/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/060710.mbx T R O U B L E D C O M P A N Y R E P O R T E R E U R O P E Monday, July 10, 2006, Vol. 7, No. 135 Headlines A U S T R I A AGG: Creditors' Meeting Slated for July 18 ARCHITRAV -CONSTRUCTION: Creditors' Meeting Set for July 13 BAWAG PSK: Hungary's OTP Bank Mulls Acquisition Offer BIODIESEL RAFFINERIE: Claims Registration Period Ends July 13 EVENT-EVENT: Property Manager Claims Insufficient Funds IXTHULUH MUSIC: Creditors' Meeting Slated for July 24 NEW DRIVE: Court Terminates Bankruptcy Proceedings B E L G I U M INTERNATIONAL WIRE: Closes Sale of Insulated Wire Businesses F I N L A N D M-REAL OYJ: Moody's Lowers Corporate Family Rating to B2 F R A N C E EUROTUNNEL GROUP: Continues Plan Talks with Bondholders Tomorrow G E R M A N Y ADD ON: Claims Registration Ends July 20 BTG BURGWEDELER: Claims Registration Ends July 24 CCI COMMERCIAL: Creditors' Meeting Slated for July 27 ELG KLEMPNER: Claims Registration Ends July 21 GOALS 2006-1: Moody's Assigns P(Ba3) Rating to Class D Notes GOALS 2006-1: S&P Rates EUR5-Million Class D Notes at BB HAMBURGER AIRPORT: Claims Registration Ends July 28 HOTEL GRUNDBESITZ: Claims Registration Ends July 18 LEVA QUELL: Claims Registration Ends July 21 REMA INC: Creditors' Meeting Slated for July 27 STUDIO CLASSICO: Claims Registration Ends July 14 TERRAPLAN GARTEN: Claims Registration Ends July 17 TS CO.MIT: Fitch Assigns Low-B Ratings to Two Note Classes I T A L Y ALITALIA SPA: Might Give Up Plans for Volare Takeover IT HOLDING: S&P Affirms B- Long-Term Corp. Credit Rating IT HOLDING FINANCE: S&P Affirms Junk Senior Secured Debt Ratings VOLARE SPA: Alitalia Might Give Up Takeover Plans K A Z A K H S T A N AK-JOL: Creditors Must File Claims by July 24 ATYRAU-MANUFAKTURA: Creditors Must File Claims by July 24 BERIK JOL: Creditors Must File Claims by July 24 JURASSIC OIL: Proof of Claim Deadline Slated for July 24 KAZNUR: Kyzylorda Court Opens Bankruptcy Proceedings MARIA: Proof of Claim Deadline Slated for July 24 REI TUR: Mangistau Court Begins Bankruptcy Proceedings STANDART-SKIM: Claims Registration Ends July 24 URDJAR: Mangistau Court Begins Bankruptcy Process USHKATTINSKAYA PETROLEUM: Creditors' Claims Due July 24 K Y R G Y Z S T A N ARISTA: Creditors Must File Claims by Aug. 18 ATRIDA: Proof of Claim Deadline Slated for Aug. 18 OXNARD: Claims Registration Ends Aug. 18 N E T H E R L A N D S KONINKLIJKE AHOLD: Selling 46 Tops Supermarkets in Ohio N O R W A Y ADB SYSTEMS: Completes Sale of Norwegian Unit for US$2.8 Million P O R T U G A L EUROPROP EMC: S&P Assigns BB Rating to EUR8-Mln Class F Notes R U S S I A ADYGE-KHABL-TRANS-AUTO: Court Starts Bankruptcy Supervision AMURSKIY BAKERY: Court Names I. Neumoin as Insolvency Manager ARDATOVSKIY: Court Starts Bankruptcy Supervision BRATSK-INVEST-WOOD: Court Names A. Drozdov Insolvency Manager GAZPROM: Earns RUB315.9 Billion of Net Income in 2005 GORNOVSKIY: Court Commences Bankruptcy Supervision KUBANSKAYA FUEL: Court Names R. Loshkobanov Insolvency Manager MB CAPITAL: Fitch Gives Final B Rating to US$100-Mln Notes NORTH-WEST: Pays 11 Coupon Yield Under Second Bond Issue in Full PNEVMATIK: Court Starts Bankruptcy Supervision RIA: Court Appoints S. Orlov as Insolvency Manager SLAVSKIY DIARY: Court Names Mr. A. Trifonov Insolvency Manager SPECIAL TECHNOLOGICAL: Court Starts Bankruptcy Supervision TIME: Stavropol Court Commences Bankruptcy Supervision TOMSKIY YEAST: Court Names V. Chayka as Insolvency Manager TURDEYSKIY PIT: Court Names V. Druzhchenko as Insolvency Manager VIMPELCOM: Owes RUB1.8 Billion in Taxes for FY 2003-2004 VKM LEASING: Fitch Puts CCC Rating on Issuer Default ZAPADNODVINSKIY FLAX: S. Fedyunin to Manage Insolvency Assets S P A I N HIPOCAT 10: Moody's Junks EUR25.5-Million Series D Notes TDA 26-MIXTO: Moody's Assigns Ca Rating to Series 1-D Notes T U R K E Y ANADOLUBANK: Fitch Keeps Foreign & Local Currency Ratings at B+ GARANTI FACTORING: Fitch Raises Local Currency IDR to BB+ U K R A I N E ABK-SERVICE: Court Names Armen Komsaryan as Insolvency Manager ALSTER-MV: Court Names Yevgen Solodenko as Liquidator BUDINVEST: Court Names Denis Malusko as Insolvency Manager ENTERPRISE AGROCENTER: Olena Gerasimenko to Liquidate Assets KRAMBOLL: Court Names Volodimir Gurtovij as Insolvency Manager KRYM-ZERNOTRADE: Court Names Ludmila Pustovalova as Liquidator POLTAVAGAZBUD: Court Names Oleg Georgievskij as Liquidator SPECIAL WAYS: Court Commences Bankruptcy Supervision TAVRIYA TRANSPORT: Court Starts Bankruptcy Supervision TERRA-TRANS: Court Names Sergij Bagmet as Insolvency Manager TOMASA: Dnipropetrovsk Court Begins Bankruptcy Supervision U N I T E D K I N G D O M ACTIS PRINT: Appoints Administrators from P&A Partnership BLUEWAYS COACHES: Taps Tenon Recovery to Administer Assets DERBYSHIRE FARM: Creditors Pass Winding Up Resolution E J WHITE: Brings In Vantis to Administer Assets EUROTUNNEL GROUP: Continues Plan Talks with Bondholders Tomorrow FOOTHOLD LTD: Creditors Ratify Winding Up Resolution GENERAL MOTORS: Board Okays CEO to Negotiate Renault-Nissan Deal INNOVA RESOURCES: Hires Poppleton & Appleby as Administrators L.H. (WOODCRAFT): Creditors Nominate Liquidator LONDON BATHROOM: Hires Joint Liquidators from Insol House MEK-TEK LIMITED: Taps P&A as Joint Administrators MUSTIQUE LTD: Creditors Confirm Voluntary Liquidation NAISH ENGINEERING: Hires Administrators from Rothman Pantall ORFORD PLANT: Brings In Joint Liquidators from KPMG P & K JOINERY: Names Lloyd Biscoe Liquidator PRESSWELL METAL: Financial Woes Trigger Liquidation REA & SHEPHERD: Taps Ian William Kings to Liquidate Assets RIDING GATE: Appoints Tenon Recovery as Joint Administrator STAMPER ENTERPRISES: Brings In Administrators from Bridgestones TECHNIC TYRE: Hires Cresswall Associates as Administrators TILE AND BATH: Appoints Administrators from BDO Stoy ********* ============= A U S T R I A ============= AGG: Creditors' Meeting Slated for July 18 ------------------------------------------ Creditors owed money by LLC AGG Gastronomie & Events (FN 241595m) are encouraged to attend the creditors' meeting at 10:00 a.m. on July 18 to consider the adoption of the rule by revision and accountability. The creditors' meeting will be held at: The Trade Court of Vienna Room 1707 Vienna, Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on May 11 (Bankr. Case No. 2 S 80/06m). Susanne Fruhstorfer serves as the court-appointed property manager of the bankrupt estate. Michael Guenther represents Dr. Fruhstorfer in the bankruptcy proceeding. The property manager and her representative can be reached at: Dr. Susanne Fruhstorfer c/o Dr. Michael Guenther Seilerstatte 17 1010 Vienna, Austria Tel: 512 57 76 13 Fax: 512 57 76 50 E-mail: office@fg-lawyers.at ARCHITRAV -CONSTRUCTION: Creditors' Meeting Set for July 13 ----------------------------------------------------------- Creditors owed money by LLC Architrav -Construction and Planning (FN 181394g) are encouraged to attend the creditors' meeting at 11:15 a.m. on July 13 to consider the adoption of the rule by revision and accountability. The creditors' meeting will be held at: The Trade Court of Vienna Room 1606 Vienna, Austria Headquartered in Vienna, Austria, the Debtor's bankruptcy case (Bankr. Case No. 4 S 45/06d) was removed from (Bankr. Case No. 36 S 3/05m) on March 6. BAWAG PSK: Hungary's OTP Bank Mulls Acquisition Offer ----------------------------------------------------- OTP Bank Ltd.,, Hungary's largest retail bank, considers bidding for Bawag P.S.K., people privy to the company told Reuters. "OTP is evaluating BAWAG and deciding whether it's worth its resources to engage in the tender process," the source told Reuters. According to the source, OTP is eyeing Bawag's good position in the Austrian banking market, which it described as "mature but still growing." The Hungarian bank, however, would fall short of cash if it would take over Bawag since OTP recently acquired banks in Russia, Serbia and Ukraine. OTP is also eyeing more acquisitions in Eastern Europe. JP Morgan recently revealed OTP has tapped its full acquisition capital base. "At this point, OTP doesn't have the cash," the source further relays. "It could raise the money, possibly through issuing new shares but as it stands, it doesn't have the money." As reported in TCR-Europe on July 5, Austrian cooperative bank Oesterreichische Volksbanken eyes to purchase local rival Bawag P.S.K. for an undisclosed amount. Franz Pinkl, OeVAG's chief executive, said acquiring Bawag would expand the company's retail operations. Mr. Pinkl, however, admitted that OeVAG has to come up with enough cash from shareholders to finance a possible takeover. Osterreichischer Gewerkschaftsbund (OeGB) will officially begin the sale of Bawag PSK in mid-July, Chief Executive Ewald Nowotny said. Morgan Stanley, which began inviting bids after Bawag inked a US$675 million settlement deal with RefCo. Inc. investors, will allow 10-12 possible buyers to access Bawag's accounts in September or October this year. The chief executive added that a number of parties have expressed interest in acquiring the financially embattled bank. As previously reported in TCR-Europe, parties interested in acquiring Bawag include: -- Ukrainian tycoon Serhiy Klyuyev -- Citigroup -- BanCo. Santander Central Hispano -- J.C. Flowers & Co. LLC -- Cerberus Capital Management LP -- Commerzbank AG -- Generali -- Allianz and -- Volksbanken-Investkredit Bawag's parent company, OeGB, previously disclosed that it prefers to sell the bank as a whole and not in pieces indicating that the purchaser can break up the bank after the sale. OeGB has placed Bawag on the trading table following the bank's alleged role in the collapse of Refco. About OTP Bank Headquartered in Budapest, Hungary, OTP Bank Ltd., -- http://www.otpbank.hu/-- is the country's largest consumer bank providing providing institutional, commercial, corporate, and private-level banking. The company operates around 430 banks in Hungary. About BAWAG Headquartered in Vienna, Austria, BAWAG P.S.K. (Bank fur Arbeit und Wirtschaft AG) is an Austrian universal bank founded in 1922 by former Austrian Chancellor Karl Renner. As of 2004, the bank's majority shareholder was the OGB (Osterreichischer Gewerkschaftsbund), the Austrian Trade Union Federation. The bank had total consolidated assets of EUR56 billion as of Dec. 31, 2004. * * * As reported in the TCR-Europe on May 11, Moody's downgraded BAWAG P.S.K's -- financial strength rating (BFSR) to D- from C-; -- Tier 1 debt rating to Baa3 from Baa2. Both ratings remain under review for possible downgrade. At the same time, Moody's has also downgraded to Prime-2 with stable outlook from Prime-1 the bank's short-term debt and deposit rating. The A3 long-term debt and deposit ratings and the Baa1 subordinated debt rating remain on review for possible downgrade. These ratings were downgraded as part the rating action: -- BAWAG P.S.K.: bank financial strength rating from C- to D-; -- BAWAG P.S.K.: short-term rating from P-1 to P-2; -- BAWAG P.S.K. CAPITAL Finance (Jersey) Ltd.: debt and deposit rating to Baa3 from Baa2; -- BAWAG P.S.K. Capital Finance (Jersey) II Ltd.: debt and deposit rating to Baa3 from Baa2; and -- BAWAG P.S.K. Capital Finance (Jersey) III Ltd.: debt and deposit rating to Baa3 from Baa2. These ratings are under review for possible downgrade: -- BAWAG P.S.K.: bank financial strength rating of D-; -- BAWAG P.S.K.: long-term debt and deposit BIODIESEL RAFFINERIE: Claims Registration Period Ends July 13 ------------------------------------------------------------- Creditors owed money by LLC Biodiesel Raffinerie Produktions (FN 242240k) have until July 13 to file written proofs of claims to compensation manager Karl F. Engelhart at: Dr. Karl F. Engelhart Esteplatz 4 1030 Vienna, Austria Tel: 712 33 30-0 Fax: 712 33 30-30 E-mail: engelhart@csg.at Creditors and other interested parties are encouraged to attend the meeting at 11:15 a.m. on July 27 to consider the adoption of the rule by compensation. The meeting of creditors will be held at: The Trade Court of Vienna Room 1703 Vienna, Austria Headquartered in Vienna, the Debtor declared the beginning of the compensation process on May 26 (Case No. 5 Sa 3/06k). EVENT-EVENT: Property Manager Claims Insufficient Funds ------------------------------------------------------- Dr. Georg Kahlig, the court-appointed property manager for LLC Event-Event-Management and Consulting (FN 247965f), declared on May 26 that the Debtor does not have enough assets to pay off creditors. The Trade Court of Vienna is yet to rule on the property manager's claim. Headquartered in Vienna, Austria, the Debtor declared bankruptcy on March 26 (Bankr. Case No. 2 S 82/06f). Gerhard Stauder represents Dr. Kahlig in the bankruptcy proceeding. The property manager and his representative can be contacted at: Dr. Georg Kahlig c/o Mag. Gerhard Stauder Siebensterngasse 42/3 1070 Vienna, Austria Tel: 523 47 91-0 E-mail: kahlig.partner@aon.at IXTHULUH MUSIC: Creditors' Meeting Slated for July 24 ----------------------------------------------------- Creditors owed money by LLC Ixthuluh Music (FN 84061w) are encouraged to attend the creditors' meeting at 10:30 a.m. on July 24 to consider the adoption of the rule by revision and accountability. The creditors' meeting will be held at: The Land Court of Linz Room 522 5th Floor Linz, Austria Headquartered in Pasching, Austria, the Debtor declared bankruptcy on May 19 (Bankr. Case No. 12 S 45/06i). Roland Zimmerhansl serves as the court-appointed property manager of the bankrupt estate. The property manager can be reached at: Mag. Roland Zimmerhansl Harrachstrasse 6 4020 Linz, Austria Tel: 0732/65707065 Fax: 0732/657070 E-mail: zimmerhansl@anwaelte-sds.at NEW DRIVE: Court Terminates Bankruptcy Proceedings -------------------------------------------------- The Land Court of St. Polten terminated the bankruptcy proceeding of LLC New Drive (FN 123486y) on May 26 due to the Debtor's administrative insolvency. This means that the Debtor does not have enough cash to cover costs of the bankruptcy proceedings. Headquartered in Wieselburg an der Erlauf, Austria, the Debtor declared bankruptcy on Aug. 31, 2005 (Bankr. Case No. 14 S 154/05w). Franz Hofbauer served as the court-appointed property manager for the bankrupt estate. The property manager can be reached at: Dr. Franz Hofbauer Hauptplatz 6 3370 Ybbs an der Donau, Vienna Tel: 07412/52731 Fax: 07412/52731-22 E-mail: dr.hofbauer@wibs.at ============= B E L G I U M ============= INTERNATIONAL WIRE: Closes Sale of Insulated Wire Businesses ------------------------------------------------------------ International Wire Group Inc. disclosed the closing of the sales of its insulated wire subsidiaries in the Philippines and MexiCo. to Draka Holding N.V. and Draka MexiCo. Holding, S.A. de C.V. These transactions, together with the sale of certain U.S. insulated wire assets to Copperfield, LLC in November 2005 and the subsequent collection of retained accounts receivable, complete IWG's exit from the insulated wire business. "The Draka transactions, which closed on July 3, 2006, complete the process of exiting the insulated wire business world-wide," Mark K. Holdsworth, Chairman of the Board of Directors of IWG, said. "Net cash proceeds from the exit of the insulated wire business since November 2005 total approximately US$75 million. We are quite pleased with the results of this important strategic initiative. Moreover, we were also able to complete the acquisition of IWG High Performance Conductors, Inc. on March 31, 2006, and establish a strong market presence in specialty high-performance conductors for the aerospace, medical device and sensor industries." Rodney D. Kent, Chief Executive Officer, stated, "In addition to strengthening our balance sheet, the exit from the insulated wire business will help facilitate our continued focus on growing key areas within our core bare wire markets and specialty high-performance conductors business." Mr. Kent added, "The Company continues to grow in these two businesses, and with substantial scale, we expect to continue to be able to better serve our customer needs." International Wire Group, Inc. is a manufacturer and marketer of wire products, including bare, silver-plated, nickel-plated and tin-plated copper wire, for other wire suppliers and original equipment manufacturers or "OEMs". Their products include a broad spectrum of copper wire configurations and gauges with a variety of electrical and conductive characteristics and are utilized by a wide variety of customers primarily in the aerospace, appliance, automotive, electronics and data communications, industrial/energy and medical device industries. The company manufactures and distributes its products at 13 facilities located in the United States, Belgium, France, Italy, MexiCo. and the Philippines. * * * Standard & Poor's assigned these ratings on International Wire: -- Long-term foreign issuer credit: D, and -- Long-term local issuer credit: D. ============= F I N L A N D ============= M-REAL OYJ: Moody's Lowers Corporate Family Rating to B2 -------------------------------------------------------- Moody's Investors Service downgraded to B2 from Ba3 the Corporate Family ratings and senior unsecured debt ratings of M- real Oyj and to B2 from Ba3 the senior unsecured guaranteed MTN program rating of Metsa Group Financial Services Oy, its majority-owned subsidiary. The outlook for the ratings remains negative. At the time of the last rating action in February 2006, Moody's said that the Ba3 rating had incorporated the expectation of a moderate pick-up in pricing, the benefits of the restructuring program and a leveling-off of input costs to support a modest improvement of operating profitability throughout 2006. The negative outlook reflected the uncertainty of this scenario to materialize. The downgrade to B2 takes into account the continuously weakening operating performance mainly caused by: -- a rise in input costs notably of pulp in addition to energy costs remaining at high levels; -- paper prices remaining largely flat; and -- additional restructuring costs having further weakened profitability. Moody's believes that in response to this deterioration and in order to support cash flows in the short-term M-real has the flexibility to substantially cut its capital expenditure, could monetize further assets and could reduce dividend payments. However, longer-term stability in the credit profile would rely on an overall improvement in the pricing environment. M-real's liquidity profile also remains weak with negative cash outflows further depleting on-balance sheet cash reserves. As a result the company will be more reliant upon third party funding. In this context, the rating agency notes maturing debt of EUR106 million during 2006 and EUR290 million during 2007 which includes drawings under the EUR850 million revolving credit facility due in November 2007 which also needs to be renegotiated. The negative outlook reflects the possibility of input cost remaining at a high level putting downward pressure on the company's operating performance as well as cash generation. Any notable deterioration in the credit profile is likely to warrant a further review of the ratings. M-Real's board has commissioned a study assessing strategic options. The ratings do not factor any measures resulting from the study. M-Real Oyj, based in Helsinki, Finland, is a leading European producer of fine paper products, with FYE 2005 turnover of EUR 5.2 billion. Ratings downgraded: Issuer: M-real -- Corporate Family Rating: to B2 from Ba3; -- Senior Unsecured Medium-Term Note Program: to B2 from Ba3; and -- Senior Unsecured Regular Bond/Debenture: B2 from Ba3. Issuer: Metsa Group Financial Services Oy -- Senior Unsecured Medium-Term Note Program: to B2 from Ba3 =========== F R A N C E =========== EUROTUNNEL GROUP: Continues Plan Talks with Bondholders Tomorrow ---------------------------------------------------------------- Eurotunnel Group and its bondholders will continue negotiations regarding a debt restructuring plan tomorrow, July 11, a day before the tunnel operator's credit waiver and negotiation period expires. As reported in TCR-Europe on Friday, Eurotunnel Chairman and Chief Executive Jacques Gounon has warned of a bankruptcy filing in France absent a consensual deal with the company's bondholders and creditors by July 12. At the July 7 meeting in Paris attended by a range of bondholders including ARCO representatives, the bondholders agreed to reduce the company's outstanding GBP6.2 billion debt to approximately GBP2.9 billion, Reuters reports citing unnamed sources. A source suggested to the Financial Times that most of Eurotunnel's bondholders had now abandoned their own rival plan and were now discussing about potential modifications in favor of the Eurotunnel proposal. However, some bondholders still rejected the plan promoted by Mr. Gounon, Reuters relates. "We are not joining Gounon's plan," a spokesman for ARCO was quoted by Reuters as saying. ARCO represents 68% of Eurotunnel's outstanding GBP1.9 billion bonds and notes while the Ad Hoc Committee or the senior creditors holds over 70% of the co-financier debt and over 50% of Eurotunnel's total debt. Bondholders' Alternative Rescue Plan Eurotunnel turned down the restructuring plan prepared by a group of secured bondholders led by Deutsche Bank AG on June 27. As reported in TCR-Europe on June 28, Eurotunnel believes that the plan requires too much debt and gives too much to bondholders. The bondholders' restructuring plan, which valued the company at EUR7.99 billion, aims to reduce 60% of total debt to EUR3.7 billion and issue a EUR2.175 billion convertible hybrid note with a 4% coupon, The Wall Street Journal reported. The plan rivaled the preliminary restructuring agreement backed by Eurotunnel, Goldman Sachs Group Inc., Macquarie Bank Ltd. and Barclays PLC. The plan, which valued the company at around EUR7.03 billion, includes a EUR1.5 billion hybrid issue with a 6% to 9% coupon and would reduce debt by 54%. Eurotunnel shareholders will consider approval of a turnaround plan at an extraordinary shareholders' meeting slated for July 27, after which Eurotunnel can sign a final deal. About the Company Headquartered in Folkestone, United Kingdom and Calais, France, Eurotunnel Group -- http://www.eurotunnel.co.uk/-- operates a fleet of 25 shuttle trains, which carry cars, coaches and trucks. It manages the infrastructure of the Channel Tunnel and receives toll revenues from train operating companies whose trains pass through the Tunnel. The British and French governments have granted Eurotunnel a concession to operate the Channel Tunnel until 2086. * * * Eurotunnel's crisis began when costs to build the tunnels that connect U.K. and France started to overrun before it opened in 1994. The Iraq war followed, which didn't help as tourist traffic fell. In May 2004, Eurotunnel appointed Lazard (global coordinator) and Lehman Brothers as bank advisors, and Dresdner Kleinwort Wasserstein as restructuring adviser. In July 2004, auditor KPMG Audit Plc said the company faces uncertainty after 2005. The firm's survival is dependent upon its ability to put in place a refinancing plan or, if not, to obtain an agreement with the lenders under the existing Credit Agreement within the next two years, the auditor said. Eurotunnel needs to obtain approval from other creditors and shareholders for a final agreement. Absent a final agreement, the Group may default in January 2007. On April 26, Eurotunnel obtained a third extension of its credit waiver, which calls for creditor talks to continue through July 12. ============= G E R M A N Y ============= ADD ON: Claims Registration Ends July 20 ---------------------------------------- Creditors of Add On AG have until July 20 to register their claims with court-appointed provisional administrator Philipp Grub. Creditors and other interested parties are encouraged to attend the meeting at 11:00 a.m. on Aug. 22, at which time the administrator will present his first report on the insolvency proceedings. The meeting of creditors will be held at: The District Court of Pforzheim Area 223 2nd Floor Mannheimer Str. 17 75179 Pforzheim, Germany The Court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The District Court of Pforzheim opened bankruptcy proceedings against Add On AG on June 12. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: Add On AG Hohenzollernstrasse 23 75177 Pforzheim, Germany Attn: Bernhard Karl Schultz, Manager Hermannstrasse 30 12049 Berlin, Germany The administrator can be contacted at: Dr. Philipp Grub Humboldtstr. 16 70178 Stuttgart, Germany BTG BURGWEDELER: Claims Registration Ends July 24 ------------------------------------------------- Creditors of BTG Burgwedeler Transport GmbH have until July 24 to register their claims with court-appointed provisional administrator Torsten Gutmann. Creditors and other interested parties are encouraged to attend the meeting at 8:20 a.m. on Aug. 22, at which time the administrator will present his first report on the insolvency proceedings. The meeting of creditors will be held at: The District Court of Hanover Hall 226 2nd Floor Office Building Hamburg Avenue 26 30161 Hanover, Germany The Court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The District Court of Hanover opened bankruptcy proceedings against BTG Burgwedeler Transport GmbH on June 8. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: BTG Burgwedeler Transport GmbH Attn: Harald Osada, Manager Lindenallee 13 30938 Burgwedel, Germany The administrator can be contacted at: Torsten Gutmann Kriegerstrasse 44 30161 Hannover, Germany Tel: 0511/2206268-0 Fax: 0511/2206268-9 CCI COMMERCIAL: Creditors' Meeting Slated for July 27 ----------------------------------------------------- The court-appointed provisional administrator for CCI Commercial Communication International GmbH, Christian Kohler-Ma, will present his first report on the Company's insolvency proceedings at a creditors' meeting at 9:45 a.m. on July 27. The meeting of creditors and other interested parties will be held at: The District Court of Charlottenburg Hall 218 II. Stock District Court Place 1 14057 Berlin, Germany The Court will also verify the claims set out in the administrator's report at 9:35 a.m. on Nov. 2 at the same venue. Creditors have until Sept. 3 to register their claims with the court-appointed provisional administrator. The District Court of Charlottenburg opened bankruptcy proceedings against CCI Commercial Communication International GmbH on June 15. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: CCI Commercial Communication International GmbH Stromstr. 2A 10555 Berlin, Germany The administrator can be reached at: Christian Kohler-Ma Kurfuerstendamm 212 10719 Berlin, Germany ELG KLEMPNER: Claims Registration Ends July 21 ---------------------------------------------- Creditors of ELG Klempner- und Heizungstechnik Handelsgesellschaft mbH have until July 21 to register their claims with court-appointed provisional administrator Gorge Scheid. Creditors and other interested parties are encouraged to attend the meeting at 9:00 a.m. on Aug. 23, at which time the administrator will present his first report on the insolvency proceedings. The meeting of creditors will be held at: The District Court of Leipzig Hall 056 Leipzig, Germany The Court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The District Court of Leipzig opened bankruptcy proceedings against ELG Klempner- und Heizungstechnik Handelsgesellschaft mbH on June 13. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: ELG Klempner- und Heizungstechnik Handelsgesellschaft mbH Bitterfelder Str. 7-11 04129 Leipzig, Germany The administrator can be contacted at: Gorge Scheid Jacobstrasse 25 04105 Leipzig, Germany GOALS 2006-1: Moody's Assigns P(Ba3) Rating to Class D Notes ------------------------------------------------------------ Moody's Investors Service has assigned these provisional ratings to four classes of asset-backed notes to be issued by GOALS 2006-1 Limited: -- EUR215.5 million Class A Floating Rate Notes due 2014: (P)Aaa; -- EUR20 million Class B Floating Rate Notes due 2014: (P)Aa1; -- EUR12.5 million Class C Floating Rate Notes due 2014: (P)Baa1; and -- EUR5 million Class D Floating Rate Notes due 2014: (P)Ba3. This is the first term and public securitization of equipment lease receivables by the Germany-based originator Grenke Leasing AG. The Baden-Baden domiciled company is listed on the Frankfurt stock exchange and is specialized in IT and office equipment leasing. The issuer will apply the proceeds from the issue of four classes of notes to pay the purchase price for the acquisition of a static, amortizing pool of lease receivables under a receivables purchase agreement between the issuer and the seller. According to Moody's, the ratings of the notes are based, inter alia, on these factors: -- the simple structure with static pool; -- the pool consisting only of fully amortizing lease contracts, but no residual value risk; -- the high level of diversity by lessees and region; -- the detailed and high quality historical information available; -- the servicer's experience with securitization; and -- the extremely limited commingling risk as regular collections go directly into the account of the issuer. Moody's issues provisional ratings in advance of the final sale of securities, but these ratings only represent Moody's preliminary credit opinion. Upon a conclusive review of the transaction and associated documentation, Moody's will endeavor to assign definitive ratings to the Notes. A definitive rating may differ from a provisional rating. Moody's will disseminate the assignment of any definitive ratings through its Client Service Desk. The ratings address the expected loss posed to investors by the legal final maturity of the notes. In Moody's opinion, the structure allows for timely payment of interest and ultimate payment of principal with respect to the notes by the legal final maturity. Moody's ratings address only the credit risks associated with the transaction. Other non-credit risks have not been addressed, but may have a significant effect on yield to investors. GOALS 2006-1: S&P Rates EUR5-Million Class D Notes at BB -------------------------------------------------------- Standard & Poor's Ratings Services assigned its preliminary credit ratings to the EUR250 million floating-rate asset-backed notes to be issued by GOALS 2006-1 Ltd., a special purpose entity incorporated under the laws of the Channel Islands. Under the terms and conditions of a receivables purchase agreement, Grenke Leasing AG will sell and assign IT and equipment lease receivables to GOALS 2006-1. "This is the first public securitization of IT and equipment lease receivables by Grenke," said Standard & Poor's credit analyst Andrea Gutermuth. "The issuer will use the proceeds from the issuance of the notes to pay the purchase price for the assets," Ms. Gutermuth added. Each lease receivable will be purchased at its present value, discounted at the implicit interest rate payable under the respective lease contract. To hedge any interest rate mismatch resulting from the fixed- rate interest payable on the leases and the floating rate payable by the issuer on the notes, GOALS 2006-1 will enter into an interest rate swap agreement with Grenke. However, as Grenke does not carry a sufficient short-term rating to support this transaction, Deutsche Bank AG will guarantee Grenke's net payment obligations under the swap. All collections in respect of scheduled lease installments will be directly booked to the issuer's account by way of direct debit from the lessees. Collections stemming from recovery proceeds on defaulted assets and collections for a repayment of recalled direct debits will be paid to an account in the name of the seller. Standard & Poor's has adequately sized for the commingling risk arising in this context. The scheduled lease installments will be inclusive of the VAT component pertaining to a lease receivable. However, the issuer will not fund against this VAT portion. Ratings List GOALS 2006-1 Ltd. EUR250 Million Floating-Rate Asset-Backed Notes Prelim. Prelim. Class rating amount (Mil. EUR) ----- ------ ------ A AAA 212.5 B A 20.0 C BBB 12.5 D BB 5.0 HAMBURGER AIRPORT: Claims Registration Ends July 28 -------------------------------------------------- Creditors of Hamburger Airport Service Import -- Export -- Handling GmbH have until July 28 to register their claims with court-appointed provisional administrator Jan H. Wilhelm. Creditors and other interested parties are encouraged to attend the meeting at 9:20 a.m. on Aug. 30, at which time the administrator will present his first report on the insolvency proceedings. The meeting of creditors will be held at: The District Court of Hamburg Hall B 405 (Civil Law Courts) 4th Floor Anbau Sievkingplatz 1 20355 Hamburg, Germany The Court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The District Court of Hamburg opened bankruptcy proceedings against Hamburger Airport Service Import -- Export -- Handling GmbH on June 12. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: Hamburger Airport Service Import -- Export -- Handling GmbH Attn: Manfred Riewe, Manager Obenhauptstrasse 1b 22335 Hamburg, Germany The administrator can be contacted at: Jan H. Wilhelm Albert-Einstein-Ring 11/15 22761 Hamburg, Germany Tel: 8995615 Fax: 8995610 HOTEL GRUNDBESITZ: Claims Registration Ends July 18 --------------------------------------------------- Creditors of Hotel Grundbesitz GmbH BRS have until July 18 to register their claims with court-appointed provisional administrator Paul Fink. Creditors and other interested parties are encouraged to attend the meeting at 9:00 a.m. on July 21, at which time the administrator will present his first report on the insolvency proceedings. The meeting of creditors will be held at: The District Court of Duesseldorf Area A 409 4th Floor Muehlenstrasse 34 40213 Duesseldorf, Germany The Court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The District Court of Duesseldorf opened bankruptcy proceedings against Hotel Grundbesitz GmbH BRS on June 8. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: Hotel Grundbesitz GmbH BRS Fruehlingsstr. 17 90431 Nuernberg, Germany Attn: Hans-Juergen Bornefeld, Manager 208 Cemin de la Calade 06140 Vence, France The administrator can be contacted at: Dr. Paul Fink Rheinort 1 40213 Duesseldorf, Germany LEVA QUELL: Claims Registration Ends July 21 -------------------------------------------- Creditors of Leva Quell Gesellschaft fuer Vertrieb von Levigations- und Kolloidationsanlagen mbH have until July 21 to register their claims with court-appointed provisional administrator Steffen Koch. Creditors and other interested parties are encouraged to attend the meeting at 9:00 a.m. on Aug. 14, at which time the administrator will present his first report on the insolvency proceedings. The meeting of creditors will be held at: The District Court of Walsrode Hall 130 Long Road 29-33 29664 Walsrode, Germany The Court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The District Court of Walsrode opened bankruptcy proceedings against Leva Quell Gesellschaft fuer Vertrieb von Levigations- und Kolloidationsanlagen mbH on June 13. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: Leva Quell Gesellschaft fuer Vertrieb von Levigations- und Kolloidationsanlagen mbH Attn: Wilfried Rummel, Manager Hohen Ufer 1 29690 Schwarmstedt, Germany The administrator can be contacted at: Dr. Steffen Koch Albert-Einstein-Ring 11 22761 Hamburg, Germany Tel: 040/89956-0 Fax: 040/89956-10 REMA INC: Creditors' Meeting Slated for July 27 ----------------------------------------------- The court-appointed provisional administrator for REMA Inc. & Co. Service KG, Dr. Wolfgang Schroder, will present his first report on the Company's insolvency proceedings at a creditors' meeting at 11:55 a.m. on July 27. The meeting of creditors and other interested parties will be held at: The District Court of Charlottenburg II. Stock Hall 218 District Court Place 1 14057 Berlin, Germany The Court will also verify the claims set out in the administrator's report at 11:20 a.m. on Nov. 16 at the same venue. Creditors have until Sept. 18 to register their claims with the court-appointed provisional administrator. The District Court of Charlottenburg opened bankruptcy proceedings against REMA Inc. & Co. Service KG on June 16. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: REMA Inc. & Co. Service KG Friedrichstr. 90 10117 Berlin, Germany The administrator can be reached at: Christoph Rosenmueller Berliner Str. 117 10713 Berlin, Germany STUDIO CLASSICO: Claims Registration Ends July 14 ------------------------------------------------- Creditors of Studio ClassiCo. Kreatives Marmor- und Fliesendesign GmbH have until July 14 to register their claims with court-appointed provisional administrator Hans G. Hanel. Creditors and other interested parties are encouraged to attend the meeting at 8:10 a.m. on July 25, at which time the administrator will present his first report on the insolvency proceedings. The meeting of creditors will be held at: The District Court of Weilheim Meeting Room E 020 Weilheim, Germany The Court will also verify the claims set out in the administrator's report at 8:00 a.m. on Sept. 12 at the same venue. The District Court of Weilheim opened bankruptcy proceedings against Studio ClassiCo. Kreatives Marmor- und Fliesendesign GmbH on June 8. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: Studio ClassiCo. Kreatives Marmor- und Fliesendesign GmbH Fruehlingsstr. 17 90431 Nuernberg, Germany The administrator can be contacted at: Hans G. Hanel Hauptstr. 37 82380 Peissenberg, Germany Tel: 08803/63660 Fax: 08803/636677 TERRAPLAN GARTEN: Claims Registration Ends July 17 -------------------------------------------------- Creditors of TerrAPlan Garten- und Landschaftsbau GmbH have until July 17 to register their claims with court-appointed provisional administrator Winfrid Andres. Creditors and other interested parties are encouraged to attend the meeting at 9:15 a.m. on Aug. 7, at which time the administrator will present his first report on the insolvency proceedings. The meeting of creditors will be held at: The District Court of Essen Hall 293, 2nd Floor Principal Establishment Gelber Bereich Zweigertstr. 52 45130 Essen, Germany The Court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The District Court of Essen opened bankruptcy proceedings against TerrAPlan Garten- und Landschaftsbau GmbH on June 14. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: TerrAPlan Garten- und Landschaftsbau GmbH Huxel 14 45549 Sprockhoevel, Germany The administrator can be contacted at: Dr. Winfrid Andres Heinrich-Held-Str. 16 45133 Essen, Germany Tel: 0201 330550 Fax: 0201 3305511 TS CO.MIT: Fitch Assigns Low-B Ratings to Two Note Classes ---------------------------------------------------------- Fitch Ratings assigned expected ratings to TS Co.mit One GmbH's issue of EUR503.2 million of floating-rate notes. -- EUR446,500,000 Class A: AAA; -- EUR15,000,000 Class B: AA; -- EUR13,900,000 Class C: A; -- EUR10,200,000 Class D: BBB; -- EUR11,300,000 Class E: BB; and -- EUR6,300,000 Class F: B. The final ratings are contingent upon the receipt of final documents conforming to information already received. The expected ratings of the Class A notes address the timely payment of interest and the ultimate repayment of principal. The expected ratings of the Class B to Class F notes address the ultimate payment of interest and principal according to the terms of the notes. Under the cash flow scenarios applied, the Class B to Class F notes are able to receive timely payment of interest. The expected ratings are based on the quality of the collateral, the available credit enhancement, the priority of payments, and the sound legal and financial structure of the transaction. Credit enhancement for the Class A to E notes is provided by subordination, the reserve account and available excess spread. Credit enhancement for the Class F notes is provided by the reserve account and excess spread. The scheduled maturity of all Classes of notes is June 2011, and the legal maturity is June 2013. This transaction is a cash securitization of loans certified by certificates of indebtedness to German small and medium-size enterprises. The transaction is the first true-sale securitization of Commerzbank-originated loans via the True Sale International platform. The portfolio comprises senior unsecured loan instruments that are either amortizing or have a bullet maturity. The loans have been specifically designed to be refinanced via a securitization and therefore contain standardized characteristics. The transaction will be static and will amortize relatively quickly, with a weighted average life of around 3 years. Subject to certain tests being met, the notes will amortize pro- rata as long as more than 50% of the initial pool balance is outstanding. To assess the credit quality of the portfolio, Fitch used a mapping approach to Commerzbank's internal rating system. Based on the mapping, the agency deems the average credit quality of the SME portfolio to be equivalent to a rating of BBB-/BB+. ========= I T A L Y ========= ALITALIA SPA: Might Give Up Plans for Volare Takeover ----------------------------------------------------- Alitalia S.p.A. is likely to abandon its planned takeover of low-cost carrier Volare S.p.A. following the conditional approval by Autorita Garante della Concorrenza e del Mercato, Italy's anti-trust authority, The Associated Press says. In a statement, Alitalia said its planned takeover of Volare might end up "dying in the courts" due to several legal cases against Alitalia, Reuters relates. As reported in TCR-Europe on July 7, Autorita Garante said Alitalia must give up two Volare slots at Milan Linate Airport and yield two of its Linate-to-Paris flight slots. Autorita Garante said an Alitali-Volare merger would control the market for the Linate-Paris route, leaving would-be sole rival easyJet a 25%-30% share and two slots, Reuters relates. Alitalia argues that Autorita Garante's analysis was not "professional" adding that the ruling might hurt local airlines to the advantage of other European carriers, the Associated Press said. "We are examining the decision and have 30 days [whether to accept or contest the conditions]," an Alitalia official told AFX News. Italy's State Council, the highest appellate court for administrative affairs, blocked Alitalia's EUR38 million takeover of Volare on May 24 due to certain flaws in the sale process. Air One had filed an appeal against a March 17 government decree approving Alitalia takeover of Volare Group. The State Council sustained Air One's appeal. As previously reported, the Italian government approved Alitalia's proposed takeover bid for Volare, following a favorable ruling from a Roman court. The Hon. Antonio Lamorgese and Stefano Olivieri had ruled that Alitalia's bid for Volare does not violate the European Commission's regulations on state aid. Air One is reportedly eyeing the carrier's prized slots at Milan's Linate Airport -- the closest commercial airport to the city. Alitalia had said it wanted to penetrate the low-cost market more effectively and develop leisure routes in the Milan and Lombardy regions through Volare. In February, Alitalia managing director Giancarlo Cimoli warned the Senate that the state carrier might lose EUR125 million if it fails to acquire Volare S.p.A. For the first three months of 2006, Alitalia booked EUR156.6 million in pre-tax loss, which the carrier attributed to the sharp increase in fuel costs and the industrial