/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/080129.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 Tuesday, January 29, 2008, Vol. 8, No. 20 Headlines A U S T R I A D.S. KONSTRUKTION: Claims Registration Period Ends Feb. 7 ELTNER MANAGEMENT: Claims Registration Period Ends February 6 FASSADEN YAVUZ: Wiener Neustadt Court Orders Business Shutdown HEIMBUCHER TRANSPORTE: Claims Registration Ends Feb. 4 ING. BUESING: Claims Registration Period Ends Feb. 1 LIION LLC: Claims Registration Period Ends Feb. 4 M & S BAU: Claims Registration Period Ends Feb. 4 R. GRAF & CO: Graz Court Orders Business Shutdown SIGLAM-SECUGLASS: Claims Registration Period Ends Feb. 4 SPORTBAU LLC: Steyr Court Orders Business Shutdown B E L G I U M ADVANCED MICRO: Fitch Further Junks Senior Unsecured Debt CHIQUITA BRANDS: May Bid for Five Million Boxes of Bananas MEGA BRANDS: Posts US$11 Million Net Loss in 2007 Third Quarter POPE & TALBOT: Auction of Remaining Wood Products Business Set POPE & TALBOT: Pulp Business Amended Bidding Procedures Approved POPE & TALBOT: Pwc Recommends Extension of Stay Period QUEBECOR WORLD: Bankruptcy Won't Affect Quebecor Inc. and Units QUEBECOR WORLD: Taps Richard Kibbe as Conflicts Counsel QUEBECOR WORLD: Wants Donlin Recano as Claims and Noticing Agent TENNECO INC: Incurs US$72 Million Net Loss in Fourth Quarter D E N M A R K BLOCKBUSTER INC: Movie Gallery Acquisition Unlikely, COO Says F R A N C E DELPHI CORP: To Sell Steering Business to Platinum Equity DELPHI CORP: Bankruptcy Court Confirms Amended Chapter 11 Plan GOODYEAR TIRE: European Unit Eyes Production Cuts in France HEXCEL CORP: Net Income Down to US$13 Million in Fourth Quarter IMMI BAROSTAR: Besancon Court Orders Administration PRIDE INT'L: Awards Ultra-Deepwater Drillship Deal to Samsung G E R M A N Y AMCO TONTRAGER: Claims Registration Ends Feb. 19 BAUCENTER ANDREAS: Claims Registration Period Ends Feb. 18 DENTAL EXCELLENCE: Claims Registration Ends Feb. 19 ELEKTRO MELZER: Claims Registration Period Ends Feb. 6 FAHRZEUG SERVICE: Claims Registration Period Ends Feb. 18 FDD FORMULAR: Claims Registration Ends Feb. 19 H+S ENTERTAINMENT: Claims Registration Period Ends Feb. 5 KARLSRUHE EINS: Claims Registration Period Ends Feb. 18 LOELL'S WURSTER: Claims Registration Period Ends Feb. 18 MERIDIAN VERWALTUNGS: Claims Registration Ends Feb. 18 MOEBEL MAIWALD: Claims Registration Period Ends Feb. 18 PIN GROUP: Private Equity Firms In Talks to Acquire Business PIN GROUP: To Carry Out Statutory Minimum Wage This Month SCHUSTER UMWELTDIENST: Claims Registration Period Ends Feb. 8 SDS GMBH: Claims Registration Period Ends Feb. 18 SPASS IM PARK: Claims Registration Period Ends Feb. 3 SPATH GMBH: Claims Registration Period Ends Feb. 18 TEKIN BAU: Claims Registration Period Ends Feb. 18 WEITRONIC GMBH: Claims Registration Period Ends Feb. 18 WSW BAUTAGER: Claims Registration Ends Feb. 18 ZECHEN GASTRO: Claims Registration Ends Feb. 18 H U N G A R Y PROPEX INC: Gets Interim OK to Use BNP Paribas' Cash Collateral PROPEX INC: Wants Until April 2 to File Schedules & Statements SUN MICROSYSTEMS: Earns US$260 Mln in Second Qtr. Ended Dec. 30 I T A L Y ALITALIA SPA: Political Crisis Spurs Parties to Speed Up Talks FIAT SPA: Posts EUR58.5 Billion in Revenues for Fiscal Year 2007 TRW AUTOMOTIVE: Earns US$23 Mln in Third Quarter Ended Sept. 28 TRW AUTOMOTIVE: Moody's Affirms 'Ba2' Corporate Family Rating XEROX CORPORATION: Earns US$1.1 Billion in 2007 K A Z A K H S T A N AGRO SNAB: Proof of Claim Deadline Slated for Feb. 27 ALFA TRANS: Creditors Must File Claims by Feb. 27 AMANKARAGAISKAYA MTS: Claims Filing Period Ends Feb. 22 ATAKENT-NUR LLP: Creditors' Claims Due on Feb. 22 INTER COMMERCE: Claims Registration Ends Feb. 27 ENERGO-TRANSIT LLP: Claims Deadline Slated for Feb. 27 ISLAM & K: Creditors Must File Claims by Feb. 22 KAZINVEST MINERAL: Claims Filing Period Ends Feb. 27 LEX DOMINUS: Creditors' Claims Due on Feb. 27 RAITEPLOCOMMUNEENERGO LLP: Claims Registration Ends Feb. 22 K Y R G Y Z S T A N ELECTRO STROY: Creditors Must File Claims by Feb. 15 L U X E M B O U R G EVRAZ GROUP: Completes Acquisition of Claymont Steel EVRAZ GROUP: Acquires 100% of ZapSibTETs After Buyout Offer PIN GROUP: Private Equity Firms In Talks to Acquire Business PIN GROUP: To Carry Out Statutory Minimum Wage This Month N E T H E R L A N D S IMPRESS HOLDINGS: S&P Affirms B+ Ratings on Delayed IPO KHAMSIN CREDIT: Moody's Cuts Rating to B3 on Series 6 Notes ROSNEFT OIL: To Receive US$2 Billion Loan from Vnesheconombank X5 RETAIL: Banks Commence Syndication for US$1.1 Bln Facility P O L A N D OPTIMUS SA: Files Another Bankruptcy Petition R U S S I A EVRAZ GROUP: Completes Acquisition of Claymont Steel EVRAZ GROUP: Acquires 100% of ZapSibTETs After Buyout Offer X5 RETAIL: Banks Commence Syndication for US$1.1 Bln Facility S P A I N SANTANDER HIPOTECARIO 4: Fitch Junks EUR14.8 Mln Class F Notes S W E D E N AVNET INC: Earns US$142.2 Million in Second Qtr. Ended Dec. 29 S W I T Z E R L A N D DISCO BAR: Lucerne Court Starts Bankruptcy Proceedings GALCOMET JSC: Creditors' Liquidation Claims Due by Feb. 4 MONITOR TOOLS: Creditors' Liquidation Claims Due by Feb. 4 SAFEX JSC: Zug Court Starts Bankruptcy Proceedings SATROP HOLDING: Creditors' Liquidation Claims Due by Feb. 4 SCHUHHAUS SCHUBIGER: Creditors Must File Claims by Feb. 4 WEP SYSTEMS: Creditors' Liquidation Claims Due by Feb. 4 WERNER ELSIG: Creditors' Liquidation Claims Due by Feb. 4 U K R A I N E CHEMISTRY TRADE: Proofs of Claim Filing Ends Feb. 7 COMBI-SERVICE LLC: Creditors Must File Claims by Feb. 7 ENERGY LIGHT: Proofs of Claim Filing Ends Feb. 7 EUPATORIYA MEAT-PACKING: Creditors Must File Claims by Feb. 7 FOZZI-STRATE LLC: Creditors Must File Claims by Feb. 7 FRUIT AND VEGETABLES: Creditors Must File Claims by Feb. 7 GLOBUS-LTD-TRADE LLC: Proofs of Claim Filing Ends Feb. 7 JUPITER-COMPANY LLC: Proofs of Claim Filing Ends Feb. 7 RESOURCES-2001 LLC: Creditors Must File Claims by Feb. 7 TECHNO-ART LLC: Creditors Must File Claims by Feb. 7 YENAKIYEVO MOTORCAR 11469: Creditors' Claim Due Feb. 7 U N I T E D K I N G D O M AXIUM INTERNATIONAL: Unit to Sell All Assets to MPS Group BARABAS CULTURAL: Brings In Liquidators from Tenon Recovery CASTLE FINANCE: Moody's Junks Series 4 EUR20 Million Notes CAVALIER TECHNICAL: Taps Liquidators from Vantis CHESS III: Moody's Junks Series 2007-1 EUR100 Million Notes CHRYSLER LLC: Invests US$27 Million in Toledo Machining Plant DCL INTERIORS: Taps Begbies Traynor to Administer Assets DOLCIS LTD: Appoints Joint Administrators from KPMG GETTY IMAGES: S&P Holds BB Corp. Credit Rating with Neg. Outlook FORD MOTOR: Auto Credit Arm Earns US$775 Million in 2007 FORD MOTOR: Posts US$2.7 Billion Net Loss in Fiscal Year 2007 HAINES WATTS: Appoints Joint Administrators from PwC HH ON-LINE: Joint Liquidators Take Over Operations INSIGHT MANAGEMENT: Calls In Liquidators from Moore Stephens MAULER PLASTICS: Appoints Liquidators from Vantis RANK GROUP: Nears GBP700 Mln Pension Scheme Deal with Goldman REAL ESTATE: High Court Orders Winding Up Proceedings SAM TOOLING: Brings In Administrators from PwC SHAW GROUP: Environmental Unit Bags Deal from General Electric TECHNICAL MOULDED: Claims Filing Period Ends March 20 TELTRONICS INC: Sells Telident 911 Assets to Amcom Software TELTRONICS INC: Sept. 30 Balance Sheet Upside-Down by US$4.4 Mln * Chadbourne & Parke Expands London Office for Staff Additions * Large Companies with Insolvent Balance Sheet ********* ============= A U S T R I A ============= D.S. KONSTRUKTION: Claims Registration Period Ends Feb. 7 --------------------------------------------------------- Creditors owed money by LLC D.S. Konstruktion Bau (FN 243373) have until Feb. 7, 2008, to file written proofs of claim to court-appointed estate administrator Romana Weber-Wilfert at: Dr. Romana Weber-Wilfert c/o Dr. Christof Stapf Esslinggasse 9 1010 Vienna Austria Tel: 90 333 Fax: 90333 44 E-mail: wien@snwlaw.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 10:30 a.m. on Feb. 21, 2008, for the examination of claims. The meeting of creditors will be held at: The Trade Court of Vienna Room 1703 Vienna Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on Dec. 13, 2007 (Bankr. Case No. 5 S 144/07x). Christof Stapf represents Dr. Weber-Wilfert in the bankruptcy proceedings. ELTNER MANAGEMENT: Claims Registration Period Ends February 6 ------------------------------------------------------------- Creditors owed money by LLC Eltner Management (FN 70488i) have until Feb. 6, 2008, to file written proofs of claim to court- appointed estate administrator Kurt Berneggerat: Dr. Kurt Bernegger c/o Mag. Maria Kainer Jaquingasse 21 1030 Vienna Austria Tel: 01/799 15 80 Fax: 01/796 59 14 E-mail: kanzlei@bernegger-wt.com Creditors and other interested parties are encouraged to attend the creditors' meeting at 10:30 a.m. on Feb. 20, 2008, for the examination of claims. The meeting of creditors will be held at: The Trade Court of Vienna Room 1707 Vienna Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on Dec. 12, 2007(Bankr. Case No. 2 S 154/07w). Maria Kainer represents Dr. Bernegger in the bankruptcy proceedings. FASSADEN YAVUZ: Wiener Neustadt Court Orders Business Shutdown -------------------------------------------------------------- The Land Court of Wiener Neustadt entered Dec. 20, 2008, an order shutting down the business of KEG Fassaden Yavuz (FN 250229i). Court-appointed estate administrator Helmut Kientzl 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. Helmut Kientzl Rudolf Diesel-Strasse 26 2700 Wiener Neustadt Austria Tel: 02622/23726 Fax: 02622/83969 E-mail: office@kientzl.at Headquartered in Wiener Neustadt, Austria, the Debtor declared bankruptcy on Dec. 11, 2007 (Bankr. Case No 11 S 123/07k). HEIMBUCHER TRANSPORTE: Claims Registration Ends Feb. 4 ------------------------------------------------------ Creditors owed money by LLC Heimbucher Transporte (FN 254486w) have until Feb. 4, 2008, to file written proofs of claim to court-appointed estate administrator Roland Heitzinger at: Dr. Roland Heitzinger Ringstrasse 4 Plobergerstrasse 7 4600 Wels Austria Tel: 07242/42605-0 Fax: 07242/42605-20 E-mail: heitzinger@ra-stossier.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 10:40 a.m. on Feb. 14, 2008, for the examination of claims. The meeting of creditors will be held at: The Land Court of Wels Hall 101 First Floor Maria Theresia Str. 12 Wels Austria Headquartered in Wels, Austria, the Debtor declared bankruptcy on Dec. 13, 2007 (Bankr. Case No. 20 S 144/07p). ING. BUESING: Claims Registration Period Ends Feb. 1 ---------------------------------------------------- Creditors owed money by LLC Ing. Buesing (FN 189531y) have until Feb. 1, 2008, to file written proofs of claim to court-appointed estate administrator Stephan Riel at: Dr. Stephan Riel Landstrasser Hauptstrasse 1/2 1030 Vienna Austria Tel: 713 44 33 Fax: 713 10 33 E-mail: kanzlei@jsr.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 9:45 a.m. on Feb. 15, 2008, for the examination of claims. The meeting of creditors will be held at: The Trade Court of Vienna Room 1607 Vienna Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on Dec. 13, 2007 (Bankr. Case No. 28 S 151/07w). LIION LLC: Claims Registration Period Ends Feb. 4 ------------------------------------------------- Creditors owed money by LLC LIION (FN 288432s) have until Feb. 4, 2008, to file written proofs of claim to court-appointed estate administrator Annemarie Kosesnik-Wehrle at: Dr. Annemarie Kosesnik-Wehrle c/o Dr. Stefan Langer Oelzeltgasse 4/6 1030 Vienna Austria Tel: 713 61 92 Fax: 713 61 92-22 E-mail: kanzlei@kosesnik-langer.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 9:45 a.m. on Feb. 18, 2008, for the examination of claims. The meeting of creditors will be held at: The Trade Court of Vienna Room 1705 Vienna Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on Dec. 20, 2007 (Bankr. Case No. 3 S 134/07m). Stefan Langer represents Dr. Kosesnik-Wehrle in the bankruptcy proceedings. M & S BAU: Claims Registration Period Ends Feb. 4 ------------------------------------------------- Creditors owed money by LLC M & S Bau (FN 266840m) have until Feb. 4, 2008, to file written proofs of claim to court-appointed estate administrator Bernhard Eder at: Dr. Bernhard Eder c/o Dr. Herbert Hochegger Brucknerstrasse 4 1040 Vienna Austria Tel: 505 78 61 Fax: 505 78 61-9 E-mail: eder@rechtsanwaelte.co.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 10:00 a.m. on Feb. 18, 2008, for the examination of claims. The meeting of creditors will be held at: The Trade Court of Vienna Room 1705 Vienna Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on Dec. 20, 2007 (Bankr. Case No. 3 S 160/07k). Herbert Hochegger represents Dr. Eder in the bankruptcy proceedings. R. GRAF & CO: Graz Court Orders Business Shutdown ------------------------------------------------- The Land Court of Graz entered Dec. 13, 2007, an order shutting down the business of LLC R. Graf & Co. KEG (FN 233793p). Court-appointed estate administrator Heimo Hofstatter 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. Heimo Hofstatter c/o Mag. Stefan Kohlfuerst Marburgerkai 47 8010 Graz Austria Tel: 0316/815454 Fax: 0316/815454-22 E-mail: advokat@hofstaetter.co.at Headquartered in Graz - Strassgang, Austria, the Debtor declared bankruptcy on Dec. 12, 2007 (Bankr. Case No 26 S 114/07w). Stefan Kohlfuerst represents Dr. Hofstatter in the bankruptcy proceedings. SIGLAM-SECUGLASS: Claims Registration Period Ends Feb. 4 -------------------------------------------------------- Creditors owed money by LLC Siglam-Secuglass (FN 240234k) have until Feb. 4, 2008, to file written proofs of claim to court- appointed estate administrator Hubert Maier at: Dr. Hubert Maier Vormarktstrasse 17 4310 Mauthausen Austria Tel: 07238/3240 Fax: 07238/3611 E-mail: office@maier-rechtsanwalt.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 10:00 a.m. on Feb. 18, 2008, for the examination of claims. The meeting of creditors will be held at: The Land Court of Linz Room 522 Fifth Floor Linz Austria Headquartered in Ansfelden, Austria, the Debtor declared bankruptcy on Dec. 18, 2007 (Bankr. Case No. 12 S 100/07d). SPORTBAU LLC: Steyr Court Orders Business Shutdown -------------------------------------------------- The Land Court of Steyr entered Dec. 18, 2007, an order shutting down the business of LLC Sportbau (FN 233569i). Court-appointed estate administrator Wolfgang Strasser 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. Wolfgang Strasser Hauptplatz 11 4300 St. Valentin Austria Tel: 07435/52 4 37 E-mail: st-valentin@advocat24.at Headquartered in Enns, Austria, the Debtor declared bankruptcy on Dec. 13, 2007 (Bankr. Case No 14 S 47/07w). ============= B E L G I U M ============= ADVANCED MICRO: Fitch Further Junks Senior Unsecured Debt --------------------------------------------------------- Fitch Ratings has downgraded these ratings on Advanced Micro Devices Inc.: -- Issuer Default Rating to 'B-' from 'B'; and -- Senior unsecured debt to 'CCC'/RR6 from 'CCC+/RR6'. The Rating Outlook remains Negative. Approximately US$4.1 billion of debt securities are affected by Fitch's actions. The downgrade and Negative Outlook mainly reflect Fitch's expectations that Advanced Micro's: -- operating performance, which was significantly weaker than expected over the last several quarters due to a combination of a key product delay and Intel Corp.'s strengthened product portfolio, will not meaningfully improve over the near-term. For 2008, Fitch believes the company will benefit from anticipated microprocessor unit (MPU) growth, a refreshed product portfolio, and lower fixed costs after having restructured operations during 2007. Nonetheless, Fitch believes average selling prices will remain pressured, driven by Intel's low-cost manufacturing footprint, sales mix shift toward lower- priced models in emerging markets and desktops for newer original equipment manufacturer relationships, constraining potential profitability expansion. -- financial flexibility will continue to be limited by the company's modest liquidity position (consisting solely of US$1.9 billion of available cash, an amount that could be augmented by additional equipment sales during 2008), particularly with the company's limited intermediate-term profitability prospects and significant planned capital expenditures of US$1.1 billion in 2008. Fitch believes the company will burn more than US$500 million in 2008 (compared to US$1.9 billion usage in 2007) unless the company cuts capital spending, either via postponing discretionary investments and/or moving forward with an 'asset light' strategy. Fitch believes that additional negative rating actions would likely occur if: * the company depletes its current cash balance at a faster than expected pace; or * profitability contracts further. The ratings could be stabilized if over the next few quarters, the company: * steadily improves profitability; and * bolsters financial flexibility by obtaining additional external funding. Ratings concerns continue to center on: -- Significant product technology risk associated with the MPU market, resulting in cyclical operating results. However, given its relatively weak financial flexibility and limited market share, Fitch believes the company's ability to withstand technology roadmap missteps is limited. -- Intel's meaningful manufacturing technology advantage over Advanced Micro, driven by capital expenditures consistently in excess of US$5 billion, effectively requiring the company to continue investing aggressively to upgrade its manufacturing facilities; and -- expectations that the company's debt levels will remain high, driven by the company's investment requirements, thereby constraining its financial flexibility over the long-term. The ratings are supported by the company's: -- expectations for solid MPU unit growth over the next couple of years; -- strengthened and expanding relationships with all personal computer original equipment manufacturers, most recently including Toshiba Corporation ('BBB/F2' with a Stable Outlook by Fitch) and Dell Inc. ('A/F1'; Stable Outlook), driven in part by its enhanced ability to provide platform products to the marketplace following the acquisition of ATI Technologies in October 2006; and -- staggered and longer-term debt maturities, as well as its now proven willingness to cut capital spending in the face of less favorable market conditions. At Sept. 29, 2007, total debt was US$5.3 billion and consisted of: -- US$1.0 billion of secured debt related to Fab 36, including US$866 million of Fab 36 Secured Euro Term Loan due 2011; -- US$1.5 billion 5.75% convertible senior unsecured notes due 2012; -- US$2.2 billion 6% senior unsecured convertible notes due 2015; -- US$390 million 7.75% senior unsecured notes due 2012; and -- other debt, including capital leases, of approximately US$242 million. The Recovery Ratings reflect Fitch's belief that Advanced Micro would be liquidated rather than reorganized in a bankruptcy scenario, given Fitch's estimates that the company's projected liquidation value of US$1.1 billion would exceed a reorganization value of only US$615 million, driven by the meaningful deterioration of the company's operating EBITDA over the past year. In estimating liquidation, Fitch applies advance rates of 80%, 20%, and 10%, respectively, to its accounts receivables, inventories, and property, plant, and equipment balances as of the quarter ended Dec. 31, 2007. Fitch arrives at an adjusted reorganization value of US$1.0 billion after subtracting administrative claims. Based upon these assumptions, and given that approximately US$1.0 billion of unrated borrowings related to Fab 36 and capital leases are essentially secured, minimal recovery (0-10%) would be available for the approximately US$4.2 billion of senior unsecured debt, resulting in 'RR6' ratings. Headquartered in Sunnyvale, California, Advanced Micro Devices Inc. (NYSE: AMD) -- http://www.amd.com/-- provides innovative processing solutions in the computing, graphics and consumer electronics markets. The company has a facility in Singapore. It has sales offices in Belgium, France, Germany, the United Kingdom, Mexico and Brazil. CHIQUITA BRANDS: May Bid for Five Million Boxes of Bananas ---------------------------------------------------------- Chiquita Brands International may bid for the five million boxes of bananas that Panama will auction next month, Reuters reports. Western Panamanian co-operative Coosemupar wants to auction some four million, 40-pound boxes of premium quality bananas to international buyers, and one million boxes of other qualities, Panama's commodity exchange chief Abelardo Carles told Reuters. Reuters relates that the auction would be on Feb. 14. It will mark the end of Coosemupar's long-standing distribution deal with Chiquita Brands that gave the firm the exclusive rights to by the crop. Coosemupar told Reuters that it seeks to sell bananas to European distributors. However, Chiquita Brands is unlikely to be excluded from bidding. According to Reuters, the sale accounts for around a quarter of Panama's yearly crop. It could bring in US$35 million. The sale is a significant quantity for large buyers although Panamanian banana production is small compared to Costa Rica and Colombia, Reuters states, citing Mr. Carles. 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, Colombia, Germany, Panama, Philippines, among others. * * * In May 2007, Moody's Investors Service Ratings affirmed these ratings on Chiquita Brands International Inc.: (i) corporate family rating at B3; (ii) probability of default rating at B3; (iii) US$250 million 7.5% senior unsecured notes due 2014 at Caa2(LGD5, 89%); and (iv) 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. Troubled Company Reporter-Europe reported on May 8, 2007, that Standard & Poor's Ratings Services placed its 'B' corporate credit and other ratings on Cincinnati, Ohio-based Chiquita Brands International Inc. on CreditWatch with negative implications, meaning that the ratings could be lowered or affirmed following the completion of their review. Total debt outstanding at the company was about US$1.3 billion as of March 31, 2007. MEGA BRANDS: Posts US$11 Million Net Loss in 2007 Third Quarter --------------------------------------------------------------- Mega Brands Inc. reported a net loss of US$11 million for the third quarter ended Sept. 30, 2007, compared with net income of US$18.0 million in the same period in 2006. Net sales in the third quarter of 2007 decreased 8.8% to US$184.1 million compared to US$201.8 million in the corresponding period last year. The reduction in sales was primarily due to production delays in Asia that resulted in at least US$15.0 million of orders not shipped, as well as lower shipments of MAGNETIX products. For the nine-month period ended Sept. 30, 2007, net sales increased 3.5% to US$395.7 million compared to US$382.5 million in the same period last year. Gross profit in the third quarter of 2007 drop to US$35.8 million compared to US$90.5 million in the third quarter of 2006. Gross margin declined to 19.5% compared to 44.8% in the third quarter of last year. Excluding the impact of sales of excess inventory of US$19.0 million and the recording of a non-cash inventory revaluation adjustment of approximately US$20.0 million, the gross margin was 38.1% for the quarter ended Sept. 30, 2007. For the nine-month period ended Sept. 30, 2007, gross profit was US$92.5 million compared to US$167.0 million for the same period in 2006. Excluding the MAGNETIX product recall and other charges of US$30.5 million, the sale of excess inventory and the recording of a non-cash inventory revaluation adjustment, the gross margin was 41.3% compared to 43.7% in the same period of the prior year. Loss from operations amounted to US$5.1 million for the third quarter of 2007 compared to earnings from operations of US$26.4 million in the corresponding 2006 period. For the nine-month period ended Sept. 30, 2007, the loss from operations was US$31.7 million compared to an operating profit of US$40.7 million in the corresponding period of 2006. This amount includes the MAGNETIX product recall and other charges and litigation expenses of US$36.2 million, once the recovery of US$3.6 million in product liability settlement from the company's insurers is netted. It also includes the inventory related charges totaling approximately US$35.0 million. Interest and other expenses in the third quarter of 2007 were US$7.0 million compared to US$6.1 million in the same 2006 period. For the nine months ended Sept. 30, 2007, interest and other expenses amounted to US$19.8 million compared to US$16.4 million in the prior year. Income taxes for the third quarter ended Sept. 30, 2007, amounted to a recovery of US$1.0 million, compared to an expense of US$2.3 million in the corresponding period of the prior year. For the nine months ended Sept. 30, 2007, the income tax recovery was US$20.6 million compared to an income tax expense of US$1.7 million in the prior year. Long-Term Debt Total long-term debt at the end of September 2007 was US$321.6 million compared to US$312.0 million at the end of 2006. The increase in long-term debt is mainly related to working capital requirements. As at Sept. 30, 2007, the company's long-term debt was comprised mainly of US$9.6 million under its Term A facility maturing in 2009, US$254.8 million under its Term B facility maturing in 2012 and US$60.6 million drawn against its US$120.0 million revolving credit facility, offset partially by unamortized deferred financing costs of US$3.9 million. Balance Sheet At Sept. 30, 2007, the company's consolidated balance sheet showed US$811.9 million in total assets, US$520.5 million in total liabilities, and US$291.4 million in total stockholders' equity. About Mega Brands Inc. MEGA Brands Inc. (TSE: MB) -- http://www.megabrands.com/-- designs, manufactures and markets high quality toys and stationery products. Headquartered in Montreal, the company has approximately 4,500 employees with offices, manufacturing facilities or distribution centers in Belgium, United Kingdom, Germany, France, Spain, Mexico, Australia, among others. The Corporation's products are sold in over 100 countries. * * * As reported in the Troubled Company Reporter on Jan. 28, 2008, Standard & Poor's Ratings Services lowered its corporate credit and bank loan ratings on Mega Brands Inc. to 'B' from 'B+'. The ratings remain on CreditWatch with negative implications, where they were placed Nov. 9, 2007. The '3' recovery rating on the bank loan is unchanged. POPE & TALBOT: Auction of Remaining Wood Products Business Set -------------------------------------------------------------- Pope & Talbot Inc. asks the U.S. Bankruptcy Court for the District of Delaware's authority to sell their remaining wood products business to the highest and best bidder at an auction to be held at 10:00 a.m. (Eastern time), on Feb. 5, 2008, at the New York offices of Shearman & Sterling LLP. Unlike the Debtors' sale of their wood products business assets to International Forest Products Limited, and the proposed sale of their pulp business assets to PT Pindo Deli Pulp & Paper Mills, there is no stalking horse for their Remaining Wood Products Business, Laura Davis Jones, Esq., at Pachulski Stang Ziehl & Jones, LLP, in Wilmington, Delaware, informs the Hon. Christopher S. Sontchi. Instead, the Auction is expected to be a fully open auction. Pursuant to the Court-approved Remaining Wood Products Business Bid Procedures, the Debtors served a cure cost notice on certain non-debtor counterparties to various assigned contracts, providing notice of (i) the Debtors' intent to assume and assign the Assigned Contracts to the successful bidder at the Auction, (ii) the Debtors' determination of the Cure Cost with respect to each Assigned Contract, (iii) procedures governing the filing of objections, if any, to the proposed Cure Costs; and (iv) procedures governing resolution of disputes, if any, regarding Cure Costs. In the event more than one acceptable qualified bid is submitted at the Auction, the Debtors will, at a sale hearing, seek the Court's approval of the Successful Bid, and if applicable, the back-up bid procedures. Ms. Jones asserts that time is of the essence with respect to the approval of the sale of the Debtors' Remaining Wood Products Business. The sale of the Assets will afford the Debtors greater certainty regarding their ability to make distributions to secured or unsecured creditors, she says. The Debtors also seek the Court's authority to: (i) assume and assign to the Successful Bidder, effective on the closing date, certain contracts; and (ii) execute and deliver to the Successful Bidder, the documents or other instruments as may be necessary to cure, transfer and assign the Assigned Contracts. The Debtors reserve the right to exclude any Assigned Contract identified in a form asset purchase agreement, and identify the contract as an excluded asset in a select purchase agreement. Some of the Assigned Contracts are shared contracts, which generally comprise two or more individual contracts, which set forth specific terms and conditions; and a master agreement that governs each of the individual contracts. Ms. Jones clarifies that the Debtors will assume and assign only those parts of the Shared Contracts which are related to their Remaining Wood Products Business. If any monetary defaults exist under any Assigned Contract, the Debtors will cure any default prior to the assumption and assignment of the Assigned Contract, to the extent that U.S. law and Canadian law applies to the assumption and assignment of the contracts. Any non-monetary default that exist under a non-residential real property lease that is an Assigned Contract will be cured by the Successful Bidder, by performance at the time of and after assumption and assignment of the lease, pursuant to the terms of the Selected APA, to the fullest extent required under applicable law. For avoidance of doubt, nothing in the Sale Motion will be deemed an admission that U.S. law applies to the assumption and assignment of any of the Assigned Contracts. A full-text copy of the Debtors' proposed APA for their Remaining Wood Products Business is available for free at: http://researcharchives.com/t/s?2768 As reported in the Troubled Company Reporter on Jan. 3, 2008, the British Columbia Supreme Court approved the Debtors' proposed bidding procedures for the sale of their remaining wood products business. The Canadian Court likewise authorized the Debtors to schedule an auction, if necessary, to solicit bids for their Remaining Wood Products Business. As reported in the Troubled Company Reporter on Dec. 14, 2007, the U.S. Court had earlier approved in all respects the Debtor's bidding and sale procedures with respect to the sale of certain wood products assets not contemplated to be sold to International Forest Products and the assumption of related liabilities, including: (1) the submission, consideration, qualification and acceptance of Qualified Overbids submitted to the Debtors; (2) the Auction; and (3) the identification and determination of the Successful Bid and the Back-Up Bid. 