TCR_Public/010711.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, July 11, 2001, Vol. 5, No. 134

                            Headlines

360NETWORKS: Court Okays Continued Use Of Cash Management System
ALAMAC KNIT: Engages Morris Anderson as Restructuring Consultant
AMF BOWLING: Retains Willkie Farr & Gallagher As Lead Counsel
AMRESCO INC.: NCS I LLC Buying All Assets For $309 Million
AVATEX CORPORATION: Centaur Partners Group Holds 15.2% Of Stock

BRADLEES, INC.: Lease Auction Proceeds Approximate $150 Million
BRIDGE INFORMATION: Gulfcoast Moves To Modify Automatic Stay
COMMODORE HOLDINGS: Files Liquidation Plan in Florida
DANKA BUSINESS: Completes Securities Exchange Offer
EAGLE FOOD: Implements Reverse Stock Split For Continued Listing

ENERGY WEST: Obtains Temporary Restraining Order Against PPLM
FRUIT OF THE LOOM: Lease Decision Period Extended to Dec. 31
GRANITE BROADCASTING: Moody's Cuts Ratings To Lower-C Levels
GUNTHER INTERNATIONAL: Gerald Newman Reports 34% Equity Stake
HOMEPLACE HOLDING: Bankruptcy Court Okays Sale Of Customer Lists

ILOTRON LIMITED: Altamar Networks Acquires Assets
LAIDLAW INC.: Court Permits Continued Use of All Business Forms
LERNOUT & HAUSPIE: Seeks Further Extension of Exclusive Periods
LOEWEN: Reports On Miscellaneous Asset Transactions in April
LTV: Labor Agreement Clears Way for Restructuring

LTV: Asks Court To Approve Cleveland-Cliffs Purchase Agreement
LTV: General Motors to Quit Buying Steel By Year End
MARINER: Agrees To Stipulation Extending Exclusive Period
MATLACK SYSTEMS: Moves to Protect Drivers Under Chapter 11 Stay
MICROAGE: Judge Confirms Liquidation Plan Despite SEC Objection

MONTERREY POWER: S&P Affirms BB+ Senior Secured Bond Rating
OBJECTSOFT CORP.: Terminates Merger Plans & Considers Bankruptcy
OWENS CORNING: Taps IPNet To Simplify Supply Chain Communication
PENN SPECIALTY: Files Chapter 11 Petition in Wilmington
PENN SPECIALTY: Chapter 11 Case Summary

PILLOWTEX CORP.: Settling And Paying Claims And Controversies
PSINET INC.: Court Issues Comfort Order re Chapter 11 Status
PSINET INC.: Selling Hong Kong Operations To Silver Linkage
RANCH *1 INC.: Kahala Corp. Extends $2,500,000 DIP Financing
SAFETY-KLEEN CORP.: Releases Restated & Y2K Financial Statements

SAMUELS JEWELERS: Amends $40 Million Loan Agreement
SERVICE MERCHANDISE: Subleases Store #558 In Arlington, Illinois
SUN HEALTHCARE: Claimants Agree To Expunge Tort Claims
USG CORPORATION: Obtains $350 Million DIP Financing Package
VENTAS INC.: Board Declares Quarterly Cash Dividend

VIDEO NETWORK: Appeals Nasdaq's Delisting Determination
VLASIC FOODS: Rejecting 114 Executory Broker Contracts
WARNACO GROUP: Taps Bankruptcy Services Inc. As Claims Agent
WARNACO: Wins Final Court Nod for $600 Million DIP Financing
WEBVAN GROUP: Shuts Down And Plans to File for Bankruptcy

WESTPOINT STEVENS: Projects Deeper Loss for Second Quarter 2001
WINSTAR COMMUNICATIONS: Wants To Reject 34 Unexpired Leases
WINSTAR COMMUNICATIONS: Completes Placement of DIP Facility
XATA CORPORATION: John Deere Now Has 31% Equity Stake
XATA CORP.: Stephen A. Lawrence Steps Down As Board Chairman

* Meetings, Conferences and Seminars

                            *********

360NETWORKS: Court Okays Continued Use Of Cash Management System
----------------------------------------------------------------
Vanessa A. Wittman, 360networks inc.'s Chief Financial Officer,
tells Judge Gropper that the Company uses a sophisticated cash
management system that allows the Company to (a) control and
monitor corporate funds, (b) invest idle cash, (c) ensure the
availability of funds where they're needed when they're needed;
and (d) reduce administrative expenses by facilitating the
movement of funds and aiding accounting processes.

By motion, the Debtors sought and obtained permission to
maintain their pre-petition cash management system.

Ms. Wittman stepped the Court through the structure of the
Debtors' Cash Management System at the First Day Hearing:

The Debtors generate revenue principally from:

      (a) the sale of inactive or "dark" fiber;

      (b) the sale of bandwidth or "lit" fiber;

      (c) the construction of networks or portions of networks
          for other users and service providers; and

      (d) the provision of services and maintenance related to
          such networks.

Two of the U.S. Debtors -- 360fiber inc. and 360networks (USA)
inc. -- each manage and possess title to its own operating
account, for the purpose of managing the foregoing United States
based revenue sources. These Sub-Accounts are used to collect
receipts as well as pay disbursements and are subject to mirror
netting procedures whereby shortfalls in any one Sub-Account are
automatically funded from excess deposits in the other Sub-
Account.

From time to time, the Sub-Accounts remit funds to or receive
funds from, as the case may be, the Debtors' Main Operating
Account maintained by 360networks holdings (USA) inc. The Main
Operating Account is utilized to pay substantially all
disbursements of the Debtors not paid directly from the Sub-
Accounts or otherwise fund accounts maintained for specific
purposes, including non-debtor concentration accounts that fund
directly and indirectly the Company's overseas operations.

Funds from the Main Operating Account are transferred to and
from the main Canadian operating account. Canadian Operating
Account transfers funds to and from Canadian sub-operating
accounts and a European operating account, which funds directly
and indirectly the operations of the Debtors' European and South
American affiliates.

Funds borrowed under the Debtors' revolving secured credit
agreement were drawn directly into a segregated account
maintained for such purposes and transferred to the Main
Operating Account. Additionally, prior to each applicable pay
date, the Debtors fund employee payroll by transferring funds
from the Main Operating Account into payroll accounts maintained
by the Debtors' payroll service providers.

Excess funds in the Main Operating Account were used to pay
amounts owing under the revolving credit facility or transferred
into investment accounts. The revolving credit agreement
restricts the type of investments the Debtors are permitted to
make.

The Debtors record most transfers of funds among the Debtors and
their non-debtor affiliates as intercompany transfers; however,
certain transfers among the Debtors' non-debtor affiliates are
recorded as capital contributions or dividends, as the case may
be. The Debtors and their non-debtor affiliates maintain
detailed records of all intercompany transfers of funds.
Postpetition, all such transfers will be recorded as
intercompany transfers.

The Debtors' existing cash management and intercompany
accounting procedures are essential to the orderly operation of
the Debtors' businesses, Ms. Wittman says, adding that cost and
expense of changing the Bank Accounts and creating a new cash
management system would not only force the Debtors to incur
significant and unnecessary costs and expenses, but could
paralyze the Debtors' operations.  Indeed, Ms. Wittman
continues, forcing the Debtors to employ a new cash management
system would cause confusion, diminish the prospects for a
successful reorganization, disrupt payroll, introduce
inefficiency when efficiency is most essential, and strain the
Debtors' relationships with critical third parties. Naturally,
these relationships must be maintained to give the Debtors the
opportunity to reorganize successfully.

Alan J. Lipkin, Esq., at Willkie Farr & Gallagher suggests that
the Debtors' centralized cash management system and intercompany
accounting procedures are similar to those utilized by other
major corporate enterprises operating both in and outside of
chapter 11. The Cash Management System permits the Debtors to:
(i) provide availability of funds when and where necessary; and
(ii) develop timely and accurate accounting information. The
Debtors intend to continue to maintain strict records regarding
all transfers so that the United States Trustee and parties in
interest may readily monitor the Debtors' financial activity.

The Debtors do not, Ms. Wittman confirmed to Judge Gropper,
anticipate funding affiliates outside the U.S. and Canada, and
with that, Judge Gropper ruled that the Debtors' Motion is
granted in all respects. (360 Bankruptcy News, Issue No. 2;
Bankruptcy Creditors' Service, Inc., 609/392-0900)


ALAMAC KNIT: Engages Morris Anderson as Restructuring Consultant
----------------------------------------------------------------
Alamac Knit Fabrics, Inc., et al. seeks court authority to
employ and retain Morris Anderson & Associates Ltd. as
professional consultants for the debtors, nunc pro tunc to
June 13, 2001.  The firm will assist Alamac by:

      * Advising the debtors regarding operational restructuring,
        including but not limited to plant closings, other
        streamlining measures and asset sales;

      * Advising the debtors as to strategies and available
        options for cost containment measures and implementation
        thereof;

      * Advising the debtors regarding cash management issues,
        including strategies for positioning the debtors for exit
        financing; and

      * Providing such other and further services as may be
        requested by the debtors in connection with the
        confirmation and consummation of the plan.

The firm will charge its customary hourly rates ranging from
$175 to $295.

The debtors' total liabilities exceed $228 million.  The debtors
are not in compliance with certain covenants under the loan and
security agreement. The debtors have also failed to make a
scheduled interest payment on the Subordinated Notes which was
due on September 1, 2000. Under the proposed pre-arranged plan,
the e holders of Subordinated Notes will receive new Senior
Subordinated Payment-in-kind Notes in the aggregate amount of
$15 million, plus 100% of the stock of the reorganized
Dyersburg.  Holders of Dyersburg common stock will receive
warrants. Holders of intercompany claims, holders of options to
purchase Dyersburg common stock, and holders of statutorily
subordinated claims relating to the purchase or sale of
Dyersburg common stock or options, will receive no
distributions. All other creditors and interest holders are
impaired.  Modified versions of the plan and Disclosure
Statement were filed with the court on October 26, 2000. By
order dated October 31, 2000, the court approved the Disclosure
Statement.


AMF BOWLING: Retains Willkie Farr & Gallagher As Lead Counsel
-------------------------------------------------------------
AMF Bowling Worldwide, Inc. retained Willkie Farr & Gallagher in
August 2000, to provide general advice and assistance with
regard to a financial restructuring.  When it became apparent
that a bankruptcy filing was likely, the Debtors then asked WF&G
to provide advice about preparation for the commencement and
prosecution of a case under chapter 11 of the Bankruptcy Code.
By this application and pursuant to section 327(a) of the
Bankruptcy Code, as modified by section 1107(b) of the
Bankruptcy Code, the Debtors seek to employ WF&G as its lead
attorneys to:

     (a) provide the Debtors with advice, represent the Debtors,
         and prepare all necessary documents on behalf of the
         Debtors, in the areas of corporate, real estate,
         employee benefits, business and commercial litigation,
         tax, debt restructuring, bankruptcy and, if requested,
         asset dispositions;

     (b) take all necessary actions to protect and preserve the
         Debtors' estates during the pendency of its chapter 11
         case, including the prosecution of actions by the
         Debtors, the defense of actions commenced against the
         Debtors, negotiations concerning all litigation in which
         the Debtors are involved and the objection to claims
         filed against the estates;

     (c) prepare, on behalf of the Debtors, as debtors in
         possession, all necessary motions, applications,
         answers, orders, reports and papers in connection with
         the administration of these chapter 11 cases;

     (d) counsel the Debtors with regard to their rights and
         obligations as debtors in possession;

     (e) seek confirmation of the Plan and undertake to cause it
         to become effective in accordance with its terms; and

     (f) perform all other necessary legal services.

The Debtors are also applying to the Court to retain (a)
McGuireWoods, as co-bankruptcy counsel, (b) Wachtell, Lipton,
Rosen & Katz, as special corporate counsel, (c) The Blackstone
Group, L.P., as financial advisor, and (d) Arthur Anderson, as
restructuring advisors/accountants. Each of these firms works
under the direction of the Debtors' management. "The Debtors'
management is committed to minimizing duplication of services in
order, among other reasons, to reduce professional costs," and
to that end, AMF has instructed WF&G to work closely with each
of these firms to ensure that there is no unnecessary
duplication of effort or cost.

From August 2000 to the Petition Date, WF&G discloses, the Firm
received prepetition retainers in the amount of approximately
$2,100,000 and applied these retainers to services rendered and
expenses incurred prior to the Petition Date.  For post-petition
services, WF&G will charge its customary hourly rates, ranging
between $265 and $650.  The paralegals that likely will assist
the attorneys who will represent the Debtors have current
standard hourly rates ranging between $100 and $135.  WF&G's
bankruptcy and creditors' rights attorneys that are likely to
represent the Debtors in these cases, and their standard hourly
rates are:

            Attorney's Name                Hourly Rate
            ---------------                -----------
            Marc Abrams                        $615
            Michael Kelly                      $505
            Rachel C. Strickland               $275
            Theresa A. Fox                     $265

Marc Abrams, Esq., leading the Debtors' legal team from WF&G's
Manhattan offices, assures the Court that WF&G is a
disinterested person" as that term is defined in 11 U.S.C. Sec.
101(14), as modified by section 1107(b), of the Bankruptcy Code.
While WF&G does not represent any other client in AMF's cases,
out of an abundance of caution, Mr. Abrams discloses these
relationships to the Court for its review, review by the United
States Trustee and any other party-in-interest in AMF's chapter
11 cases:

       (a) Because of its broad-based general practice, WF&G (i)
has appeared in the past and may appear in the future in cases
unrelated to these chapter 11 cases where one or more of the
Potential Parties In Interest may be involved; and (ii) has
represented in the past, currently represents and/or may
represent in the future one or more of said parties or other
potentially interested parties or creditors in matters unrelated
to these chapter 11 cases. For example, WF&G performs services
on behalf of AT&T, Merrill Lynch & Co. and certain of their
subsidiaries and/or affiliates. Other than as described herein
and upon information and belief, WF&G does not represent these
entities on matters in any way related to the Debtors.

       (b) Prior to the Petition Date, WF&G began representing
the Debtors with respect to providing general restructuring
advice and related issues and, ultimately, organizing and
preparing for the filing of these cases.

       (c) WF&G currently represents or has open matters with
these Current Clients:
                                                Percentage of
                              Relationship        Firm's 2000
Current Client               to Debtors              Revenue
--------------               ------------      -------------
AT&T                         Vendor                     .48%
Arrow Electronics, Inc.      Vendor                   < .01%
Bank of America, N.A.        Secured Lender               0%
Bank of New York             Indenture Trustee        < .01%
The Blackstone Group         Financial Advisors       < .01%
Chase Manhattan Bank         Secured Lender             .01%
Citicorp (Citibank, N.A.)    Administrative Agent       .01%
Deutsche Bank/Bankers Trust  Possible Exit Financing   1.52%
Duke Power                   Vendor                     .01%
General Electric Capital     Secured Lender             .16%
Goldman Sachs & Co.          Secured Lender             .11%
Lucent Technologies          Vendor                     .01%
Marsh & McLennan             Insurance Broker          2.01%
Merrill Lynch                Secured Lender             .78%
Mid-America Energy Corp.     Vendor                     .35%
Royal and Sun Alliance
    Insurance                 Vendor                     .08%
Salomon Smith Barney         Secured Lender             .60%
Scudder Kemper Investments   Beneficial Bondholder      .21%
Sprint                       Vendor                    1.26%
Time Warner Incorporated     Vendor                     .21%
Zurich Insurance Company     Insurance Provider        1.87%

WF&G may continue to represent such entities in the future in
matters unrelated to these cases. These Current Clients "do not,
individually or in the aggregate, constitute a substantial
portion of WF&G's revenues," Mr. Abrams notes.

       (d) WF&G has in the past represented these Former Clients:

                 * First Union National Bank
                 * Comcast Corporation
                 * U.S. West

in matters unrelated to these chapter 11 cases. WF&G may
represent these Former Clients in the future in matters
unrelated to these cases.

       (e) Certain members of WF&G and certain associates of and
"of counsel" attorneys to WF&G, and certain of such persons'
relatives may have familial or personal relationships with
officers, directors and/or shareholders of creditors of the
Debtors, competitors of the Debtors and/or other parties in
interest in these cases.  As of the date hereof, WF&G is not
aware of any such relationships that are material.

       (f) "Certain of my partners at WF&G and certain of the
associates of and 'of counsel' attorneys to WF&G, and certain of
such persons' relatives, may directly or indirectly be
shareholders of creditors of the Debtors, competitors of the
Debtors and/or other parties in interest. I believe such
persons' holdings are insignificant and, insofar as I have been
able to ascertain, none of these shareholders controls or has
any influence on such creditor or party in interest. I do not
believe these shareholders' interests, considered separately or
collectively, are material," Mr. Abrams says.

       (g) "Certain of my partners at WF&G and certain of the
associates and 'of counsel' attorneys to WF&G, and certain of
their relatives, may have business, contractual, economic,
familial or personal relationships with creditors of the Debtors
and/or other parties in interest or such entities' respective
officers, directors or shareholders. Insofar as I have been able
to ascertain, none of these officers, directors and/or
shareholders has any substantial or direct involvement in these
cases or, alternatively, such relationships are insignificant. I
do not believe these familial or personal relationships,
considered separately or collectively, are material," Mr. Abrams
states.

       (h) WF&G currently represents Goldman Sachs & Co., a
substantial equity holder of Holdings' parent company (AMF
Bowling, Inc.) and an affiliate of Goldman Sachs Credit
Partners, L.P., one of the arrangers and the Syndication Agent
of the Debtors' Prepetition Credit Facility in connection with
certain matters unrelated to the Debtors. WF&G has not and will
not represent Goldman in connection with any matters related to
the Debtors and these cases. Moreover, WF&G does not represent
AMF Bowling Inc.

       (i) WF&G currently represents Citibank, N.A., which is the
Administrative Agent of the Prepetition Credit Facility and
potential DIP lender, in a matter unrelated to the Debtors. WF&G
has not and will not represent Citibank in connection with any
matters related to the Debtors and these cases.

       (j) WF&G regularly represents the American Institute of
Certified Public Accountants and certain members thereof. The
AICPA is not, to WF&G's knowledge, a party in interest in these
cases. As a result of WF&G's representation of the AICPA,
however, WF&G has adopted policies respecting WF&G's
representation of parties in actions or proceedings against
accounting firms. Thus, WF&G would need to determine, under the
facts and circumstances then present, whether it could represent
the Debtors in any such action or proceeding. WF&G is not aware
of any claims against any accounting firms that have been
asserted or that are the subject of any investigation with
respect to the Debtors.

       (k) WF&G currently represents Mosler Inc. More than one-
half of the equity of Mosler is owned by Kelso Investment
Associates II, L.P., Kelso Mosler Partners, L.P., Kelso
Investment Assoc. IV, L.P., and Kelso Equity Partners II, L.P.
Tom Wall is a general partner of Kelso Investment Associates II,
L.P., Kelso Mosler Partners, L.P., Kelso Equity Partners II,
L.P. and Kelso Partners IV, L.P., the general partner of Kelso
Investment Associates IV, L.P. Tom Wall is also a Director of
the Debtors and general partner of Kelso Equity Partners V,
L.P., which is an equity owner of the Debtors. Tom Wall is also
a general partner of Kelso Partners V., L.P. which is the
general partner of Kelso Investment Associates V., L.P., an
equity owner of the Debtors. Together, Kelso Equity Partners V,
L.P. and Kelso Investment Associates V, L.P. own approximately
10% of the Debtors' total issued shares.