unrest that occurred in January. Net revenues amounted to EUR965 million, showing a decrease of EUR31 million compared a year ago. Operating loss amounted to EUR129 million, slightly higher than EUR118 million a year ago. About Volare Headquartered in Milan, Italy, Volare Group S.p.A. -- http://www.volare-group.it/-- is an operative holding company that controls Volare Airlines S.p.A. and Air Europe since 2001. The company declared insolvency on Nov. 22, 2004, citing huge debt and heavy losses. The group then filed for extraordinary administration, which allowed it to be protected from creditors while resuming daily operations. Volare emerged from administration in spring, after beating its EUR7 million revenue forecast by around EUR3.8 million. Volare needs fresh capital to expand its fleet. About Alitalia Headquartered in Rome, Italy, Alitalia S.p.A. -- http://www.alitalia.it/-- generates around EUR4.8 billion in annual revenue and employs more than 11,000 people. Alitalia flies to about 80 destinations in more than 60 countries from hubs in Rome and Milan and operates a fleet of about 185 aircraft. The Italian government owns 49.9% of Alitalia. Despite a EUR1.4 billion state-backed restructuring in 1997, Alitalia posted net losses of EUR256 million and EUR907 million in 2000 and 2001 respectively. Alitalia registered EUR93 million in net profits in 2002 after a EUR1.4 billion capital injection. The carrier booked net losses of EUR520 million in 2003; EUR813 million in 2004; and EUR168 million in 2005. IT HOLDING: S&P Affirms B- Long-Term Corp. Credit Rating -------------------------------------------------------- Standard & Poor's Ratings Services affirmed its 'B-' long-term corporate credit rating on Italy-based fashion company IT Holding SpA. The outlook is stable. At the same time, Standard & Poor's affirmed its 'CCC+' debt rating and '5' recovery rating on IT Holding Finance S.A.'s senior secured notes. The recovery rating indicates the agency's expectation of negligible recovery of principle for senior note holders in the case of a payment default. The debt rating and corporate credit rating were removed from CreditWatch with negative implications, where they were placed on July 28, 2005. "This rating action reflects an improvement in the group's liquidity following a successful renegotiation of the loan covenants, attesting to continuing bank support," said Standard & Poor's credit analyst Nicolas Baudouin. The rating reflects ITH's highly leveraged capital structure, reliance on short-term financing, poor cash flow generation, and exposure to changing consumer preferences in the fashion apparel industry's mid-price segment. Credit quality remains vulnerable to license renewal risk, as evidenced by the significant share of reported EBITDA--93% in 2005--derived from licensed brands. "S&P expects ITH's EBITDA to decline in 2007, as the company will feel the full impact of the loss of the D&G license," said Mr. Baudouin. "However, free cash flows are expected to be positive in both 2006 and 2007, thanks to a decrease in working capital and to the solid performance of the company's other brands, as already shown by robust first-quarter 2006 results." The outlook could be revised to positive if cash flow generation significantly improves from the weak levels experienced in 2005. Any new liquidity issue could put pressure on the ratings, but strong first-quarter results are likely to strengthen the support of the company's creditors. IT HOLDING FINANCE: S&P Affirms Junk Senior Secured Debt Ratings ---------------------------------------------------------------- Standard & Poor's Ratings Services affirmed its 'B-' long-term corporate credit rating on Italy-based fashion company IT Holding SpA. The outlook is stable. At the same time, Standard & Poor's affirmed its 'CCC+' debt rating and '5' recovery rating on IT Holding Finance S.A.'s senior secured notes. The recovery rating indicates the agency's expectation of negligible recovery of principle for senior note holders in the case of a payment default. The debt rating and corporate credit rating were removed from CreditWatch with negative implications, where they were placed on July 28, 2005. "This rating action reflects an improvement in the group's liquidity following a successful renegotiation of the loan covenants, attesting to continuing bank support," said Standard & Poor's credit analyst Nicolas Baudouin. The rating reflects ITH's highly leveraged capital structure, reliance on short-term financing, poor cash flow generation, and exposure to changing consumer preferences in the fashion apparel industry's mid-price segment. Credit quality remains vulnerable to license renewal risk, as evidenced by the significant share of reported EBITDA--93% in 2005--derived from licensed brands. "S&P expects ITH's EBITDA to decline in 2007, as the company will feel the full impact of the loss of the D&G license," said Mr. Baudouin. "However, free cash flows are expected to be positive in both 2006 and 2007, thanks to a decrease in working capital and to the solid performance of the company's other brands, as already shown by robust first-quarter 2006 results." The outlook could be revised to positive if cash flow generation significantly improves from the weak levels experienced in 2005. Any new liquidity issue could put pressure on the ratings, but strong first-quarter results are likely to strengthen the support of the company's creditors. VOLARE SPA: Alitalia Might Give Up Takeover Plans ------------------------------------------------- Alitalia S.p.A. is likely to abandon its planned takeover of low-cost carrier Volare S.p.A. following the conditional approval by Autorita Garante della Concorrenza e del Mercato, Italy's anti-trust authority, The Associated Press says. In a statement, Alitalia said its planned takeover of Volare might end up "dying in the courts" due to several legal cases against Alitalia, Reuters relates. As reported in TCR-Europe on July 7, Autorita Garante said Alitalia must give up two Volare slots at Milan Linate Airport and yield two of its Linate-to-Paris flight slots. Autorita Garante said an Alitali-Volare merger would control the market for the Linate-Paris route, leaving would-be sole rival easyJet a 25%-30% share and two slots, Reuters relates. Alitalia argues that Autorita Garante's analysis was not "professional" adding that the ruling might hurt local airlines to the advantage of other European carriers, the Associated Press said. "We are examining the decision and have 30 days [whether to accept or contest the conditions]," an Alitalia official told AFX News. Italy's State Council, the highest appellate court for administrative affairs, blocked Alitalia's EUR38 million takeover of Volare on May 24 due to certain flaws in the sale process. Air One had filed an appeal against a March 17 government decree approving Alitalia takeover of Volare Group. The State Council sustained Air One's appeal. As previously reported, the Italian government approved Alitalia's proposed takeover bid for Volare, following a favorable ruling from a Roman court. The Hon. Antonio Lamorgese and Stefano Olivieri had ruled that Alitalia's bid for Volare does not violate the European Commission's regulations on state aid. Air One is reportedly eyeing the carrier's prized slots at Milan's Linate Airport -- the closest commercial airport to the city. Alitalia had said it wanted to penetrate the low-cost market more effectively and develop leisure routes in the Milan and Lombardy regions through Volare. In February, Alitalia managing director Giancarlo Cimoli warned the Senate that the state carrier might lose EUR125 million if it fails to acquire Volare S.p.A. For the first three months of 2006, Alitalia booked EUR156.6 million in pre-tax loss, which the carrier attributed to the sharp increase in fuel costs and the industrial unrest that occurred in January. Net revenues amounted to EUR965 million, showing a decrease of EUR31 million compared a year ago. Operating loss amounted to EUR129 million, slightly higher than EUR118 million a year ago. About Alitalia Headquartered in Rome, Italy, Alitalia S.p.A. -- http://www.alitalia.it/-- generates around EUR4.8 billion in annual revenue and employs more than 11,000 people. Alitalia flies to about 80 destinations in more than 60 countries from hubs in Rome and Milan and operates a fleet of about 185 aircraft. The Italian government owns 49.9% of Alitalia. Despite a EUR1.4 billion state-backed restructuring in 1997, Alitalia posted net losses of EUR256 million and EUR907 million in 2000 and 2001 respectively. Alitalia registered EUR93 million in net profits in 2002 after a EUR1.4 billion capital injection. The carrier booked net losses of EUR520 million in 2003; EUR813 million in 2004; and EUR168 million in 2005. About Volare Headquartered in Milan, Italy, Volare Group S.p.A. -- http://www.volare-group.it/-- is an operative holding company that controls Volare Airlines S.p.A. and Air Europe since 2001. The company declared insolvency on Nov. 22, 2004, citing huge debt and heavy losses. The group then filed for extraordinary administration, which allowed it to be protected from creditors while resuming daily operations. Volare emerged from administration in spring, after beating its EUR7 million revenue forecast by around EUR3.8 million. Volare needs fresh capital to expand its fleet. =================== K A Z A K H S T A N =================== AK-JOL: Creditors Must File Claims by July 24 --------------------------------------------- The Specialized Inter-Regional Economic Court of Jambyl Region declared LLP AK-Jol insolvent on March 14. Subsequently, bankruptcy proceedings were introduced at the company. Creditors have until July 24 to submit written proofs of claim to: The Specialized Inter-Regional Economic Court of Jambyl Region Suleimanova Str. 17 (11a) Taraz, Jambyl Region Kazakhstan Tel: 8 (3262) 43-25-52 ATYRAU-MANUFAKTURA: Creditors Must File Claims by July 24 --------------------------------------------------------- The Specialized Inter-Regional Economic Court of Atyrau Region declared LLP Atyrau-Manufaktura insolvent. Creditors have until July 24 to submit written proofs of claim to: The Specialized Inter-Regional Economic Court of Atyrau Region 3rd floor Abai Str. 10 Atyrau, Atyrau Region Kazakhstan BERIK JOL: Creditors Must File Claims by July 24 ------------------------------------------------ The Specialized Inter-Regional Economic Court of Kostanai Region declared LLP Berik Jol insolvent on April 28 without the introduction of bankruptcy proceedings. Creditors have until July 24 to submit written proofs of claim to: The Specialized Inter-Regional Economic Court of Kostanai Region Gogol Str. 177a Kostanai, Kostanai Region Kazakhstan JURASSIC OIL: Proof of Claim Deadline Slated for July 24 -------------------------------------------------------- LLP Jurassic Oil (RNN 600900557785) has declared insolvency. Creditors have until July 24 to submit written proofs of claim to: LLP Jurassic Oil Mitina Str. 13 Almaty, Kazakhstan Tel: 8 (3272) 60-12-77 KAZNUR: Kyzylorda Court Opens Bankruptcy Proceedings ---------------------------------------------------- The Specialized Inter-Regional Economic Court of Kyzylorda Region commenced bankruptcy proceedings against LLP Kaznur on May 19. Proofs of claim will be accepted at: The Specialized Inter-Regional Economic Court of Kyzylorda Region Aiteke bi Str. 29 Kyzylorda Kazakhstan MARIA: Proof of Claim Deadline Slated for July 24 ------------------------------------------------- The Specialized Inter-Regional Economic Court of Aktube region declared LLP Maria insolvent. Creditors have until July 24 to submit written proofs of claim to: The Specialized Inter-Regional Economic Court of Aktube Region Altynsarina Str. 31 Aktobe, Aktube Region Kazakhstan Tel: 8 (3132) 21-30-32 REI TUR: Mangistau Court Begins Bankruptcy Proceedings ------------------------------------------------------ The Specialized Inter-Regional Economic Court of Mangistau Region commenced bankruptcy proceedings against LLP Rei Tur. The Specialized Inter-Regional Economic Court of Mangistau Region can be reached at: Micro District 27 Aktau, Kazakhstan Tel: 8 (3292) 41-22-37 STANDART-SKIM: Claims Registration Ends July 24 ----------------------------------------------- The Specialized Inter-Regional Economic Court of Aktube Region declared LLP Standart-Skim insolvent. Creditors have until July 24 to submit written proofs of claim to: The Specialized Inter-Regional Economic Court of Aktube Region Altynsarina Str. 31 Aktobe, Aktube Region Kazakhstan Tel: 8 (3132) 21-30-32 URDJAR: Mangistau Court Begins Bankruptcy Process ------------------------------------------------- The Specialized Inter-Regional Economic Court of Mangistau Region commenced bankruptcy proceeding against LLP Urdjar on May 22. The Specialized Inter-Regional Economic Court of Mangistau Region can be reached at: Micro District 27 Aktau, Kazakhstan Tel: 8 (3292) 41-22-37 USHKATTINSKAYA PETROLEUM: Creditors' Claims Due July 24 ------------------------------------------------------- The Specialized Inter-Regional Economic Court of Aktube region declared JSC Ushkattinskaya Petroleum Storage Depot insolvent. Creditors have until July 24 to submit written proofs of claim to: The Specialized Inter-Regional Economic Court of Aktube Region Altynsarina Str. 31 Aktobe, Aktube Region Kazakhstan Tel: 8 (3132) 21-30-32 =================== K Y R G Y Z S T A N =================== ARISTA: Creditors Must File Claims by Aug. 18 --------------------------------------------- LLC Arista has declared insolvency. Creditors have until Aug. 18 to submit written proofs of claim to: LLC Arista Chui Ave. 226 Bishkek, Kyrgyzstan ATRIDA: Proof of Claim Deadline Slated for Aug. 18 -------------------------------------------------- LLC Atrida has declared insolvency. Creditors have until Aug. 18 to submit written proofs of claim to: LLC Atrida Sadygalieva Str. 5 Bishkek, Kyrgyzstan OXNARD: Claims Registration Ends Aug. 18 ---------------------------------------- LLC Oxnard has declared insolvency. Creditors have until Aug. 18 to submit written proofs of claim. Inquiries can be addressed to (+996 312) 47-35-50. ===================== N E T H E R L A N D S ===================== KONINKLIJKE AHOLD: Selling 46 Tops Supermarkets in Ohio ------------------------------------------------------- Koninklijke Ahold N.V. has decided to divest 46 Tops supermarkets in Northeast Ohio, United States. This geographically separate region is no longer considered a core part of Tops' market area, which is