/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/040202.mbx T R O U B L E D C O M P A N Y R E P O R T E R E U R O P E Monday, February 2, 2004, Vol. 5, No. 22 Headlines F R A N C E SUEZ SA: North American Unit Sells Power Plant for US$80 Million G E R M A N Y GRUNDIG AG: Alba, Beko Take over Home InterMedia System G R E E C E ROYAL OLYMPIC: Units File for Creditor Protection in Greece I R E L A N D EUROFOOD IFSC: Liquidator Named for Parmalat's Irish Subsidiary I T A L Y PARMALAT CAPITAL: U.S. Court Urged to Enjoin Asset Seizures N E T H E R L A N D S HEAD N.V.: Subsidiary Sells EUR135 Mln Guaranteed Senior Notes N O R W A Y ALVIS MOELV: Lack of New Orders Forces Firm to Cease Operations S W E D E N SCANDINAVIAN AIRLINES: Offers Gothenburg, Lulea Trips for SEK290 SCANDINAVIAN AIRLINES: Anticipates 'Severe' Effect from Strikes SKANDIA INSURANCE: Appoints New Set of Directors at EGM S W I T Z E R L A N D ADECCO SA: Tells Investors Business Is Sound FANTASTIC CORPORATION: Sets Another EGM to Decide Future U N I T E D K I N G D O M ALVIS VICKERS: Undertakes Reorganization to Stay Competitive AUTOTRAC PLC: Enters Administration AVON ENERGY: Fitch Withdraws Ratings Following Bond Repayment CABLE & WIRELESS: U.S. Exit Progressing Well CHAPMAN TRANSPORT: Creditors Meet Feb. 4 to Mull Administration DITTOPRINT: Cash Crunch Forces Group to File for Liquidation EINSTEIN GROUP: Discharges Administrators FLINTOFF LIMITED: In Administrative Receivership FUTURE NETWORK: Initial Creditors Meeting Set February 4 GOVETT ASIAN: Voluntary Liquidation Proposed HARRIS HAULAGE: Falls into Administration HENDERSON ABSOLUTE: To Distribute Remaining Cash to Shareholders INDEPENDENT NEWS: Sells Stake in Chorus to Liberty Media JASMIN PLC: Receivers Seek Speedy Sale of Business JETMAGIC: Shareholders to Decide on Liquidation LAURA ASHLEY: Disposes Assets in Switzerland, Austria and Italy LEEDS UNITED: Players Waive Pay as Firm Asks Leeway from Lenders PNEUMATIC CONVEYORS: Creditors Meeting Set February 9 SHIFNAL ENGINEERING: In Administrative Receivership SMG PLC: Chairman Cruickshank to Leave June STUDLEY PRIORY: In Administrative Receivership THORPE BROS: Files for Administration T.MAT: Enters Administration VOSS NET: Issue Warrants to Directors ********* =========== F R A N C E =========== SUEZ SA: North American Unit Sells Power Plant for US$80 Million ---------------------------------------------------------------- Tractebel North America, Inc., a business unit of Tractebel Electricity & Gas International, one of the three business divisions of Suez (NYSE: SZE), has announced that it had concluded the sale of a subsidiary company, Ripon Cogeneration, Inc., to Lightyear Capital, LLC, a private equity firm that manages more than US$2 billion in assets, and Rockland Capital Energy Investments, LLC. The sale price was approximately US$80 million. Ripon Cogeneration, Inc. owns and operates the 49 MW Ripon cogeneration facility located 70 miles south of Sacramento, California, and the 41 MW San Gabriel cogeneration facility, located in Pomona, California. Both facilities are fueled with natural gas and hold long-term agreements to serve regulated utilities in their respective service areas. Tractebel North America will continue to own and/or operate a total of 59 power, cogeneration, steam, and chilled-water facilities that represent a capacity[*] of 5,717 MW of electricity generation, 12 million pounds per hour of steam, and 147,000 tons per hour of chilled water. William P. Utt, President and CEO of Tractebel North America, said, "The divestiture of these assets is consistent with our practice to continually evaluate our portfolio in light of market opportunities and, when advantageous, rotate our capital to other assets that better support Tractebel North America's strategy and business model. Over time we had created added value around our California cogeneration facilities via the sale of NOx credits, but these assets were no longer geographically aligned with those U.S. markets where we have an important presence and desire to focus our operations. While divesting these assets, Tractebel North America is focusing its growth on its liquefied natural gas and retail energy businesses." Mr. Utt added, "Since entering the U.S. liquefied natural gas sector in 2000, we have significantly expanded shipping and throughput capacity at our liquefied natural gas receiving terminal in Everett, Massachusetts, and are currently developing two proposed LNG receiving facilities, located in Freeport, Grand Bahama, and Lazaro Cardenas, Mexico. In late 2002, we launched our U.S. retail energy business to provide end-user electricity and related energy services to commercial and industrial customers. We exceeded first-year expectations and have already established a client base valued at nearly US$650 million in contracts, representing more than 1,500 MW and 4,000 customer accounts, and we anticipate a similar rate of growth in our second full year of operation." About Tractebel North America, Inc. Based in Houston, Tractebel North America, Inc. is the business unit of Tractebel Electricity & Gas International responsible for managing the Company's positions within the energy value chain in the U.S., Mexico and Canada, including electricity generation and cogeneration, natural gas and liquefied natural gas, asset-based trading and origination, and retail energy sales and related services. Tractebel North America owns and/or operates a total of 59 power, cogeneration, steam, and chilled-water facilities that represent a capacity[*] of more than 5,717 MW of electricity generation, 12 million pounds per hour of steam, and 147,000 tons per hour of chilled water. Its wholly owned subsidiary, Tractebel LNG North America, owns and operates an liquefied natural gas receiving terminal in Everett, Massachusetts, which commenced operations in 1971 and currently serves most of the gas utilities in New England and key power producers, meeting between 15-20% of New England's annual gas demand. In Mexico, Tractebel North America operates three natural gas distribution companies, located in Guadalajara, Queretaro and Tampico. It also operates cogeneration plants in Tampico and Monterrey and is the only company in Mexico with the capacity to offer integrated solutions regarding natural gas, electricity and energy-related services. Tractebel Electricity & Gas International (EGI) is one of the three business divisions of Suez (NYSE:SZE), an international industrial and services Group that provides businesses, public authorities and individuals with innovative solutions in Energy and the Environment. Based in Brussels, Tractebel EGI offers global solutions in energy and services to customers in North America, the southern cone of Latin America, Asia and the Middle East. It develops, builds and operates energy facilities both in electricity and gas, including liquefied natural gas. It transports and distributes natural gas and liquefied natural gas in several countries outside Europe. Tractebel EGI is also active as a trader around its assets and as a marketer in electricity and gas, and offers energy related services to industrial and commercial customers. Tractebel EGI has a strong presence in its markets with a total power capacity[*] of nearly 28,000 MW, and a gas transport capacity of 15 billion m3/y. In 2002 EGI sold nearly 69,000,000 MWh of power, 11.89 billion m3 of gas and more than 60 million tons of steam to industrial and residential customers worldwide. In 2002 Tractebel EGI booked a turnover of EUR3,732 million. [*] In operation, under construction, in development ============= G E R M A N Y ============= GRUNDIG AG: Alba, Beko Take over Home InterMedia System ------------------------------------------------------- Many months of discussions with investors at Grundig have led to success: the insolvency administrator, Dr. Siegfried Beck, Nuremberg, the CEO of Alba plc, England, Daniel B. Harris and the president of Beko Elektronik A.S., Turkey, Ali H. Sumerval signed the respective contracts for a joint takeover of the Home InterMedia System division of Grundig AG on January 29, 2004. After extremely intensive negotiations the sale of this important core division to which belong above all the classical division of the Consumer Electronics like TV, HiFi, Video, CD Player, DVD player and recorder, the research and development division as well as the service activities is perfect now. In the future the Grundig activities will be continued through two companies, which are situated in Nuremberg. One of the companies will perceive the worldwide service activities. Within the second company the previous core business will be continued, which mainly covers research and development, marketing and sales. The business of both companies will be overseen by Hubert Roth, who has been with Grundig for 26 years and at last was Director Marketing and Sales. The Grundig products will furthermore be purchased from the previous production facilities due to Grundig specific