/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/050909.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 Friday, September 9, 2005, Vol. 6, No. 179 Headlines B U L G A R I A KARAT BULGARIA: Parent Decides to Liquidate Loss-making Unit C Z E C H R E P U B L I C UNION BANKA: Creditor Backs up Former Receiver F R A N C E EMBALLAGES MIXTES: Court Okays Sale to Green Recovery G E R M A N Y AURELIUM TREUHANDGESELLSCHAFT: Under Bankruptcy Administration BENEDIK GMBH: Proofs of Claim Due Next Month B.E.W.A. GRUNDSTUECKSENTWICKLUNGS: Appoints HWW Administrator C.S. MANAGEMENT: Declares Bankruptcy DEVIN FLEISCHWAREN: Calls in Administrator from PKL DIAMONDS CLUB: Creditors Meeting Set October DIETER SCHNEIDER: Court to Verify Claims November E LINE: Court Names Dr. Junker & Kollegen Administrator HOKUS POKUS: Charlottenburg Court to Verify Claims December KARSTADTQUELLE AG: Reopens Alsterhaus Jewelry House KXX KZWANZIG: Creditors' Claims Due October MARSEILLE-KLINIKEN: Subsidiary Wins Lease Case vs. Local Govt NETZLAND TELEKOMMUNIKATION: Succumbs to Bankruptcy PROSIEBENSAT.1 MEDIA: Springer Bares Offer for Preference Shares ROWA SERVICE: Muenchen Company Goes Bust WCM GROUP: Settles Legal Dispute with REBON G R E E C E OLYMPIC AIRLINES: Revenues in First Seven Months Soar by 14% OLYMPIC AIRLINES: Maryland Airport Courting Carrier to its Lair I T A L Y FIAT SPA: CNH Board Appoints Permanent CEO PARMALAT FINANZIARIA: Losses in Brazil Swell K Y R G Y Z S T A N DELTA+ FREE: Creditors' Claims Due Late October FIRMA BARCHYN: Gives Creditors Until Next Month to File Claims N E T H E R L A N D S ROYAL SHELL: Only 4.051 Billion 'A' Shares Remain R U S S I A ARSENAL: Hires B. Govorov Insolvency Manager BUY-GRAIN-PRODUCT: Declared Insolvent CONTI-SUGAR: Claims Filing Period Ends Next Month GEPHES: Bankruptcy Proceedings Begin KALMANSKIY DAIRY: Succumbs to Bankruptcy KHAROVSKAYA: Insolvency Manager Takes over Business ONEZHSKOYE MILK: Bankruptcy Supervision Procedure Begins PROM-STROY-MECHANIZATION: Creditors Opt for Liquidation SIB-WOOD-TRANS: Court Brings in Insolvency Manager STROY-WOOD: Bankruptcy Hearing Set Next Month S W I T Z E R L A N D STMICROELECTRONICS N.V.: Names New VPs for North America, Japan T U R K E Y TURKIYE IS BANKASI: Fitch Upgrades Rating to 'BB' U K R A I N E BAHMACH AGROTECHKONCERN: Liquidator Takes over Helm BALAKLIYAPROMGEOFIZIKA: Bankruptcy Supervision Starts BALTIKA-GROUP: Creditors' Claims Due Next Week HARKIV' ENERGY-REPAIR: Goes into Liquidation KVANTOR: Court Appoints Insolvency Manager OJSC DNIPROENERGO: Executives Sued for Violating Dividend Policy OLEKSANDRIVSKIJ RAJAGROHIM: Declared Insolvent PEREMOGA: Under Bankruptcy Supervision U N I T E D K I N G D O M ABBEY GARAGE: Files for Liquidation A J FOSTER-LAURICHE: EGM Passes Winding-up Resolutions AMAN METAL: Names Grant Thornton Liquidator A & P PRINT: Hires Administrator from Andrew Michaels & Co. BAE SYSTEMS: Operating Profit Improves to GBP488 Million CITY WHARF: Mortgage Broker Winds up COMPASS GROUP: Hires CEO for International Operations COROFAB CONTAINERS: Calls in Liquidators CORPACH PAPER: French Parent Shuts down Site CYBER EMBRYONIC: Software Developer Calls in Administrator DORLUX BEDS: Calls First Creditors Meeting ECOQUIP LIMITED: Creditors to Meet Next Week E WALTERS: Clothier Hires Administrator from KPMG GALLAHER GROUP: Half-year Profit Down 4% to GBP225 Million HYDRA PLC: Administrators from Fisher Partner Enter Firm ITTRIUM EVENTS: Names Smith & Williamson Liquidator J FISHWICK: Creditors Meeting Set Last Week of September LABORE OPTIMA: Goes into Liquidation MSD DISTRIBUTION: Calls in Administrators from Begbies Traynor NEW NETWORKS: Files for Liquidation OXFORD CONSOLES: Creditors Meeting Set Next Week PANELELITE LIMITED: Hires Liquidator from Tomlinsons PHOENIX CONSULTANTS: Creditors Meeting Set Next Week PINE TO GO: Liquidators from Blades Enter Firm PINEWOOD SHEPPERTON: Blames Tax Uncertainty for Troubles POULSON ENTERPRISES: Administrator Takes over Business R&R TECHNOLOGIES: Appoints Administrators from Vantis Numerica STANSFIELD TRANSPORT: Administrators Move in TEKNEK ELECTRONICS: SDI Wants Liquidator Out U.K. COAL: Agrees to Meet Members of Bidding Consortium U.K. COAL: Half-year Loss Balloons to GBP30.6 Million UK LEARNING: Files for Winding-up W.K. SHARRATT: EGM Passes Winding-up Resolution ********* =============== B U L G A R I A =============== KARAT BULGARIA: Parent Decides to Liquidate Loss-making Unit ------------------------------------------------------------ Baked goods group Karat Bulgaria has gone into liquidation, local daily Dnevnik a.m. says. Greek parent, Elbisco, initiated the liquidation to streamline its foreign operations. It expects the procedure to conclude by year's end. Insiders say Karat has been loss-making and its closure would slash group cost and boost sales. In other news, Elbisco struck a partnership with Inco Foods, allowing the latter to market its products in Bulgaria. CONTACT: KARAT BULGARIA LTD. ulica James Baucher 114 A 1407 Sofia ELBISCO HOLDING S.A. 23 Kolokotroni and Mykonou Str. 145 62 Kifissia Phone: +30 210-6281200 Fax: +30 210-6233050 E-mail: elbisco@palace.gr Web site: http://www.elbisco.gr =========================== C Z E C H R E P U B L I C =========================== UNION BANKA: Creditor Backs up Former Receiver ---------------------------------------------- Former Union Banka (UB) receiver Michaela Huserova gained support from the bank's largest creditor, The Deposit Insurance Fund (FPV). According to daily Pravo, FPV, which has already received CZK2.5 billion of its CZK12.5 billion claim, disagrees with the Olomouc High Court's decision and reason for removing Ms. Huserova. In a letter sent to Justice Minister Pavel Nemec, FPV said, "The Fund cannot identify itself with such reason for dismissal because it knows that there had not been such wrongdoing by the receiver." FPV defended Ms. Huserova's actions, saying Czech laws do not explicitly order receivers to draft a list of assets in the bankruptcy file nor it set any deadline or form for such list. Ms. Huserova confirmed she created a list of asset immediately after UB declared bankruptcy in May 2003 and made partial lists. FPV likewise dismissed the statement that Ms. Huserova sold UB's assets secretly. "The creditor committee and the court have been informed in this bankruptcy proceedings about each individual sale of property," it said. The High Court removed Ms. Huserova for selling properties not included on UB's list of bankruptcy assets, replacing her with Lukas Raida. Ms. Huserova appealed her removal to the Supreme Court Friday. CONTACT: UNION BANKA a.s. Ul. 30 Dubna c. 35 70200 Ostrava Phone: 596108111 Fax: 596120134 E-mail: union@union.cz Web site: http://www.union.cz =========== F R A N C E =========== EMBALLAGES MIXTES: Court Okays Sale to Green Recovery ----------------------------------------------------- A court has approved the takeover of collapsed tableware manufacturer Emballages Mixtes et Plastiques (EMP) by restructuring specialist Green Recovery, Les Echos says. Green Recovery promises to absorb 109 of 140 employees, modernize EMP's production plant, and boost exports and business through major retailers. EMP, now known as Tifany Industrie, filed for insolvency in April last year, recording turnover of EUR39 million, according to the paper. Management expects turnover of EUR23 million in the next 12 months. Green Recovery plans to invest EUR1 million in equipment and hire an additional 15 people in the next two years to boost productivity. EMP is best known for its Tifany disposable tableware brand. Meanwhile, management will appeal the approval of the sale to Green Recovery. The management wants the sale suspended because it has already raised the needed amount -- EUR3 million -- to ensure EMP's continuation and retain all jobs at the group. CONTACT: EMBALLAGES MIXTES ET PLASTIQUES 20 bd du comte de montalembert-bp 9 59650 Villeneuve D Ascq Phone: +33 320 056 767 Fax: +33 320 056 765 ============= G E R M A N Y ============= AURELIUM TREUHANDGESELLSCHAFT: Under Bankruptcy Administration -------------------------------------------------------------- The district court of Hamburg opened bankruptcy proceedings against Aurelium Treuhandgesellschaft mbH on August 15. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until October 10, 2005 to register their claims with court-appointed provisional administrators Georg Henningsmeier and Ulrich Rosenkranz. Creditors and other interested parties are encouraged to attend the meeting on November 4, 2005, 9:00 a.m. at the district court of Hamburg, Insolvenzgericht, Weidestrasse 122d, 22083 Hamburg, Saal 1, 2. Ebene (Zi. 2.18), 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: AURELIUM TREUHANDGESELLSCHAFT mbH Waisenhausdamm 8-11, 38100 Braunschweig Contact: Andreas Boom, Manager Georg Henningsmeier, Administrator Ulrich Rosenkranz, Administrator Osdorfer Landstrasse 230, 22549 Hamburg Phone: 8078810 Fax: 80788120 BENEDIK GMBH: Proofs of Claim Due Next Month -------------------------------------------- The district court of Aachen opened bankruptcy proceedings against Benedik GmbH on August 19. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until October 7, 2005 to register their claims with court-appointed provisional administrator Heinrich C. Friedhoff. Creditors and other interested parties are encouraged to attend the meeting on November 21, 2005, 9:45 a.m. at the district court of Aachen, Nebenstelle Augustastrasse, Augustastrasse 78/80, 52070 Aachen, I. Etage, Saal 14, 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: BENEDIK GmbH Auguste Renoir Str. 56, 52499 Baesweiler Contact: Geert and Jack Benedik, Managers Lijsterstraat 30, B-3620 Lanaken Heinrich C. Friedhoff, Administrator Viktoriastrasse 73-75, 52066 Aachen Phone: 0241/9491915 Fax: 0241/9491919 B.E.W.A. GRUNDSTUECKSENTWICKLUNGS: Appoints HWW Administrator ------------------------------------------------------------- The district court of Dresden opened bankruptcy proceedings against B.E.W.A. Grundstuecksentwicklungs GmbH i.L. on August 10. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 13, 2005 to register their claims with court-appointed provisional administrator Henning Schorisch. Creditors and other interested parties are encouraged to attend the meeting on October 26, 2005 at the district court of Dresden, Saal D132, Olbrichtplatz 1, 01099 Dresden, 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: B.E.W.A. GRUNDSTUECKSENTWICKLUNGS GmbH i.L. c/o Daniela Kantor Objektbetreuung & Controlling Bachstrasse 23a in 85229 Markt Indersdorf Contact: Wolfgang Kassler Jr. Henning Schorisch, Administrator HWW Wienberg Wilhlem Wasastrasse 15, 01219 Dresden Web site: http://www.hww-kanzlei.de C.S. MANAGEMENT: Declares Bankruptcy ------------------------------------ The district court of Hamburg opened bankruptcy proceedings against C.S. Management GmbH on August 15. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 28, 2005 to register their claims with court-appointed provisional administrators Georg Henningsmeier and Dr. Sven-Holger Undritz. Creditors and other interested parties are encouraged to attend the meeting on October 28, 2005, 11:20 a.m. at the district court of Hamburg, Insolvenzgericht, Weidestrasse 122d, 22083 Hamburg, Saal 1, 2. Ebene (Zi. 2.18), 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: C.S. MANAGEMENT GmbH Martin-Behaim-Strasse 2, 63236 Neu-Isenburg Contact: Christian Schlesiger, Manager Georg Henningsmeier, Administrator Osdorfer Landstrasse 230, 22549 Hamburg Dr. Sven-Holger Undritz, Administrator Jungfernstieg 51, 20354 Hamburg Phone: 808136-212 Fax: 808136-119 DEVIN FLEISCHWAREN: Calls in Administrator from PKL --------------------------------------------------- The district court of Dresden opened bankruptcy proceedings against Devin Fleischwaren Produktion und Grosshandels GmbH on August 11. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 21, 2005 to register their claims with court-appointed provisional administrator Jorg Spies. Creditors and other interested parties are encouraged to attend the meeting on November 2, 2005 at the district court of Dresden, Saal D132, Olbrichtplatz 1, 01099 Dresden, 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: DEVIN FLEISCHWAREN PRODUKTION UND GROSSHANDELS GmbH Karlsruher Str. 142 in 01189 Dresden Jorg Spies, Administrator PKL Rechtsanwalte Keller Spies Partnerschaft Lockwitzer Str. 17, 01219 Dresden Web site: http://www.pkl.com DIAMONDS CLUB: Creditors Meeting Set October -------------------------------------------- The district court of Muenchen opened bankruptcy proceedings against Diamonds Club GmbH on August 8. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 23, 2005 to register their claims with court-appointed provisional administrator Dr. Hans-Ulrich Tittel. Creditors and other interested parties are encouraged to attend the meeting on October 19, 2005, 9:00 a.m. at the district court of Muenchen, Infanteriestr. 5, Sitzungssaal 102, 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: DIAMONDS CLUB GmbH Levelingstr. 17 in 81673 Muenchen Dr. Hans-Ulrich Tittel, Administrator Elsenheimerstr. 61, 80687 Muenchen Phone: 089/5472750 Fax: 089/54729018 DIETER SCHNEIDER: Court to Verify Claims November ------------------------------------------------- The district court of Muenchen opened bankruptcy proceedings against Dieter Schneider GmbH on August 5. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until October 1, 2005 to register their claims with court-appointed provisional administrator Hanns Pollmann. Creditors and other interested parties are encouraged to attend the meeting on November 15, 2005, 9:00 a.m. at the district court of Muenchen, Infanteriestr. 5, Sitzungssaal 102, 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: DIETER SCHNEIDER GmbH Wendelsteinstr. 19 in 85622 Feldkirchen Hanns Pollmann, Administrator Prannerstr. 11, 80333 Muenchen Phone: 089/33008090 Fax: 089/330080999 E LINE: Court Names Dr. Junker & Kollegen Administrator ------------------------------------------------------- The district court of Chemnitz opened bankruptcy proceedings against E LINE -- Elektro-Electronic GmbH on August 16. 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 Dr. Christoph Junker. Creditors and other interested parties are encouraged to attend the meeting on October 18, 2005, 12:00 p.m. at the district court of Chemnitz, Saal 24, im Gerichtsgebaude, Fuerstenstrasse 21, Chemnitz, 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: E LINE -- ELEKTRO-ELECTRONIC GMBH Kastanienring 1, 09661 Hainichen Contact: Wolfgang Konig, Manager Dr. Christoph Junker, Administrator Dr. Junker & Kollegen Karcherallee 25a, 01277 Dresden Web site: http://www.junker-kollegen.de HOKUS POKUS: Charlottenburg Court to Verify Claims December ----------------------------------------------------------- The district court of Charlottenburg opened bankruptcy proceedings against Hokus Pokus Sportgaststatten Betriebs GmbH on August 16. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until November 10, 2005 to register their claims with court-appointed provisional administrator Udo Feser. Creditors and other interested parties are encouraged to attend the meeting on October 5, 2005, 10:30 a.m. at the district court of Charlottenburg, 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 21, 2005, 10:50 a.m. at the same venue. CONTACT: HOKUS POKUS SPORTGASTSTATTEN BETRIEBS GmbH Grossbeerenstr. 34-40,12107 Berlin Udo Feser, Administrator Uhlandstr. 165/166, 10719 Berlin KARSTADTQUELLE AG: Reopens Alsterhaus Jewelry House --------------------------------------------------- The KarstadtQuelle Group, Essen, has invested around EUR35 million in the reconstruction and realignment of its traditional Hamburg shopping jewel -- the Alsterhaus. After a two-year reconstruction period, the new Alsterhaus is opening its doors on September 7, 2005, enticing shoppers to an experience on Hamburg' s most prominent shopping boulevard. "This new Alsterhaus is a significant component in the strategic realignment of our department store business," stated Dr. Thomas Middelhoff, Chairman of the KarstadtQuelle AG, on the occasion of the opening of the house. At the same time, speaking of the realignment process in the KarstadtQuelle Group Department Store segment, he emphasized, "Our focus on the large department stores is already showing signs of success. The department store is developing positively and is fully on schedule." The new Alsterhaus is the epitome of international brands, top culinary enjoyment and an exclusive buying experience. "With this top-quality alignment, the Alsterhaus has positioned itself in the same league as Harrods in London, Galeries Lafayette in Paris or our Kaufhaus des Westens in Berlin," continued Middelhoff. The unique connection of the historical building and the modern interior design makes the store with its tradition stretching back over 100 years an unmistakable department store with a unique shopping experience, not just in Hamburg, but in the whole of Germany as well. From an architectural viewpoint, the redesign of the Jungfernstieg fa�ade is particularly striking. Opening up the facade right up to the first sales floor gives the Alsterhaus more transparency, providing the whole of the building with more openness. The new interior design meets the highest standards. On sales space of more than 22,000 square meters, the focus is on fashion, fragrances, fashion accessories, living and food and drink. The up-market range, strong international brands and the fascinating presentation underline the exclusive positioning of the store. CONTACT: KARSTADTQUELLE AG Theodor-Althoff-Str. 2 D-45133 Essen Phone: +49-201-727-1 Fax: +49-201-727-5216 Web site: http://www.karstadtquelle.com Corporate Communications Jorg Howe Phone: + 49 (0)201/727-25 38 Fax: + 49 (0)201/727-37 09 E-mail: joerg.howe@karstadtquelle.com KXX KZWANZIG: Creditors' Claims Due October ------------------------------------------- The district court of Bonn opened bankruptcy proceedings against KXX Kzwanzig GmbH on August 18. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until October 14, 2005 to register their claims with court-appointed provisional administrator Thomas Steger. Creditors and other interested parties are encouraged to attend the meeting on November 17, 2005, 9:00 a.m. at the district court of Bonn, Insolvenzgericht-, Wilhelmstrasse 21, 53111 Bonn, 1. Stock, Saal W126, 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: KXX KZWANZIG GmbH Am Turm 40, 53721 Siegburg Contact: Ingeborg Schnitzler, Manager Oberdorsterstr. 46, 53819 Neunkirchen-Seelscheid Thomas Steger, Administrator Kolnstrasse 135, 53757 Sankt Augustin Phone: 02241/90600 Fax: 02241/21048 MARSEILLE-KLINIKEN: Subsidiary Wins Lease Case vs. Local Govt ------------------------------------------------------------- The Senioren-Wohnpark in Neuruppin, a subsidiary company of the Marseille-Kliniken AG, has achieved a clear victory in the second instance against the district of Ostprignitz-Ruppin in the Higher Regional Court of Brandenburg. The case relates to the payment of rent arrears totaling EUR4.563 million. Instead of paying the sum being claimed, the Senioren-Wohnpark has to pay arrears of only EUR510,409.69, over a quarter of a million less than adjudicated in the first instance. This corresponds to only 11% of the amount originally claimed by the district authorities. Thus, the court has largely agreed with the Senioren-Wohnparks' legal viewpoint that following changes in the basis of a legal contract, the financial risks have to be borne by the party, which has caused these changes. Since an appeal was not granted, the verdict thereby brings to a conclusion a politically motivated court case by the District Administrator, Christian Gilde (SPD), which lasted several years. Dr. Hans-Peter Ensenbach, who represented the company in the dispute, which spanned more than five years, explained: "We're very satisfied with the verdict. For the state the decision is a disaster because it will have to cover 89% of the legal costs. That's at least EUR320,000. So considerably more than half of the amount it has been awarded will go into the court's coffers, and therefore back into the state. What a waste of taxpayers' money! It would have been possible to avoid any court case if the district authorities had simply listened to the experts' advice. For them, it was a straightforward matter." Background On 26 August 1996, the Brandenburg state investment bank (ILB) granted the district authorities retrospective funding of DEM14.778 million for the development (90% of 125 places under medical care and 40% of 20 assisted living places, whereby the district had to fund the remaining 60%) as well as a repayable grant for the construction costs amounting to DEM3.4 million marks. The district then transferred the rent back, which had been paid by the Senioren-Wohnpark. On 27 February 1998, however, the district authority once again paid the funding to the ILB. On 21 November 2001, the funding was once again granted, this time for EUR7.291 million. All administrative decisions had unanimously declared that from the time of the first notification, the facility was fully funded. For the Senioren-Wohnpark in Neuruppin this meant that its residents no longer had to pay any rent for hospital and nursing charges. Nevertheless, for the period between Jan. 1, 1997 and Dec. 31, 2001 the district authorities demanded rent arrears totaling EUR4.563 million. The court has now made it clear that the district authorities may not expect the facility to pay twice. It is not the first time that the District Administrator, Gilde, has lost a court case against the Senioren-Wohnpark with unreasonable demands. In the 1990's, Gilde demanded full rent from the Senioren-Wohnpark with the threat of terminating the contract, even though rent based on occupancy had been agreed. Initially, the Senioren-Wohnpark made the payments but then claimed reimbursement -- and won. * * * In March, Standard & Poor's Ratings Services revised its outlook on Marseille-Kliniken AG to negative from stable, following a weakening of the group's capital base. The 'BB-' long-term corporate credit rating was affirmed. CONTACT: Matthias Soyka Company spokesperson Phone: 040 5145 9309 0171 8377945 NETZLAND TELEKOMMUNIKATION: Succumbs to Bankruptcy -------------------------------------------------- The district court of Nuernberg opened bankruptcy proceedings against Netzland Telekommunikation GmbH on August 16. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until October 3, 2005 to register their claims with court-appointed provisional administrator Dr. Hubert Ampferl. Creditors and other interested parties are encouraged to attend the meeting on November 9, 2005, 9:45 a.m. at the district court of Nuernberg, Flaschenhofstr. 35, Sitzungssaal 152/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: NETZLAND TELEKOMMUNIKATION GmbH Duisburger Strasse 44, 90451 Nuernberg Dr. Hubert Ampferl, Administrator Stahlstrasse 17, 90411 Nuernberg Phone: 0911/951285-0 PROSIEBENSAT.1 MEDIA: Springer Bares Offer for Preference Shares ---------------------------------------------------------------- Axel Springer Verlag is next targeting the preference shares of television group ProSiebenSat.1 Media, Die Welt says. Its EUR14.11 offer for each preference share follows its acquisition of the 50.5% stake held by a group of U.S. investors led by Haim Saban for EUR2.5 billion. This deal gave Springer control of the group's 88% voting rights and allowed it to acquire all vote-carrying ordinary shares and 25% of preference shares. According to Die Welt, Springer's long-term plan includes a merger between the two groups, with the remaining shares in Prosiebensat.1 to be swapped with new Springer preference shares. The local anti-trust authority is now reviewing the plan. ProSiebenSat.1 was formed in 2000 following the merger of Germany's leading broadcasters, ProSieben Media AG and Sat.1. It is the largest and most successful television corporation with four stations -- Sat.1, ProSieben, kabel eins and N24. CONTACT: PROSIEBENSAT.1 MEDIA AG Medienallee 7 85774 Unterfohring Phone: +49 (89) 95 07-11 80 Fax: +49 (89) 95 07-11 84 AXEL SPRINGER VERLAG AG Axel-Springer-Str. 65 10888 Berlin, Germany Phone: +49-30-2591-0 Web site: http://www.asv.de ROWA SERVICE: Muenchen Company Goes Bust ---------------------------------------- The district court of Muenchen opened bankruptcy proceedings against rowa Service AG on August 5. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until September 17, 2005 to register their claims with court-appointed provisional administrator Dr. Bruno Kuebler. Creditors and other interested parties are encouraged to attend the meeting on October 20, 2005, 11:10 a.m. at the district court of Muenchen, Infanteriestr. 5, Sitzungssaal 102, 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: ROWA SERVICE AG Gebaudetechnik Gebaudemanagement Lagerstrasse 31 in 82178 Puchheim Dr. Bruno Kuebler, Administrator Konrad-Zuse-Platz 1, 81829 Muenchen Phone: 99299-0 Fax: 99299-299 WCM GROUP: Settles Legal Dispute with REBON ------------------------------------------- WCM AG announces that a settlement has been reached between REBON and WCM by common consent. In the legal dispute, REBON claimed damages of approximately EUR80 million from WCM relating to the "realization of IVG shares on the part of the SIRIUS GmbH bankruptcy administrator". In the first instance the REBON action against WCM was rejected in full. REBON then appealed to the Frankfurt Higher Regional Court. As part of the settlement, WCM undertook to transfer to REBON stakes in a third company valued at a medium single-digit amount in millions of euro. Furthermore, REBON has been granted the option to buy further stakes from WCM in the third company at market value, at a further medium single-digit amount in millions. The implementation of the settlement depends on REBON meeting certain requirements. Their fulfillment is expected in the short term. About the Company Headquartered in Frankfurt, Germany, WCM was founded in 1766 as a textile company, but has since then transformed into a real estate investment group. Its fortunes slumped dramatically in 2003 when it reported an EUR861 million loss after being forced to write down the value of many of its shareholdings amidst a slump in the stock market. It is now trying to pay debt and sell assets. CONTACT: WCM BETEILIGUNGS- UND GRUNDBESITZ-AKTIENGESELLSCHAFT Opernplatz 2 60313 Frankfurt Phone: +49 (0) 69 90026-0 Fax: +49 (0) 69 90026-110 E-mail: info@wcm.de Web site: http://www.wcm.de =========== G R E E C E =========== OLYMPIC AIRLINES: Revenues in First Seven Months Soar by 14% ------------------------------------------------------------ Ailing national carrier Olympic Airlines delivered a better operating performance in the first seven months of the year, posting a 14% hike in revenues, Reuters says. January-July revenues rose from EUR260.5 million in 2004 to around EUR298.6 million, mainly due to a 3.4% spike in passenger traffic. Average load factor rose by seven percentage points to 69%; this, despite operating only 40 planes, compared to 44 last year. In all, the airline carried 3.4 million passengers during the period. In other news, the European Union will wrap up on September 14 its probe into the illegal state aid allegedly extended to the airline by the previous Socialist government. Government spokesman, Theodoros Roussopoulos, said Monday, "We are awaiting that decision. We will then see what the repercussions will be on the privatization process." The government recently signed a preliminary agreement with Olympic Investors and its U.S. partner York Capital on the sale of its stake in the airline. The government wants to raise EUR1.6 billion from the sale of Olympic and other state assets to reduce public debt, which is 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 OLYMPIC AIRLINES: Maryland Airport Courting Carrier to its Lair --------------------------------------------------------------- State officials in Baltimore are wooing national carrier Olympic Airlines to expand its operations to Baltimore-Washington International Airport (BWI), Baltimore Business Journal says. According to sources privy to the matter, BWI is expanding its international flight service and is currently looking for carriers willing to fly out of the airport. Maryland Aviation Administration Spokesman Jonathan Dean confirmed this, adding airport officials are working "very aggressively" on landing new international business and "any number of international destinations are a priority for BWI." Targeting Olympic Airlines matches the effort by the state government to attract Greek tourists to Maryland. According to the paper, Baltimore has a strong Greek connection, as evidenced by a flourishing Greek-American community. The city has a Greektown, a Greek-Orthodox church, and prominent businessmen of Greek descent like Baltimore Orioles owner Peter Angelos and Maryland economic development chief Aris Melissaratos. Greece recently signed a preliminary agreement to sell Olympic Airlines to a Greek-American consortium. Unions, however, oppose the sale, believing it will lead to the carrier's shutdown. 