/raid1/www/Hosts/bankrupt/TCREUR_Public/070423.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, April 23, 2007, Vol. 8, No. 79
Headlines
A U S T R I A
BRAKE RETARDER: Claims Registration Period Ends May 4
FINNOVA HAUS: St. Poelten Court Shuts Down Business
HEI-SAN LLC: Vienna Court Orders Business Shutdown
INN CRYSTAL: Ried im Innkreis Court Orders Business Shutdown
IT-SELL LLC: Claims Registration Period Ends May 22
N.O.B. LLC: Claims Registration Period Ends May 9
REDCHILLI MEDIA: Claims Registration Period Ends May 15
VOELSKE LLC: Steyr Court Orders Business Closure
D E N M A R K
EASTMAN KODAK: Board Elects Dolores Kruchten as Vice President
F R A N C E
DELPHI CORP: Expects Support from Plan Investors on Deal Changes
RHODIA SA: Launches EUR450-Million Convertible Bond Offering
RHODIA S.A.: Offers EUR595-Million Convertible Bonds
RHODIA S.A.: Moody's Upgrades Corporate Family Rating to Ba3
RHODIA S.A.: S&P Rates Proposed Debt Refinancing at B
G E R M A N Y
7'TUR GMBH: Claims Registration Period Ends May 31
ALBERT BOOS: Claims Registration Period Ends May 4
ANDREAS LAABS: Claims Registration Period Ends May 15
AS SERVICE: Claims Registration Period Ends May 4
ASTHEIMER INDUSTRIEBAU: Claims Registration Period Ends May 2
AUSER GMBH: Claims Registration Period Ends May 16
BAUUNTERNEHMEN E. LUEHRING: Creditors' Meeting Slate for May 24
BUDDENHAGER BAU: Claims Registration Period Ends May 10
BUSCHBAU GMBH: Claims Registration Ends May 15
CHALLENGE X: Claims Registration Period Ends May 10
DAIMLERCHRYSLER AG: Employees Propose 70% Ownership of Chrysler
FASSADEN-UND TRENNWANDSYSTEME: Claims Registration Ends May 23
FLIESEN ANTWEILER: Claims Registration Ends June 5
INGENIEURTECHNISCHE: Creditors' Meeting Slated for May 25
JOBCHALLENGE GMBH: Claims Registration Ends May 10
LRV LAUFWERK: Claims Registration Ends May 28
M & P HOTELBETRIEBS: Creditors' Meeting Slated for May 11
PHOENIX KAPITALDIENST: Creditors Vote on Insolvency Plan
POBURSKI DACHTECHNIK: Creditors' Meeting Slated for June 1
SABINE SCHAFFER: Claims Registration Period Ends May 9
SARAJO GMBH: Claims Registration Period Ends May 18
SCHIEDER MOEBEL: Creditors in Talks with Banks Over Bridge Loan
SENIORENFACHMARKT: Files for Insolvency Proceedings
SH HOCH: Claims Registration Period Ends May 4
SPEKTRA UMWELTANALYTIK: Claims Registration Period Ends May 5
STRATEGIE UND KONZEPT: Claims Registration Period Ends May 4
STABILITY CMBS: Moody's Rates EUR28.2-Million Notes at (P)Ba3
STABILITY CMBS: S&P Rates EUR28.2-Million Class E Notes at BB
SVS GMBH: Claims Registration Period Ends May 21
H U N G A R Y
SANYO ELECTRIC: Unit Starts Full-Scale Production in Hungary
I R E L A N D
BACCHUS 2007-1: Moody's Rates EUR12.2-Mln Class E Notes at Ba3
EUROMAX VI: Fitch Gives BB Ratings to EUR3-Million Class E Notes
SEAGATE TECHNOLGY: Robert W & UBS Keep Firm's "Neutral" Rating
K A Z A K H S T A N
BIRLESTIK LLP: Creditors Must File Claims by May 25
ERMES LLP: Creditors' Claims Due May 25
EURASIA INSURANCE: S&P Cuts Ratings to B to Match New Parent
IN LLP: Proof of Claim Deadline Slated for May 28
JORGA-2030 LLP: Claims Registration Ends May 25
KIPR-PRO LLP: Claims Filing Period Ends May 25
LIGA+ LLP: Creditors Must File Claims by May 25
MARKET LADY: Creditors' Claims Due May 25
RELSTROYPOP LLP: Proof of Claim Deadline Slated for May 28
SHARUA-MK LLP: Claims Registration Ends May 22
URPAK LLP: Claims Filing Period Ends May 22
K Y R G Y Z S T A N
OILGASTRANSSERVICE LLC: Claims Filing Period Ends June 2
N E T H E R L A N D S
ASML HOLDING: Earns EUR153 Million in 2007 First Quarter
CADOGAN SQUARE: S&P Rates EUR15-Million Class E Notes at BB-
HERBALIFE LTD: Ends Goldman Sach's Services on Whitney Offer
HUDSON CLO: Moody's Rates EUR20-Million Class B-2 Notes at Ba3
P O L A N D
HELLENA SA: Court Thwarts PLN17.2-M Kofola Bid Due to Low Price
TVN FINANCE: Moody's Assigns Loss-Given-Default Rating
R U S S I A
ABSOLUT BANK: KBC Acquires 92.5% Stake in EUR761 Million Deal
AGRO-SVETLYJ PUT': Creditors Must File Claims by May 1
AGROCHEMIST OJSC: Creditors Must File Claims by May 1
CHAPAEVSKIY FACTORY: Creditors Must File Claims by May 1
COCHI AO: Creditors Must File Claims by May 31
CONSTRUCTIONS 2000: Names I. Kuvshinov as Insolvency Manager
EAST-URAL-OIL: Asset Bidding Deadline Slated for April 27
ELBRUS OJSC: Creditors Must File Claims by May 31
EMERALD LLC: Creditors Must File Claims by May 31
KRASNOBAKOVSKOYE GRAIN: Names Zh. Tachkova as Insolvency Manager
KURSKIY FACTORY: Creditors Must File Claims by May 31
POGRUZNINSKIY ELEVATOR: Creditors Must File Claims by May 1
MARKA LLC: Creditors Must File Claims by May 1
MONOLITH OJSC: Court Names V. Belyakov as Insolvency Manager
NEW COMPANY: Creditors Must File Claims by May 31
SOROCHINSKIY DIARY: Creditors Must File Claims by May 31
YUKOS OIL: Distributes Nearly RUR2 Million to Creditors
YUKOS OIL: Report Links Mysterious Buyer to Deutsche Bank
S W I T Z E R L A N D
BARRY CALLEBAUT: Moody's Puts Ba2 Probability-of-Default Rating
BAU-CHEMIE IMMOBILIEN: Creditors' Liquidation Claims Due May 15
CONISTON MINERALS: Creditors' Liquidation Claims Due June 15
HAMBROOK & GREENSTOCK: Creditors' Liquidation Claims Due May 4
HELVETICA CONSULTING: Zug Court Starts Bankruptcy Proceedings
HELVETICA INVEST: Zug Court Starts Bankruptcy Proceedings
LADITA LLC: Creditors' Liquidation Claims Due May 4
NIER FINE WINES: Creditors' Liquidation Claims Due May 31
ODIN HOLDING: Creditors' Liquidation Claims Due May 4
SF INVEST: Creditors' Liquidation Claims Due May 4
WT SERVICE: Creditors' Liquidation Claims Due May 4
U K R A I N E
BANK CREDIT: Fitch Assigns B- IDR with Stable Outlook
CRYSTAL-1 LLC: Claims Registration Deadline Set April 29
GALKA-ZHYTOMIR: Claims Registration Bar Date Set April 29
GETMAN LLC: Claims Registration Bar Date Set April 29
HORIZON LLC: Claims Registration Deadline Set April 29
ILONA-INVEST LLC: Claims Registration Bar Date Set April 30
INTERENERGYRESOURCE LLC: Claims Filing Bar Date Set April 29
KARPATY-MINERAL LLC: Claims Registration Deadline Set April 30
TROYANDA CJSC: Claims Registration Deadline Set April 30
POLTECHSIM LLC: Claims Registration Bar Date Set April 30
U N I T E D K I N G D O M
ADVANCED MARKETING: AMS Reports US$22.8 Mln Deficit at Jan. 31
ADVANCED MARKETING: AMS Reports US$22.4 Mln Deficit at Feb. 28
COLLINS & AIKMAN: Agrees to Pay CDN1.4 Million to Fired Workers
COLLINS & AIKMAN: Wants to Auction Plastic Biz Assets on May 7
CORONIS PLC: Fitch Retains B Rating Despite Interest Shortfall
FORD MOTOR: Expanding Operations in China Market
ITRON INC: Completes EUR800-Million Acquisition of Actaris
ITRON INC: High Leverage Cues S&P to Lower Ratings to B+
KRISPY KREME: Incurs US$42.2 Million Net Loss in Fiscal 2007
LEEK FINANCE: Fitch Puts Low-B Ratings to Class Da & Dc Notes
PORTRAIT CORP: Exclusive Plan-Filing Date Extended Until June 30
REMBRANDT I: Fitch Rates EUR5.1-Million Class V Notes at BB-
RENTOKIL INITIAL: Inks HK$280MM Pest Control Deal with Hong Kong
RENTOKIL INITIAL: Acquiring 65% Stake in Beijing Taiming
*********
=============
A U S T R I A
=============
BRAKE RETARDER: Claims Registration Period Ends May 4
-----------------------------------------------------
Creditors owed money by LLC Brake Retarder (FN 243376g) have
until May 4 to file written proofs of claim to court-appointed
estate administrator Herbert Matzunski at:
Dr. Herbert Matzunski
Salurner Strasse 16/1
6020 Innsbruck
Austria
Tel: 0512/582716-0
Fax: 0512/571467
E-mail: law@hauska-matzunski.at
Creditors and other interested parties are encouraged to attend
the creditors' meeting at 1:30 p.m. on May 22 for the
examination of claims.
The meeting of creditors will be held at:
The Land Court of Innsbruck
Hall 114
First Floor
New Building
Maximilianstrasse 4
6020 Innsbruck
Austria
Headquartered in Soell, Austria, the Debtor declared bankruptcy
on March 21 (Bankr. Case No. 19 S 19/07b). Dr. Georg Huber
represents the Debtor in the bankruptcy proceedings.
The Debtor's representative can be reached at:
Dr. Georg Huber
Josef-Egger-Strasse 8
6330 Kufstein
Austria
Tel: 05372/64543
FINNOVA HAUS: St. Poelten Court Shuts Down Business
---------------------------------------------------
The Land Court of St. Poelten entered March 27 an order shutting
down the business of LLC Finnova Haus (FN 260913x).
Court-appointed estate administrator Hans-Joerg Haftner
recommended the business shutdown after determining that the
continuing operations would reduce the value of the estate.
The estate administrator can be reached at:
Dr. Hans-Joerg Haftner
Wiener Strasse 12
3100 St. Poelten
Tel: 02742/35 42 34
Fax: 02742/35 14 48
E-mail: office@plusjus.at
Headquartered in St. Poelten, Austria, the Debtor declared
bankruptcy on March 26 (Bankr. Case No 14 S 56/07m).
HEI-SAN LLC: Vienna Court Orders Business Shutdown
--------------------------------------------------
The Trade Court of Vienna entered March 27 an order shutting
down the business of LLC Hei-San (FN 110076b).
Court-appointed estate administrator Georg Freimueller
recommended the business shutdown after determining that the
continuing operations would reduce the value of the estate.
The estate administrator can be reached at:
Dr. Georg Freimueller
c/o Dr. Erwin Senoner
Alser Strasse 21
1080 Vienna
Austria
Tel: 406 05 51
Fax: 406 96 01
E-mail: kanzlei@jus.at
Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on March 15 (Bankr. Case No 4 S 36/07g). Erwin Senoner
represents Dr. Freimueller in the bankruptcy proceedings.
INN CRYSTAL: Ried im Innkreis Court Orders Business Shutdown
------------------------------------------------------------
The Land Court of Ried im Innkreis entered March 26 an order
shutting down the business of LLC Inn crystal (FN 116285h).
Court-appointed estate administrator Manfrid Lirk recommended
the business shutdown after determining that the continuing
operations would reduce the value of the estate.
The estate administrator can be reached at:
Dr. Manfrid Lirk
c/o Dr. Karl Robert Hiebl
Stadtplatz 50/2
5280 Braunau am Inn
Tel: 07722 / 625 43
Fax: 07722 / 828 93
E-mail: kanzlei@lirk-hiebl.at
Headquartered in Braunau am Inn, Austria, the Debtor declared
bankruptcy on March 20 (Bankr. Case No 17 S 9/07s). Karl Robert
Hiebl represents Dr. Lirk in the bankruptcy proceedings.
IT-SELL LLC: Claims Registration Period Ends May 22
---------------------------------------------------
Creditors owed money by LLC IT-Sell (FN 142499h) have until
May 22 to file written proofs of claim to court-appointed estate
administrator Joerg Beirer at:
Dr. Joerg Beirer
Hauptplatz 31
2700 Wiener Neustadt
Austria
Tel: 02622/27041
Fax: 02622/29246
E-mail: beirer@kosch-partner.at
Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:00 a.m. on June 5 for the
examination of claims.
The meeting of creditors will be held at:
The Land Court of Wiener Neustadt
Room 15
Wiener Neustadt
Austria
Headquartered in Baden bei Wien, Austria, the Debtor declared
bankruptcy on March 22 (Bankr. Case No. 11 S 37/07p).
N.O.B. LLC: Claims Registration Period Ends May 9
-------------------------------------------------
Creditors owed money by LLC N.O.B. (FN 265771s) have until May 9
to file written proofs of claim to court-appointed estate
administrator Charlotte Boehm at:
Dr. Charlotte Boehm
Taborstrasse 10/2
1020 Vienna
Austria
Tel: 214 77 10/20
Fax: 214 77 10 - 16
E-mail: boehm@EUnet.at
Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:00 a.m. on May 23 for the
examination of claims.
The meeting of creditors will be held at:
The Trade Court of Vienna
Room 1609
16th Floor
Vienna
Austria
Headquartered in Austria, Austria, the Debtor declared
bankruptcy on March 28 (Bankr. Case No. 38 S 16/07s).
REDCHILLI MEDIA: Claims Registration Period Ends May 15
-------------------------------------------------------
Creditors owed money by LLC Redchilli media (FN 254284y) have
until May 15 to file written proofs of claim to court-appointed
estate administrator Rudolf Zachhuber at:
Dr. Rudolf Zachhuber
Maria Theresia Strasse 19
4600 Wels
Austria
Tel: 07242/69471
Fax: 07242/69130
E-mail: r.zachhuber@aon.at
Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:40 a.m. on May 24 for the
examination of claims.
The meeting of creditors will be held at:
The Land Court of Wels
Hall 101
First Floor
Maria Theresia Strasse 12
Wels
Austria
Headquartered in Thalheim bei Wels, Austria, the Debtor declared
bankruptcy on March 21 (Bankr. Case No. 20 S 39/07x).
VOELSKE LLC: Steyr Court Orders Business Closure
------------------------------------------------
The Land Court of Steyr entered March 23 an order closing the
business of LLC Voelske (FN 159109i).
Court-appointed estate administrator Norbert Mooseder
recommended the business closure after determining that the
continuing operations would reduce the value of the estate.
The estate administrator can be reached at:
Dr. Norbert Mooseder
c/o Dr. Guenther Grassner
Stelzhamerstrasse 1
4400 Steyr
Austria
Tel: 07252/42 4 24
Fax: 770816
E-mail: lawfirm@gltp.at
Headquartered in Garsten, Austria, the Debtor declared
bankruptcy on March 14 (Bankr. Case No. 14 S 7/07p). Guenther
Grassner represents Dr. Mooseder in the bankruptcy proceedings.
=============
D E N M A R K
=============
EASTMAN KODAK: Board Elects Dolores Kruchten as Vice President
--------------------------------------------------------------
Eastman Kodak Company's Board of Directors has elected Dolores
K. Kruchten as the company's Vice President, effective
immediately.
Ms. Kruchten was appointed General Manager, Document Imaging and
Vice President, Graphic Communications Group in January 2007.
Ms. Kruchten joined Kodak in 1981, and has worked in site
engineering, manufacturing, research and development,
acquisitions, and information technology systems. Prior to
leading the Document Imaging business, she was General Manager,
Global Services, Graphic Communications Group, where she led the
integration of six service businesses into a single organization
with some US$570 million in revenue.
In 2003, Ms. Kruchten was named Worldwide General Manager,
Document Products & Services, and Vice President, Commercial
Imaging Group, where she led a global organization that included
R&D, product manufacturing, sales, service, and marketing of
production scanners, media, and traditional products.
Ms. Kruchten earned a Bachelor of Technology Degree in
Mechanical Engineering from Rochester Institute of Technology in
1987. She has been a finalist for several business leadership
recognitions, including the Jane Lanphear Legacy Award and the
Stevie Awards for Women Business Executive of the year. She
lives in Rochester, New York.
Headquartered in Rochester, New York, Eastman Kodak Company --
http://www.kodak.com/-- is a worldwide vendor of imaging
products and services. The company is committed to a digitally
oriented growth strategy focused on four businesses: Digital &
Film Imaging Systems - providing consumers, professionals, and
cinematographers with digital and traditional products and
services; Health -- supplying the medical and dental professions
with traditional and digital imaging and information systems, IT
solutions, and services; Graphic Communications - providing
customers with a range of solutions for prepress, traditional
and digital printing, document scanning, and multi-vendor IT
services; and Display & Components - supplying original
equipment manufacturers with imaging sensors as well as
intellectual property and materials for the organic light-
emitting diode and LCD display industries.
The company has operations in Argentina, Chile, Denmark, Greece,
Jordan, Yemen, Australia, China among others.
* * *
Moody's Investors Service placed Eastman Kodak Company's B1
Corporate Family Rating on review for a possible downgrade.
Moody's will continue to focus on the company's potential sale
of the Kodak Health Group as well as the fundamental operating
performance of the company. Moody's commented that if the sale
of KHG was not pending, Moody's would expect to confirm the
company's B1 rating with a negative outlook.
The company intends to announce the outcome of the KHG strategic
review by calendar year end 2006.
Standard & Poor's Ratings Services placed its ratings on Eastman
Kodak Co. (B+/Watch Neg/--) on CreditWatch with negative
implications. The Rochester, New York-based imaging company had
US$3.5 billion in debt as of June 30, 2006.
===========
F R A N C E
===========
DELPHI CORP: Expects Support from Plan Investors on Deal Changes
----------------------------------------------------------------
Delphi Corporation anticipates negotiating changes to the Equity
Purchase and Commitment Agreement it entered into in December
2006 with its Plan Investors. Delphi also anticipates
negotiating an amendment to the related Plan Framework Support
Agreement also entered into in December 2006, by Delphi, the
Plan Investors and General Motors Corp., which outlined the
expected treatment of the company's stakeholders in its
anticipated plan of reorganization.
Any changes would be a result of addressing differences in views
regarding the company's reorganization enterprise value among
the Plan Investors, GM, the company's statutory creditors' and
equity committees and the company.
Delphi expects that under amended framework agreements,
affiliates of Appaloosa Management LP, Cerberus Capital
Management LP, and Harbinger Capital Partners Master Fund I
Ltd., well as Merrill Lynch & Co. and UBS Securities LLC will
continue to participate as Plan Investors, together with
possible additional investors that may include members of the
Statutory Committees, and that Cerberus may participate in the
company's exit financing, as part of a competitive process, but
not as a plan investor.
Delphi is hopeful that GM will support amended framework
agreements and will be a party to any revised Plan Framework
Support Agreement. Delphi is meeting with its statutory
committees to review these developments and potential revisions
to previously announced treatment of the company's stakeholders
in a reorganization plan. As part of those discussions, Delphi
expects that its Creditors' Committee will consider increasing
the equity portion of the recovery that it is seeking for
general unsecured creditors alongside of Plan Investors or other
stakeholders.
The company disclosed that these developments are not expected
to preclude the company from filing its plan of reorganization
and related documents with the Bankruptcy Court prior to the
current expiration of the company's exclusivity period on
July 31 or emergence from Chapter 11 reorganization this year.
Delphi also confirmed that none of the parties entitled to give
notice of termination of the framework agreements has yet done
so and that these agreements remain effective as filed until
modified or terminated. The company does not intend to comment
further regarding its discussions on the framework agreements
until such time as those agreements are either modified or
terminated. Also, consistent with its prior practice, the
company does not intend to comment further regarding its
discussions with GM or its unions while those discussions are
ongoing.
Delphi cautioned that nothing in the framework agreements, the
Court or regulatory filings being made in connection with the
agreements or the company's public disclosures shall be deemed a
solicitation to accept or reject a plan in contravention of the
Bankruptcy Code or an offer to sell or a solicitation of an
offer to buy any securities of the company.
About Delphi Corp.
Troy, Mich.-based Delphi Corporation (OTC: DPHIQ) --
http://www.delphi.com/-- is the single largest global supplier
of vehicle electronics, transportation components, integrated
systems and modules, and other electronic technology. The
company's technology and products are present in more than 75
million vehicles on the road worldwide. Delphi has regional
headquarters in Japan, Brazil, and France.
The company filed for chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481). John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts. Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represents the Official Committee of Unsecured Creditors. As of
Aug. 31, 2005, the Debtors' balance sheet showed $17,098,734,530
in total assets and $22,166,280,476 in total debts.
The Debtors' exclusive plan-filing period expires on July 31,
2007.
RHODIA SA: Launches EUR450-Million Convertible Bond Offering
------------------------------------------------------------
Rhodia S.A. launched April 19 a EUR450 million offering of bonds
convertible and exchangeable for new or existing shares, due
Jan. 1, 2014. The company also signed a new EUR600-million
syndicated credit facility.
"This is a major step in the refinancing of the Group. After
the successful delivery in 2006 of our recovery plan we continue
to strengthen our financial profile by reducing our interest
expenses, extending the maturity profile of our debt, and
improving the structure of our balance sheet," Pascal Bouchiat,
Rhodia's chief financial officer commented.
"These transactions will allow us to redeem our remaining high
cost senior and senior subordinated notes due in 2010 and 2011,
which carry average coupons close to 9%," Mr. Bouchiat added.
The new syndicated credit facility of EUR600 million maturing on
June 30, 2012 replaces Rhodia's existing EUR300 million
multicurrency credit and guaranty facility maturing
June 30, 2008.
The new line of credit reflects the Group's improved financial
profile with more flexible contractual conditions and at a
reduced cost. It will become available upon the fulfillment of
conditions precedent applicable to the first drawdown.
The principal amount of the bond issue is EUR450 million, which
may be increased by 15% upon the exercise of an increase option.
It may be increased by a further 15% if the over-allotment
option granted to the Global Coordinators, Joint Lead Managers
and Joint Bookrunners is exercised in full and by April 25, 2007
at the latest. The amount of the issue shall not exceed EUR596
million.
The nominal value of each bond will have an issue premium of
between 37% and 42% over the reference price of Rhodia shares on
Eurolist by Euronext Paris after taking into account the
conversion/exchange ratio. The bonds will give the right to the
allotment of new and/or existing Rhodia shares at the rate of
twelve shares for one bond, subject to any further adjustments.
The bonds will bear interest at the annual rate of 0.5% and will
be redeemed at a price between 113.22% and 117.03% of their
nominal value, on Jan. 1, 2014, corresponding to a yield-to-
maturity between 2.35% and 2.85%. The bonds may be redeemed
before Jan. 1, 2014 at the option of Rhodia or the bond holders
under certain conditions.
The proceeds of the bond offering will be used for the early
redemption of the:
-- Euro-denominated 9.25% senior subordinated notes due 2011
(EUR235 million);
-- U.S. dollar-denominated 8.875% senior subordinated notes
due 2011 (US$302 million);
-- Euro-denominated 8% senior notes due 2010 (EUR97 million);
and
-- U.S. dollar-denominated 7.625% senior notes due 2010
(US$3 million).
The total outstanding principal amount of these tranches amounts
to approximately EUR560 million. Early redemption premiums are
contractually defined and amount to approximately EUR25 million.