guidelines -- especially design and development. The investors committed themselves to continue the activity with at least 200 employees. Further on company spanning services will be sourced from Grundig AG i. Ins., which presently employs 250 people. On the occasion of signing the contract the insolvency administrator Dr. Siegfried Beck told: "Alba/Beko made the purchase after very intensive examination. Therefore I am sure, that the products of the Home InterMedia System division fit very well into the portfolio of the new owner. The take-over guarantees a continuous presence in the market. Moreover I am very satisfied that the traditional trademark Grundig will actively take part in creating the future market of the Consumer Electronics. By selling the automotive division to Delphi and the transaction with Alba and Beko the stage is set for tie in the success of the past. [T]he course for the future and the growth was set." The sale of Home InterMedia System has been "the biggest boulder," which one has to overcome in the course of the insolvency procedure, explained the insolvency administrator. He thanked the members of the creditors committee for the "constructive and professional cooperation." Above all the cooperation of the workers' council, which was stamped by the will to persevere finally ensured the success, told Dr. Siegfried Beck. Especially he thanked the employees of Grundig AG, who continued the business despite the insolvency with above-average dedication and achieved a result, which exceeded the original planning of the insolvency administration. With this the employees made an essential contribution to the faith of the investors in Grundig. This was especially important for maintaining numerous jobs, which the new owner now takes over. CONTACT: GRUNDIG AG I.INS. Beuthener Strabe 43 D-90471 Nurnberg Public Relations Contact: ++49(0)911/703-8629 E-mail: holm.kilbert@grundig.com =========== G R E E C E =========== ROYAL OLYMPIC: Units File for Creditor Protection in Greece ----------------------------------------------------------- Royal Olympia Cruises, Inc (Royal Olympic) (Nasdaq: ROCLF) announced that its ship-owning subsidiaries (debtors) have -- seeking the consent of their major creditors -- requested protection from their creditors in the Greek Court pursuant to Article 45 of Law 1982/1990, which provides for the reorganization of debtors in a proceeding similar to a proceeding pursuant to Chapter 11 of the U.S. Bankruptcy Code. Royal Olympic is engaged in discussions with the debtors' banks and other creditors regarding such proceedings. The creditors determination to consent to the debtors reorganization proceeding is not within Royal Olympic's control in any material respect, but may depend -- among other factors -- upon the creditors determination as to the value of the vessels and the chartering contracts affecting the vessels, the demand for the vessels and the general business dynamics of the cruise shipping industry. However, Royal Olympic cannot assure that the requires consent, and if no other alternative is found, the debtors may be forced to cease operations. ============= I R E L A N D ============= EUROFOOD IFSC: Liquidator Named for Parmalat's Irish Subsidiary --------------------------------------------------------------- Pearse Farrell was appointed liquidator to Eurofood IFSC, the Dublin-based subsidiary of Italian food group Parmalat, according to BizWorld. Bank of America, which according to a spokeswoman was owed over US$3.5 million (GBP1.9 million) by Eurofood, confirmed in a statement it filed a petition for the winding up of the company in Ireland. Eurofood was involved in raising finance for subsidiaries of Parmalat, which is being investigated by Italian authorities for the missing EUR13 billion from its accounts. CONTACT: PEARSE FARRELL Farrell Grant Sparks Molyneux House Bride Street Dublin 8 Phone: (01) 418 2000 Fax: (01) 418 2050 E-mail: dtaite@fgs.ie ========= I T A L Y ========= PARMALAT CAPITAL: U.S. Court Urged to Enjoin Asset Seizures ----------------------------------------------------------- Gordon I. MacRae and James Cleaver at Ernst & Young Restructuring Ltd. ask the U.S. Bankruptcy Court for the Southern District of New York to issue a Temporary Restraining Order and Preliminary Injunction, enjoining and restraining U.S. creditors from seizing the U.S. assets of Parmalat Capital Finance Ltd., Food Holdings Limited and Dairy Holdings Limited. Messrs. MacRae and Cleaver appear before Bankruptcy Judge Robert D. Drain in their capacity as Joint Provisional Liquidators of the Companies. Since the commencement of the Cayman Islands winding up proceedings, the JPLs have been working diligently to gather the books and records of the Companies, and to ascertain the assets and liabilities of the Companies. Parmalat Capital's 2002 financial statements show that the company had $7,000,000,000 in assets and $5,700,000,000 of debt. The JPLs suspect that Parmalat Capital has at least one bank account in a New York branch of Bank of America. Pursuant to Section 302 of the Bankruptcy Code, the JPLs intend to preserve the status quo and prevent Parmalat S.p.A., Parmalat Finanziaria S.p.A., Extraordinary Commissioner Enrico Bondi, or any other entity from grabbing any cash at BofA or any other U.S. asset. Food Holdings Food Holdings Limited is an exempted limited liability company, organized and incorporated under the laws of the Cayman Islands. On December 17, 1999, Food Holdings issued these notes: (i) $130,000,000 aggregate principal amount of 8.43% Class A1 Senior Secured Notes; (ii) $28,474,689 aggregate principal amount of zero coupon Class A2 Senior Secured Notes; and (iii) a Class B Subordinated Secured Note. The Food Holdings Notes were secured against, among other things, Food Holdings' 9.09% interest in one of Parmalat S.p.A.'s Brazilian companies. The Food Holdings Notes matured on December 17, 2003. Food Holdings defaulted on its payment obligation. Dairy Holdings Dairy Holdings Limited is an exempted limited liability company, organized and incorporated under the laws of the Cayman Islands. On June 22, 2001, Dairy Holdings issued these notes: (i) $150,000,000 aggregate principal amount of 7.20% Class A1 Senior Secured Notes; (ii) $6,998,265 aggregate principal amount of non-interest bearing Class A2 Senior Secured Notes; and (iii) a Class B Subordinated Secured Note. The Dairy Holdings Notes were secured against, among other things, Dairy Holdings' 9.09% interest in one of Parmalat's Brazilian companies. The Dairy Holdings Notes matured on December 22, 2003. Dairy Holdings defaulted on its payment obligation. Parmalat Capital Finance Parmalat Capital entered into separate put agreements with Food Holdings and Dairy Holdings in connection with the issuance of the Notes. Under the terms of the Put Agreements, Parmalat Capital was obligated on December 12, 2003 to purchase from Food Holdings its Brazilian shares, and on December 17, 2003 to purchase from Dairy Holdings its Brazilian shares. Parmalat Capital has not purchased the Brazilian shares from either Food Holdings or Dairy Holdings. A copy of the Food Holdings Put Agreement is available at no extra charge at: http://bankrupt.com/misc/Food_Holdings_Put_Agreement.pdf A copy of the Dairy Holdings Put Agreement is available at no extra charge at: http://bankrupt.com/misc/Dairy_Holdings_Put_Agreement.pdf A copy of Parmalat Capital's financial statements for the year ended December 31, 2002 is available at no extra charge at: http://bankrupt.com/misc/Parmalat_Captial_2002_Financials.pdf The JPLs tell Judge Drain that they understand Mr. Bondi has already instructed Maples and Calder, his Cayman Islands attorneys, to petition for their removal. Although Parmalat Capital is organized and incorporated in the Cayman Islands, on March 31, 2002, the directors of Parmalat Capital transferred the management and control of the company to Malta. Consequently, many of the books and records of Parmalat Capital are currently in the offices of Deloitte & Touche in Malta. The JPLs understand that the Maltese Financial Services Authority will be taking possession of those books and records and that the JPLs will be permitted access to the books and records shortly thereafter. Irreparable Injury and the Need for Injunctive Relief The JPLs believe that the successful administration of the Companies' affairs requires that the claims of all creditors, wherever situated, be resolved in the Cayman Islands proceedings. If the U.S. creditors are not enjoined, assets of the Companies' estates may be prematurely "pieced out" and "the orderly determination of claims and the fair distribution of assets" in the foreign proceedings will be severely disrupted. The preservation of the status quo will not prejudice the U.S. creditors. Injunctive relief will ensure an equitable and orderly distribution of the Companies' assets in the United States pursuant to an integrated, comprehensive plan. Considering the JPLs' request, Judge Drain finds