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 U.S. and Canada. Markets for the company's products include the U.S., 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). Shearman & Sterling LLP is the Debtor's bankruptcy counsel, while Laura Davis Jones, Esq. at Pachulski, Stang, Ziehl & Jones L.L.P. represents the Debtors as bankruptcy co-counsel. The Official Committee of Unsecured Creditors selected Fried, Frank, Harris, Shriver & Jacobson LLP as its 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. 12; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000). POPE & TALBOT: Pulp Business Amended Bidding Procedures Approved ---------------------------------------------------------------- Pope & Talbot Inc. and debtor-affiliates sought and obtained the U.S. Bankruptcy Court for the District of Delaware's approval of amended bidding procedures for the sale of their pulp business assets located in Halsey, Oregon; Nanaimo, British Columbia; and Mackenzie, British Columbia. The Amendment included provisions for an asset purchase agreement the Debtors entered into on Jan. 8, 2008, with PT Pindo Deli Pulp & Paper Mills, as the stalking horse bidder, with respect to the Pulp Business Assets. The Court has ruled that Pindo Deli is entitled to a US$3,800,000 Break-up Fee, which will be deemed as an allowed administrative priority expense without the need for the filing of any claim. The Court notes that Pindo Deli will be paid the Break-up Fee if, among other things: -- Pindo Deli is not selected as the "successful bidder" for the Debtors' Pulp Business; -- Pindo Deli is selected as the Successful Bidder, but the transaction approval orders have not been entered by the Bankruptcy Court and Canadian Court by Feb. 13, 2008; -- the closing of the sale will not have occurred by the sale termination date; -- the Debtors adjourn or continue the auction to a date after Feb. 5, 2008, without the prior consent of the Purchaser; or -- the Debtors determine to pursue one or more transactions other than pursuant to the Procedures Order. The Break-up Fee is approximately 3.6% of the cash Purchase Price, without regard to liabilities being assumed or adjustments to the Purchase Price. The U.S. Trustee and the Official Committee of Unsecured Creditors tried to block the Court's approval of the Debtors' proposed Break-up Fee. Kelly Beaudin Stapleton, the United States Trustee for Region 3, complained that the Break-up Fee is "excessive." The Creditors Committee objected to various aspects of the Break-up Fee that are "designed to chill bidding and impede value maximization." On the other hand, Ableco Finance LLC, as agent for itself and the other term lenders party to the DIP loan agreement, reserves its rights with respect to any determination regarding whether the Pulp Business asset should be sold, and which offer is highest or the best. The Debtors estimate that the exercise by Pindo Deli of an option to purchase their limited partnership interests in Halsey CL02 Limited Partnership will result in an adjustment to the Purchase Price of approximately US$5,200,000. The Debtors will conduct an auction of their right, title and interest in the Pulp Business Assets, including certain executory contracts and unexpired leases, at 10:00 a.m. (prevailing Eastern time), on Feb. 5, 2008, at the New York offices of Shearman & Sterling LLP. No provision in the APA Approval Order will be deemed to constitute the consent of the Debtors' secured lenders, or the Official Committee of Unsecured Creditors, to any bid, the Hon. Christopher S. Sontchi clarifies. The Court likewise approved the amendments to the APA, which reflects certain modification on the requirements for "qualified bids". The modifications include the Auctions Overbid Protections, and the requirement that Qualified Bidders submit marked versions of the Asset Purchase Agreement with their bids. A full-text copy of Judge Sontchi's Pulp Business Amended Bid Procedures Order is available for free at: http://researcharchives.com/t/s?2765 Monitor's Comments PricewaterhouseCoopers Inc., as monitor of the proceedings commenced by Pope & Talbot Ltd. and its subsidiaries under the Companies' Creditors Arrangement Act, reports that the Canadian Debtors are also seeking the British Columbia Supreme Court's approval of Pindo Deli's offer as the stalking horse bid, as well as amendments to the Pulp Business bidding procedures. The Monitor considers the amendments to the bidding procedures as minor administrative modifications. The Monitor discloses that the Purchase Price for the Debtors' Pulp Business includes US$39,000,000 for non-finished goods inventory, subject to adjustments based on the inventory at the date of closing. Upon analysis, the Debtors and their financial advisor, Rothschild Inc., estimate the net proceeds from a combination of the transaction completion and the liquidation of the remaining assets to total US$205,000,000. Assumed liabilities for US$15,000,000 and potential realizations from the sale of certain refundable tax credits for roughly US$5,000,000, are estimated to increase the overall transaction value to US$225,000,000. The Pindo Deli APA requires approvals: (1) from the U.S. Bankruptcy and Canadian Courts; (2) under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and the Competition Act; (3) under the Investment Canada Act; (4) from federal, provincial and state governments; and (5) for the transfer of permits and licenses. While the Court-approved process provides for a closing of Feb. 15, 2008, the Debtors believe that a closing in mid March 2008 is more realistic. The Monitor acknowledges that the Break-up Fee is higher than is customarily provided for in stalking horse situations. Pindo Deli, however, has not additionally requested a reimbursement of due diligence costs. "The due diligence requirements for a pulp mill can be substantial compared to other type of asset," the Monitor relates. Debtors Seek Approval of Pindo Deli Transaction In a separate request filed on Jan. 23, 2008, the Debtors asked Judge Sontchi to approve: -- the sale of substantially all of their Pulp Business Assets to Pindo Deli for US$105,290,000, subject to certain adjustments; and -- the assumption and assignment of various executory contracts and unexpired leases. Pursuant to the Pulp Procedures Order, the Debtors served a notice on certain non-debtor counterparties of (i) their intent to assume and assign certain contracts to Pindo Deli or the highest and best bidder at the Auction, (ii) their of the Cure Cost with respect to each Assigned Contract, (iii) procedures governing the filing of objections, if any, to the proposed Cure Costs; and (iv) procedures governing resolution of disputes, if any, regarding Cure Costs. The Debtors intend to cure any monetary defaults that exist under any Assigned Contract to Pindo Deli as a condition to the assumption and assignment of an Assigned Contract and to the extent that U.S. law and Canadian law apply to the assumption and assignment of the contracts. Any non-monetary defaults that exist under a non-residential real property lease that is an Assigned Contract will be cured by Pindo Deli, by performance at the time of and after assumption and assignment of the lease. A full-text copy of the the Debtors' Pulp Business APA is available for free at: http://researcharchives.com/t/s?2766 A full-text copy of the Debtors' Leases and Cure Costs to be assigned and assumed may be accessed at no charge at: http://researcharchives.com/t/s?2767 Laura Davis Jones, Esq., at Pachulski Stang Ziehl & Jones, LLP, in Wilmington, Delaware, asserts that time is of the essence with respect to the approval of the sale of the Debtors' Pulp Business. She notes that under the DIP Final Order, the Debtors are required to conduct the auction for the Pulp Business Assets by Feb. 5, 2008; obtain an order approving the sale of the Pulp Business Assets by February 12; and consummate no later than February 15 one or more sales of the Pulp Business Assets. Moreover, Ms. Jones tells Judge Sontchi that the Pindo Deli APA contains numerous schedules and exhibits, which the Debtors have determined to be confidential in nature. Thus, the Debtors seek the Court's authority to file under seal certain exhibits that relate to: -- Key Employees, -- Unqualified Retirement Benefit Liabilities, -- Customers and Suppliers, -- Labor Matters, -- Conduct of Business Prior to the Closing, -- Salaried Employees, -- Key Contracts, and -- Fiber Presentation. In a statement released by the Debtors with respect to the sale of their Pulp Business Assets, the Debtors discloses that Pindo Deli is an affiliate within the Sinar Mas Group. "We are delighted with this development, as this is an important milestone in maximizing value for our stakeholders." said Harold Stanton, Pope & Talbot president and chief executive officer. "The past 6 months have been very trying on our folks and it is exciting that they will have the opportunity to join a world class pulp and paper producer like Sinar Mas Group." Sinar Mas Group is a global enterprise with significant interests in pulp and paper in Indonesia, China and elsewhere. Sinar Mas is the largest producer of pulp and paper in Asia and is one of the top five in the world. A spokesperson for Sinar Mas Group stated that "Sinar Mas is pleased to have entered into this agreement since it represents an important step in our global strategy for pulp and paper. We look forward to working closely with management, labor unions and employees to ensure that the pulp business of Pope & Talbot is stabilized, strengthened and enhanced through the obvious synergies and growth potential presented by our existing pulp and paper business." As reported in the Troubled Company Reporter on Jan. 3, 2008, the Canadian Court approved the Debtors' proposed bidding procedures for their pulp business assets, and authorized the Debtors to schedule an auction, if necessary. As reported in the Troubled Company Reporter on Dec. 14, 2007, Judge Sontchi had earlier approved in all respects the Debtors' bidding and sale procedures with respect to the sale of their pulp business assets, including: (1) the submission, consideration, qualification and acceptance of Qualified Overbids submitted to the Debtors; (2) the Auction; and (3) the identification and determination of the Successful Bid and the Back-Up Bid. 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 U.S. and Canada. Markets for the company's products include the U.S., 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). Shearman & Sterling LLP is the Debtor's bankruptcy counsel, while Laura Davis Jones, Esq. at Pachulski, Stang, Ziehl & Jones L.L.P. represents the Debtors as bankruptcy co-counsel. The Official Committee of Unsecured Creditors selected Fried, Frank, Harris, Shriver & Jacobson LLP as its 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. 12; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000). POPE & TALBOT: Pwc Recommends Extension of Stay Period ------------------------------------------------------- PricewaterhouseCoopers Inc., the Court-appointed Monitor in Pope & Talbot Inc. and its debtor-affiliates' CCAA proceedings, recommends to the British Columbia Supreme Court that the Canadian Debtors' request for an extension of the Stay Period to Feb. 15, 2008, be granted. On Dec. 3, 2007, the Canadian Court ruled that until and including Jan. 16, 2008, no proceeding or enforcement process in any court or tribunal will be commenced or continued against or in respect of the Debtors, the Partnerships or PricewaterhouseCoopers Inc., or affecting the Debtors' business or property except with the written consent of the Debtors, the Partnerships and the Monitor, or with leave of the CCAA Court. The Monitor relates that the Debtors continue to work closely with their DIP Lenders with respect to certain Material Adverse Deviations, and have not exceeded their anticipated borrowing requirements. According to the Monitor, the DIP Loan Agreement currently expires on Feb. 15, 2008, and the cash flows previously filed with the Court extend to the end of February 2008. The Debtors, however, assert that they need additional time to proceed with the realization of assets and to negotiate an extension of the DIP Loan Agreement. "An extension of the Stay Period is needed to provide the stability required during that time," the Monitor states. The Monitor believes that, based on the information currently available, creditors would not be materially prejudiced by an extension of the Stay Period to Feb. 15, 2008. "The Applicants have acted and are acting in good faith and with due diligence and that circumstances exist that make an extension of the Stay Period appropriate," the Monitor maintains. 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 U.S. and Canada. Markets for the company's products include the U.S., 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). Shearman & Sterling LLP is the Debtor's bankruptcy counsel, while Laura Davis Jones, Esq. at Pachulski, Stang, Ziehl & Jones L.L.P. represents the Debtors as bankruptcy co-counsel. The Official Committee of Unsecured Creditors selected Fried, Frank, Harris, Shriver & Jacobson LLP as its 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. 12; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000). QUEBECOR WORLD: Bankruptcy Won't Affect Quebecor Inc. and Units --------------------------------------------------------------- Quebecor Inc., Quebecor Media Inc. and its subsidiaries are not affected in any way by the decision of Quebecor World to seek court protection from creditors under the Companies' Creditors Arrangement Act. Quebecor Inc. said that Quebecor World is an independent company, distinct from the two other entities, and its current situation will have no effect on the normal, continuing operations of Quebecor Inc. and Quebecor Media Inc. "In recent weeks, Quebecor Inc., the principal shareholder of Quebecor World, actively tried to find a solution that would have avoided the CCAA action. A major partner, Brookfield, had been identified and a serious offer was made to the bank creditors of Quebecor World. The banks rejected the conditions of this offer and Quebecor Inc. decided that it would not be in the interest of its shareholders to pursue further offers that could have increased unreasonably the risks it might assume," said Pierre Karl PEladeau, President and Chief Executive Officer of Quebecor Inc. "Quebecor and Quebecor Media are both in excellent financial health and the outlooks for the future of the businesses are excellent." Quebecor Inc. formally advised Quebecor World a week ago that it must remove "Quebecor" from its corporate name. This measure is intended to eliminate any confusion in the public. Quebecor Inc. Severing Ties with QWorld According to Seeking Alpha, UBS analyst Jeffrey Fan informed clients that Quebecor World's decision to seek bankruptcy protection in Canada and the U.S., and the recent request for removal of "Quebecor" from Quebecor World's corporate name reflect Quebecor Inc.'s decision to surrender control of Quebecor World. He added that the likelihood of Quebecor providing further funding to Quebecor World has been significantly reduced. Quebecor Inc., together with Tricap Partners, previously offered a US$400,000,000 Rescue Financing Proposal to Quebecor World on January 11, 2008. The proposal, however, was rejected by Quebecor World's secured lenders. Quebecor World and its affiliates have filed for creditor protection before the Quebec Superior Court of Justice (Commercial Division) and U.S. Bankruptcy Court for the Southern District of New York. The company has presented a proposed US$1,000,000,000 DIP financing agreement with Credit Suisse. About Quebecor Inc. Quebecor Inc. (TSX: QBR.A, QBR.B) is a communications company with operations in North America, Europe, Latin America and Asia. It has two operating subsidiaries, Quebecor World Inc. and Quebecor Media Inc. Quebecor World is one of the largest commercial print media services companies in the world. Quebecor Media owns operating companies in numerous media related businesses: Videotron Ltd., the largest cable operator in Quebec and a major Internet Service Provider and provider of telephone and business telecommunications services; Sun Media Corporation, Canada's largest national chain of tabloids and community newspapers; TVA Group Inc., operator of the largest French language over the air television network in Quebec, a number of specialty channels, and the English language over the air 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., the largest chain of music stores in eastern Canada, TVA Films, and Le SuperClub Videotron Ltd., a chain of video and video game rental and retail stores. Quebecor Inc. has operations in 18 countries. About Quebecor World Based in Montreal, Quebec, Quebecor World Inc. (TSX: IQW) (NYSE: IQW), -- http://www.quebecorworldinc.com/-- provides market solutions, including marketing and advertising activities, well as print solutions to retailers, branded goods companies, catalogers and to publishers of magazines, books and other printed media. It has 127 printing and related facilities located in North America, Europe, Latin America and Asia. In the United States, it has 82 facilities in 30 states, and is engaged in the printing of books, magazines, directories, retail inserts, catalogs and direct mail. In Canada it has 17 facilities in five provinces, through which it offers a mix of printed products and related value-added services to the Canadian market and internationally. The company is an independent commercial printer in Europe with 19 facilities, operating in Austria, Belgium, Finland, France, Spain, Sweden, Switzerland and the United Kingdom. In March 2007, it sold its facility in Lille, France. Quebecor World (USA) Inc. is its wholly owned subsidiary. Quebecor World and its debtor-affiliates filed for chapter 11 bankruptcy on Jan. 21, 2008, (Bankr. S.D.N.Y Lead Case No. 08- 10152). Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP represents the Debtors in their restructuring efforts. The Debtors listed total assets of US$5,554,900,000 and total debts of US$4,140,700,000 when they filed for bankruptcy. As of Sept. 30, 2007, Quebecor World's unaudited consolidated balance sheet showed total assets of US$5,554,900,000, total liabilities of US$3,964,800,000, preferred shares of US$175,900,000, and total shareholders' equity of US$1,414,200,000. (Quebecor World Bankruptcy News, Issue No. 2; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000) QUEBECOR WORLD: Taps Richard Kibbe as Conflicts Counsel ------------------------------------------------------- Quebecor World Inc. and its debtor-affiliates ask the U.S. Bankruptcy Court for the Southern District of New York for authority to employ Richard Kibbe & Orbe LLP as their conflicts counsel, nunc pro tunc to Jan. 21, 2008. Jeremy Roberts, Senior Vice-President Corporate Finance and Treasurer of Quebecor World (USA) Inc., states that aside from hiring Arnold & Porter LLP as bankruptcy counsel, the Debtors seek to employ Richard Kibbe & Orbe as counsel with respect to matters which are not appropriately handled by A&P because of potential conflicts of interest or alternatively, matters which the Debtors believe are more efficient for RK&O to handle. "The Debtors believe that rather than resulting in any extra expense to the Debtors' estates, the coordination of efforts between A&P and RK&O will greatly add to the effective administration in these chapter 11 cases" Mr. Roberts avers. Mr. Roberts adds that the members and associates of the firm have considerable experience in bankruptcy cases and have acted in a professional capacity as counsel in numerous chapter 11 cases like Mirant Corporation, Tower Automotive, Inc., Metalforming Technologies Inc., Intrepid U.S.A. Inc., and Galey & Lord Inc. In order for RK&O to act effectively in the Chapter 11 cases, the Debtors propose that the firm be tasked to perform these non-exhaustive functions: (a) take all necessary action to protect and preserve the estates of the Debtors, including the prosecution of actions on the Debtors' behalf, the defense of any actions commenced against the Debtors, the negotiation of disputes in which the Debtors are involved, and the preparation of objections to claims filed against the Debtors' estates; (b) prepare on behalf of the Debtors, as debtors-in- possession, all necessary motions, applications, answers, orders, reports and other papers in connection with the administration of the Debtors' estates; (c) negotiate on behalf of the Debtors with their creditors and other parties-in-interest; and (d) perform all other necessary legal services in connection with the prosecution and administration of the Chapter 11 cases. RK&O will be paid on an hourly basis at its customary hourly rates: Partners US$525 to US$775 per hour Associates US$300 to US$475 per hour Paralegals US$190 to US$250 per hour RK&O will further charge the Debtors with expenses incurred in connection to its chapter 11 cases like telephone tolls, mail charges and court filing fees. Mr. Joon Hong, a member RK&E, identified several current and former clients that are parties-in-interest in the Chapter 11 cases -- Ernst & Young, Newpage Corp., Morgan Stanley, Citibank, N.A., and Delloitte & Touche LLP. Mr. Hong, however, assures the Court that with respect to each connection between RK&O and its relevant clients, RK&O will not represent any of the relevant entities and will not hold an interest that is adverse to the Debtors' estates. Mr. Hong asserts that the firm does not hold any interest adverse to the Debtors, their estates or their creditors. About Quebecor World Based in Montreal, Quebec, Quebecor World Inc. (TSX: IQW) (NYSE: IQW), -- http://www.quebecorworldinc.com/-- provides market solutions, including marketing and advertising activities, well as print solutions to retailers, branded goods companies, catalogers and to publishers of magazines, books and other printed media. It has 127 printing and related facilities located in North America, Europe, Latin America and Asia. In the United States, it has 82 facilities in 30 states, and is engaged in the printing of books, magazines, directories, retail inserts, catalogs and direct mail. In Canada it has 17 facilities in five provinces, through which it offers a mix of printed products and related value-added services to the Canadian market and internationally. The company is an independent commercial printer in Europe with 19 facilities, operating in Austria, Belgium, Finland, France, Spain, Sweden, Switzerland and the United Kingdom. In March 2007, it sold its facility in Lille, France. Quebecor World (USA) Inc. is its wholly owned subsidiary. Quebecor World and its debtor-affiliates filed for chapter 11 bankruptcy on Jan. 21, 2008, (Bankr. S.D.N.Y Lead Case No. 08- 10152). Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP represents the Debtors in their restructuring efforts. Donlin, Recano & Company, Inc. serves as the Debtors claims, notice and balloting agent. The Debtors listed total assets of US$5,554,900,000 and total debts of US$4,140,700,000 when they filed for bankruptcy. As of Sept. 30, 2007, Quebecor World's unaudited consolidated balance sheet showed total assets of US$5,554,900,000, total liabilities of US$3,964,800,000, preferred shares of US$175,900,000, and total shareholders' equity of US$1,414,200,000. (Quebecor World Bankruptcy News, Issue No. 2; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000) QUEBECOR WORLD: Wants Donlin Recano as Claims and Noticing Agent ---------------------------------------------------------------- Quebecor World Inc. and its debtor-affiliates ask the U.S. Bankruptcy Court for the Southern District of New York for authority to employ Donlin, Recano & Company, Inc. as their claims, notice and balloting agent. Jeremy Roberts, Senior Vice-President Corporate Finance and Treasurer of Quebecor World (USA) Inc., states that Bankruptcy Clerk is not equipped to distribute notices, process all of the proofs of claim filed, and assist in the balloting process in the Debtors' Chapter 11 cases. Thus, an independent third party is needed to act on these related administrative tasks, he says. Louis Recano, a principal of Donlin, Recano & Company, Inc., relates that the company has served more than 200 clients for Chapter 11 cases globally and their services include noticing solutions, claims administration, solicitation planning and balloting, and plan distribution and tracking. The Debtors wish to engage with Donlin Recano under terms and conditions provided in a Standard Claims Administration and Noticing Agreement. As set forth in the Agreement, Donlin Recano will: (a) notify all potential creditors of the filing of the Debtors' bankruptcy petitions and of the setting of the first meeting of creditors; (b) maintain an official copy of the Debtors' schedules of assets and liabilities and statement of financial affairs; (c) notify all potential creditors of the existence and amount of their respective claims; (d) furnish a notice of the last day for the filing of proofs of claim and a form for the filing of a proof of claim; (e) file with the Clerk an affidavit or certificate of service which includes a copy of the notice, a list of persons to whom it was mailed, and the date the notice was mailed; (f) docket all claims received, maintain the official claims registers for each of the Debtors on behalf of the Clerk, and provide the Clerk with certified duplicate unofficial Claims Registers on a monthly basis, unless otherwise directed; (g) specify, in the applicable Claims Register, the following information for each claim docketed: (i) the claim number assigned, (ii) the date received, (iii) the name and address of the claimant and agent, if applicable, who filed the claim, (iv) the filed amount of the claim, if liquidated, and (v) the classification(s) of the claim; (h) relocate, by messenger, all of the actual proofs of claim filed to Donlin, Recano, not less than weekly; (i) record all transfers of claims and provide any notices of the transfers; (j) make changes in the Claims Register; (k) upon completion of the docketing process for all claims received to date by the Clerk's office, turn over to the Clerk copies of the Claims Registers for the Clerk's review; (1) maintain the Claims Register for public examination without charge during regular business hours; (m) maintain the official mailing list for each Debtor of all entities that have filed a proof of claim; (n) assist with, among other things, solicitation, calculation, and tabulation of votes and distribution, as required in furtherance of confirmation of the Plan; (0) provide and maintain a Web site where parties can view claims filed, the status of claims, and pleadings or other documents filed with the Court by the Debtors; (p) 30 days prior to the close of the cases, an order dismissing Donlin Recano would be submitted terminating its services upon completion of its duties and responsibilities; and (q) at the close of the case, box and transport all original documents in proper format, as provided by the Clerk's office, to the Federal Records Center. The Debtors may further utilize other services offered by Donlin Recano, including assisting the Debtors in preparing the master creditor lists, gathering data related to the Debtors' schedules and maintenance of a post office box for receiving claims. The Debtors have paid Donlin Recano a retainer of US$50,000. The firm will charge the Debtors at these rates: Senior Bankruptcy Consultant US$205-250 per hour Case Manager US$180-200 per hour Technology/Programming Consultant US$115-195 per hour Senior Analyst US$115-175 per hour Jr. Analyst US$70-110 per hour Clerical US$40-65 per hour The firm will also charge the Debtors for other services at their regular rates, including laser printing at US$0.12 per page, Web hosting at US$250 per month, among other things. Mr. Recano asserts that the firm is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code and holds no interest adverse to the Debtors or their estates for the matters for which the firm is to be employed. The firm can be reached at: Donlin Recano & Company, Inc. 419 Park Avenue South New York, NY 10016 Tel: (212) 481-1411 Fax: (212) 481-1416 http://www.donlinrecano.com/ Based in Montreal, Quebec, Quebecor World Inc. (TSX: IQW) (NYSE: IQW), -- http://www.quebecorworldinc.com/-- provides market solutions, including marketing and advertising activities, well as print solutions to retailers, branded goods companies, catalogers and to publishers of magazines, books and other printed media. It has 127 printing and related facilities located in North America, Europe, Latin America and Asia. In the United States, it has 82 facilities in 30 states, and is engaged in the printing of books, magazines, directories, retail inserts, catalogs and direct mail. In Canada it has 17 facilities in five provinces, through which it offers a mix of printed products and related value-added services to the Canadian market and internationally. The company is an independent commercial printer in Europe with 19 facilities, operating in Austria, Belgium, Finland, France, Spain, Sweden, Switzerland and the United Kingdom. In March 2007, it sold its facility in Lille, France. Quebecor World (USA) Inc. is its wholly owned subsidiary. Quebecor World and its debtor-affiliates filed for chapter 11 bankruptcy on Jan. 21, 2008, (Bankr. S.D.N.Y Lead Case No. 08- 10152). Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP represents the Debtors in their restructuring efforts. The Debtors listed total assets of US$5,554,900,000 and total debts of US$4,140,700,000 when they filed for bankruptcy. As of Sept. 30, 2007, Quebecor World's unaudited consolidated balance sheet showed total assets of US$5,554,900,000, total liabilities of US$3,964,800,000, preferred shares of US$175,900,000, and total shareholders' equity of US$1,414,200,000. (Quebecor World Bankruptcy News, Issue No. 2; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000) TENNECO INC: Incurs US$72 Million Net Loss in Fourth Quarter ------------------------------------------------------------ Tenneco has reported a fourth quarter net loss of US$72 million, or US$1.57 per diluted share, versus net income of US$15 million, or 31-cents per diluted share in fourth quarter 2006. The loss was due to previously announced charges taken in the fourth quarter for actions that advance the company's financial strategy. These include costs for refinancing a portion of the company's debt, which will reduce interest expense, and non-cash tax charges for realigning the European ownership structure, which more effectively aligns the company's American and European assets and revenues with liabilities and expenses. This action will reduce cash taxes and accelerates the use of United States net operating losses. 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-Europe on Nov. 6, 2007, Fitch Ratings assigned a rating of 'BB-' to Tenneco Inc.'s new senior unsecured notes due 2015. The new notes replace a portion of the company's existing US$475 million in 10.25% senior secured second-lien notes for which the company is tendering. Fitch said the rating outlook is positive. ============= D E N M A R K ============= BLOCKBUSTER INC: Movie Gallery Acquisition Unlikely, COO Says ------------------------------------------------------------- Acquiring Movie Gallery, Inc., is not part of Blockbuster, Inc.'s "reshaping" plans for 2008, according to Blockbuster chairman and chief operating officer James Keyes, reports The Wall Street Journal. Mr. Keyes said he wants to stay away from the financially troubled Movie Gallery and focus more on building Blockbuster's business. "We are actually hoping for the ultimate resolution of Movie Gallery's fate, that they will somehow find a way to survive, because, frankly, good competition is healthy for an industry," Mr. Keyes said in an interview, reports WSJ. "Blockbuster's challenge is to fix its core business before considering any sort of aggressive asset or acquisition," Mr. Keyes said. About Movie Gallery Based in Dothan, Alabama, Movie Gallery Inc. -- http://www.moviegallery.com/-- is a home entertainment specialty retailer. The company owns and operates 4,600 retail stores that rent and sell DVDs, videocassettes and video games. The company and its debtor-affiliates filed for Chapter 11 protection on Oct. 16, 2007 (Bankr. E.D. Va. Case Nos. 07-33849 to 07-33853. Anup Sathy, Esq., Marc J. Carmel, Esq., and Richard M. Cieri, Esq., at Kirkland & Ellis LLP, represent the Debtors. Michael A. Condyles, Esq., and Peter J. Barrett, Esq., at Kutak Rock LLP, is the Debtors' local counsel. The Debtors' claims & balloting agent is Kutzman Carson Consultants LLC. When the Debtors' filed for protection from their creditors, they listed total assets of US$891,993,000 and total liabilities of US$1,419,215,000. The Official Committee of Unsecured Creditors has selected Robert J. Feinstein, Esq., James I. Stang, Esq., Robert B. Orgel, Esq., and Brad Godshall, Esq., at Pachulski Stang Ziehl & Jones LLP, as its lead counsel, and Brian F. Kenney, Esq., at Miles & Stockbridge PC, as its local counsel. The Debtors' spokeswoman Meaghan Repko said that the company does not expect to exit bankruptcy protection before the second quarter of 2008. The Debtors have asked the Court to extend their plan-filing exclusive periods to June 13, 2008. About Blockbuster Inc. Based in Dallas, Texas, Blockbuster Inc. (NYSE: BBI, BBI.B) -- http://www.blockbuster.com/-- is a leading global provider of in-home movie and game entertainment, with over 7,800 stores throughout the Americas, Europe, Asia and Australia. The company maintains operations in Brazil, Mexico, Denmark, Italy, Taiwan, Thailand, Australia, among others. (Movie Gallery Bankruptcy News Issue No. 15; Bankruptcy Creditors' Service Inc.; http://bankrupt.com/newsstand/or 215/945-7000) * * * As reported in the Troubled Company Reporter-Europe on Dec. 28, 2007, Fitch Ratings affirmed Blockbuster Inc.'s long-term Issuer Default Rating at 'CCC' and the senior subordinated notes at 'CC/RR6'. The rating outlook is stable. The company had approximately US$991 million of debt outstanding as of Sept. 30, 2007. =========== F R A N C E =========== DELPHI CORP: To Sell Steering Business to Platinum Equity --------------------------------------------------------- Delphi Corporation said it will seek approval from the U.S. Bankruptcy Court for the Southern of New York to sell its steering and halfshaft businesses to an affiliate of Platinum Equity at a sale hearing on Feb. 21, 2008. Delphi said, in a news release, plans to conclude the sale as soon as all regulatory approvals have been received. Divestiture solutions firm Platinum Equity, LLC -- http://www.platinumequity.com/-- through affiliate Steering Solutions Corp., has offered to purchase Delphi's global steering and halfshaft businesses for US$447,000,000. Delphi previously disclosed in January 2007 that it was working on finalizing a sale and purchase agreement with Platinum Equity regarding the sale of the businesses. Pursuant to a Master Sale And Purchase Agreement dated December 10, 2007, have agreed to sell the global steering and halfshaft businesses to Platinum Equity, but subject to competitive bidding at an auction scheduled for January 28, 2008. Delphi said that Platinum Equity was the sole bidder for the subject assets. Steering Holding, LLC, previously opposed to Platinum Equity's designation as stalking horse bidder on grounds that (i) the proposed break up fee and expense reimbursements, which could reach up to US$8,000,000, is not justified; and (ii) it could provide a better offer for Delphi's steering and halfshaft businesses. The Court, however, denied Steering Holding's objection, but the party was entitled to submit a competing bid by January 18, 2008, under the Court-approved protocol. Under its steering and halfshaft businesses, Delphi designs and manufactures steering and driveline systems and components for automotive vehicle manufacturers and adjacent markets. The businesses operate 22 manufacturing plants in 15 locations worldwide, five regional systems engineering centers, and 11 local customer support enters. In addition, the businesses employ approximately 9,700 individuals globally, about 5,625 of whom work in the U.S. The businesses' customer base includes major domestic, transnational, and international original equipment manufacturers, including General Motors Corp., Fiat, Ford, DaimlerChrysler, and Chevy. In 2006, the businesses generated US$2,530,000,000 in revenues. About Delphi Corp. Headquartered in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ) -- http://www.delphi.com/-- is the single supplier of vehicle electronics, transportation components, integrated systems and modules, and other electronic technology. The company's technology and products are present in more than 75 million vehicles on the road worldwide. Delphi has regional headquarters in Japan, Brazil and France. The company filed for chapter 11 protection on Oct. 8, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-44481). John Wm. Butler Jr., Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, represent the Debtors in their restructuring efforts. Robert J. Rosenberg, Esq., Mitchell A. Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP, represents the Official Committee of Unsecured Creditors. As of March 31, 2007, the Debtors' balance sheet showed US$11,446,000,000 in total assets and US$23,851,000,000 in total debts. The Court approved Delphi's First Amended Joint Disclosure Statement and related solicitation procedures for the solicitation of votes on the First Amended Plan on Dec. 20, 2007. The Court convened hearings to consider confirmation of the Plan beginning Jan. 17, 2008. The Court entered an order confirming the Plan on January 25, 2008. (Delphi Bankruptcy News, Issue No. 109; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000). DELPHI CORP: Bankruptcy Court Confirms Amended Chapter 11 Plan -------------------------------------------------------------- The Honorable Robert D. Drain of the U.S. Bankruptcy Court for the Southern District of New York entered an order on Jan. 25, 2008, confirming the First Amended Joint Plan of Reorganization, as modified, of Delphi Corporation and certain of its affiliates. The Court ruled that Delphi had met all of the statutory requirements to confirm its Plan. "Today's confirmation represents one of the most significant events of a very complex business reorganization to be completed during a challenging time in the automotive industry," said Robert S. "Steve" Miller, Delphi's executive chairman. "The industry-changing accomplishments contemplated by this Plan could not have been achieved without the hard work and continued focus of our employees, the support of our customers, suppliers and other stakeholders, and the dedication of our professionals." Delphi plans to emerge during the current calendar quarter following the syndication and closing of approximately US$6.1 billon of exit financing facilities and satisfaction of other conditions to the Effective Date of the Plan including completing the rights offerings provided for under the Plan, closing of the Investment Agreement with the Plan Investors and consummation of the Global Settlement Agreement with General Motors Corp. "Delphi has substantially achieved all of the objectives that we identified in our 2006 transformation plan," said Rodney O'Neal, Delphi's CEO and President. "Since the chapter 11 cases were filed in late 2005, we have negotiated amended collective bargaining agreements with our U.S. unions resulting in more competitive U.S. operations; entered into comprehensive settlement and restructuring agreements with General Motors; made substantial progress in divesting or winding down facilities and business lines that are not core to Delphi's future plans; implemented initiatives in our organizational cost structure to achieve important cost savings and rationalize our salaried workforce to competitive levels; and obtained pension funding waivers from the Internal Revenue Service which will permit Delphi to fund its defined benefit pension plans following emergence from chapter 11." Delphi earlier announced broad-based stakeholder support for the Plan. Eighty-one% of all voting creditors aggregated across classes voted to accept the Plan. Of the total amount voted by all general unsecured creditor classes, 78% voted to accept the Plan. More than 70% of the ballots cast and 70% of the total dollar amount voted by Delphi's senior note claims, TOPrS claims, and all other claims (including trade claims) segments each voted separately to accept the Plan. One hundred% of the ballots cast in the GM and MDL classes voted to accept the Plan. Of the approximately 217,000,000 shares voted by shareholders, 78% voted to accept the Plan. While one class each in two lower tier Delphi subsidiaries did not accept the Plan, the Bankruptcy Court confirmed the Plan over the vote of the two subsidiary dissenting classes holding that Delphi was entitled to confirm and implement the Plan for several reasons including based on "new value" contributed by Delphi to the subsidiaries. Details of the Plan can be found by accessing the Delphi Legal Information Web site at http://www.delphidocket.com/ About Delphi Corp. Headquartered in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ) -- http://www.delphi.com/-- is the single supplier of vehicle electronics, transportation components, integrated systems and modules, and other electronic technology. The company's technology and products are present in more than 75 million vehicles on the road worldwide. Delphi has regional headquarters in Japan, Brazil and France. The company filed for chapter 11 protection on Oct. 8, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-44481). John Wm. Butler Jr., Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, represent the Debtors in their restructuring efforts. Robert J. Rosenberg, Esq., Mitchell A. Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP, represents the Official Committee of Unsecured Creditors. As of March 31, 2007, the Debtors' balance sheet showed US$11,446,000,000 in total assets and US$23,851,000,000 in total debts. The Court approved Delphi's First Amended Joint Disclosure Statement and related solicitation procedures for the solicitation of votes on the First Amended Plan on Dec. 20, 2007. The Court convened hearings to consider confirmation of the Plan beginning Jan. 17, 2008. (Delphi Bankruptcy News, Issue No. 109; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000) GOODYEAR TIRE: European Unit Eyes Production Cuts in France ----------------------------------------------------------- The Goodyear Tire & Rubber Company disclosed that its European Union business unit is planning to reduce tire production at its two factories in Amiens, France, because their costs are not competitive. The action will result in a reduction of up to 500 employees at the plants and follows a rejection in October 2007 by employees of company plans to modernize and renovate the plants. "We have communicated extensively with the trade unions, explaining the need for major changes," Serge Lussier, Goodyear's Europe, Middle East and Africa vice president of manufacturing, said. "These changes would increase our competitiveness. Unfortunately, they have rejected the plan to improve competitiveness. Therefore, we have no choice but to reduce our costs as the plants are currently uncompetitive." Goodyear said production of some tires impacted by the move would be transferred to other, lower-cost factories in Europe and elsewhere. Some products will be eliminated. Mr. Lussier said the plan presented in October 2007, requiring an investment of approximately US$75 million in the two plants, would allow them to become more competitive, particularly through the supply of high performance tires. This would require a new work pattern, involving four rotating crews working eight-hour shifts, including weekends. The plants would run for 350 days a year, maximizing their usage. Goodyear employs about 3,800 people in France, of which 2,700 are in the Amiens plants. About Goodyear Tire Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company (NYSE: GT) -- http://www.goodyear.com/-- is the world's largest tire company. The company manufactures tires, engineered rubber products and chemicals in more than 90 facilities in 28 countries. Goodyear's operations are located in Argentina, Austria, Chile, Colombia, France, Italy, Guatemala, Jamaica, Peru, Russia, among others. Goodyear employs more than 80,000 people worldwide. * * * In June 2007, Standard & Poor's Ratings Services raised its ratings on Goodyear Tire & Rubber Co., including its corporate credit rating to 'BB-' from 'B+'. The ratings still apply to date. HEXCEL CORP: Net Income Down to US$13 Million in Fourth Quarter --------------------------------------------------------------- Hexcel Corporation reported results for the fourth quarter and full year of 2007. Net sales from continuing operations during the quarter were US$317.6 million, 20.8% higher than the US$262.9 million reported for the fourth quarter of 2006. Related operating income for the fourth quarter was US$20.8 million, compared to US$17.5 million for the same quarter last year. Included within the 2007 operating income figure is US$9.4 million of pension settlement expense associated with the termination of Hexcel's U.S. defined benefit pension plan and US$3.2 million of impairment costs on certain purchased technology and fixed assets, incurred as part of its portfolio realignment. Net income from continuing operations for the fourth quarter of 2007 was US$13.0 million compared to US$17.7 million in 2006. Net income from continuing operations for the fourth quarter of 2007 was US$0.20 per share excluding one-time items of the termination of Hexcel's U.S. defined pension plan, the impairment costs and favorable tax adjustments. Net income for the fourth quarter of 2006 included the benefit from an after-tax gain of US$9.6 million on the sale of a joint venture interest. Adjusted net income in the fourth quarter of 2006 was US$6.9 million. Chief Executive Officer David E. Berges commented, "This was a very good closing quarter to a successful year of significant transition for Hexcel. Fourth quarter sales were at record levels, led by the extremely strong growth in revenues from aerospace (both commercial and defense) and assisted by strong sales in the wind energy markets. Our diluted earnings per share for the quarter were a solid US$0.20 excluding the one- time items, as compared to US$0.08 last year." "For the year, we not only met all of our financial targets, we accomplished or made great progress on all of our strategic goals. Our portfolio realignment is now complete and has resulted in a more focused Company with better long-term growth prospects. Over 80% of our markets and submarkets delivered double digit growth this year and have the potential to continue doing so for years to come. Our restructuring programs have resulted in a single, lean entity, down from three business units in 2005. Our capacity expansion programs are all on track, new product introductions are being embraced and we are well positioned for the A350XWB." "Despite the distractions presented by the restructuring and business sale transactions, we are pleased with our financial progress, particularly in the second half. Adjusted operating income margin was up for the fourth year in a row, at 11.5% of sales, 40 basis points better than 2006, despite 30 basis points of compression from exchange rates. We have also achieved our longstanding goal of reducing our net debt to EBITDA leverage ratio below two times." "As described in our 2008 Outlook, published in December 2007, we expect the good growth trends to continue through at least the next three years, thanks to sustained increases in wind energy markets and in aircraft production, plus incremental new programs from customers such as at Airbus, Boeing and USEC. We expect continued improvement of our financial performance. While the impact of the recently announced delays of the 787 have not yet been determined, we are targeting to offset any negative effects and do not expect it to cause a change in our 2008 earnings outlook of US$0.90 to US$0.95 per diluted share." About Hexcel Corp. Headquartered in Stamford, Connecticut, Hexcel Corporation (NYSE: HXL) -- http://www.hexcel.com/-- is an advanced structural materials company. It develops, manufactures and markets lightweight, high-performance structural materials, including carbon fibers, reinforcements, prepregs, honeycomb, matrix systems, adhesives and composite structures, used in commercial aerospace, space and defense and industrial applications. The company has operations in Australia, Brazil, China, France and Japan, among others. * * * In April 2007, Moody's Investors Service has raised the ratings of Hexcel Corporation, Corporate Family Rating to Ba3 from B1. The ratings on Hexcel's senior secured credit facility have been upgraded to Ba1 from Ba2, while the subordinated notes ratings were upgraded to B1 from B3. Moody's said the ratings outlook is stable. IMMI BAROSTAR: Besancon Court Orders Administration --------------------------------------------------- The Commercial Court of Besancon decided to place IMMI Barostar SAS under administration, the Financial Times Ltd. reports citing Les Echos. According to the report, the court gave the company six months to work on a rescue plan. IMMI blamed slow market performance and a weak dollar for its financial woes. FT said that Altitude, Barostar, and Schatz, IMMI's subsidiaries were financially sound. Headquartered in Morteau, France, IMMI Barostar SAS manufactures barometer. It has 40 workers. PRIDE INT'L: Awards Ultra-Deepwater Drillship Deal to Samsung ------------------------------------------------------------- Pride International said in a statement that it has awarded Samsung Heavy Industries a contract to construct an ultra- deepwater drillship for Brazilian state-run oil firm Petroleo Brasileiro SA. Business News Americas relates that the vessel would be delivered from the shipyard in the first quarter 2011, after construction, commissioning and system integrated testing. According to BNamericas that Petroleo Brasileiro will use the unit. The firm has the option to sign a firm contract for up to seven years. Pride International told BNamericas that it will get a fixed daily rate and performance bonus of up to 17% of the daily rate from Petroleo Brasiliero. Contract revenues could range from US$916 million to US$1.24 billion. The rig will initially be equipped for drilling in water depths of up to 10,000 feet. The estimated construction cost of the rig, which includes commissioning and system integrated testing but excludes capitalized interest, is US$720 million, BNamericas states, citing Pride International. About Samsung Heavy Industries Headquartered in South Korea, Samsung Heavy Industries Company Limited's principal activity is the manufacturing of ships, conveyance machines, chemical equipment and construction equipment. About Petroleo Brasileiro Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp -- was founded in 1953. The company explores, produces, refines, transports, markets, and distributes oil and natural gas and power to various wholesale customers and retail distributors in Brazil. Petrobras has operations in China, India, Japan, and Singapore. About Pride International Headquartered in Houston, Texas, Pride International Inc. (NYSE: PDE) -- http://www.prideinternational.com/-- provides onshore and offshore contract drilling and related services in more than 25 countries, operating a diverse fleet of 277 rigs, including two ultra-deepwater drillships, 12 semisubmersible rigs, 28 jackups, 16 tender-assisted, barge and platform rigs, and 214 land rigs. The company maintains worldwide operations in France, Mexico, Kazakhstan, India, and Brazil, among others. * * * As of Nov. 22, 2007, Pride International Inc. carries BB+ corporate credit and unsecured debt ratings to from Standard & Poor's Ratings Service. S&P said the outlook is stable. ============= G E R M A N Y ============= AMCO TONTRAGER: Claims Registration Ends Feb. 19 ------------------------------------------------ Creditors of AmCo Tontrager Vertriebs-GmbH & Co. KG have until Feb. 19, 2008, to register their claims with court-appointed insolvency manager Michael Bremen. Creditors and other interested parties are encouraged to attend the meeting at 9:30 a.m. on March 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 Duesseldorf Meeting Hall A 341 Third Floor Muehlenstrasse 34 40213 Duesseldorf Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Michael Bremen Sternstr. 58 40479 Duesseldorf Germany The District Court of Duesseldorf opened bankruptcy proceedings against AmCo Tontrager Vertriebs-GmbH & Co. KG on Jan. 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: AmCo Tontrager Vertriebs-GmbH & Co. KG Loh 38 40668 Meerbusch Germany Attn: Marcel Neidl, Manager Oberkasseler Strasse 36 g 40545 Duesseldorf Germany BAUCENTER ANDREAS: Claims Registration Period Ends Feb. 18 ---------------------------------------------------------- Creditors of baucenter Andreas GmbH & Co. KG have until Feb. 18, 2008, to register their claims with court-appointed insolvency manager Bruno M. Kuebler. Creditors and other interested parties are encouraged to attend the meeting at 2:00 p.m. on March 12, 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 Moenchengladbach Meeting Hall A 14 Ground Floor Hohenzollernstr. 157 41061 Moenchengladbach Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Dr. Bruno M. Kuebler Berger Dorfstrasse 35 41189 Moenchengladbach Germany Tel: 02166/989020 Fax: 02166/9890229 The District Court of Moenchengladbach opened bankruptcy proceedings against baucenter Andreas GmbH & Co. KG on Jan. 