Settlement-delivery of the bonds is scheduled to take place on
April 27, 2007.
The bond offering is managed by CALYON, Credit Suisse and
Societe Generale Corporate & Investment Banking, Global
Coordinators, Joint Lead Managers and Joint Bookrunners and by
BNP Paribas and HSBC Bank Plc. as Co-Lead Managers.
About Rhodia
Headquartered in Paris, France, Rhodia SA (NYSE: RHA) --
http://www.rhodia.com/-- is a global specialty chemicals
company partnering with major players in the automotive,
electronics, pharmaceuticals, agrochemicals, consumer care,
tires, and paints and coatings markets. Rhodia offers tailor-
made solutions combining original molecules and technologies to
respond to customers' needs. Rhodia employs around 19,500
people worldwide. Rhodia is listed on Euronext Paris and the
New York Stock Exchange.
* * *
As reported in the TCR-Europe on March 29, Moody's Investors
Service has placed B1 corporate family rating of Rhodia S.A.
under review for possible upgrade following the group's
improvement in the overall profile and de-leveraging in
the past 12 months.
Standard & Poor's Ratings Services revised its outlook on
France-based chemicals producer Rhodia S.A. to positive from
stable, reflecting continuing good business and financial
momentum.
At the same time, the 'B+' long-term and 'B' short-term
corporate credit ratings on the group were affirmed.
RHODIA S.A.: Offers EUR595-Million Convertible Bonds
----------------------------------------------------
Rhodia S.A. disclosed a EUR595.1 million offering of bonds
convertible and exchangeable for new or existing shares,
corresponding to 12,372,661 bonds, following the full exercise
of the over-allotment (greenshoe) option by the Global
Coordinators, Joint Lead Managers and Joint Bookrunners.
The nominal value of each bond corresponds to EUR48.10,
providing a premium of 42% above the reference price of Rhodia
shares on Eurolist by Euronext Paris after taking into account
the conversion/exchange rate. The bonds will give the right to
the allotment of new and/or existing Rhodia shares at the rate
of twelve shares for one bond, subject to any further potential
adjustments.
The bonds will bear interest at the annual rate of 0.5% and will
be redeemed at a price of EUR54.46, which represents 113.22% of
their nominal value, on Jan. 1, 2014, corresponding to a yield-
to-maturity of 2.35%. The bonds may be redeemed before Jan. 1,
2014, at the option of Rhodia or the bondholders under certain
conditions.
The proceeds of the bond offering will be used for the early
redemption of the:
-- EUR235-million 9.25% senior subordinated notes due 2011;
-- US$302-million 8.875% senior subordinated notes due 2011;
-- EUR97-million 8% senior notes due 2010; and
-- US$3-million 7.625% senior notes due 2010.
The total outstanding principal amount of these tranches amounts
to approximately EUR560 million. Early redemption premiums are
contractually defined and amount to approximately EUR25 million.
The bonds will only be listed on Eurolist by Euronext Paris.
Settlement-delivery of the bonds is scheduled to take place on
April 27.
About Rhodia
Headquartered in Paris, France, Rhodia SA (NYSE: RHA) --
http://www.rhodia.com/-- is a global specialty chemicals
company partnering with major players in the automotive,
electronics, pharmaceuticals, agrochemicals, consumer care,
tires, and paints and coatings markets. Rhodia offers tailor-
made solutions combining original molecules and technologies to
respond to customers' needs. Rhodia employs around 19,500
people worldwide. Rhodia is listed on Euronext Paris and the
New York Stock Exchange.
* * *
As reported in the TCR-Europe on March 29, Moody's Investors
Service has placed B1 corporate family rating of Rhodia S.A.
under review for possible upgrade following the group's
improvement in the overall profile and de-leveraging in
the past 12 months.
Standard & Poor's Ratings Services revised its outlook on
France-based chemicals producer Rhodia S.A. to positive from
stable, reflecting continuing good business and financial
momentum.
At the same time, the 'B+' long-term and 'B' short-term
corporate credit ratings on the group were affirmed.
RHODIA S.A.: Moody's Upgrades Corporate Family Rating to Ba3
------------------------------------------------------------
Moody's Investors Service upgraded Rhodia S.A. corporate family
rating to Ba3 and assigned Probability of Default rating for the
group at Ba3; Moody's also upgraded senior secured notes at
Rhodia S.A. to B1 and assigned LGD assessment at LGD4 (69%).
The proposed convertible notes are rated (P)B1, LGD4 (69%).
The ratings on the subordinated 2011 notes and senior 2010 notes
will be withdrawn following the proposed refinancing. Outlook
is stable.
Moody's issues provisional ratings in advance of the final sale
of securities, and these ratings only represent Moody's
preliminary opinion. Upon a conclusive review of the
transaction and associated documentation, Moody's will endeavor
to assign definitive ratings to the securities. A definitive
rating may differ from a provisional rating.
Moody's one notch upgrade of the corporate family rating
reflects the improved resilience of operations shown in 2006, as
well as stronger business profile of the group reflecting the
portfolio realignment and consolidation of the position in
selected core businesses. The upgrade also recognizes steady
deleveraging on the balance sheet level achieved through asset
sales and expected improvement in cash flow generation,
supported in part by the revenues from the reduction of NO2
emissions in 2007 and 2008. Moody's notes that the leverage
profile remains elevated for the Ba3 category, while the
leverage ratios include a sizable pension adjustment.
As of the end of 2006, Rhodia reported EBITDA margin in excess
of 14% in line with its European peers. Following its
disposals, the group reduced its balance sheet debt and
substantially refinanced its high-cost legacy notes, while
extending maturity profile of its liabilities. At the end of
the year, Rhodia's Total Debt/ EBITDA stood at x3.6 (x6.0 times
on adjusted basis before the repayment of US$420-million notes
in February 2007). Rhodia's FCF remained marginally negative in
2006.
In conjunction with the upgrade of the corporate family rating,
and following the application of Moody's Loss Given Default
methodology, the ratings on existing notes were upgraded one
notch to B1 and LGD assigned at LGD4 (69%). The ratings on the
notes are reflect simplification of the structure achieved
through the refinancing, while one notch differential with the
corporate family rating signifies a sizable pension obligation
within the corporate legal structure.
On 19 April 2007, Rhodia announced its intention to raise
EUR450-million in convertible notes which might be increased up
to EUR595-million to refinance the remainder of its legacy high-
cost liabilities. The ratings on the proposed convertible notes
were assigned at (P)B1 with LGD4 (69%).
The stable outlook assigned to the ratings assumes continuous
improvement in cash flow generation, supported in part by
revenues from the reduction of NO2 emissions, as well as the
expectation of supportive demand in key business areas.
Rhodia maintains a good liquidity position. The Company
reported 2006 cash balances of EUR467 million (before the
prepayment of the US$420-million in senior secured notes in
February 2007). The liquidity position is expected to be
further supported by the new EUR600-million 2012 revolving
facility.
This rating action concludes the review for upgrade that was
initiated on March 27.
The following ratings of Rhodia S.A. are affected:
-- Corporate Family Ratings upgraded to Ba3;
-- Probability of Default assigned at Ba3;
-- Rhodia S.A. Senior Unsecured ratings upgraded to B1, LGD4
(69%); and
-- Rhodia S.A. Senior convertible notes rated (P)B1, LGD4
(69%).
Based in Paris, France, Rhodia S.A. is a diversified specialty
chemicals group that generated consolidated Revenues of EUR4.8
billion and reported EBITDA of EUR683 million in 2006.
RHODIA S.A.: S&P Rates Proposed Debt Refinancing at B
-----------------------------------------------------
Standard & Poor's Ratings Services raised its long-term
corporate credit rating on France-based chemical producer Rhodia
S.A. to 'BB-' from 'B+', and its long-term debt rating on the
group to 'B' from 'B-'.
At the same time, Standard & Poor's assigned its 'B' senior
unsecured debt rating to Rhodia's proposed new bond, which will
be used for refinancing purposes. The bond is rated two notches
below the corporate credit rating, reflecting its contractual
and structural subordination. The rating is subject to final
documentation.
"The upgrade reflects the benefits Rhodia will realize in 2007
through its improved capital structure with, notably, material
and very cheap convertibles replacing expensive high-yield
bonds," said Standard & Poor's credit analyst Lucas Sevenin.
S&P expects that Rhodia will continue to focus on financial
deleveraging and improvement; its business performance will
remain satisfactory, particularly in polyamide; and free
operating cash flow will consequently become neutral or slightly
positive in 2007, with further gains in 2008. As of December
2006, financial debt was about EUR2 billion.
"We expect Rhodia to improve its cash flow protection ratios in
the coming two years, given a strong focus on deleveraging and
cash flow that should benefit from continuously solid business
performances in polyamide, far lower interest expenses than
previously, and modest growth in capital expenditures," said Mr.
Sevenin.
The rating could come under pressure if the group does not
perform in line with its turnaround plan, and its cash flow
metrics do not improve to levels commensurate with the 'BB'
category.
As medium-term improvements are already factored into the
rating, further ratings going up is limited at this stage.
=============
G E R M A N Y
=============
7'TUR GMBH: Claims Registration Period Ends May 31
--------------------------------------------------
Creditors of 7'tur GmbH have until May 31 to register their
claims with court-appointed insolvency manager Joern Weitzmann.
Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on July 5, at which time the
insolvency manager 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
Fourth Floor
Sievkingplatz 1
20355 Hamburg
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be contacted at:
Joern Weitzmann
Arnold-Heise-Strasse 9
20249 Hamburg
Germany
The District Court of Hamburg opened bankruptcy proceedings
against 7'tur GmbH on April 5. Consequently, all pending
proceedings against the company have been automatically stayed.
The Debtor can be contacted at:
7'tur GmbH
Attn: Oezcan Mert, Manager
Geibelstrasse 54
22303 Hamburg
Germany
ALBERT BOOS: Claims Registration Period Ends May 4
--------------------------------------------------
Creditors of Albert Boos und Partner GmbH have until May 4 to
register their claims with court-appointed insolvency manager
Joachim Klein II.
Creditors and other interested parties are encouraged to attend
the meeting at 11:20 a.m. on June 6, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Cologne
Meeting Hall 1240
12th Floor
Luxemburger Strasse 101
50939 Cologne
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be contacted at:
Joachim Klein II
Sophienblatt 44-46
24114 Kiel
Germany
The District Court of Cologne opened bankruptcy proceedings
against Albert Boos und Partner GmbH on April 1. Consequently,
all pending proceedings against the company have been
automatically stayed.
The Debtor can be contacted at:
Albert Boos und Partner GmbH
Attn: Johannes Boos, Manager
Theresienstr. 29
50931 Cologne
Germany
ANDREAS LAABS: Claims Registration Period Ends May 15
-----------------------------------------------------
Creditors of Andreas Laabs GmbH & Co. KG have until May 15 to
register their claims with court-appointed insolvency manager
Jens Hamdorf.
Creditors and other interested parties are encouraged to attend
the meeting at 9:20 a.m. on June 5, at which time the insolvency
manager will present his first report on the insolvency
proceedings.
The meeting of creditors will be held at:
The District Court of Lueneburg
Hall 302
Ochsenmarket 3
21335 Lueneburg
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be contacted at:
Jens Hamdorf
Treugarant AG
Hallerstr. 76
20146 Hamburg
Germany
Tel: 040/4146380
Fax: 040/445635
The District Court of Lueneburg opened bankruptcy proceedings
against Andreas Laabs GmbH & Co. KG on April 3. Consequently,
all pending proceedings against the company have been
automatically stayed.
The Debtor can be contacted at:
Andreas Laabs GmbH & Co. KG
Widukindweg 20
21357 Barum OT. St.Dionys
Germany
Attn: Andreas Michael Laabs, Manager
Wilerstrasse 5
8193 Eglisau
Germany
AS SERVICE: Claims Registration Period Ends May 4
-------------------------------------------------
Creditors of AS Service GmbH have until May 4 to register their
claims with court-appointed insolvency manager Andreas
Ringstmeier.
Creditors and other interested parties are encouraged to attend
the meeting at 9:25 a.m. on June 6, at which time the insolvency
manager will present his first report on the insolvency
proceedings.
The meeting of creditors will be held at:
The District Court of Cologne
Meeting Hall 1240
12th Floor
Luxemburger Strasse 101
50939 Cologne
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be contacted at:
Dr. Andreas Ringstmeier
Magnusstr. 13
50672 Cologne
Germany
Tel: 0221/650 660
Fax: +49221650661
The District Court of Cologne opened bankruptcy proceedings
against AS Service GmbH on April 1. Consequently, all pending
proceedings against the company have been automatically stayed.
The Debtor can be contacted at:
AS Service GmbH
Attn: Sascha Kroeschel, Manager
Schulstr. 23
51491 Overath
Germany
ASTHEIMER INDUSTRIEBAU: Claims Registration Period Ends May 2
-------------------------------------------------------------
Creditors of Astheimer Industriebau GmbH have until May 2 to
register their claims with court-appointed insolvency manager
Harald Silz.
Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on June 13, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Darmstadt
Hall 4.311
Fourth Floor
Building D
Mathildenplatz 15
64283 Darmstadt
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be contacted at:
Harald Silz
Adolfsallee 24
65185 Wiesbaden
Germany
Tel: 0611-1504-0
Fax: 0611-301774
The District Court of Darmstadt opened bankruptcy proceedings
against Astheimer Industriebau GmbH on April 10. Consequently,
all pending proceedings against the company have been
automatically stayed.
The Debtor can be contacted at:
Astheimer Industriebau GmbH
Attn: Mario Vajcek, Manager
Mainzer Strasse 161
65428 Ruesselsheim
Germany
AUSER GMBH: Claims Registration Period Ends May 16
--------------------------------------------------
Creditors of Auser GmbH have until May 16 to register their
claims with court-appointed insolvency manager Dirk Jagusch.
Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on June 14, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Aschaffenburg
Meeting Hall 5.103
Schlossplatz 5
63739 Aschaffenburg
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be contacted at:
Dirk Jagusch
Fruehlingstr. 11
63743 Aschaffenburg
Germany
Tel: 06021/909100
Fax: 06021/4497831
The District Court of Aschaffenburg opened bankruptcy
proceedings against Auser GmbH on March 30. Consequently, all
pending proceedings against the company have been automatically
stayed.
The Debtor can be contacted at:
Auser GmbH
Kleine Schoenbuschallee 1
63741 Aschaffenburg
Germany
BAUUNTERNEHMEN E. LUEHRING: Creditors' Meeting Slate for May 24
---------------------------------------------------------------
The court-appointed insolvency manager for Bauunternehmen E.
Luehring GmbH, Christian Willmer, will present his first report
on the Company's insolvency proceedings at a creditors' meeting
at 10:30 a.m. on May 24.
The meeting of creditors and other interested parties will be
held at:
The District Court of Syke
Hall 112
Hauptstr. 5A
28857 Syke
Germany
The Court will also verify the claims set out in the insolvency
manager's report at 10:00 a.m. on July 26, at the same venue.
Creditors have until June 14 to register their claims with the
court-appointed insolvency manager.
The insolvency manager can be reached at:
Dr. Christian Willmer
Georgstrasse 5
27283 Verden
Germany
The District Court of Syke opened bankruptcy proceedings against
Bauunternehmen E. Luehring GmbH on April 10. Consequently, all
pending proceedings against the company have been automatically
stayed.
The Debtor can be reached at:
Bauunternehmen E. Luehring GmbH
Holterstr. 2
31608 Marklohe
Germany
Attn: Eckehardt Luehring, Manager
Forststr. 28
31608 Marklohe
Germany
BUDDENHAGER BAU: Claims Registration Period Ends May 10
-------------------------------------------------------
Creditors of Buddenhager Bau GmbH have until May 10 to register
their claims with court-appointed insolvency manager Nils
Eggers.
Creditors and other interested parties are encouraged to attend
the meeting at 11:30 a.m. on June 20, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Stralsund
Hall A 421
Fourth Floor
House A
Frankendamm 17
Stralsund
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be contacted at:
Nils Eggers
Lange Strasse 50
18311 Ribnitz-Damgarten
Germany
The District Court of Stralsund opened bankruptcy proceedings
against Buddenhager Bau GmbH on April 10. Consequently, all
pending proceedings against the company have been automatically
stayed.
The Debtor can be contacted at:
Buddenhager Bau GmbH
Bahnhof
17440 Buddenhagen
Germany
BUSCHBAU GMBH: Claims Registration Ends May 15
----------------------------------------------
Creditors of Buschbau GmbH have until May 15 to register their
claims with court-appointed insolvency manager Stefan Waldherr.
Creditors and other interested parties are encouraged to attend
the meeting at 1:30 p.m. on June 26, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Weiden
Room 116/I
Justizgebaude
Ledererstrasse Nr. 9
Weiden
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be reached at:
Stefan Waldherr
Peuntgasse 3
90402 Nuernberg
Germany
Tel. 0911-27980-0
Fax 0911-27980-90
The District Court of Weiden opened bankruptcy proceedings
against Buschbau GmbH on April 10. Consequently, all pending
proceedings against the company have been automatically stayed.
The Debtor can be reached at:
Buschbau GmbH
Steinwaldstrasse 10
95700 Neusorg
Germany
CHALLENGE X: Claims Registration Period Ends May 10
---------------------------------------------------
Creditors of Challenge X GmbH have until May 10 to register
their claims with court-appointed insolvency manager Dr. Bruno
Kuebler.
Creditors and other interested parties are encouraged to attend
the meeting at 11:30 a.m. on June 27, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Cologne
Meeting Hall 142
First Floor
Luxemburger Strasse 101
50939 Cologne
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be reached at:
Dr. Bruno Kuebler
Aachener Str. 222
50931 Cologne
Tel: 400 770
Fax: +492214007720
Web site: http://www.kuebler-gbr.de/
The District Court of Cologne opened bankruptcy proceedings
against Challenge X GmbH on March 29. Consequently, all pending
proceedings against the company have been automatically stayed.
The Debtor can be reached at:
Challenge X GmbH
Koelner Strasse 316
51645 Gummersbach
Germany
DAIMLERCHRYSLER AG: Employees Propose 70% Ownership of Chrysler
---------------------------------------------------------------
Workers at a Chrysler plant in Toledo, Ohio, have written to
DaimlerChrysler AG Chief Executive Dieter Zetsche, suggesting
employees could buy 70% of Chrysler, possibly in exchange for
cost concessions, Gina Chon, Jeffrey McCracken and John D. Stoll
report for the Wall Street Journal.
Concurrently, billionaire Kirk Kerkorian's investment company,
which has offered to buy Chrysler for US$4.5 billion in cash, is
studying employee ownership as part of its bid and is interested
in discussing the idea with the union, WSJ relates.
Meanwhile, United Auto Workers union President Ron Gettelfinger,
who serves as an employee representative on DaimlerChrysler's
supervisory board, plans to ask the company's directors to keep
Chrysler, English Business News reports.
"I personally think that there's a lot of value in keeping it
there right now because of the synergies, even though you don't
hear a lot about that," Gettelfinger said. "There's been some
times when the Chrysler Group has buoyed up the DaimlerChrysler
in and of itself and then we're in a little downturn right now."
According to the report, Mr. Gettelfinger is opposing the sale
of Chrysler to private equity investors because he is concerned
that they would "strip and flip" the company by selling it off
in parts.
English Business News notes that Gettelfinger said Chrysler's
losses and problems are small compared to past losses at Ford
Motor Co. and General Motors Corp.
"It's like hardly anything," he said. "It appears to me we're
moving forward and we just don't need the aggravation of going
through whatever happens here. It seems to me like both the
Chrysler Group and DaimlerChrysler as a whole would be better
served if we focused on moving forward with the plan that's in
place and building a quality product and worrying about the
future."
Labor will play a key role in determining the future of
Chrysler, largely because the company is grappling with how to
address enormous health-care costs and more than US$15 billion
in unfunded pension and health-care liabilities, Ms. Chon of WSJ
observes. That is why bidders for Chrysler have been trying to
woo the unions for their support.
DaimlerChrysler revealed a restructuring plan that included
offering buyout and early retirement packages to 13,000 workers
on Feb. 14, the same day that the company's Chairman of the
Board of Management Dr. Dieter Zetsche disclosed that all
options are open for the struggling unit, English Business News
relates.
The TCR-Europe reported on April 16 that DaimlerChrysler AG
executive Ruediger Grube, a management-board member and head of
strategy, is presently negotiating with all Chrysler bidders,
with the exception of billionaire Kirk Kerkorian's Tracinda
Corp.
The company had scheduled meetings with Cerberus Capital
Management LP; joint bidders Blackstone Group and Centerbridge
Capital Partners LP; and the tandem of Magna International Inc.
and Onex Corp., but left Tracinda Corp. in the lurch.
Chrysler Group Chief Executive Tom LaSorda recently said that
the company is continuing discussions with interested bidders,
Reuters states. Mr. LaSorda added that all options are still on
the table and the union will have to be involved.
About DaimlerChrysler
Based in Stuttgart, Germany, DaimlerChrysler AG (NYSE:DCX) (FRA:
DCX) -- http://www.daimlerchrysler.com/-- develops,
manufactures, distributes, and sells various automotive
products, primarily passenger cars, light trucks, and commercial
vehicles worldwide. It primarily operates in four segments:
Mercedes Car Group, Chrysler Group, Commercial Vehicles, and
Financial Services.
The company's worldwide operations are located in: Canada,
Mexico, United States, Argentina, Brazil, Venezuela, China,
India, Indonesia, Japan, Thailand, Vietnam, and Australia.
The Chrysler Group segment offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names. It also sells parts and
accessories under the MOPAR brand.
The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles. At the
same time, key competitors have further increased margin and
volume pressures -- particularly on light trucks -- by making
significant price concessions. In addition, increased interest
rates caused higher sales & marketing expenses.
In order to improve the earnings situation of the Chrysler Group
as quickly and comprehensively, measures to increase sales and
cut costs in the short term are being examined at all stages of
the value chain, in addition to structural changes being
reviewed as well.
FASSADEN-UND TRENNWANDSYSTEME: Claims Registration Ends May 23
--------------------------------------------------------------
Creditors of Fassaden-und Trennwandsysteme Gerhard Krause GmbH
have until May 23 to register their claims with court-appointed
insolvency manager Joerg Riedemann.
Creditors and other interested parties are encouraged to attend
the meeting at 10:10 a.m. on June 21, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Halle-Saalkreis
Hall 1.043
Judicial Center
Thueringer Str. 16
06112 Halle
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be reached at:
Joerg Riedemann
Muehlweg 47
D 06114 Halle
Germany
Tel: 0345/293900
Fax: 0345/2939029
The District Court of Halle-Saalkreis opened bankruptcy
proceedings against Fassaden-und Trennwandsysteme Gerhard Krause
GmbH on April 3. Consequently, all pending proceedings against
the company have been automatically stayed.
The Debtor can be reached at:
Fassaden-und Trennwandsysteme Gerhard Krause GmbH
Schenkenhohle 3
06618 Naumburg OT Eulau
Germany
FLIESEN ANTWEILER: Claims Registration Ends June 5
--------------------------------------------------
Creditors of Fliesen Antweiler GmbH have until June 5 to
register their claims with court-appointed insolvency manager
Karl-Dieter Sommerfeld.
Creditors and other interested parties are encouraged to attend
the meeting at 10:40 a.m. on June 26, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Cologne
Meeting Hall 142
First Floor
Luxemburger Strasse 101
50939 Cologne
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be reached at:
Karl-Dieter Sommerfeld
Hammerweg 3
51766 Engelskirchen
Germany
The District Court of Cologne opened bankruptcy proceedings
against Fliesen Antweiler GmbH on March 26. Consequently, all
pending proceedings against the company have been automatically
stayed.
The Debtor can be reached at:
Fliesen Antweiler GmbH
Schmiedeweg 44
51503 Roesrath
Germany
INGENIEURTECHNISCHE: Creditors' Meeting Slated for May 25
---------------------------------------------------------
The court-appointed insolvency manager for Ingenieurtechnische
Landoek Berlin-Brandenburg Landschaftsoekologische Gesellschaft
mbH, Christian Graf Brockdorff, will present his first report on
the Company's insolvency proceedings at a creditors' meeting at
11:50 a.m. on May 25.
