TCR_Public/030922.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

            Monday, September 22, 2003, Vol. 7, No. 187

                          Headlines

ACTERNA: S.D.N.Y. Court Approves Sale of Itronix to Golden Gate
ACTIVE LINK COMM: Voluntary Chapter 7 Case Summary
AE SUPPLY: Pays Williams Initial $100M to Terminate Tolling Pact
AIR CANADA: Discloses Compensation to Retained Professionals
AK STEEL: Names James L. Wainscott Acting Chief Exec. Officer

ALAMOSA: Sets Conference Call Today to Discuss Exchange Offer
ALARIS MEDICAL: Signs New Five-Year Contract with Premier Inc.
ALPHARMA: Court Backs Challenge to Competitive Product Claims
AMERCO: U.S. Trustee Appoints Equity Security Holders Committee
AMR CORP: S&P Assigns Junk CCC Rating to $300MM Sr. Unsec. Notes

ANTARES PHARMA: Hosting Conference Call Today at 2:00 p.m.
ARGO-TECH: Affirmed B+ Corp. Credit Rating Placed on Watch Neg.
ARMSTRONG HLDGS: Wants Court Nod for Further DIP Loan Amendment
AVOTUS: RoyNat Capital Acquires Additional 7.18% Equity Stake
BAUSCH & LOMB: Zarrella Will Present at UBS Conference Today

BETHLEHEM STEEL: Solicitation Exclusivity Extended to October 31
BEVERLY ENTERPRISES: Plans to Enter into $225MM Credit Facility
BEVERLY ENTERPRISES: S&P Assigns BB Rating to $225M Secured Loan
BEVERLY ENTERPRISES: Fitch Rates New Sr. Secured Facility at BB
BIOMERICA INC: Needs Additional Financing to Continue Operations

BNS CO.: Brings-In Legacy Partners as Investment Advisors
CD WORLD: Trans World to Acquire Assets for $1.8 Million
CHASE COMM'L: Fitch Affirms Various Series 1999-2 Note Ratings
CHOICE ONE: Forms Multi-Year Agreement With New England Patriots
COMMSCOPE INC: Introduces New Enterprise Design Guide

CONE MILLS: Shareholders' Committee Wins ISS Support
COPYTELE: Accumulated Deficit Raises Going Concern Uncertainty
COVANTA ENERGY: Overview of Ogden's Joint Liquidating Plan
CROWN CASTLE: Gets S&P's B- Rating for Planned $1.6B Facility
ECHOSTAR COMMS: DBS Unit Commences $1.5BB Senior Note Offering

ECHOSTAR DBS: S&P Rates Proposed $1.5 Bill. Senior Notes at BB-
ELECTROPURE: July 31 Working Capital Deficit Tops $1.8 Million
ENRON CORP: Court Clears ECT's $11.75M Aircraft Sale to JLT
ENRON CORP: Files Amended Chapter 11 Plan with Bankruptcy Court
EQUITY INNS: Declares Third Quarter Share & Preferred Dividends

FIRST UNION: S&P Hatchets Three Note Classes to Default Level
FIRST VIRTUAL COMMS: Hires David Weinstein as VP of Marketing
GENESIS HEALTH: John Arlotta Named to Lead NeighborCare Inc.
GENOIL INC: Issuing 686K Shares to Close Creditor Settlements
GENTEK INC: Has Until October 8 to Solicit Acceptances of Plan

GENUITY INC: Disclosure Statement Hearing Convening on Sept. 30
GILAT SATELLITE: Will Purchase All Shares of rStar Corporation
GILAT SATELLITE: rStar Receives Notice of Gilat's Purchase Offer
HANGER ORTHOPEDIC: Elects Cynthia L. Feldmann to Board of Direc.
HARRAH'S: Fitch Affirms BB+ Rating over Horshoe Gaming Buy-Out

HOLLYWOOD ENTERTAINMENT: Will Publish Q3 Results on October 13
IFCO SYSTEMS: Proposes Placement of 110 Million Euro Bond
IMP INC: Files for Chapter 11 Protection in N. California Court
IMP INC: Voluntary Chapter 11 Case Summary
INFORMATION ARCHITECTS: Perceptre Independently Valued at $10MM

INTEGRATED DEFENSE: S&P Affirms BB- Corporate Credit Rating
INTERMET: Weaker-Than-Expected Cash Flow Spurs S&P to Keep Watch
INTEGRATED HEALTH: Plan Declared Effective on September 9, 2003
INTERPOOL INC: Will Pay Cash Dividend on Common Stock on Oct. 15
KAISER ALUMINUM: Obtains Nod to Hire Charles River as Consultant

LEGACY HOTELS: Will Participate in Scotia Conference on Wed.
LENNOX INT'L: Will Present at Morgan Stanley Conference Tomorrow
MAJESTIC STAR: Amends Consent Solicitation & Notes Tender Offer
MARYLEBONE ROAD: Class A-3 Rating Cut to Speculative Grade Level
MORRIS PUBLISHING: Reports Improved Second Quarter Performance

MEDICALCV INC: Seeking Additional Financing to Fund Future Ops.
MERITAGE CORP: Prices Add-On Offering of 9.75% Senior Notes
MERRILL LYNCH: S&P Downgrades Class F Notes Rating a Notch to B-
NAT'L CENTURY: Seeks Clearance for Garland Settlement Agreement
NAT'L CONSTRUCTION: Feb. 28 Net Capital Deficit Widens to C$920K

NEXTEL COMMS: Will Redeem All 9.75% and 12% Redeemable Notes
N-VIRO INTERNATIONAL: Red Ink Continued to Flow in 2nd Quarter
PG&E NAT'L: Court Okays Reed Smith as USGen Committee's Counsel
PHILIP SERVICES: Commences CCAA Filing as Part of Reorg. Plan
PRIME HOSPITALITY: Will Release 3rd Quarter Earnings on Oct. 30

PRUDENTIAL SECURITIES: Fitch Affirms Low-B Ratings on 4 Classes
QWEST COMMUNICATIONS: Provides Update on GSA Review Process
RELIANCE: Wants Plan Filing Exclusivity Extended Until Dec. 31
SK GLOBAL: Wants Lease Decision Period Extended to December 22
SOLECTRON: Affirms Q4 Results to Reflect Discontinued Operations

SOUTH STREET CBO: S&P Takes Rating Actions on 1999-1 Notes
TENFOLD CORP: Automates CardioTrac Data Quality Management
TOYS 'R' US: $400 Million Notes Issue Gets Speculative Rating
TYCO INT'L: Will Pay Regular Quarterly Dividend on Nov. 1, 2003
UNITED AIRLINES: Unsecured Committee Hires Wolff as ATSB Counsel

U.S. STEEL: Realigns Corporate Administrative Functions
VIDEO CITY: Fails to Beat Form 10-QSB Filing Deadline
WCI STEEL: Receives Court Approval of First Day Motions
WESTERN WIRELESS: Agrees to Acquire HickoryTech Wireless Assets
WILLIAMS: Allegheny Pays Initial $100MM for Contract Termination

WORLDCOM INC: Obtains Approval to Employ Deloitte as Consultant
ZI CORPORATION: Provides Update on Company Ownership

* President Urged to Maintain Steel Safeguard for Full 3 Years

* BOND PRICING: For the week of September 22 - 26, 2003

                          *********

ACTERNA: S.D.N.Y. Court Approves Sale of Itronix to Golden Gate
---------------------------------------------------------------
Acterna Corporation announced that the U.S. Bankruptcy Court for
the Southern District of New York has approved the previously
announced sale of its subsidiary, Itronix Corporation, to Golden
Gate Capital for $40 million in cash plus the assumption of
certain liabilities. Acterna anticipates that the sale transaction
will close within the next two weeks.

"The Bankruptcy Court's approval of the Itronix sale represents
another important step forward for Acterna, its dedicated
employees and customers," said John Peeler, Acterna's president
and CEO. "Proceeds from this transaction, together with cash on
hand, provide Acterna with ample liquidity to fund its operations
and serve its customers upon emergence from chapter 11 in early
October."

Miller Buckfire Lewis Ying & Co., LLC, financial advisor to
Acterna, advised on the transaction. Weil, Gotshal & Manges LLP
provided legal counsel.

Based in Germantown, Maryland, Acterna Corporation (OTCBB:
ACTRQ.OB) is the holding company for Acterna, da Vinci Systems and
Itronix. Acterna is the world's second largest communications test
and measurement company. The company offers instruments, systems,
software and services used by service providers, equipment
manufacturers and enterprise users to test and optimize
performance of their optical transport, access, cable, data/IP and
wireless networks and services. da Vinci Systems designs and
markets video color correction systems to the video postproduction
industry. Itronix sells ruggedized computing devices for field
service applications to a range of industries. Additional
information on Acterna is available at http://www.acterna.com

Itronix is a world-class developer of wireless, rugged computing
solutions for mobile workers, which distinguishes itself in the
market through its superior implementation capabilities and
supporting services. Itronix has a full range of wireless field
computing systems, from handhelds, to laptops to tablet PCs, in
addition to providing award-winning iCare(TM) Implementation
Services that range from project planning and management to first-
line help desk support. Itronix serves mobile workers in markets
such as commercial field service, telecommunications, utilities,
insurance, government, public safety, and meter reading. Itronix's
worldwide headquarters are located in Spokane, Washington. The
corporation's European operations, Itronix Ltd., are located in
Coventry, U.K., with sales operation offices in Frankfurt, Germany
and Paris, France. Additional information is available on the
Itronix web site at http://www.itronix.com


ACTIVE LINK COMM: Voluntary Chapter 7 Case Summary
--------------------------------------------------
Debtor: Active Link Communication Inc.
        1840 Centre Point Circle
        Naperville, Illinois 60563
        dba Communications World International Inc.

Bankruptcy Case No.: 03-37869

Type of Business: The Debtor operates a distribution network for
                  telecommunications products and sevices through
                  franchises under the CommWorld name and company-
                  owned outlets.

Chapter 7 Petition Date: September 15, 2003

Court: Northern District of Illinois (Chicago)

Judge: John H. Squires

Debtor's Counsel: Mark E. Leipold, ESq.
                  Gould & Ratner
                  222 N Lasalle St
                  #800
                  Chicago, IL 60601
                  Tel: 312-236-3003

Total Assets: $828,000

Total Debts: $15,375,000


AE SUPPLY: Pays Williams Initial $100M to Terminate Tolling Pact
----------------------------------------------------------------
Allegheny Energy Supply Company, LLC, a subsidiary of Allegheny
Energy, Inc. (NYSE: AYE), and its Allegheny Trading Finance unit
today paid the initial $100-million installment under an agreement
to terminate its 1,000-megawatt (MW) tolling agreement with
Williams Power Company, Inc., a unit of Williams (NYSE: WMB).

The termination of this tolling agreement, along with the recently
completed sale of ATF's energy supply contract with the California
Department of Water Resources and the termination of a second
tolling agreement, are part of Allegheny's strategy to exit the
western energy markets and refocus on its core assets.

As previously announced on August 1, 2003, Allegheny will suspend
payments under the Williams tolling agreement as of this initial
payment. Following the initial payment, Allegheny will pay
Williams two $14-million installments -- one 6 months after the
initial payment and the other 12 months after the initial payment.
Termination of the tolling agreement will occur when the final
$14-million payment is made.

Allegheny Energy (Fitch, BB-/B+/B Bank Facility Ratings, Evolving)
is an integrated energy company with a balanced portfolio of
businesses, including Allegheny Energy Supply, which owns and
operates electric generating facilities and supplies energy and
energy-related commodities, and Allegheny Power, which delivers
low-cost, reliable electric and natural gas service to about three
million people in Maryland, Ohio, Pennsylvania, Virginia, and West
Virginia. More information about the Company is available at
http://www.alleghenyenergy.com


AIR CANADA: Discloses Compensation to Retained Professionals
------------------------------------------------------------
Sharon Hamilton, Vice President of Ernst & Young Inc., reports
the estimate of accrued and unpaid fees and disbursements to Air
Canada professionals as of July 15, 2003:

Professional              Function                    Total Fees
------------              --------                    ----------
Ernst & Young Inc.        Monitor                     C$643,620
Lenczner Slaght Royce     Counsel to the Monitor       C$87,718
   Smith Griffin
Stikeman Elliott          Counsel to Air Canada       C$586,966
Blank Rome                U.S. counsel to Monitor       $10,569
Willkie Farr & Gallagher  U.S. counsel to Air Canada    $20,200

The Monitor is not aware of any actual or threatened lawsuits
against the firms in their Air Canada CCAA professional capacity,
Ms. Hamilton tells Mr. Justice Farley. (Air Canada Bankruptcy
News, Issue No. 12; Bankruptcy Creditors' Service, Inc., 609/392-
0900)


AK STEEL: Names James L. Wainscott Acting Chief Exec. Officer
-------------------------------------------------------------
AK Steel Holding Corporation (NYSE: AKS) said that by mutual
agreement with the company's board of directors, Richard M.
Wardrop, Jr., chairman and CEO, and John G. Hritz, president, have
resigned from their positions with the company, effective
immediately.  The board said it had named James L. Wainscott, 46,
acting CEO, effective immediately.  Mr. Wainscott is senior vice
president and CFO for AK Steel.  Mr. Wainscott joined the company
in 1995 as vice president and treasurer.

AK Steel said that its board has formed an executive committee,
comprised of independent directors Robert H. Jenkins, Lawrence A.
Leser and Eugene A. Renna.  The committee, which will be chaired
by Mr. Jenkins, will provide corporate oversight and facilitate
interaction with executive management. Mr. Jenkins also said the
board of directors has begun the search for a new CEO, led by
board member Donald V. Fites with the assistance of an executive
search firm.

"The board appreciates Dick's leadership of AK Steel over the last
decade, during which time he led the company to industry
leadership in virtually every significant measure.  Likewise, John
has served AK Steel and its predecessors since 1989, providing
valuable leadership and enormous dedication to the organization,"
said Mr. Jenkins.

"The board simply believes that now is the time for a new
perspective to address the company's current challenges," Mr.
Jenkins continued.  "Despite continuing difficult market
conditions, the board of directors believes AK Steel is a strong
franchise with outstanding products, solid customer relationships
and a talented management team.  We are extremely confident in Jim
Wainscott's leadership stepping into the acting CEO role during
this important time," he said.

"We have already taken many positive actions to address the
challenges we face, and I look forward to the support of the
entire organization in returning AK Steel to a level of
performance commensurate with our potential," said Mr. Wainscott.

AK Steel produces flat-rolled carbon, stainless and electrical
steel products for automotive, appliance, construction and
manufacturing markets, as well as tubular steel products.  The
company has about 10,000 employees in plants and offices in
Middletown, Coshocton, Mansfield, Walbridge and Zanesville, Ohio;
Ashland, Kentucky; Rockport and Columbus, Indiana; and
Butler, Pennsylvania.  In addition, the company produces snow and
ice control products and operates an industrial park on the
Houston, Texas ship channel.

As reported in Troubled Company Reporter's July 24, 2003 edition,
Standard & Poor's Ratings Services lowered its corporate credit
ratings on integrated steel producer AK Steel Corp., and its
parent, AK Steel Holding Corp., to 'B+' from 'BB-' based on the
company's weaker than expected financial performance.

The current outlook is negative. Middleton, Ohio-based AK Steel
has about $1.3 billion in total debt.


ALAMOSA: Sets Conference Call Today to Discuss Exchange Offer
-------------------------------------------------------------
Alamosa Holdings, Inc. (OTC Bulletin Board: ALMO), the largest
(based on number of subscribers) PCS Affiliate of Sprint (NYSE:
FON PCS), which operates the largest all-digital, all-CDMA Third-
Generation (3G) wireless network in the United States, announced
the Company's senior management will hold a conference call today,
at 4:30 p.m. Eastern, to discuss Alamosa's exchange offer for its
public indebtedness which commenced on September 12, 2003. Alamosa
management will make a brief presentation and hold a brief
question and answer session for investors following their remarks.

                 Conference Call Details

Alamosa has scheduled a conference call, which will be broadcast
live over the Internet, on Monday, September 22, 2003, at 4:30
p.m. Eastern Time. Alamosa will post the management presentation
on its web site at 3:00 p.m. Eastern Time on Monday, September 22,
2003.  Investors, analysts and the general public will also have
the opportunity to listen to the conference call free over the
Internet by visiting the company's Web site at
http://www.alamosapcs.comor http://www.companyboardroom.com

To listen to the live call online, please visit the Web site at
least 15 minutes early to register, download and install any
necessary audio software.  A replay of the conference call and
presentation will be available through midnight on October 10,
2003, on the Company's web site.  A telephonic replay will be
available beginning at 8:30 p.m. on September 22, 2003, by dialing
888-203-1112 and entering the passcode #563299.

