TCR_Public/000107.MBX    T R O U B L E D   C O M P A N Y   R E P O R T E R
       
         Friday, January 7, 2000, Vol. 4, No. 5

                     
                     Headlines

BREED TECHNOLOGIES: Illinois Tool Works Seeks Reform of Committee
CHERRYDALE FARMS: Interim Order Extends Solicitation Period
COMPLETE MANAGEMENT INC: Meeting of Creditors
CUSTOM SHOP: Files Motion to Sell Assets
DEVLIEG BULLARD: Seeks Extension of Exclusive Periods

FIRSTPLUS FINANCIAL: Continued Hearing on Disclosure Statement
FORCENERGY: Supreme Offshore Services Withdraws Objection
FORMAN PETROLEUM: Notice of Confirmation of Plan
FRUIT OF THE LOOM: Seeks To Reject Employment Agreements
FULCRUM DIRECT: Seeks To Establish Bar Date

HARNISCHFEGER: Metso Makes Offer For Beloit Assets
HARVARD PILGRIM: Largest Massachusetts HMO in Receivership
IMPERIAL HOME: Files Chapter 11
JUMBOSPORTS: Court Authorizes Sales of Real Property
KCS ENERGY: Creditors File Involuntary Petition

LOEWEN: Motion To Modify Stay To Resolve Cornerstone Dispute
MEDPARTNERS: Court Denies Solicitation Extension
NATIONAL RESTAURANTS: Seeks Extension to Assume/Reject Leases
OPTEL: Creditor Panel Seeks To Retain Financial Adviser
PHYSICIAN COMPUTER: Applies To Employ Arthur Andersen

PLANET HOLLYWOOD: Proposes Sale of Times Square Property
SGL CARBON: Court Throws Out Filing Seeking Chapter 11 Protection
SINGER: Debtor and Committee Tap The Blackstone Group
STORMEDIA: Confirmation Hearing Set
SUN HEALTHCARE: Extension To Assume/Reject Leases

VENCOR: Seeking Third Amendment To DIP Credit Agreement
VIDIKRON: Applies to Employ of Appraiser to Trustee
VOICE IT WORLDWIDE: Creditors Committee Recommends Plan
WESTSTAR CINEMAS: Seeks First Extension of Exclusivity

BOND PRICING: For Week of January 3, 2000

                     ********

BREED TECHNOLOGIES: Illinois Tool Works Seeks Reform of Committee
-----------------------------------------------------------------
Illinois Tool Works ("ITW") joins in the motion of Atlantic
Research Corporation for an order directing the US Trustee to
reform the Committee of Unsecured Creditors or alternatively
appointing an additional committee of trade creditors.

ITW sells components necessary to the manufacture of automobile
airbag assemblies.  As a result of its sales to the debtor, ITW
has claims against Breed in the aggregate amount of $1,168,572.  
ITW was interested in being appointed to the creditor's committee
to represent the interests of trade creditors generally.  The
committee is primarily made up of representatives of noteholders
who have no continuing interest in the debtor's operation and may
have very different ideas, goals, objectives and strategies with
respect to the best interests of similarly situated noteholders.

ITW states that simply adding additional trade creditors to the
existing committee will still not be beneficial to trade
creditors, since every vote will still be dominated by
noteholders.  Also, the increased size may add to disputes.  ITW
believes that the better approach is to create an additional
trade creditors' committee.


CHERRYDALE FARMS: Interim Order Extends Solicitation Period
-----------------------------------------------------------
The US Bankruptcy Court for the District of Delaware entered an
order granting a further extension of the exclusive period in
which to solicit acceptances to the debtors' plan of orderly
liquidation.  The period during which the debtors have the
exclusive right to solicit acceptances to their plan of orderly
liquidation is extended until such time as an order on the motion
is entered by the court.


COMPLETE MANAGEMENT INC: Meeting of Creditors
---------------------------------------------
A meeting of creditors is set for January 25, 2000 at the Office
of the US Trustee, 80 Broad Street, Second floor, New York, NY
10004-1408.

Attorney for the debtor is Alec P. Ostrow, 919 Third Avenue New
York, NY.