that entry of an injunction in the United States against U.S. creditors will permit the expeditious and economical administration of the Companies' affairs in aid of the pending proceedings brought under Cayman Islands law. Accordingly, Judge Drain directs that all persons subject to the jurisdiction of the U.S. Court are enjoined and restrained from commencing or continuing any action to collect a prepetition debt without obtaining relief from the Court, subject to a further hearing to consider entry of a permanent injunction. Bruce R. Zirinsky, Esq., Gregory M. Petrick, Esq., and Jason A. Cohen, Esq., at Cadwalader, Wickersham & Taft LLP, represent the JPLs in the Section 304 Proceeding filed on January 20, 2004. Guy Locke, Esq., at Walkers, represents the JPLs before the Grand Court of the Cayman Islands. (Parmalat Bankruptcy News, Issue No. 4; Bankruptcy Creditors' Service, Inc., 215/945- 7000) ===================== N E T H E R L A N D S ===================== HEAD N.V.: Subsidiary Sells EUR135 Mln Guaranteed Senior Notes -------------------------------------------------------------- Head N.V. (NYSE: HED; VSX: HEAD), a leading global manufacturer and marketer of sports equipment, announced that its wholly owned subsidiary HTM Sport- und Freizeitgerate AG has successfully sold 8.5% unsecured senior notes due 2014, guaranteed by Head N.V. and certain of its subsidiaries. The size of the transaction is EUR135 million. The sale has been made outside the United States and to qualified institutional buyers in the United States. HTM has applied to list the notes on the Luxembourg Stock Exchange. With the proceeds from this sale, all of the outstanding 10.75% senior notes due 2006 of Head Holding Unternehmensbeteiligung GmbH, another Head N.V. subsidiary, will be redeemed. The total redemption payment is approximately EUR70.1 million. In addition, HTM will repay approximately EUR31.5 million of certain of its and its subsidiaries' debt. The remainder of the proceeds will be used for working capital and general corporate purposes. The senior notes have not been and will not be registered under the U.S. Securities Act of 1933, as amended. The senior notes may not be offered or sold in the United States absent registration under the Securities Act or an applicable exemption from registration requirements. The senior notes have been offered in the United States only to qualified institutional buyers, as defined in Rule 144A under the Securities Act. There is not, and is not intended to be, a public offering of the senior notes in the United States. This press release does not constitute or contain an offer to sell or a solicitation of an offer to buy the senior notes in Austria. Any senior notes offered in Austria, have been offered exclusively by way of a non-public offering to a limited circle of institutional investors within the meaning of Section 3/1/11 of the Austrian Capital Markets Act, as amended. Stabilization/FSA This communication is directed only at persons who (1) are outside the United Kingdom or (2) have professional experience in matters relating to investments or (3) are persons falling within Article 49(2)(a) to (d) ("high net worth companies, unincorporated associations etc.") of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2001 (all such persons together being referred to as "relevant persons"'). This communication must not be acted on or relied on by persons who are not relevant persons. Any investment or investment activity to which this communication relates is available only to relevant persons and will be engaged in only with relevant persons. CONTACT: HEAD N.V. Clare Vincent, Head of Corporate Finance Phone: +44 (0)207 499 7800 Fax: +44 (0)207 491 7725 E-mail: htmcv@aol.com Ralf Bernhart, Chief Financial Officer Phone: +43 1 701 79354 Fax: +43 1 707 8940 =========== N O R W A Y =========== ALVIS MOELV: Lack of New Orders Forces Firm to Cease Operations --------------------------------------------------------------- The Alvis Moelv Board regrets to announce that all business activities are to cease at the Alvis Moelv site in Norway by the end of June 2004. The business has suffered operating losses over a considerable period and has a limited forward order book. No significant new orders are expected in the foreseeable future. Anders Dalborg, President of Alvis Moelv, commented: "Over the last year, we have taken a number of steps to restructure the business to adjust to the difficult market situation, but these have not been enough to counter the lack of current and future orders. Despite our best efforts to pursue new projects both in Norway and on the international market, it has regrettably not been possible to attract sufficient new business to keep the Alvis Moelv factory open." Major orders will be completed and delivered before the business is closed. All 110 employees will be affected by the decision. 60 employees have already been made redundant and are working out their notice period. The remaining 50 personnel will receive their redundancy notifications before the end of February. CONTACT: ALVIS MOELV P.O. Box 244 N-2391 MOELV Norway Phone: +47 62 35 46 00 Fax: +47 62 35 46 01 Home Page: http://www.alvismoelv.no/ Anders Dalborg, President Phone: +47 62 35 46 10 Mobile: +46 70 643 38 07 =========== S W E D E N =========== SCANDINAVIAN AIRLINES: Offers Gothenburg, Lulea Trips for SEK290 ---------------------------------------------------------------- Travelers can now book one-way tickets on the Stockholm- Gothenburg and Stockholm-Lulea routes for SEK290, including tax and charges. "Both Gothenburg and Lulea are important markets for us. We want to retain existing customers, while joining the battle for new customers in these markets," says Camilla Wallander, Marketing Manager for Scandinavian Airlines in Sweden. "Right now, we have 10,000 seats that we are offering on our Web site for SEK290. Customers can book tickets and even check in on the Web site. This way, they can avoid check-in lines at the airport and enjoy a quick and easy start to their journey," Camilla Wallander continues. In addition to the SEK290 one-way fare on the Stockholm- Gothenburg and Stockholm-Lulea routes, there are also one-way fares of SEK390 that are valid to and from most of Scandinavian Airlines' domestic destinations. The tickets are only available on the SAS Web site and via online travel agents until April 30 of this year. Travel must be booked at least one day in advance of departure. Tickets are available on selected departures throughout the day. CONTACT: SCANDINAVIAN AIRLINES Camilla Wallander, Marketing Manager Phone: +46 (0)70-997 40 40 SCANDINAVIAN AIRLINES: Anticipates 'Severe' Effect from Strikes --------------------------------------------------------------- Following negotiations on Wednesday between the Swedish Air Transport Industry Employers' Association and the Swedish Transport Workers' Union, it was not possible to reach an agreement on the 2003 contract for flight technicians, mechanics, baggage handlers and packers. The Transport Workers' Union has made demands that are unacceptable for the SAS Group. In 2003, the SAS Group experienced the worst year in its history. Preliminary figures indicate a loss of some SEK2 billion. Against this background, it is impossible for SAS management to accept an agreement with the union that would further worsen the Group's already critical financial position. A conflict has become unavoidable, since the Transport Workers' Union has demanded exclusive right for flight technicians to perform a certain task that can be performed by mechanics at lower cost. Damage to SAS severe With its strike measures, the Transport Workers' Union will seriously damage SAS and make an already critical situation for the company even more severe. The strike measures will affect third parties, meaning SAS' customers. Given the competition now prevailing in the Swedish market, a large number of customers will also leave SAS to fly with other airlines. ***** In anticipation of the strike last Friday, the airline put in place a new traffic plan that entailed cancellation of some 80 departures between the hours of 5:00 a.m. and 10:00 a.m. It also expected delays in some 20 flights. It said that in addition to SAS, Blue 1, Braathens, SAS Commuter, Snowflake and Spanair will be affected. Passengers seeking more detailed departure information are referred to the SAS Web site: http://www.sas.se SKANDIA INSURANCE: Appoints New Set of Directors at EGM ------------------------------------------------------- At Skandia's Extraordinary General Meeting on January 28, 2004, in accordance with the proposal of the Nominating Committee the following persons were elected as new directors to Skandia's board (by-election): Karl-Olof Hammarkvist, for the period through the 2004 Annual General Meeting, and Lennart Jeansson, Birgitta Johansson-Hedberg and Christoffer Taxell, for the period through the 2005 Annual General Meeting. Karl-Olof Hammarkvist (born 1945), Ph.D. Economics Associate