Alamosa Holdings, Inc. is the largest PCS Affiliate of Sprint
based on number of subscribers.  Alamosa has the exclusive right
to provide digital wireless mobile communications network services
under the Sprint brand throughout its designated territory located
in Texas, New Mexico, Oklahoma, Arizona, Colorado, Utah,
Wisconsin, Minnesota, Missouri, Washington, Oregon, Arkansas,
Kansas, Illinois and California.  Alamosa's territory includes
licensed population of 15.8 million residents.

Sprint operates the largest, 100-percent digital, nationwide
wireless network in the United States, serving more than 4,000
cities and communities across the country.  Sprint has licensed
PCS coverage of more than 280 million people in all 50 states,
Puerto Rico and the U.S. Virgin Islands.  In August 2002, Sprint
became the first wireless carrier in the country to launch next
generation services nationwide delivering faster speeds and
advanced applications on PCS Vision Phones and devices.  For more
information on products and services, visit
http://www.sprint.com/mr  PCS is a wholly-owned tracking stock of
Sprint Corporation trading on the NYSE under the symbol
"PCS."  Sprint is a global integrated communications provider
serving more than 26 million customers in over 100 countries.
With approximately 70,000 employees worldwide and nearly $27
billion in annual revenues, Sprint is widely recognized for
developing, engineering and deploying state-of-the art network
technologies.

As reported in the Troubled Company Reporter's September 18, 2003
edition, Standard & Poor's Ratings Services lowered its ratings on
Alamosa Holdings Inc. (an affiliate of Sprint PCS) and related
entities following the company's announcement of its financial
restructuring plan. All ratings for Alamosa were placed on
CreditWatch with negative implications. The corporate credit
rating on Alamosa is 'CC'.

The actions are based on Alamosa's proposed financial
restructuring plan, which includes an offer to exchange $650 in
new senior notes and $250 in convertible preferred stock for
$1,000 in accreted value of all of the company's existing bonds.
The deal also proposes a prepackaged Chapter 11 reorganization
plan that would be executed if at least 97% of bondholders do not
consent to the exchange offering. In the event of a Chapter 11
reorganization, bondholders are expected to receive the same
consideration as in the previously described exchange offer.


ALARIS MEDICAL: Signs New Five-Year Contract with Premier Inc.
--------------------------------------------------------------
ALARIS Medical Systems Inc. (AMEX:AMI) has signed a five-year,
multisource contract with Premier Inc., one of the nation's
largest healthcare alliances. This new contract extends the
company's existing and long-standing supply relationship with
Premier and will include medication safety systems, including the
company's market-leading Medley(TM) Medication Safety System with
its Guardrails(R) Safety Software. The new contract takes effect
on Feb. 1, 2004 with the expiration of the contract currently in
place between ALARIS Medical Systems and the more than 1,500
hospitals included in the Premier buying alliance.

The contract includes the newest additions to the Medley(TM)
System, the Medley(TM) Syringe Module, the Guardrails(R) Clinical
Advisories feature and advanced data reporting capabilities. In
addition, the contract includes ALARIS Medical Systems' Signature
Edition(R) GOLD Infusion System, as well as associated dedicated
and non-dedicated disposable products.

The Medley(TM) Syringe Module provides precise delivery of
concentrated drugs. With the addition of the Medley(TM) Syringe
Module, ALARIS Medical Systems is the only provider of error-
prevention software in a modular point-of-care computer system
that includes syringe delivery, large volume infusion therapy and
monitoring in a single platform.

In addition to the Medley(TM) Syringe Module, the new Premier
contract includes the Guardrails(R) Clinical Advisories feature.
This provides clinical messages that appear on the Medley(TM)
System screen and provide additional information, customized by
the institution, on the safe infusion of selected drugs. This and
other unique features of the Medley(TM) Medication Safety System
and the Guardrails(R) Safety Software provide hospitals and health
care systems with a comprehensive medication error reduction
infusion system to help them reduce the potential for patient
harm.

ALARIS Medical Systems Inc. (S&P/BB-/Positive), develops practical
solutions for medication safety. The company designs, manufactures
and markets intravenous medication delivery and infusion therapy
devices, needle-free disposables and related monitoring equipment
in the United States and internationally. ALARIS Medical Systems'
proprietary Guardrails(R) Safety Software, its other "smart"
technologies and its "smart" services help to reduce the risks and
costs of medication errors, help to safeguard patients and
clinicians and also gather and record clinical information for
review, analysis and transcription. The company provides its
products, professional and technical support and training services
to over 5,000 hospital and health care systems, as well as
alternative care sites, in more than 120 countries through its
direct sales force and distributors. With headquarters in San
Diego, ALARIS Medical Systems employs approximately 2,900 people
worldwide. Additional information on the company can be found at
http://www.alarismed.com


ALPHARMA: Court Backs Challenge to Competitive Product Claims
-------------------------------------------------------------
Alpharma Inc. announced that a recent federal court judgment
supports an earlier finding by the Food & Drug Administration that
the FDA has no record of approval for certain product claims made
by PennField Oil Co. for its bacitracin methylene disalicylate
product, a medicated feed additive for livestock and poultry.

Alpharma is the sole manufacturer of bacitracin methylene
disalicylate, sold under the registered trademark BMD, in the U.S.
market entitled to make the full range of FDA-approved claims for
performance important to producers of swine and poultry.  Earlier
this year, Alpharma sued the FDA in the U.S. District Court for
the District of Maryland over the scope of label claims PennField
is making for its product.

"Alpharma sees this swift federal court action supporting the
FDA's limit on the claims our competitor can make as an important
victory, not only for our proprietary, fully FDA-approved product,
but more importantly for our customers, who deserve and expect
accurately and legally labeled animal health products," said Carol
Wrenn, President, Alpharma Animal Health.  "We are confident that
FDA and state feed control regulators will take all appropriate
enforcement actions against improperly labeled products in the
marketplace based on this court decision and recent FDA actions,"
she said.

Alpharma Inc. (NYSE: ALO) (S&P, BB- Corporate Credit and Senior
Secured Debt Ratings) is a growing specialty pharmaceutical
company with expanding global leadership positions in products for
humans and animals. Uniquely positioned to expand internationally,
Alpharma is presently active in more than 60 countries.  Alpharma
is the #5 manufacturer of generic pharmaceutical products in the
U.S., offering solid, liquid and topical pharmaceuticals.  It is
also one of the largest manufacturers of generic solid dose
pharmaceuticals in Europe, with a growing presence in Southeast
Asia.

Alpharma is among the world's leading producers of several
important pharmaceutical-grade bulk antibiotics and is
internationally recognized as a leading provider of pharmaceutical
products for poultry, swine, cattle, and vaccines for farmed-fish
worldwide.


AMERCO: U.S. Trustee Appoints Equity Security Holders Committee
---------------------------------------------------------------
Pursuant to Section 1102 of the Bankruptcy Code, William T.
Neary, U.S. Trustee for Region 17, appoints these equity security
holders the Official Committee of Equity Security Holders of
AMERCO's Chapter 11 cases:

   1. Heartland Advisors, Inc.
      789 N. Water Street
      Milwaukee WI 53202
      414-347-7777/fax 414-347-0937
      Represented by: Eric Miller -- Chairman

   2. Summit Capital Management, LLC
      601 Union Street, Suite 3900
      Seattle, WA 98101
      206-467-1268/fax 206-447-6204
      Represented by: Matt Rudolf

   3. AMERCO Employee Savings, Profit Sharing and Employee Stock
      Ownership Plan
      c/o Kenneth B. Segel
      9 Washington Square
      Albany, NY 12205
      518-452-0941/fax 518-452-0417
      Represented by: Peter Landis
(AMERCO Bankruptcy News, Issue No. 7; Bankruptcy Creditors'
Service, Inc., 609/392-0900)


AMR CORP: S&P Assigns Junk CCC Rating to $300MM Sr. Unsec. Notes
----------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'CCC' rating to
AMR Corp.'s (B-/Negative/--) $300 million 4.25% senior unsecured
convertible notes due 2023, a Rule 144a offering.

"Issuance of the convertible notes bolsters further AMR's
liquidity, with unrestricted cash now estimated at over $2.5
billion, more than double the level in April 2003, when the
company nearly filed for bankruptcy," said Standard & Poor's
credit analyst Philip Baggaley. AMR and its principal operating
subsidiary, American Airlines Inc. (B-/Negative/--), were
upgraded to current levels June 20, 2003, based on expected
earnings and cash flow improvement as a result of the April 2003
cost-saving agreements with American's labor groups. AMR remains
highly leveraged and vulnerable to any further airline industry
revenue deterioration, but near-term liquidity is much improved.

The annual $1.8 billion of labor concessions over five years and
about $200 million of added concessions from suppliers and private
lessors and creditors will materially improve American's operating
cost structure, narrowing the airline's losses and restoring
modestly positive operating cash flow over the next several
quarters. AMR reported a second-quarter pretax loss, before
special items (mostly a credit for federal airline aid) of $357
million, about half the $720 million pretax loss in the second
quarter of 2002. Operating results improved sharply during the
quarter, driven by a recovery in traffic as the Iraq war wound
down and the phasing in of labor cost concessions. Cost per
available seat mile improved sharply for American, to 9.5 cents in
June from about 11 cents in April. Still, the airline continues to
face a weak revenue environment and AMR carries a consolidated
total of $22 billion of debt and leases plus $6 billion of
unfunded pension and retiree medical obligations, leaving the
companies' financial condition improved but still fragile.

The labor and supplier savings are in addition to an ongoing
program to lower other, nonlabor costs by an eventual $2 billion
annually (for a total of about $4 billion of financial
improvements), compared with pre-Sept. 11, 2001, expenses.
Management states that about $900 million of these additional $2
billion of nonlabor savings were already reflected in
2002 results, and acknowledges that cost inflation will offset
part of the expected future savings.

AMR's financial turnaround is dependent on an expected gradual
improvement in airline industry revenues, but a further setback
caused by terrorism or other events could place renewed pressure
on liquidity and prompt a downgrade.


ANTARES PHARMA: Hosting Conference Call Today at 2:00 p.m.
----------------------------------------------------------
Antares Pharma, Inc. (OTC Bulletin Board: ANTR) announced that it
would host a conference call for investors and analysts today, at
2:00 p.m. (Eastern time).

Antares Pharma has recently announced new financing for the
Company, the conversion of all debt into Company stock, and the
signing of a technology license agreement with a global
pharmaceutical company.  The conference call will position these
changes in relation to the Company's business model, technology
platforms, future strategy and financial plans. Dr. Roger G.
Harrison, CEO and President, and Lawrence M. Christian, CFO, of
the Company, will host the call.

Analysts and investors can participate in the conference call by
dialing 877-407-9205 (201-689-8054 for international parties).

Other interested parties can access a live audio-only Web
broadcast through a link that will be posted on Antares Pharma's
Web site at http://www.antarespharma.com  Replay of the Web
broadcast will be available until November 23, 2003.  Replay via
telephone is also available until September 29, 2003, by dialing
877-660-6853 (201-612-7415 for international parties).  Both
the account number (1628) and the confirmation number (77129) are
required for telephonic playback.

Antares Pharma -- whose June 30, 2003 balance sheet shows a total
shareholders' equity deficit of about $6 million -- develops
pharmaceutical delivery systems, including needle-free and mini-
needle injector systems and transdermal gel technologies.  These
delivery systems are designed to improve both the efficiency of
drug therapies and the patient's quality of life.  The Company
currently distributes its needle-free injector systems in more
than 20 countries.  In addition, Antares Pharma conducts research
and development with transdermal gel products and currently has
several products in clinical evaluation with partners in the US
and Europe.  The Company is also conducting ongoing research to
create new products that combine various elements of the Company's
technology portfolio. Antares Pharma has corporate headquarters in
Exton, Pennsylvania, with manufacturing and research facilities in
Minneapolis, Minnesota, and research
facilities in Basel, Switzerland.


ARGO-TECH: Affirmed B+ Corp. Credit Rating Placed on Watch Neg.
---------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its ratings, including
the 'B+' corporate credit rating, on aerospace supplier Argo-Tech
Corp. and removed them from CreditWatch, where they were placed on
March 18, 2003. The outlook is negative.

"The affirmation reflects a stabilized, albeit weak, financial
profile and a growing military business mitigating the impact of
the weak commercial aerospace market," said Standard & Poor's
credit analyst Christopher DeNicolo.

The ratings on Cleveland, Ohio-based Argo-Tech reflect
participation in the cyclical commercial aerospace industry and
high financial risk due to a sizable debt load. Those factors
overshadow the company's established positions in niche markets
and solid profit margins. The firm is the world's largest supplier
of main engine fuel pumps, which are used in approximately two-
thirds of large commercial aircraft in service. Argo-Tech also has
leading positions in commercial and military airframe fuel pumps
and valves, aerial refueling components installed on U.S.
military aircraft, and components for ground fueling systems for
major commercial airports.

The firm derives around half of its revenues from the higher-
margin aftermarket, which is still being affected by the stalled
recovery in air traffic. In the wake of the Sept. 11, 2001,
events, a soft global economy, SARS, and the war in Iraq, the most
pronounced adverse effect has been on orders and deliveries of new
jetliners, which is not expected to improve until 2006. However,
this segment represents less than 15% of the company's revenues. A
growing military business and increasing contributions from
industrial activities partly offset the commercial aerospace
revenue declines, but at lower margins. Future growth programs
for Argo-Tech include Boeing's 767 aerial refueling tanker and its
proposed 7E7 airliner, if these programs proceed as expected.

Although revenue and earnings have been adversely affected by
difficult conditions in the airline and commercial aircraft
sectors, cost-reduction initiatives have enabled Argo-Tech to
maintain operating margins in the mid-20% range. In addition,
despite the pressure on earnings, the company has been able to
repay over $30 million in debt since October 2001. In the near
term, Standard & Poor's expects debt to EBITDA to be around 6x,
with EBITDA and EBIT interest coverages around 2.0x and 1.5x,
respectively. Improvement in credit protection measures is
dependant on the recovery in the commercial aviation market,
especially demand for aftermarket parts and services.

A difficult operating environment, coupled with a heavy debt
burden and somewhat constrained liquidity, will challenge
management to strengthen credit protection measures to a level
consistent with current expectations. Failure to do so could lead
to a downgrade.


ARMSTRONG HLDGS: Wants Court Nod for Further DIP Loan Amendment
---------------------------------------------------------------
Debtors Armstrong World Industries, Inc., Nitram Liquidators,
Inc., and Desseaux Corporation of North America, ask Judge Newsome
to approve a further amendment of the Revolving Credit and
Guaranty Agreement with JPMorgan Chase Bank, formerly known as The
Chase Manhattan Bank, as agent for itself and a syndicate of
financial institutions.  The Debtors also seek the Court's
permission to pay the Lenders' fees in connection with the
amendment.

Rebecca L. Booth, Esq., recounts that the parties previously
agreed to amend the DIP Facility to lower the commitment from $400
million to $75 million, eliminate the revolving credit borrowing
feature and limit the commitments under the DIP Facility to
issuances of letters of credit, eliminate unnecessary reporting,
reduce the administrative fees charged by JPMorgan Chase, and
extend the Maturity Date to December 8, 2003.

Ms. Booth reports that, as of June 30, 2003, AWI had $192.6
million in cash and cash equivalents, excluding cash held by its
non-debtor subsidiaries.  In the ordinary course of business, AWI
has asked the Lenders from time to time to issue standby and
import documentary letters of credit.  Currently, standby letters
of credit in the aggregate face amount of approximately $31.7
million have been issued.

AWI believes that cash on hand and generated from operations and
dividends from its subsidiaries, together with lines of credit and
the DIP Facility, will be adequate to address its foreseeable
liquidity needs -- but because the Lenders are not required to
issue letters of credit that expire after the present Maturity
Date, AWI must extend the Maturity Date for it to continue to be
able to post letters of credit in the ordinary course of its
business.

            The New Maturity Date -- December 2004

AWI as Borrower, Nitram and Desseaux as Guarantors, and the
Lenders, led by JPMorgan Chase, agree to extend the Maturity Date
to December 8, 2004, and to sign an amended Fee Letter.

                         The Fees

Under the amended Fee Letter, AWI will pay JPMorgan Chase for its
own account and for the account of each bank participant an
amendment fee in an amount equal to 1/10 of 1% of the Commitment
of each Lender; provided, however, that AWI will only become
obligated to pay the fee if AWI's Plan has not been confirmed by
April 30, 2004.

