TCR_Public/020102.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, January 2, 2002, Vol. 6, No. 1

                           Headlines

ACT MANUFACTURING: S&P Drops Ratings to D Over Chapter 11 Filing
ACT MANUFACTURING: Nasdaq Halts Trading, Asking for More Info
AMERICA WEST: Receives Conditional Approval for Loan Guarantees
AMERICAN TISSUE: Appoints Larry A. Ford as Sole Director
AMTROL INC: Completes Refinancing of Senior Credit Facilities

ARGUSS: Board Asks Shareholders to Nix Pierce & Olsen's Proposal
AT PLASTICS: Sells Remaining Assets of Flexet Business for $3MM+
AZUL HOLDINGS: Sells Assets to Tudor Trust Through Foreclosure
BETHLEHEM STEEL: Assuming PR Consulting Agreement with MWW Group
BRIDGE INFORMATION: Court Approves Stipulation with Harris Bank

BROADBAND WIRELESS: Federal Court Paves Way for Chapter 11 Reorg
BURLINGTON: Court Okays Jones Day as Lead Bankruptcy Counsel
CODESTREAM HOLDINGS: Completes Liquidation of Technologies Unit
CYBEREDGE: Withdraws Bankruptcy Filing In Wake of Cobex Merger
EASYRIDERS: Court Nixes Request to Extend Plan Exclusivity Time

EMPIRE INSURANCE: Begins Complete Liquidation of All Operations
ENRON CORP: Seeks Okay of Proposed Interim Compensation Protocol
EVERCOM INC: S&P Affirms Junk Ratings with Negative Outlook
FENWAY INT'L: Expects to Complete Equity Requirements in Q1
FLEETWOOD ENTERPRISES: Sets Conversion Price for Preferred Stock

FOAMEX INT'L: Names Julie Nixon Eisenhower to Board of Directors
FREEPORT-MACMORAN: Unitholders Okay Amendment of Trust Indenture
GLOBAL CROSSING: Banks Waive Covenants Under Credit Agreement
GREATE BAY: Case Summary & Largest Unsecured Creditors
HAYES LEMMERZ: Signing Up KPMG as Financial Advisors & Auditors

INSCI CORP: Gets Nod to Increase Authorized Number of Shares
INTELEFILM: Taps Silverman to Replace BDO Seidman as Accountants
INT'L RECTIFIER: Fitch Affirms B+ Rating on 4.25% Debt Issue
KEYSTONE: Continues Exchange Offer Talks with Noteholders
LERNOUT & HAUSPIE: Wants More Time to Remove Pending Actions

MCMS INC: Has Until March 21, 2002 to File Notices of Removal
MARINER POST-ACUTE: Disclosure Statement Hearing Set for Jan. 16
MATLACK SYSTEMS: Asks for Exclusivity Extension through Feb. 22
METALS USA: Court Approves PricewaterhouseCoopers as Advisors
MONTANA POWER: Parties Resolve Issues Re Sale to NorthWestern

NATIONSRENT: Will Be Paying Pre-Petition Customer Obligations
NOVO NETWORKS: Debtors' Exclusive Period Extended Until Jan. 31
PEN HOLDINGS: Misses Scheduled Interest Payment on 9-7/8% Notes
PENN SPECIALTY: Exclusive Period Now Runs through April 3
POLYMER GROUP: S&P Junks Ratings on Near-Term Liquidity Concerns

PROVIDIAN FINANCIAL: Nov. Managed Net Credit Loss Rate at 12.8%
QUESTRON: Inks Pact with Lenders to Defer Payment Obligations
RICA FOODS: Violates Negative Covenants Under PacLife Agreement
US MINERAL: Has Until January 23 to Decide on Unexpired Leases
UNITED GLOBALCOM: S&P Further Junks Ratings After Tender Offer

WARNACO GROUP: Decides to Reject 9 Burdensome Retail Leases
WEIRTON STEEL: Intends Not to Make Payment on 11-3/8% Sr. Notes

* Meetings, Conferences and Seminars

                           *********

ACT MANUFACTURING: S&P Drops Ratings to D Over Chapter 11 Filing
----------------------------------------------------------------
Standard & Poor's lowered its ratings on ACT Manufacturing Inc.
to 'D' and removed them from CreditWatch where they were placed
with negative implications on November 19, 2001. The action
followed the company's filing of a petition for reorganization
under Chapter 11 of the U.S. Bankruptcy Code in Bankruptcy Court
on December 21, 2001.

ACT Manufacturing's operating performance deteriorated
throughout 2001 because of management's inability to cope with
reduced demand for its services, exacerbated by a highly
leveraged financial profile. The company intends to continue
operations, while proceeding with the financial restructuring.
Hudson, Mass.-based ACT Manufacturing is a lower-tier electronic
manufacturing services provider for the networking and
telecommunications, computer, and industrial markets.

                Ratings Lowered   To  From

      ACT Manufacturing Inc.
        Corporate credit rating    D  CC
        Senior secured rating      D  CC
        Subordinated notes         D  C


ACT MANUFACTURING: Nasdaq Halts Trading, Asking for More Info
-------------------------------------------------------------
The Nasdaq Stock Market(SM) announced that trading was halted in
ACT Manufacturing, Inc. (Nasdaq: ACTM), Wednesday last week at
2:37 p.m., Eastern Time, for "additional information requested"
from the company at a last price of 0.35. Trading will remain
halted until ACT Manufacturing, Inc., has fully satisfied
Nasdaq's request for additional information.

For news and additional information about the company, please
contact the company directly or check under the company's symbol
using InfoQuotes(SM) on the Nasdaq Web site.

For more information about The Nasdaq Stock Market, visit the
Nasdaq Web site at http://www.nasdaq.comor the Nasdaq
Newsroom(SM) at http://www.nasdaqnews.com


AMERICA WEST: Receives Conditional Approval for Loan Guarantees
---------------------------------------------------------------
America West Airlines (NYSE: AWA) announced it has received
approval for $380 million in federal loan guarantees under the
Air Transportation Safety and Stabilization Act subject to the
resolution of two conditions.  The loan guarantees will allow
America West to close a loan in the amount of $445 million and
complete arrangements for more than $600 million in concessions,
financing and financial assistance.

"On behalf of the 13,000 employees at America West and our
millions of customers, we commend the Stabilization Board for
its actions and for its recognition that America West is
important to the efficiency and viability of the U.S. airline
industry," said W. Douglas Parker, chairman, president and chief
executive officer.  "We will continue working with the
Stabilization Board and its staff over the next few days to
resolve the remaining conditions.  With the approval of the loan
guarantees, competition is preserved and the viability of
America West is assured well into the future."

Approval of the loan guarantees is conditioned on America West
increasing the amount of compensation the government will
receive.  Approval is also conditioned upon America West's
commitment, satisfactory to the Board, to control growth in
labor costs.

Congress and the Administration included the Air Carrier Loan
Guarantee Program in the Stabilization Act to assist viable
airlines, such as America West, which have suffered financial
challenges as a result of September 11.

"The Stabilization Board and its staff have been diligent and
thorough in their analysis of our application," added Parker.
"Their willingness to work through the holidays to approve the
application in an expeditious manner is greatly appreciated."

"We'd like to thank our employees and our customers for their
support and loyalty since September 11 and during the
application process," added Parker. "We'd also like to extend
our appreciation to the numerous creditors and business partners
who provided the more than $600 million in concessions that made
the loan guarantees possible."

"The governors and Congressional delegations from the states of
Arizona, Nevada and Ohio have worked tirelessly in support of
America West," he said. "We'd also like to extend our gratitude
to the business communities within these three states."

America West expects to complete documentation of the
transactions, including the loan, the Stabilization Board
guarantee and the arrangements for the concessions and
additional financings and financial assistance over the next two
weeks and receive the loan proceeds by mid-January 2002.

"As the nation's largest low-cost, hub-and-spoke airline,
America West provides important price discipline to larger,
higher-cost airlines throughout the United States," Parker said.
"We look forward to continuing to enhance competition throughout
the airline industry, and we remain committed to providing safe,
reliable and cost-effective transportation to customers
throughout North America."


AMERICAN TISSUE: Appoints Larry A. Ford as Sole Director
--------------------------------------------------------
Effective November 2, 2001, Messrs. Nourollah Elghanayan and
Mehdi Gabayzadeh resigned from their positions as Chairman of
the Board and President and Chief Executive Officer,
respectively, of American Tissue, Inc. They also resigned,
effective as of such date, as directors of the Company. Larry A.
Ford, age 62, has been elected as the sole director of the
Company. Mr. Ford, an experienced executive of financially
troubled companies, is presently the Chapter 11 Trustee of
Twenty First Century Resources, Inc. He has previously served as
Trustee of the Consolidated Oil & Gas, Inc. Creditors' Trust;
Director of Estate Administration and General Counsel of the
Nucorp Energy, Inc. Distribution Fund and Liquidating Trust; and
General Counsel of Ashland Chemical Company, a division of
Ashland Oil, Inc.


AMTROL INC: Completes Refinancing of Senior Credit Facilities
-------------------------------------------------------------
AMTROL Inc. announced that Wednesday it completed a refinancing
of its existing senior secured credit facility. In its place,
AMTROL entered into two credit facilities: a $42,500,000 senior
first-priority secured credit facility arranged by Foothill
Capital Corporation and a $25,000,000 senior second-priority
secured credit facility with affiliates of The Cypress Group
L.L.C. In connection with the Cypress credit facility, AMTROL
Holdings, Inc., which wholly owns AMTROL, will issue the lenders
under the Cypress credit facility warrants to purchase
approximately 5.2% of its common stock on a fully diluted basis.

The proceeds from the refinancing will be used to repay in full
AMTROL's existing credit facility and to pay fees and expenses
related to the refinancing.

AMTROL is a leading international producer and marketer of flow
and expansion control products, water heaters and cylinders for
the storage of gases. The Company's products include pressure
tanks used in water well, hydronic heating and potable hot water
applications, indirect-fired water heaters, liquid propane gas
cylinders and disposable refrigerant gas cylinders. Products are
marketed under the Well-X-Trol(R), Extrol(R), Therm-X-Trol(R)
and Champion(R) brand names. AMTROL is a wholly owned subsidiary
of AMTROL Holdings, Inc., which is controlled by Cypress
Merchant Banking Partners, L.P. and Cypress Offshore Partners,
L.P., private equity funds managed by The Cypress Group L.L.C.

The Company is party to a Bank Credit Agreement dated as of
November 13, 1996, which provides for secured borrowings from a
syndicate of lenders. The Company's obligations under the Credit
Agreement are guaranteed by AMTROL Holdings Inc. and each direct
and indirect domestic subsidiary of the Company. The Company's
obligations under the Credit Agreement are secured by
substantially all assets of the Company and its subsidiaries.
The Credit Agreement has been amended on several occasions, most
recently on March 30, 2001. The March 30 Amendment modified
certain covenants and provides for a capital contribution to the
Company and purchase of shares by Cypress Merchant Banking
Partners L.P. and/or its affiliates if necessary to ensure
compliance with the financial covenant terms of the Credit
Agreement. In addition, on November 13, 2001 the Company entered
into a Waiver and Consent to Credit Agreement and Capital
Contribution Agreement.

Under the Credit Agreement, a portion of the term loans ($2.3
million bearing an interest rate of LIBOR plus 350 basis points)
(the "Tranche A Term Loans") matured on May 13, 2002, with
quarterly amortization payments during the term of the loans.
The weighted average interest rate on the Tranche A loans for
the current nine-month period was 7.98 percent. The Credit
Agreement provides for a Revolving Credit Facility, with an
available amount of $15.0 million for working capital needs,
which also matures on May 13, 2002. The remainder ($38.2 million
bearing an nterest rate of LIBOR plus 400 basis points) of the
Term Loans (the "Tranche B Term Loans") will mature on May 13,
2004, with nominal quarterly amortization prior to the maturity
of the Tranche A Term Loans and with the remaining amounts
amortizing on a quarterly basis thereafter. The weighted average
interest rate on the Tranche B loans for the current nine month
period was 8.48 percent.

The Company has obtained financing under a Bank Credit
Agreement, which has been amended on several occasions, most
recently on March 30, 2001, consisting of $40.5 million of
senior term loans and a $15.0 million revolving credit facility.
A portion, $2.3 million bearing an interest rate of LIBOR plus
350 basis points of the Term Loans (the "Tranche A Term Loans")
that requires quarterly amortization payments during the term of
the loan and the Revolving Credit Facility will mature on May
13, 2002. In November 1996, the Company issued, under an
Indenture, $115.0 million of Senior Subordinated Notes due 2006.
The Notes are unsecured obligations of the Company. The Notes
bear interest at the rate of 10.625% per annum payable semi-
annually on each June 30 and December 31 commencing on June 30,
1997. The Notes are redeemable at the option of the Company on
or after December 31, 2001. From and after December 31, 2001,
the Notes will be subject to redemption at the option of the
Company, in whole or in part, at various redemption prices,
declining from 105.313% of the principal amount to par on and
after December 31, 2003. The terms of the Indenture and the
Credit Agreement and recent amendments, including the Waiver
through December 26, 2001 of compliance with certain financial
covenants, are further described in Note 6 to the Financial
Statements titled "Long-Term Debt".

