/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/050829.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, August 29, 2005, Vol. 6, No. 170 Headlines F R A N C E ALSTOM SA: SNCF Orders 30 Tri-current Locomotives ALSTOM SA: Fails to Snatch EUR510 Million Mexican Contract G E R M A N Y BOCK PHARMA: Proofs of Claim Due September DAIMLERCHRYSLER AG: To Create Hybrid Engines with General Motors GFG GESELLSCHAFT: Court Appoints Udo Feser Administrator HILITE GERMANY: Moody's Downgrades Ratings to B2 JUST 4 U: Coburg Business Falls into Bankruptcy KILKA GMBH: Gives Creditors Until Thursday to File Claims LANXESS AG: Unveils Further Restructuring Measures LEICA CAMERA: Proposed Capital Increase Making Progress PAUL KIESER: Creditors' Claims Due Next Month P.R. PETER: Bremen Firm Under Bankruptcy Administration RAESCH FITNESS: Darmstadt Court Calls in Administrator SANATORIUM WIEDEMANN: Court to Verify Claims October SCHARDT-PUTZ: Creditors to Meet Next Month ZIMBA AG: Proofs of Claim Due 2nd Week of September G R E E C E OLYMPIC AIRLINES: Cabin Crew Declare Strike H U N G A R Y MALEV HUNGARIAN: Unions Warn of Strike if Sale Succeeds ZALAHUS RT: Liquidator Starts Selling Assets I T A L Y ALITALIA SPA: SULT Union Defers Strike CIRIO FINANZIARIA: Begins Bond Payout IMPREGILO SPA: Corners EUR798 Million Rail Project in Greece PARMALAT FINANZIARIA: Sues UBS, Deutsche Bank for EUR2.2 Billion PARMALAT FINANZIARIA: U.S. Bondholders Want Injunction Lifted PARMALAT FINANZIARIA: Parmatour Attracts Three Buyers L U X E M B O U R G SBS BROADCASTING: Sets EGM to Tackle Takeover Proposal N E T H E R L A N D S EURAMAX INTERNATIONAL: Moody's Lowers Credit Facility Ratings ROYAL SHELL: Buys back Another 1,600,000 'A' Shares N O R W A Y PAN FISH: Sells 11.9% Stake in Austevoll Havfiske R U S S I A ALDAN-PROD-SNAB: Insolvency Manager Takes over Company AMUR-PORT: Creditors Have Until September 23 to File Claims BLAGOVESHENSKIY FACTORY: Bankruptcy Supervision Procedure Begins DYURTYULINSKIY BRICKWORKS: Bankruptcy Hearing Set November EVRAZ GROUP: Steers Clear of Nikopol Investigation KORYAZHEMSKIY COMBINE: Proofs of Claim Deadline Set Tomorrow NIITM: Proofs of Claim Deadline Expires Next Month SHPAKOVSK-AGRO-STROY: Declared Insolvent STROY-SERVICE: Insolvency Manager Moves in SUAL INTERNATIONAL: Moody's Assigns Ba3 Corporate Family Rating TOMAROVSKAYA MOVABLE: Declared Insolvent VORONEZH-GRAZHDAN-STROY: Succumbs to Bankruptcy S W I T Z E R L A N D SWISS INTERNATIONAL: Maintains First-half EBIT Levels SWISS INTERNATIONAL: More Benefits for Customers this Winter SWISS INTERNATIONAL: Trims down Board Members to Five U N I T E D K I N G D O M A1 GEM: Collapses into Liquidation AXIOM DESIGN: Winding-up Gets Go Signal CAPITAL (GLOUCESTER): Administrator Enters Firm CARNEIL ASSOCIATES: Opts for Liquidation C.A.T.S DISTRIBUTION: Names Milner Boardman Administrator CHESS ESTATE: Winding-up Receives Green Light CORUS GROUP: Half-year Profit Rises to GBP483 Million C R STORAGE: Files for Liquidation CURTIS PLASTICS: Plastic Manufacturer Calls in Administrator DENCOL (UK): Printing Company Hires Hacker Young Administrator ELANCS.NET LIMITED: Appoints DTE Leonard Curtis Administrator GATE GOURMET: To Employ Voluntary Redundancy Scheme HENRY MERRYWEATHER: Members Opt for Liquidation HR COMMUNICATIONS: Administrator Takes over Company INVENSYS PLC: Group Loss Down to GBP26 Million ISCA GROUNDCARE: Court Okays Liquidation IT WALES: Winding-up Gets Court Approval MARSHFIELD CARE: Names Begbies Traynor Administrator N.E.C SPECIAL: Winds up Under Court Order OTTER CAMEL: Administrator from Lameys Enters Firm PLANESTATION GROUP: Infratil to Take over Kent Airport PRESTON & DUCKWORTH: Administrators Dispose of Several Stores RENTOKIL INITIAL: To Sell Initial Style Conferences RENTOKIL INITIAL: Profit Down 40.3% to GBP93.2 Million SAF FOODS: Court Approves Liquidation SPEYMILL GROUP: Square Mile Buys Further 200,000 Shares SPIROTECH ENGINEERING: Court Sanctions Liquidation U.K. COAL: U.S. Investor Boosts Stake to 3.3% ********* =========== F R A N C E =========== ALSTOM SA: SNCF Orders 30 Tri-current Locomotives ------------------------------------------------- State-owned railway group SNCF has upgraded its locomotive order, AFX News says. According to Alstom, SNCF revised its December 2004 order from 30 bi-current locomotives to 30 tri-current locomotives, raising the amount from EUR60 million to EUR78 million. The tri-current locomotives will allow SNCF to use other European rail systems with different electric voltages. The order is part of a 1998 order for 300 locomotives, which include options for upgrades. Last month, SNCF confirmed two orders, worth a total of EUR550 million, for TGV Duplex train sets and power cars. CONTACT: ALSTOM S.A. 25 Avenue Kleber 75795 Paris Cedex 16 Phone: +33-1-47-55-20-00 Fax: +33-1-47-55-25-99 Web site: http://www.alstom.com Press Relations G. Tourvieille Phone: 01 41 49 27 13 E-mail: internet.press@chq.alstom.com Investor Relations E. Chatelain Phone: 01 41 49 37 38 E-mail: investor.relations@chq.alstom.com SOCIETE NATIONALE DES CHEMINS DE FER FRANCAIS 34 rue du Commandant Mouchotte 75699 Paris Cedex 14 Phone: +33-1-53-25-60-00 Fax: +33-1-53-25-61-08 Web site: http://www.sncf.fr ALSTOM SA: Fails to Snatch EUR510 Million Mexican Contract ---------------------------------------------------------- Troubled engineering giant Alstom S.A. failed to win a EUR510 million contract to build an express train network in Mexico City, AFX News says. TCR-Europe previously reported that Alstom had partnered with a Mexican consortium that included financial firm Hermes, Inversa, and Mexican builder ICA. The group was up against a Spanish consortium led by rail builders CAF and ICF. CONTACT: ALSTOM S.A. 25 Avenue Kleber 75795 Paris Cedex 16 Phone: +33-1-47-55-20-00 Fax: +33-1-47-55-25-99 Web site: http://www.alstom.com ============= G E R M A N Y ============= BOCK PHARMA: Proofs of Claim Due September ------------------------------------------ The district court of Darmstadt opened bankruptcy proceedings against BOCK Pharma GmbH on August 1. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 12, 2005 to register their claims with court-appointed provisional administrator Gotz Lautenbach. Creditors and other interested parties are encouraged to attend the meeting on October 25, 2005, 10:00 a.m. at the district court of Darmstadt, Saal U3, Gebaude E, Landwehrstrasse 48, 64293 Darmstadt, at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors committee and or opt to appoint a new insolvency manager. CONTACT: BOCK PHARMA GmbH Odenwaldstr. 2, 64646 Heppenheim Contact: Guenther Hans Erich Noell, Manager Tulpenstr 7, 82377 Penzberg Gotz Lautenbach, Administrator Zeilweg 42, 60439 Frankfurt Phone: 069/963761-130 Fax: 069/963761-145 DAIMLERCHRYSLER AG: To Create Hybrid Engines with General Motors ---------------------------------------------------------------- General Motors Corp. and DaimlerChrysler AG will partner in developing fuel-saving hybrid engines, said the Associated Press. The move is said to be aimed at taking advantage of the growing market controlled by Toyota Motor Corp. and Honda Motor Co. The deal will see GM leading the designing of hybrid engines for rear-wheel and all-wheel-drive full-size trucks and sport utility vehicles as well as front-wheel drive cars and crossover vehicles. On the other hand, DaimlerChrysler will design hybrid engines for rear-wheel-drive luxury cars. According to Tom Stephens, GM's group vice president for powertrains, the newly developed hybrids will initially power GM's Chevrolet Tahoe and GMC Yukon, and DaimlerChrysler's Dodge Durango SUV. The newly powered GM Vehicles are expected to be unveiled in 2007. Hybrids are speculated to account for 5% to 15% of global volume, added Mr. Stephens. Demand for them is said to be growing due to global warming concerns, diminishing natural fuel supplies and their increasing cost. Earlier, German newspaper Handelsblatt disclosed Volkswagen AG and DaimlerChrysler AG are planning a joint venture, which would involve creating a VW-branded minivan for the U.S. market. The project is expected to be unveiled next month, and could be available in the market by 2007. DaimlerChrysler Chief Executive designate Dieter Zetsche and Volkswagen brand head Wolfgang Bernhard are said to be leading the negotiations. Neither Volkswagen nor DaimlerChrysler had immediate comment on the speculation, however. CONTACT: DAIMLERCHRYSLER AG 70546 Stuttgart, Germany Phone: +49 711 17 0 Fax: +49 711 17 22244 Web site: http://www.daimlerchrysler.com GFG GESELLSCHAFT: Court Appoints Udo Feser Administrator -------------------------------------------------------- The district court of Charlottenburg opened bankruptcy proceedings against GFG Gesellschaft fuer Grundbesitz mbH & Co. Achte Stadtbauten Kommanditgesellschaft on August 2. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until October 31, 2005 to register their claims with court-appointed provisional administrator Udo Feser. Creditors and other interested parties are encouraged to attend the meeting on September 29, 2005, 9:30 a.m. at the district court of Charlottenburg, Amtsgerichtsplatz 1, 14057 Berlin, II. Stock Saal 218, at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report on December 12, 2005, 9:25 a.m. at the same venue. CONTACT: GFG GESELLSCHAFT FUER GRUNDBESITZ mbH & Co. ACHTE STADTBAUTEN KOMMANDITGESELLSCHAFT Kaubstr. 7 A, 10713 Berlin Udo Feser, Administrator Uhlandstr. 165/166, 10719 Berlin HILITE GERMANY: Moody's Downgrades Ratings to B2 ------------------------------------------------ Approximately US$210 million of rated debt affected New York, August 25, 2005 -- Moody's Investors Service has lowered the Corporate Family rating of Hilite International, Inc. (Hilite) to B2 from B1. The senior secured bank credit facilities' ratings of its U.S. subsidiary, Hilite Industries, Inc. and its European subsidiary, Hilite Germany GmbH & Co, KG have also been lowered to B2 from B1, and Hilite Industries' senior subordinated notes' rating has been lowered to Caa1 from B3. The outlook is negative. The downgrade reflects Moody's expectations that Hilite's operating margins and free cash flow will be lower than the rating agency's expectations for 2005, and will remain under pressure through 2006 as a result of the challenging environment in the automotive supplier space. These challenges include lower production volumes at some of Hilite's major OEM customers, continued high-levels of contractual and non-contractual price give-backs, high commodity prices, and a shift in the company's sales toward lower margin products. Hilite will also remain challenged by the ongoing cyclicality of the automotive sector and by its modest scale relative to both competitors and its major customers. Moreover, its customer concentration remains high. General Motors accounts for over 25% of Hilite's sales and is expected to remain in excess of 20% going forward. These factors will result in weaker credit metrics over the intermediate term. Moody's notes that Hilite will benefit from constructive operational and financial initiatives that have been undertaken. It has been awarded important long-term business contracts that will help to better diversify its customer base and car platform concentration. In addition, management has made progress in reducing costs, and the company has a relatively strong backlog of booked business. By 2007, approximately half of sales will be comprised of business booked in 2004 and 2005. Furthermore, over half of Hilite's net sales are generated outside North America. Going forward, the contribution of EBITDA derived from European operations will likely exceed that of the U.S. Finally, the April 2005 refinancing extended Hilite's debt maturities out to 2010. The negative outlook anticipates that Hilite's operating results will remain under pressure despite the constructive operating and financial initiatives that have been undertaken. The company's environment will remain highly challenging, and the rating could come under further pressure. In addition, Moody's is concerned that the company has only modest headroom under the financial convents in its bank agreement. Ratings downgraded: Hilite International: Corporate Family, B2 from B1 Hilite Industries, Inc.: US$60 million senior secured revolving credit and US$70 million senior secured term loan to B2 from B1 US$30 million senior subordinated notes to Caa1 from B3 Hilite Germany GmbH & Co. KG: US$50 million senior secured term loan to B2 from B1 Hilite International's US$30 million of 11% guaranteed senior subordinated mezzanine notes due 2012 are not rated. Since early 2005, Hilite has continued to experience pricing pressures, higher commodity costs and lower vehicle production. Although the second half of 2005 could show improved results compared to the first part of the year, it is unlikely to offset the weaker results from the first half. Furthermore, capital expenditures and higher R&D spending necessary to support the sales backlog are expected to continue to constrain cash flow generation. Operating margins will also be affected by the lower portion of engineering and development expenses being reimbursed by customers. Lower EBITDA generation and higher interest rates will weaken interest coverage measures for the rest of this year and into 2006. EBIT/interest coverage over the last twelve months has been below 1.0x and is expected to remain at this level through the rest of the year. Although the refinancing was an overall positive development for the company, higher interest rates are associated with the new debt structure. Hilite's senior secured debt is based on floating interest rates and the new US$60 million of senior subordinated notes carry an 11% interest rate, replacing debt that had lower interest rates. Hilite is required to synthetically fix 50% if the interest on its total debt. Debt/EBITDA for full year 2005 is anticipated to be closer to 5.0x. Hilite was awarded in excess of US$100 million of new business since 2004 year end through March 2005. The majority of Hilite's new business ramps in 2007 and beyond. Despite these awards, intense pricing pressure is likely to constrain margin improvement. The company is highly focused on reducing its cost base through lean manufacturing, plant consolidation and improved manufacturing efficiencies, as well as through improved raw materials sourcing procedures. Additionally, Moody's notes that Hilite has the majority of its revenues and long-term assets based in Europe. Going forward, European operations are expected to contribute more than 50% to Hilite's EBITDA. Demand for Hilite's key product lines stands to benefit from increased regulatory pressures for improved emissions control, combined with consumers' desire for enhanced fuel economy and the increased penetration of automatic transmissions in Europe. As of June 30, 2005 Hilite Industries' US$60 million revolver had more than US$55 million of unused commitments. Debt maturities have been extended out to 2010 and the company is in compliance with its covenants. However, covenant room is likely to tighten for the third quarter ended September 30, 2005 due to lower expected EBITDA levels and higher interest expense. As the covenant requirements for the third quarter of 2005 tighten and the company's EBITDA margins remain under pressure, meeting the third quarter covenants could prove challenging and affect available amounts under the revolver. Developments that could result in lower ratings include a violation of the covenants in the bank facility, further production cuts by major OEM customers, or an erosion in financial metrics beyond the following levels: EBITDA margins falling below 8%, EBIT margins falling below 2%, free cash flow /debt falling below 3.0%, leverage increasing to over 6.0x, insufficient liquidity and weakening cash interest coverage falling well below 1.0x. Factors that could lead to a stabilization of the rating outlook include Hilite's ability to better contend with the its challenging operating environment as to sustain credit metrics approximating the following: EBIT margins at a minimum of 7-8%, EBITDA margins reaching approximately 14%, Debt/EBITDA of less than 4.0x, FCF/Debt consistently above 5%, a substantial reduction in net debt, and an improved liquidity profile. Hilite, headquartered in Cleveland, Ohio, is a designer and manufacturer of highly-engineered, valve-based components, assemblies, and systems used principally in powertrain (engine and transmission) applications for the automotive market. Products offered include camphasers, diesel valves, cylinder deactivation valves, and emissions control units for engine applications; solenoid valves and proportioning valves for transmission applications; and brake proportioning valves, and wheel cylinders for brake applications. The majority of Hilite's equity is owned by private equity sponsors and several members of management. The company's annualized revenues approximate US$400 million. New York Michael J. Mulvaney Managing Director Corporate Finance Group Moody's Investors Service JOURNALISTS: 212-553-0376 SUBSCRIBERS: 212-553-1653 New York Edwin Wiest Vice President - Senior Analyst Corporate Finance Group Moody's Investors Service JOURNALISTS: 212-553-0376 SUBSCRIBERS: 212-553-1653 JUST 4 U: Coburg Business Falls into Bankruptcy ----------------------------------------------- The district court of Coburg opened bankruptcy proceedings against Just 4 U AG on July 18. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until August 22, 2005 to register their claims with court-appointed provisional administrator Thomas Linse. Creditors and other interested parties are encouraged to attend the meeting on September 12, 2005, 10:00 a.m. at the district court of Coburg, Sitzungssaal G, I. Stock, Nebengebaude, at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors committee and or opt to appoint a new insolvency manager. CONTACT: JUST 4 U AG Untere Gartenstr. 7 in 96231 Bad Staffelstein Contact: Meik Algermissen Bgm- Bohmer-Str. 18, 96264 Altenkunstadt Ferdinand Braun Leopoldstr. 15, 95444 Bayreuth Thomas Linse, Administrator Rosenauer Strasse 22, 96450 Coburg Phone: 09561/80340 Fax: 09561/803434 KILKA GMBH: Gives Creditors Until Thursday to File Claims --------------------------------------------------------- The district court of Darmstadt opened bankruptcy proceedings against Kilka GmbH & Co. KG on August 3. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 1, 2005 to register their claims with court-appointed provisional administrator Dr. Jan Markus Plathner. Creditors and other interested parties are encouraged to attend the meeting on October 13, 2005, 10:30 a.m. at the district court of Darmstadt, Saal U2, Gebaude E, Landwehrstrasse 48, 64293 Darmstadt, at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors committee and or opt to appoint a new insolvency manager. CONTACT: KILKA GmbH & Co. KG Rubensstrasse 11, 64546 Morfelden-Walldorf Contact: Hans-Peter Ens, Manager Dr. Jan Markus Plathner, Administrator Lyoner Strasse 14, 60528 Frankfurt Phone: 069/962334-0 Fax: 069/962334-22 LANXESS AG: Unveils Further Restructuring Measures -------------------------------------------------- Chemicals company LANXESS AG is continuing its restructuring as announced. In addition to the measures publicized in June, the Board of Management now announces a second round of restructuring designed to achieve annual savings of EUR60 million by 2008. Two-thirds of this saving volume is to be achieved by 2007, and the full annual amount starting in 2008. The new package involves the closure of non competitive, and the consolidation of unprofitable sites. The business units Inorganic Pigments (IPG), Leather (LEA), RheinChemie (RCH), Technical Rubber Products (TRP) and Textile Processing Chemicals (TPC) and the respective service functions will be affected. The savings package focuses mainly on the United States and Europe, where also around 450 positions are affected. The company estimates that this second round of restructuring will lead to total one-time charges of about EUR100 million through 2008. THIS ANNOUNCEMENT IS NOT AN OFFER FOR THE SALE OF SECURITIES IN THE UNITED STATES OF AMERICA. CONTACT: LANXESS AG 51369 Leverkusen Germany Investor Relations Michael Pontzen Phone: +49 214-30 43804 Tanja Satzer Phone: +49 214-30 43801 Oliver Stratmann Phone: +49 214-30 49611 Dr. Gerd Zelesny Phone: +49 214-30 71416 LEICA CAMERA: Proposed Capital Increase Making Progress ------------------------------------------------------- The new shares from the capital increase of Leica Camera AG, Solms, are going to be placed completely thanks to the shareholders high disposition to subscribe. The exercised subscription rights and the further desire for subscription permit the issue of all 13.5 million new no-par value shares at a price of EUR1.70 each. The respective subscription price has been paid by the shareholders completely and in due time, according to information by the settling agent, HSBC Trinkaus & Burkhardt KGaA, Dusseldorf. Leica Camera AG will henceforth realize the further implementation of the capital increase, particularly the registration for entry of the capital increase in the competent Register of Companies without further delay. The subscription period was from August 10, 2005 until August 24, 2005, based on a resolution of the Extraordinary General Meeting from May 31, 2005. The authorized capital will be increased by EUR13.5 million to EUR15 million, as the arithmetic contingent per share amounts to EUR1. The inflow of capital will amount to EUR22.95 million. The success of the capital increase is the foundation for the reorientation of Leica Camera AG. The Board of Management thanks the shareholders for the confidence shown. It regards it as a confirmation for the positive medium-term perspective to work successfully with digital and analogue photo products as well as with innovative solutions in sport optics. CONTACT: LEICA CAMERA AG Oskar-Barnack-Strasse 11 35606 Solms Deutschland Web site: http://www.leica-camera.com PAUL KIESER: Creditors' Claims Due Next Month --------------------------------------------- The district court of Augsburg opened bankruptcy proceedings against Paul Kieser Beteiligungs-GmbH on August 1. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 12, 2005 to register their claims with court-appointed provisional administrator Rainer U. Mueller. Creditors and other interested parties are encouraged to attend the meeting on October 11, 2005, 8:45 a.m. at the district court of Augsburg, Justizgebaude, Sitzungssaal 162, Am Alten Einlass 1, 86150 Augsburg, at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors committee and or opt to appoint a new insolvency manager. CONTACT: PAUL KIESER BETEILIGUNGS-GmbH Oskar-von-Miller-Str. 1, 86356 Neusass Contact: Gerhard Kieser and Thomas Kessler Rainer U. Mueller, Administrator Schiesstattenstr. 15, 86159 Augsburg P.R. PETER: Bremen Firm Under Bankruptcy Administration ------------------------------------------------------- The district court of Bremen opened bankruptcy proceedings against P.R. Peter Riggers Baubetreuungsgesellschaft mbH on August 1. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 20, 2005 to register their claims with court-appointed provisional administrator Edgar Gronda. Creditors and other interested parties are encouraged to attend the meeting on September 1, 2005, 8:30 a.m. at the district court of Bremen, Saal 115, Gerichtshaus (Neubau), Ostertorstr. 25-31, 28195 Bremen, at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report on October 13, 2005, 10:15 a.m. at the same venue. CONTACT: P.R. PETER RIGGERS BAUBETREUUNGSGESELLSCHAFT mbH Contrescarpe 58, 28195 Bremen Contact: Peter Riggers, Manager Gerd van Huelst, Manager Edgar Gronda, Administrator Domshof 18-20, 28195 Bremen Phone: 0421/3686-0 Fax: 0421/3686-100 RAESCH FITNESS: Darmstadt Court Calls in Administrator ------------------------------------------------------ The district court of Darmstadt opened bankruptcy proceedings against Raesch Fitness Insel GmbH on August 1. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 5, 2005 to register their claims with court-appointed provisional administrator Wilhelm Oelert. Creditors and other interested parties are encouraged to attend the meeting on October 5, 2005, 9:00 a.m. at the district court of Darmstadt, Zimmer 4, Gebaude E, Landwehrstrasse 48, 64293 Darmstadt, at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors committee and or opt to appoint a new insolvency manager. CONTACT: RAESCH FITNESS INSEL GmbH Dr.-Robert-Murjahn-Strasse 18, 64372 Ober-Ramstadt Contact: Rike Haipter, Manager Seligenstadter Strasse 49, 63322 Rodermark Wilhelm Oelert, Administrator Baustrasse 17, 64372 Ober-Ramstadt Phone: 06154/630848 Fax: 06154/630850 SANATORIUM WIEDEMANN: Court to Verify Claims October ---------------------------------------------------- The district court of Wolfratshausen opened bankruptcy proceedings against Sanatorium Wiedemann GmbH on August 1. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 15, 2005 to register their claims with court-appointed provisional administrator Alfred Ponzer. Creditors and other interested parties are encouraged to attend the meeting on October 20, 2005, 8:15 a.m. at the district court of Wolfratshausen, Bahnhofstrasse 18, Sitzungssaal 3/I, at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors committee and or opt to appoint a new insolvency manager. CONTACT: SANATORIUM WIEDEMANN GmbH Pilotyweg 10 in 82541 Muensing/Ambach Alfred Ponzer, Administrator Marktplatz 18, 83607 Holzkirchen Phone: 08024/30580 Fax: 08024/305820 SCHARDT-PUTZ: Creditors to Meet Next Month ------------------------------------------ The district court of Coburg opened bankruptcy proceedings against Schardt-Putz GmbH on July 22. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 19, 2005 to register their claims with court-appointed provisional administrator Juergen Wittmann. Creditors and other interested parties are encouraged to attend the meeting on September 19, 2005, 9:45 a.m. at the district court of Coburg, Sitzungssaal G, I. Stock, Nebengebaude, at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report on October 10, 2005, 1:30 p.m. at the same venue. CONTACT: SCHARDT-PUTZ GmbH Rosenacker 3 in 96242 Sonnefeld-Gestungshausen Contact: Anneliese Schardt, Manager Neundorfer Str. 19, 96268 Mitwitz Juergen Wittmann, Administrator Adolf-Kolping-Strasse 1, 96317 Kronach Phone: 09261/62200 Fax: 09261/622020 ZIMBA AG: Proofs of Claim Due 2nd Week of September --------------------------------------------------- The district court of Darmstadt opened bankruptcy proceedings against Zimba AG on July 28. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 5, 2005 to register their claims with court-appointed provisional administrator Bardo M. Sigwart. Creditors and other interested parties are encouraged to attend the meeting on October 18, 2005, 9:30 a.m. at the district court of Darmstadt, Saal U2, Gebaude E, Landwehrstrasse 48, 64293 Darmstadt, at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors committee and or opt to appoint a new insolvency manager. CONTACT: ZIMBA AG Uhlandstr. 9, 64297 Darmstadt Contact: Sven Lob Stetteritzring 3, 64380 Rossdorf Bardo M. Sigwart, Administrator Ostend 14, 64347 Griesheim Phone: 06155/60930 Fax: 06155/66297 =========== G R E E C E =========== OLYMPIC AIRLINES: Cabin Crew Declare Strike ------------------------------------------- Olympic Airlines' flight attendants plan to stage a 24-hour strike on August 31 to protest its refusal to honor their contracts, Reuters says. George Hatzis, head of the 400-strong Union of Flight Attendants (EISF), said, "the management of Olympic Airlines has persistently refused since the start of the year to sign contracts for our members that has been previously agreed on." He said the dispute between management and employees centers on procedures for medical checks, recognition of members' professional qualifications, pension rights and money owed to cabin crew. He warns of another protest action in September should Olympic fail to fulfill its contractual obligations. EISF represents around 450 flight attendants and air stewards. The government recently extended to September the carrier's sale to complete talks with preferred bidder Olympic Investors-York Capital. The state wants the U.S. bidder to prove its credit worthiness before entering into final negotiations. The government is aiming to raise EUR1.6 billion from the sale of the airline and other state assets to reduce public debt, one of the highest in the euro zone. CONTACT: OLYMPIC AIRLINES S.A. 96 Sygrou Ave. 11741 Athens Phone: +30 1 9267221 Fax: +30 1 9267858 E-mail: olyair10@otenet.gr Web site: http://www.olympicairlines.com ============= H U N G A R Y ============= MALEV HUNGARIAN: Unions Warn of Strike if Sale Succeeds ------------------------------------------------------- Unions at Malev Hungarian threaten to strike if the privatization of the national carrier pushes through, Reuters says. Tibor Hegedus, who speaks for Malev's six unions, said none of the current bidders have presented a bid "better than mediocre." He said the unions are ready to strike to stop the carrier's sale. Unions claim the latest attempt to sell Malev is too early. They argued Malev should be given the chance to gain from its membership in the oneworld airline alliance, which is expected to hike the carrier's revenues by as much as HUF8 billion a year and net profit by HUF4 billion. The unions said the carrier would fetch a higher price if the government defers its sale in two years, enough time for the carrier's restructuring plan to bear fruit. Aside from the unions, Hungary's opposition party, which is leading in opinion polls for next year's election, is also against Malev's sale. State privatization agency Allami Privatizacios Es Vagyonkezelo Rt. (APV) is currently holding exclusive talks with preferred bidder Airbridge Cargo consortium, led by Russian carrier KrasAir. Airbridge will try to outbid Aviation Solutions International, a consortium made up of former Malev managers. According to local press reports, both bidders offered to pay hundreds of forints and absorbed part of Malev's debt. APV has not confirmed the reports. CONTACT: MALEV HUNGARIAN AIRLINES Konyves Kalman korut 12-14, H-1097 Budapest Phone: +36 1 235 3100 Fax: +36 1 235-3255 E-mail: malev@malev.hu Web site: http://www.malev.hu ALLAMI PRIVATIZACIOS ES VAGYONKEZELO RT. (APV RT.) Pozsonyi ut 56 H-1133 Budapest Phone:(36 1) 237 4400 Fax:(36 1) 237 4100 E-mail: apvrt@apvrt.hu Web site: http://www.apvrt.hu/english/m3.html OAO KRASNOYARSK AIRLINES 663021, Krasnoyarsk region, Emeljanivo-1, Krasnoyarsk Airport Phone: +7 (3912)635-110 Fax: +7 (3912)635-181 E-mail: krasair@krasair.ru AIRBDRIDGE CARGO 119048, Usacheva Str. 35A Moscow, Russia Phone: + 7 095 7862613 Fax: + 7 095 7556851 E-mail: info@airbridgecargo.com Web site: http://www.airbridgecargo.com ZALAHUS RT: Liquidator Starts Selling Assets -------------------------------------------- The liquidator of debt-laden Zalahus Rt. has put on sale one of the group's properties, Budapest Business Journal says. According to business daily Napi Gazdasag, liquidator Vectigalis Rt. is offering a nine-hectare Becsehely cow site for HUF118 million. Liquidation officer Marta Peter said interested parties have until mid-September to submit bids. Vectigalis CEO Jeno Varga says the proceeds will be used to repay over HUF3.5 billion in debt, of which HUF1.8 billion is a mortgage loan. After the cow site, the sale of the meat processing plant in Nagykanizsa and headquarters in Zalaegerszeg will follow. CONTACT: ZALAHUS RT. 8901 Zalaegerszeg, Balatoni ut 5-7. Pf.:27 Phone: 92/506-700 Fax: 92/506-799 Web site: http://www.kszgysz.hu/zalahus.htm ========= I T A L Y ========= ALITALIA SPA: SULT Union Defers Strike -------------------------------------- Cabin crew union Sindicato Unitario Lavoratori Transporti (SULT) has reset its strike to September 7-8, AFX News says. SULT reached the decision after a meeting with labor minister Roberto Maroni. Government officials had warned the strike, originally planned for Aug. 30-31, would violate a ban on transport strikes between July 27 and September 5, when passenger traffic is at its peak due to the holidays. The union is protesting its exclusion from labor talks. But Alitalia head Giancarlo Cimoli remains firm in his decision to stop recognizing SULT, which refused to sign a restructuring deal that entails the axing of 3,700 jobs at the airline. CONTACT: ALITALIA S.p.A. Viale A. Marchetti 111 00148 Rome, Italy Phone: +39 06 6562 2151 Fax: +39 06 6562 4733 Web site: http://www.alitalia.it CIRIO FINANZIARIA: Begins Bond Payout ------------------------------------- Collapsed food group Cirio Finanziaria has started paying out bondholders, La Stampa says. Current payout only includes holders who bought EUR500 million Luxembourg-listed bonds issued by Cirio Finance Luxembourg and Del Monte Finance Luxembourg and guaranteed by Cirio del Monte Italia. The second payout will include holders of Cirio's Dutch-registered bonds in October. Cirio, the canned tomatoes and fruit producer, has been selling assets to pay creditors. It was forced into liquidation after it defaulted on EUR1 billion bonds and investors rejected a restructuring plan. CONTACT: CIRIO DEL MONTE ITALIA S.P.A. Legal Address: Via Augusto Valenziani 10 - 00187 Rome Phone: 06 421761 Fax: 06 42176230 Administrative Address: Strada Provinciale per Podenzano, 10 - 29010 San Polo di Podenzano Phone: 0523 536123 Fax: 0523 379257 Web site: http://www.cirio.it IMPREGILO SPA: Corners EUR798 Million Rail Project in Greece ------------------------------------------------------------ A consortium led by ailing construction group Impregilo has won a EUR798 million government contract in Greece, Il Sole 24 Ore says. Impregilo, along with Italian builders Ansaldo TSF, Ansaldobreda and Seli; and Greek builder AEGEK, will construct a 9.6km long, 13-station underground rail network in Thessalonika. The consortium outbid another group led by Germany's Siemens, local builder Aktor and French construction and concessions group Vinci. CONTACT: IMPREGILO S.p.A. Viale Italia 1, Sesto S. Giovanni 20099 Milan Phone: +39-02-244-22111 Fax: +39-02-244-22293 Web site: http://www.impregilo.it GENERALE MOBILIARE INTERESSENZE AZIONARIE S.p.A. Via Turati n. 16/18 Milan Phone: +39-02-444-23121 Fax: +39-02-444-23120 E-mail: investor.relator@gemina.it Web site: http://www.gemina.it PARMALAT FINANZIARIA: Sues UBS, Deutsche Bank for EUR2.2 Billion ---------------------------------------------------------------- Collapsed dairy giant Parmalat Finanziaria S.p.A. has filed a EUR2.2 billion damage suit against Deutsche Bank AG and Swiss group UBS AG, Dow Jones Newswires says. Government-appointed administrator Enrico Bondi claims the two banks abetted the group's collapse in December 2003 by helping it hide its true financial situation. He claimed UBS and Deutsche Bank sold EUR420 million and EUR350 million in bonds respectively a few months before Parmalat declared bankruptcy in December 2003. The Swiss bank said, "UBS confirms its belief that the transactions entered into between UBS and Parmalat are all valid transactions and that they created no damage to Parmalat or to its creditors." UBS added it has no evidence that any of its employees were aware of the true state of Parmalat's finances. It stressed, "Parmalat was rated by independent agencies as a financially sound company." Deutsche Bank, meanwhile, said the complaint has no foundation. Spokeswoman Elaine Bartleet said, "we intend to continue to defend our position vigorously, both in relation to this action and the other outstanding claims currently existing against us and certain of our employees." This is the second time in three weeks that a damage suit was filed against Parmalat's banks. On Aug. 7, Mr. Bondi filed a EUR4.4 billion damage suit against J.P. Morgan Chase & Co. and Italy's UniCredito Italiano S.p.A. Likewise, Mr. Bondi is seeking to recover around US$10 billion from Citigroup Inc. and Bank of America and auditors Deloitte & Touche and Grant Thornton. The administrator is also seeking EUR7 billion from several local and international banks that transacted with Parmalat's former management. Mr. Bondi claims these institutions played a major role in Parmalat's collapse by disguising its true financial state. Local prosecutors have already found evidence of fraud by Parmalat's former management that allegedly helped conceal billions of dollars in losses and debt for over a decade. Parmalat today remains the largest dairy producer in Italy and plans to rejoin the stock market in September or October. CONTACT: PARMALAT FINANZIARIA S.p.A. Legal Seat 43044 Collecchio (Pr) Via Oreste Grassi, 26 Administrative Seat 20122 Milan Piazza Erculea, 9 Phone: +39 02 806 8801 Fax: +39 02 869 3863 Web site: http://www.parmalat.net PARMALAT FINANZIARIA: U.S. Bondholders Want Injunction Lifted ------------------------------------------------------------- Around 31 holders of Parmalat Finanziaria's U.S. bonds are asking a court to allow them to pursue their claims, Il Sole 24 Ore says. The bondholders, which include private equity firm Cerberus Partners and U.S. investment bank Goldman Sachs, have asked the bankruptcy court in Manhattan to end a July 2004 injunction that prevents them from pursuing around EUR646 million in claims until Parmalat relaunches local operations. Parmalat, which collapsed in December 2004 under EUR14 billion in debt, seeks to regain ground by relisting on the Italian bourse in September or October. CONTACT: PARMALAT FINANZIARIA S.p.A. Legal Seat 43044 Collecchio (Pr) Via Oreste Grassi, 26 Administrative Seat 20122 Milan Piazza Erculea, 9 Phone: +39 02 806 8801 Fax: +39 02 869 3863 Web site: http://www.parmalat.net PARMALAT FINANZIARIA: Parmatour Attracts Three Buyers ----------------------------------------------------- Buyers are queuing for tour operator Parmatour, sister company of collapsed Parmalat Finanziaria, Il Sole 24 Ore says. Parmalat commissioner Enrico Bondi identified the buyers as Sviluppo Italia Turismo (SIT), tourism unit of state development fund Sviluppo Italia; Salerno-based Soglia Hotel Group; and a local consortium consisting of I Grandi Viaggi and Aurum Hotels. Mr. Bondi, who is reviewing the bids, has asked them to provide more details regarding their offers. According to the report, the frontrunner is Unicredito Italiano-backed Soglia, which posted EUR5.79 million in revenue and EUR462,000 in losses in 2003. Soglia currently owns seven four-star hotels in the country and recently signed a contract to manage Porto Laconia, a local group with six hotels. SIT has the support of the government, which owns 51%, and other shareholders like Banca Intesa and Ifil, a company controlled by Fiat's Agnelli family. Owned by the Tanzi family, Parmatour was deeply affected by Parmalat's collapse in December 2003. The group operates seven local and six foreign units and is valued between EUR30 million and EUR40 million. CONTACT: PARMALAT FINANZIARIA S.p.A. Piazza Erculea 9 20122 Milan, Italy Phone: +39-02-806-8801 Fax: +39-02-869-3863 Web site: http://www.parmalat.net SVILUPPO ITALIA TURISMO Via Calabria, 46 00187 Rome - Italy Phone: + 39 06 42 16 01 Fax: + 39 06 42 16 08 04 E-mail: info@sviluppoitalia.it Web site: http://www.sviluppoitalia.it SOGLIA HOTELS AND RESORT Corso Claudio, 1 84083 - Castel San Giorgio - Salerno Phone: +39 081 5161600 Fax: +39 081 5161996 Web site: http://www.sogliahotels.com VIAGGI DEL VENTAGLIO S.p.A. Via dei Gracchi, 35 20146 Milan Web site: http://www.ventaglio.com =================== L U X E M B O U R G =================== SBS BROADCASTING: Sets EGM to Tackle Takeover Proposal ------------------------------------------------------ SBS Broadcasting S.A. will hold the Extraordinary General Meeting of its shareholders to consider the proposed acquisition of SBS by an entity controlled by funds advised by Permira Beteiligungsberatung GmbH and funds advised by Kohlberg Kravis Roberts & Co. L.P. on October 3, 2005 in Luxembourg. The record date for shareholders to vote at the Extraordinary General Meeting was August 24, 2005. All shareholders of record at the close of business Thursday will be entitled to vote at the Extraordinary General Meeting and any postponements or adjournments thereof. SBS plans to mail to all persons who are shareholders of record on the record date a shareholders' circular containing additional information regarding the proposed acquisition and matters to be considered at the Extraordinary General Meeting. The shareholders' circular will be mailed during the week of August 29 or soon thereafter. SBS is a European commercial television and radio broadcasting company with operations in Western and Central Europe. Countries where SBS currently has broadcasting assets include: Belgium (Flanders), Denmark, Finland, Greece, Hungary, The Netherlands, Norway, Romania and Sweden. CONTACT: SBS BROADCASTING S.A. Investors: Michael Smargiassi/Jon Lesko Web site: http://www.sbsbroadcasting.com BRAINERD COMMUNICATORS Phone: +1 212 986 6667 Press: Jeff Pryor PRYOR ASSOCIATES Phone: +1 818 338 3555 Catriona Cockburn CITIGATE DEWE ROGERSON Phone: +44 207 282 2924 ===================== N E T H E R L A N D S ===================== EURAMAX INTERNATIONAL: Moody's Lowers Credit Facility Ratings ------------------------------------------------------------- Moody's has downgraded Euramax International, Inc.'s first lien senior secured credit facility to B2 from B1 and its second lien senior secured credit facility to Caa1 from B3. This action is based on the company's plan to seek an amendment to its credit agreements that would permit the refinancing of the US$190 million second lien term loan and US$110 million senior unsecured PIK notes with senior subordinated notes. In addition, Moody's has downgraded Euramax International, Inc.'s corporate family rating to B2 from B1. The entity Euramax Holdings, Inc., referred to in Moody's last press release, has been renamed Euramax International, Inc. The ratings actions consider that Moody's essentially viewed the senior unsecured PIK notes as common equity that will now likely be refinanced with cash-pay debt. As a result (assuming the refinancing was completed), Moody's credit metrics would incorporate a higher pro forma debt balance of at least US$750 million as opposed to the US$640 million debt balance (amount excludes the senior unsecured PIK notes) that was factored into the B1 corporate family rating assigned in June 2005. The rating outlook is stable. This action completes a review that was initiated on August 17, 2005. The following summarizes the ratings activity: Ratings Lowered: (a) Euramax International, Inc. and co-issuer Euramax International Holdings B.V. (i) Guaranteed first lien senior secured tranche B term loan, US$332 million due 2012 -- to B2 from B1; and (ii) Guaranteed second lien senior secured term loan, US$190 million due 2012 -- to Caa1 from B3. (b) Euramax Holdings Limited (U.K.), Euramax Europe B.V., Euramax Netherlands B.V.: Guaranteed first lien senior secured tranche B term loan, US$118 million due 2012 -- to B2 from B1; (c) Euramax International, Inc., co-issuer Euramax International Holdings B.V., Euramax Holdings Limited (U.K.), Euramax Europe B.V., Euramax Netherlands B.V.: Guaranteed first lien senior secured revolving credit facility, US$80 million due 2011 -- to B2 from B1. (d) Euramax International, Inc.: Corporate Family Rating -- to B2 from B1 Moody's has previously stated that Euramax's ratings would come under pressure if financial leverage increases beyond 6.0 times. Moody's believes that any prospective refinancing of the second lien term loan and senior unsecured PIK notes with senior subordinated notes would increase leverage beyond this threshold. Specifically, assuming a minimum pro forma debt balance of US$750 million and reported LTM EBITDA of US$121 million for the period ended April 1, 2005, Euramax's pro forma debt to EBITDA increases to 6.2 times. The stable outlook reflects Moody's expectation that any prospective refinancing would not increase Euramax's leverage to levels exceeding 7.0 times and that the company will continue to generate positive free cash flow, despite the potential for higher cash interest expense. The company's ratings could come under pressure should a decline in operating performance or margin pressure result in leverage increasing beyond 7.0 times and/or negative free cash flow, or if the company pursues a large debt financed acquisition. If lenders do not approve the proposed amendment, Moody's will re-evaluate the ratings at that time. Headquartered in Norcross, Georgia, Euramax International Inc. is an international producer of value-added aluminum, steel, vinyl and fiberglass products. The company reported revenues of US$1.0 billion for the LTM ended April 1st, 2005. CONTACT: MOODY'S INVESTORS SERVICE (NEW YORK) Mark Gray, Managing Director Corporate Finance Group Phone: (Journalists) 212-553-0376 (Subscribers) 212-553-1653 David Hamburger, Asst Vice President - Analyst Corporate Finance Group Phone: (Journalists) 212-553-0376 (Subscribers) 212-553-1653 ROYAL SHELL: Buys back Another 1,600,000 'A' Shares --------------------------------------------------- On 24 August 2005, Royal Dutch Shell plc purchased for cancellation 1,600,000 'A' Shares at a price of EUR25.98 per share. Following the cancellation of these shares, the remaining number of 'A' Shares of Royal Dutch Shell plc will be 4,061,940,000. As of that date, 2,759,360,000 'B' Shares of Royal Dutch Shell plc were in issue. * * * Shell's buyback scheme is understood to be aimed at reviving shareholders' and investors' confidence. The buyback program follows a damaging reserves overestimation scandal last year. About the Company Royal Dutch Shell plc is incorporated in England and Wales, has its headquarters in The Hague and is listed on the London, Amsterdam, and New York stock exchanges. Shell companies have operations in more than 145 countries with businesses including oil and gas exploration and production; production and marketing of Liquefied Natural Gas and Gas to Liquids; manufacturing, marketing and shipping of oil products and chemicals and renewable energy projects including wind and solar power. The Trouble Shell had admitted it overstated its proved reserves by almost 6.0 billion barrels between January 2004 and February this year. The crisis resulted to the ouster of three top executives, including former chairman Philip Watts. It was fined EUR150 million in total after investigations launched by U.S. and British regulators. Shell has said it had revised the method by which it calculates reserves to comply with U.S. regulations. Shell's proved reserves stood at 10.2 billion barrels at the end of 2004. CONTACT: ROYAL DUTCH/SHELL GROUP OF COMPANIES Carel van Bylandtlaan 30 2596 HR The Hague The Netherlands Phone: +31 70 377 9111 Fax: +31 70 377 3115 Web site: http://www.shell.com =========== N O R W A Y =========== PAN FISH: Sells 11.9% Stake in Austevoll Havfiske ------------------------------------------------- Pan Fish ASA has agreed to sell its stake in Austevoll Havfiske for NOK80 million. The company's 11.9% shareholding has been defined as a non-core business since Pan Fish embarked upon its restructuring process in 2003, and Pan Fish has been in constant dialogue with potential purchasers with a view to finding the right time to sell its shares. To reflect the market value, the book value of the company's stake in Austevoll Havfiske was written up by NOK30 million to NOK80 million in connection with the preparation of the financial statements for the second quarter 2005. The sale will therefore have no impact on the accounts for the third quarter or later periods. The realization of the shares provides Pan Fish with a solid cash injection, which will be used to further develop the company's core business activities or reduce its debt. * * * Headquartered in Stavanger, Pan Fish grows salmon and trout for export. It closed its two-year restructuring in May with a NOK200 million share issue, and the conversion of NOK500 million of the company's debt into shares. It reported NOK10.4 Million operating loss in the first-quarter. CONTACT: PAN FISH ASA Atle Eide CEO Phone: +47 9115 2977 =========== R U S S I A =========== ALDAN-PROD-SNAB: Insolvency Manager Takes over Company ------------------------------------------------------ The Arbitration Court of Sakha republic - Yakutiya commenced bankruptcy proceedings against Aldan-Prod-Snab after finding the open joint stock company insolvent. The case is docketed as A58-2479/05. Mr. K. Popov has been appointed insolvency manager. CONTACT: ALDAN-PROD-SNAB 678900, Russia, Sakha republic - Yakutiya, Aldan, Tarabukina Str. 1 Mr. K. Popov Insolvency Manager 677007, Russia, Sakha republic - Yakutiya, Krupskoy Str. 35 AMUR-PORT: Creditors Have Until September 