Under a separate amended fee letter with JPMorgan Chase, AWI will
pay $50,000 as consideration for arrangement of the amendment, but
again, AWI will only become obligated to pay the fee if AWI's Plan
has not been confirmed by April 30, 2004. (Armstrong Bankruptcy
News, Issue No. 47; Bankruptcy Creditors' Service, Inc., 609/392-
0900)


AVOTUS: RoyNat Capital Acquires Additional 7.18% Equity Stake
-------------------------------------------------------------
RoyNat Capital Inc. purchased an aggregate of 1,118,750 common
shares of Avotus Corporation (TSX VEN: AVS) at a price of $0.10
per common share from another party by private agreement on
September 8, 2003.

The 1,118,750 common shares acquired by RoyNat represent
approximately 7.18% of the issued and outstanding common shares of
Avotus. Prior to the transaction, RoyNat owned 709,592 common
shares, representing approximately 4.56% of the issued and
outstanding common shares.

In addition, RoyNat owns $750,000 aggregate principal amount of
series A convertible debentures of Avotus and $913,161 aggregate
principal amount of series B convertible debentures of Avotus.
According to the interim financial statements of Avotus for the
period ended June 30, 2003, there is outstanding $6,000,000
aggregate principal amount of Series A Debentures and $2,113,161
aggregate principal amount of Series B Debentures, the outstanding
Debentures not held by RoyNat are held by a party unrelated to
RoyNat, and the Other Debentureholder has an option to invest in
Series B Debentures an additional aggregate principal amount of up
to $4,800,000.

The Debentures held by RoyNat were issued by Avotus to RoyNat on
April 21, 2003, have a term of three years (subject to extension
for a further two years at RoyNat's option), do not bear interest,
may be demanded by RoyNat at any time, and are convertible into
either common shares of Avotus or series A preferred shares of
Avotus, which are then convertible into common shares of Avotus,
at a price equal to the greater of (i) $0.16 per share and (ii)
the lesser of (a) the market price of the common shares at the
time of conversion and (b) $0.16 per share for the first two years
of the term, increasing by 10% per share in each of the following
years.

On the date hereof, the Debentures held by RoyNat are convertible
into an aggregate of 10,394,756 common shares and the Debentures
held by the Other Debentureholder are convertible into an
aggregate of 40,312,500 common shares.

As a result of RoyNat's acquisition of 1,118,750 common shares,
RoyNat owns 1,828,342 common shares, representing approximately
11.74% of the issued and outstanding common shares of Avotus as of
September 8, 2003. Giving effect to the conversion of the
Debentures held by RoyNat into an additional 10,394,756 common
shares (but not the conversion of any other securities issued by
Avotus), RoyNat would own, as a result of its acquisition of
1,118,750 common shares, a total of 12,223,098 common shares,
representing approximately 47.07% of the then issued and
outstanding common shares of Avotus. Giving effect to the
conversion of the Debentures held by each of RoyNat and the Other
Debentureholder (but not the conversion of any other securities
issued by Avotus), RoyNat would own, as a result of its
acquisition of 1,118,750 common shares, common shares representing
approximately 18.44% of the then issued and outstanding common
shares of Avotus.

The common shares of Avotus were acquired for investment purposes.
RoyNat does not currently intend to acquire additional shares of
Avotus. RoyNat's investment in the Debentures and common shares of
Avotus will be reviewed on a continuing basis and such holdings
may be increased or decreased in the future.

RoyNat Capital Inc., an indirect wholly owned subsidiary of  the
Bank of Nova Scotia, was founded in 1962 and today is Canada's
leading merchant bank that specializes in building successful mid-
sized companies with solution-based merchant banking services.

                          *   *   *

As previously reported, the Company retained the services of the
investment banking firm Sokoloff & Company to assist the
management team and Board of Directors in exploring a full range
of strategic options for the Company. Avotus' goal is to enhance
business value through a potential strategic alliance, through
joint venture, merger, acquisition or otherwise.

"Avotus' business strategy is to broaden our product line in the
wireless and Voice over IP markets. At the same time as we are
exploring our financing options, we want to look at all
strategic options to grow our business and strengthen our
competitive advantage" said Fred Lizza, President and CEO of
Avotus.

"Over the past several quarters, Avotus has streamlined its
operations, increased financial efficiencies across all levels
of the organization and generated profits from operations. These
accomplishments have been significant, especially when viewed
against a backdrop of challenging global economic conditions and
the volatile state of the telecommunications marketplace in
which Avotus competes. Based on these facts, we believe it is
appropriate for Avotus to explore all strategic options
available to broaden the market penetration of our
communications cost management applications, increase revenues
and accelerate our strategy to achieve profitability and
sustained long term growth," said Lizza.


BAUSCH & LOMB: Zarrella Will Present at UBS Conference Today
------------------------------------------------------------
Bausch & Lomb (NYSE:BOL) Chairman and Chief Executive Officer
Ronald L. Zarrella will present an overview of the Company's
operations at the UBS Global Life Sciences Conference in New York
City today.

The presentation will be available on the Investor Relations page
of the Company's Web site -- http://www.bausch.com-- after the
conference.

Bausch & Lomb (Moody's, Ba1 Senior Notes Rating) is the eye health
company, dedicated to perfecting vision and enhancing life for
consumers around the world. Its core businesses include soft and
rigid gas permeable contact lenses and lens care products, and
ophthalmic surgical and pharmaceutical products. The Bausch & Lomb
name is one of the best known and most respected healthcare brands
in the world. Celebrating its 150th anniversary in 2003, the
Company is headquartered in Rochester, New York. Bausch & Lomb's
2002 revenues were $1.8 billion; it employs approximately 11,500
people worldwide and its products are available in more than 100
countries. More information about the Company can be found on the
Bausch & Lomb Web site at http://www.bausch.com


BETHLEHEM STEEL: Solicitation Exclusivity Extended to October 31
----------------------------------------------------------------
Pursuant to Section 1121(d) of the Bankruptcy Code, the Bethlehem
Steel Debtors sought and obtained a Court order extending their
Exclusive Solicitation Period to October 31, 2003, without
prejudice to their right to seek additional extensions.

George A. Davis, Esq., at Weil, Gotshal & Manges, LLP, in New
York, asserts that the extension will provide the Debtors with a
fair opportunity to solicit acceptances to the Plan.

Mr. Davis assures the Court that the extension is not meant to
delay the Chapter 11 cases for some speculative event or to
pressure creditors to accede to a plan unsatisfactory to them,
but merely to provide enough time for the Debtors to seek
acceptances to the consensual Plan already filed.

Mr. Davis remarks that the Debtors have sufficient liquidity and
are paying their postpetition bills as they come due.  This is
unlikely to change given the reduced levels of the Debtors'
obligations compared to funds available to them from the proceeds
of the ISG Sale.

Through prudent business decisions and cash management, the
Debtors expect to have sufficient liquidity to continue through
confirmation and consummation of the Plan.  Thus, the Debtors are
managing their remaining assets effectively and are preserving
the value of their assets for the benefit of creditors. (Bethlehem
Bankruptcy News, Issue No. 42; Bankruptcy Creditors' Service,
Inc., 609/392-0900)


BEVERLY ENTERPRISES: Plans to Enter into $225MM Credit Facility
---------------------------------------------------------------
Beverly Enterprises, Inc. (NYSE:BEV) plans to enter into a new
$225 million senior secured credit facility -- including a $75
million revolver and a $150 million term loan -- with a syndicate
of lenders.

In addition, the company expects to raise approximately $100
million in the form of subordinated notes on terms and conditions
to be determined. If Beverly is able to successfully complete both
financings, the company anticipates using the proceeds of the
senior secured credit facility and subordinated notes primarily to
pay existing indebtedness, including but not limited to $180
million of its Senior Notes due 2006.

Offerings of the subordinated notes will be made only by means of
a prospectus supplement to be filed under Beverly's existing shelf
registration statement. Copies of the base prospectus for the
existing shelf registration may be obtained from the company.

Beverly Enterprises, Inc. and its operating subsidiaries comprise
a leading provider of healthcare services to the elderly in the
United States. They operate 423 skilled nursing facilities, as
well as 22 assisted living centers, and 23 home care and hospice
centers. Through AEGIS Therapies, they also offer rehabilitative
services on a contract basis to nursing facilities operated by
other care providers.


BEVERLY ENTERPRISES: S&P Assigns BB Rating to $225M Secured Loan
----------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'BB-' corporate
credit rating and 'B+' senior unsecured rating on Beverly
Enterprises Inc. and assigned its 'BB' rating to the company's
proposed $225 million secured credit facility. The facility
comprises a $75 million revolving credit facility due 2007 and a
$150 million term loan B due 2008.

At the same time, Standard & Poor's assigned its 'B' rating to
Beverly's proposed $100 million subordinated notes, subject to
review of final terms. Proceeds from the notes will be used to
refinance existing debt and for general corporate purposes.

The secured bank loan is rated one-notch higher than the corporate
credit rating. The bank facility is secured by first priority
security interests in certain tangible assets. According to
Standard & Poor's review of the collateral package in a distressed
default scenario, the estimated asset value offers a strong
likelihood of full bank debt recovery in the event of default.

"The speculative-grade ratings on Beverly Enterprises Inc. reflect
the difficulties it faces in an industry that has been hampered by
reimbursement cuts and rapidly escalating insurance costs," said
Standard & Poor's credit analyst David Peknay. "The rating also
reflects Standard & Poor's expectation that the company's
turnaround efforts, including significant asset sales to reduce
its substantial patient liability costs, will achieve a measure of
success."

Fort Smith, Arkansas-based Beverly Enterprises, operating 423
skilled nursing facilities and 22 assisted-living facilities, is
one of the largest operators of nursing homes in the U.S. The
company's efforts to improve its financial performance and reduce
vulnerability to key industry risks have included the divestiture
of about 100 nursing homes since December 2001, including 49 in
patient liability plagued Florida. The company expects to complete
additional asset divestitures in the next 6-12 months,
concentrating primarily on facilities that pose disproportionately
high patient liability risk. The company has used the proceeds of
these sales for debt reduction and will continue to do so.


BEVERLY ENTERPRISES: Fitch Rates New Sr. Secured Facility at BB
---------------------------------------------------------------
Fitch Ratings has assigned a 'BB' rating to Beverly Enterprises,
Inc.'s new $225 million senior secured bank facility. The new bank
facility includes a $75 million, 4-year revolving credit facility
and a $150 million, 5-year term loan B facility. In addition,
Fitch has assigned a 'B+' rating to Beverly's planned $100 million
subordinated notes issue. Fitch has also affirmed the company's
existing 'BB-' senior unsecured debt rating. While the company is
not expected to immediately draw on the revolver, proceeds from
the term loan and notes sale are expected to be used primarily to
repay existing indebtedness, including the company's $180 million
senior notes due 2006. The Rating Outlook is Stable.

Fitch believes that Beverly's 2003 profitability will likely be
negatively impacted by the loss of Medicare givebacks (the
Medicare Cliff) and increased insurance costs/reserves. The
divestiture plan announced in Q3 '02 is intended to improve
profitability by unwinding those facilities that account for a
disproportionately high share of the company's patient care
liability exposure. Beverly's strategy is to divest those
facilities that are currently expected to account for more than 50
percent of the company's 2003 patient care liability costs.
Profitability should improve beginning in October 2003 as
facilities that represent significant portions of the company's
liability cost are divested and with increased Medicare
reimbursement beginning at the start of the federal fiscal year
2004 (October 1, 2003).

On June 30, 2003, Beverly successfully completed the sale of the
first tranche of facilities it intends to sell. During the first
six months of 2003, Beverly primarily used disposition proceeds to
reduce debt by $107 million on top of a $154 million reduction in
2002. Debt reductions included paying off of $112 million of off-
balance sheet, synthetic lease arrangements. Beverly's success in
selling this first tranche, which included a large portion of
homes with high patient liability costs, is a positive indicator
regarding the company's ability to consummate future asset sales
and demonstrates the existence of a viable market for Beverly
facilities. Fitch anticipates leverage will continue to moderate
as additional divestiture proceeds are used to reduce debt levels.

Concerns include the company's continued reliance on government
funded reimbursement for the majority of its revenue, and
increasing labor and insurance costs. Additionally, while
Beverly's credit profile will be enhanced through de-leveraging
with funds from asset sales, Fitch notes that free cash flow (cash
from operations less capital expenditures) will be modest.


BIOMERICA INC: Needs Additional Financing to Continue Operations
----------------------------------------------------------------
Biomerica, Inc. and Subsidiaries are primarily engaged in the
development, manufacture and marketing of medical diagnostic kits
and the design, manufacture and distribution of various
orthodontic products. The Company has operating and liquidity
concerns due to historically reporting net losses and negative
cash flows from operations. Biomerica's shareholder's line of
credit expired on September 13, 2003 and will not be renewed. The
unpaid principal and interest will be converted into a note
payable bearing interest at 8% and payable in monthly installments
over four years.

Biomerica has suffered substantial recurring losses from
operations over the last couple of years. Biomerica has funded its
operations through debt and equity financings, and may have to do
so in the future. ReadyScript operations were discontinued in May
2001 and Allergy Immuno Technologies, Inc. was sold in May 2002.
ReadyScript and Allergy Immuno Technologies, Inc. were
contributors to the Company's losses in the fiscal year 2003. The
Company reduced operating costs through certain cost reduction
efforts and plans to concentrate on its core business in Lancer
and Biomerica to increase sales. Additional cost reductions were
made in the first quarter of fiscal 2004. Management believes that
cash flows from operations and its available credit coupled with
reduced costs and anticipated increased sales will enable the
Company to fund operations for at least the next twelve months.

The Company will continue to have limited cash resources. Although
the Company's management recognizes the imminent need to secure
additional financing there can be no assurance that the Company
will be successful  in consummating any such transaction or, if
the Company does consummate such a transaction, that the terms and
conditions of such financing will not be unfavorable to it. The
failure by the Company to obtain additional financing will have a
material adverse effect on the Company and likely result in their
inability to continue as a going concern.

Biomerica's independent certified public accountants have
concluded that there is substantial doubt as to the Company's
ability to continue as a going concern for a reasonable period of
time, and have, therefore modified their report in the form of an
explanatory paragraph describing the events that have given rise
to this uncertainty.


BNS CO.: Brings-In Legacy Partners as Investment Advisors
---------------------------------------------------------
BNS Co. (OTCBB:BNSXA) has engaged Legacy Partners Group, LLC to
advise the Company as it considers various strategic alternatives
open to it following the sale of its Rhode Island Property for
$20.2 million on August 26, 2003.

The decision to hire an investment advisor was made at a meeting
of the Board of Directors on September 3, 2003, a week after
completion of the sale. Legacy Partners is a New York based
investment bank focused on serving middle market companies with
offices at 375 Park Avenue, New York City, New York --
http://www.legacypartnersgroup.com

For further information, refer to the Company's Form 10-K filed
with the SEC in March, Forms 10-Q for the first and second
quarters of 2003 filed in April and August, the Company's proxy
statement for the 2003 Annual Meeting filed in June, and the
Company's Form 8-K filed in July, after the July 28, 2003 Annual
Meeting of Stockholders. A copy of all filings may be obtained
from the SEC's EDGAR Web site -- http://www.sec.gov-- or by
contacting: Michael Warren, President and Chief Executive Officer,
telephone (401) 848-6500. The Company does not maintain a web
site.

                         *     *     *

As reported in Troubled Company Reporter's August 29, 2003
edition, BNS Co. completed the sale of the Company's North
Kingstown, RI property for $20.2 million to Wasserman RE Ventures
LLC, a Providence based developer with interests in properties
throughout the U.S.

The property consists of the former international headquarters for
Brown & Sharpe Manufacturing Company (the name was changed to BNS
Co. in April 2001). The North Kingstown property represented one
of the last assets remaining in the Company. It also holds a
gravel extraction and land fill operation in the UK which it
intends to sell as well.

The sale of the North Kingstown and UK properties are part of the
Company's strategy to dissolve and adopt a plan for liquidation,
which will be presented for stockholder approval at a later
meeting. Such a plan may involve the sale of the Company, or the
establishment of a liquidating trust and payment or provision for
payment of claims against its assets, and then making one or more
liquidating distributions to stockholders (or to the liquidating
trust). No estimate of the timing and amount of any liquidating
distributions can be made at this time, in part because the amount
available for distribution may depend on the amount of the
Company's assets required to be retained to pay uncertain future
liabilities by order of the Delaware Court of Chancery, if that
avenue of liquidation is later selected by the Company as part of
its plan of dissolution and liquidation. Also, it is not yet
certain when the UK property will be sold.


CD WORLD: Trans World to Acquire Assets for $1.8 Million
--------------------------------------------------------
Trans World Entertainment Corporation (Nasdaq: TWMC), a leading
retailer of entertainment products, has reached an agreement in
principal to acquire substantially all of the assets of CD World,
Inc.

