analysts deem the
price too high.

According to the Financial Times, the EUR823 million total it
paid to share some rights for the 2001-2003 seasons "appear to
dash hopes of falls in the cost of sports rights."

Meanwhile, TF1 plans to file a complaint to French and European
competition regulators to recoup at least some of the rights, as
they claimed to have been unfairly treated in the auction.

"It is wrong to give anyone a monopoly. It is against competition
rules," Mr Le Lay told sports daily L'Equipe.


FRANCE TELECOM: Buy-out Talks With Liberty Media Collapses
----------------------------------------------------------
France Telecom's drive to lower its EUR70 billion debt hit a snag
when Liberty Media Corp. ended an agreement to buy a Dutch cable-
TV unit for US$751 million, says Bloomberg.

``It's one more disappointment in their disposal program,'' said
Simon Kirton, who helps manage US$3.6 billion at Aberdeen Asset
Management in London and doesn't own France Telecom shares.

The company is pushing with its asset disposal aimed at trimming
down borrowings accumulated during the acquisition spree of
former Chief Executive Officer Michel Bon.

Thierry Breton, the group's new head, is currently counting on
government-backed share sale to raise EUR15 billion needed to pay
debts that mature next year.

According to Liberty Media, the sell-off talks were cut short
after Dutch regulators expressed concern on the Casema purchase.
The antitrust regulators had been concerned about the effects of
the deal on completion.

As Liberty Media already controls Dutch cable company, United
Pan-Europe Communciations, its acquisition of Casema would have
given it 60% of the Dutch cable market, the regulators said.

The French company wants to pursue the offering though, and is in
fact already starting discussions with potential buyers.  France
Telecom revealed the information in a faxed message, according to
Bloomberg.

Investors, however, are doubtful that the company would find
another buyer willing to offer US$751 million for the asset.


SCOR GROUP: Reviews Operation to Put Business Back on Track
-----------------------------------------------------------
--  A thorough balance sheet review results in a net loss of
EUR425m for the first nine months of the current fiscal year and
in a projected net loss of approximately EUR400m for the Group in
2002

--  However, fundamentals for the 2002 year are encouraging

--  A vigorous recovery plan has been approved, to take immediate
effect. It refocuses underwriting activities on products and
regions that should quickly return the Group to profitability

--  A review of the company's organisational structures, risk
control system and corporate governance will be completed by
January 2003

--  The recovery plan together with a EUR350-400m rights issue
should put SCOR back on track, that of controlled development,
solvency and profitability

"After being appointed Chairman of the Group on 4 November 2002,
I requested an examination of the Group's situation and its
future prospects.

My request applied:

   -- to the past, taking full account of the studies carried
      out by external actuaries and a detailed review of the
      third-quarter accounts for 2002,

    -- to the present, with an in-depth study of the Group's
    balance sheet, its assets and net worth,

    -- and to the future, by adjusting our business objectives
    and the initial measures required to implement a recovery
    plan and launch our rights issue.

The findings of this in-depth review were presented to the Board
of Directors on 15 November, after which the Board decided to act
immediately to restore confidence in our Group and return it as
quickly as possible to profitability."

Denis Kessler - Chairman and Chief Executive of the SCOR Group

I - The SCOR Group Situation as at 30 September 2002

Key Figures

-----------------------------------------------------------------
(in EUR million)                 30 Sep 02  30 Sep 01   31 Dec 01
------------------------------------------ ---------- -----------
Gross written premiums              3,975      3,477      4,890
Net written premiums                3,505      2,953      4,122
Operating result                    (432)      (315)       (461)
Pro-forma operating result          176(1)    (100)(2)   (246)(2)
Group net income after tax          (425)      (199)       (278)
Pro-forma Group net income after tax89(1)     (60)(2)    (138)(2)
------------------------------------------ ---------- -----------
Investments (marked-to-market)      9,441      9,234      9,606
Net technical reserves             10,645      9,999      10,438
Group shareholders' equity            794       1,382      1,318
Fully diluted Group adjusted NAV    1,006      1,486      1,369
------------------------------------------ ---------- -----------
Book value per share (EUR)          21.16      36.70      35.04
------------------------------------------ ---------- -----------
    (1) before exceptional items (increased technical reserves,
    realised capital losses and provisions for long term
    depreciation on the equity portfolio)
    (2) excluding WTC loss

I.1. Group Income Statement

Operating Results Rising Sharply, But Impacted by Adjustments
Relating to the Past

The operating result for the first nine months of 2002 amounts to
a loss of EUR432m, compared with a loss of EUR315m for the same
period in 2001.

This loss mainly stems from major balance sheet adjustments
relating to the past (see I.2).

Excluding these items, the Group would have generated an overall
operating profit of EUR176m, compared with a loss of EUR100m
(excluding the WTC loss) for the same period in 2001.


Improved Group Investment Income, Excluding Capital Losses and
Depreciations On the Equity Portfolio, Despite a Difficult

Financial Environment

The slump in the equity markets generated EUR131m in losses for
the Group over the first nine months of 2002 (due to capital
losses on the equity portfolio) and a EUR137m provision for long-
term depreciation (net of write-back).

Excluding the aforementioned items, caused by worsening stock
market conditions, the Group net investment income stands at
EUR458m, compared to only EUR357m for the first nine months of
2001.

After taking into account these adjustments on investments, net
investment income amounts to EUR190m as at end-September 2002
compared to EUR357m as at end-September 2001.

Net Income Impacted by Exceptional Items

Excluding the exceptional items mentioned above, the Group would
have posted a net post-tax profit of EUR89m at end-September
2002, compared to a loss of EUR60m at end-September 2001, which
reflects the recovery in the reinsurance market.

The net loss of EUR425m posted at end-September (compared to a
loss of EUR199m at end-September 2001) reflects all the
adjustments made to SCOR's balance sheet on both the asset and
the liability sides.

I.2. Group Balance Sheet At End-September Thoroughly Reviewed

Before approving the accounts, the Board examined all the issues,
particularly credit derivatives reinsurance, asbestos and
pollution, WTC, deferred tax, the equity portfolio and goodwill.

Adjustments to Liabilities

The Board of Directors conducted an in-depth review of the audits
of SCOR's technical data as at 30/06/02, which were carried out
by independent actuaries (Milliman in the U.S. and Bermuda, JS
Cheng in Canada, and PriceWaterhouseCoopers in Europe and Asia).
As a result of this review, the Board decided to bring all its
Non-Life reserves in line with the best estimates recommended by
these independent actuaries for all underwriting years. The
additional technical reserves resulting from the conclusions of
these studies and studies conducted by SCOR were made in the
third quarter accounts as follows:

--  Additional reserve of EUR154m for SCOR US, increasing its
total reserves to EUR2.6bn. These additional reserves apply to
all the underwriting years, in particular 1998-2001, and to
Program Business activities (in which underwriting was
discontinued at end-2001).
--  Additional reserve of EUR141m for Commercial Risk Partners,
raising its total reserves to EUR1.2bn. These additional reserves
mainly relate to prospective finite risk contracts for Workers'
Compensation in 1999 and 2000. Finite risk for such contracts
were cut back significantly in first-half 2002 and the Group has
discontinued its underwriting activities in this business line.
After these adjustments, the reserves related to numerous finite
contracts have reached the maximum guaranteed limit.