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 BALTIMORE-WASHINGTON INTERNATIONAL AIRPORT P.O. Box 8766 B.W.I. Airport Web site: http://www.bwiairport.com ========= I T A L Y ========= FIAT SPA: CNH Board Appoints Permanent CEO ------------------------------------------ The Board of Directors of CNH Global N.V. confirmed Harold Boyanovsky as Chief Executive Officer. Mr. Boyanovsky was appointed interim Chief Executive Officer in February this year when Paolo Monferino left CNH to become Chief Executive Officer of Iveco. Since February, Boyanovsky has been both Chief Executive Officer as well as President of the Construction Equipment business, a position he has held since September 2002. "Over the past months, Harold Boyanovsky has demonstrated the strategic leadership and ability necessary to move the organization forward and achieve the expected efficiency and profitability improvements," said Fiat Chief Executive Officer Sergio Marchionne. "His extensive knowledge of the agricultural and construction equipment industries and of CNH will surely provide great continuity and strength to the future of the Company." About CNH CNH is one of the world's two largest makers of agricultural equipment, the other being Deere & Company. It is no. 3 maker of construction equipment behind Caterpillar and Komatsu. Its farm equipment (just about 70% of sales) includes tractors, harvesters, sprayers, and hay balers. The company also makes light-industrial and construction equipment such as include backhoes, excavators, forklifts, mini-loaders, and telescopic handlers. CNH has operations in 24 countries and sells worldwide through about 12,000 dealers and distributors. Italian carmaker Fiat controls 91% of the company. About Fiat S.p.A. Fiat S.p.A., headquartered in Turin, is one of the largest industrial groups in Italy and the fourth largest European-based automobile manufacturer, with revenues of EUR34.2 billion generated for the 9-month period as at 30 September 2004. The founding Agnelli family owns about 30% of the Company. Fiat's creditors include Banca Intesa, Banca Monte dei Paschi di Siena, Banca Nazionale del Lavoro, Capitalia, Sanpaolo IMI, and UniCredito Italiano. Status to date Creditors have accepted the conversion of Fiat's EUR3 billion convertible loan maturing in September 2005. S&P said the conversion is very favorable for Fiat's credit quality. It will wipe out EUR3 billion of financial debt at the industrial level and materially decreases the group's interest burden. In August, it revised its outlook on Italy-based automaker Fiat S.p.A. to stable from negative. At the same time, Standard & Poor's affirmed its 'BB-' long-term and 'B' short-term corporate credit ratings on the group. "The change in outlook reflects Fiat's much-improved financial flexibility and our expectation that its automotive activities will gradually recover -- although they will remain loss-making in 2005," said Standard & Poor's credit analyst Nicolas Baudouin. CONTACT: FIAT S.P.A. via Nizza, 250 - 10126 Torino Phone: +39 011 00 63088 Fax: +39 011 00 63798 E-mail: mediarelations@fiatgroup.com Web site: http://www.fiatgroup.com PARMALAT FINANZIARIA: Losses in Brazil Swell -------------------------------------------- Parmalat Finanziaria's Brazilian unit posted a record loss for the first half of 2005, Investnews Brazil says. Parmalat do Brasil's first-half net loss ballooned to BRL371.4 million from BRL135.2 million last year, despite net revenues of BRL430.8 million, which rose 76% this year. EBITDA fell to -BRL12.66 million, compared to last year's BRL43.96 million. The unit recently presented its recovery plan before the Sao Paolo court, which proposes a capital hike and a bond issue. It plans to dispose of operating assets to raise additional capital to repay part of its debt. The plan also includes a repayment schedule for its BRL900 million debt to suppliers and banks. 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 =================== K Y R G Y Z S T A N =================== DELTA+ FREE: Creditors' Claims Due Late October ----------------------------------------------- LLC Delta+ Free Economic Zone Bishkek, which recently became insolvent, will accept proofs of claim until October 29, 2005. Call (0-312) 42-69-90 or 54-32-86 for more information. FIRMA BARCHYN: Gives Creditors Until Next Month to File Claims -------------------------------------------------------------- LLC Firma Barchyn, which recently became insolvent, will accept proofs of claim at Bishkek, Togolok Moldo Str. 31a until October 29, 2005. Call (0-312) 27-24-16 for more information. ===================== N E T H E R L A N D S ===================== ROYAL SHELL: Only 4.051 Billion 'A' Shares Remain ------------------------------------------------- On September 6, 2005, Royal Dutch Shell plc purchased for cancellation 1,260,000 'A' Shares at a price of EUR26.66 per share. On the same date, it purchased for cancellation 390,000 'A' Shares at a price of 1,804.84 pence per share. Following the cancellation of these shares, the remaining number of 'A' Shares of Royal Dutch Shell plc will be 4,051,145,000. 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 =========== R U S S I A =========== ARSENAL: Hires B. Govorov Insolvency Manager -------------------------------------------- The Arbitration Court of Moscow region has commenced bankruptcy supervision procedure on industrial building company Arsenal. The case is docketed as A41-K2-11250/05. Mr. B. Govorov has been appointed temporary insolvency manager. CONTACT: ARSENAL 141075, Russia, Moscow region, Korolev, Dzerhinskogo Str. 18A Mr. B. Govorov Insolvency Manager 115280, Russia, Moscow region, Avtozavoskaya Str. 32, Building 15 BUY-GRAIN-PRODUCT: Declared Insolvent ------------------------------------- The Arbitration Court of Kostroma region commenced bankruptcy proceedings against Buy-Grain-Product after finding the open joint stock company insolvent. The case is docketed as A31-3537/2005-18. Mr. D. Ryndenko has been appointed insolvency manager. CONTACT: BUY-GRAIN-PRODUCT 157040, Russia, Kostroma region, Buy, 19th branch line Mr. D. Ryndenko Insolvency Manager 152930, Russia, Yaroslavl region, Rybinsk, Post User Box 13 CONTI-SUGAR: Claims Filing Period Ends Next Month ------------------------------------------------- The Arbitration Court of Moscow commenced bankruptcy proceedings against Conti-Sugar (TIN 7729026585) after finding the close joint stock company insolvent. The case is docketed as A40-27996/05-38-46B. Mr. V. Shishkin has been appointed insolvency manager. Creditors have until October 6, 2005 to submit their proofs of claim to 125040, Russia, Moscow. CONTACT: CONTI-SUGAR 119285, Russia, Moscow Pudovkina Str. 4 Mr. V. Shishkin Insolvency Manager 125040, Russia, Moscow GEPHES: Bankruptcy Proceedings Begin ------------------------------------ The Arbitration Court of Tula region commenced bankruptcy proceedings against Gephes after finding the open joint stock company insolvent. The case is docketed as A68-122/B-04. Mr. K. Kozhevnikov has been appointed insolvency manager. Creditors may submit their proofs of claim to 301280, Russia, Tula region, Kireevskiy region, Bolokhovo, Mira Str. 32. CONTACT: GEPHES 301280, Russia, Tula region, Kireevskiy region, Bolokhovo, Mira Str. 32 Mr. K. Kozhevnikov Insolvency Manager 301280, Russia, Tula region, Kireevskiy region, Bolokhovo, Mira Str. 32 KALMANSKIY DAIRY: Succumbs to Bankruptcy ---------------------------------------- The Arbitration Court of Altay region commenced bankruptcy proceedings against Kalmanskiy Dairy after finding the limited liability company insolvent. The case is docketed as A03-8802/05-B. Mr. V. Bortyakov has been appointed insolvency manager. CONTACT: KALMANSKIY DAIRY Russia, Altay region, Kalmanskiy region, Kalmanka Mr. V. Bortyakov Insolvency Manager 656002, Russia, Barnaul, Post User Box 3712 The Arbitration Court of Altay region 656015, Russia, Barnaul, Lenina Pr. 76 KHAROVSKAYA: Insolvency Manager Takes over Business --------------------------------------------------- The Arbitration Court of Vologda region commenced bankruptcy proceedings against Kharovskaya after finding the specialized movable mechanized column insolvent. The case is docketed as A13-4902/2005-25. Mr. G. Pogosyan has been appointed insolvency manager. CONTACT: KHAROVSKAYA Russia, Vologda region, Kharovsk, Kamennaya Str. 2 Mr. G. Pogosyan Insolvency Manager 160000, Russia, Vologda region, Post User Box 152 ONEZHSKOYE MILK: Bankruptcy Supervision Procedure Begins -------------------------------------------------------- The Arbitration Court of Vologda region has commenced bankruptcy supervision procedure on limited liability company Onezhskoye Milk. The case is docketed as A13-5016/2005-22. Mr. A. Kalachev has been appointed temporary insolvency manager. A hearing will take place on November 23, 2005, 3:30 p.m. CONTACT: ONEZHSKOYE MILK Russia, Vologda region, Vytegra, Leningrasky Trakt, 23 Mr. A. Kalachev Insolvency Manager 160035, Russia, Vologda region, Pobedy Pr. 55, Office 7 PROM-STROY-MECHANIZATION: Creditors Opt for Liquidation ------------------------------------------------------- The Arbitration Court of Chelyabinsk region commenced bankruptcy proceedings against Prom-Stroy-Mechanization (TIN 7447048848) after finding the limited liability company insolvent. The case is docketed as A76-19091/05-34-107. Mr. G. Popov has been appointed insolvency manager. CONTACT: PROM-STROY-MECHANIZATION 454081, Russia, Chelyabinsk region, Valdayskaya Str. 2/2 Mr. G. Popov Insolvency Manager 454081, Russia, Chelyabinsk region, Valdayskaya Str. 2/2 SIB-WOOD-TRANS: Court Brings in Insolvency Manager -------------------------------------------------- The Arbitration Court of Kurgan region commenced bankruptcy proceedings against Sib-Wood-Trans after finding the limited liability company insolvent. The case is docketed as A34-3296/05. Mr. N. Leontyev has been appointed insolvency manager. Creditors may submit their proofs of claim to 641920, Russia, Kurgan region, Kargapolskiy region, Kargapolye, Avtomobilistov Str. 14. CONTACT: SIB-WOOD-TRANS 641920, Russia, Kurgan region, Kargapolskiy region, Kargapolye, Avtomobilistov Str. 14 Mr. N. Leontyev Insolvency Manager 641920, Russia, Kurgan region, Kargapolskiy region, Kargapolye, Avtomobilistov Str. 14 Phone: 8-35256-2-13-78 STROY-WOOD: Bankruptcy Hearing Set Next Month --------------------------------------------- The Arbitration Court of Komi republic has commenced bankruptcy supervision procedure on limited liability company Stroy-Wood. The case is docketed as A29-4690/05-3B. Mr. A. Ragozin has been appointed temporary insolvency manager. Creditors may submit their proofs of claim to 167000, Russia, Komi republic, Syktyvkar, Babushkina Str. 31. A hearing will take place on October 13, 2005, 9:15 a.m. CONTACT: STROY-WOOD Russia, Komi republic, Ust-Kulomskiy region Mr. A. Ragozin Temporary Insolvency Manager 167000, Russia, Komi republic, Syktyvkar, Babushkina Str. 31 Phone: (88212) 723858 ===================== S W I T Z E R L A N D ===================== STMICROELECTRONICS N.V.: Names New VPs for North America, Japan --------------------------------------------------------------- STMicroelectronics N.V. has appointed two new Corporate Vice Presidents, Reza Kazerounian for North America and Marco Cassis for the Japan region. Reza Kazerounian, currently Group Vice President and General Manager of ST's Smart Card division, is being promoted to the position of Corporate Vice President, North America region, effective October 01, 2005. Mr. Kazerounian's promotion follows the decision of Richard J. Pieranunzi, the current Corporate Vice President of ST North America, to retire on September 30, 2005, after successfully managing the subsidiary since 1996. Under Pieranunzi's leadership, ST operations in North America have seen substantial growth, placing ST within the top ten IC suppliers in the region, with a market share that has more than doubled since 1995. In 1999, STMicroelectronics, Inc. won the prestigious Malcolm Baldrige National Quality Award, the highest level of national recognition for quality that a U.S. company can receive. Mr. Kazerounian, 47, is a well-prepared successor to the position of President of STMicroelectronics, Inc., with twenty years of experience in the electronics industry and industry-wide acclaim for his contribution to the development of non-volatile memory and smartcard technologies. His research and development activities have been recognized with a number of patents and he has authored and co-authored more than 20 technical publications. Having been among the architects of start-up WaferScale Integration's success, Mr. Kazerounian became General Manager of ST's Programmable Systems Division after WSI was acquired in 2000. In 2003, he was appointed Group General Vice President and General Manager of the Smart Card IC Division. Coupling excellent managerial skills with profound industry knowledge and experience, Mr. Kazerounian is perfectly qualified to continue the success of ST operations in the North America region. Marco Cassis, currently Vice President Automotive and a Board Member of the Japanese subsidiary, STMicroelectronics K.K., is being promoted to the position of Corporate Vice President of STMicroelectronics Japan, effective October 01, 2005. Mr. Cassis' promotion follows the decision of Tetsuo Onikura, the current Corporate Vice President and President of ST Japan, to resign from the Company for personal reasons, effective September 30, 2005. A respected authority on the semiconductor industry in Japan, Onikura joined ST Japan as Vice President of Sales in 2002. He successfully consolidated the Company's sales operations by reinforcing the distributor sales network and developing an efficient segment-based structure for providing system solutions to Japanese customers. Under Onikura's leadership, ST revenues in Japan grew by more than 46% between 2002 and 2004. Taking the baton from Onikura, Marco Cassis (born in Italy, 1963) is a well-established member of ST Japan's senior executive team, with twelve years of experience in Japan and knowledge of the local business environment. Since his arrival, he has played an important role in expanding ST's client base in Japan and forging strong partnerships with major Japanese manufacturers, particularly in the automotive sector; these customers are recognized as the world's most demanding in quality and service. Among his broad list of achievements, Cassis was one of the key architects of ST's strategic alliance with Pioneer in the late 1990s. Since arriving in Japan in 1993, Cassis has successfully adapted to his new home country and acquired a deep understanding of Japanese social, cultural, and industrial patterns. In his new role, Cassis is thus well-positioned to build on Onikura's successes and serve as a bridge between two cultures, further extending