CD World, currently operating in Chapter 11 bankruptcy, is a
specialty music retailer, which owns and operates 13 freestanding
stores located in New Jersey and Missouri. The transaction, which
is expected to close in early October 2003, represents total
consideration of $1.8 million and is subject to the approval of
the U.S. Bankruptcy Court for the District of New Jersey.

Trans World Entertainment is a leading specialty retailer of music
and video products. The Company operates retail stores in 46
states, the District of Columbia, the U.S. Virgin Islands, Puerto
Rico and an e-commerce site, www.fye.com. In addition to its mall
locations, operated under the "FYE" (For Your Entertainment)
brand, the Company also operates freestanding locations under the
names Coconuts Music and Movies, Strawberries Music, Spec's,
Planet Music and Second Spin.


CHASE COMM'L: Fitch Affirms Various Series 1999-2 Note Ratings
--------------------------------------------------------------
Fitch Ratings affirms Chase Commercial Mortgage Securities Corp.,
commercial mortgage pass-through certificates, series 1999-2, as
follows:

        -- $77.3 million class A-1 'AAA';
        -- $469.3 million class A-2 'AAA';
        -- Interest-only class X 'AAA';
        -- $41.1 million class B 'AA';
        -- $37.2 million class C 'A';
        -- $11.7 million class D 'A-';
        -- $27.4 million class E 'BBB';
        -- $11.7 million class F 'BBB-';
        -- $27.4 million class G 'BB+';
        -- $7.8 million class H 'BB';
        -- $6.8 million class I 'BB-';
        -- $8.8 million class J 'B+';
        -- $6.8 million class K 'B';
        -- $5.9 million class L 'B-'.

The $14.7 million class M is not rated by Fitch.

The affirmations reflect the overall stable performance and
minimal reduction in the pool's collateral balance since issuance.
As of the September 2003 distribution date, the transaction's
principal balance was reduced by 3.7%, to $754 million from $782.7
million at issuance. GEMSA Loan Services, as master servicer,
collected year-end 2002 financials for 98% of the pool. The
weighted averaged debt service coverage ratio for YE 2002 remained
stable at 1.40 times, compared to 1.40x at YE 2001 and 1.29x at
issuance.

There are two loans (4.7%) in special servicing. The largest loan
specially serviced loan, Tuscan Inn at Fisherman's Wharf, (4.4%),
is secured by full service hotel in San Francisco, California. The
loan was transferred to the special servicer due to payment
default. The loan is now current. The special servicer is in
negotiations with the borrower and has yet to decide the work out
plan.

Fitch will continue to monitor this transaction, as surveillance
is ongoing.


CHOICE ONE: Forms Multi-Year Agreement With New England Patriots
----------------------------------------------------------------
Choice One Communications (OTC Bulletin Board: CWON), an
Integrated Communications Provider offering facilities-based voice
and data telecommunications services, including Internet
solutions, to businesses in 29 Northeast and Midwest markets, has
entered into a telecommunications service and marketing
partnership with the New England Patriots.

As part of the multi-year agreement, Choice One has been named the
official telecommunications provider for the New England Patriots,
Gillette Stadium, the New England Revolution and the Kraft Group.
Additionally, the New England Patriots and Choice One have agreed
to a marketing sponsorship to promote Choice One's association
with the team for the duration of the agreement.

"We needed a provider that could address our complex
telecommunications needs today and into the future," said Pat
Curley, Chief Technology Officer of the New England Patriots.
"Choice One took the time to fully understand our business and our
telecommunications requirements.  They presented us with a
customized, cost-effective solution that will enable us to enhance
the use of our voice and data telecommunications services.  They
have a very knowledgeable team of people that are committed to
providing us outstanding service.

"When selecting business partners, we look for companies with whom
we can forge long-term relationships," added Curley.  "As a
successful, stable company with a reputation for high quality
service, Choice One meets our criteria as a long-term partner.  As
a major corporate sponsor, Choice One has clearly demonstrated its
commitment to the New England Patriots organization."

"Choice One has approximately 20,000 business clients across its
New England markets," stated Phil Yawman, Choice One's Executive
Vice President, Corporate Development.  "We are very proud to be
recognized for our success in the marketplace by being selected as
the official telecommunications provider for the New England
Patriots, Gillette Stadium, the New England Revolution and the
Kraft Group."

"During the past several years, Choice One has enjoyed very
successful relationships with other NFL organizations," added Mr.
Yawman.  "Our new agreement with the New England Patriots provides
both organization various opportunities to substantially grow our
businesses.  We are confident that
this partnership will be mutually beneficial for many years to
come."

Choice One also has multi-year agreements with the Buffalo Bills,
Green Bay Packers and Pittsburgh Steelers.  Terms of the deal were
not disclosed.

Headquartered in Rochester, New York, Choice One Communications
Inc. (OTC Bulletin Board: CWON) -- whose June 30, 2003 balance
sheet shows a total shareholders' deficit of $576 million -- is a
leading integrated communications services provider offering voice
and data services including Internet solutions, to businesses in
29 metropolitan areas (markets) across 12 Northeast and Midwest
states. Choice One reported $290 million of revenue in 2002, has
more than 100,000 clients and employs approximately 1,400
colleagues.

Choice One's markets include: Hartford and New Haven, Connecticut;
Rockford, Illinois; Bloomington/Evansville, Fort Wayne,
Indianapolis, South Bend/Elkhart, Indiana; Springfield and
Worcester, Massachusetts; Portland/Augusta, Maine; Grand Rapids
and Kalamazoo, Michigan; Manchester/Portsmouth, New Hampshire;
Albany (including Kingston, Newburgh, Plattsburgh and
Poughkeepsie), Buffalo, Rochester and Syracuse (including
Binghamton, Elmira and Watertown), New York; Akron (including
Youngstown), Columbus and Dayton, Ohio; Allentown, Erie,
Harrisburg, Pittsburgh and Wilkes- Barre/Scranton, Pennsylvania;
Providence, Rhode Island; Green Bay (including Appleton and
Oshkosh), Madison and Milwaukee, Wisconsin.

The company has intra-city fiber networks in the following
markets: Hartford, Connecticut; Rockford, Illinois;
Bloomington/Evansville, Fort Wayne, Indianapolis, South
Bend/Elkhart, Indiana; Springfield, Massachusetts; Grand
Rapids and Kalamazoo, Michigan; Albany, Buffalo, Rochester and
Syracuse, New York; Columbus, Ohio; Pittsburgh, Pennsylvania;
Providence, Rhode Island; Green Bay, Madison and Milwaukee,
Wisconsin.

For further information about Choice One, visit
http://www.choiceonecom.com


COMMSCOPE INC: Introduces New Enterprise Design Guide
-----------------------------------------------------
CommScope, Inc. (NYSE: CTV), a leader in the design and
manufacture of high-performance broadband communication cables,
introduced the first comprehensive Enterprise Design Guide to the
industry.

This guide offers a one-source solution for virtually all the
cabling needs of an enterprise system that transmits data, video,
voice, and other selected applications.  The guide leads
installers, contractors and consultants through the process of
designing and maximizing the performance of an enterprise network.

The Enterprise Design Guide was created specifically for those who
are involved in the design of Enterprise Network Systems.  It
provides one comprehensive publication that can be used to design
network solutions by incorporating conduit as well as fiber optic,
twisted pair, coax and wireless cables.

The Enterprise Design Guide also contains examples of typical
designs for Local Area (LAN), Wide Area (WAN) and Metropolitan
Area Networks (MAN), including samples of architecture options,
equipment, bills of materials and system capabilities.  It
describes the high-performance cabling and components that
CommScope believes are needed to meet both today's and tomorrow's
bandwidth requirements.

"We believe CommScope is unique because we produce such a broad
portfolio of cables for business communication systems," said
Randy Crenshaw, Executive Vice President and General Manager for
Network Products.  "We strive to be a technology leader in the
enterprise market as we provide fiber optic cables and components
as well as high-performance copper cables to network system
designers and installers."

The Enterprise Design Guide is approximately 200 pages long and
may be ordered through the CommScope web page,
http://www.commscope.com

CommScope, Inc. (NYSE: CTV) (S&P, BB Corporate Credit & B+
Subordinated Debt Ratings, Stable), is the world's largest
manufacturer of broadband coaxial cable for Hybrid Fiber Coaxial
applications and a leading supplier of fiber optic and twisted
pair cables for LAN, wireless and other communications
applications.


CONE MILLS: Shareholders' Committee Wins ISS Support
----------------------------------------------------
The Cone Mills Shareholders' Committee, led by Marc Kozberg, a
director of Cone Mills Corporation (NYSE: COE) announced that
Institutional Shareholder Services has recommended that Cone Mills
shareholders vote FOR the Committee's three director nominees on
the GREEN proxy card at the Annual Meeting on September 25th.

ISS, widely recognized as the nation's leading independent voting
advisory firm, provides vote recommendations to hundreds of major
institutional investment firms, mutual funds, and other
fiduciaries.

In its report, ISS noted that the primary strength of the
dissident slate "rests with its financial experience, contacts,
and its ability to broker a wide range of transactions." ISS
concluded that:

"ISS believe(s) that the dissident group, with its financial
experience may play a key role in identifying other alternatives
to realize shareholder value other than the proposed bankruptcy
and subsequent asset sale. At this time, we believe that
shareholders have no downward risk in exploring other alternatives
to the proposed bankruptcy."

In light of the Cone Mills' September 16th announcement, ISS
questioned management's credibility and commented:

"Although the detailed terms of the proposed bankruptcy and asset
sale are not available, the shareholders are likely to receive
little or no value for their investment. We believe that
management should have taken the opportunity to explore other
strategic alternatives that would have offered shareholders
value."

Marc Kozberg, who heads the Shareholders' Committee in its
campaign to elect the three new independent directors, said, "We
are pleased that ISS recognizes the superior qualifications of our
nominees. The future of everyone's investment is at stake--it is
critical that shareholders gain effective representation on the
Cone Mills Board."

Mr. Kozberg added, "Since time is short, we urge shareholders to
vote FOR the Committee's nominees on the GREEN proxy cards today.
(Shareholders sho5ld not return the company's white card for any
reason.) Any shareholders who need assistance in voting should
call our proxy solicitor, Innisfree M&A Incorporated, toll-free at
877-456-3507. Brokers who need assistance in helping their clients
to vote may call Innisfree collect at 212-750-5833."


COPYTELE: Accumulated Deficit Raises Going Concern Uncertainty
--------------------------------------------------------------
CopyTele, Inc. was incorporated on November 5, 1982. Its principal
operations include the development, production and marketing of
thin high brightness flat panel video displays and the
development, production and marketing of multi-functional
encryption products that provide information security for domestic
and international users over virtually every communications media.

From inception through June 2001, the Company had met liquidity
and capital expenditure needs primarily through the proceeds from
sales of common stock in its initial public offering, in private
placements, upon exercise of warrants issued in connection with
the private placements and public offering, and upon the exercise
of stock options. Commencing in the fourth quarter of fiscal 1999,
it began to generate cash flows from sales of its encryption
products, and, from June 2001 to January 2002, received
development payments from Futaba.

During the nine months ended July 31, 2003, the Company's
operating activities used approximately $615,000 in cash. This
resulted from payments to suppliers, employees and consultants of
approximately $832,000, which was offset by cash of approximately
$213,000 received from collections of accounts receivable related
to sales of encryption products and approximately $3,000 of
interest income received. In addition, the Company received
approximately $827,000 in cash upon the exercise of stock options
and incurred approximately $9,000 in registration costs relating
to stock incentive plans. As a result, its cash and cash
equivalents at July 31, 2003 increased to approximately $1,057,000
from approximately $855,000 at the end of fiscal 2002.

The auditor's report on Copytele's financial statements as of
October 31, 2002 states that the net loss incurred during the year
ended October 31, 2002, the accumulated deficit as of that date,
and other factors, raise substantial doubt about the Company's
ability to continue as a going concern.

Based on reductions in operating expenses that have been made and
additional reductions that may be implemented, if necessary, the
Company believes that its existing cash and accounts receivable,
together with cash flows from expected sales of encryption
products and flat panel displays, and other potential sources of
cash flows, will be sufficient to enable it to continue in
operation until at least the end of the third quarter of fiscal
2004. However, its projections of future cash needs and cash flows
may differ from actual results. Copytele is seeking to improve
liquidity through increased sales or license of products and
technology and may also seek to improve its liquidity through
sales of debt or equity securities. It currently has no
arrangements with respect to additional financing. There can be no
assurance that it will generate significant revenues in the future
(through sales or otherwise) to improve its liquidity, that it
will generate sufficient revenues to sustain future operations
and/or profitability, that it will be able to expand its current
distributor/dealer network, that production capabilities will be
adequate, that other products will not be produced by other
companies that will render its products obsolete, or that other
sources of funding would be available, if needed, at terms that
the Company would deem favorable.


COVANTA ENERGY: Overview of Ogden's Joint Liquidating Plan
----------------------------------------------------------
Ogden New York Services, Inc. and 62 of its debtor-affiliates --
the Liquidating Debtors -- delivered their Joint Plan of
Liquidation to the Court on September 8, 2003.

A full-text copy of the Liquidation Plan is available for free at
the Securities and Exchange Commission at:

http://www.sec.gov/Archives/edgar/data/73902/000090342303000754/cov8k-ex22_0
909.txt

A full-text copy of the Debtors' Disclosure Statement is
available for free at:

http://www.sec.gov/Archives/edgar/data/73902/000090342303000754/cov8kex2-3_0
909.txt

The Liquidation Plan includes these provisions:

A. The Funding of the Implementation of the Liquidation Plan

   On the Effective Date, the Liquidating Pledgor Debtors and the
   Liquidating Trustee will implement the Secured Creditor
   Direction and the DIP Lender Direction.  The Secured Creditor
   Direction and the DIP Lender Direction will operate to fund
   the implementation of the Liquidation Plan by requiring that
   $500,000 of the Liquidation Proceeds that would otherwise be
   transferred to Reorganized Covanta will remain in the accounts
   of the Liquidating Debtors and will be transferred by the
   Liquidating Trustee to the Operating Reserve.  However, to the
   extent that the sum of all the Cash in the accounts of the
   Liquidating Debtors is less than $500,000 on the Effective
   Date -- the Operating Deficiency Reserve Amount, then:

   (1) the Liquidating Trustee will transfer the sum of all the
       Cash in the Liquidating Debtors' accounts to the Operating
       Reserve, and

   (2) Reorganized Covanta will transfer the Operating Reserve
       Deficiency Amount to the Operating Reserve.

B. Transfer of Liquidation Assets

   On the Effective Date, each Liquidating Debtor will
   irrevocably transfer and assign its Residual Liquidation
   Assets, if any, or cause the Residual Assets to be transferred
   and assigned to the Liquidating Trust, to hold in trust for
   the benefit of all Allowed Claim Holders with respect to
   each the Liquidating Debtor pursuant to the terms of the
   Liquidation Plan and the Liquidating Trust Agreement.
   Prior to the contemplated transfers, the Liquidating Trustee
   and the Liquidating Debtors will make the transfers
   contemplated by the Secured Creditor Distribution and the DIP
   Lender Direction to Reorganized Covanta and to the Operating
   Reserve.

   In accordance with Section 1141 of the Bankruptcy Code, on the
   Effective Date, title to the Residual Liquidation Assets will
   pass to the Liquidating Trust free and clear of all Claims and
   Equity Interests.  The Liquidating Trustee will pay, or
   otherwise make Distributions on account of, all Claims against
   the Liquidating Debtors whose Residual Liquidation Assets were
   contributed to the Liquidating Trust strictly in accordance
   with the Liquidation Plan.  For U.S. federal income tax
   purposes, the transfers of the Liquidating Debtors' Residual
   Liquidation Assets to the Liquidating Trust will be deemed
   transfers to and for the benefit of their beneficiaries
   followed by the deemed transfer by the beneficiaries to the
   Liquidating Trust.  The beneficiaries will be treated as the
   grantors and deemed owners of the Liquidating Trust.

   The Liquidating Trustee will cause a valuation to be made of
   the Liquidation Assets.  The valuation will be used by the
   Liquidating Trustee and the beneficiaries for U.S. federal
   income tax purposes, but will not be binding on the
   Liquidating Trustee in regards to the liquidation of the
   Residual Liquidation Assets.

C. Distribution of the Bank Agreement Ogden FMCA Collateral

   On the Effective Date, Ogden FMCA will cause to be transferred
   to Credit Suisse First Boston, as holder of the Allowed
   Secured CSFB Claim, the Bank Agreement Ogden FMCA Collateral
   free and clear of all Claims and Equity Interests, in
   accordance with Section 1141 of the Bankruptcy Code, and
   except as otherwise provided by the Liquidation Plan.