CUSTOM SHOP: Files Motion to Sell Assets
----------------------------------------
The Custom Shop ("TCS"), 62-year old vertically-integrated and
nationally branded manufacturer and specialty retailer of custom-
made menswear, has signed (subject to court approval) an
agreement to sell substantially all of its assets as part of its
Chapter 11 filing in the Delaware bankruptcy court.  Custom Shop
Corporation and three of its affiliates filed for protection
under Chapter 11 of the U.S. Bankruptcy Code on Monday, January
3, 2000 in Delaware. Simultaneously, TCS filed a motion with the
court seeking approval of a $1.5 million Debtor-in-Possession
(DIP) lending facility with Bell Street Funding, L.L.C. to
provide adequate financing for the uninterrupted operation of the
business and deliveries of all custom-made merchandise for its
clients.

The proposed buyer is TCS.com Acquisition Corporation ("TAC"), a
company created for the purpose of purchasing and operating
certain of the Custom Shop stores and the Franklin, New Jersey
custom shirt production facility.  TAC has not announced specific
plans other than to state its intention to make further
investments in The Custom Shop's strong national brand, as well
as to continue operating the majority of the existing Custom Shop
stores and its Franklin, New Jersey shirt-making plant as the
principal resource for its custom shirts. TCS will be requesting
a sale hearing in the bankruptcy court in February 1999.

William Loebbaka, CEO, speaking on behalf of The Custom Shop,
said, "We are extremely pleased with the solutions and agreements
reached with TAC, who have assured that the Custom Shop will be
well funded and that its brand name and operations will have a
bright new potential and a positive future.  The past several
months have been somewhat unsettling as rumors took on a life of
their own.  Having diligently considered proposals from a variety
of interested parties, it is comforting to reach such a positive
plan of action with TAC."

The Custom Shop was founded in 1937 by Mortimer Levitt, who owned
and operated the company until the 63-unit chain was sold to a
venture capital group in 1997.  After several policy and
merchandising changes in 1998 and 1999, the group brought in Mr.
Loebbaka as CEO to research new avenues to restructure and
sell the company.  After months of meetings with numerous
parties, many of which were reported in the trade journals, The
Custom Shop accepted TAC's offer, and signed an agreement almost
simultaneously with the filing of the Chapter 11 cases in the
Delaware bankruptcy court.

Tim Belton of TAC stated that:  "Going forward, the new
organization will be able to even better serve a growing customer
base with more effective manufacturing processes and retail
operations that are well positioned for growth in the coming
decade."  If TAC is the successful purchaser of the assets, "it
is confident that it can improve the performance of existing
operations and take advantage of the growing consumer demand for
personalized apparel.  Under this plan the Custom Shops brand can
emerge with a far stronger potential for the future," said Mr.
Belton.

The Custom Shop currently operates 60 stores in 21 states and the
District of Columbia.  It manufactures and sells at retail high-
end custom-made shirts and suits.


DEVLIEG BULLARD: Seeks Extension of Exclusive Periods
-----------------------------------------------------
The debtor, Devlieg-Bullard, Inc. seeks an order extending the
periods during which it has the exclusive right to file its plan
of reorganization and to obtain acceptance thereof.

The debtor seeks to extend, until March 31, 2000, the period
during which it has the exclusive right to file a plan of
reorganization and extend, until May 31, 2000, the period during
which it has the exclusive right to seek acceptance of its plan.
The debtor is not as far along in its reorganization efforts as
it had hoped and expected to be.  Since the Petition Date, the
debtor's management and professionals have spent most of their
time stabilizing the debtor's operations, identifying turnaround
initiatives, addressing liquidity problems and identifying for
possible sale other non-critical assets and facilities.  The
debtor's management has spent most of its time on the
stabilization and business turnaround of the debtor's operations,
and the debtor's management has not been in a position to develop
a plan of reorganization. The debtor frankly admits that
negotiations with creditors have not begun.


FIRSTPLUS FINANCIAL: Continued Hearing on Disclosure Statement
--------------------------------------------------------------
The Bankruptcy Court for the Northern District of Texas, Dallas
Division will conduct a continued hearing on the debtor's
Disclosure Statement in support of the debtor's first amended
plan of reorganization on January 19, 2000 at 1:45 PM at the US
Bankruptcy Court, 1100 Commerce, Dallas, Texas.


FORCENERGY: Supreme Offshore Services Withdraws Objection
--------------------------------------------------------------
Creditor, Supreme Offshore Services, Inc.'s withdraws its
previously filed objections to confirmation of the plan of re-
organization filed by the debtors, Forcenergy, Inc. and
Forcenergy Resources, Inc.


FORMAN PETROLEUM: Notice of Confirmation of Plan
------------------------------------------------
The Second Amended Joint plan of Reorganization filed by the
debtor, Forman Petroleum Corporation and the noteholder plan
proponents was confirmed by the order of court signed on December
29, 1999.