--  Additional reserve of EUR30m for the Credit and Surety
business, to reach a total reserve of EUR435m. These additional
reserves relate to credit derivatives reinsurance, the
underwriting of which was discontinued in November 2001. Total
reserves for credit derivatives have thereby been increased to
EUR131m, i.e. 156% of claims expected on the basis of the latest
S&P statistics available (1999-2001).

--  Additional reserves of EUR15m for exposure to asbestos and
pollution risks, raising total reserves in this category to
EUR159m so as to reflect recent legal developments in the USA.

Adjustments to Assets

In addition to the depreciation of assets referred to in section
I.1, the Group has decided not to book as an asset EUR70m of the
EUR106m total tax credit generated by its 2002 losses. This is a
prudent measure since excluding exceptional items, 2002 operating
results are positive and SCOR expects a return to net profit in
2003, which should enable it to recover the existing tax credits.

Overall, as a result of this thorough balance sheet review, SCOR
has decided to:

    -- Increase its reserves for the first nine months of 2002 by
    EUR340m

    -- Book EUR268m in losses and long-term asset depreciations,
    while not booking as an asset EUR70m of its tax credit

    -- Consequently post a Group net loss of EUR425m in its
financial statements for the first nine months of 2002

    -- And revise its 2002 full-year net loss projection
accordingly to around EUR400m (compared to the EUR250m loss
announced on 30 October).

-----------------------------------------------------------------
                                                Pre-tax  Post-tax
-----------------------------------------------------------------
Net income at 30 September 2002 (1)
before adjustments                                147        89

Adjustments:
- Increase in technical reserves                (340)     (270)
- Net write-downs for securities impairment     (137)      (89)
- Capital losses realised on securities portfolio(131)     (85)
- Reduction in tax credit
   generated by 2002 losses                                (70)

Total adjustments                               (608)     (514)

Net income/(loss) at 30 September 2002
after adjustments (1)                            (461)     (425)
-----------------------------------------------------------------
    (1) Group share

II - The SCOR Group today

II.1 An Encouraging 2002 Performance

Gross written      End-       End-    % change  % change     End-
premiums       September  September    at        at     December
(in EUR million)  2002       2001     current   constant    2001
                                          exchange  exchange
                                           rates     rates
------------- ---------- ---------- --------- --------- ---------
Property &
Casualty
reinsurance       1,723      1,364      +26%      +31%     1,876
Life & Accident
reinsurance       1,230      1,119      +10%      +13%     1,503
Specialty
reinsurance       1,022       994       + 3%      + 9%     1,511
------------- ---------- ---------- --------- --------- ---------
Consolidated Gross
written premiums  3,975      3,477      +14%      +19%     4,890

Gross written premiums for the first nine months of 2002 were up
14% compared with the same period in 2001. The Group has
maintained its market positions and is benefiting from
substantial rate increases, particularly in Property & Casualty
(gross written premiums up 26%) and Large Corporate Accounts
(gross written premiums up 56%).

2002 underwriting activities are generating a significant
improvement in underwriting ratios ((claims + commissions) /
earned premiums) net of retrocession at end-September: 97% for
Property & Casualty and 93% for Speciality Reinsurance.

This improvement is also confirmed by the results of the
subsidiary IRP (Irish Reinsurance Partners), which wrote a quota
share of the Group's P&C and Business Solutions retrocession in
2002, achieving an overall net combined ratio of 92.2% during the
same nine-month period.

SCOR's technical results for the first nine months of 2002
reflect improved business conditions, mainly due to a general
increase in rates, in the context of an industrial upturn, and
its increasingly selective underwriting policy.

Furthermore, renewal conditions currently under negotiation for
2003 are highly favourable.


II.2 A Robust Balance Sheet in a Financially Volatile Environment
         and an Improvement in Gearing

The Group's investments - around EUR10bn - mainly comprise bonds
(67% of the total), of which more than 70% is sovereign debt or
AAA-rated corporate debt. Cash accounts for 18.7% of total
assets, real estate represents 5.0% and cash deposits 5.6%. Over
the last 12 months, the equity portfolio has been scaled down to
only 3.7% of total investments.

As of today, net unrealised capital gains before tax total
EUR294m, taking into account EUR57m of losses on the equity
portfolio, EUR114m of gains in real estate and EUR237m of gains
on bonds. Part of the unrealised capital gains on the bond
portfolio is linked to technical commitments in life & non-
traditional reinsurance.

As at 30 September 2002, debt stands at EUR991m, compared to
EUR1,098m at 30 June 2002. Total shareholders' equity amounts to
EUR794m, Group adjusted NAV to EUR1,006m, while equity and
quasi-equity total EUR1,906m.

III - The Future of SCOR Group is Closely Linked to a Vigorous
          Recovery Plan, to Take Immediate Effect
The Board of Directors has approved a Recovery Plan for SCOR
Group. In this context, the Board has made several decisions,
with immediate effect, regarding the underwriting strategy, the
resulting capital reallocation and the financial limits and
targets set for 2003-05.

In a market where rates are rising sharply, the Group plans to
cut its underwriting activity by more than EUR600m in 2003, i.e.
a more than 10% drop compared to levels reached in 2002.

Furthermore, a selective underwriting policy will be pursued,
allowing SCOR to refocus its activities on the most profitable
business lines and regions, where the Group benefits from a
recognized competitive edge. The Group will manage its
underwriting activity more effectively through tighter control of
its commitments and overall aggregates.

III.1. Refocusing of Underwriting Strategy

The Group's underwriting strategy will now target selected
profitable segments, such as Life & Accident reinsurance, Large
Corporate Accounts and, in Property & Casualty reinsurance,
short-tail business and non-proportional treaties.

It will focus on two key regions, Europe and Asia-Pacific, while
in the meantime significantly scaling down its activities in the
USA and Bermuda.

a) New Product Priorities

Property & Casualty: significant rebalancing

The Group will continue to reduce its exposure to the U.S.
market, with a decline in premium revenue of around 30% in 2003
compared to 2002. Reductions will be concentrated in the
underwriting of long tail business (particularly facultative
liability) in the USA. At the same time, SCOR will continue to
pursue selective growth in Europe and Asia-Pacific and reduce its
commitments in the least promising emerging markets.

Life & Accident: continued growth

SCOR is already one of the key players in this buoyant market.
The Group hopes to strengthen its position in Latin markets
(France, Italy, Spain, Latin America) as well as in Belgium and
Switzerland, where it is one of the top providers, while
enhancing its presence in Germany, Canada and the USA. It also
intends to expand in other markets as opportunities arise.

Regarding products, SCOR is prioritising long-term risks (death,
long-term care, life annuities etc.), while progressively scaling
down unprofitable short-term risks (illness, incapacity).

Specialty Reinsurance

   -- Tighter targeting of Large Corporate Accounts

The Business Solutions Division intends to consolidate its
leadership in Major Industrial Risks from its four main world
centres (Paris, New York, London and Hong Kong). Pending a
recovery of investments in the new technology and space sectors,
SCOR will focus primarily on energy, construction, services and
large projects.

The Group will also reduce significantly its Liability
underwriting in the USA and will focus its growth on short-tail
business lines. Lower income in the USA should be offset by
premium growth in other markets.

    -- Sharp scaling-down of non-traditional reinsurance

The reduction in Commercial Risk Partners' activities, already
initiated in the first half of the year, will be very substantial
and will primarily concern sectors generating losses accounted
for this year. This subsidiary will now focus on developing its
traditional business of underwriting those finite risks which
generated steady profits between 1991 and 2000. The expected
scale of the reduction in business is 80% at end-2003, compared
to 2001.