The meeting of creditors and other interested parties will be
held at:
The District Court of Charlottenburg
Second Stock Hall 218
Amtsgerichtsplatz 1
14057 Berlin
Germany
The Court will also verify the claims set out in the insolvency
manager's report at 10:30 a.m. on Aug. 31 at the same venue.
Creditors have until July 2 to register their claims with the
court-appointed insolvency manager.
The insolvency manager can be reached at:
Christian Graf Brockdorff
Breite Strasse 9A
14467 Potsdam
Germany
The District Court of Charlottenburg opened bankruptcy
proceedings against Ingenieurtechnische Landoek Berlin-
Brandenburg Landschaftsoekologische Gesellschaft mbH on April 2.
Consequently, all pending proceedings against the company have
been automatically stayed.
The Debtor can be reached at:
Ingenieurtechnische Landoek Berlin-Brandenburg
Landschaftsoekologische Gesellschaft mbH
Cecilienstr. 101 A
12683 Berlin
Germany
JOBCHALLENGE GMBH: Claims Registration Ends May 10
--------------------------------------------------
Creditors of JobChallenge GmbH have until May 10 to register
their claims with court-appointed insolvency manager Dr. Paul
Fink.
Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on May 31, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Duesseldorf
Meeting Hall A 341
Third Floor
Muehlenstrasse 34
40213 Duesseldorf
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be reached at:
Dr. Paul Fink
Rheinort 1
40213 Duesseldorf
Germany
The District Court of Duesseldorf opened bankruptcy proceedings
against JobChallenge GmbH on April 11. Consequently, all
pending proceedings against the company have been automatically
stayed.
The Debtor can be reached at:
JobChallenge GmbH
Boeck 76
40221 Duesseldorf
Germany
Attn: Arne Lorenz, Manager
Reuterkaserne 30
40213 Duesseldorf
Germany
LRV LAUFWERK: Claims Registration Ends May 28
---------------------------------------------
Creditors of LRV Laufwerk-Raupenketten-Verschleissteile GmbH
have until May 28 to register their claims with court-appointed
insolvency manager Werner F. Muehlenbrock.
Creditors and other interested parties are encouraged to attend
the meeting at 9:25 a.m. on June 18, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Essen
Meeting Hall 293
Second Floor
Zweigertstr. 52
45130 Essen
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be reached at:
Werner F. Muehlenbrock
Overwegstr. 47
45879 Gelsenkirchen
Germany
The District Court of Essen opened bankruptcy proceedings
against LRV Laufwerk-Raupenketten-Verschleissteile GmbH on
April 5. Consequently, all pending proceedings against the
company have been automatically stayed.
The Debtor can be reached at:
LRV Laufwerk-Raupenketten-Verschleissteile GmbH
Gecksheide 12
45894 Gelsenkirchen
Germany
Attn: Clemens Liesen, Manager
Rekener Str. 24
46286 Dorsten
Germany
M & P HOTELBETRIEBS: Creditors' Meeting Slated for May 11
---------------------------------------------------------
The court-appointed insolvency manager for M & P
Hotelbetriebsgesellschaft mbH, Dr. Paul Fink, will present his
first report on the Company's insolvency proceedings at a
creditors' meeting at 9:50 a.m. on May 11.
The meeting of creditors and other interested parties will be
held at:
The District Court of Duesseldorf
Meeting Hall A 341
Third Floor
Muehlenstrasse 34
40213 Duesseldorf
Germany
The Court will also verify the claims set out in the insolvency
manager's report at 9:10 a.m. on June 1 at the same venue.
Creditors have until May 8 to register their claims with the
court-appointed insolvency manager.
The insolvency manager can be reached at:
Dr. Paul Fink
Rheinort 1
40213 Duesseldorf
Germany
The District Court of Duesseldorf opened bankruptcy proceedings
against M & P Hotelbetriebsgesellschaft mbH on April 10.
Consequently, all pending proceedings against the company have
been automatically stayed.
The Debtor can be reached at:
M & P Hotelbetriebsgesellschaft mbH
Neustrasse 29
53498 Goennersdorf
Germany
Attn: Bernard Doriath, Manager
Kreuzstrasse 19a
40210 Duesseldorf
Germany
PHOENIX KAPITALDIENST: Creditors Vote on Insolvency Plan
--------------------------------------------------------
Creditors of Phoenix Kapitaldienst GmbH met April 19 to vote on
the insolvency plan for the company, The Financial Times
Deutschland reports.
The German institution for compensation for securities trading
companies (EdW) will base the calculation of compensation on the
result of the vote.
According to the report, members of parliament have asked the
German government to find a definite solution for the company,
since EdW was not clear on the amount Phoenix's investors will
recover.
The German government was said to have set special contributions
limit for EdW members to a maximum of 25% of their annual
profit, which it later withdrew, Financial Times relates. EdW
is believed to have serious financing shortage.
Phoenix Kapitaldienst is a German security-trading bank, which
owed up to EUR230 million in debts. The District Court of
Frankfurt (Main) opened insolvency proceedings for the company
on July 1, 2005.
POBURSKI DACHTECHNIK: Creditors' Meeting Slated for June 1
----------------------------------------------------------
The court-appointed insolvency manager for Poburski Dachtechnik
GmbH & Co. KG Berlin, Peter Leonhardt, will present his first
report on the Company's insolvency proceedings at a creditors'
meeting at 9:55 a.m. on June 1.
The meeting of creditors and other interested parties will be
held at:
The District Court of Charlottenburg
Second Stock Hall 218
Amtsgerichtsplatz 1
14057 Berlin
Germany
The Court will also verify the claims set out in the insolvency
manager's report at 9:30 a.m. on Sept. 7 at the same venue.
Creditors have until July 13 to register their claims with the
court-appointed insolvency manager.
The insolvency manager can be reached at:
Peter Leonhardt
Kurfurstendamm 212
10719 Berlin
Germany
The District Court of Charlottenburg opened bankruptcy
proceedings against Poburski Dachtechnik GmbH & Co. KG Berlin on
April 2. Consequently, all pending proceedings against the
company have been automatically stayed.
The Debtor can be reached at:
Poburski Dachtechnik GmbH & Co. KG Berlin
Trettachzeile 5
13509 Berlin
Germany
SABINE SCHAFFER: Claims Registration Period Ends May 9
------------------------------------------------------
Creditors of Sabine Schaffer GmbH have until May 9 to register
their claims with court-appointed insolvency manager Stefan
Neumann.
Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on June 20, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Karlsruhe
Hall IV
First Floor
Schlossplatz 23
76131 Karlsruhe
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be reached at:
Stefan Neumann
Mozartstr. 11
76133 Karlsruhe
Germany
Tel: (07 21) 984 65-0
The District Court of Karlsruhe opened bankruptcy proceedings
against Sabine Schaffer GmbH on April 5. Consequently, all
pending proceedings against the company have been automatically
stayed.
The Debtor can be reached at:
Sabine Schaffer GmbH
Attn: Sabine Schaffer, Manager
Am Haltepunkt 5
68753 Waghausel
Germany
SARAJO GMBH: Claims Registration Period Ends May 18
---------------------------------------------------
Creditors of SARAJO GmbH have until May 18 to register their
claims with court-appointed insolvency manager Christine
Berg-Gruenenwald.
Creditors and other interested parties are encouraged to attend
the meeting at 9:05 on June 11, at which time the insolvency
manager will present his first report on the insolvency
proceedings.
The meeting of creditors will be held at:
The District Court of Munich
Meeting Room 102
Infanteriestr. 5
80097 Munich
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be reached at:
Dr. Christine Berg-Gruenenwald
Leopoldstr. 139
80804 Munich
Germany
Tel: 361930-0
Telefax: 361930-499
The District Court of Munich opened bankruptcy proceedings
against SARAJO GmbH on April 4. Consequently, all pending
proceedings against the company have been automatically stayed.
The Debtor can be reached at:
SARAJO GmbH
Rumfordstr. 3
80469 Munich
Germany
SCHIEDER MOEBEL: Creditors in Talks with Banks Over Bridge Loan
---------------------------------------------------------------
Creditors of Schieder Moebel Holding GmbH are in discussions
with bank lenders over a bridging loan in an attempt to save the
company from insolvency, The Financial Times reports citing
Frankfurter Allgemeine Zeitung as its source.
According to the report, Schieder needs up to EUR65 million in
transition financing to guarantee its liquidity.
Sven-Holger Undritz acts as adviser to the company.
Schieder applied for insolvency proceedings at the District
Court of Detmold after incurring debts of nearly EUR300 million
due to high capital costs.
A representative of German trade union IG Metall reveals that
the company is already seeking an insolvency trustee.
Headquartered in Herford, Germany, Schieder Moebel Holding GmbH
-- http://www.schieder.com/-- is one of the leading furniture
designers and manufacturers in Europe. The company employs
11,000 people worldwide, 9,000 of which in Poland. It had
turnover of EUR950 million in the financial year 2005/06.
SENIORENFACHMARKT: Files for Insolvency Proceedings
---------------------------------------------------
Seniorenfachmarkt, the senior citizen's superstore, filed for
insolvency, The Financial Times reports citing Suddeutsche
Zeitung as its source.
According to the report, the superstore cited its inability to
pay debt obligations as the reason for the insolvency filing.
FT says the store's employees will continue the operation of the
business.
Headquartered in Grosraschen, Germany, Seniorenfachmarkt --
http://www.seniorenfachmarkt.de/-- is a supermarket that caters
to senior citizens. It opened on March 1, 2005.
SH HOCH: Claims Registration Period Ends May 4
----------------------------------------------
Creditors of SH Hoch- und Tiefbau GmbH have until May 4 to
register their claims with court-appointed insolvency manager
Sven Bader.
Creditors and other interested parties are encouraged to attend
the meeting at 10:45 a.m. on May 23, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Wuppertal
Meeting Room A234
Second Floor
Isle 2
42103 Wuppertal
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be reached at:
Sven Bader
Carl-Grueber-Weg 14
42853 Remscheid
Germany
Tel: 02191/421010
Fax: 02191/421070
The District Court of Wuppertal opened bankruptcy proceedings
against SH Hoch- und Tiefbau GmbH on April 5. Consequently, all
pending proceedings against the company have been automatically
stayed.
The Debtor can be reached at:
SH Hoch- und Tiefbau GmbH
Attn: Horst Gunter Schindelwig, Manager
Honsberger Str. 55
42857 Remscheid
Germany
SPEKTRA UMWELTANALYTIK: Claims Registration Period Ends May 5
-------------------------------------------------------------
Creditors of Spektra Umweltanalytik GmbH have until May 5 to
register their claims with court-appointed insolvency manager
Walter Zellner.
Creditors and other interested parties are encouraged to attend
the meeting at 8:45 a.m. on May 25, at which time the insolvency
manager will present his first report on the insolvency
proceedings.
The meeting of creditors will be held at:
The District Court of Landshut
Meeting Hall 9/I
Maximilianstrasse 22-24
Landshut
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be reached at:
Walter Zellner
Fuerstendamm 7
85354 Freising
Germany
Tel: 08161-48690
Fax: 08161-92342
The District Court of Landshut opened bankruptcy proceedings
against Spektra Umweltanalytik GmbH on April 10. Consequently,
all pending proceedings against the company have been
automatically stayed.
The Debtor can be reached at:
Spektra Umweltanalytik GmbH
Tratmoos 12
85467 Neuching
Germany
STRATEGIE UND KONZEPT: Claims Registration Period Ends May 4
------------------------------------------------------------
Creditors of Strategie und Konzept GmbH have until May 4 to
register their claims with court-appointed insolvency manager
Hans-Gerd Jauch.
Creditors and other interested parties are encouraged to attend
the meeting at 11:40 a.m. on June 6, at which time the
insolvency manager will present his first report on the
insolvency proceedings.
The meeting of creditors will be held at:
The District Court of Cologne
Meeting Hall 142
First Floor
Luxemburger Strasse 101
50939 Cologne
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be reached at:
Hans-Gerd Jauch
Sachsenring 81
50677 Koeln
Germany
Tel: 0221/33660130
Fax: +492213366085
The District Court of Cologne opened bankruptcy proceedings
against Strategie und Konzept GmbH on March 29. Consequently,
all pending proceedings against the company have been
automatically stayed.
The Debtor can be reached at:
Strategie und Konzept GmbH
Spichernstrasse 6
50672 Koeln
Germany
Attn: Bernd Funkel, Manager
Alter Militarring 72
50933 Koeln
Germany
STABILITY CMBS: Moody's Rates EUR28.2-Million Notes at (P)Ba3
-------------------------------------------------------------
Moody's Investors Service assigned these provisional ratings to
the Notes to be issued by Stability CMBS 2007-1 GmbH:
-- EUR500,000 Class A+ Floating Rate Credit Linked Notes due
May 2022: (P)Aaa;
-- EUR31.8-million Class A Floating Rate Credit Linked Notes
due May 2022: (P)Aaa;
-- EUR46.4-million Class B Floating Rate Credit Linked Notes
due May 2022: (P)Aa2;
-- EUR30.5-million Class C Floating Rate Credit Linked Notes
due May 2022: (P)A2;
-- EUR30.4-million Class D Floating Rate Credit Linked Notes
due May 2022: (P)Baa2; and
-- EUR28.2-million Class E Floating Rate Credit Linked Notes
due May 2022: (P)Ba3.
In addition, Moody's has assigned a provisional rating of (P)Aaa
to the EUR727-million senior credit default swap between
Kreditanstalt fuer Wiederaufbau and the senior credit default
swap counterparty in connection with notes to be issued by
Stability 2007-1.
In this transaction, IKB Deutsche Industriebank
Aktiengesellschaft transfers the credit risk on 218 commercial
mortgage loans which were granted to 91 borrower groups and are
secured on aggregate by 119 properties located in Europe. The
reference portfolio has a total volume of EUR909 million. The
top borrower group exposure accounts for 11% and the top three
borrower groups for 23%. Based on borrower groups, the loan
herfindal index is 32. Based on loan amounts the major property
types are office buildings (52%) followed by mixed used
properties (20%) and retail properties (14%). 90% of the
properties are located in Germany with the remainder 10% being
equally distributed across Austria, UK, Luxembourg, the
Netherlands and Switzerland. The property regional distribution
within Germany is dominated by the federal states of North
Rhine-Westphalia (28%), Hesse (24%) and Berlin (10%).
The structure is sponsored by KfW, which provides credit
protection for the reference portfolio. KfW in turn hedges its
exposure through a senior credit default swap and the issuance
of certificates of indebtedness to Stability 2007-1. Stability
2007-1 in return finances the acquisition of the certificates
through the issuance of credit-linked Notes to investors.
The loans were originated by IKB in the course of its ordinary
commercial mortgage loan activity. The loans are serviced by
IKB. Based on originator's data, the portfolio has a weighted
average loan-to-value of about 66% and an average seasoning of
about four years. Further favorable portfolio characteristics
include the good diversification of the reference pool in
respect of location, property type and borrowers, the relatively
small portion of third party prior and equal ranking claims and
the high ratio of third-party valuations available.
Less favorable aspects include, compared to other CMBS
transactions, the limited information available on the
historical performance of IKB's commercial real estate portfolio
in particular, the limited information available on the granular
portion of the portfolio in general, the borrower concentration
with respect to the largest exposures and the foreign exchange
risk in combination with an unfavorable reset mechanism.
Moody's has visited approximately 14% of all properties by
underwriter value. On average Moody's has assigned a property
attractiveness grade of 2.6 to the properties.
In this transaction, the credit definition includes bankruptcy
and failure to pay. The loss definition includes principal,
accrued interest and external enforcement costs. Losses will be
allocated in a reverse sequential order: first to the Class F
Notes, second to the Class E Notes and last pro rata and pari
passu to the Class A+ Notes and the senior credit default swap.
The Notes will amortize sequentially, starting with the Class A+
Notes which rank pro-rata with the senior credit default swap.
The portfolio is replenishable and provides IKB as originator
some flexibility in terms of assigning new reference claims to
the transaction in accordance with the replenishment criteria.
The legal final maturity of the transaction is in 2022.
The provisional 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 at par on or before the rated
final legal maturity date. Moody's issues provisional ratings
in advance of the final sale of securities, but these ratings
represent only Moody's preliminary credit opinions. 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.
STABILITY CMBS: S&P Rates EUR28.2-Million Class E Notes at BB
-------------------------------------------------------------
Standard & Poor's Ratings Services assigned its preliminary
credit ratings to the EUR167.8 million floating-rate credit-
linked notes to be issued by Stability Cmbs 2007-1 GmbH, a
special purpose entity incorporated in Germany.
At the same time, it will issue EUR14.6 million of unrated class
F notes.
This will be IKB Deutsche Industriebank AG's first synthetic
CMBS transaction. It uses KfW as the intermediary to transfer
credit risk linked to a pool of commercial property loans.
The purpose of this transaction is to transfer the credit risk
associated with a pool of 218 mortgage loans secured by
commercial properties, located mainly in Germany. The loans
were originated by IKB Deutsche Industriebank or IKB
International S.A., or form parts of syndications with other
banks.
The reference loan pool amounts to EUR909.2 million at cut-off
and is secured by first-ranking and/or subordinated mortgages.
For 16 of the loans, IKB participated in a syndication with
other banks. In these syndications, IKB's share ranks pari passu
to the other portions.
The notes will be secured against certificates issued by KfW and
there will be a direct credit link to the rating on KfW. Thus,
the ratings on the notes will be capped at the rating on KfW and
if KfW is downgraded, the ratings on the notes will also be
lowered.
Ratings List
STABILITY CMBS 2007-1 GmbH
EUR182.4 Million Floating-Rate Credit-Linked Notes
Prelim. Prelim. Amount
Class rating (Mil. EUR)
----- ------ --------
A+ AAA 0.50
A AAA 31.8
B AA 46.4
C A 30.5
D BBB 30.4
E BB 28.2
F NR 14.6
SVS GMBH: Claims Registration Period Ends May 21
------------------------------------------------
Creditors of SVS GmbH have until May 21 to register their claims
with court-appointed insolvency manager Dr. Mark Zeuner.
Creditors and other interested parties are encouraged to attend
the meeting at 3:15 p.m. on June 6, at which time the insolvency
manager will present his first report on the insolvency
proceedings.
The meeting of creditors will be held at:
The District Court of Stendal
Hall 411
Albrecht der Bar
Scharnhorststrasse 40
39576 Stendal
Germany
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.
The insolvency manager can be reached at:
Dr. Mark Zeuner
Lehmweg 17
D 20251 Hamburg
Germany
Tel: 040/480 63 90
Fax: 040/480 63 999
The District Court of Stendal opened bankruptcy proceedings
against SVS GmbH on April 5. Consequently, all pending
proceedings against the company have been automatically stayed.
The Debtor can be reached at:
SVS GmbH
Attn: Gerhard Fiebig, Manager
Kloetzer Strasse 34b
38486 Kusey
Germany
=============
H U N G A R Y
=============
SANYO ELECTRIC: Unit Starts Full-Scale Production in Hungary
------------------------------------------------------------
The Budapest Sun reports that full-scale production has started
at the Sanyo Hungary Kft air conditioning plant at Dorog, 40
kilometers northwest of Budapest.
According to the report, Sanyo Hungary Kft, a subsidiary of the
Japan-based Sanyo Electric Co Ltd, began production of
commercial multi-air conditioning indoor units on Dec. 1, 2006.
The company has 110 employees working at the new plant.
Akira Kan, Executive Officer Sanyo Electric Co Ltd, Head of
Commercial Business Group, told the Sun: "Sanyo has expanded the
business of a wide range of environmentally-friendly products in
the European market, based on our 'Think GAIA' vision."
About Sanyo Electric
Headquartered in Osaka, Japan, Sanyo Electric Co., Ltd. --
http://www.sanyo.com/-- is one of the world's leading
manufacturers of consumer electronics products. The company has
global operations in Brazil, Germany, India, Ireland, Spain, the
United States and the United Kingdom, among others.
* * *
As reported in the Troubled Company Reporter - Asia Pacific on
March 2, 2007, Fitch Ratings placed Sanyo Electric Co. Ltd.'s
BB+ long-term foreign and local currency issuer default and
senior unsecured ratings on rating watch negative.
The TCR-AP reported on May 25, 2006, that Standard & Poor's
Ratings Services affirmed its negative BB long-term corporate
credit and BB+ senior unsecured debt ratings on Sanyo Electric
Co. Limited. At the same time, the ratings were removed from
CreditWatch where they were first placed with negative
implications on Sept. 28, 2005.
=============
I R E L A N D
=============
BACCHUS 2007-1: Moody's Rates EUR12.2-Mln Class E Notes at Ba3
--------------------------------------------------------------
Moody's Investors Service assigned definitive ratings to seven
classes of Notes and a revolving credit facility issued by
Bacchus 2007-1 Plc, a bankruptcy remote special purpose vehicle
incorporated under the laws of Ireland.
The ratings assigned are:
-- EUR218.2-million Class A Senior Secured Floating Rate
Notes due 2023: Aaa;
-- EUR88-million Revolving Credit Facility due 2023: Aaa;
-- EUR35.4-million Class B Senior Secured Floating Rate Notes
due 2023: Aa2;
-- EUR25.5-million Class C Senior Secured Floating Rate Notes
due 2023: A2;
-- EUR25-million Class D Senior Secured Floating Rate Notes
due 2023: Baa3;
-- EUR12.2-million Class E Senior Secured Floating Rate Notes
due 2023: Ba3;
-- EUR3-million Class Y Combination Notes due 2023: Baa3; and
-- EUR9.09-million Class Z Combination Notes due 2023: Aaa.
The ratings of the notes address the expected loss posed to
investors by the legal maturity of each class (in 2023). The
ratings on the Class Y Combination Notes and the Class Z
Combination Notes address the expected loss posed to investors
by the legal final maturity date as a proportion of the Rated
Balance, where the "Rated Balance" is equal, at any time, to the
principal amount of such Combination Notes on the Closing Date
minus the aggregate of all payments made from the Closing Date
to such date, either through payment of interest or principal in
respect of such Class of Notes.
This transaction is a high yield collateralized loan obligation
related to a portfolio composed of mostly EURpean mid cap senior
and mezzanine leveraged loans. This portfolio is dynamically
managed by IKB Deutsche Industriebank AG through IKB Fund
Management. The portfolio is 85% ramped-up at closing. The
remainder of the portfolio will be acquired during the six-month
ramp-up period at the end of which the portfolio shall comply
with the following tests:
-- a diversity score of at least 38;
-- a weighted average rating factor no greater than 2,450;
-- weighted average spread of at least 2.70%;
-- a minimum deferred interest on mezzanine loans of 0.1% of
the portfolio; and
-- a weighted average recovery rate of at least 56%.
Thereafter, the portfolio of loans will be actively managed and
the portfolio manager will have the option to direct the issuer
to buy or sell loans. Any addition or removal of loans will be
subject to a number of portfolio criteria.
This transaction features a dual-currency revolving credit
facility that can be drawn either in Euro or in Sterling.
Sterling advances will be initially used to purchase loans
denominated in Sterling. Should such Sterling assets default,
Sterling advances would not be fully collateralized by Sterling
assets and therefore Euro proceeds may need to be converted into
Sterling in order to redeem Sterling advances, thus creating a
foreign exchange risk exposure. Currency options will be
available to mitigate such risk. This currency risk has been
considered in Moody's analysis.
This transaction is arranged by BNP Paribas.
EUROMAX VI: Fitch Gives BB Ratings to EUR3-Million Class E Notes
----------------------------------------------------------------
Fitch assigned final ratings to Euromax VI ABS LTD's issue of
EUR410-million floating rate notes. The transaction is a
securitization of structured finance assets including primarily
residential and commercial mortgage-backed securities.