FRUIT OF THE LOOM: Seeks To Reject Employment Agreements
--------------------------------------------------------
Fruit of the Loom, Inc., is party to an Employment Agreement with
William F. Farley dated January 6, 1999.  Under that Employment
Agreement, Mr. Farley served in various capacities.  Mr. Farley's
employment as CEO terminated August 25, 1999; his employment as
COO terminated September 15, 1999; on December 28, 1999, Mr.
Farley was dismissed as President of Fruit of the Loom, Inc.  Mr.
Farley, the Debtors note, continues to serve as Chairman of their
Board of Directors.  

By this Motion, the Debtors ask Judge Walsh for permission to
reject the Employment Agreement pursuant to 11 U.S.C. Sec. 365,
as of the Petition Date, to avoid triggering any post-petition
obligations to Mr. Farley.  

Rejection of the Employment Agreement, the Debtors assert, is a
sound and reasonable exercise of their business judgment, because
it will benefit the estates and creditors.  Rejection, the
Debtors argue, is consistent with the Third Circuit teaching in
Sharon Steel Corp. v. National Fuel, 872 F.2d 36 (3d Cir. 1989).  
Mr. Farley was terminated prior to the Petition Date.  As a
result, no employment relationship exists between the
Debtors and Mr. Farley.  Further, Mr. Farley is not providing any
services or benefit to the estates.  To the extent Mr. Farley
believes he is owed any money, the Debtors suggest, he, like all
other creditors, should file a claim.  

Fruit of the Loom, Inc., is party to an Employment Agreement with
David F. Palmer dated January 6, 1999.  Under that Employment
Agreement, Mr. Palmer served as Vice President--Corporate
Development.  Mr. Palmer's employment terminated on December 28,
1999.  By this Motion, the Debtors ask Judge Walsh for permission
to reject the Employment Agreement pursuant to 11
U.S.C. Sec. 365, as of the Petition Date, to avoid triggering any
post-petition obligations.

John Salisbury served as President--Retail Group for Fruit of the
Loom, Inc., under and Employment Agreement dated January 6, 1999.  
Mr. Salisbury's employment terminated on December 21, 1999.  By
this Motion, the Debtors ask Judge Walsh for permission to reject
the Employment Agreement pursuant to 11 U.S.C. Sec. 365, as of
the Petition Date, to avoid triggering any post-petition
obligations.

On December 28, 1999, Walter J. Sluzas' employment as Vice
President--Tax for Fruit of the Loom, Inc., terminated.  By this
Motion, pursuant to 11 U.S.C. Sec. 365, the Debtors ask Judge
Walsh for permission to reject his Employment Agreement dated
January 6, 1999, as of the Petition Date, to avoid triggering any
post-petition obligations. (Fruit of the Loom Bankruptcy News
Issue 2; Bankruptcy Creditors' Service Inc.)


FULCRUM DIRECT: Seeks To Establish Bar Date
-------------------------------------------
The debtors, Fulcrum Direct, Inc. and its affiliates and
Equipment Bond Purchaser seek an order establishing Febraury 7,
2000 as the date by which proofs of clam must be filed by
creditors.


HARNISCHFEGER: Metso Makes Offer For Beloit Assets
--------------------------------------------------
Metso Corporation's (NYSE: MX; HEX: MEO) fiber and paper
technology business area, Valmet, has today made an offer to
purchase certain assets of the American paper machine
manufacturer, Beloit, whose parent company Harnischfeger
Industries is subject to Chapter 11.  The offer includes Beloit's
roll cover division, paper machine aftermarket business assets
and the related paper machine technology.  The annual net sales
of the businesses included in the offer are estimated to be
approximately USD 200 million.  The Division employs about 800
people in the USA and France.

The value of Metso's offer is approximately USD 160 million.  The
offer will be handled under Harnischfeger's Chapter 11 process
and will be accepted in the Bankruptcy Court.  The deal also
needs the approval of the competition authorities.  The whole
process is expected to take some weeks.

Metso Corporation's fiber and paper technology business area
Valmet is a world leading supplier of technologies, systems and
equipment for the pulp, paper, converting and panelboard
industries.  In 1998, the business area's pro forma net sales
totaled EUR 1.9 billion (FIM 11.6 billion) in 1998 and it had
about 10,900 employees.