the already universal language of microelectronics. President & CEO of STMicroelectronics Carlo Bozotti said: "In both the North American and Japanese organizations, we need to establish new business partnerships, broaden our customer base, interface with the different product groups, and keep identifying new products to be developed for the specific needs of the respective regional markets. Thanks to their experience and industry know-how, Marco and Reza are ideally suited to successfully face this challenge. "I would also like to use this opportunity to thank Richard and Tetsuo for their valuable contributions to the success of our Company." * * * In July, STMicroelectronics N.V. reported net revenues for the first half were US$4,245 million, an increase of 1.0% over the 2004 first half revenues of US$4,201 million. Gross profit was US$1,399 million, or 32.9% of net revenues, compared to US$1,530 million or 36.4% of net revenues for the 2004 first half. Operating income was a loss of US$55 million, compared to income of US$259 million in last year's first half. Net income was a loss of US$5 million, or US$0.01 per share, compared to net income of US$225 million, or US$0.24 per diluted share in last year's first half. Net income included pre-tax impairment, restructuring charges and other related closure costs of US$100 million and US$45 million for the 2005 and 2004 first half results, respectively. STMicroelectronics is a global independent semiconductor company, which employs 50,000 people, 16 advanced research and development units, 39 design and application centers, 16 main manufacturing sites and 88 sales offices in 31 countries. Corporate Headquarters, as well as the headquarters for Europe and for Emerging Markets, are in Geneva. The Company's U.S. Headquarters are in Carrollton (Dallas, Texas); those for Asia/Pacific are based in Singapore; and Japanese operations are headquartered in Tokyo. CONTACT: STMICROELECTRONICS N.V. Worldwide Headquarters 39, Chemin du Champ des Filles C. P. 21 CH 1228 Plan-Les-Ouates GENEVA, Switzerland Tel: +41 22 929 29 29 Fax: +41 22 929 29 00 Web site: http://www.st.com/stonline/ Stanley March Vice President, Investor Relations Phone: +1-212-821-89-39 Fax: +1-212-821-89-23 E-mail: stan.march@st.com Benoit de Leusse Director, Investor Relations Phone: +41-22-929-58-12 Fax: +41-22-929-69-61 E-mail: benoit.de-leusse@st.com Fabrizio Rossini Investor Relations Senior Manager Phone: +41-22-929-69-73 Fax: +41-22-929-69-61 E-mail: fabrizio.rossini@st.com =========== T U R K E Y =========== TURKIYE IS BANKASI: Fitch Upgrades Rating to 'BB' ------------------------------------------------- Fitch Ratings has upgraded Turkey-based Turkiye Is Bankasi's Long-term local currency rating to 'BB' from 'BB-' (BB minus). At the same time, the agency has upgraded Isbank's Individual rating to 'C' from 'C/D' and its National Long-term rating to 'A+ (tur)' from 'A (tur)'. The bank's Long-term foreign currency, Short-term foreign and local currency, and Support ratings are affirmed at 'BB- (BB minus)', 'B' and '4', respectively. The Outlooks on all the Long-term ratings remain Stable. The upgrades are driven by Isbank's stronger and consistent profitability, continued solid funding structure, improved asset quality measures and good capitalization. This is balanced by relatively low, albeit improved, free capital and a sizeable proportion of government securities at 38% of assets. The Long term foreign currency rating is constrained by the Sovereign Ceiling of 'BB- (BB minus)' while the Long-term local currency rating is above that of the Sovereign. Isbank recorded strong profitability with net earnings of TRL859.8 million in 2004 (consolidated with financial companies only) compared to TRL512.1 million in 2003. This trend continued into H105. The bank benefits from an above-average net interest margin which is aided by low funding costs and income from the government securities portfolio, most of which is classified as available for sale. Efficiency improved and fees and commissions have grown steadily. This enabled the bank to boost its Tier 1 capital ratio to 26.28% at end-H105. Free capital of 4.28% will continue to improve due to the pending disposal of the bank's stake in Petrol Ofisi. Asset quality improved as non-performing loans declined to 5.76% of the portfolio at H105 from 7.95% at end-2004 while Isbank maintains reserve coverage in excess of 100%. Isbank is the largest private sector bank in Turkey with a 13% market share in both loans and deposits. It is 41.5%-owned by the bank's pension fund and 28% by the Republican People's Party. Historically a corporate bank, Isbank has concentrated on building its loans to the small business and retail sectors, which tend to be more diverse and profitable. CONTACT: FITCH RATINGS Web site: http://www.fitchratings.com Ed Thompson, New York Phone: +1 212 908 0364 Gulcin Orgun Turda Ozmen, Istanbul Phone: +90 212 279 1065 Banu Cartmell, London Phone: +44 207 417 4373 Media Relations Jon Laycock, London Phone: +44 20 7417 4327 ============= U K R A I N E ============= BAHMACH AGROTECHKONCERN: Liquidator Takes over Helm --------------------------------------------------- The Economic Court of Chernigiv region commenced bankruptcy proceedings against Bahmach Agrotechkoncern (code EDRPOU 03764301) on August 2, 2005 after finding the open joint stock company insolvent. The case is docketed as 9/108 b. Mr. Sergij Polyakov (License Number AA 176073) has been appointed liquidator/insolvency manager. The company holds account number 260021680 at JSPPB Aval, Chernigiv regional branch, MFO 353348. Creditors have until September 12, 2005 to submit their proofs of claim to: (a) BAHMACH AGROTECHKONCERN 16500, Ukraine, Chernigiv region, Bahmach, Petrovskij Str. 82 (b) Mr. Sergij Polyakov Liquidator/Insolvency Manager Ukraine, Sumi region, Gorkij Str. 23/1-67 (c) ECONOMIC COURT OF CHERNIGIV REGION 14000, Ukraine, Chernigiv region, Miru Avenue 20 BALAKLIYAPROMGEOFIZIKA: Bankruptcy Supervision Starts ----------------------------------------------------- The Economic Court of Harkiv region commenced bankruptcy supervision procedure on Subsidiary Enterprise Balakliyapromgeofizika (code EDRPOU 01432836). The case is docketed as B-39/413-03. Mr. V. Verbitskij (License Number AB 216765) has been appointed temporary insolvency manager. Creditors have until September 12, 2005 to submit their proofs of claim to: (a) BALAKLIYAPROMGEOFIZIKA Ukraine, Harkiv region, Balakleya (b) Mr. V. Verbitskij Temporary Insolvency Manager Ukraine, Harkiv region, Gagarin Avenue 174/140 (c) ECONOMIC COURT OF HARKIV REGION 61022, Ukraine, Harkiv region, Svobodi Square, 5, Derzhprom, 8th Entrance BALTIKA-GROUP: Creditors' Claims Due Next Week ---------------------------------------------- The Economic Court of Kyiv region commenced bankruptcy supervision procedure on LLC Baltika-Group (code EDRPOU 31957891) on May 25, 2005. The case is docketed as 44/288-b. Mr. Anatolij Gunko (License Number AA 520124) has been appointed temporary insolvency manager. The company holds account number 2600430121771 at JSB Starokiyivskij Bank, Kyiv region branch, MFO 321477. Creditors have until September 12, 2005 to submit their proofs of claim to: (a) BALTIKA-GROUP 04050, Ukraine, Kyiv region, Glibochinska Str. 40 (b) Mr. Anatolij Gunko Temporary Insolvency Manager Ukraine, Kyiv region, Brovari, Grushevskij Str. 17/55 (c) ECONOMIC COURT OF KYIV REGION 01030, Ukraine, Kyiv region, B. Hmelnitskij Boulevard 44-B HARKIV' ENERGY-REPAIR: Goes into Liquidation -------------------------------------------- The Economic Court of Harkiv region commenced bankruptcy proceedings against OJSC Harkiv' Energy-Repair Enterprise (code EDRPOU 05471276) on July 28, 2005 after finding the limited liability company insolvent. The case is docketed as B-24/85-04. Mr. A. Zayarnij (License Number AA 484223) has been appointed liquidator/insolvency manager. The company holds account number 260055624 at JSPPB Aval, Harkiv branch, MFO 351589. Creditors have until September 12, 2005 to submit their proofs of claim to: (a) HARKIV' ENERGY-REPAIR ENTERPRISE 61128, Ukraine, 50-Richya SRSR Avenue 149 (b) Mr. A. Zayarnij Liquidator/Insolvency Manager 61052, Ukraine, Harkiv region, Chervonoarmijska Str. 8/10 V Phone: 24-39-23 (c) ECONOMIC COURT OF HARKIV REGION 61022, Ukraine, Harkiv region, Svobodi Square, 5, Derzhprom, 8th Entrance KVANTOR: Court Appoints Insolvency Manager ------------------------------------------ The Economic Court of Harkiv region commenced bankruptcy proceedings against LLC KVANTOR (code EDRPOU 32564504) on July 27, 2005 after finding the limited liability company insolvent. The case is docketed as B-24/59-05. Mr. I. Radik (License Number AA 176041) has been appointed liquidator/insolvency manager. Creditors have until September 12, 2005 to submit their proofs of claim to: (a) KVANTOR 61022, Ukraine, Harkiv region, Svobodi Square, 7, Derzhprom, Room 595 (b) Mr. I. Radik Liquidator/Insolvency Manager Ukraine, Harkiv region, Gv. Shironintsiv Str. 43-A/157 Phone: (050) 301-29-21 (c) ECONOMIC COURT OF HARKIV REGION 61022, Ukraine, Harkiv region, Svobodi Square, 5, Derzhprom, 8th Entrance OJSC DNIPROENERGO: Executives Sued for Violating Dividend Policy ---------------------------------------------------------------- The management of OJSC Dniproenergo is facing a criminal case on alleged abuse of authority at Zaporizhia territory, according to Interfax. The Interior Ministry's public relations department said Dniproenergo officials violated the company's dividend policy by skipping out payment to the state before distributing to other entities. It is reported to have paid UAH2.2 million to limited liability companies and individuals. Dniproenergo's bankruptcy action was brought on December 12, 2001. It owes UAH1.39 billion to 65 companies and organizations. Its register of creditors was approved by Zaporizhia region's arbitration court on September 1, 2003. OLEKSANDRIVSKIJ RAJAGROHIM: Declared Insolvent ---------------------------------------------- The Economic Court of Kirovograd region commenced bankruptcy proceedings against Oleksandrivskij Rajagrohim (code EDRPOU 05489490) on March 23, 2005 after finding the open joint stock company insolvent. The case is docketed as 10/118. Mr. S. Salatov (License Number AB 216837) has been appointed liquidator/insolvency manager. The company holds account number 26003301234 at OJSC Oshadbank, Oleksandrivka branch, MFO 323817. Creditors have until September 12, 2005 to submit their proofs of claim to: (a) OLEKSANDRIVSKIJ RAJAGROHIM 27300, Ukraine, Kirovograd region, Oleksandrivka, Ostrovskij Str. 4 (b) Mr. S. Salatov Liquidator/Insolvency Manager Ukraine, Kirovograd region, K. Marks Str. 4, Body 1 Phone: (0522) 32-05-01 PEREMOGA: Under Bankruptcy Supervision -------------------------------------- The Economic Court of Vinnitsya region commenced bankruptcy supervision procedure on Agricultural LLC Peremoga (code EDRPOU 30804517). The case is docketed as 5/140-05. Mr. Oleg Bojko (License Number AB 176015) has been appointed temporary insolvency manager. The company holds account number 260097222 at JSPPB Aval, Vinnitsya branch, MFO 302247. Creditors have until September 12, 2005 to submit their proofs of claim to: (a) PEREMOGA 23040, Ukraine, Vinnitsya region, Barskij district, Martinivka (b) Mr. Oleg Bojko Temporary Insolvency Manager Ukraine, Vinnitsya region, Arhitektora Artinova Str. 51/2 Phone: 35-63-98 (c) ECONOMIC COURT OF VINNITSYA REGION 21036, Ukraine, Vinnitsya region, Hmelnitske Shose, 7 =========================== U N I T E D K I N G D O M =========================== ABBEY GARAGE: Files for Liquidation ----------------------------------- At an Extraordinary General Meeting of Abbey Garage Doors (Derby) Limited, duly convened, and held at the Georgian House Hotel, 34 Ashbourne Road, Derby DE22 3AD, on 24 August 2005, at 10:00 a.m., the following Resolutions were passed as an Extraordinary Resolution and as an Ordinary Resolution respectively: "That it has been proved to the satisfaction of this Meeting that the Company cannot, by reasons of its liabilities, continue its business and that it is advisable to wind up the same, and that accordingly the Company be wound up voluntarily, and that A Graham, of Hamilton Insolvency Practitioners Limited, Omega Court, 368 Cemetery Road, Sheffield S11 8FT, be and is hereby appointed Liquidator of the Company for the purpose of the voluntary winding-up." At a Meeting of Creditors held on 24 August 2005 the Creditors confirmed the appointment of A Graham as Liquidator and that anything required or authorized to be done by the Liquidator be done by him. T Quinlan, Chairman * * * Abbey Garage Doors are the North East and North Yorks specialists for all leading makes of garage doors and remote control systems. It was established in 1996. CONTACT: ABBEY GARAGE DOORS Eastside Garage, Scotch Corner Middleton Tyas Richmond DL10 6NS North Yorkshire Phone: 01748 850032 Fax: 01748 829953 Web site: http://www.abbey-garagedoors.co.uk A J FOSTER-LAURICHE: EGM Passes Winding-up Resolutions ------------------------------------------------------ At an Extraordinary General Meeting of A J Foster-Lauriche Limited, duly convened, and held at 79 Caroline Street, Birmingham B3 1UP, on 16 August 2005, the following Resolutions were passed as an Extraordinary Resolution and as an Ordinary Resolution respectively: "That it has been proved to the satisfaction of this Meeting that the Company cannot, by reasons of its liabilities, continue its business and that it is advisable to wind up the same, and that accordingly the Company be wound up voluntarily, and that Roderick Graham Butcher, of Butcher Woods, 79 Caroline Street, Birmingham B3 1UP, be and is hereby appointed Liquidator of the Company for the purpose of the voluntary winding-up." At a Meeting of Creditors held on 16 August 2005 the Creditors confirmed the appointment of Roderick Graham Butcher as Liquidator and that anything required or authorized to be done by the Liquidator be done by him. A J Foster, Chairman CONTACT: A J FOSTER - LAURICHE LTD. Cannock Chase Enterprise Centre Walkers Rise Hednesford Cannock Staffs England WS12 0QU Phone: 011 44 1543 426025 Fax: 011 44 1543 451472 E-mail: andy@lauriche.demon.co.uk BUTCHER WOODS 79 Caroline Street Birmingham West Midlands E-mail: rod.butcher@butcher-woods.co.uk Phone: 0121 236 6001 Fax: 0121 236 5702 AMAN METAL: Names Grant Thornton Liquidator ------------------------------------------- At an Extraordinary General Meeting of Aman Metal Spinners (2000) Limited, convened and held at the Quality Hotel, Merthyr Road, Tongwynlais, Cardiff CF15 7LD, on 23 August 2005, at 10:30 a.m., the following Resolutions were duly passed, as an