    -- Refocusing of the Credit and Surety activity

SCOR has substantially scaled down its Credit and Surety business
in the USA since the end of 2000 and completely discontinued
writing credit derivatives reinsurance contracts in November
2001.

The Group will now focus on traditional credit insurance
business, more particularly in Europe, where SCOR has
traditionally been profitable. There should be an overall
reduction in premium volume of around 70% in 2003 compared to
2001.

    b) Rapid Reduction in Exposure to U.S. Risks

SCOR will focus on two priority regions, Europe and Asia-Pacific,
while significantly scaling down its activities in the USA and
Bermuda.

Following the termination of its underwriting activities in
Surety and Health (end-2000) and Program Business (end-2001), the
Group's activity in the USA will continue to shrink, notably in
Liability and in long-tail businesses. A more than 30% overall
reduction in business is anticipated in 2003 compared to 2001.

    c) Reallocation of Capital to Reflect New Underwriting
Priorities

SCOR's capital will be reallocated, with priority given to the
underwriting segments identified as offering the best prospects
for rapid profitability and in which the Group has traditionally
demonstrated its know-how.

III.2. The Recovery Plan Also Involves a Streamlining of SCOR
         Group Which Will be Announced by the End of January 2003

The organisation of SCOR Group will be adjusted in line with the
new targets mentioned above.

To improve efficiency, the Group will need to cut its overheads
by at least 15% over two years, which will enable it to adapt its
organisation to the drop in written premiums.

This recovery plan will also require optimisation of SCOR's
geographic network, skills base and capital expenditure, coupled
with a substantial strengthening of risk control activities.

The Risk Control and the Group Internal Audit division will be
restructured and strengthened, notably by appointing a Chief
Reserving Actuary, and the chain of responsibilities will be
reviewed. Financial communications will also be reviewed in
depth.

This reorganisation will also involve defining a new reporting
structure and asset-liability management (ALM) policy focusing on
security, in line with our new risk profile.

Lastly, measures will also be introduced to tighten up corporate
governance policy. SCOR is preparing to adapt its structures in
line with the market best practice, particularly to satisfy the
provisions of the U.S. Sarbanes-Oxley Act and the recommendations
of the Bouton Committee on Corporate Governance. Decisions will
be announced at the beginning of 2003. The task of analysing the
roles of the Board and its committees has been entrusted to Allan
Chapin, an independent Director of the SCOR Group.

III.3. The Recovery Plan Should Allow SCOR to Comply With the
           Limits and the Financial Objectives Set to Restore
           Profitability as From 2003.

We first need to improve our solvency levels as from 2003, with
the aim of achieving an Equity + Quasi-equity / Net Premiums
ratio of between 40% and 50%.

We have also set strongly defined limits for our underwriting
policy: in 2003, these call for a net combined ratio of less than
96% in Non-Life and of less than 95% in Business Solutions, as
well as an operating margin in excess of 3% in the Life &
Accident business.

Taking into account market conditions and prospects, this
recovery plan, combined with the rights issue, should allow us to
return to profitability as from 2003, with a target ROE (after
equalisation reserves and after tax) of more than 10%.

Outlook

Overall, SCOR's balance sheet has been reviewed in depth and the
full impact of this review is reflected in the Group's financial
statements as at end-September 2002.

The recovery plan has the following key objectives:

--  To achieve a return to profitability as from 2003;
--  To generate strong performances in 2004 and 2005.

To implement this plan without delay, SCOR needs to restore its
shareholders' equity to a level comparable with that at end-
December 2001. Consequently, for the first time since 1985, SCOR
is going to call on its shareholders for funds that will allow
the Group to:

    -- maintain its underwriting capacity in the profitable
business lines it has chosen to focus on

    -- capitalise on its existing customer base and maintain
customer confidence in the long term which should help a
favourable rating revision.

The Board has decided upon a capital increase which should raise
a total of between EUR350m and EUR400m.

Around ten existing shareholders have already indicated their
intent to exercise their subscription rights and even to increase
their stake, which would represent half of the intended total
amount.

Commenting on the future plan of the SCOR Group, CEO Denis
Kessler said:

"Putting SCOR back on the right track is at the heart of the
recovery plan. This plan has been approved by the Board, which
has assured me of its full support, and the whole management team
is fully committed to its implementation. The forthcoming rights
issue will provide the means to achieve the plan's objectives. We
will then need to deliver in the weeks and months to come. And we
shall."

Forthcoming Announcements:

End January 2003:

    -- Update on the implementation of the above strategic
measures

    -- Announcement of restructuring measures

    -- Introduction of new corporate governance framework.

    End February 2003:

    -- Publication of 2002 financial statements

    -- Update on 2003 renewals activity.

This is not an offer of securities for sale in the United States.
The securities referred to in this document have not been and may
not be registered in the United States. Securities may not be
offered or sold in the United States unless they are registered
or exempt from registration.

CONTACT:  SCOR, Paris
          Clare Brennen
          Phone: + 33 (0) 1 46 98 74 71
          Delphine Deleval
          Phone: + 33 (0)1 46 98 71 64
          Valentine Semet
          Phone:  + 33 (0)1 46 98 72 32
          or
          Brunswick
          Andrew Dewar
          Phone: +33 (0)1 53 96 83 83


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


BAYER AG: In Sale Discussions With U.K.'s GlaxoSmithKline
---------------------------------------------------------
German chemicals and pharmaceuticals company, Bayer, disclosed it
is in talks about selling its pharmaceuticals unit to
GlaxoSmithKline.  The report of The Independent newspaper buoyed
Bayer's shares 5% higher in Monday.

The Financial Times says that the report suggested that
GlaxoSmithKline was preparing to offer EUR8 billion (US$8.05
billion) for the pharmaceuticals unit.

But a person close to the negotiations said GSK's interest is
"lukewarm," and that talks are still at a preliminary stage and
are limited to bankers.

Bayer sought for a pharmaceuticals partner to keep the division
profitable after its best-selling Lipobay product, a cholesterol-
lowering agent, was linked to several deaths in 2001.  Last week,
the pharmaceuticals firm admitted it has to abandon its hopes of
having a majority stake in any partnership to find a
collaborator.

People close to the company disclosed that a possible partnership
option is also that with Switzerland's Roche.


DEUTSCHE TELEKOM: Moody's to Review Rating for Possible Downgrade
-----------------------------------------------------------------
Moody's Investors Service placed the Baa1 long-term and Prime-2
short-term debt ratings of Deutsche Telekom AG and its guaranteed
subsidiary Deutsche Telekom International Finance B.V. on review
for possible downgrade.

According to the rating agency, the German company's lack of
progress in reducing group debt, and associated high financial
risk prompted the action.

Moody's expects to complete its review on the ratings within the
next four weeks, and plans to concentrate on the company's
ability to continue to grow revenue and EBITDA.  It will also
evaluate how cash flow may be further enhanced from an emphasis
on capex curtailment and further cost reduction initiatives.

The rating agency believes that Deutsche Telekom will be able to
achieve a net debt level of between EUR49.5 billion and EUR52.3
billion and EBITDA of between EUR16.7 billion and EUR17.7 billion
to register a net debt-to-EBITDA ratio of 3x for year-end 2003.

Moody's also believes on the company's ability to assist free
cash flow growth by continuing to focus on capex curtailment.

Moody's indicated to consider in its review the associated
execution risk of Deutsche Telekom's non-core asset disposal
plan, with an aim of determining both the extent and probability
of the expected debt deleveraging at Deutsche Telekom during 2003
onwards.