Metso Corporation was created through the merger of Rauma and
Valmet Corporation on July 1, 1999.  Metso's business areas are
fiber and paper technology, automation and control technology and
machinery.  The pro forma net sales of Metso Corporation was EUR
3.7 billion (FIM 22 billion) in 1998 and personnel totaled
approximately 23,000. Metso Corporation is listed on the Helsinki
Exchanges and New York Stock Exchange.


HARVARD PILGRIM: Largest Massachusetts HMO in Receivership
----------------------------------------------------------
Accounting errors at Harvard Pilgrim Health Care, the largest HMO
in Massachusetts, have left the company with millions of dollars
more in losses than anticipated and a court order placing it
into receivership, the Associated Press reported. Last week the
HMO closed its 125,000-client Rhode Island operation because of
significant losses there. The court order came Tuesday after
the HMO announced accounting errors for loss estimates that
increased from $100 million to more than $170 million.
Massachusetts Insurance Commissioner Linda Ruthardt said that
using one accounting standard, the company has a $40 million
balance, but using another, which values buildings less and takes
future liabilities into account, the company would be in the red.
The order for receivership prevents creditors from seeking
payment from Harvard Pilgrim through bankruptcy and it requires a
plan for rehabilitating the company to be submitted to the court
within 30 days. A representative for Harvard Pilgrim said the
irregularities were found as the company prepared a bond deal.
(ABI 05-Jan-99)


IMPERIAL HOME: Files Chapter 11
-------------------------------
The Imperial Home Decor Group Inc. said today that it and its
U.S. affiliates filed voluntary petitions on January 5, 2000 for
protection under chapter 11 of the U.S. Bankruptcy Code in the
United States Bankruptcy Court for the District of Delaware.
Along with the holding company, entities included in the filing
are: The Imperial Home Decor Group (US) LLC; its vinyl film
subsidiary, Vernon Plastics, Inc.; Imperial Home Decor Group
Holdings LLC, the principal shareholder of the holding company;
and two additional non-operating subsidiaries, WDP Investments,
Inc. and Marketing Services, Inc. The Company's Canadian
operations, The Imperial Home Decor Group (Canada) ULC, and its
operations in the United Kingdom, The Imperial Home Decor Group
(UK) Ltd., were not included in the filing.

The Company said that it elected to seek court protection to
develop and implement a financial reorganization. During the
reorganization process, Imperial Home Decor Group (US) LLC,
Vernon Plastics, and all other company units will continue to
operate normally.

"With more than 40% of the North American residential
wallcoverings market, IHDG is the industry leader, and is a
viable company with solid future prospects," said Scott R. Levin,
IHDG's Chief Financial Officer and Acting Chief Executive
Officer. "Our company is profitable on an operating basis before
restructuring and integration costs, but company debt levels are
too high and simply cannot be sustained. When the company was
formed in March 1998, it took on debt levels that assumed
continued sales volume in Russia and Eastern Europe.

Those sales were not realized due to the dramatic and unexpected
economic downturn that occurred in those markets shortly
thereafter. While our business plan for 2000 is for improved
sales and operating performance at all locations, sales in North
America and local U.K. markets were lower than anticipated in
1998 and 1999. The end result is that while we have a profitable
business, we have an unsustainable level of debt. Restructuring
our debt under chapter 11 will remedy this situation and enable
the company to build for the future."

IHDG also announced today that the bankruptcy court granted
immediate approval to borrow up to $25 million on its newly
obtained, two-year Debtor-in-Possession (DIP) credit facility
from The Chase Manhattan Bank for up-to-$75 million. A court
hearing to approve the Company's use of the balance of those
funds is scheduled for February 2, 2000.

Subject to certain terms and conditions, the DIP financing will
be used for employee salaries and benefits, materials and
services from vendors, customer promotional programs, ongoing
operations and other working capital needs. "We believe our DIP
financing will provide more than ample funds to cover the
company's global financial needs throughout the reorganization
period," said Levin. "Our customers should rest assured that it
is business as usual and our employees should know that their
paychecks and benefits remain fully in effect."

Levin said the Company expects to complete its previously
announced North American Integration Plan to reduce costs,
improve operations and increase profitability in the coming year.
"To better serve customers, we repositioned our sales force on
key national accounts, the dealer market, the designer/decorator
and domestics businesses. We introduced new merchandising
programs to major customers, developed numerous award-winning
product designs, and increased licensing programs and
distribution agreements with well-known brands such as Disney,
Warner Bros., Nautica, Eddie Bauer, Thomas Kinkade, Alexander
Julian, and Ralph Lauren," he explained.