-- EUR5-million Class X note due 2012: 'AAA'
-- EUR333-million Class A floating-rate notes due 2097: 'AAA'
-- EUR37-million Class B floating-rate notes due 2097: 'AA'
-- EUR16-million Class C deferrable floating-rate note due
2097: 'A'
-- EUR16-million Class D deferrable floating-rate note due
2097: 'BBB'
-- EUR3-million Class E deferrable floating-rate note due
2097: 'BB'
-- EUR8-million Class G combination notes due 2097: 'AA'
-- EUR24-million Class H combination notes due 2097: 'BBB'
The final ratings of the Class X, A and B notes address the
ultimate repayment of principal at maturity and the timely
payment of interest when due, according to the terms of the
notes. For the Class C, D and E notes, which can defer
interest, the final ratings address the ultimate payment of
principal and interest, including deferred interest, at
maturity. The ratings on the Class G and H combination notes
address the ultimate receipt of the rated balance from funds
received on their components by the legal final maturity date,
according to the conditions of the notes.
The ratings are based on the quality and diversity of the
portfolio of assets, which are selected by the collateral
manager, Collineo Asset Management GmbH, subject to the
guidelines outlined in the collateral management agreement. The
guidelines limit the collateral manager's portfolio allocations
with respect to obligor, industry and asset type. Collineo will
actively manage the collateral over the six-year reinvestment
period. Collineo's CDO Asset Manager rating of 'CAM 2' was
affirmed on 27 October 2006.
The ratings are also based on the credit enhancement provided to
the various Classes of notes in the form of subordination,
structural protection and excess spread. Credit enhancement, in
the form of subordination, for the A notes totals 21.65%, of
which 8.7% is provided by the B notes, 3.8% by the C notes, 3.8%
by the D notes, 0.7% by the E notes and 4.7% by the
EUR20-million unrated subordinated notes.
Euromax VI ABS LTD is a limited liability company incorporated
under the laws of Ireland. On the closing date, the issuer had
purchased 98% of the target portfolio, with a further nine-month
period available for the manager to fully invest the portfolio.
SEAGATE TECHNOLGY: Robert W & UBS Keep Firm's "Neutral" Rating
--------------------------------------------------------------
Robert W Baird and UBS analysts have retained their "neutral"
rating on Seagate Technology, Newratings.com reports.
Newratings.com relates that Robert W analysts reduced their
estimates for Seagate Technology, setting the target price at
US$21 from US$25 per share.
Robert W analysts said in a research note that Seagate
Technology reported its third quarter 2007 earnings per share
short of the reduced consensus expectation due to adverse
pricing trends in high-cap desktop products.
The analysts told Newratings.com that Seagate Technology reduced
its revenue and earnings per share guidance for fourth quarter
2007 and fiscal year 2007 significantly short of the consensus
due to a drop in unit demand resulting from seasonality and
continued competitive pricing trends. The earnings per share
estimates for fiscal year 2007 was reduced to US$1.38 from
US$1.60, while estimates for fiscal year 2008 was decreased to
US$2.10 from US$2.35.
Meanwhile, UBS analysts reduced their estimates for Seagate
Technology, bringing down the target price to US$23 from US$26.
The analysts said in a research notes that Seagate Technology
reported its third quarter 2007 non-GAAP earnings per share
short of the estimates.
The downward revision in the earnings per share estimates
indicates a weaker market for the desktop consumer PCs and a
more challenging competitive environment, Newratings says,
citing the analysts.
Earnings per share estimates for Seagate Technology this year
declined to US$1.40 from US$1.66, while estimates for next year
dropped to US$2.16 from US$2.55.
Headquartered in Scotts Valley, California, Seagate Technology,
-- http://www.seagate.com/-- designs, manufactures and markets
rigid disc drives (disc drives or hard drives), which are used
as the primary medium for storing electronic information in
systems ranging from desktop and notebook computers, and
consumer electronics devices to data centers delivering
information over corporate networks and the Internet. Seagate
Technology has R&D and product sites in: Silicon Valley,
California; Pittsburgh, Pennsylvania; Longmont, Colorado;
Bloomington and Shakopee, Minnesota; Springtown, Northern
Ireland; and Singapore. Manufacturing and customer service
sites are located in: California, Colorado, Minnesota, Oklahoma,
Northern Ireland, China, Malaysia, Singapore and Thailand.
* * *
As reported in the Troubled Company Reporter on Sept. 13, 2006,
Moody's Investors Service affirmed the Ba1 Corporate Family
Rating of Seagate Technology HDD Holdings.
At the same time, Moody's assigned new ratings to a proposed new
debt issuance of US$1.25 billion to finance Seagate's recently
announced US$2.5 billion stock buyback program, as well as
refinance Seagate's existing $400 million 2009 notes. Ratings
assigned include a Ba1 rating on Floating rate notes due 2009,
Ba1 rating on Senior notes due 2011 and 2016.
===================
K A Z A K H S T A N
===================
BIRLESTIK LLP: Creditors Must File Claims by May 25
---------------------------------------------------
The Specialized Inter-Regional Economic Court of Kostanai has
declared LLP Pfk Birlestik insolvent.
Creditors have until May 25 to submit written proofs of claim
to:
The Specialized Inter-Regional
Economic Court of Kostanai
Baitursynov Str. 70
Kostanai
Kazakshtan
ERMES LLP: Creditors' Claims Due May 25
---------------------------------------
The Specialized Inter-Regional Economic Court of Akmola has
declared LLP Ermes insolvent.
Creditors have until May 25 to submit written proofs of claim
to:
The Specialized Inter-Regional
Economic Court of Akmola
Office 75
Auelbekov Str. 126
Kokshetau
Akmola
Kazakshtan
Tel: 8 (3162) 25-40-67
EURASIA INSURANCE: S&P Cuts Ratings to B to Match New Parent
------------------------------------------------------------
Standard & Poor's Ratings Services lowered its long-term
counterparty credit and insurer financial strength ratings on
Kazakhstan-based Eurasia Insurance Co. to 'B' from 'B+' to
equalize with the long-term rating on its new parent, JSC
Eurasian Bank. The outlook is positive.
At the same time, the outlook on Eurasian Bank was revised to
positive from stable. Additionally, the 'B/B' counterparty
credit ratings were affirmed.
Furthermore, Standard & Poor's raised its Kazakhstan national
scale rating on Eurasian Bank to 'kzBBB-' from 'kzBB+' and
lowered its Kazakhstan national scale rating on Eurasia
Insurance to 'kzBBB-' from 'kzBBB' to equalize the ratings.
The bank and the insurance company benefit from business
connections and capital support from their ultimate
shareholders.
"The ratings on Eurasian Bank reflect its modest customer
franchise, the limited track record of the new strategy, and
rapid loan growth. Positive rating factors include its wealthy
and supportive shareholders, diversifying franchise and customer
base, good profitability, and adequate capitalization," said
Standard & Poor's credit analyst Annette Ess.
The bank benefits from larger more diversified sources of
revenue as an owner of insurance, pension fund, and asset-
management operations.
"The positive outlook on the bank and the insurance company
reflects the prospect of increased revenue and earnings
diversification and volume, as well as likely improvements in
the competitive position and financial flexibility of what is
expected to become an increasingly integrated financial services
group," added Ms. Ess.
Although operational synergies between the various entities will
only be modest at first, the financial synergies promise more
efficient use of the group's capital base and better, more
stable results. As such, the bank and the insurer are considered
strategically important to each other, and the respective
ratings are expected to remain at the same level as each other.
An upgrade of the bank and the insurance company would be driven
by a longer track record of the new consolidated grouping
operating successfully together, by greater shareholder
stability, by an improvement in capitalization and
profitability, and by a further decrease in concentration levels
on both sides of the bank's balance sheet. Less likely, a
downgrade could result from any significant worsening of
capitalization ratios, an inability to manage the bank's
targeted rapid asset growth, and any significant deterioration
in asset quality or operating performance.
IN LLP: Proof of Claim Deadline Slated for May 28
-------------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty has
declared LLP Trade House In insolvent.
Creditors have until May 28 to submit written proofs of claim
to:
The Specialized Inter-Regional
Economic Court of Almaty
Office 74
Kazybek bi Str. 50
Almaty
Kazakhstan
Tel: 8 (3272) 72-12-50
8 (3272) 72-18-09
JORGA-2030 LLP: Claims Registration Ends May 25
-----------------------------------------------
The Specialized Inter-Regional Economic Court of South
Kazakhstan Region has declared LLP Jorga-2030 insolvent.
Creditors have until May 25 to submit written proofs of claim
to:
The Specialized Inter-Regional
Economic Court of South Kazakhstan Region
Momysh-Uly Str. 27
Shymkent
South Kazakhstan Region
Kazakhstan
KIPR-PRO LLP: Claims Filing Period Ends May 25
----------------------------------------------
The Specialized Inter-Regional Economic Court of Akmola has
declared LLP Kipr-Pro insolvent.
Creditors have until May 25 to submit written proofs of claim
to:
The Specialized Inter-Regional
Economic Court of Akmola
Office 75
Auelbekov Str. 126
Kokshetau
Akmola
Kazakshtan
Tel: 8 (3162) 25-40-67
LIGA+ LLP: Creditors Must File Claims by May 25
-----------------------------------------------
The Specialized Inter-Regional Economic Court of Kostanai has
declared LLP Liga+ insolvent.
Creditors have until May 25 to submit written proofs of claim
to:
The Specialized Inter-Regional
Economic Court of Kostanai
Baitursynov Str. 70
Kostanai
Kazakshtan
MARKET LADY: Creditors' Claims Due May 25
-----------------------------------------
The Specialized Inter-Regional Economic Court of South
Kazakhstan Region has declared LLP Market Lady insolvent.
Creditors have until May 25 to submit written proofs of claim
to:
The Specialized Inter-Regional
Economic Court of South Kazakhstan Region
Momysh-Uly Str. 27
Shymkent
South Kazakhstan Region
Kazakhstan
RELSTROYPOP LLP: Proof of Claim Deadline Slated for May 28
----------------------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty has
declared LLP Relstroypop insolvent.
Creditors have until May 28 to submit written proofs of claim
to:
The Specialized Inter-Regional
Economic Court of Almaty
Office 74
Kazybek bi Str. 50
Almaty
Kazakhstan
Tel: 8 (3272) 72-12-50
8 (3272) 72-18-09
SHARUA-MK LLP: Claims Registration Ends May 22
----------------------------------------------
The Specialized Inter-Regional Economic Court of South
Kazakhstan Region has declared LLP Sharua-Mk insolvent.
Creditors have until May 22 to submit written proofs of claim
to:
The Specialized Inter-Regional
Economic Court of South Kazakhstan Region
Ilyaev Str. 24
Shymkent
South Kazakhstan Region
Kazakhstan
URPAK LLP: Claims Filing Period Ends May 22
-------------------------------------------
The Specialized Inter-Regional Economic Court of South
Kazakhstan Region has declared LLP Urpak insolvent.
Creditors have until May 22 to submit written proofs of claim
to:
The Specialized Inter-Regional
Economic Court of South Kazakhstan Region
Ilyaev Str. 24
Shymkent
South Kazakhstan Region
Kazakhstan
===================
K Y R G Y Z S T A N
===================
OILGASTRANSSERVICE LLC: Claims Filing Period Ends June 2
--------------------------------------------------------
LLC Oilgastransservice has declared insolvency. Creditors have
until June 2 to submit written proofs of claim to:
LLC Oilgastransservice
Toktogul Str. 7
Djalal-Abad
Kyrgyzstan
Tel: (+996 3722) 5-55-10
=====================
N E T H E R L A N D S
=====================
ASML HOLDING: Earns EUR153 Million in 2007 First Quarter
--------------------------------------------------------
ASML Holding NV released its financial results for the first
quarter of 2007, prepared according to US GAAP.
Financial Highlights
* Q1 2007 net sales of EUR960 million versus Q4 2006
net sales of EUR1.1 billion and Q1 2006 net sales of
EUR629 million, 53% growth year on year
* Q1 2007 net income of EUR153 million or 16 percent of
sales -- which includes EUR25 million costs for the Brion
acquisition, of which EUR23 million is a one-off charge --
versus Q4 2006 net income of EUR206 million or
19.3 percent of sales and Q1 2006 net income of
EUR80 million or 12.7 percent of sales
* Q1 2007 net bookings valued at EUR911 million with 62
systems including 59 new and 3 refurbished systems,
leading to an order backlog valued at EUR2.2 billion as of
April 1, 2007
"High-value bookings in Q1 underline the robustness of our
position in the market. Orders from foundry and logic customers
compensated for the expected slowdown in flash and DRAM orders
and resulted in a record backlog," Eric Meurice, ASML President
and CEO, said. "This backlog will ensure a sustained sales
level in Q2, and strong revenues in the second half of the year
supported by the need for capacity from foundry and IDM
customers, and continuing immersion bookings. We therefore
confirm our view that 2007 will be a growth year for ASML."
Operations Update
In Q1 2007, ASML net sales were EUR960 million, as ASML shipped
66 new and 11 refurbished systems, totaling sales of EUR859
million, and generated revenue from field options and service of
EUR101 million. Net sales for Q4 2006 included the shipment of
64 new and 8 refurbished machines, totaling EUR979 million, plus
revenue from field and service options of EUR89 million.
The Q1 2007 average selling price for a new system was EUR12.5
million, compared with the Q4 2006 average selling price for a
new system of EUR14.7 million, due to a higher number of mid
range systems in the mix. The Q1 2007 average selling price for
all ASML systems sold was EUR11.2 million, compared with the Q4
2006 average selling price of EUR13.6 million.
Q1 2007 net bookings totaled 62 systems valued at EUR911
million, including 59 new systems with an average selling price
for new systems of EUR15.2 million. ASML's order backlog as of
April 1, 2007 is valued at EUR2.2 billion, totaling 148 systems
with an average selling price of EUR14.6 million. In
comparison, ASML's backlog as of Dec. 31, 2006 was valued at
EUR 2.1 billion, totaling 163 systems with an average selling
price of EUR13.2 million.
In Q1 2007, ASML generated a net income of EUR153 million or
EUR0.32 per ordinary share including EUR25 million costs for the
Brion acquisition, of which EUR23 million is a one-off charge.
In comparison, the net income Q4 2006 was EUR206 million or
EUR 0.43 per ordinary share.
The company's Q1 2007 gross margin was 40.9 percent, compared
with the Q4 2006 gross margin of 41.1 percent.
Q1 2007 research and development costs were EUR116 million net
of credits. The Q4 2006 R&D costs were EUR107 million net of
credits.
Selling, general and administrative expenses were EUR56 million
in Q1 2007, while the Q4 2006 SG&A expenses were EUR52 million.
The effective tax rate was 25.9% in Q1 2007, compared to 28% in
Q4 2006. The decrease in effective tax rate is mainly related
to a decrease in the statutory tax rate in the Netherlands from
29.6% in 2006 to 25.5% in 2007.
Net cash from operations was EUR173 million in Q1 2007. ASML
ended Q1 2007 with EUR1.5 billion in cash and equivalents versus
EUR1.7 billion at the end of Q4 2006. The decrease is due to
the share buyback program executed in Q1 2007 as well as the
Brion acquisition.
The Brion acquisition was successfully completed in Q1 2007. As
previously disclosed, ASML paid EUR203 million in cash to
acquire Brion, EUR66 million thereof has been allocated to
assets, including the EUR23 million for ongoing R&D, the
remainder is booked as goodwill.
Outlook
"ASML has shipped over 40 immersion tools to date, and has
reported 24 immersion systems in backlog. Several tools shipped
are already producing flash memory in volume," Mr. Meurice said.
"Leading manufacturers are using our systems in production for
the 65 nm node, ramping 55 nm node and progressing development
of 45 nm, for which the XT:1700i is the only available
lithography tool in the market. With over 100,000 wafers-per-
month now processed on ASML immersion tools, customers are
engineering dedicated production processes, solidifying ASML's
long-term leadership, in view of the significant investment and
risk necessary to switch architectures. Our new XT:1900i, due
for shipment early Q3, has already imaged at 36.5 nm, and its
performance is on track. This confirms our leadership position
and we anticipate a further improvement of our market share in
2007 as a result."
The company plans to ship 69 systems in Q2 2007 with an average
selling price of EUR12 million for all systems. The revenue
from field options and service will be about EUR100 million.
The company expects a gross margin in Q2 2007 from 40 to 41
percent.
Almost all systems in the backlog are to be shipped this year
with 78% of the unit backlog carrying Q2 2007 and Q3 2007
shipment dates.
ASML continues not to guide on future bookings as leadtime
uncertainties linked to new technology ramps make a bookings
timing-call difficult. However, ASML does confirm that revenue
growth is expected for the year.
The company expects R&D expenditures to increase to EUR120
million net of credits in Q2 2007. SG&A expenses in Q2 2007 are
expected to remain at EUR56 million.
ASML reiterates its commitment to return excess cash to
shareholders by reducing the number of shares outstanding. The
Annual General Meeting of Shareholders, which took place on
March 28 has authorized the company to prepare for additional
potential share buyback programs. Further information will be
disclosed in due course.
Headquartered in Veldhoven, the Netherlands, ASML Holding N.V.
-- http://www.asml.com/-- provides lithography systems for the
semiconductor industry, manufacturing complex machines that are
critical to the production of integrated circuits or chips.
ASML generated EUR3.6 billion in revenues in 2006.
* * *
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the corporate families in the
Telecommunications, Media and Technology sectors last week, the
rating agency confirmed its Ba1 Corporate Family Rating for ASML
Holding N.V.
Moody's also assigned a Ba1 Probability-of-Default rating to the
company.
As reported in the TCR-Europe on Oct. 2, 2006, Fitch Ratings
upgraded Netherlands-based ASML Holding N.V.'s Issuer Default
rating to BB+ from BB-. Fitch said the Outlook remains
Positive. At the same time the agency has assigned ASML's
EUR380 million 5.5% subordinated convertible notes due 2010 a
BB+ rating.
CADOGAN SQUARE: S&P Rates EUR15-Million Class E Notes at BB-
------------------------------------------------------------
Standard & Poor's Ratings Services assigned its preliminary
credit ratings to the EUR361 million secured floating-rate notes
to be issued by Cadogan Square CLO IV B.V. At the same time,
Cadogan IV will issue EUR39-million of unrated subordinated
notes and may also issue combination notes unrated by Standard &
Poor's.
This will be the fourth euro-denominated and European-
collateral-secured CLO managed by Credit Suisse International.
CS International also manages Cadogan Square CLO I B.V., Cadogan
Square CLO II B.V. and Cadogan Square CLO III B.V.
At closing, Cadogan IV will issue floating-rate notes, the
proceeds of which, after paying transaction fees and expenses,
will be invested in a portfolio of predominantly senior-secured
leveraged loans.
The transaction has a reinvestment period of six years.
The ratings reflect:
-- Commensurate credit enhancement in the form of
overcollateralization and subordination;
-- A diversified collateral pool of loans and derivative
financial instruments;
-- Currency risk protections;
-- Strong collateral investment guidelines;
-- The expected bankruptcy-remoteness of the issuer; and
-- Various amortization triggers.
Ratings List
Cadogan Square CLO IV B.V.
EUR400-million Secured Floating-Rate Notes
Prelim. Prelim. Amount
Class rating (Mln. EUR)
----- ------ --------
A AAA 275
B AA 32
C A 18
D BBB- 21
E BB- 15
M (subordinated) NR 39
HERBALIFE LTD: Ends Goldman Sach's Services on Whitney Offer
------------------------------------------------------------
Herbalife Ltd. formally terminated the advisory services of
Goldman Sachs, which had been engaged to advise the Special
Committee of the Board related to the unsolicited Whitney V
offer to purchase all of the outstanding shares of the company
at US$38 per share.
Stock Repurchase Program
The company also announced that its board of directors has
authorized a program for the company to repurchase up to US$300
million of Herbalife common stock during the next two years, at
such times and prices as determined by company management, as
market conditions may warrant.
Additionally, the company's board of directors adopted a regular
quarterly cash dividend program. As part of this program, the
company announced a US$0.20 per share cash dividend, for the
first quarter 2007, payable on May 15 to shareholders of record
on April 30.
Michael O. Johnson, the company's chief executive officer said,
"We have a unique Distributor-driven business model that
generates significant free cash flow and is not fully
appreciated by the investment community. The actions of the
board reinforce our belief that our shares are undervalued at
current prices and that we can use excess cash to accelerate
returns to investors."
Herbalife Ltd. (NYSE: HLF) -- http://www.herbalife.com/--
Herbalife, now in its 26th year, conducts business in 62
countries. The company does business with several manufacturers
worldwide and has its own manufacturing facility in Suzhou,
China as well as major distribution centers in Venray,
Netherlands, Japan, Los Angeles, Calif., Memphis, Tenn., and
Guadalajara, Mexico.
* * *
Standard & Poor's Ratings Services rated Herbalife Ltd.'s long-
term foreign and local issuer credit ratings at BB+.
HUDSON CLO: Moody's Rates EUR20-Million Class B-2 Notes at Ba3
--------------------------------------------------------------
Moody's assigned definitive credit ratings to six classes of
notes issued by Hudson CLO 1 B.V., a special purpose company
incorporated under the laws of the Netherlands. The ratings are
as follows:
-- EUR80-million Class A-1R Senior Secured Variable Funding
Notes due 2023: Aaa;
-- EUR190-million Class A-1E Senior Secured Floating Rate
Notes due 2023: Aaa;
-- EUR35.5-million Class A-2 Senior Secured Floating Rate
Notes due 2023: Aa2;
-- EUR27.5-million Class A-3 Deferrable Senior Secured
Floating Rate Notes due 2023: A2;
-- EUR24-million Class B-1 Deferrable Senior Secured Floating
Rate Notes due 2023: Baa3; and
-- EUR20-million Class B-2 Deferrable Senior Secured Floating
Rate Notes due 2023: Ba3.
The EUR36-million Class C Subordinated Notes due 2023 were also
issued but will not be rated by Moody's.
The definitive ratings address the expected loss posed to
investors by the legal final maturity in 2023. Moody's ratings
address only the credit risks associated with the transaction.
Other non-credit risks, such as those associated with the timing
of principal prepayments and other market risks, have not been
addressed and may have a significant effect on yield to
investors.
These definitive ratings are based upon:
1. An assessment of the eligibility criteria and portfolio
guidelines applicable to the future additions to the
portfolio;
2. the protection against losses through the subordination of
the more junior classes of notes to the more senior
classes of notes;
3. the overcollateralisation of the Notes;
4. the analysis of the foreign currency risk involved in the
transaction;
5. the expertise of Aladdin Capital Management UK LLP as a
collateral manager; and
6. the legal and structural integrity of the issue.
This transaction is a high yield collateralized loan obligation
related to a collateral portfolio of approximately EUR400
million, comprised primarily of European senior and mezzanine
loans (with a predominance of senior secured loans). This
portfolio is dynamically managed by Aladdin Capital Management
UK LLP. This portfolio will be partially acquired on the
closing date and partially during the nine months ramp-up period
in compliance with portfolio guidelines. Thereafter, the
portfolio of loans will be actively managed and the portfolio
manager will have the option to buy or sell assets in the
portfolio. Any addition or removal of assets will be subject to
a number of portfolio criteria.
This transaction features a multi-currency class of variable
funding notes, the Class A-1R Notes, which ranks pari-passu with
the Class A-1E Notes. It can be drawn in Euros and Sterling.
Sterling denominated advances will be used to purchase loans
denominated in Sterling. Should such Sterling assets default,
Sterling advances would not be fully collateralized by Sterling
denominated assets and therefore Euro proceeds may need to be
converted into Sterling in order to redeem Sterling advances,
thus creating a foreign exchange risk exposure that is partially
mitigated by the use of options. This currency risk has been
considered in Moody's analysis.
Moody's assigned provisional ratings to this transaction on
March 20.
===========
P O L A N D
===========
HELLENA SA: Court Thwarts PLN17.2-M Kofola Bid Due to Low Price
---------------------------------------------------------------
The district court in Kalisz, Poland, has cancelled the sale of
Hellena SA to Kofola Holding on the grounds that the price
offered by the Czech soft drinks maker was too low, the Czech
News Agency reports, quoting Ewa Glowacka-Andler, the court's
spokesperson.