At the same time, Moody's placed the Baa2 long-term rating of
majority-owned VoiceStream Wireless Corp. on review for possible
downgrade because of the link between the ratings of the two
companies.

The ratings affected by the review:

Deutsche Telekom AG:
- Issuer rating: Baa1
- EUR2 billion bonds: Baa1
- JPY160 billion Samurai bonds: Baa1
- EUR15 billion MTN programme and drawdowns under the programme:
Baa1

-The US$ 20 billion CP programme: Prime-2

Deutsche Telekom International Finance B.V.:
- EUR15.6 billion global bond: Baa1
- EUR8 billion bond: Baa1

VoiceStream Wireless Corp.:
- US$1.1 billion 10.375% Senior Notes due 2009: Baa2
- US$720 million (face value) 11.875% Senior Discount Notes due
2009: Baa2
- US$205 million 11.5% Senior Notes due 2009: Baa2


DEUTSCHE TELEKOM: To Complete Cable Asset Sale by Q1 of 2003
------------------------------------------------------------
Deutsche Telekom Chief Financial Officer Karl-Gerhard Eick said
the sale of the company's cable television assets is most likely
to be wrapped up in the first quarter of 2003.

According to Dow Jones, Mr. Eick disclosed at a press conference
that the negotiations are quite advanced prompting him to
conclude that the deal would be wrapped up in the first quarter
of next year.  He added that the completion of the sale would
already include the required antitrust approval.

Deutsche Telekom expects to raise between EUR2 billion to EUR2.3
billion from the sale.

The company's strategic review aimed to achieve a net debt of
EUR49.5 to EUR52.3 billion for the company by the end of 2003.
To achieve this target, Deutsche Telekom resolved to withdraw
from non-strategic business areas such as real estate, the
remainder of the cable business and other shareholding and
business units.  Sales from these assets are expected to generate
proceeds of EUR 6.2 to EUR 8.5 billion.


HVB GROUP: S&P Assigns Preliminary Rating in Synthetic RMBS Deal
---------------------------------------------------------------
Standard & Poor's Ratings Services said it assigned its
preliminary credit ratings to the credit-linked notes to be
issued by Bayerische Hypo- und Vereinsbank (HVB) under its
Building Comfort 2002-1 securitization.

The transaction, which includes an unfunded credit default swap
and funded notes, is structured as a synthetic residential
mortgage transaction, not a cash flow transaction in which all
the assets are transferred to a bankruptcy-remote special-purpose
entity (SPE). The issuer is HVB itself, not an SPE, and the notes
are, therefore, direct obligations of HVB.

In order to de-link the ratings on the notes from the rating on
HVB, the notes will be secured by cash deposits corresponding to
the principal amounts of the notes and adequate amounts of
interest held by an 'A-1+' rated account bank. These amounts will
be pledged to an independent auditor for the benefit of the
noteholders.

The aim of the transaction is to provide regulatory capital
relief for HVB by transferring to noteholders the credit risk
associated with a reference portfolio of residential mortgage
loans originated by HVB. The performance of the notes is
therefore linked to the performance of the reference portfolio.

The preliminary credit ratings reflect the adequate amount of
cash collateral for the class A+, A, B, C, and D notes the
ability of HVB to service the loans.

PRELIMINARY RATINGS ASSIGNED
Building Comfort 2002-1
EUR225 Million Credit-Linked Notes and EUR4.75 Billion Senior
Credit
Default Swap
Class               Rating       Amount (EUR)
Senior credit
default swap        AAA          4,749,851,970
A+                  AAA                250,000
A                   AAA            120,000,000
B                   AA              55,000,000
C                   A               35,000,000
D                   BBB             15,000,000


=========
I T A L Y
=========


FIAT SPA: Job Cuts Meet Another String of Protests
--------------------------------------------------
Workers opposed to thousands of job cuts at carmaker Fiat staged
another round of protest actions against the plan.

Last week, some 700 workers blocked all commercial and passenger
traffic in the port of Messina, while others staged marches
throughout the country.  Protesters earlier also blocked
Palermo's port and airport to express their opposition.

In Turin and Milan, workers went to the streets chanting and
waving banners, says Reuters.

"We are getting tired of this.  We have not received any answers
to our demands.  December 2 is approaching fast and we don't have
a clear idea about anything,'' said Roberto Mastrosimone, a union
representative and Fiat worker.

The carmaker is due to lay-off some 8,000 workers, including
1,800 at Termini Imerese plant--a unit that the group plans to
shut down from early December but whose closure is still
dependent upon government approval.

The government reportedly asked Fiat to review its plan to let
the operation, which manufactures Punto city car, remain open for
at least two weeks a month, a government source told Reuters.


TELECOM ITALIA: Agrees With Interbanca to Sell Shares in IMMSI
--------------------------------------------------------------
The divestment plan continues apace as the target of 5 billion
euros is passed a year ahead of schedule

Gross capital gains of 50 million euros

Today Telecom Italia S.p.A. reached an agreement with Interbanca
S.p.A., acting as broker for Omnipartecipazioni S.p.A. in the
sale of the latter's holding, comprising 99,000,001 shares,
amounting to about 45 per cent of IMMSI S.p.A.'s capital.

IMMSI is the real-estate company quoted on the stock market that
came into being on the division of Sirti in 1999.

Once the formalities regarding informing the competent
authorities have been completed, Omnipartecipazioni will pay cash
for Telecom Italia's 99,000,001 IMMSI shares, at a rate of 69
euro cents per share.

This operation will net Telecom Italia S.p.A. 68.3 million euros,
with capital gains gross of tax of 50.2 million euros. With this
sale Telecom Italia carries forward its divestment plan and the
realignment of its real-estate sector.


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


BCCOMPONENTS HOLDINGS: Vishay Intends to Acquire Business
---------------------------------------------------------
Vishay Intertechnology, Inc. (NYSE: VSH) announced that it has
agreed to acquire BCcomponents Holdings B.V., a leading
manufacturer of passive components with operations in Europe,
India and the Far East. The product lines of BCcomponents include
linear and non-linear resistors; ceramic, film and aluminum
electrolytic capacitors; and switches and trimming
potentiometers. BCcomponents had annual sales in 2001 of
approximately $320,000,000.

In the transaction, Vishay will deliver warrants to acquire
Vishay shares in exchange for the outstanding shares of
BCcomponents and will arrange for the satisfaction of the
outstanding senior and mezzanine debt of BCcomponents. The
transaction is subject to customary regulatory approval, and
Vishay will be required to obtain approval of the transaction
from its banks. The transaction is expected to close before the
end of the calendar year.

Commenting on the acquisition, Dr. Felix Zandman, Chairman and
CEO of Vishay, stated: "We are very excited about the
opportunities presented by the acquisition of BCcomponents. The
acquisition will reinforce Vishay's position as a leading
manufacturer of passive components worldwide. For the past five
years we have concentrated on strengthening our position in the
discrete semiconductor market. This will mark our first major
acquisition in the passive area in ten years."

Dr. Zandman added: "In addition to acquiring an extensive
portfolio of products, the acquisition will offer meaningful
opportunities for synergies and cost savings, complement our MLCC
and tantalum capacitor lines and enhance our position in passive
components generally. We will inherit several excellent
facilities, including facilities in India and China. Increasing
our manufacturing presence in these countries will be consistent
with Vishay's continuing program of shifting our production to
regions with low labor costs."