Levin also cited a variety of recently accomplished manufacturing
initiatives: "In our Canadian operations, we enhanced management
strength and made significant progress on improving factory cycle
times. In Knoxville, Tennessee, we launched a new finishing
process. We consolidated bookmaking into our Streator, Illinois
facility. And new production planning rules throughout
our factories are increasing customer service levels. Our
employees made these valuable contributions a reality."

Levin went on to say that, under a new managing director, IHDG's
progress in the U.K. includes advancements on a restructuring
plan to reduce costs and improve profitability, and strong
efforts to position IHDG to regain market share. He also said
that Vernon Plastics has had one of its best years ever with
particularly good successes in pool liners, and has identified
key profit improvement initiatives for the coming year. Levin
concluded by saying that, in the coming year, the Company will
continue evaluating all of its production facilities on a
worldwide basis to assess further opportunities to improve
efficiencies or reduce costs.

Finally, the Company announced that The Imperial Home Decor Group
Inc. board of directors has initiated a search for a replacement
for its former president and chief executive, James P. Toohey,
who has left the Company to pursue other interests. Levin has
assumed additional duties as acting chief executive officer.

Imperial Home Decor Group is the world's largest designer,
manufacturer and distributor of residential wallcoverings
products. Headquartered in Cleveland, Ohio, Imperial Home Decor
Group supplies home centers, national chains, mass merchants and
home decorators. The Company was created in 1998 through the
merger of Imperial Wallcoverings and Borden Decorative Products.
In 1998, Imperial Home Decor Group reported net sales of $416.7
million.


JUMBOSPORTS: Court Authorizes Sales of Real Property
----------------------------------------------------
The US Bankruptcy Court for the Middle District of Florida, Tampa
Division entered order authorizing the following sales of real
property:

100 Urton Lane, Middletown, Kentucky to E&H Integrated Systems,
Inc. for $3.69 million.

8600 Glenwood Avenue, Raleigh, North Carolina and 1135 Causeway
Boulevard, Brandon Florida to The Sports Authority.

6221 West Lane, Stockton, California to Michael E. Brown for
$2.75 million.

11100 North Central Expressway, Dallas, Texas to Seitz Group,
Inc. for $3.9 million.


KCS ENERGY: Creditors File Involuntary Petition
-----------------------------------------------
Noteholders of KCS Energy Inc. filed a petition yesterday in the
District of Delaware seeking to place Houston-based KCS into
chapter 11, according to a newswire report. Court documents
indicate that the creditors have claims of $23.1 million for 11
percent senior notes due 2003, together with interest, liquidated
damages and fees. The noteholders include the Offit High Yield
Fund with an $11 million claim, the Prudential Insurance Co. of
America with a $2.9 million claim and B III Capital Partners LP
with a $9.2 million claim. Last month KCS said it planned to
file chapter 11 by Jan. 18 and that lenders had agreed to provide
up to $190 million in credit.  The company also said it would
restructure more than two-thirds of its 8.875 percent senior
subordinated notes due January 2008 and the 11 percent notes. At
the end of September the company's reported liability was $437
million, none of which is long-term debt. (ABI 05-Jan-99)


LOEWEN: Motion To Modify Stay To Resolve Cornerstone Dispute
-------------------------------------------------------------
On March 31, 1999, Loewen Group International, Inc. sold the
capital stock of approximately 99 of its direct and indirect
subsidiaries to Cornerstone family services, Inc.  This sale
transferred to Cornerstone approximately 124 cemeteries and three
funeral homes, most of which are located in the northeastern
United States.  The gross proceeds of the sale were
approximately $193 million.  The Stock Purchase agreement
includes two significant post-closing purchase price adjustments.  
First, Cornerstone has to pay LGII the amount that the companies'
closing-date working capital exceeded the estimated amounts in
the Stock Purchase Agreement.  Conversely, LGII has to pay
Cornerstone any deficit in the estimated closing-date working
capital.  Second, the stock Purchase agreement provides that the
market value of perpetual care, preneed funeral and merchandise
trusts will equal the amount required by applicable law or
contract.  Cornerstone has to pay LGII 50% of any overfunding of
these trust assets; and LGII has to pay Cornerstone 50% of any
underfunding.  Cornerstone and LGII disagree as to who has to pay
whom how much under these purchase price adjustments.  

The Debtors ask the Court to modify the automatic stay in
bankruptcy so that this issue can be resolved under the dispute
resolution procedures in the Stock Purchase Agreement.  The
Debtors hope to recover $11,000,000.