Extraordinary Resolution and an Ordinary Resolution respectively: "That it has been proved to the satisfaction of the Meeting that the Company cannot, by reason of its liabilities, continue its business, and that the Company be wound up voluntarily, and that Richard Hawes and David Thomas, of Grant Thornton UK LLP, 11-13 Penhill Road, Cardiff CF11 9UP, be appointed Joint Liquidators of the Company for the purposes of the voluntary winding-up." P Burford, Chairman CONTACT: AMAN METAL SPINNERS 2000 LTD. Unit 10 Hirwaun Industrial Estate Aberdare CF44 9UP Mid Glamorgan Phone: 01685 811882 Fax: 01685 813861 GRANT THORNTON UK LLP 11-13 Penhill Road Cardiff CF11 9UP Phone: 02920 235591 Fax: 02920 383803 E-mails: richard.m.hawes@gtuk.com nigel.morrison@gtuk.com A & P PRINT: Hires Administrator from Andrew Michaels & Co. ----------------------------------------------------------- Name: A & P PRINT FINISHERS LIMITED (Company No 0338406) Nature of Business: Packaging Activities Address of Registered Office: 114-116 High Street, Gosforth, Newcastle upon Tyne, Tyne and Wear NE3 1HB Date of Appointment: 24 August 2005 Administrator's Name and Address: Andrew T. Clay (IP No 9164), Andrew Michaels & Co Ltd., Concept House, Brooke Street, Cleckheaton, West Yorkshire BD19 3RY CONTACT: A & P PRINT FINISHERS LTD. Newcastle Upon Tyne Tyne and Wear NE6 1AB Phone: 0191 2767600 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 BAE SYSTEMS: Operating Profit Improves to GBP488 Million -------------------------------------------------------- BAE Systems plc has reported interim results for the six months to 30 June 2005. Results in Brief From continuing operations Six months Six months to 30 June to 30 June 2005 2004[1] Order book[2] GBP52.5 billion GBP45.2 billion Sales[3] GBP6,773 million GBP5,962 million EBITA[4] GBP566 million GBP470 million Operating profit GBP488 million GBP392 million Underlying basic earnings per share[5] 10.7 pence 7.7 pence Basic earnings per share[6] 10.9 pence 7.4 pence Dividend per share 4.0 pence 3.7 pence Net cash inflow from operating activities GBP586 million GBP268 million Net debt as defined by the group GBP2,239 million GBP1,878 million Highlights (a) Strategy Delivering: (i) unrivaled transatlantic defense position; (ii) global land systems business; (iii) recovery of U.K. programs; and (iv) progress on European restructuring; (b) Strong Operating Performance: (i) sales up 13.6%; (ii) EBITA[4] up 20.4%; (iii) underlying earnings per share up 39%; and (iv) record order book; and (c) Return to Growth Confirmed: dividend increased 8.1%. Outlook Looking forward to 2005 as a whole, the company now sees growth from its defense businesses at a rate approaching that achieved in 2004. In addition, there will be a contribution from the full six months second half trading of United Defense. The company also anticipates an improved year-on-year contribution from its Commercial Aerospace activities. Overall, the company is set to deliver good growth in 2005. - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - [1] as restated under International Financial Reporting Standards [2] including share of equity accounted investments' order books and after the elimination of intra-group orders of GBP1.0 billion (2004 GBP1.6 billion) [3] including share of equity accounted investments' sales [4] earnings before amortization and impairment of intangible assets, finance costs and taxation expense [5] earnings per share excluding amortization and impairment of intangible assets, non-cash finance movements on pensions and financial derivatives, and profit in acquired inventories [6] basic earnings per share in accordance with International Accounting Standard 33 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Report of Chairman Dick Olver Shareholders are now benefiting from our strong portfolio of businesses with good profitable growth. I am pleased to report that BAE Systems has made further good progress in the first half of 2005. We have grown the company's position in the U.S. and refocused our business interests in Europe. In particular, the acquisition of United Defense has firmly established BAE Systems as a leading supplier of defense systems in the United States. We are now also seeing the benefits of the work over recent years to eliminate inappropriate risk and improve returns from our major program business with the U.K. Ministry of Defense. In addition to the recovery in our U.K. businesses we have built a strong position in the U.S., the world's largest defense market. Through a combination of organic growth and a series of strategic acquisitions the company will have grown the sales of its U.S. business at a compound annual rate of 27% between 2000 and the end of 2005. This successful implementation of our strategy is now benefiting the company's operational performance, strengthening our position as the premier transatlantic aerospace and defense company and underpinning the plan for future growth. BAE Systems has come a long way in recent years. Shareholders are now benefiting from our strong portfolio of businesses with good profitable growth. Three new non-executive directors have been appointed to the Board. In June, Peter Weinberg, a senior director of Goldman Sachs Inc. and former CEO of Goldman Sachs International, joined the Board. Mr. Weinberg has dual U.S. and U.K. citizenship. I am also pleased to welcome Philip Carroll and Roberto Quarta who have joined the Board. Mr. Carroll, a U.S. citizen, is the former chairman and chief executive officer of Fluor Corporation and the former president and chief executive officer of Shell Oil Company Inc. Mr. Quarta is chairman and was formerly chief executive of BBA plc and is a partner of the private equity firm Clayton, Dubilier & Rice. Based in the U.K., Mr. Quarta was born in Italy and is a naturalized U.S. citizen. Together these appointments bring a wealth of relevant experience from a U.S., U.K. and international perspective and will make a significant contribution to furthering BAE Systems strategy of being the premier transatlantic aerospace and defense company. The improved performance reflected in the financial results for the first half, together with the improving growth outlook, have enabled the Board to declare an increased interim dividend of 4.0 pence. As we go forward we are all committed to improve our performance in everything we do and to continue the clean execution of our strategy. Report of Chief Executive Mike Turner We are the only defense company that can grow at the very highest level of capability in the U.S. while also deriving value from our strong capabilities and market position in Europe. The financial performance of the business in the first half reflects advances made throughout the company. A significant improvement has been achieved in the performance from our Programs activities in the U.K., notably from the Typhoon program. The company's activities in North America continued to perform well. Businesses acquired in 2004 have been successfully integrated and contributed to that performance. The increased contributions from our U.K. and U.S. defense contracts have more than offset the reduction in contribution from export contracts. The acquisition of United Defense was a key step in the company's strategy to build BAE Systems position as the premier transatlantic aerospace and defense company. With this acquisition BAE Systems businesses in the U.S. will have pro forma 2005 sales of approximately US$8.5 billion. The company is now well placed to support the U.S. military's growing emphasis on inter-operability, affordable transformation and force sustainment and to meet emerging customer requirements with increased emphasis on land systems, including the refurbishment and upgrade of existing vehicles and equipment. Integration of United Defense is now well underway. The acquired land systems activities are part of the newly formed Land & Armaments business group, headquartered in the U.S., and embracing the former RO Defense and Alvis activities in the U.K. together with Hagglunds in Sweden and OMC in South Africa. The United Defense ship repair activity is being integrated with BAE Systems support activities in the U.S. to form an enlarged Customer Solutions business complementing the U.K. Customer Solutions & Support activities. In Europe the restructuring of BAE Systems activities continues with a reduction in the company's interest in Saab AB from 34.2% to 20.5% generating cash of GBP125 million. The first phase of the Eurosystems transaction was completed involving the progressive sale of the U.K.-based sensor systems and electronic warfare activities of the former Avionics business group to Finmeccanica and the restructuring of the former AMS joint venture business to a wholly owned U.K.-based activity, Integrated System Technologies. This phase of the Finmeccanica transaction was completed for a consideration of GBP357 million. In the U.K., we continue to deliver wide-ranging support activities in partnership with the U.K. Ministry of Defense's Defense Logistics Organization and the armed forces. In particular good progress is being made on the future support model for Tornado and the introduction of Typhoon to Royal Air Force service has been successfully achieved with the first Typhoon squadron based with BAE Systems for a period of initial support. We are progressing our business in the Kingdom of Saudi Arabia. Further success in increasing the local content of the Al Yamamah support program in Saudi Arabia was achieved. The Al Yamamah program includes support of equipment previously supplied to the Royal Saudi Air Force by the company. Over recent months three Royal Saudi Air Force Tornado aircraft have been undergoing design evaluation tests at the BAE Systems facility at Warton in the U.K. This work is proceeding to plan. The ultimate program objective is to improve serviceability, address obsolescence, and enhance and sustain the capability of the aircraft. Good progress continues across all major programs with the financial performance of the Programs business group benefiting from good project execution. The Airbus business continues to perform well with production deliveries rising to meet airline market demand and with the first flight of the new 550 seat Airbus A380 airliner, which took place in April 2005. The company continues to focus on embedding a high performance culture and enhancing its internal processes. As part of this we have recently formed a company-wide Center for Performance Excellence to provide leadership, measure performance and spread best practice. Work being undertaken will help define additional performance indicators for future internal business planning and enhanced external reporting. Despite all the positive progress achieved in recent times there remains much to be done to further enhance value for our shareholders. Pension funding is an issue for the company and employees alike. Together we have already taken a number of important steps to close the funding deficit and I believe that with the constructive approach taken by all parties we will agree a plan to fully address this issue in the near future. I see further opportunities to build the order book and winning new export business remains an important objective going forward. We have also been successful in building our support business and there are opportunities to further expand our support activities to the mutual benefit of both our shareholders and customers. We have made further strides in executing our strategy. We are the only defense company that can grow at the very highest level of capability in the U.S. while also deriving value from our strong capabilities and market position in Europe. Our recent acquisition of United Defense demonstrates the strategic strength of BAE Systems. Less than two years ago we had only a small foothold in land systems and now we are number two in the world in this sector with pro forma annual sales of approximately US$3.4 billion. To conclude, we have achieved an excellent first half performance and a good basis from which to deliver growth in profitability not only for the full year but also over our forward planning period. We have taken significant steps towards the implementation of our strategy. Underpinning this is improved operational performance right across our company. A copy of this financial report is available free of charge at http://bankrupt.com/misc/BAESystems(H12005).pdf CONTACT: BAE SYSTEMS PLC Warwick House, Farnborough Aerospace Center Farnborough Hampshire GU14 6YU, United Kingdom Phone: +44-1252-373-232 Fax: +44-1252-383-000 Web site: http://www.baesystems.com CITY WHARF: Mortgage Broker Winds up ------------------------------------ At an Extraordinary General Meeting of the Members of City Wharf Associates Limited, duly convened, and held at 25 Harley Street, London W1G 9BR, on Tuesday 23 August 2005, the following Extraordinary Resolution was proposed and duly passed: "That it has been proved to the satisfaction of this Meeting that the Company cannot, by reasons of its liabilities, continue its business and that it is advisable to wind up the same, and accordingly that the Company be wound up voluntarily, and that Bernard Hoffman and Ian Douglas Yerrill, of Suite 1, Kent House, Station Road, Ashford, Kent TN23 1PP, be and are hereby appointed Joint Liquidators of the Company for the purposes of its voluntary winding-up." N Ledward, Chairman COMPASS GROUP: Hires CEO for International Operations ----------------------------------------------------- Compass Group plc has disclosed that Alain Dupuis is to take on a new role as Chief Executive of emerging markets business (China, India, Southeast Asia, Russia and Turkey). Mr. Dupuis has, therefore, decided to stand down as a Director of the Company, with effect from 1 October, in order to focus on this strategically important new role. Sir Francis Mackay, Chairman of Compass Group, said: "I would like to thank Alain for the significant contribution he has already made to the company as a Director and I am delighted that he will continue with the Group to develop our business in emerging markets." * * * Compass Group plc provides food, vending and related services to clients and customers in the workplace, at school and colleges, hospitals, on the move, at leisure and in defense, offshore and remote locations. It has annual revenues of GBP12 billion and employs 400,000 people in over 90 countries. In May, Michael J. Bailey, Chief Executive, said: "I am not happy with our recent performance. We need to respond more rapidly than we have to the changes taking place in our market." Half-year turnover was GBP6,191 million (2004: GBP5,844 million) with like-for-like growth of 