TCR_Public/000517.MBX T R O U B L E D   C O M P A N Y   R E P O R T E R

    Wednesday, May 17, 2000, Vol. 4, No. 97

                     Headlines

AMERICAN PAD AND PAPER: Reports First Quarter Results
BARNEYS: Reports Operating Results for the Fourth Quarter
BOBBY ALLISON: Annual Meeting of Shareholders Set for June 5
BOSTON CHICKEN: Equity Joins In Objection To Sale
CASMYN CORP: Shareholders Report Holdings to SEC

CHO HUNG BANK: Cerberus Partners to invest $500M
COLONIAL DOWNS HOLDINGS: Reports First Quarter Financials
COHO ENERGY: Announces Financial Results for First Quarter 2000
DAEWOO SECURITIES CO.: KDB to take over at W500Bil
GENEVA STEEL: Announces Second Quarter 2000 Results

GLOBAL HEALTH SCIENCES: Sales Increase; Net Loss Decreases
GREATE BAY: Reports First Quarter Results
HOMELAND HOLDING: Net Sales Increase $12.9 Million
IMPERIAL HOME: Bar Date For Filing Proofs of Claim
MEDICAL RESOURCES: Reports First Quarter 2000 Results

KOMAG: Net Sales Decrease To $79.6 Million In First Quarter
LESLIE FAY: Reports First Quarter 2000 Results
LEVI STRAUSS: Shows $4.9 Billion in Liabilities
LL KNICKERBOCKER: Reports First Quarter Results
MARUBENI CORP.: Takes aim at source of woes

MATTHEWS STUDIO: Reports Lower Quarterly Consolidated Revenue
NATIONAL ENERGY GROUP: First Quarter Results; Agreement For Plan
NISSAN MOTORS: Expects loss for 1999;make-or-break year
NUTRAMAX: Class Action Against Former Officers
PARACELSUS HEALTHCARE: Reports First Quarter 2000 Financials

QUADRAX: Delay In Completion of Quarterly Report
SCHEIN PHARMACEUTICAL: Served With CID
SOUTHERN MINERAL: Reports First Quarter 2000 Results
SUNTERRA CORP: Loss for First Quarter of 2000; Liquidity Warning
THERMATRIX: Court Approves Agreement With Dow Chemical

TURBODYNE TECHNOLOGIES: Reports Financial Results For Quarter
VISIONAMERICA: Class Action filed; "Going Concern" Opinion Likely
WESTMORELAND COAL: First Quarter Positive Cash Flow

                     *********

AMERICAN PAD AND PAPER: Reports First Quarter Results
-----------------------------------------------------
American Pad & Paper Company (OTCBB:AMPPQ) (AP&P) today reported
financial results for the first quarter ended March 31, 2000.

For the first quarter ended March 31, 2000, the Company reported
a net loss of $28.3 million, or $0.99 per share, on net sales of
$135.7 million. These results include bankruptcy-related items of
$4.4 million, which negatively impacted first quarter performance
by $0.15 per share. Comparable first quarter results in 1999 were
a net loss of$12.8 million, or $0.46 per share, on net sales of
$137.6 million.

The Company has been operating in Chapter 11 since January 10,
2000 and has a $65 million debtor-in-possession (DIP) financing
facility in place from its existing bank group to provide
liquidity for day-to-day operations. The Company is currently
pursuing a number of strategic and financial alternatives to
reduce its outstanding debt including the sale of its major
business units. On May 9, 2000 the Company completed the sale of
its Chicago-based Creative Card division to Taylor Corporation.
The sale process for the Williamhouse division is moving forward
while potential buyers continue to look at both the AMPAD and
Forms divisions as possible acquisition candidates. AP&P's goal
in this asset sale process is to maximize the value of the
Company for all stakeholders and to reduce outstanding debt.

The Over the Counter Bulletin Board (OTCBB) has changed the
Company's stock symbol from AMPP to AMPPQ, the addition of the
letter "Q" to the symbol indicates the Company is currently
operating in bankruptcy.

American Pad & Paper Co., which invented the legal pad in 1888,
is a leading manufacturer and marketer of paper-based office
products in North America.


BARNEYS: Reports Operating Results for the Fourth Quarter
---------------------------------------------------------
Barneys New York, Inc. announced that sales for the fourth
quarter ended January 29, 2000 increased 13.4% to $102.1 million
from $90.0 million for the quarter ended January 30, 1999.
Comparable store sales increased 16.3%. Earnings before interest,
taxes, depreciation and amortization (EBITDA) improved $3.6
million to $11.2 million in the fourth quarter of 1999 from $7.6
million for the same period a year ago; an increase of 47.8%.

For the year ended January 29, 2000, net sales increased 6.4% to
$366.8 million from $344.8 million for the twelve months ended
January 30, 1999. Comparable store sales increased 9.0% for the
period.  EBITDA improved $7.8 million to $25.4 million for the
year ended January 29, 2000 from $17.6 million for the same
period a year ago; an increase of 44.0%.

Net income and earnings per share for the fourth quarter of 1999
were $3.3 million and $0.25, respectively.  Net loss and loss per
share for the year ended January 29, 2000 was $5.3 million and
$0.42, respectively.  Net income for the comparable periods last
year was $277.5 million and $261.7 million, respectively,
including an extraordinary gain on discharge of debt of $285.9
million in connection with the emergence from bankruptcy
proceedings.

Allen Questrom, Chairman, President and Chief Executive Officer,
stated, "We are extremely pleased with concluding the year on
such a positive note from both a sales and earnings perspective.  
For the fall season, total comp sales grew 13.8%, fueled by
double digit increases in both our full-price and outlet store
formats.  There was strong performance in merchandising areas
across the board which continued into the first quarter."  On a
final note, Mr. Questrom added, "We are particularly excited
about the opening of our first free-standing CO-OP store on West
18th Street in New York City this past weekend."

Barneys New York is a luxury retailer with flagship stores in New
York City, Beverly Hills, and Chicago. The Company, which has
1,400 employees, also operates five regional full price stores, 8
outlet stores, 2 semi-annual warehouse sale events in New York
City and Los Angeles, an administrative and distribution center
in Lyndhurst, New Jersey and corporate offices in New York
City.


BOBBY ALLISON: Annual Meeting of Shareholders Set for June 5
------------------------------------------------------------
The annual meeting of shareholders of Bobby Allison Wireless
Corporation, a Florida corporation, will be held at the newly to
be opened corporate headquarters of the company at 1200 Starkey
Road, Suite 105, Tampa, Florida, on Monday, June 5, 2000, at
10:00 a.m. EDT.

At the annual meeting shareholders will consider and act upon the
following matters:

1. The election by the holders of the common stock of the
company of two directors, each director to hold office until his
successor is duly elected and qualified;

2. The election by the holders of Series B Preferred Stock
of the company of one director to hold office until his successor
is duly elected and qualified;

3. The proposal to ratify the appointment of BDO Seidman LLP
as independent auditors for the company for the year ending
December 31, 2000; and

4. The transaction of such other business as properly comes
before the meeting.

The Board of Directors has fixed the close of business on May 5,
2000, as the record date for the determination of shareholders
entitled to vote at the annual meeting.


BOSTON CHICKEN: Equity Joins In Objection To Sale
-------------------------------------------------
BCD News and Comment reports on May 10, 2000 that The Joint
Committee of Equity Holders in the Boston Chicken Chapter 11 has
joined the Official Committee of Unsecured Creditors in objecting
in the sale of Boston Chicken to McDonalds.

"The value of the debtor's assets as a going concern appears to
be increasing," said committee member and authorized
representative Neal Nelson in a Feb. 17th motion.  "Therefore a
sale of all of the company's assets at this low price is not in
the best interests of any parties other than certain secured
banks."

Nelson is the Illinois computer programmer behind the
independent Web site www.chicken-stock.com, who was recently
appointed to the Equity Committee. He filed the motion pro se.

  
CASMYN CORP: Shareholders Report Holdings to SEC
------------------------------------------------
Elliott Associates, L.P. beneficially owns 1,293,232 shares of
the common stock of Casmyn Corporation, exercising sole voting
and dispositive power over the shares, which represent 31.2% of
the outstanding shares of common stock of Casmyn.

Westgate International, L.P. and Elliott International Capital
Advisors, Inc. share voting and dispositive power over 1,266,264
such shares, which represent 30.6% of the outstanding shares of
common stock of the company.  Elliott International Capital
Advisors, Inc.

Elliott Associates, L.P., is a Delaware limited partnership, and
its wholly-owned subsidiaries, Westgate International, L.P., a
Cayman Islands limited partnership and Elliott International
Capital Advisors, Inc., a Delaware corporation, which was
formerly known as Martley International, Inc.

Elliott and Westgate acquired the common stock beneficially owned
by it in the ordinary course of its trade or business of
purchasing, selling, trading and investing in securities.  
International Advisors has acted as investment manager with
respect to Westgate's acquisition of beneficial ownership of
common stock.