23 to File Claims ----------------------------------------------------------- The Arbitration Court of Khabarovsk region commenced bankruptcy proceedings against Amur-Port after finding the open joint stock company insolvent. The case is docketed as AI-1/709/05-37. Mr. O. Syskov has been appointed insolvency manager. Creditors have until Sept. 23, 2005 to submit their proofs of claim to 680000, Russia, Khabarovsk region, Dzerzhinskogo Str. 28. CONTACT: AMUR-PORT 681006, Russia, Khabarovsk region, Komsomolsk-na-Amure, Naberezhnaya Str. 7 Mr. O. Syskov Insolvency Manager 680000, Russia, Khabarovsk region, Dzerzhinskogo Str. 28 BLAGOVESHENSKIY FACTORY: Bankruptcy Supervision Procedure Begins ---------------------------------------------------------------- The Arbitration Court of Amur region has commenced bankruptcy supervision procedure on limited liability company Blagoveshenskiy Factory Of Reinforced Concrete Goods. The case is docketed as A04-3462/05-17/154B. Mr. D. Gumirov has been appointed temporary insolvency manager. Creditors may submit their proofs of claim to Russia, Blagoveshensk, Shevchenko Str. 7, Room 2. A hearing will take place on Nov. 8, 2005. CONTACT: BLAGOVESHENSKIY FACTORY OF REINFORCED CONCRETE GOODS Russia, Amur region, Blagoveshensk Mr. D. Gumirov Insolvency Manager Russia, Blagoveshensk, Shevchenko Str. 7, Room 2 DYURTYULINSKIY BRICKWORKS: Bankruptcy Hearing Set November ---------------------------------------------------------- The Arbitration Court of Bashkortostan republic has commenced bankruptcy supervision procedure on state unitary enterprise Dyurtyulinskiy Brickworks Asyan (TIN 0260002151). The case is docketed as A07-16135/05-G-HkRM. Mr. R. Akhmadeev has been appointed temporary insolvency manager. A hearing will take place on Nov. 15, 2005, 2:00 p.m. at the Arbitration Court of Bashkortostan republic located at 450057, Russia, Ufa, Oktyabrskoy Revolyutsii Str. 63a, Hall 3. CONTACT: DYURTYULINSKIY BRICKWORKS ASYAN 452315, Russia, Bashkortostan republic, Dyurtyulinskiy region, Asyan Mr. R. Akhmadeev Insolvency Manager 450001, Russia, Bashkortostan republic, Ufa, Oktyabrya Str. 11, Office 1 EVRAZ GROUP: Steers Clear of Nikopol Investigation -------------------------------------------------- Evraz Group S.A. would like to re-confirm its previously disclosed position and clarify the issue regarding Nikopol Ferroalloy Plant (NFP). The company said any action including investigation of an opportunity to acquire a stake in NFP in the Ukraine is being made by a group of investors that includes Mr. Abramov, Evraz Group S.A.'s Chairman and CEO, in their personal capacities only, and not by Evraz Group S.A. Evraz Group is one of the largest vertically integrated steel and mining businesses with operations mainly in the Russia. In 2004, Evraz produced 13.7 million tonnes of crude steel. Evraz Group is a listed company on the London Stock Exchange. The company listed its global depositary receipts (GDRs) on the LSE on June 2, this year, after raising US$422 million from new investors. Evraz's principal assets include three of the leading steel plants in Russia: Nizhny Tagil (NTMK) in the Urals region, and West Siberian (Zapsib) and Novokuznetsk (NKMK) in Siberia. Evraz Group's fast-growing mining businesses comprise the Kachkanarsky (KGOK), Evrazruda (acquired in March 2005) and Vysokogorsky (VGOK) iron ore mining complexes and NeryungriUgol Coal Company and an equity interest in the Raspadskaya coal mine. The mining assets primarily supply Evraz Group's steelmaking operations, enabling the company to be a vertically integrated steel producer, limiting its exposure to fluctuations in the prices of key raw materials. Evraz obtained over 70% of its iron ore requirements from KGOK, Evraz Ruda and VGOK in 2004 and also obtains the majority of its coking coal from Raspadskaya and other affiliated producers. Evraz also owns and operates the Nakhodka commercial sea port, in the Far East of Russia, which facilitates access to Asian export markets. * * * In July, Standard & Poor's Rating Services assigned its 'B+' long-term corporate credit rating to Evraz Group S.A. and its core subsidiary Mastercroft Ltd. Standard & Poor's credit analyst Elena Anankina said: "The ratings on Evraz and Mastercroft reflect the companies' complex organizational and ownership structure with, historically, significant related party transactions, and a short track record as a single group. "Standard & Poor's expects that the group will capitalize on its core advantage, upstream vertical integration, and demonstrate a track record of sustainable actual (not only pro forma) profitability and cash flow generation." These factors could lead to an upgrade (likely one notch) in the coming one to two years, if the group demonstrates the ability to reduce debt and if any acquisitions would enhance the group's business profile (for example, if the recent Vitkovice Steel AS integration proceeds favorably). CONTACT: EVRAZ GROUP S.A. Corporate Affairs and Communications Irina Kibina Alexander Karlashov Phone: +7 095 234 4629 E-mail: IR@eam.ru KORYAZHEMSKIY COMBINE: Proofs of Claim Deadline Set Tomorrow ------------------------------------------------------------ The Arbitration Court of Arkhangelsk region has commenced bankruptcy supervision procedure on open joint stock company Koryazhemskiy Combine Of Industrial Enterprises (TIN 2908000113, KPP 290801001). The case is docketed as A05-6006/05-27. Mr. G.Petrov has been appointed temporary insolvency manager. Creditors have until August 30, 2005 to submit their proofs of claim to: (a) KORYAZHEMSKIY COMBINE OF INDUSTRIAL ENTERPRISES 165651, Russia, Arkhangelsk region, Koryazhma, Dybtsyna Str. 24 (b) Mr. G. Petrov Temporary Insolvency Manager 165313, Russia, Arkhangelsk region, Kotlas, Mira Pr. 29, Apartment 11 (c) The Arbitration Court of Arkhangelsk region 163069, Russia, Arkhangelsk region, Loginova Str. 17 A hearing will take place on Dec. 16, 2005, 1:45 p.m. NIITM: Proofs of Claim Deadline Expires Next Month -------------------------------------------------- The Arbitration Court of Rostov region commenced bankruptcy proceedings against Niitm after finding the open joint stock company insolvent. The case is docketed as A53-8690/04-S2-8. Mr. S. Kolmogorov has been appointed insolvency manager. Creditors have until Sept. 23, 2005 to submit their proofs of claim to Russia, Rostov-na-Donu, Buynakskaya Str. 2/56. CONTACT: NIITM Russia, Rostov-na-Donu, Nansena Str. 109 Mr. S. Kolmogorov Insolvency Manager Russia, Rostov-na-Donu, Buynakskaya Str. 2/56 SHPAKOVSK-AGRO-STROY: Declared Insolvent ---------------------------------------- The Arbitration Court of Stavropol region commenced bankruptcy proceedings against Shpakovsk-Agro-Stroy after finding the close joint stock company insolvent. The case is docketed as A63-195/04-S5. Mr. V. Lopatkin has been appointed insolvency manager. Creditors may submit their proofs of claim to 355047, Russia, Stavropol region, Oktyabrskaya Str. 184, Building 3. CONTACT: SHPAKOVSK-AGRO-STROY Russia, Stavropol region, Shpakovskiy region, Mikhaylovsk, Lenina Str. 156a Mr. V. Lopatkin Insolvency Manager 355047, Russia, Stavropol region, Oktyabrskaya Str. 184, Building 3 STROY-SERVICE: Insolvency Manager Moves in ------------------------------------------ The Arbitration Court of Bashkortostan republic commenced bankruptcy proceedings against Stroy-Service after finding the limited liability company insolvent. The case is docketed as A07-16301/04-G-PAV. Mr. R. Latypov has been appointed insolvency manager. Creditors have until Sept. 23, 2005 to submit their proofs of claim to Russia, Bashkortostan republic, Kushnarenko, Ostrovskogo Str. 12. CONTACT: STROY-SERVICE 453620, Russia, Bashkortostan republic, Abzelilovskiy region, Askarovo, Davletova Str. 24 Mr. R. Latypov Insolvency Manager Russia, Bashkortostan republic, Kushnarenko, Ostrovskogo Str. 12 SUAL INTERNATIONAL: Moody's Assigns Ba3 Corporate Family Rating --------------------------------------------------------------- Moody's Investors Service has assigned Ba3 Corporate Family Rating to SUAL International Ltd, Russian integrated aluminum producer. Outlook Stable. Rating Rationale The Ba3 corporate family rating assigned to SUAL International Ltd reflects: (a) The company's integrated aluminum production business model and self-sufficiency in main raw materials; (b) The company's cost competitiveness and advantageous cash cost position underpinned by efficient refining and extraction processes and low cost energy sources; (c) The company's strong technical mining expertise, experienced and committed management team and its moderate financial policy to date; and (d) SUAL investments to strengthen its product range including an expansion in the value-added segment of production. The corporate family rating also takes into consideration: (a) Volatility associated with the global aluminum market; (b) Uncertainty with respect to the development of the Russian energy reform and effectiveness of SUAL's strategy of managing its energy costs; (c) Continuous high capital requirements of the industry, (d) Focus on targeted acquisitions, particularly in upstream and energy sectors; (e) Challenging operating environment in Russia, where most of the production facilities are located. SUAL is a medium-size aluminum company with several operating sites largely in Russia. In 2004, SUAL's revenues reached US$2.0 billion and EBITDA US$425 million. Approximately 80% of revenues were derived from its up-stream division. The Company derives 70% of its revenues from exports that may be influenced by general changes in the terms of trade. SUAL demonstrated strong operating and financial performance, while maintaining modest adjusted total debt leverage (x1.6 times EBITDAR at the end of 2004). The Company will continue to develop its business and will invest in the modernization and expansion of the facilities over the course of 2005-2007. Liquidity At the end of 2004, substantial un-drawn facilities and US$132 million in cash and cash equivalent investments supported the Company's liquidity. Rating Outlook The rating outlook is stable, reflecting the integrated operating position of the company, cost efficiency of operations and the Company's moderate financial policy to date. SUAL will continue to develop the scale of its operations. The rating does not take into account any additional investments that SUAL may finance with additional debt, in particular, additional commitments that SUAL may face in the future in relation to its project in Komi. Company Summary Headquartered in Moscow, Russia, SUAL is a leading manufacturer of primary aluminum with 2004 revenues of US$2.0 billion (70% from export activities). SUAL enjoys operational diversification and operates two bauxite mines and 9 refineries and smelters and produced 1 million ton of aluminum in 2004. CONTACT: MOODY'S DEUTSCHLAND GmbH (FRANKFURT) Michael West, Managing Director Corporate Finance Group Phone: (Journalists) 44 20 7772 5456 (Subscribers) 44 20 7772 5454 Elena Nadtotchi, Vice President - Senior Analyst Corporate Finance Group Phone: (Journalists) 44 20 7772 5456 (Subscribers) 44 20 7772 5454 TOMAROVSKAYA MOVABLE: Declared Insolvent ---------------------------------------- The Arbitration Court of Belgorod region commenced bankruptcy proceedings against Tomarovskaya Movable Mechanized Column after finding the close joint stock company insolvent. The case is docketed as A08-909/05-24/2 "B". Mr. O. Savkin has been appointed insolvency manager. Creditors have until Sept. 23, 2005 to submit their proofs of claim to Russia, Belgorod region, Yakovlenskiy region, Tomarovka, Promyshlennaya Str. 10. CONTACT: TOMAROVSKAYA MOVABLE MECHANIZED COLUMN Russia, Belgorod region, Yakovletskiy region, Tomarovka, Promyshlennaya Str. 10 Mr. O. Savkin Insolvency Manager Russia, Belgorod region, Yakovlenskiy region, Tomarovka, Promyshlennaya Str. 10 VORONEZH-GRAZHDAN-STROY: Succumbs to Bankruptcy ----------------------------------------------- The Arbitration Court of Voronezh region commenced bankruptcy proceedings against Voronezh-Grazhdan-Stroy after finding the close joint stock company insolvent. The case is docketed as A14-7474-2005/47/7b. Mr. D. Zakaryan has been appointed insolvency manager. CONTACT: VORONEZH-GRAZHDAN-STROY Russia, Voronezh region, Tsyurupy Str. 32 Mr. D. Zakaryan Insolvency Manager Russia, Voronezh region, Srednemoskovskaya Str. 6a ===================== S W I T Z E R L A N D ===================== SWISS INTERNATIONAL: Maintains First-half EBIT Levels ----------------------------------------------------- Swiss International Air Lines (Group) generated total income from operating activities of CHF1 769 million for the first six months of 2005 (first half-year 2004: CHF1 768 million). The result from operating activities (EBIT) before restructuring costs for the first half-year amounted to minus CHF9 million, which compares to minus CHF19 million for the prior-year period. The steep rise in fuel costs eroded an additional CHF104 million from the EBIT result for the first six months of 2005 compared to the same period a year ago. This has for the most part neutralized the positive results achieved from SWISS's current restructuring process, and substantially hindered progress on its turnaround. SWISS held cash and cash equivalents totaling CHF497 million on June 30, compared with CHF481 million at the end of 2004. Swiss International Air Lines (Group) generated total income from operating activities of CHF1 769 million in the first six months of 2005, compared to CHF1 768 million for the same period last year. The result from operating activities (EBIT) before restructuring costs amounted to a loss of CHF9 million, which compares to a loss of CHF19 million before restructuring costs for the prior-year period. The operating income and EBIT results include non-recurring income of CHF43 million deriving from the transfer of slots at London Heathrow Airport to British Airways during the first quarter. Results for the prior-year period include CHF68 million stemming from the settlement of the Holco legal case. The high cost of jet fuel eroded an additional CHF104 million from the EBIT result for the first six months of 2005 compared to the same period a year ago. In a tough competitive environment, only one third of these additional costs could be recouped through the fuel surcharges levied on passenger air tickets. EBIT for the second quarter of 2005 amounted to CHF1 million. This compares with an EBIT for the prior-year period (excluding the non-recurring CHF68 million deriving from the Holco case) of minus CHF18 million. Financial expenses for the first six months of 2005 amounted to CHF80 million (prior year: CHF27 million) and comprised ordinary interest payments on financial liabilities and CHF48 million in currency exchange value adjustments on outstanding US dollar-denominated debt. The currency translation loss derives from the fact that the US dollar gained in strength against the Swiss franc in the course of the first six months. The CHF6 million financial income for the period (prior year: CHF13 million, including CHF10 million in currency exchange gains) consists of ordinary interest income from cash and cash equivalents and fixed-term deposits. The consolidated net result for the first six months of 2005 amounted to a loss of CHF89 million, which compares to a loss of CHF33 million in the prior-year period. The higher loss, despite an improved EBIT result, is due primarily to the deterioration in the financial result owing to currency exchange movements. The costs of the restructuring that was announced in January of this year, involving a reduction in the size of the workforce by between 800 and 1 000 positions, are not included in the result shown here because the required information is not known at this point. In particular, negotiations with the unions are continuing, the outcome of which will have a significant influence on the costs of the restructuring. "SWISS made further substantial progress in the first six months of 2005," says President and Chief Executive Officer Christoph Franz. "The steep increases in fuel costs and continuing fare erosion have become major challenges for the entire airline industry. But by swiftly initiating and consistently implementing further actions to reduce its costs, SWISS has been able to largely