6%, in line with expectations. However, net debt at 31 March 2005 rose to GBP2,494 million (30 September 2004: GBP2,373 million), while profit before taxation and goodwill amortization decreased by 8% from GBP283 million to GBP260 million. CONTACT: COMPASS GROUP PLC Compass House Guildford Street Chertsey Surrey United Kingdom KT16 9BQ Phone: +44 1932 573 000 Fax: +44 1932 569 956 Web site: http://www.compass-group.com COROFAB CONTAINERS: Calls in Liquidators ---------------------------------------- At an Extraordinary General Meeting of Corofab Containers Limited, duly convened, and held at Holiday Inn Derby-Nottingham, M1 Jct. 25, Bostocks Lane, Sandiacre, Nottingham NG10 5NJ, on 19 August 2005, at 10:15 a.m., the following Extraordinary Resolutions were duly passed: "That it has been proved to the satisfaction of the Meeting that this Company cannot, by reason of its liabilities, continue its business, and that it is advisable that the same should be wound up, and that the Company be wound up accordingly, that Allan Cooper and Derek Leslie Woolley, of The P&A Partnership, 93 Queen Street, Sheffield S1 1WF, Insolvency Practitioners duly qualified under the Insolvency Act 1986, be and are hereby appointed the Liquidators of the Company for the purposes of such winding-up, and that any act required or authorized to be done by the Liquidators is to be done by any one or more of the Liquidators for the time being in office." At a subsequent Meeting of Creditors duly convened and held, pursuant to sections 98, 99, 100 and 101 of the Insolvency Act 1986, the Resolutions for voluntary liquidation and the appointment of Allan Cooper and Derek Leslie Woolley were confirmed. K Buxton, Chairman CONTAC: COROFAB CONTAINERS LTD. Lady Lea Works, Ladylea Road Horsley Woodhouse Ilkeston DE7 6AZ Derbyshire Phone: 01332 883111 Fax: 01332 882706 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 CORPACH PAPER: French Parent Shuts down Site -------------------------------------------- Multinational paper maker Arjo Wiggins will close its Corpach Paper Mill in Scotland at the end of the month due to lack of demand for its product, British Broadcasting Corporation said. Arjo Wiggins said in June the market for the group's product had been "destroyed" by electronic transactions, particularly by the credit card chip-and-pin system. The group then launched a 60-day consultation, but declined to confirm a closure until the process is complete. According to Enterprise Minister Nicol Stephen, the closure will render up to 126 employees jobless. Mr. Stephen added special support team has been set up to work with union leaders, employees and management to cushion the effect of the closure. He added a task force is also being set up to save as many jobs as possible at the site. He admitted employees have yet to receive a formal redundancy notice. CONTACT: ARJO WIGGINS S.A. 117 Quai du President Roosevelt F-92442 Issy-les-Moulineaux Cedex Paris Phone: 33 1 41 08 60 00 Fax: 33 1 41 08 62 85 CYBER EMBRYONIC: Software Developer Calls in Administrator ---------------------------------------------------------- Name: CYBER EMBRYONIC LIMITED (Company No 04449246) Nature of Business: Software Development Address of Registered Office: 50 Newhall Street, Birmingham B3 3QE Trade Classification: 36 Date of Appointment: 24 August 2005 Administrator's Name and Address: G. D. Sharma (IP No 9145), Sharma & Co, 50 Newhall Street, Birmingham B3 3QE * * * Cyberembryonic develops high quality, intelligently designed and competitively priced software products, solutions and services for the travel and tourism industry. Visit http://www.cyberembryonic.com/for more information. CONTACT: CYBER EMBRYONIC Sharma Suite, Wembley Point, 1 Harrow Road Wembley, Middlesex HA9 6DE United Kingdom Contact: Manish Rawal Phone: +44 (0) 208 621 8481 Fax: +44 (0) 207 317 4222 SHARMA & CO. 50 Newhall Street Birmingham West Midlands B3 3QE Phone: 0121 248 5007 Fax: 0121 248 5010 E-mail: gagen@sharmaandco.com DORLUX BEDS: Calls First Creditors Meeting ------------------------------------------ Location: Crowne Plaza, Wellington Street, Leeds LS1 4DL, on 21 September 2005, at 10:00 a.m. The Meeting is an initial Creditors' Meeting under paragraph 51 of Schedule B1 to the Insolvency Act 1986. Creditors are invited to attend. Any Creditor unable to attend should complete a proxy form by the above date if they wish to be represented. To be entitled to vote at the Meeting, you must provide details in writing of your claim to PricewaterhouseCoopers LLP, Benson House, 33 Wellington Street, Leeds LS1 4JP, by 12:00 noon on the business day before the Meeting. Any Member of the Company who requires a copy of the proposals should send a written request to the address above, and a copy will be sent, free of charge. R Marsh and I D Green, Joint Administrators CONTACT: DORLUX BEDS LIMITED Sykes Mill, Keighley Road, Ovenden, Halifax, West Yorkshire HX2 8DD Phone: 01422 254 555 Fax: 01422 345 025 Web site: http://www.dorlux.co.uk/ PRICEWATERHOUSECOOPERS LLP Benson House 33 Wellington Street Leeds LS1 4JP Phone: [44] (113) 289 4000 Fax: [44] (113) 289 4460 E-mails: edward.klempka@uk.pwcglobal.com steve.a.ellis@uk.pwcglobal.com Web site: http://www.pwcglobal.com ECOQUIP LIMITED: Creditors to Meet Next Week -------------------------------------------- Notice is hereby given by Vivian Murray Bairstow and Paul Michael Davis, both of Begbies Traynor (South) LLP, 32 Cornhill, London EC3V 3BT, the Joint Administrators, that a Meeting of the Creditors of Ecoquip Limited is to be held at Chiltern House, 24-30 King Street, Watford WD18 0BP, on Thursday 15 September 2005, at 11:00 a.m. The Meeting is an initial Creditor's Meeting under paragraph 51 of Schedule B1 to the Insolvency Act 1986. Any Creditor entitled to attend and vote at this Meeting is entitled to do so either in person or by proxy. Completed proxy forms must be lodged with the Joint Administrators by the date of the Meeting. In order to be entitled to vote under Rule 2.38 at the Meeting you must give to us, not later than 12:00 noon on the business day before the day fixed for the Meeting, details in writing of your claim. Secured Creditors (unless they surrender their security) should also include a statement giving details of their security, the dates on which it was given and the estimated value at which it is assessed. The Resolutions to be taken at the Meeting may include a Resolution specifying the terms on which the Joint Administrators are to be remunerated. V M Bairstow, Joint Administrator * * * Formed in 1987 under the name of North and South Installations, the company underwent an MBO in August 2001 and renamed to EcoQuip Ltd. It is the first U.K. and European refrigeration company to be awarded the coveted ISO14001 Environmental Accreditation and is the leading supplier of commercial refrigeration display cabinet services in the U.K. Visit http://www.ecoquip.co.uk/for more information. CONTACT: ECOQUIP LTD. Whitehorse Business Park, Stanford In The Vale, Oxon SN7 8NY Phone: 01367 710077 Fax: 01367 710550 E-mail: mail@ecoquip.com BEGBIES TRAYNOR (SOUTH) LLP 32 Cornhill, London EC3V 3BT Phone: 020 7398 3800 Fax: 020 7398 3799 Web site: http://www.begbies.com E WALTERS: Clothier Hires Administrator from KPMG ------------------------------------------------- Name: E WALTERS (LUDLOW) LIMITED (Company No 590546) Nature of Business: Manufacture and Sale of Mens, Ladies and Children's Outwear Clothing Address of Registered Office: KPMG LLP, 2 Cornwall Street, Birmingham B3 2SL Date of Appointment: 25 August 2005 Administrators' Names and Addresses: Myles Antony Halley (IP No 6658), KPMG LLP, 2 Cornwall Street, Birmingham B3 2DL and Richard Dixon Fleming (IP No 8370), KPMG LLP, 1 The Embankment, Leeds LS1 4DW * * * E Walters Ludlow is an international and multinational private company. It manufactures trousers for men, women and children. The company generates revenues of US$79.7 million. Visit http://www.ewalters.co.ukfor more information. CONTACT: E WALTERS (LUDLOW) LIMITED Phone: 44 1568 613344 Fax: 44 1568 610860 E-mail: enquiries@ewalters.co.uk KPMG LLP 2 Cornwall Street Birmingham West Midlands B3 2DL Phone: 0121 232 3000 Fax: 0121 232 3500 KPMG LLP 1 The Embankment Neville Street Leeds West Yorkshire LS1 4DW Phone: 0113 231 3332 Fax: 0113 231 3183 E-mail: richard.fleming@kpmg.co.uk GALLAHER GROUP: Half-year Profit Down 4% to GBP225 Million ---------------------------------------------------------- Financial Highlights 2005 H1 2004 H1[2] Volumes 82.1 billion 79.3 billion up 3.5% Total turnover GBP3,946 million GBP3,954 million down 0.2% Net turnover[2] GBP1,248 million GBP1,221 million up 2.3% EBITA[3] GBP314 million GBP309 million up 1.8% PBTA[4] GBP263 million GBP250 million up 5.3% Profit before tax GBP225 million GBP235 million down 4.0% Adjusted earnings per share[5] 29.2 pence 27.4 pence up 6.2% Basic earnings per share[6] 24.3 pence 25.6 pence down 5.3% Interim dividend 10.6 pence 10.0 pence up 6.0% - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - [1] 2004 H1 results restated under IFRS. [2] Total turnover less duty paid by Group companies. [3] Total profit from operations before amortization of intangible assets and exceptional charges. [4] Profit before tax, amortization of intangible assets and exceptional charges. [5] Adjusted: before amortization of intangible assets and exceptional charges (net of tax). [6] Basic: includes amortization of intangible assets and exceptional charges (net of tax). Note: Amortization of intangible assets was GBP9 million (2004 H1: GBP6 million) and exceptional charges were GBP29 million (2004 H1: GBP9 million). - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Chief Executive Nigel Northridge said: "Our ongoing and successful drive to improve our efficiency and expand our geographic base has again enhanced shareholder value. We have grown our volumes, profits and earnings per share, and continue to look to the future with confidence." Performance Highlights Gallaher grew total volume sales by 3.5% to 82.1 billion cigarettes (2004 H1: 79.3 billion). This growth was driven by market share gains across the CIS and certain European markets, notably Poland, the Czech Republic, Denmark, Romania, Estonia, Lithuania and Slovakia, which more than offset adverse conditions in some key western European markets. Adjusted earnings per share were up 6.2% to 29.2 pence (2004 H1: 27.4 pence). These results bear the cost of investment in new opportunities, but also benefit from returns from investments in previous years. Group EBITA grew 1.8% to GBP314 million (2004 H1: GBP309 million). This growth was achieved at the same time as Gallaher increased its total sales and marketing expenditure. Tobacco EBITA was up 2.6% to GBP284 million (2004 H1: GBP277 million), while EBITA from the European distribution businesses reduced to GBP30 million (2004 H1: GBP32 million). Lower operating costs in the U.K. offset the impact of volume decline of 8.1% (reflecting market decline and the phasing of trade sales). U.K. EBITA was stable at GBP149 million. Trading conditions in Europe remained challenging, with substantial market declines in a number of markets. The volume declines were largely offset by the Group's growth in new markets. Europe EBITA was GBP127 million (2004 H1: GBP130 million) of which GBP97 million (2004 H1: GBP98 million) arose from tobacco operations and GBP30 million (2004 H1: GBP32 million) came from the distribution businesses. CIS EBITA increased 55.4% to GBP23 million (2004 H1: GBP15 million) reflecting strong volume growth (leading to market share gains across the region), price increases, further production cost efficiencies and continued sales mix improvements. In Poland, the operation has moved into profit in line with expectations. This, along with a good performance in Sweden supported by lower operating costs, has broadly offset initial investments in Denmark, Lithuania and South Africa, such that RoW EBITA was GBP15 million (2004 H1: GBP15 million). Gallaher maintained its position at the forefront of operational efficiency. Group cigarette productivity was up 5.0%. This enhanced productivity, together with lower leaf and NTM costs, underpinned a real term reduction in cigarette unit costs of 3.7%. The board has declared an interim dividend of 10.6 pence per ordinary share (42.4 pence per ADS) - an increase of 6.0% over the 2004 interim dividend. Group trading is in line with expectations. A copy of this financial report is available free of charge at http://bankrupt.com/misc/GallaherGroup(H12005).pdf CONTACT: GALLAHER GROUP PLC (NYSE: GLH [ADR]) Members Hill, Brooklands Road Weybridge Surrey KT13 0QU, United Kingdom Phone: +44-1932-859777 Fax: +44-1932-832792 Web site: http://www.gallaher-group.com Claire Jenkins Director, Investor relations Phone: 01932 859 777 CARDEW GROUP Anthony Cardew Phone: 020 7930 0777 HYDRA PLC: Administrators from Fisher Partner Enter Firm -------------------------------------------------------- Name: HYDRA PLC (Company No 3395514) Nature of Business: Other Computer Related Activities Address of Registered Office: Acre House, 11-15 William Road, London NW1 3ER Date of Appointment: 23 May 2005 Administrators' Name and Address: Stephen M Katz (IP No 8681), Fisher Partners, Acre House, 11-15 William Road, London NW1 3ER CONTACT: HYDRA PLC 145 Cannon Street London EC4N 5BQ Phone: 020 7337 2777 Fax: 020 7337 2772 Web site: http://www.hydranet.co.uk/ FISHER PARTNERS Acre House 11/15 William Road London NW1 3ER Phone: 020 7388 7000 Fax: 020 7380 4900 E-mail: skatz@hwfisher.co.uk ITTRIUM EVENTS: Names Smith & Williamson Liquidator --------------------------------------------------- At an Extraordinary General Meeting of Ittrium Events & Exhibitions Limited, duly convened, and held at The Best Western Russell Hotel, 136 Boxley Road, Maidstone, Kent ME14 2AE, on 25 August 2005, the following Resolutions were duly passed, as an Extraordinary Resolution and as an Ordinary Resolution respectively: "That it has been proved to the satisfaction of this Meeting that the Company cannot, by reason of its liabilities, continue its business and, accordingly that the Company be wound up voluntarily, and that Stephen John Tancock, of Smith & Williamson Ltd., First Floor, Holbrook House, 72 Bank Street, Maidstone, Kent ME14 1SN, be and he is hereby appointed Liquidator for the purposes of such winding-up." A Messenger, Chairman * * * Ittrium Events and Exhibitions provides specialist exhibition and display systems. CONTACT: ITTRIUM GROUP LTD. Unit D1 Forstal Trading Estate St. Michaels Close Aylesford Kent ME20 7BU Phone: 00 44 (0)845 6122444 Fax: 00 44 (0)845 6122445 E-mail: sales@ittrium.co.uk SMITH & WILLIAMSON LTD. First Floor, Holbrook House, 