       (l) WF&G has been retained as counsel for entities which
have retained the Blackstone Group, L.P., as advisors.

"I believe that none of the representations or relationships
recited above would give rise to a finding that WF&G represents
or holds an interest adverse to the Debtors with respect to the
services for which WF&G would be retained," Mr. Abrams states in
an Affidavit. (AMF Bankruptcy News, Issue No. 2; Bankruptcy
Creditors' Service, Inc., 609/392-0900)


AMRESCO INC.: NCS I LLC Buying All Assets For $309 Million
----------------------------------------------------------
On June 29, 2001, Amresco, Inc., as seller, and NCS I LLC, as
purchaser, entered into an Asset Purchase Agreement under which
the Company agreed to sell to NCS substantially all of the
Company's remaining assets (exclusive of cash and cash
equivalents), including the Acquired Subsidiaries. The investors
in NCS are Renewal Partners LLC, affiliates of Fortress
Investment Fund LLC, and Goldman Sachs Mortgage Company, an
affiliate of Goldman Sachs Group Inc. An affiliate of NCS has
also committed to provide up to $275 million of interim
warehouse financing to the Acquired Subsidiaries to permit them
to fund new loan originations.

                       PURCHASE PRICE

The gross, unadjusted purchase price for the assets is $309.0
million. The Consideration is comprised of approximately $284.0
million of cash payable at closing (subject to certain
adjustments) and an unsecured, non-negotiable promissory note of
NCS aggregating $25.0 million. The cash Consideration payable at
closing will be reduced dollar for dollar by (i) the principal
amount outstanding and accrued interest on the replacement
warehouse facilities, (ii) the cash received from the sale of
loans by the Acquired Subsidiaries on or after May 31, 2001
through closing, (iii) 60% of the principal amount of loans
funded under the replacement warehouse facilities (other than
the Small Business Administration guaranteed portion of loans)
that, as of the closing date, are past due by more than 30 days,
(iv) cash received by the Acquired Subsidiaries from the Cut-Off
Date through the closing date (excluding cash contributed by the
Company, proceeds from the sale of loans, interest received on
loans and cash proceeds from other investments held by the
Acquired Subsidiaries), (v) Adjusted GAAP Liabilities (as
defined) as of the closing date and (vi) investment proceeds
from investments (other than loans held for sale) held by the
Acquired Subsidiaries and proceeds (interest income, sale
proceeds) from investment and other assets held by the Company
(or retained by the Company) that are part of the assets to be
conveyed to NCS from the Cut-Off Date through the closing. The
cash consideration will be increased, on a dollar for dollar
basis, by (x) the principal amount of loans funded by the
Acquired Subsidiaries from the Cut-Off Date through closing and
accrued interest on such loans at closing and (y) cash
(excluding cash in an amount equal to proceeds (i.e. interest)
of investments held by the Acquired Subsidiaries) held by the
Acquired Subsidiaries as of the closing date. There will be a
post-closing audit of the Company's balance sheet and income
statement. The purchase price was the result of arms-length
negotiations between the parties.

Interest on the Note accrues at the prime rate per annum. The
initial principal payment under the Note is due on the six month
anniversary of closing. Payment of the principal is subject to
and may be offset by any obligation of the Company owed to NCS
under the Purchase Agreement or other related agreements,
including the Company's indemnity obligations thereunder. The
Note will not be paid in full until all indemnity claims of NCS
or other permitted holdbacks have been finally resolved.

                      PURCHASED ASSETS

NCS is acquiring substantially all of the assets Of the Company,
excluding cash and cash equivalents. The Purchased Assets
include all of the issued and outstanding shares of capital
stock of ACFI and AIFI, various notes held by the Company (or
its retained subsidiaries) and other investment assets of the
Company (residuals and other interests from prior
securitizations, other miscellaneous investment assets) as well
as tangible real and personal property.

NCS assumed certain pre-closing liabilities relating to the
acquired assets. Outside of enumerated liabilities or
obligations expressly assumed by NCS, all pre-closing
liabilities and obligations related to the assets remain with
the Company.

                 INTERIM WAREHOUSE FINANCING

The Acquired Subsidiaries are dependent upon warehouse financing
to fund loans originated by them and held for sale into periodic
securitization transactions. The warehouse facility for ACFI
matured in March 31, 2001 and has been extended since that date.
The latest extension expires on July 16, 2001. In addition,
ACFI's lender has not permitted funding of new loans under that
facility since March 31, 2001.

The warehouse facility for AIFI expires in December 2001. While
the lender under that facility has continued to fund new loans,
it has made clear its desire to exit this facility at the
earliest possible date. Moreover, AIFI's has been in default of
certain of its covenants under this facility and the lender has
been granting periodic waivers.

In conjunction with entering into the Purchase Agreement, an
affiliate of NCS, NCS II LLC, committed to fund interim
warehouse financing for both Acquired Subsidiaries. Neither
facility will be funded until the Bankruptcy Court approves the
Company's proposed bidding procedures for the sale of its assets
and approves the guarantee of the warehouse facilities by the
Company, secured by the Company's assets.

The warehouse facility for ACFI would replace and refinance in
its entirety the existing facility. The facility would have a
total borrowing base of $175 million. A commitment fee of
$1,750,000 was paid in conjunction with the delivery of the
commitment. In addition, a fee of 1% will be paid on each
advance under the facility (including the refinancing of the
outstanding loan balance under the existing warehouse facility),
provided that the aggregate advance fees paid will not exceed
$1,750,000. The facility would have a maturity date of October
30, 2001 and an advance rate of 95%. The interest rate would be
LIBOR plus 250 basis points for 90 days. This rate would
increase by 75 basis points for each 30 days thereafter so long
as the facility is in place. Finally, the Company would pay 40
basis points on the outstanding principal amount under the
facility at the 90th day of funding and then each quarter
thereafter.

With respect to the facility for AIFI, NCS II LLC will acquire
the facility currently in place from the existing lender and
increase the facility amount from its current $75,000,000
ceiling to $100,000,000. A commitment fee of $1,000,000 has been
paid in respect of this facility. The facility amount and terms
would remain the same as previously disclosed, including a
maturity date of December 17, 2001.

In the event that another party other than NCS was successful in
the auction described below, the winning bidder, as a condition
to being a qualified bidder, would have to be prepared to
replace both of these interim warehouse facilities immediately.

                REPRESENTATIONS AND WARRANTIES

The Purchase Agreement contains various representations and
warranties customary for purchase transactions of this type. The
representations and warranties address various matters,
including the authorization of the Purchase Agreement, required
consents, power and authority, litigation, compliance with laws,
title to the assets being conveyed, intellectual property rights
and software matters, accuracy of the information supplied to
NCS by the Company, and absence of changes and undisclosed
liabilities.

              CLOSING AND CONDITIONS TO CLOSING

The Purchase Agreement contains various conditions to closing.
NCS' closing conditions include, among others, the absence of
any material litigation, the continued accuracy of the
representations and warranties of the parties, the receipt of
required governmental approvals and other third party consents
and releases, the retention of key employees, the resignations
of all directors, the lack of material adverse changes in
respect of the businesses and the entry of the Bidding
Procedures Order and Sale Order by the Bankruptcy Court. The
Bidding Procedures Order is required to have been entered not
later than July 13, 2001 and the Sales Order must have been
entered not later than September 7, 2001.

                           COVENANTS

The Purchase Agreement contains various pre-closing and post-
closing covenants customary for a sale of this type. For a
period of two years following closing, the Company may neither
directly or indirectly solicit or recruit its former employees
who subsequently accepted offers of employment with NC

                    SURVIVAL AND INDEMNIFICATION

Generally, the representations and warranties survive for six
months following the closing. Certain tax representations and
warranties survive until expiration of the applicable
statute of limitations. The Purchase Agreement provides that
each party will indemnify the other for certain breaches,
actions or other claims, including claims arising with respect
to liabilities to be assumed by NCS or retained by the Company.
The indemnity of the Company is subject to a basket or floor of
$1,000,000 before any claim can be pursued against the Company,
at which point the Company shall be liable for the full amount
of all such claims back to the first dollar. The Company's
indemnity to NCS is limited to $25,000,000 in the
aggregate and, except for certain tax claims, shall be made
solely by set-off against the Holdback Note.

                 TRANSITIONAL SERVICE AGREEMENT

Prior to closing, NCS and the Company will negotiate in good
faith an agreement to be entered into for the provision of
transitional services to each other to facilitate an orderly
separation from the Company and transition to ownership by NCS
and for the administration of the Company's remaining assets and
estate following the closing date.

                         INITIAL DEPOSIT

Upon entry of the order of the Bankruptcy Court approving the
bidding procedures, NCS will make a deposit of $8 million to be
held by the Bankruptcy Court in escrow until closing or
termination of the Purchase Agreement.

                       BIDDING PROCEDURES

The Purchase Agreement provides for an extensive bidding process
in contemplation of the Company seeking approval of the sale
pursuant to Section 363 of the Bankruptcy Code.
The procedures provide that bids must be submitted to the
Company's counsel, Haynes and Boone, three business days prior
to the date of the hearing scheduled by the Bankruptcy Court for
the final approval of the sale. The Purchase Agreement contains
certain requirements in order for a competing bid to become a
Qualified Bid. If there are any Qualified Bids, an auction will
be held at the offices of the Company's counsel one business day
prior to the scheduled date for the Bankruptcy Court hearing.

The Purchase Agreement provides for a break-up fee and expense
reimbursement in the event that (i) the Company accepts a bid
other than that made by NCS, (ii) the Company determines to
sell, transfer, lease or otherwise dispose of its assets to
another party other than NCS within two years from June 29,
2001, or (iii) the Company otherwise chooses not to sell or
dispose of its assets whether as a result of the proposal of a
stand alone plan or reorganization or otherwise. A break-up fee
of $8 million would be due to NCS as well as reimbursement of
all expenses up to an amount not to exceed $2 million.


AVATEX CORPORATION: Centaur Partners Group Holds 15.2% Of Stock
---------------------------------------------------------------
As of June 22, 2001, the members of the Centaur Partners Group
beneficially owned an aggregate of 2,975,520 shares of common
stock, representing approximately 15.2% of the outstanding
shares of common stock (based upon 19,637,360 shares outstanding
as of June 1, 2001 as set forth in Avatex Corporation's Annual
Report for the fiscal year ended March 31, 2001, plus the shares
underlying warrants to purchase 1,958 shares beneficially owned
by Mr. Estrin).

Mr. Abbey J. Butler owns 1,604,750 of these shares (8.2%), Mr.
Melvyn J. Estrin beneficially owns 1,370,770 of these shares
(7.0%), and Human Service Group, Inc. owns 1,024,358 of these
shares (5.2%). Mr. Estrin's shares include beneficial ownership
of 1,062,116 shares of common stock, which consists of (i)
1,024,358 shares owned by Human Service Group, Inc. (ii) 13,418
shares owned by Estrin New Ventures, LLC, an entity controlled
by Mr. Estrin and his wife, (iii) 22,382 shares held in certain
trusts for which Mr. Estrin is a co-trustee, and (iv) 1,958
shares underlying warrants to purchase such shares held in
certain trusts for which Mr. Estrin is a co-trustee. Mr. Estrin
is not a beneficiary of any of these trusts, and disclaims
beneficial ownership of all shares and warrants held by the
trusts. Mr. Butler disclaims beneficial ownership of the shares
of common stock beneficially owned by Mr. Estrin and Human
Service Group, Inc. and Mr. Estrin and Human Service Group, Inc.
each disclaims beneficial ownership of the shares of common
stock owned by Mr. Butler.

The foregoing does not include an aggregate of 2,789,280 shares
of common stock issuable upon the exercise of options held by
Mr. Butler and Mr. Estrin, each of whom holds 1,394,640 of these
options. All of these options are currently exercisable. If all
of Mr. Butler's options were exercised, Mr. Butler would
beneficially own 2,999,390 shares of common stock, or
approximately 14.3% of the outstanding shares of common stock as
of June 1, 2001 plus the shares underlying his exercised
options. If all of Mr. Estrin's options were exercised,
Mr. Estrin would beneficially own 2,765,410 shares of the common
stock, or approximately 14.1% of the outstanding shares of
common stock as of June 1, 2001 plus (i) the shares underlying
his exercised options and (ii) the shares underlying warrants to
purchase 1,958 shares beneficially owned by him.


BRADLEES, INC.: Lease Auction Proceeds Approximate $150 Million
---------------------------------------------------------------
F&D Reports relates that at a recent lease auction sale held in
the Bradlees (Braintree, MA) Chapter 11 Case, bidding for the
Company's Clark, NJ store started at Target's (Minneapolis, MN)
initial bid of $8 million, with Wal-Mart submitting a qualified
overbid of $8.32 million (the required, minimum over bid of 4%).
From there, lively bidding ensued in  $50,000 increments up to
Target's winning bid of $10.2 million. F&D tabulates that this
brings the total for leases sold to date in the Company's
Chapter 11 case close to the $150.0 million mark.


BRIDGE INFORMATION: Gulfcoast Moves To Modify Automatic Stay
------------------------------------------------------------
Gulfcoast WorkStation Corporation is a subsidiary of Relational
Funding Corporation and has been a supplier to Bridge
Information Systems, Inc. since August of 1999.  On the other
hand, the Debtors have been a supplier to Gulfcoast since
October of 1999.

By motion, Gulfcoast seeks the Court's order for relief from the
automatic stay to off set the accounts due and owing by the
Debtor to Gulfcoast from the amounts due and owing by Gulfcoast
to the Debtors.

As of Petition Date, Dennis A. Dressler, Esq., at Askounis &
Borst, in Chicago, Illinois, relates, the amounts due and owing
to Gulfcoast are:

       Invoice Number          Due Date         Amount
       --------------          --------         ------
       110275                  3/21/01          $ 6,506.57
       110232                  3/17/01           23,145.42
       110173                  3/15/01            1,643.03
       20-I-7311               2/24/01           53,067.91
       20-I-7219               2/18/01            5,128.51
       20-I-7221               2/18/01            1,644.52
       20-I-7149               2/15/01          226,380.00
       20-I-6998               2/04/01           49,258.92
       20-I-6947               2/02/01          120,800.00
       20-I-6901               1/29/01          565,000.00
                                             -------------
                               TOTAL         $1,052.574.88

At the same time, Mr. Dressler notes, Gulfcoast owes the Debtors
$689,000 as a result of various transactions made as of Petition
Date.  After offset, Mr. Dressler says, Debtors owe Gulfcoast
$363,574.88.

As a secured creditor, Mr. Dressler argues, Gulfcoast is
entitled to setoff as well as adequate protection of its
interests.  Since the Debtors failed to provide adequate
protection, Mr. Dressler says, the Court should modify the
automatic stay so that the amounts owed to Gulfcoast will be
paid.  (Bridge Bankruptcy News, Issue No. 10; Bankruptcy
Creditors' Service, Inc., 609/392-0900)


COMMODORE HOLDINGS: Files Liquidation Plan in Florida
-----------------------------------------------------
Cruise-ship operator Commodore Holdings Ltd. filed a plan to
liquidate its assets, according to The Wall Street Journal. The
Hollywood, Fla.-based company filed for bankruptcy protection in
December. Commodore and several related companies are seeking to
liquidate under a joint-reorganization plan filed last week with
the U.S. Bankruptcy Court in Fort Lauderdale, Fla. Commodore had
assets of $174.9 million on June 30, 2000, according to a
Securities and Exchange Commission filing. Creditors must
approve the liquidation plan. (ABI World, July 9, 2001)


DANKA BUSINESS: Completes Securities Exchange Offer
---------------------------------------------------
Danka Business Systems PLC (Nasdaq: DANKY) has completed the
exchange offer for its outstanding 6.75% convertible
subordinated notes due April 1, 2002 (CUSIP Nos. G2652NAA7,
236277AA7, and 236277AB5) and that the offer expired as of 8:00
a.m., New York City time on June 29, 2001.

The Company said that it has accepted tenders from holders of a
total of $184,012,000 in aggregate principal amount (92%) of the
6.75% convertible subordinated notes. Of the notes tendered
pursuant to the exchange offer, $118,484,000 in principal amount
was tendered for the limited cash option, $1,008,000 in
principal amount was tendered for the new senior subordinated
note option and $64,520,000 in principal amount was tendered for
the new 10% note option.

The limited cash option was oversubscribed. Accordingly, under
the limited cash option, Danka will purchase $60,000,000 of old
notes for cash at the rate of $400 in cash per $1,000 of old
notes and will exchange $58,484,000 in principal amount of old
notes for new zero coupon senior subordinated notes at the rate
of $800 in new notes per $1,000 principal amount of old notes.
For the total $118,484,000 principal amount of old notes
tendered for cash, the Company will pay $202.56 in cash and
$394.88 principal amount in new senior subordinated
notes per $1,000 principal amount of old notes.

Banc of America Securities LLC was the exclusive dealer manager
for the exchange offer.

Danka Business Systems PLC, headquartered in London, England and
St. Petersburg, Florida, is one of the world's largest
independent suppliers, by revenue, of office imaging equipment
and related services, parts and supplies. Danka provides office
products and services in approximately 30 countries around the
world.


EAGLE FOOD: Implements Reverse Stock Split For Continued Listing
----------------------------------------------------------------
On June 27, 2001, the shareholders of Eagle Food Centers, Inc.
approved an amendment to the Company's Certificate of
Incorporation to accomplish a reverse stock split which resulted
in each four outstanding shares of the Company's common stock
being automatically reclassified and changed into one share of
the Company's common stock. The amendment to the Certificate
of Incorporation was filed with the Delaware Secretary of State
and the Reverse Split was effective as of 12:01 a.m. on June 29,
2001.

The Reverse Split is intended to enable the Company to meet the
minimum bid price requirement in order to continue the listing
of the Company's common stock on The Nasdaq Small Cap Market.


ENERGY WEST: Obtains Temporary Restraining Order Against PPLM
-------------------------------------------------------------
ENERGY WEST INCORPORATED (Nasdaq: EWST) announced that its
wholly-owned subsidiary, ENERGY WEST RESOURCES (EWR), was
granted a temporary restraining order (TRO) on July 6, 2001
against PPL-Montana, LLC (PPLM). The TRO was granted by United
States District Court Judge Donald W. Molloy in Missoula,
Montana in response to a request by EWR.

EWR is engaged in the business of selling energy to its
customers, including residential and commercial users. EWR's
customers also include hospitals, school districts and
municipalities. A substantial amount of the electric energy sold
by EWR to such customers is purchased by EWR from PPLM under a
wholesale electricity supply contract. On June 29, 2001, PPLM
gave EWR notice of default and threatened early termination of
the wholesale electricity contract.

In response to PPLM's notice of default and demands, EWR filed a
complaint against PPLM in Federal District Court for the
District of Montana seeking a declaratory ruling that EWR has
not breached the wholesale electricity contract and also seeking
an injunction requiring PPLM to honor its commitment under the
wholesale electricity contract until its normal termination date
of June 30, 2002. EWR requested the TRO to preserve the status
quo and to give the parties an opportunity to resolve the
dispute without further litigation. The TRO temporarily prevents
any termination of the wholesale electricity contract by PPLM
and sets a preliminary hearing on EWR's complaint for July 19,
2001.