Vishay, a Fortune 1,000 Company listed on the NYSE, is one of the
world's largest manufacturers of discrete semiconductors (diodes,
rectifiers, transistors, optoelectronics, and selected ICs) and
passive electronic components (resistors, capacitors, inductors,
and transducers). The Company's components can be found in
products manufactured in a very broad range of industries
worldwide. Vishay is headquartered in Malvern, Pennsylvania, and
has plants in fourteen countries employing over 20,000 people.
Vishay can be found on the Internet at http://www.vishay.com


=====================
S W I T Z E R L A N D
=====================


SWISS LIFE: Holding Plans to Create Additional Equity Capital
-------------------------------------------------------------
Swiss Life Holding plans to create an additional CHF 1.1 billion
in equity capital through the issuance of 10 839 704 new shares
and a new form of convertible. The rights offering is expected to
raise gross proceeds of CHF 856 million. It is fully underwritten
by a syndicate of banks led by Credit Suisse First Boston. The
convertible offering is expected to raise gross proceeds of
approximately CHF 200 million, subject to increase up a maximum
of CHF 250 million. The new equity will be used to strengthen
Swiss Life's capital base and regulatory solvency and to support
the implementation of the new strategy. This lays the groundwork
for successfully focusing the company on its core business in the
marketplace and restoring Swiss Life to a position among the
leading life insurers with a European reputation.

Swiss Life Holding today announced the terms of its rights
offering and the size of a planned concurrent offering of
Mandatory Convertible Securities.

The subscription period for the new shares, for which advance
subscription rights have been granted to existing shareholders,
starts on 25 November. The rights offering comprises a one-for-
one rights offering to existing shareholders at a subscription
price of CHF 79 per share. Based on the total number of shares
offered (10 839 704) the offering will raise new funds amounting
to CHF 856 million for the Swiss Life Group. The rights will be
traded on the stock exchange between 25 November 2002 and 2
December 2002 and shall be exercisable from 25 November 2002
until noon CET on 3 December 2002. Shares for which rights have
not been exercised may be sold on the market by Credit Suisse
First Boston in the name of the underwriting syndicate. The
prospectus relating to the rights offering is being published
today, 18 November 2002.

The Mandatory Convertible Securities will initially be offered to
existing shareholders through the granting of advance
subscription rights. The priority subscription period for the
securities will take place during the same subscription period as
the rights offering. The Mandatory Convertible Securities will be
converted mandatorily into Swiss Life Holding shares in December
2005, at the latest, if not previously converted by the
shareholder. The Mandatory Convertible Securities are thus
effectively a forward sale of Swiss Life Holding shares. The
conversion ratio adjusts to a degree, which will enable Swiss
Life Holding to participate in any future share price
appreciation up to a certain amount. The detailed terms are to be
set on 4 December 2002. The securities qualify for equity credit
in accordance with Standard & Poor's.

The net proceeds of the rights offering and the Mandatory
Convertible Securities will be used for implementation of
corporate strategy. The capital increase also supports an orderly
divestiture programme in connection with the new strategy.
Commenting on the announcement, Group CEO Rolf D"rig said: "This
capital increase is an integral part of the new strategic
orientation we have already introduced. I have spoken to many of
our principle shareholders recently and am gratified that they
have confirmed their intention to participate in the rights
offering to an amount representing more than 35% of the rights
issue. This a good start for the road show over the next 10 days,
during which I am looking forward to meeting other shareholders
and investors."

Details of the transaction

Rights offering:
The rights offering comprises a one-for-one rights offering to
existing shareholders at a subscription price of CHF 79 per
share. Swiss Life Holding shareholders of record prior to
commencement of trading on 25 November 2002 will be offered 10
839 704 new registered shares with a nominal value of CHF 50 each
out of the ordinary capital created at the Swiss Life Holding
extraordinary general meeting to be held on 18 November 2002. The
rights will be traded between 25 November 2002 and 2 December
2002 and shall be exercisable from 25 November 2002 until noon
CET on 3 December 2002. Offered shares for which rights have not
been exercised will be sold by the underwriting syndicate on the
market. Delivery of shares against payment of the Offer Price
takes place on 6 December 2002. The prospectus relating to the
rights offering is being published today, 18 November 2002.

The rights offering has been fully underwritten, subject to
customary terms and conditions, by a syndicate of banks lead-
managed by Credit Suisse First Boston. Deutsche Bank, Fox-Pitt,
Kelton, HSBC and JPMorgan are acting as co-lead managers and Bank
Sarasin & Co. Ltd., Rd Blass & Cie AG Bankgesch"ft, swissfirst
Bank AG and Zrcher Kantonalbank are acting as co-managers.

Mandatory Convertible Securities:
Concurrent with the rights offering, Swiss Life Cayman Finance
Ltd. will issue approximately CHF 200 million of the Mandatory
Convertible Securities irrevocably and unconditionally guaranteed
by Swiss Life Holding. The issue size is subject to increase to a
maximum of CHF 250 million. The Mandatory Convertible Securities
will be offered from 25 November 2002 until 3 December 2002 to
existing shareholders of Swiss Life Holding in the form of non-
tradable advance subscription rights (Vorwegzeichnungsrechte).
Shareholders of record of Swiss Life Holding prior to
commencement of trading on 25 November 2002 will be entitled to
subscribe for the Mandatory Convertible Securities in the ratio
of 44 Swiss Life Holding shares per CHF 1 000 nominal value of
the Mandatory Convertible Securities. The conversion price and
fixed coupon of the Mandatory Convertible Securities will be set
on 4 December 2002 based on a bookbuilding with a fixed
subscription price of 100%. From 27 December 2002 until the
twentieth trading day prior to the maturity date (19 December
2005), each Mandatory Convertible Security with CHF 1 000 nominal
value will be, in accordance with its terms, convertible free of
charge into Swiss Life Holding registered shares at the Minimum
Conversion Ratio.

The Minimum Conversion Ratio will be determined by dividing the
nominal value of one Mandatory Convertible Security of CHF 1 000
by the Maximum Conversion Price, which will be no higher than
120% of the reference share price at the time of pricing; the
Maximum Conversion Ratio will be determined by dividing the
nominal value of one Mandatory Convertible Security of CHF 1 000
by the Minimum Conversion Price, which will be equal to 90% of
the reference share price at the time of pricing, on 4 December
2002. Unless previously called and converted by the issuer, the
Mandatory Convertible Securities will be mandatorily redeemed in
registered shares of Swiss Life Holding after 3 years. The number
of registered shares delivered per Mandatory Convertible Security
at maturity ("Conversion Ratio") depends on the share price of
Swiss Life Holding and will be calculated based on the average of
the closing prices of the registered shares on virt-x on the
fifteen (15) consecutive trading days ending on the third trading
day immediately prior to the maturity date. The Conversion Ratio
will in any case be no lower than the Minimum Conversion Ratio
and no higher than the Maximum Conversion Ratio.

The issuer will pay a fixed coupon of a minimum of 5.25% p.a. per
Mandatory Convertible Security, plus an amount equal to the
dividend paid by Swiss Life Holding, calculated on such number of
registered shares that corresponds to the fraction of CHF 1 000
(i.e. equal to the nominal amount) divided by the Share price at
pricing. The fixed coupon payments may in certain cases at the
option of the Issuer be payable in registered shares.

The final terms and conditions (including the total issue amount,
the fixed coupon, the Minimum Conversion Price, and the Maximum
Conversion Price) will be fixed no later than 4 December 2002.
The payment for the allocated Mandatory Convertible Securities
will take place on 19 December 2002. Admission for the listing of
the Mandatory Convertible Securities on the main segment of the
SWX Swiss Exchange will be sought.