"The court will now issue a verdict allowing the receiver to
himself choose the new owner. The minimum price and the date
for the sale will be clearly specified," Ms. Glowacka-Andler
said.
The TCR-Europe reported on April 17 that Kofola AS, the
company's sole bidder, offered PLN17.2 million (US$6.05 million)
to purchase bankrupt rival Hellena S.A., subject to the approval
of the bankruptcy court.
Kofola had planned to relaunch production at the company as it
was only interested in machinery and the Hellena brand name.
However, there is no possibility of an appeal against the
court's decision, The Financial Times relates, citing the Polish
News Bulletin as its source.
Kofola's acquisition of Hellena would have potentially
strengthened the Czech company's position in the market --
enough to challenge Pepsico as the world's second-largest soft
drinks maker next to dominant company Coca-Cola.
About Kofola AS
Czech company Kofola AS -- http://www.kofola.cz/cz/--
manufactures carbonated soft drink in the Czech Republic and
Slovakia. It is the main competitor of Coca-Cola and Pepsi on
the two markets.
About Hellena S.A.
Headquartered in Poland, Hellena S.A. http://www.hellena.com.pl/
-- was established in 1991 by Zenon Sroczyski. Since 1994 it
has become a joint stock company. It specializes in fruit and
vegetable juices production, carbonated and non-carbonated
drinks, and natural spring waters and promotes traditional
Polish flavors.
A bankruptcy court in Kalisz, Poland, commenced bankruptcy
proceedings for Hellena in June 2005. It has placed the entire
business on the block since then and has drawn considerable
interest from rival companies. The company's assets and debts
were each estimated at PLN130 million.
TVN FINANCE: Moody's Assigns Loss-Given-Default Rating
------------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the corporate families in the
Telecommunications, Media and Technology sectors last week, the
rating agency confirmed its Ba3 Corporate Family Rating for TVN
Finance Corporation Plc.
Moody's also assigned a Ba3 probability of default rating to the
company.
Debt ratings remain unchanged in conjunction with the
implementation of Moody's Loss Given Default and Probability of
Default rating methodology for existing non-financial
speculative-grade corporate issuers in Europe, Middle East and
Africa.
Projected
PDR LGD Loss-Given
Debt Issue Rating Rating Default
---------- ------- ------- --------
9.5% Sr. Unsec.
Regular Bond/Debenture
Due 2013 B1 LGD4 63%
Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default. The LGD rating methodology will disaggregate these two
key assessments in long-term ratings. The LGD rating
methodology will also enhance the consistency in Moody's
notching practices across industries and will improve the
transparency and accuracy of Moody's ratings as Moody's research
has shown that credit losses on bank loans have tended to be
lower than those for similarly rated bonds.
Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's
alphanumeric scale. They express Moody's opinion of the
likelihood that any entity within a corporate family will
default on any of its debt obligations.
Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock. Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).
TVN Finance Corporation Plc is a privately owned television
broadcaster in Poland.
===========
R U S S I A
===========
ABSOLUT BANK: KBC Acquires 92.5% Stake in EUR761 Million Deal
-------------------------------------------------------------
KBC has acquired at least 92.5% of Absolut Bank in a deal that
values the bank at EUR761 million, 3.8 times the book value of
the company.
The deal is subject to regulatory approval by the Central Bank
of Russia and the Anti-Trust Commission. KBC expects the deal
to be closed during the third quarter of 2007. The acquisition
will not affect the group's current share buy-back program. KBC
intends to keep the current key management in place.
"Over the past decade, KBC has built up a strong presence in
many of the countries that joined the EU in May 2004 and January
2007," said Andre Bergen, KBC Group CEO. "KBC's long-term
strategic plans entail further expansion in the markets of
emerging Europe. Russia is therefore an extension of our
existing presence in neighbouring Central and Eastern Europe."
"Absolut Bank is a well managed, fast growing, independent bank
that constitutes an ideal platform for KBC's long-term presence
in this fast growing market. The bank has a good track record
in risk governance. As a rule, KBC will strengthen this
governance by applying its own high standards," Mr. Bergen
continued.
Nikolay Sidorov, Chairman of the Management Board of Absolut
Bank, welcomes today's agreement: "The management team of
Absolut Bank is extremely pleased with this development," said
Nikolay Sidorov, chairman of the management board of Absolut
Bank.
"We look forward to cooperating closely with KBC, especially
given their commitment to supporting the expansion of our branch
network and increasing the focus on retail banking, both in
terms of finance and know-how. We are convinced that both the
employees and the customers of the bank will benefit
significantly from the involvement of one of the leading
bancasssurance groups in Europe," Mr. Sidorov added.
KBC's interest in Russia
Over the past decade, KBC has built up a strong presence in many
of the countries that joined the EU on May 1, 2004, including
Poland, Hungary, the Czech and Slovak Republics, and Slovenia.
More recently, KBC announced acquisitions in Bulgaria, Romania
and Serbia. These acquisitions are consistent with KBC's
Central and Eastern European expansion criteria, and take
advantage of the region's economic convergence and potential for
further penetration of banking and insurance products.
An investment in the Russian market is an extension of KBC's
existing presence in Central and Eastern Europe. KBC is
confident that Russia, with a population of 142.8 million, an
annual GDP growth rate that has gone from 4.7% to 7.3% since
2002, promising macroeconomic indicators and an investment-grade
sovereign rating from all the major rating agencies, offers the
group enormous potential.
The Russian banking sector's growth potential
The Russian banking market is the largest and one of the most
dynamic in emerging Europe, having achieved annual growth of
more than 40% in aggregate net profit over the past five years.
The sector is still highly fragmented, with 1,350 institutions,
including 50 foreign-owned banks. The market is dominated by
three state-owned banks -- Sberbank, Vneshtorgbank and
Gazprombank -- that control over 50% of the market. However,
foreign banking players are becoming increasingly important,
accounting for some 12% of the country's banking sector.
The annual growth of total banking assets recently accelerated
to almost 40% in RUB terms, while outstanding credit to
households increased by 90% year-on-year. Although the current
level of loans and deposits as a percentage of GDP, 44% and 18%,
respectively, is still relatively low, KBC expects significant
catch-up growth in the years to come. Retail lending and
corporate lending already demonstrate high growth rates.
About KBC Group
KBC Group -- https://www.kbc.com/ -- is one of the leading
financial groups in Europe. A multi-channel banc-assurance
group with a geographic focus on Europe, it caters mainly for
retail and private banking customers and small and medium-sized
enterprises. Besides focusing on providing retail and private
banc-assurance services, it is also active in asset management,
the provision of corporate services, and market activities.
KBC occupies significant positions in Belgium and Central and
Eastern Europe and has an extensive private banking network
operating under the European Private Bankers concept. It has
also selectively established a presence in a number of other
countries and regions around the world.
About Absolut Bank
Headquartered in Moscow, Russia, Absolut Bank --
http://www.absolutbank.com/-- was established in 1993, mainly
as a corporate bank, and held by five Russian entrepreneurs who
now own 92.5% of the bank's capital. The remainder of the
shares are held by the International Finance Corporation, part
of the World Bank Group.
Absolut Bank is a mid-sized, independent, universal bank with
total assets of EUR1.8 billion in Fiscal-Year 2006 and total
equity of around EUR200 million in the first quarter of 2007.
It has more than 1,600 employees and 39 branches/outlets. The
bank focuses principally on Western Russia, including the
capital cities of Moscow and St. Petersburg.
Over the past few years, it has developed into a universal bank,
focusing increasingly on retail banking. The Bank is also
active in asset management, capital markets, and leasing through
two dedicated subsidiaries, Absolut Leasing and Leasing Company
Absolut.
* * *
As reported in the TCR-Europe on April 20, Fitch Ratings placed
Russia-based Absolut Bank's Issuer Default 'B', Short-term 'B',
Support '5' and National Long-term 'BBB' ratings on Rating watch
Positive. Its Individual Rating is affirmed at 'D'. At the
same time, KBC Bank's ratings of Issuer Default 'AA-' with
Stable Outlook, Short-term 'F1+', Individual 'B' and Support '2'
are affirmed, as is its Support floor of 'BBB+'.
AGRO-SVETLYJ PUT': Creditors Must File Claims by May 1
------------------------------------------------------
Creditors of OJSC Agro-Svetlyj Put' have until May 1 to submit
proofs of claim to:
V. Krotov
Temporary Insolvency Manager
Room 23
Promyshlennyj Proezd
308023 Belgorod
Russia
The Arbitration Court of Belgorod will convene at 2:34 p.m. on
June 19 to hear the company's bankruptcy supervision procedure.
The case is docketed under Case No. A08-683/07-11.
The Court is located at:
The Arbitration Court of Belgorod
Narodnyj Avenue 135
308600 Belgorod
Russia
The Debtor can be reached at:
OJSC Agro-Svetlyj Put'
Solontsy
Veydeleevskiy
Belgorod
Russia
AGROCHEMIST OJSC: Creditors Must File Claims by May 1
-----------------------------------------------------
Creditors of OJSC Agrochemist have until May 1 to submit proofs
of claim to:
A. Baklykov
Temporary Insolvency Manager
Office 610
Derzhavinskaya Str. 16-a
392000 Tambov
Russia
The Arbitration Court of Tambov commenced bankruptcy supervision
procedure on the company. The case is docketed under Case No.
A64-7700/06-10.
The Debtor can be reached at:
OJSC Agrochemist
Sadovaya Str. 9
Uvarovo
Tambov
Russia
CHAPAEVSKIY FACTORY: Creditors Must File Claims by May 1
--------------------------------------------------------
Creditors of LLC Chapaevskiy Factory of Silicate Brick have
until May 1 to submit proofs of claim to:
A. Belyaninov
Temporary Insolvency Manager
18th km
Moskovskoye Shosse
443072 Samara
Russia
The Arbitration Court of Samara will convene at 3:30 p.m. on
May 17 to hear the company's bankruptcy supervision procedure.
The case is docketed under Case No. A55-19818/2006.
The Court is located at:
The Arbitration Court of Samara
Avrory Str. 148
Samara
Russia
The Debtor can be reached at:
LLC Chapaevskiy Factory of Silicate Brick
Antonova-Ovseenko Str. 44-421
443090 Samara
Russia
COCHI AO: Creditors Must File Claims by May 31
----------------------------------------------
Creditors of CJSC Cochi AO have until May 31 to submit proofs of
claim to:
V. Bondarenko
Insolvency Manager
Novorossiyskaya Str. 172
350059 Krasnodar
Russia
The Arbitration Court of Krasnodar commenced bankruptcy
proceedings against the company after finding it insolvent. The
case is docketed under Case No. A-32-14072/2006-1/776 B.
The Court is located at:
The Arbitration Court of Krasnodar
Staroderevenkovskaya St.
Krasnodar
Russia
The Debtor can be reached at:
CJSC Cochi AO
Yana Fabritsiusa Str. 33
Sochi
354002 Krasnodar
Russia
CONSTRUCTIONS 2000: Names I. Kuvshinov as Insolvency Manager
------------------------------------------------------------
The Arbitration Court of Saratov appointed Mr. I. Kuvshinov as
Insolvency Manager for LLC Factory of Reinforced Concrete
Constructions 2000. He can be reached at:
I. Kuvshinov
Rakhmaninova Str. 1
Penza
Russia
The Court commenced bankruptcy proceedings against the company
after finding it insolvent. The case is docketed under Case No.
A-57-15216/06-32.
The Court is located at:
The Arbitration Court of Saratov
Babushkin Vvoz 1
Saratov
Russia
The Debtor can be reached at:
I. Kuvshinov
Rakhmaninova Str. 1
Penza
Russia
EAST-URAL-OIL: Asset Bidding Deadline Slated for April 27
---------------------------------------------------------
N. Ershov, the external insolvency manager and bidding organizer
for CJSC East-Ural-Oil, will proceed with a repeated auction for
the company's properties at 2:00 p.m. on May 3 at:
CJSC East-Ural-Oil
Zelenaya Str. 2
Prigorodnyj
460507 Orenburg
Russia
The company has set a RUR146,520,000 starting price for the
auctioned assets.
Interested participants have until April 27 to deposit an amount
of RUR7,326,000 to:
CJSC East-Ural-Oil
Settlement Account 40702810700110000021
Correspondent Account 301018107000000008287
TIN 5610052739
KPP 563801001
OGRN 1025602723475
BIK 045354828
OJSC VBK (Orenburgskiy)
Orenburg
Russia
Bidding documents must be submitted to:
CJSC East-Ural-Oil
Zelenaya Str. 2
Prigorodnyj
460507 Orenburg
Russia
The Debtor can be reached at:
CJSC East-Ural-Oil
Zelenaya Str. 2
Prigorodnyj
460507 Orenburg
Russia
ELBRUS OJSC: Creditors Must File Claims by May 31
-------------------------------------------------
Creditors of OJSC Agro-Industrial Financial Company Elbrus (TIN
0105025316) have until May 31 to submit proofs of claim to:
Sh. Zhemadukova
Insolvency Manager
Office 34
Kurgannaya Str. 227
Maykop
385000 Adygeya
Russia
The Arbitration Court of Adygeya commenced bankruptcy
proceedings against the company after finding it insolvent. The
case is docketed under Case No. A01-B2329-2006-3.
The Debtor can be reached at:
OJSC Agro-Industrial Financial Company Elbrus
Gagarina Str. 20A
Maykop
Adygeya
Russia
EMERALD LLC: Creditors Must File Claims by May 31
-------------------------------------------------
Creditors of LLC Jewelry Shop Emerald have until May 31 to
submit proofs of claim to:
S. Neimushev
Insolvency Manager
Premise 2
Nevzorovykh 89
603024 N.Novgorod
Russia
The Arbitration Court of Moscow commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed under Case No. A41-K2-21814/06.
The Court is located at:
The Arbitration Court of Moscow
Novaya Basmannaya Str. 10
Moscow
Russia
The Debtor can be reached at:
LLC Jewelry Shop Emerald
Prudnyj Per. 1a
Vidnoye
Moscow
Russia
KRASNOBAKOVSKOYE GRAIN: Names Zh. Tachkova as Insolvency Manager
----------------------------------------------------------------
The Arbitration Court of Nizhniy Novgorod appointed Ms. Zh.
Tachkova as Insolvency Manager for OJSC Krasnobakovskoye Grain
Receiving Enterprise. She can be reached at:
Zh. Tachkova
Rakhmaninova Str. 1
Penza
Russia
The Court commenced bankruptcy proceedings against the company
after finding it insolvent. The case is docketed under Case No.
A43-27938/2006 24-330.
The Court is located at:
The Arbitration Court of Nizhniy Novgorod
Kremlin 9
603082 Nizhniy Novgorod
Russia
The Debtor can be reached at:
Zh. Tachkova
Rakhmaninova Str. 1
Penza
Russia
KURSKIY FACTORY: Creditors Must File Claims by May 31
-----------------------------------------------------
Creditors of OJSC Dubynskoye have until May 31 to submit proofs
of claim to:
V. Rukavitsyn
Insolvency Manager
K. Zaslonova Str. 181
308017 Belgorod
Russia
The Arbitration Court of Kursk commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed under Case No. A35-3478/05 g.
The Court is located at:
The Arbitration Court of Kursk
K. Marksa Str. 25
305004 Kursk
Russia
The Debtor can be reached at:
OJSC Kurskiy Factory of Industrial Equipment
Zhukovskogo Str. 31
Kursk
Russia
POGRUZNINSKIY ELEVATOR: Creditors Must File Claims by May 1
-----------------------------------------------------------
Creditors of OJSC Pogruzninskiy Elevator have until May 1 to
submit proofs of claim to:
V. Ivanov
Temporary Insolvency Manager
Post User Box 41
Syzran
446001 Samara
Russia
The Arbitration Court of Samara will convene at 3:30 p.m. on
June 28 to hear the company's bankruptcy supervision procedure.
The case is docketed under Case No. A55-18838/2006.
The Court is located at:
The Arbitration Court of Samara
Avrory Str. 148
Samara
Russia
The Debtor can be reached at:
OJSC Pogruzninskiy Elevator
Pogruznaya St.
Koshkinskiy
Samara
Russia
MARKA LLC: Creditors Must File Claims by May 1
----------------------------------------------
Creditors of LLC Marka have until May 1 to submit proofs of
claim to:
N. Deryabina
Insolvency Manager
Molodogvardeyskaya Str. 88 Sh
443099 Samara
Russia
The Arbitration Court of Samara commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed under Case No. A55-17543/06.
The Court is located at:
The Arbitration Court of Samara
Avrory Str. 148
Samara
Russia
The Debtor can be reached at:
LLC Marka
Samara
Russia
MONOLITH OJSC: Court Names V. Belyakov as Insolvency Manager
------------------------------------------------------------
The Arbitration Court of Volgograd appointed Mr. V. Belyakov as
Insolvency Manager for OJSC Monolith (TIN 3407005544). He can
be reached at:
V. Belyakov
Mira Str. 151-76
Volzhskiy
404101 Volgograd
Russia
The Court commenced bankruptcy proceedings against the company
after finding it insolvent. The case is docketed under Case No.
A12-18374/06-s49.
The Debtor can be reached at:
OJSC Monolith
Kommunisticheskaya Str. 17
Zhirnovsk
403791 Volgograd
Russia
NEW COMPANY: Creditors Must File Claims by May 31
-------------------------------------------------
Creditors of CJSC New Company have until May 31 to submit proofs
of claim to:
S. Neimushev
Insolvency Manager
Premise 2
Nevzorovykh 89
603024 N. Novgorod
Russia
The Arbitration Court of Moscow commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed under Case No. A41-K2-18721/06.
The Court is located at:
The Arbitration Court of Moscow
Novaya Basmannaya Str. 10
Moscow
Russia
The Debtor can be reached at:
CJSC New Company
Trusovo, 11
Orekhova-Zuevskiy
Moscow
Russia
SOROCHINSKIY DIARY: Creditors Must File Claims by May 31
--------------------------------------------------------
Creditors of OJSC Agricultural Complex Sorochinskiy Diary have
until May 31 to submit proofs of claim to:
V. Fedorov
Insolvency Manager
Post User Box 41
Syzran
446001 Samara
Russia
The Arbitration Court of Orenburg commenced bankruptcy
proceedings against the company after finding it insolvent. The
case is docketed under Case No. A47-15563/2006-14GK.
The Court is located at:
The Arbitration Court of Orenburg
9th January Str. 64
460046 Orenburg
Russia
The Debtor can be reached at:
OJSC Agricultural Complex Sorochinskiy Diary
Baklanovka
Sorochinskiy
Orenburg
Russia
YUKOS OIL: Distributes Nearly RUR2 Million to Creditors
-------------------------------------------------------
OAO Yukos Oil Co. distributed nearly RUR2 million to its second-
tier creditors on April 17, Interfax reports citing Nikolai
Lashkevich, press secretary to the company's receiver, as
saying.
The distribution fully pays wage and severance claims held by
private creditors, Interfax relates.
According to the report, the company has no first-tier creditors
as these are private individuals who suffered losses during the
company's operations. Meanwhile, Mr. Lashkevich said Yukos is
yet to start paying about RUR709 billion to unsecured creditors,
but did not specify when this would be.
In a report carried by Interfax last week, Yukos bankruptcy
receiver Eduard Rebgun said creditor distribution would start as
soon as payments are received from the first or second auctions
and before all the auctions are completed.
On April 13, RN-Razvitiye, an indirect subsidiary of OAO Rosneft
Oil, paid the 9.44% Rosneft stake it bought from Yukos at a
March 27 auction. The company offered RUR197.8 billion for the
stake, which is sold together with 12 promissory notes worth
RUR3.56 billion in Yuganskneftegaz, Yukos' former main
production unit, in one lot.
On April 4, EniNeftegaz, a joint venture of Italian energy firms
Eni S.p.A. (60%) and Enel S.p.A. (40%), won the bid to acquire
Yukos's 20% stake in OAO Gazprom Neft for RUR151.5 billion. The
second lot, which carried a starting price of RUR144.78 billion,
also included:
-- a 100% stake in OAO Arcticgaz;
-- a 100% stake in ZAO Urengoil; and
-- 19 other Yukos assets.
EniNeftegaz paid the assets in full immediately after the
auction.
Mr. Rebgun has estimated the firm's assets between US$25.6
billion and US$26.8 billion, minus a possible liquidation
discount of not more than 30 percent. As of Jan. 31, claims
against Yukos filed by 68 creditors reached RUR709 billion
(US$26.8 billion).
As of Jan. 31, the company's largest creditors include:
Claim Amount
Creditor (RUR) (US$)
-------- ------------- ------------
Federal Tax Service 429.3 billion 16.3 billion
Rosneft 264.6 billion 10 billion
Tomskneft 12.2 billion 465 million
Samaraneftegaz 1.9 billion 70 million
Siberian Service Co. 228.4 million 8.7 million
About Yukos Oil
Headquartered in Moscow, Yukos Oil -- http://yukos.com/-- is an
open joint stock company existing under the laws of the Russian
Federation. Yukos is involved in energy industry substantially
through its ownership of its various subsidiaries, which own or
are otherwise entitled to enjoy certain rights to oil and gas
production, refining and marketing assets.
The Company filed for Chapter 11 protection on Dec. 14, 2004
(Bankr. S.D. Tex. Case No. 04-47742), but the case was dismissed
on Feb. 24, 2005, by the Hon. Letitia Z. Clark. A few days
later, the Russian Government sold its main production unit
Yugansk to a little-known firm Baikalfinansgroup for US$9.35
billion, as payment for US$27.5 billion in tax arrears for 2000-
2003. Yugansk eventually was bought by state-owned Rosneft,
which is now claiming more than US$12 billion from Yukos.
On March 10, 2006, a 14-bank consortium led by Societe Generale
filed a bankruptcy suit in the Moscow Arbitration Court in an
attempt to recover the remainder of a US$1 billion debt under
outstanding loan agreements. The banks, however, sold the claim
to Rosneft, prompting the Court to replace them with the state-
owned oil company as plaintiff.
On April 13, 2006, court-appointed external manager Eduard
Rebgun filed a chapter 15 petition in the U.S. Bankruptcy Court
for the Southern District of New York (Bankr. S.D.N.Y. Case No.
06-0775), in an attempt to halt the sale of Yukos' 53.7%
ownership interest in Lithuanian AB Mazeikiu Nafta.
On May 26, 2006, Yukos signed a US$1.49 billion Share Sale and
Purchase Agreement with PKN Orlen S.A., Poland's largest oil
refiner, for its Mazeikiu ownership stake. The move was made a
day after the Manhattan Court lifted an order barring Yukos from
selling its controlling stake in the Lithuanian oil refinery.
On Aug. 1, 2006, the Hon. Pavel Markov of the Moscow Arbitration
Court upheld creditors' vote to liquidate OAO Yukos Oil Co. and
declared what was once Russia's biggest oil firm bankrupt.
YUKOS OIL: Report Links Mysterious Buyer to Deutsche Bank
---------------------------------------------------------
Monte-Valle, which snatched up OAO Yukos Oil Co.'s stakes in
various energy companies at an April 17 auction, is connected to
Deutsche Bank, Deutsche Presse-Agenture reports citing Interfax
as its source.
An unnamed source told Interfax that the money advanced by
Monte-Valle was moved from a Deutsche Bank account by UFGIS
Trading Limited, a subsidiary of Deutsche Bank's 100-percent-
owned Russian office, Deutsche UFG, dpa relates.
dpa says Interfax noted analysts that the bank could offer the
assets to Russian or other companies, including Russia's Unified
Energy Systems or Germany's E.ON.
As reported in the Troubled Company Reporter-Europe on April 19,
Monte-Valle offered RUR3.5 billion or US$138 million for the
energy assets, which included Yukos' stakes in:
-- ZAO Energy Service Co. (100%),
-- ESKOM- EnergoTrade (100%),
-- Belgorodenergo (25.73%),
-- Tambovenergo (25.15%),
-- Tambov Energy Sales Company (25.15%),
-- Tambov Trunk Grid Company (25.15%),
-- Belgorod Trunk Grid Company (25%),
-- Belgorod Sales Company (25%),
-- Corporate Service Systems (25%), and
-- Territorial Generation Company No. 4 (3.18%).