PPLM has cited the scheduling practices of EWR as the reason for
its notice of default and threatened early termination. Although
EWR purchased less than the full amount of power it was entitled
to purchase from PPLM under the wholesale electricity contract,
EWR received substantial imbalance payments (remarketing
revenue) as a result of the amount of power that it scheduled
from PPLM. The imbalance payments were made to EWR by its
transmission provider, The Montana Power Company (MPC), pursuant
to MPC's imbalance tariff authorized by the Federal Energy
Regulatory Commission (FERC). PPLM has taken the position that
it (and not EWR) is entitled to most or all of the remarketing
revenue, and that due to EWR's scheduling practices PPLM has the
right to terminate the wholesale electricity contract. Any
recovery of damages by PPLM, as well as the resulting costs to
EWR of securing alternative supplies in the event of termination
of the wholesale electricity contract, could be material to EWST
and its financial condition.

EWR believes that its scheduling practices were reasonable under
the circumstances, and that it is not in default under the
wholesale electricity contract. EWR intends to vigorously
advocate and defend its position.


FRUIT OF THE LOOM: Lease Decision Period Extended to Dec. 31
----------------------------------------------------------------
By order entered on June 22, 2001, the Honorable Peter J. Walsh,
District of Delaware entered an order granting an extension of
time within which Fruit of  the Loom must assume, assume and
assign, or reject each lease or cure any monetary pre-petition
default, through and including December 31, 2001.


GRANITE BROADCASTING: Moody's Cuts Ratings To Lower-C Levels
------------------------------------------------------------
Moody's Investor Service lowered the long-term debt ratings of
Granite Broadcasting Corporation including:

     * $100 million of 10.375% senior subordinated notes due 2005
       to Ca from Caa1,

     * $34 million of 9.375% senior subordinated notes due 2005
       to Ca from Caa1,

     * $58 million of 8.875% senior subordinated notes due 2008
       to Ca from Caa1, and

     * $239 million of 12.750% PIK preferred stock due 2009 to c
       from ca

     * senior implied rating to Caa2

     * senior unsecured issuer rating to Caa3.

Moody's also withdrew the ratings on Granite's secured bank
facilities. Approximately $431 million of debt securities are
affected.

The rating agency says that the downgrades consider the absence
of meaningful cash flow generation by Granite. This is mostly
due to the San Jose/San Francisco KNTV start up, as well as its
high debt service requirements, substantial refinancing risk,
and the overwhelming reliance on the KNTV's expected performance
in 2002 and beyond. This condition is worsened by the weak
advertising market, according to Moody's.

Moody's adds that the downgrades also consider the likelihood
that the restructuring of Granite's debt would result in the
impairment of its debt facilities, particularly, the senior
subordinated notes and preferred stock.

Granite Broadcasting Corporation is a television broadcaster,
operating nine television stations. The company is based in New
York, New York.


GUNTHER INTERNATIONAL: Gerald Newman Reports 34% Equity Stake
-------------------------------------------------------------
Mr. Gerald Newman is the beneficial owner of an aggregate of
1,460,191 shares of the common stock of Gunther International
Ltd., or approximately 34% of the 4,291,769 shares of
outstanding common stock of the Company. These 1,460,191 shares
are comprised of

      (1) 72,702 shares of common stock held directly by Mr.
          Newman, as to which shares Mr. Newman has sole voting
          and dispositive power, and

      (2) 1,387,489 shares of common stock held by Park
          Investment, (a corporation which is 50% owned by Mr.
          Newman), as to which shares he shares voting and
          dispositive power with the Executors (the Estate being
          the other 50% owner of Park Investment);

and do not include 13,754 shares of common stock credited as
stock units to Mr. Newman's account under the Companys
Directors' Equity Plan, as to which shares Mr. Newman does not
have voting or dispositive power.

To the best knowledge of Mr. Newman and Park Investment, the
Executors are the joint beneficial owners of an aggregate of
1,613,313 shares of common stock, or approximately 37.6% of the
4,291,769 shares of common stock. These 1,613,313 shares are
comprised of:

      (1) 225,824 shares of common stock held by the Estate, as
to which shares the Executors share voting and dispositive power
with each other; and

      (2) 1,387,489 shares of common stock held by Park
Investment, as to which shares the Executors share voting and
dispositive power with each other and with Mr. Newman.

Mr. Newman, a citizen of the United States, is principally
employed as a private investor. He is also a director of Gunther
International Ltd. and President, Secretary, Treasurer and the
sole director of Park Investment.

Park Investment is a Delaware corporation. Its principal
business is investment and its principal office is located in
Boca Raton, Florida. Park Investment is 50% owned by Mr. Newman.

Gunther International Ltd., Park Investment, Gerald H. Newman,
GP, the Estate, Four Partners and Robert Spiegel entered into a
Voting Agreement dated October 2, 1998, in which the parties
agreed to vote all shares of capital stock of Gunther
International owned by them at any time for election to the
Board of Directors of the Company of a number of individuals
nominated by GP sufficient to constitute a majority of the Board
of Directors, one individual nominated by the Estate and one
individual nominated by Park Investment. At present, Marc I.
Perkins, Robert Spiegel, George A. Snelling and Thomas M.
Steinberg are the nominees of GP, Steven S. Kirkpatrick is the
nominee of the Estate, and Gerald H. Newman is the nominee of
Park Investment. At the termination of the Voting Agreement Mr.
Kirkpatrick and Mr. Newman intend to remain as directors and
stand for re-election if nominated, without the benefit of the
Voting Agreement.


HOMEPLACE HOLDING: Bankruptcy Court Okays Sale Of Customer Lists
----------------------------------------------------------------
The U.S. Bankruptcy Court in Wilmington, Del., approved the sale
of HomePlace Holding Inc.'s customer lists to Linens 'N Things
Inc. and Replacements Inc., according to Dow Jones. HomePlace
filed for chapter 11 bankruptcy protection in January and is
winding down its business and liquidating its assets. The Myrtle
Beach, S.C.-based company operated 118 stores in 27 states. (ABI
World, July 9, 2001)


ILOTRON LIMITED: Altamar Networks Acquires Assets
-------------------------------------------------
Altamar Networks, a wholly owned subsidiary of Ditech
Communications Corporation (Nasdaq: DITC), announced the
completion of the purchase of some of the tangible assets and
intellectual property of Ilotron Limited (in administration), a
United Kingdom-based developer of photonic network equipment. In
addition, approximately 25 engineers and managers formerly
employed by Ilotron were hired. At the time of the purchase,
administrators had been appointed under the UK's Insolvency Act
to manage the affairs of Ilotron and dispose of its assets.

The purchase of assets was an all-cash transaction. The total
cost for purchasing the tangible assets and intellectual
property will be less than $1 million. The hiring of the new
employees in the UK will nominally increase the company's
quarterly costs for research and development.

The purchase of Ilotron's assets and intellectual property
enables Altamar Networks to add ultra-long haul capabilities to
Titanium, Altamar Networks' integrated and scalable optical
system transport product designed for the core optical network.
The addition of the new ultra-long haul capability is achieved
without resorting to specialized and expensive technologies. The
staff hired enhances Altamar Networks' competencies in
transmission system design, optical switching and network
planning and simulation. Altamar Networks expects production
shipment of Titanium in the spring of 2002.

"RHK expects the ultra long haul market to reach $3.4 billion by
2004, growing at 61% annually," said David Krozier, RHK's Senior
Analyst for Optical Transport.

"This transaction gives Altamar Networks the ability to address
the ultra-long haul segment of the transport market," said Tim
Montgomery, CEO of Altamar Networks, and president, chairman and
CEO of Ditech Communications. "This outstanding technology will
enable Altamar Networks to deliver a best-in-class transmission
solution, matching our best-in-class optical core switch design.
The addition of a substantial pool of talented engineers enables
us to immediately meet our critical hiring goals for the first
half of the year, which obviously enhances our ability to
deliver Titanium."

                      Altamar Networks

Altamar Networks designs, develops and markets communications
equipment for the core optical network. Altamar Networks'
flagship product, Titanium Optical Network System, is being
developed to integrate the key optical networking functions of
switching, transport and network management into a single system
that offers carriers radical switching scalability while driving
down transport costs. Altamar Networks is a subsidiary of Ditech
Communications Corporation, and is headquartered in Mountain
View, California. (Web site: http://www.altamar.com)


LAIDLAW INC.: Court Permits Continued Use of All Business Forms
---------------------------------------------------------------
Laidlaw Inc. uses numerous checks and a multitude of stationery
and other business forms. Paul E. Harner, Esq., at Jones, Day,
Reavis & Pogue notes that it's no secret Laidlaw filed for
bankruptcy protection -- it's on the front page of The Wall
Street Journal. It would be unduly burdensome and costly to
replace all of the Debtors' checks, stationery and other
business forms before they are exhausted.

By Motion, Laidlaw sought and obtained Judge Kaplan's permission
to continue using all of their Prepetition Business Forms
(including, without limitation, letterheads, purchase orders,
invoices and checks) without the requirement that they bear a
"Debtor-in-Possession" legend. (Laidlaw Bankruptcy News, Issue
No. 2; Bankruptcy Creditors' Service, Inc., 609/392-0900)


LERNOUT & HAUSPIE: Seeks Further Extension of Exclusive Periods
---------------------------------------------------------------
Lernout & Hauspie Speech Products N.V. and Dictaphone Corp. ask
Judge Wizmur to further extend the periods during which only
they may file a plan, and solicit acceptances, to and including
July 30, 2001, for the plan, and September 26, 2001, for
solicitation of acceptances. The Debtors argue that the present
deadlines do not afford management and its advisors a realistic
opportunity to craft and negotiate a joint plan that maximizes
the value of the Debtors' assets. The Debtors argue they need
the requested extension to accomplish that objective.

L&H NV anticipates it will file a plan in the concordat
proceeding in Belgium. In that country, the plan process is much
simpler than in the United States, and a debtor is not required
to file a disclosure statement. The concordat plan will provide
for a sale of L&H NV's assets on a going-concern basis, and for
distribution of the proceeds of that sale to creditors. The plan
will not, however, deal with the inter-company issues that have
complicated these chapter 11 cases since Dictaphone and Holdings
are not debtors in Belgium. The concordat plan also will not
contain a provision that will practically suspend its effects
until a similar plan containing similar terms is confirmed by
this Court.

The Debtors anticipate meeting with the advisors for the
Creditors' Committees to start the process of negotiating a
joint plan for the Debtors within a month. The Debtors will also
be analyzing all claims filed before the Bar Date, and awaiting
the outcome of other proceedings. The Debtors will also be
finalizing a disclosure statement for their plan. The Debtors
anticipate presentation of a plan before the end of July 2001.

The Debtors repeat their earlier arguments about the large size
and complexity of these cases, and assert that they are being
diligent in moving these cases forward. In addition, the Debtors
are paying their postpetition obligations on a current basis,
and have been coordinating and harmonizing two bankruptcy
proceedings pending simultaneously in Belgium and in the United
States. The Debtors therefore argue that ample cause exists to
extend these time periods.

As the Debtors' previously ordered deadlines approach and
expire, the Debtors have obtained entry of a "bridge order"
extending the deadlines through the time that the Court acts on
the Motion seeking a further extension of the deadlines for
filing a plan and for soliciting acceptances. Subsequent to the
entry of this Bridge Order, the Court grants the requested
extensions. (L&H/Dictaphone Bankruptcy News, Issue No. 8;
Bankruptcy Creditors' Service, Inc., 609/392-0900)


LOEWEN: Reports On Miscellaneous Asset Transactions in April
------------------------------------------------------------
Pursuant to the Miscellaneous Transaction Procedures established
by Court order, The Loewen Group, Inc. reports that, during
April, 2001, Debtors Loewen (Indiana), L.P. and Loewen Group
Inc. (LGI), as general partner of Loewen (Indiana), sold certain
real property and the buildings and improvements on it (the
Property) to P. Rick Risinger, or his nominee, at a Purchase
Price of $50,000 in cash.

The Property consists of approximately 10,688 square feet of
real property located at 103 North Court Street in Sullivan,
Indiana and the buildings and improvements on it. A building
consisting of 2,928 square feet in which a former funeral home
business previously was operated is situated on the Property.

Other than the liens granted to the DIP Lenders, Loewen
(Indiana) was not aware of any liens on or interests in the
Property at the time of the transaction. Nonetheless, to the
extent that the DIP Lenders or any other party had a lien on or
an interest in the Property, Loewen (Indiana) believes that such
liens and interests are subject to money satisfaction in
accordance with section 363(f)(5) of the Bankruptcy Code.

Loewen (Indiana) sold the Property to the Purchaser on an "as
is" basis, free and clear of all liens, claims, encumbrances and
other interests, pursuant to section 363(f) of the Bankruptcy
Code.

Loewen (Indiana) did not assume or assign any executory
contracts or unexpired leases pursuant to section 365 of the
Bankruptcy Code in connection with the purchase and sale
transaction. (Loewen Bankruptcy News, Issue No. 41; Bankruptcy
Creditors' Service, Inc., 609/392-0900)


LTV CORPORATION: Labor Agreement Clears Way for Restructuring
-------------------------------------------------------------
The LTV Corporation (OTC Bulletin Board: LTVCQ) has approved the
tentative labor agreement negotiated by its Committee of
Unsecured Creditors with the United Steelworkers of America. The
Company said that the tentative agreement allows for significant
cost reduction and eliminates significantly more steelworker
jobs than the Company's original proposal. The new agreement
will enable LTV Steel, the nation's third largest integrated
steelmaker, to restructure as a lower cost competitor in the
global steel marketplace. The agreement is subject to
ratification by LTV Steel production and maintenance employees
and the approval of the U.S. Bankruptcy Court. The Company also
said that as a result of the agreement, it had asked the U.S.
Bankruptcy Court to adjourn until a later date the hearing on
the Company's motion to reject the current labor agreement.

"The tentative agreement assures our loyal and supportive
customers that LTV Steel will continue to be a reliable source
of high quality flat rolled steel both today and for the future.
We appreciate the efforts and commitment of the Creditors
Committee which negotiated under intense pressure to achieve an
agreement that fulfilled the objectives of the LTV Steel
restructuring plan," said John D. Turner, executive vice
president and chief operating officer of The LTV Corporation.
"And, we are grateful to our employees who have continued to
focus on achieving ever higher levels of safety, quality and
customer service even during these uncertain months. We are also
appreciative of our suppliers who continue to support our
efforts to restructure, and we now look forward to a return to
more normal business operations," Mr. Turner said.

Mr. Turner said that the tentative agreement would clear the way
for LTV Steel's banks to apply for a $250 million government
guaranteed steel loan to support LTV's reorganization and
emergence from Chapter 11. He said that the Company and its
employees appreciated the continuing support of local and state
governments in helping LTV Steel reduce costs and obtain the
guaranteed steel loan.

"The tentative agreement reduces antiquated work rules and
inefficient practices and increases the Company's ability to
achieve world-class levels of yield, quality, productivity and
cost. Not only will the tentative agreement enable LTV Steel to
complete its restructuring and return to viability, it completes
the foundation upon which we will build a new, highly effective
steel operation," Mr. Turner said.

The tentative agreement provides significant immediate and long-
term savings for LTV Steel by utilizing the Company's Voluntary
Employee's Beneficiary Association (VEBA) trust fund to defray
the cost of health care for retirees, the ability to better
manage health care costs through improved design and
administration, and by deferring future pay increases for active
workers. The tentative agreement requires improving pension
funding schedules in cooperation with the Pension Benefit
Guaranty Corporation.

Under the tentative agreement, the Company will achieve
significant cost reductions by performing capital improvement
projects in the most cost efficient manner. The Company also
will gain the ability to reduce the permanent workforce by 1,300
people by eliminating restrictive work rules and practices that
have impaired its efforts to achieve fully competitive levels of
yield and efficiency.

The Company is also pleased that the tentative agreement, which
expires on February 1, 2006, includes improved profit sharing
and equity ownership plans that more closely link the personal
financial benefits of its employees with the profitable
performance of LTV Steel.

"The success of the tentative agreement now depends on all
parties acting swiftly to implement the agreement and achieving
all of its potential savings as quickly as possible," said Mr.
Turner.

Under the terms of the tentative agreement, the Direct Hot
Charge Complex and C-1 blast furnace in Cleveland would remain
on "hot idle" until October 31 while studies are conducted of
possible future reuse of the facility.

The LTV Corporation is a manufacturing company with interests in
steel and metal fabrication. LTV's Integrated Steel segment is a
leading producer of high-quality, value-added flat rolled steel,
and a major supplier to the transportation, appliance,
electrical equipment and service center industries. LTV's Metal
Fabrication segment consists of LTV Copperweld, the largest
producer of tubular and bimetallic products in North America and
VP Buildings, a leading producer of pre-engineered metal
buildings for low-rise commercial applications.


LTV: Asks Court To Approve Cleveland-Cliffs Purchase Agreement
--------------------------------------------------------------
LTV Steel Company, Inc., asks Judge Bodoh to approve a letter
agreement dated June 1, 2001, between LTV Steel and The
Cleveland-Cliffs Iron Company, Cliffs Mining Company, and
Northshore Mining Company, and to modify the automatic
bankruptcy stay solely to the extent necessary to permit Cliffs
to perfect a purchase-money security interest in certain iron
ore pellets sold to LTV Steel.

LTV Steel and Cliffs are parties to a Pellet Sale and Purchase
Agreement dated in may 2000. Under this Agreement, Cliffs agreed
to provide LTV Steel, and LTV Steel agreed to purchase from
Cliffs, certain of LTV Steel's pellet requirements during the
term of the Agreement. Because the Pellet Agreement contains
certain confidential business information, only a redacted form
is included with the Motion. By the Letter Agreement, LTV Steel
and Cliffs have agreed to supersede the terms of the Pellet
Agreement only with respect to LTV Steel's pellet purchases for
calendar year 2001.

              The [Redacted] Pellet Agreement

In May 2000, The Cleveland-Cliffs Iron Company, Cliffs Mining
Company, and Northshore Mining Company, agreed with LTV Steel to
respectively sell and purchase (i) such grades of iron ore
standard pellets as those produced at the Empire Iron Mining
Partnership iron ore pellet plant located in Palmer, Michigan;
(ii) such grades of iron ore standard pellets as those being
produced at the Hibbing Taconite Company Joint Venture iron ore
pellet plant located in Hibbing, Minnesota; (iii) such grades of
iron ore standard pellets as those being produced at the
Northshore Mining Company iron ore pellet plant located in
Silver Bay, Minnesota, or (iv) such other pellet grades as may
be mutually agreed to by the parties.

During the year 2001, Cliffs will sell and deliver to LTV, and
LTV will purchase and receive and pay for a tonnage of Cliffs
Pellets, which tonnage shall be equal to 100% of (i) LTV's
annual excess pellet tonnage requirements for such year, less
(ii) [*****] annual equity entitlements. In the event in year
2001 LTV's annual excess pellet tonnage requirements would be
less than 2,700,000 tons, then LTV will purchase and receive
from Cliffs, and pay for a tonnage of Cliffs pellets equal to
63% of LTV's annual excess pellet tonnage requirements in 2001.

