TCR_Public/000210.MBX     T R O U B L E D   C O M P A N Y   R E P O R T E R

        Thursday, February 10, 2000, Vol. 4, No. 29
  
                          
                  Headlines

CHRONICLE COMMUNICATIONS: Announces Sub's Conversion to Chapter 7
CRIIMI MAE: Announces Conversions of Stock
DECISIONONE HOLDINGS: Changes Fiscal Year
FIRSTCITY FINANCIAL: Announces Earnings For Quarter
FIRSTPLUS FINANCIAL: Committee Submits Findings and Conclusions

GRAHAM-FIELD: Seeks Approval of Employment Agreements
HARNISCHFEGER: Metso's Offer for Beloit Accepted
INTEGRATED HEALTH: Meeting Of Creditors Set For February 15
LACLEDE STEEL: Interim Extension of Exclusivity
LAMONTS APPAREL: Extension of Time To Assume/Reject Leases

NEUROMEDICAL SYSTEMS: Brief in Support of Plan
NIAGARA MOHAWK HOLDINGS: Financial Results For 1999
NIKE: Anticipates Disappointing Earnings Because of Bankruptcies
OPTEL INC: Commencement of Cases - Meeting of Creditors
PHYSICIAN COMPUTER: Order Approves Disclosure Statement

PLANET HOLLYWOOD: Seeks Approval of Term Loan
ROYAL OAK MINES: Charges To Be Dismissed
SINGER: Seeks Court OK to License Trademark to Sears
TANNER'S: RTI Acquires Operating Assets of Subsidiaries
TRANSTEXAS GAS: TransAmerican Announces Distribution Record Date

UMPQUA VALLEY: Winery Asks for Bankruptcy Protection
UNITEL VIDEO: Grant Thornton Declines To Undertake Audit
XCL LTD: Will Not Appeal De-Listing From Stock Exchange

                  *********

CHRONICLE COMMUNICATIONS: Announces Sub's Conversion to Chapter 7
-----------------------------------------------------------------
Chronicle Communications, Inc., (OTCBB:CRNC),
(http://www.chronicleinc.com)announced Tuesday that the Chapter  
11 bankruptcy proceeding of its subsidiary, Bright Now, Inc.,
("BR") was converted to a Chapter 7 liquidation proceeding on
February 7 and BR's commercial printing business was terminated
at the close of business that day. Substantially all of the debt
on Chronicle's consolidated balance sheet at 1999 year end and
the first quarter of 2000 is from its BR subsidiary. Chronicle
intends to divest itself of BR to remove its debts of
approximately $1,631,341 from Chronicle's consolidated balance
sheet for the second quarter ending at March 31, 2000.

Chronicle intends to remain in the commercial printing business
through its newly formed subsidiary, Chronicle Commercial
Printing, Inc. ("CCP"). CCP has received shipment of a new FAST-
300 press which is now being installed in Chronicle's new
facility located in the prestigious Sable Industrial Park in
Tampa, Florida. Chronicle expects the new press to be fully
operational by February 22, 2000. The new press, coupled with an
aggressive marketing program, should enable Chronicle to triple
production, as well as significantly reduce paper waste.
Chronicle expects many of BR's commercial printing customers to
select CCP as their new commercial printer, although there is no
assurance any will do so. In addition to serving local customers,
CCP will print high quality catalogs for Chronicle's AmeriComp
Computers, Inc. subsidiary.


CRIIMI MAE: Announces Conversions of Stock
------------------------------------------
CRIIMI MAE Inc. (NYSE: CMM) announced that during the second and
final conversion period for its Series F Dividend Preferred Stock
(January 21 through February 3, 2000) 263,788 additional shares
of Series F Dividend Preferred Stock were converted, resulting in
the issuance of 2,396,566 shares of the Company's common stock.
CRIIMI MAE issued a total of 1,606,595 shares of Series F
Dividend Preferred Stock on November 5, 1999 for the purpose of
distributing approximately $15.7 million in undistributed 1998
taxable income.   After giving effect to the conversion of
263,788 shares of Series F Dividend Preferred Stock during the
second conversion period, there are 586,354 shares of Series F
Dividend Preferred Stock and 62,353,170 shares of common stock
issued and outstanding.
    
Series F Dividend Preferred Stockholders have no right to convert
their Series F Dividend Preferred Stock into shares of common
stock after February 3, 2000.