There can be no assurance that the Company will be able to
comply with the financial covenants contained in the Credit
Agreement after the Waiver expired on December 27, 2001. The
Company is currently in negotiation with two financial
institutions to obtain alternative financing to the Bank Credit
Facility with more favorable credit terms. In addition, even if
the Company were able to comply with (or obtain further waivers
to) the terms of the Credit Agreement, the Company would need to
obtain alternative financing during 2002 in order to refinance
those provisions of the Credit Agreement which come due, as
described above, during 2002.


ARGUSS: Board Asks Shareholders to Nix Pierce & Olsen's Proposal
----------------------------------------------------------------
A letter is being sent to stockholders of Arguss Communications,
Inc., this month, in which the Arguss Board of Directors is
urging stockholders to reject the consent solicitation being
conducted by Ronald D. Pierce and Kenneth R. Olsen and, whether
or not the stockholder has previously given them consent, to
sign and return an enclosed Revocation of Consent Card on behalf
of the Board.  The Board of Arguss strongly opposes the efforts
of Pierce and Olsen to take control of Arguss Communications,
Inc.

The letter states that since the current management joined the
Company in 1996, they believe that the Company's financial
performance has greatly improved.  They say management has
adopted a business plan designed to assist the Company in
weathering the current significant downturn in the
telecommunications industry and to position the Company to
participate in the  industry's recovery.

To quote a portion of the letter:  "We believe that the business
plan proposed by Pierce and Olsen offers nothing new and could
endanger the Company by seeking to expand its business into
sectors of the industry where some of the Company's competitors
have experienced large write-offs and losses.  Pierce and Olsen
have no experience running a large, publicly-held company."

Pierce, Olsen and the only other nominee that owns Company stock
have sold in the aggregate 489,550 shares of the Company's
common stock since September 14, 1999. The Board believes that
these sales raise substantial doubts regarding their long-term
commitment to remain as stockholders of the Company.

"We believe that seeking to change your Board and management
while the Company is engaged in crucial and delicate
negotiations with its lenders is ill-advised and not in the best
interests of the Company's stockholders."

The letter is signed: Very truly yours,  The Board of Directors,
Arguss Communications, Inc.

Arguss provides infrastructure services for the leading cable
and telecommunications companies. Services include project
management, design, engineering, construction, and maintenance
of aerial, underground, wireless and premise facilities. Arguss
serves a broad customer base throughout the United States. The
Company's customers include AT&T Broadband, Adelphia
Communications, Charter Communications, AOL Time Warner, and
MetroCast. In November, the company commences talks with its
lender groups to restructure its syndicated credit facility. As
of September 30, 2001, the company reported that its liquidity
position is strained, as current liabilities exceeded current
assets by around $30 million.


AT PLASTICS: Sells Remaining Assets of Flexet Business for $3MM+
----------------------------------------------------------------
AT Plastics Inc., announced that it has completed the sale of
the remainder of its Performance Compound business (Flexet(R)),
to a large North American company with strategic initiatives in
the pipe and tubing materials market segments. The aggregate
gross proceeds of this sale is US$3,575,000. The
Company's Flexet(R) business, located near Chicago, Illinois,
manufactured products for use in the plumbing and radiant
heating industry.

The aggregate gross proceeds of this sale together with the
proceeds from the sale of the packaging business announced
Friday December 21, 2001 for a total of approximately
$44,000,000 have been used to retire indebtedness.

"We are pleased to have completed this transaction. The Company
has completed several steps in 2001 to reduce debt and to focus
our efforts on those customers, markets and products where AT
Plastics delivers value", said Gary Connaughty, President and
Chief Executive Officer of AT Plastics.

AT Plastics develops and manufactures specialty plastics raw
materials and fabricated products. The Company operates in
specialized markets where its product development and process
engineering have allowed it to develop proprietary and patented
technologies to meet evolving customer requirements in niche
markets. Products are sold in the United States, Canada and
internationally. As of June 30, 2001, the company's liquidity is
strained, with a working capital deficit of about $100 million.
AT Plastics' shares are listed on The Toronto Stock Exchange,
under the trading symbol "ATP", and on the American Stock
Exchange, under the trading symbol "ATJ" Web site:
http://www.atplas.com


AZUL HOLDINGS: Sells Assets to Tudor Trust Through Foreclosure
--------------------------------------------------------------
Azul Holdings Inc., (OTC Bulletin Board: AZUL), reported Friday
by filing with the Securities and Exchange Commission on Form 8-
K: "As previously scheduled and reported, the foreclosure sale
involving the assets of Azul Holdings Inc., arising out of the
uncured default of the Company's $15,764,469 indebtedness to
Tudor Trust was completed [Fri]day.  At the foreclosure sale
Tudor Trust purchased all of the assets of the Company for
$6,980,000 of principal indebtedness.  The assets purchased at
the foreclosure sale were principally composed of the common
stock of Xyvision Enterprise Solutions, Inc., an independent
company which is not indebted to either Azul Holdings or Tudor
Trust.  Tudor Trust has also been a shareholder of Xyvision
Enterprise Solutions, Inc. and accordingly the purchase of its
stock from Azul Holdings will increase its ownership.  The
change of ownership of the Xyvision Enterprise Solutions stock
will not affect that company or its business.

"Despite the Company's communications with a number of persons
and entities believed to have possible interest in its assets,
there were no other bidders at the foreclosure sale and the
Company had been unsuccessful over the past sixty days, since
being notified of the default and the prospective foreclosure,
in developing alternatives for resolving the Tudor Trust
indebtedness.  The amount paid by Tudor Trust for the assets was
based upon third party transactions and evaluations of the
assets which were purchased at the foreclosure sale.  Tudor
Trust has advised the Company that if it can obtain a bid for
the assets sold at the foreclosure sale by January 16, 2002
which is higher than the amount paid by Tudor Trust, Tudor Trust
will reconvene the foreclosure sale in order to receive such bid
and in order to possibly increase the amount bid by Tudor
Trust."


BETHLEHEM STEEL: Assuming PR Consulting Agreement with MWW Group
----------------------------------------------------------------
Faced with mounting financial challenges, Bethlehem Steel
Corporation, and its debtor-affiliates decided in June 2001 to
retain communications consultants to enable them to maintain
their customer base and preserve their reputation in the steel
industry.  According to George A. Davis, Esq., Weil, Gotshal &
Manges LLP, in New York, the Debtors interviewed 3
communications consulting firms and selected The MWW Group, in
light of MWW's reputation in providing high-quality, cost-
effective communications programs supporting specific business
objectives as well as managing complex, high profile and
sensitive business challenges.

On June 14, 2001, Mr. Davis relates, the Debtors and MWW entered
a letter agreement under which MWW agreed to devote its best
efforts to provide strategic public relations activities and
communications services on behalf of the Debtors.  Specifically,
MWW agreed to:

   (a) advise and assist the Debtors in managing the
       communications challenges presented by the Debtors'
       chapter 11 cases, including, but not limited to,
       maintaining the Debtors' relationships with their
       customers as well as preserving the Debtors' reputation in
       the steel industry;

   (b) assist the Debtors in implementing specific communications
       programs to achieve their business objectives; and

   (c) assist with such other communications services as may be
       necessary in connection with the Debtors' chapter 11
       cases.

Mr. Davis advises Judge Lifland that the agreement remains in
effect until December 14, 2001, after which either the Debtors
or MWW may terminate it upon 60 days advance written notice.
Additionally, Mr. Davis notes that the agreement provides for
the Debtors' payment of MWW's standard hourly charges, which
currently range from:

               $450 per hour       Principals
                 75 per hour       Junior Professionals

As of the Petition Date, Mr. Davis reports, MWW had been paid
approximately $150,000 for services rendered under the
agreement. Currently, Mr. Davis adds, the Debtors have paid MWW
for post-petition services and owe $140,000 on account of
services rendered pre-petition.

The Debtors will need the services of communications consultants
as their chapter 11 cases proceeds, Mr. Davis explains, due to
the high profile nature of the Debtors' chapter 11 cases and the
many sensitive issues likely to arise between the Debtors and
their communities, customers and other affected parties.  Thus,
the Debtors seek Judge Lifland's go-signal to assume the
communications consulting agreement with MWW.

The agreement is fair and reasonable, and its assumption is
appropriate and necessary to the successful reorganization of
the Debtors' businesses, Mr. Davis contends.  According to Mr.
Davis, the costs associates with the assumption of the agreement
are more than justified for these reasons:

   (a) If the Debtors hired replacement communications
       consultants, they would incur substantial additional costs
       during the period needed by such replacement consultants
       to become familiar with the Debtors' businesses.  This
       transition period would take approximately 2 to 3 months
       to complete;

   (b) MWW has developed substantial knowledge and experience
       relating to the Debtors' businesses and their
       communications needs.  It would be extremely difficult
       immediately to fill the void created if MWW's contract is
       not assumed;

   (c) Based on the Debtors' previous search for communications
       consultants and MWW's performance to date, the Debtors
       believe that MWW will best meet the Debtors'
       communications needs; and

   (d) The Debtors believe that the charges owed to MWW under the
       agreement are fair and reasonable and consistent with the
       market.  A replacement consultant will likely charge the
       Debtors fees equal to or greater than those paid to MWW
       under the agreement. (Bethlehem Bankruptcy News, Issue No.
       7; Bankruptcy Creditors' Service, Inc., 609/392-0900)


BRIDGE INFORMATION: Court Approves Stipulation with Harris Bank
---------------------------------------------------------------
According to the Official Committee of Unsecured Creditors of
Bridge Information Systems, Inc., and its debtor-affiliates,
there is no legal or factual foundation for the stipulation.
Mark L. Prager, Esq., at Foley & Lardner, in Chicago, observes
that the stipulation provides no explanation why Harris needs
such an excessive amount of security and how the $5,000,000
figure was reached.  Similarly, Mr. Prager notes, the
stipulating parties cite no legal authority and submit no
affidavit or other proof in support of the stipulation.

Moreover, Mr. Prager tells Judge McDonald, the demand for a
$5,000,000 deposit is "wildly disproportionate" to Harris'
realistic costs and charges in connection with its services.
According to Mr. Prager, the Debtors' representatives and
Harris' counsel have informed counsel for the Committee that
Harris' monthly charges in connection with its provision of the
services are approximately $10,000.  Mr. Prager remarks, "A
$5,000,000 deposit would be enough to cover its charges for the
next 42 years!"

There are far less expensive and restrictive means for providing
protection to Harris than tying up $5,000,000 in estate funds,
Mr. Prager points out.  For example, Mr. Prager says, the
sweeping mechanism in the accounts can be changed so that only
collected funds are swept out of the accounts.  Mr. Prager is
concerned that by foregoing such narrowly tailored relief and
instead offering Harris excessive security, the stipulating
parties may improperly seek to shift the risk of uncollected
funds to the unsecured creditors.  This is particularly unfair,
Mr. Prager gripes, since, if ever there are uncollected funds,
these should only cause a reduction in the secured creditors'
cash collateral -- and, therefore, should not be a loss borne by
the unsecured creditors.

Furthermore, Mr. Prager advises the Court, the Committee, the
Lenders, their agents and the Debtors are in the process of
finalizing an agreed order which would allow for the
distribution of significant proceeds to the Lenders and the
escrowing of $28,500,000 for the express purpose of funding the
Liquidating Trust and payment to the unsecured creditors.  Mr.
Prager voices the Committee's fears that the Lenders might view
the stipulation with Harris as a basis for exercising a right to
terminate the agreed order.

Finally, Mr. Prager cites the serious risk created by the
stipulation that some or all of the $5,000,000 deposit may be
improperly taken by Harris and lost for the estate.  The
stipulation appears to allow Harris to unilaterally seize funds
from the $5,000,000 deposit whenever it believes it has suffered
a loss without having to submit any proof or give any party
notice or opportunity for hearing or judicial review, Mr. Prager
notes.  In addition, Mr. Prager observes, there are
insufficiently clear standards for the return of the deposit.
Such circumvention of the orderly bankruptcy process should not
be permitted, Mr. Prager insists.

The Committee is sympathetic to Harris' realistic risks, Mr.
Prager states.  However, the Committee believes these can be
fairly and fully met if Harris is allowed to retain a security
deposit of no more than 3 months of its customary charges for
providing the services -- or approximately $30,000 -- and if the
sweeping mechanism is modified, to the extent necessary, to
ensure that deposits are not swept until funds have been
collected.

Thus, the Committee requests Judge McDonald to:

   (i) Grant its limited objection and reject the stipulation;
       and

  (ii) Declare and adjudge that Harris should receive a security
       deposit of $30,000 to cover its risk of providing services
       and that the sweeping mechanism for the cash management
       accounts be changes so that deposits are not swept until
       funds have been collected.

                            *  *  *

Judge McDonald approves the stipulation between Harris and the
Debtors, but emphasizes that "Any draw from or offset against
the deposit as a result of potential obligations shall not be
construed to create an obligation of the Debtors' estates, nor
shall it give rise to a claim for diminution of the Lenders'
collateral or a replacement lien of any kind, nor shall it give
rise to a cause for termination under that certain Amended
Stipulation and Order Regarding Cash Collateral and Pre-petition
Lenders' Replacement Liens." (Bridge Bankruptcy News, Issue No.
23; Bankruptcy Creditors' Service, Inc., 609/392-0900)


BROADBAND WIRELESS: Federal Court Paves Way for Chapter 11 Reorg
----------------------------------------------------------------
Broadband Wireless International Corporation (OTC Bulletin
Board: BBAN) announced that the Federal District Court in the
Western District of Oklahoma issued late last week a final order
approving motions which dismiss the pending SEC action against
the company and relieve the Temporary Receiver of any further
duties other than those related to filing the company's petition
for reorganization with the Bankruptcy Court which was expected
to take place Friday last week.