During each of the years 2002 through 2009, and each year
thereafter as long as this Agreement remains in effect, Cliffs
will sell and deliver to LTV, and LTV will purchase and receive
from Cliffs and pay for a tonnage of Cliffs pellets which
tonnage shall be equal to 100% of (i) LTV's annual excess pellet
tonnage requirements for such year, less (ii) [*****] annual
equity entitlements.

LTV currently operates two blast furnaces at the Indiana Harbor
Works and three blast furnaces at the Cleveland Works. In the
event LTV permanently shuts down one or more of LTV's currently
operating blast furniaces, LTV agrees to use its reasonable best
efforts to keep the pellet purchase percentage, effective
beginning in year 2002, between Cliffs and [*****] at a
percentage consistent with the percentage of pellets LTV
purchased from Cliffs and [*****] when LTV was operating five
blast furnaces.

The Debtors intentionally redacted all pricing information from
the documents delivered to the Court.

       Under the Letter Agreement, Cliffs agrees to:

      (a) provide LTV Steel's pellet requirements under the
Pellet Agreement for the calendar year 2001 at a discounted
price reflecting a reduction of $0.50 per ton; and

      (b) permit LTV Steel to continue utilizing modified payment
terms, which provide for payment for pellet purchases by wire
transfer within 30 days from the bill of lading date. Under the
Pellet Agreement, pellets otherwise would be delivered f.o.b.
vessel at various ports, with title and risk of loss, damage and
destruction passing to LTV Steel at the time of loading of the
pellets at the respective port into the vessel.

      (c) Cliffs will retain title to the pellets until it
receives full payment.

      (d) To support Cliffs' reservation of title, LTV Steel must
"use its best efforts to cause an appropriate order to be
entered by the Bankruptcy Court . authorizing the perfection of
a purchase money security interest [in the pellets].

                    The Debtor's Argument

LTV Steel advises Judge Bodoh it believes that approval of the
Letter Agreement, which provides LTV Steel with a reduced
purchase price for the pellets purchased in 2001 and the
continuation of favorable payment terms, is in the best interest
of the estate and creditors. LTV Steel estimates that the
reduced prices for pellets under the Letter Agreement will
result in an aggregate cost savings during calendar year 2001 of
up to approximately $2.2 million, in addition to the benefits
of continuing favorable payment terms. Moreover, approval of the
perfection provision will not diminish LTV Steel's estate to the
detriment of its other creditors because this provision only
permits the perfection of a PMSI on new pellets purchased from
Cliffs to secure payment for those pellets. Accordingly, to
enable LTV Steel to receive the benefit of a reduced price for
pellets during the calendar year 2001 and the continuation of
favorable payment terms, LTV Steel seeks approval of the Letter
Agreement, including the perfection provision. LTV Steel also
asks that the stay be modified to permit perfection of the PMSI,
reasoning that Cliffs' agreement to reduce the purchase price
for pellets purchased by LTV Steel under the pellet agreement,
and to continue favorable credit terms provides sufficient cause
to modify the stay. (LTV Bankruptcy News, Issue No. 11;
Bankruptcy Creditors' Service, Inc., 609/392-00900)


LTV CORP.: General Motors to Quit Buying Steel By Year End
----------------------------------------------------------
General Motors Corp. (GM) has decided to stop buying steel from
LTV Steel by the end of the year as part of a move to work with
a smaller number of suppliers, a company spokesman said Friday,
according to the Associated Press. Cleveland-based LTV is
operating under bankruptcy protection and is in negotiations
with its creditors and unions on a restructuring plan that would
allow the company to remain in business. GM wants to deal with a
select number of steel suppliers, but LTV is the only supplier
GM has decided to drop, spokesman David Barnas said.

LTV spokesman Mark Tomasch said the companies are still in
negotiations over their future relationship. He said sales to GM
make up less than 10 percent of LTV's business. LTV filed for
bankruptcy protection in December, blaming much of its problems
on lower prices for its hot-rolled steel as a result of cheap
imported steel. (ABI World, July 9, 2001)


MARINER: Agrees To Stipulation Extending Exclusive Period
---------------------------------------------------------
As previously reported, the final extension of the Mariner Post-
Acute Network, Inc. Debtors' Exclusive Periods authorized under
the Fifth Extension Order could have been up to June 20, 2001
and August 20, 2001 respectively provided that the DIP Lenders
agree to that. However, the DIP Lenders agree only to an
extension of the deadline for the Debtors to file a plan of
reorganization under the DIP financing agreement through and
including May 21, 2001. Therefore, pursuant to the Fifth
Extension Order, the Debtors' Exclusive Periods are set to
expire on May 21, 2001 and July 20, 2001 respectively. The DIP
Lenders have not consented to the final, approximately one-month
extension of the exclusivity periods through June 20, 2001 and
August 20, 2001 respectively.

Rather than requesting that the DIP Lenders consent to the
final, approximately one-month extension that the Court
permitted, the Debtors have requested that the DIP Lenders and
the other MHG Principal Secured Lenders consent to an
approximately two-month extension of their Exclusivity Periods
to and including July 20, 2001 and September 20, 2001
respectively.

The MHG Principal Secured Lenders have agreed to the requested
extension, provided, however, that the MHG Principal Secured
Lenders (or the Prepetition Agents on behalf them) may file a
plan or plans of reorganization for the Debtors and solicit
acceptances thereto, or file a joint plan of reorganization with
the Debtors, at the sole discretion of the MHG Principal Secured
Lenders, and solicit acceptances thereto.

Accordingly, the Health Debtors ask the Court to approve a
stipulation entered into between the MHG Debtors and the MHG
Principal Secured Lenders (that is, the DIP Lenders and the
Prepetition Agents and Prepetition Secured Parties) which
provides both for:

      (a) the extension of the Debtors' exclusivity period for
filing a plan through July 20, 2001, and for soliciting
acceptances if such a plan through September 20, 2001, and

      (b) a modification of the Debtors' Exclusivity Periods to
allow the MHG Principal Secured Lenders (or the Prepetition
Agents on their behalf) to file a plan or plans of
reorganization for the Debtors and solicit acceptances thereto,
within this period, or at the sole option of the MHG Principal
Secured Lenders) to file a joint plan of reorganization with the
Debtors and solicit acceptances thereto.

The Debtors assert, as before, cause sufficient to warrant a
further, limited extension of their Exclusive Periods. The
Debtors tell Judge Walrath that they consent to a modification
of their Exclusive Periods to allow the MHG Principal Secured
Lenders to file a plan or plans of reorganization in order to
gain the consent of the MHG Principal Secured Lenders to the
extension proposed. Further, the DIP Lenders agree to waive
certain requirements in the DIP Credit Agreement relating to the
filing of a plan of reorganization. The Debtors tell Judge
Walrath they hope that the modification of their Exclusive
Periods will encourage the negotiation and formulation of a plan
or plans of reorganization acceptable to the MHG Principal
Secured Lenders and other key constituencies in the MHG cases.
(Mariner Bankruptcy News, Issue No. 15; Bankruptcy Creditors'
Service, Inc., 609/392-0900)


MATLACK SYSTEMS: Moves to Protect Drivers Under Chapter 11 Stay
---------------------------------------------------------------
Matlack Systems Inc. is seeking to expand the automatic stay on
lawsuits in its bankruptcy case to include personal injury
lawsuits involving the company's truck drivers, according to Dow
Jones. A hearing on the matter is scheduled for Thursday before
the U.S. Bankruptcy Court in Wilmington, Del.

Prior to its March 29 chapter 11 filing, Wilmington, Del.-based
Matlack and certain company drivers were named as codefendants
in lawsuits related to motor vehicle accidents that occurred in
trucks either owned or leased by the company. According to
papers obtained by Dow Jones, 36 plaintiffs filed personal
injury suits against Matlack and the drivers. The company is
seeking to extend the protection of the automatic stay so that
Matlack, as codefendant, isn't exposed to any liability
resulting from potential judgments entered against the drivers.
Any judgment against the drivers in the pre-petition suits could
hinder Matlack's reorganization efforts, the motion said.
Matlack Systems cited assets of $105.3 million and debts of
$59.3 million in its bankruptcy petition. (ABI World, July 9,
2001)


MICROAGE: Judge Confirms Liquidation Plan Despite SEC Objection
---------------------------------------------------------------
The bankruptcy liquidation plan of MicroAge Inc. was confirmed
Friday by a district court judge over the objections of the
Securities and Exchange Commission (SEC), which claimed the plan
is unfair to shareholders, according to Dow Jones. Judge Charles
Case confirmed the amended plan submitted by MicroAge, which
includes a release from liability for officers and directors of
the company related to actions taken after the chapter 11
bankruptcy petition, which was filed on April 13, 2000. Judge
Case said he was convinced there was a substantial possibility
that the lack of such releases could slow down the disbursement
of funds to creditors, as the company might see a need to set
aside money until the statutes of limitations ran out on various
possible claims. Under the company's bylaws, it is responsible
for indemnifying officers and directors, including paying
deductibles on liability claims covered by insurance.

The SEC had joined with the U.S. Trustee's Office in objecting
to the releases, based on the argument that shareholders, who
will get nothing under the plan, were being unfairly stripped of
their rights to pursue legal actions against the officers and
directors. Because of the section of the law under which the SEC
entered the case, it is precluded from appealing Judge Case's
decision. But it could join in an appeal brought by another
party, Sandra LaVigna, senior bankruptcy counsel for the Pacific
Regional Office of the SEC. MicroAge had hoped to reorganize and
emerge from chapter 11, but creditors pushed for a liquidation
of assets. (ABI World, July 9, 2001)


MONTERREY POWER: S&P Affirms BB+ Senior Secured Bond Rating
-----------------------------------------------------------
Standard & Poor's affirmed its double-'B'-plus rating on
Monterrey Power S.A. de C.V.'s $235.2 million senior-secured
bonds. The outlook is positive.

Provisional acceptance of Monterrey Power's combined-cycle
generation plant by the Comision Federal de Electricidad (CFE:
foreign currency rating double-'B'-plus /Positive/--) took place
in September 2000. CFE became the operator of the plant upon
provisional acceptance, and is obligated to make unconditional,
fixed quarterly payments pursuant to the trust agreement. The
securities issued by Monterrey Power, among other things, are
secured by a pledge by Monterrey Power of its rights to receive
this fixed quarterly payment by CFE. Interest payments to
noteholders of Monterrey Power are made semiannually. Year to
date, CFE has made all quarterly payments as per the trust
agreement. Standard & Poor's has concluded that as long as CFE
makes its payments to Monterrey Power, the latter should, in all
circumstances, have sufficient funds to pay timely principal and
interest on the securities.

Since CFE accepted the project, amounts payable by CFE under the
trust agreement (and under the bonds following any assumption of
the project obligation by CFE) are direct and unconditional
obligations of CFE and rank pari passu in priority of payment
with all other unsecured senior debt obligations of CFE. As
such, the rating of Monterrey Power S.A.'s senior secure bonds
is constrained by CFE's foreign currency issuer credit rating of
double-'B'-plus.

CFE's rating reflects its economic importance as Mexico's
primary, vertically integrated electric utility and healthy
electricity demand prospects. The rating is further enhanced by
CFE's legal status as a decentralized government agency, and its
close ties to, and support from, the Mexican government. While
the government is not liable for obligations incurred by CFE,
ownership and integration of CFE as part of the national
financial budgetary process dictate that CFE's borrowing and
capital plans require governmental approval. Furthermore, a
missed payment denominated in foreign exchange on a debt or
contractual obligation that triggers an acceleration of CFE debt
would in turn cross default to external debt obligations of the
sovereign. This linkage closely aligns CFE's creditworthiness
with that of the sovereign.

Provisional acceptance for Monterrey Power's combined-cycle
generation plant took place nine months behind schedule partly
due to problems related to the design and manufacture of the
plant turbines. While performance testing showed the plant fell
short of the guaranteed net capacity and the guaranteed
consumption (heat rate), the shortfalls are within the limits of
required acceptance by CFE. Test results indicate the Monterrey
II power plant has a power output deficiency of 9.78%. In
accordance with the financing agreements, Monterey Power has
made a mandatory prepayment equal to 9.78% of each tranche of
debt outstanding, with the exception of the series B financial
institution notes, which were prepaid with funds from the
contingency account. The prepayment results in a US$23 million
reduction of the senior-secured bonds and approximately US$9
million of the institutional notes.

Given the reduction in output, CFE's required quarterly payments
have been reduced. The turbine manufacturer, Alstom Power
Switzerland Ltd., was required to pay liquidated damages to
Monterey Power in an amount sufficient to prepay debt, thereby
reducing the amount of principal and interest to the level of
CFE payments.

Monterrey Power is a special-purpose entity (SPE) jointly owned
by affiliates of ABB Ltd (Switzerland) (double-'A'-
minus/Positive/'A-1'-plus) and Nissho Iwai Corp. (single-'Bpi'
rating). The contractor for the project is ABB Proyectos S.A. de
C.V. (a wholly owned subsidiary of Alstom Power Switzerland
Ltd.). The turbines for the project are Alstom's (via its merger
with ABB) 180 MW GT 24 turbines--Alstom's newest generation of
gas turbines.

ABB Proyectos must pay liquidated damages for every unit of
variance from the specified parameters. A guarantee period will
be in effect for at least one year, commencing at the time of
provisional acceptance, or later for certain guarantees that
were not able to be provided at provisional acceptance.
Contractor and supplier guarantees will be assigned directly to
CFE, where possible, to ensure such assignment is largely in
place at provisional acceptance. While warranty of parts is an
obligation of ABB Proyectos under the EPC agreement, it has no
effect on bondholders, because CFE began making debt payments on
provisional acceptance.

Provisional acceptance of Monterrey Power's combined-cycle
generation plant by the Comision Federal de Electricidad (CFE:
foreign currency rating double-'B'-plus /Positive/--) took place
in September 2000. CFE became the operator of the plant upon
provisional acceptance, and is obligated to make unconditional,
fixed quarterly payments pursuant to the trust agreement. The
securities issued by Monterrey Power, among other things, are
secured by a pledge by Monterrey Power of its rights to receive
this fixed quarterly payment by CFE. Interest payments to
noteholders of Monterrey Power are made semiannually. Year to
date, CFE has made all quarterly payments as per the trust
agreement. Standard & Poor's has concluded that as long as CFE
makes its payments to Monterrey Power, the latter should, in all
circumstances, have sufficient funds to pay timely principal and
interest on the securities.

          OUTLOOK: POSITIVE (foreign currency)

Monterrey Power's positive foreign currency rating outlook
reflects that of CFE, which in turn mirrors that of the United
Mexican States. Recently issued obligations, such as the build-
lease-transfer transactions, including Monterrey Power, require
the government to retain ownership of CFE. If privatization
occurs, repayment of project debt may be accelerated at the
option of the bondholders, putable to the SPE, Standard & Poor's
said.


OBJECTSOFT CORP.: Terminates Merger Plans & Considers Bankruptcy
----------------------------------------------------------------
ObjectSoft Corporation (OTC Bulletin Board: OSFT.OB), one of the
leading video entertainment kiosk providers in the United
States, has terminated a non-binding Letter of Intent to merge
with Golden Screens Interactive Technologies, Inc., a privately
held New York based entity. Golden Screens is also a leader in
the interactive kiosk business.

"The management of Golden Screens and myself have worked hard
over the last 6 weeks to conduct due diligence and reach a
definitive merger agreement as called for in the Letter of
Intent. However, during this time period, the nature of the
transaction appears to have changed substantially from what was
contemplated in the original Letter of Intent", said Michael
Rudolph, Chairman and CEO of ObjectSoft Corporation. According
to Mr. Rudolph, "certain investors who had indicated an interest
in contributing capital to ObjectSoft Corporation have now
declined to participate in further financing of our Company."

As a result of the termination of the Letter of Intent and the
lack of additional financing, ObjectSoft Corporation is now
reviewing various alternatives, including finding other sources
of capital funding as well as seeking protection from creditors
afforded under bankruptcy law. Additionally, ObjectSoft
Corporation has furloughed employees and taken other measures to
conserve cash.

In an unrelated matter, Mr. Michael Burak has tendered his
resignation from the Board of Directors due the need to spend
more time on his personal business affairs. This resignation has
been accepted, effective July 9, 2001.

              About ObjectSoft Corporation

Founded in 1990, ObjectSoft provides information and
transactional services through public access kiosks, which
enable organizations to interact with the general public through
Internet-connected computers placed in high-density pedestrian
traffic areas. The Company's current product, the FastTake(R)
kiosk, allows the general public to search and review movie
titles, sample movie trailers, and purchase other goods and
services from the kiosk located in high-traffic retail
locations. For more information about ObjectSoft, visit its
website at http://www.objectsoftcorp.com.

       About Golden Screens Interactive Technologies, Inc.

Golden Screens is a leading provider of enabling software and
electronic commerce applications for Internet-based self-service
terminals and the next generation of Web-Enabled Public
Telephones. Golden Screens GS Planet(tm) product suite is a
comprehensive platform for developing Internet-based terminals
that offer secure Web access through intuitive touch-screen
interfaces. GS Planet also includes an extensive software
library for developing custom E-Commerce applications and a set
of monitoring and diagnostic tools that ensure maximum system
uptime and reliability. For more information about Golden
Screens, visit its website at http://www.gsit.com/.


OWENS CORNING: Taps IPNet To Simplify Supply Chain Communication
----------------------------------------------------------------
IPNet Solutions Inc., a provider of software that connects
Global 2000 companies and their business partners, said that
Owens Corning, a world leader in building materials and
composites systems, has selected IPNet eBizness(TM) Transact to
simplify communications within its diverse trading partner
network.

"We believe that we can add value and reduce costs by investing
in our infrastructure with IPNet," said Paul Fortner, leader of
e-business and new digital technologies team at Owens Corning.
"Our focus is on providing profitable growth for our customers.
That's the driver behind this initiative and critical to our
goal of total supply chain efficiency and complete customer
satisfaction."

Key to Owens Corning selecting IPNet was the flexibility its
solution provides in integrating systems. Embedded within
eBizness Transact, IPNet's patented Configurable Transaction
Routing (CTR) technology supports the transmission and
management of electronic business transactions using any data
format.

It is used to schedule, send, receive and translate transactions
between a host company, such as Owens Corning, and its trading
partners. CTR automates XML and EDI in addition to other data
types to simplify the management of diverse trading partner
networks.

"CTR is a powerful tool that enables IPNet customers to easily
manage their migration from proprietary solutions such as VAN-
based EDI to Internet-based e-commerce," said Don Willis,
chairman and CEO, IPNet.

"CTR provides Owens Corning the ability to bring disparate
communications processes under a single point of administration
and provides the flexibility to accommodate the specific and
unique needs of individual trading partners."

The first deployment of eBizness Transact is now live between
Owens Corning and its trading partner Lowe's Companies Inc.
(NYSE:LOW), the world's second largest home improvement
retailer.

"We initially became aware of IPNet through our relationship
with Lowe's when they requested that we evaluate our EDI INT
options," said Fortner. "The success of this implementation has
encouraged us to consider deploying IPNet's eBizness Transact
solution throughout our supply organization."

IPNet eBizness Transact is a component of IPNet eBizness(TM)
Suite, an open, standards-based solution that enables trading
partners to securely transact and collaborate in real-time
throughout the supply chain. It provides transaction tracking,
auditing and management and ensures reliable, secure
communications.

eBizness Suite is the only offering that effectively addresses
the connectivity and participation requirements of the entire
supply chain, providing increased effectiveness and efficiency,
and significant ROIs.