Credit Suisse First Boston is the sole lead manager and
bookrunner of the Mandatory Convertible Securities offering.

The prospectus relating to the rights issue will be published on
the Swiss Life website at www.swisslife.com.

The Swiss Life Group is one of the leading European life
insurance companies for both corporate and individual customers.
The largest life insurer in its home market of Switzerland, it
also serves other core markets in France, Germany, the
Netherlands and Belgium/Luxembourg. Multinational clients enjoy
comprehensive service delivered through an international network
of nearly 50 partners.


ZURICH FINANCIAL: Mulls on Divesting Profitable Operation
---------------------------------------------------------
Zurich Financial Services is considering the sale of its U.K.
fund management firm Threadneedle Investment Management, one of
the City's strongest investment managers.

City sources estimate that the firm, which manages GBP43 billion
of assets, could raise at least GBP500 million.  The business is
not necessarily Zurich's core business, but it is considered as a
"pearl" in the insurer's portfolio of business.  It is believed
to reach the group's target of 12.5% on equity, says The
Scotsman.

Sources close to the insurer said the company is testing the
market for any interest in the firm, but "They haven't decided
whether to go for a sale."


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



ANTISOMA PLC: Roche to Obtain Rights to Portfolio of Cancer Drugs
-----------------------------------------------------------------
Antisoma and Roche to establish innovative oncology alliance

Roche and Antisoma plc announced that they will form a broad
strategic alliance which grants Roche exclusive worldwide rights
to the Antisoma pipeline of oncology products. This alliance will
use the established development, manufacturing and commercial
capabilities of Roche to facilitate the rapid commercialization
of Antisoma's promising oncology drugs.

Agents covered by the agreement include Pemtumomab, which is
already in phase III development for ovarian cancer and could be
the subject of product license applications as early as 2004.
Also included are three other oncology compounds, Therex,
TheraFab and DMXAA that are currently in phase I clinical trials.
Roche will also have rights to opt in to pre-clinical programs
that advance into clinical trials during a 5-year period.

About the deal terms
In exchange for a minority equity stake and cash payments, Roche
will have rights to the oncology products currently in clinical
development at Antisoma as well as those developed to the stage
of human use over the next five years.  Under the terms of the
agreement, Antisoma will be responsible for advancing new
oncology compounds into clinical development.  Roche will gain
the right, for five years, to opt in to any program upon entry to
human clinical trials and then to co-develop and commercialize
products on a worldwide basis.  Roche will initially pay 4.15
million GBP to acquire new Antisoma shares equivalent to just
under 10% of the current share capital and make a cash payment to
gain access to the existing Antisoma portfolio.  Roche will also
provide Antisoma with further access, development and milestone
and commercial payments based on compounds successfully reaching
critical stages. Key milestones will be entry into phase III
trials and marketing approvals. Payments to Antisoma could exceed
500 million USD if all existing pipeline products were
successfully launched. In addition, Antisoma will receive
royalties on product sales.

Roche will cover in full the remaining development costs of
Pemtumomab and Therex.

Roche has agreed to maintain its equity stake in Antisoma until
at least the earliest of the following: the approval for
marketing of Pemtumomab, the termination of the agreement, or the
elapse of 3 years from completion.

"We feel very fortunate to have identified such an attractive
biotech
partner as Antisoma in an area of strategic importance to Roche.
Considering its size and resources, Antisoma has demonstrated an
ability to create a significant portfolio of promising product
candidates.  The partnership will ensure that we deploy the
necessary resources and expertise to fully develop this pipeline
and create yet another source of products for our growing
oncology franchise", said William M. Burns, Head of Roche's
Pharmaceuticals Division.

Glyn Edwards, Chief Executive of Antisoma, said: "This is a
ground-breaking agreement for the European biotechnology
industry. The commitment by Roche underlines the quality and
depth of our portfolio of oncology products and will enable us to
bring them to market in the broadest range of indications and the
fastest possible time. It will also significantly increase our
cash reserves and reduce our cash burn, placing us in a strong
position to acquire new products."

About the Antisoma  portfolio
- Pemtumomab is currently in phase III clinical development for
ovarian cancer and phase II for gastric cancer. It is an Yttrium-
90 labelled mouse monoclonal antibody (MAB) designed for
administration into the peritoneal cavity and directed against
MUC-1, a form of mucin found on various cancer cells.

- Therex is a humanized monoclonal antibody currently in phase I
clinical testing.  Due to the fact that its target, MUC-1, is
over-expressed in a wide variety of major tumor types, Therex
will be assessed in multiple indications and could have
blockbuster potential.

- TheraFab is currently in phase I clinical testing for Non-Small
Cell Lung cancer. TheraFab is the Fab2 fragment of Pemtumomab
linked to Yttrium-90.  It is used in combination with external
beam radiotherapy with the objective of delivering an increased
radiation dose to the site of the tumor.

- DMXAA is a small molecule vascular targeting agent that
selectively disrupts blood flow through tumor blood vessels. It
is currently in phase I clinical trials.

- Several pre-clinical and research programs covering a range of
innovative targets and approaches could also enter into clinical
testing during the course of the alliance.

Roche in Oncology
Roche is a world leader in oncology. Its franchise includes three
drugs with proven survival benefit: MabThera (Ritixumab), Xeloda
(capecitabine), and Herceptin (Trastuzumab).  It also includes
NeoRecormon (epoetin beta), Roferon-A (interferon alfa-2a),
Neupogen (Filgrastim) and Kytril (granisetron HCl).  The Roche
Group's oncology program is supported by four Research sites (two
in the U.S., Germany and Japan) and five Development sites (two
in the U.S., UK, Switzerland and Japan).

About Roche
Headquartered in Basel, Switzerland, Roche is one of the world's
leading research-orientated healthcare groups. The company's two
core businesses in pharmaceuticals and diagnostics provide
innovative products and services, that address prevention,
diagnosis and treatment of diseases, thus enhancing people's
health and quality of life. The two core businesses achieved a
turnover of 19.3 billion Swiss Francs in the first three quarters
of 2002 and employed about 57,000 employees worldwide.

About Antisoma
Based in London, UK, Antisoma is a biopharmaceutical company that
develops novel products for the treatment of cancer. The Company
fills its development pipeline by acquiring promising new product
candidates from internationally recognised academic or cancer
research institutions.  Its core activity is the pre-clinical and
clinical development of these drug candidates. Antisoma forms
partnerships with pharmaceutical companies to bring its products
to market.  Visit www.antisoma.com for further information about
Antisoma.

Conditions
The transaction may be subject to review by the Federal Trade
Commission under the Hart-Scott-Rodino Antitrust Improvements Act
of 1976. The collaboration on Pemtumomab is also subject to the
termination of Antisoma's prior agreement with Abbott
Laboratories.  Antisoma has exercised its right to end this
agreement and today issued a notice of termination to Abbott.

Either party may terminate the collaboration in whole or in part
if the above conditions have not been satisfied by April 30,
2003.

All trademarks used or mentioned in this release are legally
protected.