The Court's order also provided that actions of the Temporary
Receiver since inception of the Receivership in August, 2000 and
those of the current Board of Directors since being appointed in
December, 2000 having been presented to the Court are approved.

Broadband Wireless had been placed into a Federal Equitable
Receivership in August of 2000 by the SEC as a result of various
alleged securities violations committed by previous directors,
management, and consultants of the corporation.  During the
Receivership a new Board of Directors and management was
assembled to develop a plan to rehabilitate the company for the
benefit of the shareholders.

Broadband has hired the firm of Kline, Kline, Elliott,
Castleberry & Bryant, P.C. to represent the company through its
Chapter 11 reorganization.


BURLINGTON: Court Okays Jones Day as Lead Bankruptcy Counsel
------------------------------------------------------------
Judge Walsh allows Burlington Industries, Inc., and its debtor-
affiliates to retain and employ Jones Day Reavis & Pogue as
their lead counsel in these chapter 11 cases, nunc pro tunc as
of the Petition Date.  In addition, the Court authorizes Jones
Day to:

     (a) complete its reconciliation of pre-petition fees and
         expenses actually incurred through the Petition Date no
         later than January 31, 2002, and

     (b) make a corresponding adjustment to the amount and
         application of the Retainer, on or about that date,

provided however, that Jones Day shall not apply any portion of
the Retainer to fees and expenses incurred from and after the
Petition Date unless and until authorized to do so by further
order of this Court. (Burlington Bankruptcy News, Issue No. 5;
Bankruptcy Creditors' Service, Inc., 609/392-0900)


CODESTREAM HOLDINGS: Completes Liquidation of Technologies Unit
---------------------------------------------------------------
CodeStream Holdings Inc. (OTC: COHO) announced that the
liquidation of the assets of its wholly owned subsidiary,
CodeStream Technologies Corp., pursuant to Chapter 7 of the
United States Bankruptcy Code is substantially complete.

The sale of CodeStream Technologies Corp.'s assets has not
resulted in sufficient proceeds to repay that corporation's
creditors.  As a result, the common stock of CodeStream
Technologies Corp. appears to be worthless.  Since the common
stock of CodeStream Technologies Corp. is the only asset of
CodeStream Holdings Inc., CodeStream Holdings Inc. will be
unable to continue in business.  CodeStream Holdings Inc.
currently has no employees, has no liquid assets and is unable
to conduct any operations.

The Board of Directors of CodeStream Holdings Inc., does not
expect the corporation to have either assets or operations in
the future and believes the common stock of the corporation is
worthless.  As CodeStream Holdings Inc. is without sufficient
cash to pay its franchise taxes, the Board of Directors of the
corporation expects it to forfeit its charter in the near future
and to cease to exist.


CYBEREDGE: Withdraws Bankruptcy Filing In Wake of Cobex Merger
--------------------------------------------------------------
Cyberedge Enterprises, Inc (OTCBB:CYEI) announced that it has
executed a letter of intent with privately held Cobex
Technologies, Inc. to merge Cobex into Cyberedge in exchange for
a majority of the voting securities of Cyberedge.

Cobex Technologies, founded in 1999, provides telephone hardware
and cabling installation, network connectivity services and
technical support for small to medium size companies and
institutions. Since inception, Cobex's customer base has
steadily grown, concentrating on the financial services and
healthcare markets.

The transaction is scheduled to close first quarter 2002 and is
subject to, among other closing conditions, the satisfactory
completion of each party's due diligence, shareholder approval,
completion of audited financial statements, and the final
negotiation of a definitive merger agreement.

"Since accepting the presidency a few months ago, I have striven
to merge Cyberedge with a quality telecommunications growth
company. The merger with Cobex, which is building a
comprehensive telecommunications service solution, will fulfill
Cyberedge's mandate," said James W. Zimbler, President of
Cyberedge.

Michael P. Slevin, Chairman and CEO of Cobex stated, "Cobex has
been steadily growing its client base since it began operations
in 1999 and we expect to see growth across all of our businesses
in 2002. Once the merger is completed, Cobex will be able to
position itself to obtain the benefits of a public company's
access to the capital markets and allow us to raise expansion
capital as needed."

Cyberedge also announced that it has received approval to
withdraw its filing with the U.S. Bankruptcy Court, effectively
ending all proceedings.

In light of the transaction with Cobex, Cyberedge announced that
it had mutually agreed to terminate its previously announced
plans to merge with Transventures Industries, Inc, a subsidiary
of TTI Holdings of America Corp (TTIH).


EASYRIDERS: Court Nixes Request to Extend Plan Exclusivity Time
---------------------------------------------------------------
A hearing was held in the U.S. Bankruptcy Court for the Central
District of California, San Fernando Valley Division, to
consider the motion filed by Easyriders, Inc., which sought the
extension of their Plan Exclusivity Periods and the Court-
imposed deadline for the Debtors to file a plan of
reorganization.

The Court, after considering the Motion and the Oppositions to
the Motion, found that no cause exists to extend the Debtors'
Plan Exclusivity Periods and that there is a need to open up the
plan of reorganization process to maximize competition.
Likewise, the Court terminates the Debtors' plan exclusivity
while the deadline for filing a reorganization plan is extended
through January 18, 2002.

Easyriders, Inc. -- the lifestyle publisher with a born-to-be-
wild attitude -- filed for chapter 11 protection on July 17,
2001 in the U.S. Bankruptcy Court for the Central District of
California, San Fernando Valley Division. Ron Bender, Esq. at
Levene, Neale, Bender & Rankin represents the Debtors in their
restructuring effort.


EMPIRE INSURANCE: Begins Complete Liquidation of All Operations
---------------------------------------------------------------
Allcity Insurance Company (ALCI-NASDAQ) announced the decision
of the Empire Insurance Group, which includes the Company, its
parent, Empire Insurance Company, and its affiliate, Centurion
Insurance Company, to conduct a complete and orderly liquidation
of all of its operations.

Since the previously announced decisions by the Empire Group not
to issue any new (as compared to renewal) insurance policies in
any lines of business effective March 1, 2001, to non-renew or
cancel commercial lines policies in accordance with New York
Insurance law or replace them under an agreement with an
unaffiliated insurance company and the Empire Group's filing of
plans of orderly withdrawal with the New York Insurance
Department, the Empire Group has explored options for developing
a new business model and strategy. After evaluating these
options, the Empire Group has determined that it is in the best
interest of its shareholders and policyholders to commence a
complete and orderly liquidation of all of its operations.

As part of the Empire Group, Allcity is a property casualty
insurer that formerly specialized in commercial and personal
property and casualty insurance business primarily in the New
York metropolitan area.


ENRON CORP: Seeks Okay of Proposed Interim Compensation Protocol
----------------------------------------------------------------
The Bankruptcy Code permits all professionals to submit
applications for interim compensation and reimbursement of
expenses every 120 days, or more often if the Court permits.  By
this motion, Enron Corporation, and its debtor-affiliates
request that procedures for compensation and reimbursement of
Court-approved professionals on a monthly basis be established.
According to Martin A. Sosland, Esq., at Weil, Gotshal & Manges
LLP, in New York, such an order will permit the Court and all
other parties to more effectively monitor the fees incurred.

Specifically, the Debtors propose that the monthly payment of
compensation and reimbursement of expenses of the professionals
be structured thus:

   (a) On or before the 20th day of each month following the
       month for which compensation is sought, each professional
       seeking compensation, other than a professional retained
       as an ordinary course professional, will serve a monthly
       statement, by hand or overnight delivery on:

           (i) Mark E. Haedicke, Esq., the officer designated by
               the Debtors to be responsible for such matters;

          (ii) Brian S. Rosen, as the attorney for the Debtors;

         (iii) the Office of the United States Trustee; and

          (iv) the attorneys for the statutory committee of
               unsecured creditors once appointed.

   (b) The monthly statement need not be filed with the Court and
       a courtesy copy need not be delivered to the presiding
       judge's chambers since this Motion is not intended to
       alter the fee application requirements outlined in the
       Bankruptcy Code and since professionals are still required
       to serve and file interim and final applications for
       approval of fees and expenses in accordance with the
       relevant provisions of the Code, the Federal Rules of
       Bankruptcy Procedure and the Local Rules for the United
       States Bankruptcy Court for the Southern District of New
       York;

   (c) Each monthly fee statement must contain a list of the
       individuals and their respective titles (e.g. attorney,
       accountant, or paralegal) who provided services during the
       statement period, their respective billing rates, the
       aggregate hours spent by each individual, a reasonably
       detailed breakdown of the disbursements incurred, and
       contemporaneously maintained time entries for each
       individual in increments of tenths (1/10) of an hour;

   (d) Each person receiving a statement will have at least 15
       days after service to review such statement and, in the
       event that he or she has an objection to the compensation
       or reimbursement sought in a particular statement, he or
       she shall, by no later than the 35th day following the
       month for which compensation is sought, serve upon the
       professional whose statement is objected to, and the other
       persons designated to receive statements, a written
       "Notice Of Objection To Fee Statement," setting forth the
       nature of the objection and the amount of fees or expenses
       at issue;

   (e) At the expiration of the 35-day period, the Debtors shall
       promptly pay 80% of the fees and 100% of the expenses
       identified in each monthly statement to which no objection
       has been served;

   (f) If the Debtors receive an objection to a particular fee
       statement, they shall withhold payment of that portion of
       the fee statement to which the objection is directed and
       promptly pay the remainder of the fees and disbursements
       in percentages;

   (g) If the parties to an objection are able to resolve their
       dispute following the service of a Notice Of Objection To
       Fee Statement and if the party whose statement was
       objected to serves on all of the Notice parties (a) a
       statement indicating that the objection is withdrawn and
       describing in detail the terms of the resolution, then the
       Debtors shall promptly pay that portion of the fee
       statement which is no longer subject to an objection;

   (h) All objections that are not resolved by the parties, shall
       be preserved and presented to the Court at the next
       interim or final fee application hearing to be heard by
       the Court;

   (i) The service of an objection shall not prejudice the
       objecting party's right to object to any fee application
       made to the Court in accordance with the Bankruptcy Code
       on any ground whether raised in the objection or not.
       Furthermore, the decision by any party not to object to a
       fee statement shall not be a waiver of any kind or
       prejudice that party's right to object to any fee
       application subsequently made to the Court in accordance
       with the Bankruptcy Code;

   (j) Approximately every 120 days, but no more than every 150
       days, each of the professionals shall serve and file with
       the Court an application for interim or final Court
       approval and allowance of the compensation and
       reimbursement of expenses requested;

   (k) Any professional who fails to file an application seeking
       approval of compensation and expenses previously paid
       under this Motion when due shall:

         (1) be ineligible to receive further monthly payments of
             fees or expenses as provided herein until further
             order of the Court, and

         (2) may be required to disgorge any fees paid since
             retention or the last fee application, whichever is
             later;

   (l) The pendency of an application or a Court order that
       payment of compensation or reimbursement of expenses was
       improper as to a particular statement shall not disqualify
       a professional from the future payment of compensation or
       reimbursement of expenses, unless otherwise ordered by the
       Court;

   (m) Neither the payment of, nor the failure to pay, in whole
       or in part, monthly compensation and reimbursement shall
       have any effect on this Court's interim or final allowance
       of compensation and reimbursement of expenses of any
       professionals; and

   (n) Counsel for any official committee may collect and submit
       statements of expenses, with supporting vouchers, from
       4 members of the committee he or she represents; provided,
       however, that such committee counsel ensures that these
       reimbursement requests comply with the Court's
       Administrative Orders dated June 24, 1991 and April 21,
       1995.

According to Mr. Sosland, these procedures will enable all
parties to closely monitor costs of administration, maintain a
level of cash flow, and implement efficient cash management
procedures.

The Debtors further request that the Court limit the notice of
hearing to consider interim applications to:

   (i) the Office of the United States Trustee;

  (ii) counsel to the Committee; and

(iii) all parties who have filed a notice of appearance with the
       Clerk of this Court and requested such notice.

This will save the expense of undue duplication and mailing, Mr.
Sosland notes.

Finally, the Debtors also request that each member of the
Committee be permitted to submit statements of expenses and
supporting vouchers to counsel for the Committee, who will
collect and submit such requests for reimbursement for monthly
and interim compensation and reimbursement of professionals.
(Enron Bankruptcy News, Issue No. 4; Bankruptcy Creditors'
Service, Inc., 609/392-0900)


EVERCOM INC: S&P Affirms Junk Ratings with Negative Outlook
-----------------------------------------------------------
Standard & Poor's affirmed its triple-'C'-plus corporate credit
and triple-'C'-minus senior unsecured debt ratings on prison
phone provider Evercom Inc. and simultaneously removed the
ratings from CreditWatch. The outlook is negative.

The rating action is based on the company's refinancing of its
bank facility in early December. On December 10, the company
announced that it had received a financing package that included
a $32.5 million revolving credit facility provided by Heller
Financial and a $40 million term loan facility provided by Back
Bay Capital Funding LLC and Ableco Finance LLC. With receipt of
this funding the company repaid $40 million in outstanding
borrowings under its existing bank facilities. Evercom had
previously indicated in its third quarter 10-Q that that if
operating trends continued, it might be out of compliance with
its bank covenants for the quarter ending December 31, 2001. The
refinancing of Evercom's facility mitigates concerns about its
near-term liquidity, especially because the new facilities do
not have amortization requirements until 2004.