CHO HUNG BANK: Cerberus Partners to invest $500M
------------------------------------------------
Cerberus Partners LP, a U.S.fund specializing in buying
distressed assets, will invest $500 million in Cho Hung
Bank and set up a distressed asset management company with
the Korean commercial bank.

The two companies agreed to an equal ownership in the
proposed joint venture company, which will purchase and
manage 1.5 trillion won ($1.4 billion) of distressed assets
from Cho Hung, the Korean bank said in a statement.

The U.S. fund also will buy $500 million worth of shares in
the Korean bank pending approval from the Korean
government, Cho Hung's biggest shareholder. Foreign
investments are providing support to Korean banks after the
financial crisis forced them to book large loan losses.

"We are so excited about the equity investment in Korea at
this stage," Steven Trawick, managing director of Cerberus,
said at a signing ceremony in Seoul for the agreement.

Cho Hung lost 698 billion won last year when the government
imposed new rules requiring banks to adopt forward-looking
criteria on their provisioning to reflect companies' future
repayment capabilities. (Bloomberg  14-May-2000)


COLONIAL DOWNS HOLDINGS: Reports First Quarter Financials
---------------------------------------------------------
Colonial Downs Holdings, Inc., through its subsidiaries, holds
the only licenses to own and operate a racetrack and Racing
Centers in Virginia.  The company currently operates Racing
Centers in Chesapeake, Richmond, Hampton, and Alberta, Virginia,
and may open two additional Racing Centers if suitable
opportunities are identified and referenda are passed.

The company's revenues are comprised of (i) pari-mutuel
commissions from wagering on races broadcast from out-of-state
racetracks to the company's Racing Centers and the Track using
import simulcasting; (ii) wagering at the Track and the company's
Racing Centers on its live races; (iii) admission fees, program,
racing form and tip sheet sales, and certain other ancillary
activities; (iv) commissions from food and beverage sales and
concessions; and (v) fees from wagering at out-of-state locations
on races run at the Track using export simulcasting.

Total revenues for the first quarter of 2000 decreased $124,000
or 1.8% to $6,900,000 from $7,024,000.  Snow in January closed
the Racing Centers for two days.  This weather had an impact on
the Northeast tracks Simulcast signals as they were closed for
more days.  Net loss for the first quarter of 2000 was $186,000
compared to net earnings of $515,000 for the corresponding period
of the prior fiscal year.  The decrease in net earnings was
primarily a result of the increase in purse expense.

The company's continued existence is dependent upon its ability
to refinance or renew maturing debt and obtain adequate working
capital to support its operations until they become profitable.  
The company has been and continues to be largely dependent on the
financial support of its principal stockholder, who has
personally guaranteed $16,850,000 of the maturing debt and whose
affiliate is the holder of $8,800,000 of additional debt.  The
company is seeking continued financial support from this
stockholder and expects such support to be forthcoming; however
there can be no assurances that it will be.

Additionally, CD Entertainment Ltd. has agreed to loan the
company between $1.5 million and $2 million on terms to be
negotiated for working capital purposes.


COHO ENERGY: Announces Financial Results for First Quarter 2000
---------------------------------------------------------------
Coho Energy, Inc. (OTCBB:CHOH) announced its financial results
for the quarter ended March 31, 2000 which reflect the effects on
the balance sheet and income statement with the emergence of the
Company from bankruptcy on March 31, 2000.

For the three months ended March 31, 2000, the Company reported a
loss of $ 14.6 million as compared with a loss of $9.0 million
for the three months ended March 31, 1999. The first quarter of
2000 includes a reorganization charge of $ 11.5 million and an
extraordinary loss of$4.4 million on the extinguishment of
debt. The balance sheet as of March 31, 2000 reflects the
reclassification of liabilities no longer subject to compromise,
the repayment of $239.6 million of old bank debt plus accrued
interest, the conversion of the $150 million subordinated debt to
equity, borrowings of $183 million under the new bank credit
facility, the issuance of $72 million subordinated debt and a 40
for one reverse stock split on the old common shares.

Operating results for the three months ended March 31, 2000 were
positively impacted by the significant improvement in crude oil
prices when compared to the same quarter in 1999. The 182%
increase in realized crude oil prices combined with a 44%
increase in natural gas prices resulted in revenues for the 2000
quarter of $22.6 million as compared with revenues of $9.0
million in the same period in 1999. While the Company benefitted
from higher commodity prices, a lack of significant capital
spending over an extended period of time and the effects of
natural decline impacted both oil and natural gas production.
Daily barrel of oil equivalent production ("BOEPD") for the three
months ended March
31, 2000 declined 6% to 10,421 BOEPD from 11,047 BOEPD in the
same period in 1999.

Michael McGovern, Coho's new Chief Executive Officer commented
that "with the emergence from bankruptcy the Company is
positioned to take advantage of the numerous projects present in
the Company's existing asset base. The strong commodity prices,
particularly with Coho's weighting towards oil, together with
the restructured balance sheet should provide an opportunity for
increases in cashflow and therefore an increase in capital
spending, ultimately resulting in production growth."

On May 3, 2000 the Company announced the commencement of a rights
offering of shares of common stock. The rights offering entitles
each shareholder of record of Coho's common stock on March 6,
2000 to receive 0.338 of a right for every share owned. Each
right entitles the shareholder to purchase one share of Coho's
new common stock at$10.40. The offering will expire at 5 p.m.,
New York City time on May 31, 2000, unless the Company extends
the deadline.

Coho Energy, Inc. is a Dallas-based oil & gas producer focusing
on exploitation of underdeveloped oil properties in Oklahoma and
Mississippi.


DAEWOO SECURITIES CO.: KDB to take over at W500Bil
--------------------------------------------------
The Korea Development Bank (KDB) is expected to take over
Daewoo Securities Co., a brokerage arm of Daewoo Group, by
injecting up to 500 billion won by May 15, a senior
government official said yesterday.

The management of the brokerage firm will also be handed
over to the state-run bank, making it the largest
shareholder with a controlling stake of 20.67 percent in
the company.

The total amount of 500 billion won is expected to break
down to about 155 billion won to purchase all the company's
forfeited stocks, 320 billion won to make up for loan
losses in Daewoo affiliates, which were supplied via Daewoo
Capital Corp. and Diners Club Korea. The remaining amount
will be raised by increasing capital.

According to the official, KDB is also poised to reshuffle
the management team of the brokerage firm at its
shareholders' meeting set for May 27.  Considering Daewoo
Securities is market-valued at 700 billion won to one
trillion won, the takeover will be good for KDB, he noted.
(Korea Times  12-May-2000)


GENEVA STEEL: Announces Second Quarter 2000 Results
---------------------------------------------------
Geneva Steel reported a net loss of $1.7 million, or a loss of
$.11 per dilutive common share, for the fiscal quarter ended
March 31, 2000.  This compares with a net loss of $42.3 million,
or a loss of $2.68 per dilutive common share (after accounting
for dividends on preferred stock), for the same period last year.  
The operating income for the second fiscal quarter was $1.7
million, compared with an operating loss of $36.5 million during
the same period last year.

Sales and tons shipped during the quarter were $149.7 million and
508,400 tons, respectively, compared with sales and tons shipped
of $59.3 million and 210,900 tons, respectively, for the same
period last year.

For the six months ended March 31, 2000, the Company reported net
income of $0.1 million, or a loss of $.02 per dilutive common
share.  This compares with a net loss of $92.1 million, or a loss
of $5.98 per dilutive common share (after accounting for
dividends on preferred stock), for the same period last year.
The operating loss for the six months ended March 31, 2000 was
$2.3 million, compared with an operating loss of $75.8 million
during the same period last year.

Net sales increased approximately 152.3% primarily due to
increased shipments of approximately 297,500 tons and higher
average selling prices for the three months ended March 31, 2000
as compared to the same quarter last year.  Concurrent with
increased demand, the weighted average sales price per ton of
sheet, plate, pipe and slab products increased by approximately
19.6 %, 2.2%, 19.9% and 15.9%, respectively, during the second
fiscal quarter of 2000 as compared to the second fiscal quarter
last year.

As a result of various trade cases, as well as improved market
conditions in several foreign economies, market conditions for
the Company's products have significantly improved.  

As of May 12, 2000, the Company's eligible inventories, accounts
receivable and equipment supported access to $49.4 million in
borrowings under the Company's credit facility.  As of May 12,
2000, the Company had $22.0 million available under the credit
facility, with $25.0 million in borrowings and $2.4 million in
letters of credit outstanding.

The Company's operations have generated positive cash flow in
each month since the beginning of fiscal year 2000.  A reversal
in the current market trend or a disruption in the Company's
operations would, however, likely cause the Company to return to
negative cash flow.