Professor of business economics with special focus on marketing in financial markets, adjunct professor at the Stockholm School of Economics, Vice Chairman of the Fourth Swedish National Pension Fund, former Executive Vice President of Nordea, former Executive Vice President of Skandia International. Lennart Jeansson (born 1941), B.Sc. Economics, Executive Vice President and Deputy CEO of Volvo, Chairman of Stena and director of Stena Metall. Birgitta Johansson-Hedberg (born 1947), Reg. Psychologist, B.A., departing President and CEO of Forenings-sparbanken, Chairman of Lindex and Umea University, director of Sveaskog and member of the Swedish Securities Council. Christoffer Taxell (born 1948), LL.B. and D. Pol.Sc. h.c., Minister. Chancellor of Abo Akademi, former President and CEO of Partek, former Finnish Minister of Justice, Chairman of Finnair and director of Sampo and Boliden, among other companies. In addition it was confirmed that Bjorn Bjornsson and Eero Heliovaara will remain on Skandia's board under their previous mandates until the end of the 2004 Annual General Meeting. Following the Extraordinary General Meeting, the number of directors elected by the General Meeting is six, and Skandia's board has this composition: Bjorn Bjornsson, Karl-Olof Hammarkvist, Eero Heliovaara, Lennart Jeansson, Birgitta Johansson-Hedberg, Maria Lilja (policyholder representative appointed by the Stockholm Chamber of Commerce) and Christoffer Taxell, plus three employee representatives. The Swedish Consumer Agency, which shall also appoint a policyholder representative, has not appointed a director. The Board has constituted itself in accordance with the Nominating Committee's proposal, with Bjorn Bjornsson as chairman. At the Extraordinary General Meeting, Bertel Enlund, Authorized Public Accountant, Ernst & Young, was elected (by-election), as auditor for the period through the 2004 Annual General Meeting. CONTACT: SKANDIA INSURANCE Gunilla Svensson, Press Manager Phone: +46-8-788 42 97 Corporate Communications S-103 50 Stockholm, Sweden Phone: +46-8-788 10 00 Fax: +46-8-788 23 80 Homepage: http://www.skandia.com ===================== S W I T Z E R L A N D ===================== ADECCO SA: Tells Investors Business Is Sound -------------------------------------------- The Board of Directors of Adecco S.A. issued these statements: (a) Demand for Adecco's services based on the latest available information is stronger than last year. Mr. John Bowmer, Executive Chairman of the Board, commented: "Based on currently available management reports, demand for the Company's services thus far this year is within the Company's expectations and the business remains healthy." (b) The Company's current financial position is sound. Internal analysis shows that the Company's net debt position (including off-balance sheet debt) amounted to approximately EUR900 million at year-end. The reduction in net debt in the fourth quarter resulted mostly from the Company's operating activities. (c) As stated before, material weaknesses in Adecco Staffing North America's internal controls have been identified, and an investigation pertaining to accounting, internal controls and compliance issues at the Company is underway. The enquiries regarding all these issues are at an early stage. Based on the currently available information, however, the Board has so far found no evidence demonstrating any major misappropriations or irregularities that would be financially significant to the Company as a whole. Instances of local misappropriations and irregularities -- mainly at branch-level -- have been identified in certain countries. However, the Board does not believe these instances will turn out to be financially significant to the Company as a whole, although, as any such conduct would be, they are nonetheless of concern to the Company. (d) The Board has decided to appoint Mr. Richard Kilsby as Independent Monitor tasked to assure the independence of the investigation currently being conducted by the New York law firm of Paul, Weiss, Rifkind, Wharton and Garrison LLP. The Board has decided upon this appointment to underline its commitment to a full, complete and independent investigation. (e) The Company is initiating steps to improve significantly its control systems. Mr. Bowmer commented: "We are working to reinforce and improve our systems and our finance function, and are determined to work through and learn quickly from these problems. We expect that Adecco will be an even stronger company when coming out of this period. " (f) The Company has appointed Mr. Ray Roe as Chief Executive Officer of Adecco Group's North American operations, including Adecco Staffing, Ajilon, and Lee Hecht Harrison. In this capacity Ray Roe will be reporting to Jerome Caille, Adecco's Chief Executive Officer. In Ajilon, as Chief Executive of the division he led a successful restructuring of the business. The Board and management are very pleased with Ray Roe's appointment and believe he will bring his leadership skills and drive to resolve the issues at Adecco Staffing North America. Ray Roe has the Board's and management's full support in doing what is necessary to sustain Adecco's industry leadership in North America. (g) The Board would like to caution the public to rely only on statements officially issued by the Company on the matters concerning the delay in the audit and related issues, which prior to this release, included only the Company's media releases of January 12 and January 16. The Board is committed to communicate with the Company's stakeholders in a timely manner. (h) The Board of Directors wishes to thank the Company's management team and employees around the world for their commitment and hard work during this period. (i) The Board of Directors also wishes to thank wholeheartedly the Company's clients and associates for their loyalty. About Richard Kilsby Richard Kilsby was previously Vice Chairman of virt-x plc, which operates the stock exchange for SMI companies. He was also CEO of Tradepoint. He previously served as Executive Director at the London Stock Exchange, responsible for listing, market regulation and business development. He also held senior positions at Bankers Trust both in Europe and in the United States. Prior to that, he was Vice Chairman of Charterhouse Group and CEO of Charterhouse Bank. His earlier career was with Pricewaterhouse, where he was a partner from 1984 to 1988. About Ray Roe Ray Roe joined the Adecco organization in 1993 as a branch manager with Lee Hecht Harrison, the Group's career services division, which specializes in outplacement. In 1996, Roe became Lee Hecht Harrison's chief operating officer. Two years later Roe assumed control of all Adecco operations in the Asia- Pacific Region. He became CEO of Ajilon in 2002. Roe was a significant contributor to the redesign of Lee Hecht Harrison, which made it one of the leading outplacement firms in the world. He also spearheaded Adecco's growth in the Asia-Pacific Region and was involved in the acquisition and integration of Career Staff in Japan. Before joining the Adecco Group, Roe had a 26-year career in the US Army, from which he retired in 1993 as Brigadier General. He was among the first in his graduating class at West Point to achieve that rank. One of many prestigious assignments Roe had during his distinguished Army career was his position as Commanding General of the Army's elite 9th Infantry Division. About Adecco Adecco SA is a Forbes 500 company and the global leader in HR Solutions. The Adecco Group network connects 650,000 associates with business clients each day through its network of 28,000 employees and more than 5,800 offices in 68 territories around the world. Registered in Switzerland, and managed by a multinational team with expertise in markets spanning the globe, the Adecco Group delivers an unparalleled range of flexible staffing and career resources to corporate clients and qualified associates. The Adecco Group comprises four Divisions, Adecco Staffing, Ajilon Professional, LHH Career Services and Jobpilot e-HR Services. In Adecco Staffing, the Adecco staffing network focuses on flexible staffing solutions for global industries in transition, including automotive, banking, electronics, logistics and telecommunications; Ajilon Professional offers an unrivalled range of specialized branded businesses; LHH Career Services encompasses our portfolio of outplacement and coaching; Jobpilot e-HR focuses on online recruiting activities for the Adecco Group. Adecco S.A. is registered in Switzerland and is listed on the Swiss Exchange (ADEN / trading on Virt-x: 1213860), NYSE (ADO), Euronext Premier Marche (12819). Additional information is available at the Company's website at http://www.adecco.com CONTACT: ADECCO SA Media Centre Phone: +41 1 878 8888 FANTASTIC CORPORATION: Sets Another EGM to Decide Future -------------------------------------------------------- The Fantastic Corporation (Prime Standard Frankfurt: FAN) has announced that negotiations