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: baucenter Andreas GmbH & Co. KG Odenkirchener Strasse 249 41236 Moenchengladbach Germany DENTAL EXCELLENCE: Claims Registration Ends Feb. 19 --------------------------------------------------- Creditors of Dental Excellence GmbH have until Feb. 19, 2008, to register their claims with court-appointed insolvency manager Markus Froehlich. Creditors and other interested parties are encouraged to attend the meeting at 9:40 a.m. on March 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 Kempten Hall 144/I. Residenzplatz 4-6 87435 Kempten 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: Markus Froehlich Ehlersstr. 11 88046 Friedrichshafen Germany Tel: (07541) 7008-70 Fax: (07541) 7008-78 The District Court of Kempten opened bankruptcy proceedings against Dental Excellence GmbH on Jan. 2, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Dental Excellence GmbH Europaplatz 1 88131 Lindau Germany ELEKTRO MELZER: Claims Registration Period Ends Feb. 6 ------------------------------------------------------ Creditors of Elektro Melzer GmbH have until Feb. 6, 2008, to register their claims with court-appointed insolvency manager Sandra Schiffmann. Creditors and other interested parties are encouraged to attend the meeting at 10:45 a.m. on March 5, at which time the insolvency manager will present her first report on the insolvency proceedings. The meeting of creditors will be held at: The District Court of Magdeburg Hall 13 Breiter Weg 203 - 206 39104 Magdeburg 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: Sandra Schiffmann Hegelstr. 39 39104 Magdeburg Germany Tel: 0391/5982244 Fax: 0391/5982158 E-mail: magdeburg@waltervonstein.de The District Court of Magdeburg opened bankruptcy proceedings against Elektro Melzer GmbH on Jan. 17, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Elektro Melzer GmbH Attn: Dirk Melzer, Manager Siedlerweg 3 a 39124 Magdeburg Germany FAHRZEUG SERVICE: Claims Registration Period Ends Feb. 18 --------------------------------------------------------- Creditors of Fahrzeug Service GmbH have until Feb. 18, 2008, to register their claims with court-appointed insolvency manager Rainer M. Bahr. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on March 31, 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 Dresden Hall D132 Olbrichtplatz 1 01099 Dresden 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: Rainer M. Bahr Obergraben 10 01097 Dresden Germany Web site: http://www.hermann-law.de/ The District Court of Dresden opened bankruptcy proceedings against Fahrzeug Service GmbH on Jan. 17, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Fahrzeug Service GmbH Scharfenberger Strasse 61 01139 Dresden Germany Attn: Steffen Feige, Manager Weissenberger Stra�e 47 02708 Loebau Germany FDD FORMULAR: Claims Registration Ends Feb. 19 ---------------------------------------------- Creditors of FDD Formular Druck Dresden GmbH have until Feb. 19, 2008, to register their claims with court-appointed insolvency manager Dr. Christoph Junker. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on March 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 Dresden Hall D131 Olbrichtplatz 1 01099 Dresden 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. Christoph Junker Karcherallee 25 a 01277 Dresden Germany Web site: http://www.junker-kollegen.de/ The District Court of Dresden opened bankruptcy proceedings against FDD Formular Druck Dresden GmbH on Jan. 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: FDD Formular Druck Dresden GmbH Attn: Hans-Juergen Klemm, Karsten Weinberg and Joerg Pribil, Managers Breitscheidstr. 45 01156 Dresden Germany H+S ENTERTAINMENT: Claims Registration Period Ends Feb. 5 --------------------------------------------------------- Creditors of H+S Entertainment Verwaltungs GmbH have until Feb. 5, 2008, to register their claims with court-appointed insolvency manager Frank Bassermann. Creditors and other interested parties are encouraged to attend the meeting at 9:30 a.m. on March 18, 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 Karlsruhe Hall IV First Floor Schlossplatz 23 76131 Karlsruhe Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Frank Bassermann Lorenzstr. 29 76135 Karlsruhe Germany The District Court of Karlsruhe opened bankruptcy proceedings against H+S Entertainment Verwaltungs GmbH on Jan. 16, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: H+S Entertainment Verwaltungs GmbH Attn: Juergen Soinegg, Manager Amalienstr. 47 76133 Karlsruhe Germany KARLSRUHE EINS: Claims Registration Period Ends Feb. 18 ------------------------------------------------------- Creditors of Karlsruhe Eins Verwaltungsgesellschaft Leipzig West mbH have until Feb. 18, 2008, to register their claims with court-appointed insolvency manager Lucas F. Floether. Creditors and other interested parties are encouraged to attend the meeting at 10:30 a.m. on March 18, 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 Leipzig Hall 056 Ground Floor Enforcement Court Bernhard Goering Strasse 64 04275 Leipzig 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. Lucas F. Floether Specks Hof Eingang C Nikolaistrasse 3-5 04109 Leipzig Germany Tel: 0341/652200 Fax: 0341/65220111 The District Court of Leipzig opened bankruptcy proceedings against Karlsruhe Eins Verwaltungsgesellschaft Leipzig West mbH on Jan. 2, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Karlsruhe Eins Verwaltungsgesellschaft Leipzig West mbH Attn: Ludger Zdarta, Manager Antonienstrasse 20 04229 Leipzig Germany LOELL'S WURSTER: Claims Registration Period Ends Feb. 18 -------------------------------------------------------- Creditors of Loell's Wurster Backhus GmbH have until Feb. 18, 2008, to register their claims with court-appointed insolvency manager Christian Strauss. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on March 17, 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 Cuxhaven Hall 112 Old Building Deichstr. 12 A 27472 Cuxhaven 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. Christian Strauss Friedrich-Missler-Str. 42 28211 Bremen Germany Tel: 0421 79262-60 Fax: 0421 79262-85 The District Court of Cuxhaven opened bankruptcy proceedings against Loell's Wurster Backhus GmbH on Jan. 11, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Loell's Wurster Backhus GmbH Attn: Wolfgang Schulmann, Manager Speckenstr. 4 27632 Dorum Germany MERIDIAN VERWALTUNGS: Claims Registration Ends Feb. 18 ------------------------------------------------------ Creditors of Meridian Verwaltungsgesellschaft mbH have until Feb. 18, 2008, to register their claims with court-appointed insolvency manager Georg F. Kreplin. Creditors and other interested parties are encouraged to attend the meeting at 1:00 p.m. on March 6, 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 Essen Meeting Hall 293 Second Floor Zweigertstr. 52 45130 Essen Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Georg F. Kreplin Limbecker Platz 1 45127 Essen Germany The District Court of Essen opened bankruptcy proceedings against Meridian Verwaltungsgesellschaft mbH on Jan. 4, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Meridian Verwaltungsgesellschaft mbH Attn: Martin Steiner, Manager Rellinghauser Str. 334 H 45136 Essen Germany MOEBEL MAIWALD: Claims Registration Period Ends Feb. 18 ------------------------------------------------------- Creditors of Moebel Maiwald GmbH have until Feb. 18, 2008, to register their claims with court-appointed insolvency manager Dirk Herzig. Creditors and other interested parties are encouraged to attend the meeting at 9:30 a.m. on March 31, 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 Dresden Hall D131 Olbrichtplatz 1 01099 Dresden 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. Dirk Herzig Boltenhagener Platz 9 01109 Dresden Germany Web site: http://www.schubra.de/ The District Court of Dresden opened bankruptcy proceedings against Moebel Maiwald GmbH on Jan. 9, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Moebel Maiwald GmbH Alte Bahnhofstr. 4 02999 Lohsa Germany PIN GROUP: Private Equity Firms In Talks to Acquire Business ------------------------------------------------------------ The Blackstone Group, Kohlberg Kravis Roberts & Co., Advent International Corp. have expressed interest in acquiring PIN Group AG, which is expected to go bust at the end of February, Bloomberg News reports, citing Focus. According to Bloomberg, the private equity firms have held preliminary talks with Horst Piepenburg, head of the management board at PIN. Thomas Schulz, a spokesman for PIN, confirmed that negotiations over the sale of the company started two weeks ago, although he refused to reveal the identity of the potential buyers, Bloomberg relates. Meanwhile, 19 of PIN's 91 subsidiaries are set to file for insolvency this week, the FT relates. The company's insolvencies has now totaled to 37. The insolvencies 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. A TCR-Europe report on Jan. 18, 2008, disclosed that Mr. Piepenburg is looking to sell the company as a whole as he tries to avert further insolvencies. However, the Financial Times says, citing Handelsblatt, Mr. Piepenburg also admitted a possible division of PIN and the disposal of individual regional subsidiaries if he fails to sell the company in its entirety. About PIN Group AG Headquartered in Luxembourg, PIN Group AG -- http://www.pin- group.net/ -- provides postal services across Germany. 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 GROUP: To Carry Out Statutory Minimum Wage This Month --------------------------------------------------------- PIN Group AG, which currently pays its employees an average of EUR7.50 per hour, is to implement the statutory postal minimum wage of between EUR8-EUR9.80 per hour this month, Thomson Financial reports, citing Focus Online. PIN's move, The Financial Times says, citing Handelsblatt, is aimed at retaining public customers, including municipal authorities and ministries. A TCR-Europe report on Jan. 18, 2008, disclosed that the minimum wage would cost PIN, which has 9,000 employees, up to EUR45 million, although "most of the costs are expected to be covered by a form of state reimbursement." Meanwhile, 19 of PIN's 91 subsidiaries are set to file for insolvency this week, the FT relates. The company's insolvencies has now totaled to 37. As previously stated in a TCR-Europe report, the insolvencies 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. About PIN Group AG Headquartered in Luxembourg, PIN Group AG -- http://www.pin- group.net/ -- provides postal services across Germany. The group has more than 60 regional subsidiaries, and in 2006 became a national integrated provider by setting up an efficient nationwide distribution network. SCHUSTER UMWELTDIENST: Claims Registration Period Ends Feb. 8 ------------------------------------------------------------- Creditors of Schuster Umweltdienst GmbH & Co. KG have until Feb. 8, 2008, to register their claims with court-appointed insolvency manager Dr. Ruediger Werres. Creditors and other interested parties are encouraged to attend the meeting at 10:40 a.m. on March 20, 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 Cologne Meeting Hall 142 First Floor Luxemburger Strasse 101 50939 Cologne Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Dr. Ruediger Werres Friesenplatz 17a 50672 Cologne Germany Tel: 0221/9514 46-20 Fax: +4922195144690 The District Court of Cologne opened bankruptcy proceedings against Schuster Umweltdienst GmbH & Co. KG on Jan. 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Schuster Umweltdienst GmbH & Co. KG Betriebsweg 2 51645 Gummersbach Germany SDS GMBH: Claims Registration Period Ends Feb. 18 ------------------------------------------------- Creditors of SDS GmbH have until Feb. 18, 2008, to register their claims with court-appointed insolvency manager Ruediger Werres. Creditors and other interested parties are encouraged to attend the meeting at 10:20 a.m. on March 20, 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 Cologne Meeting Hall 142 First Floor Luxemburger Strasse 101 50939 Cologne Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Dr. Ruediger Werres Friesenplatz 17a 50672 Cologne Germany Tel: 0221/9514 46-20 Fax: +4922195144690 The District Court of Cologne opened bankruptcy proceedings against SDS GmbH on Jan. 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: SDS GmbH Betriebsweg 2 51645 Gummersbach Germany SPASS IM PARK: Claims Registration Period Ends Feb. 3 ----------------------------------------------------- Creditors of SPASS IM PARK GmbH have until Feb. 3, 2008, to register their claims with court-appointed insolvency manager Dr. Ralf Sinz. Creditors and other interested parties are encouraged to attend the meeting at 9:10 a.m. on March 3, 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 Cologne Meeting Hall 1240 Luxemburger Strasse 101 50939 Cologne Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Dr. Ralf Sinz Zeughausstrasse 28-38 50667 Koeln Germany Tel: 9 21 22 23 Fax: +492219212221. The District Court of Cologne opened bankruptcy proceedings against SPASS IM PARK GmbH on Nov. 30, 2007. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: SPASS IM PARK GmbH Im Mediapark 4 a 50670 Koeln Germany Attn: Wladislaw Kupermann, Manager Mauritussteinweg 9 50676 Koeln Germany SPATH GMBH: Claims Registration Period Ends Feb. 18 --------------------------------------------------- Creditors of Spath GmbH & Co. KG have until Feb. 18, 2008, to register their claims with court-appointed insolvency manager Dr. Wolfgang Bilgery. Creditors and other interested parties are encouraged to attend the meeting at 9:00 a.m. on March 12, 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 Stuttgart Hall 13 Ground Floor Hauffstr. 5 (Am Neckartor) 70190 Stuttgart 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. Wolfgang Bilgery Humboldtstr. 16 70178 Stuttgart Germany Tel: 0711/96 6890 Fax: 0711/96 68919 The District Court of Stuttgart opened bankruptcy proceedings against Spath GmbH & Co. KG on Dec. 31, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Spath GmbH & Co. KG Wilhelm-Stahle-Str. 5 70736 Fellbach Germany TEKIN BAU: Claims Registration Period Ends Feb. 18 -------------------------------------------------- Creditors of TEKIN Bau GmbH have until Feb. 18, 2008, to register their claims with court-appointed insolvency manager Dr. Andreas Roepke. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on March 4, 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 Duisburg Hall C205 Second Floor Kardinal-Galen-Strasse 124-132 47058 Duisburg 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. Andreas Roepke Muelheimer Strasse 100 47057 Duisburg Germany The District Court of Duisburg opened bankruptcy proceedings against TEKIN Bau GmbH on Jan. 9, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: TEKIN Bau GmbH Paul-Esch-Str. 54 47053 Duisburg Germany WEITRONIC GMBH: Claims Registration Period Ends Feb. 18 ------------------------------------------------------- Creditors of Weitronic GmbH have until Feb. 18, 2008, to register their claims with court-appointed insolvency manager Bettina Kriegel. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on March 31, 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 Offenburg Hall 0.005 Hindenburgstr. 5 77654 Offenburg 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: Bettina Kriegel Zeller Str. 101/107 77654 Offenburg Germany The District Court of Offenburg opened bankruptcy proceedings against Weitronic GmbH on Jan. 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Weitronic GmbH Friedrichstr. 71 77654 Offenburg Germany WSW BAUTAGER: Claims Registration Ends Feb. 18 ---------------------------------------------- Creditors of WSW Bautager u. Immobilien GmbH & Co. KG have until Feb. 18, 2008, to register their claims with court-appointed insolvency manager Rainer U. Mueller. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on March 17, 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 Augsburg Meeting Hall 162 Alten Einlass 1 86150 Augsburg 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: Rainer U. Mueller Schiessstattenstr. 15 86159 Augsburg Germany The District Court of Augsburg opened bankruptcy proceedings against WSW Bautager u. Immobilien GmbH & Co. KG on Dec. 20, 2007. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: WSW Bautager u. Immobilien GmbH & Co. KG Attn: Sabine Willert, Manager Oberlanderstr. 7 86438 Kissing Germany ZECHEN GASTRO: Claims Registration Ends Feb. 18 ----------------------------------------------- Creditors of Zechen Gastro GmbH have until Feb. 18, 2008, to register their claims with court-appointed insolvency manager Harald Heinze. Creditors and other interested parties are encouraged to attend the meeting at 10:30 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 Leipzig Hall 145 Ground Floor Enforcement Court Bernhard Goering Strasse 64 04275 Leipzig 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: Harald Heinze Getzelauer Strasse 2 04279 Leipzig Germany Tel: 0341/3360941 Fax: 0341/3360934 E-mail: heinze@paul-inso.de The District Court of Leipzig opened bankruptcy proceedings against "Zechen" Gastro GmbH on Jan. 3, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: "Zechen" Gastro GmbH Attn: Maik Koehler, Manager Alte Brikettfabrik 2 04552 Borna Germany ============= H U N G A R Y ============= PROPEX INC: Gets Interim OK to Use BNP Paribas' Cash Collateral --------------------------------------------------------------- The Hon. John C. Cook of the U.S. Bankruptcy Court for the Eastern District of Tennessee authorizes Propex Inc. and its debtor-affiliates, on an interim basis, to use BNP Paribas Securities Corp.'s cash collateral, pursuant to and limited by the provisions of a DIP budget. A copy of the budget has not been filed with the Court. The Court grants BNP Paribas a valid perfected replacement lien on all of the Collateral subordinate only to: (i) the Permitted Prepetition Liens; (ii) the DIP Lenders' security interests and liens; and (iii) the Carve-Out. As reported in the Troubled Company Reporter on Jan. 23, 2008, Henry J. Kaim, Esq., at King & Spalding, LLP, in Houston, Texas, proposed lead counsel of the Debtors, relates that the Debtors require the immediate use of the Cash Collateral and financing for, among other things, the purchase of their inventory, maintenance of their facilities, and other working capital needs. Prior to Jan. 18, 2008, the working capital needs of the Debtors were met primarily by a US$360 million senior credit facility. Pursuant to the terms and conditions of a prepetition credit agreement and related documents, a syndicate of financial institutions arranged by BNP Paribas Securities Corp., which serves as administrative agent for the lender, agreed to provide the senior credit facility, comprised of a US$260 million term loan, a US$50 million revolving facility and a US$50 million bridge loan facility. The Prepetition Credit Facility was secured by perfected, valid, binding and non-avoidable first priority security interests and liens upon substantially all of the assets of the Debtors. The Debtors' right to use Cash Collateral will automatically terminate on the date that is the earlier of 10 days after an Event of Default under the DIP Facility or the maturity date of the DIP Facility, the Court clarifies. About Propex Headquartered in Chattanooga, Tennessee, Propex Inc. -- http://www.propexinc.com/-- produces geosynthetic, concrete, furnishing, and industrial fabrics and fiber. It is produces primary and secondary carpet backing. Propex operates in Brazil, Mexico, Germany, Hungary, and the United Kingdom. The company and its debtor-affiliates filed for Chapter 11 protection on Jan. 18, 2008, (Bankr. E.D. Tenn. Case No. 08- 10249). The debtors' has selected Edward L. Ripley, Esq., Henry J. Kaim, Esq., and Mark W. Wege, Esq. at King & Spalding, in Houston, Texas, to represent them. As of Sept. 30, 2007, the debtors' balance sheet showed total assets of US$585,700,000 and total debts of US$527,400,000. (Propex Bankruptcy News, Issue No. 3; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000) PROPEX INC: Wants Until April 2 to File Schedules & Statements -------------------------------------------------------------- Propex Inc. and its debtor-affiliates ask permission from the U.S. Bankruptcy Court for the Eastern District of Tennessee to extend time for them to file their Schedules and Statements through and including April 2, 2008. The Debtors are required under Rule 1007(c) of the Federal Rules of Bankruptcy Procedure to file their Schedules of Assets and Liabilities and Statements of Financial Affairs within 15 days after the Petition Date. The Debtors' proposed bankruptcy counsel, Henry J. Kaim, Esq., at King & Spalding, LLP, in Houston, Texas, explains, however, that the size of the Debtors' business operations, which spans North America, Europe, and Brazil, makes it difficult for them to compile all of the necessary business records required to file an accurate financial information with the Court within the time alloted under the Bankruptcy Code. Consequently, the Debtors will not be able to satisfactorily prepare the Schedules and Statements within 15 days as outlined in Bankruptcy Rule 1007(c), Mr. Kaim notes. The Debtors anticipate that they will need a minimum of 75 days within which to prepare and file the Schedules and Statements in the appropriate format. Mr. Kaim contends that the Debtors' request will not prejudice any party-in-interest. The Debtors have filed a list setting forth the names and addresses of all their creditors and a list setting forth the names, addresses and claim amounts of creditors holding the 30 largest unsecured claims. Thus, he notes, the Office of the U.S. Trustee has the information necessary for the formation of an unsecured creditors committee. About Propex Headquartered in Chattanooga, Tennessee, Propex Inc. -- http://www.propexinc.com/-- produces geosynthetic, concrete, furnishing, and industrial fabrics and fiber. It is produces primary and secondary carpet backing. Propex operates in Brazil, Mexico, Germany, Hungary, and the United Kingdom. The company and its debtor-affiliates filed for Chapter 11 protection on Jan. 18, 2008, (Bankr. E.D. Tenn. Case No. 08- 10249). The debtors' has selected Edward L. Ripley, Esq., Henry J. Kaim, Esq., and Mark W. Wege, Esq. at King & Spalding, in Houston, Texas, to represent them. As of Sept. 30, 2007, the debtors' balance sheet showed total assets of US$585,700,000 and total debts of US$527,400,000. (Propex Bankruptcy News, Issue No. 3; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000) SUN MICROSYSTEMS: Earns US$260 Mln in Second Qtr. Ended Dec. 30 --------------------------------------------------------------- Sun Microsystems, Inc., reported results for its fiscal second quarter, which ended Dec. 30, 2007. Revenues for the second quarter of fiscal 2008 were US$3.615 billion, an increase of approximately 1.4% as compared with US$3.566 billion for the second quarter of fiscal 2007. Total gross margin as a% of revenues was 48.5, an increase of 3.5%age points, as compared with the second quarter of fiscal 2007. Net income for the second quarter of fiscal 2008 on a GAAP basis was US$260 million, as compared with a net income of US$133 million, for the second quarter of fiscal 2007. GAAP net income for the second quarter of fiscal 2008 included a US$32 million restructuring charge. Cash generated from operations for the second quarter of fiscal 2008 was US$336 million, and the cash and marketable debt securities balance at the end of the quarter was US$4.677 billion. "Today's results clearly demonstrate steady progress against our financial targets and highlight the accelerating demand set to fuel growth in the back half of the fiscal year," said Jonathan Schwartz, Chief Executive Officer of Sun Microsystems. "Headlining the results were improved margins and strong bookings along with double digit growth in emerging markets including India, China, Latin America, Eastern Europe, the Middle East and Africa. Adding to the momentum were the SolarisTM Operating System OEM agreement with Dell and our introduction of the industry's first open source datacenter virtualization and management platform, Sun xVM." Headquartered in Santa Clara, California, Sun Microsystems Inc. (NASDAQ: SUNW) -- http://www.sun.com/-- provides network computing infrastructure solutions that include computer systems, data management, support services and client solutions and educational services. It sells networking solutions, including products and services, in most major markets worldwide through a combination of direct and indirect channels. Sun Microsystems conducts business in 100 countries around the globe, including Brazil, Argentina, India, Hungary, United Kingdom, Singapore, among others. * * * Sun Microsystems Inc. carries Moody's "Ba1" probability of default and long-term corporate family ratings with a stable outlook. The ratings were placed on Sept. 22, 2006, and Sept. 22, 2005, respectively. Sun Microsystems also carries Standard & Poor's "BB+" long-term foreign and local issuer credit ratings, which were placed on March 5, 2004, with a stable outlook. ========= I T A L Y ========= ALITALIA SPA: Political Crisis Spurs Parties to Speed Up Talks -------------------------------------------------------------- Alitalia S.p.A. and Air France-KLM want to finalize the offer sheet for the Italian government's 49.9% stake in the national carrier weeks before the agreed deadline, Thomson Financial reports citing Finanza & Mercati as its source. The parties had planned to present a final contract within eight weeks, but cut the period to four-to-five weeks following the Italian political crisis, Finanza & Mercati relates. Negotiations commenced mid-January 2008 following a go-signal from the current administration, led by Romano Prodi. Mr. Prodi tendered his resignation as Prime Minister on Jan. 24, 2008, after losing a confidence vote in the Senate. Mr. Prodi earlier lost a majority in the Italian Senate after the Udeur party left the coalition government. Mr. Prodi had survived a confidence vote in the lower parliamentary. President Giorgio Napolitano said he will defer a decision to accept the resignation pending consultations with all the political parties in the Parliament, BBC News relates. "We confirm that it is our strong determination to present the definitive offer within the timetable set out," Reuters reports citing a source close to Air France. "Despite the political situation the Alitalia dossier remains a priority." Calls for Review Meanwhile, Roberto Formigoni, president of Italy's Lombardy region, called for a reconsideration of the current exclusive talks between Alitalia and Air France, citing the collapse of the Prodi administration, Bloomberg News reports. Mr. Formigoni and several politician and businessmen are opposing Air France's plan to downscale Alitalia's operations in Milan's Malpensa airport, Bloomberg News relates. "Our priority is to ensure Alitalia is sold to a company that keeps a service throughout the nation," Mr. Formigoni told Bloomberg News. Marco Tronchetti Provera, chairman of Pirelli & C. S.p.A., aired a similar sentiment, saying that Malpensa should be a priority in Alitalia's sales talks, Bloomberg News says. "If we start to see concrete ideas about the relaunching of the airport system, businessmen are ready to invest," Mr. Provera was quote by Finanza & Mercati as saying. As reported in the TCR-Europe on Jan. 24, 2008, Italian ministers assured that the current political crisis in the country will not affect sale talks. "[Alitalia Chairman Maurizio] Prato has full powers to conduct and conclude talks with Air France, with the duty to keep the minister informed, even during a government crisis," Transport Minister Alessandro Bianchi told Reuters. "Nothing changes, even if there is a government crisis," Economic Development Minister Pierluigi Bersani told Thomson Financial. As reported in the TCR-Europe on Jan. 17, 2007, Alitalia and Italy have commenced exclusive sale talks with Air France-KLM. The carriers have two months to reach an agreement, which would be approved by the government. Tommaso Padoa Schioppa, Italy's finance minister, has delivered a letter to Alitalia S.p.A. approving the commencement of exclusive talks with Air France-KLM. In its non-binding offer, Air France plans to: -- acquire 100% of the shares of Alitalia through an exchange offer; -- acquire 100% of Alitalia convertible bonds; and -- immediately inject at least EUR750 million into Alitalia through a capital increase, that will be open to all shareholders and be fully underwritten by Air France. Air France CEO Jean-Cyril Spinetta confirmed plans to cut 1,700 jobs and defended plans to downsize Alitalia's operations in Milan's Malpensa airport. Mr. Spinetta also revealed that should the French carrier acquire 100% of Alitalia shares, Air France would list itself in the Milan bourse. Mr. Schioppa will represent the Italian government during sale talks and will evaluate whether to sell to the state's majority stake in Alitalia, Agenzia Giornalistica Italia says. 