MEDPARTNERS: Court Denies Solicitation Extension
------------------------------------------------
The US Bankruptcy Court for the Central District of California
denied the emergency motion of the debtor, Medpartners Provider
Network, Inc., for an order extending the debtor's plan
solicitation exclusivity period filed on December 22,1999.  The
court states that good cause was not shown.


NATIONAL RESTAURANTS: Seeks Extension to Assume/Reject Leases
-------------------------------------------------------------
The debtors are tenants under four nonresidential real property
leases.  The debtors seek a further extension of ninety days to
assume or reject the debtors' leases.  Over the last four months
Kahn and Committee Counsel have undertaken a comprehensive
investigation of the financial condition of the NRM Companies in
order to determine the value of the debtors.  The valuation
process has involved not only an analysis of the profitability of
the NRM Companies, but also the valuation of more than one
hundred leases and executory contracts in order to determine the
liquidation value of the NRM Companies.  The valuation analysis
is central to the Creditors Committee's ability to evaluate the
plan and Disclosure Statement.  Once the valuation analysis is
completed the debtors intend to move forward expeditiously, but
see no advantage in filing a Disclosure Statement prematurely.

The debtors leases are in New York at 1286 Broadway, 200 Park
Avenue, 604 Fifth Avenue, and 26 Court Street.


OPTEL: Creditor Panel Seeks To Retain Financial Adviser
-------------------------------------------------------
OpTel Inc.'s (OTEL) official committee of unsecured creditors is
seeking to retain Houlihan Lokey Howard & Zuckin Capital as its
financial adviser. The financial firm would assist the committee
in analyzing and monitoring the company's business operations and
financial condition; update the assessment of the company's
business plan; review filings submitted to the bankruptcy
court, including a chapter 11 plan and plan disclosure statement;
assess financing options; perform valuation analyses; and provide
other financial advisory services as needed. (The Daily
Bankruptcy Review Copyright c January 6, 2000)


PHYSICIAN COMPUTER: Applies To Employ Arthur Andersen
-----------------------------------------------------
The debtors, Physician Computer Network, Inc. and its affiliates
seek an order authorizing the retention of Arthur Andersen LLP as
auditors and accountants to the debtors.

The firm will be responsible for the following services:

Attest audit services including completion of the audit of the
financial statements for the periods ended September 30 and
December 31, 1999 and an audit of the closing balance sheet as
contemplated by the Asset Purchase Agreement, as amended;

Tax return preparation and other tax compliance and consulting
services;

Assisting with the financial operations of the debtors'
businesses, including working with the debtors on a business
plan, and analyzing and reviewing cash management systems;

Assisting in compliance with the financial reporting requirements
under the Guidelines issued by the United States Trustee;

Preparing and reviewing cash or other projections, reports and
analyses, and statements of receipts, disbursements and
indebtedness;

Consulting with the debtors' management in connection with
financial matters relating to the ongoing activities of the
debtors;

Working on behalf of the debtors with any accountants and other
financial consultants for committees and other creditor groups;

Providing assistance with the analysis and reconciliation of
claims;

Assisting in preparing the debtors' schedules and statement of
financial affairs;

Assisting in the development and negotiations of a plan of
reorganization;


PLANET HOLLYWOOD: Proposes Sale of Times Square Property
--------------------------------------------------------
Planet Hollywood International, Inc., et al. seeks approval for
Region III and the other debtors to sell a significant asset,
certain property included in a hotel/restaurant/signage
development in New York City's Times Square area, at 1567
Broadway.  The proposed Buyer is Intell 1567 LLC.  The contract
provides for the sale of the property for $30 million plus
forgiveness of approximately $2 million of construction-related
costs.  The sale of the property is in furtherance of Intell's
efforts to sell the remainder of the hotel and signage rights,
together with the Retail Unit, to a hotel developer or other
third-party purchaser.  The debtors anticipate the receipt of an
additional $15 million when the sale of the entire property is
effectuated.