regarding a merger with a German software company, which had been initiated by the large German shareholder Global Derivative Trading controlled by Thorsten Wagner, have been abandoned. At the extraordinary general assembly in Zug on January 20, 2004 Mr. Wagner had voted against the proposal of the board to orderly liquidate the company. An agenda is being prepared for another extraordinary general assembly expected to be held on March 1, 2004 in Zug at which the shareholders will vote on the proposal of the shareholder Global Derivative Trading not to liquidate the debt-free company, but to keep the company dormant without employees and operations for the time being. Since the current board will resign prior to the extraordinary shareholders meeting, it will also be necessary to elect a new board. Fantastic has decided to continue ongoing negotiations about the sale of its U.S. operations. CONTACT: THE FANTASTIC CORPORATION Meliza Louw Bahnhofstrasse 2, Postfach 1350, 6301 Zug Phone: +41 41 728 88 88 Fax: +41 41 728 88 80 E-Mail: M.Louw@fantastic.com Eberhard Zangger, Zangger.Org Science Communications, Zurich Phone: +41 1 390-2936 E-mail: mail@zangger.org =========================== U N I T E D K I N G D O M =========================== ALVIS VICKERS: Undertakes Reorganization to Stay Competitive ------------------------------------------------------------ Alvis plc announces a restructuring of operations at the Telford factory of its U.K. subsidiary, Alvis Vickers Ltd., and the closure of its Norwegian subsidiary, Alvis Moelv AS. The future of manufacturing operations at Alvis Vickers has been under review since the company was formed by the merger of Alvis Vehicles and Vickers Defence Systems in 2002. Current business volumes mean that a significant reduction in manpower and other operating costs is both possible and necessary to enable the company to remain efficient and competitive in the market place. Consultations with affected staff have therefore begun Thursday on a reduction of manufacturing personnel at Telford to take effect as existing contracts come to an end during 2004. The cost of this reorganization, which will be charged in 2004, will be approximately GBP3.5 million. The total cash cost for reorganization following the acquisition of Vickers Defence Systems in 2002, including charges taken in 2002 and 2003, is not expected to exceed the maximum of GBP7.5 million, which was indicated at the time of the acquisition. Consultations have also begun Thursday on a reduction of engineering personnel at the Telford site. This was not foreseen at the time of the Vickers Defence Systems acquisition, but has been made necessary by the U.K.'s withdrawal from the MRAV program. The total additional cost of this element of reorganization to be charged in 2004 will be around GBP1.5 million. Alvis Moelv has been loss making for several years due to a weak market position, coupled to a high operating cost environment. Efforts to improve financial performance have not proved successful, and the decision has been taken to cease operations as the existing order book runs out. The exceptional costs arising from the closure of Alvis Moelv are not expected to exceed GBP3.5 million, and a charge for this amount will be made in 2004. A significant proportion of the charge is to cover the future rental costs of the facility. Nick Prest, Alvis plc Chairman and Chief Executive, said: "Further rationalization has been an option since the Alvis Vehicles and Vickers Defence Systems businesses were merged in October 2002. Current demand for U.K. manufacturing and engineering capacity is now at the lower end of what was then the expected range, because of delays to export and U.K. programs and the cancellation of MRAV. At Moelv, a weak market position has led to ongoing losses. The restructuring action announced is intended to address both of these issues and lead to improved performance for the business as a whole as our substantial current order book and market prospects translate into future revenues." CONTACT: ALVIS PLC Nick Prest Chairman and Chief Executive Phone: (020) 7808 8888 Martin Greenslade, Finance Director Phone: (020) 7808 8888 SMITHFIELD FINANCIAL Rupert Trefgarne Phone: (020) 7903 0672 AUTOTRAC PLC: Enters Administration ----------------------------------- Company Name: Autotrac Plc Company No.: 4302381 Nature of Business: Transport and Other Communications Trade Classification: 32 Date of Appointment: January 16, 2004 Administrator: Douglas MacDonald (IP No 8632) 81 St Martins Lane London WC2N 4AA AVON ENERGY: Fitch Withdraws Ratings Following Bond Repayment ------------------------------------------------------------- Fitch Ratings withdrew the rating of Avon Energy Partners Holding following the completion of the tender offer made by E.ON under which the existing Avon Energy Partners Holding rated bonds (GBP360 million due 2006, USD250 million due 2007, USD250 million due 2008) have been repaid. Fitch lowered Avon Energy Partners Holding's ratings to 'DDD/D' from 'CC/C' on November 3, 2003, following the bid made by E.ON (rated 'AA-'/'F1') through its U.K.-based subsidiary Powergen plc (rated 'A'/'F1') to buy Aquila Sterling Ltd., the U.K. ultimate holding company of Midlands Electricity, Aquila Power Networks and various ancillary businesses. The downgrade was driven by the recovery rate of the bonds, which were offered 95.8% of their nominal value. Avon Energy Partners Holding is the U.K. parent company of Midlands Electricity, whose main operating subsidiary is the regulated electricity distribution company Aquila Power Networks, the fourth-largest U.K. electricity distribution operator, with a customer base of 2.3 million in central England. For further detail on the bid please consult Avon Energy Partners Holding's credit up-date dated November 3, 2003. CONTACT: FITCH RATINGS Francesca Fraulo, London Phone: +44 20 7417 4337 CABLE & WIRELESS: U.S. Exit Progressing Well -------------------------------------------- Cable and Wireless plc issued its third quarter trading statement, for the three months to December 31, 2003, with revenue from continuing businesses of GBP854 million and a net cash balance of GBP1,601 million. Francesco Caio, Chief Executive of Cable and Wireless plc, said: "When we announced our strategy last June we said we would need around three years to fundamentally change the business and I am not dissatisfied with the progress made in the first nine months. In the third quarter, Group trading for the continuing businesses was in aggregate in line with our expectations. Whilst revenue from continuing businesses showed a decline of three percent against the prior quarter, it was broadly flat when adjusted for currency fluctuations. "Cash remains a key area of focus for the Group; we continue to apply tight controls across our businesses, and this is reflected in the quarter end Group net cash position of GBP1.6 billion. Underlying net cash inflow from continuing businesses was GBP86 million in the quarter, driven by continued focus on working capital and capital expenditure. Net cashflow is however expected to continue to fluctuate going forward. "Since announcing our interim results in November 2003 we have confirmed our exit plan from the U.S. domestic businesses with estimated cash costs to Cable and Wireless plc not expected to exceed GBP300 million. Our exit from the U.S. domestic business results in it no longer being consolidated in the Group accounts from December 8, 2003. "The Court has now approved the sale of substantially all of the assets of the U.S. businesses to SAVVIS Communications Corporation. The implementation of the U.S. exit strategy underlines Cable & Wireless' financial stability. "This allows the management team to focus more intensively on the areas previously identified, namely the three year program to transform the U.K. business and our National Telcos. "Some of the National Telcos are experiencing increasing competitive pressure, particularly regarding mobile activities in the Caribbean. This requires increased emphasis on our business improvement plan in the Caribbean, which will include progressing the GSM rollout, strengthening of the management team and further rationalization of operations. The financial impact of competition on the Caribbean performance has been compounded by recent weakness in currencies pegged to the U.S. dollar and, particularly, the Jamaica dollar. "The expansion of our mobile services in the Caribbean has continued with the launch of GSM services in St Lucia and Grenada. The four largest Cable & Wireless businesses in the Caribbean -- Jamaica, Barbados, Cayman and St Lucia -- now offer GSM services, and the rollout of these services will require further investment." Revenue In the three months ended December 31, 2003, Cable & Wireless achieved revenue from continuing businesses of GBP854 million, a decline of three percent at actual rates and one percent at constant currency when compared to the second quarter (Q2 2003/04: GBP879 