/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/071228.mbx T R O U B L E D C O M P A N Y R E P O R T E R E U R O P E Friday, December 28, 2007, Vol. 8, No. 256 Headlines A U S T R I A ELTNER MUSIKINSTRUMENTE: Leoben Court Orders Business Shutdown FIDAN FOOD: Creditors' Meeting Slated for Jan. 9, 2008 HODEX HANDEL: Creditors' Meeting Slated for Jan. 9, 2008 OEB BAU: Vienna Court Orders Business Shutdown POINT BAU: Creditors' Meeting Slated for Jan. 8, 2008 S & M LLC: Creditors' Meeting Slated for Jan. 9, 2008 B E L G I U M POPE & TALBOT: U.S. Trustee Sets Creditors' Meeting for Jan. 8 POPE & TALBOT: Court Gives Until Jan. 4 to File Schedules POPE & TALBOT: Courts Approve Cross-Border Insolvency Protocol TENNECO INC: Completes Realignment of Some Foreign Subsidiaries C Z E C H R E P U B L I C ANDREW CORP: CommScope Finalizes Acquisition Details D E N M A R K BLOCKBUSTER INC: Fitch Affirms CCC Issuer Default Rating F R A N C E CINRAM INT'L: Weak Operation Prompts Moody's to Hold B1 Ratings HARMAN INT'L: Promotes Blake Augsburger as Country Manager LE MONDE: Executive Board Resigns Over Finances Dispute QUEBECOR MEDIA: Earns CDN$84.8 Million in Third Quarter G E R M A N Y 089 TEAM: Claims Registration Period Ends Jan. 23, 2008 CHIQUITA BRANDS: Discloses Rule 10b5-1 Stock Trading Plan I N T E R S A F E GMBH: Claims Registration Ends Jan. 23, 2008 MULTI-SPED GMBH: Claims Registration Period Ends Jan. 20, 2008 ON SEMICONDUCTOR: Moody's Affirms Ba3 Credit Facility Rating PIN GROUP: Seven Companies File for Insolvency at Cologne Court RED HAT: Earns US$20.3 Million in Third Quarter Ended Nov. 30 SANYO ELECTRIC: Amends Non-Consolidated Results from FY2000-2005 SANYO ELECTRIC: Admits Paying JPY28-Bil. Dividends Illegally SANYO ELECTRIC: May Face Fines Over Accounting Errors THIELEN ALUMINIUM: Claims Registration Period Ends Jan. 15, 2008 VALASSIS COMMS: Wallace Snyder Joins Board of Directors I R E L A N D BANTRY BAY: Moody's May Cut Low-B Ratings After Review EDELWEISS CAPITAL: Moody's Cuts Rating to Ba2 on Class D Notes CEDO I PLC: Moody's Cuts Rating to Ba3 on Tranche F Notes CEDO PLC-4: Moody's Cuts Rating to Low-B on Two-Note Classes CEDO PLC-II: Moody's Cuts Rating to Ba1 on Tranche J Notes CEDO PLC-III: Moody's Cuts Rating to Ba3 on Tranche K Notes COMMSCOPE INC: Finalizes Acquisition Details for Andrew Corp. * Experian Sees Increase in Irish Liquidations in Final Quarter I T A L Y ALITALIA SPA: Group Posts EUR1.19 Billion Net Debt for November ALITALIA SPA: Sells Heathrow Slots for EUR92 Million ALITALIA SPA: November 2007 Passenger Traffic Up by 0.7% DANA CORP: Bankruptcy Court Confirms Plan of Reorganization MICRON TECH: Posts US$262-Mil. Net Loss in Quarter Ended Nov. 29 K A Z A K H S T A N BAIKALLES LLP: Proof of Claim Deadline Slated for Jan. 26, 2008 EXPRESS WELDING: Creditors Must File Claims by Jan. 23, 2008 GORBYTCOMBINATE LLP: Claims Filing Period Ends Jan. 26, 2008 INJERNIJ PROJECT: Creditors' Claims Due on Jan. 23, 2008 KAR PROGRESS-2006: Claims Registration Ends Jan. 26, 2008 KARAGANDA STROY: Proof of Claim Deadline Slated for Jan. 26 KAZ TRANS: Creditors Must File Claims by Jan. 23, 2008 KAZKOMMERTSBANK JSC: Repays First Tranche of US$1 Billion Loan REM GAS: Claims Filing Period Ends Jan. 26, 2008 SK STROY: Creditors' Claims Due on Jan. 26, 2008 TAMYZ-K LLP: Claims Registration Ends Jan. 26, 2008 K Y R G Y Z S T A N SHERIKTESHTIK-FINANSY LLC: Creditors Must File Claims by Jan. 23 N E T H E R L A N D S X5 RETAIL: Completes Korzinka and Strana Gerkulesia Takeovers N O R W A Y BRIGHTPOINT INC: Units Ink Distribution Agreement with Neo P O R T U G A L COMPANHIA SIDERURGICA: S&P Revises Outlook to Positive R U S S I A ASHINSKIJ LIGHTING: Asset Sale Slated for Jan. 10, 2008 CRYSTAL GLASS PLANT OJSC: Asset Sale Slated for Jan. 10, 2008 GAZPROM NEFT: Receives State Clearance to Bid for Tomskneft MANILOVSK CJSC: Creditors Must File Claims by Jan. 8, 2008 MORTGAGE CORP: Strong Operating Performance Cues S&P's B- Rating MOSTRANSAVTO: Weak Liquidity Position Cues S&P to Junk Ratings ROSBANK OJSC: S&P Lifts Long-Term Credit Rating to BB+ ROSNEFT OIL: 2007 Crude Oil Output Surpasses 100 Million Tons ROSNEFT OIL: FAS Clears Gazprom Neft to Bid for Tomskneft SIBIRIT-1 CJSC: Creditors Must File Claims by Jan. 8, 2008 STERLITAMAKENERGOSTROY: Claims Filing Period Ends Feb. 8, 2008 TYUMENSKIJ MACHINE: Asset Sale Slated for Jan. 17, 2008 VOLGOGRAD OBLAST: S&P Lifts Rating to BB- on Good Performance VOLGOGRAD TOOLS: Asset Sale Slated for Jan. 8, 2008 X5 RETAIL: Completes Korzinka and Strana Gerkulesia Takeovers YUKOS OIL: Unit Wants Receiver to Comply with Dutch Court Ruling S P A I N GENERAL CABLE: Executives Cede Employment Contracts S W I T Z E R L A N D AAREGG JSC: Creditors' Liquidation Claims Due by December 31 BETE CONSULTING: Creditors' Liquidation Claims Due by Dec. 31 CONNECCCT LLC: Creditors' Liquidation Claims Due by December 31 COWI-FOODART JSC: St. Gallen Court Closes Bankruptcy Proceedings DUOPLAN LLC: Creditors' Liquidation Claims Due by Feb. 11, 2008 EDELWEISS FINANCE: Creditors' Liquidation Claims Due by Dec. 31 EITENBERG IMMOBILIEN: Creditors Must File Claims by December 31 FRITZ STREBEL: Creditors' Liquidation Claims Due by December 31 GERBER HOLZBAU: Creditors' Liquidation Claims Due by December 31 GONERI BETON: Creditors' Liquidation Claims Due by December 31 KEN-CASA HOLDING: St. Gallen Court Closes Bankruptcy Proceedings PARFUMS ELLE: Glarus Court Closes Bankruptcy Proceedings ROTOLABEL JSC: Creditors' Liquidation Claims Due by December 31 SATI JSC: Creditors' Liquidation Claims Due by December 31 SCHNEIDER: Creditors' Liquidation Claims Due by December 31 SWISS FLEXPACKAGING: Creditors Must File Claims by December 31 VOCE GROUP: Creditors' Liquidation Claims Due by December 31 W4B.CH WEBSERVICE: Creditors' Liquidation Claims Due by Dec. 30 U K R A I N E ALMAR LLC: Proofs of Claim Filing Ends Jan. 2, 2008 DVORECHYEAL ENTERPRISE: Proofs of Claim Filing Ends Jan. 2, 2008 KHARKOVAL RADIOTELEVISION: Creditors Must File Claims by Dec. 31 KORZHI OJSC: Creditors Must File Claims by January 2, 2008 KRAFT LLC: Creditors Must File Claims by Dec. 31 MOVABLE MECHANIZED 560: Creditors Must File Claims by Dec. 31 REAL METAL: Proofs of Claim Filing Ends December 31 TANAIS-PLUS LLC: Proofs of Claim Filing Ends December 31 TRADEIMPEKS LTD: Creditors Must File Claims by Dec. 31 U N I T E D K I N G D O M BALLY TECHNOLOGIES: Fitch Lifts Issuer Default Rating to B BLUE LAGOON: Brings In Liquidators from Mazars CC BIKES: Joint Liquidators Take Over Operations CHRYSLER LLC: CEO Confides Confidence in Operations and Finances FORD MOTOR: Resumes Pay Hikes for White-Collared Workers in 2008 GENERAL MOTORS: Resumes Pay Hikes for Salaried Employees in 2008 GENERAL MOTORS: Sells 1 Million Vehicles in China in One Year INTERMEC TECH: Hires David Yung as Asia Pacific Vice President MAMA PRODUCTIONS: Taps Liquidators from Vantis RMAC SECURITIES: Moody's Cuts Ratings to Ba2 on Three Notes TATA MOTORS: Launches New Medium & Heavy Commercial Vehicles TATA MOTORS: To Participate in 9th Auto Expo Beginning Jan. 9 VONAGE HOLDINGS: Settles AT&T Patent Feud; Agrees to Pay US$39MM WATCHBELL LTD: Calls In Liquidators from KPMG WOTADOO LTD: Appoints M. C. Bowker as Liquidator ********* ============= A U S T R I A ============= ELTNER MUSIKINSTRUMENTE: Leoben Court Orders Business Shutdown -------------------------------------------------------------- The Land Court of Leoben entered Nov. 13 an order shutting down the business of LLC ELTNER Musikinstrumente Grosshandel (FN 79615g). Court-appointed estate administrator Karl Maier 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. Karl Maier Hauptplatz 13/I 8720 Knittelfeld Austria Tel: 03512/83428 Fax: 03512-83428-50 E-mail: office@ra-maier.at Headquartered in Judenburg, Austria, the Debtor declared bankruptcy on Nov. 5 (Bankr. Case No 17 S 93/07f). FIDAN FOOD: Creditors' Meeting Slated for Jan. 9, 2008 ------------------------------------------------------ Creditors owed money by LLC Fidan Food (FN 264504b) are encouraged to attend the creditors' meeting at 9:15 a.m. on Jan. 9, 2008. The creditors' meeting will be held at: The Trade Court of Vienna Room 1606 Vienna Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on Nov. 9 (4 S 132/07z). Daniel Lampersberger serves as the court-appointed estate administrator of the bankrupt's estate. The estate administrator can be reached at: Mag. Daniel Lampersberger c/o Dr. Thomas Engelhart Esteplatz 4 1030 Vienna Austria Tel: 712 33 30-0 Fax: 712 33 30-30 E-mail: kanzlei@engelhart.at HODEX HANDEL: Creditors' Meeting Slated for Jan. 9, 2008 -------------------------------------------------------- Creditors owed money by LLC HODEX Handel (FN 286018s) are encouraged to attend the creditors' meeting at 9:30 a.m. on Jan. 9, 2008. The creditors' meeting will be held at: The Trade Court of Vienna Room 1606 Vienna Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on Nov. 9, 2007 (4 S 133/07x). Klemens Dallinger serves as the court-appointed estate administrator of the bankrupt's estate. Guenther Hoedl represents Dr. Dallinger in the bankruptcy proceedings. The estate administrator can be reached at: Dr. Klemens Dallinger c/o Dr. Guenther Hoedl Schulerstrasse 18 1010 Vienna Austria Tel: 513 28 33 Fax: 513 28 33 22 E-mail: dallinger@anwaltsteam.at OEB BAU: Vienna Court Orders Business Shutdown ---------------------------------------------- The Trade Court of Vienna entered Nov. 12 an order shutting down the business of LLC OEB Bau (fka LLC Gueven Bau and LLC Guenther Pelzeder) (FN 284893k). Court-appointed estate administrator Thomas Engelhart 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. Thomas Engelhart c/o Mag. Clemens Richter Esteplatz 4 1030 Vienna Austria Tel: 712 33 30 Fax: 712 33 30 30 E-mail: kanzlei@engelhart.at Headquartered in Vienna, Austria, the Debtor declared bankruptcy on Oct. 31 (Bankr. Case No 6 S 139/07v). Clemens Richter represents Dr. Engelhart in the bankruptcy proceedings. POINT BAU: Creditors' Meeting Slated for Jan. 8, 2008 ----------------------------------------------------- Creditors owed money by LLC Point Bau (FN 276247x) are encouraged to attend the creditors' meeting at 1:45 p.m. on Jan. 8, 2008. The creditors' meeting will be held at: The Trade Court of Vienna Room 1701 Vienna Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on Nov. 12 (6 S 143/07g). Gerhard Schilcher serves as the court-appointed estate administrator of the bankrupt's estate. Rainer Radlinger represents Dr. Schilcher in the bankruptcy proceedings. The estate administrator can be reached at: Dr. Gerhard Schilcher c/o Mag. Rainer Radlinger Backerstrasse 1/3/13 1010 Vienna Austria Tel: 513 23 44 Fax: 513 23 44 15 E-mail: wien@kosch-partner.at S & M LLC: Creditors' Meeting Slated for Jan. 9, 2008 ----------------------------------------------------- Creditors owed money by LLC S & M (FN 286382a) are encouraged to attend the creditors' meeting at 10:30 a.m. on Jan. 9, 2008. The creditors' meeting will be held at: The Land Court of Leoben Hall 4 First Floor Leoben Austria Headquartered in Judenburg, Austria, the Debtor declared bankruptcy on Nov. 12 (17 S 95/07z). Scherbaum Norbert serves as the court-appointed estate administrator of the bankrupt's estate. The estate administrator can be reached at: Dr. Scherbaum Norbert Einspinnergasse 3 8010 Graz Austria ============= B E L G I U M ============= POPE & TALBOT: U.S. Trustee Sets Creditors' Meeting for Jan. 8 -------------------------------------------------------------- Kelly Beaudin Stapleton, the United States Trustee for Region 3, will convene a meeting of creditors of Pope & Talbot Inc. and its debtor affiliates at 11:00 a.m., on Jan. 8, 2008, at Room 5209, 5th Floor, J. Caleb Boggs Federal Building, in Wilmington, Delaware. This is the first meeting of creditors required under Section 341(a) of the Bankruptcy Code in the Debtors' bankruptcy cases. Attendance by the Debtors' creditors at the meeting is welcome, but not required. The Sec. 341(a) meeting offers the creditors a one-time opportunity to examine the Debtors' representative under oath about the Debtors' financial affairs and operations that would be of interest to the general body of creditors. About Pope & Talbot Headquartered in Portland, Oregon, Pope & Talbot Inc. (Other OTC: PTBT.PK) -- http://www.poptal.com/-- is a pulp and wood products business. Pope & Talbot was founded in 1849 and produces market pulp and softwood lumber at mills in the US and Canada. Markets for the company's products include the US, Europe, Canada, South America and the Pacific Rim. The company and its U.S. and Canadian subsidiaries applied for protection under the Companies' Creditors Arrangement Act of Canada on Oct. 28, 2007. The Debtors' CCAA Stay expires on Jan. 16, 2008. The company and fourteen of its debtor-affiliates filed for Chapter 11 protection on Nov. 19, 2007 (Bankr. D. Del. Lead Case No. 07-11738). Laura Davis Jones, Esq. at Pachulski, Stang, Ziehl & Jones L.L.P. is Debtors' proposed bankruptcy counsel. When the Debtors filed for bankruptcy, they listed total assets of US$681,960,000 and total debts of US$601,090,000. The Debtors' exclusive period to file a plan expires on March 18, 2008. Pope & Talbot Pulp Sales Europe, LLC, a subsidiary, on Nov. 21, 2007, filed an application for relief under Belgian bankruptcy laws in the commercial court in Brussels. If the Belgian court grants Pope & Talbot Europe's application, it is expected it will be liquidated through the bankruptcy proceeding. (Pope & Talbot Bankruptcy News, Issue No. 10; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000). POPE & TALBOT: Court Gives Until Jan. 4 to File Schedules --------------------------------------------------------- The United States Bankruptcy Court for the District of Delaware has approved Pope & Talbot Inc. and its debtor-affiliates' request to extend the deadline by which they must file their Schedules and Statements. The Hon. Christopher S. Sontchi directed Pope & Talbot Inc., Pope & Talbot Ltd., Pope & Talbot Spearfish Limited Partnership, and Pope & Talbot Lumber Sales Inc. to file their Schedules and Statements on or before Jan. 4, 2008. The Court grants the remaining Debtors an extension of 30 days within which to file their Schedules and Statements -- a total of 60 days after the bankruptcy filing date -- through and including Jan. 18, 2008. According to Judge Sontchi, the Debtors may seek further extensions of the filing deadlines. As reported in the Troubled Company Reporter on Dec. 3, 2007, Pope & Talbot Inc. and its debtor-affiliates asked the Bankruptcy Court for authority to extend the deadline by which they must file their Schedules and Statements through and including Jan. 18, 2008. About Pope & Talbot Headquartered in Portland, Oregon, Pope & Talbot Inc. (Other OTC: PTBT.PK) -- http://www.poptal.com/-- is a pulp and wood products business. Pope & Talbot was founded in 1849 and produces market pulp and softwood lumber at mills in the US and Canada. Markets for the company's products include the US, Europe, Canada, South America and the Pacific Rim. The company and its U.S. and Canadian subsidiaries applied for protection under the Companies' Creditors Arrangement Act of Canada on Oct. 28, 2007. The Debtors' CCAA Stay expires on Jan. 16, 2008. The company and fourteen of its debtor-affiliates filed for Chapter 11 protection on Nov. 19, 2007 (Bankr. D. Del. Lead Case No. 07-11738). Laura Davis Jones, Esq. at Pachulski, Stang, Ziehl & Jones L.L.P. is Debtors' proposed bankruptcy counsel. When the Debtors filed for bankruptcy, they listed total assets of US$681,960,000 and total debts of US$601,090,000. The Debtors' exclusive period to file a plan expires on March 18, 2008. Pope & Talbot Pulp Sales Europe, LLC, a subsidiary, on Nov. 21, 2007, filed an application for relief under Belgian bankruptcy laws in the commercial court in Brussels. If the Belgian court grants Pope & Talbot Europe's application, it is expected it will be liquidated through the bankruptcy proceeding. (Pope & Talbot Bankruptcy News, Issue No. 10; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000). POPE & TALBOT: Courts Approve Cross-Border Insolvency Protocol -------------------------------------------------------------- The United States Bankruptcy Court for the District of Delaware and the British Columbia Supreme Court approved in all respects Pope & Talbot Inc.'s and its debtor-affiliates' proposed cross- border insolvency protocol, to govern the administration of the Debtors' dual proceedings between the Bankruptcy Court and the Canadian Court. Monitor's Comments PricewaterhouseCoopers Inc., the monitor of the proceedings commenced by Pope & Talbot Ltd. and its subsidiaries under the Companies' Creditors Arrangement Act, notes that the Cross- Border Insolvency Protocol has been amended to provide for a joint approval of the sale of the Debtors' mill assets located in Canada. The Monitor agrees that the Protocol is appropriate for sales that involve assets in both the United States and Canada. However, the Monitor is concerned that requiring joint approval of the Courts for the mill assets located solely in British Columbia may increase expense and lead to delays and ultimately the possibility of duplicative decisions. The Monitor has been advised that the Official Committee of Unsecured Creditors has representation before the Canadian Court, and any concerns of the Creditors Committee could be aired before the Canadian Court, which, the Monitor believes, has considerable experience in dealing with "sales of these sorts of assets". As reported in the Troubled Company Reporter on Dec. 5, 2007, the protocol will become effective only upon approval of both the Bankruptcy Court and the Canadian Court. About Pope & Talbot Headquartered in Portland, Oregon, Pope & Talbot Inc. (Other OTC: PTBT.PK) -- http://www.poptal.com/-- is a pulp and wood products business. Pope & Talbot was founded in 1849 and produces market pulp and softwood lumber at mills in the US and Canada. Markets for the company's products include the US, Europe, Canada, South America and the Pacific Rim. The company and its U.S. and Canadian subsidiaries applied for protection under the Companies' Creditors Arrangement Act of Canada on Oct. 28, 2007. The Debtors' CCAA Stay expires on Jan. 16, 2008. The company and fourteen of its debtor-affiliates filed for Chapter 11 protection on Nov. 19, 2007 (Bankr. D. Del. Lead Case No. 07-11738). Laura Davis Jones, Esq. at Pachulski, Stang, Ziehl & Jones L.L.P. is Debtors' proposed bankruptcy counsel. When the Debtors filed for bankruptcy, they listed total assets of US$681,960,000 and total debts of US$601,090,000. The Debtors' exclusive period to file a plan expires on March 18, 2008. Pope & Talbot Pulp Sales Europe, LLC, a subsidiary, on Nov. 21, 2007, filed an application for relief under Belgian bankruptcy laws in the commercial court in Brussels. If the Belgian court grants Pope & Talbot Europe's application, it is expected it will be liquidated through the bankruptcy proceeding. (Pope & Talbot Bankruptcy News, Issue No. 10; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000). TENNECO INC: Completes Realignment of Some Foreign Subsidiaries --------------------------------------------------------------- Tenneco Inc. has completed the realignment of some of the company's foreign subsidiaries, a move designed to align the company's U.S. and European assets and revenues with liabilities and expenses in the appropriate local currencies. The company has formed a Luxembourg holding corporation, which has become the owner of certain key European entities. The realignment will also provide opportunities to reduce the company's cash taxes by about US$4 million annually and allow Tenneco to accelerate the use of its U.S. net operating losses. The realignment of the European ownership structure is another step in Tenneco's financial strategy toward earning an investment grade debt rating. On Nov. 30, 2007, the company completed the refinancing of a portion of its 10-1/4% senior secured notes, due in 2013, with 8-1/8% senior unsecured notes due in 2015. This refinancing reduces interest expense by approximately US$3 million annually. The subsequent European ownership structure realignment will allow Tenneco to shift a portion of its debt to Europe, which will better match the company's liabilities and expenses with its European assets and revenue. The company's European operations have improved since the original debt structure was established when the company became independent in 1999. The European revenue growth and improved profitability give the company flexibility to align its debt with its operations. "We are very pleased to complete these transactions, which represent strategic steps in our transition from a highly leveraged company to achieving an investment grade rating," Gregg Sherrill, Tenneco chairman and CEO, said. "This European structure change allows us to more appropriately apportion our debt." "Completing the refinancing in such a tough financing environment reflects investor confidence in Tenneco's financial position and long-term growth potential," Mr. Sherrill added. "Tenneco is well-positioned to generate significant growth in our emissions control business over the next five years, and beyond, as vehicle emissions standards tighten worldwide." Tenneco expects to record non-cash income tax charges of US$66 million in fourth quarter 2007 related to the realignment, which will generate U.S. taxable income and utilize a portion of the U.S. net operating losses. About Tenneco Inc. Based in Lake Forest, Illinois, Tenneco Inc., (NYSE: TEN) -- http://www.tenneco.com/-- manufactures automotive ride and emissions control products and systems for both the original equipment market and aftermarket. Brands include Monroe(R), Rancho(R), and Fric Rot ride control products and Walker(R) and Gillet emission control products. The company has operations in Argentina, Japan, and Germany, with its European operations headquartered in Brussels, Belgium. The company has approximately 19,000 employees worldwide. * * * As reported in the Troubled Company Reporter on Sept. 26, 2007, Fitch Ratings has placed Tenneco Inc.'s Issuer Default Ratings and securities ratings on Rating Watch Negative. Fitch confirmed these ratings: (i) IDR 'BB-'; (ii) Senior secured bank facility 'BB+'; (iii) Senior secured notes 'BB'; and (iv) Subordinated 'B'. =========================== C Z E C H R E P U B L I C =========================== ANDREW CORP: CommScope Finalizes Acquisition Details ---------------------------------------------------- CommScope Inc. has finalized the agreement for the acquisition of Andrew Corporation. The consideration to be paid for each outstanding share of Andrew common stock in the merger has been determined to be US$13.50 in cash and US$1.50 in CommScope common stock. Andrew stockholders will receive, for each Andrew share, US$13.50 in cash and 0.031543 shares of CommScope common stock. This fractional share of CommScope common stock was calculated according to the terms of the merger agreement by dividing US$1.50 by US$47.554, which was the volume weighted average of the closing sale prices for a share of CommScope common stock over the ten consecutive trading days ended on Dec. 24, 2007. The merger is expected to close today. About CommScope Based in Hickory, North Carolina, CommScope Inc. (NYSE: CTV) -- http://www.commscope.com/-- is a world leader in infrastructure solutions for communication networks. Through its SYSTIMAX(R) Solutions(TM) and Uniprise(R) Solutions brands, CommScope is the global leader in structured cabling systems for business enterprise applications. It is also the world's largest manufacturer of coaxial cable for Hybrid Fiber Coaxial applications. CommScope has facilities in Brazil, Australia, China and Ireland. About Andrew Corp. Headquartered in Westchester, Illinois, Andrew Corporation (NASDAQ: ANDW) -- http://www.andrew.com/-- designs, manufactures and delivers and essential equipment and solutions