D. Dissolution of Liquidating Debtors

   After the contemplated transfers and pursuant to the DIP
   Lender Direction, each Liquidating Debtor will be dissolved
   pursuant to applicable state law.  The Liquidating Trustee
   will have all the power to wind up the affairs of each
   Liquidating Debtor under applicable state laws.

E. Appointment of the Liquidating Trustee

   The Liquidating Trustee will be designated by the Liquidating
   Debtors in the Notice of Designation, which will be filed with
   the Court on or before 30 days prior to the Confirmation
   Hearing.  The Liquidating Trustee's appointment will become
   effective on the occurrence of the Effective Date.

   In its capacity as the representative of an Estate, the
   Liquidating Trustee will be the successor-in-interest to each
   Liquidating Debtor with respect to any action commenced by the
   Liquidating Debtor prior to the Confirmation Date, except with
   respect to the Claims of the Liquidating Pledgor Debtors and
   the Liquidating Non-Pledgor Debtors contributed to Reorganized
   Covanta pursuant to the Secured Creditor Direction and the DIP
   Lender Direction.  All actions and any and all other claims or
   interests constituting Liquidation Assets, and all claims,
   rights and interests will be retained and enforced by the
   Liquidating Trustee as the Estate's representative pursuant to
   Section 1123(b)(3)(B) of the Bankruptcy Code.  The Liquidating
   Trustee will be a party-in-interest as to all matters over
   which the Court has jurisdiction.

   The Liquidating Trustee will be paid for all reasonable and
   necessary Dissolution Expenses, including the reasonable and
   necessary fees and expenses of Retained Liquidation
   Professionals, out of the Operating Reserve.

F. Appointment of the Oversight Nominee

   An Oversight Nominee will be designated by the Liquidating
   Debtors in the Notice of Designation, which will be filed with
   the Court on or before 30 days prior to the Confirmation
   Hearing.  The appointment of the Oversight Nominee will become
   effective on the occurrence of the Effective Date.

   The Oversight Nominee will have the responsibility to review
   the activities and performance of the Liquidating Trustee, and
   will have the authority to remove and replace the Liquidating
   Trustee.  The Oversight Nominee Expenses will be paid by the
   Liquidating Trustee out of the Operating Reserve.

The proponents of the Liquidation Plan are:

   Liquidating Debtors                               Case Number
   -------------------                               -----------
   Alpine Food Products, Inc.                         03-13679
   BDC Liquidating Corp.                              03-13681
   Bouldin Development Corp.                          03-13680
   Covanta Concerts Holdings, Inc.                    02-16332
   Covanta Energy Sao Jeronimo, Inc.                  02-40854
   Covanta Equity of Alexandria/Arlington, Inc.       03-13682
   Covanta Equity of Stanislaus, Inc.                 03-13683
   Covanta Financial Services, Inc.                   02-40947
   Covanta Huntington, Inc.                           02-40918
   Covanta Key Largo, Inc.                            02-40864
   Covanta Northwest Puerto Rico, Inc.                02-40942
   Covanta Oil & Gas, Inc.                            02-40878
   Covanta Power Development of Bolivia, Inc.         02-40856
   Covanta Power Development, Inc.                    02-40855
   Covanta Secure Services USA, Inc.                  02-40896
   Covanta Waste Solutions, Inc.                      02-40897
   Doggie Diner, Inc.                                 03-13684
   Gulf Coast Catering Company, Inc.                  03-13685
   J.R. Jack's Construction Corporation               02-40857
   Lenzar Electro-Optics, Inc.                        02-40832
   Logistics Operations, Inc.                         03-13688
   Offshore Food Service, Inc.                        03-13694
   OFS Equity of Alexandria/Arlington, Inc.           03-13687
   OFS Equity of Babylon, Inc.                        03-13690
   OFS Equity of Delaware, Inc.                       03-13689
   OFS Equity of Huntington, Inc.                     03-13691
   OFS Equity of Indianapolis, Inc.                   03-13693
   OFS Equity of Stanislaus, Inc.                     03-13692
   Ogden Allied Abatement & Decontamination Svc, Inc. 02-40827
   Ogden Allied Maintenance Corp.                     02-40828
   Ogden Allied Payroll Services, Inc.                02-40835
   Ogden Attractions, Inc.                            02-40836
   Ogden Aviation Distributing Corp.                  02-40829
   Ogden Aviation Fueling Company of Virginia, Inc.   02-40837
   Ogden Aviation Security Services of Indiana, Inc.  03-13695
   Ogden Aviation Service Company of Colorado, Inc.   02-40839
   Ogden Aviation Service Company of Pennsylvania     02-40834
   Ogden Aviation Service International Corporation   02-40830
   Ogden Aviation Terminal Services, Inc.             03-13696
   Ogden Aviation, Inc.                               02-40838
   Ogden Cargo Spain, Inc.                            02-40843
   Ogden Central and South America, Inc.              02-40844
   Ogden Cisco, Inc.                                  03-13698
   Ogden Communications, Inc.                         03-13697
   Ogden Constructors, Inc.                           02-40858
   Ogden Environmental & Energy Services Co., Inc.    02-40859
   Ogden Facility Holdings, Inc.                      02-40845
   Ogden Facility Management Corporation of Anaheim   02-40846
   Ogden Facility Management Corp. of West Virginia   03-13699
   Ogden Film and Theatre, Inc.                       02-40847
   Ogden Firehole Entertainment Corp.                 02-40848
   Ogden Food Service Corporation of Milwaukee, Inc.  03-13701
   Ogden International Europe, Inc.                   02-40849
   Ogden Leisure, Inc.                                03-13700
   Ogden Management Services, Inc.                    03-13702
   Ogden New York Services, Inc.                      02-40826
   Ogden Pipeline Service Corporation                 03-13704
   Ogden Services Corporation                         02-40850
   Ogden Support Services, Inc.                       02-40851
   Ogden Technology Services Corporation              03-13703
   Ogden Transition Corporation                       03-13705
   PA Aviation Fuel Holdings, Inc.                    02-40852
   Philadelphia Fuel Facilities Corporation           02-40853
(Covanta Bankruptcy News, Issue No. 36; Bankruptcy Creditors'
Service, Inc., 609/392-0900)


CROWN CASTLE: Gets S&P's B- Rating for Planned $1.6B Facility
-------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B-' rating to the
proposed $1.6 billion senior secured credit facility of Crown
Castle Operating Co., a wholly owned subsidiary of Houston, Texas-
based wireless tower operator Crown Castle International Corp.
Simultaneously, Standard & Poor's affirmed its 'B-' corporate
credit rating and all other outstanding ratings on Crown Castle
International. The outlook has been revised to stable from
negative, predicated on the closing of the proposed bank credit
facility.

Total debt was about $3.2 billion at June 30, 2003.

The proposed bank credit facility, which comprises a $350 million
revolver due 2007, a $296 million term loan A due 2007, and a $1
billion term loan B due 2010, is rated the same as the corporate
credit rating. It will replace the existing $1.2 billion bank
credit facility, which comprises a $494 million revolver due 2007,
a $296 million term loan A due 2007, and a $399 million term loan
B due 2008. After closing, Crown Castle will take a series of
actions that include applying the incremental $601 million in term
loan B to refinance debt at its Crown Castle UK Ltd (CCUK)
subsidiary, bringing CCUK into the restricted group legal
structure and thereby gaining full access to that subsidiary's
moderate free cash flows and, before the end of the year, retiring
the parent's 12.75% senior exchangeable preferred stock due 2010.
Crown Atlantic, a joint venture with Verizon Communications Inc.,
will remain an unrestricted subsidiary such that Crown Castle will
continue to not have access to its cash.

Given the substantial magnitude of the fully drawn bank facility,
it is not clear that the value of Crown Castle's tower portfolio
would completely cover the credit facility under a distressed
valuation. However, Standard & Poor's believes there is strong
likelihood of substantial recovery of principal with minimal loss
expected.

"The outlook revision reflects improvement in Crown Castle's
liquidity prospects that will result from the company gaining full
access to CCUK's moderate free cash flows following the
refinancing of CCUK debt," said Standard & Poor's credit analyst
Michael Tsao. Crown Castle's current restricted group is not
expected to generate sustainable free cash flows. However, by
including CCUK in the restricted group and assuming moderate
revenue growth, EBITDA margin around 40%, and annual capital
expenditures of less than $100 million, Standard & Poor's projects
that the restricted group will likely generate at least $70
million of annual free cash flow in the next several years. This
level of free cash flow, along with the proposed $350 million bank
revolver, will likely provide a degree of cushion against any
prolonged weakness in network-related spending by wireless
carriers. Covenants under the proposed bank loan, which remain
the same as those in the existing bank loan, provide adequate
headroom. Other than a potential payment of more than $280 million
in 2007 to satisfy a contingent put relating to Verizon's stake in
Crown Atlantic, Crown Castle does not face significant mandatory
debt amortizations in the next few years.

While Standard & Poor's views the tower business as having some
favorable business characteristics, the rating is dominated by
concerns over Crown Castle's significant financial leverage. The
company used substantial debt in the past to acquire and build
towers in anticipation of steep growth in cash flows that later
did not materialize due to cutback in capital expenditures by
wireless carriers, thereby leaving the company aggressively
leveraged.


ECHOSTAR COMMS: DBS Unit Commences $1.5BB Senior Note Offering
--------------------------------------------------------------
EchoStar Communications Corporation's (NASDAQ: DISH) subsidiary,
EchoStar DBS Corporation, is offering approximately $1.5 billion
aggregate principal amount of senior debt securities in accordance
with Securities and Exchange Commission Rule 144A.

The proceeds of the offering are intended to be used to repurchase
or redeem EchoStar DBS Corporation's 9-3/8% Senior Notes due 2009
and other outstanding debt securities.

The notes have not been registered under the Securities Act of
1933, as amended, or the securities laws of any other jurisdiction
and may not be offered or sold in the United States absent
registration or an applicable exemption from registration
requirements.

EchoStar Communications Corporation (Nasdaq:DISH), through its
DISH Network(TM), is the fastest growing U.S. provider of
satellite television entertainment services with 9 million
customers. DISH Network delivers advanced digital satellite
television services, including hundreds of video and audio
channels, Interactive TV, digital video recording, HDTV,
international programming, professional installation and 24-hour
customer service. Headquartered in Littleton, Colo., EchoStar has
been a leader for 23 years in digital satellite TV equipment sales
and support worldwide. EchoStar is included in the Nasdaq-100
Index (NDX) and is a Fortune 500 company. Visit EchoStar's Web
site at www.echostar.com or call 1-800-333-DISH (3474).

As of December 31, 2002, the Company's balance sheet shows a total
shareholders' equity deficit of about $1.2 billion


ECHOSTAR DBS: S&P Rates Proposed $1.5 Bill. Senior Notes at BB-
---------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB-' rating to
the proposed $1.5 billion (aggregate amount) senior notes of
EchoStar DBS Corp., a subsidiary of satellite direct-to-home (DTH)
TV provider EchoStar Communications Corp. (BB-/Stable/--). All
outstanding ratings on EchoStar were affirmed.

The proposed notes will be issued under Rule 144A with
registration rights, with two tranches maturing in five years and
one tranche maturing in eight years. EchoStar intends to use
proceeds to repurchase or redeem its $1.6 billion 9.375% notes due
2009, which become callable in February 2004. The company also may
repurchase other outstanding debt. Pro forma for the offering,
EchoStar will have gross debt of roughly $7.2 billion before
factoring in any potential debt repurchases or redemptions, and
about $4.4 billion in unrestricted cash.

In addition to using cash to repurchase debt, EchoStar has
expressed an interest in bidding for assets of fixed satellite
operator and satellite manufacturer Loral Space & Communications
Ltd., which is operating under Chapter 11 bankruptcy protection.
EchoStar's cash flow diversity would benefit from Loral's high-
margin fixed satellite leasing operation, which is driven by long-
term contracts. However, much of the satellite-leasing industry is
in a slump, and satellite manufacturing is a low-margin business
currently depressed by a lack of new contracts.

"The ratings on EchoStar continue to reflect the company's
position as the fourth-largest provider of pay TV services
(serving 9 million subscribers), healthy subscriber growth and
modest churn, improving cash flow and credit measures, and
significant liquidity from a large, uncommitted cash balance,"
said Standard & Poor's credit analyst Eric Geil. These factors are
tempered by strong competition from upgraded cable operators that
can offer a broader array of interactive services, competition
from larger rival DTH satellite TV provider DirecTV, a low price
strategy that could restrain margin potential amid rising
programming costs affecting the industry, and risk from potential
acquisitions and investments.

EchoStar's discretionary cash flow is rising, and the company has
good liquidity from a roughly $4.4 billion unrestricted cash
balance, pro forma for the proposed $1.5 billion notes. The cash
balance excludes about $135 million cash reserved to satisfy
satellite insurance requirements under bond covenants. EchoStar
does not have a bank line, and is expected to maintain ample cash
to meet short-term liquidity needs. Satellite capital spending
will be largely discretionary to meet additional service needs,
and replacement costs should be moderate, as the fleet is
relatively young with significant remaining life expectancy. Debt
maturities are insignificant until 2007, when $2 billion in notes
is due.


ELECTROPURE: July 31 Working Capital Deficit Tops $1.8 Million
--------------------------------------------------------------
Electropure, Inc. has two reportable segments: water purification,
and fluid monitoring, a start up segment.  The EDI segment
produces water treatment modules for sale to manufacturers of high
purity water systems.  The Membrane segment formerly produced ion
exchange membranes for outside customers for use in
electrodialysis, electrodeionization, electrodeposition and
general electrochemical separations. The MI segment is developing
technology that is anticipated to enable real time identification
of contamination in fluids.

The Company's reportable segments are strategic business units
that offer different products, are managed separately, and require
different technology and marketing strategies.  The Company
evaluates performance based on results from operations before
income taxes not including nonrecurring gains and losses.

At July 31, 2003, Electropure, Inc. had a working capital deficit
of $1,897,360. This represents a working capital decrease of
$1,547,107 compared to that reported at October 31, 2002.
Including a $142,771 increase in accounts payable, the working
capital decrease includes a $451,513 net increase in notes payable
and accrued interest of $28,548 as well as the reclassification of
a $1,000,000 loan due in January 2004 to a current liability.  The
working capital decrease in fiscal 2003 was partially offset by a
$45,808 increase in inventories and a $44,139 reduction of other
current liabilities.

The Company's primary sources of working capital have been from
short-term loans and from the sale of private placement
securities.  During fiscal 2003, it received $50,000 in net
proceeds from the sale of 227,273 shares of common stock to its
largest shareholder.  Electropure also received $450,000 in short
term loans from this shareholder and a $200,000 loan from an
unaffiliated third party during the nine months ended July 31,
2003.

In the opinion of management, available funds, accounts
receivable, and proceeds to be realized from the sale of EDI
products currently on order, are expected to satisfy Company
working capital requirements through September 2003. Electropure's
independent auditors have included an explanatory paragraph in
their report on the financial statements for the year ended
October 31, 2002 which raises substantial doubt about the
Company's ability to continue as a going concern.

In January 2004, a $1 million loan from the Company's largest
shareholder will become due and payable. Currently, this loan is
secured by a second deed of trust on the building which the
Company purchased in January 2001.  Management anticipates that if
the Company is not in a position to satisfy the loan when it comes
due, that it will seek to refinance the note either directly with
the noteholder or with a third party which has not yet been
identified.

Currently, the Company is seeking working capital through
manufacturing arrangements, strategic partnerships, loans and/or
the sale of private placement securities so that it may expand its
EDI marketing efforts and further the MIT research program.  This
approach is intended to optimize the value of its EDI technology
and the MIT System as Electropure discusses licensing and/or joint
venture arrangements with potential candidates.  The
implementation of these strategies will be dependent upon the
Company's ability to secure sufficient working capital in a timely
manner and will require the approval of its shareholders if any
arrangement involves the sale or encumbrance of its assets.

The Company will be required to raise substantial amounts of new
financing in the form of additional equity investments, loan
financings, or from strategic partnerships, to carry out its
business objectives. There can be no assurance that it will be
able to obtain additional financing on terms that are acceptable
to it and at the time required by it, or at all.  Further, any
financing may cause dilution of the interests of its current
shareholders.  If unable to obtain additional equity or loan
financing, the Company's financial condition and results of
operations will be materially adversely affected.  Moreover,
estimates of its cash requirements to carry out its current
business objectives are based upon various assumptions, including
assumptions as to its revenues, net income or loss and other
factors, and there can be no assurance that these assumptions will
prove to be accurate or that unbudgeted costs will not be
incurred.  Future events, including the problems, delays, expenses
and difficulties frequently encountered by similarly situated
companies, as well as changes in economic, regulatory or
competitive conditions, may lead to cost increases that could have
a material adverse effect on Electropure and its plans.  If
unsuccessful in obtaining loans or equity financing for future
developments, it is unlikely that the Company will have sufficient
cash to continue to conduct operations, particularly research and
development programs, as currently planned.  Management believes
that in order to raise needed capital, the Company may be required
to issue debt at significantly higher interest rates or equity
securities that are significantly lower than the current market
price of its common stock.