In March 2000, the Company entered into an agreement with
Mannesmann Pipe and Steel ("Mannesmann") to terminate its
existing sales representation agreement.  The arrangement with
Mannesmann will be terminated beginning July 1, 2000, with a 90
day phase out of the liquidity arrangement.  The Company
estimates that termination of the liquidity arrangement will
reduce the liquidity otherwise available to the Company by
approximately $15 million. With the cooperation of Mannesmann,
the Company has extended employment offers to certain Mannesmann
employees currently involved in marketing the Company's products.  
While the Company believes that the Mannesmann arrangement can be
terminated without material disruption to its marketing efforts,
there can be no assurance that the termination will not have a
material adverse effect on the Company's marketing efforts,
liquidity position or financial condition.

The Company is currently developing a plan of reorganization (the
"Plan of Reorganization") through, among other things,
discussions with the official creditor committees established in
the Chapter 11 proceeding.  The objective of the Plan of
Reorganization is to restructure the Company's balance sheet to
(i) significantly strengthen the Company's financial flexibility
throughout the business cycle, (ii) fund required capital
expenditures and working capital needs, and (iii) fulfill those
obligations necessary to facilitate emergence from Chapter 11.  
In conjunction with formulating the Plan of Reorganization,
the Company, with its lender, filed an application on January 31,
2000 for a government loan guarantee under the Emergency Steel
Loan Guarantee Program (the "Loan Guarantee Program").  The
application seeks a government loan guarantee for $110 million,
which is a portion of the financing required to consummate the
Plan of Reorganization.  The Plan of Reorganization also
contemplates that the Company will establish a revolving credit
facility as well as receive an equity infusion of $25 million
through the issuance of a preferred stock that will be
mandatorily convertible into common stock.  There can be no
assurance that the Company's application under the Loan Guarantee
Program will be accepted or that, with or without a guarantee,
the Company can obtain the necessary financing to consummate the
Plan of Reorganization.

The Bankruptcy Court has granted the Company's request to
extend its exclusive right to file a Plan of Reorganization
through May 30, 2000.  Recently, the Company filed a motion
seeking an extension through July 31, 2000 of the exclusivity
period for filing a plan and through September 26, 2000 for
obtaining acceptances of a plan.  If the exclusivity period were
to expire or be terminated, other interested parties, such as
creditors of the Company, would have the right to propose
alternative plans of reorganization.

  
GLOBAL HEALTH SCIENCES: Sales Increase; Net Loss Decreases
----------------------------------------------------------
Global Health Science, Inc. is a holding company which conducts
all of its operations through subsidiaries, principally D&F,
Omni-Pak and Affiliates, and American Ingredients, Inc.  In the
first quarter of 2000, sales increased by $19.1 million or 36.7%,
to $71.2 million as compared to $52.1 million in the first
quarter of 1999. The company's net loss decreased by $0.2 million
to a net loss of $5.1 million in the first quarter of 2000, as
compared to a $5.3 million net loss in the first quarter of 1999.
The decreased loss resulted primarily from the effect of
significantly higher sales volume.

As of March 31, 2000, the company did not meet the minimum EBITDA
requirement under its Credit Facility, as a result of which it
failed to comply with several financial covenants and the lenders
under the Facility are entitled to declare an event of default.
These lenders have notified the company that, on a day to day
basis, they will forbear declaring an event of default, but they
have informally advised the company that their continued
forbearance is contingent on the company's success in raising
additional capital or obtaining a replacement lending source.
There can be no assurance that the company will be able to raise
sufficient capital or find a replacement lender before the
facility matures or the current lenders declare an event of
default under the facility.


GREATE BAY: Reports First Quarter Results
-----------------------------------------
Greate Bay Casino Corporation (OTC Bulletin Board: GEAAQ)
reported a net loss of $2.5 million, or $0.49 per share, for the
first quarter of 2000 compared to a net loss of $2 million, or
$0.39 per share for the first quarter of 1999.  Net revenues for
the first quarter of 2000 amounted to $717,000 compared to net
revenues of $2.2 million for the first quarter of 1999.

The decline in net revenues and resulting increase in net loss
was due to a decline in software installation revenues at
Advanced Casino Systems Corporation ("ACSC"), the company's sole
remaining operating subsidiary.  ACSC has subsequently entered
into three new installation contracts which should improve
revenues for the remainder of 2000.

Greate Bay had outstanding indebtedness to Hollywood Casino
Corporation of $ 51.6 million on March 31, 2000 including $9.7
million in demand notes and accrued interest.  ACSC's operations
do not generate sufficient cash flow to provide debt service on
the Hollywood obligations and, consequently, Greate Bay is
insolvent.  Accordingly, Greate Bay has commenced discussions
with Hollywood to restructure its obligations and, in that
connection, has entered into a standstill agreement with
Hollywood.  Under the standstill agreement, monthly payments of
principal and interest due from Hollywood for the three months
ended May 1, 2000, with respect to a note, have been deferred
until June 1, 2000 in consideration of Hollywood's agreement not
to demand payment of principal or interest on the demand notes
outstanding to Greate Bay.  There can be no assurance at this
time that the discussions with Hollywood will result in a
restructuring of Greate Bay's obligations to Hollywood.  In
addition, it is possible that any restructuring will result in a
conveyance of all of Greate Bay's remaining assets, including
ACSC, to Hollywood in order to satisfy Greate Bay's obligations
to Hollywood.  Any restructuring of Greate Bay's obligations,
consensual or otherwise, will require Greate Bay to file for
protection under federal bankruptcy laws.


HOMELAND HOLDING: Net Sales Increase $12.9 Million
--------------------------------------------------
Net sales of Homeland Holding Corporation increased $12.9
million, or 10.4%, from $123.7 million for the twelve weeks ended
March 27, 1999, to $136.6 million for the twelve weeks ended
March 25, 2000.  The increase in sales is attributable to the
acquisition of nine stores in April 1999, the acquisition of four
stores in November 1999, and the acquisition of three stores in
February 2000, partially offset by a 2.7% decline in comparable
store sales and the closing of one store in 1999.

Net income increased $2.4 million from a net loss of $2.0 million
for the twelve weeks ended March 27, 1999 to net income of $0.4
million for the twelve weeks ended March 25, 2000.

In February 2000, the company completed its acquisition of three
stores from Belton Food Center Inc., in Oklahoma City.  The net
purchase price was $0.2 million.  On April 25, 2000, subsequent
to the close of the first quarter of 2000, the company completed
its acquisition of three Baker's Supermarkets from Fleming
Companies Inc.  The purchase price was approximately $3.5
million.


IMPERIAL HOME: Bar Date For Filing Proofs of Claim
---------------------------------------------------
On April 5, 2000, the US Bankruptcy Court, District of Delaware
authorized the debtors to fix August 1, 2000 as the general
claims bar date.


MEDICAL RESOURCES: Reports First Quarter 2000 Results
-----------------------------------------------------
Medical Resources, Inc. (OTC Bulletin Board: MRII) reported
results for its first quarter 2000. The Company reported net
service revenues of $38.5 million for the quarter ended March 31,
2000, compared to $41.9 million for the quarter ended March 31,
1999.  The decline in net service revenues from the first quarter
of 1999 was caused by the ongoing decline in reimbursement rates
of managed care payors, the impact of the sale or closure of
fourteen underperforming imaging centers during 1999 and the
first quarter of 2000 and a decline in higher priced personal
injury claims business.  This decrease was partially offset by an
increase in same-store gross revenues (before contractual
allowances) of 3%.

For the quarter ended March 31, 2000, the Company had an
operating loss (prior to charges related to the sale and closure
of centers and other unusual items) of $0.3 million, compared to
operating income (prior to other unusual items) of $2.1 million
for the quarter ended March 31, 1999.   The Company had a
net loss applicable to common stockholders of $5.2 million, or
$0.53 per common share (diluted) for the quarter ended March 31,
2000, compared to a net loss applicable to common stockholders of
$1.6 million, or $0.17 per common share (diluted), for the same
period of 1999.

Commenting on the results for the first quarter of 2000, Geoffrey
A. Whynot, the Company's Co-Chief Executive Officer said,
"Although the Company's first quarter 2000 results were adversely
impacted by declining reimbursement rates, the Company was
successful in mitigating the impact of such revenue decline by
focusing on improving technology in its centers and by selling or
closing underperforming centers in markets which have limited
upside potential.  In addition, the Company's first quarter 2000
results have shown strong improvement from fourth quarter 1999
levels, with net service revenues on a same-store basis
higher by 3% and a decline in the operating loss (prior to
charges related to the sale and closure of centers and other
unusual items) from $3.6 million in fourth quarter in 1999 to
$0.3 million in the first quarter of 2000."

During March 2000, the Company entered into an agreement-in-
principle with the holders of its Senior Notes providing for
conversion of the full amount of their $75,000,000 of debt into
approximately 84% of the common equity of the Company.  Under the
March 2000 agreement-in-principle, an additional $5,121,000 of
unsecured notes would be converted into approximately 6% of the
common equity of the Company with the remaining equity to be
distributed among junior creditors (including plaintiffs
in current lawsuits pending against the Company), other claim
holders and the Company's equity holders (including the Company's
Convertible Preferred Stock).