The ratings reflect the high business risk of the prison phone
sector, in large part due to stiff competition for facilities
contracts, which has resulted in high commission rates paid to
prison facilities, often in excess of 30% of revenues. Such
commission expenses have continued to constrain Evercom's
overall profitability. In fact, largely because of this factor,
the company's EBITDA declined by about 15% for the third quarter
of 2001 from the third quarter of 2000.

Evercom largely restructured its operations to improve overall
operating cash flow margins over the past few years. Therefore,
further improvement in margins from cost-cutting initiatives is
somewhat limited. Moreover, the business continues to be
adversely affected by a high degree of uncollectible accounts.

                      Outlook: Negative

Evercom faces the challenge of limiting further erosion in its
operating cash flows over the next year, especially because the
new credit facilities require minimum trailing 12-month EBITDA
levels. Continued competition for contract renewals could,
therefore, put pressure on the ratings over this time frame.


FENWAY INT'L: Expects to Complete Equity Requirements in Q1
-----------------------------------------------------------
Fenway International, Inc., has a deficit working capital, and
has incurred development losses of $2,058,189 from inception and
needs financing to develop the cement operations. These
conditions raise uncertainty about its ability to continue as a
going concern.

The Company's net loss for the quarter ended September 30, 2001
was $96,490, as compared to the net loss of $120,132 for the
same period of the year 2000.

The Company was incorporated under the laws of the State of
Nevada on May 7, 1984 for the primary purpose of developing
mineral properties.  During 1985, the Company abandoned its
remaining assets and settled its liabilities and was inactive
until 1998.  In 1998, the Company became active again by
acquiring mineral properties in the Republic of the Philippines
and is currently engaged in the development of these properties.

Fenway indicates the its success is dependent upon its ability
to secure the necessary financing.  Through the efforts of
Krupp-Polysius and Belfinger + Berger, Fenway has received a
letter of interests from German banks to provide all of the
export credit and loan funding. The Company is currently
conducting negotiations for all of the equity requirements which
it believes will be completed in the first quarter of 2002. It
may also obtain financing from the individual contractors for
the port, power and quarry facilities which would reduce its
overall financing needs.

If the Company does not obtain adequate financing, it may need
to delay the program or to enter into other arrangements with
other companies interested in developing cement plants in the
Philippines.

In the opinion of management other available funds will satisfy
its working capital requirements through June 2002. Its forecast
for the period for which its financial resources will be
adequate to support its operations involves risks and
uncertainties and actual results that could fail as a result of
a number of factors. Fenway will need to raise additional
capital to develop, promote and conduct its operations. Such
additional capital may be raised through public or private
financing as well as borrowings and other sources. The Company
iondicates that it cannot guaranty that additional funding will
be available on favorable terms, if at all.


FLEETWOOD ENTERPRISES: Sets Conversion Price for Preferred Stock
----------------------------------------------------------------
Fleetwood Enterprises, Inc. (NYSE: FLE), the nation's largest
manufacturer of recreational vehicles and a leading producer and
retailer of manufactured housing, announced that the conversion
price for the securities offered in its currently outstanding
exchange offer has been set at $12.56.  The price represents a
15 percent premium over the daily volume-weighted average of the
Company's Common stock for the five trading days ending December
27, 2001.  Fleetwood has offered to exchange up to $37.95
million in aggregate liquidation amount of 9.5% convertible
trust preferred securities due February 15, 2013, of Fleetwood
Capital Trust II for up to $86.25 million in aggregate
liquidation amount of Fleetwood Capital Trust's outstanding 6%
convertible trust preferred securities due February 15, 2028.

The exchange offer will expire at 5:00 p.m., New York City time,
on January 4, 2002, unless extended by the Company.

The complete terms of the exchange offer are contained in the
prospectus and amended exchange offer documents dated December
11, 2001.  Please direct any questions to Ed McCarthy of D.F.
King & Co. at 1-800-290-6428.

Fleetwood Enterprises has filed a Registration Statement with
the Securities and Exchange Commission on Forms S-3 and S-4, and
has also filed a Schedule TO.  The Registration Statement and
the prospectus and exchange offer documents contained in the
Registration Statement contain important information about
Fleetwood, the exchange offer, and related matters. Security
holders and potential investors are urged to read the
Registration Statement and the prospectus and exchange offer
documents, the Schedule TO and any other relevant documents
filed by Fleetwood Enterprises with the SEC. These and any other
relevant documents can be accessed for free through the Website
maintained by the SEC at http://www.sec.gov

For further information please contact:  Boyd R. Plowman, Senior
Vice President-Chief Financial Officer, +1-909-351-3340, or Lyle
Larkin, Vice President-Treasurer, +1-909-351-3535, both of
Fleetwood Enterprises, Inc.

                               *  *  *

On December 10, 2001, Standard & Poor's slashed its ratings on
Fleetwood Enterprises' preferred securities to D. The
international rating agency cited that the lowered rating
reflected a materially weakened business position, due to the
continued, very competitive industry conditions for both of
Fleetwood's major business segments.  In addition, Fleetwood's
financial profile remains constrained, as reflected by the
granting of security to the company's bank lenders and the
recent discontinuation and deferral of the company's common and
preferred dividends, respectively.


FOAMEX INT'L: Names Julie Nixon Eisenhower to Board of Directors
----------------------------------------------------------------
Foamex International Inc. (NASDAQ: FMXI), the leading
manufacturer of flexible polyurethane and advanced polymer foam
products, announced that Julie Nixon Eisenhower, 53, has been
elected to the company's Board of Directors, increasing it to
ten members.

Eisenhower is an editor, author of several books and public
speaker who has lectured extensively throughout the United
States. While Assistant Managing Editor of the Saturday Evening
Post, she was instrumental in establishing a book division for
the Post's parent corporation. She maintains close relationships
with prominent members of government and industry around the
world, which were initially developed during the Nixon
Presidency.

She serves on the board of the Richard Nixon Presidential
Library and in an advisory capacity at the Nixon Center, a
bipartisan foreign policy think tank in Washington D.C. She also
serves on the board of the Eisenhower Foundation at the Dwight
D. Eisenhower Presidential Library. A graduate of Smith College,
Eisenhower received a master's degree from Catholic University
in 1971.

Foamex, headquartered in Linwood, Pennsylvania, is the world's
leading producer of comfort cushioning for bedding, furniture,
carpet cushion and automotive markets. The company also
manufactures high-performance polymers for diverse applications
in the industrial, aerospace, defense, electronics and computer
industries as well as filtration and acoustical applications for
the home. Revenues for 2000 were $1.3 billion. As of September
30, 2001, the company's booked total stockholders' equity
deficit of over $100 million.

For more information visit the Foamex web site at
http://www.foamex.com


FREEPORT-MACMORAN: Unitholders Okay Amendment of Trust Indenture
----------------------------------------------------------------
Freeport-McMoRan Oil and Gas Royalty Trust (OTCBB:FMOLS): At a
Special Meeting of Unitholders held on Oct. 5, 2001, the
Unitholders approved a shareholder proposal to amend the Trust
Indenture instructing the Trustee to sell the royalty interest
held by the Trust to Texas Standard Oil Company, a Texas
corporation (TXS), and to delay any liquidating distribution of
Trust assets, less amounts withheld by the Trustee for
contingent liabilities of the Trust, until completion of an
exchange offer by TXS or Dec. 31, 2001, whichever occurs first.
On Oct. 11, 2001, in accordance with the shareholder proposal
approved at the Special Meeting of Unitholders held on Oct. 5,
2001, the Trustee sold the royalty interest held by the Trust to
TXS for $1,000 in cash.

The Trust's remaining assets are the proceeds from the sale to
TXS and the expense reserve established by the Trustee to pay
the Trust's ongoing administrative expenses. The combined amount
of these assets was $54,008.49 on Dec. 21, 2001. The Trustee has
been informed by TXS that TXS will not complete an exchange
offer for the outstanding units of the Trust prior to Dec. 31,
2001. In order to provide the Unitholders with the opportunity
to participate in the exchange offer with TXS, the Trustee will
not terminate the Trust until completion of the exchange offer
by TXS or depletion of the Trust's expense reserve, whichever
occurs first.

The Trustee anticipates that the entire amount of the Trust's
remaining assets will be needed to pay the costs to wind up the
affairs of the Trust, including the additional administrative
expenses the Trust will incur until the Trust is terminated upon
completion of the exchange offer by TXS or depletion of the
Trust's expense reserve, whichever occurs first. Therefore, the
Trustee will withhold the remaining amount of the expense
reserve to pay the expenses associated with the termination of
the Trust and does not expect to make a liquidating
distribution.


GLOBAL CROSSING: Banks Waive Covenants Under Credit Agreement
-------------------------------------------------------------
Global Crossing Ltd. (NYSE:GX) announced that it has reached
agreement with a consortium of banks led by J.P. Morgan Chase
and Citibank for a waiver of potential violations of certain
financial covenants in the company's credit agreement with the
consortium. This waiver resolves concerns that the company would
be out of compliance with these covenants at the end of the year
2001.

Global Crossing had previously announced that it anticipated the
need for such a waiver.

The agreement between Global Crossing and the banks, which is
effective Friday, provides for a waiver of the relevant
financial covenants through February 13, 2002. The waiver
requires Global Crossing to maintain certain cash balances in
order to keep the waiver in force.

"We expect to continue discussions with our bank lenders about
the terms of our bank credit agreement as we pursue discussions
with potential equity investors," said John Legere, chief
executive officer of Global Crossing.

Global Crossing Ltd. (NYSE:GX) provides telecommunications
solutions over the world's first integrated global IP-based
network, which reaches 27 countries and more than 200 major
cities around the globe. Global Crossing serves many of the
world's largest corporations, providing a full range of managed
data and voice products and services. Global Crossing operates
throughout the Americas and Europe, and provides services in
Asia through its subsidiary, Asia Global Crossing (NYSE:AX).
Please visit http://www.globalcrossing.comor
http://www.asiaglobalcrossing.comfor more information.

DebtTraders reports that Global Crossing Holdings Ltd.'s 9.625%
bonds due in 2008 (GBLX3) trade between 10 and 11. See
http://www.debttraders.com/price.cfm?dt_sec_ticker=GBLX3for
real-time bond pricing.


GREATE BAY: Case Summary & Largest Unsecured Creditors
------------------------------------------------------
Lead Debtor: Greate Bay Casino Corporation
              a/k/a Pratt Hotel Corporation
              Two Galleria Tower, Suite 2200
              13455 Noel Road, L.B. 48
              Dallas, Texas 75240

Bankruptcy Case No.: 01-11729-PJW

Debtor affiliates filing separate chapter 11 petitions:

              Entity                        Case No.
              ------                        --------
              PPI Corporation               01-11730-PJW
              PCPI Funding Corp.            01-11731-PJW
              PPI Funding Corp.             01-11732-PJW

Type of Business: Debtor's current business activity consists
                   of the operations of Advanced Casino Systems
                   Corporation (its indirect, wholly-owned
                   subsidiary), providing information technology
                   systems for various casinos throughout North
                   America.

Chapter 11 Petition Date: December 28, 2001

Court: District of Delaware

Judge: Peter J. Walsh

Debtors' Counsel: Steven K. Kortanek, Esq.
                   Klehr Harrison Harvey Branzburg & Ellers
                   919 Market St.,Suite 1000
                   Suite 1000
                   Wilmington, DE 19801
                   Tel: 302-552-5503
                   Fax : 302-426-9193

                        -and-

                   Stacey Jernigan, Esq.
                   Haynes & Boone, LLP
                   901 Main St., Suite 3100
                   Dallas, Texas 75202
                   Tel: 214-651-5000
                   Fax: 214-651-5940

Total Assets: $416,499

Total Debts: $152,071,262

Debtor's Largest Unsecured Creditors:

Entity                      Nature Of Claim       Claim Amount
------                      ---------------       ------------
PPI Funding Corp.           Notes Payable          $66,019,632
Two Galleria Tower
Suite 2200
13455 Noel Rd. LB 48
Dallas, TX 75240

PCPI Funding Corp           Notes Payable          $57,109,961
Two Galleria Tower
Suite 2200
13455 Noel Rd. LB 48
Dallas, TX 75240

PPI Funding Corp.           Advances               $16,256,000
Two Galleria Tower
Suite 2200
13455 Noel Rd. LB 48
Dallas, TX 75240

HWCC-Holdings, Inc.         Notes Payable          $10,126,668
a wholly-owned subsidiary
of Hollywood Casino
Corporation
Two Galleria Tower
Suite 2200
13455 Noel Rd. LB 48
Dallas, TX 75240

PPI Funding Corp.           Advances                $2,200,000
Two Galleria Tower
Suite 2200
13455 Noel Rd. LB 48
Dallas, TX 75240

PPI Funding Corp.           Accrued Interest          $350,000
Two Galleria Tower
Suite 2200
13455 Noel Rd. LB 48
Dallas, TX 75240


HAYES LEMMERZ: Signing Up KPMG as Financial Advisors & Auditors
---------------------------------------------------------------
Hayes Lemmerz International, Inc., and its debtor-affiliates
present to the Court an application for entry of an order
authorizing the retention and employment of KPMG LLP as
accountants and financial advisors.