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. FIAT SPA: Posts EUR58.5 Billion in Revenues for Fiscal Year 2007 ---------------------------------------------------------------- Fiat S.p.A. reported EUR58.5 billion in revenues for year ended 2007 compared with EUR51.8 billion in revenues for the year ended 2006. The revenues are driven by increased activity across all major industrial businesses. The Automobiles businesses posted revenues of EUR29 billion, on the back of higher sales volumes at Fiat Group Automobiles, whose revenues rose 13.1% to EUR26.8 billion. Significant contributions also came from Ferrari, whose revenues increased 15.3%, and Maserati, which recorded revenue growth of 33.7%. Iveco had revenues of EUR11.2 billion due to outstanding sales volume and improved pricing. CNH-Case New Holland closed with revenues of EUR11.8 billion, up 12.5% from EUR10.5 billion in 2006. Revenues in the Components and Production Systems businesses totaled EUR13.4 billion, an overall increase of 8.2%. Sales increased 15.1% at FPT Powertrain Technologies and 12.2% at Magneti Marelli. Teksid revenues decreased by 20.0%, from EUR783 million in 2007 from EUR979 million in 2006, in absolute terms, mainly due to changes in the scope of consolidation Comau reported a decline of 14.9%, in line with the reshaping of the business initiated in 2006. In the fourth quarter of 2007, Fiat Group revenues totaled EUR15.8 billion, a 14.1% increase over EUR13.9 billion for the fourth quarter in 2006, with all major sectors contributing to the improvement. In 2007, trading profit totaled EUR3.23 billion, an increase of 65.7% compared to the EUR1.95 million reported in 2006. The Automobiles businesses achieved trading profit of EUR1.09 million. Fiat Group Automobiles, in particular, had a trading profit of EUR803 million, an increase of EUR512 million compared to 2006, while trading margin grew from 1.2% in 2006 to 3.0% in 2007. Ferrari's trading profit totaled EUR266 million, an increase of 45.4%. For the first time since its acquisition by Fiat in 1993, Maserati was profitable in 2007, achieving a trading profit of EUR24 million against a loss of EUR33 million in 2006. Agricultural and Construction Equipment had a trading profit of EUR990 million, exceeding by EUR253 million the 2006 level; trading margin grew from 7.0% in 2006 to 8.4% in 2007. Iveco's trading profit also improved sharply from EUR546 million in 2006 to EUR813 million in 2007, an increase of EUR267 million or 48.9%. In 2007, the Components and Production Systems business posted trading profit of EUR509 million, representing a trading margin of 3.8%. The EUR161 million overall improvement reflects higher trading profit at FPT Powertrain Technologies and Magneti Marelli, and a much reduced loss at Comau, whose reshaping plan is starting to bear fruit. Teksid's trading profit, down EUR9 million, improved by EUR16 million on a comparable scope of operations. For the fourth quarter of 2007, trading profit was EUR947 million, up EUR405 million or 74.7% over Q4 2006, with improvements across all businesses. Operating income for the year totaled EUR3.15 billion. The EIR1.09 million improvement from 2006 reflects higher trading profit for EUR1.28 million, reduced by the difference of EUR191 million in unusual items year-over-year Gains of disposals worth EUR190 million in 2007 were more than offset by restructuring costs of EUR105 million and other one-off expenses of EUR166 million mainly related to the remaining class of strategic suppliers in need of rationalization. In 2007, net financial expenses totaled EUR564 million and included the positive impact of EUR70 million from two stock option-related equity swaps, the financing costs for pension plans and other employee benefits for EUR155 million, as well as the one-off cost of EUR43 million related to the accelerated redemption of CNH senior notes due 2011. Investment income totaled EUR185 million in 2007, versus EUR156 million in 2006. Income before taxes amounted to EUR2.77 million in 2007, against EUR1.64 million in 2006. The improvement of EUR1.13 million is due to the EUR1.09 million increase in operating income, lower net financial expenses of EUR12 million and the increase of EUR29 million in investment income. Income taxes totaled EUR719 million, representing an effective tax rate of 25.9%, at the low end of the expected income tax rate range. In 2007, net income before minority interest was EUR2.05 million, compared with income of EUR1.15 million in 2006. Net industrial debt turned from EUR1.77 million at the end of 2006 to a net industrial cash position of EUR355 million at 2007 year end, reflecting strong net industrial cash flow of approximately EUR2.7 billion, mainly as a result of positive operating performance, partially offset by dividend distribution of EUR0.3 billion and share repurchase for EUR0.4 billion. Fiat Group's capital expenditures in 2007 for industrial operations amounted to EUR3.7 billion, an increase of EUR0.8 billion against 2006. The Group's cash position at December 31, 2007 was EUR6.9 billion compared with EUR8 billion at Dec. 31, 2006. The decrease follows the net reduction in external debt of about EUR2.2 billion. Outlook for 2008 The Western European automobile market is expected to remain stable in 2008. In this context, Fiat Group Automobiles expects to gain market share in Italy and Western Europe, continuing to leverage on the recently introduced Fiat 500, Fiat Bravo, Fiat Linea, on the 2008 new model launches, as well as on new engines. The Brazilian market should continue to grow, posting in 2008 an increase of more than 10% compared to 2007, and Fiat operations are expected to maintain their leadership of the Brazilian market. Higher spending in advertising and network investments will support Fiat Group Automobiles targeted volume growth of approximately 200,000 units in 2008. The agricultural equipment market is expected to grow in North America, Europe and in Latin America and to remain flat in the Rest of the World. High global commodity prices and low levels of agricultural stocks will lead to strong net farm incomes. Increasing demand for corn and sugar cane to produce fuel ethanol continues to support equipment sales. The construction equipment market is expected to grow in Europe and in the rest of the world, to be flat in Latin America and to decrease in North America. In the United States, further declines in residential construction should be partly offset by higher nonresidential and heavy construction activity. In North America, housing starts are expected to continue declining but will potentially stabilize later in the year; housing starts are expected to be flat in Europe, Latin America and in the rest of the world. In this context, CNH expects to achieve a strong improvement in unit volume along with continuing market share gains. Momentum of positive net pricing offsetting increases in certain raw materials and components will continue. In Western Europe, the market for light, medium and heavy commercial vehicles is expected to keep on growing, notably in the first half of the year. Central and Eastern European markets are expected to grow about 15% compared to 2007. In this environment Iveco aims at gaining market share thanks to new products and is targeting revenue growth due to price repositioning and higher volumes. To achieve its targets, the Fiat Group will continue to push group-wide purchasing synergies, intensifying and accelerating development of best-cost-country sourcing, strengthening strategic partnerships with suppliers through long-term contracts, and focusing on the implementation of world-class manufacturing initiatives. The Group confirms its targets for 2008: trading profit between EUR3.4 and EUR3.6 billion, net income between EUR2.4 and EUR2.6 billion (earnings per share between EUR1.90/EUR2.00). Consolidated net revenues will be in excess of EUR60 billion. The Group expects to close the year again debt free, with a minimum of EUR1.5 billion of net cash on hand. While working on the achievement of these objectives, the Fiat Group will continue to implement its strategy of targeted alliances, in order to reduce capital commitments, and reduce the related risks. The Group's expectations for 2008 are based on the assumption that the current turbulence in financial markets will have limited contagion impact on the real economy, and at worst will be limited to the U.S. market. There is a concern that the current crisis of confidence being experienced in the capital markets will spill over and begin to severely restrict consumption on a global scale. The Group believes that such a scenario is unlikely: nonetheless, if such conditions were to effectively materialize, the Group believes that it would be able to fully sustain the financial impact of a downward pressure on demand, albeit with reduced operating performance and margins. A full-text copy of Fiat SpA's financial results is available at no charge at http://ResearchArchives.com/t/s?2777 About Fiat S.p.A. Headquartered in Turin, Italy, Fiat S.p.A. -- http://www.fiatgroup.com/-- manufactures and sells automobiles, commercial vehicles, and agricultural and construction equipment. It also manufactures, for use by the company's automotive sectors and for sale to third parties, other automotive-related products and systems, principally power trains (engines and transmissions), components, metallurgical products and production systems. Fiat's creditors include Banca Intesa, Banca Monte dei Paschi di Siena, Banca Nazionale del Lavoro, Capitalia, Sanpaolo IMI, and UniCredito Italiano. Fiat operates in Argentina, Australia, Austria, Belgium, Brazil, Bulgaria, China, Czech Republic, Denmark, France, Germany, Greece, Hungary, India, Ireland, Italy, Japan, Lituania, Netherlands, Poland, Portugal, Romania, Russia, Singapore, Spain, among others. * * * As reported in the Troubled Company Reporter-Europe on Jan. 28, 2008, Moody's Investors Service affirmed Fiat SpA's Ba1 Corporate Family Rating, and the group's other long-term senior unsecured ratings. At the same time, the positive outlook was maintained. The short term Not Prime rating remains unchanged. The company also carries Standard & Poor's BB+ on long-term foreign issuer credit rating, BB+ on long-term local issuer credit rating, B on short-term foreign issuer and local issuer credit ratings. TRW AUTOMOTIVE: Earns US$23 Mln in Third Quarter Ended Sept. 28 --------------------------------------------------------------- TRW Automotive Holdings Corp. reported net earnings of US$23 million for the third quarter ended Sept. 28, 2007, which compares to net earnings of US$5 million in the corresponding period ended Sept. 29, 2006. The company reported third-quarter 2007 sales of US$3.5 billion, an increase of US$480.0 million or 16.0% over the prior year period. The 2007 quarter benefited from higher customer vehicle production in Europe and China, continued growth of safety products in all markets (including a higher mix of lower margin modules) and the positive effect of foreign currency translation. These positive factors were partially offset by price reductions provided to customers. "The growing market demand for our advanced active and passive safety products is helping to drive our solid 2007 financial performance," said John Plant, president and chief executive officer. "We have seen a 16.0% increase in total sales related to electronic stability control, electric park brake, electrically powered steering, tire pressure monitoring and side and curtain airbag systems during the first nine months of the year. "In addition to the success of these products, we continue to derive significant benefits from the diversity of having nearly 70.0% of sales outside the challenging North American market, aggressive cost reduction efforts and interest savings attributable to our 2007 debt recapitalization." Mr. Plant added, "Safety continues to be a major focus of manufacturers and governments seeking to reduce driving related injuries and fatalities, and of consumers who want their vehicles equipped with technology that can help protect their families. As the global leader in safety with the most comprehensive portfolio of products on the market, we are at the forefront of development and are recognized as a solution provider, especially when it comes to integrated products that encompass both active and passive safety technologies." Operating income for third-quarter 2007 was US$95.0 million, which compares favorably to US$82.0 million in the prior year period. Restructuring and asset impairment expenses in the 2007 period were US$13.0 million, which compares to US$3.0 million in 2006. Excluding these expenses from both periods, operating income was US$108.0 million in 2007, which represents an increase of 27.0% compared to the 2006 adjusted result. The year-to-year increase was driven primarily by higher product volumes and savings generated from cost improvement and efficiency programs, including reductions in pension and OPEB related costs. These positive factors were in part offset by pricing provided to customers and higher commodity costs. Net interest and securitization expense for the third quarter of 2007 totaled US$56.0 million, which compares to US$62.0 million in the prior year. The year-to-year decline can be attributed to the benefits derived from the company's 2007 debt recapitalization, which was completed during the second quarter of this year. Tax expense was US$18.0 million in both 2007 and 2006. The effective tax rate in the 2007 quarter was 44.0%, which compares favorably to 78.0% in the prior year primarily due to a change in the company's geographical earnings mix. Earnings before interest, securitization costs, loss on retirement of debt (where applicable), taxes, depreciation and amortization, or EBITDA, were US$237.0 million in the third quarter, which compares to the prior year level of US$213.0 million. Year-to-Date 2007 For the nine-month period ended Sept. 28, 2007, the company reported sales of US$10.8 billion, an increase of US$944.0 million or approximately 10.0% compared to prior year sales of US$9.9 billion. The 2007 period benefited primarily from higher product volumes related to new product growth, robust industry sales in overseas markets and the positive effect of foreign currency translation. These positive factors were partially offset by the decline in North American customer vehicle production and price reductions provided to customers. Year-to-date 2007 net earnings were US$34.0 million, which compares to US$143.0 million in the 2006 period. Net earnings excluding debt retirement costs from both periods were US$189.0 million, which compares to US$200.0 million in 2006. EBITDA for the first nine months of 2007 was US$890.0 million, which is lower than the prior year level of US$899.0 million, primarily due to the lower level of operating income in the current year. Capital Structure The company completed its debt recapitalization plan during the second quarter of 2007. Transactions related to the plan included the refinancing of the company's US$2.5 billion credit facilities on May 9, 2007. Prior to this transaction, on March 26, 2007, the company completed its US$1.5 billion Senior Note offering and repurchased substantially all of the existing US$1.3 billion Notes through a tender offer. The company incurred debt retirement charges of around US$155.0 million during the year-to-date period related to these transactions. On Feb. 2, 2006, the company's wholly owned subsidiary, Lucas Industries Limited, completed the tender for its outstanding GBP 94.6 million 10 7/8% bonds. As a result of the transaction, the company incurred a US$57.0 million charge for loss on retirement of debt. As of Sept. 28, 2007, the company had US$3.515 billion of debt and US$486.0 million of cash and marketable securities, resulting in net debt of US$3.029 billion. This net debt outcome, excluding the Receivable Facility repayment, is US$144.0 million higher than the balance at the end of the second quarter primarily due to the seasonal cash outflow in the third quarter. Balance Sheet At Sept. 28, 2007, the company's consolidated balance sheet showed US$11.93 billion in total assets, US$9.21 billion in total liabilities, US$128,000 in minority interests, and US$2.59 billion in total stockholders' equity. Full-text copies of the company's consolidated financial statements for the quarter ended Sept. 28, 2007, are available for free at http://researcharchives.com/t/s?2764 About TRW Automotive Headquartered in Livonia, Michigan, TRW Automotive Holdings Corp. (NYSE: TRW) -- http://www.trw.com/-- ranks among the world's leading automotive suppliers. The company, through its subsidiaries, operates in 28 countries and employs approximately 63,800 people worldwide including Brazil, China, Germany, Italy, among others. TRW Automotive products include integrated vehicle control and driver assist systems, braking systems, steering systems, suspension systems, occupant safety systems (seat belts and airbags), electronics, engine components, fastening systems and aftermarket replacement parts and services. * * * As reported in the Troubled Company Reporter on Jan. 25, 2008, Moody's Investors Service affirmed the ratings of TRW Automotive Inc.: Corporate Family Rating, Ba2; senior secured bank credit facilities, Baa3; and senior unsecured notes, Ba3, but revised the rating outlook to negative from stable. As reported in the Troubled Company Reporter on Oct. 2, 2007, Fitch Ratings affirmed TRW Automotive Holdings Corp.'s BB Issuer Default Rating. It also affirmed TRW Automotive Inc.'s BB Issuer Default Rating. The Rating Outlook is Stable. TRW AUTOMOTIVE: Moody's Affirms 'Ba2' Corporate Family Rating ------------------------------------------------------------- Moody's Investors Service affirmed the ratings of TRW Automotive, Inc.: -- Corporate Family Rating, Ba2; -- senior secured bank credit facilities, Baa3; and -- senior unsecured notes, Ba3, but revised the rating outlook to negative from stable. As a leading supplier of components and systems to automotive OEMs, TRW's business profile has many characteristics that are consistent with the assigned Ba2 Corporate Family rating. The company enjoys a well diversified revenue base, including long standing supply arrangements with European and Asian auto makers. Continuous investment in new safety product technologies should support future revenue growth, even as automotive demand softens. While the company's refinancing in 2007 resulted in lower debt costs, debt levels remain high and continues to pressure the company's interest coverage measures. The negative outlook reflects concern that in an environment of weakening economic trends in North America and Europe, TRW could be challenged to sustain financial metrics consistent with its Ba2 rating. For the last 12-month period ending Sept. 30, 2007, EBIT/Interest (including Moody's standard adjustments) was about 1.7x, and debt/EBITDA was about 4.1x. While last 12-month FCF/Debt was negative, Moody's expects the company's fourth quarter free cash flow to be seasonally strong. Recent free cash flow trends have been hurt by timing issues regarding certain customer invoices and growth abroad. However, the company has continued to experience margin pressures and modest free cash flow generation. Moreover, debt levels have remained high resulting from the recent debt refinancing, debt acquired with the Dalphi Metal Espana, S.A. consolidation, and the repurchase of TRW stock from Northrop Grumman Corporation. Moody's expects the company's safety product focus, and its strong geographic, customer and product diversification to continue to support revenue growth even in the face of weaker automotive demand. While TRW has generated steady yearly EBITDA levels, the company's ability to materially reduce debt and thereby improve its interest coverage metrics will be challenged by the current automotive environment both in North America and abroad. These challenges include declining OEM production both in North America and abroad, high raw material costs, and negotiated price downs. TRW will continue to have very good liquidity over the next 12 months. The company's liquidity profile consists of approximately US$473 million of cash and cash equivalents at Sept. 28, 2007, availability under the US$1.4 billion revolving credit facilities was approximately US$600 million, after consideration of letters of credit outstanding and usage under the company's additional borrowing facilities. TRW's covenants are not expected to restrict this access over the next twelve months. Moody's expects free cash flow to be positive in 2008 reflecting stable EBITDA performance and capital expenditures consistent with historical trends. Alternative liquidity arrangements will continue to be limited by the current bank liens over substantially all of the company's assets. These ratings were affirmed -- Ba2 Corporate Family rating; -- Ba2 Probability of Default rating; -- Baa3 (LGD2, 17%) rating for the US$1.4 billion combined senior secured domestic and global revolving credit facilities; -- Baa3 (LGD2, 17%) rating for the US$600 million senior secured term loan A; -- Baa3 (LGD2, 17%) rating for the US$500 million senior secured term loan B; -- Ba3 (LGD5, 72%) for the US$500 million senior unsecured notes due 2014; -- Ba3 (LGD5, 72%) for the EUR275 million senior unsecured notes due 2014; -- Ba3 (LGD5, 72%) for the US$600 million senior unsecured notes due 2017; -- SGL-1 Speculative Grade Liquidity Rating The last rating action was on April 26, 2007, when ratings were assigned to the company's senior secured bank credit facilities. Future events that would be likely to improve TRW Automotive's outlook or ratings include further debt and leverage reduction from free cash flow, or improved operating margins resulting from new business wins or productivity improvements. Consideration for upward outlook or rating migration would arise if any combination of these factors were to reduce leverage to under 3.0x or increase EBIT/interest coverage to a level approaching 3.0x. Consideration for downward rating migration would arise if any combination of factors were to result in leverage sustained at over 3.5x or if EBIT/ Interest coverage sustained at under 2.0x. TRW Automotive, Inc., headquartered in Livonia, Michigan, is among the world's largest and most diversified suppliers of automotive systems, modules, and components to global vehicle manufacturers and related aftermarket. The company has three operating segments; Chassis Systems, Occupant Safety Systems, and Automotive Components. Its primary business lines encompass the design, manufacture and sale of active and passive safety related products. Annual revenues are approximately US$14 billion. XEROX CORPORATION: Earns US$1.1 Billion in 2007 ----------------------------------------------- Xerox Corporation reported US$1.1 billion of net income for the year ended Dec. 31, 2007, compared to net income of US$1.2 million for the same period in 2006. The company also earned US$382 million for the three months ended Dec. 31, 2007, compared to net income of US$214 million for the same period in 2007. Total revenue of US$4.9 billion grew 11% in the quarter with post-sale and financing revenue up 12%; this annuity stream represents about 70% of total revenue. Both total revenue and post-sale revenue included a currency benefit of four%age points as well as the benefit from Xerox's acquisition of Global Imaging Systems. "Our growing annuity revenue and strong cash generation, along with our disciplined approach to controlling costs, result in consistent delivery of solid performance year after year," said Anne M. Mulcahy, Xerox chairman and chief executive officer. "In 2007, we expanded earnings, grew revenue, generated approximately US$1.9 billion in operating cash flow, repurchased US$631 million in Xerox shares and declared a dividend. As important, we fortified our leadership in the marketplace through increased distribution and innovative technology and document management services. "Xerox operates in a global business environment, serving a wide range of markets with more than 50% of our revenue generated from customers outside the U.S.," she added. "This worldwide reach and our effective business model -- combined with our competitive offerings and strong recurring revenues -- position us well to continue building value for shareholders. As a result, we remain committed to delivering on our 2008 full-year EPS guidance of US$1.31 to US$1.35, and we are increasing our guidance for full-year operating cash flow." The acquisition of Global Imaging Systems, which provides a broader distribution to small and mid-size businesses in the U.S., led to a 10% increase in equipment sales, including a five-point benefit from currency. In 2007, Xerox introduced 39 products, more than twice the number of products it launched in 2006. More than two-thirds of Xerox's equipment sale revenue comes from products launched in the past two years. Revenue from color grew 14% in the fourth quarter and now represents 40% of Xerox's total revenue, up 3 points from the fourth quarter of 2006. Xerox color devices print the highest volume of pages in the industry -- producing more than 40 billion color pages in 2007, an increase of more than 30% from 2006. In the fourth quarter, the number of color pages grew 34%, and now represent 14% of total pages, up 4 points from the prior year. Color performance excludes Global Imaging Systems results. Xerox services help businesses simplify work processes, manage office technology and in-house print shops, digitize paper files, create digital archives and much more. During 2007, Xerox Global Services generated US$3.4 billion in annuity revenue, an 8% increase over 2006. "As businesses shift to more color in the office and begin to see the cost benefits of simplifying their work processes, they're turning to Xerox for our innovation and expertise. Our focus on color and document services is fueling our annuity stream and creating long-term value in our company," said Ms. Mulcahy. Xerox's production business provides commercial printers and document-intensive industries with high-speed digital printing and services that enable on-demand, personalized printing. Total production revenue increased 5% in the fourth quarter, including a six-point currency benefit. Production color installs grew 3%. Installs of production black-and-white systems declined 10%. Demand for the Xerox Nuvera(R) EA and Xerox Nuvera 288 digital presses as well as continuous feed systems only partially offset declines from other high-volume and light-production systems. Through expanded channels of distribution and competitive offerings for businesses of any size, Xerox continues to drive the demand for color in the office with installs of color multifunction systems up 67%. Total office revenue was up 14% in the fourth quarter, including a five-point benefit from currency. Installs of the company's black-and-white multifunction devices increased 6%. Gross margins were 40.5%, down about a half a point from the fourth quarter of 2006. Selling, administrative and general expenses were 24.3% of revenue, up 1 point from fourth-quarter 2006. The strength of Xerox's annuity-based business model led to a significant increase in operating cash flow, generating US$1 billion in the fourth quarter and US$1.9 billion for the full year. Since launching its stock buyback program in October 2005, Xerox has repurchased 137 million shares or 13% of outstanding shares. Earlier this week, Xerox's Board of Directors authorized an additional US$1 billion, adding to the remaining US$370 million available for share repurchase. Xerox expects first-quarter 2008 earnings in the range of 25 to 28 cents per share. Headquartered in Stamford, Connecticut, Xerox Corp. -- http://www.xerox.com/-- develops, manufactures, markets, services and finances a range of document equipment, software, solutions and services. Xerox operates in over 160 countries worldwide and distributes products in the Western Hemisphere through divisions, wholly