72 Bank Street, Maidstone, Kent ME14 1SN Web site: http://www.smith.williamson.co.uk J FISHWICK: Creditors Meeting Set Last Week of September -------------------------------------------------------- Notice is hereby given by Gordon S Goldie and Allan David Kelly, of Tait Walker, Bulman House, Regent Centre, Gosforth, Newcastle upon Tyne NE3 3LS, that a Meeting of Creditors of J Fishwick & Sons Ltd. (Company No 02157031), Bulman House, Regent Centre, Gosforth, Newcastle upon Tyne NE3 3LS, is to be held at Marriott Hotel, High Gosforth Park, Gosforth, Newcastle upon Tyne NE3 5HN, on 28 September 2005, at 10:30 a.m. The Meeting is an initial Creditors' Meeting under paragraph 51 of Schedule B1 to the Insolvency Act 1986. A proxy form should be completed and returned to me by the date of the Meeting if you cannot attend and wish to be represented. In order to be entitled to vote under Rule 2.38 at the Meeting you must give to me, not later than 12.00 noon on the business day before the day fixed for the Meeting, details in writing of your claim. G S Goldie, Joint Administrator CONTACT: J FISHWICK & SONS Golden Hill Garage Leyland, Preston PR5 2LE Phone: 01772 421207 Fax: 01772 622407 TAIT WALKER Bulman House, Regent Centre, Gosforth, Newcastle upon Tyne NE3 3LS Phone: 0191 285 0321 Fax: 0191 284 9117 E-mail: advice@taitwalker.co.uk Web site: http://www.taitwalker.co.uk LABORE OPTIMA: Goes into Liquidation ------------------------------------ At an Extraordinary General Meeting of Labore Optima Limited, duly convened, and held at Sanderling House, 1071 Warwick Road, Acocks Green, Birmingham B27 6QT, on Wednesday 24 August 2005, at 2:30 p.m., the following Extraordinary Resolutions were duly passed: "That it has proved to the satisfaction of the Meeting that the Company cannot, by reason of its liabilities, continue its business, and that it is advisable that the same be wound up voluntarily, and that the Company be wound up accordingly, and that Paul John Webb, of Sanderlings LLP, Sanderling House, 1071 Warwick Road, Acocks Green, Birmingham B27 6QT, be and is hereby nominated Liquidator for the purpose of the said winding-up." G P Meads, Chairman CONTACT: LABORE OPTIMA LIMITED 14 The Square, Alvechurch, Birmingham B48 7LA Phone: 0121-447-8606 MSD DISTRIBUTION: Calls in Administrators from Begbies Traynor -------------------------------------------------------------- Company Names: MSD DISTRIBUTION LIMITED (Company No 03931125) NOW INDUSTRIAL SERVICES LIMITED (Company No 03714128) Nature of Businesses: Haulage Address of Registered Office: The Old Exchange, 234 Southchurch Road, Southend-on-Sea, Essex SS1 2EG Date of Appointment: 19 August 2005 Joint Administrators' Names and Address: Lloyd Biscoe and David Paul Hudson (IP Nos 009141 and 008977), both of Begbies Traynor, The Old Exchange, 234 Southchurch Road, Southend-on-Sea, Essex SS1 2EG * * * The Company was founded in 1986 as Machinery Haulage and Supply Co., providing a single vehicle for the transportation of machinery. Its knowledge of engineering and printing machines gave the company an advantage over other machine movers and a growing reputation in this sector began to attract blue chip manufacturers and their suppliers. In 2003, it decided to formalize the group activity under the NOW banner and the specialist division was renamed NOW Industrial Services Ltd. Visit http://www.mhsukltd.co.uk/for more information. CONTACT: M S D DISTRIBUTION LTD. Russell Gdns Wickford SS11 8BH Phone: 01268 735553 BEGBIES TRAYNOR The Old Exchange, 234 Southchurch Road Southend-on-Sea SS1 2EG Phone: 01702 467255 Fax: 01702 467201 E-mail: southend@begbies-traynor.com Web site: http://www.begbies.com NEW NETWORKS: Files for Liquidation ----------------------------------- At an Extraordinary General Meeting of New Networks Limited, duly convened, and held at 86-88 South Ealing Road, London W5 4QB, on 18 August 2005, the following Extraordinary Resolution was duly passed: "That it has been proved to the satisfaction of this Meeting that the Company cannot, by reason of its liabilities, continue its business, and that it is advisable to wind up the same, and accordingly that the Company be wound up voluntarily, and that Peter Maurice Levy, of Levy & Partners, 86-88 South Ealing Road, London W5 4QB, be and he is hereby appointed Liquidator for the purposes of such winding-up." B Akporiaye, Chairman * * * New Network provides event guides on mobile devices. The guides can be used at a major tourist attraction; or as personal tourist guide of London on a mobile phone or PDA (Personal Digital Assistant). The company's corporate clients are conference organizers, tourist attractions, department stores. CONTACT: NEW NETWORKS LTD. Devlin Court 36 St. George Street Mayfair London W1S 2FW Phone: +44 (0) 20 7518 0393 Fax: +44 (0) 20 7518 0302 E-mail: info@new-networks.com Web site: http://www.new-networks.com/ LEVY & PARTNERS 86/88 South Ealing Road London W5 4QB Phone: 020 8932 1932 Fax: 020 8932 0122 E-mail: peter@levyandpartners.com OXFORD CONSOLES: Creditors Meeting Set Next Week ------------------------------------------------ Company Names: OXFORD CONSOLES LIMITED OXFORD CONSOLES HOLDINGS LIMITED (formerly known as Solid State Logic Holdings Limited) Notice is hereby given, pursuant to section 48 of the Insolvency Act 1986, that a Meeting of Creditors of these companies will be held at Grant Thornton House, Melton Street, Euston Square, London NW1 2EP, on 13 September 2005, at 3:00 p.m. In order for Creditors to be able to vote, details of their claim must be lodged at Grant Thornton House, Melton Street, Euston Square, London NW1 2EP, not later than 12.00 noon on 12 September 2005. In addition, any form of proxy must also be lodged prior to the Meeting. D Smith, Joint Administrative Receiver CONTACT: GRANT THORNTON U.K. LLP Grant Thornton House Melton Street Euston Square London NW1 2EP Phone: 020 7383 5100 Fax: 020 7383 4715 Web site: http://www.grant-thornton.co.uk PANELELITE LIMITED: Hires Liquidator from Tomlinsons ---------------------------------------------------- At the extraordinary general meeting of Panelelite Limited, duly convened, and held at Tomlinsons, St John's Court, 72 Gartside Street, Manchester M3 3EL, on 15 August 2005, the following Resolutions were duly passed: "That it has been proved to the satisfaction of this Meeting that the Company cannot, by reason of its liabilities, continue its business and that it is advisable that the same be wound up voluntarily, and that the Company be wound up accordingly, and that Alan H Tomlinson, of Tomlinsons, St John's Court, 72 Gartside Street, Manchester M3 3EL, is hereby appointed as Liquidator for the purposes of such winding-up." At the subsequent Meeting of Creditors held on the same date, the Resolution was ratified, together with the appointment of Alan H Tomlinson, of Tomlinsons, St John's Court, 72 Gartside Street, Manchester M3 3EL, as Liquidator of the Company. E Siarkiewicz, Chairman CONTACT: PANELELITE LTD. Unit B1, Adlington Industrial Estate, Macclesfield, Cheshire SK10 4NL Phone: 0161-351-9600 TOMLINSONS St John's Court, 72 Gartside Street, Manchester M3 3EL Phone: 0870 60 70 170 Fax: 0870 60 70 180 E-mail: advice@tomlinsons.co.uk Web site: http://www.tomlinsons.co.uk PHOENIX CONSULTANTS: Creditors Meeting Set Next Week ---------------------------------------------------- Notice is hereby given, pursuant to paragraph 51 of Schedule B1 of the Insolvency Act 1986, that a Meeting of the Creditors of Phoenix Consultants International Limited will be held at the office of BDO Stoy Hayward LLP, Prospect Place, 85 Great North Road, Hatfield, Hertfordshire AL9 5BS, on 12 September 2005, at 12:00 noon, for the purposes of considering and, if thought fit, approving the proposals of the Administrators for achieving the aim of the Administration Order, and also to consider establishing and, if thought fit, to appoint a Creditors' Committee. A person authorised under section 375 of the Companies Act 1985 to represent a corporation must produce to the Chairman of the Meeting a copy of the Resolution from which their authority is derived. The copy Resolution must be under seal of the corporation, or certified by the Secretary or Director of the corporation as a true copy. Please note that a Creditor is entitled to vote only if he has delivered to the Administrators not later than 12:00 noon on 9 September 2005, details in writing of the debt claimed to be due from the Company, and the claim has been duly admitted under the provisions of the Insolvency Rules 1986 and there has been lodged with the Administrators any proxy which the Creditor intends to be used on his behalf. G S Kinlan, Joint Administrator CONTACT: PHOENIX CONSULTANTS INTERNATIONAL LTD. 9 High Street, Baldock, Hertfordshire SG7 6AZ Phone: 01462490480 BDO STOY HAYWARD LLP Prospect Place, 85 Great North Road, Hatfield, Hertfordshire AL9 5BS Phone: 01707 255888 Fax: 01707 255890 E-mail: hatfield@bdo.co.uk Web site: http://www.bdo.co.uk PINE TO GO: Liquidators from Blades Enter Firm ---------------------------------------------- At the extraordinary general meeting of Pine To Go Limited, convened, and held at Charlotte House, 19B Market Place, Bingham, Nottingham, on 23 August 2005, at 10:30 a.m., The following resolutions were duly passed, as an extraordinary resolution and as an ordinary resolution respectively: "That it has been proved to the satisfaction of the Meeting that the Company cannot, by reason of its liabilities, continue its business and that the Company be wound up voluntarily, and that Philip Anthony Brooks and Julie Willetts, of Blades Insolvency Services, Charlotte House, 19B Market Place, Bingham, Nottingham, be appointed as joint liquidators for the purposes of the voluntary winding-up." L Aspell CONTACT: PINE TO GO LTD. Unit B6 Hartley House, Haydn Road, Nottingham, Nottinghamshire NG5 1DG Phone: 01159605268 BLADES Charlotte House 19B Market Place Bingham Nottingham Nottinghamshire NG13 8AP Phone: 01949 831260 Fax: 01949 831960 E-mail: advice@bladesinsol.co.uk PINEWOOD SHEPPERTON: Blames Tax Uncertainty for Troubles -------------------------------------------------------- Commentators criticize the plan of Pinewood Shepperton Chairman Sir Michael Grade to invest in the troubled company, according to The Independent. Aside from being risky, others see it as conflict of interest. Mr. Grade is chairman of the BBC governors. The British film studio business needs to attract more TV production contract from program makers such as BBC to revive its fortunes. It is losing money on lack of major blockbuster films. It now only has two productions in the making: Basic Instinct II and The Da Vinci Code. Recently, it had to secure a new overdraft to avoid breaching covenants only months after a flotation to raise money to pay debt. The company blames its trouble on the government's review of tax break on the film industry, the uncertainty of which they said is scaring off big producers. But commentators also said the business itself is volatile and is swayed by the dollar exchange rate. To address the volatility, Pinewood bought Teddington Studios. It might be able to augment earnings if it is able to rent out new office space to media companies, but it lacks the cash to develop its main sites. CONTACT: PINEWOOD STUDIOS LTD. Pinewood Road, Iver Heath Buckinghamshire England SL0 0NH Shepperton Studios Ltd. Studios Road, Shepperton Middlesex England TW17 0QD Phone: +44 (0)1753 651700 Web site: http://www.pinewoodshepperton.com/ POULSON ENTERPRISES: Administrator Takes over Business ------------------------------------------------------ Name: POULSON ENTERPRISES GROUP LIMITED (Company No 03007642) Nature of Business: Other Computer Related Activities Address of Registered Office: The Atrium, Park Street West, Luton, Bedfordshire LU1 3BE Date of Appointment: 25 August 2005 Administrator's Name and Address: Martin Dominic Pickard (IP No 6833), Mazars LLP, The Atrium, Park Street West, Luton LU1 3BE CONTACT: POULSON ENTERPRISES GROUP LTD. 115 Adnitt Road, Northampton NN1 4NQ, United Kingdom Phone: 44(0) 8707 420702 Fax: 44(0) 8707 420412 E-mail: enquiries@pegroup.co.uk Web site: http://www.pegroup.co.uk/ MAZARS The Atrium Park Street West, Luton, Bedfordshire LU1 3BE Phone: 01582 700700 Fax: 01582 700701 Web site: http://www.mazars.co.uk R&R TECHNOLOGIES: Appoints Administrators from Vantis Numerica -------------------------------------------------------------- Name: R&R TECHNOLOGIES LIMITED (Company No 03053864) Nature of Business: Designing, Supplying and Manufacturing Prototype Components and Moulds for the Automotive and Aerospace Industries Trade Classification: 07 Date of Appointment: 26 August 2005 Joint Administrators' Names and Address: Simon Elliott Glyn and Nicholas Hugh O'Reilly (IP Nos 009159 and 008309), both of Vantis Numerica, PO Box 2653, 66 Wigmore Street, London W1A 3RT CONTACT: R&R Technologies Ltd. Unit J2 Knights Park Industrial Estate Strood ME2 2LS Kent, United Kingdom Phone: [44] 01634 726161 Fax: [44] 01634 724404 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 STANSFIELD TRANSPORT: Administrators Move in -------------------------------------------- Name: STANSFIELD TRANSPORT LIMITED (Company No 02255618) Nature of Business: Haulage Address of Registered Office: Bachouse, Faringdon Avenue, Harold Hill, Romford RM3 8SP Date of Appointment: 19 August 2005 Joint Administrators' Names and Address: Lloyd Biscoe and David Paul Hudson (IP Nos 009141 and 008977), both of Begbies Traynor, The Old Exchange, 234 Southchurch Road, Southend-on-Sea, Essex SS1 2EG * * * Founded in 1980, Stansfield Transport has built an enviable reputation based on the reliability and professionalism of its nationwide transport business. CONTACT: STANSFIELD TRANSPORT LTD. Armitage Road Armitage Road Industrial Estate Brighouse HD6 1SN Phone: +44 [0] 1484 402020 Fax: +44 [0] 1484 401505 E-mail: enquiries@stansfield-transport.co.uk BEGBIES TRAYNOR The Old Exchange, 234 Southchurch Road Southend-on-Sea SS1 2EG Phone: 01702 467255 Fax: 01702 467201 E-mail: southend@begbies-traynor.com Web site: http://www.begbies.com TEKNEK ELECTRONICS: SDI Wants Liquidator Out -------------------------------------------- U.S. company Systems Division Inc., which has a pending claim against Teknek Electronics, has asked the Paisley sheriff court to replace the company's liquidator, according to The Herald. Tom Hughes of Glasgow accountants Gerber, Lander & Gee was appointed provisional liquidator to Teknek after the Renfrewshire-based firm failed to pay claims related to a U.S. infringement suit with SDI. Teknek Electronics' principal trading arm in the U.S., Teknek LLC, lost a US$3 million (GBP1.65 million) patent rights case against U.S. rival