offset the negative impact of these trends on its results. The EBIT improvement that the present restructuring is designed to achieve has, however, been substantially hindered by the additional cost of jet fuel. The further implementation of our restructuring measures remains our highest priority - with Lufthansa, too." A positive CHF113 million cash flow from operating activities Cash flow from operating activities amounted to CHF113 million for the first six months of 2005. This compares to a cash flow of CHF3 million for the prior-year period. The CHF110 million increase is attributable to the improved EBIT result and to various actions taken to enhance working capital management. Cash flow from investing activities was also positive, thanks to divestments effected during the period. The CHF87 million net cash inflow compares to a net cash outflow of CHF37 million for the prior-year period. The transfer to British Airways of slots at London Heathrow Airport produced a cash inflow of CHF43 million; aircraft disposals and refunds of advance payments from aircraft manufacturers generated a cash inflow of CHF33 million; and the reduction of various cash deposits with suppliers produced a cash inflow of a further CHF38 million. A cash outflow of CHF35 million was incurred through investments in interior components, rotable spares and consumables for the aircraft fleet. Other divestments and interest received resulted in a further cash inflow of CHF8 million. Cash flow from financing activities amounted to minus CHF190 million, which compares to minus CHF124 million for the prior-year period. A total of CHF116 million of liquid funds was used to amortize aircraft finance lease liabilities. CHF45 million of liquid funds was used to repay liabilities, including the repayment in full of the CHF43 million still outstanding on the CHF50 million Barclays Bank loan. The repayment of this loan had no net impact on liquid funds, as it fell within the same accounting period as the CHF43 million cash inflow from investing activities deriving from the transfer of London Heathrow slots to British Airways. These slots had served as collateral for the Barclays loan. Further cash outflows of CHF28 million stemmed from ordinary interest payments on finance lease liabilities. Cash and cash equivalents amounted to CHF497 million on June 30, 2005. The balance sheet also showed fixed-term deposits of CHF1 million. Cash and cash equivalents had stood at CHF481 million (plus CHF4 million in fixed-term deposits) at the end of 2004. SWISS had an additional CHF139 million in liquid funds available from existing banking credit facilities at the end of June 2005. This amount varies depending, among other things, on the exchange rates of the US dollar and the Euro against the Swiss franc. SWISS has currently hedged 59% of its expected fuel needs for the rest of 2005. The record high prices of jet fuel created additional pressure to speed up the restructuring process in order to achieve the turnaround of the company. While kerosene prices had already shown steep increases towards the end of the first-quarter period, the full impact of these higher fuel costs was not felt until the second quarter. Equity ratio at 26.4% Group shareholders' equity amounted to CHF819 million on June 30, 2005 (equity ratio: 26.4%), having totaled CHF852 million (equity ratio: 27.3%) at the end of 2004. Further reduction in net financial debt Net financial debt saw a further CHF150 million reduction in the first six months of 2005, from the CHF594 million at the end of 2004 to CHF444 million on June 30, 2005. In addition to the positive cash flow from operating activities, the reduction was due in particular to the funds released by divestment activities. Improved load factors, yield pressure in Europe Load factor: SWISS carried 4.69 million passengers in the first six months of 2005 (prior year: 4.56 million). The company performed a total of 68 981 flights, which registered an average seat load factor of 76.9% (prior year: 73.4%). On the European network, available seat kilometer (ASK) capacity was unchanged from prior-year levels. However, European seat load factor for the period rose 3.5 percentage points to 63.8%. Seat load factor on intercontinental routes saw an even higher increase of 4.1 percentage points to 83.2%, while intercontinental ASK capacity was 9.7% below prior-year levels. Systemwide seat load factor for the second quarter of 2005 stood at 79.5% (prior year: 75.4%). Seat load factor on European services amounted to 68.6%, up 3.6 percentage points. For its intercontinental routes, SWISS posted a second-quarter seat load factor of 84.8%, up 4.8 percentage points on the prior-year period. Cargo load factor for the first six months of 2005 amounted to 86.1%, a slight year-on-year increase of 0.2 percentage points. While SWISS's long-haul business continues to show very positive trends, seat load factor for Europe remains less than satisfactory, despite the increase achieved. The no-frills carriers in particular continue to exert pressure in larger prime European markets in both capacity and pricing terms. Yield: Yields (revenue per passenger kilometer) remained under pressure throughout the European air transport sector in the first six months of 2005, with the market still subject to persistent overcapacity and continuing fare erosion. SWISS suffered a 5.7% year-on-year decline in yield on its European network for the period. Yield on intercontinental services, by contrast, was a 4.6% improvement on its prior-year equivalent. SWISS saw a positive development in its revenue per available seat kilometer or RASK. Calculated from seat load factor and yields, RASK - together with cost per available seat kilometer or CASK - is a key component in determining a company's operating results. SWISS's RASK for the first six months of 2005 was virtually unchanged (with a year-on-year improvement of 0.1%) for its European services, but showed a 9.7% improvement on intercontinental routes. As a result, system wide RASK for the first six months of 2005 was 6.9% up on the prior-year period. The system wide RASK increase is also due to year-on-year shifts in the relative contributions of intercontinental and European services to overall ASK capacity. By the nature of the industry' s pricing systems, RASK will always be lower on long intercontinental routes than on the European network. So a relative shift in capacity towards European operations will automatically raise RASK system wide. RASK results also include the fuel surcharges, which SWISS has been levying on its tickets since summer 2004. In line with general industry practice, SWISS introduced these surcharges in the course of last year in response to the steep rise in jet fuel prices, and has since gradually adjusted them in line with fuel price trends. Unit costs still too high SWISS has substantially reduced its costs compared to those of 2004 in its endeavors to establish a cost base, which will enable it to compete more effectively. The achievements to date have, however, been largely neutralized by the present high cost of aviation fuel, which eroded an additional CHF104 million from the EBIT result for the first six months of 2005 compared to the same period a year ago. Cost per available seat kilometer (CASK) rose accordingly by 3.6%. Excluding the additional costs incurred through high jet fuel prices, SWISS reduced its CASK by 3.3% in 2005. Like its RASK counterpart, CASK was also affected by the shift in the relative contributions of European and intercontinental production to overall ASK capacity. Here, however, the effect was the opposite: an increase in the proportion of European production led to an automatic increase in system wide CASK. This is because, in view of the shorter distances flown, CASK is higher for European services than for intercontinental flights. Irrespective of these mechanisms, CASK must be further reduced - especially in view of continuing losses, the price erosion that has continued in 2005 and the extremely difficult situation on the jet fuel market. SWISS's performance in the first half of 2005 also felt the adverse effect of an increase in personnel expenses per full-time employee, which were 3.5% up on the prior-year period. The increase is due largely to the automatic annual salary increases that are granted to flying personnel under the seniority principle. SWISS continues to consistently implement its current cost reduction program throughout all areas of its organization, with a particular focus on catering, on ground services (handling) and on raising internal productivity. Progress made with the current restructuring program SWISS's integration into the Lufthansa Group offers various new strategic perspectives, including the opportunity to exploit cost synergies in areas such as financing and procurement, where SWISS should benefit from much-enhanced terms and conditions. Regardless of the benefits that are expected to derive from such integration, however, SWISS is continuing the efforts it embarked upon in January 2005 to create a profitable and competitive foundation for its further corporate growth. The current restructuring program should be completed as originally announced in the course of 2006. Substantial cost savings are being derived from the outsourcing in the course of the first quarter of the company's IT operations to Swisscom IT Services and the intensified collaboration with Mindpearl, SWISS's fully-owned telephone sales subsidiary. The first-quarter period also brought progress in the Collective Labour Agreement (CLA) negotiations, which are being conducted with all the company's unions, with agreement reached with the delegations from KV Switzerland, VPOD Air Transport and PUSH on a new CLA for Swiss-based ground personnel that entered into formal effect on April 1, 2005. The new ground staff CLA was also ratified by the GATA union at the end of April. Agreement was also reached on the simultaneous implementation of a new severance benefits package. Negotiations on new CLAs are continuing with the company's cabin crew union and the Aeropers cockpit crew union. The Swiss Pilots Association sought a new arbitration process at the beginning of May. SWISS will continue to strive to agree and adopt viable and forward-looking solutions with all its social partners, which serve to secure jobs in the longer term. SWISS is currently in the midst of a comprehensive quality drive. At Zurich Airport, all SWISS services within Europe and to North Africa are now handled at the airport's "A" gates, while all SWISS intercontinental services now depart from the "E" gates. Inflight food and drink has also been included in the ticket price for Swiss Economy passengers since the end of May. The new seats now installed on the SWISS Airbus A320 European fleet have also enhanced travel comfort; and with the introduction in January of the new Boeing Business Jet service operated by PrivatAir, SWISS now offers an attractive product on the Zurich-New York (Newark) route that is specifically tailored to business travelers' needs. A further milestone on the road to SWISS's turnaround was reached at the end of July when, after protracted negotiations, SWISS and SR Technics Switzerland reached an out-of-court settlement in their dispute over the interpretation of their maintenance contract, thus ending the arbitration process they were engaged in. Established on a new basis, their revised cooperation agreement enables SWISS to significantly reduce maintenance costs for its Airbus fleet. At the same time, SWISS and SR Technics have extended their current contract, which is valid until 2009, by a further three years. The desired reduction of the SWISS regional aircraft fleet by at least 15 aircraft in the course of 2005 and 2006 is a further major step towards establishing competitive production structures in every market segment. SWISS will have reduced its fleet by 14 aircraft (including those of Crossair Europe) by the start of the 2005/06 winter schedules. Despite this reduction in the regional fleet SWISS will continue to offer an attractive range of air services through collaborations with partner airlines, especially with those within the Lufthansa Group. Personnel numbers The average number of personnel employed by SWISS (in full-time equivalents or FTEs) in the first six months of 2005 amounted to 6 497, a decline of 955 on the 7 452 employed during the same period last year. SWISS employed a total of 6 477 FTEs on June 30, 2005 - 148 fewer than at the end of 2004. The 6 477 FTE positions are occupied by 7 583 employees around the world. Public purchase offer successfully concluded Deutsche Lufthansa AG made a public purchase offer to all the minority shareholders of Swiss International Air Lines Ltd. through the Swiss-domiciled AirTrust AG at the beginning of May 2005. The offer was based on a business model jointly devised by Lufthansa and SWISS for the acquisition of SWISS by Lufthansa and its integration into the Lufthansa Group. By the expiration of the offer period and the subsequent grace period on June 22, Deutsche Lufthansa AG and the Almea Foundation held 98.7% of the share capital of Swiss International Air Lines Ltd. via the Swiss-domiciled AirTrust AG. This shareholding has since been increased to over 99%. With over 99% of SWISS share capital, AirTrust AG has exceeded the minimum shareholding required to initiate a 'squeeze-out' procedure to obtain the remaining SWISS shares. And, with approval of the proposed acquisition of Swiss International Air Lines Ltd. by Deutsche Lufthansa AG received from both the European Commission and the US anti-trust authorities on July 5, the way was cleared for SWISS's integration into the Lufthansa Group. The European Commission has agreed certain measures with Lufthansa and SWISS to ensure adequate market access for possible new competitors. These center largely on making landing and takeoff slots available to other carriers on various European and intercontinental routes. US anti-trust approval has been granted unconditionally. AirTrust AG has now initiated the squeeze-out procedure, and has made a cash offer for the remaining SWISS shares held by minority shareholders. Lufthansa has increased its shareholding in AirTrust AG from the original 11% to 49%. SWISS's integration into the Lufthansa Group is proceeding according to plan. The integration is intended to ensure the provision of the best possible network of European and intercontinental air links - particularly through direct services - to maintain Switzerland's economic strength and business appeal. The planned integration into the Lufthansa Group offers SWISS new prospects and perspectives in terms of the attractiveness of its products and services to its customers, including more destinations, better connections, interlinked frequent flyer programs, lounge access and more. CONTACT: SWISS INTERNATIONAL Corporate Communications P.O. Box, CH-4002 Basel Phone: +41 (0) 848 773 773 Fax: +41 61 582 35 54 E-mail: communications@swiss.com SWISS INTERNATIONAL: More Benefits for Customers this Winter ------------------------------------------------------------ More destinations, denser frequencies and better connections: the collaboration between Lufthansa and SWISS continues to make good progress, and will now offer customers many further benefits with the new winter schedules. All services between Switzerland and Germany will be operated as code share flights from the start of the new schedules on October 30. The partners are also harmonizing their timetables to provide a coordinated and complementary range of services at their three hubs of Zurich, Frankfurt and Munich. SWISS's integration into the Lufthansa Group continues to make good progress - as can be seen, among other things, by the many innovations in the new 2005/06 winter schedules that will offer passengers of both airlines an expanded air travel product and further customer benefits. Those benefits include more destinations, better and coordinated connections, interlinked frequent flyer programs and enhanced lounge access arrangements. Coordinated services between Switzerland and Germany in the new winter schedules Lufthansa and SWISS are harmonizing their services between Switzerland and Germany in their 2005/06 winter schedules effective October 30. All Lufthansa and all SWISS