The assets, which were grouped in one lot, were sold in the
fourth round of Yukos auctions after a third one was called off
due to a lack of bids.
Other bidders who joined in the auction were Financial Agency,
Versar and Rosneft-linked Neft-Aktiv. The lot carried a RUR2.6
billion starting price, with a RUR26.3 million minimal bid
increment.
The Prime-Tass news agency previously reported that Monte-Valle
was registered in Moscow and opened in August 2003 by U.S.
citizen Steven Patrick Lynch.
Rosneft Oil and Gazprom are seen as the most likely bidders for
the bulk of the nearly 200 Yukos assets up for liquidation,
which Mr. Rebgun aims to sell by August 2007.
Mr. Rebgun has estimated the firm's assets between US$25.6
billion and US$26.8 billion, minus a possible liquidation
discount of not more than 30 percent. As of Jan. 31, claims
against Yukos filed by 68 creditors reached RUR709 billion
(US$26.8 billion).
About Yukos Oil
Headquartered in Moscow, Yukos Oil -- http://yukos.com/-- is an
open joint stock company existing under the laws of the Russian
Federation. Yukos is involved in energy industry substantially
through its ownership of its various subsidiaries, which own or
are otherwise entitled to enjoy certain rights to oil and gas
production, refining and marketing assets.
The Company filed for Chapter 11 protection on Dec. 14, 2004
(Bankr. S.D. Tex. Case No. 04-47742), but the case was dismissed
on Feb. 24, 2005, by the Hon. Letitia Z. Clark. A few days
later, the Russian Government sold its main production unit
Yugansk to a little-known firm Baikalfinansgroup for US$9.35
billion, as payment for US$27.5 billion in tax arrears for 2000-
2003. Yugansk eventually was bought by state-owned Rosneft,
which is now claiming more than US$12 billion from Yukos.
On March 10, 2006, a 14-bank consortium led by Societe Generale
filed a bankruptcy suit in the Moscow Arbitration Court in an
attempt to recover the remainder of a US$1 billion debt under
outstanding loan agreements. The banks, however, sold the claim
to Rosneft, prompting the Court to replace them with the state-
owned oil company as plaintiff.
On April 13, 2006, court-appointed external manager Eduard
Rebgun filed a chapter 15 petition in the U.S. Bankruptcy Court
for the Southern District of New York (Bankr. S.D.N.Y. Case No.
06-0775), in an attempt to halt the sale of Yukos' 53.7%
ownership interest in Lithuanian AB Mazeikiu Nafta.
On May 26, 2006, Yukos signed a US$1.49 billion Share Sale and
Purchase Agreement with PKN Orlen S.A., Poland's largest oil
refiner, for its Mazeikiu ownership stake. The move was made a
day after the Manhattan Court lifted an order barring Yukos from
selling its controlling stake in the Lithuanian oil refinery.
On Aug. 1, 2006, the Hon. Pavel Markov of the Moscow Arbitration
Court upheld creditors' vote to liquidate OAO Yukos Oil Co. and
declared what was once Russia's biggest oil firm bankrupt.
=====================
S W I T Z E R L A N D
=====================
BARRY CALLEBAUT: Moody's Puts Ba2 Probability-of-Default Rating
---------------------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the corporate families in the Aerospace and
Defence, Automotive, Forest Products, Healthcare and
Pharmaceuticals, Metals and Mining, Natural Products Processor
and Consumer Products sectors, the rating agency
affirmed Barry Callebaut AG's Probability of Default rating to
Ba1.
Moody's also assigned a Ba2 Probability-of-Default rating to the
company.
Debt ratings remain unchanged in conjunction with the
implementation of Moody's Loss Given Default and Probability of
Default rating methodology for existing non-financial
speculative-grade corporate issuers in Europe, Middle East and
Africa.
Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default. The LGD rating methodology will disaggregate these two
key assessments in long-term ratings. The LGD rating
methodology will also enhance the consistency in Moody's
notching practices across industries and will improve the
transparency and accuracy of Moody's ratings as Moody's research
has shown that credit losses on bank loans have tended to be
lower than those for similarly rated bonds.
Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's
alphanumeric scale. They express Moody's opinion of the
likelihood that any entity within a corporate family will
default on any of its debt obligations.
Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock. Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).
Headquartered in Zurich, Switzerland Barry Callebaut --
http://www.barry-callebaut.com/-- manufactures cocoa,
chocolate, and confectionery products. Barry Callebaut is
present in 25 countries, operates more than 30 production
facilities and employs around 8,000 people. The company serves
the entire food industry, from food manufacturers to
professional users of chocolate, to global retailers. It also
provides a comprehensive range of services in the fields of
product development, processing, training, and marketing.
BAU-CHEMIE IMMOBILIEN: Creditors' Liquidation Claims Due May 15
---------------------------------------------------------------
Creditors of JSC Bau-Chemie Immobilien have until May 15 to
submit their claims to:
Rutlistrasse 50
4051 Basel BS
Switzerland
The Debtor can be reached at:
JSC Bau-Chemie Immobilien
Basel BS
Switzerland
CONISTON MINERALS: Creditors' Liquidation Claims Due June 15
------------------------------------------------------------
Creditors of LLC Coniston Minerals have until June 15 to submit
their claims to:
Dr. Heiner Bernold
Liquidator
Bahnhofstrasse 7
6301 Zug
Switzerland
The Debtor can be reached at:
LLC Coniston Minerals
Zug
Switzerland
HAMBROOK & GREENSTOCK: Creditors' Liquidation Claims Due May 4
--------------------------------------------------------------
Creditors of JSC Hambrook & Greenstock have until May 4 to
submit their claims to:
JSC Tresag Treuhand- und Unternehmensberatung
Liquidator
Gessnerallee 28
8023 Zurich
Switzerland
The Debtor can be reached at:
JSC Hambrook & Greenstock
Zurich
Switzerland
HELVETICA CONSULTING: Zug Court Starts Bankruptcy Proceedings
-------------------------------------------------------------
The Bankruptcy Court of Zug commenced bankruptcy proceedings
against JSC Helvetica Consulting on March 19.
The Bankruptcy Service of Zug can be reached at:
Bankruptcy Service of Zug
6300 Zug
Switzerland
The Debtor can be reached at:
JSC Helvetica Consulting
6330 Cham ZG
Switzerland
HELVETICA INVEST: Zug Court Starts Bankruptcy Proceedings
---------------------------------------------------------
The Bankruptcy Court of Zug commenced bankruptcy proceedings
against JSC Helvetica Invest on March 19.
The Bankruptcy Service of Zug can be reached at:
Bankruptcy Service of Zug
6300 Zug
Switzerland
The Debtor can be reached at:
JSC Helvetica Invest
6300 Zug
Switzerland
LADITA LLC: Creditors' Liquidation Claims Due May 4
---------------------------------------------------
Creditors of LLC Ladita have until May 4 to submit their claims
to:
Peter Janett
Liquidator
Dorfplatz
7433 Mathon
Hinterrhein GR
Switzerland
The Debtor can be reached at:
LLC Ladita
Andeer
Hinterrhein GR
Switzerland
NIER FINE WINES: Creditors' Liquidation Claims Due May 31
---------------------------------------------------------
Creditors of JSC Nier Fine Wines have until May 31 to submit
their claims to:
Dr. Heiner Bernold
Liquidator
Bahnhofstrasse 7
6301 Zug
Switzerland
The Debtor can be reached at:
JSC Nier Fine Wines
Zug
Switzerland
ODIN HOLDING: Creditors' Liquidation Claims Due May 4
-----------------------------------------------------
Creditors of JSC Odin Holding have until May 4 to submit their
claims to:
JSC Intactus Treuhand
Liquidator
Baarerstrasse 71
6302 Zug
Switzerland
The Debtor can be reached at:
JSC Odin Holding
Zug
Switzerland
SF INVEST: Creditors' Liquidation Claims Due May 4
--------------------------------------------------
Creditors of JSC SF Invest have until May 4 to submit their
claims to:
JSC Intactus Treuhand
Liquidator
Baarerstrasse 71
6302 Zug
Switzerland
The Debtor can be reached at:
JSC SF Invest
Zug
Switzerland
WT SERVICE: Creditors' Liquidation Claims Due May 4
---------------------------------------------------
Creditors of LLC WT Service have until May 4 to submit their
claims to:
Doyon Sacha
Liquidator
Zur Station 5
3145 Niederscherli
Switzerland
The Debtor can be reached at:
LLC WT Service
Koniz BE
Switzerland
=============
U K R A I N E
=============
BANK CREDIT: Fitch Assigns B- IDR with Stable Outlook
-----------------------------------------------------
Fitch Ratings assigned Ukraine-based Bank Credit Dnepr ratings
of Issuer Default 'B-', Short-term 'B', Individual 'D/E' and
National Long-term 'BBB-'. The Outlooks on both Issuer Default
and National Long-term ratings are Stable. The Support rating
is affirmed at '5'.
The ratings reflect BCD's small franchise, concentrated balance
sheet and potentially vulnerable liquidity. The latter is a
result of BCD's short-term and concentrated funding base, and
the limited holdings of liquid assets. The ratings also
consider the high credit risks associated with the bank's rapid
loan growth and weaknesses in the operating environment.
However, the ratings take into account BCD's respectable
earnings performance, sound capital levels and limited market
risk. In addition, they acknowledge the bank's successful
efforts in 2005-2006 in improving asset quality, following a
rise in problem loans in 2004 issued under the previous
management to the agricultural and trade sectors. Fitch notes
that BCD's loan impairment experience from 2005 has been
positive, with adequate control of asset quality. Nevertheless,
the effectiveness of a relatively new risk management system
will be tested as the business continues to grow.
The bank is part of Interpipe Corporation, an important pipe and
railway wheel producer in Ukraine. Reported related-party
lending is low and BCD is pursuing a strategy of third-party
business development, targeting Ukrainian large and medium-sized
corporate clients in Dnepropetrovsk, where both BCD and IC are
headquartered, and in other regions. In Fitch's view, BCD's
franchise may benefit, especially in its home region, from the
leveraging of IC's relationships with its business partners. IC
companies remain important depositors for BCD and, as Fitch has
been informed, could provide moderate liquidity support to the
bank in case of need.
Successful implementation of the bank's growth plans, coupled
with acceptable asset quality and a significant decrease in
concentrations, may cause upward pressure on the ratings.
Downward pressure could arise mainly from any substantial
weakening in asset quality as the bank grows its loan book or a
marked tightening of liquidity; any rise in concentrations or a
significant growth in related-party business could also have
negative implications for the ratings.
BCD was founded in 1993 in Dnepropetrovsk, Southeastern Ukraine
initially to service, in particular, the needs of IC. The bank
has a relatively small balance sheet, holding less than 1% of
sector assets and has built a network of three branches and 18
sub-branches, which is planned to grow significantly until 2010.
Corporate banking is BCD's main line of business. Appetite for
risks in the retail segment remains moderate with the bank
mainly focusing on the employees of the bank's corporate
clients. BCD is owned by Victor Pinchuk, a prominent Ukrainian
businessman, who also controls a 88.5% stake in one of the
largest banks in Ukraine, Ukrsotsbank, and recently exercised
his right to terminate an agreement to sell this stake to
Italy's Intesa Sanpaolo.
CRYSTAL-1 LLC: Claims Registration Deadline Set April 29
--------------------------------------------------------
Creditors of LLC Crystal-1 have until April 29 to submit written
proofs of claim to:
Natalia Gubitskaya
Grushevsky Str. 4
Terebovlia
48100 Ternopol
Ukraine
The Economic Court of Ternopol commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed as Case No. 10/B-812.
The Debtor can be reached at:
LLC Crystal-1
Zavodskaya Str. 1
Srtusov
Terebovlia
Ternopol
Ukraine
GALKA-ZHYTOMIR: Claims Registration Bar Date Set April 29
---------------------------------------------------------
Creditors of LLC Galka-Zhytomir (code EDRPOU 31318605) have
until April 29 to submit written proofs of claim to:
Victor Siachin
Liquidator
Kiev Str. 47
Zhytomir
Ukraine
The Court is located at:
The Economic Court of Zhytomir
Putiatinskiy Square 3/65
10014 Zhytomir
Ukraine
The Economic Court of Zhytomir commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed as Case No. 7/17B.
The Debtor can be reached at:
LLC Galka-Zhytomir
Kiev Str. 14
10000 Zhytomir
Ukraine
GETMAN LLC: Claims Registration Bar Date Set April 29
-----------------------------------------------------
Creditors of LLC Getman (code EDRPOU 24735976) have until
April 29 to submit written proofs of claim to:
S. Kitsul
Liquidator
Leskovskaya Str. 28
02097 Kiev
Ukraine
The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed as Case No. 15/777-B.
The Court is located at:
The Economic Court of Kiev
B. Hmelnitskij Boulevard 44-B
01030 Kiev
Ukraine
The Debtor can be reached at:
LLC Getman
Okhtyrka Lane 7
Kiev
Ukraine
HORIZON LLC: Claims Registration Deadline Set April 29
------------------------------------------------------
Creditors of LLC Horizon (code EDRPOU 31368944) have until
April 29 to submit their proofs of claims to:
Dmitry Tsymberov
Liquidator
Bakulin Str. 9/13, ap. 52
Kharkov
Ukraine
The Economic Court of Kharkov commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed as Case No. B-39/127-06.
The Court is located at:
The Economic Court of Kharkov
Derzhprom 8th Entrance
Svoboda Square 5
61022 Kharkov
Ukraine
The Debtor can be reached at:
LLC Horizon
Kolkhoznaya Str. 28
Dvorechnaya
Kharkov
Ukraine
ILONA-INVEST LLC: Claims Registration Bar Date Set April 30
-----------------------------------------------------------
Creditors of LLC Ilona-Invest (code EDRPOU 32984549) have until
April 30 to submit written proofs of claim to:
Viacheslav Letskan
Liquidator
Dovzhenko Str. 16B
03057 Kiev
Ukraine
The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed as Case No. 15/104-b.
The Court is located at:
The Economic Court of Kiev
B. Hmelnitskij Boulevard 44-B
01030 Kiev
Ukraine
The Debtor can be reached at:
LLC Ilona-Invest
Melnikov Str. 12
04050 Kiev
Ukraine
INTERENERGYRESOURCE LLC: Claims Filing Bar Date Set April 29
------------------------------------------------------------
Creditors of LLC Interenergyresource (code EDRPOU 31302836) have
until April 29 to submit written proofs of claim to:
S. Kitsul
Liquidator
Leskovskaya Str. 28
02097 Kiev
Ukraine
The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed as Case No. 15/107B.
The Court is located at:
The Economic Court of Kiev
B. Hmelnitskij Boulevard 44-B
01030 Kiev
Ukraine
The Debtor can be reached at:
LLC Interenergyresource
40 Years of October Str. 88
Kiev
Ukraine
KARPATY-MINERAL LLC: Claims Registration Deadline Set April 30
--------------------------------------------------------------
Creditors of LLC Karpaty-Mineral (code EDRPOU 33419597) have
until April 30 to submit written proofs of claim to:
Andrew Kolesnik
Liquidator
Tarnavsky Str. 104-b, ap. 54
79017 Lvov
Ukraine
The Economic Court of Vinnica commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed as Case No. 6/29-8/7.
The Court is located at:
The Economic Court of Lvov
Lichakivska Str. 81
79010 Lvov
Ukraine
The Debtor can be reached at:
LLC Karpaty-Mineral
Vetriakov Str. 5
Lvov
Ukraine
TROYANDA CJSC: Claims Registration Deadline Set April 30
--------------------------------------------------------
Creditors of CJSC Troyanda (code EDRPOU 23199205) have until
April 30 to submit written proofs of claim to:
S. Vashyshen
Liquidator
Sechenov Str. 10
98607 AR Krym
Ukraine
The Economic Court of AR Krym commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed as Case No. 2-6/2676-2007.
The Court is located at:
The Economic Court of AR Krym
Karl Marks Str. 18
Simferopol
95000 AR Krym
Ukraine
The Debtor can be reached at:
CJSC Troyanda
Sverdlov Str. 2
Yalta
98600 AR Krym
Ukraine
POLTECHSIM LLC: Claims Registration Bar Date Set April 30
---------------------------------------------------------
Creditors of LLC Poltechsim (code EDRPOU 24101579) have until
April 30 to submit written proofs of claim to:
Viacheslav Letskan
Liquidator
Dovzhenko Str. 16B, ap.42
03057 Kiev
Ukraine
The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent. The case is
docketed as Case No. 15/103-b.
The Court is located at:
The Economic Court of Kiev
B. Hmelnitskij Boulevard 44-B
01030 Kiev
Ukraine
The Debtor can be reached at:
LLC Poltechsim
Kudriavsky slope, 5-B, ap. 321
04050 Kiev
Ukraine
===========================
U N I T E D K I N G D O M
===========================
ADVANCED MARKETING: AMS Reports US$22.8 Mln Deficit at Jan. 31
--------------------------------------------------------------
AMS Corp.
Balance Sheet
As of January 31, 2007
ASSETS
Current Assets
Cash and Cash Equivalents US$3,293,815
Short-term Investments -
Accounts Receivable, Net 54,244,745
Vendor & Misc. Receivables 9,015,952
Intercompany Receivables 20,887,870
Inventory 70,569,480
Freight on Inventory 556,522
Inventory in Process, in Transit 6,230,867
Inventory Reserves (9,427,119)
------------
Inventory, net 67,929,751
Deferred Income Tax 63,486
Income Tax Receivable (3,524)
Prepaid Expenses 25,986,319
------------
Total Current Assets 181,418,413
PROPERTY & EQUIPMENT
Leasehold Improvements 4,956,425
Office Furniture & Equipment 40,776,286
Warehouse Equipment 15,751,486
Autos -
------------
Total Property & Equipment 61,484,197
Accumulated Depreciation (39,725,689)
------------
Net Property & Equipment 21,758,509
Long-Term Investment 16,068
Goodwill & Other Assets 17,562,528
------------
TOTAL ASSETS $220,755,518
============
LIABILITIES & STOCKHOLDER EQUITY
Current Liabilities
Accounts Payable $189,161,831
Accrued Liabilities 13,201,398
Income Taxes Payable 152,950
Intercompany Payables -
Short-term Debt 34,653,738
------------
TOTAL CURRENT LIABILITIES 237,169,917
Long Term Liabilities 6,412,415
------------
TOTAL LIABILITIES 243,582,332
STOCKHOLDERS' EQUITY
Common Stock @ Par Value 23,350
Additional Paid-in Capital 13,109,981
Common Stock Dividend (4,213,583)
Deferred Compensation (75,004)
Retained Earnings - Prior Year 29,229,430
Retained Earnings - Current Year (38,759,416)
Cumulative Other Comp. Income (585,202)
Treasury Stock (21,556,370)
------------
TOTAL STOCKHOLDERS' EQUITY (22,826,814)
------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $220,755,518
============
AMS Corp.
Statement of Operations
From January 1 to 31, 2007
GROSS SALES
Invoiced Amount US$25,924,194
Stickering Revenue 138,623
Service & Fee Revenue 593,554
Interco Revenue -
Total Sales Returns (17,839,833)
Sales Returns Provision 9,797,432
Unprocessed Sales Returns 804,149
------------
Sales Less Returns Prov. 19,418,119
============
SALES DEDUCTIONS
Cash Discount Provision 4,196
New Store Allowance 6,331
Customer Rebates -
Co-op Allowance -
Misc. Allowance & Adjustment 7,977
Sales Commissions -
------------
Total Sales Deductions 18,505
------------
NET SALES 19,399,614
============
COST OF NET SALES
Standard Cost of Sales 21,102,941
Interco Cost of Sales -
Standard Cost of Returns (14,012,605)
Standard Cost of Returns Provision 7,783,345
Standard Cost of Returns - Unprocessed 680,691
Purchase Variance, Revaluation (1,189)
Return to Publisher Variance 17,234
Freight In Costs of Sales 166,725
Freight - AGL 90,767
Freight Customer Returns 12,764
Freight -Return to Publisher 100,532
Freight Warehouse Transfer 14,879
Quantity Adjustments 1,604,419
Markdown Expense 199,846
Publisher Incentive -
Publisher Account Settlements (688)
Other Costs of Sales 430,636
------------
Total Cost of Sales 18,190,296
------------
GROSS PROFIT 1,209,318
============
VARIABLE EXPENSES
Freight Sales Shipments 445,516
Freight - Special Shipments -
Shipping Supplies and Service 12,077
Payroll DC operations 1,066,940
Distribution Fees 70,194
------------
Total Variable Expenses 1,594,726
------------
VARIABLE PROFIT MARGIN (385,408)
============
FIXED EXPENSE
Payroll (excl. DC Oper.) 1,579,750
Travel & Entertainment 46,345
Professional Services 1,245,399
Information Services 174,205
Office Equipment & Supplies 24,671
Telephone Expense 7,668
Facility Occupancy 507,217
General Insurance 85,519
Depreciation 689,769
Uncollectible Accounts 25,945
Customer Service 11,409
Promotion Expense 14,670
Express Mail & Postage 10,456
Training & Education 615
Exchange Gain/Loss -
Miscellaneous Expense 33,706
Shareholder's Relations 2,121
Co-op Advertising Exp/Inc (55,622)
Miscellaneous Income (14,887)
Warehouse Equipment 36,301
------------
Total Fixed Expenses 4,425,256
------------
OPERATING INCOME: (4,810,665)
Interest Expense 292,357
Interest Income (35,422)
Equity in Inc/Loss of Affiliates 55,873
Other Non-operating Expenses 750,000
------------
NON-OPERATING INCOME 1,062,808
------------
INCOME BEFORE INC TAX (5,873,474)
Tax Provision -
------------
NET INCOME ($5,873,474)
============
Advanced Marketing Services, Inc.
(Excluding Publishers Group West Incorporated)
Statement of Cash Flows
From January 1 to 31, 2007
CASH RECEIPTS
Accounts Receivable US$26,213,378
Other 73,337
------------
Total Cash Receipts 26,286,715
------------
INVENTORY DISBURSEMENTS
Publishers - Wires 19,953,030
Publishers - Checks -
------------
Total Inventory Disbursements 19,953,030
------------
OPERATING DISBURSEMENTS
Total Payroll (including taxes) 2,252,167
Employee retention plan -
Temp/contract labor 37,811
Health insurance 353,020
Insurance (D&O, Prop., WC, GL) 51,097
Rent - facilities 668,593
Freight 974,023
Shipping supplies 94,000
Utilities 125,356
IT Expenses -
Travel & other EE related exp. 23,186
Professional fees -
Other 143,709
Capital expenditures -
Income/gross receipts taxes -
Bank interest and fees 1,355,170
------------
Total Operating Disbursements 6,078,132
------------
Total Disbursements 26,031,162
----------
Net Operating Cash Inflow (Outflow) 255,553
------------
INTERCOMPANY TRANSFERS
PGW Rcpts. Swept to AMS 13,113,699
AMS (To) / From PGW (8,712,400)
Foreign Subsidiaries 580,299
------------
Total I/C Transfers (4,981,598)
------------
Net Cash Inflow (Outflow) $5,237,151
============
Publishers Group West Incorporated
Statement of Cash Flows
January 1 to 31, 2007
CASH RECEIPTS
Accounts Receivable US$13,113,699
Other -
------------
Total Cash Receipts 13,113,699
------------
INVENTORY DISBURSEMENTS
Publishers - Wires 7,189,184
Publishers - Checks 411,864
------------
Total Inventory Disbursements 7,601,408
------------
OPERATING DISBURSEMENTS
Total Payroll (including taxes) 601,548
Employee retention plan -
Temp/contract labor 43,168
Health insurance -
Insurance (D&O, Prop., WC, GL) -
Rent - facilities 33,906
Freight 228,320
Shipping supplies -
Utilities 2,086
IT Expenses -
Travel & other EE related exp. 17,536
Professional fees -
Other 21,399
Capital expenditures -
Income/gross receipts taxes -
Bank interest and fees -
------------
Total Operating Disbursements 947,963
------------
Total Disbursements 8,549,011
------------
Net Operating Cash Inflow (Outflow) 4,564,688
------------
INTERCOMPANY TRANSFERS
PGW Rcpts. Swept to AMS (13,113,699)
AMS (To) / From PGW 8,712,400
Foreign Subsidiaries -
------------
Total I/C Transfers (4,401,299)
------------
Net Cash Inflow (Outflow) $163,389
============
About Advanced Marketing Services
Based in San Diego, California, Advanced Marketing Services,
Inc. -- http://www.advmkt.com/-- provides customized
merchandising, wholesaling, distribution and publishing
services, currently primarily to the book industry. The company
has operations in the U.S., Mexico, the United Kingdom, and
Australia and employs approximately 1,200 people Worldwide.