concentrated in New York and Pennsylvania. The 46 stores are located in Greater Cleveland, Akron, Youngstown and Norwalk and currently employ approximately 3,800 full and part-time employees. William Blair & Company, LLC has been retained to coordinate discussions with potential buyers. Tops Markets is part of Ahold's Giant-Carlisle/Tops Arena and currently operates 119 Tops Markets and four Martin's Super Food Stores in New York, Pennsylvania and Ohio. About Ahold Headquartered in Amsterdam, Koninklijke Ahold N.V. -- http://www.ahold.com/-- retails food through supermarkets, hypermarkets and discount stores in North and South America, Europe and Asia. The company's chain stores includes Stop & Shop, Giant, TOPS, Albert Heijn and Bompreco. Ahold also supplies food to restaurants, hotels, healthcare institutions, government facilities, universities, stadiums, and caterers. * * * Moody's Investors Service and Standard and Poor's has assigned low-B ratings to the company's 5.625% senior notes due 2007. Also, the company's 5.875% senior unsubordinated notes due 2008 and 6.375% senior unsubordinated notes due 2007 carry Moody's, S&P's and Fitch's low-B ratings. =========== N O R W A Y =========== ADB SYSTEMS: Completes Sale of Norwegian Unit for US$2.8 Million ---------------------------------------------------------------- Northcore Technologies Inc., formerly ADB Systems International Ltd., successfully completed the sale of its Norwegian business unit for US$2.8 million in cash and debt settlement as well as a four-year revenue share agreement. Shareholders at the company's annual general meeting approved the transaction. At the meeting, shareholders also voted to change the company's name to Northcore Technologies. The company will continue to trade under the symbols ADY on the TSX and ADBYF on the over-the-counter market until further notice. New trading symbols will be introduced within two weeks pending regulatory approvals and process. About ADB Systems Headquartered in Ontario, Canada, ADB Systems International Ltd. (TSX: ADY; OTCBB: ADBYF) -- http://www.adbsys.com/-- delivers asset lifecycle management solutions that help organizations source, manage and sell assets for maximum value. ADB works with a growing number of customers and partners in a variety of sectors including oil and gas, government, healthcare, manufacturing and financial services. Through its wholly owned subsidiary, ADB Systems USA, Inc., ADB owns a 50% interest in GE Asset Manager, a joint business venture with GE. ADB has offices in Toronto (Canada), Stavanger (Norway), Tampa (U.S.), Dublin (Ireland), and London (U.K.). At Dec. 31, 2005, the Company's balance sheet showed a stockholders' deficit of CDN$2,710,000, compared to a CDN$1,009,000 deficit at Dec. 31, 2004. =============== P O R T U G A L =============== EUROPROP EMC: S&P Assigns BB Rating to EUR8-Mln Class F Notes ------------------------------------------------------------- Standard & Poor's Ratings Services assigned its preliminary credit ratings to the EUR648.05 million commercial mortgage- backed floating-rate notes to be issued by EuroProp (EMC) S.A., a special purpose entity. EuroProp will use the proceeds of the issuance to acquire four commercial loans and subscribe to FCC notes and SAGRES notes issued by French and Portuguese compartments in relation to an additional four loans. Citibank International PLC and/or Citibank N.A., London branch originated all eight loans between May 2005 and February 2006. The loans are secured against commercial real estate assets located predominantly in Germany but also France, Sweden, Portugal, and Belgium. EuroProp is the fourth securitization to be launched using the Citibank European Mortgage Conduit (EMC) platform and its first to incorporate a conduit pan-European pool of large commercial real estate loans. Ratings List EuroProp (EMC) S.A. (Compartment 1) EUR648.05 Million Commercial Mortgage-Backed Floating-Rate Notes Prelim. Prelim. Class rating amount (Mil. EUR) ----- ------ ------ A AAA 485.00 X (2) AAA 0.05 B AA 55.00 C A 37.80 D (1) BBB 41.00 E (1) BBB- 21.20 F (1) BB 8.00 (1) Subject to an available funds cap mechanism. Consequently, the class D, E, and F noteholders may receive a variable interest coupon in the event of various loan prepayment scenarios. (2) The class X notes are subject to a variable interest coupon. =========== R U S S I A =========== ADYGE-KHABL-TRANS-AUTO: Court Starts Bankruptcy Supervision ----------------------------------------------------------- The Arbitration Court of Karachaevo-Cherkessiya Republic has commenced bankruptcy supervision procedure on OJSC Adyge-Khabl- Trans-Auto. The case was docketed under Case No. A25-3794/05-8. The Temporary Insolvency Manager is: Mr. A. Fedorenko Office 301 Lenina Str. 384 355003 Stavropol Region Russia The Debtor can be reached at: OJSC Adyge-Khabl-Trans-Auto Shosseynaya Str. 5 Erken-Shakhar Adyge-Khablskiy Region Karachaevo-Cherkessiya Republic Russia AMURSKIY BAKERY: Court Names I. Neumoin as Insolvency Manager ------------------------------------------------------------- The Arbitration Court of Khabarovsk Region appointed Mr. I. Neumoin as Insolvency Manager for OJSC Amurskiy Bakery. He can be reached at: I. Neumoin Apartment 92 Gamarnika Str. 11 690033 Vladivostok Region Russia The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A 73-19121/2005-38. The Debtor can be reached at: OJSC Amurskiy Bakery Mira Pr. 47. Amursk 682640 Khabarovsk Region Russia ARDATOVSKIY: Court Starts Bankruptcy Supervision ------------------------------------------------ The Arbitration Court of Mordoviya Republic has commenced bankruptcy supervision procedure on OJSC Butter Making Plant Ardatovskiy. The case is docketed under Case No. A39-369/06-5/7. The Temporary Insolvency Manager is: Mr. A. Ivlev Post User Box 1068 432026 Ulyanovsk-26 Russia The Debtor can be reached at: OJSC Butter Making Plant Ardatovskiy Rabochaya Str. 79 Ardatov 431860 Mordoviya Republic Russia BRATSK-INVEST-WOOD: Court Names A. Drozdov Insolvency Manager ------------------------------------------------------------- The Arbitration Court of Irkutsk Region appointed Mr. A. Drozdov as Insolvency Manager for CJSC Bratsk-Invest-Wood (TIN 5506042438). The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A19-8487/06-38. The Debtor can be reached at: CJSC Bratsk-Invest-Wood Apartment 8 Olimpiyskaya Str. 5 Energetik Bratsk 665712 Irkutsk Region Russia GAZPROM: Earns RUB315.9 Billion of Net Income in 2005 ----------------------------------------------------- OAO Gazprom issued its audited consolidated financial statements on July 7 prepared in accordance with International Financial Reporting Standards. For the year ended Dec. 31, 2005, Gazprom earned RUB315.9 billion in net profit, compared to RUB209.4 billion in net profit for the same period in 2004. In 2005, sales -- net of excise, VAT and customs duties -- increased by RUB406.8 billion, or 42%, to RUB1.4 trillion, from 2004's RUB976 billion net sales. The consolidation of Sibneft resulted in growth in sales by RUB90.9 billion. The company's 2005 profit attributable to its equity holders totaled RUB311.1 billion, compared to RUB209.4 billion for the same period in 2004. "Our net debt balance increased by RUB297.6 billion, or 60%, from RUB499.8 billion as of Dec. 31, 2004, to RUB797.4 billion as of Dec. 31, 2005," the company said. "This is primarily due to increased borrowings obtained to finance the purchase of Sibneft." About Gazprom Headquartered in Moscow, Russia, OAO Gazprom -- http://www.gazprom.ru/eng-- produces 94% of the country's natural gas, controls 25% of the world's reserves, and is also the world's largest gas producer. It focuses on gas exploration, processing, transport, and marketing. * * * As reported in the TCR-Europe on Jan. 18, Standard & Poor's Ratings Services raised its long-term corporate credit rating on OAO Gazprom to 'BB+' from 'BB'. As reported in the TCR-Europe on Oct 27, 2005, Fitch Ratings upgraded Gazprom International S.A. Series 1 US$1.25-billion structured export notes due Feb. 1, 2020 (XS0197695009) to 'BBB' from 'BBB-'. The upgrade follows Fitch's upgrade of OAO Gazprom's, the world's largest gas company, Senior Unsecured local and foreign currency ratings to 'BB+' from 'BB', and a change in Gazprom's going concern assessment, which is now equivalent to a 'BBB' rating compared to 'BBB-' previously. GORNOVSKIY: Court Commences Bankruptcy Supervision -------------------------------------------------- The Arbitration Court of Saratov Region has commenced bankruptcy supervision procedure on OJSC Gornovskiy Combine Of Building Materials (TIN 6418002501). The case is docketed under Case No. A57-27B/06-32. The Temporary Insolvency Manager is: Mr. V. Potekhin Ak.Zhuk Str. 27 Balakovo 413540 Saratov Region Russia The Debtor can be reached at: OJSC Gornovskiy Combine of Building Materials Gornyj Krasnopartizanskiy Region Saratov Region Russia KUBANSKAYA FUEL: Court Names R. Loshkobanov Insolvency Manager -------------------------------------------------------------- The Arbitration Court of Krasnodar Region appointed Mr. R. Loshkobanov as Insolvency Manager for LLC Kubanskaya Fuel Company. The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A-32-6077/2005-27/100-B. The Debtor can be reached at: LLC Kubanskaya Fuel Company Zapolotnyanaya Str. 20 Ust-Labinsk Krasnodar Region Russia MB CAPITAL: Fitch Gives Final B Rating to US$100-Mln Notes ---------------------------------------------------------- Fitch Ratings assigned MB Capital S.A.'s US$100-million issue of 8.8% loan participation notes due June 2009 final ratings of Long-term B and Recovery RR4. The notes are used solely for financing a loan to Russia's Moscow Bank for Reconstruction and Development (rated Issuer Default B/Stable, Short-term B, Individual D/E, Support 4 and National Long-term BBB-/Stable). MBRD was founded in 1993, and at end-2005 ranked among the 35th largest Russian banks by total assets. Its parent, Sistema Joint Stock Financial Corp. (IDR 'B+'), a financial industrial group, has subsidiaries in many sectors, although its primary area of focus is telecommunications. NORTH-WEST: Pays 11 Coupon Yield Under Second Bond Issue in Full ---------------------------------------------------------------- AKB Svyaz Bank, acting as the Payment Agent for JSC North-West Telecom's series 02 bonds, paid the 11 coupon yield in full on July 5 under the bonds of the second issue of JSC NWT. The list of authorized recipients of a coupon yield under the bonds was finalized as of June 26. The rate of the 10th coupon is 7.5% per annum, RUR18.7 having been charged on each bond. The total amount allocated for the 110th coupon payment amounted to RUR28.05 million. Bonds of the second issue of OJSC NWT are series 02 documentary interest-bearing bonds payable to bearer, with obligatory centralized care. The state registration No. is 4-02-00119-A. The issue has been floated at the Moscow Interbank Currency Exchange on Oct. 28, 2003, and includes 1.5 million four-year securities with the face value of RUB1,000. The rate of the first coupon was established at an auction to the amount of 14.2% per annum, the bond-equivalent yield for the two-year offer having been 14.46% per annum. Payment of 16 quarterly coupons is provided for under the bonds. * Rates of the 1st-4th coupons: 14.2% per annum; (established at an auction during the floatation) * Rates of the 5th-8th coupons: 13.2% per annum; (established at an auction during the floatation) * Rates of the 9th-16th coupons: 7.5% (established by the Board of Directors). Repayment of the bonds will be effected in three stages: * on the 1092nd and 1274th days from the date of the floatation start the Company will pay 30% of the bond face value to each bond holder; * on the 1456th day the remaining 40% of the bond face value will be paid to the bond holders. About North-West Telecom OAO North-West Telecom is one of Russia's major telecommunication companies, and the leading operator in the North-West Federal District, providing traditional telephone services, as well as Internet and advanced data services. NWT originated from the merger of 10 regional fixed line operators and is ranked among the Financial Times' Top 100 major Eastern European companies. NWT ranks eighth in Standard & Poor's Transparency Index of the 50 largest MICEX-listed companies and fifth in the S & P Corporate governance rating. NWT international debt is rated by S&P B+ with stable outlook and domestic debt ruA+. * * * Standard & Poor's has assigned B+ ratings to North-West Telecom's long-term foreign issuer and local issuer credit ratings. Fitch also assigned a B+ rating to the company's foreign currency long-term debt and a B rating to its foreign currency short-term debt. PNEVMATIK: Court Starts Bankruptcy Supervision ---------------------------------------------- The Arbitration Court of Severnaya Osetiya Republic - Alaniya has commenced bankruptcy supervision procedure on OJSC Pnevmatik. The case is docketed under Case No. A61-2548/05-11. The Temporary Insolvency Manager is: Mr. R. Guriev Stavropolskaya Str. 6. Vladikavkaz Severnaya Osetiya Republic - Alaniya Russia The Debtor can be reached at: OJSC Pnevmatik Stavropolskaya Str. 6. Vladikavkaz Severnaya Osetiya Republic - Alaniya Russia RIA: Court Appoints S. Orlov as Insolvency Manager -------------------------------------------------- The Arbitration Court of Rostov Region appointed Mr. S. Orlov as Insolvency Manager for LLC Agro Company Ria. The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A53-33781/05-S2-7. The Debtor can be reached at: LLC Agro Company Ria Abramova Pr. 1. Semikarakorsk Rostov Region Russia SLAVSKIY DIARY: Court Names Mr. A. Trifonov Insolvency Manager -------------------------------------------------------------- The Arbitration Court of Kaliningrad Region appointed Mr. A. Trifonov as Insolvency Manager for LLC Slavskiy Diary. The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A21-10739/2005. The Debtor can be reached at: LLC Slavskiy Diary Mayakovskogo Str. 3a Sovetsk Kaliningrad Region Russia SPECIAL TECHNOLOGICAL: Court Starts Bankruptcy Supervision ---------------------------------------------------------- The Arbitration Court of Altay Region has commenced bankruptcy supervision procedure on OJSC Special Technological Equipment. The case is docketed under Case No. A03-1466/06-B. The Temporary Insolvency Manager is: Mr. A. Lyutyj Kalinina Pr. 28 Barnaul 545037 Altay Region Russia The Debtor can be reached at: OJSC Special Technological Equipment Kalinina Pr. 28 Barnaul 656037 Altay Region