On October 5, 1998, the Company and two affiliates filed for
protection under Chapter 11 of the U.S. Bankruptcy Code.  Before
filing for reorganization, the Company had been actively involved
in acquiring, originating, securitizing and servicing multi-
family and commercial mortgages and mortgage related assets
throughout the United States.  Since filing for Chapter 11
protection, CRIIMI MAE has suspended its loan origination, loan
securitization and CMBS acquisition businesses.  The Company
continues to hold a substantial portfolio of subordinated CMBS
and, through its servicing affiliate, acts as a servicer for
its own as well as third party securitizations.
    
More information on CRIIMI MAE is available on its web site --
www.criimimaeinc.com -- or for investors, call Susan Railey, 301-
468-3120, for institutional investors, call Andy Blocher 301-231-
0371 or for news media, call Jim Pastore, 202-546-6451.


DECISIONONE HOLDINGS: Changes Fiscal Year
-----------------------------------------
On January 26, 2000, DecisionOne Holdings Corp. and DecisionOne
Corporation each made a determination to change its fiscal year
end from June 30 to December 31, effective December 31, 1999. The
companies had previously determined to change their fiscal years
in November 1998, but delayed implementation because of the
operational restructuring which commenced in January 1999.


FIRSTCITY FINANCIAL: Announces Earnings For Quarter
---------------------------------------------------
FirstCity Financial Corporation (Nasdaq: FCFC) today announced
earnings for the quarter ended December 31, 1999 of $1.2 million.  
After accrued dividends on the Company's preferred stock, net
earnings to common shareholders were $.5 million or $.06 per
share on a diluted basis.

For the year ended December 31, 1999 the Company reported a net
loss to common shareholders of $110.7 million or $13.33 per share
on a diluted basis.

James T. Sartain, President of FirstCity said, "During the fourth
quarter we made significant strides toward restoring the
liquidity and viability of the Company by shoring up the funding
base.  With the discontinuation of our unprofitable business line
behind us, we enter the year with two profitable business lines -
- asset acquisition and auto lending."


FIRSTPLUS FINANCIAL: Committee Submits Findings and Conclusions
---------------------------------------------------------------
The Official Unsecured Creditors Committee of FirstPlus Financial
, Inc. submits these proposed Findings of Fact and Conclusions of
Law regarding a hearing on the debtor's Disclosure Statement.

The Committee lists the six objections to the November Disclosure
Statement and provides the status of each objection.  The debtor
stated at the Disclosure statement hearing that all objections
were resolved.

The Committee states that the plan contemplates that the
Residuals, the primary assets of the estate will be held by the
debtor after confirmation and the cash flow of same paid to
secured and unsecured creditors under the plan.  To facilitate
this, the debtor ahs negotiated agreements with certain secured
creditors to restructure the payments on their claims to allow
the cash flow of the Residuals to pay out such claims, thereby
preserving the equity for unsecured creditors.

The Committee lists the discovery and investigation prior to the
Disclosure Statement Hearing regarding a settlement with
insiders.

The plan contemplates a settlement between various parties, and
the Committee details the components of the Insider-Crediotr
Settlement, the Insider-Debtor settlement and the joint Creditor
Methodology.


GRAHAM-FIELD: Seeks Approval of Employment Agreements
-----------------------------------------------------
Graham-Field Health Products, Inc. seeks approval of employment
agreements with David Hilton, President and CEO and Thomas J.
Opladen, member of Board of Directors.

Hilton's employment agreement provides for a base salary of
$50,000 per month plus a signing bonus of $15,000.  Hilton is
eligible for an incentive bonus and will receive an automobile
budget.  Opladen will receive $35,000 per month and reimbursement
of expenses.


HARNISCHFEGER: Metso's Offer for Beloit Accepted
------------------------------------------------
The offer by Metso Corporation's (NYSE: MX) (Helsinki: MEO) fiber
and paper technology business area, Valmet, to purchase certain
assets of the American paper machine manufacturer, Beloit, has
been approved also by the Bankruptcy Court.  The decision will be
final after 11 days assuming no appeal is filed. The offer
included Beloit's roll cover division, paper machine aftermarket
business assets and the related paper machine technology.  The
auction price of the businesses offered was USD 160 million.

This acquisition strengthens Metso's position on the maintenance
and upgrading market, which is growing faster than the investment
market for new machinery and plants.  Metso's growth in this area
is supported by its new customer service concept Future Care.  
Beloit's current installed machinery base provides a strong
platform for growth especially on the North American market.