                  About Owens Corning

Owens Corning is a world leader in building materials systems
and composites systems. The company has sales of about $5
billion and employs approximately 20,000 people worldwide.
Additional information is available on Owens Corning's Web site
at http://www.owenscorning.comor by calling the
company's toll-free general information line: 877/799-6904.

                About IPNet Solutions

IPNet Solutions connects Global 2000 companies and their
business partners. Its open, flexible and scalable solutions
support leading Internet standards, XML and EDI. IPNet allows
business partners of any size to participate in B2B initiatives
by offering server, PC, Java-client and browser options. Its
patented technology helps companies migrate risk-free from
legacy systems to the Internet.


PENN SPECIALTY: Files Chapter 11 Petition in Wilmington
-------------------------------------------------------
Penn Specialty Chemicals filed a voluntary petition under
Chapter 11 of the U.S. Bankruptcy Code in Wilmington, Delaware.
The filing comes as a result of cash flow issues caused by the
significant downturn in demand in the chemical and associated
industries from Q3 2000 on, sharp natural gas cost increases in
Q1 of this year and the continuing strong dollar.

A company spokesman stated that the bankruptcy filing is a major
step forward for Penn Specialty and affords the opportunity to
reorganize for the benefits of all of the company's
constituents.

Penn Specialty intends to continue to operate and supply
customers without interruption while the company is under
bankruptcy court protection.

Penn Specialty is one of the world's largest suppliers of THF
and PTMEG from its plant in Memphis, Tennessee. THF is a
specialty solvent for many applications, including
pharmaceutical, as well as the feedstock for PTMEG. PTMEG is a
major component of many rapidly growing urethane products
including spandex fibers. Penn Specialty is also the only
significant global supplier of many specialty chemicals based on
high purity furfural and furan, with its unique production
capability at Memphis.


PENN SPECIALTY: Chapter 11 Case Summary
---------------------------------------
Debtor: Penn Specialty Chemicals, Inc.
         Six Tower Bridge, 181 Washington Street
         Suite 450
         Conshohocken, PA 19428

Chapter 11 Petition Date: July 9, 2001

Court: District of Delaware

Bankruptcy Case No.: 01- 02254

Debtor's Counsel: Mark D. Collins, Esq.
                   Richards Layton & Finger
                   PO Box 551
                   Wilmington, DE 19899-0551
                   (302) 651-7531


PILLOWTEX CORP.: Settling And Paying Claims And Controversies
-------------------------------------------------------------
A significant number of claims and controversies by or against
Pillowtex Corporation arise from the day-to-day operation of
their business and ownership of their properties. Pillowtex
Corporation and its debtor-affiliates expect that these actions
will continue to occur in the future.

Some of these actions are or will be covered by insurance
policies maintained by the Debtors, while others are not. A few
of these actions are also subject to formal judicial or
administrative proceedings, while other actions are on
information, pre-litigation or pre-administrative stage.

According to Donna L. Harris, Esq., at Morris Nichols Arsht &
Tunnell, in Wilmington, Delaware, most of these actions fall
within three categories:

      (i) disputes with customers, vendors or other third parties
involving breach of contract and related tort and other claims;

     (ii) disputes with current and former employees involving
terms and conditions of employment; and

    (iii) claims brought by customers or other third parties
seeking damages for personal injury or property loss allegedly
cause by or in connection with the tortious acts of the Debtors'
employees or other agents, the condition of the Debtors'
premises or the services provided or products sold by the
Debtors.

Ms. Harris relates that the Debtors are able to resolve most of
these claims and controversies.

By this motion, the Debtors ask Judge Robinson:

      (a) to approve procedures under which the Debtors may, in
their sole discretion, compromise and settle actions, whether
arising before or after the filing of these cases, without
further court approval; and

      (b) for authority, in their sole discretion, to make
payments in satisfaction of any settlements of actions.

Under the Settlement Procedures, Ms. Harris explains, the
Debtors (in their sole discretion) would be authorized in
connection with the settlement of any action to agree to:

      (1) in the instance of an action against one or more of the
Debtors,

          (a) if the action is covered by the Debtors' insurance
policies, permit the party or parties to recover the settlement
amount from available insurance proceeds,

          (b) the allowance of a general unsecured claim against
the applicable Debtor or Debtors,

          (c) make and authorized payment upon the parties' entry
into the settlement or

          (d) a combination of the above;

      (2) in the instance of an action by one or more of the
Debtors against a third party, accept one or more payments after
the parties' entry into the settlement.

In either instance, Ms. Harris notes, the total settlement
amount for the action and the amount of any authorized payment
will be within the sole discretion of the Debtors. This excludes
actions against one or more of the Debtors, Ms. Harris says,
where:

          (x) the settlement amount may not exceed $100,000 and

          (y) the amount of any authorized payment may not exceed
              $50,000.

Aside from the limitations per action imposed by the settlement
authorities, Ms. Harris adds, the total amount of authorized
payments under the settlement procedures will be capped at
$3,000,000. Ms. Harris explains that these limitations per
action and in the aggregate are intended to set reasonable
parameters on the proposed settlement program, while permitting
the Debtors, to settle most of the actions out of court.

According to Ms. Harris, the Debtors will prepare a report
itemizing each settlement consummated under the settlement
procedures within 30 days after the end of each calendar
quarter.

The settlement report will include:

      (a) the names of the settling parties;

      (b) whether the action was by or against the applicable
Debtor or Debtors;

      (c) the settlement amount;

      (d) the general unsecured claim, if any, allowed in
connection with the settlement; and

      (e) the authorized payment, if any, made in connection with
the settlement.

The Debtors will serve copies of each settlement report on:

      (a) the U.S. Trustee,

      (b) counsel to the Creditors' Committee and

      (c) counsel to the Debtors' pre-petition and post-petition
lenders.

For each settlement, Ms. Harris notes, the Debtors will be
authorized to take all actions necessary to bring about the
settlement without further notice or court approval. The Debtors
will also be authorized to make payments, Ms. Harris adds, if
the settlement calls for it.

However, Ms. Harris emphasizes, the settlement procedures will
not apply to any compromise and settlement of an action
involving an "insider".  (Pillowtex Bankruptcy News, Issue No.
9; Bankruptcy Creditors' Service, Inc., 609/392-0900)


PSINET INC.: Court Issues Comfort Order re Chapter 11 Status
------------------------------------------------------------
The PSINet, Inc. Debtors are aware that many of the parties to
their business relationships, located and operating throughout
the world, do not deal with Chapter 11 debtors in possession on
a regular basis. In particular, these parties may be unfamiliar
with (a) the scope of a debtor in possession's authority to
operate in the ordinary course of business under Section 1108 of
the Bankruptcy Code without further court approval and (b) the
operation of the automatic stay under Section 362 of the
Bankruptcy Code.

The Debtors are concerned that this lack of knowledge may have a
disruptive effect on their businesses if unknowledgeable parties
take actions in violation of the automatic stay or cease doing
business with the Debtors out of a belief that the Debtors are
not authorized to continue to operate their businesses and incur
obligations in the ordinary course of business.

For these reasons, the Debtors request the Court's assistance in
clarifying Debtors' rights and authority under the Bankruptcy
Code. Specifically, the Debtors seek an order (1) confirming the
PSINet Debtors' authority to operate their businesses and (2)
implementing the automatic stay. The Debtors believe that an
order from the Court, pursuant to Section 105(a) of the
Bankruptcy Code, will serve to notify the parties with whom the
Debtors do business of the effects of the automatic stay, one of
which is that most parties are prohibited from terminating
executory agreements to which any Debtor is party,
notwithstanding any terms of such agreements which provide for
the termination of the agreement upon the insolvency or
financial condition of such Debtor or upon the filing of
bankruptcy.

Judge Gerber entertained the Debtors request and, for the
Debtors' comfort in dealing with parties unfamiliar with U.S.
bankruptcy, entered an order restating what the U.S. Bankruptcy
Code says:

      (A) Pursuant to 11 U.S.C. sections 1107(a) and 1108, the
Debtors are authorized to operate their businesses and manage
their properties in the ordinary course of business;

      (B) "11 U.S.C. section 362(a) of the Bankruptcy Code
provides that, subject to certain exceptions specified in 11
U.S.C. sections 362(b), 555, 556, 559 and 560, all persons
(including individuals, partnerships, corporations, other
entities and all those acting on their behalf) and governmental
units, whether of the United States, any state or locality or
any territory or possession thereof, or any foreign country
(including division, department, agency, instrumentality or
service thereof and all those acting an their behalf), is
stayed, restrained and enjoined from:

          (1) commencing or continuing (including the issuance or
employment of process) any judicial, administrative or other
proceeding against the Debtors that was or could have been
commenced before the commencement of Debtors' Chapter 11 cases
or recovering a claim against Debtors that arose before the
commencement of the Debtors' Chapter 11 cases;

          (2) enforcing, against Debtors or against property of
their estates, a judgment or order obtained before the
commencement of the Chapter 11 cases;

          (3) taking any act to obtain possession of property of
the Debtors' estates or property from their estates or to
exercise control over property of their estates, including
without limitation, attempts to seize or reclaim any equipment,
supplies or other assets of the Debtors' estates;

         (4) taking any act to create, perfect or enforce any
lien against property of the Debtors' estates;

         (5) taking any act to create, perfect or enforce against
property of the Debtors any lien to the extent that such lien
secures a claim that arose before the commencement of the
Debtors' Chapter 11 cases;

         (6) taking any act to collect, assess or recover a claim
against the Debtors that arose before the commencement of their
Chapter 11 cases;

         (7) offsetting any debt owing to the Debtors that arose
before the commencement of their Chapter 11 cases against any
claim against the Debtors; and

         (8) commencing or continuing any proceeding before the
United States Tax Court concerning the Debtors;

      (C) 11 U.S.C. section 365(e)(1) of the Bankruptcy Code
provides that, subject to certain exceptions specified in 11
U.S.C. sections 365(e)(2), 555, 556, 559 and 560, all entities
be and each of them is stayed, restrained and enjoined from
terminating or modifying any and all executory contracts or
unexpired leases (or any rights or obligations under such
contracts or leases) to which any Debtor is a party or signatory
solely because of a provision in any such contract or lease that
is conditioned on:

         (1) the insolvency or financial condition of such Debtor
or any other Debtor at any time before the closing of their
Chapter 11 cases; or

         (2) the filing by such Debtor of a petition for
reorganization under Chapter 11 of the Bankruptcy Code; and it
is further

      (D) nothing contained in the order shall constitute an
assumption or adoption by the Debtors of any executory contract
or unexpired lease under Section 365 of the Bankruptcy Code;

      (E) on request of a party in interest, and after notice and
a hearing, the Court shall grant relief from the restraints
imposed in the event it be necessary, appropriate and warranted
to so terminate, annul, modify or condition the within
injunctive relief;

      (F) the United States Bankruptcy Court for the Southern
District of New York will retain jurisdiction to hear and
determine all matters arising from the implementation of this
Order. (PSINet Bankruptcy News, Issue No. 3; Bankruptcy
Creditors' Service, Inc., 609/392-0900)


PSINET INC.: Selling Hong Kong Operations To Silver Linkage
-----------------------------------------------------------
PSINet Inc. (OTC BB : PSIXE) and its wholly owned subsidiary,
PSINet North America Holdings Inc., has entered into a
definitive share purchase agreement for the sale of PSINet Hong
Kong Limited and certain of its subsidiaries to Silver Linkage
Investments Inc., a wholly-owned subsidiary of CITIC Pacific
Limited, a company publicly listed on The Stock Exchange of Hong
Kong.

The proposed purchase is subject to a number of closing
conditions, including approval under the U.S. bankruptcy
proceedings.

PSINet expects that its operations in Hong Kong will continue to
operate in the normal course of business, providing reliable
services to its customers. PSINet's operating subsidiaries in
Hong Kong are not part of the filing by PSINet Inc. and certain
of its U.S. subsidiaries under Chapter 11 of the U.S. Bankruptcy
Code.

Headquartered in Ashburn, Va., PSINet, Inc. is a leading
provider of Internet and IT solutions offering flex hosting
solutions, global eCommerce infrastructure, end-to-end IT
solutions and a full suite of retail and wholesale Internet
services through wholly-owned PSINet subsidiaries. Services are
provided on PSINet-owned and operated fiber, web hosting and
switching facilities, currently providing direct access in more
than 900 metropolitan areas in 27 countries on five continents.

CITIC Pacific Limited is incorporated in Hong Kong and is
publicly listed on The Stock Exchange of Hong Kong. It is
principally engaged in infrastructure (aviation, bridges,
tunnels, environmental businesses and telecommunications),
trading and distribution and property in Hong Kong and
Mainland China.


RANCH *1 INC.: Kahala Corp. Extends $2,500,000 DIP Financing
------------------------------------------------------------
Kahala Corp. (OTCBB: KAHA), a Florida corporation formerly
known as Sports Group International Inc., has provided $220,000
in debtor in possession financing to Ranch * 1 Inc. as part of a
loan and security agreement which provides up to $2,500,000 in
debtor in possession financing from Kahala Corp. to Ranch * 1.

Ranch * 1 filed for Chapter 11 bankruptcy protection on Tuesday,
July 3, 2001 in the U.S. Bankruptcy Court for the Southern
District of New York. On Thursday, July 5, 2001, the Bankruptcy
Court Judge assigned to the case approved an emergency interim
order allowing Kahala Corp., through a wholly owned subsidiary,
to advance $220,000 to Ranch * 1 under the loan agreement.

Ranch * 1, through its wholly owned subsidiaries, owns and
operates and franchises Ranch * 1 quick service restaurants that
specialize in the sale of grilled chicken sandwiches and other
grilled chicken products, Ranch * 1 famous fries, and other food
and beverage items.

Currently, there are 51 Ranch * 1 restaurants operating in 12
states, the District of Columbia, and Taiwan, of which 47 are
franchised to third parties and the remaining four, all located
in Manhattan, N.Y., are corporately owned by Ranch *1.

                     About Kahala Corp.

Kahala Corp. currently owns Surf City Squeeze, Frullati Cafe &
Bakery, Rollerz, and Tahi Mana. Both Surf City Squeeze and
Frullati Cafe & Bakery are franchisors of juice bars/smoothie
stores and healthy food cafes throughout the United States,
Canada, and the Middle East that offer the company's signature
line of smoothies, sandwiches, salads, soups and other healthy
snacks.

Rollerz is a franchisor and operator of retail stores serving
gourmet rolled sandwiches and blended fruit drinks/smoothies,
and Tahi Mana is a franchisor and operator of scaled down health
food supplements stores centered around a juice bar, primarily
in health clubs and other strategic retail locations.

There are currently approximately 220 outlets open nationwide of
the company's four concepts. To learn more about the company and
its four concepts, visit its website at www.kahalacorp.com.


SAFETY-KLEEN CORP.: Releases Restated & Y2K Financial Statements
----------------------------------------------------------------
Safety-Kleen Corp. (NYSE: SK) has filed with the Securities and
Exchange Commission consolidated financial statements for fiscal
year 2000, and restated consolidated financial statements for
fiscal years 1997 - 1999. The statements reflect an overall
reduction in previously reported earnings of approximately $534
million for fiscal years 1997 - 1999, and a loss of
approximately $833 million in fiscal year 2000.

Safety-Kleen announced in March 2000 that it had discovered
accounting irregularities in some previously filed financial
statements, which led to the withdrawal by its former
independent public accountant, PricewaterhouseCoopers LLP, of
its reports on Safety-Kleen's consolidated financial statements
for fiscal years 1997 - 1999. The Company filed for protection
under Chapter 11 of the U.S. Bankruptcy Code on June 9, 2000
(District of Delaware Case No. 00-2303).

Since that time, the Company has undertaken a comprehensive
internal review of the prior reported financial results and
accounting practices for those years, and Arthur Andersen LLP,
the Company's new independent public accountant, has audited the
results of that review and the Company's fiscal year 2000
financial statements.

"It is unfortunate that the accounting irregularities occurred,
and we deeply regret the negative impact this has had on so many
people," said Safety-Kleen Chairman and Chief Executive Officer
David E. Thomas, Jr. "Our new management team has worked hard
during the past year to re-establish the confidence of our
customers, vendors, regulators and employees."

"Looking forward," Thomas said, "we expect Safety-Kleen to
remain a viable commercial enterprise. We have sufficient credit
and cash on hand to meet current operating, capital and
environmental liability requirements, and we will negotiate
additional financing if required. Our employees remain loyal
and dedicated to providing high-quality service and, as a
result, we have kept our industry-leading customer base and
market share."

Thomas also noted that the Company has installed a new senior
management team, and that team has begun upgrading Safety-
Kleen's information systems, strengthening the Company's
internal controls in order to maintain tight standards over
operations and service levels, and putting in place controls and
procedures to ensure the integrity of its financial data in the
future.

      A complete copy of Safety-Kleen's Form 10K/A for fiscal
2000 as filed with the SEC is available on line at:

                  http://www.safety-kleen.com

                               SAFETY-KLEEN CORP.

                            Selected Financial Data

          Fiscal Year 2000 and 1997 - 1999 Restated Financial Results

                   ($ in thousands, except per share amounts)
                                                     Restated
     Year Ended August 31   2000          1999          1998           1997

     Revenues            $1,586,273    $1,624,038   $1,172,731      $641,945

     Operating (loss)
      income before
      depreciation,
      amortization and
      impairment and
      other
      charges (EBITDA)     $(87,697)     $175,129     $168,919       $25,670

     Operating (loss)
      income              $(620,170)       $6,876      $(2,223)    $(294,749)

     Loss before
      extraordinary
      items               $(833,191)    $(223,155)    $(84,428)    $(301,544)

     Loss per share
      before
     extraordinary items:
       Basic                 $(8.27)       $(2.52)      $(1.35)       $(8.74)

       Diluted               $(8.27)       $(2.52)      $(1.35)       $(8.74)

     Total assets        $3,131,868    $3,635,314   $3,869,475    $1,513,741

     Long-term debt              $0       $24,792      $15,700       $15,700

     Dividends per
      common share            $0.00         $0.00        $0.00         $0.00

     Weighted average
      common stock
      outstanding,
      basic and diluted
      (000's)               100,725        88,537       62,322        34,508


                       1997 - 1999 As Previously Reported

                   ($ in thousands, except per share amounts)
                                      Previously Stated
     Year Ended August 31             1999            1998           1997

     Revenues                     $1,685,948      $1,185,473      $678,619
     Operating (loss) income
      before depreciation,
      amortization and
      other charges (EBITDA)        $480,785        $279,274      $120,489
     Operating (loss) income        $344,783        $120,392     $(264,714)
     (Loss) income before
      extraordinary items           $103,912         $11,488     $(183,432)
     (Loss) income per share
      before
      extraordinary items:
       Basic                           $1.17           $0.18        $(5.32)
       Diluted                         $1.03           $0.18        $(5.32)
     Total assets                 $4,366,804      $4,468,895    $1,610,878
     Long-term debt               $1,882,371      $2,203,164      $878,010
     Dividends per common share        $0.00           $0.00         $0.00
     Weighted average common stock
     outstanding, basic (000's)       88,537          62,322        34,508
     Weighted average common stock
     outstanding, diluted (000's)    111,645          62,322        34,508


SAMUELS JEWELERS: Amends $40 Million Loan Agreement
---------------------------------------------------
Samuels Jewelers Inc., (OTCBB:SMJW), one of America's largest
specialty retailers of fine jewelry, on April 30, 2001 amended
its $40,000,000 revolving credit agreement that it has with
several lenders with Foothill Capital Corporation as their agent
and the Company announced it entered into an additional loan
agreement with lenders represented by DDJ Capital Management LLC
acting as their agent.