flights between the two countries will be operated as code shares, and the partners' timetables will be closely coordinated: instead of competing against each other with almost simultaneous departures (as was often the case in the past), the partners have realigned their schedules to offer a denser frequency of services spread throughout the day. For customers, the new approach means more frequencies, additional destinations and better connections (through coordinated timetables) at the three hubs of Zurich, Frankfurt and Munich. SWISS will offer 69 destinations in 41 countries in its winter schedules, while Lufthansa offers service to 181 destinations in 76 countries. Customers will now have a choice of 563 flights a week between Switzerland and Germany in the new timetable period. "Our joint approach to our services between Switzerland and Germany marks another milestone in the still-young partnership between our two carriers," says Christoph Franz, President and Chief Executive Officer of SWISS. "And we are delighted at the genuine added value that it will provide for our passengers." "These enhancements for our customers confirm that, as they continue to develop their partnership, Lufthansa and SWISS are on the right track," adds Thierry Antinori, Executive Vice President Marketing & Sales, Lufthansa German Airlines. "We are making good and rapid progress, and are offering a wide range of new opportunities to all our passengers. The network is growing, and our customers are feeling all the many benefits of better flight connections and an expanded service product." Once the corresponding traffic rights issues have been clarified, Lufthansa and SWISS aim to extend their codeshare operations to selected intercontinental routes. A joint presence under a single roof In a further collaborative innovation from the start of the winter schedules, all the partners' check-in desks and departure gates at their three hubs of Zurich, Frankfurt and Munich will be accommodated with the home carrier. In Zurich, Lufthansa (and Austrian Airlines) passengers will be served at Check-in 1 and Check-in 3, and the aircraft of these SWISS partner carriers will use Pier A wherever possible. In Frankfurt, SWISS will be accommodated in Terminal 1; and in Munich SWISS will use Terminal 2. The new handling arrangements offer customers a host of tangible benefits. The shorter journeys between gates permit quicker transfers and thus better connections. And the use of joint desks will make the entire check-in process faster and smoother for SWISS customers in Germany and for Lufthansa customers in Switzerland (in Zurich, Geneva and Basel). SWISS's integration into the Lufthansa Group will also be underlined to customers by a joint visual appearance at the partners' three hubs. Operations at further airports in Switzerland and Germany should be similarly harmonized between now and next year's summer schedules. Extended lounge access Elite-level Lufthansa and SWISS customers already enjoy the use of both partners' lounges. With the coming winter schedules, this facility will be extended to all Business Class customers, Swiss TravelClub Silver members and Miles & More Frequent Travellers. Frequent flyer programs more attractive than ever Members of the Swiss TravelClub and Lufthansa Miles & More frequent flyer programs have been able to collect and spend miles on both partners' networks since July 20. Swiss TravelClub members earn Club Miles on all scheduled services operated by Lufthansa, and can redeem their miles for Lufthansa Free Tickets; and Miles & More members earn award miles and status miles on all SWISS-operated flights, and can book flight awards on SWISS. The features of the two frequent flyer programs will be further interlinked in association with SWISS's planned membership of Star Alliance in 2006. Full details of the partnership between Lufthansa and SWISS and its many customer benefits are also available online at http://www.lufthansa.comor http://www.swiss.com. CONTACT: SWISS INTERNATIONAL Corporate Communications P.O. Box, CH-4002 Basel Phone: +41 (0) 848 773 773 Fax: +41 61 582 35 54 E-mail: communications@swiss.com SWISS INTERNATIONAL: Trims down Board Members to Five ----------------------------------------------------- The SWISS Board of Directors resolved to streamline the company's aircraft fleet structure when it met on Aug. 26, 2005: the SWISS short-haul fleet will consist solely of Avro RJ and Airbus A320 family equipment from the start of the 2006 summer schedules. In a further development, the present eight-member Board of Directors is to be reduced to five members at an Extraordinary General Meeting to be held on Sept. 22, 2005. In addition to the existing Airbus A320 family contingent, the SWISS short-haul aircraft fleet is to consist of 24 Avro RJ85 and RJ100 regional jets from the start of the 2006 summer schedules. The Board of Directors has resolved that the company's Embraer 145s should be gradually withdrawn by the end of the coming winter schedules, while the Saab 2000 fleet will no longer be operated from the start of the winter timetable period. The Board simultaneously approved the expansion of the present Avro RJ fleet to 24 aircraft. Gradual implementation of the fleet plan for regional operations The new fleet plan should be gradually implemented. SWISS currently operates a fleet of 35 regional aircraft, consisting of seven Saab 2000s, nine Embraer 145s, four Avro RJ85s and 15 Avro RJ100s. One Avro RJ100 will be handed over to its new owner as planned in October. The nine Embraer 145s will be leased out to other operators: corresponding negotiations are already well advanced. SWISS will lease-in six further Avro RJ100s in the course of the first quarter of 2006, and put these aircraft into operation. Resizing and reconstitution of the Board of Directors As announced in May, the SWISS Board of Directors is to be resized from eight to five members as part of the company's acquisition by Lufthansa and its integration into the Lufthansa Group. With the reduction in numbers, the entire Board of Directors will be newly elected. The Extraordinary General Meeting required for such actions is to be held on September 22, 2005. Current Board members Pieter Bouw, Claudio Generali, Michael Pieper, Jan Audun Reinas and Peter Siegenthaler have submitted their resignations from the Board of Directors with effect from September 22. Present Board members Jacques Aigrain, Walter Bosch and Rolf Jetzer will be standing for election for a further term of office. Standing for election as new Board members and representatives of Lufthansa will be Wolfgang Mayrhuber and Klaus G. Schlede. The five members of the new SWISS Board of Directors will be elected for an ordinary term of office of three years. Following the Extraordinary General Meeting, the five elected members of the new Board of Directors will appoint a Chairman from within their ranks. Rolf Jetzer is envisaged for this post. "With three of our present Board members on the new Board and with Rolf Jetzer as its new Chairman, we are ensuring an element of continuity in our Board of Directors," says present Chairman of the Board Pieter Bouw. "I am also delighted that Lufthansa intends to delegate Wolfgang Mayrhuber and Klaus Schlede - two eminent and extremely competent individuals - to serve on the SWISS Board." The proposed new Board members: (a) Jacques Aigrain, 51, has been a Member of the SWISS Board of Directors and Chairman of its Audit Committee since December 2001. A graduate in economics and law, he has been a Member of the Executive Board of Swiss Re since June 2001, heading the company's Financial Services Business Group, and has been Deputy CEO of Swiss Re since January 2005. (b) Walter Bosch, 61, has been a Member of the SWISS Board of Directors since May 2003 and Deputy Chairman and Lead Director since March 2004. He studied economics in St. Gallen and Berlin. Walter Bosch has been active as a business entrepreneur and communications consultant since 1997. He is Delegate to the Board of Directors of Euphonix Inc., Palo Alto, serves on the Boards of Directors of Cablecom, Star TV, the Good News event agency and skiing company Zai AG, and is a Member of the Industry Council of the London-based GMT Partners private equity fund. (c) Rolf P. Jetzer, 55, has been a Member of the SWISS Board of Directors and Chairman of its Remuneration Committee since May 2004. A doctor in law, he has been a partner at the Zurich-based Niederer Kraft & Frey law firm since 1988, specializing in commercial law. He was elected to the Boards of Directors of Bank Julius B�r & Co. AG and of Julius Bar Holding AG in April 2005. (d) Wolfgang Mayrhuber, 58, has been Chairman of the Executive Board and CEO of Deutsche Lufthansa AG since June 2003. An Austrian by birth, he is also Chairman of the Supervisory Board of Lufthansa CityLine GmbH and a Member of the Supervisory Boards of Eurowings Luftverkehrs AG, Muenchener Rueckversicherungs-Gesellschaft AG and BMW AG. (e) Klaus G. Schlede, 68, is a Member of the Supervisory Board of Deutsche Lufthansa AG, and served as its Chairman from 1998 to 2003. A graduate in business administration, he served as Chief Financial Officer and Deputy Chairman of the Executive Board of Deutsche Lufthansa AG from 1991 to 1998. Schlede, who lives in Switzerland, is also a Member of the Supervisory Boards of Deutsche Telekom AG and Deutsche Postbank AG. CONTACT: SWISS INTERNATIONAL Corporate Communications P.O. Box, CH-4002 Basel Phone: +41 (0) 848 773 773 Fax: +41 61 582 35 54 E-mail: communications@swiss.com =========================== U N I T E D K I N G D O M =========================== A1 GEM: Collapses into Liquidation ---------------------------------- Company Name: A1 GEM CO. LIMITED. 9 Hatton Garden, London, EC1N 8AH Phone: 020-7242-0022 Registration Number: 02886364. Court: High Court of Justice Date of Filing Petition: May 3, 2005 No. of Matter: 002865 of 2005 Date of Winding-up Order: August 10, 2005 CONTACT: Official Receiver 21 Bloomsbury Street, London, WC1B 3SS Phone: 020 7637 1110 Fax: 020 7637 6390 AXIOM DESIGN: Winding-up Gets Go Signal --------------------------------------- Company Name: AXIOM DESIGN & PRINT LIMITED Wilson Field, The Annexe, The Manor House, 260 Ecclesall Road South, Sheffield, S11 9PS Phone: 020 7554 8640 Fax: 020 7554 8641 Registration Number: 01971249 Court: Leeds District Registry Date of Filing Petition: 20th July 2005. No. of Matter: 791 of 2005 Date of Winding-up Order: August 5, 2005. CONTACT: Official Receiver 3rd Floor East, Ladywood House, 45/6 Stephenson Street Birmingham, B2 4UP Tel: 0121 698 4147 Fax: 0121 698 4408 CAPITAL (GLOUCESTER): Administrator Enters Firm ----------------------------------------------- Name: CAPITAL (GLOUCESTER) LIMITED (Company No 1297557) Nature of Business: Printing Registered Office of Company: 29A Groves Business Park, Shipton Road, Milton-Under-Wychwood, Oxfordshire OX7 6JP Date of Appointment: 9 August 2005 Administrator's Name and Address: Andrew T. Clay (IP No 9164), of Andrew Michaels & Co Ltd, Concept House, Brooke Street, Cleckheaton, West Yorkshire BD19 3RY CONTACT: ANDREW MICHAELS & CO. LTD Concept House Brooke Street Cleckheaton Bradford BD19 3RY West Yorkshire Phone: 0870 750 5411 Fax: 0870 750 5412 E-mail: info@andrew-michaels.com CARNEIL ASSOCIATES: Opts for Liquidation ---------------------------------------- Company Name: CARNEIL ASSOCIATES LIMITED Unit 3, Burley Close, Storforth Lane, Hasland, Chesterfield, Derbyshire, S42 6TJ Phone: 01246 556 971 Fax: 01246 556 971 Registration Number: 04602861 Court: Leeds District Registry Date of Filing Petition: 10th June 2005 No. of Matter: 624 of 2005 Date of Winding-up Order: 11th August 2005 CONTACT: Official Receiver 5th Floor, South Block, City Plaza, Pinfold Street, Sheffield, S1 2GU Phone: 0114 221 2700 Fax: 0114 221 2750 C.A.T.S DISTRIBUTION: Names Milner Boardman Administrator --------------------------------------------------------- Name: C.A.T.S DISTRIBUTION LIMITED (Company No 04656143) Nature of Business: Storage and Warehousing, Courier other than National Post and Retail of Fruit and Vegetables Registered Office of Company: 2 Sovereign Way, Maritime Business Park, Dock Road, Seacombe, Wallasey, Wirral, Merseyside CH41 1DL Trade Classification: 6312, 6412 and 5221 Date of Appointment: 16 August 2005 Joint Administrators' Names and Address: Colin Burke and Gary J Corbett (IP Nos 8603 and 9018), both of Milner Boardman & Partners, Century House, Ashley Road, Hale, Cheshire WA15 9TG * * * Established in 2000, CATS distribution has become one of the Northwest's leading companies specializing in the following areas: (a) Courier Services (Same day/next day) (b) Temperature controlled courier service (c) Fruit and Vegetable Delivery Service (d) Fruit and Vegetable Wholesale Based in a state of the art distribution and wholesale center in Birkenhead, CATS is an accredited local supplier to the Department of Health, as well as serving the business communities of Sefton, Liverpool and Wirral. Visit http://www.catsdistribution.co.uk/for more information. CONTACT: C A T S DISTRIBUTION LTD Unit 2 Sovereign Way Maritime Business Park Dock Road Birkenhead Merseyside CH41 1DL United Kingdom Phone: 0151-651 1890 Fax: 0151-647 6030 E-mail: info@catsdistribution.co.uk MILNER BOARDMAN & PARTNERS Century House, Ashley Road, Hale, Cheshire WA15 9TG Phone: 0161 927 7788 Fax: 0161 927 7733 E-mail: info@milnerb.co.uk Web site: http://www.milnerboardman.co.uk CHESS ESTATE: Winding-up Receives Green Light --------------------------------------------- Company Name: CHESS ESTATE AGENTS LTD. 224 Great West Road, Houndslow, Middlesex, TW5 9AW. Phone: 020 8848 8847 Registration Number: 03859387 Court: Bristol District Registry Date of Filing Petition: 2nd June 2005 No. of Matter: 2246 of 2005 Date of Winding-up Order: August 10, 2005 CONTACT: Official Receiver 21 Bloomsbury Street, London, WC1B 3SS Phone: 020 7637 1110 Fax: 020 7637 6390 CORUS GROUP: Half-year Profit Rises to GBP483 Million ----------------------------------------------------- Half-year Highlights: (a) group operating profit of GBP483 million; (b) underlying operating profit of GBP503 million, an improvement of GBP348 million over 2004; (c) 'Restoring Success' delivered approximately 35% of the improvement; (d) capital expenditure for the U.K. Restructuring element of Restoring Success has been completed; (e) earnings per share increased to 7.56 pence; (f) interim dividend of 0.5 pence per share; and (g) net debt at GBP1,131 million now includes GBP268 million impact of adopting IAS 32 and 39 from January 2005. Outlook for the Second Half of 2005 (a) the third quarter will be impacted by lower selling prices, the full effect of raw material cost increases and reduced steel making to align production with demand; (b) as the year progresses stock levels are expected to revert to normal and demand and selling prices are expected to improve gradually; and (c) further Restoring Success benefits including initial benefits from U.K. Restructuring will be progressively delivered in line with plan. From 2 January 2005, in line with all companies listed in the European Union, Corus is adopting International Financial Reporting Standards (IFRS) having previously reported its financial results under U.K. Generally Accepted Accounting Principles (U.K. GAAP). Financial Highlights In the first half of 2005, Corus' financial performance showed further improvement. The profit after tax of GBP337 million equates to earnings per share of 7.56 pence, compared to 1.94 pence in the same period last year. External turnover increased by 19% to GBP5,333 million as the Group benefited from higher average steel selling prices following the significant increases secured on both spot prices during the second half of 2004 and on annual contracts from the start of 2005. The increase in average steel selling prices more than offset an 8% reduction in deliveries in the period resulting from weak market conditions. Apparent demand slowed during the first half of the year due to a combination of higher stocks through the supply chain and weak underlying consumption in the automotive and construction sectors. Combined with higher imports, this hampered efforts to redress the stock build that occurred in the second half of 2004. Total operating costs increased by 13% to GBP4,850 