Metso's offer was approved by the Creditor's Committee under
Beloit owner, Harnischfeger's Chapter 11 process in January.  The
deal also requires the approval of the competition authorities.  
This process is estimated to be completed during the coming few
months.

The businesses in question employ about 800 people in 6 service
centers with roll covering capabilities in the USA and France.

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 which is a global
supplier of process industry machinery and systems, was created
through the merger of Rauma and Valmet Corporation on July 1,
1999.  In addition to fiber and paper technology, Metso's
business areas are 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.


INTEGRATED HEALTH: Meeting Of Creditors Set For February 15
-----------------------------------------------------------
The United States Trustee for Region III has scheduled an
organizational meeting for the purpose of forming one or more
official committees of the Debtors' creditors.  That meeting will
be held in Wilmington, at the Wyndham Hotel, located at 700 King
Street, at 2:00 p.m. on Tuesday, February 15, 2000.  John "Jack"
McLaughlin, Esq., is the attorney for the U.S. Trustee in charge
of Integrated's chapter 11 cases.  Contact the Office of the U.S.
Trustee at 215-597-4411 for additional details.


LACLEDE STEEL: Interim Extension of Exclusivity
-----------------------------------------------
On January 27, 2000, the Official Creditors' Committee, United
Steelworkers Association and the debtors filed a joint motion for
entry of an ex parte order extending the exclusive period to file
a plan of reorganization and obtain acceptances thereof  on an
interim bases through February 15, 2000 and order to show cause
why exclusive period should not be extended through March 31,
2000 - and the acceptance period through and including May 31,
2000.

The Court entered an order on January 28, 2000 granting the
request to extend the exclusive period on an interim basis to
February 15, 2000.  The order provides that any creditor who
objects to the entry of an order granting the extension shall
have until February 11, 2000 to file such objection with the
court.  A hearing will be held on February 15, 2000 at 11:00 AM.


LAMONTS APPAREL: Extension of Time To Assume/Reject Leases
----------------------------------------------------------
The debtor, Lamonts Apparel, Inc. seeks an extension of the time
period within which the debtor may assume or reject its real
property leases to and including June 30, 2000.  The debtor
states that it is too premature to either accept or reject the
leases, and without the extension the debtors may be burdened by
expenses of the leases.


NEUROMEDICAL SYSTEMS: Brief in Support of Plan
----------------------------------------------
The debtor, Neuromedical Systems, Inc. submits a brief in support
of entry of an order confirming the debtor's first amended plan
of liquidation.  Because the plan contains nondebtor releases  
the debtor supplements the plan with this brief.  The releases in
this plan were the subject of extensive negotiations among the
debtor, the committee and the SEC.  The equity holder releases of
14 key employees free individuals who according to the debtor
played a significant and central role in the liquidation process
from claims and causes of action arising from their liquidation
activities.  


NIAGARA MOHAWK HOLDINGS: Financial Results For 1999
---------------------------------------------------
Niagara Mohawk Holdings Inc. in its financial results for 1999
reports the company continued to improve its financial stability.
It was also a year that saw Niagara Mohawk Power Corp. make
progress toward its goal of becoming an energy delivery company,
by completing the sale of its hydroelectric generating plants and
the sale of most of its fossil-fueled generating stations.  
Niagara Mohawk Holdings Inc. is the parent company of
Niagara Mohawk Power Corp., a regulated energy delivery company.

Last year marked the first full year of the Master Restructuring
Agreement with a group of Independent Power Producers, and the
PowerChoice regulatory agreement.  Although earnings were
depressed as a result of the non-cash charges related to the MRA,
the company's cash flow improved significantly in 1999.  Earnings
before interest, taxes, depreciation and amortization (EBITDA)
for the year ended December 31, 1999, were $1.26 billion, an
increase of approximately $270 million compared to the year ended
December 31, 1998.  The improvement in EBITDA is due primarily to
a reduction in payments to IPPs. Cash flow before debt service
increased to $488 million in 1999 from $311 million in 1998.  
Cash flow is defined as EBITDA, less capital expenditures, cash
interest and cash taxes.

During 1999, Niagara Mohawk received approximately $860 million
from the sale of its hydroelectric and fossil-fueled generating
assets.  These proceeds, together with the increased cash flow
and Federal income tax refunds of $135 million, enabled the
company to retire over $1.1 billion in debt and repurchase 10
million shares of its common stock in 1999.  "We remain committed
to our strategy of retiring capital and rebuilding
shareholder value," said William E. Davis, chairman and chief
executive officer of Niagara Mohawk Holdings.