million). When compared to the third quarter of the previous year, revenue from continuing businesses showed a decline of five percent at actual rates and two percent at constant currency (Q3 2002/03: GBP897 million). The adverse currency impact on reported revenue was attributable to the continued decline in currencies pegged to the U.S. dollar, which depreciated four percent against sterling during the quarter, and in the Jamaica dollar, which depreciated six percent against sterling during the quarter. In the U.K. business, third quarter revenue was flat compared with the prior quarter, and the equivalent period in the previous year, supported by short-term wholesale contracts. Liberalization has meant that an increasing percentage of revenue is open to competition and the Caribbean business continued to experience aggressive competition from new entrants. At constant currency, Caribbean revenue increased marginally against both the prior quarter and the equivalent period in the previous year. However, at reported rates Caribbean third quarter revenue showed declines of one percent and eleven percent against the previous quarter and the equivalent period in the previous year respectively. Revenue from continuing businesses for the nine months ended 31 December 2003 was GBP2,617 million, a decline of eight percent at actual rates and five percent at constant currency over the prior year (First nine months 2002/03: GBP2,846 million), in part due to the disposal of the European domestic businesses and the loss of retail business in Japan and Asia. Net Cash Cable & Wireless' net cash balance at December 31, 2003 was GBP1,601 million, reflecting continued focus on working capital and capital expenditure. Gross cash was GBP2,547 million (including GBP12 million of treasury instruments) and gross debt was GBP946 million (September 30, 2003: GBP1,623 million, GBP2,891 million and GBP1,268 million respectively), of which long term debt was GBP888 million. On December 16, 2003 the outstanding balance of Cable and Wireless plc bonds totaling GBP239 million (denominated in US$) was repaid in line with redemption terms. In the third quarter cash capital expenditure was GBP94 million (Q3 2002/03: GBP132 million, Q2 2003/04: GBP72 million). Cash capital expenditure in the nine months ended December 31, 2003 totaled GBP266 million (First nine months Q3 2002/03: GBP582 million). Exceptional cash costs incurred in the third quarter were GBP116 million of which GBP65 million were associated with the U.S. exit (Total estimated U.S. exit cash costs not exceeding GBP300 million were identified on December 8, 2003). Other Developments On January 23, 2004 Cable & Wireless America announced that it had accepted a bid submitted by SAVVIS Communications Corporation in a court supervised auction process. Under the terms of the accepted bid, SAVVIS Communications Corporation will acquire substantially all of the assets of the U.S. businesses for a sum of $155 million in cash and approximately $12.4 million of assumed liabilities. It is expected that the sale transaction will close in the fourth quarter of the financial year to March 31, 2004. In the U.K., headcount was reduced from 5,047 at September 30, 2003 to 4,516 at December 31, 2003, as the restructuring plan continued to be implemented. In addition, the headquarters of the U.K. business has been relocated from London to Bracknell. The license held by TeleYemen, Cable & Wireless' subsidiary in Yemen, expired on December 31, 2003 and Cable & Wireless' equity stake of 51% in TeleYemen was sold to the Government of Yemen. In accordance with the terms of the shareholders agreement, the proceeds will be determined by an independent valuation of the net assets of the company and are likely to be settled prior to March 31, 2004. TeleYemen revenue totaled GBP46 million in the nine months to December 31, 2003. Notes to the Quarterly Trading Statement: Revenue from continuing businesses excludes the U.S. businesses. Total Group revenue of GBP917 million includes the U.S. businesses revenue to December 8, 2003, at which point they were deconsolidated from the Group accounts. Net cash includes cash balances in respect of all consolidated businesses. Since the U.S. businesses were deconsolidated with effect from December 8, 2003, cash balances held by those subsidiaries are excluded. Future funding by Cable and Wireless plc (which together with the costs incurred since October 1, 2003 is not expected to exceed GBP300 million) in respect of the exit of the U.S. domestic business will be paid from the Group's net cash balance of GBP1,601 million. GBPmillion Q3 Q2 Q3 Dec YTD Dec YTD (unaudited and at reported rates) 2003/4 2003/4 2002/03 2003/04 2002/03 Revenue UK 413 417 412 1,238 1,272 Caribbean 159 161 178 487 569 Other 288 310 315 914 1,026 Inter-group eliminations (6) (9) (8) (22) (21) Total continuing businesses (excl U.S.) 854 879 897 2,617 2,846 Total Revenue 917 965 1,048 2,856 3,406 Cash Gross Cash 2,547 2,891 Gross Debt (946) (1,268) Net Cash 1,601 1,623 Cable & Wireless will announce its results for the year ended 31 March 2004 on 2 June 2004. About Cable & Wireless Cable & Wireless is one of the world's leading international communications companies. It provides voice, data and IP (Internet Protocol) services to business and residential customers, as well as services to other telecoms carriers, mobile operators and providers of content, applications and Internet services. Cable & Wireless' principal operations are in the United Kingdom, continental Europe, Japan, the Caribbean, Panama, the Middle East and Macau. For more information about Cable & Wireless, go to http://www.cw.com CONTACT: CABLE & WIRELESS Investor Relations Louise Breen Phone: +44 20 7315 4460 Virginia Porter Phone: +1 646 236 1758 Caroline Stewart Phone: +44 20 7315 6225 Media Lesley Smith Phone: +44 20 7315 4410 Peter Eustace Phone: +44 20 7315 4495 CHAPMAN TRANSPORT: Creditors Meet Feb. 4 to Mull Administration --------------------------------------------------------------- Notice is hereby given, pursuant to Paragraph 51 of Schedule B1 of the Insolvency Act 1986, that a Meeting of the Creditors of Chapman Transport Seating Limited will be held at 7 Baker Street, London W1U 8AG, on February 4, 2004, at 10.00 a.m., for the purposes of considering and, if thought fit, approving the proposals of the Administrators for achieving the aim of the Administration Order, and also to consider establishing and, if thought fit, to appoint a Creditors' Committee. A person authorized under section 375 of the Companies Act 1985 to represent a corporation must produce to the Chairman of the meeting a copy of the Resolution from which their authority is derived. The copy resolution must be under seal of the corporation, or certified by the secretary or Director of the corporation as a true copy. Please note that a Creditor is entitled to vote only if he has delivered to the Administrators not later than 12.00 noon February 3, 2004 details in writing of the debt claimed to be due from the Company, and the claim has been duly admitted under the provisions of the Insolvency Rules 1986 and there has been lodged with the Administrators any proxy which the Creditor intends to be used on his behalf. A D Nygate, Joint Administrator DITTOPRINT: Cash Crunch Forces Group to File for Liquidation ------------------------------------------------------------ Baker & Tilly has been appointed liquidators of the 25-year old Glasgow printing company DP21, formerly Dittoprint, according to the Scotsman. Liquidator Maureen Leslie blamed the demise to a severe "cash crisis" that prevented if from paying this month's wages. The company's 50 employees have been made redundant. DP21's collapse is believed to have left behind a string of debts behind. Finishers ACA Presscutters alone are thought to be owed over GBP30,000, according to Dotprint News. DP21's executives are: Kenny MacMillan (Managing Director), Jim Watt (Chief Executive), Mike Downie (Director), and Angela Lethan (Director). The firm made a profit of GBP30,000 on turnover of GBP2.8 million last year. CONTACT: DITTOPRINT LIMITED 168 81-87 Hydepark Street, Glasgow G3 8BW Phone: 0141 204 5600 _ Fax: 0141 204 5601 E-mail: gary.estimating@dittoprint.com Home Page: http://www.dittoprint.com EINSTEIN GROUP: Discharges Administrators ----------------------------------------- The Company announced on January 22, that its proposed Company Voluntary Arrangement had been approved by creditors and shareholders. The Company's joint administrators, Lane Bednash and Asher Miller of David Rubin and Partners, were discharged from their role on January 30, upon the lapsing of the order for their appointment. A further announcement relating to the Company's future will be made in due course. FLINTOFF LIMITED: In Administrative Receivership ------------------------------------------------ Name of Company: Flintoff (Transport) Limited Reg. No.: 01579232 Nature of Business: Freight Transport by Road Trade Classification: 