for the global communications infrastructure market. The company serves operators and original equipment manufacturers from facilities in 35 countries including China, India, Italy, Czech Republic, Argentina, Bahamas, Belize, Barbados, Bermuda and Brazil. * * * As reported in the Troubled Company Reporter-Latin America Oct. 23, 2007, Standard & Poor's Ratings Services affirmed its ratings on Andrew Corp. and removed them from CreditWatch, where they were placed on June 27, 2007, with negative implications. S&P also affirmed the 'BB-' corporate credit and 'B' subordinated debt ratings for the company. ============= D E N M A R K ============= BLOCKBUSTER INC: Fitch Affirms CCC Issuer Default Rating -------------------------------------------------------- Fitch Ratings has affirmed Blockbuster Inc.'s long-term Issuer Default Rating at 'CCC' and the senior subordinated notes at 'CC/RR6'. In addition, Fitch upgrades these ratings: -- US$450 million bank credit facility to 'CCC+/RR3' from 'CCC/RR4'; -- US$100 million term loan A to 'CCC+/RR3' from 'CCC/RR4'; -- US$550 million term loan B to 'CCC+/RR3' from 'CCC/RR4'. The Rating Outlook is Stable. The company had approximately US$991 million of debt outstanding as of Sept. 30, 2007. The affirmation of the IDR reflects the company's leading market position, strong brand recognition and increased financial flexibility following amendments made to the bank covenants in July 2007. In addition, the affirmation considers the weak financial performance, which has pressured credit metrics as well as the highly competitive operating environment. Nonetheless, BBI should have adequate liquidity available to meet its near-term capital and debt service requirements. The upgrades of the bank credit facility, term loan A and term loan B reflect a revised recovery analysis. Blockbuster is the leading player in the home video rental industry with US$5.4 billion in revenues in the last twelve months ended Sept. 30, 2007. The company's strong brand recognition and broad geographical coverage have resulted in BBI capturing approximately 40% market share in the rental market. In addition, Blockbuster amended its bank covenants in July 2007, which postpones its obligations to satisfy leverage and interest coverage ratios until January 2009. This provides the company with greater financial flexibility as management begins to implement its recent announced turnaround plan of focusing on profitable growth through a three-prong strategy of 1) restoring the rental business, 2) transitioning from rental focus to retail focus and 3) transforming from DVD focus to digital. Nevertheless, Blockbuster's operating performance continues to be weak driven by store closures and investments in the online business. As a result, operating LTM EBITDA margin decreased 260bps to 3.1%. Therefore, the company recently implemented cost-containment efforts related to corporate overhead, decreased store-level compensation and reduced advertising expenses. Furthermore, Blockbuster modified prices on its Total Access, Unlimited Total Access and mail-order-only plans to help improve operating margins. Given the weak operating results, credit metrics have deteriorated with LTM adjusted debt/EBITDAR and EBITDAR coverage of interest and rents at 7.6x and 1.1x, respectively. However, BBI has adequate near-term liquidity, mainly from its cash balance of US$129 million and availability of US$174 million under its credit facility as of Sept. 30, 2007, to meet its capital and debt service requirements. Of ongoing concern is the intense competition in the industry. In its store-based business, BBI competes with other video- rental chains, discounters and specialty retailers. In its online business, the company competes with other online video rental providers as well as competing technologies such as video-on-demand, pay-per-view and digital video records. The Recovery Ratings and notching in the debt structure reflect Fitch's recovery expectations in a distressed scenario. The bank credit facility, term loan A and term loan B are secured by land, buildings, improvements, equipment, furniture, permits, licenses, subleases, and real estate tax refunds owned by BBI as well as collateralized by pledges of stock of all of the company's domestic subsidiaries and 65% of the stock of certain international subsidiaries. They have been upgraded to 'CCC+/RR3' from 'CCC/RR4', reflecting expected recovery of 51%- 70% following the US$145 million reduction to outstanding borrowings and a US$50 million decrease in the bank credit facility commitment. The senior subordinated notes are rated 'CC/RR6', reflecting poor recovery prospects (0%-10%) in a distressed case. Fitch's Recovery Ratings are a relative indicator of creditor recovery prospects on a given obligation within an issuers' capital structure in the event of a default. Headquartered in Dallas, Texas, Blockbuster Inc. (NYSE: BBI, BBI.B) -- http://www.Blockbuster.com/-- provides in-home movie and game entertainment, with more than 9,000 stores throughout the Americas, Europe, Asia and Australia. The company maintains operations in Brazil, Mexico, Denmark, Italy, Taiwan, Australia, among others. =========== F R A N C E =========== CINRAM INT'L: Weak Operation Prompts Moody's to Hold B1 Ratings --------------------------------------------------------------- Moody's affirmed the B1 Corporate Family rating and B1 Senior Secured debt rating of Cinram International Inc. The rating action follows the company's recent weaker than expected operating results, which has caused Moody's to significantly reduce expectations for Cinram's future profitability. The rating has nonetheless been affirmed as Moody's believes Cinram's decision to eliminate all distribution payments to unit holders should enable the company to generate meaningful levels of free cash flow and maintain key credit metrics appropriate for its current rating. The long term ratings reflect a B2 probability of default and loss given default assessment of LGD 3, 30% for the senior secured credit facility. The outlook remains stable. Ratings affirmed: -- Corporate family rating at B1; -- Probability of default rating at B2; -- Senior Secured Bank Credit Facility at B1 (LGD3, 30%); The B1 corporate family rating primarily reflects Cinram's significant business risks as an independent manufacturer and distributor of DVD's to a few major movie studios, with which Moody's believes its negotiating scope to be limited. The rating considers that Cinram has considerable exposure to pricing pressures and declines in DVD/CD unit volumes with only a finite ability to reduce costs. The combination of these factors has recently led to a significant deterioration in operating performance. Moody's believes a continuation of this trend is likely through the next year as recent price reductions are fully absorbed and growth in high definition DVD's remains modest. The rating however also recognizes that the company's market position is strong, its relationships with the major movie studios are established and contractual, and management is taking important measures to diversify its risk exposure into new areas such as logistics. Furthermore, the rating considers Moody's expectation that the company will be able to generate significant free cash flow following the elimination of its distributions to unit holders. This is likely to provide Cinram with the ability to reduce its leverage beginning in the latter part of 2008 even as modest operating income pressures persist. Finally, the rating reflects the company's lack of a defined target capital structure and corresponding uncertainty to what extent Cinram may apply its meaningful levels of free cash flow towards permanent debt reduction. The outlook continues to be stable, as Moody's believes margin pressures may remain ongoing through the next year, offset by the company's ability to generate significant amounts of free cash flow. Cinram International Inc. (TSX: CRW.UN) - http://www.cinram.com/ -- an indirect wholly owned subsidiary Cinram International Income Fund, provides pre-recorded multimedia products and related logistics services. With facilities in North America and Europe, Cinram International Inc. manufactures and distributes pre-recorded DVDs, VHS video cassettes, audio CDs, audio cassettes and CD-ROMs for motion picture studios, music labels, publishers and computer software companies around the world including Canada, France, Germany, Mexico, the United Kingdom, and the United States. HARMAN INT'L: Promotes Blake Augsburger as Country Manager ---------------------------------------------------------- Harman International Industries Incorporated has promoted Blake Augsburger, President & Chief Executive Officer of the Harman Pro Group, to Country Manager of Harman USA, expanding his responsibilities on Jan. 1, 2008. In his new assignment, Mr. Augsburger will report directly to Harman International Chief Executive Officer Dinesh Paliwal. As Country Manager of Harman USA, Augsburger will be responsible for the management of support functions that cross divisional and business lines. He will serve as the country champion for functional best practices and will directly participate in such business activities as project risk review, large supply contracts or investment proposals, significant operational changes or restructurings, organizational and legal issues, and key human resource decisions. Furthermore, he will serve as the chief spokesperson for Harman in the United States to build brand equity. He will also serve as liaison to the chief executive officer for implementation of group directives. "I look forward to my new responsibilities," Mr. Augsburger said today. "This new position represents the first step in the evolution of Harman's organizational structure which will include the appointment of a Country Manager in a few strategic countries. We believe this approach will help to leverage synergies across multiple Harman businesses while improving consistency among business processes in the company's major markets." Mr. Augsburger first joined Harman International Industries, Incorporated in July 2001, when he was appointed President of Crown International, a Harman company based in Elkhart, Indiana. He served as President of Crown until June 2006 when he was promoted to the position of President & Chief Executive Officer of the Harman Pro Group. Prior to joining Crown, Mr. Augsburger was Vice President and General Manager for two high voltage test and measurement equipment manufacturers owned and operated by Hubbell Incorporated: Hipotronics of Brewster, New York and Haefely Test AG of Basel, Switzerland. His seven-year tenure with Hubbell also included Vice President positions in engineering, operations, and worldwide sales and marketing. Blake Augsburger was awarded Bachelor and Master of Science degrees in Electrical Engineering from Texas Tech University in Lubbock, Texas. Headquartered in Washington, D.C., Harman International Industries Inc. (NYSE: HAR) -- http://www.harman.com/-- makes audio systems through auto manufacturers, including DaimlerChrysler, Toyota/Lexus, and General Motors. Also the company makes audio equipment, like studio monitors, amplifiers, microphones, and mixing consoles for recording studios, cinemas, touring performers, and others. Harman Int'l has operations in Japan, Mexico and France. * * * As reported in the Troubled Company Reporter-Latin America on Oct. 26, 2007, Standard & Poor's Ratings Services revised its CreditWatch implications for the 'BB-' corporate credit rating on Harman International Industries Inc. to positive from developing. LE MONDE: Executive Board Resigns Over Finances Dispute ------------------------------------------------------- The executive board of French daily newspaper Le Monde, comprised of chairman Pierre Jeantet, vice-chairman Bruno Patio and executive director, resigned after a dispute with the largest shareholder, Society of Monde Readers, related to the accounts for 2007 and the budget for 2008 for digital branch Le Monde Interactif, Bloomberg News reports, citing Le Figaro. "Stating its inability to have the power to exercise its responsibilities in the face of the public position taken and reiterated by the Society of Monde Readers, the board has forwarded its resignation," a statement said. The resignation will take effect at midnight on Jan. 4, 2007. Jean-Michel Dumay, the society's president, revealed in an e- mail message that Le Monde is facing debts of EUR150 million (US$215 million), Bloomberg relates, citing Liberation. Le Monde, which employs 1,600 people, may also implement additional job cuts in 2008. In 2005, the newspaper eliminated 200 jobs. The Guardian says the downturn in advertising contributed to Le Monde's financial woes. The newspaper is expected to draw up a cost-cutting plan aimed at saving at least EUR10 million (GBP7.2 million) over the next year. QUEBECOR MEDIA: Earns CDN$84.8 Million in Third Quarter ------------------------------------------------------- Quebecor Media generated net income of CDN$84.8 million in the third quarter of 2007, compared with CDN$46.6 million in the same quarter of 2006. The CDN$38.2 million increase was mainly due to the CDN$58.4 million increase in operating income. Quebecor Media Inc. reported third quarter 2007 revenues of CDN$834.6 million, a CDN$116.0 million increase. All of Quebecor Media's business segments posted higher revenues. Quebecor Media's operating income increased by CDN$58.4 million to CDN$253.6 million in the third quarter of 2007, mainly because of higher operating income in the Cable segment, as well as increases in Newspapers and Broadcasting. "Quebecor Media continued growing its revenues, operating income and net income in the third quarter of 2007," said Pierre Karl Peladeau, president and chief executive officer of Quebecor Inc. "The strong performance was spearheaded by the Cable segment, which once again posted substantial increases in the customer base for its cable telephone, Internet access and digital cable television services. The Newspapers and Broadcasting segments also improved their operating results." Year to Date Results Quebecor Media's year to date revenues increased by CDN$246.6 million to CDN$2.40 billion. All of Quebecor Media's business segments without exception reported higher revenues. Operating income rose by CDN$115.4 million to CDN$676.7 million, mainly because of higher operating income in the Cable segment, as well as increases in Broadcasting, Leisure and Entertainment and Newspapers. Excluding the impact of the consolidated stock option expense, the increase in year to date operating income was 24.4%, compared with 8.0% in the same period of 2006. Year to date net income was CDN$214.7 million, compared with a CDN$72.6 million net loss in the same period of 2006. The company attributed the CDN$287.3 million improvement primarily to the favourable impact on the analysis of the 2007 numbers of the recognition in the first nine months of 2006 of a CDN$342.1 million loss on debt refinancing. The CDN$115.4 million increase in operating income was also a factor in the improvement. At Sept. 30, 2007, the company's consolidated balance sheet showed CDN$7.36 billion in total assets, CDN$4.99 billion in total liabilities, and CDN$2.37 billion in total stockholders' equity. About Quebecor Media Headquartered in Montreal, Canada, Quebecor Media Inc., a subsidiary of Mortsel, Belgium-based, Quebecor Inc. -- http://www.quebecor.com/-- owns operating companies in numerous media-related businesses: Videotron Ltd., a cable operator in Quebec and a major Internet Service Provider and provider of telephone and business telecommunications services; Sun Media Corporation, Canada's chain of tabloids and community newspapers; TVA Group Inc., operator of French-language general- interest television network in Quebec, a number of specialty channels, and the English-language general-interest station Sun TV; Canoe Inc., operator of a network of English-and French- language Internet properties in Canada; Nurun Inc., a major interactive technologies and communications agency with offices in Canada, the United States, Europe and Asia; companies engaged in book publishing and magazine publishing; and companies engaged in the production, distribution and retailing of cultural products, namely Archambault Group Inc., a chain of music stores in eastern Canada, TVA Films, and Le SuperClub Videotron ltee, a chain of video and video game rental and retail stores. The company has global facilities in India, France and Argentina. * * * As reported in the Troubled Company Reporter on Oct. 1, 2007, Moody's Investors Service rated Quebecor Media Inc.'s CDN$700 million add-on senior unsecured note issue B2. Ratings on the underlying 7.75% senior unsecured notes due in March of 2016 were affirmed at the same B2 level. At the same time, QMI's Ba3 corporate family rating and stable ratings outlook were affirmed. ============= G E R M A N Y ============= 089 TEAM: Claims Registration Period Ends Jan. 23, 2008 ------------------------------------------------------- Creditors of 089 Team Bau GmbH have until Jan. 23, 2008, to register their claims with court-appointed insolvency manager Rolf G. Pohlmann. Creditors and other interested parties are encouraged to attend the meeting at 9:00 a.m. on Feb. 26, 2008, 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 Hall 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: Rolf G. Pohlmann Rosental 6 80331 Munich Germany Tel: 089/548033-0 Fax: 089/548033-111 The District Court of Munich opened bankruptcy proceedings against 089 Team Bau GmbH on Dec. 3. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: 089 Team Bau GmbH Im Klosterfeld 2A 85716 Unterschleissheim Germany CHIQUITA BRANDS: Discloses Rule 10b5-1 Stock Trading Plan --------------------------------------------------------- Chiquita Brands International Inc. reported that one of its executive officers has adopted a prearranged stock-trading plan in accordance with guidelines specified by Rule 10b5-1 under the Securities Exchange Act of 1934, as amended. Rule 10b5-1 allows plans to be established that permit corporate executives to prearrange sales of company securities at a time when they are not aware of any material non-public information. Such plans typically involve a plan to sell shares over a set period of time. These pre-arrange specified later date, as d planned trades will be executed at a set forth in the plan, without further action or oversight by the executive officer. A plan can provide for sales of stock on a particular date or at a particular price or a combination of both of these factors, along with others. The rules allow corporate executives to diversify their investment portfolios and avoid concerns about initializing stock transactions while possibly in possession of material non-public information. Manuel Rodriguez, senior vice president, government and international affairs, and corporate responsibility officer, has adopted a plan under Rule 10b5-1 which is in accordance with company's stock ownership guidelines and provides for the sale of portions of his holdings over time, as part of his financial planning for the benefit of his family. Shares sold pursuant to the plan will be disclosed publicly through Form 144 filings and Form 4 filings as required by the SEC. Cincinnati, Ohio-based Chiquita Brands International, Inc. (NYSE: CQB) -- http://www.chiquita.com/-- markets and distributes fresh food products including bananas and nutritious blends of green salads. The company markets its products under the Chiquita(R) and Fresh Express(R) premium brands and other related trademarks. Chiquita employs approximately 25,000 people operating in more than 70 countries worldwide, including Belgium, Columbia, Germany, Panama, Philippines, among others. * * * In May 2007, Moody's Investors Service Ratings affirmed these ratings on Chiquita Brands International Inc.: corporate family rating at B3; probability of default rating at B3; US$250 million 7.5% senior unsecured notes due 2014 at Caa2(LGD5, 89%); and US$225 million 8.875% senior unsecured notes due 2015 at Caa2 (LGD5, 89%). Moody's changed the rating outlook for Chiquita Brands to negative from stable. I N T E R S A F E GMBH: Claims Registration Ends Jan. 23, 2008 -------------------------------------------------------------- Creditors of I N T E R S A F E GmbH Vertriebs und Dienstleistungsgesellschaft fuer Warensicherungen have until Jan. 23, 2008, to register their claims with court-appointed insolvency manager Arnd Sebelefsky. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on Feb. 13, 2008, 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 Hall 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: Arnd Sebelefsky Arcostr. 3 80333 Munich Germany Tel: 089/5490250 Fax: 089/558674 The District Court of Munich opened bankruptcy proceedings against I N T E R S A F E GmbH Vertriebs und Dienstleistungsgesellschaft fuer Warensicherungen on Dec. 1. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: I N T E R S A F E GmbH Vertriebs und Dienstleistungsgesellschaft fuer Warensicherungen Martin-Fest-Ring 1b 85609 Munich-Dornach Germany MULTI-SPED GMBH: Claims Registration Period Ends Jan. 20, 2008 -------------------------------------------------------------- Creditors of Multi-Sped GmbH have until Jan. 20, 2008, to register their claims with court-appointed insolvency manager Frank Hanselmann. Creditors and other interested parties are encouraged to attend the meeting at 9:15 a.m. on Feb. 11, 2008, 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 Wuerzburg Meeting Hall 2 Second Stock Virchowstr. 14 Wuerzburg 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: Frank Hanselmann Berliner Platz 6 97080 Wuerzburg Germany Tel: 0931/359 800 The District Court of Wuerzburg opened bankruptcy proceedings against Multi-Sped GmbH on Dec. 1. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Multi-Sped GmbH Ketteler Str. 3-11 97222 Rimpar Germany ON SEMICONDUCTOR: Moody's Affirms Ba3 Credit Facility Rating ------------------------------------------------------------ Moody's Investors Service has placed the ratings of ON Semiconductor (B1 CFR) on review for possible upgrade and affirmed the Ba3 corporate family and credit facility ratings for AMI Semiconductor, following the companies' Dec. 13, 2007 announcement that they have entered into a definitive agreement for ON Semi to acquire AMI Semi for approximately US$915 million in an all-stock transaction. ON Semi's review for possible upgrade reflects the potential for enhanced scale, an expanded product portfolio (i.e., standard and custom), broader and deeper client relationships, end market diversification and expansion opportunities into untapped market segments, as well as improved margins, higher EBITDA and increased free cash generation provided by the merger. It also reflects the potential for ON Semi to realize manufacturing efficiency improvements and lower unit production costs for AMI Semi's growing standard products portfolio via the transfer of ON Semi's advanced manufacturing capabilities and process technologies. AMI Semi's affirmation reflects the relative stability of its business model due to the sole source status for over 88% of its product base, relatively long product life cycles, high entry barriers and moderate ASP volatility associated with its integrated mixed-signal operations. The review will focus on the combined company's prospects for client retention, asset rationalization, improved capacity utilization (particularly at the Gresham facility) and capex savings on a combined basis, the timing for restructuring actions and cost synergies, as well as its definitive capital structure and refinancing plan. The review will also examine the extent of integration risk associated with the combination given the size of the transaction, which would represent ON Semi's largest acquisition to date. To the extent the transaction closes as planned, AMI Semi's corporate family and probability of default ratings would be withdrawn. Moody's notes that AMI Semi's secured bank credit facility is subject to a change of control covenant, which enables lenders to put the bank loan back to the acquirer upon the transaction's close. As such, the bank debt ratings would also be withdrawn upon repayment. Pro forma for the transaction, leverage is approximately 2.8x combined EBITDA (Moody's adjusted) for the LTM period ended Sept. 30, 2007, which is comparable to Ba3 rated industry peers. Under terms of the agreement, AMI Semi's shareholders will receive 1.15 shares of ON Semi common shares for each share of AMI Semi common stock owned. The stock consideration represents a premium of roughly 38% over AMI Semi's Dec. 12, 2007 closing price. ON Semi expects to issue approximately 104 million shares of common stock on a fully diluted basis to complete the transaction. Upon closing, ON Semi and AMI Semi shareholders will own roughly 74% and 26%, respectively of the combined company. These ratings for ON Semi were placed on review for possible upgrade: -- Corporate Family Rating - B1 -- Probability of Default Rating -- B1 -- US$ 25.0 Million Guaranteed Senior Secured Revolving Credit Facility due 2013 - Ba1 (LGD-1, 4%) -- US$174.1 Million Guaranteed Senior Secured Term Loan maturing through 2013 -- Ba1 (LGD-1, 4%) These ratings for AMI Semi were affirmed: -- Corporate Family Rating -- Ba3 -- Probability of Default Rating -- B1 -- US$ 90.0 Million Senior Secured Revolver due 2010 - Ba3 (LGD-3, 35%) -- US$277.5 Million Senior Secured Term Loan B due 2012 - Ba3 (LGD-3, 35%) AMI Semi's rating outlook is stable. Headquartered in Phoenix, Arizona ON Semiconductor -- http://www.onsemi.com/-- supplies power solutions to engineers, purchasing professionals, distributors and contract manufacturers in the computer, cell phone, portable devices, automotive and industrial markets. The company has operations in Japan, Czech Republic, and Germany. Revenues and EBITDA for the twelve months ended Sept. 30, 2007 were US$1.56 billion and US$402 million, respectively. Headquartered in Pocatello, Idaho, AMI Semiconductor, Inc. is a leading designer and manufacturer of mixed-signal application- specific integrated circuits and structured digital products. Revenues and EBITDA for the twelve months ended Sept. 30, 2007 were US$619 million and US$141 million, respectively. PIN GROUP: Seven Companies File for Insolvency at Cologne Court --------------------------------------------------------------- Seven PIN Group AG companies have filed for insolvency at a Cologne court, saying they lack funds to pay social insurance contributions, AFX News reports, citing Thomson Financial. According to the report, the move came after publishing group Axel Springer AG, which owns a 63.7% stake in PIN, resolved to stop funding the company following the German government's decision to introduce minimum wages of EUR8-EUR9.80 for the postal industry. Springer argued the minimum wage curbs competition and gives market leader Deutsche Post AG a monopoly, Simon Thiel writes for Bloomberg News. PIN says the insolvency affected around 850 of its 9,000 employees, although group operations continue. Andreas Ringstmeier has been appointed preliminary insolvency administrator. Guenter Thiel, chief executive officer of PIN, earlier resumed talks to acquire Springer's stake in the company. Mr. Thiel previously withdrew its offer to buy the stake and quit his post with immediate effect, AFX relates. Mr. Thiel told Bloomberg talks over a buyout failed because of Springer's "unrealistic demands". About PIN Group AG PIN Group AG -- http://www.pin-group.net/-- is the second- largest provider in the German mail services market. The group has more than 60 regional subsidiaries, and in 2006 became a national integrated provider by setting up an efficient nationwide distribution network. PIN currently covers around 96 %of Germany primarily through its own distributional networks complemented by regional co-operations. PIN was founded in September 2005 by Axel Springer AG, WAZ Media Group, Georg von Holtzbrinck Publishing Group and Luxembourg- based Rosalia AG, when the stakeholders bundled their respective mail service activities. PIN reported consolidated revenues of EUR168.3 million for the 2006 financial year. The group generated 68% of its earnings through regional mail service activities with the remaining 32% coming from national mail services. In the first quarter of 2007 the company's revenues rose to EUR71.3 million versus EUR30 million in the first quarter of 2006. The company expects revenues to more than double in the current year. On the basis of market share growth PIN Group aims at achieving revenues of EUR1.5 to EUR2 billion by 2015. RED HAT: Earns US$20.3 Million in Third Quarter Ended Nov. 30 ------------------------------------------------------------- Red Hat Inc. has reported US$20.3 million of net income for the third fiscal quarter ended Nov. 30, 2007, compared with US$18.2 million for the prior quarter and US$14.6 million for the same period in 2006. Red Hat's current fiscal year will end Feb. 29, 2008. The company's Total revenue for the quarter was US$135.4 million, an increase of 28% from the year ago quarter and 6% from the prior quarter. Subscription revenue was US$115.7 million, up 30% year-over-year and 6% sequentially. Non-GAAP adjusted net income for the quarter was US$39.7 million after adjusting for stock compensation and tax expense. This compares to non-GAAP adjusted net income of US$36.9 million in the prior quarter and US$30.1 million, in the year ago period. Non-GAAP operating cash flow has totaled US$76.7 million for the quarter, up 24% from the year ago quarter and 20% sequentially. Total cash, cash equivalents and investments as of Nov. 30, 2007 were US$1.3 billion. At quarter end, Red Hat's total deferred revenue balance was US$422.6 million, an increase of 36% year- over-year and 12% sequentially. "We are very pleased to be recognized by CIO's for the fourth consecutive year as the most valued Enterprise Software Vendor and best overall IT Vendor for the third time in four years," stated Charlie Peters, Executive Vice President and Chief Financial Officer of Red Hat. "There is a direct correlation between our ability to deliver real business value and the loyalty of our large and growing customer base. As a result of strong market demand and solid execution from our worldwide organization, we were able to deliver another strong financial performance in the third quarter and we are optimistic about our outlook." About Red Hat Headquartered in Raleigh, North Carolina Red Hat, Inc. -- http://www.redhat.com/-- is an open source and Linux provider. Red Hat provides operating system software along with middleware, applications and management solutions. Red Hat also offers support, training, and consulting services to its customers worldwide and through top-tier partnerships. The company has offices in Singapore, Germany, and Argentina, among others. * * * As reported in the Troubled Company Reporter-Latin America on Oct. 19, 2007, Standard & Poor's Ratings Services has revised its outlook on Red Hat Inc. to positive from stable and affirmed the ratings, including the 'B+' corporate credit rating. SANYO ELECTRIC: Amends Non-Consolidated Results from FY2000-2005 ---------------------------------------------------------------- Sanyo Electric Co., Ltd., has finished its internal investigation and review of company financial statements for previous fiscal years. Having reached a decision, Sanyo disclosed a written report on its investigation and intention to amend results of marketable securities. Sanyo, regarding the six fiscal terms from fiscal year 2000 (ending March 2001) to FY2005 (ending March 2006), has amended its previous fiscal year non-consolidated financial statements in conformance to practical business guidelines related to accounting standards and financial commodities accounting. The amendments were based on and include: 1. Judging the importance of the selection regarding which subsidiaries and affiliates would be the subject of investigation for impairment losses; and 2. In addition to conducting a comprehensive review, ensuring compliance to accounting standards and practical guidelines in order to decide which subsidiaries and affiliates will be subject for review for impairment losses and which companies have the potential of recoverable performance, particularly in the semiconductor business which has been subject to market fluctuations. Sanyo also received an accounting audit for the periods starting from FY2000 from Grant Thornton Taiyo ASG. The audit also included the recalculation of impairment losses for subsidiaries/affiliates and deferred tax assets for each fiscal year. The amendments apply to the account processing for the six terms for losses in investments in subsidiaries and affiliates, and the total amount amended for the six terms are: Amendment of losses in investments in subsidiaries and affiliates: Before amendment JPY372.6 billion After amendment JPY378.6 billion (Change: -6 billion yen) Amendment of deferred tax assets: Before amendment JPY100.2 billion After amendment JPY100.2 billion (No change) The amendments are restricted to the non-consolidated results for previous fiscal years up to FY2005, which ended on March 31, 2006. The amendments do not significantly affect the consolidated results for the mentioned period. Measures Taken to Prevent Future Problems Sanyo established an internal "Investigation Committee for Previous Financial Results" in May of this year, which included third party members, such as lawyers and accountants from outside the company. Following its establishment, the Committee was entrusted to conduct an investigation to determine the cause of and how to prevent such problems from recurring and Sanyo received the report and proposed preventative measures from the investigation Committee. The primary causes of the problem: 1. Inadequacy and vulnerability in financial division accounting system; 2. Lack of independence for the auditors and insufficient auditing organization; 3. Inadequate governance system and incomplete management supervisory function and inspection; and 4. Corporate culture and the effects of the company system. Additionally, as for Sanyo's handling of impairment losses for subsidiaries and affiliates, while the Committee found the company's accounting to not be in accordance with accounting standards and practical guidelines relating to financial commodities, the Committee reported that these actions were not done with ill-intent by those in authority during the applicable terms, and that there was no intentional foul play involved for the financial results of the applicable terms. Sanyo has realized the seriousness of the situation requiring amendments to the previous fiscal years' financial results, and along with sincerely reflecting the situation, Sanyo will strengthen its internal control through implementing various measures thoroughly to prevent further similar instances, based on the recommendations and report from the third-party Committee. Sanyo will further focus efforts on strengthening the company-system by adding to the drastic reforms for governance that started in March 2006. These efforts include: 1. Have management personnel recognize the important of suitable financial statements, and develop risk-minded financial affairs * Implement training for executive personnel and managers; * Hold regular meetings between management and auditors; and * Share ethics of financial reporting company-wide. 2. Strengthen governance system * Reform deliberation process used by the board of directors for measures (implemented); * Decentralized authority (implemented); * Strengthen internal control systems (implemented). - Establish personnel/nominating committee, compensation committee, and governance committee - Strengthen and establish accounting employee system - Create a 'compliance hotline' 3. Strengthen financial affairs and accounting systems/Remove the barriers of the company-system * Adopt system for accepting management personnel (implemented); * Strengthen management of affiliated companies; * Adopt standards for management of affiliated companies (implemented); * Increase financial affairs personnel from the current number of 12 (as of April 2007) to 24, or approximately double the current amount, increasing both quality and quantity; * Separate managerial accounting and system accounting; * Introduce complete structure for thorough compliance to accounting standards; and * Establish business planning inspection system. 4. Enable close cooperation and sharing of information between auditors, standing corporate auditors and financial affairs headquarters personnel through regularly held meetings Management Responsibility and Punishment The responsibility for the amendments made to the six applicable terms will be shared by management. Sanyo recognizes the importance of educating management to be in compliance with guidelines, and, as such, will not award JPY1.2 billion in bonuses or retirement to both former and current management, and pay to seven persons, including the Executive Director & President, as well as standing corporate auditors. The Executive Director & President of Sanyo Electric Co., Ltd., Seiichiro Sano commented, "SANYO deeply and sincerely regrets having to go back and amend previous fiscal year financial results for the past six terms. Hereafter, in order to never again cause this type of problem, drastic preventative measures such as maintaining internal structures, reinforcing account management and checking functions, will be implemented and thoroughly executed." He added, "The amendments will be limited to the non- consolidated financial results of previous terms, and will not have any significant or noteworthy impact on consolidated results for the same periods. Also, new measures have already been applied to previous and current results regarding standards for losses, and along with receiving approval from the new auditing firm, there will be absolutely no effects on the situation of current financial affairs. Sanyo will hereafter work to regain trust and reputation with its new three-year 'Mid-term Management Plan' set to be put in effect from FY2008 through FY2010, and will guide SANYO to fulfilling its revitalization." 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. * * * In 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. SANYO ELECTRIC: Admits Paying JPY28-Bil. Dividends Illegally ------------------------------------------------------------ Sanyo Electric Co., Ltd., acknowledged that it made illegal dividend payments worth about JPY28 billion in five six-month terms in the past amid a lack of resources, Jiji Press reports. It was learned by Jiji Press that Sanyo paid JPY3 per share for the April-September period of fiscal 2002, 2003, and 2004 and the October-March period of fiscal 2002 and 2003. Jiji Press relates that according to its sources, Sanyo should have seen profits in those terms decline sharply and should have been unable to pay the dividends if it did not defer necessary accounting steps like the booking of losses on subsidiaries. In a separate report, Jiji Press said Sanyo will forgo retirement payments totaling about JPY1.2 billion to executives and auditors who served during the years in question. "It has planned to make the payments to 60 such officials including former Chairman Satoshi Iue after its business recovery," the report added. Sanyo President Seiichiro Sano and six other executives will take additional pay cuts of 10% for six months, the report cited the company as saying. 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. * * * In 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. SANYO ELECTRIC: May Face Fines Over Accounting Errors ----------------------------------------------------- Sanyo Electric Co., Ltd., after it adjusted its earnings reports for the FY2000-FY2005, may face fines from regulators for its accounting irregularities, The Associated Press reports. Japan's Securities and Exchange Surveillance Commission accused Sanyo of faking the earnings report for the fiscal half that ended in September 2005, urging the Financial Services Agency to fine the company, the AP relates. The AP states that the SESC demanded that FSA fine Sanyo JPY8.3 billion for the irregularity. The Tokyo Stock Exchange has given Sanyo shares a special monitoring status while the bourse reviews the company's earnings to see if it violated listing rules, says the AP. Masaki Kondo and Hiroshi Suzuki of Bloomberg News report that the Tokyo bourse said that Sanyo's shares may be delisted over the misstated results from April 2000 to March 2006, leading to erroneous dividend payments. Hideyuki Ookoshi, who oversees US$35 million at Chiba-Gin Asset Management Co. expressed to Bloomberg, "Investors who held the stock on expectations of a business recovery don't like this news. Still, being placed on the watch list doesn't necessarily mean the stock is going to be delisted right away." Bloomberg relates that Sanyo, through a statement filed with the Tokyo bourse, apologized to shareholders and business partners and said it will strengthen management. 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. * * * In 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. THIELEN ALUMINIUM: Claims Registration Period Ends Jan. 15, 2008 ---------------------------------------------------------------- Creditors of Thielen Aluminium-Druckguss Vertriebs-GmbH have until Jan. 15, 2008, to register their claims with court- appointed insolvency manager Dr. Peter Neu. Creditors and other interested parties are encouraged to attend the meeting at 9:00 a.m. on Feb. 19, 2008, 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 Hall A234 Second Floor Eiland 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: Dr. Peter Neu Elberfelder Strasse 39 42853 Remscheid Germany Tel: 02191/499 18-0 Fax: 02191/499 18-50 The District Court of Wuppertal opened bankruptcy proceedings against Thielen Aluminium-Druckguss Vertriebs-GmbH on Dec. 4. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Thielen Aluminium-Druckguss Vertriebs-GmbH Lotharstrasse 6 42655 Solingen Germany Attn: Dr. Claus-Michael Friedrich Honsel, Manager Twersweg 14 59519 Moehnesee Germany VALASSIS COMMS: Wallace Snyder Joins Board of Directors ------------------------------------------------------- Valassis Communications Inc. has elected Wallace Snyder, American Advertising Federation President & Chief Executive Officer, to the Valassis Board of Directors, effective Jan. 2, 2008. Based in Washington, Mr. Snyder serves as the AAF's chief spokesman and keeps well informed on advertising industry issues. Representing nearly 50,000 members -- including 130 corporate members, 210 local ad federations and 210 college chapters -- Mr. Snyder often testifies before federal and state lawmakers on issues of importance to the advertising industry. He also serves the industry as a board member of several national organizations, including The Ad Council, the Advertising Educational Foundation and the National Advertising Review Council, which oversees advertising self-regulation. "A multi-cultural advertising and diversity champion, Wally brings a wealth of business and leadership experience to our board," said Alan F. Schultz, Valassis Chairman, President and CEO. "His close network of clients, government officials, advertising agencies and media leaders, as well as his expertise regarding legal and Federal Trade Commission issues will be a tremendous asset to our shareholders and associates." Prior to joining the AAF, Mr. Snyder was associate director for advertising practices at the Federal Trade Commission's Bureau of Consumer Protection, where he served as principal adviser to the FTC on advertising issues. Mr. Snyder also served as the FTC's liaison officer to the Food and Drug Administration and worked on a number of congressional proceedings involving the FTC. A 16-year veteran of the FTC, Mr. Snyder joined the Commission as a trial attorney and was involved in litigation for a variety of cases. Before signing on at the FTC, Mr. Snyder spent two years as an officer in the US Army. Mr. Snyder is a graduate of the University of Iowa, where he was elected student body president, and received his Juris Doctor degree from the University of Iowa College of Law. He is a member of the bar of the District of Columbia. About Valassis Headquartered in Livonia, Michigan, Valassis Communications Inc. -- http://www.valassis.com/-- offers a wide range of marketing services to consumer packaged goods manufacturers, retailers, technology companies and other customers with operations in the United States, France, Germany, Italy, Mexico and Canada. * * * As reported in the Troubled Company Reporter-Latin America on Feb. 27, 2007, Standard & Poor's Ratings Services assigned its 'B-' rating to Valassis Communications Inc.'s proposed USUS$590 million senior unsecured notes. As reported in the Troubled Company Reporter-Latin America on Feb. 19, 2007, Moody's Investors Service assigned a B3 rating to Valassis Communications, Inc.'s proposed USUS$590 million of fixed and floating rate senior unsecured notes due 2015. Moody's Feb. 12, 2007, rating action on Valassis contemplated the issuance of USUS$590 million of junior debt in conjunction with the acquisition of ADVO and the company's existing ratings are not affected by the issuance of the new senior unsecured notes. Valassis' Corporate Family rating is B1 and the rating outlook remains stable. ============= I R E L A N D ============= BANTRY BAY: Moody's May Cut Low-B Ratings After Review ------------------------------------------------------ Moody's Investors Service downgraded and left on watch for further downgrade three classes of notes issued by Bantry Bay CDO I P.L.C. Moody's also placed on watch for downgrade three additional classes of notes issued by Bantry Bay CDO I P.L.C. These rating actions are a response to credit deterioration in the underlying portfolio. The transaction contains a portfolio comprised of high yield CDOs and US ABS CDOs primarily of the 2005 and 2006 vintages, which in turn are exposed to US RMBS. There has been significant rating deterioration recently in many of the ABS CDOs underlying this transaction, including a number of defaults. Moody's will continue to monitor all deals with exposure to US subprime RMBS and ABS CDOs, and will take further actions in respect of all CDOs placed under review for downgrade once the extent of actual downgrades to 2005 US RMBS and ABS CDO vintages becomes known. These rating actions are: * Bantry Bay CDO I P.L.C.: (1) US$127,000,000 Class A-1 Floating Rate Notes, due 2052 -- Current Rating: Aaa, on review for downgrade -- Prior Rating: Aaa (2) US$29,000,000 Class A-2 Floating Rate Notes, due 2052 -- Current Rating: Aaa, on review for downgrade -- Prior Rating: Aaa (3) US$28,000,000 Class A-3 Floating Rate Notes, due 2052 -- Current Rating: Aaa, on review for downgrade -- Prior Rating: Aaa (4) US$31,500,000 Class B Floating Rate Notes, due 2052 -- Current Rating: Ba1, on review for downgrade -- Prior Rating: Aa2 (5) US$11,500,000 Class C Deferrable Floating Rate Notes, due 2052 -- Current Rating: Ba3, on review for downgrade -- Prior Rating: A2 (6) US$9,000,000 Class D Deferrable Floating Rate Notes, due 2052 -- Current Rating: B3, on review for downgrade -- Prior Rating: Baa2 EDELWEISS CAPITAL: Moody's Cuts Rating to Ba2 on Class D Notes -------------------------------------------------------------- Moody's Investors Service has taken these rating actions in respect of notes issued by Edelweiss Capital Plc-Series 2007-2: -- Downgraded to Aa1 from Aaa, the EUR50,000,000 Class A EUR Series 2007-2 Asset-Backed Floating Rate Notes due 2013; -- Downgraded to Ba2 from Baa2, the US$19,700,000 Class D US$ Series 2007-2 Asset-Backed Floating Rate Notes due 2013. These downgrades are a result of credit migration and equity share price movements