The Debtors anticipate that KPMG LLP may render the following
services in this case:

A. Accounting and Auditing Services

      a. Audit and review services in conjunction with the
         restatement of the Debtors' financial statements for
         the year ended January 31, 2001 and quarter ended
         April 30, 2001;

      b. Audit and review examinations of the financial
         statements of the Debtors as may be required from time
         to time;

      c. Analysis of accounting issues and advice to the Debtors'
         management regarding the proper accounting treatment
         of events;

      d. Assistance in the preparation and filing of the Debtors'
         financial statements and disclosure documents required
         by the Securities and Exchange Commission;

      e. Assistance in the preparation and filing of the Debtors'
         registration statements required by the SEC in
         relation to debt and equity offerings; and

      f. Performance of other accounting services for the Debtors
         as may be necessary or desirable.

B. Tax Advisory Services

      a. Review of and assistance in the preparation and filing
         of any tax returns;

      b. Advice and assistance to the Debtors regarding tax
         planning issues, including, assistance in estimating
         net operating loss carryforwards, international taxes,
         and state and local taxes;

      c. Assistance regarding transaction taxes, state and local
         sales and use taxes;

      d. Assistance regarding tax matters related to the Debtors'
         pension plans;

      e. Assistance regarding real and personal property tax
         matters, including, review of real and personal
         property tax records, negotiation of values with
         appraisal authorities, preparation and presentation of
         appeals to local taxing jurisdictions and assistance
         in litigation of property tax appeals;

      f. Assistance regarding any existing or future IRS, state
         and/or local tax examinations; and

      g. Other consulting, advice, research, planning or analysis
         regarding tax issues as may be requested.

C. Financial Advisory Services

      a. Assistance in the preparation and review of reports or
         filings as required by the Bankruptcy Court or the
         Office of the U.S. Trustee, including, schedules of
         assets and liabilities, statement of financial
         affairs, mailing matrix and monthly operating reports;

      b. Review of and assistance in the preparation of financial
         information for distribution to creditors and other
         parties-in-interest, including, analyses of cash
         receipts and disbursements, financial statement items
         and proposed transactions for which Bankruptcy Court
         approval is sought;

      c. Assistance with analysis, tracking and reporting
         regarding cash collateral and any DIP financing
         arrangements and budgets;

      d. Assistance with implementation of bankruptcy accounting
         procedures as required by the Bankruptcy Code and
         generally accepted accounting principles, including
         Statement of Position 90-7;

      e. Evaluation of potential employee retention and severance
         plans;

      f. Assistance with identifying and implementing potential
         cost containment opportunities;

      g. Assistance with identifying and implementing asset
         redeployment opportunities;

      h. Analysis of assumption and rejection issues regarding
         executory contracts and leases;

      i. Assistance in preparing business plans and analyzing the
         business and financial condition of the Debtors;

      j. Assistance in evaluating reorganization strategy and
         alternatives available to the Debtors;

      k. Review and critique of the Debtors' financial
         projections and assumptions;

      l. Preparation of enterprise, asset and liquidation
         valuations;

      m. Assistance in preparing documents necessary for
         confirmation, including financial and other
         information contained in the plan of reorganization
         and disclosure statement;

      n. Advice and assistance to the Debtors in negotiations and
         meetings with bank lenders, creditors and any formal
         or informal committees;

      o. Advice and assistance on the tax consequences of
         proposed plans of reorganization, including assistance
         in the preparation of IRS ruling requests regarding
         the future tax consequences of alternative
         reorganization structures;

      p. Assistance with claims resolution procedures, including,
         analyses of creditors' claims by type and entity and
         maintenance of a claims database;

      q. Litigation consulting services and expert witness
         testimony regarding avoidance actions or other
         matters; and

      r. Other such functions as requested by the Debtors or
         their counsel to assist the Debtors in its business
         and reorganization.

Kenneth A. Hiltz, the Debtors' Chief Finance Officer and Chief
Restructuring Officer, relates that the Debtors have selected
KPMG LLP as their accountants and financial advisors because of
the firm's diverse experience and extensive knowledge in the
fields of accounting, taxation and bankruptcy. The Debtors have
employed KPMG LLP as accountants and financial advisors since
1992. By virtue of its prior engagement, Mr. Hiltz contends that
KPMG LLP is familiar with the books, records, financial
information and other data maintained by the Debtors and is well
qualified to continue to provide accounting and financial
advisory services to the Debtors. As such, retaining KPMG LLP is
an efficient and cost effective manner in which the Debtors may
obtain the requisite services. In addition, the Debtors need
assistance in collecting, analyzing and presenting accounting,
financial and other information in relation to the Chapter 11
case, which KPMG LLP has considerable experience in rendering
such services.

Elizabeth Wilson Meter, Esq., a partner of the firm KPMG LLP,
states that the compensation for professional services rendered
to the Debtors will be based upon the hours actually expended by
each assigned professional at each professional's hourly billing
rate plus reimbursement for necessary expenses incurred in
providing professional services. The customary hourly rates for
accounting, tax advisory and consulting services to be rendered
by KPMG LLP and applicable herein are:

     Accounting and Tax Advisory:
       Partners                               $500 - $600
       Directors/Senior Managers/Managers     $300 - $400
       Senior/Staff Accountants               $150 - $225
       Paraprofessionals                      $ 75 - $100

     Financial Advisory:
       Partners                               $500 - $600
       Directors/Senior Managers/Managers     $375 - $400
       Senior/Staff Accountants               $275 - $375
       Paraprofessionals                      $140 - $250


Ms. Meter informs the Court that KPMG LLP has received an
advance payment retainer of $317,000 from the Debtor, $217,000
of which has been applied to fees and expenses incurred prior to
the Petition Date. Any amounts from this retainer in excess of
fees and expenses incurred before commencement of these chapter
11 cases will be held by KPMG LLP and applied against post-
petition fees and expenses, to the extent allowed by the Court.

Ms. Meter claims that KPMG LLP does not hold or represent an
interest adverse to the estate that would impair KPMG LLP's
ability to objectively perform professional services for the
Debtors. The firm, however, rendered services in unrelated
matters to these parties:

A. Major Stockholders - TSG Capital Fund II, L.P. and CIBC WG
    Argosy Merchant Fund 2 LLC

B. Secured Creditors - CIBC, CSFB, Dresdner Bank AG, Merill
    Lynch, ABN Amro Bank, Alliance Capital, AMEX, Arab Banking
    Corp., ARES, B III Capital Partners, Banco Nazionale del
    Lavoro Spa, Bank Leumi USA, Bank of America, Bank of
    Montreal, Bank of New York, Bank of Nova Scotia, Bank of
    Tokyo-Mitsubishi, National City Bank, Oak Hill Securities,
    Octagon, Perry Principals, Pilgrim, Sankaly, Skandaniska
    Enskilda Banken, Societe Generale, Firstar Bank, Sun
    America Sterling, Provident Bank, Wachovia Bank, Webster
    Bank, Bank One, Bank Polska Kasa Opieki, Bear Stearns,
    Black Diamond, BNP Paribas, BW Capital, Caravelle, Carlyle
    Partners, Citibank, Citadel Investments, Comerica Bank,
    Conseco, Credit Agricole Indosuez, Credit Industrial et
    Commercial, Credit Lyonnais, Cypresstree, Da-Ichi Kangyo
    Bank, Deutsche Bank, Deutsche Genossenschaftsbank, Erste
    Bank, Fidelity Advisors, First Union National Bank, Fleet
    National Bank, Fuji Bank, HBK Master Fund, Hypo-Und
    Vereinsbank, IDM, IKB, ING Capital, JH Whitney, KBC Bank,
    Mellon Bank, Michigan National Bank, and Natexis Banque.

C. Major Bondholders - ABN Amro, AG Edwards, American Enterprise
    Investment Services, American Express Trust, Bank of
    America, Bank of New York, Bankers Trust, Bear Stearns,
    Bank One, Boston Safe Deposit & Trust, Brown Bros.
    Harriman, Charles Schwab, Chase Bank, Chase Manhattan,
    CIBC, Citibank, City National Bank, Commerzbank Capital
    Markets, CSFB, Dain Rauscher, Deutsche Bank, Donaldson
    Lufkin & Jenrette, Edward Jones & Co., Fifth Third Bank,
    First Clearing Corp., First Union, Fleet Securities, Goldman
    Sachs, Investors Bank, Ingall & Snyder, JP Morgan, Legg
    Mason, Lehman Bros., McDonald Investments, Mercantile Safe
    Deposit, Manufacturers & Traders Trust, Mizuho Trust,
    Merrill Lynch, Morgan Stanley, National Financial Services
    Corp., Northern Trust, PNC Bank, Prudential, Salomon Smith
    Barney, Sanford Bernstein, SEI Trust, State Street,
    Sumitomo Trust, Suntrust Bank, Swiss American Securities,
    SWS Securities, Toyo Trust Co.

D. Professionals -  Barris Scott Denn & Driker, Block & Glucci,
    Greenebaum Doll & McDonald, MacMillan Sobanski & Todd,
    Shughart Thomson, & Kilroy, Gold Weems Bruser Sues &
    Rundell, Jackson Walker, Murphy & O'Connor, Fisher &
    Phillips, Howrey & Simon, Latham & Watkins, Skadden Arps,
    Jay Alix, and Lazard Freres.

Ms. Meter assures the Court that KPMG LLP has not provided, and
will not provide, professional services to any of the creditors,
other parties-in-interest, or their attorneys with regard to any
matter related to these cases. (Hayes Lemmerz Bankruptcy News,
Issue No. 3; Bankruptcy Creditors' Service, Inc., 609/392-0900)


INSCI CORP: Gets Nod to Increase Authorized Number of Shares
------------------------------------------------------------
INSCI Corp., (OTC Bulletin Board: INSI) announced that it held a
Special Meeting of Shareholders on Friday, December 21, 2001, at
the Company's headquarters, as scheduled.  A quorum of
shareholders was present in person or by proxy. The proposals
submitted to the shareholders were approved, including proposals
to amend the Company's Articles of Incorporation to authorize an
increase in the number of authorized common shares from
40,000,000 shares to 185,000,000 shares and an amendment to
increase the authorized number of stock options under the
Company's 1997 Equity Incentive Plan from 4,000,000 shares to
7,000,000 shares.

INSCI Corp., is a leading-provider of highly scalable digital
document repository solutions that provide high-volume document
capture, warehousing and delivery functions via Local and Wide
Area Networks or the Internet.  Its award-winning products
bridge back-office with front-office mission critical and
customer-centric applications by web-enabling legacy-generated
reports, bills, statements and other documents.  The Company has
strategic partnerships and relationships with such companies as
Xerox, Moore and Unisys. As of September 30, 2001, the company
reported an upside-down balance sheet, with total stockholders'
equity deficit standing at around $6 million.

For more information about INSCI, visit http://www.insci.com
For additional investor relations information, visit the Allen &
Caron Inc web site at http://www.allencaron.com


INTELEFILM: Taps Silverman to Replace BDO Seidman as Accountants
----------------------------------------------------------------
On December 21, 2001, iNTelefilm Corporation dismissed BDO
Seidman, LLP as its independent accountant.  BDO Seidman, LLP's
consolidated financial statements for the years ended December
31, 2000 and 1999 contained an explanatory paragraph with
respect to substantial doubt about iNTelefilm's ability to
continue as a going concern.

iNTelefilm's Audit Committee and Board of Directors participated
in and approved the decision to change independent accountants.

The Company engaged Silverman Olson Thorvilson & Kaufman, Ltd.
as its new independent accountant as of December 21, 2001.


INT'L RECTIFIER: Fitch Affirms B+ Rating on 4.25% Debt Issue
------------------------------------------------------------
Fitch has affirmed International Rectifier Corporation's 'BB'
senior secured revolving credit facility and 'B+' rating on IR's
4.25% convertible subordinated notes.

The ratings reflect IR's leading market position and proprietary
technology, geographic and customer diversification, and a
modestly levered and highly liquid balance sheet. Of concern are
the cyclical and highly competitive industry environment,
exposure to Asian economies, and the effect of potential
acquisitions on the IR's operating and financial profiles. A
Fitch bank loan rating considers both the likelihood of payment
default and the ultimate recovery of the secured facility.

The rating for the senior secured bank debt also reflects a
collateral package consisting of a pledge of capital stock of
all foreign subsidiaries or, alternatively, a pledge of all
intercompany notes. The secured bank debt also benefits from a
well-conceived covenant package that limits excess leverage,
protects against ongoing operating losses, and requires a
minimum liquidity profile. Fitch considers the IR's long
operating history, exhibited technological leadership, and
conservative capital structure to be compelling arguments for a
strong recovery profile.


KEYSTONE: Continues Exchange Offer Talks with Noteholders
---------------------------------------------------------
Keystone Consolidated Industries, Inc. (OTC Bulletin Board:
KESN) announced Friday that it has been in continuing
discussions with holders of its 9 5/8% Senior Secured Notes
concerning a proposed exchange offer.  These discussions are
part of an effort to achieve an out of court restructuring of
the Company's obligations that would include, among other
things, an offer to the holders of its outstanding $100 million
9 5/8% Senior Secured Notes to exchange their notes for either
(a) a discounted cash amount (subject to an aggregate limit for
holders electing such option) and common stock; or (b) new
preferred equity and subordinated debt securities of the
Company, the definitive terms of which have not been finalized.