CONTACT:  Antisoma plc
          West Africa House, Hanger Lane
          Ealing, London W5 3QR,UK.
          Phone: +44 20 8799 8200
          Fax: +44 20 8799 8201
          Home Page: http://www.antisoma.com
          Contact:  Glyn Edwards, Chief Executive Officer
          Phone: +44 (0)20 8799 8200

          Financial Dynamics
          Jonathan Birt
          Phone: +44 (0)20 7831 3113


EVANS SUTHERLAND: Books Multi-million Dollar Order From Indra
------------------------------------------------------------
Evans & Sutherland Computer Corporation (E&S(R)) (Nasdaq:ESCC)
announced that its Commercial Simulation Group has received a
multimillion dollar order for visual systems from Spanish
information systems company Indra.

Under the terms of the agreement, E&S will provide ESIG(R)-3800GT
image generators, ESCP(R)-2000 projectors, and airport scenes for
installation on two new Boeing 737 flight simulators. The new
systems will be installed next year at the brand new Hainan
Airlines training center in Haikou City, provincial capital of
Hainan, China.

"We are confident that this project will further develop the
business relationships between our two companies as we move
forward into this new market together. This new order underlines
the competitiveness, and proven operational capabilities of the
ESIG/ESCP range of products," said David Rushton, Commercial
Director for Evans & Sutherland's Commercial Simulation Group.

E&S ESIG image generators are the world's most widely used visual
systems for commercial full-flight simulators. The top of the
ESIG line, the ESIG-3800GT provides 1.5 million pixels to each
projector at a 60Hz update rate.

"We are confident that E&S's top-class visual system products,
when combined with our own simulation expertise, produce
simulators to surpass our customers' expectations and position us
well to pursue further opportunities in this fast developing new
market," said an Indra source.

About Evans & Sutherland

E&S visual systems support the full range of commercial aircraft
and are compatible with flight simulators from all major
manufacturers. E&S products have been developed to meet the
exacting statutory requirements of the world's civil aviation
authorities and have established a reputation for both quality
and reliability.

Evans & Sutherland produces professional hardware and software to
create highly realistic visual images for simulation, training,
engineering, and other applications throughout the world. E&S
visual systems are used in both military and commercial systems,
as well as planetariums and interactive theaters. Visit the E&S
Web site at http://www.es.com.

E&S, ESIG, and ESCP are trademarks or registered trademarks of
Evans & Sutherland Computer Corporation, Salt Lake City, Utah.
All other trade names or marks are the properties of their
respective owners.

CONTACT:  Evans & Sutherland
          Joan Mitchell
          Phone: 801/588-1453
          Fax: 801/588-4538
          E-mail: jmitchel@es.com


GLAXOSMITHKLINE: Investors Oppose Share Package for CEO
-------------------------------------------------------
GlaxoSmithKline Plc investors will oppose the shares and options
package granted to Jean-Pierre Garnier, the company's chief
executive who recently admitted the firm is short of new drug
when he revealed it has no plans of updating investors on
progress in research and development.

Without mentioning names, the Financial Times said shareholders
are wary about the terms of the package.  One investor demanded
higher performance targets for the company.

The package involves some 200,000 performance-related shares,
currently worth about GBP2.5 million (US$3.95 million) and
900,000 shared options.

According to the report, half of the CEO's performance-related
shares depend on the company's total shareholder return beating
the FTSE 100 Index during the next three years.


INDIGOVISION GROUP: Talks With Possible Buyer Continue
------------------------------------------------------
Loss-making video technology provider, Indigovision, continues to
hold takeover talks with unnamed third parties this week, says
The Scotsman.

According to the report, it is thought that the other party being
referred to is the investment group Acquisitor, which last week
bought more than 3.7 million, making it a 5.5% stakeholder in the
business.  Acquisitor is reportedly attracted by Indigovision's
cash reserve of GBP23 million at the last reporting.

The takeover of the Edinburg-based company is understood to mean
breaking up of the business and returning cash to shareholders.
The group, which has been hit by the slump in technology stock,
is valued at around GBP15 million.  It is still currently
peddling its technology, which allows video clip s to be sent
over the Internet.

Acquisitor declined to comment and clarified that preliminary
discussions held did not necessarily mean a formal offer would
emerge.


KINGFISHER PLC: Boosts Castorama Dubois Investissements Holding
---------------------------------------------------------------
Kingfisher notes the results of its re-opened public offering on
the equity and equity-linked securities issued by Castorama
Dubois Investissements (CDI), as published by the Conseil des
March,s Financiers (CMF).

A total of 463,409 CDI shares and 2,614 May 1996-2003 convertible
bonds were tendered to the re-opened Offer.  Kingfisher now holds
99.40% of the issued share capital of CDI (99.19% on a fully
diluted basis).

The timetable for settlement of the securities tendered to the
Offer will be published by Euronext Paris SA.

Kingfisher now holds, directly or indirectly:

(i)   158,343,042 CDI shares

(ii)  610,164 May 1996-2003 convertible bonds

(iii) all 6,330 (unlisted) 1998-2003 convertible bonds issued by
CDI

(iv)  all 4,878 (unlisted) 1999-2004 convertible bonds issued by
CDI

(v)   all 3,315 (unlisted) 2000-2005 convertible bonds issued by
CDI

(vi)  all 4,036 (unlisted) 2001-2006 exchangeable bonds issued by
CDI

(vii) 79,945 (unlisted) subscription warrants issued by CDI

Kingfisher is Europe's leading home improvement retailer and is
ranked number three in the world. The Company operates more than
590 home improvement stores in 12 countries and enjoys market-
leading positions in the UK, France, Poland and Taiwan. Sales for
the Home Improvement sector for the year to 2 February 2002 were
more than o5.8 billion, with retail profit in excess of o430
million.

Kingfisher's Electrical & Furniture business operates more than
830 stores in nine countries. It is Europe's third largest
electricals retailing business by sales and number two by retail
profit. As well as holding the leading position in France and the
number two position in the U.K., Kingfisher also enjoys leading
positions in Belgium and in the Czech and Slovak Republics. Sales
for the year to 2 February 2002 were more than o3.7 billion, with
retail profit of o184 million.

CONTACT:  Ian Harding, Director of Investor Relations
          Phone: +44 (0) 20 7725 4889

          The Maitland Consultancy
          Duncan Campbell-Smith
          Phone: +44 (0) 20 7379 5151

          Kingfisher Plc
          Phone: +44 (0) 20 7724 7749
          Home Page: http://www.kingfisher.com


MARCONI PLC: Opens New Broadcasting Revenue Streams
---------------------------------------------------
Access Hub's new multicasting feature will enable operators to
deliver video over DSL without straining network core

Marconi (MONI) has introduced a technology that opens up new
video revenue streams for telecommunication operators with
Digital Subscriber Line (DSL) customers. Called multicasting, the
technology allows telecommunication operators to broadcast
television across their networks, allowing them to compete with
cable television companies in the delivery of "triple play"
voice, video and data services. Marconi already has a commercial
application of the technology running in Australia.

"Multicasting lifts a huge strain off the core network. Instead
of transmitting millions of video signals, one for each of end-
user, the core need only supply Access Hubs located in local
exchanges. Access Hubs would then satisfy each neighbourhood
freeing up core capacity to carry more TV channels and revenue-
generating services," said Martin Harriman, Marconi's Chief
Marketing Officer.

Marconi's Access Hub can be configured as a high density Digital
Subscriber Line Add/Drop Multiplexer (DSLAM). DSLAMs are devices
usually located in an operator's central office or telephone
exchange. They aggregate DSL connections, typically a pair of
copper wires running to each customer's premises, grooming,
sending and receiving their traffic to and from the network core.