of the underlying portfolio of Equity Default Swaps particularly in the financial and real estate sectors, which have shown relatively weaker performance than the global equity market. Whilst Edelweiss Series 2007-2 is composed of an equal number of Equity Default Swaps in the risk portfolio (long EDS exposures) and in the insurance portfolio (short EDS exposures), the presence of a higher proportion of financial and real-estate exposures in the risk portfolio has significantly contributed to the downgrades. As of Dec. 18, 2007, the risk portfolio has one reference entity (Countrywide Financial Corporation) that has seen its share price fall below its EDS trigger level and an additional two reference entities whose share price is only 20% above their respective EDS trigger levels. The distressed equity events observation period will start on May 6, 2010 and last three years, such that no equity event related losses have occurred at this stage and all tranches still benefit from their initial subordination levels. CEDO I PLC: Moody's Cuts Rating to Ba3 on Tranche F Notes --------------------------------------------------------- Moody's Investors Service has taken these rating actions in respect of notes issued by CEDO I PLC: -- Downgraded to Aa2 from Aa1, the Series 1 Tranche B EUR40,000,000 Asset-Backed Deferrable Floating Rate Notes due 2011; -- Downgraded to A3 from A1, the Series 1 Tranche C EUR30,000,000 Asset-Backed Deferrable Floating Rate Notes due 2011; -- Downgraded to A3 from A1, the Series 1 Tranche E EUR2,500,000 Asset-Backed Deferrable Fixed Rate Notes due 2011; -- Downgraded to Ba3 from Baa3 Series 1 Tranche F EUR2,000,000 Asset-Backed Deferrable Floating Rate Notes due 2011; -- Downgraded to A3 from A1, the Series 1 Tranche H EUR5,000,000 Asset-Backed Deferrable Floating Rate Notes due 2011; -- Downgraded to Aa2 from Aa1 to the Series 1 Tranche G EUR15,000,000 Asset-Backed Deferrable Floating Rate Notes due 2011. These downgrades are a result of credit migration and equity share price movements of the underlying portfolio of Equity Default Swaps, particularly in the financial and real estate sectors which have observed relatively weaker performance than the global equity market. Whilst the transaction is composed of an equal number of Equity Default Swaps in the risk portfolio (long EDS exposures) and in the insurance portfolio (short EDS exposures), the presence of a higher proportion of financial and real-estate exposures in the risk portfolio has significantly contributed to the downgrades. As of the Dec. 18, 2007, the risk portfolio had two reference entities (Countrywide Financial Corporation and Boston Scientific Corp) which have seen their share price fall below their EDS trigger level and an additional two reference entities whose share price is only 20% above their respective EDS trigger levels. The distressed equity events observation period will start on May 21, 2008 and last three years, such that no equity event related losses have occurred at this stage and all tranches still benefit from their initial subordination levels. CEDO PLC-4: Moody's Cuts Rating to Low-B on Two-Note Classes ------------------------------------------------------------ Moody's Investors Service has taken these rating actions in respect of notes issued by CEDO PLC-Series 4 CSAM: -- Downgrades to Aa1 from Aaa, the Tranche D EUR 73,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to Aa1 from Aaa, the EUR15,000,000 Floating Rate Loan Facility due 2012 in relation to Tranche D EUR73,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to A1 from Aa2, the Tranche E EUR47,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to A1 from Aa2, the EUR45,000,000 Floating Rate Loan Facility due 2012 in relation to Tranche E EUR47,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to Baa3 from A2, the Tranche F EUR17,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to Baa3 from A2, the EUR6,000,000 Floating Rate Loan Facility due 2012 in relation to Tranche F EUR17,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to Aa1 from Aaa, the Tranche G US$2,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to A1 from Aa2, the Tranche H US$10,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to Baa3 from A2, the Tranche I US$12,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to Baa3 from A2, the Tranche J US$5,000,000 Asset-Backed Deferrable Fixed Rate Notes due 2012; -- Downgrades to Aa1 from Aaa, the Tranche K CHF132,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to Ba1 from A3, the Tranche L US$15,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to A1 from Aa2, the Tranche M US$15,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to Aa1 from Aaa, the Tranche N US$40,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to A1 from Aa2, the Tranche O US$10,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012; -- Downgrades to Ba3 from Baa2, the Tranche P US$2,000,000 Asset-Backed Deferrable Floating Rate Notes due 2012. These downgrades are a result of credit migration and equity share price movements of the underlying portfolio of Equity Default Swaps particularly in the financial and real estate sectors, which have shown relatively weaker performance than the global equity market. Whilst the transaction is composed of an equal number of Equity Default Swaps in the risk portfolio (long EDS exposures) and in the insurance portfolio (short EDS exposures), the presence of a higher proportion of financial and real-estate exposures in the risk portfolio has significantly contributed to the downgrades. As of Dec. 18, 2007, the risk portfolio has two reference entities (Countrywide Financial Corporation and Mitsubishi UFJ Nicos Company Ltd) which have seen their share price fall below their EDS trigger level and an additional two reference entities whose share price is only 20% above their respective EDS trigger levels. The distressed equity events observation period will start on July 1, 2009 and last three years, such that no equity event related losses have occurred at this stage and all tranches still benefit from their initial subordination levels. CEDO PLC-II: Moody's Cuts Rating to Ba1 on Tranche J Notes ---------------------------------------------------------- Moody's Investors Service has taken these rating actions in respect of notes issued by CEDO PLC-Series CEDO II: -- Downgraded to Aa1 from Aaa, the Series 2 Tranche A EUR75,000,000 Asset-Backed Deferrable Floating Rate Notes due 2011; -- Downgraded to A2 from Aa2, the Series 2 Tranche B EUR42,500,000 Asset-Backed Deferrable Floating Rate Notes due 2011; -- Downgraded to Baa2 from A2, the EUR 10,000,000 Floating Rate Loan Facility due 2011 in relation to Series 2 Tranche B EUR42,500,000 Asset-Backed Deferrable Floating Rate Notes due 2011; -- Downgraded to Baa2 from A2, the Series 2 Tranche C EUR16,000,000 Asset-Backed Deferrable Floating Rate Notes due 2011; -- Downgraded to Baa2 from A2, the EUR 10,000,000 Floating Rate Loan Facility due 2011 in relation to Series 2 Tranche C EUR10,000,000 Asset-Backed Deferrable Floating Rate Notes due 2011; -- Downgraded to Baa2 from A2, the Series 2 Tranche G US$1,000,000 Asset-Backed Deferrable Floating Rate Notes due 2011; -- Downgraded to Baa3 from A3, the Series 2 Tranche H US$600,000 Asset-Backed Floating Rate Notes due 2011; -- Downgraded to Baa2 from A2, the Series 2 Tranche I JPY200,000,000 Asset-Backed Fixed Rate Notes due 2011; -- Downgraded to Ba1 from Baa2, the Series 2 Tranche J JPY100,000,000 Asset-Backed Fixed Rate Notes due 2011; -- Downgraded to Baa3 from A3, the Series 2 Tranche K Non-Principal Protected Asset-Backed Fixed Rate Notes due 2011. These downgrades are a result of credit migration and equity share price movements of the underlying portfolio of Equity Default Swaps particularly in the financial and real estate sectors, which have shown relatively weaker performance than the global equity market. Whilst CEDO PLC-Series CEDO II is composed of an equal number of Equity Default Swaps in the risk portfolio and in the insurance portfolio, the presence of a higher proportion of financial and real-estate exposures in the risk portfolio has significantly contributed to the downgrades. As of the Dec. 18, 2007, the risk portfolio has four reference entities (Pulte Holmes Inc, Compass Group Plc, Macy's Inc and Dr Horton Inc) which have seen their share price fall below their respective EDS trigger levels and an additional one reference entity who's share price is only 20% above its EDS trigger level. The distressed equity events observation period will start on Dec. 2, 2008 (Nov. 13, 2008 for Tranche K only) and last for three years, such that no equity event related losses have occured at this stage and all tranches still benefit from their initial subordination levels. CEDO PLC-III: Moody's Cuts Rating to Ba3 on Tranche K Notes ----------------------------------------------------------- Moody's Investors Service downgrades to Ba3 from A3, the Series 3 Tranche K Non-Principal Protected Asset-Backed Fixed Rate Notes due 2012 issued by CEDO PLC-Series CEDO III. This downgrade is the result of credit migration and equity share price movements of the underlying portfolio of Equity Default Swaps particularly in the financial and real estate sectors, which have shown relatively weaker performance than the global equity market. Whilst the transaction is composed of an equal number of Equity Default Swaps in the risk portfolio (long EDS exposures) and in the insurance portfolio (short EDS exposures), the presence of a higher proportion of financial and real-estate exposures in the risk portfolio has significantly contributed to the downgrades. As of the Dec. 18, 2007, the risk portfolio has five reference entities (Countrywide Financial Corporation, KB Home, Centex Corporation, Pulte Holmes Inc and Mitsubishi UFJ Nicos Company Ltd) which have seen their share price fall below their EDS trigger level and an additional two reference entities whose share price is only 20% above their respective EDS trigger levels. The distressed equity events observation period will start on Dec. 29, 2008 and last three years, such that no equity event related losses have occured at this stage and all tranches still benefit from their initial subordination levels. COMMSCOPE INC: Finalizes Acquisition Details for Andrew Corp. ------------------------------------------------------------- CommScope Inc. has finalized the agreement for the acquisition of Andrew Corporation. The consideration to be paid for each outstanding share of Andrew common stock in the merger has been determined to be US$13.50 in cash and US$1.50 in CommScope common stock. Andrew stockholders will receive, for each Andrew share, US$13.50 in cash and 0.031543 shares of CommScope common stock. This fractional share of CommScope common stock was calculated according to the terms of the merger agreement by dividing US$1.50 by US$47.554, which was the volume weighted average of the closing sale prices for a share of CommScope common stock over the ten consecutive trading days ended Dec. 24, 2007. The merger is expected to close today. About Andrew Corp. Headquartered in Westchester, Illinois, Andrew Corporation (NASDAQ: ANDW) -- http://www.andrew.com/-- designs, manufactures and delivers and essential equipment and solutions for the global communications infrastructure market. The company serves operators and original equipment manufacturers from facilities in 35 countries including China, India, Italy, Czech Republic, Argentina, Bahamas, Belize, Barbados, Bermuda and Brazil. About CommScope Based in Hickory, North Carolina, CommScope Inc. (NYSE: CTV) -- http://www.commscope.com/-- is a world leader in infrastructure solutions for communication networks. Through its SYSTIMAX(R) Solutions(TM) and Uniprise(R) Solutions brands, CommScope is the global leader in structured cabling systems for business enterprise applications. It is also the world's largest manufacturer of coaxial cable for Hybrid Fiber Coaxial applications. CommScope has facilities in Brazil, Australia, China and Ireland. * * * As reported in the Troubled Company Reporter on Oct. 19, 2007, Standard & Poor's Ratings Services affirmed its ratings on CommScope Inc. and Westchester, Illinois-based Andrew Corp. and removed them from CreditWatch, where they were placed on June 27, 2007, with negative implications. S&P also affirmed the 'BB-' corporate credit and 'B' subordinated debt ratings for both companies. The ratings on Andrew will be withdrawn following its acquisition and debt refinancing. S&P said the outlook is stable. * Experian Sees Increase in Irish Liquidations in Final Quarter --------------------------------------------------------------- The number of Irish firms going into liquidation increased in the final quarter of 2007, although the number of overall liquidations in the year to date is slightly below last year, according to figures released by credit checking firm Experian on Dec. 20, 2007. The figures showed that the construction sector accounts for four out of every ten liquidations in 2007, while the catering, restaurant and hotel sector accounts for 20% of liquidations, up from the 2006 figures, which stood at 13%. The figures also revealed that number of companies seeking protection from creditors through examinership reached their highest level in a decade. The number of examiners appointed in 2007 rose to 25 from eight in the prior year. However, the number of companies entering receivership is down from 16 in 2006 to 15 in 2007. According to Liam Reddy, director of Experian Ireland's business information division, "this final quarter increase is a direct reflection of the changing and challenging business environment experienced in the latter part of 2007." "The latter part of 2007 was a particularly difficult time for the construction and allied trades sector," Mr. Reddy was quoted by BizWorld as saying. "As with 2006 most of these insolvencies were companies registered within the last 7 to 10 years. It is likely that these fledgling companies have been hit hardest by the slowdown in the market. All sectors are facing a tough year ahead and we found that businesses are finding it more difficult to manage cashflow, with all industries reporting slower payments and greater difficulty in collecting outstanding payments. Lawyers have reported an increase in the number of directors seeking advice as to their obligations should their company get into difficulty and financial institutions and banks have been reviewing their credit policies and tightening up on their overdraft facilities. This all points to tougher times ahead." ========= I T A L Y ========= ALITALIA SPA: Group Posts EUR1.19 Billion Net Debt for November --------------------------------------------------------------- The Alitalia Group's net debt as of Nov. 30, 2007, amounted to EUR1.191 billion, showing a slight increase in net indebtedness of EUR9 million (+0.8%) compared to the situation on Oct. 31, 2007. The net debt of the parent company Alitalia S.p.A. including short-term financial credits for subsidiaries on Nov. 30, 2007, (including short-term financial credits of subsidiaries) amounted to EUR1.183 billion showing a slight increase of EUR4 million (+0.3%) compared to net debt as of Oct. 31, 2007. The Group's cash-to-hand and short-term financial credits as of Nov. 30, 2007, at the Group level and for Alitalia, amounted to EUR395 million and EUR403 million respectively. It should be noted that as of Nov. 30, 2007, there were several leasing contracts at the Group level whose capital share, including lease closure value, amounted to EUR96 million. By comparison, the same figure as of Oct. 31, 2007, amounted to EUR97 million; the corresponding figures for the parent company on Oct. 31, 2007, amounted to EUR84 and EUR10 million respectively. It should also be noted that existing debts to banks are almost entirely backed up by real guarantees (mortgages on aircraft) or by personal guarantees (mainly guarantees issued by banks for export credit). The relative financing contracts contain standard legal clauses relating to withdrawal. None of the contracts refer to specific requirements regarding assets or economic/financial aspects, in order to maintain the credit line. During November 2007, repayments were made of medium/long-term financing amounting to about EUR23 million. Regarding debts of a financial, fiscal and social welfare nature, there were no outstanding sums or payment irregularities on Nov. 30, 2007, both for the parent company and for the other companies in the Group. As far as debts of a commercial nature are concerned, there were no outstanding sums or payment irregularities on Nov. 30, 2007, both for the parent company and for other Group companies, except for those relating to disputed situations. Regarding the latter, decisions are still pending for the petitions filed by Alitalia regarding: -- an injunction related to supposed different pricing policies, issued by a carrier for EUR6 million (two decrees); -- another injunction issued by a supplier of on-board movies for EUR1.2 million (two decrees); -- an injunction has been issued by an IT services supplier for EUR812,000; -- an injunction has been issued by an Italian subsidiary of an air carrier bankruptcy for EUR288,000; -- another injunction has been issued by a maintenance services supplier for EUR492,000; -- an injunction has been issued by the special manager of a firm for presumed debts relating to air ticket sales, for EUR3.2 million; -- one injunction issued by a fuel supplier for about EUR1 million. There are no other injunction orders or executive actions undertaken by creditors notified as of Nov. 30, 2007, nor are there any threats by suppliers to suspend operations. About Alitalia Headquartered in Rome, Italy, Alitalia S.p.A. -- http://www.alitalia.it/-- provides air travel services for passengers and air transport of cargo on national, international and inter-continental routes. The Italian government owns 49.9% of Alitalia. The company has operations in Argentina. Despite a EUR1.4 billion state-backed restructuring in 1997, Alitalia posted net losses of EUR256 million and EUR907 million in 2000 and 2001 respectively. Alitalia posted EUR93 million in net profits in 2002 after a EUR1.4 billion capital injection. The carrier booked annual net losses of EUR520 million in 2003, EUR813 million in 2004, EUR168 million in 2005, and EUR625.6 million in 2006. Italian Transport Minister Alessandro Bianchi has warned that Alitalia may file for bankruptcy if the current attempt to sell the government's 49.9% stake fails. ALITALIA SPA: Sells Heathrow Slots for EUR92 Million ---------------------------------------------------- Alitalia S.p.A. disclosed that agreement has been reached for the exchange of three pairs of slots at London's Heathrow airport. These slots are considered non strategic in the Company's 2008- 2010 business plan since the Company holds a further ten pairs of slots at Heathrow. The completion of the exchange will take place in two stages, corresponding to the IATA 2008-09 operative seasons. The first stage has provided a fee of EUR54 million at the current exchange rate at the time of the operation, to be included on the 2007 balance sheet. The fee for completion of the second stage will be included on the 2008 balance sheet, using the same exchange rate parameters, the figure is estimated at EUR38 million. About Alitalia Headquartered in Rome, Italy, Alitalia S.p.A. -- http://www.alitalia.it/-- provides air travel services for passengers and air transport of cargo on national, international and inter-continental routes. The Italian government owns 49.9% of Alitalia. The company has operations in Argentina. Despite a EUR1.4 billion state-backed restructuring in 1997, Alitalia posted net losses of EUR256 million and EUR907 million in 2000 and 2001 respectively. Alitalia posted EUR93 million in net profits in 2002 after a EUR1.4 billion capital injection. The carrier booked annual net losses of EUR520 million in 2003, EUR813 million in 2004, EUR168 million in 2005, and EUR625.6 million in 2006. Italian Transport Minister Alessandro Bianchi has warned that Alitalia may file for bankruptcy if the current attempt to sell the government's 49.9% stake fails. ALITALIA SPA: November 2007 Passenger Traffic Up by 0.7% -------------------------------------------------------- Alitalia S.p.A.'s November 2007 traffic data compared to the same period in 2006 showed an increase in passenger business and a decrease in cargo business. Passenger business showed an increase in terms of traffic (+0.7%) with a decrease of capacity offered by 0.7% compared with the same period of 2006. November 2007 Cargo statistics, compared to November 2006, showed a decrease in terms of goods flown (-5.3%) with capacity offered down 7.2%. Passengers Operations Traffic, measured in Revenue Passenger Kilometers, increased by 0.7% and the capacity, measured in Available Seat Kilometers, decreased by 0.7%. Therefore load factor increased by 1.0 percentage points reaching 70.3%. Alitalia carried 1.8 million passengers, up 1.1% compared to the previous year. Detailed comparisons with November 2006: -- Domestic Passenger Network: traffic increased by 4.4% with offered capacity up 3.9%. Load factor was 59.0%; -- International Passenger Network: traffic decreased by 1.0% and offered capacity decreased by 3.6%. Load factor was 63.8%; -- Intercontinental Passenger Network: traffic increased by 0.7% and capacity was in line with November 2006. Load factor was 80.0%. Cargo Operations November 2007 Cargo performance showed, compared to November 2006, a traffic decrease by 5.3% (traffic, measured in terms of Revenue Ton Kilometers) while capacity was down 7.2%. Overall Load factor was 72.2% with an increase by 1.4 percentage points. Regarding the All-Cargo sector, Load factor was 80.3% with an increase by 7.3 percentage points compared with the same period of 2006. About Alitalia Headquartered in Rome, Italy, Alitalia S.p.A. -- http://www.alitalia.it/-- provides air travel services for passengers and air transport of cargo on national, international and inter-continental routes. The Italian government owns 49.9% of Alitalia. The company has operations in Argentina. Despite a EUR1.4 billion state-backed restructuring in 1997, Alitalia posted net losses of EUR256 million and EUR907 million in 2000 and 2001 respectively. Alitalia posted EUR93 million in net profits in 2002 after a EUR1.4 billion capital injection. The carrier booked annual net losses of EUR520 million in 2003, EUR813 million in 2004, EUR168 million in 2005, and EUR625.6 million in 2006. Italian Transport Minister Alessandro Bianchi has warned that Alitalia may file for bankruptcy if the current attempt to sell the government's 49.9% stake fails. DANA CORP: Bankruptcy Court Confirms Plan of Reorganization ----------------------------------------------------------- The Honorable Burton R. Lifland of the U.S. Bankruptcy Court for the Southern District of New York has signed an order confirming Dana Corporation's Plan of Reorganization. The action paves the way for Dana's emergence from Chapter 11 reorganization, which it expects to occur in January 2008, after the closing of the company's US$2 billion exit financing facility and satisfaction of other customary closing conditions. "This is a significant milestone for Dana and all of its constituents," Dana Chairman and CEO Mike Burns said. "The approved plan provides a solid foundation for the new Dana. We now look forward to emerging as a focused, solvent company that is positioned to take advantage of its considerable strengths and compete successfully in its global markets." Dana entered Chapter 11 reorganization on March 3, 2006. During the ensuing 21 months, the company and its constituents identified, agreed upon, and won court approval for approximately US$440 million to US$475 million in annual cost savings and revenue improvement. These annual savings were derived primarily from enhancing its product