The company reported a 1999 loss of $35.1 million, or a loss of
19 cents per share, which includes a 13 cent per share
extraordinary charge related to the early retirement of debt,
compared to a 1998 loss of $157.4 million, or a loss of 95 cents
per share.  Niagara Mohawk's lower purchased power costs,
partially offset by increased interest charges, improved earnings
by $108.0 million, or 58 cents per share, for the year ended
December 31, 1999.  This improvement was offset by the
incremental non-cash amortization of the MRA regulatory asset of
$167.5 million, or 90 cents per share.  Additionally, earnings in
1999 were reduced by $23.8 million, or 13 cents per share,
because of costs related to the implementation of a new customer
service system, and by $21.0 million, or 11 cents per share,
because of higher bad debt expense.  In 1998 the company recorded
a one-time, non-cash charge to earnings of $171.1 million, or
$1.03 per share related to the MRA and PowerChoice.  Earnings in
1998 were also lower due to the incremental costs of a January
ice storm and a Labor Day windstorm, reducing earnings by
approximately $40.4 million, or 24 cents per share, and $10.2
million, or 6 cents per share, respectively.

In connection with the sale of its generating assets in 1999,
Niagara Mohawk entered into agreements with the new owners to
purchase power from these facilities.  The cost to purchase this
power was largely offset by reductions in fuel for electric
generation, operating and maintenance expenses, property taxes,
and depreciation expense.

The company reported a fourth-quarter 1999 loss of $18.2 million,
or a loss of 10 cents per share, compared to a fourth-quarter
1998 loss of $26.5 million, or a loss of 14 cents per share.  
Results for the fourth quarter of 1999 were improved over last
year's fourth quarter primarily due to lower interest charges
resulting from the company's debt reduction efforts.  The non-
cash amortization of the MRA regulatory asset reduced earnings in
both the fourth quarter of 1999 and the fourth quarter of 1998,
by $62.8 million, or 34 cents per share.

Niagara Mohawk's electric revenues for 1999 were $3.2 billion,
down slightly from 1998.  Electric revenues for the fourth
quarter of 1999 were up 5.5 percent compared to the same period
last year.  Retail sales of electricity increased 2.7 percent and
2.2 percent for the year and for the fourth quarter of 1999,
respectively, as compared to the same periods in
1998.

Niagara Mohawk's natural gas revenues for 1999 were $579.6
million, up 2.5 percent from 1998.  Fourth-quarter 1999 natural
gas revenues were up 4.3 percent, compared to the same period
last year.  Retail sales of natural gas for the year and for the
fourth quarter of 1999 increased 5.5 percent and 0.2 percent,
respectively, compared to the same periods in 1998.  Total
gas deliveries, which includes the transportation of customer-
owned gas, were up 5.2 percent for 1999, and up 23.7 percent in
the fourth quarter of 1999.


NIKE: Anticipates Disappointing Earnings Because of Bankruptcies
-----------------------------------------------------------------
Beaverton, Ore.-based Nike Inc. saw its shares drop 19 percent
yesterday after the company warned that its results would not
meet Wall Street estimates because of the financial problems of
some of the industry's leading retailers, according to Reuters.
Nike forecast at least a 20 percent rise in earnings per share
for the 12 months ending May 31, but profits could fall below the
current First Call/Thomsen Financial consensus estimate of $2.08
a share, since Venator Group Inc.'s Foot Locker and Just For Feet
are both closing unprofitable stores while operating under
chapter 11 protection. Prior to cutting its orders to Just for
Feet, the retailer was ordering $70 to $80 million of merchandise
from Nike. (ABI 09-Feb-00)


OPTEL INC: Commencement of Cases - Meeting of Creditors
-------------------------------------------------------
On October 28, 1999, OpTel, Inc. filed voluntary petitions for
relief under Chapter 11.A meeting of creditors is scheduled to
take place on February 18, 2000 at 11:00 AM at the J. Caleb Boggs
Federal Building, 844 King Street, Room 2313, Wilmington,
Delaware 19801.


PHYSICIAN COMPUTER: Order Approves Disclosure Statement
-------------------------------------------------------
On January 27, 2000, the US Bankruptcy Court for the District of
New Jersey entered an order approving the Disclosure Statement of
Physician Computer Network, Inc.  The hearing to consider
confirmation of the plan will be held on March 15, 2000 at 10:00
AM.