On April 7, 2000, the Company commenced proceedings under Chapter
11 of the Federal Bankruptcy Code and filed a Plan of
Reorganization reflecting the terms of the March 2000 agreement-
in-principle.  A court hearing has been scheduled for May 31,
2000 to approve distribution of the Company's Disclosure
Statement.

The Plan of Reorganization only applies to the parent company and
none of its operating subsidiaries.  The Company hopes to confirm
its Plan of Reorganization in sixty to ninety days.

Medical Resources specializes in the ownership, operation and
management of fixed-site outpatient medical diagnostic imaging
centers.  The Company operates 83 imaging centers in the U.S. and
provides network management services to managed care
organizations in regions where its centers are concentrated.


KOMAG: Net Sales Decrease To $79.6 Million In First Quarter
-----------------------------------------------------------
Net sales of Komag Inc., magnetic and optical recording media
company, decreased to $79.6 million in the first quarter of 2000,
down 12% compared to $90.0 million in the first quarter of 1999.
The year-over-year decrease was primarily due to the net effect
of a 19% decrease in the overall average selling price and a 7%
increase in unit sales volume. The company experienced a first
quarter, 2000, net loss of $5.3 million as compared to the net
loss of $21.5 million in the same quarter of 1999.

In March 2000, the company entered into an agreement with an
institutional investor to sell up to $20.0 million of common
stock. The shares of common stock will be sold pursuant to a
private equity line of credit, under which the company may
exercise "put options" to sell shares for a price equal to 90%,
92% or 94% of market price depending on the level of the market
price at the time of exercise of the "put option". The shares may
be sold periodically in maximum increments of $1.5 million to
$3.5 million over a period of up to thirty months.  Upon signing
the agreement, the company issued warrants to the investor to
acquire 80,000 shares of common stock at an exercise price of
$4.6875 per share.  The warrants are exercisable during a three-
year period beginning in September 2000.

In April 2000, Komag entered into a definitive merger agreement
with HMT Technology Corporation. HMT designs, develops,
manufactures and markets high-performance thin-film disks. Under
the terms of the definitive merger agreement, each issued and
outstanding share of HMT stock will be converted into 0.9094
shares of the company's common stock. The merger will be
accounted for under purchase accounting and is subject to
customary closing conditions, including regulatory approvals, the
approval of both companies' shareholders and the company's
lenders. The merger is expected to close in the third quarter of
calendar 2000.


LESLIE FAY: Reports First Quarter 2000 Results
----------------------------------------------
The Leslie Fay Company, Inc. (Nasdaq: LFAY) reported financial
results for its first quarter ended April 1, 2000.  For the first
quarter of 2000, net sales rose 9.4% to $66.9 million, from $61.1
million for the first quarter ended April 3, 1999. Excluding
sales under the recently acquired Liz Claiborne Dress license of
$6.2 million, comparable business sales fell $0.4 million.  The
lower sales came from the combining of the Leslie Fay Sportswear
businesses announced previously and from greater price
concessions to clear inventory for the Leslie
Fay Dress product line.  The Warren brands, acquired in the
fourth quarter of 1998, saw net sales growth of 39.5% in the
first quarter of 2000 versus the first quarter of 1999.  This
growth reflects the business improvements achieved in 1999 that
are continuing into 2000.

Gross profit margin decreased for the first quarter to 23.4% from
27.3% for the year-ago quarter.  Excluding the gross profit
margin of the new Liz Claiborne business, comparable gross profit
margins fell to 23.1%.  Increased price concessions in the Early
Spring and Resort lines as well as lower markup due to a higher
level of domestic manufacturing caused the lower gross profit
margin performance.

SG&A expense grew $231,000 but fell to 15.8% of net sales versus
17.0% of net sales for last year's first quarter.  This increase
relates primarily to design, selling, and shipping in support of
the new Liz Claiborne Dress business.

EBITDA for the Company's first quarter of 2000 was $5.4 million
compared to $6.7 million for the first quarter of 1999.  The
Company defines EBITDA as earnings before interest, taxes,
depreciation, amortization, stock-based compensation, and
amortization of excess net assets over equity.

Leslie Fay's net income for the first quarter of 2000 was $3.3
million, or $ 0.65 per basic share and $0.60 per diluted share
compared to $4.3 million, or $ 0.71 per basic share and $0.70 per
diluted share for the year earlier period.

John J. Pomerantz, chairman and chief executive officer of Leslie
Fay said, "In the first quarter, we did experience lower margins
in the Company's dress lines as a result of higher discounting
and inventory clearance.  We expect these margins to improve
during the year.

"Last quarter we also announced that we are combining our Leslie
Fay Sportswear and Leslie Fay Haberdashery product lines and that
this was expected to result in lower volume but be more
profitable. We are on track to achieve this objective.

"We are pleased with the reception of our customers to the new
Liz Claiborne dress license agreement.  Last week we consummated
the asset purchase and license agreements for the Cynthia Steffe
contemporary dress and sportswear business we announced on April
18."

Leslie Fay's results for the first quarter of 2000 and 1999 each
include $ 1.1 million to offset operating expenses, representing
the amortized portion of the amount by which revalued net assets
exceeded stockholder equity on June 4, 1997, the date the Company
emerged from bankruptcy.  This positive, non-cash offset to
expenses amounted to $0.22 for the 2000 period and $0.19 for the
1999 period per basic share outstanding.

   
LEVI STRAUSS: Shows $4.9 Billion in Liabilities
-----------------------------------------------
In the first set of financial documents made public by Levi
Strauss & Co. in years, in connection with an offer to exchange
up to $800 million of its bonds, the company reports declining
sales, declining gross profit margins and an upsidedown balance
sheet showing $4.9 billion in liabilities versus $3.6 billion in
assets, as of November 28, 1999.  By February 27, 2000, Levi
Staruss says it pared debt down to $2.4 billion.

A full-text copy of the prospectus detailing the terms of the
exchange offer is posted at
http://www.sec.gov/Archives/edgar/data/94845/0000950109-00-
001806.txt on the SEC's Web site.  

As of February 27, 2000, Levi Strauss reports access to $365.5
million of additional borrowing capacity under its bank credit
facilities, and that that availability appears sufficient to meet
day-to-day working capita requirements.  

Patricia A. Vlahakis, Esq., at Wachtell, Lipton, Rosen & Katz
(212-403-1000) represents Levi Strauss in connection with this
exchange offer.  


LL KNICKERBOCKER: Reports First Quarter Results
-----------------------------------------------
The L.L. Knickerbocker Co., Inc. (OTC Bulletin Board: KNIC.OB)
announced results of operations for the first quarter ended March
31, 2000.

First quarter net sales in 2000 were $7.19 million, 24.2% lower
than the $ 9.48 million in the prior year period.  First quarter
net loss decreased by 37.6% to $1.42 million, or $.03 per diluted
share, from $2.27 million, or $.09 per diluted share in the
comparable prior year period. Weighted average diluted shares in
2000 and 1999 were 45,819,983 and 26,138,494, respectively.

The decrease in net sales in 2000 was due primarily to the sale
of one of the Company's mail order collectible doll brands and a
decrease in catalog doll net sales.  Both the sale of the mail
order doll brand in October 1999 and the decrease in catalog net
sales were part of the Company's plan to reposition the sales mix
of the Company away from mail order and catalog sales which have
high advertising costs and historically low operating margins.

Despite certain nonrecurring reserves, the first quarter 2000
operating loss was $969,000 compared to $1,741,000 in the
comparable 1999 period, an improvement of $772,000.  The Company
reduced its operating costs by $2,511,000, or 38.9% in the first
quarter 2000 from the comparable prior year quarter.  The Company
continues to expand its retail customer base and is in the
process of developing several new toy and doll concepts.

Anthony P. Shutts, Chief Financial Officer, said: "While net
sales were lower on a comparative basis in 2000 from the prior
year, our results of operations showed substantial improvement.  
Historically, the first quarter has been the slowest for the
Company's collectible and jewelry brands.  The progress made on
reducing operating costs will become more apparent in the coming
quarters of 2000.  In addition, cash flow from operations
continued to be positive in the quarter."

As announced earlier, the Company is in the midst of a Chapter 11
reorganization.

The L.L. Knickerbocker Co., Inc. is a multi-brand collectible
products, gift, toy and jewelry company that designs, develops,
produces and markets products over diverse distribution channels.  
The Company's products are sold through independent gift and
collectible retailers, department stores, electronic retailers,
Internet, and international distributors.  The Company is a major
supplier of collectible products and fashion jewelry to the
leading electronic retailer.


MARUBENI CORP.: Takes aim at source of woes
-------------------------------------------
Struggling Marubeni Corp. has decided to aggressively
restructure its biggest loss-making venture so as to
strategically position itself ahead of an anticipated
shakeout among Japan's giant trading houses.