profitability, optimizing its manufacturing footprint, reducing labor costs and benefit changes, eliminating ongoing obligations for retiree health and welfare costs, and achieving further reductions in administrative expenses. "From the outset of this process, we said that fundamental -- not incremental -- change was critical to Dana's future success," Mr. Burns said. "I am pleased to say that we have achieved this goal due in large part to the enormous efforts of our resilient employees around the world and the talented team of advisers who have helped bring us to this point. Similarly, we are grateful for the support and partnership demonstrated by many other constituents involved in this very complex process, including our customers, suppliers, and members of the communities in which Dana people live and work." About Dana Headquartered in Toledo, Ohio, Dana Corporation -- http://www.dana.com/-- designs and manufactures products for every major vehicle producer in the world, and supplies drivetrain, chassis, structural, and engine technologies to those companies. Dana employs 46,000 people in 28 countries. Dana is focused on being an essential partner to automotive, commercial, and off-highway vehicle customers, which collectively produce more than 60 million vehicles annually. Dana has facilities in China in the Asia-Pacific, Argentina in the Latin-American regions and Italy in Europe. The company and its affiliates filed for chapter 11 protection on March 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354). As of Aug. 31, 2007, the Debtors listed USUS$6,878,000,000 in total assets and US$7,551,000,000 in total debts resulting in a total shareholders' deficit of US$673,000,000. Corinne Ball, Esq., and Richard H. Engman, Esq., at Jones Day, in Manhattan and Heather Lennox, Esq., Jeffrey B. Ellman, Esq., Carl E. Black, Esq., and Ryan T. Routh, Esq., at Jones Day in Cleveland, Ohio, represent the Debtors. Henry S. Miller at Miller Buckfire & Co., LLC, serves as the Debtors' financial advisor and investment banker. Ted Stenger from AlixPartners serves as Dana's Chief Restructuring Officer. Thomas Moers Mayer, Esq., at Kramer Levin Naftalis & Frankel LLP, represents the Official Committee of Unsecured Creditors. Fried, Frank, Harris, Shriver & Jacobson, LLP serves as counsel to the Official Committee of Equity Security Holders. Stahl Cowen Crowley, LLC serves as counsel to the Official Committee of Non-Union Retirees. The Debtors filed their Joint Plan of Reorganization on Aug. 31, 2007. On Oct. 23, 2007, the Court approved the adequacy of the Disclosure Statement explaining their Plan. The Court has set Dec. 10, 2007, to consider confirmation of the Plan. (Dana Corporation Bankruptcy News; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000). MICRON TECH: Posts US$262-Mil. Net Loss in Quarter Ended Nov. 29 ---------------------------------------------------------------- Micron Technology Inc. has incurred a net loss of US$262 million on net sales of US$1.5 billion for the first quarter ended Nov. 29, 2007, compared to a net loss of US$158 million on net sales of US$1.4 billion for the fourth quarter of fiscal 2007. The company's growth in revenue in the first quarter compared to the previous quarter was primarily driven by significant sales volume increases in memory products (for both DRAM and NAND Flash). Sales of CMOS image sensors products in the first quarter of fiscal 2008 also increased approximately 15 percent compared to the previous quarter as a result of a higher level of unit sales. Megabit sales volume for DRAM and NAND Flash memory products increased approximately 25 percent and 60 percent, respectively, comparing the first quarter to the previous quarter, primarily as a result of higher levels of production and strong demand. However, the company's first quarter results continued to be significantly affected by industry supply/demand dynamics. Average selling prices decreased approximately 20 percent for DRAM and 30 percent for NAND Flash memory products compared to the already low prices realized in the fourth quarter of fiscal 2007. Primarily due to prevailing market conditions, the company recorded a US$62 million write-down of its finished goods and work in process inventories for memory products to reduce their carrying values to their estimated market values. This write-down is included in the company's reported cost of goods sold for the first quarter of fiscal 2008. Despite the write-down, the company achieved a decrease in cost of goods sold per megabit in the first quarter of fiscal 2008 of approximately 10 percent and 15 percent for DRAM and NAND Flash memory products, respectively. Higher levels of production and lower manufacturing costs in the first quarter of fiscal 2008 compared to the fourth quarter of fiscal 2007 were a result of the company's acceleration of industry-leading process technology, transitions to higher density memory products and significant improvements and growth in the company's 300mm operations. The company continues to ramp production of 300mm NAND wafers at its IM Flash joint venture fab in Lehi, Utah and 300mm DRAM wafers at its TECH Semiconductor operation in Singapore. The company ended the first quarter with more than US$2 billion in cash and investments. The company had capital expenditures of approximately US$885 million during the first quarter and received US$150 million in cash contributions from Intel Corporation, a partner in the IM Flash joint ventures. The company estimates capital expenditures aggregating between US$2.5 billion and US$3 billion for the 2008 fiscal year, of which approximately US$500 million is estimated to be funded by contributions from joint venture partners. Micron Technology Inc. -- http://www.micron.com/-- (NYSE:MU) provides advanced semiconductor solutions. Through its worldwide operations, Micron manufactures and markets DRAMs, NAND Flash memory, CMOS image sensors, other semiconductor components and memory modules for use in leading-edge computing, consumer, networking and mobile products. The company is headquartered in Boise, Idaho, and has manufacturing facilities in Italy, Scotland, Japan, Puerto Rico and Singapore. As reported in the Troubled Company Reporter-Latin America on May 21, 2007, Standard & Poor's Ratings Services affirmed its BB-/Stable/-- corporate credit rating on Boise, Idaho-based Micron Technology Inc. S&P also assigned its 'BB-' rating to the company's USUS$1.1 billion convertible senior notes due 2014. =================== K A Z A K H S T A N =================== BAIKALLES LLP: Proof of Claim Deadline Slated for Jan. 26, 2008 --------------------------------------------------------------- The Tax Committee of Almaty has ordered the compulsory liquidation of LLP Baikalles (RNN 091300024085). Creditors have until Jan. 26, 2008 to submit written proofs of claims to: The Tax Committee of Almaty Room 208 Jangusurov Str. 113a Taldykorgan Almaty Kazakhstan Tel: 8 (3282) 24-19-77 EXPRESS WELDING: Creditors Must File Claims by Jan. 23, 2008 ------------------------------------------------------------ The Specialized Inter-Regional Economic Court of Mangistau has declared LLP Express Welding insolvent. Creditors have until Jan. 23, 2008 to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of Mangistau Micro District 27, 67-7 Aktau Mangistau Kazakhstan Tel: 8 (3292) 41-00-42 8 701 537 15-58 GORBYTCOMBINATE LLP: Claims Filing Period Ends Jan. 26, 2008 ------------------------------------------------------------ LLP Gorbytcombinate has declared insolvency. Creditors have until Jan. 26, 2008 to submit written proofs of claims to: LLP Gorbytcombinate Lenin Str. 131 Rudny Kostanai Kazakhstan INJERNIJ PROJECT: Creditors' Claims Due on Jan. 23, 2008 -------------------------------------------------------- The Specialized Inter-Regional Economic Court of Aktube has declared LLP Injernij Project Stroy insolvent. Creditors have until Jan. 23, 2008 to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of Aktube Altynsarin Str. 31 Aktobe Aktube Kazakhstan Tel: 8 (3132) 21-30-32 KAR PROGRESS-2006: Claims Registration Ends Jan. 26, 2008 --------------------------------------------------------- LLP Kar Progress-2006 has declared insolvency. Creditors have until Jan. 26, 2008 to submit written proofs of claims to: LLP Kar Progress-2006 Loboda Str. 24-4 Karaganda Kazakhstan KARAGANDA STROY: Proof of Claim Deadline Slated for Jan. 26 ----------------------------------------------------------- LLP Construction Company Karaganda Stroy Service-7 has declared insolvency. Creditors have until Jan. 26, 2008 to submit written proofs of claims to: LLP Construction Company Karaganda Stroy Service-7 Buhar-Jyrau ave. 33-53 Karaganda Kazakhstan KAZ TRANS: Creditors Must File Claims by Jan. 23, 2008 ------------------------------------------------------ The Specialized Inter-Regional Economic Court of Aktube has declared LLP Kaz Trans Montage Stroy insolvent. Creditors have until Jan. 23, 2008 to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of Aktube Altynsarin Str. 31 Aktobe Aktube Kazakhstan Tel: 8 (3132) 21-30-32 KAZKOMMERTSBANK JSC: Repays First Tranche of US$1 Billion Loan -------------------------------------------------------------- JSC Kazkommertsbank has repaid the first tranche of its US$1 billion syndicated loan for the amount of US$700 million on Dec. 24, 2007. This loan was signed in December 2006 and consisted of two tranches: * Tranche A for the amount of US$ 700 million for one year, and * Tranche B for the amount of US$300 million for 3 years. Lead arrangers of the deal were The Bank of Tokyo-Mitsubishi UFJ, Ltd, ING Bank N. V., Standard Chartered Bank and UniCreditGroup. The purpose of the loan was funding of the import-export contracts of the customers. About Kazkommertsbank Kazkommertsbank -- http://www.kazkommertsbank.com/-- accepts deposits and provides loans and credit facilities in Tenge and foreign currencies. The Bank is also a major participant in the securities market and the foreign currency market in Kazakhstan. Kazkommertsbank has subsidiaries in Kyrgyzstan and Russia, it is the majority shareholder in the Grantum pension fund, Kazkommerts-Policy and Kazkommerts-Life companies, as well as the Kazkommerts-Securities investment company. * * * As reported in the TCR-Europe on Dec. 20, 2007, Standard & Poor's Ratings Services had revised its outlook to negative from stable on Kazkommertsbank JSC. At the same time, Standard & Poor's lowered its long-term counterparty credit rating on KKB to 'BB' from 'BB+' and its Kazakhstan national scale rating on Temirbank to 'kzBBB' from 'kzBBB+' and on Eurasian Bank to 'kzBB' from 'kzBBB-'. All other ratings were affirmed. In November 2007, Fitch Ratings has affirmed the ratings of Kazakhstan-based bank Kazkommertsbank. KKB has been rated Long- term foreign currency Issuer Default 'BB+', Short-term foreign currency IDR 'B', Long-term local currency IDR 'BBB-', Short- term local currency IDR 'F3', Individual 'C/D', Support '3' and Support Rating Floor 'BB+'. The Outlook for the Long-term IDR remain Stable. In June 2007, Moody's Investors Service downgraded these ratings of Kazkommertsbank of Kazakhstan: -- senior unsecured debt in foreign currency to Baa2/P-2 from Baa1/P-2; -- foreign currency backed subordinated debt to Baa3 from Baa2; and -- foreign currency backed junior subordinated debt to Ba1 from Baa3. KKB's bank financial strength rating is affirmed at D, while the outlook on the BFSR and on all debt ratings is changed to negative. Moody's has also affirmed KKB's foreign currency deposit ratings at Ba1/NP with a stable outlook. REM GAS: Claims Filing Period Ends Jan. 26, 2008 ------------------------------------------------ LLP Rem Gas Munai has declared insolvency. Creditors have until Jan. 26, 2008 to submit written proofs of claims to: LLP Rem Gas Munai Patsayev Str. 6-18 Aktobe Aktube Kazakhstan SK STROY: Creditors' Claims Due on Jan. 26, 2008 ------------------------------------------------ LLP SK Stroy Snab has declared insolvency. Creditors have until Jan. 26, 2008 to submit written proofs of claims to: LLP SK Stroy Snab Micro District Shkolny-2, 58 Almaty Kazakhstan Tel: 8 (7272) 93-18-87 TAMYZ-K LLP: Claims Registration Ends Jan. 26, 2008 --------------------------------------------------- The Tax Committee of Almaty has ordered the compulsory liquidation of LLP Tamyz-K (RNN 091300024228). Creditors have until Jan. 26, 2008 to submit written proofs of claims to: The Tax Committee of Almaty Room 208 Jangusurov Str. 113a Taldykorgan Almaty Kazakhstan Tel: 8 (3282) 24-19-77 =================== K Y R G Y Z S T A N =================== SHERIKTESHTIK-FINANSY LLC: Creditors Must File Claims by Jan. 23 ---------------------------------------------------------------- LLC Sherikteshtik-Finansy has declared insolvency. Creditors have until Jan. 23, 2008 to submit written proofs of claim. Inquiries can be addressed to (+996 312) 23-70-45. ===================== N E T H E R L A N D S ===================== X5 RETAIL: Completes Korzinka and Strana Gerkulesia Takeovers ------------------------------------------------------------- X5 Retail Group N.V. has received all the necessary regulatory approvals, including approval by the Federal Antimonopoly Service, and completed its acquisition of Korzinka and Strana Gerkulesia retail chains. As previously report in the TCR-Europe, X5 Retail Group signed an agreement to acquire 100% of the business and assets of the Korzinka retail chain, for around US$115 million, including debt. X5 Retail also signed an agreement to acquire 100% of the business and assets of the Strana Gerkulesia retail chain operating in the City of Moscow and the Moscow and Tver regions, for a total consideration of US$65 million, including debt. About X5 Retail Headquartered in the Netherlands, X5 Retail Group N.V. -- http://www.x5.ru/en/-- operates a large store network largely covering the Moscow region and St. Petersburg but also has a good presence in other Russian regions through its franchise operations. The company has recently acquired two of its successful regional franchise operations -- in Yekaterinburg and Chelyabinsk. * * * As of Nov. 12, 2007, X5 Retail Group N.V. carries a B1 Corporate Family Rating from Moody's Investors Service. Moody's said the outlook is positive. X5 Retail and its subsidiaries also carries a 'BB-' long-term corporate credit rating from Standard & Poor's Ratings Services. S&P said the outlook is stable. =========== N O R W A Y =========== BRIGHTPOINT INC: Units Ink Distribution Agreement with Neo ---------------------------------------------------------- Brightpoint Inc.'s subsidiaries, Brightpoint Middle East FZE and Brightpoint North America L.P., have been appointed as distributors by Fahad & Patson Gen Trading LCC, the UAE Agent of Neo products Limited. Pursuant to this agreement, Brightpoint will provide Neo with distribution services for Neo products to be distributed in the Middle East and North America markets. About Brightpoint Headquartered in Plainfield, Indiana, Brightpoint, Inc. -- http://www.brightpoint.com/-- distributes wireless devices and accessories, as well as provision of customized logistic services to the wireless industry. The company primarily operates in Australia, Colombia, Finland, Germany, India, New Zealand, Norway, the Philippines, the Slovak Republic, Sweden, United Arab Emirates and the United States. The company's customers include mobile operators, mobile virtual network operators, resellers, retailers and wireless equipment manufacturers. Brightpoint was incorporated in 1989 under the name Wholesale Cellular USA, Inc. and changed its name to Brightpoint Inc. in 1995. * * * On April 12, 2006, Standard & Poor's placed Brightpoint's long- term local and foreign issuer credit ratings at BB- with a stable outlook. =============== P O R T U G A L =============== COMPANHIA SIDERURGICA: S&P Revises Outlook to Positive ------------------------------------------------------ Standard & Poor's Ratings Services has revised its outlook on Brazil-based steel maker Companhia Siderurgica Nacional and related entity National Steel S.A. to positive from stable. At the same time, Standard & Poor's affirmed its 'BB' corporate credit rating on CSN and its 'B+' rating on NatSteel. The rating action reflects CSN's improved credit measures and expectations that incremental cash flows from the development of its proprietary iron ore mine, Casa de Pedra, will allow the company to finance a portion of its capital expenditures program with internal cash generation and result in a positive trend for its leverage ratios. Standard & Poor's expects CdP's production to increase in 2008, adding to CSN's cash flow diversity and resilience, considering the favorable pricing of iron ore. In addition, favorable market conditions for steel in Brazil also bode well for strong cash generation in the future, further enhancing the company's ability to internally finance capital expenditures. Standard & Poor's believes that, while total gross indebtedness won't be significantly reduced, CSN will sustain stronger credit measures than historic ones, while continually improving its business profile with more diversity and profitability. "The ratings on CSN reflect the company's sizable gross debt leverage; aggressive capital expenditures in steel, iron ore, cement and transportation; exposure to volatile demand and price cycles; and increasing competition in its home and primary market of Brazil," said Standard & Poor's credit analyst Reginaldo Takara. These risks are offset by CSN's strong cash reserves, a privileged cost position, sound operating profiles in the steel and iron ore markets, favorable steel market shares in Brazil, strong export capabilities to offset occasional domestic steel demand fluctuations, and increasing business diversification. The rating on NatSteel reflects CSN's ability to upstream dividends to NatSteel through the layers of its corporate structure. The positive outlook reflects Standard & Poor's expectation that CSN will be successful in growing iron ore capacity at CdP in 2008 and in the future. Standard & Poor's expect this to improve cash flows to finance part of its considerable capital expenditure plans and result in stronger credit measures. The ratings could be raised if CSN delivers strong iron ore production in 2008, resulting in significant incremental cash flows from this operation. Permanent financial profile improvement would be reflected in the company's ability to consistently sustain its comfortable liquidity and stronger credit measures, such as total debt-to-EBITDA lower than 2.0x and FFO-to-total debt of more than 40%. Standard & Poor's also expects CSN to adequately manage its large maturities, which are due next year. The positive outlook assumes that CSN will not be involved in relevant M&A transactions that could curtail the improving trend of its financial profile. On the other hand, negative pressure on the ratings or outlook could come from a continuous increase in gross debt, causing financial metrics to deteriorate permanently, or from large acquisitions or further capital commitments that could hurt the company's current liquidity or add significtability ratios because of its important market share and the increasing focus on growing its consumer loan portfolio under prudent underwriting standards. Headquartered Sao Paolo, Brazil, Companhia Siderurgica Nacional S.A. -- http://www.csn.com.br/-- produces, sells, exports and distributes steel products, like hot-dip galvanized sheets, tin mill products and tinplate. The company also runs its own iron ore, manganese, limestone and dolomite mines and has strategic investments in railroad companies and power supply projects. The group also operates in Brazil, Portugal and the U.S. =========== R U S S I A =========== ASHINSKIJ LIGHTING: Asset Sale Slated for Jan. 10, 2008 ------------------------------------------------------- The competitive proceedings manager of OJSC Ashinskij Lighting Facilities Plant, will open a public auction for the company's properties at 2:00 p.m. on Jan. 10, 2008, at: The Competitive Proceedings Manager Rossijskaya Str. 26 Chelyabinsk Russia The company has set a RUR184,011,000 starting price for the assets on auction. Interested participants have until Jan. 2, 2008, to deposit an amount equivalent to 10% of the starting price. Bidding documents must be submitted to: The Competitive Proceedings Manager Rossijskaya Str. 26 Chelyabinsk Russia The Debtor can be reached at: OJSC Ashinskij Lighting Facilities Plant Lenina Str. 2 Asha Chelyabinsk Russia Website: http://www.ashasvet.ru/ Information related to the auction can be obtained by calling, Tel: (351) 266-95-39. CRYSTAL GLASS PLANT OJSC: Asset Sale Slated for Jan. 10, 2008 ------------------------------------------------------------- The competitive proceedings manager of OJSC Crystal Glass Plant, will open a public auction for the company's properties at 9:00 a.m. on Jan. 10, 2008, at: OJSC Crystal Glass Plant Kalinina Str. 28 Goose-Crystal Vladimir Russia The company has set a RUR1,350,000 starting price for the assets on auction. Deposit required is RUR270,000. Interested participants have until 3:00 p.m. on Jan. 9, 2008, to submit bidding documents to: OJSC Crystal Glass Plant Kalinina Str. 28 Goose-Crystal Vladimir Russia GAZPROM NEFT: Receives State Clearance to Bid for Tomskneft ----------------------------------------------------------- The Federal Antimonopoly Service has cleared OAO Gazprom Neft to acquire a 50% stake in OAO Tomskneft, a unit of OAO Rosneft Oil Co., Reuters reports. Gazprom Neft plans to acquire half of Tomskneft for US$3.66 million via its Gazprom Neft Finance unit, a source privy to the matter told Reuters. Meanwhile, Anatoly Golomolzin, FAS deputy chairman, told RIA Novosti that the competition agency received two requests on Tomskneft acquisition. "I do not remember exactly who is the other bidder," Mr. Golomolzin said. "It probably was sent by Rosneft in an attempt to retain control of the company." OAO Tomskneft accounts for 98% of commercial oil reserves extracted in Tomsk region, owning four large fields: Igolsko- Talovskoye, Pervomaiskoye, Luginetskoye, and Krapivinskoye. Tomskneft also owns all medium fields with oil reserves of more than 5 million tons in Tomsk region. About Rosneft Headquartered in Moscow, Russia, OAO Rosneft Oil Co. -- http://www.rosneft.com/-- produces and markets petroleum products. The Company explores for, extracts, refines, and markets oil and natural gas. Rosneft produces oil in Western Siberia, Sakhalin, the North Caucasus, and the Arctic regions of Russia. About Gazprom Neft Headquartered in Moscow, Russia, OAO Gazprom Neft -- http://www.gazprom-neft.ru/-- explores, produces, refines, markets, produces and sells petroleum products. The Company holds oilfield exploration and development licenses in the Yamal-Nenets and Khanti-Mansiisk autonomous regions, as well as in theOmsk and Tomsk regions, and in Chukotka. The Company's main oil processing center is the Omsk Refinery. Gazprom Neft is one of Russia's largest oil companies handling downstream and upstream operations. It was known as Sibneft before April 2007. * * * As of Aug. 24, 2007, Gazprom Neft carries a Ba1 Corporate Family and Ba2 Senior Unsecured Debt ratings from Moody's. Moody's said the outlook is positive. Gazprom Neft also carries BB+ Long-Term Foreign Issuer Credit and Local Issuer Credit ratings from Standard & Poor's. S&P said the outlook is positive. MANILOVSK CJSC: Creditors Must File Claims by Jan. 8, 2008 ---------------------------------------------------------- Creditors of CJSC Manilovsk have until Jan. 8, 2008, to submit proofs of claim to: V. I. Leskov Interim Manager P.O. Box 9 Cheremkhovo 665415 Irkutsk Russia The Arbitration Court of Irkutsk commenced bankruptcy supervision procedure against the company after finding it insolvent on Nov. 28. The case is docketed under Case No. A19-16532/07-8. The Court is located at: The Arbitration Court of Irkutsk Room 303 Gagarina Avenue 70 664025 