Treatment of Classes Under the Plan:

Class 1 - Priority Claims
Class 2 - Allowed Bank Debt - Impaired
Class 3 - Secured Claims
Class 4 - General Unsecured Claims - Impaired
Class 5 - Preferred Stock Interests - Impaired
Class 6 - Class Action Members - Impaired
Class 7A - Statutorily Subordinated Claims - Impaired
Class 7B - Equity Interests in PCN - Impaired
Class 8 - Option Claims - Impaired


PLANET HOLLYWOOD: Seeks Approval of Term Loan
---------------------------------------------
The debtor, Planet Hollywood International, Inc. and certain of
its subsidiaries seek entry of an order approving the Commitment
Letter with the lender Bay Harbour Managemnt LC or its affiliates
to provide a term loan to the debtors upon their emergence from
Chapter 11 and granting the debtors authority to pay fees in
connection with the loan.

A "Bridge Loan" of $25 million is necessary due to the sale of a
hotel development project at 1567 Broadway in Times Square, New
York City.  It is not expected to close until several months
after the projected Effective Date of the Plan.  The debtors have
obtained a commitment letter from Bay Harbour to provide the
debtors with up to $22 million senior secured Term Loan. A
commitment fee of $625,000 plus an origination fee of $5 million
are due under the terms of the loan.  The debtor also grants the
lender 3.5% of all shares of New Common Stock.  This bridge loan
is in excess of the exit financing of $15 million proposed by CIT
Group/Business Credit, Inc. and Rothschild Recovery Fund.


ROYAL OAK MINES: Charges To Be Dismissed
----------------------------------------
Claims against six former officers of Royal Oak Mines to be
dismissed - no evidence of misconduct in directing the affairs of
Royal Oak Mines

Margaret Witte, former President and CEO of Royal mOak Mines
Inc., today released the following statement on behalf of all
former directors and certain officers of the company:

An agreement in principle was reached on January 7, 2000 for a
comprehensive settlement of issues between all former directors
and certain officers of Royal Oak Mines Inc. and Royal Oak Mines
Inc., PricewaterhouseCoopers Inc., its bankruptcy trustee, Trilon
Financial Corporation and the Chapter 11 estate of Arctic
Precious Metals, Inc., subsidiary of Royal Oak Mines. The
agreement is subject to documentation and final approvals.

I am pleased that the Report of the Trustee concludes that Royal
Oak Mines' insolvency was the result of low metal prices and
other economic factors that were beyond management's control.
In its report filed with the Superior Court of Justice (Ontario,
Canada) in connection with a January 4, 2000 hearing,
PricewaterhouseCoopers outlined the economic factors that caused
the insolvency of Royal Oak Mines. This report concluded that the
conduct of Royal Oak Mines (directed by the former officers and
directors) cannot be criticized and did not cause the insolvency.

In addition to settlement of claims involving Royal Oak Mines,
all claims by its subsidiary Arctic Precious Metals against the
former executives of Royal Oak Mines, including Margaret Witte,
Edmund Szol, John Smrke, Ross Burns, Graham Eacott and William
Sheridan, will be dismissed.


SINGER: Seeks Court OK to License Trademark to Sears
----------------------------------------------------
Singer Co. (SEW) is seeking court approval to enter into a
trademark license agreement with Sears Roebuck and Co. Under the
agreement, Sears would be permitted to use the Singer trademark
on products manufactured by Sears or on its behalf. Sears, which
would receive an exclusive license to use the trademark on two
sewing machine models in the U.S. and Canada, "has agreed that
the quality of any products bearing the trademark that are
manufactured by Sears or on Sears' behalf must be as high as or
higher than the quality of products manufactured  by the
debtors."  (The Daily Bankruptcy Review and ABI Copyright c
February 9, 2000.


TANNER'S: RTI Acquires Operating Assets of Subsidiaries
-----------------------------------------------------------------
Restaurant Teams International, Inc. (OTC BB:RTIN), has acquired
substantially all of the operating assets of the chapter 11
subsidiaries of Tanner's Restaurant Group, Inc. RTIN has
completed the sale process, which was approved by the US
Bankruptcy Court in Atlanta Tuesday February 8, 2000.

Curtis A. Swanson, Chief Financial Officer Stated, "I am pleased
that we have successfully completed the acquisition of Tanner's
so quickly. This all cash purchase, will maximize the projected
$9 million in additional revenues for the year 2000, with an
estimated$1.2 million in EBITDA which we expect to impact
earnings by $0.10 cents per share."

Restaurant Teams International, Inc. is a public holding company
whose stock trades on the fully reporting NASDAQ OTC BB.