The Company's revolving credit facility with Foothill Capital
Corporation was amended to waive events of default that the
Company otherwise may have experienced in the past, as well as
to allow for the new loan agreement with DDJ Capital Management.
Samuels' new loan agreement with DDJ Capital Management extends
through June 2002, provides up to $15,000,000 for working
capital needs, capital expenditures and other general corporate
purposes, and also includes a lending of an additional
$14,000,000 to retire factored trade payables that DDJ Capital
Management had previously acquired from many of Samuels' key
vendors.

"This agreement provides Samuels with the flexibility to
strategically position itself for the summer months, maintain
appropriate inventory levels, and provides a jump start in
preparing for the fast approaching Holiday Season," said
Samuels' President and CEO, Randy McCullough.
Samuels Jewelers Inc., currently operates 164 stores in 23
states throughout the country under the trade names Samuels
Jewelers, Samuels Diamonds, Schubach Jewelers and C&H Rauch
Jewelers, and online with www.Samuels.cc,
www.SamuelsJewelers.com, and www.JewelryLine.com.


SERVICE MERCHANDISE: Subleases Store #558 In Arlington, Illinois
----------------------------------------------------------------
As part of their Subleasing Program to eliminate excessive store
space as Service Merchandise Company, Inc. exits from
unprofitable hardlines categories, the Debtors sought and
obtained the Court's approval to enter into a Sublease and an
agreement to amend the lease with Town & Country Chicago
Associates, LLC, with respect to their Store Number 558 located
in Arlington Heights, Illinois.

The Sublease provides that the Debtors will sublease to the
landlord approximately 22,911 square feet of excess retail space
of store number 558. Under the lease, the Debtors lease
approximately 50,000 square feet of space and pay annual rent of
$165,000, as well as utility expenses, real estate taxes, common
area maintenance charges and other similar costs for the
Premises. In return for the space of approximately 22,911 square
feet under the Sublease, Town & Country will pay the Debtors
annual rent in the amount of $189,015.75. In addition, Town &
Country will pay the Debtors additional rent for its
proportionate share of real estate taxes, insurance, common area
maintenance and related expenses for the Premises. Thus, the
Debtors believe that the proposed transaction will generate
substantial value for the estate.

Pursuant to the Amendment, the Debtors will approve a large-
scale redevelopment by Town & Country of the shopping center in
which Store Number 558 is located, resulting in a refurbished
shopping center that the Debtors believe is likely to attract
more business. In return, Town & Country will pay the Debtors
$500,000.

In connection with the implementation of the Sublease and
consistent with the overall Subleasing Program, the Debtors will
renovate the retained portion of the Premises to conform to the
initiatives of the Debtors' 2000 Business Plan.

The Sublease also provides that:

      -- The term commences on the date of receipt of the Order
from the Court granting the motion and terminates on February
28, 2025;

      -- Absent a default by the Debtors in payment beyond
applicable cure periods, Town & Country may not offset rent due
to the Debtors under the Sublease against rent due to Town &
Country from the Debtors under the Lease prior to consummation
of a plan of reorganization.

      -- Town & Country may assign or sublet its interest in the
Subleased Premises without the consent of the Debtors if the
assignee or subtenant uses the Subleased Premises for uses
permitted by the Sublease and provided that Town & Country will
remain liable under the Sublease. The Debtors may assign or
otherwise transfer the Sublease without qualification subject to
any qualifications that may exist in the Lease.

      -- The Subleased Premises may be used by Town & Country for
any lawful purpose, subject to any restrictions in the Lease and
provided that use of the Subleased Premises for the sale of
jewelry is prohibited.

      -- The Debtors are required to construct a demising wall
separating the Subleased Premises from the remainder of the
Premises and cap all utilities to the Subleased Premises within
90 days after the Rent Commencement Date. All other alterations
and improvements to the Subleased Premises will be performed by
Town & Country, at its sole cost and expense.

      -- Town & Country will be responsible for its improvements.

Pursuant to the Amendment, Town & Country will agree, among
other things, to construct a loading corridor in the Retained
Premises and to permit the Debtors' pylon sign panel to occupy
the second or third position on the pylon sign to be constructed
by Town & Country.

In particular, Town & Country is permitted, at its sole cost and
expense, to construct buildings on two outlets in the shopping
center. In addition, the Debtors have approved, subject to
certain environmental indemnification provisions set forth in
the Amendment, the construction of a gas station and related
improvements on one of the Outlets.

Town & Country will also construct the storefront of the
Retained Premises for the Debtors at its sole cost and expense
(subject to reimbursement by the Debtors of costs up to
$30,000).

In addition to the exterior modifications included in Town &
Country's work, the Debtors may modify the exterior of the
Retained Premises with the prior Consent of Town & Country,
which will not be unreasonably withheld.

A rejection or termination of the Sublease by the Debtors, other
than as a result of the exercise by the Debtors of their rights
under the Sublease upon a default by Town & Country, triggers a
default by the Debtors under the Lease and allows Town & Country
to pursue its remedies under the Lease, including the
termination of it.

In granting the motion, the Court has authorized the Debtors to
take any and all actions necessary or desirable to perform the
obligations and the transaction contemplated under the Sublease
and Amendment. In accordance with section 1146(c) of the
Bankruptcy Code, the sublease of the Subleased Premises to the
landlord and the Amendment of the Lease are exempt from any law
imposing a stamp tax, transfer tax or similar tax.

Also, the Court concurs that,

      (a) the applicable lease, mortgage and related documents to
which the Debtors are bound do not prohibit, restrict or
otherwise prevent the subleasing of the Premises to the
Landlord, including, but not limited to, any necessary
renovations to the Premises and that such subleasing will not
constitute a default thereunder; and

      (b) the interests of the parties to such documents will be
adequately protected as provided in the Order or as may
otherwise be agreed to between the Debtors and such other
parties.

The Court's order also expressly provides that certain failures
of a party will forever bar and estop the party, its heirs,
successors and assigns, and any predecessor in interest, of
itself and anyone claiming by, through or under it or them, from
asserting any claims in the case of in any subsequent cases,
proceedings or actions against the Debtors, in law or in equity,
and any such claims are waived, terminated, exonerated, barred
and adjudicated against such person. These include the failure
to:

      (a) identify any amendment, modification or other agreement
relating to or affecting the lease, other than described in the
motion;

      (b) assert any material waiver, failure to act, or
statement contrary to that presented in the motion by the
Debtors; or

      (c) assert any objection or defense to the entry of the
order. (Service Merchandise Bankruptcy News, Issue No. 18;
Bankruptcy Creditors' Service, Inc., 609/392-0900)


SUN HEALTHCARE: Claimants Agree To Expunge Tort Claims
------------------------------------------------------
Sun Healthcare Group, Inc. and the following parties agree and
stipulate that, pursuant to settlement of the State Court Action
with each claimant, the respective proofs of claim filed against
the Debtors will be withdrawn and expunged:

Claim #   Amount                 Claimant
-------   ------                 --------
02611     $2 mil  Jewell Mackey by and through her successor in
                    interest Yvonne Duarte and Yvonne Duarte,
                    individually

09518     $2 mil  Margarete Louise Murphy
02610

09517     $2 mil  Maria Cervantes by and through her successor
in
                    interest Raul Cervantes and Raul Cervantes,
                    individually

09765     $1.5M   Claudia Hastings, individually and as heir of
09766             James Hastings
09768
09769

02525     $500,000 Evelyn Russell

01516     $5 mil   Howard Kevin Menzes, Sodra Thomas and
                    Marjorie

A hearing on the above stipulations has been scheduled for July
13, 2001.

Judge Walrath has given her stamp of approval to the following
stipulations on expungement of claims:

Claim #   Amount                 Claimant
-------   ------                 --------
09624       --       Derek R. Amo by and through his guardian ad
                       litem Shirley C. Amo, and Shirley C. Amo
                       individually and as mother and legal
                       guardian of Tracy Lynn and Tara Lee Amo

    --      $3.2 mil   Nakita Cole, individually and as
                       Administratrix of the Estate of Olympia
                       Monique Mitchell

(Sun Healthcare Bankruptcy News, Issue No. 21; Bankruptcy
Creditors' Service, Inc., 609/392-0900)


USG CORPORATION: Obtains $350 Million DIP Financing Package
-----------------------------------------------------------
At the First Day Hearing in USG Corporation's chapter 11 cases,
Richard H. Fleming, the Debtors' Executive Vice President and
Chief Financial Officer, stepped Judge Farnan through the
Company's capital structure:

With the exception of (a) approximately $16 million of unsecured
industrial revenue bonds issued by U.S. Gypsum and (b) a
receivables securitization facility, all of the USG Companies'
domestic funded indebtedness has been issued by its parent
holding company, USG Corporation.  All of USG's funded
indebtedness is unsecured.  None of USG's funded indebtedness is
guaranteed by any other USG Company.

       (A) Five Year Revolving Bank Credit Agreement
           -----------------------------------------
           USG is party to two credit facilities with a syndicate
of financial institutions for which The Chase Manhattan Bank
serves as Agent for the Bank Group.   Pursuant to a Five Year
Credit Agreement dated June 30, 2000, the Bank Group provided
USG with loans, letter of credit availability and other
financial accommodations on a revolving basis in an aggregate
amount of up to $400 million through June 30, 2005.  The Five
Year Agreement includes a Canadian subfacility pursuant to which
USG's Canadian subsidiaries could obtain loans, letters of
credit and other financial accommodations on a revolving basis
in an aggregate amount of up to $75 million in equivalent
Canadian dollars, which obligations were guaranteed by USG. Any
outstanding obligations under the Canadian subfacility reduce
the $400 million of credit available to USG under the Five Year
Agreement.  As of the Petition Date, the Debtors owe
approximately $267 million under the Five Year Agreement and
approximately $100 million in letters of credit had been issued
under the facility.  Nothing is owed under the Canadian
subfacility.

       (B) 364-Day Bank Credit Agreement
           -----------------------------
           Pursuant to a 364-Day Credit Agreement dated June 30,
2000, the Bank Group provided USG with loans and other financial
accommodations on a revolving basis in an aggregate amount of up
to $200 million through June 29, 2001. Under the 364-Day
Agreement, USG was obligated to repay any outstanding borrowings
as of June 29, 2001 on or before June 28, 2002.  As of the
Petition Date, the entire $200 million principal amount was
outstanding under the 364-Day Agreement.

       (C) 9-1/4% Senior Notes
           -------------------
           Pursuant to an Indenture dated October 1, 1986 between
USG and the Harris Trust and Savings Bank, as trustee, in April
1994, USG issued $150 million of 9-1/4% Senior Notes due on
September 15, 2001.  These Senior Notes rank pari passu with
USG's unsecured bank debt and all other senior obligations of
the company. Although USG was required to pay interest only on
the Senior Notes until maturity, the company has retired
approximately $19 million of 9-1/4% Senior Notes, leaving
approximately $131 million of such notes outstanding as of the
Petition Date. The Indenture Trustee for the 9?1/4% Senior Notes
is currently National City Bank of Indiana.

       (D) 8-1/2% Senior Notes
           -------------------
           Pursuant to the Indenture, in August 1995, USG issued
$150 million of 8-1/2% Senior Notes due 2005. The Senior Notes
rank pari passu with USG's unsecured bank debt and all other
senior obligations of the company. USG was required to pay
interest only on the Senior Notes until maturity, and, as a
result, as of the Petition Date, $150 million of such notes
remained outstanding. The Indenture Trustee for the 8-1/2%
Senior Notes is currently National City Bank of Indiana.

       (E) Industrial Revenue Bonds
           ------------------------
           USG has issued approximately $240 million of unsecured
industrial revenue bonds with final maturity dates between 2028
and 2034 and interest rates ranging from 5.5% to 6.4%. USG pays
only interest under the industrial revenue bonds prior to
maturity. Although the bonds themselves were technically issued
by various municipalities or other governmental entities, USG is
ultimately obligated on each series of the industrial revenue
bonds. There are seven separate issues of USG industrial revenue
bonds. The largest issues are: (a) a $45 million and a $44
million series of bonds issued by the Ohio Air Quality
Development Authority, for which Bank One acts as trustee; and
(b) a $110 million series of bonds issued by the Pennsylvania
Economic Development Financing Authority, for which The Chase
Manhattan Bank acts as the trustee. As stated above, U.S.
Gypsum, through various governmental entities, also has issued
approximately $16 million of unsecured industrial revenue bonds.
There are nine separate issues of U.S. Gypsum industrial revenue
bonds, which have final maturity dates ranging from 2007 to 2020
and interest rates ranging from 5.9% to 8.75%. A limited number
of these issues have de minimis sinking fund requirements
commencing in September 2003.

       (F) Receivables Securitization Facility
           -----------------------------------
           USG, U.S. Gypsum, USG Interiors and non-debtor
subsidiary USG Funding Corporation, a Delaware special purpose
corporation, are parties to a series of agreements pursuant to
which U.S. Gypsum and USG Interiors sell substantially all of
their receivables (with the exception of foreign and
intercompany receivables) to USG Funding, USG Funding then sells
such receivables to the USG Trade Receivables Master Trust for
the benefit of certain certificate holders thereof, and USG
services and collects such receivables for the benefit of the
trust and certificate holders. This arrangement allows U.S.
Gypsum and USG Interiors to obtain cash promptly after the
creation of trade receivables from customers, rather than having
to await actual payments from such customers. Under the
securitization facility, the maximum amount of funding that USG
Funding can obtain at any one time to purchase receivables
cannot exceed the lesser of (a) $130 million and (b) an amount
based upon the level of eligible receivables at such time. As of
the Petition Date, USG Funding's loan balance was approximately
$60 million. As a result of the Debtors' chapter 11 filings, it
is anticipated that USG Funding will not purchase additional
receivables from U.S. Gypsum or USG Interiors and will seek to
terminate the receivables securitization facility.

"It is essential to the continued operation of the Debtors'
businesses that they obtain access to postpetition financing to
service their customers and continue their ordinary course
business operations," Mr. Fleming testified at the First Day
Hearing.  Although the Debtors have considerable assets,
including approximately $875 million in cash as of the Petition
Date, immediate access to a postpetition financing facility is
necessary, Mr. Fleming says, "to enhance the Debtors' liquidity
and provide vendors, suppliers, customers and the public at
large with confidence that the Debtors have more than sufficient
resources available to maintain their operations on a 'business-
as-usual' basis.  The failure to have this liquidity or to have
these parties cooperate fully at this time," Mr. Fleming warns,
"as well as any resulting loss of customer patronage, could
severely impair the Debtors' ability to maximize the value of
their estates and reorganize successfully instill confidence in
vendors, suppliers and customers, as well as encourage these
parties to continue to do business with the Debtors, thereby
facilitating normalized operations and, ultimately, a successful
chapter 11 reorganization."  The financing facility, Mr. Fleming
suggests, also will allow the Debtors to "carry out certain
strategic business decisions, including capital expenditures, to
maximize the value of their estates for all stakeholders."

Accordingly, by this Motion, USG sought and obtained entry of an
Interim Order from Judge Farnan:

       (a) authorizing the Debtors to obtain a $350 million
           postpetition credit facility pursuant to the terms of
           a Revolving Credit and Guaranty Agreement dated June
           25, 2001 by and among the Debtors, as borrowers, USG
           Foreign Investments, Ltd., a non-debtor subsidiary of
           USG Corporation and an affiliate of the other Debtors,
           as guarantor, and The Chase Manhattan Bank, for itself
           and as administrative agent for the other lenders
           party thereto from time to time;

       (b) pending a final hearing with respect to the DIP
           Facility, authorizing the Debtors to obtain loans
           under the DIP Facility in an amount not to exceed
           $150,000,00; and

       (c) granting the Agent liens on substantially all of the
           property of the Debtors' estates to secure the
           repayment of the obligations under the DIP Facility.

To obtain postpetition financing, Mr. Fleming testified, the
Debtors approached "at least three sophisticated commercial
entities, all of which have more than adequate financial
resources to make a debtor in possession financing facility
available to the Debtors."  Given the magnitude of the financing
required, the complexity of the Debtors' businesses, the
immediacy of the Debtors' financing needs and the terms which
the Debtors received from the three lenders approached, the
Debtors determined that it would neither be productive nor
necessary to solicit interest from additional lenders, Mr.
Fleming explained. None of the entities approached by the
Debtors was willing to offer an unsecured facility of the type
and magnitude requested by the Debtors. Moreover, Mr. Fleming
continued, after negotiations with each of the potential lenders
or lender groups, the Debtors concluded that, under the
circumstances, they could not have obtained a postpetition
credit facility to meet their working capital needs from these
lenders either at all or on terms more favorable than those
contained in the DIP Facility.

Through June 24, 2004, pursuant to the terms of a Revolving
Credit and Guaranty Agreement dated June 25, 2001, The Chase
Manhattan Bank, as Administrative Agent for a Lending Syndicate
(consisting solely of Chase at the moment), agrees to extend:

      * a revolving credit facility with a total commitment of up
        to $150,000,000 until entry of a Final DIP Financing
        Order; and

      * up to $350,000,000 upon entry of the Final Order;

with, in each case, a $100,000,000 sublimit for standby letters
of credit.

The actual amount available to USG at any time is subject to a
Borrowing Base, which may include certain inventory and accounts
receivable of the Debtors meeting certain eligibility standards
that are to be determined by the Agent and a Plant, Property &
Equipment component determined by the Agent with reference to
certain property, plant and equipment of the Debtors.  The
Borrowing Base standards may be fixed and revised from time to
time solely by the Agent in its business judgment.
Additionally, the PP&E Component may not exceed 20% of the
Borrowing Base at any time.

Subject to a $5,000,000 Carve Out for payment of Professional
Fees, the Debtors grant to the Agent: (i) pursuant to section
364(c)(2) of the Bankruptcy Code, a perfected first priority
Lien on the Debtors' unencumbered property and on all cash
maintained in the Letter of Credit Account and any direct
investments and funds therein, provided that, after the
Termination Date, funds in the Letter of Credit Account shall
not be subject to the Carve Out; (ii) pursuant to section
364(c)(3) of the Bankruptcy Code, a perfected Lien on all the
Debtors' property that is subject to valid and perfected
Permitted Liens; (iii) pursuant to section 364(d)(1) of the
Bankruptcy Code, first priority, senior priming Liens on all the
Debtors' property that is subject to any existing Liens, except
property subject to Permitted Liens. The DIP Lenders will not
have any Liens on the Debtors' avoidance actions or on more than
66% of the stock of certain foreign subsidiaries of the Debtors.
The Debtors have agreed to subordinate their existing liens
securing intercompany indebtedness to the DIP Lenders' Liens.

Subject to the Carve Out, all Loans receive superpriority
administrative expense status under section 364(c)(1) of the
Bankruptcy Code, with priority over all administrative expenses
of the kind specified in sections 503(b) or 507(b) of the
Bankruptcy Code.