The Tokyo-based company will take an additional stake worth
$100 million in Indonesia's PT Chandra Asri, a loss-laden
ethylene producer widely deemed to be the leading drag on
the consolidated earnings and stock price of the trader.
The acquisition will take the form of a debt-for-equity
swap.

Recent analysts' reports on Marubeni have invariably made
reference to the murky prospects for its Indonesian venture
as a major unresolved issue weighing down the stock. The
acuteness of the problem becomes clear when comparison is
made with speedier reform efforts at Itochu Corp.,
Marubeni's archrival. Marubeni stock finished trading last
week at 317 yen ($2.90), against Itochu's 512 yen.

Marubeni currently holds 21.2% of Chandra Asri stock, with
the bulk of the remainder owned by the Indonesian
government. The joint venture, with an annual production
capacity of 500,000 metric tons of ethylene, is burdened by
$700 million in cumulative loss.  The venture reduced
Marubeni's group earnings for the year through March by 4.6
billion yen.

Marubeni has agreed with Jakarta on a reconstruction
package that centers on debt-for-equity swaps worth $100
million for the Japanese shareholder and $400-500 million
for the government. Thus recapitalized at $1.05 billion,
Chandra Asri will use the fresh capital to write off a
corresponding amount of existing capital, costing Marubeni
about 11 billion yen in lost equity interest.

Although covered by loss reserves already in place, this
will still be a formidable burden on a company that
forecasts group net profit of only 2 billion yen for the
fiscal year ended March.  Marubeni's involvement with
Chandra Asri dates back to the early 1990s, when the
trading company joined an ethylene project championed by
then-President Suharto.

It looked forward to lucrative contracts for plant
construction, the handling of related procurement and the
like. There was also the hope that the investment would
help Marubeni cement its overall relationships in the
Southeast Asian country.  These ambitions began to unravel
when the Indonesian government reneged on its promise to
apply a 25% protective duty on ethylene imports, setting a
new rate of 5%.

The reversal completely destroyed the profit outlook for
the business, Marubeni officials grumble. Exposed to
competition from low-cost ethylene made elsewhere in Asia,
Chandra Asri has piled up losses.  Rival trading companies
have moved faster than Marubeni to put their financial
house in order ahead of a widely expected consolidation of
the sector.

Charges taken for the year ended March include over 400
billion yen each at Itochu and Tomen Corp. and 140 billion
yen at Mitsubishi Corp. Mitsui & Co., meanwhile, intends to
erase its unfunded retirement benefit obligations, valued
at 95 billion yen, by September, well ahead of schedule.

As traditional trading practices based on face-to-face
dealing and human relationships crumble under challenges
from Internet-based trading and other models of commerce,
the big trading companies see their raison d'etre
increasingly questioned by both producers and consumers.
Analysts predict a shakeout that will leave only three or
four big players in the field.

Tooru Tsuji, president of Marubeni, has made it plain his
company will consider alliances with any of its competitors
if the deal is right. Reconstruction of Chandra Asri should
put Marubeni in a stronger position at the negotiating
table for any such deal, analysts said. (Nikkei  15-May-
2000)


MATTHEWS STUDIO: Reports Lower Quarterly Consolidated Revenue
-------------------------------------------------------------
Matthews Studio Equipment Group, which continues to be the
subject of a Chapter 11 proceeding, today reported lower
quarterly consolidated revenues and earnings before interest,
taxes, depreciation and amortization (EBITDA).

Consolidated revenues for the second quarter ended March 31,
2000, were $ 10,372,000, a 29% decrease from the $14,701,000
reported in the previous year. The company also reported second
quarter 2000 EBITDA of$494,000, down 79% from $ 2,366,000
reported in the previous year and a net loss for the second
quarter of 2000 of $4,811,000 or $0.48 per share compared to the
net loss of $2,152,000 or $0.23 per share for the same period
last year.

Matthews Studio Group supplies traditional lighting, grip,
transportation, generators, camera equipment, professional video
and audio equipment, automated lighting and complete theatrical
equipment and supplies to entertainment producers through its
worldwide distribution network. ShowbizMart.com is designed as
the entertainment industry's "one-stop-shop" online resource for
production news, information, professional equipment and
expendables as well as consumer-oriented merchandise.


NATIONAL ENERGY GROUP: First Quarter Results; Agreement For Plan
----------------------------------------------------------------
National Energy Group, Inc. (OTC Bulletin Board: NEGXQ) announces
results for the first quarter ended March 31, 2000.

For the Three Months Ended March 31, 2000 - Total revenues
increased by $3.5 million (48.6%) to $10.7 million for 2000
from $7.2 million in 1999.  The increase in revenues was due to
the significant oil price increase combined with the increase in
natural gas prices offset, in part, by the decrease in production
from the same period in 1999.  Average natural gas prices
increased $.97 per Mcf to $2.59 per Mcf for 2000 from $1.62
for 1999 while average oil prices increased $15.81 per barrel to
$26.66 for 2000 from $10.85 for 1999.

In 2000, the Company produced 219 Mbbls of oil, a decrease of
26.0% from 294 Mbbls produced in 1999 and in 2000 the Company
produced 1,882 Mmcf of natural gas, a decrease of 24.5% from
2,494 Mmcf produced in 1999.  The decline in production is
primarily due to natural production declines combined with the
decrease related to the properties sold at an oil and gas auction
in December 1999.  In addition, the Company's ability to offset
these natural declines through drilling and exploration has been
limited due to the Bankruptcy Court restrictions.  The Company
expects production to continue to decline unless replaced through
drilling, workovers, recompletions and/or acquisitions.

Accordingly, the Company is currently reviewing its development
and exploration inventory and other opportunities for enhancing
the current production and asset base pursuant to the May 2, 2000
Bankruptcy Court Order authorizing the Company to operate its
properties in the ordinary course of business, including, but not
limited to, any exploration and development activities.

Net income of $4.4 million was recognized for the three months
ended March 31, 2000, compared with a net loss of $1.2 million
for the comparable 1999 period.  Net income for the first
quarters of 2000 and 1999 both exclude approximately $4.4 million
in additional interest expense on the Senior Notes and includes
expenses of approximately $.1 million and $.6 million,
respectively relating to the bankruptcy proceedings and includes
$.4 million and $.06 million in interest income on cash
accumulating during the bankruptcy proceedings. Excluding the
effects of these amounts, a net loss of $.3 million would have
been recognized for 2000 compared to a net loss of $5.06 million
for 1999.  

On April 20, 2000, the Official Committee of Unsecured Creditors
and the Company announced an agreement in the Bankruptcy Court
whereby the Committee would withdraw its previously filed plan of
reorganization and become a co-proponent with the Company in an
amended plan of reorganization initially filed by the Company on
March 14, 2000.  On May 12, 2000, the Bankruptcy Court approved a
Disclosure Statement and Plan of Reorganization (the "Joint
Plan"), as submitted by the Committee and the Company which
provides for: (i) continuation of the Company's oil and gas
operations; (ii) satisfaction of secured claims, including the
Arnos secured claim in the amount of $25 million (plus accrued
interest) which shall remain in place and receive such treatment
as Arnos and the reorganized Company may agree; (iii) cash
payment to certain tort claimants (determined by a formula equal
to approximately 2.0% of the lesser of claimants proof of claim
or the Bankruptcy Court's estimate of the claim), if such class
accepts the Plan or, alternatively, if rejected by such class,
cash payment in an amount equal to 75% of any allowed claim; (iv)
cash payment to Senior Noteholders (excluding Arnos) in an amount
equal to 56.5% of the face value of each note, less a pro-rata
share of $1 million to fund a creditors' trust, plus a pro-rata
share of any net recoveries from litigation brought by the
creditors' trust on behalf of the Senior Noteholders, excluding
Arnos which is not entitled to participate in the creditors'
trust; (v) cash payment to trade creditors in an amount equal to
75% of any allowed claim; (vi) conversion of all preferred
shareholders equity interests in the Company to common; (vii)
retention by shareholders of common equity, but subject to the
cancellation and reissuance of common stock at a ratio of one
share in the reorganized Company for every seven shares of
existing common stock, and cancellation of other equity interests
(warrants and options) as of the effective date following
confirmation of the Plan; and (viii) amendment of the Senior Note
Indenture.  

The Plan further provides that the Bankruptcy Court Order dated
January 14, 2000 authorizing the closing of the previously
authorized sale of substantially all of the Company's assets to
Arnos Corp. would be vacated pursuant to confirmation of the
Plan.  The Company's preferred shareholders shall not be entitled
to vote on the Joint Plan, however, the Company's common
shareholders are entitled to vote on the Joint Plan.  

A confirmation hearing in the Bankruptcy Court to implement the
Joint Plan is scheduled for July 7, 2000.

National Energy Group, Inc. is a Dallas, Texas based independent
oil and gas exploration and production company.  The Company's
principal properties are located onshore in Texas, Louisiana,
Oklahoma and Arkansas.