SGL CARBON: Court Throws Out Filing Seeking Chapter 11 Protection
-----------------------------------------------------------------
Finding that SGL Carbon Corp.'s chapter 11 filing was not made in
good faith as the company was trying to gain leverage in civil
antitrust litigation, the Third U.S. Circuit Court of Appeals in
Philadelphia has thrown out the bankruptcy filing, The Wall
Street Journal reported. The U.S. unit of SGL Carbon AG of
Germany filed for bankruptcy protection in Delaware in December
1998 and claimed that the threat of being wiped out by civil
antitrust litigation was enough to justify protection from its
creditors. The company, based in Charlotte, N.C., had been hit
with civil antitrust claims by steel producers after the U.S.
Department of Justice opened an investigation of the German
parent and whether it conspired to suppress and eliminate
competition in the graphite-electrodes industry in the mid-1990s.
In May, the German parent agreed to pay a $135 million fine and
pled guilty to conspiracy. Late last month the appeals court
found that SGL could not show the bankruptcy filing prevented any
"imminent harm." Philip Bentley, an attorney representing the
creditors' committee, said the ruling means that a company
will have to show concrete harm from litigation, like a bank
refusing to lend it money, before a court will allow a bankruptcy
filing. Bentley also said that SGL was not the first company to
have its filing dismissed for this reason, but that it is the
largest. An attorney for SGL said it will not refile for
bankruptcy protection and has not decided whether to appeal the
decision. (ABI 05-Jan-99)


SINGER: Debtor and Committee Tap The Blackstone Group
-----------------------------------------------------
The debtors, The Singer Company N.V., et al. seek to retain The
Blackstone Group, LP as financial advisors to the debtors and the
Official Committee of Unsecured Creditors.

The firm will provide the following services:

Review the businesses of the debtors with particular emphasis on
the near and long-term business plan and related financial
projections prepared by the debtors;

Analyze the financial liquidity of the debtors;

Evaluate potential reorganization alternatives considering the
debtors' operating prospects, financial liquidity and strategic
options;

Advise the Committee and the debtors of any possible transactions
involving third parties who may be interested in providing debt
and/or equity capital to the debtors in connection with or
outside of a plan of reorganization;

Review and analyze proposed transactions which would require
bankruptcy court approval, as requested from time to time by the
Committee or the debtors;

Assist and advise the Committee and the debtors in negotiations
concerning the terms, conditions and impact of any proposed plan
of reorganization;

Attend and assist at meetings with the Committee and its counsel,
including meetings of the Committee in Executive Session,
representatives of the debtors and other parties in interest;

Analyze the value of the debtors' business and of any security to
be issued as part of any proposed plan of reorganization.

Render expert testimony with respect to the foregoing in the
Bankruptcy Court as may be required;

Assist the Committee and the debtors with such services as may
contribute or are related to the confirmation of a plan of
reorganization and the debtors' reorganization cases.

Blackstone has requested a monthly advisory fee of $150,000 per
month.


STORMEDIA: Confirmation Hearing Set
-----------------------------------
A hearing on the confirmation of the second amended joint plan of
reorganization of Stormedia Incorporated and its debtor
affiliates
is set for February 1, 2000 at 9:30 AM in Courtroom 3099,
Honorable Arthur S. Weissbrodt, 280 South First Street, San Jose,
California.

On December 3, 1999, the court determined that the Disclosure
Statement contained adequate information as required by Section
1125, 11 USC. Objections, if any to the confirmation of the plan
must be served no later than January 21, 2000.


SUN HEALTHCARE: Extension To Assume/Reject Leases
-------------------------------------------------
Judge Walrath granted the Debtors more time to assume or reject
unexpired nonresidential real property and facility leases.  The
new deadline is the earlier of (i) June 10, 2000 and (ii) the
date on which the Court enters an order confriming the Debtors'
reorganization plan.  The Debtors had asked for an October 31,
2000 deadline. (Sun Healthcare Bankruptcy News Issue 8;
Bankruptcy Creditor's Service Inc.)     


VENCOR: Seeking Third Amendment To DIP Credit Agreement
-------------------------------------------------------
The Debtors ask Judge Walrath to approve a third amendment to the
Debtor-in-Possession Credit Agreement.  The Debtors' proposed
amendment would extend until March 12, 2000 their time for filing
a Reorganization Plan satisfactory to the DIP lenders.

The Third Amendment to the DIP Agreement also makes the following
additional changes.

First, the DIP Agreement's list of permitted investments would be
amended to include capital contributions made by the Debtors to
Cornerstone Insurance Company (a Debtors' subsidiary based in the
Cayman Islands), after December 25, 1999, in an aggregate amount
not to exceed $1,000,000.

Second, the DIP Agreement's list of permitted investments would
be amended to include the Debtors' purchase of vehicles and
office furniture and equipment from "an Affiliate" for an
aggregate amount not to exceed $20,000.