The company and its two affiliates, Publishers Group
Incorporated and Publishers Group West Incorporated filed for
chapter 11 protection on Dec. 29, 2006 (Bankr. D. Del. Case Nos.
06-11480 through 06-11482). Suzzanne S. Uhland, Esq., Austin K.
Barron, Esq., Alexandra B. Feldman, Esq., O'Melveny & Myers,
LLP, represent the Debtors as Lead Counsel. Chun I. Jang, Esq.,
Mark D. Collins, Esq., and Paul Noble Heath, Esq., at Richards,
Layton & Finger, P.A., represent the Debtors as Local Counsel.
Lowenstein Sandler PC represents the Official Committee of
Unsecured Creditors. When the Debtors filed for protection from
their creditors, they listed estimated assets and debts of more
than US$100 million. The Debtors' exclusive period to file a
chapter 11 plan expires on Apr. 28, 2007. (Advanced Marketing
Bankruptcy News, Issue No. 10; Bankruptcy Creditors' Service
Inc., http://bankrupt.com/newsstand/or 215/945-7000).
ADVANCED MARKETING: AMS Reports US$22.4 Mln Deficit at Feb. 28
--------------------------------------------------------------
AMS Corp.
Balance Sheet
As of February 28, 2007
ASSETS
Current Assets
Cash and Cash Equivalents US$8,578,615
Short-term Investments -
Accounts Receivable, Net 43,373,018
Vendor & Misc. Receivables 8,937,476
Intercompany Receivables 21,088,097
Inventory 79,449,472
Freight on Inventory 556,522
Inventory in Process, in Transit 6,230,867
Inventory Reserves (9,257,041)
------------
Inventory, net 76,979,821
Deferred Income Tax 63,486
Income Tax Receivable (3,524)
Prepaid Expenses 32,472,438
------------
Total Current Assets 191,489,427
PROPERTY & EQUIPMENT
Leasehold Improvements 4,956,365
Office Furniture & Equipment 40,776,286
Warehouse Equipment 15,751,486
Autos -
------------
Total Property & Equipment 61,484,137
Accumulated Depreciation (40,396,609)
------------
Net Property & Equipment 21,087,528
Long-Term Investment 16,068
Goodwill & Other Assets 17,467,896
------------
TOTAL ASSETS $230,060,919
============
LIABILITIES & STOCKHOLDER EQUITY
Current Liabilities
Accounts Payable 27,725,952
Accrued Liabilities 12,724,517
Income Taxes Payable 152,950
Intercompany Payables -
Short-term Debt 31,492,202
------------
TOTAL CURRENT LIABILITIES 72,095,621
Long Term Liabilities 180,453,377
------------
TOTAL LIABILITIES 252,548,998
STOCKHOLDERS' EQUITY
Common Stock @ Par Value 23,350
Additional Paid-in Capital 13,276,648
Common Stock Dividend (4,213,583)
Deferred Compensation (75,004)
Retained Earnings - Prior Year 28,747,751
Retained Earnings - Current Year (38,105,420)
Cumulative Other Comp. Income (585,202)
Treasury Stock (21,556,370)
------------
TOTAL STOCKHOLDERS' EQUITY (22,487,829)
------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $230,061,169[sic.]
============
AMS Corp.
Statement of Operations
From February 1 to 28, 2007
GROSS SALES
Invoiced Amount US$18,357,532
Stickering Revenue 115,403
Service & Fee Revenue 558,927
Interco Revenue -
Total Sales Returns (9,764,420)
Sales Returns Provision 13,355,682
Unprocessed Sales Returns -
----------
Sales Less Returns Prov. 22,623,124
==========
SALES DEDUCTIONS
Cash Discount Provision 694
New Store Allowance 41,401
Customer Rebates -
Co-op Allowance -
Misc. Allowance & Adjustment 87,205
Sales Commissions 223
----------
Total Sales Deductions 129,523
----------
NET SALES 22,493,601
==========
COST OF NET SALES
Standard Cost of Sales $14,384,302
Interco Cost of Sales -
Standard Cost of Returns (8,091,836)
Standard Cost of Returns Provision 11,101,196
Standard Cost of Returns - Unprocessed -
Purchase Variance, Revaluation (103,118)
Return to Publisher Variance -
Freight In Costs of Sales 153,870
Freight - AGL 123,879
Freight Customer Returns 6,647
Freight -Return to Publisher 9,906
Freight Warehouse Transfer 7,227
Quantity Adjustments (1,302,490)
Markdown Expense -
Publisher Incentive -
Publisher Account Settlements -
Other Costs of Sales 314,527
Total Cost of Sales 16,604,110
----------
GROSS PROFIT 5,889,490
==========
VARIABLE EXPENSES
Freight Sales Shipments 354,728
Freight - Special Shipments 5,646
Shipping Supplies and Service 106,542
Payroll DC operations 325,477
Distribution Fees 136,012
----------
Total Variable Expenses 928,404
----------
VARIABLE PROFIT MARGIN 4,961,086
==========
FIXED EXPENSE
Payroll (excl. DC Oper.) 1,998,205
Travel & Entertainment 14,557
Professional Services 160,399
Information Services 162,127
Office Equipment & Supplies 36,422
Telephone Expense 21,235
Facility Occupancy 808,879
General Insurance -
Depreciation 684,879
Uncollectible Accounts 23,704
Customer Service 4,449
Promotion Expense 14,537
Express Mail & Postage 16,037
Training & Education 14,865
Exchange Gain/Loss -
Miscellaneous Expense 219,735
Shareholder's Relations 33,010
Co-op Advertising Exp/Inc (44,951)
Miscellaneous Income (429,512)
Warehouse Equipment 31,861
----------
Total Fixed Expenses
3,770,459[sic.]
----------
OPERATING INCOME: 1,190,627
Interest Expense 266,794
Interest Income (22,757)
Equity in Inc/Loss of Affiliates 67,891
Other Non-operating Expenses 250
----------
NON-OPERATING INCOME 312,178
----------
INCOME BEFORE INC TAX 878,449
Tax Provision -
----------
NET INCOME $878,449
==========
Advanced Marketing Services, Inc.
(Excluding Publishers Group West Incorporated)
Statement of Cash Flows
From February 1 to 28, 2007
CASH RECEIPTS
Accounts Rcvbl. (net of RTPs) US$19,989,296
Other 65,070
------------
Total Cash Receipts 20,054,366
------------
INVENTORY DISBURSEMENTS
Publishers - Wires 7,716,719
Publishers - Checks -
------------
Total Inventory Disbursements 7,716,719
------------
OPERATING DISBURSEMENTS
Total Payroll (including taxes) 2,210,344
Employee retention plan -
Temp/contract labor 439,126
Health insurance 359,193
Insurance (D&O, Prop., WC, GL) 64,503
Rent - facilities 667,140
Freight 506,153
Shipping supplies 127,838
Utilities 89,873
IT Expenses 90,775
Travel & other EE related exp. 33,561
Professional fees (Sep. Tab) -
Other 141,061
Capital expenditures -
Income/gross receipts taxes 925
Bank interest and fees 646,130
------------
Total Operating Disbursements 5,376,622
------------
Total Disbursements 13,093,341
------------
Net Operating Cash Inflow (Outflow) 6,961,025
------------
INTERCOMPANY TRANSFERS
PGW Rcpts. Swept to AMS 8,887,405
AMS (To) / From PGW (11,763,945)
Foreign Subsidiaries -
------------
Total I/C Transfers (2,876,540)
------------
Net Cash Inflow (Outflow) $4,084,485
============
About Advanced Marketing Services
Based in San Diego, California, Advanced Marketing Services,
Inc. -- http://www.advmkt.com/-- provides customized
merchandising, wholesaling, distribution and publishing
services, currently primarily to the book industry. The company
has operations in the U.S., Mexico, the United Kingdom, and
Australia and employs approximately 1,200 people Worldwide.
The company and its two affiliates, Publishers Group
Incorporated and Publishers Group West Incorporated filed for
chapter 11 protection on Dec. 29, 2006 (Bankr. D. Del. Case Nos.
06-11480 through 06-11482). Suzzanne S. Uhland, Esq., Austin K.
Barron, Esq., Alexandra B. Feldman, Esq., O'Melveny & Myers,
LLP, represent the Debtors as Lead Counsel. Chun I. Jang, Esq.,
Mark D. Collins, Esq., and Paul Noble Heath, Esq., at Richards,
Layton & Finger, P.A., represent the Debtors as Local Counsel.
Lowenstein Sandler PC represents the Official Committee of
Unsecured Creditors. When the Debtors filed for protection from
their creditors, they listed estimated assets and debts of more
than US$100 million. The Debtors' exclusive period to file a
chapter 11 plan expires on Apr. 28, 2007. (Advanced Marketing
Bankruptcy News, Issue No. 10; Bankruptcy Creditors' Service
Inc., http://bankrupt.com/newsstand/or 215/945-7000).
COLLINS & AIKMAN: Agrees to Pay CDN1.4 Million to Fired Workers
---------------------------------------------------------------
Collins & Aikman Corp. employees, members of the Canadian Auto
Workers union, have agreed to end their 2-day occupation of a
Toronto-area plant, after being assured that CDN1,400,000 in
severance payments would be made to 80 people fired in December
2006, Bloomberg News reports.
Around 170 workers fired in March 2007 are also due severance.
DaimlerChrysler AG has agreed to pay US$1,600,000 toward the
severance pay in proportion of the historical work they have
received from the Scarborough plant, which produces most of its
parts for DaimlerChrysler is due to close in July, CAW said.
Ford Motor Co. has also agreed to pay US$1,450,000 for its
share of past production received from the plant. CAW continues
to pressure General Motors Corp. to follow suit.
Workers Uncertain
David Youngman, Collins spokesman, has confirmed that all three
Rantoul plants are among the nine facilities Cadence Innovation
LLC plans to buy.
Collins is Rantoul's largest employer with around 850 to 900
remaining employees on its payroll.
Mr. Youngman relates that the company sent notices to the
workers because it cannot guarantee employment for all employees
once the sale transaction is completed.
Flex-N-Gate has previously been identified as a principal suitor
for the Evart facility, although Mr. Youngman declines to
comment on the issue.
Roger Elkins, Evart city manager, said he does not believe the
Evart plant is among the nine properties in the proposed Cadence
sale. According to the Cadillac News, the deal has fueled fears
in Evart that Cadence and not Flex-N-Gate will take over. There
is also speculation that there might be another potential buyer.
Mr. Elkins said that Collins does not want the city to raise
water rates anytime soon if Flex-N-Gates gets approval to
purchase the Evart facility. The City Counsel is expected to
approve Collins' request, he notes. Evart has already approved
tax abatements for Flex-N-Gate to US$125,000 per year for the
next 12 years, Cadillac News reports.
Headquartered in Troy, Michigan, Collins & Aikman Corporation
-- http://www.collinsaikman.com/-- is a global leader in
cockpit modules and automotive floor and acoustic systems and is
a leading supplier of instrument panels, automotive fabric,
plastic-based trim, and convertible top systems. The Company
has a workforce of approximately 23,000 and a network of more
than 100 technical centers, sales offices and manufacturing
sites in 17 countries throughout the world. The Company and its
debtor-affiliates filed for chapter 11 protection on May 17,
2005 (Bankr. E.D. Mich. Case No. 05-55927). Richard M. Cieri,
Esq., at Kirkland & Ellis LLP, represents C&A in its
restructuring. Lazard Freres & Co., LLC, provides the Debtor
with investment banking services. Michael S. Stammer, Esq., at
Akin Gump Strauss Hauer & Feld LLP, represents the Official
Committee of Unsecured Creditors Committee. When the Debtors
filed for protection from their creditors, they listed
US$3,196,700,000 in total assets and US$2,856,600,000 in total
debts. The Debtors' disclosure statement explaining their First
Amended Joint Chapter 11 Plan was approved on Jan. 25, 2007.
The hearing to consider confirmation of the Debtors' Amended
Joint Plan is set for April 19, 2007. (Collins & Aikman
Bankruptcy News, Issue No. 58; Bankruptcy Creditors' Service,
Inc., http://bankrupt.com/newsstand/or 215/945-7000)
COLLINS & AIKMAN: Wants to Auction Plastic Biz Assets on May 7
--------------------------------------------------------------
Collins and Aikman Corp. and its debtor-affiliates seek to sell
the assets of their Interiors Plastics Group to Cadence
Innovation LLC. However, to ensure that the value of the assets
to be purchased is maximized, the Debtors seek a market test,
through an auction, for the assets.
Pursuant to an Asset Purchase Agreement dated March 30, 2007,
Cadence has offered to purchase a significant portion of Collins
& Aikman Corp.'s North American plastics business for
US$68,000,000.
By this motion, the Debtors seek the authority of the U.S.
Bankruptcy Court for the Eastern District of Michigan to conduct
an auction on May 7, 2007, if a qualifying bid for the Plastics
Business, in addition to the Cadence APA is timely received.
In determining the successful bid at the auction, the Debtors
will consider, among other things, the total consideration to be
received by their estates as well as other financial and
contractual terms relevant to the sale, including those factors
affecting speed and certainty of consummating the sale.
To participate in the sale process, each bidder will deliver to
the Debtors:
(a) an executed confidentiality agreement in form and
substance satisfactory to the Debtors; and
(b) current audited financial statements or other financial
information of the bidder, or, if the bidder is an entity
formed for the purpose of acquiring the Purchased Assets,
current audited financial statements or other financial
information of the equity holders of the bidder, or other
forms of financial disclosure acceptable to the Debtors,
demonstrating the bidder's ability to close the proposed
transaction and to provide adequate assurance of future
performance to counterparties to any executory contracts
and unexpired leases to be assumed and assigned.
A potential bidder that desires to make a bid will deliver
written copies of its bid on or before 4:00 p.m. prevailing
Eastern Time on May 3, 2007 to:
-- the Debtors' counsel, Kirkland & Ellis LLP;
-- Debtors' investment bankers, Donnelly Penman & Partners;
-- agent for their senior, secured prepetition lenders;
-- counsel for the Official Committee of Unsecured
Creditors; and
-- counsel to Cadence.
All Qualified Bids must include these documents:
(a) An executed copy of an asset purchase agreement including
schedules and exhibits all marked to reflect changes to
the Cadence APA for the purchase of the Purchased Assets
"as is, where is", which will remain irrevocable until
the earlier of:
(i) two business days after the Purchased Assets have
been disposed of pursuant to the Bidding
Procedures and
(ii) June 30, 2007;
(b) The Qualified Bidder APA will provide for:
(1) a cash purchase price no less than the sum of (a)
the Purchase Price plus (b) US$3,000,000 plus (c)
US$1,000,000; and
(2) the assumed liabilities to be no less than the
Assumed Liabilities that would otherwise be
postpetition liabilities even in the event of the
rejection of contracts provided by the Proposed
Purchaser;
(c) Financial and other information setting forth adequate
assurance of future performance under Section 365 of the
Bankruptcy Code in a form requested by the Debtors to
allow the Debtors to serve the information within one
business day after the receipt on counterparties to any
executory contracts and unexpired leases being assigned
in connection with the proposed transaction that have
requested, in writing, the information;
(d) With the exception of Cadence, a good faith cash deposit
in the form of a bank or certified check payable to the
order of Collins & Aikman Corp. in an amount equal to at
least 5% of the cash purchase price included in the APA;
and
(e) A written statement that the bid is not conditioned on
(i) obtaining financing or other financing contingencies
or (ii) the outcome of unperformed due diligence by the
bidder or any other due diligence contingencies.
The Debtors may afford each potential bidder due diligence
access to the Purchased Assets. The Debtors designate KZC
Services LLC to coordinate all reasonable requests for
additional information and due diligence access from such
bidders.
The auction will take place at Kirkland & Ellis LLP, Citigroup
Center, 153 East 53rd Street, New York, New York 10022 on May 7,
2007 commencing at 10:00 a.m. prevailing Eastern Time. The
auction will be governed by these procedures:
(1) Only a bidder who has submitted a Qualified Bid will be
eligible to participate at the Auction.
(2) Each bidder will be required to confirm that it has not
engaged in any collusion with respect to the bidding or
the Sale.
(3) Bidding will commence at the amount of the highest
Qualifying Bid submitted prior to the Auction and each
bidder shall then be permitted to increase its bid
consistent with the overbid protections to Cadence.
(4) The Auction will be conducted openly and each bidder will
be informed of the terms of the previous bid.
(5) The auction will continue until there is only one offer
that the Debtors determine, after consulting with the
Prepetition Agent and the Committee, is the highest or
otherwise best offer from among the bids submitted by the
Proposed Purchaser and the other bidders at the Auction.
In making this determination, the Debtors may consider,
among other things, (i) the amount of the purchase price,
(ii) the form of consideration being offered, (iii) the
likelihood of the bidder's ability to close a transaction
and the timing thereof and (iv) the net benefit to the
Debtors' estates, which bid will be designated the
"Successful Bid." The Debtors will present the
Successful Bid to the Bankruptcy Court for approval at
the sale hearing.
(6) Within one business day after adjournment of the Auction,
the Successful Bidder will complete and execute all
agreements, contracts, instruments or other documents
evidencing and containing the terms and conditions upon
which the Successful Bid was made.
The Debtors ask the Honorable Steven W. Rhodes of the U.S.
Bankruptcy Court for the Eastern District of Michigan to
schedule a hearing to consider the sale of the Purchased assets
on May 10, 2007 at 2:00 p.m. prevailing Eastern Time.
Upon failure to consummate the sale because of a breach on the
part of the successful bidder after an order entered at or after
the sale hearing, the Debtors will be permitted to select the
next highest or otherwise best bid to be the successful bid and
to consummate the transaction without further Court order.
Good Faith Deposits of all bidders will be held in escrow until
the earlier of (a) three business days after all assets upon
which the bidder is bidding have been disposed of pursuant to
these Bidding Procedures and (b) July 1, 2007. If a Successful
Bidder fails to close the Sale, the party's Good Faith Deposit
will be forfeited to, and retained irrevocably by, the Debtors,
and the Debtors reserve the right to seek all appropriate
additional damages from the Successful Bidder.
Headquartered in Troy, Michigan, Collins & Aikman Corporation
-- http://www.collinsaikman.com/-- is a global leader in
cockpit modules and automotive floor and acoustic systems and is
a leading supplier of instrument panels, automotive fabric,
plastic-based trim, and convertible top systems. The Company
has a workforce of approximately 23,000 and a network of more
than 100 technical centers, sales offices and manufacturing
sites in 17 countries throughout the world. The Company and its
debtor-affiliates filed for chapter 11 protection on May 17,
2005 (Bankr. E.D. Mich. Case No. 05-55927). Richard M. Cieri,
Esq., at Kirkland & Ellis LLP, represents C&A in its
restructuring. Lazard Freres & Co., LLC, provides the Debtor
with investment banking services. Michael S. Stammer, Esq., at
Akin Gump Strauss Hauer & Feld LLP, represents the Official
Committee of Unsecured Creditors Committee. When the Debtors
filed for protection from their creditors, they listed
US$3,196,700,000 in total assets and US$2,856,600,000 in total
debts. The Debtors' disclosure statement explaining their First
Amended Joint Chapter 11 Plan was approved on Jan. 25, 2007.
The hearing to consider confirmation of the Debtors' Amended
Joint Plan is set for April 19, 2007. (Collins & Aikman
Bankruptcy News, Issue No. 58; Bankruptcy Creditors' Service,
Inc., http://bankrupt.com/newsstand/or 215/945-7000)
CORONIS PLC: Fitch Retains B Rating Despite Interest Shortfall
--------------------------------------------------------------
Fitch Ratings says in a performance update that the 'B' rating
on Coronis (European Loan Conduit No. 8) Plc's Class F will not
be negatively affected by the ongoing available funds cap hit.
The interest shortfall is expected to continue as prepayment of
the two collateral loans in part or full will only increase the
cost of funding of the notes. However, the current 'B' rating
on Class F already reflects the likelihood of an available funds
cap hit.
The report, named "Coronis (European Loan Conduit No. 8) - 2007
Performance Update" focuses mainly on the events leading to the
default of the Orb loan in 2003, the slow recovery over time and
the second default of the loan in December 2005 and explains
Fitch's rating actions regarding the ELoC8 notes between 2003
and 2007.
On March 22, Fitch upgraded ELoC8's D, E and F to 'AAA', 'BBB'
and 'B/DR1', from 'AA-', 'BB+' and 'CCC+/DR1', respectively.
FORD MOTOR: Expanding Operations in China Market
------------------------------------------------
Ford Motor Company made several strategic announcements to
support its forward-moving business direction in China,
highlighting the company's rapidly expanding presence and
increasingly competitive position in the world's second largest
automotive market.
During a formal press conference at the Ford stand, Mei-Wei
Cheng, vice president of Ford Motor Company and chairman & CEO
of Ford Motor China, stated that:
* The official start of volume production at the Changan
Ford Mazda Engine Company will come very soon.
* The vehicle production at the new Nanjing facility,
Changan Ford Mazda Automobile Company (CFMA) will begin
before the end of the year.
* The third generation Ford Mondeo will start production at
Changan Ford Mazda Automobile's Chongqing plant later this
year.
* An all-new Ford small car will be produced at Changan Ford
Mazda Automobile Company Nanjing plant in 2008
Additionally, Cheng referred to Ford Motor Research &
Engineering (Nanjing) Co. Ltd. in his speech, which received
government approval in March, and its role as an integral part
of Ford Motor Company's global research & design, he said this
new operation will enhance Ford China's local engineering
capabilities, as well as strengthening the sourcing capability
for manufacturing in China and to support Ford Motor's global
manufacturing.
"These collective announcements underscore Ford Motor's
commitment to the China market and China's growing importance to
our overall global strategy. Ford Motor China now encompasses
one of the most comprehensive and competitive operations in the
Chinese market, including full-scale vehicle and engine
production; research, development and engineering; sales;
aftersales services; and auto financing. Our local partnerships
and the smooth implementation of our China strategy have greatly
contributed to Ford becoming a leader of China's automobile
market," said Mr. Cheng.
"Ford's complete line up of cars in China now includes premiere
and mid-size vehicles, small cars, SAVs, SUVs, and commercial
vehicles," continued Mr. Cheng.
The sleek, third generation Ford Mondeo, which starred in the
latest James Bond movie, "Casino Royale", embodies Ford's
special European 'kinetic design' language and world-class
technology. It follows in the footsteps of the 'Car of the Year
2007' S-MAX, as the next Ford model to be produced in China.
"Our hugely successful European products have also proven to be
very popular among Chinese consumers. From the hot selling
Focus to the eye-catching S-MAX, and now the sleek Mondeo, Ford
will continue to introduce our latest auto design engineering
concepts to the China market. This will be supported by our
renowned professional sales and aftersales services, as well as
our creative 'Make Every Day Exciting' brand campaign," said Mr.
Cheng.
Ford Motor Company and its five affiliated brands are showcasing
52 exciting vehicles at its Auto Shanghai 2007 stand. In
addition to the third generation Mondeo, Ford will showcase its
'kinetic design' language with the sculpted 5-door iosis X
sports crossover concept; the CFMA produced S-MAX; and the C-
MAX, which is making its first China appearance. The wildly-
popular Ford Focus lineup will also be featured on the Ford
stand, including the 2007 Focus, the European-imported Focus ST,
2006 Focus RS World Rally Car', and the Focus China Circuit
Championship Racing Car.