NISSAN MOTORS: Expects loss for 1999;make-or-break year
-------------------------------------------------------
It's make-or-break year for Carlos Ghosn. The Nissan
chief's job is on the line as he waits to see whether his
drive to get Japan's second biggest carmaker back on track
will pay off.

After spending most of the 1990s in the red, Nissan Motors
expects to have posted a steep net loss in the year to
March 31 of 590 billion yen (US$5.4 billion).  But Friday's
results announcement is not the most pressing concern for
Ghosn, "le cost killer" imported from Nissan's French
controlling shareholder Renault last year to turn the
company round, analysts say.

The chief operating officer, who is set to be elevated to
president next month and who says he will quit if Nissan is
not back in the black next year, is looking ahead to the
fruits of his far-reaching "Nissan Revival Plan."

"Following the NRP last October, we have been making
developments on several fronts," says Nissan spokesman
Tomoyuki Shioya.  "Fiscal year 1999 was a year of
development. This year will be a year of results."  

The official line strikes a chord with analysts, who
predict Nissan's financial results will be even worse than
the company has forecast.  Ghosn's decision to bring up
front massive hidden liabilities such as the costs of
factory closures and shortfalls for employee pensions will
have skewed the results, they say.

"Nissan's results are very much in the stock price, and for
the purposes of analysis we have to look at what's going to
happen in this fiscal year," said ING Barings auto analyst
Howard Smith.  "I applaud them for having brought those
charges up front. It completely clears the decks of any
nasty bogeys lurking on the balance sheet and lets them get
on with essential restructuring. We'll see the first
evidence of the purchasing cost reductions coming through
in the year ahead, in the interim results in October."

That belief will gratify Ghosn, who said in March that "the
stopwatch starts on April 1" with the revival plan's
launch. "The plan is sufficient," he argued.

It envisages closing five Japanese plants, shedding 21,000
jobs worldwide and halving the firm's interest-bearing debt
to 700 billion yen by March 2003.  Another key plank is the
goal of cutting supplier costs by 20 percent over three
years, which Ghosn says has been met with understanding by
the suppliers.

"I believe that Mr Ghosn is very confident of generating
profits, so the possibility of him quitting is pretty
limited," Goldman Sachs auto analyst Kunihiko Shiohara
said.  "Nissan Motor has already announced its revival
plan, so this fiscal year is the beginning, and we have to
focus on that."

Ghosn is also investing his hopes in the launch of four new
models in Japan this year, coupled with strong US sales and
the Almeira hatchback's arrival to plug a key gap in the
European market, analysts said.

"None of the four will be large-volume models, but we'll
see the reconstruction of the Nissan brand in the way
they're launched and marketed," said Smith, who predicts
Nissan to have posted a net loss of 633.6 billion yen.
"That Nissan will revive is increasingly without doubt,
it's just a matter of time. I'd be extremely surprised if
he [Ghosn] walks away from it now."

There may still be balance-sheet problems lurking for
Nissan such as unprofitable land holdings, said Merrill
Lynch analyst Takaki Nakanishi, who expects a net loss for
Nissan in the past year of 620 billion yen.  However,
currency rates could yet prove a headache for Nissan
exports if the yen strengthens to 100 against the dollar
from around 108 now, the analysts said. (Nikkei  15-May-
2000)


NUTRAMAX: Class Action Against Former Officers
----------------------------------------------
On May 15, 2000, the law firm of Wolf Haldenstein Adler Freeman &
Herz LLP  filed a class action lawsuit in the United States
District Court for the District of Massachusetts, on behalf of
all persons who purchased the stock of NutraMax Products, Inc.
between January 20, 1998 and November 24, 1999.

The complaint alleges violations of Sections 10(b) and 20(a) of
the Securities Exchange Act of 1934 and Rule 10b-5 by the
Company's former Chief Executive Officer and former Chief
Financial Officer. NutraMax recently filed for bankruptcy and has
not been named as a defendant. The complaint alleges that
from January 20, 1998 through November 24, 1999, defendants
issued materially false and misleading financial statements and
press releases concerning NutraMax's revenues, income and
earnings per share. The Company's financial statements made
during the Class Period, all of which implicitly and/or expressly
were prepared in conformity with generally accepted accounting
principles ("GAAP"), were materially false and misleading because
the Company materially overstated its revenues, income and
earnings.


PARACELSUS HEALTHCARE: Reports First Quarter 2000 Financials
------------------------------------------------------------
Paracelsus Healthcare Corporation (NYSE: PLS) announced its
financial results for the first quarter ended March 31, 2000.  
The Company also reported that it has substantially finalized
negotiations and expects to shortly complete a new $62.0 million
subsidiary level financing facility (the "New Credit Facility").
The New Credit Facility, which will replace and expand capacity
under the Company's off-balance sheet commercial paper program,
will be used along with cash on hand to fund normal working
capital and capital expenditure requirements of the Company's
hospitals.

Net revenue was $95.1 million for the quarter ended March 31,
2000, compared to $150.9 million for the same period in 1999.  
Excluding unusual items and restructuring costs, earnings before
interest, income taxes, depreciation and amortization ("EBITDA")
were $11.3 million for the first quarter of 2000 versus $21.6
million for the comparable period in 1999.  As a percentage of
net revenue, the Company's 2000 EBITDA margin decreased to 11.8%
in the first quarter of 2000 compared to 14.3% for the same
period in 1999.  The results summarized above reflect the sale of
ten hospitals in 1999.

Same Hospital net revenue was $94.2 million for 2000 compared to
$95.9 million in 1999.

The Company reported a net loss of $8.5 million, or $0.15 per
share, for 2000 compared to a net loss of $1.6 million, or $0.03
per share, for the same period in 1999.  The Company did not
record an income tax benefit in 2000 due to the recognition of
additional valuation allowances to offset net deferred tax assets
generated during the quarter.

Commenting on first quarter results, Robert L. Smith, Chief
Executive Officer of Paracelsus, said, "Clearly we are
disappointed that hospital operations did not exceed prior year
results on a same hospital basis, although it is important to
note that with the exception of one hospital, operations remained
stable and generally in line with management expectations.
Needless to say, the Company continues to face substantial
operational and financial challenges in the near term, but I
believe we will have made significant strides in meeting these
challenges once the New Credit Facility is consummated.  The
Facility will provide the Company's hospitals with necessary
liquidity and fund certain capital expenditures, including
revenue generating projects, to serve the needs of their
patients, communities and employees while the Company addresses
its debt situation at the parent level."

Paracelsus Healthcare Corporation, a public company listed on the
New York Stock Exchange, was founded in 1981 and is headquartered
in Houston, Texas. Including a hospital partnership, Paracelsus
presently owns the stock of hospital corporations that own or
operate 10 hospitals in seven states with a total of 1,287 beds.  
Additional Company information may be accessed through
http://www.prnewswire.comunder the Company's name.


QUADRAX: Delay In Completion of Quarterly Report
------------------------------------------------
Quadrax Corporation's quarterly report for the period ended March
31, 2000 will not be filed within the prescribed time period
since the company, which has a small accounting staff, has
devoted substantial time and efforts to recent business matters
affecting the company, thereby delaying completion of the
quarterly report.


SCHEIN PHARMACEUTICAL: Served With CID
--------------------------------------
On April 25, 2000, Schein Pharmaceutical Inc. was served with a
Civil Investigative Demand (CID) from the Office of the Attorney
General of Texas in connection with a state investigation of
possible false reporting of information regarding the marketing
of and prices for drugs used by the Vendor Drug Program
administered by the Texas Department of Health, which establishes
the reimbursement rates for pharmaceuticals dispensed to Texas
Medicaid recipients. The CID seeks information about a single
drug included in the Vendor Drug Program. The company has not
been provided any details concerning the conduct under
investigation. At the present time, management
does not have any basis on which to determine the company's
liability, if any, upon conclusion of the investigation or
whether the resolution of the investigation is likely to have a
material adverse effect on the company's financial position,
results of operations, or liquidity.

Total net revenues for the first quarter of 2000 decreased $18.0
million, or 17.0%, from $105.9 million in 1999 to $87.9 million
in 2000.  The company suffered a net loss of $8.9 million in the
first quarter of 2000.  In the same quarter of 1999 net income
was 2.2 million.


SOUTHERN MINERAL: Reports First Quarter 2000 Results
----------------------------------------------------
Southern Mineral Corporation (OTC Bulletin Board: SMINE.OB)
announced financial and operating results for the first quarter
2000.  The Company reported net income of $1.2 million, or $0.09
per basic share, on revenues of $ 7.4 million, compared to a net
income of $2.9 million, or $0.23 per basic share, on revenues of
$10.7 million for the same period in 1999.  The 1999 period
included a $5.1 million gain on the sale of assets; excluding the
non-recurring gain the Company experienced a net loss during the
first quarter of 1999 of $2.2 million ($0.17 loss per basic
share).  Discretionary cash flow before restructuring and
bankruptcy costs was $4.3 million in the 2000 quarter, compared
to approximately $0.7 million in 1999.