The Access Hub series combines the functionality of DSLAMs along
with the ability to aggregate all traffic types with one of the
industry's highest port densities. With a 32-line xDSL line card,
the Access Hub supports up to 576 xDSL lines in a single shelf
and can also act as a wireless or fibre aggregation point. The
Access Hub supports up to 40Gbit/s of bandwidth on the backplane.

Multicasting is one of three new features of Marconi's Access Hub
Digital Subscriber Line Add/Drop Multiplexer (DSLAM). Marconi has
also given the DSLAM new Gigabit Ethernet and 3G aggregation
capabilities.

"Multicasting over the Access Hub at last allows
telecommunication operators to meet the cable TV challenge," said
Martin Harriman, "and when combined with Gigabit Ethernet, it
will be a vital tool in optimising bandwidth in the metro
network."

The Access Hub platform is completely managed by Marconi's
ServiceOn Access. ServiceOn Access is able to manage all
Marconi's access solutions from a single, unified platform
providing operators the advantage of a common look and feel for
all the different technologies deployed in an access network.

About Marconi plc
Marconi plc is a global telecommunications equipment and
solutions company headquartered in London. The company's core
business is the provision of innovative and reliable optical
networks, broadband routing and switching and broadband access
technologies and services. The company's aim is to help fixed and
mobile telecommunications operators worldwide reduce costs and
increase revenues.

The company's customer base includes many of the world's largest
telecommunications operators. The company is listed on the London
Stock Exchange under the symbol MONI.


MARCONI PLC: Introduces ViPr for Network-Centric Communications
---------------------------------------------------------------
ViPr Ushers in Era of Virtual Presence Communications - High-
Resolution, Multi-site, Multimedia, Real-time Communications

Marconi (MONI) introduced ViPr T, a new network appliance that
enables military and government personnel to create secure, high
resolution, real-time, multimedia communications between
geographically dispersed locations, even over high-speed
encrypted circuits. Delivering a new level of DVD-quality video
and CD-sharp sound for point-to-multi-point desktop
communications, ViPr turns the vision of virtual presence into an
every-day tool for better executive decision-making.

ViPr dramatically improves network-centric decision-making
through remote visual collaboration and by integrating content
that includes real-time, high-definition video streams,
distributed super-computer processing and storage area
networking. Experience real-time, global demonstrations of ViPr
at SC2002, a conference of high-performance computing, networking
and data technologies, in the Baltimore Convention Center, Nov.
18 - 21, where sites in Honolulu, HI; Belleville, IL; Stuttgart,
Germany; and Washington, D.C will be linked with Marconi booth
1113. ViPr also is being demonstrated at the U.S. Naval Research
Lab in Washington, D.C., and through every-day user-experiences
in several government locations.

"Marconi's introduction of a virtual presence appliance with the
quality and ease of use of ViPr heralds a new benchmark in
desktop, real-time collaboration and multipoint conferencing that
will dramatically accelerate and enhance executive decision-
making in government, military and corporate enterprise markets,"
said Berge Ayvazian, vice chairman of the Yankee Group, a
globally established leader in technology, research and
consulting services. "In ViPr, Marconi is introducing a powerful,
yet user-friendly communications tool that may well become as
intuitive, essential and ubiquitous as the telephone is today
based upon user-experience thus far."

Always On Multi-Media Collaboration
ViPr is instantly available at the touch of a button and is
highly reliable. User experiences show that it is ideal for
unscheduled, event-driven collaboration - a major advantage over
booking a video conferencing room or paying the expense of
business travel.

While ViPr provides the face-to-face experience of virtual
presence, the ViPr system facilitates multimedia interconnections
by integrating with video broadcasts and PC-based collaboration
technologies. In addition, ViPr works effortlessly over high-
speed encrypted networks. It is the most effective system for
gathering people in different locations on short notice to share
essential information for network-centric decision-making.

The easy, intuitive operation of ViPr and its instant
availability improves mission-critical decision-making in such
defense applications as real-time multimedia intelligence
briefings, command and control communications and theater
meetings. In the civilian government sector, ViPr facilitates C-
level strategic communications; real-time distance training;
real-time distance learning; real-time telemedicine; real-time
emergency preparedness and response; and remote judicial
hearings.

"We have worked very closely with our federal customers to design
a virtual presence system that meets their needs for multi-point
to multi-point, real-time multimedia communications", said Joe
Pajer, executive vice president of Marconi's Broadband Routing &
Switching group. "We are focused on meeting the requirements of
networks for a global computing grid, whether that be with ViPr,
480Gbps non-blocking switch-routers, or OC-192c ATM interfaces."

Intuitive Design Encourages Regular Use
As simple to use as a telephone and more effective and responsive
than video conferencing, ViPr's SIP-based architecture, simple
interface, high-resolution, real-time video and audio sets it
apart from any other industry offering.

The video is extremely low latency, with no motion delay or
jitter and up to four remote party video participants in initial
versions. A subsequent release raises that to 14 remote party
calls, or 15-way visual conferencing. For desks that do not need
full virtual presence functionality, IP phones are supported as
well.

The graphical user interface (GUI), controlled by a high-quality
touch screen, provides for simple, intuitive control. The ViPr
system consists of end-user terminals (appliances), SIP servers
that provide call management features to the appliances, and
gateways to interoperate with existing network facilities, PBXs
and the public switched telephone network (PSTN).

More information on ViPr is available here.

For pricing and availability, call 1-866-MARCONI (1-866-627-
2664).

About Marconi plc
Marconi plc is a global telecommunications equipment and
solutions company headquartered in London. The company's core
business is the provision of innovative and reliable optical
networks, broadband routing and switching and broadband access
technologies and services. The company's aim is to help fixed and
mobile telecommunications operators worldwide reduce costs and
increase revenues.

The company's customer base includes many of the world's largest
telecommunications operators. The company is listed on the London
Stock Exchange under the symbol MONI.


MYTRAVEL PLC: Ebookers Admits Interest in Buying Assets
-------------------------------------------------------
Online travel company Ebookers disclosed it had approached
British holiday firm, MyTravel, about buying some brands from the
troubled company.  The news sent the shares of the troubled group
22% on Monday.

Dinesh Dhamija, the chief executive of Ebookers, said: "We made
an approach and they replied that if they wanted to sell they'd
get back to us."

MyTravel, formerly Airtours, is reportedly planning to sell non-
core businesses after issuing profit warnings due to the slump in
holiday bookings and a series of financing gap.  The businesses
being contemplated for sale are thought to include Panorama,
Bridge and Direct Holidays, which was bought for GBP81 million in
1998.

Without naming possible price for its offer, Mr. Dhamija
disclosed that his company is particularly interested in about
six or seven businesses that had not been rebranded MyTravel,
says The Herald.

Ebookers believes in the good distribution of these businesses
and plans to introduce the brands across its 11 European
operations.


TXU EUROPE: Defaults on More Than US$200 Million in Debt
--------------------------------------------------------
The European unit of Dallas-based TXU Corp, TXU Europe, defaulted
on at least US$200 million in debt that expires October 15 and
whose 30-day grace period ends November 15.

TXU Europe spokesman Christian Judge confirmed the terms.  He
also mentioned that the energy company is involved with a work-
out program with bank and bondholders in Europe.

"We continue to pay bills to keep operations ongoing as we
realize value through a sale basis," he said.

TXU has plans of discontinuing operations in the U.K.  Late in
October, the company sold most of its British operations to E.ON
AG of Germany for US$2.13 billion.

The company has been affected by power prices slump in the U.K.
Power prices in the region have plunged 40% since 1998.


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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 and Ma. Cristina Canson, Editors.

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

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