No assurances can be given that currently available funds will
satisfy Company working capital needs for the period estimated, or
that the Company can obtain additional working capital through the
sale of common stock or other securities, the issuance of
indebtedness or otherwise or on terms acceptable to it. Further,
no assurances can be given that any such equity financing will not
result in a further substantial dilution to the existing
shareholders or will be on terms satisfactory to the Company.


ENRON CORP: Court Clears ECT's $11.75M Aircraft Sale to JLT
-----------------------------------------------------------
Pursuant to Sections 105, 363 and 365 of the Bankruptcy Code,
Enron Corporation sought and obtained the Court's approval on:

   (a) ECT Investing Partners, LP's sale of a Dassault Aviation
       Falcon 900B-N573J aircraft to JLT Aircraft Holding Company,
       LLC in accordance with the terms and conditions of an
       Aircraft Purchase Agreement;

   (b) the consummation of the transactions contemplated; and

   (c) the rejection of an unexpired Amended and Restated N5733
       Aircraft Subleasing Agreement dated as of October 25,
       1999 between Wilmington Trust Company and Enron, as
       supplemented.

ECT is a non-debtor affiliate of Enron, engaged in the business of
holding investment assets, including certain residual interests in
mortgage-backed securities.  The Aircraft comprises a significant
portion of ECT's physical assets.

The Aircraft is a 12-seat 1987 Falcon 900B.  Legal title to the
Aircraft is held in trust by Wilmington Trust Company and leased
to Enron.  The Aircraft's engines have logged about 7,550
Airframe hours.

Enron decided that it no longer needed a fleet of corporate
aircraft after it filed for Chapter 11 protection.  Thus, Enron
and ECT determined to market and sell the Aircraft.

Under the Purchase Agreement, ECT will sell to JLT the Aircraft
and related property including:

   (a) the airframe with manufacturer's serial number 039 and
       U.S. Registration Mark N5732J;

   (b) three certain Garrett/Allied Signal Corp. model TFE
       731-5BR-1C engines bearing manufacturer serial numbers
       P97166C, P97156C, and P9715BC;

   (c) all records, logs, manuals, technical data, maintenance
       records and other materials and documents that relate to
       the operation of the Aircraft that are (i) required to be
       maintained by the FAA, or (ii) in ECT's possession on
       the closing date or that comes into ECT's possession
       thereafter; and

   (d) all parts and appurtances thereto.

The principal terms and conditions of the Purchase Agreement are:

A. Purchase Price

   The cash consideration JLT will pay to ECT for the Aircraft
   and for the assignment of warranties will be $11,750,000 as
   adjusted by the Deposit and a Purchase Price Reduction equal
   to the amount required to restore the Aircraft to airworthy
   condition, as applicable.

B. Deposit Escrow

   (a) Prior to the execution of the Purchase Agreement, JLT
       delivered to and deposited in trust with the Escrow
       Agent $300,000 in immediately available, good funds;

   (b) The Escrow Agent will promptly return the Deposit to JLT
       upon the earlier of:

       -- JLT's termination of the Purchase Agreement,

       -- Court order approving the sale of the Aircraft to a
          person other than JLT,

       -- JLT's termination of the Purchase Agreement, and

       -- JLT's termination of the Purchase Agreement solely
          because of ECT's failure to obtain the Court approval.

       The Escrow Agent's return to JLT of the Deposit will be
       JLT's exclusive remedy for ECT's failure to perform under
       the Purchase Agreement; and

   (c) JLT will cause the Escrow Agent to, and the Escrow Agent
       will, deliver the Deposit to ECT upon the earlier of:

       -- ECT's termination of the Purchase Agreement as a
          result of JLT's failure to fulfill the conditions to
          ECT's obligations,

       -- at the Closing of the sale to JLT, and

       -- JLT's termination of the Purchase Agreement other than
          as a result of a JLT Termination Event.

       The Escrow Agent's delivery ECT of the Deposit will be
       ECT's exclusive remedy for JLT's failure to perform under
       the Purchase Agreement.

C. Closing Date Payments

   At the Closing, JLT will:

    (i) pay and deliver to ECT, by wire transfer in Good Funds
        to an account ECT designates, the Purchase Price less
        the Deposit for $11,450,000, as may be further adjusted
        by the Purchase Price Reduction, as applicable, and

   (ii) instruct the Escrow Agent in writing to deliver the
        Deposit to ECT, by wire transfer in Good Funds to an
        account ECT designates.  Any accrued interest on the
        Deposit will be returned to JLT.

D. Closing

   The closing of the transactions will take place on the
   earlier of:

    (i) two Business Days after the conditions to Closing are
        satisfied,

   (ii) 50 business days after the execution date -- the Outside
        Date, and

  (iii) other date mutually agreed to by the parties to allow
        sufficient time to correct the Non-Compliant Items and
        ECT will deliver the Aircraft to JLT on the Closing Date
        at the Gulfstream Facility in Dallas, Texas.  All
        documents to be filed with the FAA on the Closing Date
        will be held in trust by FAA Counsel and filed upon
        mutual agreement of JLT and ECT.

E. Closing Conditions

   (a) As to ECT's Obligations:

       It will be a condition of ECT's obligations under the
       Purchase Agreement that, as of the Closing Date:

       -- all of JLT's representations and warranties made in
          the Purchase Agreement will be true and correct in all
          material respects,

       -- JLT performed in all material respects all of its
          covenants and obligations under the Purchase
          Agreement,

       -- ECT obtained Court approval of the sale,

       -- JLT have completed the Inspection and delivered the
          Acceptance Certificate, and

       -- ECT have received verbal confirmation from FAA Counsel
          that the Aircraft is free and clear of Liens and that
          the Aircraft may, upon consummation of the
          transactions contemplated hereunder, be registered
          with the FAA Registry in the name of the JLT;

   (b) As to JLT's Obligations:

       It will be a condition of JLT's obligations under the
       Purchase Agreement that, as of the Closing Date:

       -- all of ECT's representations and warranties made in
          the Purchase Agreement will be true and correct in all
          material respects,

       -- ECT will have performed in all material respects all of
          its covenants and obligations under the Purchase
          Agreement,

       -- ECT will deliver the Aircraft to JLT,

       -- ECT obtain the Approval Order, and

       -- JLT received verbal confirmation from FAA Counsel that
          the Aircraft is free and clear of Liens and that the
          Aircraft may, upon consummation of the transactions
          contemplated hereunder, be registered with the FAA
          Registry in JLT's the name; and

   (c) Any waiver of a condition will be effective only if the
       waiver is stated in writing and signed by both parties;
       provided, however, that the consent of a party to the
       Closing will constitute a waiver by the party of any
       conditions to Closing not satisfied as of the Closing
       Date.

F. Termination

   Either party may terminate the Purchase Agreement upon
   written notice to the other party if on or prior to the
   Closing, any of these events have occurred and the
   terminating party is not then in default of its obligations
   in any material respect:

   (a) If all conditions to the Closing required to obligate a
       party to close the transactions have been satisfied and
       a party has not tendered performance of its obligations
       or deliveries by the Closing Date;

   (b) The Aircraft will be lost, destroyed, materially damaged,
       or is involved in an accident or incident causing
       material damage thereto;

   (c) If (i) JLT fails to deliver the Acceptance Certificate to
       ECT by the Acceptance Time, (ii) the parties fail to
       agree to the Non-Compliant Items or the Purchase Price
       Reduction, if any, by the Acceptance Time, or (iii) JLT
       delivers to ECT a written notice of rejection of the
       Aircraft any time after the Inspection commences but
       prior to the Acceptance Time; and

   (d) If ECT have not obtained Court approval.

G. Taxes

   (a) As of the Closing Date, ECT will have paid all Taxes ECT
       owed, excluding 2003 personal property taxes owed in
       Harris County, Texas, with respect to ECT's ownership of
       the Aircraft;

   (b) JLT will be solely responsible for and timely pay (i) all
       Transaction Taxes any taxing authority imposed or levied
       on or with respect to the sale and purchase of the
       Aircraft under the Purchase Agreement or JLT's use or
       ownership of the Aircraft after Closing and (ii) all
       federal, state, local and other license, recording,
       registration, transfer fees and all other fees and
       charges of any nature imposed or levied on or with
       respect to the sale and purchase of the Aircraft under
       the Purchase Agreement or JLT's use or ownership of the
       Aircraft after Closing, together with any penalties,
       fines and interest; and

   (c) JLT will not be responsible for (i) any taxes imposed
       on or measured by ECT's net income and (ii) any ad
       valorem taxes or property taxes attributable to taxable
       periods ending on or before the Closing Date, all of
       which will be the responsibility of ECT, including the
       2003 Taxes, with respect to ECT's ownership of the
       Aircraft.

H. Brokers

   Each party will be responsible for its own broker fees and
   related costs.  In connection with the sale, ECT will pay
   $58,750 to its broker, JB&A Aviation.

Ms. Gray asserts that the sale should be authorized because:

   (a) although the Aircraft is not directly property of the
       estate, the sale transaction affects Enron's Chapter 11
       estate in that ECT is an indirect wholly owned subsidiary
       of Enron and it is in Enron's best interest to maximize
       ECT's value;

   (b) the Purchase Agreement requires an order from the Court
       as a condition precedent to sale closing;

   (c) the Purchase Agreement contemplates Enron's rejection of
       the Lease to transfer clear title to JLT;

   (d) the Aircraft is not integral to or contemplated to be
       part of Enron's reorganization;

   (e) the Purchase Agreement was negotiated at arm's length
       and represents fair market value for the Aircraft;

   (f) after an extensive marketing process, ECT, in
       consultation with Enron and the Creditors' Committee,
       determined that JLT's offer represents the best offer
       for the Aircraft at this time and under the circumstances;

   (g) other than the liens relating to the 2003 Taxes, which
       will remain on the Aircraft until Enron pays the 2003
       Taxes as the Purchase Agreement requires, Enron is not
       aware of any liens encumbering the Aircraft; and

   (h) JLT is a good faith purchaser by virtue of Section 363(m)
       of the Bankruptcy Code.

The Purchase Agreement requires that clear title to the Aircraft
be transferred to JLT.  Thus, Enron will reject the Lease
effective as of the Closing Date. (Enron Bankruptcy News, Issue
No. 79; Bankruptcy Creditors' Service, Inc., 609/392-0900)


ENRON CORP: Files Amended Chapter 11 Plan with Bankruptcy Court
---------------------------------------------------------------
Enron Corp. filed an amended Joint Chapter 11 Plan and related
disclosure statement with the U.S. Bankruptcy Court.

The disclosure statement includes revised estimated recovery
percentages, before potential recoveries from litigation, for more
than 350 classes of creditors. The estimated recoveries for
unsecured claims against the three top debtors are: Enron Corp.,
16.6 percent; Enron North America, 19.5 percent; and Enron Power
Marketing, Inc., 22.5 percent.

"We're pleased that we are continuing to generate support for this
plan, which maximizes recovery for our stakeholders," said Stephen
F. Cooper, Enron's acting CEO and chief restructuring officer.
"This widespread support will help expedite this very complicated
bankruptcy process."

The amended plan also includes financial projections for the three
going-forward businesses that will ultimately be separated from
the bankruptcy proceedings: CrossCountry Energy, Prisma Energy
International, and Portland General Electric (PGE). If PGE is not
sold, the Plan provides for the distribution of PGE common stock
to creditors. A break-up of PGE is not an option under the Plan.

The Plan covers Enron's 178 debtor entities and must be approved
by 50 percent of the creditors and two-thirds of the dollar amount
of claims in at least one creditor class for each of the debtors.

The Bankruptcy Court is expected to hold a hearing on the
disclosure statement in late October.

The amended Plan and accompanying disclosure statement can be
viewed at

http://www.enron.com/corp/pressroom/releases/2003/ene/091803rel.html.

Enron's Internet address is http://www.enron.com


EQUITY INNS: Declares Third Quarter Share & Preferred Dividends
---------------------------------------------------------------
Equity Inns, Inc. (NYSE:ENN), a hotel real estate investment trust
(REIT), announced that its board of directors has declared
quarterly cash dividends of $0.13 per common share and $0.546875
per preferred B share for the third quarter ended
September 30, 2003.

The common and the preferred B dividend are payable
November 3, 2003 and October 31, 2003, respectively, to common and
preferred shareholders of record on September 30, 2003.

Preferred B shareholders of record will receive a prorated
dividend based upon the issuance date of August 11, 2003.

Equity Inns, Inc. (S&P, B+ Corporate Credit Rating, Negative) is a
self-advised REIT that focuses on the upscale extended stay, all-
suite and midscale limited-service segments of the hotel industry.
The company owns 94 hotels with 12,100 rooms located in 34 states.
For more information about Equity Inns, visit the company's Web
site at http://www.equityinns.com


FIRST UNION: S&P Hatchets Three Note Classes to Default Level
-------------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on classes
K, L, M, and N of First Union National Bank Commercial Mortgage
Trust's commercial mortgage pass-through certificates series 2000-
C2. Concurrently, the ratings on classes H, J, and K are placed on
CreditWatch with negative implications. At the same time, the
ratings on 10 other classes are affirmed.

The rating actions are primarily due to the interest shortfalls
that will result from the master servicer's (Wachovia Bank N.A.)
recovery of $5.1 million of advances related to the Crowne Plaza
Downtown Phoenix hotel loan. Belmont Shores, a top 10 watchlist
loan, was also a factor influencing the lowered rating actions.
The specially serviced loans and watchlist loans represent 2.3%
and 17.5% of total pool balance, respectively.

The Crowne Plaza loan (original balance of $16.5 million; $19.6
million currently; 1.8% of total pool balance), which is secured
by a 533-room full service hotel in Phoenix, Arizona, was
transferred into special servicing Aug. 13, 2001 due to a
delinquency. The borrower subsequently filed a Chapter 11
bankruptcy. To date, the servicer has accrued $5.1 million of
principal and interest, property protection, and other advances.
As part of the bankruptcy settlement, $3.9 million of the
advances was capitalized into the mortgage loan amount and $1.2
million was forgiven. The interest rate on the loan was also
modified with various interest rate step-ups, reaching 8.95% in
years eight through 10. The term of the loan remains 10 years, and
the loan is scheduled to mature in February 2011. The property was
returned to the master servicer in August 2003. Based on the year-
to-date June 30, 2003 financial statements, the servicer estimates
the loan has a debt service coverage of 2.33x. The hotel's flag is
currently a Wyndham.

The $3.9 million in advances, which is currently deemed
recoverable will be collected by the servicer from all Crowne
Plaza payments. The impact to the trust will be approximately
$150,000 a month, and will result in shortfalls to the
certificates for approximately two years. The first interest
shortfalls related to this recovery occurred on the Aug. 15, 2003
payment date. The remaining $1.2 million that has been forgiven
under the bankruptcy plan has been declared non-recoverable by the
master servicer and collectable from the trust collection account
immediately. However, the master servicer has agreed to recover
this over time in order to not disrupt the interest payments due
the investment grade classes (classes G and above).

The ratings on classes L, M, and N are lowered to 'D' as the
interest shortfalls occurring in these classes are expected to
continue without any near-term recovery expected. Based on current
conditions, classes H and J are not expected to get the interest
due for about eight months and will not be repaid accrued interest
until early to mid 2004. Class K is not expected to get interest
for 12 months and not be repaid until late 2004. The timing of the
ultimate interest recovery for the classes with ratings placed on
CreditWatch will determine the direction of the rating changes,
if any are deemed necessary.

Also of concern is the Belmont Shores Office Building ($29 million
principal balance; 2.6% of the pool's principal balance), which is
a 142,900-square-foot property in Belmont, California. (Silicon
Valley). Major tenants include Oracle Corp. (62% of total square
footage, which it is subleasing), Multiple Space Reactivity Inc.
(10%), and McGraw-Hill Cos. (8%). Although the property is
currently 99% occupied, 75% of the leased space is expiring in the
next 18 months, with approximately 65% (mostly Oracle Corp.'s
subleased space) not expected to renew. In the competitive Silicon
Valley office market, re-leasing will be challenging.