28 Date of Appointment of Administrative Receiver: January 15, 2004. Name of Person Appointing the Administrative Receiver: City Invoice Finance Limited. Administrative Receiver: Goodband Viner Taylor The Manor House 260 Ecclesall Road South Sheffield S11 9AT. Receiver: Tracy Ann Taylor (Office Holder No 008899) FUTURE NETWORK: Initial Creditors Meeting Set February 4 -------------------------------------------------------- Notice is hereby given by Robert Derek Smailes, of Rothmn Pantall & Co, Clareville House, 26-27 Oxendon Street, London SW1Y 4EP, that a Meeting of the Creditors of Future Network Systems Sales Limited formerly of The Innovation Centre, 225 Marsh Wall, London E14 9FW, is to be held at the Holiday Inn Express, 275 Old Street, London EC1V 9LN, on February 4, 2004, at 11.30 a.m. The Meeting is an initial Creditors' Meeting under paragraph 51 of Schedule B1 to the Insolvency Act 1986. A proxy form should be completed and returned to Robert Derek Smailes, of Rothman Pantall & Co, Clareville House, 26-27 Oxendon Street, London SW1Y 4EP, by the date of the Meeting if you cannot attend and wish to be represented. In order to be entitled to vote under Rule 2.38 at the Meeting a creditor must submit, not later than 12.00 noon on the business day before the day fixed for the Meeting, details in writing of his claim. Administrator GOVETT ASIAN: Voluntary Liquidation Proposed -------------------------------------------- The Board of Govett Asian Income & Growth Fund Limited announced on November 17, 2003 that it had appointed Gartmore Investment Limited as Investment Manager to the Company following the announcement by Allied Irish Banks plc. of the intended sale of certain of the management contracts of Govett Investment Management Limited to Gartmore Investment Management Plc. The Board has now discussed the strategic options for the future of the Company with Gartmore and the Company's advisors and its major shareholders and has concluded that, in view of, inter alia, the current size of the Company, its total expense ratio and the level of discount at which the shares have traded, it would be in the best interests of shareholders as a whole if proposals are put to shareholders to place the Company into a members' voluntary liquidation. The Company will post a circular to shareholders as soon as practicable seeking their approval for the Company to be placed into members' voluntary liquidation and setting out the proposals for the distribution of the Company's assets (after payment of its liabilities) on such a winding up. It is currently anticipated that the circular will be posted to shareholders in late February. CONTACT: GOVETT ASIAN Hugh Field Phone: 020 7678 8000 Hoare Govett Limited HARRIS HAULAGE: Falls into Administration ----------------------------------------- Company Name: Harris (Northampton) Haulage Limited Company Number: 00364594 Nature of Business: Freight Transport by Road Trade Classification: 28-Road Transport Date of Appointment: 19 January 2004 of Administrators Joint Administrators: PRICEWATERHOUSECOOPERS LLP Temple Court, 35 Bull Street Birmingham B4 6JT Administrators: Robert Jonathan Hunt Alistair Michael Grove David John Langton (IP Nos 8597, 7913 and 8645) HENDERSON ABSOLUTE: To Distribute Remaining Cash to Shareholders ---------------------------------------------------------------- On December 19, 2003, an Extraordinary General Meeting of the Company was held at which it was proposed that the Company would be wound up in accordance with its Articles of Association. The Special Resolution proposed at the Extraordinary General Meeting was duly passed and the Company was placed in liquidation pursuant to a members' voluntary winding up. Following the winding-up, the Company's resulting cash balance, after providing for all known liabilities, was to be distributed to Shareholders pro rata to their holdings of Shares in the Company. It was [then] expected that an initial distribution of cash would be made to Shareholders by January 31, 2004 and that any balance remaining in the hands of the Liquidators (John Dunford and Brendan McMahon, both of PricewaterhouseCoopers, PO Box 321, National Westminster House, Le Truchot, St. Peter Port, Guernsey GY1 4ND) on the completion of the liquidation would be paid in cash to the Shareholders on the register at the close of business on the Effective Date pro rata to their shareholdings at that time. First distribution In accordance with the expected timetable and pursuant to the liquidation, the first distribution of the Liquidation Fund was made, Friday, January 30, 2004. The first distribution will be in the amount of 103 pence per Share. Further distributions will be made in due course with quantum and timing to be confirmed by the Liquidator. CONTACT: HENDERSON GLOBAL INVESTORS Stephen Westwood Phone: 020 7818 5517 Stephen Phillips Phone: 020 7818 6417 PRICEWATERHOUSECOOPERS John Dunford Phone: 01481 727777 Brendan McMahon Phone: 01481 727777 INDEPENDENT NEWS: Sells Stake in Chorus to Liberty Media -------------------------------------------------------- Independent News & Media PLC announced Thursday that it has formally agreed to sell its 50% interest in its Irish cable operation, Princes Holdings Limited, to Liberty Media International for an undisclosed sum. Independent had previously confirmed that it did not intend to hold its investment in Chorus for the long-term, as it was no longer core to its operations. Following completion of this sale agreement, Chorus will be fully owned by Liberty Media International, which owns a large array of cable TV and programming interests around the world. CONTACT: INDEPENDENT NEWS & MEDIA PLC James Parkinson, Executive Director Phone: +353-1-466 3200 MURRAY CONSULTANTS LTD. Jim Milton / Pat Walsh Phone: +353-1-498 0300 JASMIN PLC: Receivers Seek Speedy Sale of Business -------------------------------------------------- Allan Graham has been appointed administrative receiver to Nottingham-based Jasmin Plc and administrators of the two trading subsidiaries -- Jasmin Simtec Limited and Jasmin Controls Limited. The company, which operates out of a 4.5-acre site in Bulwell provides software-driven integrated solutions for the transport and defense sectors. Allan Graham from KPMG Corporate Recovery, who has been appointed over the companies, said: "The businesses have run into difficulty after experiencing cashflow problems. We will continue to trade the businesses while we seek to conclude a going concern sale, but we will need to achieve this quickly if we are to preserve the business. It is, however, encouraging that we are already aware of a number of interested parties who have contacted the company to express their interest and we will be following these up immediately." Seventy people are employed by the group. CONTACT: JASMIN PLC Julie Round, PR Manager Phone: 0121 232 3177 Mobile: 07887 633677 E-mail: julie.round@kpmg.co.uk Judith Dow, Corporate Recovery PR Manager Phone: 020 7694 8584 Mobile: 07786 197718 E-mail: judith.dow@kpmg.co.uk JETMAGIC: Shareholders to Decide on Liquidation ----------------------------------------------- Cork based regional airline, Jetmagic, announced the suspension of its operations with immediate effect on January 28, 2004. On the recommendation of the Board of Directors, flight operations have been suspended and an Extraordinary General Meeting of shareholders will be convened to consider winding up the company. In a statement Jetmagic said it was a matter of deep regret for shareholders, directors, employees and supporters of the project that despite wide acclaim, Jetmagic had not proved to be a viable operation. Expected passenger demand did not materialize, especially in terms of business travel. In the case of a number of routes -- including Brussels, Rome and Milan -- the company had already announced that they had been, or would be, discontinued. The decision by competitors to introduce flights to some of Jetmagic's most successful destinations had also impacted on the company's business forecast for 2004. The company enjoyed high passenger loads on a number of routes - - particularly those to 'holiday' destinations, including Alicante, Barcelona, Nice, Nantes and Milan. However, there were very disappointing bookings on business routes -- Brussels, London City, Edinburgh, Liverpool and Paris -- with only Belfast City achieving satisfactory levels. Jetmagic's shareholders invested some EUR10 million in the airline which started operations from Cork last spring, including investments made by existing shareholders In the past month. There were a number of expressions of interest from third parties, based on a revised three year operating plan. However the short term financial requirements of keeping the business going proved insurmountable, the statement said, and the Board had no other option but to suspend operations. The appropriate Authorities have been informed of the position and their assistance sought in the matter of an orderly wind- down with