The Debtors agree that all Loans shall be repaid in full and all
commitments to make such Loans shall terminate on the
Termination Date, which shall be the earliest to occur of: (i)
45 days after the entry of the Interim Order by the Court if the
Final Order has not been entered by such date; (ii) the date of
substantial consummation (as defined in the Bankruptcy Code) of
a plan of reorganization for the Debtors; (iii) 36 months after
the Petition Date; and (iv) the acceleration of the Loans and
termination of the Lenders' Commitments in accordance with the
Loan Agreement.

Interest will accrue:

    (1) on ABR (base rate) Loans, at the Alternate Base Rate plus

       (a) 0.50% when the total usage under the DIP Facility is
           less than $200,000,000 and

       (b) 1.00% when the total usage under the DIP Facility is
           equal to or greater than $200,000,000; and

   (2) on Eurodollar (LIBOR) Loans at the Adjusted LIBOR Rate
       plus

      (a) 2.00% when the total usage under the DIP Facility is
          less than $200,000,000 and

      (b) 2.50% when the total usage under the DIP Facility is
          equal to or greater than $200,000,000.

The Debtors may use Loan proceeds for:

     (1) working capital;

     (2) other general corporate purposes of the Debtors;

     (3) payment of any related transaction costs, fees and
         expenses; and

     (4) after entry of a Final DIP Financing Order, refinancing
         the Receivables Securitization Facility.

Letters of Credit must be used in support of obligations of the
Debtors that are consistent with the Borrowers' past practices,
as disclosed to the Agent.

The Debtors covenant that:

     (A) They will not incur any additional Indebtedness prior to
         the Maturity Date other than:

           * $5,000,000 of guarantees in the ordinary course; and

           * up to $100,000,000 on account of Intercompany Debt.

     (B) With certain exceptions, including intercompany
         liens permitted by section 6.1 of the Loan Agreement,
         they will not incur any additional Liens other than
         those Liens granted pursuant to the DIP Facility.

     (C) The Debtors agree to limit Capital Expenditures to
         $175,000,000 in any fiscal year.

     (D) The Debtors' agree that consolidated EBITDA for the
         immediately preceding four fiscal quarters may not at
         any time be:

         (1) less than $50,000,000 when Total Usage under the DIP
             Facility is greater than $200,000,000 or

         (2) less than $0 commencing with the fiscal quarter
             ending December 31, 2002.

     (E) The Debtors agree that they will not sell or dispose
         of any assets other than:

         (1) sales of inventory, fixtures and equipment in the
             ordinary course of business;

         (2) sales or other dispositions of surplus assets no
             longer used in the Debtors' business operations; and

         (3) revocable non-exclusive licenses of technology in
             the ordinary course of business entered into in good
             faith and on commercially reasonable terms, provided
             that none of such licenses may adversely affect the
             Debtors' operating integrity or limit the Debtors'
             use of such technology in a manner necessary or
             desirable in the normal conduct of the Debtors'
             businesses.

In exchange for this extension of credit, the Debtors agree to
pay Chase a variety of fees:

     (1) a Commitment Fee equal to:

         (x) 0.50% of the total unused commitment if the total
             amount outstanding under the DIP Facility is less
             than $200,000,000 and

         (y) 0.375% of the total unused commitment if the total
             amount outstanding under the DIP Facility is equal
             to or greater than $200,000,000;

     (2) a $2,187,500 Structuring Fee;

     (3) a $3,500,000 Syndication Fee; and

     (4) an annual $175,000 Administrative Agent Fee.

In addition to the foregoing, the Debtors will pay all
reasonable pre-petition and post-petition costs and expenses of
the DIP Lenders (including fees and expenses of Agent's legal
and financial advisors) as provided in the Loan Agreement or
relating to the negotiation, documentation and administration of
the DIP Facility and the enforcement of Agent's rights under and
in respect of the DIP Facility.

An Event of Default is triggered, among other things, when:

     (A) a payment default occurs;

     (B) a covenant is breached;

     (C) the Chapter 11 Cases are converted or dismissed;

     (D) an Examiner or Trustee is appointed;

     (E) a Change in Control occurs;

     (F) USG Foreign Investments, Ltd. -- the Guarantor -- files
         for bankruptcy or seeks similar relief;

The DIP Facility contemplates that Chase will syndicate the
loan. Assignments must be for no less than $5,000,000, and Chase
will collect a $3,500 fee from the assignee for each assignment.
There is no restriction concerning Eligible Assignees.

Bryan Cave LLP serves as legal counsel to Chase and J.P. Morgan
Securities serves as Chase's financial advisor. (USG Bankruptcy
News, Issue No. 2; Bankruptcy Creditors' Service, Inc., 609/392-
0900)


VENTAS INC.: Board Declares Quarterly Cash Dividend
---------------------------------------------------
(yvonne)

Ventas, Inc.'s (NYSE:VTR) Board of Directors declared a regular
quarterly cash dividend of $0.22 a share payable on July 23,
2001 to shareholders of record on July 13, 2001. Ventas,
Inc. has approximately 68.9 million shares of common stock
outstanding.

Ventas, Inc. is a real estate investment trust whose properties
include 44 hospitals, 216 nursing facilities, and eight personal
care facilities in 36 states.


VIDEO NETWORK: Appeals Nasdaq's Delisting Determination
-------------------------------------------------------
Video Network Communications, Inc. (Nasdaq: VNCI and VNCIW), a
provider of real-time video network communications solutions,
received a Nasdaq Staff Determination on July 2, 2001 indicating
that the Company fails to comply with the net tangible assets
requirement for continued listing under Marketplace Rule
4310(c)(2)(B), and that its securities are, therefore, subject
to delisting from The Nasdaq SmallCap Market. The Company has
requested a hearing before a Nasdaq Listing Qualifications Panel
to review the Staff's determination. The Company's securities
will continue to trade on The Nasdaq SmallCap Market pending the
Panel's decision. There can be no assurance the Panel will grant
the Company's request for continued listing.

"We remain confident in a bright future for VNCI," said Carl
Muscari, Chairman and CEO. "In our appeal, we expect to
establish that the financial results of the Company's operations
through the first six months of 2001 are consistent with meeting
or exceeding minimum listing requirements for VNCI to remain on
The Nasdaq SmallCap Market. We will also detail at that time a
concrete operating plan that should sustain this momentum and
thereby assure our continued compliance for the foreseeable
future."

          About Video Network Communications, Inc.

Video Network Communications designs, develops, and markets
video distribution systems that provide full-motion, high-
resolution video networking, enabling video broadcast
distribution, retrieval of stored video-on-demand and
interpersonal video communications. VNCI's patented technology
allows the VNCI Video System to use the active telephone wiring
to bring TV-quality video anywhere there is a phone jack. The
Company's ISDN/IP and Universal (ATM) Gateway solutions extend
the system's reach from enterprise desktops out to the wide-
area-networks (WANs). The Company's common stock and warrants
are listed on The Nasdaq SmallCap Market under the symbols
"VNCI" and "VNCIW" respectively. VNCI can be found at
www.vnci.net.


VLASIC FOODS: Rejecting 114 Executory Broker Contracts
------------------------------------------------------
Vlasic Foods International, Inc. sought and obtained an order
authorizing them to reject 114 executory broker contracts.

Anthony W. Clark, Esq., at Skadden, Arps, Slate, Meagher & Flom
in Wilmington, Delaware, relates that the Debtors are parties to
numerous executory contracts and unexpired leases. In the course
of their business, Mr. Clark notes, the Debtors utilize certain
third parties or brokers to arrange sales of the Debtors'
products to certain retailers and buyers.

The Debtors recently entered into a contract to sell their
pickles, sauce and frozen foods businesses to Pinnacle Foods
Corporation for $370,000,000. Under the Asset Purchase
Agreement, the Debtors are obligated to transfer to the
Purchaser, among other things, certain executory contracts and
unexpired leases. But the brokers' contracts are not included in
the transfer. So, Mr. Clark says, the Debtors decided to reject
these brokers' contracts that they believe are unnecessary to
their reorganization efforts. According to Mr. Clark,
maintaining these executory contracts will only be a burden to
the Debtors. (Vlasic Foods Bankruptcy News, Issue No. 7;
Bankruptcy Creditors' Service, Inc., 609/392-0900)


WARNACO GROUP: Taps Bankruptcy Services Inc. As Claims Agent
------------------------------------------------------------
The Court appoints Bankruptcy Services Inc. (BSI) as the claims
agent for The Warnaco Group, Inc.'s bankruptcy cases.  BSI is a
data processing firm that specializes in noticing, claims,
processing, balloting, solicitation, and other administrative
tasks in chapter 11 cases. At the Debtors' or the Clerk of
Court's request, BSI will provide services such as:

       (a) Relieve the Clerk's Office of all noticing under any
applicable Bankruptcy Rule and process claims and objections
thereto;

       (b) At any time, upon request, satisfy the Court that it
has the capability to efficiently and effectively notice, docket
and maintain proofs of claim;

       (c) File with the Clerk's Office a certificate of service,
within 10 days after each service, that includes a copy of the
notice, a list of persons to whom it was mailed (in alphabetical
order), and the date mailed;

       (d) Maintain all proofs of claim filed;

       (e) Maintain an official claims register by docketing all
proofs of claim on a claims register including but not limited
to:
             (i) The name and address of claimant and agent, if
                 agent filed the proof of claim,

             (ii) The date received,

             (iii) The claim number assigned, and

             (iv) The amount and classification asserted by such
                  claimant;

       (f) Maintain the original proofs of claim in correct claim
number order, in an environmentally secure area and protect the
integrity of these original documents from theft and/or
alteration;

       (g) Transmit to the Clerk's Office an official copy of the
claims register on a monthly basis, unless requested in writing
by the Clerk's Office on a more/less regular basis;

       (h) Maintain an up-to-date mailing list of all entities
that have filed a proof of claim, which shall be available upon
request of a party-in-interest or the Clerk's Office;

       (i) Be open to the public for examination of the original
proofs of claim without charge during regular business hours;

       (j) Record all transfers of claims pursuant to Bankruptcy
Rule 3001(e) and provide notice of the transfer as required by
Bankruptcy Rule 3001(c);

       (k) Make all original documents available to the Clerk's
Office on an expedited basis;

       (l) Comply with applicable state, municipal and local laws
and rules, orders, regulations and requirements of Federal
Government Departments and Bureaus;

       (m) Promptly comply with such further conditions and
requirements as the Clerk's Office may hereafter prescribe;

       (n) Make changes in the claims register pursuant to the
Court's Order;

       (o) Upon completion of the docketing process for all
claims received to date by the Clerk's office, turn over to the
Clerk copies of the Claims Register for the Clerk's review; and

       (p) Assist with the preparation of the Debtors' Schedules
of Assets and Liabilities, and Statements of Financial Affairs.

BSI will also assist the Debtors with, among other things, (i)
noticing, reconciling and resolving claims and (ii)
distributing, receiving and tabulating ballots on any plan(s) of
reorganization.

The Clerk of the Court is ordered to release all filed claims
directly to BSI to be shipped Federal Express using the
packaging materials and labels provided by BSI or the Debtors'
counsel.

In the event that BSI will not be able to provide services, BSI
is ordered to immediately notify the Clerk and the Debtors'
attorney, and turn over all original proofs of claim and
computer information to another claims agent with the consent of
the Clerk and the Debtors' attorney.

BSI President Ron Jacobs is confident that he and his Firm will
do "an outstanding job and provide valuable assistance to the
Debtors' reorganization efforts."  BSI will receive a $25,000
retainer from Warnaco and the Debtors will pay all fees and
expenses incurred by BSI in its services related to the case.
(Warnaco Bankruptcy News, Issue No. 3; Bankruptcy Creditors'
Service, Inc., 609/392-0900)


WARNACO: Wins Final Court Nod for $600 Million DIP Financing
------------------------------------------------------------
The Warnaco Group, Inc., said that the U.S. Bankruptcy Court for
the Southern District of New York has entered a final order
approving the full amount of the Company's $600 million Debtor-
in-Possession (DIP) financing agreement from a consortium of
banks led by Citibank, J.P. Morgan Chase and The Bank of Nova
Scotia.

As previously reported, on June 11, 2001, the Company had
received interim approval permitting $375 million of the $600
million DIP facility to be made available. The Court Monday
approved the remaining balance of $225 million.

The Warnaco Group, Inc., headquartered in New York, is a leading
manufacturer of intimate apparel, menswear, jeanswear, swimwear,
men's and women's sportswear, better dresses, fragrances and
accessories sold under such brands as Warner's(R), OIga(R), Van
Raalte(R), Lejaby(R), Weight Watchers(R), Bodyslimmers(R),
Izka(R), Chaps by Ralph Lauren(R), Calvin Klein(R) men's,
women's, and children's underwear, men's accessories, and men's,
women's, junior women's and children's jeans,
Speedo(R)/Authentic Fitness(R) men's, women's and children's
swimwear, sportswear and swimwear accessories, Polo by Ralph
Lauren(R) women's and girls' swimwear, Oscar de la Renta(R),
Anne Cole Collection(R), Cole of California(R) and Catalina(R)
swimwear, A.B.S.(R) Women's sportswear and better dresses and
Penhaligon's(R) fragrances and accessories.


WEBVAN GROUP: Shuts Down And Plans to File for Bankruptcy
---------------------------------------------------------
Webvan Group, Inc. (Nasdaq:WBVN) has ceased operations in all
markets and says it intends to file for protection under Chapter
11 of the U.S. Bankruptcy Code.

The company has no plans to resume operations and it will pursue
an orderly wind down of its operations and sale of its assets
and business.

Robert Swan, chief executive officer of Webvan, stated, "We've
made significant progress in reducing our operating losses and
burn rate, as well as improving the economics on each order we
delivered. However, our order volume declined considerably
during the second quarter ended June 30, accelerating our need
for capital. In light of the tough climate for raising new funds
and our second quarter order volume, we have made the difficult
decision to end all operations effective immediately and to wind
down the company's operations and sell our assets in an orderly
manner. We took this action rather than continuing to operate
with high losses and decreasing cash."

Swan continued, "Webvan has weathered numerous challenges, and
in a different climate I believe that our business model would
prove successful. At the end of the day, however, the clock has
run out on us. I would like to thank our employees, loyal
customers, and stockholders for their support."

Approximately 2,000 workers have been terminated as a result of
this announcement. The company has ceased all operations
including deliveries of  existing orders and its Web site is no
longer accepting new orders in any market. The Internet retailer
had served the Chicago, Los Angeles, Orange County (CA),
Portland (OR), San Diego, San Francisco Bay, and Seattle
markets. Webvan's corporate headquarters are in Foster City,
Calif.

In light of the shutdown, the company also announced that it
would not be implementing the 25 to 1 reverse stock split that
was recently approved by its stockholders. As a result, the
company expects that its common stock will be delisted from the
Nasdaq National Market.


WESTPOINT STEVENS: Projects Deeper Loss for Second Quarter 2001
---------------------------------------------------------------
WestPoint Stevens Inc. (NYSE: WXS) (www.westpointstevens.com)
announced that sales for the second quarter of 2001 will be
approximately $400 million, a decline of 13%, and earnings for
the second quarter of 2001, before charges associated with the
Company's Eight-Point Plan, are expected to be a loss of
approximately $0.30 per share, below prior guidance of a sales
decline of 2%-3% and a loss of $0.10 per share to breakeven. For
the second quarter of 2000, the Company reported earnings per
share before charges associated with the Company's Eight-Point
Plan of $0.36 on sales of $462 million.

WestPoint Stevens earlier announced on June 29, 2001, that it
had closed a $165 million second-lien senior credit facility to
improve its liquidity and pay down bank debt, and on July 3,
2001, the Company filed an 8-K with a copy of an amendment to
its bank credit facility. The amendment makes broad changes in
the Company's financial covenant compliance tests and defers
further commitment step-downs until November of 2002.

Assuming no improvement in retail conditions for the balance of
2001, the Company now expects sales for 2001 to approximate
$1,865 million, up 3%, versus $1,816 million in 2000 and below
its prior guidance of 4%-8% growth. EBITDA before charges
associated with the Company's Eight-Point Plan should
approximate $225 million versus $311 million in 2000 and prior
guidance of approximately $300 million. Earnings per share for
the full year, before costs associated with the Eight-Point
Plan, are expected to approximate a loss of $0.15 in 2001 versus
income of $1.34 in 2000, below prior guidance of income of
$0.90-$1.20 per share.

WestPoint Stevens Chairman and CEO Holcombe T. Green, Jr.,
commented, "We were pleased to be able to refinance our senior
debt facility under difficult business conditions. With this new
second-lien senior credit facility, we believe that WestPoint
Stevens has sufficient liquidity to grow and strengthen its
business for the foreseeable future, as well as enhanced
flexibility to meet all of its financial obligations."

M.L. "Chip" Fontenot, WestPoint Steven's President and Chief
Operating Officer, noted, "We continue to forecast sales and
earnings growth in the second half of 2001 based on our expanded
Ralph Lauren Home license and our new Disney Home license.
Recent additions to our management team are quickly integrating
into WestPoint Stevens and we are focused on leveraging our
leadership position to grow market share. Progress continues on
our Eight- Point Plan. We are on schedule to complete our
manufacturing rationalization by the end of the third quarter of
2001 and should double our rate of sourcing by year-end. Our
portfolio of brands and licenses continues to strengthen with
the expanded breadth of our product offering."

WestPoint Stevens Inc. is the nation's leading home fashions
consumer products marketing company, with a wide range of bed
linens, towels, blankets, comforters and accessories marketed
under the well-known brand names of MARTEX, VELLUX, UTICA, GRAND
PATRICIAN, PATRICIAN, STEVENS, LADY PEPPERELL and CHATHAM, and
under licensed brands including RALPH LAUREN HOME, DISNEY HOME,
SANDERSON, DESIGNERS GUILD, JOE BOXER and GLYNDA TURLEY.
WestPoint Stevens is also a manufacturer of the MARTHA STEWART
bed and bath lines. WestPoint Stevens can be found on the World
Wide Web at www.westpointstevens.com .


WINSTAR COMMUNICATIONS: Wants To Reject 34 Unexpired Leases
-----------------------------------------------------------
To stop unnecessary drain to their cash flow, Winstar
Communications, Inc. seeks the Court's authority to reject 34
leases of nonresidential real property.

M. Blake Cleary, Esq., at Young Conaway Stargatt & Taylor, in
Wilmington, Delaware, explains that the Debtors are no longer
utilizing the sites rented under the leases and neither are
these sites necessary to the Debtors' ongoing operations.