TRANSTEXAS GAS: TransAmerican Announces Distribution Record Date
-----------------------------------------------------------------
TransAmerican Energy announces a distribution record date of 5:00
PM on February 15, 2000 has been established in connection with
distributions pursuant to the Plan of Reorganization of
TransTexas Gas Corporation. Holders of TransAmerican Energy
Corporation Senior Secured Notes as of the Distribution Record
Date will be entitled to receive distributions under the
TransTexas Gas Corporation Plan of Reorganization which was
confirmed by the Bankruptcy Court on February 7, 2000.

The hearing in the U.S. Bankruptcy Court, Southern District of
Texas, Corpus Christi Division on confirmation of the Plans of
Liquidation of TEC and its subsidiary TARC, are continuing.


UMPQUA VALLEY: Winery Asks for Bankruptcy Protection
----------------------------------------------------
A winery that owes millions of dollars to bottlers, distributors,
cork suppliers and others has filed for bankruptcy protection in
federal court.

Roseburg-based Umpqua Valley Winery, which produces Callahan
Ridge wines, filed for Chapter 11 reorganization on Jan. 20.
The winery estimates that it has assets of $500,000 to $1 million
and debts of $1 million to $10 million and owes an estimated 50
to 99 creditors.

Washington Mutual Inc., doing business as Western Bank, filed a
lawsuit in Douglas County Circuit Court against the winery and
winery President Mary Sykes, said Kenneth Boyd, a Medford
attorney representing Sykes. The bank sought to foreclose on the
winery's land and equipment.
   
An official at Washington Mutual confirmed that the lawsuit had
been filed, but declined to discuss specifics.  Sykes'
predicament illustrates the challenges of running a small- to
mid-size winery that is strapped for cash.

Callahan Ridge ranks 22nd in the state in terms of wine sales,
according to the Oregon Liquor Control Commission. Callahan Ridge
sold 20,739 gallons of wine for the 11 months ended in November
1999.   Sykes said she hopes to negotiate new terms on the
winery's loan.

The wine is currently stored in tanks, and is being bottled when
the winery has enough money for bottles, corks and other
materials, Sykes said.   Umpqua Valley Winery got into financial
trouble because a contract with one of the winery's growers,
Sykes said. The contract stated that the winery would buy the
entire crop of the grower, Sykes said.

The winery had to borrow money in early 1998 after the grower
produced more than it had in previous years, she said.


UNITEL VIDEO: Grant Thornton Declines To Undertake Audit
--------------------------------------------------------
On January 31, 2000, Grant Thornton LLP, Unitel Video, Inc.'s
independent public accountant, informed the company that it has
declined to undertake an audit of the company's financial
statements for the fiscal year ended August 31, 1999. Neither the
audit committee of the Board of Directors nor the Board of
Directors of the company recommended or approved a decision to
change the company's accountants.

Unitel Video states that Grant Thornton's report on the financial
statements of the company for each of the two fiscal years of the
company ended August 31, 1997 and August 31, 1998, the last two
fiscal years for which Grant Thornton audited the company's
financial statements, did not contain an adverse opinion or a
disclaimer of opinion, nor was either such report qualified or
modified as to uncertainty, audit scope, or accounting
principles. Furthermore, according to Unitel, during the
company's two most recent fiscal years, and the interim periods
preceding Grant Thornton's notice of declination to audit the
company's financial statements for the fiscal year ended August
31, 1999, there were no disagreements with Grant Thornton on any
matter of accounting principles or practices, financial statement
disclosure, or auditing scope or procedure, which, if not
resolved to the satisfaction of Grant Thornton, would have caused
Grant Thornton to make reference to the subject matter of the
disagreement(s) in connection with its report on the financial
statements of the company.


XCL LTD: Will Not Appeal De-Listing From Stock Exchange
-------------------------------------------------------
On February 2, 2000, XCL Ltd announced it would not appeal the
American Stock Exchange's decision to delist and will consent to
the removal of its common stock from the Exchange.  This action
became necessary because the company no longer fully satisfies
all the guidelines of the Exchange for continued listing.  The
Exchange has advised that the last day for the company's listing
will be the close of business on Thursday, February 10, 2000.

Concurrently, the company's common stock will be delisted from
the London Stock Exchange Limited.

Further, the company announced that it has taken steps to qualify
its common stock for trading on the OTC Bulletin Board.  XCL will
make an announcement when trading resumes on the Bulletin Board.


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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.

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