Oil and gas revenues for the first quarter of 2000 were $7.4
million, compared to $5.6 million for the same period in 1999.  
An increase in average realized product prices more than offset a
decline in production on a quarter to quarter comparison.  Oil
and natural gas liquids ("NGL's") production decreased 17% to
195,791 barrels.  There was also a decrease in natural gas
production of 44% to 965 million of cubic feet ("MMcf") in the
first quarter of 2000, compared to 1999.  Canadian production
levels for the first quarter of 2000 are lower than comparable
production levels in 1999 due in part to the sale of certain
properties and other factors including normal production
declines.  Domestic production levels are lower due primarily to
the sale of the mineral and royalty interests in the first
quarter of 1999, the sales of Brushy Creek and Texan Gardens
Fields in the third quarter of 1999 and other factors including
normal production declines.  Average daily production decreased
33% to 23.5 million cubic feet of gas equivalent ("Mmcfe") from
34.9 MMcfe in the first quarter of 1999.

The decreased production was offset by an average realized oil
price increase of 146% from $10.46 per barrel in the first
quarter of 1999 to $25.72 per barrel in the first quarter of
2000.  Average realized natural gas prices increased 38% to $2.36
per thousand of cubic feet ("Mcf") during the first quarter of
2000, compared to $1.71 per Mcf in same period a year earlier.

On October 29, 1999, the Company and certain of its wholly-owned
subsidiaries, BEC Energy, Inc., Amerac Energy Corporation, SMC
Ecuador, Inc. and SMC Production, Inc., ("Debtor Subsidiaries")
filed voluntary petitions for relief under Chapter 11 of the U.S.
Bankruptcy Code in the U.S. District Court for the Southern
District of Texas, Victoria Division.  The Company and its Debtor
Subsidiaries continue to operate as debtors-in-possession subject
to the Bankruptcy Court's supervision and orders.  The bankruptcy
petitions were filed in order to preserve cash and to give the
Company the opportunity to restructure its debt.

On February 25, 2000, the Company filed a Plan of Reorganization
and Disclosure Statement and on May 2, 2000 filed a Second
Amended Plan ("Amended Plan") having terms previously negotiated
with its unsecured creditors' committee ("Committee").  On March
7, 2000, the Committee filed a motion to terminate the Company's
exclusivity period.  The Committee agreed to extend the hearing
on their motion until May 1, 2000 due to the continuing
negotiations with the Company related to the Amended Plan.  The
Committee's motion to terminate exclusivity was denied on May 2,
2000 and the Committee declined to include any statement setting
forth its position with respect to the Amended Plan.  The
consummation of the Amended Plan is the primary objective of the
Company.  The Amended Plan sets forth the means for satisfying
claims, including liabilities subject to compromise and interests
in the Company.  The Amended Plan would result in, among other
things, potential substantial dilution in the future of existing
shareholders as a result of the issuance of securities to
creditors or new investors.  On May 2, 2000, the Bankruptcy Court
held a hearing and approved the Disclosure Statement and the
procedure for transmitting the Amended Plan and Disclosure
Statement for acceptance or rejection to all affected parties.  
The Bankruptcy Court set June 30, 2000 for the hearing on
confirmation of the Amended Plan. In addition, the exclusivity
period for theCompany to obtain acceptance of the Amended Plan
was extended through June 22, 2000 and competing plans may be
filed on June 23, 2000 by all interested parties.  The
consummation of any plan of reorganization will require approval
of the Bankruptcy Court.

Southern Mineral Corporation is an oil and gas acquisition,
exploration and production company that owns interests in oil and
gas properties located along the Texas Gulf Coast, Canada and
Ecuador.  The Company's principal assets include interests in the
Big Escambia Creek field in Alabama and the Pine Creek field in
Alberta, Canada.  The Company's common stock is quoted on the OTC
Bulletin Board under the trading symbol "SMINE.OB".


SUNTERRA CORP: Loss for First Quarter of 2000; Liquidity Warning
----------------------------------------------------------------
Sunterra Corporation (NYSE: OWN) reported a net after-tax loss of
$15.6 million, and a diluted loss per share of $0.43, for the
first quarter of 2000. This compares with a net profit of $10.0
million and earnings per diluted share of $0.27 in the comparable
year-earlier period.

The first quarter results included both a $3.8 million after-tax
charge for severance and other expenses related to the first
quarter restructuring of headquarters and U.S. operations, as
well as a $1.8 million after-tax write-down of an asset based on
bids received as part of the sale of certain non-core
assets.

The company did not make a scheduled payment of $6.475 million on
its $140 million in senior notes; however, there is a 30 day cure
period before this becomes an event of default. In addition, the
decline in the company's net worth as a result of the quarter's
net loss has resulted in violations of net worth and net worth-
related covenants in its senior bank credit facility, pre-sale
line and inventory line.  Moreover, the company did not make the
mandatory pay down on May 1st of $4.0 million under the senior
bank credit facility and $1.1 million on the pre-sale line, which
has resulted in an event of default under these agreements.  At
the current time, the company does not have waivers on these
violations. Furthermore, although the company began funding
against a newly opened $25 million mortgages receivables
warehouse facility in April, that facility is now closed to any
further take-downs because a related proposal to open a $100
million facility for the non-recourse sale of mortgages
receivables was recently withdrawn.

Currently, therefore, there is no availability under any of the
company's existing credit facilities and cash on hand is also
very limited.  The company is actively pursuing alternatives to
maintain liquidity, including the sale of major assets.  However,
if these initiatives are not successful -- and there is no
assurance they will be -- then the company is unlikely to be able
to continue operations.

At the same time that it is seeking additional sources of
liquidity, the company is in discussions with banks and financial
institutions to seek waivers of the violations of its existing
credit agreements and to obtain their agreement not to pursue
various remedies in the event of default on these facilities,
including declaring the entire indebtedness due and payable.
However, the company can give no assurance that such an agreement
can be reached or what the terms of such an agreement would be.  
Additionally, an uncured event of default under these credit
facilities and indentures could trigger a default under other
agreements to which the company is a party, including the senior
notes, senior subordinated notes and convertible subordinated
notes.  An event of default under any of these agreements could
materially adversely affect the company by, among other things,
causing all of the company's indebtedness to become immediately
due and payable.

Revenues for the first quarter of $98.1 million were down 14%
from the first quarter of the prior year, primarily as a result
of a 12% drop in vacation ownership interests sales from $92.6
million to $81.6 million.  This decrease reflected the company's
decision to eliminate certain high volume but very low margin
tour flow sources in the Florida and Northwest markets as well as
the closing down of sales lines in Latin America.  During the
past couple of months, the company has initiated programs to
develop more profitable tour sources throughout its system.

A key factor in the weak operating results for the first quarter
was advertising, sales and marketing expenses, which were 60.2%
of vacation ownership interest sales, significantly above the
comparable figure of 46.1% in the first quarter of 1999.  This
increase was the result of a combination of factors including:  
the impact of fixed marketing costs against lower sales levels;
high telemarketing costs; high costs per tour in certain markets;
and weak advance tour bookings coming into the first quarter.

G&A expense increased by $3.7 million from prior year, reflecting
higher legal expenses, Club Sunterra related operating costs, and
information technology costs, the fact that the reduced staffing
and other savings initiatives impacted results for only part of
the quarter, and the inclusion in 1999's first quarter of certain
favorable insurance and other settlements.

Depreciation and amortization expense increased to $6.1 million
in the first quarter from $3.4 million in the year-earlier period
as a result of the amortization of SWORD, the comprehensive
technology platform which the company completed at the end of
1999.

Net interest expense increased by $2.7 million versus the
comparable prior year period because of the higher level of
borrowings as well as the $1.1 million decrease in capitalized
interest expense as a result of lower capital spending.

In terms of the company's balance sheet, gross mortgages
receivable at March 31, 2000, were $268 million and the allowance
for bad debts, net of estimated recoveries, was $19.4 million or
7.2%, down from 7.6% at year-end 1999.  The allowance is based on
the same type of analysis as at year-end 1999, with progressively
larger reserves taken for receivables that are increasingly
delinquent and with all mortgages receivables that are more than
180 days overdue being written off.  During the quarter the
company wrote off $2.8 million in mortgages receivable, net of
recoveries.  Mortgages receivable in excess of 60 days past due
at March 31, 2000, were 6.3% as a percentage of gross mortgages
receivable, down from 7.1% at Dec. 31, 1999.

Sunterra Corporation is the largest international owner and
manager of vacation ownership resorts, with 90 resort locations
around the world and about 300,000 worldwide owners and members.  
In addition, Sunterra currently manages 17 third party
condominiums and other resorts in Hawaii.  The company's
operations consist of (i) marketing and selling vacation
interests, (ii)developing, acquiring and operating vacation
ownership resorts, (iii) financing customers' purchases and (iv)
providing resort rental, management and maintenance services.