Third, each Lender signing the proposed amendment accepts the
substance of the Cash Plan Supplement that the Debtors sent the
Lenders.  The Cash Plan Supplement sets forth a consolidated cash
forecast for the Debtors for January 2000 and February 2000.  
Each Lender signing the proposed amendment also agrees to
supplement the DIP Agreement's Cash Plan with the forecast
contained in the Cash Plan Supplement.

Fourth, the Debtors will pay the DIP Agent a $200,000 amendment
fee.  


VIDIKRON: Applies to Employ of Appraiser to Trustee
---------------------------------------------------
Stacey L. Meisel, Trustee in the matter of Vidikron Technologies,
Group, Inc. asks the court to approve retention of the firm A.
Atkins Appraisal Corp. to act as appraiser for any and all
equipment, inventory and personalty of the debtor.


VOICE IT WORLDWIDE: Creditors Committee Recommends Plan
-------------------------------------------------------
The Official Unsecured Creditors Committee in the case of Voice
It Worldwide, Inc. recommends to the unsecured creditors to vote
in favor of the Joint Plan of Liquidation.

The hearing to consider the adequacy of and approval of the
Disclosure Statement filed December 30, 1999 will be held in
Courtroom B, US Bankruptcy Court, US Customs House, 721-19th
Street, Denver, Colorado, on January 19, 2000 at 9:00 AM.


WESTSTAR CINEMAS: Seeks First Extension of Exclusivity
------------------------------------------------------
The debtors, WestStar Cinemas, Inc., and its affiliates seek an
extension through and including May 15, 2000 of the time within
which the debtors maintain the exclusive right to file a plan of
reorganization and extending through and including July 14, 2000
the time within which the debtors maintain the exclusive right to
solicit acceptances for any plan filed on or prior to May 15,
2000.

Despite a great deal of activity in theses cases, including a
proposed sale, the debtors have not yet prepared a plan or even
had meaningful substantive discussions with the Committee
regarding the nature of such a plan. Given the pressing and time-
consuming nature of the sale process and related matters, it is
not realistic or feasible to expect that the debtors could have
done so by this stage of the cases.  The debtors assert that so
long as the sale is consummated in January 2000, it is reasonably
likely that they will be able to negotiate and develop a
consensual plan within the extended exclusivity period requested
by the motion.  By such time, the Bar Date will have occurred and
the nature of the claims and interests against the estates will
be made clearer and the nature of CIBC's asserted security
interests possibly will have been resolved or determined by the
court.


BOND PRICING: For Week of January 3, 2000
=========================================
DLS Capital Partners, Inc., bond pricing for week of January 3,
1999
Following are indicated prices for selected issues:

Acme Metal 10 7/8 '07                      10 - 12 (f)
Asia Pulp & Paper 11 3/4 '05               84 - 85
E & S Holdings 10 3/8 '06                  34 - 37
Fruit of the Loom 8 7/8 '06                 6 - 8 (f)
Genesis Health 9 3/4 '05                   40 - 42
Geneva Steel 11 1/8 '01                    11 - 13 (f)
Globalstar 11 1/4 '04                      72 - 74
Hechinger 9.45 '12                         10 - 12 (f)
Integrated Health 9.45 '12                  8 - 10 (f)
Iridium 14 '05                              5 - 6 (f)
Loewen 7.20 '03                            49 - 50 (f)
Pathmark 11 5/8 '02                        43 - 46
Pillowtex 10 '06                           45 - 48
Revlon 8 5/8 '08                           49 - 50
Rite Aid 6.70 '01                          85 - 87
Sunbeam 0 '18                              15 - 16
TWA 11 3/8 '06                             41 - 44
United Artists 9 3/4 '08                   15 - 18
Vencor 9 7/8 '08                           20 - 22


                     *********


A listing of Meetings, Conferences and Seminars appears each
Tuesday in the TCR.

Bond pricing, appearing each Friday, is supplied by DLS Capital
Partners, Dallas, Texas.

                     *********

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 is a daily newsletter, co-published
by Bankruptcy Creditors' Service, Inc., Trenton, NJ, and Beard
Group, Inc., Washington, DC.  Debra Brennan, Yvonne L. Metzler,
Edem Alfeche and Ronald Ladia, Editors.

Copyright 2000.  All rights reserved.  ISSN 1520-9474.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without
prior written permission of the publishers.  Information
contained herein is obtained from sources believed to be
reliable, but is not guaranteed.

The TCR subscription rate is $575 for six months delivered via
e-mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance thereof
are $25 each.  For subscription information, contact Christopher
Beard at 301/951-6400.


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