Irkutsk Russia The Debtor can be reached at: CJSC Manilovsk Manilovsk Alarskij Raion Russia MORTGAGE CORP: Strong Operating Performance Cues S&P's B- Rating ---------------------------------------------------------------- Standard & Poor's Rating Services assigned its 'B-' long-term ratings and 'ruBBB' national scale rating to the financial and construction company OJSC Mortgage Corporation of Moscow Region. The outlook is stable. "The ratings on MCMR, which is majority controlled by the Moscow Oblast (BB/Positive/--; Russia national scale ruAA) directly and via Moscow Regional Investment Trust Co. (OJSC) (MRITC; B/Positive; ruA-), reflect the company's aggressive financial and debt policies, strong exposure to construction, real-estate- market, and geographical concentration risks, and uncertainty about the strength of the oblast's control over the company's operations," said Standard & Poor's credit analyst Felix Ejgel. "These risks are somewhat mitigated by the support that the company receives from its owners, its good cash management, and adequate liquidity." "The stable outlook reflects Standard & Poor's expectations that MCMR will continue to keep strong control over its cash position and receive expected financial support from its owners in 2008 to mitigate its high debt leverage and exposure to real estate market risks," said Mr. Ejgel. If the oblast enhanced its support to the company through stronger oversight and timely implementation of its budget programs, thereby providing a stable revenue stream for the company, it could have a positive effect on the ratings on MCMR. Conversely, if the oblast diminishes its support to the company or the company's debt increases significantly, the ratings could come under pressure. MOSTRANSAVTO: Weak Liquidity Position Cues S&P to Junk Ratings -------------------------------------------------------------- Standard & Poor's Ratings Services assigned its 'CCC+' long-term credit and 'ruBB+' Russia national scale ratings to Russian public transport company Mostransavto, which is wholly owned by the Moscow Oblast (BB/Positive/--; Russia national scale 'ruAA'), located in the Russian Federation (foreign currency BBB+/Stable/A-2; local currency A-/Stable/A-2; Russia national scale 'ruAAA'). The outlook is stable. At the same time, the 'CCC+' and 'ruBB+' senior unsecured debt ratings were assigned to the proposed Russian RUR7.5 billion debut bond issue to be placed by 100% subsidiary OOO Mostransavto-Finance on Dec. 25, 2007. The five-year bond will have 10 coupon payments and a six-month put option guaranteed by Moscow Regional Investment Trust Co. (OJSC) (B/Positive/--; Russia national scale 'ruA-'). The bond will also have an amortizing schedule, with 13% of the principal redeemed in one year, 11% in two years, 20% in three years, 13% in four years, and the remaining 43% at the maturity date. The repayment of the first three installments is covered by an allocation in the oblast's budget, as the company does not have sufficient funds on its own to repay these maturities. This bond will be used to refinance some outstanding obligations from the company (mostly budget loans and financial leases). "The ratings on Mostransavto reflect its weak liquidity position, the low predictability of its financial indicators, an aggressive financial profile, and rising competition with other forms of transport," said Standard & Poor's credit analyst Felix Ejgel. Moscow Oblast's ownership of the company somewhat mitigates these factors, as do ongoing, but insufficient and random, support from the owner in the form of capital and operating subsidies, and Mostransavto's near-monopoly position in the regional public transport market, which could be further enhanced through ongoing investments. Since 2005, the company's debt has doubled, exceeding RUR14 billion (about 100% of expected 2007 revenues from operating activity). The company's debt might stabilize at similar levels, however, if the oblast accelerates capital transfers to the company. "We expect Mostransavto's currently weak cash management and worsening economic and financial fundamentals with likely strong, although not timely, support from the Moscow oblast to the company given its strategic importance for the provision of public transport services across the densely populated Russia region," said Mr. Ejgel. If the Moscow Oblast strengthens its supervision over the company to ensure timely servicing of its financial obligations and improves the timeliness of transfers from its budget to Mostransavto, the rating could be raised. Conversely, if the company continues to experience liquidity shortages or the oblast reduces its support and delay payments linked to repayment of the company's debt, the rating could come under pressure. ROSBANK OJSC: S&P Lifts Long-Term Credit Rating to BB+ ------------------------------------------------------ Standard & Poor's Ratings Services raised its long-term counterparty credit rating on Russia-based Rosbank OJSC to 'BB+' from 'BB-'. The outlook is positive. At the same time, the 'B' short-term counterparty credit was affirmed, and the Russian national scale ratings raised to 'ruAA+' from 'ruAA-'. The upgrade is based on the French group Societe Generale's (SocGen; AA/Stable/A-1+) decision to execute its call option for the acquisition of an additional 30% stake in Rosbank, giving SocGen majority ownership (50% plus one share). The transaction is expected to be closed mid-February 2008. The total acquisition price (for an expected 57.8% stake by the end of June 30, 2008) should amount to US$2.77 billion, representing one of the largest acquisitions Socgen has made in recent years. "We consider Rosbank as a strategically important subsidiary of SocGen," said Standard & Poor's credit analyst Eugene Tarzimanov. "Therefore, the long-term rating on the bank is now three notches higher than its stand-alone credit quality (compared with one notch previously), reflecting SocGen's expected strong parental support in terms of management, governance, and funding and liquidity if needed." The ratings are constrained by Rosbank's sizable concentration in funding, challenges in managing an extensive distribution network, and the high level of competition pressuring interest margins. "The positive outlook reflects our expectation that Rosbank has the potential to improve its stand-alone credit profile by withstanding competitive pressure on profitability and maintaining good asset quality," said Mr. Tarzimanov. In addition, SocGen's operational and managerial support is expected to increase significantly, positively affecting Rosbank in areas such as risk management, corporate governance, and IT. At the same time, S&P expects Rosbank to continue its rapid expansion in line with strategic goals, bringing the challenges of controlling new risks. Ratings downside might follow a significant reduction in SocGen's support, the bank's inability to control the quality of its rapidly growing loan portfolio, or its failure to reap financial benefits from its network. ROSNEFT OIL: 2007 Crude Oil Output Surpasses 100 Million Tons ------------------------------------------------------------- OAO Rosneft Oil Co. has produced more than 100 million tons of crude oil in 2007, the company said in a statement. "We can speak with confidence now that the outgoing year will be a milestone year for the company," Rosneft said. "We've crossed the line which is a significant event for every corporation we are the first oil company in Russia that can produce more than 100 million tons of oil per year." Rosneft produced around 80.6 million tons of oil in 2006 and had forecasted 2007 output to reach 90 million in 2007. About Rosneft Headquartered in Moscow, Russia, OAO Rosneft Oil Co. -- http://www.rosneft.com/-- produces and markets petroleum products. The Company explores for, extracts, refines, and markets oil and natural gas. Rosneft produces oil in Western Siberia, Sakhalin, the North Caucasus, and the Arctic regions of Russia. * * * OAO Rosneft Oil Co. carries a BB+ long-term corporate credit rating from Standard & Poor's Ratings Services. S&P said the outlook is positive. ROSNEFT OIL: FAS Clears Gazprom Neft to Bid for Tomskneft --------------------------------------------------------- The Federal Antimonopoly Service has cleared OAO Gazprom Neft to acquire a 50% stake in OAO Tomskneft, a unit of OAO Rosneft Oil Co., Reuters reports. Gazprom Neft, via its Gazprom Neft Finance unit, plans to acquire half of Tomskneft for US$3.66 million, a source privy to the matter told Reuters. Meanwhile, Anatoly Golomolzin, FAS deputy chairman, told RIA Novosti that the competition agency received two requests on Tomskneft acquisition. "I do not remember exactly who is the other bidder, Mr. Golomolzin said. "It probably was sent by Rosneft in an attempt to retain control of the company." OAO Tomskneft accounts for 98% of commercial oil reserves extracted in Tomsk region, owning four large fields: Igolsko- Talovskoye, Pervomaiskoye, Luginetskoye, and Krapivinskoye. Tomskneft also owns all medium fields with oil reserves of more than 5 million tons in Tomsk region. About Gazprom Neft Headquartered in Moscow, Russia, OAO Gazprom Neft -- http://www.gazprom-neft.ru/-- explores, produces, refines, markets, produces and sells petroleum products. The Company holds oilfield exploration and development licenses in the Yamal-Nenets and Khanti-Mansiisk autonomous regions, as well as in theOmsk and Tomsk regions, and in Chukotka. The Company's main oil processing center is the Omsk Refinery. Gazprom Neft is one of Russia's largest oil companies handling downstream and upstream operations. It was known as Sibneft before April 2007. About Rosneft Headquartered in Moscow, Russia, OAO Rosneft Oil Co. -- http://www.rosneft.com/-- produces and markets petroleum products. The Company explores for, extracts, refines, and markets oil and natural gas. Rosneft produces oil in Western Siberia, Sakhalin, the North Caucasus, and the Arctic regions of Russia. * * * OAO Rosneft Oil Co. carries a BB+ long-term corporate credit rating from Standard & Poor's Ratings Services. S&P said the outlook is positive. SIBIRIT-1 CJSC: Creditors Must File Claims by Jan. 8, 2008 ---------------------------------------------------------- Creditors of CJSC Sibirit-1 have until Jan. 8, 2008, to submit proofs of claim to: V. Z. Zakirov Lenina Pr. 90/4 650036 Kemerovo Russia The Arbitration Court of Kemerovo will convene at 11:00 a.m. on April 30, 2008, to hear the bankruptcy supervision procedure against CJSC Sibirit-1 after finding it insolvent on Nov. 15. The case is docketed under Case No. A 27-10711/2007-. The Court is located at: The Arbitration Court of Kemerovo Krasnaya Str. 8 Kemerovo Russia The Debtor can be reached at: CJSC Sibirit-1 Mira Str. 11 Mezhdurechensk 652870 Kemerovo Russia STERLITAMAKENERGOSTROY: Claims Filing Period Ends Feb. 8, 2008 -------------------------------------------------------------- Creditors of OJSC SterlitamakEnergoStroy have until Feb. 8, 2008, to submit proofs of claim to: I. A. Ikhsanov Competitive Proceedings Manager P.O. Box 7503 Ufa 450076 Bashkortostan Russia The Arbitration Court of Bashkortostan commenced competitive proceedings against the company after finding it insolvent on May 29. The case is docketed under Case No. A07-27556/ 06-G-SHAB. The Court is located at: The Arbitration Court of Bashkortostan Oktyabrskoy Revolyutsii Str. 63a Ufa Bashkortostan Russia TYUMENSKIJ MACHINE: Asset Sale Slated for Jan. 17, 2008 ------------------------------------------------------- D. Yu. Bylinkin, the competitive proceedings manager of OJSC Tyumenskij Machine-Building Plant, will open a public auction for the company's properties at 10:00 a.m. on Jan. 17, 2008, at: D. Yu. Bylinkin Kopeyskoe Shosse 38 Chelyabinsk Russia The starting prices for the assets on auction are: -- Lot 1: RUR6,529,128.74; -- Lot 2: RUR7,739,173.95; -- Lot 3: RUR1,591,200.00; -- Lot 4: RUR3,320,797.05. Interested participants have until Jan. 15, 2008, to deposit an amount equivalent to 10% of the starting price. Bidding documents must be submitted to: D. Yu. Bylinkin Kopeyskoe Shosse 38 Chelyabinsk Russia The Debtor can be reached at: OJSC Tyumenskij Machine-Building Plant Gilevskaya Roscha 4 Tyumen' Russia Website: http://www.stankozavod.ru/ Information related to the auction can be obtained by calling, Tel: (351) 259-91-63. VOLGOGRAD OBLAST: S&P Lifts Rating to BB- on Good Performance ------------------------------------------------------------- Standard & Poor's Ratings Services raised its long-term issuer credit rating on Russian Volgograd Oblast to 'BB-' from 'B+'. The outlook is stable. At the same time, the Russia national scale rating was raised to 'ruAA-' from 'ruA+'. "The upgrade reflects the oblast's continued sound budgetary performance and improvements in medium-term financial and debt planning," said Standard & Poor's credit analyst Irina Pilman. The ratings are constrained by restricted flexibility and predictability of revenues and expenditures, revenue volatility, pressure on liquidity due to taxpayer concentration, and low wealth levels compared with those of Russian peers. The ratings are supported by good budgetary performance, commitment to maintain a moderate debt burden in the medium term and improve debt structure, and the administration's efforts to attract investment. S&P expects revenue growth to outpace inflation in the medium term. The administration plans to increase debt to address highly underfinanced infrastructure needs in the region, but the debt-to-operating revenues ratio is expected to remain below 20% and debt service should not exceed 5% of total revenues in the next three years. "We believe that the oblast will keep its operating balances strong and that planned debt financing of capital expenditures will not deteriorate overall balances," said Ms. Pilman. Stronger-than-planned economic and revenue growth, along with institutionalization of the reserve policy, could strengthen the ratings. Deterioration of budgetary performance, and increased debt service above anticipated levels--which we consider unlikely--could pressure the ratings. VOLGOGRAD TOOLS: Asset Sale Slated for Jan. 8, 2008 --------------------------------------------------- The auction center F Contact LLC, acting on behalf of the competitive proceedings manager of CJSC Volgograd Tools Plant, will open a public auction for the company's properties at 1:00 p.m. on Jan. 8, 2008 at: CJSC Volgograd Tools Plant Yasnomorskaya Str. 2 400006 Volgograd Russia Tel: (8442)705666 Website: http://www.viz-v.narod.ru/ The starting prices for the assets on auction are: -- Lot 2H: RUR7.6 Million; -- Lot 5H: RUR5.28 Million. Interested participants have until Jan. 3 to deposit an amount of RUR1.52 Million. Bidding documents must be submitted to: CJSC Volgograd Tools Plant Yasnomorskaya Str. 2 400006 Volgograd Russia Tel: (8442)705666 Website: http://www.viz-v.narod.ru/ X5 RETAIL: Completes Korzinka and Strana Gerkulesia Takeovers ------------------------------------------------------------- X5 Retail Group N.V. has received all the necessary regulatory approvals, including approval by the Federal Antimonopoly Service, and completed its acquisition of Korzinka and Strana Gerkulesia retail chains. As previously report in the TCR-Europe, X5 Retail Group signed an agreement to acquire 100% of the business and assets of the Korzinka retail chain, for around US$115 million, including debt. X5 Retail also signed an agreement to acquire 100% of the business and assets of the Strana Gerkulesia retail chain operating in the City of Moscow and the Moscow and Tver regions, for a total consideration of US$65 million, including debt. About X5 Retail Headquartered in the Netherlands, X5 Retail Group N.V. -- http://www.x5.ru/en/-- operates a large store network largely covering the Moscow region and St. Petersburg but also has a good presence in other Russian regions through its franchise operations. The company has recently acquired two of its successful regional franchise operations -- in Yekaterinburg and Chelyabinsk. * * * As of Nov. 12, 2007, X5 Retail Group N.V. carries a B1 Corporate Family Rating from Moody's Investors Service. Moody's said the outlook is positive. X5 Retail and its subsidiaries also carries a 'BB-' long-term corporate credit rating from Standard & Poor's Ratings Services. S&P said the outlook is stable. YUKOS OIL: Unit Wants Receiver to Comply with Dutch Court Ruling ---------------------------------------------------------------- Yukos Finance B.V. has asked a court in Amsterdam, Netherlands, to compel OAO Yukos Oil Co. bankruptcy receiver Eduard Rebgun to adhere to its Oct. 31, 2007 ruling, Bloomberg News reports. As reported in the TCR-Europe on Nov. 5, 2007, the court ruled that the sale of Yukos Finance was illegal under Dutch law. Mr. Rebgun had sold Yukos Finance via a competitive auction to OOO Promneftstroy for RUR7.838 billion. Yukos Finance's main assets include: -- a 49% stake in Transpetrol, worth between US$100 million and US$200 million; and -- proceeds from a 54% stake in Lithuanian refinery Mazeikiu Nafta AB, worth almost US$1.5 billion. The Amsterdam court noted that since Dutch courts do not recognize Russian bankruptcy decisions, Mr. Rebgun -- who was appointed by a Russian court -- has no power to decide over the matters of Yukos Finance. The court hence ruled to recognize Bruce Misamore and David Godfrey as Yukos Finance's lawful executives, who Mr. Rebgun dismissed early 2007. The Dutch court obliged Mr. Rebgun to immediately comply in annulling all his decisions on Yukos Finance and their consequences. The court warned that it would fine Mr. Rebgun EUR10,000 for every violation and EUR1,000 for each day of non- compliance if he fails to adhere with the ruling. 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 $9.35 billion, as payment for $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 $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 $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. On Nov. 23, 2007, the Russian Trading System and Moscow Interbank Currency Exchange stopped trading Yukos shares after the company formally ceased to exist. Mr. Rebgun completed the company's liquidation process afte Russia's Federal Tax Service has entered Yukos' liquidation on the Uniform State Register of Legal Entities. As reported in the TCR-Europe on Nov. 14, 2007, the Moscow Arbitration Court has entered an order closing the liquidation proceedings of OAO Yukos Oil Co., 15 months after it was declared bankrupt on Aug. 1, 2006. ========= S P A I N ========= GENERAL CABLE: Executives Cede Employment Contracts --------------------------------------------------- General Cable Corporation's executive officers, Gregory B. Kenny, President and Chief Executive Officer, and Robert J. Siverd, Executive Vice President and General Counsel, have voluntarily relinquished their employment and change-in-control agreements with General Cable effective at the end of this year. They and Brian Robinson, Chief Financial Officer, remain with the company and will have their compensation and benefits determined in the discretion of the Compensation Committee of the Board of Directors. At the same time, the Board of Directors has adopted a new severance plan, which will cover US- based executive officers of the Company which will take effect on Jan. 1, 2008. This new and more simplified severance plan will provide benefits for these and other US-based executives of General Cable. "Mr. Siverd and I have voluntarily terminated our employment related agreements in order to be fully aligned with the terms and conditions of the North American senior management team," said Mr. Kenny. "We look forward to continuing to build the Company domestically and internationally for the benefit of our shareholders and employees in the years ahead," Mr. Kenny concluded. Additional information is set forth in the Company's 8-K Report dated Dec. 21, 2007, filed with the Securities and Exchange Commission. About General Cable Headquartered in Highland Heights, Kentucky, General Cable Corporation (NYSE: BGC) -- http://www.generalcable.com/-- makes aluminum, copper, and fiber-optic wire and cable products. It has three operating segments: industrial and specialty (wire and cable products conduct electrical current for industrial and commercial power and control applications); energy (cables used for low-, medium- and high-voltage power distribution and power transmission products); and communications (wire for low-voltage signals for voice, data, video, and control applications). Brand names include Carol and Brand Rex. It also produces power cables, automotive wire, mining cables, and custom-designed cables for medical equipment and other products. General Cable has locations in China, Australia, France, Brazil, the Dominican Republic and Spain. * * * As reported in the Troubled Company Reporter-Latin America on Oct. 1, 2007, Moody's Investors Service has assigned a rating of B1 to the proposed USUS$400 million senior unsecured convertible notes of General Cable Corporation. As reported in the Troubled Company Reporter on Sept. 19, 2007, Standard & Poor's Ratings Services affirmed its 'BB-' corporate credit rating on General Cable Corp. S&P said the outlook is stable. ===================== S W I T Z E R L A N D ===================== AAREGG JSC: Creditors' Liquidation Claims Due by December 31 ------------------------------------------------------------ Creditors of JSC Aaregg have until Dec. 31 to submit their claims to: JSC KPB Treuhand Konizstrasse 230 3097 Liebefeld BE Switzerland The Debtor can be reached at: JSC Aaregg Bern Switzerland BETE CONSULTING: Creditors' Liquidation Claims Due by Dec. 31 ------------------------------------------------------------- Creditors of JSC BETE CONSULTING have until Dec. 31 to submit their claims to: JSC Caminada Treuhand Baarerstrasse 112 6300 Zug Switzerland The Debtor can be reached at: JSC BETE CONSULTING Zug Switzerland CONNECCCT LLC: Creditors' Liquidation Claims Due by December 31 --------------------------------------------------------------- Creditors of LLC conneccct have until Dec. 31 to submit their claims to: JSC Allied Finance Trust Bahnhofstrasse 14 8001 Zurich Switzerland The Debtor can be reached at: LLC conneccct Zurich Switzerland COWI-FOODART JSC: St. Gallen Court Closes Bankruptcy Proceedings ---------------------------------------------------------------- The Bankruptcy Service of St. Gallen entered Nov. 19 an order closing the bankruptcy proceedings of JSC COWI-foodart. The Bankruptcy Service of St. Gallen can be reached at: Bankruptcy Service of St. Gallen Addolorata Tazza 9001 St. Gallen Switzerland The Debtor can be reached at: JSC COWI-foodart Industriestrasse 135 9200 Gossau SG Switzerland DUOPLAN LLC: Creditors' Liquidation Claims Due by Feb. 11, 2008 --------------------------------------------------------------- Creditors of LLC Duoplan have until Feb. 11, 2008, to submit their claims to: Josef Wider Freiburgstrasse 101 3174 Thorishaus AG Switzerland The Debtor can be reached at: LLC Duoplan Neuenegg Laupen BE Switzerland EDELWEISS FINANCE: Creditors' Liquidation Claims Due by Dec. 31 --------------------------------------------------------------- Creditors of JSC Edelweiss Finance have until Dec. 31 to submit their claims to: TREUCO Treuhand-Gesellschaft Mail box 2172 8027 Zurich Switzerland The Debtor can be reached at: JSC Edelweiss Finance Geneva Switzerland EITENBERG IMMOBILIEN: Creditors Must File Claims by December 31 --------------------------------------------------------------- Creditors of JSC Eitenberg Immobilien have until Dec. 31 to submit their claims to: Rudolf Graf Liquidator Liseliweg 2 5212 Hausen b. Brugg Brugg AG Switzerland The Debtor can be reached at: JSC Eitenberg Immobilien Hausen AG Switzerland FRITZ STREBEL: Creditors' Liquidation Claims Due by December 31 --------------------------------------------------------------- Creditors of JSC Fritz Strebel have until Dec. 31 to submit their claims to: Thomas Diethelm Liquidator Russikerstr. 