                        RATINGS LOWERED

        First Union National Bank Commercial Mortgage Trust
         Commercial mortgage pass-thru certs series 2000-C2

                      Rating
        Class   To               From    Credit Support (%)
        L       D                B+                   2.82
        M       D                B                    2.31
        N       D                B-                   1.80

          RATING LOWERED AND PLACED ON CREDITWATCH NEGATIVE

        First Union National Bank Commercial Mortgage Trust
        Commercial mortgage pass-thru certs series 2000-C2

                      Rating
        Class   To               From   Credit Support (%)
        K       B/Watch Neg      BB-                 4.21

        First Union National Bank Commercial Mortgage Trust
        Commercial mortgage pass-thru certs series 2000-C2

              RATINGS PLACED ON CREDITWATCH NEGATIVE

        First Union National Bank Commercial Mortgage Trust
        Commercial mortgage pass-thru certs series 2000-C2

                      Rating
        Class   To               From   Credit Support (%)
        H       BB+/Watch Neg    BB+                 5.77
        J       BB/Watch Neg     BB                  5.00

                        RATINGS AFFIRMED

        First Union National Bank Commercial Mortgage Trust
        Commercial mortgage pass-thru certs series 2000-C2

        Class   Rating   Credit Support (%)
        A-1     AAA                  24.11
        A-2     AAA                  24.11
        B       AA                   19.11
        C       A                    15.26
        D       A-                   13.72
        E       BBB+                 12.05
        F       BBB                  10.52
        G       BBB-                  9.23
        Q       BB                    0.00
        X       AAA                    N/A


FIRST VIRTUAL COMMS: Hires David Weinstein as VP of Marketing
-------------------------------------------------------------
First Virtual Communications (Nasdaq: FVCX), a premier provider of
rich media web conferencing and collaboration solutions, announced
a change in its executive management team.

David Weinstein has joined the Company as Vice President of
Marketing. He will be responsible for developing and implementing
First Virtual's worldwide marketing strategy and programs to
accelerate revenue growth and market share. Mr. Weinstein will
lead a team of professionals in the areas of corporate
communications, marketing programs, product management and
business development.

"We continue to build the highest-quality team in the industry and
are gaining momentum in the marketplace as a result. I am very
pleased that we were able to attract someone with Dave's
professional experience and record of success," said Jonathan
Morgan, the Company's president and chief executive officer. "Dave
will be based in our headquarters in Redwood City, California."

Mr. Weinstein has over twenty years of executive leadership
experience in the technology sector. Previously, he was president
and CEO of Zack Systems. Prior to that, he served as the vice
president of Marketing at Centigram Communications, Jetstream
Communications, @Motion and Openwave Systems. Mr. Weinstein holds
a Masters of Business Administration from Stanford University
Graduate School of Business and resides in California with his
family.

Mr. Weinstein replaces Bob Romano, who left the Company to pursue
other interests.

First Virtual Communications is a premier provider of rich media
web conferencing and communications solutions. The Company's
award-winning Click to Meet(TM) product line is enterprise-class
software that enables corporate, education, healthcare and
government customers worldwide to present, share, sell, train and
collaborate. Click to Meet integrates the user's choice of data,
audio and multipoint interactive video into existing work
environments and into everyday communication tools such as instant
messaging, web browsing and e-mail. Click to Meet software
solutions are widely deployed in over 1,500 customer locations and
excel in such challenging environments such as military
intelligence, emergency response, disaster recovery, corporate
training and geographically dispersed tele-working locations,
among others. Headquartered in Redwood City, California, First
Virtual Communications has operations in France, United Kingdom,
Japan and China. More information about First Virtual
Communications can be found at http://www.fvc.com

                       *      *      *

               Liquidity and Capital Resources

In its SEC Form 10-Q filed with the Securities and Exchange
Commission, the Company report:

Since inception, the Company has financed its operations primarily
through private and public placements of equity securities,
revenue from sales of the Company's products and services and to a
lesser extent through certain credit facilities and long-term
debt, including the $3.0 million of term loan drawn down on
June 23, 2003. As of June 30, 2003, the Company had cash and cash
equivalents and short-term investments of $6.2 million.

In order to improve liquidity and reduce costs, the Company
completed the following actions in April 2003. The Company reached
agreement with its bank for a $3 million credit facility that may
be used by the Company at any time prior to December 31, 2003. The
interest rate is equal to the bank's prime rate plus 2.25% with a
floor at 6.5%. The Company paid a $22,500 commitment fee at the
closing and is subject to a commitment fee of 0.25% per annum on
any unused borrowings, with this fee paid quarterly. Funds drawn
under the facility will be recorded as a secured term loan, fully
amortized and repaid over a three-year period. The term loan
facility is secured by all of the Company's assets, including
intellectual property rights, and contains certain financial
covenants, including the maintenance of cash deposits at the bank
of not less than $2.9 million, as well as a liquidity covenant.
The liquidity covenant requires that the sum of (i) the amount of
the Company's unrestricted cash on deposit in the bank, plus (ii)
the Company's eligible accounts receivable, divided by (iii) the
amount outstanding under the loan agreement be at all times equal
to 2.0 or higher. The liquidity covenant is only applicable if the
loan is drawn down. On June 23, 2003, $3.0 million of term loan
was drawn down and outstanding.

The Company also entered into a private equity line financing
agreement with Ralph Ungermann, Executive Chairman of the
Company's Board of Directors, under which the Company may require
Mr. Ungermann to purchase up to $1 million of its common stock at
a purchase price of $1.55 per share during the period from
April 14, 2003 through April 13, 2004. The Company may draw down
funds under the private equity line financing agreement up to four
times during the 12-month term of the agreement, with each draw
for a minimum of $250,000.

In April 2003, the Company also signed an agreement with its
landlord to terminate the Company's lease for its Santa Clara,
California headquarters and executed a new lease that will reduce
annual rental expense and cash payments by approximately $900,000
for each of the next five years.

The Company has experienced significant net operating losses since
inception. In the six months ended June 30, 2003, the Company
incurred losses of $5.0 million and used $4.9 million of cash in
its operating activities. In the comparable period of 2002, the
Company incurred net losses of $6.2 million and used $3.1 million
of cash in its operating activities. Management currently expects
that operating losses and negative cash flows will continue for
the foreseeable future and that the Company's existing cash and
investments, together with the funds provided pursuant to its
credit facility with its bank and the financing agreement with
Mr. Ungermann are adequate to fund the Company's operations
through the first quarter of 2004. However, the Company's cash
requirements depend on several factors, including the rate of
market acceptance of its products and services, the ability to
expand and retain its customer base and other factors. If the
Company fails to achieve its planned revenue or expense targets,
management believes that it has the plans, intent and ability to
curtail capital and operating spending to ensure that cash and
investments will be sufficient to meet the Company's cash
requirements through March 31, 2004.

In order to pursue business opportunities, the Company will be
required to seek equity investments from existing or potential
strategic partners in the future. Should the Company sell
additional equity, the sale may result in dilution to the
Company's current stockholders. The Company also plans to raise
equity from the public and/or private equity markets that will
likely result in dilution of the Company's current stockholders.
There can be no assurance that any financing will be available at
acceptable terms or at all.

In the six months ended June 30, 2003, cash used in operating
activities totaled $4.9 million, compared to $3.1 million in the
six months ended June 30, 2002. The change in cash provided or
used by operating activities reflects our operating performance
and the timing of receipts and disbursements. During the six
months ended June 30, 2003, net cash used in operating activities
of $4.9 million was comprised of the net loss of $5.0 million and
a $1.3 million increase in current net assets, partially offset by
$1.5 million of adjustments for non-cash items such as
depreciation, amortization and a loss on disposal of fixed assets.
The increase in current net assets consisted of increases in
receivables of $477,000 and prepaid expenses and other assets of
$353,000, reductions in accounts payable of $147,000, accrued
liabilities of $681,000 and deferred revenue of $217,000, offset
in part by a $535,000 reduction in inventory. During the six
months ended June 30, 2002, net cash used in operating activities
was $3.1 million. This was comprised of the net loss of $6.2
million and a $107,000 increase in current net assets, partially
offset by $3.1 million of adjustments for non-cash items such as
depreciation, amortization and increases in the provisions for
doubtful accounts and inventory. The increase in current net
assets consisted of increases in receivables of $441,000 and
prepaid expenses and other assets of $121,000 and a reduction in
accrued liabilities of $1.2 million, offset in part by a $549,000
reduction in inventory and increases in accounts payable of
$104,000 and deferred revenue of $1.2 million.

Cash used in investment activities totaled $461,000 for the six
months ended June 30, 2003, primarily for the acquisition of
property and equipment. Cash provided by investment activities
totaled $1.4 million for the six months ended June 30, 2002,
primarily resulting from $1.8 million of net sales and maturities
of short-term investments, partially offset by the acquisition of
property and equipment.

Cash provided by financing activities was $3.1 million for the six
months ended June 30, 2003, principally consisting of proceeds
from a term loan facility with our bank. Cash provided by
financing activities was $5.0 million for the six months ended
June 30, 2002, primarily from the issuance of stock.

At June 30, 2003, First Virtual Communications' balance sheet
shows a working capital deficit of a little over $1 million, while
total shareholders' equity deficit dwindled to about $2 million
from about $7 million six months ago.


GENESIS HEALTH: John Arlotta Named to Lead NeighborCare Inc.
------------------------------------------------------------
Genesis Health Ventures, Inc. announced that John J. Arlotta, who
joined the company as Vice Chairman in July, will become Chairman
and Chief Executive Officer of the Company's pharmacy business
upon completion of the spin-off of the Company's eldercare
business, at which time Genesis Health Ventures will also change
its name to NeighborCare, Inc.

As previously announced, the Company's eldercare business is being
spun-off into a separate publicly traded company, called Genesis
HealthCare Corporation, and George V. Hager, Jr. will become the
Chief Executive Officer of the new entity.

Robert H. Fish, the current Chairman and Chief Executive Officer
of Genesis Health Ventures, will retain his position until the
completion of the spin-off and will remain with NeighborCare on a
full-time basis until early 2004 to advise Arlotta and Hager on
post spin-off transition matters.  Fish will also serve as a
director of both NeighborCare and Genesis HealthCare Corporation
after the spin.

"Genesis Health Ventures has reached a pivotal point in its
development as we will, for the first time, focus solely on
NeighborCare, our institutional pharmacy business," said Fish.
"John's strong sales and marketing background, his operational
expertise and his intense focus make him the right person to
take NeighborCare to the next level."

"I am thrilled to accept the position of Chairman and CEO of
NeighborCare," said Arlotta.  "NeighborCare's transition to an
independently operated, publicly traded company is an exciting
milestone in the evolution of this organization."  Arlotta adds,
"We are well underway with several strategic and organic growth
initiatives, and maintain a relentless pursuit of both operating
efficiencies and product development that bring maximum value to
our customers and shareholders."

Arlotta has spent over 30 years in the pharmacy services industry
in a variety of sales, marketing, and general management roles.
Most recently, Arlotta was the President and COO of Caremark
Pharmaceutical Services - a leading provider of drug benefit
services to health plans, corporations and
insurance companies.  Prior to Caremark, Arlotta spent 15 years at
Baxter International where he started the original home IV therapy
business for Baxter.

                       Spin-off Update

As previously announced, several initiatives must be completed
prior to the spin-off including the effectiveness of Genesis
HealthCare Corporation's Registration Statement on Form 10 as
filed with the Securities and Exchange Commission, receipt of a
private letter ruling from the Internal Revenue Service that the
spin-off is non-taxable, and state licensure approvals.  In
addition, the Company will refinance its existing debt, excluding
certain mortgages, to facilitate the separate capitalization of
NeighborCare and Genesis HealthCare Corporation.  The Company
intends to complete all of these initiatives in the next thirty to
forty-five days and is targeting to complete the spin-off in late
October.

Genesis Health Ventures (Nasdaq: GHVI) provides healthcare
services to America's elders through a network of NeighborCare
pharmacies and Genesis ElderCare skilled nursing and assisted
living facilities.  Other Genesis healthcare services include
rehabilitation and respiratory therapy, group purchasing, and
diagnostics. Visit http://www.ghv.com

NeighborCare is the third largest institutional pharmacy and
infusion provider in the nation serving long-term care facilities,
retirement and assisted living communities, and home care.  The
Company's service offerings also include home medical and
respiratory equipment, medication, and supplies, as well as a
retail pharmacy division that serves the general public.  In
total, the Company's operations span the nation, supporting
community healthcare needs in 35 states. Visit
http://www.neighborcare.com

Genesis HealthCare is one of the nation's largest long term care
providers employing 35,000 in over 225 skilled nursing and
assisted living residences in 13 eastern states and operates under
the Genesis ElderCare name.  Genesis also supplies contract
rehabilitation therapy to over 750 healthcare providers in 21
states.  The Company is headquartered in Kennett Square,
Pennsylvania.


GENOIL INC: Issuing 686K Shares to Close Creditor Settlements
-------------------------------------------------------------
Genoil Inc. (TSX Venture - "GNO") will issue up to 686,193 common
shares at $0.12 - $0.17 to conclude definitive shares for debt
settlement agreements with approximately five creditors. The
agreements represent amounts payable of approximately $106,440.
These creditors have agreed to eliminate these debts in
consideration of common shares of Genoil valued at $0.12 - $0.17.

Genoil is a technology development company providing solutions to
the oil and gas industry through the use of proprietary
technologies. Genoil's shares are listed on the TSX Venture
Exchange under the symbol GNO.

The proposed issue of shares remains subject to Genoil filing
formal application with the TSXV and therefore, remains subject
to regulatory approval.

                           *   *   *

                    Going Concern Uncertainty

In its recent SEDAR filing, the company disclosed that to date the
Corporation has not attained commercial operations from its
various patents and technology rights. $2,698,883 of principal and
interest owed to a note holder was overdue at March 31, 2003. The
future of the Corporation is dependent upon its ability to
maintain the continued financial support of the note holder, and
obtain adequate additional financing to fund the development of
commercial operations from its various patents and technology
rights. The consolidated financial statements are prepared on the
basis that the Corporation will continue to operate throughout the
next fiscal period as a going concern. A failure to continue as a
going concern would then require that stated amounts of assets and
liabilities be reflected on a liquidation basis, which would
differ from the going concern basis.


GENTEK INC: Has Until October 8 to Solicit Acceptances of Plan
--------------------------------------------------------------
At the request of their secured bank group, GenTek Inc. and its
debtor-affiliates agreed to contract their exclusive plan
acceptance period to October 8, 2003.  Accordingly, Judge Walrath
grants the Debtors' request. (GenTek Bankruptcy News, Issue No.
20; Bankruptcy Creditors' Service, Inc., 609/392-0900)


GENUITY INC: Disclosure Statement Hearing Convening on Sept. 30
---------------------------------------------------------------
To recall, the Genuity Inc. Debtors filed their Joint Consolidated
Plan of Liquidation and their proposed Disclosure Statement on
August 26, 2003.  Pursuant to Section 1125 of the Bankruptcy Code,
a Plan Proponent must provide holders of impaired claims with
"adequate information" regarding a debtor's proposed Chapter 11
plan.  Section 1125(a)(1) further provides that:

   "[A]dequate information" means information of a kind, and
   in sufficient detail, as far as is reasonably practicable in
   light of the nature and history of the debtor and the
   condition of the debtor's books and records, that would
   enable a hypothetical reasonable investor typical of holders
   of claims or interests of the relevant class to make an
   informed judgment about the plan . . ."

Thus, a Disclosure Statement must, as a whole, provide
information that is "reasonably practicable" to permit an
"informed judgment" by impaired creditors entitled to vote on the
Plan.

D. Ross Martin, Esq., at Ropes & Gray, LLP, in Boston,
Massachusetts, asserts that the Debtors' Disclosure Statement
contains "adequate information" on applicable subject matters,
including, but not limited to, a discussion of:

   (a) the Plan;

   (b) the history of the Debtors' businesses;

   (c) the Debtors' indebtedness;

   (d) certain events preceding the Debtors' Chapter 11 cases,

   (e) significant events that occurred during the Chapter 11
       cases;

   (f) significant litigation, including inter-creditor and
       debtor-creditor issues directly affecting distribution to
       creditors;

   (g) the administration of the Debtors' estates following
       confirmation of the Plan; and

   (h) tax consequences of the Plan.

Accordingly, Judge Beatty will convene a hearing on
September 30, 2002, at 2:30 p.m., to consider if the Debtors'
Disclosure Statement contains "adequate information" within the
meaning of Section 1125 of the Bankruptcy Code to enable the
Debtors' creditors, who are entitled to vote, to make an informed
decision on whether to accept or reject the Plan of Liquidation.
(Genuity Bankruptcy News, Issue No. 18; Bankruptcy Creditors'
Service, Inc., 609/392-0900)


GILAT SATELLITE: Will Purchase All Shares of rStar Corporation
--------------------------------------------------------------
Gilat Satellite Networks Ltd. (Nasdaq:GILTF) is currently
contemplating a purchase of all outstanding shares of common stock
of rStar Corp. (Nasdaq:RSTRC) not already owned by Gilat at a
price not yet determined but expected to be between $0.60 and
$0.70 per share in cash.