THERMATRIX: Court Approves Agreement With Dow Chemical
------------------------------------------------------
Thermatrix Inc. (OTC: TMXIE) announced that the U.S. Bankruptcy
Court approved the Purchase and Service Agreement between
Thermatrix and The Dow Chemical Company. The Agreement
establishes the terms and conditions for designing and supplying
multiple Thermatrix Flameless Thermal Oxidizer (FTO)
Systems to various Dow plant sites over the next several years.

Dow selected the FTO technology as an alternative to incineration
in connection with a major capital investment program involving a
new proprietary recovery process. The approval by the Bankruptcy
Court allows Thermatrix and Dow to move forward to complete the
first two projects which have a combined value of over $20
Million for Thermatrix. The initial design phase of these first
two projects is nearly complete and the detailed engineering and
procurement will be initiated within the next several weeks.

"The approval of this Agreement should provide a great deal of
assurance to our other customers and employees of the viability
of the FTO business," said Daniel S. Tedone, President of
Thermatrix. "We are pleased the Bankruptcy Court recognized the
true value of this Agreement to all of our constituents and we
are extremely appreciative of the confidence that Dow has
demonstrated in Thermatrix as evidenced by this commitment. We
continue to believe that the Dow relationship is the foundation
for Thermatrix's recovery and a profitable future."

As a consequence of the ruling, The United States Trustee's
office withdrew its motion for the appointment of a Chapter 11
Trustee in the case.

Thermatrix is an industrial company primarily serving the global
market of continuously operating facilities for a broad range of
industries that include refining, chemical, steel,pharmaceutical,
pulp and paper, electric utility, co-generation, and industrial
manufacturing. Thermatrix provides a wide variety of air
pollution control solutions, including its unique flameless
thermal oxidation technology, as well as a wide range of
engineered products and services to meet the needs of its
clients.


TURBODYNE TECHNOLOGIES: Reports Financial Results For Quarter
-------------------------------------------------------------
Turbodyne Technologies Inc. (EASDAQ:TRBD) reported financial
results for the three months period ended March 31, 2000.

In December 1999, the Company sold substantially all of the
assets of Pacific Baja pursuant to an order of the U.S.
Bankruptcy Court. Pacific Baja accounted for substantially all of
the Company's sales on a consolidated basis for the twelve months
ended December 31, 1999. Accordingly, Pacific Baja's results of
operations for the first quarter of 1999 are no longer reported
or discussed in the comparative analysis.

Net sales for the three months ended March 31, 2000 increased to
$268,000 compared to $103,000 for the same period in 1999, an
increase of 165,000 or 160%. This increase is attributed to the
substantial increase in sales to Detroit Diesel.

Gross profit for the three months ended March 31, 2000 decreased
to $14,000, or 5% of sales, from $21,000, or 20% of sales, for
the same period in 1999, a decrease of $7,000, or 33%. This
decrease in gross profit is attributed to the change in the
method of applying overhead and labor to cost of goods sold.

Selling, general and administrative expenses for the three months
ended March 31, 2000 decreased to $852,000 from $2,718,000 for
the same period in 1999, a decrease of $1,866,000 or 69%. The
decrease in selling, general and administrative expenses as a
percent of sales is a result of staff reductions implemented by
management, and the substantial increase in sales.

Research and development costs for the three months ended March
31, 2000 increased to $1,246,000 from $1,171,000 for the same
period in 1999, an increase of $75,000 or 6%. This increase is a
result of an increase in research and development necessary for
the Joint Development Project with Honeywell.

Net loss for the three months ended March 31, 2000 was $2,118,000
compared to $3,761,000 for the same period in 1999. This
improvement is the result of reduced costs of selling, general
and administrative expenses as discussed in more detail in the
Company's Quarterly Report on Form 10-Q.

In 1999, the Company entered into joint development, licensing,
supply and royalty agreements with Honeywell Turbocharging
Systems, a leading turbocharger manufacturer, under which the
Company and Honeywell will jointly continue the development for
mass production of the Turbopac(TM) and Dynacharger(TM) product
lines. In the first three months of 2000, the Company and
Honeywell delivered one prototype of the Dynacharger(TM) to an
automotive manufacturer. Revenue under these agreements in 1999
and the first three months of 2000 was minimal.

In 2000, the Company also continued low volume production and
limited sales of the Turbopac(TM) 2500 model pursuant to its
contract with Detroit Diesel Corporation, a major global diesel
engine producer. The contract with Detroit Diesel Corporation is
presently the main source of sales of Turbodyne's products. Aside
from this contract, the Company is largely dependent on its
ability to raise funds for its working capital and research and
development through financings. The report of Turbodyne's
independent auditor notes that there is substantial doubt about
the Company's ability to continue as a going concern.

On March 3, 2000, the US Secretary of Energy announced that the
United States Department of Energy will be awarding approximately
$5 million this fiscal year to seven teams for the development of
hybrid propulsion systems and advanced components to reduce fuel
consumption and emissions from truck diesel engines. Four of
these teams will develop advanced fuel and emissions components.
They will match Energy Department funding at a one-to-three
ratio. The Company, Honeywell and Navistar have jointly been
selected to develop an electrically assisted turbocharger (EAT)
for improved vehicular response, reduced fuel consumption and
lower emission levels.

The Company intends to file its Quarterly Report on Form 10-Q for
the first quarter of 2000 today with the US Securities and
Exchange Commission via the Edgar system and with the Market
Authority of EASDAQ.

Turbodyne Technologies Inc., a California based high technology
company, specializes in the development of charging technology
for internal combustion engines plus the development and
manufacturing of high-tech assemblies for electrically assisted
turbochargers and superchargers. Turbodyne Technologies Inc.'s
headquarters is located in Carpinteria, Calif.; the European
business location is Frankfurt, Germany. Additional information
about the company is available on the Internet at
http://www.turbodyne.com.


VISIONAMERICA: Class Action filed; "Going Concern" Opinion Likely
-----------------------------------------------------------------
The law firm of Cauley & Geller, LLP has filed a class action
lawsuit in the United States District Court in Nashville,
Tennessee on behalf of all individuals and institutional
investors that purchased or otherwise acquired publicly traded
securities of VisionAmerica, Inc. (Nasdaq: VSNAE) between
November 5, 1998 and March 24, 2000, inclusive.  Significantly,
on May 12, 2000, VisionAmerica announced that it would post a
huge 1999 loss of $33 million and that its auditors were likely
to issue a "going concern" opinion as to VisionAmerica's ongoing
viability.

The complaint charges that the Company and certain of its
officers and directors violated the federal securities laws by
providing materially false and misleading information about the
Company's financial condition during the Class Period.  Among
other things, the Complaint alleges that the Company failed to
properly pay and account for large payroll taxes.  As a result,
the Company faces massive tax liabilities, penalties and
interest.  As a further result, the Company is in default of
certain credit agreements with its primary lenders.

When the truth about the Company's financial disarray was
revealed, the price of the stock dropped significantly, causing
unwitting shareholders to suffer losses.


WESTMORELAND COAL: First Quarter Positive Cash Flow
---------------------------------------------------
Westmoreland Coal Company (Amex: WLB) reported that despite
losing quarterly equity in earnings from the Rensselaer project,
which was sold in March, 1999, revenues from the Otter Tail coal
supply agreement, which was not renewed because of lower emission
requirements at the customer's generating station, and some
throughput at Dominion Terminal, which continues to suffer
from declining demand for American coal abroad, cash flow results
were better this year than last.

Net loss was $2.5 million for the quarter ended March 31, 2000,
compared to net income of $12.5 for the corresponding quarter of
1999 as a result of a very large one-time gain.  The loss for the
first quarter of 2000 was driven by the ongoing high cost of
retiree medical benefits paid for by the Company, and a further
reduction in coal throughput at DTA as the export coal market
continues to decline.  First quarter 1999 results included $18.2
million in independent power equity in earnings from the
Rensselaer project and its sale, offset by certain one-time
selling and administrative costs.  Excluding the effect of the
Rensselaer earnings and one-time events, net income improved by
$0.6 million, or 19%, in first quarter 2000 compared to first
quarter 1999.

Westmoreland will file its first quarter 2000 Form 10-Q with the
SEC. Any person interested in receiving a copy of the first
quarter 2000 Form 10-Q or 1999 Form 10-K can request copies by
writing to the Company at the following address:  Westmoreland
Coal Company, 2 North Cascade Avenue, 14th Floor, Colorado
Springs, CO, 80903.  The Forms are also available electronically
through the SEC's EDGAR system.

Westmoreland Coal Company, headquartered in Colorado Springs, CO,
emerged from Chapter 11 on January 4, 1999.  To receive a copy of
the Company's Annual Report, please contact Diane Jones at (719)
442-2600.

                     *********

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

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