owned subsidiaries and third-party distributors. The company maintains operations in France, Japan, Italy, Nicaragua, among others. * * * As reported in the Troubled Company Reporter-Europe on Dec. 13, 2007, Fitch upgraded Xerox Corp.'s and its subsidiary's debt as: -- Issuer Default Rating to 'BBB' from 'BBB-'; -- Senior unsecured credit facility to 'BBB' from 'BBB-'; -- Senior unsecured debt to 'BBB' from 'BBB-'; -- Trust preferred securities to 'BBB-' from 'BB'. Approximately US$9.1 billion of securities, including the US$2 billion credit facility, are affected by Fitch's action. Fitch says the rating outlook is stable. =================== K A Z A K H S T A N =================== AGRO SNAB: Proof of Claim Deadline Slated for Feb. 27 ----------------------------------------------------- LLP AGRO Snab Service has declared insolvency. Creditors have until Feb. 27, 2008, to submit written proofs of claims to: LLP AGRO Snab Service Promyshlennaya Str. 41 Kostanai Kazakhstan ALFA TRANS: Creditors Must File Claims by Feb. 27 ------------------------------------------------- LLP ALFA Trans Ltd has declared insolvency. Creditors have until Feb. 27, 2008, to submit written proofs of claims to: LLP ALFA Trans Ltd Dzerjynsky Str. 61/1 Kostanai Kazakhstan AMANKARAGAISKAYA MTS: Claims Filing Period Ends Feb. 22 ------------------------------------------------------- The Specialized Inter-Regional Economic Court of Kostanai has declared LLP Amankaragaiskaya MTS insolvent. Creditors have until Feb. 22, 2008, to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of Kostanai Abai ave. 21-27 Kostanai Kazakhstan Tel: 8 (3142) 22-44-93 ATAKENT-NUR LLP: Creditors' Claims Due on Feb. 22 ------------------------------------------------- The Specialized Inter-Regional Economic Court of Kyzylorda has declared LLP Atakent-Nur insolvent. Creditors have until Feb. 22, 2008, to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of Kyzylorda Aiteke bi Str. 29 Kyzylorda Kazakhstan INTER COMMERCE: Claims Registration Ends Feb. 27 ------------------------------------------------ LLP Company Inter Commerce Ltd. has declared insolvency. Creditors have until Feb. 27, 2008, to submit written proofs of claims to: LLP Company Inter Commerce Ltd. Abai ave. 76/109 Bostandyksky District Almaty Kazakhstan ENERGO-TRANSIT LLP: Claims Deadline Slated for Feb. 27 ------------------------------------------------------ LLP Energo-Transit has declared insolvency. Creditors have until Feb. 27, 2008, to submit written proofs of claims to: LLP Energo-Transit Skladskaya Str. 8 Karaganda Kazakhstan ISLAM & K: Creditors Must File Claims by Feb. 22 ------------------------------------------------ The Specialized Inter-Regional Economic Court of Kyzylorda has declared LLP Islam & K Kyzylorda insolvent. Creditors have until Feb. 22, 2008, to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of Kyzylorda Aiteke bi Str. 29 Kyzylorda Kazakhstan KAZINVEST MINERAL: Claims Filing Period Ends Feb. 27 ---------------------------------------------------- The Specialized Inter-Regional Economic Court of Almaty has declared LLP Kazinvest Mineral insolvent. Creditors have until Feb. 27, 2008, to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of Almaty P.O. Box 72 Main Post Office 050000, Almaty Kazakhstan Tel: 8 777 241 79-98 LEX DOMINUS: Creditors' Claims Due on Feb. 27 --------------------------------------------- Branch of LLP Lex Dominus has declared insolvency. Creditors have until Feb. 27, 2008, to submit written proofs of claims to: LLP Lex Dominus Manas Str. 32a Almaty Kazakhstan RAITEPLOCOMMUNEENERGO LLP: Claims Registration Ends Feb. 22 ----------------------------------------------------------- The Specialized Inter-Regional Economic Court of Pavlodar has declared LLP Raiteplocommuneenergo insolvent. Creditors have until Feb. 22, 2008, to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of Pavlodar Satpayev Str. 136-208 Pavlodar Kazakhstan Tel: 8 (7182) 32-15-92 =================== K Y R G Y Z S T A N =================== ELECTRO STROY: Creditors Must File Claims by Feb. 15 ---------------------------------------------------- LLC Construction Company Electro Stroy has declared insolvency. Creditors have until Feb. 15, 2008, to submit written proofs of claim to: LLC Construction Company Electro Stroy Kosygin Str. 34 Aksuu Moskovsky District Chui Kyrgyzstan =================== L U X E M B O U R G =================== EVRAZ GROUP: Completes Acquisition of Claymont Steel ---------------------------------------------------- Evraz Group S.A. has completed its acquisition of Claymont Steel via a short-form merger of Titan Acquisition Sub, Inc., an indirect wholly owned subsidiary of Evraz, with and into Claymont Steel pursuant to the applicable provisions of Delaware law. As a result of the merger, Claymont Steel is now an indirect wholly owned subsidiary of Evraz. The merger followed the announcement on Jan. 17, 2008, of the successful closing of the cash tender offer by Titan Acquisition Sub, Inc. to purchase all outstanding shares of common stock of Claymont Steel for US$23.50 per share, in which approximately 96.6% of the shares were tendered (including shares delivered pursuant to notices of guaranteed delivery). Payment has been made for the tendered shares. Pursuant to the merger, each share of Claymont Steel common stock not accepted for payment in the tender offer, other than those as to which holders exercise dissenters' rights and those held by Evraz or Claymont Steel or their respective subsidiaries, has been converted into the right to receive the US$23.50 price per share that was paid in the tender offer, without interest thereon and less any applicable stock transfer taxes and withholding taxes. About Evraz Headquartered in Luxembourg, Evraz Group S.A. (LSE:EVR) -- http://www.evraz.com/-- manufactures and distributes steel and related products. In addition, the Company owns and operates certain mining assets. Its steel production and mining facilities are mainly located in the Russian Federation. It operates three steel mills in Russia, one mill in the Sverdlovsk region and two mills in the Kemerovo region. * * * As of Nov. 20, 2007, Evraz Group carries Ba3 Corporate Family and Probability-of-Default ratings and B2 Senior Unsecured Debt rating from Moody's Investor Service. Moody's said the Outlook is Positive. Evraz also carries BB- Local and Foreign Issuer Credit ratings from Standard & Poor's. S&P said the Outlook is Positive. The company carries BB Issuer Default and Senior Unsecured ratings and B Short-Term IDR. Fitch said the Outlook is Stable. EVRAZ GROUP: Acquires 100% of ZapSibTETs After Buyout Offer ----------------------------------------------------------- Evraz Group S.A., through its subsidiary, has completed the buyout of all outstanding common stock of West Siberian Heat and Power Plant (ZapSibTETs). The procedure was carried out in accordance with the Russian legislation through mandatory offers to all minority shareholders. As a result of the buyout, ZapSibTETs has become Evraz's wholly owned subsidiary. The Plant has a nominal capacity of 1,307 Gcal/hour of heat and 600 MW of electricity. Heat and electricity are mainly consumed by ZSMK, one of Evraz's steel mills in Russia About Evraz Headquartered in Luxembourg, Evraz Group S.A. (LSE:EVR) -- http://www.evraz.com/-- manufactures and distributes steel and related products. In addition, the Company owns and operates certain mining assets. Its steel production and mining facilities are mainly located in the Russian Federation. It operates three steel mills in Russia, one mill in the Sverdlovsk region and two mills in the Kemerovo region. * * * As of Nov. 20, 2007, Evraz Group carries Ba3 Corporate Family and Probability-of-Default ratings and B2 Senior Unsecured Debt rating from Moody's Investor Service. Moody's said the Outlook is Positive. Evraz also carries BB- Local and Foreign Issuer Credit ratings from Standard & Poor's. S&P said the Outlook is Positive. The company carries BB Issuer Default and Senior Unsecured ratings and B Short-Term IDR. Fitch said the Outlook is Stable. PIN GROUP: Private Equity Firms In Talks to Acquire Business ------------------------------------------------------------ The Blackstone Group, Kohlberg Kravis Roberts & Co., Advent International Corp. have expressed interest in acquiring PIN Group AG, which is expected to go bust at the end of February, Bloomberg News reports, citing Focus. According to Bloomberg, the private equity firms have held preliminary talks with Horst Piepenburg, head of the management board at PIN. Thomas Schulz, a spokesman for PIN, confirmed that negotiations over the sale of the company started two weeks ago, although he refused to reveal the identity of the potential buyers, Bloomberg relates. Meanwhile, 19 of PIN's 91 subsidiaries are set to file for insolvency this week, the FT relates. The company's insolvencies has now totaled to 37. The insolvencies 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. A TCR-Europe report on Jan. 18, 2008, disclosed that Mr. Piepenburg is looking to sell the company as a whole as he tries to avert further insolvencies. However, the Financial Times says, citing Handelsblatt, Mr. Piepenburg also admitted a possible division of PIN and the disposal of individual regional subsidiaries if he fails to sell the company in its entirety. About PIN Group AG Headquartered in Luxembourg, PIN Group AG -- http://www.pin- group.net/ -- provides postal services across Germany. 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 GROUP: To Carry Out Statutory Minimum Wage This Month --------------------------------------------------------- PIN Group AG, which currently pays its employees an average of EUR7.50 per hour, is to implement the statutory postal minimum wage of between EUR8-EUR9.80 per hour this month, Thomson Financial reports, citing Focus Online. PIN's move, The Financial Times says, citing Handelsblatt, is aimed at retaining public customers, including municipal authorities and ministries. A TCR-Europe report on Jan. 18, 2008, disclosed that the minimum wage would cost PIN, which has 9,000 employees, up to EUR45 million, although "most of the costs are expected to be covered by a form of state reimbursement." Meanwhile, 19 of PIN's 91 subsidiaries are set to file for insolvency this week, the FT relates. The company's insolvencies has now totaled to 37. As previously stated in a TCR-Europe report, the insolvencies 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. About PIN Group AG Headquartered in Luxembourg, PIN Group AG -- http://www.pin- group.net/ -- provides postal services across Germany. The group has more than 60 regional subsidiaries, and in 2006 became a national integrated provider by setting up an efficient nationwide distribution network. ===================== N E T H E R L A N D S ===================== IMPRESS HOLDINGS: S&P Affirms B+ Ratings on Delayed IPO ------------------------------------------------------- Standard & Poor's Ratings Services affirmed its 'B+' long-term corporate credit rating on The Netherlands-based metal packaging group Impress Holdings B.V. All ratings were removed from CreditWatch where they were placed with positive implications on Nov. 2, 2007, based on the group's stated intention to use parts of the IPO proceeds to repay high- cost debt. The outlook is stable. "We now believe that the planned and subsequently delayed IPO will be unlikely to occur in the near term, owing to unfavorable market conditions," said Standard & Poor's credit analyst Izabela Listowska. The ratings on Impress are constrained by the group's highly leveraged financial risk profile and by its exposure to inflationary cost pressures and meaningful competition, particularly from smaller, regional players in fairly mature markets. These risks are reduced by the company's leading European market positions in aluminum- and steel-based packaging for food products, and in decorative and protective finishes, stable revenue streams from relatively recession-resistant markets, and longstanding relationships with key customers. Impress' profitability has improved gradually over the past years after suffering from an aggressive pricing environment as leading market players have maneuvered for position. In the 12 months to Sept. 30, 2007, the group reported restructuring- adjusted EBITDA margins of about 13%, the level achieved in 2006 and an improvement on 2004 (10%) and 2003 (8%). The company's ability to further recover cost inflation, make additional efficiency gains, and stay focused on higher margin value-added business, will be important factors in gradually expanding earnings and cash flows in the foreseeable future and helping offset the impact of high financial leverage. Contributions and synergies from recent acquisitions will also be important success factors. "The stable outlook reflects our expectation that Impress' credit protection measures will strengthen over the coming quarters, with FFO to adjusted cash debt remaining at 10%-15%, and adjusted cash debt to EBITDA improving to below 5x," said Ms. Listowska "A potential future IPO could trigger a positive rating action, although this would depend on factors such as final amounts and usage of proceeds." KHAMSIN CREDIT: Moody's Cuts Rating to B3 on Series 6 Notes ----------------------------------------------------------- Moody's Investors Service downgraded to B3 from Aaa and left under review for further downgrade the Series 6 US$55,625,000 Leveraged Super Senior Portfolio Credit Linked Notes due 2041 issued by Khamsin Credit Products (Netherlands) B.V. Approximately US$12 million of the original nominal value has already amortized. This transaction is a Leveraged Super-Senior transaction, where the risk transferred to investors is linked to the credit quality of the portfolio underlying the Class A US$890,000,000 Blue Heron Funding II Notes. This portfolio is made of Structured Finance securities, including CDOs of ABS and U.S. subprime RMBS. This LSS has a Weighted Average Rating Factor test which has been breached following several severe downgrades in the underlying portfolio. As a result of this test breach, the Noteholders have the option to delever the transaction by investing further monies. In the event the Noteholders do not delever, the transaction will unwind resulting in all likelihood in a 100% loss of the remaining principal balance. ROSNEFT OIL: To Receive US$2 Billion Loan from Vnesheconombank -------------------------------------------------------------- OJSC Vnesheconombank will lend US$2 billion to OAO Rosneft Oil Co. to finance the oil giant's Tuapse refinery modernization program, RIA Novosti reports. VEB CEO Vladimir Dmitriyev told RIA Novosti that the refinery's upgrade includes capacity expansion and oil refining infrastructure enhancement. The upgrade will be completed in 2012 via two stages. According RIA Novosti, the upgrade is part of Rosneft's plans to hike its oil refining output from five million tons in 2007 to 12 million tons in 2010. The company also plans to increase its oil transshipment volume from 9 million tons to 19 million tons in 2012. 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. Ratings apply to date. X5 RETAIL: Banks Commence Syndication for US$1.1 Bln Facility ------------------------------------------------------------- X5 Retail Group N.V. disclosed that syndication for the US$1.1 billion three-year Term Loan Facility has been launched by BNP Paribas, CALYON, HSBC Bank plc, ING Bank N.V. and Raiffeisen Zentralbank �sterreich AG. The Facility was fully pre-funded by the Bookrunners. There will be a bank meeting held in London on Jan. 29, 2008. Banks are invited to join the Facility at one of these: Title Amount ----- ------ Lead Arranger US$75,000,000 or more Arranger US$50,000,000 Co-Arranger US$25,000,000 Societe Generale joined the transaction prior to the launch of syndication as Mandated Lead Arranger (together with the Bookrunners, the "Initial Mandated Lead Arrangers"). As X5 Retail Group announced on Dec. 18, 2007, the Facility pays a margin of 225 bps per annum over LIBOR out of the box for the first year. Subsequently, the margin will move in accordance with a Net Debt/EBITDA grid with a maximum margin at the top of the grid of 200 bps per annum over LIBOR. 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. =========== P O L A N D =========== OPTIMUS SA: Files Another Bankruptcy Petition --------------------------------------------- Optimus S.A. filed another bankruptcy petition after admitting there was no other option than the previous motion put forward some time ago by the company, The Financial Times reports, citing Polish News Bulletin. Katarzyna Ziolek, Optimus' supervisory board head, explained that the Company Board has "filed the motion according to the court's specifications. The company's situation is dire and it is right to seek bankruptcy with settlement options," the report relates. With the motion, Optimus hopes to conduct an issue that would allow it to gain PLN18 million, two-thirds of which would be used to pay off debts to companies like Bank BPH and Microsoft, Financial Times relates. As previously reported, Optimus filed its first bankruptcy after the D-series shares issued by the company a year ago were crossed off from the KRS official registry. Headquartered in Warszawa, Poland, Optimus S.A. -- http://www.optimus.pl-- is engaged in the manufacture and wholesale trade of computers, software and peripherals and in office equipment, computer maintenance and repair services. =========== R U S S I A =========== EVRAZ GROUP: Completes Acquisition of Claymont Steel ---------------------------------------------------- Evraz Group S.A. has completed its acquisition of Claymont Steel via a short-form merger of Titan Acquisition Sub, Inc., an indirect wholly owned subsidiary of Evraz, with and into Claymont Steel pursuant to the applicable provisions of Delaware law. As a result of the merger, Claymont Steel is now an indirect wholly owned subsidiary of Evraz. The merger followed the announcement on Jan. 17, 2008, of the successful closing of the cash tender offer by Titan Acquisition Sub, Inc. to purchase all outstanding shares of common stock of Claymont Steel for US$23.50 per share, in which approximately 96.6% of the shares were tendered (including shares delivered pursuant to notices of guaranteed delivery). Payment has been made for the tendered shares. Pursuant to the merger, each share of Claymont Steel common stock not accepted for payment in the tender offer, other than those as to which holders exercise dissenters' rights and those held by Evraz or Claymont Steel or their respective subsidiaries, has been converted into the right to receive the US$23.50 price per share that was paid in the tender offer, without interest thereon and less any applicable stock transfer taxes and withholding taxes. About Evraz Headquartered in Luxembourg, Evraz Group S.A. (LSE:EVR) -- http://www.evraz.com/-- manufactures and distributes steel and related products. In addition, the Company owns and operates certain mining assets. Its steel production and mining facilities are mainly located in the Russian Federation. It operates three steel mills in Russia, one mill in the Sverdlovsk region and two mills in the Kemerovo region. * * * As of Nov. 20, 2007, Evraz Group carries Ba3 Corporate Family and Probability-of-Default ratings and B2 Senior Unsecured Debt rating from Moody's Investor Service. Moody's said the Outlook is Positive. Evraz also carries BB- Local and Foreign Issuer Credit ratings from Standard & Poor's. S&P said the Outlook is Positive. The company carries BB Issuer Default and Senior Unsecured ratings and B Short-Term IDR. Fitch said the Outlook is Stable. EVRAZ GROUP: Acquires 100% of ZapSibTETs After Buyout Offer ----------------------------------------------------------- Evraz Group S.A., through its subsidiary, has completed the buyout of all outstanding common stock of West Siberian Heat and Power Plant (ZapSibTETs). The procedure was carried out in accordance with the Russian legislation through mandatory offers to all minority shareholders. As a result of the buyout, ZapSibTETs has become Evraz's wholly owned subsidiary. The Plant has a nominal capacity of 1,307 Gcal/hour of heat and 600 MW of electricity. Heat and electricity are mainly consumed by ZSMK, one of Evraz's steel mills in Russia About Evraz Headquartered in Luxembourg, Evraz Group S.A. (LSE:EVR) -- http://www.evraz.com/-- manufactures and distributes steel and related products. In addition, the Company owns and operates certain mining assets. Its steel production and mining facilities are mainly located in the Russian Federation. It operates three steel mills in Russia, one mill in the Sverdlovsk region and two mills in the Kemerovo region. * * * As of Nov. 20, 2007, Evraz Group carries Ba3 Corporate Family and Probability-of-Default ratings and B2 Senior Unsecured Debt rating from Moody's Investor Service. Moody's said the Outlook is Positive. Evraz also carries BB- Local and Foreign Issuer Credit ratings from Standard & Poor's. S&P said the Outlook is Positive. The company carries BB Issuer Default and Senior Unsecured ratings and B Short-Term IDR. Fitch said the Outlook is Stable. X5 RETAIL: Banks Commence Syndication for US$1.1 Bln Facility ------------------------------------------------------------- X5 Retail Group N.V. disclosed that syndication for the US$1.1 billion three-year Term Loan Facility has been launched by BNP Paribas, CALYON, HSBC Bank plc, ING Bank N.V. and Raiffeisen Zentralbank �sterreich AG. The Facility was fully pre-funded by the Bookrunners. There will be a bank meeting held in London on Jan. 29, 2008. Banks are invited to join the Facility at one of these: Title Amount ----- ------ Lead Arranger US$75,000,000 or more Arranger US$50,000,000 Co-Arranger US$25,000,000 Societe Generale joined the transaction prior to the launch of syndication as Mandated Lead Arranger (together with the Bookrunners, the "Initial Mandated Lead Arrangers"). As X5 Retail Group announced on Dec. 18, 2007, the Facility pays a margin of 225 bps per annum over LIBOR out of the box for the first year. Subsequently, the margin will move in accordance with a Net Debt/EBITDA grid with a maximum margin at the top of the grid of 200 bps per annum over LIBOR. 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. ========= S P A I N ========= SANTANDER HIPOTECARIO 4: Fitch Junks EUR14.8 Mln Class F Notes -------------------------------------------------------------- Fitch Ratings has assigned Fondo de Titulizacion de Activos, Santander Hipotecario 4's notes totaling EUR1.245 billion due in October 2050, final ratings are: -- EUR184.3 million Class A1: 'AAA'; Outlook Stable -- EUR661.9 million Class A2: 'AAA'; Outlook Stable -- EUR278 million Class A3: 'AAA'; Outlook Stable -- EUR20.9 million Class B: 'AA'; Outlook Stable -- EUR30.7 million Class C: 'A'; Outlook Stable -- EUR27.1 million Class D: 'BBB'; Outlook Stable -- EUR27.1 million Class E: 'BB'; Outlook Stable -- EUR14.8 million Class F: 'CCC'; Outlook Stable This transaction is a cash-flow securitization of a EUR1.23 billion static pool of residential mortgage loans granted by Banco Santander ('AA' /'F1+'/Outlook Stable) to individuals in Spain. The ratings are based on the quality of the collateral, the underwriting and servicing of the mortgage loans, available credit enhancement, the integrity of the transaction's legal and financial structure and Santander de Titulizacion S.G.F.T, S.A's administrative capabilities Initial CE for the Class A to E notes is provided by subordination and a reserve fund, which will be funded at closing using the proceeds of the Class F notes. The Class F notes are uncollateralized by mortgages, but will benefit from excess spread. The ratings address the payment of interest on the notes according to the terms and conditions of the documentation, subject to a deferral trigger on the Class B, C, D and E notes, as well as the repayment of principal at legal final maturity. Should the deferral trigger on the Class B, C, D and E notes be hit, interest on these notes will be deferred in the priority of payments. In this instance, interest payments might not be received for a period of time, but will be received by legal final maturity. The fund will be regulated by Spanish Securitisation Law 19/1992 and Royal Decree 926/1998. Its sole purpose will be to convert mortgage transmission certificates (certificados de transmision de hipotecas) from the seller into fixed-income securities. The fund will be legally represented and managed by Santander de Titulizacion S.G.F.T, S.A, a limited liability company incorporated under Spanish law, whose activities are limited to the management of securitization funds. =========== S W E D E N =========== AVNET INC: Earns US$142.2 Million in Second Qtr. Ended Dec. 29 -------------------------------------------------------------- Avnet Inc. reported revenue of US$4.75 billion for second quarter fiscal 2008 ended Dec. 29, 2007, representing an increase of 22.2% over second quarter fiscal 2007. Pro forma revenue growth, as defined in the Non-GAAP Financial Information Section, was 6.3% over the prior year second quarter. Net income for second quarter fiscal 2008 was US$142.2 million, as compared with net income of US$99.1 million, or US$0.67 per share, for the second quarter last year. Included in the current quarter results are a one-time gain on the sale of a building and an additional gain from a prior sale of a business resulting from the receipt of a contingent payment. Excluding these items, net income and diluted earnings per share were US$135.9 million and US$0.89, respectively, representing an increase of 37.1% and 32.8% over the year ago period. Included in these results is stock compensation expense of US$0.02 per diluted share in the current and prior year quarters. Operating income for second quarter fiscal 2008 was a record US$207.9 million, up 26.9% as compared with operating income of US$163.8 million in the year ago quarter. Operating income as a% of sales was 4.4%, up 16 basis points from last year's second quarter. Roy Vallee, Chairman and Chief Executive Officer, commented, "Our results continue to demonstrate the positive impact that our value-based management strategy, augmented by value-creating acquisitions, is having on our business. While sequential sales growth reflected normal seasonal trends, our year-over-year growth of 22% was bolstered by seven value-creating acquisitions that span both operating groups and all three regions. In addition to the top line growth, we increased year-over-year operating income 27% and, excluding the gain on the sale of assets, increased EPS 33% while driving return on capital employed to a record 12.8%." Operating Group Results Electronics Marketing (EM) sales of US$2.48 billion in the second quarter fiscal 2008 were up 6.2% year over year on a reported basis and up 2.4% when adjusted to exclude the impact of changes in foreign currency exchange rates. EM sales in the Americas, EMEA and Asia regions increased 3.7%, 7.2% and 8.5%, respectively, year over year. EM operating income of US$126.6 million for second quarter fiscal 2008 was up 6.4% over the prior year second quarter operating income of US$119.1 million and operating income margin of 5.1% was flat as compared with the prior year quarter. Mr. Vallee added, "Electronics Marketing's revenue growth was above our expectations and represents the third consecutive quarter of moderate acceleration in year-over-year growth. The Americas region grew sequentially and returned to positive year- over-year growth following four quarters of negative growth. EM had another strong performance in its interconnect, passive and electromechanical (IP&E) product line which grew revenue at a double digit rate over the year ago quarter. Since the beginning of the fiscal year, we closed three IP&E international acquisitions, which should increase EM's global revenue for its IP&E business to roughly 15% of total revenue exiting this fiscal year, as compared with 10% just a year ago. Technology Solutions (TS) sales of US$2.27 billion in the second quarter fiscal 2008 were up 46.0% year over year on a reported basis and up 6.9% on a pro forma basis. On a pro forma basis, second quarter fiscal 2008 sales in the Americas, EMEA and Asia were up 6.6%, 1.9%, and 45.6%, respectively, year over year. TS operating income was US$99.4 million in the second quarter fiscal 2008, a 55.3% increase