71 8320 Fehraltorf Pfaffikon ZH Switzerland The Debtor can be reached at: JSC Fritz Strebel Greifensee ZH Switzerland GERBER HOLZBAU: Creditors' Liquidation Claims Due by December 31 ---------------------------------------------------------------- Creditors of JSC Gerber Holzbau have until Dec. 31 to submit their claims to: Robert Gerber Liquidator Bruschweidstrasse 59 8626 Ottikon Gossau ZH Switzerland The Debtor can be reached at: JSC Gerber Holzbau Gossau ZH Switzerland GONERI BETON: Creditors' Liquidation Claims Due by December 31 -------------------------------------------------------------- Creditors of JSC Goneri Beton und Kies have until Dec. 31 to submit their claims to: Hans-Ulrich Weger 3985 Geschinen Goms VS Switzerland The Debtor can be reached at: JSC Goneri Beton und Kies Oberwald VS Switzerland KEN-CASA HOLDING: St. Gallen Court Closes Bankruptcy Proceedings ---------------------------------------------------------------- The Bankruptcy Service of St. Gallen entered Nov. 16 an order closing the bankruptcy proceedings of JSC Ken-Casa Holding. The Bankruptcy Service of St. Gallen can be reached at: Bankruptcy Service of St. Gallen Branch Kaltbrunn 8722 Kaltbrunn See-Gaster SG Switzerland The Debtor can be reached at: JSC Ken-Casa Holding Bleichestrasse 3 8640 Rapperswil See-Gaster SG Switzerland PARFUMS ELLE: Glarus Court Closes Bankruptcy Proceedings -------------------------------------------------------- The Bankruptcy Service of Glarus entered Nov. 13 an order closing the bankruptcy proceedings of JSC Parfums Elle. The Bankruptcy Service of Glarus can be reached at: Bankruptcy Service of Glarus 8750 Glarus Switzerland The Debtor can be reached at: JSC Parfums Elle Fabrikstrasse 4 8750 Riedern GL Switzerland ROTOLABEL JSC: Creditors' Liquidation Claims Due by December 31 --------------------------------------------------------------- Creditors of JSC ROTOLABEL have until Dec. 31 to submit their claims to: Josef Steinegger Liquidator Hauptstrasse 31 7451 Alvaschein Albula GR Switzerland The Debtor can be reached at: JSC ROTOLABEL Alvaschein Albula GR Switzerland SATI JSC: Creditors' Liquidation Claims Due by December 31 ---------------------------------------------------------- Creditors of JSC Sati have until Dec. 31 to submit their claims to: JSC Risk-Consult Poststrasse 22 6300 Zug Switzerland The Debtor can be reached at: JSC Sati Zug Switzerland SCHNEIDER: Creditors' Liquidation Claims Due by December 31 ----------------------------------------------------------- Creditors of LLC SCHNEIDER Sicherheits-Management have until Dec. 31 to submit their claims to: Wilhelm Schneider Liquidator Maienweg 4 5102 Rupperswil Lenzburg AG Switzerland The Debtor can be reached at: LLC SCHNEIDER Sicherheits-Management Zug Switzerland SWISS FLEXPACKAGING: Creditors Must File Claims by December 31 -------------------------------------------------------------- Creditors of JSC Swiss FlexPackaging have until Dec. 31 to submit their claims to: JSC Swiss FlexPackaging Industriestrasse 31 6300 Zug Switzerland VOCE GROUP: Creditors' Liquidation Claims Due by December 31 ------------------------------------------------------------ Creditors of LLC VOCE Group have until Dec. 31 to submit their claims to: Bruno Schelbert Baarerstrasse 53/55 Mail box: 4559 6304 Zug Switzerland The Debtor can be reached at: LLC Voce Group Zug Switzerland W4B.CH WEBSERVICE: Creditors' Liquidation Claims Due by Dec. 30 -------------------------------------------------------------- Creditors of JSC w4b.ch webservice for business ag have until Dec. 30 to submit their claims to: Roger Nachbur Liquidator Grammetstrasse 14 4410 Liestal BL Switzerland The Debtor can be reached at: JSC w4b.ch webservice for business ag Liestal BL Switzerland ============= U K R A I N E ============= ALMAR LLC: Proofs of Claim Filing Ends Jan. 2, 2008 --------------------------------------------------- Creditors of LLC Almar have until Jan. 2, 2008, to submit written proofs of claim to: The Economic Court of Zaporozhje Shaumiana Str. 4 69001 Zaporozhje Ukraine The Economic Court of Zaporozhje commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed as 21/141/07. The Debtor can be reached at: LLC Almar Apartment 5 Lenskaya Str. 19 69096 Zaporozhje Ukraine DVORECHYEAL ENTERPRISE: Proofs of Claim Filing Ends Jan. 2, 2008 ---------------------------------------------------------------- Creditors of OJSC Dvorechyeal Enterprise of Material-Technical Supply (code EDRPOU 00907467) have until Jan. 2, 2008, to submit written proofs of claims to: The Economic Court of Kharkov Derzhprom 8th Entrance Svoboda Square 5 61022 Kharkov Ukraine The Economic Court of Kharkov commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed as B-39/200-07. The Debtor can be reached at: OJSC Dvorechyeal Enterprise of Material-Technical Supply Pobeda Str. 43 Tavilzhanka Dvorechye District Kharkov Ukraine KHARKOVAL RADIOTELEVISION: Creditors Must File Claims by Dec. 31 ---------------------------------------------------------------- Creditors of State Enterprise Kharkoval Radiotelevision Intermediary Center (code EDRPOU 01188827) have until Dec. 31 to submit written proofs of claims to: The Economic Court of Kharkov Derzhprom 8th Entrance Svoboda Square 5 61022 Kharkov Ukraine The Economic Court of Kharkov commenced bankruptcy supervision procedure on the company on Oct. 16. The case is docketed as B- 39/186-07. The Debtor can be reached at: State Enterprise Kharkoval Radiotelevision Intermediary Center Derevianko Str. 1-A 61103 Kharkov Ukraine KORZHI OJSC: Creditors Must File Claims by January 2, 2008 ---------------------------------------------------------- Creditors of Korzhi OJSC (code EDRPOU 00857309) have until Jan. 2, 2008, to submit written proofs of claim to: The Economic Court of Kiev B. Hmelnitskij Boulevard 44-B 01030 Kiev Ukraine The Economic Court of Kyiv commenced the bankruptcy supervision procedure on the company. The case is docketed as B14/448-07. The Debtor can be reached at: Korzhi OJSC Korzhi Barishovsky District 07500 Kiev Ukraine KRAFT LLC: Creditors Must File Claims by Dec. 31 ------------------------------------------------ Creditors of LLC Kraft (code EDRPOU 30465064) have until Dec. 31 to submit written proofs of claim to: The Economic Court of Dnipropetrovsk Kujbishev Str. 1a 49600 Dnipropetrovsk Ukraine The Economic Court of Dnipropetrovsk commenced bankruptcy supervision procedure on the company on Oct. 17. The case is docketed as B 15/288-07. The Debtor can be reached at: LLC Kraft Trubniki Avenue 25 Nikopol 53210 Dnipropetrovsk Ukraine MOVABLE MECHANIZED 560: Creditors Must File Claims by Dec. 31 ------------------------------------------------------------- Creditors of State Enterprise Specialized Movable Mechanized Column 560 have until Dec. 31 to submit written proofs of claim to: The Economic Court of Herson Gorkiy Str. 18 73000 Herson Ukraine The Economic Court of Herson commenced bankruptcy supervision procedure on the company on Sept. 26. The case is docketed as 5/189-B-07. The Debtor can be reached at: State Enterprise Specialized Movable Mechanized Column 560 Dnieprovsky Lane 6 Novaya Kakhovka 74900 Herson Ukraine REAL METAL: Proofs of Claim Filing Ends December 31 --------------------------------------------------- Creditors of LLC Real Metal Kiev (code EDRPOU 33595271) have until Dec. 31 to submit written proofs of claim to: The Economic Court of Kiev B. Hmelnitskij Boulevard 44-B 01030 Kiev Ukraine The Economic Court of Kyiv commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed as B11/376-07. The Debtor can be reached at: LLC Real Metal Kiev Lenin Str. 24 Ozernaya Belaya Tserkov District 09129 Kiev Ukraine TANAIS-PLUS LLC: Proofs of Claim Filing Ends December 31 -------------------------------------------------------- Creditors of LLC Tanais-Plus (code EDRPOU 31686288) have until Dec. 31 to submit written proofs of claim to: The Economic Court of Zaporozhje Shaumiana Str. 4 69001 Zaporozhje Ukraine The Economic Court of Zaporozhje commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed as 21/134/07. The Debtor can be reached at: LLC Tanais-Plus Lenin Avenue 44/33 Zaporozhje Ukraine TRADEIMPEKS LTD: Creditors Must File Claims by Dec. 31 ------------------------------------------------------ Creditors of LLC Tradeimpeks Ltd (code EDRPOU 34598797) have until Dec. 31 to submit written proofs of claim to: The Economic Court of Odessa Shevchenko Avenue 4 65032 Odessa Ukraine The Economic Court of Odessa commenced bankruptcy supervision procedure on the company. The case is docketed as 7/300-07- 7844. The Debtor can be reached at: LLC Tradeimpeks Ltd. Tchapayev Lane 5A Odessa Ukraine =========================== U N I T E D K I N G D O M =========================== BALLY TECHNOLOGIES: Fitch Lifts Issuer Default Rating to B ---------------------------------------------------------- Fitch Ratings has upgraded Bally Technologies' (NYSE: BYI) Issuer Default Rating and senior secured bank debt ratings as: -- IDR to 'B' from 'B-'; -- Secured bank credit facilities to 'BB/RR1' from 'B/RR3'. The secured credit facilities comprise a term loan with US$292 million outstanding as of Sept. 30, 2007, and a US$75 million revolver. The Rating Outlook was revised to Positive from Stable, which reflects the company's significant progress in terms of its operating performance and its financial restatements as well as expectations of continued improvements in cash flow generation. The rating actions are based on Bally's significantly improved product pipeline and solid acceptance of the Alpha operating system platform over the past couple of years, which is generating meaningful improvement in its financial performance. On Dec. 20, 2007, Bally announced its F1Q'08 (period end Sept. 30, 2007) results and revised its expectations for FY08. Driven by its improved product platform, Bally generated 23% revenue growth to US$189 million in F1Q'08 and expects 27% growth in FY08 to more than US$865 million (up from previous expectations of US$830 million). Reported Adjusted EBITDA more than doubled to US$58.5 million in F1Q'08 compared to US$26.4 million in F1Q'07, so LTM Adjusted EBITDA through Sept. 30, 2007 is roughly US$171 million. Bally's leverage ratio according to its credit facility as of Sept. 30, 2007, was 1.82x versus a maximum allowable of 3.50x. Bally's credit profile has improved dramatically with substantial operating momentum, roughly US$37 million in debt maturities in FY08 and FY09, unrestricted cash balances of US$51.6 mil as of Sept. 30, 2007 (up from US$40.8 million as of June 30, 2007), US$48.7 million available on its credit revolver, and a somewhat flexible capex budget. Tempering the financial improvement is the fact that the company has been under investigation by the SEC since 2005. In its most recent audited 10K dated June 30, 2007, the company continues to note material weaknesses in internal controls over financial reporting, with revenue recognition and inventory valuation among the most significant items. Delinquent SEC filings had been weighing on Bally's credit rating and it appears that Bally has resolved many of its reporting issues with Friday's filing of the F1Q'08 10Q. The company has become up-to-date with its SEC filings, having filed three 10Ks and seven 10Qs since November 2006. Additional concerns include litigation risk and how Bally will fare when the industry enters a new technology-driven upcycle in the next 12 months to 24 months with the onset of server-based gaming, which could benefit Bally as well as the other major players including IGT, WMS, and Aristocrat. While competition has increased since the peak of the last cycle, IGT is likely to remain the dominant player, in Fitch's view, because it has the most financial resources, the broadest product pipeline, and the largest sales/marketing team. Fitch believes Bally's improved financial position and operational turnaround should help it to compete in the next cycle, but maintenance of Bally's recent market share gains could become more challenging. An upgrade from current ratings may be influenced by how Bally performs as server-based gaming becomes commercialized in 2008-2009. The recovery ratings and notching reflect Fitch's recovery expectations under a distressed scenario. Bally's recovery ratings reflect Fitch's expectation that the enterprise value of the company, and hence recovery rates for its creditors, will be maximized in a restructuring scenario (going concern), rather than a liquidation given the company's limited tangible asset base. An 'RR1' recovery rating reflects Fitch's belief that 100% recovery, including the assumption of a fully drawn revolver, is likely under a default scenario. Given the continued strong operating momentum that has generated US$171 million in LTM Adjusted EBITDA, Fitch has updated its default EBITDA assumption for its recovery ratings to US$105 million, or a 38% discount. That is based on the outstanding term loan balance, a fully drawn revolver assumption, and the credit facility's 3.5 times leverage covenant. Fitch believes the credit facility is more than 100% covered with a modest market multiple assumption of 6x, which is below recent industry transactions since the current credit market environment is likely to pressure transaction multiples. Therefore, Fitch's credit facility rating is notched up three to 'BB' from Bally's IDR of 'B'. Fitch's Recovery Ratings are a relative indicator of creditor recovery prospects on a given obligation within an issuers' capital structure in the event of a default. Headquartered in Las Vegas, Nevada, Bally Technologies, Inc. (NYSE: BYI) -- http://www.BallyTech.com/-- designs, manufactures, operates, and distributes advanced gaming devices, systems, and technology solutions worldwide. Bally's product line includes reel-spinning slot machines, video slots, wide- area progressives and Class II lottery and central determination games and platforms. Bally Technologies also offers an array of casino management, slot accounting, bonus, cashless, and table management solutions. The company also owns and operates Rainbow Casino in Vicksburg, Mississippi. The company's South American operations are located in Argentina. The company also has operations in France, Germany, Macau, China, India, and the United Kingdom. BLUE LAGOON: Brings In Liquidators from Mazars ---------------------------------------------- Robert Adamson and Paul Charlton of Mazars LLP were appointed joint liquidators of Blue Lagoon (U.K.) Ltd. on Dec. 12 for the creditors' voluntary winding-up proceeding. The joint liquidators can be reached at: Mazars LLP Mazars House Gelderd Road Gildersome Leeds LS27 7JN England CC BIKES: Joint Liquidators Take Over Operations ------------------------------------------------ Nicholas Hugh O'Reilly and Simon Elliott Glyn of Vantis were appointed joint liquidators of CC Bikes Realisations Ltd. (formerly Colin Collins Ltd.) on Dec. 6 for the creditors' voluntary winding-up proceeding. The joint liquidators can be reached at: Vantis PO Box 2653 66 Wigmore Street London W1A 3RT England CHRYSLER LLC: CEO Confides Confidence in Operations and Finances ---------------------------------------------------------------- "There have been several recent media reports that have painted an inaccurate picture of Chrysler LLC's current financial position," Robert Nardelli, Chrysler LLC's Chairman and CEO, said. "Therefore, the management of Chrysler and our parent company, Cerberus Capital Management, L.P., felt it imperative to correct the record since such misinterpretations and misperceptions are misleading and could leave the wrong impression in the minds of investors and other interested parties. "First and foremost, it is important to note that Chrysler is not only meeting, but, in many cases, exceeding its financial targets heading into 2008. "Importantly, Chrysler has ample liquidity. We are fully funded with working capital to meet our present and future needs and objectives. We are doing what any other prudent company is doing during this challenging economic environment. We are trying to instill a sense of urgency throughout the workforce, putting our capital to work effectively and efficiently, streamlining inventory, improving current products and developing new and innovative vehicles. Our dealer body is quite pleased that our inventory of vehicles was down another 4% in November. "In a 13-hour meeting this week with the Cerberus board of directors, Cerberus praised and was highly complimentary of Chrysler's progress to date and unanimously approved our 2008 plan. We have a solid strategic direction to return the company to long-term profitability. We are on target and have the unwavering support of Cerberus, as well as our other key partner, Daimler AG. "Cerberus met with its investors on Dec. 20, 2007, to share the progress that has been made and to convey to these investors that the company was meeting -- and in many cases -- exceeding its targets. The report was well received. "Like many companies in today's uncertain economic environment, Chrysler is moving aggressively to improve its business. We recognized in advance the increasingly competitive vehicle market heading into 2008. With that, we have been moving aggressively to make our company leaner. The steps we are taking include previously announced volume-related reductions at several North American assembly and powertrain plants and the elimination of four products from our lineup, which is very customary in the auto industry. "However, we are very excited about the new products coming in 2008. These include the legendary Dodge Ram pickup truck, the Dodge Journey crossover, the relaunch of the historic Dodge Challenger -- which has already generated 8,851 customer orders -- and two, all-new, large hybrid SUVs, the Chrysler Aspen and the Dodge Durango, demonstrating our support for the environment and more fuel-efficient vehicles. "For our current vehicle line-up we have already approved more than 260 line item improvements to enhance our products -- most for the 2008 calendar year. "The recently completed national labor agreement with the United Auto Workers -- which includes the establishment of an independent retiree health care trust -- provides a framework to improve the long-term competitiveness of the company. "Since August and the first day of the new company, the management team has been working to improve Chrysler's working capital, disposing of non-core (or non-earning) assets and reinvesting this cash into product development, new technology and new innovations for our customers." Mr. Nardelli's statement can be attributed to Mark Neporent, Chief Operating Officer and General Counsel of Cerberus Capital Management L.P.: "We remain extremely enthusiastic about our investment in Chrysler. Our underwriting assumed, and fully planned, that Chrysler would incur losses in the near term. Under the leadership of Bob Nardelli, Tom LaSorda and Jim Press, Chrysler is already on track to exceed its multi-year restructuring and recovery plan on virtually all key metrics. We met with the management team this week and fully endorse their strategic direction and their plan to meet the challenges of the current environment. We are confident that Bob, Jim and Tom are taking the right steps to bring Chrysler to profitability. Our mutual resolve to restore Chrysler to its leadership position as an iconic brand is unwavering." About Chrysler LLC Headquartered in Auburn Hills, Michigan, Chrysler LLC -- http://www.chrysler.com/-- a unit of Cerberus Capital Management LP, produces Chrysler, Jeep(R), Dodge and Mopar(R) brand vehicles and products. The company has dealers worldwide, including Canada, Mexico, U.S., Germany, France, U.K., Argentina, Brazil, Venezuela, China, Japan and Australia. * * * As reported in the Troubled Company Reporter on Nov. 12, 2007, Standard & Poor's Ratings Services affirmed its 'B' corporate credit rating on Chrysler LLC and DaimlerChrysler Financial Services Americas LLC and removed it from CreditWatch with positive implications, where it was placed Sept. 26, 2007. The outlook is negative. FORD MOTOR: Resumes Pay Hikes for White-Collared Workers in 2008 ---------------------------------------------------------------- Ford Motor Co. and General Motors Corp. will resume salary increases of white-collared employees in 2008, various reports say. The Detroit News relates that after discontinuing pay hikes in 2007, Ford announced that its white-collared workers will get 2.7% wage increases based on business conditions and employee performance in April. GM spokeswoman Brenda Rios confirmed that GM has consented to dipping into the merit fund to give out to workers as salary raises in the first half of 2008, Sharon Terlep of The Detroit News reports. However, the automaker hasn't disclosed how much it will release to each worker. Ford is also mulling shelling out annual bonuses to 54,000 United Auto Workers union workers in 2008 as promised, Staff writer Sarah A. Webster of the Free Press relates. In 2006, GM and Ford, the Detroit News says, offered wage hikes while Chrysler LLC didn't. Although, this year, Chrysler did, while GM and Ford didn't. Chrysler spokesman Kevin McCormick says he is not sure if the carmaker will have pay increases next year. About GM Headquartered in Detroit, Michigan, General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- was founded in 1908. GM employs about 280,000 people around the world and manufactures cars and trucks in 33 countries, including the United Kingdom, Germany, France, Russia, Brazil and India. In 2006, nearly 9.1 million GM cars and trucks were sold globally under the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab, Saturn and Vauxhall. GM's OnStar subsidiary is the industry leader in vehicle safety, security and information services. About Ford Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) -- http://www.ford.com/-- manufactures or distributes automobiles in 200 markets across six continents. With about 260,000 employees and about 100 plants worldwide, the company's core and affiliated automotive brands include Ford, Jaguar, Land Rover, Lincoln, Mercury, Volvo, Aston Martin, and Mazda. The company provides financial services through Ford Motor Credit Company. The company has operations in Japan in the Asia Pacific region. In Europe, the company maintains a presence in Sweden, and the United Kingdom. The company also distributes its brands in various Latin American regions, including Argentina and Brazil. * * * As reported in the Troubled Company Reporter on Nov. 19, 2007, Moody's Investors Service affirmed the long-term ratings of Ford Motor Company (B3 Corporate Family Rating, Ba3 senior secured, Caa1 senior unsecured, and B3 probability of default), but changed the rating outlook to Stable from Negative and raised the company's Speculative Grade Liquidity rating to SGL-1 from SGL-3. Moody's also affirmed Ford Motor Credit Company's B1 senior unsecured rating, and changed the outlook to Stable from Negative. These rating actions follow Ford's announcement of the details of the newly ratified four-year labor agreement with the UAW. GENERAL MOTORS: Resumes Pay Hikes for Salaried Employees in 2008 ---------------------------------------------------------------- General Motors Corp. and Ford Motor Co. will resume salary increases of white-collared employees in 2008, various reports say. As reported in the Troubled Company Reporter on Feb. 13, 2006, GM unveiled new actions to support its ongoing North American turnaround plan. The new actions are expected to generate savings, stem losses, reduce costs and business risks, and further enhance GM's financial flexibility. A major part of the turnaround plan is for GM Chairman and CEO Rick Wagoner and other senior officers and directors to take pay cuts and for the company to slash its cash dividends. GM spokeswoman Brenda Rios confirmed that GM has consented to dipping into the merit fund to give out to workers as salary raises in the first half