About Ford Motor Co.
Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures and distributes automobiles
in 200 markets across six continents. With more than 280,000
employees worldwide, the company's core and affiliated
automotive brands include Aston Martin, Ford, Jaguar, Land
Rover, Lincoln, Mazda, Mercury, and Volvo. Its automotive-
related services include Ford Motor Credit Company and The Hertz
Corporation.
Ford Motor Company and CFMA have become one of the leaders in
China's burgeoning auto industry, recording an impressive 86.6%
year-on-year increase in China market sales for 2006, far ahead
of the overall industry average. CFMA's first quarter sales
have totaled 38,908 units, or a 40.8% increase over the same
period a year ago.
Ford's history in China can be traced to 1913, when the first
Model T was imported and sold in Shanghai. In 2001, a joint
venture was formed with Changan Automotive Corporation Ltd.,
called Changan Ford Automobile Corporation Ltd. (Changan Ford).
With an investment from Mazda in March 2006, the company was
restructured and renamed as Changan Ford Mazda Automobile Co.,
Ltd. (CFMA). Additionally, Ford owns a 30% share of Jiangling
Motors Corporation Ltd., which produces the Ford Transit
commercial vehicle.
Changan Ford's second passenger car plant and new three-way
engine plant joint venture - Changan Ford Mazda Engine Company
Co., Ltd., are both in Nanjing and scheduled to go online in
2007.
* * *
As reported in the Troubled Company Reporter on Dec. 12, 2006,
Standard & Poor's Ratings Services affirmed its 'B' bank loan
and '2' recovery ratings on Ford Motor Co.
As reported in the Troubled Company Reporter on Dec. 7, 2006,
Fitch Ratings downgraded Ford Motor Company's senior unsecured
ratings to 'B-/RR5' from 'B/RR4'.
As reported in the Troubled Company Reporter on Dec. 6, 2006,
Moody's Investors Service assigned a Caa1, LGD4, 62% rating to
Ford Motor Company's US$3 billion of senior convertible notes
due 2036.
ITRON INC: Completes EUR800-Million Acquisition of Actaris
----------------------------------------------------------
Itron Inc. completed the acquisition of Actaris Metering Systems
for EUR800 million plus the retirement of debt, or US$1.7
billion.
"We are delighted to announce the completion of the Actaris
acquisition," said LeRoy Nosbaum, chairman and CEO. "In talking
with customers, investors and employees over the past two months
it is apparent that this is the right acquisition at the right
time."
Actaris is a leader in electricity, gas and water metering,
primarily outside of North America. Itron is the leading
supplier of AMR systems and electricity meters in North America.
The combined company will be one of the largest electricity, gas
and water metering companies in the world. This acquisition
will allow Actaris to offer Itron's AMR and advanced metering
infrastructure (AMI) technologies, software and systems
expertise to customers outside of North America, and expand
Actaris gas and water meter opportunities in North America. The
combined company will have more than 8,000 utility customers, 33
manufacturing facilities, customers in more than 60 countries
and have more than 8,500 employees.
The acquisition was financed by a US$1.2 billion senior secured
credit facility from UBS Investment Bank. The facility is
comprised of:
-- a US$605 million first lien U.S. denominated term loan;
-- a EUR335 million first lien Euro denominated term loan;
-- a GBP50 million first lien Sterling denominated term loan;
and
-- a US$115 million multicurrency revolving line-of-credit,
which was undrawn at close.
Malcolm Unsworth, Itron's former Vice President of Hardware
Solutions, has moved to Brussels to assume the day-to-day
operations of the company as Actaris' Senior Vice-President and
Chief Operating Officer. Actaris will continue to operate
electric, gas and water businesses. Itron will report financial
results for Actaris as a standalone business with these three
operating segments, in addition to reporting financial results
for Itron's previously established hardware and software
segments with sales and operations primarily concentrated in
North America. Philip Mezey, Itron's former Vice President of
Software Solutions, will become Senior Vice President and Chief
Operating Officer of Itron's North American operations.
Itron will announce financial results for the first quarter of
2007 on May 2, 2007 and during that call will discuss the
Actaris transaction in more detail.
"We are excited to complete this transaction so quickly," said
Nosbaum. "The combination of Itron and Actaris will create
opportunities for both companies, for our customers and for our
investors and we are looking forward to making the most of those
opportunities."
About Actaris
Actaris Metering Systems -- http://www.actaris.com/-- is a
world leader in the design and manufacture of meters and
associated systems for the electricity, gas, water and heat
markets, providing innovative products and systems that
integrate the latest technologies to meet the evolving needs of
public or private energy and water suppliers, utility services
and industrial companies worldwide. Actaris is active in more
than 30 countries, employs approximately 6,000 people in 60
locations and has 30 manufacturing sites worldwide. The company
has a cumulative installed base of some 300 million electricity,
gas and water meters throughout the world.
About Itron
Itron (NASDAQ:ITRI) -- http://www.itron.com/-- is a leading
technology provider and critical source of knowledge to the
global energy and water industries. Nearly 3,000 utilities
worldwide rely on Itron's award-winning technology to provide
the knowledge they require to optimize the delivery and use of
energy and water. Itron creates value for its clients by
providing industry-leading solutions for electricity metering;
meter data collection; energy information management; demand
response; load forecasting, analysis and consulting services;
distribution system design and optimization; web-based workforce
automation; and enterprise and residential energy management.
Itron maintains operations in Canada, Qatar, Mexico, Taiwan,
France and Australia, The Netherlands, and the United Kingdom.
* * *
In a Troubled Company Reporter-Europe report on March 22,
Moody's Investors Service downgraded the corporate family rating
of Itron Inc to B1 from Ba3, concluding the review process
initiated on Feb. 27.
Moody's also assigned a Ba3 rating to the new senior first-lien
multi-currency credit facilities and downgraded the existing
senior subordinated notes to B3.
ITRON INC: High Leverage Cues S&P to Lower Ratings to B+
--------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on Itron
Inc., including its corporate credit rating to 'B+' from 'BB-',
following the completion of the company's acquisition of Actaris
Metering Systems.
The ratings were removed from CreditWatch, where they were
originally placed with negative implications on February 26. In
addition, the ratings on the company's previous US$55 million
revolving credit facility have been withdrawn, as the facility
was replaced with a new US$115 million multicurrency revolving
credit facility. The outlook is stable.
The lower ratings reflect Itron's highly leveraged financial
risk profile, marked by substantially higher debt balances and
weaker credit metrics. This is partly offset by what Standard &
Poor's views as an enhanced, yet still weak, business risk
profile, as the Actaris acquisition supplements Itron's already
leading market positions in meter-data collection and
electricity-metering sales with increased geographic reach, a
broader platform for the company's high-growth AMR technology,
and potential cost-saving opportunities.
KRISPY KREME: Incurs US$42.2 Million Net Loss in Fiscal 2007
------------------------------------------------------------
Krispy Kreme Doughnuts Inc. reported a fiscal 2007 net loss of
US$42.2 million, as compared with a net loss of US$135.8 million
in fiscal 2006. Impairment charges and lease termination costs
were US$12.5 million and US$55.1 million, in fiscal 2007 and
2006, respectively, and litigation settlement costs were US$16
million compared to US$35.8 million, respectively.
For fiscal 2007, its revenues decreased to US$461.2 million, as
compared with US$543.4 million in fiscal 2006. Company Stores
sales decreased to US$326.2 million, revenues from franchise
operations increased to US$21.1 million and KK Supply Chain
sales to franchise stores decreased to US$113.9 million.
In fiscal 2007 and 2006, the company incurred professional fees,
net of anticipated insurance recoveries, of about US$9 million
and US$31.8 million, respectively, associated with internal and
external investigations, litigation and the interim management
firm engaged by the company in January 2005. The fiscal 2007
amount includes a credit of US$2.3 million recorded in the
fourth quarter resulting from reimbursements from insurance
companies of costs and expenses in excess of amounts previously
estimated.
Fourth Quarter Results
Revenues for the fourth quarter decreased to US$112.2 million,
as compared with US$122.2 million in the fourth quarter of last
year. Company Stores sales decreased to US$79.2 million,
revenues from franchise operations increased to US$5.8 million,
and Krispy Kreme Supply Chain revenues decreased to US$27.2
million.
Fourth quarter system wide sales decreased from the fourth
quarter of last year. System wide average weekly sales per
store increased from the prior year period to about US$39,500
per store, and Company Store average weekly sales per store
increased to approximately US$54,100 per store.
The net loss for the fourth quarter was US$24.4 million, as
compared with a net loss of US$37.7 million in the comparable
period last year. The net loss for the quarter includes a
charge related to the settlement of litigation of about US$16
million, representing the increase from Oct. 29, 2006, to Jan.
28, 2007, in the estimated fair value of the securities issued
by the company on March 2, in connection with the previously
announced settlement of the class action litigation and partial
settlement of the shareholder derivative action.
During the quarter, 28 new Krispy Kreme stores, comprised of 12
factory stores and 16 satellites, were opened system wide, and
14 stores, comprised of 9 factory stores and 5 satellites, were
closed. This brings the total number of stores system wide at
year-end to 395, consisting of 296 factory stores and 99
satellites.
"We have made progress during the past year, including resolving
important legal matters, restoring positive cash flow, getting
current with our financials, and closing a new senior secured
credit facility," said Daryl Brewster, president and chief
executive officer of Krispy Kreme Doughnuts, Inc. "Additionally,
we've seen stability in our overall average unit volume,
developed a pipeline for new products and seen growth
internationally utilizing a flexible real estate model."
As of Jan. 28, the company posted total assets of
US$349.5 million and total liabilities of US$270.5 million
resulting to total stockholders' deficit of US$79 million. The
company's December 31 balance sheet also showed strained
liquidity with US$131.8 million in total current assets
available to pay US$134.9 million in total current liabilities.
Accumulated deficit as of Jan. 28 was US$233.2 million, up from
US$191 million as of Jan. 29, 2006.
A full-text copy of the company's annual report is available for
free at http://ResearchArchives.com/t/s?1d80
About Krispy Kreme
Founded in 1937 in Winston-Salem, North Carolina, Krispy Kreme
(NYSE: KKD) -- http://www.krispykreme.com/-- retails doughnuts,
including the company's Hot Original Glazed. There are
currently about 320 Krispy Kreme stores and 80 satellites
operating system wide in 43 U.S., Australia, Canada, Mexico, the
Republic of South Korea and the U.K.
Headquartered in Winston-Salem, North Carolina, Freedom Rings
LLC is a majority-owned subsidiary and franchisee partner of
Krispy Kreme Doughnuts Inc., in the Philadelphia region.
Freedom Rings operates six out of the approximately 360 Krispy
Kreme stores and 50 satellites located worldwide. The company
filed for chapter 11 protection on Oct. 16, 2005 (Bankr. D. Del.
Case No. 05-14268). M. Blake Cleary, Esq., Margaret B.
Whiteman, Esq., and Matthew Barry Lunn, Esq., at Young Conaway
Stargatt & Taylor, LLP, represent the Debtor in its
restructuring efforts. When the Debtor filed for protection
from its creditors, it estimated US$10 million to US$50 million
in assets and debts.
Headquartered in Oak Brook, Illinois, Glazed Investments LLC is
a 97%-owned unit of Krispy Kreme. Glazed filed for chapter 11
protection on Feb. 3, 2006 (Bankr. N.D. Ill. Case No. 06-00932).
The bankruptcy filing will facilitate the sale of 12 Krispy
Kreme stores, as well as the franchise development rights for
Colorado, Minnesota and Wisconsin, for about US$10 million to
Westward Dough, the Krispy Kreme area developer for Nevada,
Utah, Idaho, Wyoming and Montana. Daniel A. Zazove, Esq., at
Perkins Coie LLP represents Glazed in its restructuring efforts.
When Glazed filed for protection from its creditors, it
estimated assets and debts between US$10 million to
US$50 million.
KremeKo Inc., Krispy Kreme's Canadian franchisee, is currently
restructuring under the Companies' Creditors Arrangement Act.
Pursuant to the Court's Initial Order, Ernst & Young Inc. was
appointed as Monitor in KremeKo's CCAA proceedings. The Monitor
is attempting to sell the KremeKo business.
The U.S. District Court for the Middle District of North
Carolina has set Feb. 7, as the hearing date for the final
approval of the terms of the settlement of the shareholder
derivative action entitled Wright v. Krispy Kreme Doughnuts
Inc., et al.
LEEK FINANCE: Fitch Puts Low-B Ratings to Class Da & Dc Notes
-------------------------------------------------------------
Ratings assigned final ratings to Leek Finance Number 19 PLC's
multi-currency mortgage-backed floating-rate notes due 2038:
-- GBP28-million Class A1a: 'AAA'
-- US$255-million Class A1b: 'AAA'
-- GBP110-million Class A2a: 'AAA'
-- GBP624.10-million Class A2b: 'AAA'
-- EUR124.50-million Class A2c: 'AAA'
-- GBP23-million Class Ma: 'AA'
-- EUR68-million Class Mc: 'AA'
-- GBP12-million Class Ba: 'A'
-- EUR51-million Class Bc: 'A'
-- GBP6-million Class Ca: 'BBB'
-- EUR32.9-million Class Cc: 'BBB'
-- GBP13-million Class Da: 'BB'
-- EUR6.7-million Class Dc: 'BB'
The ratings are based on the collateral quality, available
credit enhancement and the underwriting of Platform Funding
Limited. They also consider the servicing capabilities of
Western Mortgage Services Limited as instructed by PFL and the
sound legal structure of the transaction. Credit enhancement
for the Class A notes totaling 21.55% is provided by the
subordination of the Class M, Class B, Class C and Class D
notes, as well as a fully funded reserve fund.
To determine appropriate credit enhancement levels, Fitch
analyzed the collateral using its UK Residential Mortgage
Default Model, dated Feb. 5. The agency also modeled cash flows
using the results of the default model, with structural stresses
including various prepayment and interest rate scenarios. The
cash flow tests showed that each class of notes could withstand
loan losses at a level corresponding to the related stress
scenario without incurring any principal loss or interest
shortfall and can retire principal by legal final maturity.
PORTRAIT CORP: Exclusive Plan-Filing Date Extended Until June 30
----------------------------------------------------------------
The Honorable Adlai S. Hardin Jr. of the U.S. Bankruptcy Court
for the Southern District of New York issued a final order
further extending Portrait Corporation of America Inc. and its
debtor-affiliates' exclusive periods to:
a) file a chapter 11 plan until June 30; and
b) solicit acceptances of their chapter 11 plan until
August 30.
The Debtors' exclusive period to file a plan expired on March
29, 2006. This is the second extension to the Debtors'
exclusive periods.
In their request for extension, the Debtors told the Court that
they filed their Plan on Jan. 31, well within the exclusive
filing period. However, the Debtors filed a second motion
seeking a three-month extension of their exclusive periods to
allow the Debtors' to focus all their efforts on operating and
transforming their business as well as pursuing their dual-tract
emergence strategy through confirmation of the Plan or an
alternative sale opportunity.
The Debtors have stated their intention to pursue a sale if a
sale offer is received that provides a meaningful recovery to
unsecured creditors.
The Court approved the Debtors' Disclosure Statement relating to
their First Amended Joint Plan of Reorganization on March 29.
About Portrait Corporation of America Inc.
Portrait Corporation of America Inc. -- http://pcaintl.com/--
provides professional portrait photography products and services
in North America. The Company operates portrait studios within
Wal-Mart stores and Supercenters in the United States, Canada,
Mexico, Germany and the United Kingdom. The Company also
operates a modular traveling business providing portrait
photography services in additional retail locations and to
church congregations and other institutions.
Portrait Corporation and its debtor-affiliates filed for
Chapter 11 protection on Aug. 31, 2006 (Bankr S.D. N.Y. Case
No. 06-22541). John H. Bae, Esq., at Cadwalader Wickersham &
Taft LLP, represents the Debtors in their restructuring efforts.
Berenson & Company LLC serves as the Debtors' financial advisor
and investment banker. Kristopher M. Hansen, Esq., at Stroock &
Stroock & Lavan LLP represents the Official Committee of
Unsecured Creditors. Peter J. Solomon Company serves as
financial advisor for the Committee. At June 30, 2006, the
Debtor had total assets of US$153,205,000 and liabilities of
US$372,124,000.
REMBRANDT I: Fitch Rates EUR5.1-Million Class V Notes at BB-
------------------------------------------------------------
Fitch affirmed Rembrandt I Synthetic CDO Limited's notes due
2011:
-- EUR7.8-million Class I secured notes at 'AAA';
-- EUR19.5-million Class II secured notes at 'AA';
-- EUR11.3-million Class III secured notes at 'A';
-- EUR17.6-million Class IV secured notes at 'BBB-';
-- EUR3.3-million Class V-A secured notesat 'BB-';
-- EUR1.8-million Class V-B secured notesat 'BB-'and
-- EUR65-million combination notes at 'A-'.
The transaction continues to perform within expectations.
Currently the portfolio contains eight speculative-grade
reference entities representing 7.25% of the portfolio. This
compares to seven speculative-grade entities at the review in
August 2006 and none at close in July 2003. The lowest rated
entity in the portfolio currently carries a 'CCC+' rating,
unchanged from August 2006. There have been no credit events to
date. The weighted average credit quality of the portfolio has
deteriorated to 4.3 from 3.7 at the review in August 2006. As
of Feb. 14 trustee report, the portfolio's weighted average
rating factor breached its covenanted level. Nevertheless, all
other portfolio tests have passed their covenanted levels. The
reduction in the risk horizon has offset the impact of the
deterioration in credit quality. The credit enhancement
available is sufficient for all notes to pass their respective
rating stresses.
This transaction is a synthetic collateralized debt obligation
backed by collateral securities funded by the net issuance
proceeds of the Class I to V notes. The notes have a scheduled
maturity in June 2011 and absorb the credit risk of a credit
default swap with Morgan Stanley Capital Services, Inc.
Additionally, Rembrandt, a special purpose vehicle incorporated
under the laws of Jersey, issued Combination Notes consisting of
the full notional balance of Class I, II, III, IV, V-A and
Subordinated-A notes. The Combo Notes have identical rights to
the underlying notes.
The ratings of the Class I to V-B notes address the full and
timely payment of interest and ultimate repayment of principal
by scheduled maturity in June 2011. The rating of the Combo
Notes addresses ultimate repayment of initial investment by
scheduled maturity in June 2011. Currently, the Combo Notes
have repaid 27% of their initial rated balance using interest
paid to the notes making up the Combo Note.
RENTOKIL INITIAL: Inks HK$280MM Pest Control Deal with Hong Kong
----------------------------------------------------------------
Rentokil Initial has signed a two-year contract with the
Government of Hong Kong Special Administrative Region to provide
pest control technologies and services.
The contract, which begins this month, is valued at HKD280
million (GBP17.9 million). It is the highest value contract of
its kind ever signed by the Government of HKSAR. Rentokil
Initial was awarded the contract by the Food and Environmental
Hygiene Department whose mission is to build a cleaner living
environment for the people of Hong Kong.
Rentokil Initial has been operating in Hong Kong since 1964 and
is a pioneer in the pest control services industry. The company
provides a wide range of professional pest control solutions.
"We are delighted to have been selected to work with the HKSAR
Government. We're determined to use our market leading
technology and local expertise to deliver the finest pest
control services in the region," David Liu, Regional Managing
Director - Asia Pacific of Rentokil Initial, said.
Separately, the company has appointed The Honorable Dr. Philip
Y. H. Wong, GBS, as the Non-Executive Chairman of Rentokil
Initial China and Hong Kong. Dr. Wong has extensive knowledge
of the market in China and has strong connections with
government bodies.
Headquartered in West Sussex, England, Rentokil Initial PLC
(LSE: RTO) -- http://www.rentokil-initial.com/-- is one of the
largest business services companies in the world, operating in
all the major economies of Europe, North America, Asia Pacific
and Africa. The company has some 90,000 employees providing a
range of support services in over 40 countries.
At Dec. 31, 2006, the company's consolidated balance sheet
showed EUR1.8 billion in total assets and EUR2.3 billion in
total liabilities, resulting in a EUR533.6-million stockholders'
deficit.
The company's Dec. 31 balance sheet also showed strained
liquidity with EUR672.6 million in total current assets
available to pay EUR1.1 billion in total liabilities coming due
within the next 12 months.
RENTOKIL INITIAL: Acquiring 65% Stake in Beijing Taiming
--------------------------------------------------------
Rentokil Initial plc has reached agreement with Beijing Taiming
Technology Ltd. to purchase 65% of its pest control business in
China for a maximum consideration of RMB130 million (GBP8.38
million) based on strict performance criteria. The company will
be renamed Rentokil Taiming.
Beijing Taiming is the leading pest control operation in China
and owns various patents in fumigation technology.
The company was established in September 1998. It has developed
and patented a range of fumigators for indoor insect control.
It also has a range of proprietary formulated insecticidal
products. The service deals comprehensively with all common
urban pest problems both in residential and commercial
environments, reducing the risk of spreading vector diseases.
In particular, the fumigator kills 100% of mosquitoes in indoor
environments within minutes.
"We are delighted to announce that after two years of building
our foundation in China, we can now serve both residential and
commercial sectors delivering pest control service and products
to the market," David Liu, Regional Managing Director - Asia
Pacific of Rentokil Initial, said. "Our new partner has already
registered patents in China, Canada, South Africa and the United
States for the most innovative pest control application
technology that provides Chinese consumers a cleaner and
healthier environment. This new joint venture will transform
our business in China."
Headquartered in West Sussex, England, Rentokil Initial PLC
(LSE: RTO) -- http://www.rentokil-initial.com/-- is one of the
largest business services companies in the world, operating in
all the major economies of Europe, North America, Asia Pacific
and Africa. The company has some 90,000 employees providing a
range of support services in over 40 countries.
At Dec. 31, 2006, the company's consolidated balance sheet
showed EUR1.8 billion in total assets and EUR2.3 billion in
total liabilities, resulting in a EUR533.6-million stockholders'
deficit.
The company's Dec. 31 balance sheet also showed strained
liquidity with EUR672.6 million in total current assets
available to pay EUR1.1 billion in total liabilities coming due
within the next 12 months.
*********
Monday's edition of the TCR delivers a list of indicative prices
for bond issues that reportedly trade well below par. Prices
are obtained by TCR editors from a variety of outside sources
during the prior week we think are reliable. Those sources may
not, however, be complete or accurate. The Monday Bond Pricing
table is compiled on the Friday prior to publication. Prices
reported are not intended to reflect actual trades. Prices for
actual trades are probably different. Our objective is to share
information, not make markets in publicly traded securities.
Nothing in the TCR constitutes an offer or solicitation to buy
or sell any security of any kind. It is likely that some entity
affiliated with a TCR editor holds some position in the issuers'
public debt and equity securities about which we report.
Each Tuesday edition of the TCR contains a list of companies
with insolvent balance sheets whose shares trade higher than
US$3 per share in public markets. At first glance, this list
may look like the definitive compilation of stocks that are
ideal to sell short. Don't be fooled. Assets, for example,
reported at historical cost net of depreciation may understate
the true value of a firm's assets. A company may establish
reserves on its balance sheet for liabilities that may never
materialize. The prices at which equity securities trade in
public market are determined by more than a balance sheet
solvency test.
A list of Meetings, Conferences and Seminars appears in each
Thursday's edition of the TCR. Submissions about insolvency-
related conferences are encouraged. Send announcements to
conferences@bankrupt.com/
Each Friday's edition of the TCR includes a review about a book
of interest to troubled company professionals. All titles are
available at your local bookstore or through Amazon.com. Go to
http://www.bankrupt.com/books/to order any title today.
*********
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 P. Laureno, Julybien Atadero, Carmel Zamesa
Paderog, Joy Agravante, Zora Jayda Zerrudo Sala, Kristina A.
Godinez, and Pius Xerxes Tovilla, Editors.
Copyright 2007. All rights reserved. ISSN 1529-2754.
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Information contained herein is obtained from sources believed
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