as compared with second quarter fiscal 2007 operating income of US$64.0 million, and operating income margin of 4.4% increased by 26 basis points over the prior year second quarter benefited by the change to net revenue accounting on the sales of supplier service contracts. Mr. Vallee further added, "Technology Solutions revenue was above the high end of our guidance range as we delivered a strong December quarter aided by better than expected sales in the final week. Despite the well-publicized concerns with the U.S. economy, our Americas region experienced better than normal sequential growth in our seasonally strong December quarter and year-over-year pro forma growth of 6.6%. We also achieved strong sequential growth in the EMEA and Asia regions. With solid revenue growth, both organically and through our value-creating acquisitions, TS delivered record operating income for the quarter." Cash Flow During the second quarter of fiscal 2008, the company generated US$83.8 million of cash flow from operations and on a rolling four quarter basis generated US$553.6 million. As a result, the company ended the quarter with US$417.1 million of cash and cash equivalents and net debt (total debt less cash and cash equivalents) of US$863.0 million. Ray Sadowski, Chief Financial Officer, stated, "We had a solid quarter of cash flow generation which further strengthened our credit statistics and our overall balance sheet. We achieved record levels of working capital velocity due to business mix and EM's year-over-year improvement in inventory turns and net days. This improvement in velocity, combined with the year- over-year growth in operating income margin, drove return on working capital 336 basis points above last year's second quarter." Outlook For Avnet's third quarter fiscal 2008, management expects normal seasonality at both operating groups with sales at EM anticipated to be in the range of US$2.64 billion to US$2.74 billion and sales for TS to be between US$1.73 billion and US$1.83 billion. Therefore, Avnet's consolidated sales are forecasted to be between US$4.37 billion and US$4.57 billion for the third quarter of fiscal 2008. Management expects third quarter earnings to be in the range of US$0.85 to US$0.89 per share, up 16.4% - 21.9% as compared with last year's third quarter. The above EPS guidance does not include the amortization of intangible assets or integration charges related to acquisitions that have closed or will close in the March quarter. About Avnet Inc. Headquartered in Phoenix, Arizona, Avnet, Inc. -- http://www.avnet.com/-- distributes electronic components and computer products, primarily for industrial customers. It has operations in the following countries: Australia, Belgium, China, Germany, Hong Kong, India, Indonesia, Italy, Japan, Malaysia, New Zealand, Philippines, Singapore, and Sweden, Brazil, Mexico and Puerto Rico. * * * Moody's Investors Service affirmed Avnet's Ba1 corporate family long-term debt ratings in March 2007. Moody's said the outlook is positive. ===================== S W I T Z E R L A N D ===================== DISCO BAR: Lucerne Court Starts Bankruptcy Proceedings ------------------------------------------------------ The Bankruptcy Service of Sursee commenced bankruptcy proceedings against LLC Disco Bar Prisao on Dec. 11, 2007. The Bankruptcy Service of Sursee can be reached at: Bankruptcy Service of Sursee 6018 Buttisholz Sursee LU Switzerland The Debtor can be reached at: LLC Disco Bar Prisao Langmatt 6212 St. Erhard LU Switzerland GALCOMET JSC: Creditors' Liquidation Claims Due by Feb. 4 --------------------------------------------------------- Creditors of JSC Galcomet have until Feb. 4, 2008, to submit their claims to: JSC Galcomet Sterenweg 6 6304 Zug Switzerland MONITOR TOOLS: Creditors' Liquidation Claims Due by Feb. 4 ---------------------------------------------------------- Creditors of JSC Monitor Tools have until Feb. 4, 2008, to submit their claims to: Stefan Zindel Liquidator Grutlistrasse 16 9000 St. Gallen Switzerland The Debtor can be reached at: JSC Monitor Tools Dubendorf Uster ZH Switzerland SAFEX JSC: Zug Court Starts Bankruptcy Proceedings -------------------------------------------------- The Bankruptcy Service of Zug commenced bankruptcy proceedings against JSC Safex on Dec. 11, 2007. The Bankruptcy Service of Zug can be reached at: Bankruptcy Service of Zug 6300 Zug Switzerland The Debtor can be reached at: JSC Safex Alte Steinhauserstrasse 19 6330 Cham ZG Switzerland SATROP HOLDING: Creditors' Liquidation Claims Due by Feb. 4 ----------------------------------------------------------- Creditors of JSC Satrop Holding have until Feb. 4, 2008, to submit their claims to: Gero Gestions Liquidator Leberngasse 9 4603 Olten SO Switzerland The Debtor can be reached at: JSC Satrop Holding Olten SO Switzerland SCHUHHAUS SCHUBIGER: Creditors Must File Claims by Feb. 4 --------------------------------------------------------- Creditors of JSC Schuhhaus Schubiger have until Feb. 4, 2008, to submit their claims to: Arnold Giger Liquidator Lowenstrasse 17 8021 Zurich Switzerland The Debtor can be reached at: JSC Schuhhaus Schubiger Uznach SG Switzerland WEP SYSTEMS: Creditors' Liquidation Claims Due by Feb. 4 -------------------------------------------------------- Creditors of JSC Wep Systems have until Feb. 4, 2008, to submit their claims to: Werner Peter Liquidator Hochistrasse 17 6353 Weggis LU Switzerland The Debtor can be reached at: JSC Wep Systems Hergiswil NW Switzerland WERNER ELSIG: Creditors' Liquidation Claims Due by Feb. 4 ------------------------------------------------------------- Creditors of JSC Werner Elsig have until Feb. 4, 2008, to submit their claims to: Uwe F. Nee Neuwiesenweg 5 8132 Hinteregg Egg, Uster ZH Switzerland The Debtor can be reached at: JSC Werner Elsig Hori Bulach ZH Switzerland ============= U K R A I N E ============= CHEMISTRY TRADE: Proofs of Claim Filing Ends Feb. 7 --------------------------------------------------- Creditors of LLC Agricultural Chemistry Trade (code EDRPOU 32829232) have until Feb. 7, 2008, to submit written proofs of claim to: Jury Ulianchuk Temporary Insolvency Manager Apartment 54 Yanvarskogo vosstaniya Str. 11-a Kiev Ukraine The Economic Court of Kiev commenced bankruptcy supervision procedure on the company on Dec. 14, 2007. The case is docketed under Case No. 43/748. The Economic Court of Kiev B. Hmelnitskij Boulevard 44-B 01030 Kiev Ukraine The Debtor can be reached at: LLC Agricultural Chemistry Trade Yaroslavov Val Str. 21-P 01034 Kiev Ukraine COMBI-SERVICE LLC: Creditors Must File Claims by Feb. 7 ------------------------------------------------------- Creditors of LLC Combi-Service (code EDRPOU 24241211) have until Feb. 7, 2008, 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 proceedings against the company after finding it insolvent. The case is docketed under Case No. B 26/25-07. The Debtor can be reached at: LLC Combi-Service Dnieprovskaya Str. 418-A Pavlograd 51400 Dnipropetrovsk Ukraine ENERGY LIGHT: Proofs of Claim Filing Ends Feb. 7 ------------------------------------------------ Creditors of LLC Energy Light Service (code EDRPOU 34531994) have until Feb. 7, 2008, to submit written proofs of claim to: Jury Ulianchuk Temporary Insolvency Manager Apartment 54 Yanvarskogo vosstaniya Str. 11-a Kiev Ukraine The Economic Court of Kiev commenced bankruptcy supervision procedure on the company on Dec. 14, 2007. The case is docketed under Case No. 43/750. The Economic Court of Kiev B. Hmelnitskij Boulevard 44-B 01030 Kiev Ukraine The Debtor can be reached at: LLC Energy Light Service Melnikov Str. 12 04050 Kiev Ukraine EUPATORIYA MEAT-PACKING: Creditors Must File Claims by Feb. 7 ------------------------------------------------------------- Creditors of OJSC Eupatoriya Meat-Packing Plant (code EDRPOU 00443743) have until Feb. 7, 2008, to submit written proofs of claim to: The Economic Court of AR Krym Karl Marks Str. 18 Simferopol 95000 AR Krym Ukraine The Economic Court of AR Krym commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. 2-4/9047.2-2007. The Debtor can be reached at: OJSC Eupatoriya Meat-Packing Plant Novoselovskoye Highway 1 Eupatoriya 97400 AR Krym Ukraine FOZZI-STRATE LLC: Creditors Must File Claims by Feb. 7 ------------------------------------------------------ Creditors of LLC Fozzi-Strate (code EDRPOU 32171205) have until Feb. 7, 2008, to submit written proofs of claim to: Alexander Borodiy Liquidator P.O. Box 48 02068 Kiev Ukraine The Economic Court of Kiev commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. B 11/445-07. The Economic Court of Kiev B. Hmelnitskij Boulevard 44-B 01030 Kiev Ukraine The Debtor can be reached at: LLC Fozzi-Strate Industrial Str. 5 Vishnevoye Kiev Ukraine FRUIT AND VEGETABLES: Creditors Must File Claims by Feb. 7 ---------------------------------------------------------- Creditors of Common Enterprise Fruit and Vegetables (code EDRPOU 05539353) have until Feb. 7, 2008, to submit written proofs of claim to: The Economic Court of Donetsk Artema Str. 157 83048 Donetsk Ukraine The Economic Court of Donetsk commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. 27/251-b. The Debtor can be reached at: Common Enterprise Fruit and Vegetables Lenin Str. 33 Druzhkovka 84200 Donetsk Ukraine GLOBUS-LTD-TRADE LLC: Proofs of Claim Filing Ends Feb. 7 -------------------------------------------------------- Creditors of LLC Globus-Ltd-Trade (code EDRPOU 35251047) have until Feb. 7, 2008, to submit written proofs of claim to: Jury Ulianchuk Temporary Insolvency Manager Apartment 54 Yanvarskogo vosstaniya Str. 11-a Kiev Ukraine The Economic Court of Kiev commenced bankruptcy supervision procedure on the company on Dec. 14, 2007. The case is docketed under Case No. 43/752. The Economic Court of Kiev B. Hmelnitskij Boulevard 44-B 01030 Kiev Ukraine The Debtor can be reached at: LLC Globus-Ltd-Trade Svitlitsky Str. 24-A 04071 Kiev Ukraine JUPITER-COMPANY LLC: Proofs of Claim Filing Ends Feb. 7 ------------------------------------------------------- Creditors of LLC Jupiter-Company (code EDRPOU 31856592) have until Feb. 7, 2008, to submit written proofs of claim to: The Economic Court of Lugansk Geroiv VVV Square 3a 91000 Lugansk Ukraine The Economic Court of Lugansk commenced bankruptcy supervision procedure on the company. The case is docketed under Case No. 12/542b. The Debtor can be reached at: LLC Jupiter-Company Shevchenko Str. 7 91055 Lugansk Ukraine RESOURCES-2001 LLC: Creditors Must File Claims by Feb. 7 -------------------------------------------------------- Creditors of LLC Resources-2001 (code EDRPOU 31546463) have until Feb. 7, 2008, to submit written proofs of claim to: The Economic Court of Cherkassy Shevchenko Avenue 307 18005 Cherkassy Ukraine The Economic Court of Cherkassy commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. 01/5690. The Debtor can be reached at: LLC Resources-2001 Khimikov Lane 1 Cherkassy Ukraine TECHNO-ART LLC: Creditors Must File Claims by Feb. 7 ---------------------------------------------------- Creditors of LLC Firm Techno-Art (code EDRPOU 24674430) have until Feb. 7, 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 under Case No. B-31/179-07. The Debtor can be reached at: LLC Firm Techno-Art Artem Str. 32 Kharkov Ukraine YENAKIYEVO MOTORCAR 11469: Creditors' Claim Due Feb. 7 ------------------------------------------------------ Creditors of OJSC Donetsk Motorcar Transport Subsidiary Company Yenakiyevo Motorcar Division 11469 (code EDRPOU 30321905) have until Feb. 7, 2008, to submit written proofs of claim to: The Economic Court of Donetsk Artema Str. 157 83048 Donetsk Ukraine The Economic Court of Donetsk commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. 27/129b. The Debtor can be reached at: OJSC Donetsk Motorcar Transport Subsidiary Company Yenakiyevo Motorcar Division 11469 Lebedev-Kumach Str. 10 Yenakiyevo 86406 Donetsk Ukraine =========================== U N I T E D K I N G D O M =========================== AXIUM INTERNATIONAL: Unit to Sell All Assets to MPS Group --------------------------------------------------------- Ensemble Chimes Global, a wholly owned subsidiary of Axium International Inc., disclosed that MPS Group Inc. was the successful bidder for its assets. The closing of the transaction is subject to certain contingencies, but it is anticipated that the transaction will close by the end of the month. On Jan. 24, 2008, the assets of Chimes, including software platforms and related intellectual property, were auctioned through bankruptcy proceedings in the United States District Court in Los Angeles. Axium International was also in the business of providing payroll and accounting services to the entertainment industry. MPS Group has no interest in pursuing any additional Axium International asset other than the assets of Chimes. "The anticipated acquisition of Chimes' assets will make Beeline the clear leader in vendor management solutions with potential oversight of more than US$3 billion in annual contingent labor spend," Timothy Payne, president and chief executive officer of MPS Group, stated. "Chimes' clients and users can now feel comfortable that they will be supported by a large and financially strong public company that has a long-term commitment to providing world-class workforce solutions." "We are aware that many Chimes' clients have suffered recent disruptions to their operations due to Axium's bankruptcy filing," Richard White, president of Beeline, added. "We are ready and able to jump in and provide the resources and solutions necessary to get these clients back online and operating efficiently." About MPS Group Inc. Headquartered in Jacksonville, Florida, MPS Group Inc. (NYSE:MPS) -- http://www.mpsgroup.com/ -- provides staffing, consulting, and solutions in the disciplines of information technology, finance and accounting, law, engineering, and healthcare. Badenoch & Clark Company -- http://www.badenochandclark.com/-- is MPS' London-based subsidiary that specializes in professional services recruitment on a direct hire, temporary, and contract basis in the United Kingdom. For 27 years, the company has focused on the accounting, financial services, banking, legal, insurance, property, public sector and human resource disciplines. MPS Group delivers its services to government entities and businesses in virtually all industries throughout the United States, Canada, the United Kingdom, and Europe. About Ensemble Chimes Headquartered in Los Angeles, California, Ensemble Chimes Global -- http://www.teamecg.com/-- is a wholly owned subsidiary of Axium International. The company is a labor management services provider whose services range from workforce acquisition to payroll, from risk mitigation to billing and invoicing. The company filed for protection under Chapter 7 of the Bankruptcy Code on Jan. 9, 2008, Bankr. C.D. Calif. Case No. 08-10376). About Axium Axium International Inc. -- http://www.axium.com/-- provides payroll solutions for production. It offers various financial services and technology for the entertainment industry through Axium Global and Axium Global Workforce. It serves companies ranging from mid-market to Fortune 500. Axium International has offices in Los Angeles, New York, Burbank, Hollywood, Las Vegas, Toronto, Vancouver and London. The company filed for protection under Chapter 7 of the Bankruptcy Code on Jan. 8, 2008, (Bankr. C.D. Calif. Case No. 08-10277). Howard M. Ehrenberg, a partner at SulmeyerKupetz, has been appointed as Chapter 7 Trustee. BARABAS CULTURAL: Brings In Liquidators from Tenon Recovery ----------------------------------------------------------- S. J. Parker and T. J. Binyon of Tenon Recovery were appointed joint liquidators of Barabas Cultural Intelligence Ltd. on Jan. 16 for the creditors' voluntary winding-up proceeding. The joint liquidators can be reached at: Tenon Recovery Sherlock House 73 Baker Street London W1U 6RD England CASTLE FINANCE: Moody's Junks Series 4 EUR20 Million Notes ---------------------------------------------------------- Moody's Investors Service downgraded two Constant Proportion Debt Obligations exposed to portfolios of financial names. The affected CPDOs were issued by Castle Finance II Ltd. and CHESS III Ltd., and represent 22% of outstanding CPDOs linked to financial names and 4% of all CPDOs rated by Moody's. The negative rating actions are a result of the weighted average spread of the underlying portfolios continually increasing over recent weeks, and eventually reaching a level of 201bps on Jan. 22, 2008, from 101bps on Jan. 2, 2008. At this level the net asset value of both transactions was reduced to 10%, invoking their "cash-out" triggers. As a result, the transactions will unwind at an approximate 90% loss to the investors. These rating actions are: * Series 4 EUR20,000,000 SURF Constant Proportion Debt Obligation Notes Due 2017 issued by Castle Finance II Ltd -- Current rating: C -- Prior rating: B2, on review for downgrade * Series 2007-1 EUR100,000,000 SURF Constant Proportion Debt Obligation Notes Due 2017 issued by CHESS III Ltd. -- Current rating: C -- Prior rating: B2, on review for downgrade CAVALIER TECHNICAL: Taps Liquidators from Vantis ------------------------------------------------ Paul Atkinson and Glyn Mummery of Vantis Business Recovery Services were appointed joint liquidators of Cavalier Technical Sales Ltd. (t/a Cavalier Advanced Panels & Products) on Jan. 17 for the creditors' voluntary winding-up proceeding. The joint liquidators can be reached at: Vantis Business Recovery Services 43-45 Butts Green Road Hornchurch Essex RM11 2JX England CHESS III: Moody's Junks Series 2007-1 EUR100 Million Notes ----------------------------------------------------------- Moody's Investors Service downgraded two Constant Proportion Debt Obligations exposed to portfolios of financial names. The affected CPDOs were issued by Castle Finance II Ltd. and CHESS III Ltd., and represent 22% of outstanding CPDOs linked to financial names and 4% of all CPDOs rated by Moody's. The negative rating actions are a result of the weighted average spread of the underlying portfolios continually increasing over recent weeks, and eventually reaching a level of 201bps on Jan. 22, 2008, from 101bps on Jan. 2, 2008. At this level the net asset value of both transactions was reduced to 10%, invoking their "cash-out" triggers. As a result, the transactions will unwind at an approximate 90% loss to the investors. These rating actions are: * Series 4 EUR20,000,000 SURF Constant Proportion Debt Obligation Notes Due 2017 issued by Castle Finance II Ltd -- Current rating: C -- Prior rating: B2, on review for downgrade * Series 2007-1 EUR100,000,000 SURF Constant Proportion Debt Obligation Notes Due 2017 issued by CHESS III Ltd. -- Current rating: C -- Prior rating: B2, on review for downgrade CHRYSLER LLC: Invests US$27 Million in Toledo Machining Plant ------------------------------------------------------------- Tom LaSorda, Chrysler LLC Vice Chairman and President, disclosed that Chrysler would invest more than US$27 million in its Toledo Machining Plant in Ohio. The plans were revealed during a keynote speech at the Toledo Regional Chamber of Commerce's annual meeting. Toledo Machining, which currently builds torque converters and steering columns, will divide the investment into two separate parts of the plant: US$26.4 million will go toward the manufacturing of a redesigned torque converter for automatic transmissions and an additional US$1.5 million will be used for production of a new steering column. The torque converter investment will deliver improved fuel efficiency and refinement and retain 164 jobs. The steering column investment will retain 44 hourly jobs. "Chrysler's investments in the Toledo area are rooted in our faith that we can keep good-paying manufacturing jobs in America as long as government, our unions and our companies all pull together for the common good," Mr. LaSorda said. "We at Chrysler have a stake in Toledo being a vital city, and we're pleased at the ongoing progress." Overall, the Toledo Machining investment will enhance Chrysler's ability to offer the highest quality products and advanced technical expertise. "This is an important day for the future of the UAW and Chrysler, and in particular for the continued competitiveness of our team here in the State of Ohio," General Holiefield, UAW Vice President, who directs the union's Chrysler Department, said. "This investment is a significant step toward realizing our vision to see this company and our union grow this business and be competitive for the long run." "Chrysler is the largest manufacturing employer and one of the best corporate citizens in Wood County," Tom Blaha, Executive Director of the Wood County Economic Development Commission, said. "This investment is a testament to the hard working men and women at Toledo Machining." The Toledo Machining Plant is located in Perrysburg, Ohio. The plant covers 1.2 million square feet and employs 1,530. Employees at the plant are represented by UAW Local #1435. The plant builds steering columns and torque converters for vehicles across the Chrysler, Jeep(R), Dodge product line. Chrysler, a good neighbor and good citizen, sponsors various community events through its philanthropic arm, The Chrysler Foundation, including the Art Tatum Jazz Heritage Festival, Toledo Urban League, City's Youth Entrepreneur Program, Toledo Opera, the Toledo Museum of Art, Valentine Theatre and the Diamante Awards. 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 TCR-Europe on Jan. 8, 2008, Moody's Investors Service placed the Ba1 Corporate Family Rating of Tata Motors Ltd on review for possible downgrade. DCL INTERIORS: Taps Begbies Traynor to Administer Assets -------------------------------------------------------- David Acland and Steven Williams of Begbies Traynor were appointed joint administrators of DCL Interiors Ltd. (Company Number 03520150) on Jan. 17, 2008. Begbies Traynor -- http://www.begbies.com/-- assists companies, creditors, financial institutions and individuals on all aspects of financial restructuring and corporate recovery. The company can be reached at: DCL Interiors Ltd. Unit 6 Shawbridge Sawmill Shaw Bridge Street Clitheroe Lancashire BB7 1LY England Tel: 01200 422 007 Fax: 01200 422 700 Web site: http://www.dclinteriors.co.uk/ DOLCIS LTD: Appoints Joint Administrators from KPMG --------------------------------------------------- Brian Green, Allan Graham and Howard Smith of KPMG Restructuring were appointed joint administrators of Dolcis Ltd. on Jan. 21, 2008. The joint administrators are reviewing the business and will seek to continue to trade from as many of the 185 stores as possible. "Dolcis is a well recognized, long established High Street brand so we are hopeful of finding a buyer for it," Brian Green disclosed. "Dolcis is to some extent a victim of the tough trading conditions in which the retail sector is currently operating. Earlier this month KPMG and the British Retail Consortium reported that footwear sales fell for the third consecutive month in December, with the mass market hit hardest, as even large discounts failed to tempt sufficient customers," Mr. Green added. According to Mr. Green, while most businesses wait and see whether the recent dent to consumer confidence has a longer term impact on the wider economy, the retail sector and its suppliers operate at the sharp end; feeling the impact of tighter consumer spending with more immediacy and arguably acting as an indicator of trouble ahead for other sectors. "There are, however, a significant number of positive factors about this business to make it an attractive acquisition and any interested parties should contact us for information," Mr. Green concluded. KPMG LLP -- http://www.kpmg.co.uk/-- offers accounting, audit, and tax-related services to customers in such target industries as banking, media and entertainment, consumer products, health care providers, insurance, and pharmaceuticals. Headquartered in Coventry, England, Dolcis Ltd. -- http://www.dolcis.co.uk/-- retails shoes. It has 65 high street branches across the U.K., in addition to these there are also over 150 Dolcis concessions primarily within Bay Trading and Envy stores. GETTY IMAGES: S&P Holds BB Corp. Credit Rating with Neg. Outlook ---------------------------------------------------------------- Standard & Poor's Ratings Services has affirmed its ratings and outlook on Seattle, Washington-based visual imagery company Getty Images Inc., including its 'BB' corporate credit rating, following the company's announcement that it is exploring strategic alternatives. The outlook is negative. "We believe that a sale of the company could potentially result in a weakened credit profile, but that current unfavorable economic and credit market conditions suggest a lower probability of a transaction within the next three months," said S&P's credit analyst Tulip Lim. The ratings on Getty Images reflect risks related to its limited business diversity, its reliance on sales to the cyclical advertising and publishing industries, the trend of organic revenue decline, and secular pressures related to the unfavorable economics of digital migration. The company's good competitive position in the niche market for generic (or stock) visual imagery, solid discretionary cash flow generation, and low leverage partially offset these risks. Headquartered in Seattle, Washington, Getty Images, Inc. -- http://corporate.gettyimages.com/-- creates and distributes visual content. The company has corporate offices in Australia, the United Kingdom and Argentina. FORD MOTOR: Auto Credit Arm Earns US$775 Million in 2007 -------------------------------------------------------- Ford Motor Credit Company reported net income of US$775 million in 2007, down US$508 million from earnings of US$1,283 million a year earlier. On a pre-tax basis, Ford Motor Credit earned US$1.215 billion in 2007, down US$738 million from 2006. The decrease in full year earnings primarily reflected the non- recurrence of credit loss reserve reductions, higher borrowing costs, higher depreciation expense for leased vehicles and higher costs due to our North American business transformation initiative. These were offset partially by lower net losses related to market valuation adjustments from derivatives and lower expenses primarily reflecting improved operating costs. In the fourth quarter of 2007, Ford Motor Credit's net income was US$186 million, down US$93 million from a year earlier. On a pre-tax basis, Ford Motor Credit earned US$263 million in the fourth quarter, compared with US$406 million in the previous year. The decrease in fourth quarter earnings primarily reflected the non-recurrence of credit loss reserve reductions, higher borrowing costs and higher depreciation expense for leased vehicles, offset partially by lower expenses and the non- recurrence of losses related to market valuation adjustments from derivatives. "We had a good year in 2007 with a business that performed consistently and predictably," Mike Bannister, chairman and CEO, said. "With our sound business fundamentals, we have a strong foundation for the future." Ford Motor Credit expects its earnings in 2008 to be about equal to its earnings in 2007. On Dec. 31, 2007, Ford Motor Credit's on-balance sheet net receivables totaled US$141 billion, compared with US$135 billion at year-end 2006. Managed receivables were US$147 billion, down from US$148 billion a year ago. On Dec. 31, 2007, managed leverage was 9.8 to 1. About Ford Motor Credit Ford Motor Credit Company LLC -- http://www.fordcredit.com/-- an indirect, wholly owned subsidiary of Ford Motor Company, is an automotive finance company and has supported the sale of Ford products since 1959. It provides automotive financing for Ford, Lincoln, Mercury, Jaguar, Land Rover, Mazda and Volvo dealers and customers. About Ford Motor 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-Europe on Nov. 20, 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. FORD MOTOR: Posts US$2.7 Billion Net Loss in Fiscal Year 2007 ------------------------------------------------------------- Ford Motor Company reported a 2007 full-year net loss of US$2.7 billion. This compares with a 2006 full-year net loss of US$12.6 billion. Ford's 2007 revenue, excluding special items, was US$173.9 billion, up from US$160.1 billion a year ago. The increase primarily reflected changes in exchange rates, higher net pricing and improved product mix. For full-year 2007, Ford earned a pre-tax operating