Russia TIME: Stavropol Court Commences Bankruptcy Supervision ------------------------------------------------------ The Arbitration Court of Stavropol Region has commenced bankruptcy supervision procedure on OJSC Time. The case is docketed under Case No. A63-3067/06-S5. The Temporary Insolvency Manager is: Mr. Y. Shapovalov Ermolova Str. 38 Pyatigorsk Stavropol Region Russia The Debtor can be reached at: OJSC Time Rucheynyj Per. 112a Blagodarnyj Stavropol Region Russia TOMSKIY YEAST: Court Names V. Chayka as Insolvency Manager ---------------------------------------------------------- The Arbitration Court of Tomsk Region appointed Mr. V. Chayka as Insolvency Manager for CJSC Tomskiy Yeast Factory. The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A67-3174/06. The Debtor can be reached at: CJSC Tomskiy Yeast Factory Lenina Pr. 190 Tomsk Region Russia TURDEYSKIY PIT: Court Names V. Druzhchenko as Insolvency Manager ---------------------------------------------------------------- The Arbitration Court of Tula Region appointed Mr. V. Druzhchenko as Insolvency Manager for OJSC Turdeyskiy Pit. The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A-68-163/B-05. The Debtor can be reached at: OJSC Turdeyskiy Pit 453110 Tula Region Russia VIMPELCOM: Owes RUB1.8 Billion in Taxes for FY 2003-2004 -------------------------------------------------------- OJSC Vimpel-Communications has received the final decision of the review of VimpelCom's 2003-2004 Russian tax filings by its tax inspectorate. The decision states that the Company owes an additional RUB1.8 billion in taxes (US$674 million) which includes RUB349 million in fines and penalties. Over 55% of the amount set forth in the final decision relates to the tax inspectorate claiming that, in their opinion, the Company incorrectly deducted doubtful and bad subscriber debt which, however, can be partly deductible in 2005. "We will pay it because we have to, but we do not think it is right and will fight it in court," spokeswoman Yuliya Ostroukhova was quoted by Reuters as saying. Following its agreement with the tax inspectorate, the total net amount to be paid is RUB652 million (US$24.3 million). The tax authorities confirmed that the company overpaid RUB795 million (US$29.6 million) in its 2003-2004 taxes and allowed the company to use the overpaid money to pay the debt, Reuters relates. VimpelCom does not agree with the claims of the tax authorities and plans to subsequently appeal its position in court, which may result in a further decrease of its tax payables. About VimpelCom Headquartered in Moscow, Russia, VimpelCom -- http://www.vimpelcom.com/-- provides mobile telecommunications services in Russia and Kazakhstan with newly acquired operations in Ukraine, Tajikistan and Uzbekistan. The Company operates under the 'Beeline' brand in Russia and Kazakhstan. In addition, VimpelCom is continuing to use 'K-mobile' and 'EXCESS' brands in Kazakhstan. * * * As reported in TCR-Europe on Feb. 16, Standard & Poor's Ratings Services said that its ratings and outlook on Russian mobile telecommunications operator Vimpel-Communications (VimpelCom; BB/Positive/--) are unaffected by the company's announcement that it has launched a bid for Ukraine-based mobile telecommunications operator CJSC Kyivstar GSM (BB-/Watch Positive/--) for a consideration of US$5 billion in VimpelCom common registered shares plus assumed debt. VKM LEASING: Fitch Puts CCC Rating on Issuer Default ---------------------------------------------------- Fitch Ratings assigned Russia's CJSC VKM Leasing and Issuer Default rating of CCC and a Short-term rating of C. The rating Outlook is Stable. The ratings reflect VKM Leasing's small size, limited track record, concentrated business, high leverage and potentially vulnerable liquidity profile. Its ratings would benefit from a less leveraged balance sheet, a more prudent liquidity profile and a less concentrated lease portfolio. There is a possibility that the lease portfolio will become less concentrated over the medium-term. Deterioration in liquidity, potentially caused by the default of a major lessee, could result in rating pressure. VKM Leasing is very highly leveraged. At end-2005, the balance sheet was only 2% equity funded and equity totaled just US$1.2 million. The company is likely to remain highly leveraged, given its rapid expansion plans and the owners' intentions to take periodic dividends out of the company. VKM Leasing's liquidity profile is very tight and a minimal, albeit improving level of liquid assets are maintained on balance sheet. Liquidity has to-date relied on matching payments from lessees with repayments of bank finance. Liquidity could be forthcoming from associated companies within the wider VKM group, if needed but some concerns exist as to ability and timeliness. VKM Leasing's lease portfolio has grown rapidly and management is looking for further rapid growth. The portfolio is unseasoned and highly concentrated, both by lease asset and by exposure to individual lessees. The company's short history and concentrated business means performance to-date may not be indicative of the future. The return on average assets was a respectable 3.6% in 2005. Fitch Ratings expects the leasing sector to continue to grow strongly in Russia, including the rolling stock asset class. New entrants could squeeze margins, however, even if VKM Leasing does benefit from being part of a leading rolling stock manufacturer. VKM Leasing's risk management function will need expanding and upgrading if the company is to achieve its growth plans in a controlled manner. The company was founded in Q104 to facilitate, via leasing, the sale of railway rolling stock manufactured by the wider VKM group, whose main asset is the rolling stock manufacturer, Ruskhimmash. It offers finance leases of railway rolling stock to a small number of mid-sized Russian corporates. ZAPADNODVINSKIY FLAX: S. Fedyunin to Manage Insolvency Assets ------------------------------------------------------------- The Arbitration Court of Tver Region appointed Mr. S. Fedyunin as Insolvency Manager for OJSC Zapadnodvinskiy Flax Factory (TIN 6922101202) The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A66-13961/2005. The Debtor can be reached at: OJSC Zapadnodvinskiy Flax Factory Lnozavodskaya Str. 1. Zapadnyaya Dvina Tver Region Russia ========= S P A I N ========= HIPOCAT 10: Moody's Junks EUR25.5-Million Series D Notes -------------------------------------------------------- Moody's Investors Service assigned these definitive credit ratings to seven series of Bonos de Titulizacion de Activos issued by HIPOCAT 10 Fondo de Titulizacion de Activos, a Spanish Asset Securitisation Fund that has been created by Gesti�n de Activos Titulizados, S.G.F.T, S.A: -- EUR160.0 million Series A1 notes: Aaa; -- EUR733.4 million Series A2 notes Aaa; -- EUR300.0 million Series A3 notes: Aaa; -- EUR200.0 million Series A4 notes: Aaa; -- EUR54.8 million Series B notes: Aa2; -- EUR51.8 million Series C notes: Baa2; and -- EUR25.5 million Series D notes: Caa3. Moody's definitive ratings address the expected loss posed to investors by the legal final maturity of each Series. The rating agency believes that the structure allows for timely payment of interest and ultimate payment of principal on Series A1, A2, A3, A4, B and C at par on or before their respective rated legal maturity dates, and for ultimate payment of interest and principal at par on or before the rated final legal maturity date on Series D. Moody's ratings address only the credit risks associated with the transaction. Other non-credit risks have not been addressed, but may have a significant effect on yield to investors. According to Moody's, this deal benefits from several strengths, including: -- a swap agreement, which guarantees a 65-bppa excess spread; -- a Reserve Fund that is fully funded upfront to cover a potential shortfall in interest and principal; -- an 18-month artificial write-off mechanism; and -- the securing of 100% of loans by residential mortgages. However, the transaction poses several challenging features, namely: -- the existence of loans which can enjoy grace periods both in interest and principal; -- the possibility of redrawing on already amortized amounts; -- high LTV lending; and -- geographical concentration in the region of Catalonia, mitigated in part by the fact that this is the region of Caixa Catalunya's origin, where it has its highest expertise. The product being securitized under HIPOCAT 10 is the first drawdown of a mortgage product designed by Caixa Catalunya and marketed under the name Credito Total Primera Vivienda. In terms of collateral, at closing the deal has WA Current LTV levels of 80.39%, and a strong regional presence in Catalonia. The average loan size is EUR136,202. The loans were originated between 1994 and 2006, resulting in a weighted average seasoning of 1.41 years. Moody's based the provisional ratings primarily on: -- an evaluation of the underlying portfolio of mortgage loans securing the structure, and -- the transaction's structural protections, which include the subordination of the notes, the swap agreement partially hedging the interest rate risk, the liquidity facility, the reserve fund and any excess spread available to cover losses. TDA 26-MIXTO: Moody's Assigns Ca Rating to Series 1-D Notes ----------------------------------------------------------- Moody's Investors Service assigned these definitive ratings to five series of Bonos de Titulizacion de Activos to be issued by TdA 26-Mixto Fondo de Titulizacion de Activos, a Spanish asset securitization fund that has been created by Titulizacion de Activos, S.G.F.T, S.A.: -- EUR165 million Series 1-A1 notes: Aaa; -- EUR636.4 million Series 1-A2 notes: Aaa; -- EUR18.2 million Series 1-B notes: Aa3; -- EUR5.4 million Series 1-C notes Baa1; and -- EUR6.2 million Series 1-D notes: Ca. Moody's definitive ratings address the expected loss posed to investors by the legal final maturity. The rating agency believes that the structure of the TdA 26-MIXTO GROUP 1 notes allows for timely payment of interest and ultimate payment of principal at par, on or before the final legal maturity date and not at any other expected maturity date, on Classes 1-A/1-B/1-C and for ultimate payment of interest and principal at par on or before the final legal maturity date on Series 1-D. The ratings do not address the full redemption of the notes on the expected maturity date. Moody's ratings address only the credit risks associated with the transaction. Other non-credit risks have not been addressed, but may have a significant effect on yield to investors. According to Moody's, this deal benefits from strong features, including: -- the swap agreements, which guarantees 55 bppa excess spread; -- a reserve fund that is fully funded upfront to cover a potential shortfall in interest and principal; -- a 12-month artificial write-off mechanism; -- the securing of 100% of loans by residential mortgages; and -- the regional diversification. However, Moody's notes that the deal also has weaknesses, including: -- the deferral of interest payments on each of Series 1-B and 1-C increases the expected loss on these subordinated series; and -- pro-rata amortization of the 1-B and 1-C Series of notes leads to reduced credit enhancement of the senior series in absolute terms. These increased risks were reflected in Moody's credit enhancement calculation. The products being securitized are first-lien mortgage loans granted to individuals, all of whom will use these loans to acquire or refurbish properties located in Spain, originated by BanCo. Guipuzcoano and Banca March, which will continue to service them. As of May 24, the provisional portfolio comprised 7,489 loans for a total amount of EUR905,582,509.74. The original weighted average LTV (WALTV) is 63.56%. The current WALTV is 59.19%. The average loan size is EUR120,922. The loans were originated between 1994 and 2005, with a weighted average seasoning of 24.41 months. The pool is concentrated in the Balearic Islands, Madrid and Valencia. All the properties on which the mortgage security has been granted are covered by property damage insurance and fire insurance. To hedge the potential mismatch risk derived from the different index reference rates on the assets side and the notes side, or the risk derived from any amendment in the terms of the mortgage agreements, the Fondo will enter into two swap agreements with Calyon and HSBC. Moody's bases its ratings on: -- an evaluation of the underlying portfolio of mortgage loans securing the structure; and on -- the transaction's structural protections, which include the subordination, the strength of the cash flows and any excess spread available to cover losses. Moody's assigned provisional ratings to this transaction on June 30. =========== T U R K E Y =========== ANADOLUBANK: Fitch Keeps Foreign & Local Currency Ratings at B+ --------------------------------------------------------------- Fitch Ratings affirmed Turkey-based Anadolubanl's ratings at foreign and local currency Issuer Default B+, National Long-term BBB+ and Short-term foreign and local currency B, Individual D and Support 4. The Outlook is Stable. The Issuer Default, Short-term, National Long-term and Individual ratings reflect Anadolubank's consistent strategy, sound asset quality, and comfortable liquidity. This is balanced by pressures on profitability and stretched capitalization in a volatile operating environment. Anadolubank's operating profit increased in 2005, mainly from higher non-interest earnings, despite increased operating expenses related to the expansion of the branch network. Since falling interest rates and tougher competition will result in tighter margins, fees and commissions will be the main drivers of revenue growth. Non-performing loans fell to 1.3% of gross loans at end-2005, aided by lending growth. With the growth in risk-weighted assets, Anadolubank's capital adequacy ratio fell to 13.38% at end-2005 while free capital remained satisfactory. In Fitch's opinion, Anadolubank needs to improve its capitalization to provide a cushion in a volatile operating environment, given the small size of the bank, concentration in the loan portfolio and rapid credit growth. Anadolubank is majority-owned by Habas, a major producer and exporter of long steel and Turkey's dominant manufacturer of industrial and medical gases. It is a medium-sized bank focusing on corporate and commercial banking and foreign-trade finance, primarily providing services to medium-sized exporters. It has a securities brokerage, leasing