As previously reported, the Illinois legislature approved loans
from State funds of up to $10 million that could be available to
the Company in connection with its restructuring efforts.  The
Company understands the legislation is before the Governor of
Illinois for signature.  The Company is continuing to work with
representatives of the State to complete the actions required to
finalize the loan.  The Company is also continuing its
discussions with financial institutions to obtain additional
term financing necessary to provide adequate liquidity for the
Company's operations.

In connection with these ongoing discussions, Keystone announced
today that holders representing more than 75% of the principal
amount of its $100 million 9 5/8% Senior Secured Notes have
agreed to extend the deferral of the exercise of such holders'
right to accelerate the payment of the Notes and to defer
directing the Trustee of the Notes to take any action or
exercise any remedy as a result of Keystone's failure to make
the interest payment on the Notes due August 1, 2001.
Accordingly, the holders have agreed not to exercise such rights
prior to February 15, 2002.

To effect an out of court restructuring, the Company must
successfully conclude its continuing discussions with holders of
the Senior Secured Notes of definitive terms concerning the
exchange of their notes as described above, and its efforts to
renew or replace existing revolving credit facilities, to secure
adequate term financing for the Company and to satisfactorily
restructure other obligations of the Company.  No assurance can
be given that all of these efforts will be successful.

Keystone Consolidated Industries, Inc. is headquartered in
Dallas, Texas. The company is a leading manufacturer and
distributor of fencing and wire products, carbon steel rod,
industrial wire, nails and construction products for the
agricultural, industrial, construction, original equipment
markets and the retail consumer.  Keystone is traded on the
OTCBB under the symbol KESN.


LERNOUT & HAUSPIE: Wants More Time to Remove Pending Actions
------------------------------------------------------------
Allan S. Brilliant, Esq., at Milbank, Tweed, Hadley & McCloy
LLP, asks, on behalf of Lernout & Hauspie Speech Products N.V.
and its affiliated debtors Dictaphone Corporation and L&H NV
Holdings USA, Inc., Judge Wizmur for entry of an order as to
Dictaphone further extending the time period during which the
Debtors may remove prepetition actions to the earlier of (a)
confirmation of the Third Amended Dictaphone plan, (b) February
28, 2002, or (c) 30 days after entry of an order terminating the
automatic stay with respect to the particular action sought to
be removed.  L&H NV and Holdings make the same request for a
further extension to the earlier of (a) confirmation of the L&H
Joint Plan, (b) February 28, 2002, or (c) 30 days after entry of
an order terminating the automatic stay with respect to the
particular action sought to be removed.

As of the Petition Date, the Debtors are party to numerous civil
actions pending in multiple forums. Since the inception of these
cases, the Debtors say they, in addition to handling exigent
administrative matters and business complications confronted in
any complex Chapter 11 case, have been working diligently to (a)
develop a reorganization plan that maximizes values for
creditors, and more specifically, (b) to file the L&H Joint Plan
and L&H Joint Disclosure Statement, and the Third Amended
Disclosure Statement and Plan for Dictaphone.  This process is
described as "arduous and time-consuming", given the size and
complexity of the Debtors' estates and the numerous
intercreditor issues that have arisen in these cases.

Without the requested extension, the Debtors say they will be
forced to make removal decisions prematurely.  Accordingly, an
extension is warranted. (L&H/Dictaphone Bankruptcy News, Issue
No. 16; Bankruptcy Creditors' Service, Inc., 609/392-0900)


MCMS INC: Has Until March 21, 2002 to File Notices of Removal
-------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware extends
MCMS, Inc.'s deadline within which they may file notices of
removal of related proceedings through March 21, 2002.

MCMS, Inc., a global leading provider of advanced electronics
manufacturing services to original equipment manufacturers filed
for Chapter 11 protection on September 18, 2001 in the U.S.
Bankruptcy Court for the District of Delaware. Eric D. Schwartz,
Esq. and Donna L. Harris, Esq. at Morris, Nichols, Arsht &
Tunnell represent the Debtors in their restructuring effort.
When the company filed for protection from its creditors, it
listed $173,406,000 in assets and $343,511,000 in debt.


MARINER POST-ACUTE: Disclosure Statement Hearing Set for Jan. 16
----------------------------------------------------------------
The Mariner Post-Acute Network, Inc., Debtors and the Mariner
Health Group Debtors have filed the First Amended Joint Plan of
Reorganization and the Disclosure Statement for this First
Amended Joint Plan.

On January 16, 2002 at 9:30 a.m. or as soon thereafter, Judge
Walrath will convene a hearing to determine if the Disclosure
Statement contains adequate information within the meaning of
section 125 of the Bankruptcy Code for approval.

Responses and objections, if any, to the approval of the
Disclosure Statement must be filed and served so as to be
actually received, on or before 4:00 p.m. (Eastern Time) on
January 9, 2002. (Mariner Bankruptcy News, Issue No. 22;
Bankruptcy Creditors' Service, Inc., 609/392-0900)


MATLACK SYSTEMS: Asks for Exclusivity Extension through Feb. 22
---------------------------------------------------------------
Matlack Systems, Inc. submits to the U.S. Bankruptcy Court for
the District of Delaware a third motion seeking to extend their
Exclusive Periods during which they may file a plan of
reorganization and solicit acceptances of that plan through
February 22, 2002 and April 23, 2002, respectively.

Being one of the largest chemical and bulk transportation
company with terminals across the United States and Canada, it
is clear that the size and global structure of the Debtors are
large and complex. Additionally, even though the Debtors'
achieve substantial progress, they still have considerable
amount of work to do before a plan can be formulated.

Before a plan or plan of reorganization may be formulated,
negotiated and filed and solicited, the Debtors must complete
the analysis of the nature and extent of the claims against
their estates, and complete the exploration of the possible
benefit that some or all of the Debtors' assets might afford.

Matlack, North America's No. 3 tank truck company, provides
liquid and dry bulk transportation, primarily for the chemicals
industry.  The company filed for chapter 11 protection last
March 29, 2001, in the U.S. Bankruptcy Court for the District of
Delaware, and is represented by Richard Scott Cobb, Esq., at
Klett Rooney Lieber & Schorling.  Matlack's 10Q Report, filed
with the Securities and Exchange Commission on March 31, 2001,
lists assets of $81,160,000 and liabilities of $89,986,000


METALS USA: Court Approves PricewaterhouseCoopers as Advisors
-------------------------------------------------------------
Metals USA, Inc., and its debtor-affiliates obtained the
authority from the Court to employ and retain
PricewaterhouseCoopers to perform financial advisory
services in these cases, effective as of the Petition Date.

PwC will provide consulting and advisory services as appropriate
and feasible in order to advise the Debtors in these cases,
including:

A. Assistance to the Debtors in the preparation of financial
    related disclosures required by the Court, including
    Schedules of Assets and Liabilities, Statement of Financial
    Affairs and Monthly Operating Reports;

B. Assistance to the Debtors with information and analyses
    required pursuant to the Debtors' DIP financing, including
    preparation for hearings regarding the use of cash
    collateral and DIP Financing;

C. Assistance with identification and implementation of short-
    term cash management procedures;

D. Advisory assistance in connection with the development and
    implementation of key employee retention and other critical
    employee benefit programs;

E. Assistance and advice to the Debtors with respect to the
    identification of core business assets and the disposition
    of assets or liquidation of unprofitable operations;

F. Assistance with the identification of executory contracts and
    leases and performance of cost/benefit evaluations with
    respect to the affirmation or rejection of each;

G. Assistance regarding the valuation of the present level of
    operations and identification of areas of potential cost
    savings, including overhead and operating expense
    reductions and efficiency improvements;

H. Assistance in the preparation of financial information for
    distribution to creditors and others, including cash flow
    projections and budgets, cash receipts and disbursement
    analysis, analysis of various asset and liability accounts,
    and analysis of proposed transactions for which Court
    approval is sought;

I. Attendance at meetings and assistance in discussions with
    potential investors, banks and other secured lenders, the
    Creditors' Committee appointed in this case, U.S. Trustee
    and other parties-in-interest and professionals;

J. Analysis of creditor claims by type, entity and individual
    claim, including assistance with development of a database
    to track such claims;

K. Assistance in preparation of information and analysis
    necessary for the confirmation of a Plan of Reorganization
    in this case;

L. Assistance in the evaluation and analysis of avoidance
    actions, including fraudulent conveyances and preferential
    transfers;

M. Litigation advisory services with respect to accounting and
    tax matters, along with expert witness testimony on case
    related issues as required by the Debtors; and

N. Render such other general business consulting or such other
    assistance as the Debtors' management or counsel may deem
    necessary that are not duplicative of services provided by
    other professionals in this proceedings. (Metals USA
    Bankruptcy News, Issue No. 4; Bankruptcy Creditors' Service,
    Inc., 609/392-0900)


MONTANA POWER: Parties Resolve Issues Re Sale to NorthWestern
-------------------------------------------------------------
Representatives of energy companies and electric consumers
reached a settlement late Friday on issues related to the sale
of Montana Power's Utility (NYSE: MTP) to NorthWestern
Corporation (NYSE: NOR), as well as electric restructuring costs
in addition to other matters.  The Montana Public Service
Commission (PSC) will be asked to approve the settlement, which
is subject to the successful closing of the Utility sale
transaction.

The settlement was reached among Montana Power (MPC),
NorthWestern, the Montana Consumer Counsel (MCC) that represents
residential and small commercial customers, and the Montana
Large Customer Group (LCG), and was filed today with the PSC.
To conclude the Utility sale, the PSC must find NorthWestern, as
the owner of the Utility, is a fit, willing and able provider of
utility services.

The commission has scheduled a hearing on the approval
application on or before January 16 with a decision to be
rendered on or before January 31, 2002.  The parties to the
settlement agreed that the PSC should accelerate the hearing and
final order dates.

One of the stipulations calls for Montana Power and NorthWestern
to establish a $30 million account that will be used to provide
a credit for MPC electric distribution customers.  The credit
will be provided over a one year period to customers on a per
kilowatt-hour (Kwh) basis beginning on July 1, 2002, when the
Utility's current below market energy supply contract expires.
The credit will reduce a projected 20 percent increase in
electric rates at that time to about 12.8 percent for the next
12 months.  For the period, a typical residential customer's
bill using 750 Kwh/month on average will be reduced
approximately $3.25 a month.

"This is a major step in completing the transition of Montana
Power from a diversified energy utility into a broadband
telecommunications company under Touch America," said Bob
Gannon, Montana Power and Touch America's chairman and chief
executive officer.  "We have received all the necessary
approvals except that of the PSC, and we expect this settlement
will facilitate this last approval."

Montana Power announced on March 28, 2000, it would transition
from an energy company to a stand-alone telecommunications
broadband network owner and service provider under Touch America
Holdings, Inc.  The Utility is the last energy business to be
sold.

NorthWestern entered into an agreement in October 2000 to
acquire Montana Power's utility operations for approximately
$602 million in cash and the assumption of $488 million in
existing debt, subject to certain closing conditions and
provisions included in the agreement.  The transaction will
extend NorthWestern's regional energy service offering to an
additional 449,000 electric and natural gas customers in
Montana.

The Montana Power Company is a diversified investor-owned
electric and natural gas utility.  The company announced on
March 28, 2000 that it would divest all of its energy
businesses, including its utility, and invest the proceeds in
Touch America Holdings, Inc. its broadband telecommunications
subsidiary.  Montana Power has sold its oil and gas business to
PanCanadian Petroleum Limited of Calgary for $475 million, its
independent power business to CES Acquisition Corp. of Butte for
$84.5 million, and its coal business to Westmoreland Coal
Company of Colorado Springs for $183 million.  The Utility sale
to NorthWestern Corp. of Sioux Falls, SD for $602 million in
cash and the assumption of $488 million in debt is awaiting
Montana Public Service Commission approval before the
transaction can close.  Information about Montana Power can be
found at  http://www.mtpower.com


NATIONSRENT: Will Be Paying Pre-Petition Customer Obligations
-------------------------------------------------------------
NationsRent Inc., and its debtor-affiliates sought and obtained
an order from the Court for entry of an order authorizing them
to honor or pay pre-petition obligations to customers in the
ordinary course of business.

Joseph I. Izhakoff, the Debtors' Vice-President and General
Counsel, tells the Court that in the ordinary course of
businesses, the Debtors have certain obligations to their
respective customers, including rebates relating to sales;
returns of deposits; charges associated with the rental of
equipment to customers that the Debtors, in turn, rent from a
third party due to inventory shortages; payments to suppliers
associated with the purchase and resale of certain equipment to
customers; and refunds, billing adjustments, discounts, product
returns or exchanges and other credits. Because the Debtors were
in the midst of providing goods and services to their customers
on the Petition Date, the Debtors have certain outstanding pre-
petition obligations to their customers under the Customer
Programs that otherwise would be honored in the ordinary course
of the Debtors' business.

The Customer Obligations include certain rebates, deposits,
re-rent charges, special orders and credits, as described below:

A. Rebates - The Debtors have certain national account Customers
    that are eligible for rebates based on the volume of
    business they transact with the Debtors. As of the Petition
    Date, certain Customers were entitled to Rebates based on
    business conducted prior to the Petition Date.