Systems Divisions at a Santa Ana federal court in the U.S. in July. The claim has accrued an interest of US$771,000. Mr. Hughes believes SDI's recent move is aimed at making sure the company can extract the payment by appointing a liquidator that would support a motion to probe the firm's dividend payment. It was found out previously that Teknek Electronics was able to pay GBP5 million in dividends to parent company Teknek Holdings despite posting losses totaling GBP2 million in 2003 and 2004. Teknek no longer has significant assets, and Mr. Hughes has revoked its voting right as principal creditor at a creditors' meeting because the California judgment against Teknek remains under appeal. Mr. Hughes is continuing with that appeal. SDI prefers BDO Stoy Hayward's David Hill over Mr. Hughes, the report said. The Paisley sheriff court has not yet set a date for the hearing. SDI would have to argue that its US$3.8 million claim is immediately due for payment. Teknek designs products for keeping the surfaces of electronics systems clean of dust and static electricity. It employs more than 150 staff, mainly at two sites in Inchinnan. It is controlled by group managing director Jonathan Kennett and co-director Sheila Hamilton. CONTACT: TEKNEK ELECTRONICS LTD. River Drive Inchinnan Business Park Renfrewshire PA4 9RT Scotland, UK Tel: +44 (0) 141 568 8100 Fax: +44 (0) 141 568 8101 E-mail: teknek@teknek.com Web site: http://www.teknek.com/ U.K. COAL: Agrees to Meet Members of Bidding Consortium ------------------------------------------------------- On 6 April 2005, the Board of U.K. Coal plc said it had received a highly preliminary and tentative approach regarding a possible offer for the Company; this approach was subject to a number of conditions and pre-conditions. As previously announced, the Company sought clarification on a number of aspects of the approach, and in the absence of such clarification, did not pursue discussions. Clarification has now been received on some of the issues raised and, while in the view of the Company the proposal remains highly preliminary and tentative, U.K. Coal has now agreed to meet with members of the Consortium (being Alchemy Partners LLP, Morston Assets Limited and the Buccleuch Group). There can be no certainty that an offer will be made and, if made, there can be no certainty as to the terms of any such offer. * * * In July, U.K. Coal plc disclosed that, despite good progress on the operational initiatives to improve performance and higher average selling prices, the first six months of the financial year were affected by lower mining output. This resulted from the unplanned face gap at Daw Mill, the closure of Ellington in January, completion of coaling at four surface mines and lower production in certain collieries during the planned equipping of six new coal faces in the period to June. The Board currently anticipates reporting a loss before tax for the six months ended 30 June 2005 of around GBP30.0 million on sales of approximately GBP164 million after profit on the disposal of property of approximately GBP4.5 million and net rental income of approximately GBP1.4 million. 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 U.K. COAL: Half-year Loss Balloons to GBP30.6 Million ----------------------------------------------------- U.K. Coal plc has reported interim results for the six months ended 30 June 2005. Financial Overview (a) operating loss before exceptional items, GBP14.7 million (2004: loss of GBP15.8 million); (b) loss for the period GBP30.6 million (2004: loss of GBP1.4 million); (c) funds outflow of GBP36.7 million after receipt of proceeds from sale of Monckton of GBP8.0 million and property disposals of GBP8.2 million; (d) net debt at 30 June 2005 of GBP29.9 million including leasing and hire purchase and cash held in respect of insurance and surface damage liabilities (31 December 2004: GBP6.8 million net cash); (e) GBP58.3 million increase in the gross valuation of the property portfolio (excluding investment properties) representing GBP189.1 million in excess of book value; and (f) Value of Investment property portfolio increased to GBP17.8 million (31 December 2004: GBP6.7 million). Operational Summary (a) deep mine production at ongoing mines 3.9 million tonnes (2004: 3.6 million tonnes); (b) total deep mines production 4.0 million tonnes (2004: 6.0 million tonnes); (c) sales volumes 4.8 million tonnes (2004: 7.4 million tonnes); (d) coal stocks 369,000 tonnes (31 December 2004: 647,000 tonnes); (e) 6 coal faces equipped during first half of the year; (f) new workforce agreements and working arrangements implemented at 4 collieries; (g) Ellington Colliery closed and decision taken to mothball Harworth; Rossington Colliery will also be mothballed; (h) deep mine cost per GJ (for ongoing mines after deducting Coal Investment Aid and before exceptional cost of sales) GBP1.55 (2004: GBP1.46); (i) surface mine production 0.6 million tonnes (2004: 1.2 million tonnes); (j) selling price per GJ GBP1.30 (2004: GBP1.17); (k) property sales proceeds GBP8.2 million (2004: GBP1.9 million); planning approvals for a further 140 acres; (l) annualized rental income on commercial and business parks increased to GBP1.2 million (31 December 2004: GBP0.9 million); and (m) planning applications being progressed for the erection of up to 40 wind turbines. Report of Chairman David Jones During the six months ended 30 June 2005, the Group actively managed the issues in the deep mines, targeting costs, management processes, industrial relations and working practices. Rising sales prices and improved cost control contained losses during a period where six coal faces were equipped. Deep mines made a loss of GBP44.4 million, after exceptional costs of sale of GBP22.7 million, and an unexpected face gap at Daw Mill, which reduced profitability. However, property activities produced a profit of GBP10.4 million (2004: GBP2.4 million) and our other businesses delivered a profit of GBP3.3 million (2004: GBP1.5 million). The profit on disposal of our Monckton business was GBP2.9 million. This resulted in an overall loss after tax of GBP30.6 million (2004: GBP1.4 million). A decline in sales volumes, partially offset by higher coal prices, led to a fall in turnover from continuing operations to GBP164.1 million (2004: GBP222.4 million). Coal sales fell to 4.8 million tonnes (2004: 7.4 million tonnes) as a result of a reduction in production to 4.6 million tonnes (2004: 7.2 million tonnes) reflecting colliery closures in 2004 and a reduction in surface mine output. Overall coal stocks held amounted to 369,000 tonnes (31 December 2004: 647,000 tonnes). Exceptional costs incurred in the period amounted to GBP22.7 million (2004: revenue of GBP3.3 million). These primarily arose from costs at Kellingley and Rossington collieries, recovering operations following force majeure events (GBP7.5 million), the impairment of assets at Rossington (GBP5.6 million) and costs resulting from the closure of Ellington (GBP5.1 million). Coal Investment Aid claimed by U.K. COAL in respect of investments to access coal reserves amounted to GBP10.4 million of which GBP8.1 million was credited to the consolidated income statement (2004: GBP4.4 million). The remaining Investment Aid was taken to deferred income and will be credited to the consolidated income statement over the life of the assets to which it relates. The Investment Aid debtor at 30 June 2005 amounted to GBP11.6 million (31 December 2004: GBP11.1 million). We made good progress on our property activities in the period, with sales being made from developments where U.K. COAL has extracted maximum value from the planning process. Rental income received in the period on our commercial and industrial lets and farm tenancies on surface mining land held was GBP2.2 million (2004: GBP1.7 million). Profits on property sales were GBP4.5 million (2004: GBP1.3 million), and the Group has also recognized GBP4.5 million increase in the value of its investment property portfolio (2004: �nil), which is now valued at GBP17.7 million (31 December 2004: GBP6.7 million). A property valuation has been carried out in the period, updating the valuation of 31 December 2004. Overall, this shows an increase of GBP58.3 million, representing an excess over book value of GBP189.1 million. Cash flow and Debt The operating loss suffered in the period contributed to an outflow of funds amounting to some GBP36.7 million. The net debt position of the Group at 30 June 2005 was GBP29.9 million (31 December 2004: net cash of GBP6.8 million). This included leasing and hire purchase obligations, and cash of GBP54.5 million (31 December 2004: GBP55.3 million) held in respect of insurance requirements and subsidence security funds. Other major items affecting the cash flow in the period were redundancy payments of GBP11.1 million, primarily in respect of Selby and Ellington closures, surface mine restoration costs of GBP4.8 million, and a GBP6.5 million outflow in respect of increased net working capital, mainly as a result of reduced trade creditors. Liabilities in respect of shaft treatment, employers and public liability and surface damage amounting to GBP6.6 million in total were settled in the period. Capital expenditure amounted to GBP10.8 million and depreciation and impairment was GBP26.4 million. Property and other fixed asset sales generated cash of GBP8.5 million (2004: GBP2.7 million) and the proceeds from the disposal of businesses amounted to GBP8.0 million in the period (2004: GBP19.4 million). Dividend Following the operating losses suffered in the first half of 2005, which resulted in a cash outflow and increased debt levels, the Board is not proposing an interim dividend. A final dividend will be considered in April 2006. Contingent Liability In our Report and Accounts for the year ended 31 December 2004, we referred to a claim against the Company to determine whether the Company may be required to provide certain early retirement pension related benefits on redundancy. Neither the legal analysis of the merits of the claim nor the difficulties inherent in quantifying any financial cost to the Company have changed, and therefore no provision has been made in the accounts. The Board considers, on the basis of legal and actuarial advice, that the cost to the Company is now estimated to be between zero and GBP40 million (31 December 2004: between zero and GBP30 million). However, the complexities of the legal issues involved, and the difficulties in quantifying financial exposure, mean there is a possibility that the cost to the Company may exceed GBP40 million. The increase in the range of estimated cost is principally the result of redundancies announced since 31 December 2004, and a better estimate of pensionable salary which could require a top up by the Company to pensions in payment and already paid by the former British Coal Corporation. The case is due to be heard in the High Court during December 2005. The Company continues to vigorously defend the claim. Outlook With fewer face gaps and having equipped new faces at most mines, we expect more consistent deep mine production in the second half of the year, assisted by the ongoing reorganization of the workforce and working practices. Contract re-negotiations have been concluded with all major customers giving increased sales coverage going forward at prices more reflective of the current international market background. At the end of June 2005, total contracted coal sales to the end of 2010, including an estimate of sales to non Electricity Supply Industry markets, was 38.4 million tonnes with averaged proceeds (in 2005 prices) ranging between GBP1.31 and GBP1.40 per gigajoule across all years. These prices are subject to full RPI inflation and are dependent on the out-turn in international coal prices. The delays in obtaining planning consents will prevent any improvement in surface mine production in the second half but we will be seeking to make best use of the more favorable background to obtain planning consents to begin improvements in surface mine outputs in 2006. We will continue to accelerate the exploitation of our property portfolio and to realize the potential for our power generation business and expect to make good progress in these areas. A copy of the financial results is available free of charge at http://bankrupt.com/misc/UKCoal(H12005)(1).pdf 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 UK LEARNING: Files for Winding-up --------------------------------- At an Extraordinary General Meeting of the Members of UK Learning Limited (t/a Cambridge College of Learning), duly convened, and held at Kirkdale House, Kirkdale Road, London E11 1HP, on 26 August 2005, the following Extraordinary Resolution was duly passed: "That it has been proved to the satisfaction of this Meeting that the Company cannot, by reason of its liabilities, continue its business, and that it is advisable to wind up the same, and accordingly that the Company be wound up voluntarily, and that Zafar Iqbal, of Cooper Young, Kirkdale House, Kirkdale Road, London E11 1HP, be and he is hereby nominated Liquidator for the purposes of the winding-up." H Hafiz, Chairman CONTACT: CAMBRIDGE COLLEGE OF LEARNING 151-153 Curtain Road, London EC2A 3QL Phone: +44 (0) 20 7729 2020 Fax: +44 (0) 20 7729 2888 E-mail: info@camcollege.co.uk Web site: http://www.camcollege.co.uk/ W.K. SHARRATT: EGM Passes Winding-up Resolution ----------------------------------------------- At an Extraordinary General Meeting of W.K. Sharratt & Co. Limited, duly convened, and held at Tomlinsons, St John's Court, 72 Gartside Street, Manchester M3 3EL, on 23 August 2005, the following Resolutions were duly passed: "That it has been proved to the satisfaction of this Meeting that the Company cannot, by reason of its liabilities, continue its business, and that it is advisable that the same be wound up voluntarily, and that the Company be wound up accordingly, and that Alan H Tomlinson, of Tomlinsons, St John's Court, 72 Gartside Street, Manchester M3 3EL, is hereby appointed as Liquidator for the purposes of such winding-up." At a subsequent Meeting of Creditors held on the same date, the Resolution was ratified together with the appointment of Alan H Tomlinson, of Tomlinsons, St John's Court, 72 Gartside Street, Manchester M3 3EL, as Liquidator of the Company. W K Sharratt, Chairman Visit http://www.wksharratt.co.uk/for more information. CONTACT: TOMLINSONS St John's Court, 72 Gartside Street, Manchester M3 3EL Phone: 0870 60 70 170 Fax: 0870 60 70 180 E-mail: advice@tomlinsons.co.uk Web site: http://www.tomlinsons.co.uk ********* 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. 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