million, primarily reflecting significant increases in raw material, particularly iron ore and coal, and energy costs. The Group operating profit for the half year was GBP483 million, compared to GBP195 million in 2004. The underlying operating profit, excluding restructuring and impairment costs and profit on disposal of fixed assets, was GBP503 million (2004: GBP155 million). Management actions as part of Restoring Success continue to make a significant contribution to the improved operating performance and are estimated to have accounted for some GBP120 million or 35% of the increase in underlying operating profit. At the end of the period, net debt was GBP1,131 million. The increase compared to the year-end position (2004: GBP842 million) is almost entirely attributable to the adoption of IAS 32 and 39 from January 2005, which require the Group to show drawings under its GBP275 million debtor securitization program as net debt. On a comparable basis, the Group's working capital management remains strong with working capital to turnover unchanged at 18%. Restoring Success Restoring Success, launched in June 2003, is designed to deliver EBITDA benefits of GBP680 million per annum by the end of 2006. At the end of June 2005 annualized exit rate benefits of GBP480 million were secured. The competitive gap between Corus and the European operations of the Group's peers, measured by the EBITDA to sales ratio, was estimated to have reduced from 6% in 2003, to 3.5% in 2004. While Corus has seen continued improvement in its financial performance, this gap is estimated to have widened to 4.2% in the first half of 2005. The widening is attributable to Corus' lower exposure to annual contracts and a margin squeeze on long products manufactured through the blast furnace process route, as selling prices were reduced in response to lower scrap surcharges. The Group remains on track to deliver the full benefits of Restoring Success by the end of 2006. The Corus Way The Group has previously announced its longer-term perspective -- the Corus Way -- that will build on three business objectives: best supplier to best customers, world-class processes and selective growth. The objectives are designed to differentiate Corus from its competitors and allow the Group to deliver value for its shareholders. As part of the best supplier to best customer objective, new investment in the Group's existing asset base in Western Europe will be focused on enriching the product mix. In February 2005, Corus announced a major investment of GBP130 million at Scunthorpe to strengthen the Group's competitive position in the structural sections, rail and wire rod markets, by improving operational efficiency, product range and customer service. As part of world-class processes, the implementation of continuous improvement will seek to improve operating effectiveness and secure cost reductions, based on principles of lean thinking. Significant investment is being made to support these activities. Finally, as part of selective growth, the Group will also look at external opportunities in low cost and high growth countries to further improve its competitive position. Erdemir The Group has previously expressed an interest in the privatization of Erdemir, Turkey's largest steel producer. Corus has determined not to proceed on a stand alone basis and therefore continue to explore opportunities to work jointly with a domestic partner. Dividend At the time of the Group's preliminary results on 17 March 2005, the Board announced its intention to recommence dividend payments in respect of 2005. Furthermore, at the Group's Annual General Meeting, on 16 June 2005, the Board also stated that it expected to declare a modest, initial dividend at the time of the company's interim 2005 results. The Board has declared an interim dividend of 0.5 pence per share, which will be paid on 14 October 2005 to shareholders on the register at 16 September 2005. For American Depositary Receipt holders, the dividend is payable in U.S. dollars on October 24, 2005 by the Depositary, The Bank of New York, to the ADR holders of record on September 16, 2005. The recommencement of dividends reflects the Board's confidence in the underlying long-term recovery of the Group. Outlook Weak apparent demand in Europe has created downward pressure on selling prices and this has continued in the third quarter. To align production with demand, Corus has reduced steel production in this period by some 0.5mts. The full impact of the significant increases in raw materials will also be experienced in the third quarter. Stock levels in North America have already returned to more normal levels with apparent demand showing signs of recovery and prices having stabilized. The European position is expected to follow the North American trend as imports stabilize and underlying consumption recovers in the second half of the year. As the balance between supply and demand is restored, European stocks are expected to revert to more normal levels as the year progresses and selling prices to recover gradually. The Group's Restoring Success program is expected to continue to deliver benefits in line with plan. This includes the initial benefits from the U.K. investments that were successfully completed during the first half of the year. Philippe Varin, Chief Executive, said: "Corus has delivered a strong financial performance in the first-half of 2005, despite the more challenging market conditions. Restoring Success remains on track and provides a firm foundation going forward. The return to dividend payments indicates our confidence that Corus' operational performance is being structurally improved." Corus Group plc is one of the world's largest metal producers with annual turnover of over GBP9 billion and major operating facilities in the U.K., the Netherlands, Germany, France, Norway and Belgium. Corus' four divisions comprising Strip Products, Long Products, Distribution & Building Systems and Aluminium provide innovative solutions to the construction, automotive, rail, general engineering and packaging markets worldwide. Corus has 48,100 employees in over 40 countries and sales offices and service centers worldwide. A copy of the financial results is available free of charge at http://bankrupt.com/misc/CorusGroup(H12005).pdf CONTACT: CORUS GROUP PLC 30 Millbank London SW1P 4WY United Kingdom Phone: +44-20-7717-4444 Fax: +44-20-7717-4455 Web site: http://www.corusgroup.com Annanya Sarin Corporate Communications Phone: 020 7717 4532 Simon Collins Local Media Phone: 01536 403 4801 C R STORAGE: Files for Liquidation ---------------------------------- Company Name: C R STORAGE LIMITED Unit V6 Dean Clough Mills, Dean Clough, Halifax, West Yorkshire, HX3 5AX Phone: 01422 347800 Fax: 01422 345700 Court: High Court of Justice Date of Filing Petition: June 29, 2005 No. of Matter: 004297 of 2005 Date of Winding-up Order: August 10, 2005 CONTACT: Official Receiver 3rd Floor, 1 City Walk, Leeds, LS11 9DA Phone: 01132 338222 Fax: 01132 338332 CURTIS PLASTICS: Plastic Manufacturer Calls in Administrator ------------------------------------------------------------ Name: CURTIS PLASTICS LIMITED (Company No 02707819) Nature of Business: Manufacture of Plastic Materials. Trade Classification: 11-Other Manufacture. Date of Appointment: 15 August 2005. Joint Administrators' Names and Address: Nick O'Reilly and Simon Glyn (IP Nos 8309 and 9159), both of Vantis Numerica, PO Box 2653, 66 Wigmore Street, London W1A 3RT * * * A privately owned company based in Luton. Visit http://www.clickoncurtis.com/for more information. CONTACT: CURTIS PLASTICS LTD Guardian Business Park Dallow Road Luton LU1 1NA Bedfordshire Phone: 01582 737221 Fax: 01582 723261 VANTIS NUMERICA PO Box 2653, 66 Wigmore Street, London W1A 3RT Phone: 020 7467 4000 Fax: 020 7284 4995 Web site: http://www.numerica.biz DENCOL (UK): Printing Company Hires Hacker Young Administrator -------------------------------------------------------------- Name: DENCOL (UK) LIMITED (Company No 04846611) Nature of Business: Printing Registered Office of Company: 3rd Floor, 10 Charterhouse Square, London EC1M 6LQ Trade Classification: Division 2-10 Paper, Printing and Publishing Date of Appointment: 11 August 2005 Joint Administrators' Names and Address: Andrew Andronikou and Ladislav Hornan, (IP Nos 1253 and 2059), both of UHY Hacker Young, St Alphage House, 2 Fore Street, London EC2Y 5DH CONTACT: DENCOL LTD Unit 10 Simonds Road Orient Industrial Park London E10 7DE Phone: 020 8556 3210 Fax: 020 8556 7789 UHY HACKER YOUNG St Alphage House, 2 Fore Street, London EC2Y 5DH Phone: 020 7216 4600 Fax: 020 7638 2159 Web site: http://www.uhy-uk.com ELANCS.NET LIMITED: Appoints DTE Leonard Curtis Administrator ------------------------------------------------------------- Name: ELANCS.NET LIMITED (Company No 4636418) Nature of Business: Other Business Services Registered Office of Company: Red Rose Court, Clayton Business Park, Clayton-le-Moors, Accrington BB5 5JR Trade Classification: 38 Date of Appointment: 5 August 2005 Joint Administrators' Names and Address: J. M. Titley and A. Poxon (IP Nos 8617 and 8620), both of DTE Leonard Curtis, 24 Wellington Street, St John's, Blackburn, Lancashire BB1 8AF * * * Elancs.net was formed into a company limited by guarantee in January 2003 with initial membership consisting of East Lancashire Partnership, Business Services (East Lancashire) Ltd. and East Lancashire Chamber of Commerce and Industry. Visit http://www.elancs.net/for more information. CONTACT: ELANCS.NET LIMITED Red Rose Court, Clayton-le-Moors, Accrington, Lancashire BB5 5JR Phone: 01254 356480 Fax: 01254 388900 E-mail: info@elancs.net DTE LEONARD CURTIS 24 Wellington Street, St John's, Blackburn, Lancashire BB1 8AF Web site: http://www.dtegroup.com GATE GOURMET: To Employ Voluntary Redundancy Scheme --------------------------------------------------- Gate Gourmet has reportedly agreed on a framework with union leaders in an effort to settle their dispute. According to Reuters, the British Airways caterer will carry out a voluntary redundancy program in the next few days for employees, including the 600-plus fired earlier. The company said: "The framework will allow the company to address its ongoing staffing needs in a way that is fair to all employees, adopt necessary work rule changes, and stem the losses that have put the company on the brink of administration." Compulsory redundancies could push through if not enough staff would stick to the framework, it added. Last week, 1,000 BA ground staff at Heathrow held an unofficial strike to protest the termination of co-workers, leaving over 100,000 passengers stranded. Meanwhile, the Transport & General Workers Union took the framework as an important step in their negotiations, which are expected to continue this week. TGWU National Secretary Brendan Gold said: "After a constructive meeting we have made initial progress toward resolving (the) problems . . . with an outline of how to go forward that would apply to all workers." Gate Gourmet earlier confirmed it had agreed to an improved commercial deal with BA. Mike Street, BA director of customer service and operations, noted the new terms involve more money for Gate Gourmet and the extension of its contract up to 2010. However, he the agreement will only be official after Gate Gourmet shall have resolved its dispute with the union. The caterer's U.K. operations, which lost GBP22 million in 2004, is facing another GBP25 million in losses this year. Gate Gourmet blames the crisis on its "increasingly punitive" contract with BA as well as staff costs brought by "1970s union-protected working practices." CONTACT: GATE GOURMET U.K. & IRELAND Phone: 0208 5135013 Mobile: 07810 561816 Web site: http://www.gategourmet.com HENRY MERRYWEATHER: Members Opt for Liquidation ----------------------------------------------- At the extraordinary general meeting of Henry Merryweather & Sons Limited held at 2 Kayes Walk, Stoney Street, The Lace Market, on 17 August 2005, at 9:30 a.m., the subjoined Special Resolution, Ordinary Resolutions and Extraordinary Resolution were duly passed: "That it has been proved to the satisfaction of the Meeting that this Company should be voluntarily wound up and that the Company be wound up accordingly, that Andrew Philip Wood of 93 Queen Street, Sheffield S1 1WF, duly qualified under the Insolvency Act 1986, be and is hereby appointed the Liquidator of the Company for the purposes of such winding-up, that the remuneration of the Liquidator be fixed by reference to time properly incurred (not to exceed GBP5,000 plus VAT and disbursements) and that the Liquidator may exercise the powers contained in Schedule 4 in Part 1 of the Insolvency Act 1986, and may divide among the Members in specie the whole or any part of the assets of the Company." By Order of the Board R Merryweather, Chairman CONTACT: HENRY MERRYWEATHER & SONS LTD Merryweathers Gdn Centre, Halam Road, Southwell, Nottinghamshire NG25 0AH Phone: 01636813204 THE P&A PARTNERSHIP 93 Queen Street, Sheffield S1 1WF Phone: (0114) 275 5033 Fax: (0114) 276 8556 E-mail: info@poppletonappleby.co.uk Web site: http://www.thepandapartnership.com HR COMMUNICATIONS: Administrator Takes over Company --------------------------------------------------- Name: HR COMMUNICATIONS LTD (Company No 02613881) Nature of Business: Manufacture of Hi-Fi Equipment Trade Classification: 11 Date of Appointment: 4 August 2005 Administrator's Name and Address: William Antony Batty (IP No 1049), Antony Batty & Company, 24 New House, 67-68 Hatton Garden, London EC1N 2JY CONTACT: HR COMMUNICATIONS LTD Unit 1d Dulford Business Park, Limesfield Dulford Cullompton EX15 2DY Devon Phone: 01884 266777 Fax: 01884 266801 Web site: http://www.hrcommunications.co.uk/ ANTONY BATTY & COMPANY New House Suite 24 67-68 Hatton Garden London EC1N 8JY Phone: 020 7831 1234 Fax: 020 7430 2727 E-mail: antonybatty@hotmail.com INVENSYS PLC: Group Loss Down to GBP26 Million ---------------------------------------------- Invensys plc has reported first quarter results for the three months to 30 June 2005, prepared in accordance with International Financial Reporting Standards. Highlights: (a) Q1 trading in line with expectations; (b) orders from continuing businesses were GBP642 million (Q1 04/05: GBP617 million), up 3% at constant exchange rates (CER); (c) revenue from continuing businesses was GBP577 million (Q1 04/05: GBP586 million), down 2% at CER; (d) operating profit from continuing businesses was GBP32 million (Q1 04/05: GBP17 million), up 82% at CER; (e) operating margin of continuing businesses after corporate costs was 5.5% (Q1 04/05: 2.9%); (f) corporate costs were reduced to GBP9 million (Q1 04/05: GBP14 million); (g) group loss for the period reduced from GBP42 million to GBP26 million; (h) free cash outflow before legacy items reduced to GBP22 million (Q1 04/05: GBP29 million); (i) disposals of Lambda and ABS EMEA to raise gross proceeds of US$385 million (GBP219 million); and (j) expectations for the year remain unchanged. Ulf Henriksson, Chief Executive Officer of Invensys plc, said: "I am pleased that we have delivered a significant improvement in performance over the first quarter of last year. Process Systems and APV are now starting to deliver the benefits of their recent restructuring programs. Eurotherm performed in line with last year but, as expected, Rail Systems and Controls had a weaker quarter. "We have substantially completed our disposal program with the sales of Lambda and ABS EMEA achieving proceeds above expectations. "We remain confident that the restructuring program within our businesses will improve their performance and benefit the Group's earnings during the remainder of this financial year. We continue to expect that the results for the year will remain in line with expectations." A copy of the financial results is available free of charge at http://bankrupt.com/misc/Invensysplc(H12005).pdf CONTACT: INVENSYS PLC Invensys House, Carlisle Place London SW1P 1BX Phone: +44-20-7834-3848 Fax: +44-20-7834-3879 Web site: http://www.invensys.com Steve Devany Phone: +44 (0) 20 7821 3758 Nina Delangle Phone: +44 (0) 20 7821 2121 Emma Burdett Phone: +44 (0) 20 7379 5151 ISCA GROUNDCARE: Court Okays Liquidation ---------------------------------------- Company Name: ISCA GROUNDCARE LTD. Cross Peak Nursery, Coach Road, Newton