B. Deposits - The Debtors typically require a deposit in
    connection with their rental transactions for Customers
    making payments in cash but in most cases, Customers rent
    equipment on credit and no deposit is taken. Customers that
    are not permitted to rent equipment on credit are required
    to pay cash deposits at the time of rental. As of the
    Petition Date, the Debtors held Deposits from Customers who
    could be entitled to a refund of a portion of their
    respective Deposits upon return of equipment rented prior
    to the Petition Date.

C. Re-Rent Charges - The Debtors sometimes are unable to meet
    their Customers' rental needs from equipment that is in
    stock at their respective rental centers or other
    facilities. In such instances, as an accommodation to their
    Customers, the Debtors rent equipment from one of their
    competitors and then re-rent such equipment to the Debtors'
    Customers. As of the Petition Date, the Debtors anticipate
    that certain equipment that has been rented from
    Competitors and re-rented to Customers may still be in use
    by such Customers. When the Debtors receive post-petition
    payments in respect of this re-rented equipment, they must
    be able to make the pre-petition payments to the
    Competitors for such equipment. If the Debtors do not pay
    the Re-Rent Charges, the Competitors may exercise their
    rights to repossess the rented equipment and thereby
    seriously jeopardize tile Debtors' relationships with their
    Customers.

D. Special Orders - The Debtors order certain items of equipment
    on an as-needed basis to fulfill specific Customer
    requests. Although any Customer could request a Special
    Order, such requests typically come from the Debtors'
    larger, more established Customers. As of the Petition
    Date, the Debtors anticipate that there will be certain
    Special Orders that have already been received and sold to
    Customers, but for which invoices have not been received or
    paid by the Debtors. If the Debtors are not permitted to
    pay pre-petition invoices due in respect of the Special
    Orders, the respective vendors may attempt to exercise
    rights against such Special Orders to the detriment of the
    Debtors' existing Customer relationships.

E. Credits - In addition to the Rebates, Deposits, Re-Rent
    Charges and Special Orders, Customers might also have
    claims against the Debtors for refunds, billing
    adjustments, discounts, product returns or exchanges and
    other credits.

The Debtors estimate that, as of the Petition Date, the
aggregate amount of outstanding Customer Obligations was
approximately $1,700,000.

Daniel J. DeFranceschi, Esq., at Richards Layton & Finger, P.A.
in Wilmington, Delaware, submits that the success and viability
of the Debtors' businesses are dependent upon the loyalty and
confidence of the Customers. The continued support of this
constituency is absolutely essential to the survival of the
Debtors' businesses and the Debtors' ability to reorganize. Any
delay to honoring or paying Customer Obligations will severely
and irreparably impair the Debtors' customer relations at a time
when the loyalty and support of the Customers are most critical.
By contrast, honoring the Customer Obligations will require
minimal expenditures of estate funds and will assist the Debtors
in preserving key customer relationships for the benefit of all
stakeholders. In addition, to provide necessary assurances to
the Customers on a going-forward basis, the Court authorizes the
Debtors to continue honoring or paying all obligations to
Customers that arise from and after the Petition Date in the
ordinary course of the Debtors' businesses.

The Court further directs that all applicable banks and other
financial institutions be authorized and directed, when
requested by the Debtors in their sole discretion, to receive,
process, honor and pay any and all checks drawn on the Debtors'
accounts in respect of Customer Obligations, whether such checks
were presented prior to or after the Petition Date, provided
that sufficient funds are available in the applicable accounts
to make the payments. The Debtors represent that each of these
checks can be readily identified as relating directly to the
authorized payment of Customer Obligations and believe that
checks other than those relating to authorized payments will not
be honored inadvertently. (NationsRent Bankruptcy News, Issue
No. 2; Bankruptcy Creditors' Service, Inc., 609/392-0900)


NOVO NETWORKS: Debtors' Exclusive Period Extended Until Jan. 31
---------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware extended
Novo Networks' exclusive periods during which the Company may
propose a Chapter 11 Plan and solicit acceptances of that plan.
The Exclusive Plan Filing Period is extended through January 31,
2002 and the Exclusive Solicitation Period through March 31,
2002.

Novo Networks International Services, Inc., a developer of
facilities-based broadband network offering voice and data
transport targeted to communications carriers, ISPs, and large
corporate and government clients, filed for chapter 11
protection on July 30, 2001 in the U.S. Bankruptcy Court for the
District of Delaware. Jeffrey M. Schlerf, Esq., at The Bayard
Firm represents the Debtors in their restructuring effort.
When the Company filed for protection from its creditors, it
listed an estimated debts and assets of between $10 million to
$50 million.


PEN HOLDINGS: Misses Scheduled Interest Payment on 9-7/8% Notes
---------------------------------------------------------------
Pen Holdings, Inc, a Tennessee corporation, did not make its
regularly scheduled interest payment to the holders of the
Company's 9 7/8% Senior Notes due 2008 by December 17, 2001.
This payment was due under terms of the Indenture dated June 8,
1998, which relates to the Notes. A 45-day grace period is
permitted by the Indenture in which to make the regularly
scheduled interest payment. If the Company fails to make the
payment within the 45-day grace period, an Event of Default will
have occurred under the Indenture.

The Company has engaged a financial advisor and legal counsel to
assist in its review of strategic and restructuring
alternatives. The Company is exploring the disposition of
certain of its assets and other transactions which may give rise
to liquidity necessary to make the December 17, 2001 interest
payment on the Notes, however there can be no assurance that the
Company's efforts will be successful.


PENN SPECIALTY: Exclusive Period Now Runs through April 3
---------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware extends
the Exclusive Periods for Penn Specialty Chemicals, Inc.  The
Debtor's exclusive period within which to file a plan of
reorganization is extended through February 6, 2002 and the
Debtor's exclusive period to solicit acceptances of the Plan
runs through April 3, 2002.

Penn Specialty, one of the world's largest suppliers of
specialty chemicals THF and PTMEG, filed for chapter 11
protection on July 9, 2001, in the U.S. Bankruptcy Court for the
District of Delaware.  Deborah E. Spivack, Esq., at Richards,
Layton & Finger, in Wilmington, Delaware, represents the company
in its restructuring effort.


POLYMER GROUP: S&P Junks Ratings on Near-Term Liquidity Concerns
----------------------------------------------------------------
Standard & Poor's lowered its ratings on Polymer Group Inc. All
ratings remain on CreditWatch with negative implications, where
they were placed on March 14, 2001.

The downgrade reflects heightened concerns related to the
company's near-term liquidity, onerous debt levels, and the
mounting financial pressures related to the company's bank
facilities. Polymer has been operating under a waiver, granted
on April 14, 2001, of the financial covenants contained in its
bank facility that is due to expire, if not amended further, on
December 29, 2001. Failure to renegotiate these terms would
trigger a breach of certain financial covenants, including
leverage and fixed charge coverage tests, resulting in a default
of the terms of the bank facility (Polymer's November 5, 2001,
announcement of restructuring charges will likely result in a
further breach of a minimum net worth covenant). These issues
could result in the acceleration of the company's outstanding
bank debt if not waived or amended, and significantly heighten
the risk of a default related to the firm's outstanding
subordinated notes even if the bank loans are extended.

Polymer's initiatives to reduce debt during the current year
through asset dispositions or other strategic actions have not
been successful due to challenging credit market and economic
conditions.

During the past year Polymer's profitability and cash flow have
deteriorated as a result of high raw material costs (primarily
polypropylene resins) and industry overcapacity that has limited
the firm's ability to pass on resin cost increases to customers.
Reduced contribution from higher-margin products in the consumer
group, and slower-than-anticipated contribution from new product
initiatives have also contributed to the weaker results.
Significantly, these operating difficulties follow a period of
rapid expansion, much of it debt financed, and have resulted in
the meaningful deterioration of key financial measures and
financial flexibility.

Polymer is one of the world's largest nonwoven and oriented
polyolefins producers. The firm's nonwoven plastic fabrics are
used in an array of consumer and commercial products; primary
uses include facing for diapers and other hygiene products,
specialty and industrial fabrics, disposable surgical gowns, and
wipes for use in consumer, industrial, and food service
applications.

Standard & Poor's will resolve the CreditWatch once additional
information is available regarding the company's efforts to
extend near term financial flexibility.

           Ratings Lowered and Remaining on CreditWatch
                    with Negative Implications

                                            Ratings

      Polymer Group Inc.                To          From
         Corporate credit rating        CCC         B-
         Senior secured debt            CCC         B-
         Subordinated debt              CC          CCC


PROVIDIAN FINANCIAL: Nov. Managed Net Credit Loss Rate at 12.8%
---------------------------------------------------------------
Providian Financial Corporation reports that its managed net
credit loss rate for the month ended November 30, 2001 was
12.80% and its 30+ day managed delinquency rate as of November
30, 2001 was 9.19%.

The company that has been synonymous with subprime credit cards
has been kicked out of the business. One of the top US credit
card outfits, Providian Financial issues mainly secured credit
cards to more than 16 million customers, most with spotty credit
histories; it also issues credit cards to those with better
credit. Providian solicits new customers via direct mail, phone,
and online advertising. The company also offers money market
accounts, CDs, and home equity loans; its GetSmart.com is an
online lender and deposit institution. High charge-offs have led
to a management shake-up, job cuts, and talk of putting the
company up for sale; meanwhile, regulators ordered the company
to stop issuing new subprime cards.

As reported in the Troubled Company Reporter (Dec. 26, 2001
issue), Fitch lowered the senior rating of Providian Financial
Corp to 'B+' from 'BB-' and trust preferred rating to 'CCC+'
from 'B'.  The ratings for Providian National Bank (PNB) remain
unchanged, the report said.  However, the ratings for both
entities have been placed on Rating Watch Negative.

Fitch's downgrade of the holding company ratings reflected that
unsecured creditors have less asset protection as liquidity at
the holding company has diminished greater than anticipated.
Fitch does recognize that near-term obligations of Providian
will likely be met, however, longer term prospects will depend
on the financial strength of the overall enterprise. There is
approximately $851 million of senior debt issued out of the
holding company, through the issuance of two convertible note
issues.

In addition, the report said that the Rating Watch designation
signifies Fitch's concern surrounding the completion of certain
restructuring objectives, namely asset sales, to improve the
company's financial profile.


QUESTRON: Inks Pact with Lenders to Defer Payment Obligations
-------------------------------------------------------------
Questron Technology, Inc., (Nasdaq:QUST)(Nasdaq:QUSTW) announced
that it has reached agreements with its Senior Lenders and the
holders of a majority of its Senior Subordinated Notes to defer
certain of its payment obligations due at the end of 2001 until
February 14, 2002 and waive compliance with certain financial
covenants. One holder of a minority of the Senior Subordinated
Notes has not agreed to this deferral and would retain the right
to declare a payment default. Although there can be no
assurance, the Company believes it is unlikely that the minority
note holder would declare such a default at this time and any
such declaration would not affect the deferral otherwise granted
to the Company.

The Company noted that it continues to work with its investment
banker, exploring strategic alternatives that include possible
equity investments in the Company, possible restructurings of
the Company's indebtedness or a possible sale of the Company or
of substantially all of its assets. The Company also noted that,
while it has received several indications of interest concerning
possible transactions, it has not received any definitive
proposals with respect to potential investments, financings or
sales. There can be no assurance that the Company will receive a
definitive proposal for any investment, financing or sale, enter
into an agreement with respect to any such transaction or be
able to complete any such transaction on a timely basis.
Further, the terms of any investment, refinancing or sale may
not be favorable to the Company or its stockholders and will
likely materially dilute, or otherwise place a low value on, the
interests of the existing stockholders.

Dominic A. Polimeni, Chairman and Chief Executive Officer of
Questron, said, "The Company is pleased that it has reached
agreements with these lenders and that they remain supportive
during these difficult and challenging economic times." Mr.
Polimeni added, "the agreements afford the Company additional
time to evaluate the indications of interest that have been
presented and to seek to enter into an investment, financing or
sale transaction."

Questron Technology Inc. is a leading provider of supply chain
management solutions and professional inventory logistics
management programs for small parts commonly referred to as "C"
inventory items (fasteners and related products) focused on the
needs of Original Equipment Manufacturers (OEMs). Questron's
securities are traded on NASDAQ under the symbols QUST (common)
and QUSTW (warrants).

For more information on Questron Technology, please visit the
Company's Web site at http://www.questrontechnology.com/


RICA FOODS: Violates Negative Covenants Under PacLife Agreement
---------------------------------------------------------------
Rica Foods, Inc. (Amex: RCF) announced its belief that the
Company may have not met several negative covenants contained in
an amended and restated note purchase agreement, dated January
16, 2001, between Rica and Pacific Life Insurance Company. These
violations are of a "technical" nature in that they do not
involve the failure to pay any sums due to PacLife under the
Credit Agreement.  The Company is current on all payments due to
be paid to PacLife, as well as all other payments currently due
to be paid to other third party creditors of the Company.  In
addition, the Company expects to make the next timely required
payment under the Credit Agreement in the amount of
approximately U.S.$4.9 million during the first half of January
2002.  This will reduce the principal amount outstanding under
the Credit Agreement to U.S.$12 million, from the original
amount borrowed of U.S.$20 million.

During the quarterly periods ended December 31, 2000, March 31,
2001, and June 30, 2001, the Company believes it exceeded
permissible debt-to-earnings ratios prescribed in the Credit
Agreement. "These violations were due in part to the adverse
economic conditions that have affected Costa Rica throughout
2001, as well as a decrease in the Company's net income
resulting from the lowering of sales prices for certain key
products. However, the Company believes that the capital
expenditures done in such periods are expected to boost positive
results, and expects to be in compliance with this covenant as
of the fiscal year ended September 30, 2001," explained Mrs.
Monica Chaves, Board member of the Company.