and an offshore subsidiary in Northern Cyprus. GARANTI FACTORING: Fitch Raises Local Currency IDR to BB+ --------------------------------------------------------- Fitch Ratings upgraded local currency Issuer Default ratings to BB+ from BB- and National Long-term ratings to AA from A+ of Garanti Factoring A.S. At the same time, the agency affirmed the company's foreign currency IDR at BB-, Short-term foreign and local currency ratings at B and Support rating at 3. The Outlooks on the IDRs and National rating remain Positive and Stable respectively. The rating changes reflect the upgrade in the local currency IDR and National rating of Turkiye Garanti Bankasi A.S., the company's majority shareholder to BB+ from BB- and to AA from A+ prompted by the support of GE Consumer Finance and improving intrinsic financial condition of the bank. The ratings of Garanti Leasing and Garanti Factoring reflect the moderate probability of support from and close integration with its parent bank, Garanti. Garanti Factoring is focused on small- ticket business benefiting from the retail distribution capabilities of the large branch network of Garanti. Garanti is Turkey's third largest private commercial bank by assets and provides a full range of corporate, commercial and retail banking services. At end-Q106, 27.54% of the shares were held by Dogus Group, which is engaged in automotive, food, construction, tourism, media and financial services. GECF is wholly owned, directly or indirectly, by General Electric Company. ============= U K R A I N E ============= ABK-SERVICE: Court Names Armen Komsaryan as Insolvency Manager -------------------------------------------------------------- The Economic Court of Odessa Region appointed Armen Komsaryan as Liquidator/Insolvency Manager for LLC ABK-Service (code EDRPOU 33386991). The Court commenced bankruptcy proceedings against the company after finding it insolvent on May 4. The case is docketed under Case. No. 2/112-06-3963. The Economic Court of Odessa Region is located at: Shevchenko Avenue 4 65032 Odessa Region Ukraine The Debtor can be reached at: LLC ABK-Service Kozatstva Str. 103 Chornomorskogo Odessa Region Ukraine ALSTER-MV: Court Names Yevgen Solodenko as Liquidator ----------------------------------------------------- The Economic Court of Odessa Region appointed Yevgen Solodenko as Liquidator/Insolvency Manager for LLC Alster-MV (code EDRPOU 33218118). The Court commenced bankruptcy proceedings against the company after finding it insolvent on May 4. The case is docketed under Case. No. 2-115-06-4058. The Economic Court of Odessa Region is located at: Shevchenko Avenue 4 65032 Odessa Region Ukraine The Debtor can be reached at: LLC Alster-MV Academic Zabolotnij Str. 47/12 Odessa Region Ukraine BUDINVEST: Court Names Denis Malusko as Insolvency Manager ---------------------------------------------------------- The Economic Court of Kyiv Region appointed Denis Malusko as Liquidator/Insolvency Manager for Enterprise Budinvest (code EDRPOU 32798275). He can be reached at: Lukyanivska Str. 63/48 04071 Kyiv Region Ukraine Tel: (044) 496-98-53 The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case. No. 23/175-b. The Economic Court of Kyiv Region is located at: B. Hmelnitskij Boulevard 44-B 01030 Kyiv Region Ukraine The Debtor can be reached at: Enterprise Budinvest Hohlovih Str. 15/511 Simyi 04119 Kyiv Region Ukraine ENTERPRISE AGROCENTER: Olena Gerasimenko to Liquidate Assets ------------------------------------------------------------ The Economic Court of AR Krym Region appointed Olena Gerasimenko as Liquidator/Insolvency Manager for Enterprise Agrocenter (code EDRPOU 251337077). She can be reached at: Olena Gerasimenko Skifska Str. 28/9 Energodar 71500 Zaporizhya Region Ukraine Tel: (06139) 4-35-37 The Court commenced bankruptcy proceedings against the company after finding it insolvent on March 6. The case is docketed under Case. No. 2-8/2009-2006. The Economic Court of AR Krym Region is located at: Karl Marks Str. 18 Simferopol 95000 AR Krym Region Ukraine The Debtor can be reached at: Enterprise Agrocenter Dibenko Str. 17/14 Simferopol 95000 AR Krym Region Ukraine KRAMBOLL: Court Names Volodimir Gurtovij as Insolvency Manager -------------------------------------------------------------- The Economic Court of Donetsk Region appointed Volodimir Gurtovij as Liquidator/Insolvency Manager for LLC Kramboll (code EDRPOU 33340496). He can be reached at: Volodimir Gurtovij Babushkina Str. 16 Makiyivka 86123 Donetsk Region Ukraine The Court commenced bankruptcy proceedings against the company after finding it insolvent on May 18. The case is docketed under Case. No. 42/83 B The Economic Court of Donetsk Region is located at: Artema Str. 157 83048 Donetsk Region Ukraine The Debtor can be reached at: LLC Kramboll Artema Str. 1-b 83086 Donetsk Region Ukraine KRYM-ZERNOTRADE: Court Names Ludmila Pustovalova as Liquidator -------------------------------------------------------------- The Economic Court of AR Krym Region appointed Ludmila Pustovalova as Liquidator/Insolvency Manager for LLC Krym- Zernotrade (code EDRPOU 33258213). She can be reached at: Ludmila Pustovalova Lenin Str. 44-a/15 Vilino Bahchisaraj District 98433 AR Krym Region Ukraine The Court commenced bankruptcy proceedings against the company after finding it insolvent on May 15. The case is docketed under Case. No. 2-8/8900-2006. The Economic Court of AR Krym Region is located at: Karl Marks Str. 18 Simferopol 95000 AR Krym Region Ukraine The Debtor can be reached at: LLC Krym-Zernotrade Partizanska Str. 10 Orihove Saki District 96570 AR Krym Region Ukraine POLTAVAGAZBUD: Court Names Oleg Georgievskij as Liquidator ---------------------------------------------------------- The Economic Court of Poltava Region appointed Oleg Georgievskij as Liquidator/Insolvency Manager for CJSC Poltavagazbud (code EDRPOU 05449526). He can be reached at: Oleg Georgievskij Lenin Str. 82 36022 Poltava Region Ukraine The Court commenced bankruptcy proceedings against the company after finding it insolvent on May 4. The case is docketed under Case. No. 10/110. The Economic Court of Poltava Region is located at: 36000 Zigina Str. 1 Poltava Region Ukraine The Debtor can be reached at: CJSC Poltavagazbud Ribalskij Lane 10 a 36037 Poltava Region Ukraine SPECIAL WAYS: Court Commences Bankruptcy Supervision ---------------------------------------------------- The Economic Court of Odessa Region commenced bankruptcy supervision procedure on OJSC Scientific-Experimental Institute of Special Ways of Casting (code EDRPOU 00224886) on March 16. The case is docketed under Case. No. 32/55-06-2281. The Temporary Insolvency Manager is: Grib Yevgenij Himichna Str. 2 65031 Odessa Region Ukraine The Debtor can be reached at: OJSC Scientific-Experimental Institute of Special Ways of Casting Himichna Str. 2 65031 Odessa Region Ukraine TAVRIYA TRANSPORT: Court Starts Bankruptcy Supervision ------------------------------------------------------ The Economic Court of Herson Region commenced bankruptcy supervision procedure on State Enterprise Tavriya Transport (code EDRPOU 31653252) Jan. 30. The case is docketed under Case. No. 5/26-B-06. The Temporary Insolvency Manager is: Mr. D. Luchko M. Fortus Str. 107-A 73000 Herson Region Ukraine Tel: 8 (0552) 27-12-64 The Economic Court of Herson Region is located at: Gorkij Str. 18 73000 Herson Region Ukraine The Debtor can be reached at: State Enterprise Tavriya Transport Yantarnij Lane 2 73000 Herson Region Ukraine TERRA-TRANS: Court Names Sergij Bagmet as Insolvency Manager ------------------------------------------------------------ The Economic Court of Zaporizhya Region appointed Sergij Bagmet as Liquidator/Insolvency Manager for LLC TERRA-TRANS (code EDRPOU 31490971). He can be reached at: a/b 1064 69104 Zaporizhya Region Ukraine Tel: (0612) 17-33-40 17-66-17 The Court commenced bankruptcy proceedings against the company after finding it insolvent on April 18. The case is docketed under Case. No. 19/80/06. The Economic Court of Zaporizhya Region is located at: Shaumyana Str. 4 69001 Zaporizhya Region Ukraine The Debtor can be reached at: LLC Terra-Trans Olimpijska Str. 12 69104 Zaporizhya Region Ukraine TOMASA: Dnipropetrovsk Court Begins Bankruptcy Supervision ---------------------------------------------------------- The Economic Court of Dnipropetrovsk Region commenced bankruptcy supervision procedure on LLC Production-Commercial Firm Tomasa (code EDRPOU 21854670) on May 19. The case is docketed under Case. No. B 24/221/05. The Temporary Insolvency Manager is: Volodimir Kozachenko a/b 2725 49044 Dnipropetrovsk Region Ukraine The Economic Court of Dnipropetrovsk Region is located at: Kujbishev Str. 1a 49600 Dnipropetrovsk Region Ukraine The Debtor can be reached at: LLC Production-Commercial Firm Tomasa Bulata Str. 6 49000 Dnipropetrovsk Region Ukraine =========================== U N I T E D K I N G D O M =========================== ACTIS PRINT: Appoints Administrators from P&A Partnership --------------------------------------------------------- Andrew Philip Wood and Christopher Michael White of The P&A Partnership were appointed joint administrators of Actis Print Services Limited (Company Number 04493996) on June 6. The P&A Partnership (aka Poppleton and Appleby) -- http://www.thepandapartnership.com/-- is a member firm of the Insolvency Practitioners Association and the Association of Business Recovery Professionals (R3) and act for all clearing banks and a growing number of factors and asset lenders. Its clients include multinational PLCs, SMEs, financial institutions, accountants, solicitors and business advisors. Headquartered in Chester, United Kingdom, Actis Print Services Limited is engaged in digital printing and marketing services. BLUEWAYS COACHES: Taps Tenon Recovery to Administer Assets ---------------------------------------------------------- S.J. Parker and S.R. Thomas of Tenon Recovery were appointed joint administrators of Blueways Coaches Dorset Limited (Company Number 00447076) on June 9. Tenon Recovery -- http://www.tenongroup.com/-- provides accounting and business advice to owner-managed and private business. Blueways Coaches Dorset Limited can be reached at: Victoria Avenue Indstl Est Swanage Dorset BH19 1AU United Kingdom Tel: 01929 423 622 Fax: 01929 427 797 DERBYSHIRE FARM: Creditors Pass Winding Up Resolution ----------------------------------------------------- Creditors of Derbyshire Farm Feeds & Country Supplies Limited passed a resolution to wind up the company's operations during an extraordinary general meeting on April 13. Philip Barrington Wood, of Barringtons Limited, was appointed Liquidator. The company can be reached at: Derbyshire Farm Feeds & Country Supplies Ltd Main Street Biggin Buxton Derbyshire SK17 0DQ United Kingdom Tel: 01298 84987 E J WHITE: Brings In Vantis to Administer Assets ------------------------------------------------ J.S. French and G. Mummery of Vantis Redhead French Limited were appointed joint administrators of E.J. White & Son Limited (Company Number 02463666) on June 9. Headquartered in West Sussex, Vantis Numerica (nka Vantis plc) -- http://www.vantisplc.com/-- provides accounting, business and tax advisory services in the United Kingdom. Headquartered in London, E.J. White & Son Limited installs electrical wiring. EUROTUNNEL GROUP: Continues Plan Talks with Bondholders Tomorrow ---------------------------------------------------------------- Eurotunnel Group and its bondholders will continue negotiations regarding a debt restructuring plan tomorrow, July 11, a day before the tunnel operator's credit waiver and negotiation period expires. As reported in TCR-Europe on Friday, Eurotunnel Chairman and Chief Executive Jacques Gounon has warned of a bankruptcy filing in France absent a consensual deal with the company's bondholders and creditors by July 12. At the July 7 meeting in Paris attended by a range of bondholders including ARCO representatives, the bondholders agreed to reduce the company's outstanding GBP6.2 billion debt to approximately GBP2.9 billion, Reuters reports citing unnamed sources. A source suggested to the Financial Times that most of Eurotunnel's bondholders had now abandoned their own rival plan and were now discussing about potential modifications in favor of the Eurotunnel proposal. However, some bondholders still rejected the plan promoted by Mr. Gounon, Reuters relates. "We are not joining Gounon's plan," a spokesman for ARCO was quoted by Reuters as saying. ARCO represents 68% of Eurotunnel's outstanding GBP1.9 billion bonds and notes while the Ad Hoc Committee or the senior creditors holds over 70% of the co-financier debt and over 50% of Eurotunnel's total debt. Bondholders' Alternative Rescue Plan Eurotunnel turned down the restructuring plan prepared by a group of secured bondholders led by Deutsche Bank AG on June 27. As reported in TCR-Europe on June 28, Eurotunnel believes that the plan requires too much debt and gives too much to bondholders. The bondholders' restructuring plan, which valued the company at EUR7.99 billion, aims to reduce 60% of total debt to EUR3.7 billion and issue a EUR2.175 billion convertible hybrid note with a 4% coupon, The Wall Street Journal reported. The plan rivaled the preliminary restructuring agreement backed by Eurotunnel, Goldman Sachs Group Inc., Macquarie Bank Ltd. and Barclays PLC. The plan, which valued the company at around EUR7.03 billion, includes a EUR1.5 billion hybrid issue with a 6% to 9% coupon and would reduce debt by 54%. Eurotunnel shareholders will consider approval of a turnaround plan at an extraordinary shareholders' meeting slated for July 27, after which Eurotunnel can sign a final deal. About the Company Headquartered in Folkestone, United Kingdom and Calais, France, Eurotunnel Group -- http://www.eurotunnel.co.uk/-- operates a fleet of 25 shuttle trains, which carry cars, coaches and trucks. It manages the infrastructure of the Channel Tunnel and receives toll revenues from train operating companies whose trains pass through the Tunnel. The British and French governments have granted Eurotunnel a concession to operate the Channel Tunnel until 2086. * * * Eurotunnel's crisis began when costs to build the tunnels that connect U.K. and France started to overrun before it opened in 1994. The Iraq war followed, which didn't help as tourist traffic fell. In May 2004, Eurotunnel appointed Lazard (global coordinator) and Lehman Brothers as bank advisors, and Dresdner Kleinwort Wasserstein as restructuring adviser. In July 2004, auditor KPMG Audit Plc said the company faces