Abbot, Devon, TQ12 1EW Phone: 01626335056 Registration Number: 04509766 Court: High Court of Justice Date of Filing Petition: 16th June 2005 No. of Matter: 003969 of 2005 Date of Winding-up Order: August 10, 2005 CONTACT: Official Receiver 3rd Floor, Senate Court, Southernhay Gardens, Exeter, EX1 1UG Phone: 01392 889 650 Fax: 01392 422618 IT WALES: Winding-up Gets Court Approval ---------------------------------------- Company Name: IT WALES LTD. Unit 10, 3 Bank Building, Main Avenue, Treforest Industrial Estate, Pontypridd, CF37 5UR Phone: 01495 765990 Registration Number: 04210298 Court: Bristol District Registry Date of Filing Petition: June 15, 2005 No. of Matter: 2488 of 2005 Date of Winding-up Order: August 10, 2005 CONTACT: Official Receiver 3rd Floor, Companies House, Crown Way, Cardiff, CF14 3ZA Phone: 029 2038 1300 Fax: 029 2038 1318 MARSHFIELD CARE: Names Begbies Traynor Administrator ---------------------------------------------------- Name: MARSHFIELD CARE LIMITED (Company No 3462823) Nature of Business: Nursing Home. Registered Office of Company: 14 Lambourne Crescent, Cardiff Business Park, Llanishen, Cardiff CF14 5GF Date of Appointment: 15 August 2005 Joint Administrators' Names and Address: David Hill and John W. Davies (IP Nos 6904 and 6425), both of Begbies Traynor, 5th Floor, Riverside House, 31 Cathedral Road, Cardiff CF11 9HB. CONTACT: MARSHFIELD CARE LTD The Old Vicarage Nursing Home, Church Lane, Cardiff, South Glamorgan CF3 8UF Phone: 01633-681403 BEGBIES TRAYNOR 4th Floor, Riverside House, 31 Cathedral Road, Cardiff CF11 9HB Phone: 029 2022 5022 Fax: 029 2022 4523 E-mail: cardiff@begbies-traynor.com Web site: http://www.begbies.com N.E.C SPECIAL: Winds up Under Court Order ----------------------------------------- Company Name: N.E.C SPECIAL PROJECTS LTD. Edison House, 175 Sunbridge Road, Bradford, West Yorkshire, BD1 2HB Phone: 01274 720 125 Fax: 01274 307 448 Web site: http://www.nec.uk.com Registration Number: 02789641 Court: High Court of Justice Date of Filing Petition: June 20, 2005 No. of Matter: 004042 of 2005 Date of Winding-up Order: August 10, 2005 CONTACT: Official Receiver 3rd Floor, 1 City Walk, Leeds, LS11 9DA Phone: 01132 338222 Fax: 01132 338332 * * * NEC Special Projects is a thriving electrical contractor specializing in commercial and industrial electrical contracting and maintenance. OTTER CAMEL: Administrator from Lameys Enters Firm -------------------------------------------------- Name: THE OTTER CAMEL COMPANY LIMITED (Company No 05067108) Nature of Business: Management of Public House Registered Office of Company: The Barn, Warren Court, 114 High Street, Stevenage, Hertfordshire SG1 3DW Date of Appointment: 12 August 2005 Administrator's Name and Address: Michelle Anne Weir (IP No 9107), Lameys Business Recovery, One Courtenay Park, Newton Abbot, Devon TQ12 2HD CONTACT: LAMEYS 1 Courtenay Park Newton Abbot Devon TQ12 2HD Phone: 01626 366117 Fax: 01626 201196 E-mail: enquiries@lameys.co.uk PLANESTATION GROUP: Infratil to Take over Kent Airport ------------------------------------------------------ New Zealand-based Infratil Limited has agreed to buy the Kent International airport for GBP17 million, said the Financial Times. This came after the airport's owner Planestation Group plc fell into administration due to continuing losses. Planestation's budget airline subsidiary EUJet also collapsed after bankers refused to inject additional funding into the unit. Infratil said the takeover was due to be completed last week "upon receipt of final title searches," according to The Herald in another report. David Newman, Infratil's chairman, said: "While the airport has, for a short period, been in administration following the failure of Planestation, we believe that it has strong prospects as a freight airport servicing the south of England." He added that the Kent airport fits well with its current European airport, Glasgow Prestwick. Steven Fitzgerald, chief executive of Infratil Airports Europe, will reportedly manage it. Earlier, Planestation administrators declared 127 employees redundant, and canceled all flights at Kent. EUjet closed operation, leaving some 5,400 passengers stranded, and with more than 90,000 flights booked for the coming weeks. Planestation has raised GBP82 million in three equity fund raising for the past 18 months. Its finance director and a board member stepped down in March. CONTACT: PLANESTATION GROUP PLC 5 Berkeley Sq., Mayfair London W1J 5AB, United Kingdom Phone: +44-20-7495-8686 Fax: +44-20-7493-0189 Web site: http://www.planestation.com Contact: Richard Keith Bingham, CEO Martin May, COO PRESTON & DUCKWORTH: Administrators Dispose of Several Stores ------------------------------------------------------------- Majority of the stores of Preston & Duckworth Limited have been individually sold, said Creditman. This came after PKF administrators Kerry Bailey and Jon Newell, who were appointed in June, failed to sell the jewelry chain as a whole. Mr. Bailey said: "We had hoped to achieve a going concern sale for the business as a whole; however in the current retail climate potential buyers are understandably reluctant to take such a risk. The creditors are our main priority and we are working extremely hard to find the best solution for all of them." The company's Windsor store has been sold to Berry's the Jewellers of Leeds, while its outlet in Bury St. Edmunds has been acquired by Norwich retailer Saleem Chaudrey. The takeover of the Bolton business will be completed end of the month as well as the freehold property at Bolton, which was bought by a local businessman for GBP1 million. The disposal of the Guildford store to a local jewelry retailer is expected to be finished by September, while a sale has been agreed for the Ipswich store. Last month, the Watch Gallery store in London was shut down after no buyer came forward to purchase the business. The company has returned around GBP1 million to suppliers, while the amount of dividend and the distribution date to creditors have not yet been confirmed. Creditors will have their meeting at the PKF office in Manchester on September 1. Since its establishment in 1869, Preston & Duckworth has been offering fine quality jewelry, watches, gifts and services. Its crisis was reportedly due to the slump in the high street, which affected sales and trading conditions. Mr. Bailey added: "Retail businesses like Preston & Duckworth are facing very tough trading conditions as interest rates and the housing market continue to make consumers think twice about spending. The weak retail sales figures we witnessed early in the year have continued into the summer and retailers are fast losing confidence." CONTACT: PRESTON & DUCKWORTH LIMITED 129 Fulham Road London SW3 6RT Phone: 020 7581 3239 Fax: 020 7584 6497 PKF Sovereign House, Queen Street, Manchester M2 5HR Phone: 0161 8325481 Fax: 0161 8323849 E-mail: info.manchester@uk.pkf.com Web site: http://www.pkf.co.uk RENTOKIL INITIAL: To Sell Initial Style Conferences --------------------------------------------------- Following the review by the new Chief Executive, Doug Flynn, of Rentokil Initial plc's businesses, the Board has decided to dispose of Initial Style Conferences, subject to achieving satisfactory value through a sale process. Style Conferences is the market leader in the provision of training and conferencing venues in the U.K. It was acquired as part of the BET group of businesses in 1996 and has always been operated on a standalone basis. Style Conferences has good profitability, high quality clients, strong management and an attractive asset base founded upon freehold ownership of 21 of the 29 centers that it operates. However, its business characteristics are substantially different from other businesses within the Group. The Board, therefore, believes that there may be alternative owners for whom Style Conferences would be a better fit. For reasons determined by Rule 21.1 of the City Code on Takeovers and Mergers, a sale of Style Conferences, if agreed, may be subject to approval by Rentokil Initial shareholders in general meeting. Greenhill & Co. International LLP, which is regulated by the Financial Services Authority, is acting for Rentokil Initial plc in connection with its potential divestiture of Initial Style Conferences Limited and for no one else and will not be responsible to anyone other than Rentokil Initial for providing the protections afforded to customers of Greenhill & Co. nor for providing advice in relation to this potential transaction. * * * Rentokil's restructuring took effect in June and the new New Rentokil Initial shares were admitted to the Official List and to trading on the London Stock Exchange's market for listed securities at that time. In May, non-executive chairman Brian McGowan, said: "In trading terms, the year has started off largely as expected, with a deterioration in profits compared with the first four months of 2004. This was due to the full effect of the significant increases in the investment in sales, marketing, service, I.T. and H.R., which were progressively fed in from May 2004 as well as the ongoing challenges of a difficult, price competitive market place. These trends are likely to continue into the second half." CONTACT: RENTOKIL INITIAL PLC Felcourt East Grinstead West Sussex RH19 2JY Phone: +44-1342-833-022 Fax: +44-1342-326-229 E-mail: pr@rentokil-initial.co.uk Web site: http://www.rentokil-initial.com RENTOKIL INITIAL: Profit Down 40.3% to GBP93.2 Million ------------------------------------------------------ Financial Overview - Continuing Operations (a) turnover up 3.2% to GBP1,167.2 million; (b) operating income down 33.0% to GBP119.2 million; (c) profit before tax down 40.3% to GBP93.2 million; (d) earnings per share down 41.3% to 3.66 pence; (e) interim dividend per share up 10.4% to 2.13 pence; (f) investments in service showing some improvements in contract retention; (g) contract portfolio increased by an annualized GBP63.3 million; (h) improvements in rates of turnover growth and decline in operating income (before central items); (i) one-off costs impact central items; (j) exceptional impairment charge of GBP28.0 million in respect of U.K. textiles and garments; and (k) strong free cash flow at GBP94.4 million, representing 103% of post cash-tax profit before exceptionals and amortization of customer lists. Comprehensive Business Review (a) focus on businesses with potential to create most shareholder value and where profitable growth can be sustained; (b) group has solid platform for recovery based on market positions that remain strong: (i) a leader in European Pest Control; (ii) a leader in European washrooms & textiles; and (iii) an outperformer in U.K. Electronic Security and Cleaning; (c) actions for recovery and growth identified and underway; (d) group being reorganized around global business divisions with clear accountability and leadership; and (e) disposal of Initial Style Conferences initiated. Doug Flynn, Chief Executive, said: "When I joined the company less than five months ago I initiated a comprehensive review of the Group. We believe we know what the issues are and the necessary actions to achieve a turnaround have commenced. Throughout everything we have done, we have been open minded on how to deliver shareholder value. We have a great opportunity to revive this business and I intend to take it." Brian McGowan, Chairman, said: "The programs we are implementing will provide real and lasting improvements in operational and financial performance and thereby generate the value inherent in the Company which rightly and fully belongs to its current shareholders." A copy of the financial results is available free of charge at http://bankrupt.com/misc/RentokilInitial(H12005).pdf. CONTACT: RENTOKIL INITIAL PLC Felcourt East Grinstead West Sussex RH19 2JY Phone: +44-1342-833-022 Fax: +44-1342-326-229 E-mail: pr@rentokil-initial.co.uk Web site: http://www.rentokil-initial.com SAF FOODS: Court Approves Liquidation ------------------------------------- Company Name: SAF FOODS (U.K.) LTD. Frigoscandia Distribution, Temple Mill Lane, High Meads, Stratford, London, E15 2EW Phone: 020 8503 1010 Registration Number: 04574205 Court: High Court of Justice Date of Filing Petition: 21st April 2005 No. of Matter: 002607 of 2005 Date of Winding-up Order: August 10, 2005 CONTACT: Official Receiver 21 Bloomsbury Street, London, WC1B 3SS Phone: 020 7637 1110 Fax: 020 7637 6390 SPEYMILL GROUP: Square Mile Buys Further 200,000 Shares ------------------------------------------------------- Speymill Group plc has received a notice of subscription from Square Mile Limited, in accordance with the 'B' Warrant Instrument entered into between the Company and Square Mile Limited on 6th July 2004, to subscribe for a further 200,000 ordinary shares in the Company. The Company will make application for the 200,000 new ordinary shares to be admitted to trading on AIM. * * * The Speymill Group plc (formerly known as Wigmore Group plc) serves as contractors to the hotel and leisure industries. In June, Chairman Paul Doona said: "The year to December 2004 was a very poor one for the Group resulting in a loss after tax of GBP6.71 million (2003: loss GBP0.36 million) which comprised pre-exceptional losses of GBP2.28 million (2003: loss GBP0.36 million) and exceptional costs of GBP4.43 million (2003: GBPnil). "The figures reflect an appalling year for the Group and root and branch restructuring has been necessary since the financial rescue by our majority shareholder Burnbrae. I am, however, confident that the Group is now on a firm financial footing and that the long tried patience of our shareholders will ultimately be rewarded." CONTACT: THE SPEYMILL GROUP PLC (THE WIGMORE GROUP PLC) Arundel House, Amberley Ct., County Oak Way Crawley, West Sussex RH11 7XL United Kingdom Phone: +44-845-070-1200 Fax: +44-845-070-2300 Web site: http://www.wigmoregroup.com Paul Doona Executive Chairman Phone: 01624 698131 Tim Blackstone Britton Financial PR Phone: 0207 251 2544 Jonathan Naess Nabarro Wells & Co Ltd. Phone: 0207 710 7400 SPIROTECH ENGINEERING: Court Sanctions Liquidation -------------------------------------------------- Company Name: SPIROTECH ENGINEERING GROUP LIMITED Unit 15, Station Road, St. Ives, Huntingdon, Cambs, PE17 4BH Phone: +44 (01487) 833212 Fax: +44 (01487) 833255 Web site: http://www.spirotech.co.uk Court: Leeds District Registry Date of Filing Petition: February 8, 2005 No. of Matter: 141 of 2005 Date of Winding-up Order: August 11, 2005 CONTACT: Official Receiver 2nd Floor, Abbeygate House, 164-167 East Road, Cambridge, CB1 1DB Phone: 01223 324480 Fax: 01223 445310 * * * Established in 1975, Spirotech has gained a reputation for high quality stainless and carbon steel screw conveyors. The group supplies segments, screws as well as bucket elevators, conveyor belts and dewatering systems. U.K. COAL: U.S. Investor Boosts Stake to 3.3% --------------------------------------------- U.K. Coal plc has reportedly sold further 400,000 shares to a fund managed by U.S.-based investor Wilbur Ross. According to Reuters, Mr. Ross, through W.L. Ross & Co. LLC, now holds a 3.3% stake or 4.9 million shares in the British mining company. Mr. Ross is famous for rescuing troubled steel, textile and financial companies through acquisitions. His fund started buying shares in U.K. Coal in June. However, he stressed that he has no immediate plans of taking over or imposing on how the company should be run. The transaction was just "friendly," which involved around GBP8.3 million or US$15 million, according to Mr. Ross. He said: "We think there is value there. It seems to be a company that is turning itself around. And a lot of coal mining properties that have played out appear to have some value as real estate. He added that his investment was not hostile, reiterating that they have "no concrete plans about anything else right now." CONTACT: U.K. COAL PLC Harworth Park, Blyth Rd. Harworth, Doncaster South Yorkshire DN11 8DB, United Kingdom Phone: +44-1302-751751 Fax: +44-1302-752420 Web site: http://www.ukcoal.com Inquiries Gavin Anderson Phone: 020 7554 1400 ********* 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, Liv Arcipe, Julybien Atadero and Jay Malaga, Editors. Copyright 2005. 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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