In addition, the Company believes it did not comply with certain
restrictions in the Credit Agreement on the granting of
collateral to third party creditors by its subsidiaries. This
collateral was granted for the purpose of obtaining loans to
finance capital expenditures, and was granted consistent with
common and traditional procedure to obtain loans in the Costa
Rican financial market. These expenditures were incurred for the
subsidiaries' continued growth. The Company expects to
significantly reduce this collateral/EBITDA ratio during the
second quarter of fiscal 2002.

Lastly, the Board of Directors advised that Corporacion Pipasa,
S.A. and Corporacion As de Oros, S.A. had made loans to Mr.
Calixto Chaves, the Company's Chairman and Chief Executive
Officer, and  Mr. Chaves's affiliates, totaling approximately
US$8 million, during fiscal years 2000 and 2001.  These loans
also may represent a possible breach of certain restrictions
contained in the Credit Agreement related to transactions with
affiliates.  The loans were made without the knowledge or the
approval of the Board of Directors of the Company.  However, the
loans granted to Mr. Chaves and his affiliates were disclosed in
the Company's earlier financial statements, and the terms of the
loans were consistent with market terms.

The Board of Directors is taking appropriate action to resolve
this situation.  Among other solutions, Mr. Chaves has offered
to collateralize and/or repay such loans.  The Board has
accepted Mr. Chaves's offer and is currently in the process of
finalizing the details of the offer.  Mr. Chaves has also agreed
to significantly reduce the principal amount of the loans as
early as the second quarter of fiscal year 2002.  The Company
has also appointed a special committee to ensure that the
foregoing situation does not recur in the future.

The Board of Directors has also accepted the resignation
submitted by the Company's Chief Financial Officer, Randall
Piedra.  Mr. Piedra's resignation will be effective immediately
upon the filing by the Company of its Annual Report for the
fiscal year ended September 30, 2001, which is expected to be
filed in the second week of January 2002.  Upon the filing of
the Company's Annual Report, Mr. Nestor Solis will take over as
the Company's Interim Chief Financial Officer.

The Company has addressed these possible non-compliance issues
with PacLife and is working on the correction of these potential
breaches, and is also making systematic and planned efforts to
improve its results of operation, increase sales and generate
efficiencies to cut down costs and expenses.  The Company
believes that new measures recently taken by the Costa Rican
government, such as the lowering of interest rates, will
continue to serve as an effective stimulus for the Costa Rican
economy and will help the Company's performance.  "Indeed, the
Company's fundamentals remain unchanged, and we are confident
that the Company's financial results will show improvement from
previous quarterly periods," said Mrs. Chaves.

Rica Foods, Inc., through its wholly owned subsidiaries, is the
largest poultry producer in Costa Rica.


US MINERAL: Has Until January 23 to Decide on Unexpired Leases
--------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware finds
that the legal and factual bases establish cause to extend the
U.S. Mineral Products Company's Lease Decision Period.
Accordingly, the Court grants the Debtor's second motion to
extend its time to assume, assume and assign, or reject
unexpired nonresidential real property leases through January
23, 2002.

United States Mineral Products filed for Chapter 11 Bankruptcy
Petition in the U.S. Bankruptcy Court for the District of
Delaware on June 23, 2001.  Aaron A. Garber, David M. Fournier
and David B. Stratton at Pepper Hamilton LLP represent the
Debtor in its restructuring efforts.


UNITED GLOBALCOM: S&P Further Junks Ratings After Tender Offer
--------------------------------------------------------------
Standard & Poor's lowered its ratings on United Globalcom Inc.'s
10.75% senior secured discount notes to single-'C' from double-
'C', and lowered its corporate credit rating on the company to
double-'C' from triple-'C'. These ratings remain on CreditWatch
with negative implications. In addition, the double-'C' rating
on the company's $355 million 10.875% senior secured discount
notes was withdrawn.

The downgrade follows the subpar tender offer for the 10.75%
senior secured notes from a subsidiary of Liberty Media Corp. On
completion of the exchange, the rating on the 10.75% notes will
be lowered to 'D' and the corporate credit rating will be
lowered to 'SD' (selective default).


WARNACO GROUP: Decides to Reject 9 Burdensome Retail Leases
-----------------------------------------------------------
The Warnaco Group, Inc., and its debtor-affiliates moves the
Court seeking authority to reject these leases:

Effective January 15, 2002:

Store#   Lessor                 Lease Description     Monthly
Rent
------   ------                 ---------------     ------------
   107     Tanger Properties     800 Steven B. Blvd       $11,874
           Limited Partnership   Suite 704
                                 Commerce, Georgia

   189     Chelsea GCA Realty    75-A Liberty Village     $18,129
           Partnership, LP       Flemington, New Jersey

   363     Tanger Properties     625 Stanley K. Tanger    $13,116
           Limited Partnership   Boulevard
                                 Lancaster, Pennsylvania

Effective December 31, 2001:

   543     Reading Outlet        830 Oley St. Bldg. 4      $6,414
           Center Associates     Reading Outlet Center
                                 Pennsylvania

   140     Gateway Woodside Inc. 168 Hillside Road        $14,827
                                 Cranston, Rhode Island

   596     The Prime Group Inc.  3939 IH 35 South          $6,468
                                 Suite 214A
                                 San Marcos Factory
                                 Stores, Texas

   094     Chelsea GCA Realty    Woodbury Common          $14,523
           Partnership LP        Factory Outlets
                                 607 Bluebird Court
                                 Woodbury, New York

   074     Chelsea GCA Realty    Camarillo Factory         $7,057
           Partnership LP        Stores
                                 910 Camarillo Center
                                 Drive
                                 Suite 834
                                 Camarillo, California

   046     Tanger Properties     300 Tanger Blvd.          $9,396
           Limited Partnership   Suite 205


Shalom L. Kohn, Esq., at Sidley, Austin, Brown & Wood, in New
York, New York, tells the Court that the Debtors have determined
that the retail stores covered by the Leases are not profitable.
The Debtors' real estate consultant, Keen Realty LLC, reports
that the Debtors are required to pay more under each of the
Leases than the fair market rate for comparable leased
properties.  Thus, Mr. Kohn says, a profitable assumption and
assignment of the Leases is "highly unlikely".

So, the Debtors have decided to reject the Leases.  "The
rejection of the Leases will save the Debtors' estates
approximately $102,000 per month in administration expenses, as
well as additional amounts for insurance premiums, utility costs
and other charges under, and related to, the Leases," Mr. Kohn
informs Judge Bohanon. (Warnaco Bankruptcy News, Issue No. 16;
Bankruptcy Creditors' Service, Inc., 609/392-0900)


WEIRTON STEEL: Intends Not to Make Payment on 11-3/8% Sr. Notes
---------------------------------------------------------------
On November 1, 2001, Weirton Steel Corporation filed a
Registration Statement (followed by subsequent amendments on
November 21, 2001 and November 30, 2001) regarding a proposed
exchange offer and consent solicitation relating to the
Company's outstanding 11 3/8% Senior Notes due 2004 and 10 3/4%
Senior Notes due 2005.  In addition, the City of Weirton, West
Virginia has agreed to make a similar offer and consent
solicitation for its 8 5/8% Pollution Control Revenue Refunding
Bonds (Weirton Steel Corporation Project) Series 1989 due
November 1, 2014, which are secured by the Company's obligation
to pay the City of Weirton under a related loan agreement.

An unofficial committee comprised of holders of a majority of
the outstanding Senior Notes has been formed and, through
financial and legal advisors, has commenced discussions with the
Company regarding the terms of the proposed exchange offer.
Accordingly, the Company does not anticipate that the proposed
exchange offers for the Senior Notes and the Bonds and the
related consent solicitations will commence until early in the
first quarter of 2002.

The Company did not make the semi-annual scheduled interest
payment due on December 1, 2001 with respect to the Senior Notes
due 2005 and does not intend to make the similar scheduled
interest payment due on January 1, 2002 with respect to the
Senior Notes due 2004.  The Company had made the last semi-
annual interest payment to the City of Weirton in respect of the
Bonds due on November 1, 2001.  The holders of at least 25% of
the outstanding Senior Notes have the right to cause those notes
to be accelerated following the expiration of a 30-day grace
period after the Company's default in making the applicable
interest payment.  The Company believes that it will obtain the
agreement of the unofficial committee to forbear exercising
these remedies during the course of negotiations.  The Company's
new senior secured bank credit facility provides that the
Company's failure to pay interest on the obligations represented
by the Senior Notes and the Bonds will not be considered an
event of default under that facility, unless the obligations are
accelerated.

DebtTraders reports that Weirton Steel Corporation's 11.375%
bonds due in 2004 (WEIRT2) trade between 9 and 12. See
http://www.debttraders.com/price.cfm?dt_sec_ticker=WEIRT2 for
real-time bond pricing.


* Meetings, Conferences and Seminars
------------------------------------
January 31 - February 1, 2002
    American Conference Institute
       Chapter11 Bankruptcy
          The Four Seasons Hotel in Dallas, Texas
             Contact: 1-888-224-2480 or
             www.americanconference.com/conferences/bankruptcy/

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 25-26, 2002
    American Conference Institute
       Chapter11 Bankruptcy
          Hyatt Regency in Los Angeles, California
             Contact: 1-888-224-2480 or
             www.americanconference.com/conferences/bankruptcy/

February 27-28, 2002
     Information Management Network
        The Distressed Real Estate Symposium
           Crowne Plaza, New York, New York
              Contact: 1-212-768-2800 or dgleyzer@imn.org
]
February 28-March 1, 2002
    ALI-ABA
       Corporate Mergers and Acquisitions
          Renaissance Stanford Court, San Francisco, CA
             Contact: 1-800-CLE-NEWS or http://www.ali-aba.org

March 3-4, 2002
    Association of Insolvency and Restructuring Advisors
       Business Valuation Conference (Held in conjunction with
       The Norton Bankruptcy Litigation Institute I)
          Park City Mariott, Park City, UT
             Contact: (541) 858-1665 Fax (541) 858-9187 or
             aira@airacira.org

March 3-6, 2002
    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 7-8, 2002
    RENAISSANCE AMERICAN MANAGEMENT, INC. & BEARD GROUP
       Third Annual Conference on Healthcare Transactions
          The Millennium Knickerbocker Hotel, Chicago
             Contact: 1-800-726-2524 or ram@ballistic.com

March 8, 2002
    American Bankruptcy Institute
       Bankruptcy Battleground West
          Century Plaza Hotel, Los Angeles, California
             Contact: 1-703-739-0800 or http://www.abiworld.org

March 14-15, 2002
    American Conference Institute
       Commercial Loan Workouts
          The New York Marriott Marquis in New York City
             Contact: 1-888-224-2480 or
                      www.americanconference.com

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 11-14, 2002
    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

April 25-27, 2002
    ALI-ABA
       Fundamentals of Bankruptcy Law
          Rittenhouse Hotel, Philadelphia
             Contact:  1-800-CLE-NEWS or http://www.ali-aba.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

May 15-18, 2002
    Association of Insolvency and Restructuring Advisors
       18th Annual Bankruptcy and Restructuring Conference
          JW Mariott Hotel Lenox, Atlanta, GA
             Contact: (541) 858-1665 Fax (541) 858-9187 or
             aira@airacira.org

May 26-28, 2002
    International Bar Association
       International Insolvency 2002 Conference
          Dublin, Ireland
             Contact: Tel +44 207 629 1206 or member@int-bar.org
             or http://www.ibanet.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 20-21, 2002
    RENAISSANCE AMERICAN MANAGEMENT, INC. & BEARD GROUP
       Fifth Annual Conference on Corporate Reorganizations
          The Millennium Knickerbocker Hotel, Chicago
             Contact: 1-800-726-2524 or ram@ballistic.com

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

July 11-14, 2002
    American Bankruptcy Institute
       Northeast Bankruptcy Conference
          Ocean Edge Resort, Cape Cod, MA
             Contact: 1-703-739-0800 or http://www.abiworld.org

July 17-19, 2002
    Association of Insolvency and Restructuring Advisors
       Bankruptcy Taxation Conference
          Snow King Resort, Jackson Hole, WY
             Contact: (541) 858-1665 Fax (541) 858-9187 or
             aira@airacira.org

August 7-10, 2002
    American Bankruptcy Institute
       Southeast Bankruptcy Conference
          Kiawah Island Resort, Kiawaha Island, SC
             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 Paloma, 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 3-7, 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

December 2-4, 2004
    American Bankruptcy Institute
       Winter Leadership Conference
          Marriott's Camelback Inn, Scottsdale, AZ
             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.

Bond pricing, appearing in each Thursday's edition of the TCR,
is provided by DebtTraders in New York. DebtTraders is a
specialist in global high yield securities, providing clients
unparalleled services in the identification, assessment, and
sourcing of attractive high yield debt investments. For more
information on institutional services, contact Scott Johnson at
1-212-247-5300. To view our research and find out about private
client accounts, contact Peter Fitzpatrick at 1-212-247-3800.
Real-time pricing available at http://www.debttraders.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. Yvonne L. Metzler, Bernadette
C. de Roda, Ronald P. Villavelez and Peter A. Chapman, Editors.

Copyright 2002.  All rights reserved.  ISSN: 1520-9474.

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