The leases to be rejected were entered into with:

       (1) 1-10 Industry Associates in Brooklyn, New York
       (2) 6555 Partnership in Milwaukee, Wisconsin
       (3) Blaire Corporation in Stamford, Connecticut
       (4) 500 South Ervay in Dallas, Texas
       (5) Flightway Business Park in Miami, Florida
       (6) Downtown Properties in Cleveland, Ohio
       (7) EBC Memphis Enterprises Inc. in Memphis, Tennessee
       (8) HQ Global Workplaces in Pittsburgh, Pennsylvania
       (9) Intrarock I in Kent, Washington
       (10) Office Plus Corporation in St. Louis, Missouri
       (11) Paragon Properties in Livonia, Michigan
       (12) Regus Business Centre Corp. in Bellevue, Washington
       (13) Regus Business Centre Corp. in Sacramento, California
       (14) Regus Business Centre Corp. in Burlington,
            Massachusetts
       (15) Vantas North Michigan Inc. in Chicago, Illinois
       (16) HQ Global Workplaces in Overland Park, Kansas
       (17) EOP-Bay Park Plaza in Burlingame, California
       (18) Crown Pointe in Atlanta, Georgia
       (19) 208 South LaSalle in Chicago, Illinois
       (20) TST Southpointe in Herndon, Virginia
       (21) Harold A. Rose in Brookfield, Wisconsin
       (22) First Industrial in Bagan, Minnesota
       (23) Ideal Professional Park in Union, New Jersey
       (24) Tropicana Office in Las Vegas, Nevada
       (25) Jennings Freeway Industrial Park in Cleveland, Ohio
       (26) Knickerbocker Properties, Inc. in Portland, Oregon
       (27) Security Capital Industrial Trust in Houston, Texas
       (28) Rawlins Family Limited in Richardson, Texas
       (29) Koppy Nemer/Forbes Cohen Associates in Southfield,
            Michigan
       (30) Carlyle/Paradigm 99 in Boston, Massachusetts
       (31) Myron Zimmerman in Memphis, Tennessee
       (32) Star Venture in Southfield, Michigan
       (33) Cummings Properties in Woburn, Massachusetts
       (34) Stanley W. Pagorek in Calumet City, Illinois

In the event the Court grants their motion, the Debtors further
request that the effective date of the rejection be earlier of:

       (a) The date the Debtors notified the lessor of such
property that the Debtors was vacating such property and

       (b) The date of this motion, whichever is earlier.

Mr. Cleary claims that as of the filing of these two motions,
the Debtors already sent letters to each affected landlord that
the premises are abandoned and the keys to such premises have
been returned by separate letter or by hand delivery.

                 1-10 Industry Associates Objects

1-10 Industry Associates asks Judge Farnan to deny the Debtors'
request.

Michael S. Schreiber, Esq., at Robinson Brog Leinwand Greene
Genovese & Gluck, in New York, argues that there was no shred of
evidence presented to support the Debtors' claims except for
bald and conclusory allegations of its counsel.  Such conclusory
allegations, Mr. Schreiber notes, are insufficient to support an
order authorizing rejection of lease.  Because it lacks support,
Mr. Schreiber contends, the Debtors' motion should be denied.

In 1999, Industry Associates and Winstar entered into a lease
agreement with respect to the real property and improvements in
the entire 4th floor and the support space in the buildings
known as 9 and 10 Bush Terminal, Brooklyn, New York.

Neither are the Debtors entitled to retroactive relief, Mr.
Schreiber maintains.  According to Mr. Schreiber, 1-10 Industry
Associates should be paid post-petition lease payments up until
the time the Court authorizes the lease rejection, even if the
Debtors does not occupy the premise post-petition.

                      Paradigm Also Protests

Paradigm Properties contends that the Debtors cannot reject a
portion of a lease without rejecting the lease in its entirety.

Paradigm is a limited liability company and owner/landlord of a
property located at 99 Summer Street in Boston, Massachusetts.
Winstar leases a space on the 2nd, 3rd, and 4th floors of 99
Summer Street.

Winstar's space each 3 floors are covered by 3 separate lease
agreements.  The second floor of 99 Summer Street is the subject
of a Lease Agreement dated October 1996, 3rd floor is subject to
Lease Agreement dated September 1998, and the 4th floor is the
subject of a Lease Agreement dated December 2000.  However, the
December 2000 lease agreement contains a cross default provision
that binds the 3 lease agreements together where any default of
the December 2000 lease also constitutes a default of the two
other existing leases.

As a general rule, Stephen F. Gordon, Esq., at Gordon & Wise, in
Boston, Massachusetts, notes that a debtor may not reject a
contract and still maintain its benefits.  Mr. Gordon emphasizes
that a debtor must assume or reject an executory contract in its
entirety.

Paradigm also objects to the Debtors request of a retroactive
rejection date.  Mr. Gordon argues that only the date of the
Court's approval of the rejection of a lease may be the
effective date.

                    TST Woodland's Limited Objection

The Debtors lease TST Woodland's real property located in
Herndon, Virginia.  Since Petition Date, the Debtors continue to
occupy the premises and maintain considerable amounts of
personal property including furniture and equipment in the
premises.

TST Southpointe I LLC, predecessor-in-interest to TST Woodland
doesn't really care if the Debtors opt to reject their lease
agreement, Scott A. Shail, Esq., at Hogan & Hartson, in
Washington D.C. explains, as long as the Debtors remain current
in their rent payments.

But that is not the case here, Mr. Shail notes.  The Debtors
failed and refuse to pay the post-petition rent for the month of
June 2001, which was due in advance on June 1.

TST Woodland also objects to the Debtors' request for a
retroactive rejection date.  Mr. Shail criticizes that the
request is an apparent attempt by the Debtor to avoid paying
post-petition rent to TST Woodland while retaining possession
and control of the premises.  This greatly prejudices TST
Woodland, Mr. Shail says, because the Debtors' occupancy of the
premises prevents TST Woodland from marketing the property
effectively to potential lessees.

TST Woodland asks Judge Farnan to deny the Debtors' request for
a retroactive rejection date and seeks an order requiring
Debtors to pay its post-petition obligations under the lease
through the effective date of rejection. (Winstar Bankruptcy
News, Issue No. 7; Bankruptcy Creditors' Service, Inc., 609/392-
0900)


WINSTAR COMMUNICATIONS: Completes Placement of DIP Facility
-----------------------------------------------------------
Winstar Communications, Inc. said that the U.S. Bankruptcy Court
for the District of Delaware has issued a final order which
increases the availability under its Debtor-In-Possession
("DIP") facility to $225 million, of which approximately $175
million has been syndicated to the company's bank group.  The
company has also obtained additional financing commitments from
several of its telecommunications services providers, who will
share in the payments and collateral under the DIP facility. The
company anticipates that these financing facilities will provide
sufficient liquidity to finance its operations until it emerges
from Chapter 11.

In addition, Winstar today implemented a Court-approved Employee
Retention Program covering its employees. Finally, the company
also announced that it has hired Paul A. Street of Impala
Partners, LLC as chief restructuring officer in accordance with
its financing agreements with its banks.

William J. Rouhana, Jr., chairman and chief executive officer of
Winstar said, "We are pleased to have received this additional
support from our banks and prominent companies in the
telecommunications industry. Furthermore, we appreciate the
support and hard work of our employees during this process, and
are pleased to provide a retention program that covers all
Winstar employees at every level. We also welcome Paul and his
team to our organization and look forward to working with them.
The Court's decisions, along with our DIP facility and vendor
financing commitments, will enable Winstar to continue to
provide excellent service to our customers while growing our
customer base on our existing broadband network, as we work to
emerge from Chapter 11 as quickly as possible."


XATA CORPORATION: John Deere Now Has 31% Equity Stake
-----------------------------------------------------
XATA Corporation (Nasdaq/SC: XATA), a supplier of onboard
information technology for transportation companies, reports
that John Deere Special Technologies Group, a subsidiary of
Deere & Company, completed a second equity investment of $5
million in the company. This investment gives Deere a 31 percent
stake in XATA.

"This additional investment by Deere & Company is an important
endorsement of our new platform-independent mobile information
systems and our Web-based enterprise logistics solutions," said
Bill Flies, XATA president and chief executive officer. "It
provides XATA with the capital needed to launch, produce and
distribute our recently announced XataNet products to larger
transportation markets."

"The progress that XATA has made over the last year reinforces
our confidence in their products and their market distribution
strategy," said Charles Stamp, Jr., president of John Deere
Special Technologies Group. "We are excited about participating
in XATA's targeted high-growth, technology-demanding markets and
the potential of utilizing their advanced vehicle information
technology for our traditional markets."

XATA also reported that a one-time charge of approximately
$400,000 to write off its Desktop Dispatch Pro (DDPro) product
was recognized in its third quarter ended June 30. "We wrote off
DDPro because of its limited value to potential buyers in the
truckload sector of the transportation market," said Flies. "The
coincident timing of the Deere investment with the industry's
growing appetite for our scaleable, Web-based, wireless,
information systems supports our decision to accelerate our new
product rollout for the long-term growth of our company," added
Flies. With the increased level of new product development
expenditures, new product customer test support costs, and the
DDPro write off, XATA expects to report a loss for both its
third quarter and its fiscal year, although it expects to post
record revenue for the fiscal year.

        About John Deere Special Technologies Group

John Deere Special Technologies Group offers a wide range of
electronic, wireless communications, information management and
Internet-related products and services to a broad range of
customers and markets. It is a wholly owned subsidiary of Deere
& Company, the world's premiere producer of agricultural
equipment, a leading manufacturer of construction, forestry,
commercial and consumer equipment, and a business leader in
parts, engines, financial services and special technologies.


XATA CORP.: Stephen A. Lawrence Steps Down As Board Chairman
------------------------------------------------------------
XATA Corporation announced the resignation of Stephen A.
Lawrence as chairman of its board of directors, although he will
remain as a director on XATA's board. "I take great pride in the
completion of a business plan that has culminated in XATA having
a truly wonderful strategic partner," said Lawrence, who also is
chairman and chief executive officer of Lawrence Transportation
Company. XATA appointed director Richard L. Bogen to succeed
Lawrence as chairman. Bogen has extensive experience in
transportation, supply chain and logistics management, including
his past position as president and chief executive officer of
UPS Logistics Group, Inc., an international subsidiary of United
Parcel Service.

                    About XATA Corporation

XATA Corporation is the leading provider of onboard technology
to the transportation industry. XATA onboard information
products are the most powerful, advanced, yet user-friendly
onboard solutions on the market. These products seamlessly
combine onboard computing, real-time communications, global
positioning and fleet management software to provide an
enterprise-wide logistics management solution for America's
largest fleets. The Internet address for XATA is
http://www.xata.com


* Meetings, Conferences and Seminars
------------------------------------
July 12-15, 2001
    American Bankruptcy Institute
       Northeast Bankruptcy Conference
           Stoweflake Resort, Stowe, Vermont
             Contact: 1-703-739-0800 or http://www.abiworld.org

July 17-20, 2001
    INSOL International
       6th World Congress
          London, England
             Contact: tina@insol.ision.co.uk or
                  http://www.insol2001.com

July 19, 2001
    International Women's Insolvency and Restructuring
    Confederation (IWIRC)
       Latest Events in Chapter 11 Practice
          The Princeton Club, New York, NY
             Contact: 212-481-4369

July 25, 2001
    Practising Law Institute (PLI)
       How to Handle Consumer Bankruptcy Cases:
       A Practical Step-by-Step Guide
          Practising Law Institute (PLI), 810 Seventh Avenue,
          New York, New York
             Contact: 1-800-260-4PLI or http://www.pli.edu

July 26-28, 2001
    ALI-ABA
       Chapter 11 Business Reorganizations
          Hotel Loretto, Santa Fe, New Mexico
             Contact: 1-800-CLE-NEWS or http://www.ali-aba.org

August 1-4, 2001
    American Bankruptcy Institute
       Southeast Bankruptcy Conference
          The Ritz-Carlton, Amelia Island, Florida
             Contact: 1-703-739-0800 or http://www.abiworld.org

August 10-11, 2001
    Association of Insolvency and Restructuring Advisors
       Distressed M&A Conference
          Ocean Place Conference Resort, Long Branch, New Jersey
             Contact: aira@airacira.org

September 6-9, 2001
    American Bankruptcy Institute
       Southwest Bankruptcy Conference
          The Four Seasons Hotel, Las Vegas, Nevada
             Contact: 1-703-739-0800 or http://www.abiworld.org

September 7-11, 2001
    National Association of Bankruptcy Trustees
       Annual Conference
          Sanibel Harbor Resort, Ft. Myers, Florida
             Contact: 1-800-445-8629 or http://www.nabt.com

September 10-11, 2001
    RENAISSANCE AMERICAN MANAGEMENT, INC. & BEARD GROUP
       Fourth Annual Conference on Corporate Reorganizations
          The Knickerbocker Hotel, Chicago, IL
             Contact 1-903-592-5169 or ram@ballistic.com

September 13-14, 2001
    ALI-ABA
       Corporate Mergers and Acquisitions
          Washington Monarch, Washington, D. C.
             Contact:  1-800-CLE-NEWS or http://www.ali-aba.org

September 14-15, 2001
    American Bankruptcy Institute
       ABI/Georgetown Program "Views from the Bench"
          Georgetown University Law Center, Washington, D.C.
             Contact: 1-703-739-0800 or http://www.abiworld.org

October 3-6, 2001
    American Bankruptcy Institute
       Litigation Skills Symposium
          Emory University School of Law, Atlanta, Georgia
             Contact: 1-703-739-0800 or http://www.abiworld.org

October 12-16, 2001
    TURNAROUND MANAGEMENT ASSOCIATION
       2001 Annual Conference
          The Breakers, Palm Beach, FL
             Contact: 312-822-9700 or info@turnaround.org

October 16-17, 2001
    International Women's Insolvency and Restructuring
    Confederation (IWIRC)
       Annual Fall Conference
          Somewhere in Orlando, Florida
             Contact: 703-449-1316 or
                  http://www.inetresults.com/iwirc

October 28 - November 2, 2001
    IBA Business Law International Conference
    Including Insolvency and Creditors Rights Sessions
       Cancun, Mexico
          Contact: +44 (0) 20 7629 1206
             http://www.ibanet.org/cancun

November 26-27, 2001
    RENAISSANCE AMERICAN MANAGEMENT, INC. & BEARD GROUP
       Seventh Annual Conference on Distressed Investing
          The Plaza Hotel, New York City
             Contact 1-903-592-5169 or ram@ballistic.com

November 29-December 1, 2001
    American Bankruptcy Institute
       Winter Leadership Conference
          La Costa Resort & Spa, Carlsbad, California
             Contact: 1-703-739-0800 or http://www.abiworld.org

January 31 - February 2, 2002
    American Bankruptcy Institute
       Rocky Mountain Bankruptcy Conference
          Westin Tabor Center, Denver, Colorado
             Contact: 1-703-739-0800 or http://www.abiworld.org

January 11-16, 2002
    Law Education Institute, Inc
       National CLE Conference(R) - Bankruptcy Law
          Steamboat Grand Resort, Steamboat Springs, Colorado
             Contact: 1-800-926-5895 or
                  http://www.lawedinstitute.com

February 28-March 1, 2002
    ALI-ABA
       Corporate Mergers and Acquisitions
          Renaissance Stanford Court, San Francisco, California
             Contact: 1-800-CLE-NEWS or http://www.ali-aba.org

March 3-6, 2002 (tentative)
    NORTON INSTITUTES ON BANKRUPTCY LAW
       Norton Bankruptcy Litigation Institute I
          Park City Marriott Hotel, Park City, Utah
             Contact:  770-535-7722 or Nortoninst@aol.com

March 15, 2002 (Tentative)
    American Bankruptcy Institute
       Bankruptcy Battleground West
          Century Plaza Hotel, Los Angeles, California
             Contact: 1-703-739-0800 or http://www.abiworld.org

March 20-23, 2002
    TURNAROUND MANAGEMENT ASSOCIATION
       Spring Meeting
          Sheraton El Conquistador Resort & Country Club
          Tucson, Arizona
             Contact: 312-822-9700 or info@turnaround.org

April 10-13, 2002 (tentative)
    NORTON INSTITUTES ON BANKRUPTCY LAW
       Norton Bankruptcy Litigation Institute II
          Flamingo Hilton, Las Vegas, Nevada
             Contact:  770-535-7722 or Nortoninst@aol.com

April 18-21, 2002
    American Bankruptcy Institute
       Annual Spring Meeting
          J.W. Marriott, Washington, D.C.
             Contact: 1-703-739-0800 or http://www.abiworld.org

May 13, 2002 (Tentative)
    American Bankruptcy Institute
       New York City Bankruptcy Conference
          Association of the Bar of the City of New York
          New York, New York
             Contact: 1-703-739-0800 or http://www.abiworld.org

June 6-9, 2002
    American Bankruptcy Institute
       Central States Bankruptcy Workshop
          Grand Traverse Resort, Traverse City, Michigan
             Contact: 1-703-739-0800 or http://www.abiworld.org

June 27-30, 2002
    NORTON INSTITUTES ON BANKRUPTCY LAW
       Western Mountains, Advanced Bankruptcy Law
          Jackson Lake Lodge, Jackson Hole, Wyoming
             Contact: 770-535-7722 or Nortoninst@aol.com

June __, 2002
    American Bankruptcy Institute
       Delaware Bankruptcy Conference
          Hotel Dupont, Wilmington, Delaware
             Contact: 1-703-739-0800 or http://www.abiworld.org

October 9-11, 2002
    INSOL International
       Annual Regional Conference
          Beijing, China
             Contact: tina@insol.ision.co.uk or
                  http://www.insol.org

October 24-28, 2002
    TURNAROUND MANAGEMENT ASSOCIATION
       Annual Conference
          The Broadmoor, Colorado Springs, Colorado
             Contact: 312-822-9700 or info@turnaround.org

December 5-8, 2002
    American Bankruptcy Institute
       Winter Leadership Conference
          The Westin, La Plaoma, Tucson, Arizona
             Contact: 1-703-739-0800 or http://www.abiworld.org

April 10-13, 2003
    American Bankruptcy Institute
       Annual Spring Meeting
          Grand Hyatt, Washington, D.C.
             Contact: 1-703-739-0800 or http://www.abiworld.org

December 5-8, 2003
    American Bankruptcy Institute
       Winter Leadership Conference
          La Quinta, La Quinta, California
             Contact: 1-703-739-0800 or http://www.abiworld.org

April 15-18, 2004
    American Bankruptcy Institute
       Annual Spring Meeting
          J.W. Marriott, Washington, D.C.
             Contact: 1-703-739-0800 or http://www.abiworld.org

The Meetings, Conferences and Seminars column appears in the
Troubled Company Reporter each Wednesday.  Submissions via
e-mail to conferences@bankrupt.com are encouraged.

                            *********

Bond pricing, appearing in each Monday's edition of the TCR, is
provided by DLS Capital Partners in Dallas, Texas.

A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR. Submissions about insolvency-
related conferences are encouraged. Send announcements to
conferences@bankrupt.com.

Each Friday's edition of the TCR includes a review about a book
of interest to troubled company professionals. All titles are
available at your local bookstore or through Amazon.com. Go to
http://www.bankrupt.com/books/to order any title today.

For copies of court documents filed in the District of Delaware,
please contact Vito at Parcels, Inc., at 302-658-9911. For
bankruptcy documents filed in cases pending outside the District
of Delaware, contact Ken Troubh at Nationwide Research &
Consulting at 207/791-2852.

                           *********

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 USA, and Beard
Group, Inc., Washington, DC USA. Debra Brennan, Yvonne L.
Metzler, Bernadette de Roda, Aileen Quijano and Peter A.
Chapman, Editors.

Copyright 2001.  All rights reserved.  ISSN: 1520-9474.

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

The TCR subscription rate is $575 for 6 months delivered via e-
mail. Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance thereof
are $25 each.  For subscription information, contact Christopher
Beard at 301/951-6400.

                      *** End of Transmission ***