uncertainty after 2005. The firm's survival is dependent upon its ability to put in place a refinancing plan or, if not, to obtain an agreement with the lenders under the existing Credit Agreement within the next two years, the auditor said. Eurotunnel needs to obtain approval from other creditors and shareholders for a final agreement. Absent a final agreement, the Group may default in January 2007. On April 26, Eurotunnel obtained a third extension of its credit waiver, which calls for creditor talks to continue through July 12. FOOTHOLD LTD: Creditors Ratify Winding Up Resolution ---------------------------------------------------- Creditors of Foothold Limited ratified a resolution to wind up the company's operations on April 13. Simon Franklin Plant, of SFP, was appointed Liquidator. The company can be reached at: Foothold Limited 205 New John Street West Birmingham B19 3TZ United Kingdom Tel: 01274 395 275 GENERAL MOTORS: Board Okays CEO to Negotiate Renault-Nissan Deal ---------------------------------------------------------------- The General Motors Board of Directors endorsed on July 7 a recommendation by the company's senior management that it engage in exploratory discussions with Renault and Nissan regarding GM's potential participation in an alliance among the three companies. "The GM Board of Directors authorized management to proceed with its plan to consider ideas the other two companies have and to weigh the potential benefits of such an alliance in order to assist the Board in its decision making," said GM Director George Fisher. "Management will keep the Board well informed and the directors, of course, will closely monitor the process to assure that its outcome serves the best interests of all GM shareholders. The Board continues to fully support the company's North American turnaround strategy, and we encourage management to also continue its efforts to conclude a satisfactory resolution of the issues associated with the Delphi bankruptcy and to complete the pending GMAC transaction." The Board action was taken in response to a request made by Tracinda Corp., one of GM's larger shareholders, and to expressions of interest made public by the respective boards of Renault and Nissan. GM Chairman Rick Wagoner will lead the company's effort to conduct exploratory talks with the managements of Renault and Nissan. "General Motors has a lot of experience with different types of alliances, and some have provided significant benefits to GM's competitive position and financial strength," said Mr. Wagoner. "We will enter into discussions with the managements of Renault and Nissan with an open mind -- eager to hear their ideas of how an alliance between our companies might work to our mutual benefit. Given the complexity of any potential relationship, it has to be carefully considered on its merits before coming to any conclusion. We are committed to an objective and thorough review of that potential." Mr. Wagoner noted that when the idea of joining an alliance with Renault and Nissan was first suggested to him, he promptly contacted Carlos Ghosn and the two leaders agreed to meet at a mutually convenient time to have an initial exploratory discussion. "We periodically receive interesting proposals and we owe it to the company and its shareholders to explore how they might work, and to objectively weigh the potential benefits and issues that each might present," Mr. Wagoner said. "That is exactly what we recommended to the GM Board in this specific case, and exactly what it has agreed we should do." North American Turnaround Strategy In the meantime, both Mr. Wagoner and Mr. Fisher noted that it is crucial for General Motors to stay focused on implementing its North American turnaround strategy. "We announced this strategy about one year ago, and have made tremendous progress in implementing all the key initiatives," Mr. Wagoner said. "The positive results from these major actions are already evident. We have some major items that we are working on right now that are important to our continued progress, including the Delphi restructuring and the GMAC transaction. So there's plenty more work to do to return our North American operations to sustained profitability. We remain focused on achieving this as quickly as possible." About General Motors General Motors Corp. -- http://www.gm.com/-- the world's largest automaker, has been the global industry sales leader for 75 years. Founded in 1908, GM today employs about 327,000 people around the world. With global headquarters in Detroit, GM manufactures its cars and trucks in 33 countries including Mexico. In 2005, 9.17 million GM cars and trucks were sold globally under the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab, Saturn and Vauxhall. GM operates one of the world's leading finance companies, GMAC Financial Services, which offers automotive, residential and commercial financing and insurance. GM's OnStar subsidiary is the industry leader in vehicle safety, security and information services. * * * As reported in the Troubled Company Reporter on June 30, Standard & Poor's Ratings Services held all its ratings on General Motors Corp. -- including the 'B' corporate credit rating and the 'B+' bank loan rating, but excluding the '1' recovery rating -- on CreditWatch with negative implications, where they were placed March 29, 2006. As reported in the Troubled Company Reporter on June 22, 2006, Fitch assigned a rating of 'BB' and a Recovery Rating of 'RR1' to General Motor's new $4.48 billion senior secured bank facility. The 'RR1' is based on the collateral package and other protections that are expected to provide full recovery in the event of a bankruptcy filing. INNOVA RESOURCES: Hires Poppleton & Appleby as Administrators ------------------------------------------------------------- Stephen Lord and Stephen James Wainwright of Poppleton & Appleby were appointed joint administrators of Innova Resources Limited (formerly Studio Nova Limited) (Company Number 02506228) on June 12. The P&A Partnership (aka Poppleton and Appleby) -- http://www.thepandapartnership.com/-- is a member firm of the Insolvency Practitioners Association and the Association of Business Recovery Professionals (R3) and act for all clearing banks and a growing number of factors and asset lenders. Its Headquartered in Bury, United Kingdom, Innova Resources Limited are specialists in photography. L.H. (WOODCRAFT): Creditors Nominate Liquidator ----------------------------------------------- Creditors of L.H. (Woodcraft) Limited nominated Gordon Allan Mart Simmonds of Simmonds & Company as Liquidator during an extraordinary general meeting on April 5. The company can be reached at: L.H. (Woodcraft) Limited 2 Station Road Strines Stockport Cheshire SK6 7GP United Kingdom Tel: 01663 763 235 Fax: 01663 763 235 LONDON BATHROOM: Hires Joint Liquidators from Insol House --------------------------------------------------------- London Bathroom & Kitchen Design Limited is liquidating its assets after creditors opted to wind up the company on April 12. Richard Frank Simms and Martin Richard Buttriss of Insol House were appointed Joint Liquidators. The company can be reached at: London Bathroom & Kitchen Design Limited 16 Glentworth Street London NW1 5PG United Kingdom Tel: 020 7935 3542 MEK-TEK LIMITED: Taps P&A as Joint Administrators ------------------------------------------------- Christopher Michael White and Andrew Philip Wood both of The P&A Partnership were appointed joint administrators of Mek-Tek Limited (Company Number 02662026) on June 9. The P&A Partnership (aka Poppleton and Appleby) -- http://www.thepandapartnership.com/-- is a member firm of the Insolvency Practitioners Association and the Association of Business Recovery Professionals (R3) and act for all clearing banks and a growing number of factors and asset lenders. Its clients include multinational PLCs, SMEs, financial institutions, accountants, solicitors and business advisors. MUSTIQUE LTD: Creditors Confirm Voluntary Liquidation ----------------------------------------------------- Creditors of Mustique Limited confirmed the company's voluntary liquidation together with the appointment of that Allan Cooper and John Russell of The P&A Partnership as Joint Liquidators on April 12. The P&A Partnership (aka Poppleton and Appleby) -- http://www.thepandapartnership.com/-- acts for all clearing banks and a growing number of factors and asset lenders. Its clients include multinational PLCs, SMEs, financial institutions, accountants, solicitors and business advisors Mustique Limited can be reached at: 26 Broad Street King's Lynn Norfolk PE30 1DP United Kingdom Tel: 01553 692792 NAISH ENGINEERING: Hires Administrators from Rothman Pantall ------------------------------------------------------------ Robert Derek Smailes and Stephen B. Ryman of Rothman Pantall & Co. were appointed joint administrators of Naish Engineering Limited (Company Number 03640490) on June 7. Rothman Pantall & Co. -- http://www.rothman-pantall.co.uk/-- was established in 1955 as a general accountancy practice, and has grown to its present 18 offices across the South of England. It is one of the largest independent firms of Chartered Accountants in the region, and rank in the top 40 in the United Kingdom. Naish Engineering Limited can be reached at: 68 Old Wareham Road Poole Dorset BH12 4QR United Kingdom Tel: 01202 733 884 ORFORD PLANT: Brings In Joint Liquidators from KPMG --------------------------------------------------- Allan Watson Graham and Mark Jeremy Orton of KPMG LLP were appointed Liquidators of Orford Plant Hire Limited after creditors passed a resolution to wind up the company on April 12. KPMG -- http://www.kpmg.co.uk/-- in the U.K. is part of a strong global network of member firms with 9,500 partners and staff working in 22 offices across the U.K. providing audit, tax and advisory services. Orford Plant Hire Limited can be reached at: Aston Fields Indstrial Estate Aston Road Bromsgrove Worcestershire B60 3EX United Kingdom Tel: 01527 880 388 P & K JOINERY: Names Lloyd Biscoe Liquidator -------------------------------------------- Lloyd Biscoe of Begbies Traynor was appointed Liquidator of P & K Joinery Limited after creditors agreed to wind up the company on April 13. Begbies Traynor -- http://www.begbies.com/-- assists companies, creditors, financial institutions and individuals on all aspects of financial restructuring and corporate recovery. P & K Joinery Limited can be reached at: 2 Leigh Place Welling Kent DA163JB United Kingdom Tel: 0845 880 5880 Fax: 020 8317 2222 PRESSWELL METAL: Financial Woes Trigger Liquidation --------------------------------------------------- Presswell Metal Products Limited is winding up its operations after creditors established the company could no longer continue its business due to mounting debts. Timothy James Heaselgrave and Barry John Ward, of Ward & Co, were appointed Joint Liquidators. The company can be reached at: Presswell Metal Products Limited Estate House Evesham Street Redditch Worcestershire B98 7AL United Kingdom Tel: 01527 678 50 Fax: 01527 619 84 REA & SHEPHERD: Taps Ian William Kings to Liquidate Assets ---------------------------------------------------------- Ian William Kings, of Tenon Recovery, was appointed Liquidator after creditors decided to wind up the company on April 11. Tenon Recovery -- http://www.tenongroup.com/-- provides accounting and business advice to owner-managed and private business. Rea & Shepherd Scaffolding Limited can be reached at: Unit 7 Galaxy Industrial Park Newburn Bridge Road Blaydon-on-Tyne Tyne and Wear NE214SQ United Kingdom Tel: 0191 499 0997 Fax: 0191 499 0918 RIDING GATE: Appoints Tenon Recovery as Joint Administrator ----------------------------------------------------------- S.R. Thomas and T.J. Binyon of Tenon Recovery were appointed joint administrators of Riding Gate Recruitment Limited (Company Number 3022290) on June 9. Tenon Recovery -- http://www.tenongroup.com/-- provides accounting and business advice to owner-managed and private business. Headquartered in Cheltenham, United Kingdom, Riding Gate Recruitment Limited is an employment and recruitment agency. STAMPER ENTERPRISES: Brings In Administrators from Bridgestones --------------------------------------------------------------- Robert Cooksey and Jonathan Lord of Bridgestones were appointed joint administrators of Stamper Enterprises & Co. Limited (Company Number 02507137) on June 8. The administrators can be contacted at: Bridgestones 125-127 Union Street Oldham Lancashire OL1 1TE United Kingdom Tel: 0161 785 3700 Fax: 0161 785 3701 E-mail: rlc@bridgestones.co.uk Stamper Enterprises & Co. Limited can be reached at: Warwick Mill Oldham Road Middleton Manchester M24 1AZ United Kingdom Tel: 0161 655 1000 Fax: 0161 654 7573 TECHNIC TYRE: Hires Cresswall Associates as Administrators ---------------------------------------------------------- Gordon Craig and Daniel P. Hennessy of Cresswall Associates Limited were appointed joint administrators of Technic Tyres Limited (Company Number 03716831) on June 6. Cresswall Associates Limited West Lancashire Investment Centre Maple View Whitemoss Business Park Skelmersdale Lancashire WN8 9TG United Kingdom Tel: 01695 712683 Technic Tyre Limited can be reached at: Wellington Road Burton-On-Trent Staffordshire DE14 2TG United Kingdom Tel: 01283 527 600 Fax: 01283 527 601 TILE AND BATH: Appoints Administrators from BDO Stoy ---------------------------------------------------- Martha H. Thompson and Mark Shaw of BDO Stoy Hayward LLP were appointed joint administrators of Tile and Bath World Limited (Company Number 02912569) on June 12. BDO Stoy Hayward -- http://www.bdo.co.uk/-- is the UK member firm of BDO International, the world's fifth largest accountancy network with more than 600 offices in 100 countries. Its services include: audit and assurance, business restructuring, corporate finance, disputes and investigations, investment management, risk assurance services, tax services, and valuations. Headquartered in Cheltenham, United Kingdom, Tile and Bath World Limited retails and distributes tiles. ********* 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. Jazel Laureno, Julybien Atadero, Carmel Paderog, and Joy Agravante, Editors. Copyright 2006. All rights reserved. ISSN 1529-2754. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR Europe subscription rate is US$575 per half-year, delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are US$25 each. For subscription information, contact Christopher Beard at 240/629-3300. * * * End of Transmission * * *