profit from continuing operations, excluding special items, of US$126 million. Including taxes, Ford's full-year loss from continuing operations was US$366 million, compared with a 2006 loss of US$2.7 billion. Special items, which primarily reflected non-cash charges associated with a Premier Automotive Group asset impairment (related to Volvo) and a change in business practice for providing retail incentives to dealers throughout the year, reduced full-year pre-tax results by US$3.9 billion, which included a reduction in revenue of US$1.4 billion. Automotive gross cash, which includes cash and cash equivalents, net marketable securities, loaned securities and short-term VEBA assets, was US$34.6 billion at Dec. 31, 2007, an increase of US$700 million from year-end 2006. "Each of our Automotive operations is improving, and we are encouraged by the progress, which validates our strategy and plan," Ford President and CEO Alan Mulally said. "In 2007, we introduced great new products around the globe that received strong third-party endorsements for styling, quality and safety. This year, we have some outstanding new product introductions including the Ford Flex, Lincoln MKS, and Ford F-150 in North America, and Ford Kuga and the production version of the Ford Verve concept in Europe." Full-Year Highlights Full-year 2007 highlights supporting the company's plan included: * reached agreement with the United Auto Workers on a new four-year national labor contract, which significantly improves the company's competitiveness going forward. * continued to align capacity to match demand and improve productivity in North America, and reduced personnel by 32,800 in 2007. * achieved US$1.8 billion in cost savings in 2007 (at constant volume, mix and exchange; excluding special items). * introduced Ford SYNC -- the company's award-winning, fully integrated, voice-activated in-car communications and entertainment system developed in association with Microsoft -- which will be available in nearly every Ford, Lincoln and Mercury product by the end of 2008. * in the U.S., Ford, Lincoln and Mercury crossover utility vehicles led the fastest-growing segment with a sales gain of 62% in 2007. * the Ford Mustang convertible made history as the first sports car and first convertible to earn the highest possible safety ratings from the National Highway Traffic and Safety Administration. The Mustang convertible earned five-star ratings in all crash test and rollover categories. * Ford Taurus, Taurus X and Mercury Sable earned Top Safety Pick ratings from the Insurance Institute for Highway Safety for achieving the highest possible ratings in frontal, side and rear crash test performance. They also earned five-star crash-test ratings from NHTSA. * Ford Europe captured Autocar Magazine's annual "Car Company of the Year" award. * Ford Mondeo joins three other models -- Ford Focus, Galaxy and S-MAX -- with a five-star performance on the Euro NCAP Top 10 list, reinforcing Ford Europe's position as the manufacturer with the highest number of vehicles in the top 10 for adult occupant protection. * Ford South America had record pre-tax profits and unit sales were up 19% year-over-year. * Land Rover achieved a third straight year of record unit sales. * Volvo S80 won AutoMundo Magazine's 2007 Car of the Year Award, and Volvo C30 was named Automobile Magazine's 2008 All-Star. * launched operations at new assembly plant in Nanjing, China, that will produce the latest small-car models from both Ford and Mazda. * Ford China unit sales rose 26% in 2007, outpacing industry growth in China. * Mazda CX-9 named "North American Truck of the Year," the first-ever Mazda to win the honor. * completed the sale of Automobile Protection Corporation, Aston Martin and two Automotive Components Holdings plants. * reduced Automotive debt by US$2.7 billion by completing trust preferred exchange offer and debt/equity swap. Fourth Quarter Results The company reported a 2007 fourth-quarter net loss of US$2.8 billion. This compares with a net loss of US$5.6 billion in the same period a year ago. Ford's fourth-quarter revenue, excluding special items, was US$45.5 billion, up from US$40.3 billion a year ago. The increase reflected changes in currency exchange rates, higher net pricing, and improved volume. Ford's fourth-quarter after-tax loss from continuing operations, excluding special items, was US$429 million, compared with a 2006 after-tax loss of US$2.0 billion. Special items reduced pre-tax results by US$3.9 billion in the fourth quarter, which included a revenue reduction of US$1.4 billion. These primarily reflected non-cash charges associated with a PAG asset impairment (related to Volvo) and a change in business practice for providing retail incentives to dealers. About Ford Motor 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-Europe on Nov. 20, 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. HAINES WATTS: Appoints Joint Administrators from PwC ---------------------------------------------------- Colin Michael, Trevethyn Haig, Ian David Green and Patrick Michael Boyden of PricewaterhouseCoopers LLP were appointed Jan. 14, 2008, joint administrators of: -- Credere (Company Number 05719911); -- Credere Holdings Ltd. (Company Number 05874693); -- Haines Watts Bri Ltd. (Company Number 05532196); -- Haines Watts Iva Ltd. (Company Number 05532209); -- Haines Watts Information Services Ltd. (Company Number 03637610); and -- Haines Watts Laiss Ltd. (Company Number 05532202). PricewaterhouseCoopers LLP -- http://www.pwcglobal.com/-- provides auditing services, accounting advice, tax compliance and consulting, financial consulting and advisory services to clients in a variety of industries. Headquartered in Barnsley, England, Haines Watts -- http://www.hwca.com/-- provides services that include taxation, business advisory, corporate finance, corporate recovery & insolvency and budget summary. HH ON-LINE: Joint Liquidators Take Over Operations -------------------------------------------------- Glyn Mummery and Geoffrey Paul Rowley of Vantis LLP were appointed joint liquidators of HH On-Line Ltd., WR Training Ltd., WR Birmingham Ltd., WR Brighton Ltd., WR Bristol Ltd., WR Croydon Ltd., WR Darlington Ltd., WR Leeds Ltd., WR Liverpool Ltd., and WR Manchester Ltd. on Jan. 7 for the creditors' voluntary winding-up proceeding. The joint liquidators can be reached at: Vantis LLP PO Box 2653 66 Wigmore Street London England INSIGHT MANAGEMENT: Calls In Liquidators from Moore Stephens ------------------------------------------------------------ Nigel Price and Mark Bowen of Moore Stephens LLP were appointed joint liquidators of Insight Management Plc on Jan. 15 for the creditors' voluntary winding-up proceeding. The joint liquidators can be reached at: Moore Stephens LLP Beaufort House 94-96 Newhall Street Birmingham B3 1PB England MAULER PLASTICS: Appoints Liquidators from Vantis ------------------------------------------------- Peter James Hughes-Holland and Frank Wessely of Vantis were appointed joint liquidators of Mauler Plastics Ltd. on Jan. 17 for the creditors' voluntary winding-up proceeding. The joint liquidators can be reached at: Vantis 81 Station Road Marlow Buckinghamshire SL7 1NS England RANK GROUP: Nears GBP700 Mln Pension Scheme Deal with Goldman ------------------------------------------------------------- Rank Group plc is nearing a deal to sell its GBP700 million pension scheme to Goldman Sachs, the Daily Telegraph reports. According to the Daily Telegraph, citing unidentified sources, Rank, which hired Mercer to auction the scheme, could reach a deal "in a matter of weeks, not months." The sources disclosed that the two companies are still discussing over how much Rank would need to pay Goldman, on top of transferring the GBP711 million assets of the scheme, the Daily Telegraph says. Goldman Sachs is understood to have outbid Legal & General, Prudential, Paternoster, Pension Corporation and Synesis Life, the Daily Telegraph relates. The company's scheme, the paper adds, has a surplus of GBP75.8 million, while liabilities stood at GBP635.2 million. Meanwhile, Malaysia-based Guoco Group Limited has increased its stake in Rank to 4.09% from 3.17%, sparking speculation that it is eyeing up a bid for the company, Reuters reveals. Headquartered in London, United Kingdom, Rank Group PLC -- http://www.rank.com/-- is an international leisure and entertainment company. The Group provides services to the film industry, including film processing, video duplication and cinema exhibition. The Group's leisure and entertainment activities entail gambling services, encompassing Mecca Bingo Clubs and Grosvenor Casinos, and owned and franchises Hard Rock cafes. * * * As reported in the TCR-Europe on Nov. 14, 2007, Standard & Poor's Ratings Services lowered its long-term corporate credit rating on U.K. gaming group The Rank Group PLC to 'B+' from 'BB-'. S&P said the outlook is negative. At the same time, the debt ratings on Rank's three public bond issues were lowered to 'B' from 'BB-', one notch lower than the corporate credit rating to reflect structural subordination, and the 'B' short-term corporate credit rating was withdrawn at the company's request. In October 2007, Moody's Investors Service downgraded to B1 (from Ba3) the corporate family rating of Rank Group Plc. Moody's concurrently downgraded ratings of the US$100 million guaranteed notes due 2008 and US$14.3 million guaranteed notes due 2018 at Rank Group Finance Plc to B3/LGD5/85% from B2/LGD5/84%. Ratings have been placed on review for possible further downgrade. In April 2007, Standard & Poor's Ratings Services revised its outlook on the company The Rank Group PLC to negative from stable. At the same time, the 'BB-' long-term and 'B' short- term corporate credit ratings were affirmed. REAL ESTATE: High Court Orders Winding Up Proceedings ----------------------------------------------------- The High Court wound up Real Estate (Midlands) Ltd. on Jan. 3, 2008, following an investigation by the Companies Investigation Branch of the Insolvency Services. Creditors of the company are owed in excess of GBP1.4 million. Over one hundred of the company's trade suppliers provided information to assist CIB's inquiries. CIB's investigation found the company continued trading while insolvent, and gave preferential treatment to connected creditors and debtors. The investigation also established that the company's management lacked transparency in so far as the persons controlling its affairs, including one person who was a disqualified director, were not formally appointed as directors. The company was placed into administration on Jan. 15, 2007. A petition to wind up the company was presented on Nov. 7, 2007. SAM TOOLING: Brings In Administrators from PwC ---------------------------------------------- Ross David Connock and Robert Nicholas Lewis of PricewaterhouseCoopers LLP were appointed joint administrators of Sam Tooling Ltd. (Company Number 01990139) on Jan. 16, 2008. PricewaterhouseCoopers LLP -- http://www.pwcglobal.com/-- provides auditing services, accounting advice, tax compliance and consulting, financial consulting and advisory services to clients in a variety of industries. The company can be reached at: Sam Tooling Ltd. 60 Newland Street Coleford Gloucestershire GL16 8AL England Tel: 01594 835 542 Fax: 01594 837 293 Web site: http://www.samtooling.co.uk/ SHAW GROUP: Environmental Unit Bags Deal from General Electric -------------------------------------------------------------- The Shaw Group Inc.'s Environmental & Infrastructure Group has been awarded a contract by the General Electric Company for work on the Upper Hudson River dredging project. The value of Shaw's contract, which will be included in the company's fiscal year 2008-second quarter backlog, was not disclosed. "We are pleased to assist GE in the important environmental cleanup of the Hudson River," said Ronald W. Oakley, president of Shaw's Environmental & Infrastructure Group. "With our involvement in the Hudson River project, and the Fox River project in Wisconsin, Shaw is playing a significant role in two of the largest and most important sediment remediation projects in the U.S." Once dredging begins, Shaw will operate the processing facilities needed to manage sediments that are dredged from the Upper Hudson River. These facilities include: -- a barge terminal where sediments will be delivered and unloaded; -- a dewatering building with specialized equipment that will press water from dredged sediments; -- a water treatment plant that will remove polychlorinated biphenyls (PCBs) from the water; and -- large railroad staging facilities for the rail cars transporting the processed sediment for disposal. Shaw will manage the project out of its Latham, N.Y., office. With this contract, Shaw plans to utilize local subcontractors and local manpower from Washington County and the Capital District Region in New York. About Shaw Group Based in Baton Rouge, Louisiana, The Shaw Group Inc. (NYSE: SGR) -- http://www.shawgrp.com/-- provides services to the environmental, infrastructure and homeland security markets, including consulting, engineering, construction, remediation and facilities management services to governmental and commercial customers. It is also a vertically integrated provider of engineering, procurement, pipe fabrication, construction and maintenance services to the power and process industries. The company segregates its business activities into four operating segments: Environmental & Infrastructure; Energy & Chemicals; Maintenance, and Fabrication, Manufacturing & Distribution. In January 2005, the company sold substantially all of the assets of its Shaw Power Technologies, Inc. and Shaw Power Technologies International, Ltd. units to Siemens Power Transmission and Distribution Inc., a unit of Siemens AG. The company has operations in Chile, China, Malaysia, the United Kingdom and, Venezuela, among others. * * * Standard & Poor's Ratings Services affirmed its 'BB' corporate credit rating on The Shaw Group Inc. and removed it from CreditWatch, where it was placed with negative implications in October 2006. S&P said the outlook is stable. In addition, 'BB' senior secured debt rating was affirmed after the US$100 million increase to the company's revolving credit facility. TECHNICAL MOULDED: Claims Filing Period Ends March 20 ----------------------------------------------------- Creditors of Technical Moulded Systems Ltd. have until March 20, 2008, to send in their full names, their addresses and descriptions, full particulars of their debts or claims, and the names and addresses of their solicitors (if any) to: Ian J. Gould Joint Liquidator PKF (UK) LLP New Guild House 45 Great Charles Street Queensway Birmingham B3 2LX England Ian J. Gould and Edward T. Kerr of PKF (UK) LLP were appointed joint liquidators of the company on Jan. 21 by resolutions of members and creditors. TELTRONICS INC: Sells Telident 911 Assets to Amcom Software ----------------------------------------------------------- Teltronics Inc., disclosed in a regulatory filing with the U.S. Securities and Exchange Commission that on Jan. 18, 2008, it sold all assets related to its Telident 911 Solutions line of products to Amcom Software Inc. for a purchase price of US$1.75 million and the assumption by Amcom of certain liabilities. Under the Asset Purchase Agreement executed on Jan. 18, 2008, US$175,000.00 of the purchase price was deposited into an escrow account to provide Amcom with limited rights to obtain payment for claims made under the indemnity provisions of the Agreement. The company also disclosed that on Jan. 18, 2008, Teltronics Direct Inc., a subsidiary of the company closed acquisition of substantially all of the assets of FMG Ventures LLC and JC Ventures LLC under an Asset Purchase Agreement entered into by TDI on Dec. 19, 2007. The Sellers are local interconnect resellers and provide support of small to medium size telephone switches in the Tampa to Naples, Florida area. Under the Agreement, TDI would acquire substantially all of the assets of the Sellers in exchange for US$200,000.00 in cash paid at the Closing and possible future payments based on the net earnings of TDI for a period of five (5) years. The Agreement contemplates that TDI would be initially owned eighty-five% by the company and seven and one-half% by each of the two principals of the Sellers. TDI would employ the principals of the Sellers on a salary and commission basis for a period of five (5) years, subject to termination under certain conditions. About Teltronics Inc. Headquartered in Sarasota, Florida, Teltronics Inc. (OTC BB: TELT) -- http://www.teltronics.com/-- is a global provider of communications solutions and services. The company manufactures telephone switching systems and software for small-to-large size businesses and government facilities. The company's products are classified into intelligent systems management, digital switching systems, voice over Internet protocol, customer contact management systems and emergency response systems. Overall operations are classified into three reportable segments: Teltronics, Inc., Teltronics Limited (UK) and Mexico. Its Mexico office is located at Naucalpan de Juarez. TELTRONICS INC: Sept. 30 Balance Sheet Upside-Down by US$4.4 Mln ---------------------------------------------------------------- Teltronics Inc.'s consolidated balance sheet at Sept. 30, 2007, showed US$18.4 million in total assets and US$22.8 million in total liabilities, resulting in a US$4.4 million total stockholders' deficit. The company's consolidated balance sheet at Sept. 30, 2007, also showed strained liquidity with US$16.7 million in total current assets available to pay US$18.1 million in total current liabilities. The company reported net income of US$310,000 for the third quarter ended Sept. 30, 2007, as compared to net income of US$495,000 for the same period in 2006. Net loss for the nine months ended Sept. 30, 2007, was US$2.26 million, as compared to a net income of US$690,000 for the same period in 2006. Sales for the three months ended Sept. were US$11.7 million, as compared to US$12.2 million reported for the same period in 2006. Sales for the nine months ended Sept. 30, 2007, were US$29.4 million, as compared to US$34.0 million for the same period in 2006. Gross profit margin for the three months ended Sept. 30, 2007, was 38.5% as compared to 40.0% for the same period in 2006. Gross profit margin for the nine months ended Sept. 30, 2007, was 37.4%, as compared to 40.7% for the same period in 2006. Operating expenses for the three months ended Sept. 30, 2007, were US$3.8 million, as compared to US$3.9 million for the same period in 2006. Operating expenses for the nine months ended Sept. 30, 2007, were US$11.6 million, as compared to US$12.1 million for the same period in 2006. "During the third quarter we started to see some of the sales timing issues of the first half turnaround," said Ewen Cameron, Teltronics' president and chief executive officer. "While this trend is expected to continue in the fourth quarter, we believe that some of our expected 2007 revenue will roll into 2008." Liquidity and Capital Resources In May 2007, the company entered into a new Revolving Credit Term Loan and Security agreement under which the company established a revolving credit facility with a maximum principal amount up to US$6,000,000 and received a five year term-loan with the maximum principal amount of US$5,842,000. The obligations of the agreement are secured by a first lien and security interest in all of the company's assets. The availability under this facility as of Sept. 30, 2007, was US$1,568,000. As of Sept. 30, 2007, the company has cash and cash equivalents of US$896,000 as compared to US$794,000 as of Dec. 31, 2006. Full-text copies of the company's consolidated financial statements for the quarter ended Sept. 30, 2007, are available for free at http://researcharchives.com/t/s?275e About Teltronics Inc. Headquartered in Sarasota, Florida, Teltronics Inc. (OTC BB: TELT) -- http://www.teltronics.com/-- is a global provider of communications solutions and services. The company manufactures telephone switching systems and software for small-to-large size businesses and government facilities. The company's products are classified into intelligent systems management, digital switching systems, voice over Internet protocol, customer contact management systems and emergency response systems. Overall operations are classified into three reportable segments: Teltronics, Inc., Teltronics Limited (U.K.) and Mexico. Its Mexico office is located at Naucalpan de Juarez. * Chadbourne & Parke Expands London Office for Staff Additions -------------------------------------------------------------- The international law firm of Chadbourne & Parke is expanding its London offices, adding over 1,000 square meters or 10,800 square feet to its Regis House location on King William Street. The expansion will enable Chadbourne & Parke to grow its practice at its current office, providing space for additional attorneys and support staff. "London is the key to our European presence," Charles K. O'Neill, Chadbourne managing partner, said. "This additional space enables us to have the room we will need in the immediate term as we continue expanding our presence with lateral hires." Chadbourne's London operation has enjoyed steady growth and activity in recent months. In December, it disclosed that three partners from the London firm of Berwin Leighton Paisner -- Jon Nash, Sohail Barkatali and Agnieszka Klich -- were joining the project finance practice as a team, with a focus on Middle East and Africa transactions. In the last quarter of 2007, the office's English law team played a key role in four M&A deals in six weeks, involving transactions in Russia and Ukraine. The deals involved: Bank Hapoalim's acquisition of 76% of Ukraine Innovation Bank; Marfin Popular Bank's acquisition of a 50.04% stake in Russia's RosPromBank; the owners of a chain of Ukrainian cosmetic shops on the investment by a private equity group in that business; and Bank of Cyprus in the acquisition of 95% of the share capital of Ukrainian bank AvtoZAZBank. The architectural firm of Christian Garnett Partners is overseeing the project, which will give Chadbourne a third floor in the building. London office managing partner Claude Serfilippi said Chadbourne had used Christian Garnett Partners before and it was a natural decision to use it again on the latest office project. In 1998, Christian Garnett Partners designed the fit out of the firm's current London offices on two other floors of Regis House. The current work is due to be completed in May. About Chadbourne & Parke LLP Headquartered in New York City, Chadbourne & Parke LLP -- http://www.chadbourne.com/-- provides a full range of legal services, including mergers and acquisitions, securities, project finance, private funds, corporate finance, energy, communications and technology, commercial and products liability litigation, securities litigation and regulatory enforcement, special investigations and litigation, intellectual property, antitrust, domestic and international tax, insurance and reinsurance, environmental, real estate, bankruptcy and financial restructuring, employment law and ERISA, trusts and estates and government contract matters. Major geographical areas of concentration include Central and Eastern Europe, Russia and the CIS, the Middle East and Latin America. The firm has offices in New York, Washington, DC, Los Angeles, Houston, London, Moscow, St. Petersburg, Warsaw, Kyiv, Almaty, Dubai and Beijing. * Large Companies with Insolvent Balance Sheet ---------------------------------------------- Shareholders Total Working Equity Assets Capital Ticker (US$MM) (US$MM) (US$MM) ------ ----------- ------- -------- AUSTRIA ------- Libro AG (111) 174 (182) Rhi AG (85) 1,573 210 BELGIUM ------- City Hotels CITY.BR (7) 210 (15) Sabena S.A. (86) 2,215 (297) CYPRUS ------ Cyprus Airways CAIR (30) 262 (97) CZECH REPUBLIC -------------- Ceskomoravska Kolben & Danek Praha Holding (89) 192 (2,186) DENMARK ------- Elite Shipping (28) 101 19 FRANCE ------ Arbel PA.ARB (116) 194 (94) Banque Nationale de Paris Guyane BNPG (41) 352 N.A. BSN Glasspack (101) 1,151 179 Charbo De France (3,872) 4,738 (2,868) Euro Computer System (110) 682 377 Grande Paroisse S.A. (927) 629 330 Immob Hoteliere (65) 259 10 Matussiere et Forest S.A. MTF (78) 294 (28) Outremer Telecom OMT (33) 229 (88) Pagesjaunes GRP PAJ (2,718) 1,121 (291) Pneumatiques Kleber S.A. (34) 480 139 SDR Centrest (132) 252 N.A. SDR Picardie (135) 413 N.A. Soderag (3) 404 N.A. Sofal S.A. (305) 6,619 N.A. Spie-Batignolles (16) 5,281 75 Selcodis S.A. SPVX (18) 128 (22) Trouvay Cauvin (0) 134 10 Usines Chausson (23) 249 35 GERMANY ------- CBB Holding AG COB (43) 905 N.A. Cinemaxx AG MXC (27) 177 (30) Cognis Deutschland GmbH & Co. KG (174) 3,003 606 Dortmunder Actien-Brauerei DABG (13) 118 (29) EM.TV AG EV4G.BE (22) 849 15 F.A. Guenther & Son AG GUSG (10) 111 N.A. Kabel Deutschland (1,199) 2280 (306) Kaufring AG KAUG (19) 151 (51) Maternus Kliniken AG MAK.F (4) 201 (20) Nordsee AG (8) 195 (31) Schaltbau Hold SLTG (13) 185 3 SinnLeffers AG WHGG (4) 454 (145) Spar Handels- AG SPAG (442) 1,433 (234) GREECE ------ Empedos S.A. EMPED (34) 175 (48) Radio A.Korassidis KORA (101) 181 (139) Commercial ICELAND ------- Decode Genetics Inc. DCGN (55) 216 146 IRELAND ------- Waterford Wed Ut WTFU (145) 897 208 ITALY ----- A.S. Roma S.p.A. ASR (12) 188 (49) Binda S.p.A. BND (11) 129 (20) Cirio Finanziaria S.p.A. (422) 1,583 (396) Gruppo Coin S.p.A. GC (154) 801 (50) Compagnia Italia ICT (138) 527 (235) Credito Fondiario e Industriale S.p.A. (200) 4,218 N.A. Finpart S.p.A. (152) 732 (322) I Viaggi del Ventaglio S.p.A. VVE.MI (116) 469 (143) Lazio S.p.A. SSL (32) 254 (33) Olcese S.p.A. OLCI.MI (13) 180 (64) Parmalat Finanziaria S.p.A. (18,419) 4,121 (12,481) Snia S.p.A. SN (39) 275 36 Technodiffusione Italia S.p.A. TDIFF.PK (90) 152 (24) NETHERLANDS ----------- Baan Company N.V. BAAN (8) 610 46 United Pan-Euro Air UPC (5,266) 5,180 (8,730) NORWAY ------ Petroleum-Geo Services PGO (32) 2,963 (5,250) ROMANIA ------- Rafo Onesti RAF (354) 475 (1,421) RUSSIA ------ East Siberia Brd VSNK (79) 107 (278) Omskij Kauchu OMKA (4) 125 (1,794) OAO Samaraneftegas (332) 892 (16,942) Vimpel Ship SOVP (93) 281 (420) Zil Auto ZILLP (178) 425 (10,597) SPAIN ----- Altos Hornos de Vizcaya S.A. (116) 1,283 (278) Santana Motor S.A. (46) 223 41 TURKEY ------ Nergis Holding (24) 125 26 Turk Tuborg TBORG (1) 153 (109) Yasarbank (948) 623 N.A. UKRAINE ------- Dniprooblenergo DNON (40) 477 (807) Donetskoblenergo DOON (286) 597 (1,991) UNITED KINGDOM -------------- Abbott Mead Vickers (2) 168 (16) Alldays Plc (120) 252 (202) Amey Plc AMY (49) 932 (47) Atkins (WS) Plc ATK (150) 1,390 62 BCH Group Plc BCH (6) 188 (44) Blenheim Group BEH (153) 198 (34) Booker Plc BKRUY (60) 1,298 (8) Bradstock Group BDK (2) 269 5 Brent Walker Group BWL (1,774) 867 (1,157) British Energy Ltd (5,823) 4,921 290 British Energy Plc BGY (5,823) 4,921 434 British Nuclear Fuels Plc (4,248) 40,326 977 Carlisle Group (12) 204 15 Compass Group CPG (668) 2,972 (298) Costain Group COST (108) 595 (61) Danka Bus System DNK.L (108) 540 65 Dowson Holding DWN (18) 226 31 Derby Investment (127) 793 (524) Dignity Plc DTY (55) 552 36 Easynet Group ESY.L (45) 323 38 Electrical and Music Industries Group EMI (2,266) 2,950 (296) Galiform Plc GFRM (152) 889 35 Global Green Tech Group (156) 408 (18) Heath Lambert Fenchurch Group Plc (10) 4,109 (10) HMV Group Plc HMV (26) 1,273 (277) Imperial Chemical Industries Plc ICI (370) 8,393 2 Invensys PLC (276) 3,914 357 Jarvis Plc JRVS.L (28) 370 (22) Ladbrokes Plc LAD (1,227) 1,669 (267) Lambert Fenchurch Group (1) 1,827 3 London Stock Exchange LSE (689) 526 (195) M 2003 Plc (2,204) 7,205 (756) Marston's Trading (43) 908 (210) Misys Plc MSY (7) 1,123 (131) Mytravel Group MT.L (380) 1,818 (488) Orange Plc ORNGF (594) 2,902 7 Regus Plc RGU.L (46) 367 (60) Rentokil Initial Plc RTO (1,044) 3,507 (457) Saatchi & Saatchi SSI (119) 705 (41) SFI Group SUF (108) 178 (162) Skyepharma PLC SKP (95) 211 2 Telewest Communications Plc TLWT (3,702) 7,581 (5,631) Trio Finance TRIO (14) 592 15 Unilever U.K. Cent. (1,170) 4,509 82 Wincanton Plc WIN (27) 1,451 (78) ********* 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, Patrick Abing and Marites Claro, Editors. Copyright 2008. 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. 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