of 2008, Sharon Terlep of The Detroit News reports. Although, the automaker hasn't disclosed how much it will release to each worker. The Detroit News relates that after discontinuing pay hikes in 2007, Ford announced that its white-collared workers will get 2.7% wage increases based on business conditions and employee performance in April. Ford is also mulling shelling out annual bonuses to 54,000 United Auto Workers union workers in 2008 as promised, Staff writer Sarah A. Webster of the Free Press relates. In 2006, GM and Ford, the Detroit News says, offered wage hikes while Chrysler LLC didn't. Although, this year, Chrysler did, while GM and Ford didn't. Chrysler spokesman Kevin McCormick says he is not sure if the carmaker will have pay increases next year. About Ford Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) -- http://www.ford.com/-- manufactures or distributes automobiles in 200 markets across six continents. With about 260,000 employees and about 100 plants worldwide, the company's core and affiliated automotive brands include Ford, Jaguar, Land Rover, Lincoln, Mercury, Volvo, Aston Martin, and Mazda. The company provides financial services through Ford Motor Credit Company. The company has operations in Japan in the Asia Pacific region. In Europe, the company maintains a presence in Sweden, and the United Kingdom. The company also distributes its brands in various Latin American regions, including Argentina and Brazil. About GM Headquartered in Detroit, Michigan, General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- was founded in 1908. GM employs about 280,000 people around the world and manufactures cars and trucks in 33 countries, including the United Kingdom, Germany, France, Russia, Brazil and India. In 2006, nearly 9.1 million GM cars and trucks were sold globally under the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab, Saturn and Vauxhall. GM's OnStar subsidiary is the industry leader in vehicle safety, security and information services. * * * As reported in the Troubled Company Reporter on Nov. 9, 2007, Moody's Investors Service affirmed its rating for General Motors Corporation (B3 Corporate Family Rating, Ba3 senior secured, Caa1 senior unsecured and SGL-1 Speculative Grade Liquidity rating) but changed the outlook to Stable from Positive. In an environment of weakening prospects for US auto sales GM has announced that it will take a non-cash charge of US$39 billion for the third quarter of 2007 related to establishing a valuation allowance against its deferred tax assets (DTAs) in the US, Canada and Germany. As reported in the Troubled Company Reporter on Oct. 23, 2007, Standard & Poor's Ratings Services affirmed its 'B' corporate credit rating and other ratings on General Motors Corp. and removed them from CreditWatch with positive implications, where they were placed Sept. 26, 2007, following agreement on the new labor contract. The outlook is stable. GENERAL MOTORS: Sells 1 Million Vehicles in China in One Year ------------------------------------------------------------- General Motors Corp. became the first global automaker to sell 1 million vehicles in China in a single year today when GM China Group President and Managing Director Kevin Wale handed the keys to a Buick Park Avenue to Mr. Zhang Jianping at Shanghai GM's corporate showroom in Shanghai. "Becoming the first global manufacturer to sell 1 million vehicles in China is a demonstration of the strength of our product, our people and our partnerships," GM Chairman and CEO Rick Wagoner said. "China is a very important market, and we're extremely proud of the contribution we have been able to make to the growth and development of its automotive industry. It's been an extremely beneficial relationship for both sides." GM sales in China first surpassed 100,000 units annually back in 2002. Since then, GM sales have enjoyed steady growth, topping 500,000 annual sales in 2005, thanks to its growing lineup of brands and vehicles. The milestone million mark featured GM's best-known and strongest brand in China, Buick. "I'm extremely honored to be the one millionth customer in 2007 for General Motors," Mr. Zhang said. "This is my second Buick and I appreciate the performance, safety and durability of Buick. In addition, I was very satisfied with the fuel economy of my first car. After comparing other products in the premium segment for my next car, it made perfect sense to choose the Park Avenue." "From day one, GM and our partners have been committed to continually rolling out new and upgraded models, with specific engineering done in China for China to satisfy the needs of Chinese vehicle buyers across the country," Mr. Wagoner added. This year, GM and its joint venture partners have begun offering several new products, including the Cadillac SLS luxury business sedan, Buick Park Avenue premium sedan, Chevrolet Captiva SUV, all-new Chevrolet Epica intermediate sedan and Wuling Hong Tu minivan. According to Wagoner, reaching the new sales mark in 2007 is especially significant as it is taking place in a year in which GM has celebrated several milestones in China. Both Shanghai GM, the automaker's flagship manufacturing joint venture, and the Pan Asia Technical Automotive Center (PATAC), GM's engineering and design joint venture with Shanghai Automotive Industry Corporation (SAIC), marked their 10th anniversaries earlier this year. SAIC-GM-Wuling, GM's mini-vehicle joint venture, also celebrated its fifth anniversary. About GM Headquartered in Detroit, Michigan, General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- was founded in 1908. GM employs about 280,000 people around the world and manufactures cars and trucks in 33 countries, including the United Kingdom, Germany, France, Russia, Brazil and India. In 2006, nearly 9.1 million GM cars and trucks were sold globally under the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab, Saturn and Vauxhall. GM's OnStar subsidiary is the industry leader in vehicle safety, security and information services. * * * As reported in the Troubled Company Reporter on Nov. 9, 2007, Moody's Investors Service affirmed its rating for General Motors Corporation (B3 Corporate Family Rating, Ba3 senior secured, Caa1 senior unsecured and SGL-1 Speculative Grade Liquidity rating) but changed the outlook to Stable from Positive. In an environment of weakening prospects for US auto sales GM has announced that it will take a non-cash charge of US$39 billion for the third quarter of 2007 related to establishing a valuation allowance against its deferred tax assets (DTAs) in the US, Canada and Germany. As reported in the Troubled Company Reporter on Oct. 23, 2007, Standard & Poor's Ratings Services affirmed its 'B' corporate credit rating and other ratings on General Motors Corp. and removed them from CreditWatch with positive implications, where they were placed Sept. 26, 2007, following agreement on the new labor contract. The outlook is stable. INTERMEC TECH: Hires David Yung as Asia Pacific Vice President -------------------------------------------------------------- Intermec Technologies Inc. has appointed David Yung as its Vice President and General Manager, Asia Pacific Region. Mr. Yung is a technology veteran with over twenty years of general management experience in the Asia Pacific region. Mr. Yung was most recently at RS Components LTD, where he served as Asia Pacific, General Manager. He was responsible for building out a partner and distribution network for a B-to-B electronic and automation instrumentation business line. Previous to his role at RS Components, Mr. Yung was the Managing Director at Lenovo, Inc., leading an enterprise sales capture team focusing on large project awards and deployments to top tier clients throughout Northern and Southern Asia. "David is a results oriented general manager who demonstrates effective team building, communications and planning skills," said Michael A. Wills, SVP of Global Sales and Service. "These leadership skills are a vital component to our growth prospects in the Asia Pacific region." About Intermec Inc. Intermec Inc. -- http://www.intermec.com/-- develops, manufactures and integrates technologies that identify, track and manage supply chain assets. Core technologies include RFID, mobile computing and data collection systems, bar code printers and label media. The company has locations in Australia, Bolivia, Brazil, China, France, Hong Kong, Singapore and the United Kingdom. * * * Standard & Poor's Rating Services raised its ratings on Everett, Washington-based Intermec Inc. to 'BB-' from 'B+'. The upgrade reflects expectations that Intermec will sustain current levels of profitability and leverage. S&P said the outlook is stable. MAMA PRODUCTIONS: Taps Liquidators from Vantis ---------------------------------------------- Peter James Hughes-Holland and Frank Wessely of Vantis were appointed joint liquidators of Mama Productions Ltd. on Dec. 14 for the creditors' voluntary winding-up proceeding. The joint liquidators can be reached at: Vantis 81 Station Road Marlow Buckinghamshire SL7 1NS England The company can be reached at: Mama Productions Ltd. 21 Market Square Bicester Oxfordshire OX26 6AD England RMAC SECURITIES: Moody's Cuts Ratings to Ba2 on Three Notes ----------------------------------------------------------- Moody's Investors Service downgraded or placed on review for possible downgrade these series of notes issued by RMAC Securities No. 1 Plc: * Series 2006-NS2, Class M2c -- Current Rating: A2, on review for possible downgrade * Series 2006-NS2, Class B1a -- Current Rating: Baa3, on review for possible downgrade * Series 2006-NS2, Class B1c -- Current Rating: Baa3, on review for possible downgrade * Series 2006-NS3, Class M2c -- Current Rating: A3 -- Prior Rating: A2 * Series 2006-NS3, Class B1c -- Current Rating: Ba2 -- Prior Rating: Baa3 * Series 2006-NS4, Class M2a -- Current Rating: A3 -- Prior Rating: A2 * Series 2006-NS4, Class M2c -- Current Rating: A3 -- Prior Rating: A2 * Series 2006-NS4, Class B1a -- Current Rating: Ba2 -- Prior Rating: Baa3 * Series 2006-NS4, Class B1c -- Current Rating: Ba2 -- Prior Rating: Baa3 The classes of notes that have been downgraded were previously placed on review for possible downgrade on the Oct. 3, 2007. At that time, Moody's noted that interest rate volatility was adversely affecting these transactions because they had no protection from interest rate risk or basis risk. The reduced excess spread available in these transactions has necessitated new or further drawings in the reserve funds, notwithstanding the relatively good performance of the collateral backing the outstanding notes. As of the latest interest payment date in December 2007, the reserve fund of the Series 2006-NS3 was drawn for the second consecutive time leaving in the transaction a reserve fund equal to 73% of the required amount. The reserve funds of Series 2006-NS2 and 2006- NS4 were also drawn for the first time and their current balances are now equal, respectively, to 86% and 87% of the corresponding required amounts. Considering the level at which the note Libor for the RMAC Series has reset in December 2007 (6.63%), and the recently reduced Bank of England Base Rate (5.50%), Moody's expects these transactions to continue to be exposed for at least another quarter to spread compression above the levels Moody's assumed when these transactions closed. These rating actions reflect the negative effects of this interest rate volatility, taking into account the different seasoning of the collateral, the performance exhibited so far and the available credit enhancement in these structures. TATA MOTORS: Launches New Medium & Heavy Commercial Vehicles ------------------------------------------------------------ Tata Motors Ltd last week unveiled its new and exciting range of Medium and Heavy Commercial vehicles in Pune. This year, Tata Motors will redefine motoring solutions in the country with its all-new range in Medium and Heavy Commercial Vehicles. These trucks and value-added applications clearly signal Tata Motors commitment to bringing customised solutions with the latest technologies. It will be the first time that these many new models are being launched in a single year. Commenting on the launches, the Executive Director of Tata Motors Commercial Vehicle Business Unit, P.M. Telang said, "It gives me immense pleasure to showcase our new range of medium and heavy commercial vehicles. With the introduction of this new range, Tata Motors reiterates its leadership position in providing the best commercial vehicle solutions for its customers and business partners. The new product range further enhances the company's image as a value-added M&HCV manufacturer". The Medium and Heavy Commercial Vehicles range on display includes: 1. The Tata LPS 4930 Novus-6x4 BSII Tractor is a 49 ton 6X4 Novus tractor. The vehicle has a contemporary and a luxurious AC cabin, which is customised for optimum performance in Indian conditions. It is fitted with ATOS 80 frame to withstand toughest operating condition. It has 11 R 20 radial tyres along with ABS technology to provide maximum safety. The maximum power capacity of the vehicle is 295.8HP at 2200 rpm and torque of 1127 Nm@1400 rpm and 25% gradeability. It is also factory fitted with GPS/ Data logger solution. It has been fitted with a maximum gear speed of 82 kmph. Ideal vehicle for container, steel, cement and petroleum. 2. TheTata LPS 4923 TC 6x4 BS II Tractor is a 49ton GCW Tractor-Trailer. The vehicle has been fitted with a proven world class Cummins engine with matching Eaton gearbox. It offers 25% gradeability for use in tough terrains. The vehicle has inverted bogie suspension, which has long life and good axle alignment retention property, used for the first time by Tata Motors in this class of vehicle. It is a durable and world-class vehicle, with easy maintenance, less down time and offers enhanced safety and comfort features. The engine delivers a superior power of 230HP. Its torque is 814 Nm resulting in less fatigue and more mileage. The vehicle has been fitted with an Anti Lock Brake System. The Tata LPS 4923 offers some more additional product features such as inter-axle differential lock, serrated coupling, small silencer size, propeller shaft, water-cooled compressor, air-assisted clutch booster. It has 3 variants - cowl, cabin chassis and fully built with 3-axle trailer. Ideal vehicle for steel coil, cement, containers and ODC (over dimensional cargo). 3. The Tata LPT 3118 TC 8x2 BS II Truck is India's first 8 X 2 Multi Axle truck with 'Lift Axle'. It is fitted with Automatic Load Sensing Value for optimum Lift Axle function. The Gross Vehicle Weight (GVW) is 31,000 kgs, thus offering more payload, minimum operating cost and in turn more earnings for the customer. It delivers a maximum power of 177HP at 2500 rpm and torque of 650 Nm@1500 rpm and gradeability of 21%. It has a max gear speed of 79.1kmph, an overall length of 9290 mm (for cab) and a ground clearance of 248 mm. It has three variants -- cowl, cab chassis and cab load body. Ideal vehicle for cement, containers, tankers, petrochemicals, fertilizers, food grain, timber and general cargo. 4. The Tata LPT 2516 Super Turbo Multi Axle Truck provides the best fuel efficiency in its class coupled with superior power pick-up and speed. It is powered by 160 PS, 697 turbocharged intercooled diesel engine. This is the first time that radial tyres have been offered as a standard fitment. The new engine comes with a Waste Gate Turbo Charger, Special Cylinder Head and Combustion Chamber, Pistons and High Pressure Injectors. The vehicle has booster assisted clutch, making clutch operation as smooth as a car. The vehicle provides the owner superior fuel efficiency, faster turnaround time, improved tyre life and better drivability. Ideal vehicle for the use of cement, tankers, fertilisers, foodgrains and general cargo. 5. The Tata LPK 2518 TC 6x4 BS II Tipper has high power and torque with a higher gradeability of 24%. It has contemporary ribless body design with a meritor MT 28 1495 heavy duty axle, G750 6-speed gearbox. The Cummins engine delivers a maximum power 176HP at 2250rpm. The torque is 654 Nm at 1500 rpm and has a FC tipping to provide more stability during tipping at uneven surfaces. Its wheelbase is 3880 mm and has a maximum gear speed of 70 kmph. It overall length is 6830 mm (for 38 W.B for chassis with N.S cab). It has an option of 20 cubic metres body on 48WV. Ideal vehicle for light mining, construction and road work. 6. The Tata LPK 1618 BS II Tipper is India's first 4 X 2 front end tipper with 176HP Cummins engine, which delivers a maximum power of 176.9HP at 2500 rpm and a high torque of 650 Nm at 1500 rpm. Further it comes with a clutch booster for driving comfort. The Tipper has the highest gradebality in its class of vehicle range of 35%, and offers contemporary ribless body design. This offers the best driving comfort to the customers. The LPK 1618 TC is available in three variants -- 10 cum box, 8 cum box and 7 cum scoop load bodies. It has a 3600mm wheelbase and is also available in 3200mm wheelbase. Ideal vehicle for mining (iron ore, O&B removal), tough construction sites like dam, irrigation, etc. Multiple Applications Applications such Trailer Transit Mixers, Tip Trailers, Side Walled-Trailers, Garbage Compactors, Reefer Trucks, Dumper Placers, Hi-Decks and Half Decks have been introduced on these and other M&HCV's, making the range robust. About Tata Motors India's largest automobile company, Tata Motors Limited -- http://www.tatamotors.com/-- is mainly engaged in the business of automobile products consisting of all types of commercial and passenger vehicles, including financing of the vehicles sold by the Company. The Company's operating segments consists of Automotive and Others. In addition to its automotive products, it offers construction equipment, engineering solutions and software operations. Tata Motors has operations in Russia and the United Kingdom. * * * Standard & Poor's Ratings Services, on July 13, 2007, assigned its 'BB+' issue rating to the proposed US$490 million zero- coupon convertible bonds of India's Tata Motors Ltd. (BB+/Stable/--). The bonds represent a direct, unsecured and unsubordinated obligation of the company. Proceeds from the bonds will be used for capital expenditure, overseas investments, acquisitions, and other general corporate purposes. Moody's Investors Service, on July 26, 2005, gave Tata Motors 'Ba1' long-term corporate family and senior unsecured debt ratings. TATA MOTORS: To Participate in 9th Auto Expo Beginning Jan. 9 ------------------------------------------------------------- Tata Motors and Fiat India Automobile Private Limited are participating jointly in the 9th Auto Expo in New Delhi, beginning on Jan. 9, 2008, with a pavilion spread over 5,200 square metres. Tata Motors will display a range of new passenger vehicles, while Fiat will display passenger cars from its international range. From its commercial vehicles business, Tata Motors' displays will include buses from the joint venture with Marcopolo of Brazil, newly developed multi-axle heavy trucks, pickup vehicles, applications of panel vans, and new mini- trucks. In keeping with the company's tradition of unveiling its new cars at the Auto Expo, the company will present its People's Car, which will be unveiled at a special ceremony on Jan. 10. Although the People's Car will be unveiled at the Expo, the commercial launch will take place later in 2008. The New Delhi Auto Expo, which is a biennial event, has been the glittering showcase of the Indian automobile and auto-component industry for the last 18 years. A complete automotive show, it is a platform for the world to display state-of-the-art and latest developments in the automotive industry. India's largest automobile company, Tata Motors Limited -- http://www.tatamotors.com/-- is mainly engaged in the business of automobile products consisting of all types of commercial and passenger vehicles, including financing of the vehicles sold by the Company. The Company's operating segments consists of Automotive and Others. In addition to its automotive products, it offers construction equipment, engineering solutions and software operations. Tata Motors has operations in Russia and the United Kingdom. * * * Standard & Poor's Ratings Services, on July 13, 2007, assigned its 'BB+' issue rating to the proposed US$490 million zero- coupon convertible bonds of India's Tata Motors Ltd. (BB+/Stable/--). The bonds represent a direct, unsecured and unsubordinated obligation of the company. Proceeds from the bonds will be used for capital expenditure, overseas investments, acquisitions, and other general corporate purposes. Moody's Investors Service, on July 26, 2005, gave Tata Motors 'Ba1' long-term corporate family and senior unsecured debt ratings. VONAGE HOLDINGS: Settles AT&T Patent Feud; Agrees to Pay US$39MM ---------------------------------------------------------------- Vonage Holdings Corp. and AT&T have entered into a definitive agreement to settle their patent dispute. The companies had agreed in principle to a settlement on Nov. 7, 2007. The company reached an agreement in principle with AT&T to settle the IP litigation suit which was filed on Oct. 17, 2007. Specifically, AT&T filed suit against Vonage in the District Court, Western District of Wisconsin, concerning Patent No. 6,487,200, entitled "Packet Telephone System". The parties will work diligently to finalize the specific terms of the settlement agreement. The general terms being discussed by the parties would require Vonage to pay US$39 million over five years. AT&T would agree to dismiss the lawsuit against Vonage, and Vonage would agree to dismiss a case against AT&T which is also outstanding. If negotiations of a definitive settlement agreement fail, then Vonage intends to vigorously defend itself in this matter. About Vonage Headquartered in Holmdel, New Jersey, Vonage Holdings Corp. (NYSE:VG) -- http://www.vonage.com/-- provides broadband telephone services with over 1.4 million subscriber lines as of February 8, 2006. Utilizing its voice over Internet protocol technology platform, the company offers feature-rich, low-cost communications services with a call quality comparable to traditional telephone services. While customers in the United States represent over 95% of its subscriber lines, Vonage continues to expand internationally, having launched its service in Canada in November 2004, and in the United Kingdom in May 2005. * * * At Sept. 30, 2007, Vonage Holdings Corp.'s consolidated balance sheet showed US$665.8 million in total assets and US$728.7 million in total liabilities, resulting in a US$62.9 million total shareholders' deficit. WATCHBELL LTD: Calls In Liquidators from KPMG --------------------------------------------- Richard J. Hill and Paul Andrew Flint of KPMG LLP were appointed joint liquidators of Watchbell Ltd. on Dec. 17 for the creditors' voluntary winding-up proceeding. Mr. Hill can be reached at: KPMG LLP, Restructuring 100 Temple Street Bristol BS1 6AG Mr. Flint can be reached at: KPMG LLP, Restructuring St. James Square Manchester M2 6DS England WOTADOO LTD: Appoints M. C. Bowker as Liquidator ------------------------------------------------ M. C. Bowker of Tenon Recovery was appointed liquidator of Wotadoo Ltd. on Dec. 17 for the creditors' voluntary winding-up procedure. The liquidator can be reached at: Tenon Recovery Clive House Clive Street Bolton BL1 1ET England ********* 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/booksto 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, Pius Xerxes Tovilla, Kristina A. Godinez, Patrick Abing and Marites Claro, Editors. Copyright 2007. All rights reserved. ISSN 1529-2754. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR Europe subscription rate is US$625 per half-year, delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are US$25 each. For subscription information, contact Christopher Beard at 240/629-3300. * * * End of Transmission * * *