minimal impact on the airline's customers. A formal meeting of creditors is being arranged. Passengers booked to travel with Jetmagic are advised to make their own alternative arrangements with other airlines. Those who have paid for their Jetmagic flights by credit card should contact the card issuer who should arrange for a refund. Passengers who have taken out travel insurance should contact their insurer. If they have paid by a means other than by credit card and they have not taken out travel insurance then they should send any claims to JETMAGIC Refunds Department 5100 Airport Business Park, Cork, Ireland. A special free phone number has been set up to provide information and advice--the number to call is 1800 301060 within the Republic of Ireland, and +353-21-4518915 from outside the Republic of Ireland. These numbers was operational from 7 a.m. on January 29, 2004. LAURA ASHLEY: Disposes Assets in Switzerland, Austria and Italy --------------------------------------------------------------- The Board of Laura Ashley Holdings plc announces that its wholly owned subsidiary, Laura Ashley Holdings BV, has completed an agreement for the disposal of its operations in Switzerland, Austria and Italy with EDMI Holding AG as announced in June 2003. The businesses disposed of will enter into a new, separate franchise agreement with the Group. The Group now has two remaining stores in Continental Europe where agreements to franchise or dispose of the stores are in the process of being concluded. CONTACT: LAURA ASHLEY Iain Nairn, Joint Chief Operating Officer Phone: 020 7880 5100 Tom Buchanan/Brunswick Group Limited Phone: 020 7404 5959 Katya Reynier LEEDS UNITED: Players Waive Pay as Firm Asks Leeway from Lenders ---------------------------------------------------------------- The Board of Leeds United plc confirms that it has agreed, subject to documentation, a wage deferral arrangement with all of the football club's professional players to assist the company's cash management. Gordon Taylor and Mick McGuire of the PFA met with the club's Finance Director, Neil Robson, and the players this afternoon to discuss the current financial situation at Leeds United. As a result, the players gave their unanimous support to a significant deferral of their wages. The Board is now in negotiations with its principal finance creditors to seek a further extension to the existing standstill arrangements to the end of the football season. A further announcement will be made in this regard in due course. Commenting on the agreement, the club's Chairman and Chief Executive, Trevor Birch, said: "The Board understands that this position has been very difficult for the players and this request was made as an absolute last resort. The players' actions demonstrate their commitment and understanding and give Leeds United a massive lift as we look towards the rest of the season. There are 16 games left for Leeds United to fight for survival in the Premier League. The Board, employees, players and supporters should now pull together and do whatever they can to achieve this goal." CONTACT: LEEDS UNITED Trevor Birch, Chief Executive Phone: 0113 367 6000 Neil Robson, Finance Director Phone: 0113 367 6000 HOLBORN PR Phone: 020 7929 5599 David Bick Phone: 07831 381 201 Trevor Phillips Phone: 07889 153 628 Chris Steele Phone: 07979 604 687 PNEUMATIC CONVEYORS: Creditors Meeting Set February 9 ----------------------------------------------------- In the Huddersfield County Court. No 20 of 2003 Notice is hereby given by Peter Sargent of Sargent & Company Limited, 36 Clare Road, Halifax HX1 2HX, that a Meeting of the Creditors of Pneumatic Conveyors (Huddersfield) Limited, c/o Sargent & Company Limited, 36 Clare Road, Halifax HX1 2HX is to be held at Sargent & Company Limited, 36 Clare Road, Halifax HX1 2HX, on February 9, 2004, at 10.00 a.m. The Meeting is an initial Creditors' Meeting under paragraph 51 of Schedule B1 to the Insolvency Act 1986. A proxy form should be completed and returned to me by the date of the Meeting if you cannot attend and wish to be represented. In order to be entitled to vote under Rule 2.38 at the Meeting, you must submit, not later than 12.00 noon on the business day before the day fixed for the Meeting, details in writing of your claim. P. Sargent, Administrator SHIFNAL ENGINEERING: In Administrative Receivership --------------------------------------------------- Name of Company: Shifnal Engineering Group Limited Reg. No: 02540903 Previous Names of Company: Keelex 101 Limited and Shifnal Jig & Tool Limited Nature of Business: Mechanical Engineering Trade Classification: 2852 General Mechanical Engineering Date of Appointment of Joint Administrative Receivers: January 13, 2004 Name of Person Appointing the Joint Administrative Receivers: IGF Invoice Finance Limited Joint Administrative Receivers: CBA Lichfield Place 435 Lichfield Road Aston, Birmingham B6 7SS Receivers: Geoff Robbins Neil Richard Gibson (Office Holder Nos. 6622,9213) SMG PLC: Chairman Cruickshank to Leave June ------------------------------------------- SMG Chairman Don Cruickshank confirmed he is ending his five- year stay in the company in June, according to The Scotsman. Mr. Cruickshank, who spearheaded SMG's expansion that forced it to sell key assets and renegotiate banking covenants, is to become chairman of academic publisher Taylor & Francis in March. Mr. Cruickshank led SMG's acquisition of Ginger Media Group from DJ Chris Evans. Under his guidance SMG also upped its stake in breakfast broadcaster GMTV and bought a part of SRH for GBP148 million. But a decline in advertising revenues gave the company no other recourse but to sell assets to service debt that reached GBP400 million. SMG, the parent company of Scottish and Virgin Radio, sold the Herald and Sunday Herald to Newsquest for GBP216 million last year. It sold this month its 27.8% stake in SRH to Emap. SMG has appointed headhunters at Whitehead Mann to find a successor for Mr. Cruickshank. Michael Grade, the former controller of BBC1, is one of the front-runners to succeed him, the report said. David Dunn, chairman of industrial services group Brammer is also another candidate. Analysts expect the arrival of a new chairman to redefine controls on operational decision-making of the company. STUDLEY PRIORY: In Administrative Receivership ---------------------------------------------- Company Name: Studley Priory Hotel Limited Reg. No.: 01201088 Nature of Business: Hotel and Restaurant Trade Classification: 5510 Date of Appointment of Joint Administrative Receivers: January 19, 2004 Name of Person Appointing the Joint Administrative Receivers: Lloyds TSB Bank plc Joint Administrative Receivers: KPMG CORPORATE RECOVERY Arlington Business Park Theale, Reading RG7 4SD Receivers David John Crawshaw Richard John Hill (Office Holder Nos 8814, 8027) THORPE BROS: Files for Administration ------------------------------------- In the High Court of Justice (Chancery Division) Liverpool District Registry No. 1067 of 2003 Company Name: Thorpe Bros (Rhyl) Limited Company No.: 784049 Nature of Business: Manufacture of Lift and Handling Equipment Trade Classification: 11 Date of Appointment: December 1, 2003 ADMINISTRATORS: GRANT THORNTON 1st Floor, Royal Liver Building Liverpool L3 1PS Joint Administrators: Sean Kenneth Croston Leslie Ross (IP Nos 8930 and 7244) T.MAT: Enters Administration ---------------------------- In the High Court of Justice Birmingham District Registry No. 2067 of 2004 Company Name: T. Mat Engineering Limited Company No.: 04041925 Nature of Business: Vehicle Division-Produces Polyurethane Mats for Industrial, Agricultural and Highway Vehicles Industrial Division-Produces Large Acoustic Enclosures for Generators Trade Classification: 11-Other Manufacturers Date of Appointment: January 19, 2004 Administrators: PRICEWATERHOUSECOOPERS LLP Temple Court, 35 Bull Street Birmingham B4 6JT Administrators Robert Jonathan Hunt Alistair Michael Grove Stuart David Maddison (IP Nos 8597, 7913 and 1338) VOSS NET: Issue Warrants to Directors ------------------------------------- The Company announces that it has issued warrants to subscribe for new ordinary shares of 0.01 pence each of the Company to its directors, Mr. Leo Knifton and Mr. Nigel Weller, in consideration of services. The warrants are exercisable at any time up to January 29, 2007 and entitle each warrant holder to subscribe for up to 10,000,000 new ordinary shares in the Company at a subscription price of 0.25pence per share. Mr. Knifton and Mr. Weller control Zaika Limited, which owns 48,748,032 ordinary shares representing 29.9% of the current issued share capital of the Company. ********* 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., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland USA. Larri-Nil Veloso, Ma. Cristina Canson, and Laedevee Gonzales, Editors. Copyright 2004. All rights reserved. ISSN 1529-2754. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. 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