Gilat currently owns approximately 85% of the outstanding shares
of rStar. It is currently anticipated that the purchase would be
made through a tender offer, subject to customary conditions, in
accordance with the rules of the Securities and Exchange
Commission.

Gilat also stated that, if it holds at least 90 percent of the
outstanding rStar shares following completion of the offer, it may
effect a "short-form" merger of rStar with a Gilat subsidiary. If
such a merger takes place promptly after the offer, the
consideration given to stockholders in the merger would be the
same as the consideration received by tendering stockholders in
the offer.

Gilat could determine not to proceed with the offer if in its sole
judgment changes in economic, business or market conditions make
the offer unadvisable to Gilat.

The tender offer for the outstanding rStar common stock described
in this press release has not yet commenced. The Company advises
all security holders to read any such tender offer statement if
and when it is available, because it will contain important
information. If and when they are available, shareholders can get
the tender offer statement and other filed documents for free at
the Securities and Exchange Commission's Web site --
http://www.sec.gov-- or from Gilat.

Gilat Satellite Networks Ltd. -- whose June 30, 2003 balance sheet
shows a total shareholders' equity deficit of about $3.5 million
-- with its global subsidiaries Spacenet Inc., Gilat Latin America
and rStar Corporation, is a leading provider of telecommunications
solutions based on Very Small Aperture Terminal satellite network
technology - with more than 400,000 VSATs shipped worldwide.
Gilat, headquartered in Petah Tikva, Israel, markets the Skystar
Advantage(R), DialAw@y IP(TM), FaraWay(TM), Skystar 360E(TM) and
SkyBlaster* 360 VSAT products in more than 70 countries around the
world. Gilat provides satellite-based, end-to-end enterprise
networking and rural telephony solutions to customers across six
continents, and markets interactive broadband data services. Gilat
is a joint venture partner with SES GLOBAL, and Alcatel Space and
SkyBridge LP, subsidiaries of Alcatel, in SATLYNX, a provider of
two-way satellite broadband services in Europe. Skystar Advantage,
Skystar 360E, DialAw@y IP and FaraWay are trademarks or registered
trademarks of Gilat Satellite Networks Ltd. or its subsidiaries.
Visit Gilat at http://www.gilat.com


GILAT SATELLITE: rStar Receives Notice of Gilat's Purchase Offer
----------------------------------------------------------------
rStar Corporation (Nasdaq-SCM:RSTRC) has received notice from
Gilat Satellite Networks Ltd., (Nasdaq:GILTF) that Gilat is
contemplating a purchase of all outstanding shares of common stock
of rStar that it does not already own.

rStar was informed that Gilat has not yet determined a purchase
price but they expect it to be between $.60 and $.70 per share in
cash. Gilat currently owns approximately 85% of the outstanding
shares of rStar.

Gilat also informed rStar that, if Gilat holds at least 90 percent
of the outstanding rStar shares following completion of the offer,
it may effect a "short-form" merger of rStar with a Gilat
subsidiary. If such a merger takes place promptly after the offer,
the consideration given to stockholders in the merger would be the
same as the consideration received by tendering stockholders in
the offer.

rStar's Board of Directors announced that it will address the
contemplated purchase if and when a specific offer is provided.

Founded in 1997, rStar Corporation (Nasdaq-SCM:RSTRC) is a leading
provider of satellite-based communications services in Latin
America. Through its Starband Latin America (Holland NV)
subsidiary, operates satellite-based rural telephony networks as
well as high-speed consumer Internet access pilot networks for the
SOHO and select consumer market segments in certain Latin American
countries. Gilat Satellite Networks Ltd. (Nasdaq:GILTF) owns
approximately 85% of rStar Corporation's issued and outstanding
common stock. rStar Corporation headquarters are located in
Sunrise, Florida.

Gilat Satellite Networks Ltd. -- whose June 30, 2003 balance sheet
shows a total shareholders' equity deficit of about $3.5 million
-- with its global subsidiaries Spacenet Inc., Gilat Latin America
and rStar Corporation, is a leading provider of telecommunications
solutions based on Very Small Aperture Terminal satellite network
technology - with more than 400,000 VSATs shipped worldwide.
Gilat, headquartered in Petah Tikva, Israel, markets the Skystar
Advantage(R), DialAw@y IP(TM), FaraWay(TM), Skystar 360E(TM) and
SkyBlaster* 360 VSAT products in more than 70 countries around the
world. Gilat provides satellite-based, end-to-end enterprise
networking and rural telephony solutions to customers across six
continents, and markets interactive broadband data services. Gilat
is a joint venture partner with SES GLOBAL, and Alcatel Space and
SkyBridge LP, subsidiaries of Alcatel, in SATLYNX, a provider of
two-way satellite broadband services in Europe. Skystar Advantage,
Skystar 360E, DialAw@y IP and FaraWay are trademarks or registered
trademarks of Gilat Satellite Networks Ltd. or its subsidiaries.
Visit Gilat at http://www.gilat.com


HANGER ORTHOPEDIC: Elects Cynthia L. Feldmann to Board of Direc.
----------------------------------------------------------------
Cynthia L. Feldmann has been elected a director on Hanger
Orthopedic Group, Inc.'s (NYSE: HGR) Board.

Ms. Feldmann has held a series of increasingly responsible
positions in public accounting.  Most recently she was a Partner
with the global accounting firm, KPMG, LLP.  During her career at
KPMG, Ms. Feldmann served as the firm's Northeast Regional
Relationship Partner and as the National Director of the Medical
Technology Practice.  One of her many accomplishments was her work
in leading the Boston Audit Committee Institute Roundtable which
was created to share audit committee and corporate governance best
practices.  Ms. Feldmann joined KPMG in 1994 as a Partner and
National Director of the firm's Medical Technology Practice.
Prior to this, she was employed for 15 years by Coopers & Lybrand
ultimately, as Partner-in-Charge of the National Life Sciences
Practice.

Ms. Feldmann is filling a vacancy that was created by Dr. Risa
Lavizzo- Mourey who resigned in order to handle the increased
responsibilities created by her recent appointment to President
and Chief Executive Officer of the Robert Woods Johnson
Foundation.  Prior to her recent appointment, she served as the
Senior Vice President and Director, Health Care Group, at the
Robert Wood Johnson Foundation, the Sylvan Eisman Professor of
Medicine at the University of Pennsylvania's School of Medicine
and the Director of the Institute on Aging at the University of
Pennsylvania.  Dr. Lavizzo-Mourey served as a member of Hanger's
Board since 1998, including positions on the Audit and Nominating
Committees.

Chairman and Chief Executive Officer, Ivan R. Sabel stated, "Ms.
Feldmann's excellent credentials and experience make her well
suited for joining Hanger's Board of Directors.  We are very
pleased to be able to attract her to our Board and look forward to
the contributions she will make to our company.  At the same time,
we will miss Dr. Lavizzo-Mourey but do understand the commitments
of her new position make it impossible for her to continue on our
Board.  Dr. Lavizzo-Mourey has served Hanger unselfishly and made
many valuable contributions.  We certainly wish her well in her
new endeavors."

Hanger Orthopedic Group, Inc. (S&P, B+ Corporate Credit Rating),
headquartered in Bethesda, Maryland, is the world's premier
provider of orthotic and prosthetic patient-care services. Hanger
is the market leader in the United States, owning and operating
591 patient-care centers in 44 states and the District of
Columbia, with 3,139 employees including 875 certified
practitioners.  Hanger is organized into two business segments:
patient-care, which consists of nationwide orthotic and prosthetic
practice centers, and distribution, which consists of distribution
centers managing the supply chain of orthotic and prosthetic
componentry to Hanger and third party patient-care centers.  In
addition, Hanger operates the largest orthotic and prosthetic
managed care network in the country.


HARRAH'S: Fitch Affirms BB+ Rating over Horshoe Gaming Buy-Out
--------------------------------------------------------------
Fitch Ratings has affirmed Harrah's Entertainment's 'BBB-' senior
unsecured rating and 'BB+' senior subordinated rating.

The affirmation follows the company's recent announcement that it
will acquire Horseshoe Gaming for $1.45 billion, including the
assumption of $533 million in debt. This represents a 7.2x
multiple of Horseshoe's LTM EBITDA of $213 million. Announced
concurrently with the acquisition, the purchase price is expected
to be offset by proceeds from the planned sale of Harrah's
Shreveport (estimated at $220 million - $240 million), though no
buyer has been announced to date. Sale of the Shreveport property
should facilitate regulatory approval and reduce exposure in that
market (Harrah's is acquiring Horseshoe Casino, and currently also
operates the Louisiana Downs in the Bossier City/Shreveport
market). The Rating Outlook remains Stable. The acquisition
enhances Harrah's business profile by adding three market-leading
properties to a well-diversified asset base. However, the
increased debt associated with the transaction reduces the
company's financial flexibility within the rating category.
Affirmation of current ratings incorporates the company's capacity
to reduce debt over the next 12-18 months. The transaction is
expected to close in 1Q04.

With this acquisition, Harrah's adds properties in three markets
in which it already operates (Hammond, Indiana; Tunica
Mississippi; and Shreveport, Louisiana). However, from a strategic
perspective, the acquisition adds two top- performing assets in
two of those markets (Tunica and Shreveport), and provides an
additional hedge in the third (Chicagoland) against the tax-impact
on results in Joliet, Illinois. Management expects the acquisition
to yield approximately $36 million in cost synergies over the next
two years; but this may prove conservative if promotional savings
are exacted. Importantly, the acquisition also provides valuable
branding and cross marketing opportunities. Harrah's indicated
that it plans to use the venerable Horseshoe name in branding new
and existing properties, including potential properties in the
United Kingdom.

From a credit perspective, the transaction can be adequately
absorbed within the existing rating category. Fitch estimates that
on a pro forma LTM basis (excluding the sale of Harrah's
Shreveport), leverage would increase to 3.8 times from 3.3x at
June 30, 2003. Assuming a full year contribution from the
acquisition in 2004, Fitch estimates that Harrah's could finish
the year with leverage in the 3.5x range. While the run-up in
leverage is considerable, Fitch notes that this is consistent with
Harrah's strategy of financing acquisitions with debt, and
thereafter deleveraging in a timely manner. Fitch takes comfort in
Harrah's strong and stable discretionary free cash flow and its
solid track record of integrating acquisitions.

Harrah's intends to initially finance the transaction with
borrowings under its credit facility and proceeds from the
concurrent sale of Harrah's Shreveport. Thereafter, Harrah's has
stated its intention to access the capital markets to term out at
least half of the bank debt added by the transaction. With respect
to Horseshoe's 8.625% senior subordinated notes, Harrah's
indicated that the notes will most likely be redeemed when they
become callable on May 15, 2004, and refinanced at a lower cost.


HOLLYWOOD ENTERTAINMENT: Will Publish Q3 Results on October 13
--------------------------------------------------------------
Hollywood Entertainment Corporation (Nasdaq:HLYW), owner of the
Hollywood Video chain of more than 1,850 video superstores, will
report results of operations for the Company's third quarter on
Monday, October 13, 2003.

The Company will host an investor call at 4:30 p.m. EDT, which may
be accessed by dialing 617-786-2960 and referring to the passcode
81372749. A replay of the call may be accessed by dialing 617-801-
6888 and referring to the passcode 52284741, or by visiting the
home page of the Company's Web site --
http://www.hollywoodvideo.com-- or by visiting
http://www.streetevents.com

As previously reported, Hollywood Entertainment has a working
capital deficit of about $112 million. Its corporate credit
position is rated by Standard & Poor's at B+.


IFCO SYSTEMS: Proposes Placement of 110 Million Euro Bond
---------------------------------------------------------
IFCO Systems N.V.'s board of Directors has passed a resolution for
the placement of a 110 million Euro bond with a maturity in 2010.
IFCO Systems intends to list the planned bond on the Luxembourg
Stock Exchange.

The proceeds of the planned issue will be used to refinance IFCO's
existing senior credit facility as well as provide the company
with additional cash resources.

                          *      *     *

As previously reported in Troubled Company Reporter, Standard &
Poor's withdrew its double-'C' bank loan rating on IFCO Systems
N.V.'s $178 million secured bank credit facility.

At the same time Standard & Poor's withdrew its corporate credit
and subordinated debt ratings on the company, which was lowered to
'D' on March 15, 2002, after IFCO failed to make its interest
payment on its 10.625% senior subordinated notes due 2010.


IMP INC: Files for Chapter 11 Protection in N. California Court
---------------------------------------------------------------
On September 2, 2003, IMP, Inc., a Delaware corporation, filed a
voluntary petition for Chapter 11  bankruptcy protection in the
United States Bankruptcy Court for the Northern District of
California, San Jose division, case no. 03-55665.  No trustee,
receiver or examiner has been appointed, and the Company will act
as a debtor and debtor-in-possession subject to the supervision
and orders of the Bankruptcy Court.


IMP INC: Voluntary Chapter 11 Case Summary
------------------------------------------
Debtor: IMP, Inc.
        166 Baypointe Parkway #166B
        Santa Clara, California 95050

Bankruptcy Case No.: 03-55665

Type of Business: The Debtor makes its own analog and mixed-signal
                  microchips. The company also makes data
                  communications ICs and power management ICs for
                  communications, computer, and systems control
                  applications.

Chapter 11 Petition Date: September 2, 2003

Court: Northern District of California (San Jose)

Judge: Marilyn Morgan

Debtor's Counsel: Scott L. Goodsell, Esq.
                  Campeau, Goodsell and Diemer
                  38 W Santa Clara Street
                  San Jose, CA 95113
                  Tel: 408-295-9555

Total Assets: $16,588,000 (as of Dec. 31, 2002)

Total Debts: $11,994,000 (as of Dec. 31, 2002)


INFORMATION ARCHITECTS: Perceptre Independently Valued at $10MM
---------------------------------------------------------------
Information Architects Corporation's (IACH.OB) lead product,
Perceptre(TM) 2.0 has been valued at US $10.17 million by MSRE,
Inc., an independent research firm based in Lake Oswego, OR.

MSRE tested the functions of the enhanced systems and services
offered by the Perceptre Information Portal including some of the
new Version 2.0 functions, reviewed the materials available from
Perceptre including customer contracts, customer lists, financial
information, as well as other public and proprietary information
sources to determine the viability and value of Perceptre based on
Information Architect's present marketing and sales approach for
this internet-based background search service.

In the report delivered to Information Architects, MSRE further
stated that, "Due to the current circumstances and existing
strategic partnerships with minority owned resellers, Perceptre
will continue to have exceptional leverage with US Federal and
State government contracts and will be able to advance this
opportunity within a decision window that is expected to last
through 2004."

"This independent valuation reinforces to our shareholders the
inherent worth of our Perceptre program. We intend to continue to
prove to the marketplace and investors the value of both Perceptre
as a product, as well as Information Architects as a worthy
collaborator and investment opportunity," commented Michael L.
Weinstein, CEO of Information Architects.

Information Architects Corporation is a holding company focused on
acquiring technology companies in the security/national security
sectors that complement its current software offerings in the
areas of on-line, pre-employment screening and background
investigation, as well as telephone call time recording and
taping. Today, the Company's lead product Perceptre offers its
government and commercial sector customers fast, inexpensive,
best-of-class, on-line background reviews of potential and current
personnel as a "one screen aggregation of data." Records
accessible via the Perceptre secured site, single-name input
include: county, state and federal criminal & civil court records;
motor vehicle records/driving history; personal & business credit
reports; bankruptcy & tax liens; birth certificate & social
security number trace and verification; sexual offender records;
education, employment verification, professional
license/certifications, as well as state workers compensation
search records; and real estate property services; to name a few.

                         *     *     *

On August 21, 2003, the Board of Directors of Information
Architects Corporation decided to terminate the services of
Salberg & Company, P.A. as the Company's auditors, and to engage
Hunter, Atkins and Russell CPA's as the Company's independent
auditors, effectively immediately.

The accountant's report on the financial statements for the past
two years contained a going concern qualification; such financial
statements did not contain any adjustments for uncertainties
stated therein.

At June 30, 2003, Information Architects' balance sheet shows a
working capital deficit of about $1.7 million, and a total
shareholders' equity deficit of about $1.4 million.


INTEGRATED DEFENSE: S&P Affirms BB- Corporate Credit Rating
-----------------------------------------------------------
Standard & Poor's Ratings Services affirmed its ratings, including
the 'BB-' corporate credit rating, on defense electronics supplier
Integrated Defense Technologies Inc. and removed them from
CreditWatch, where they were placed on Feb. 27, 2003. The outlook
is developing. IDT currently has around $200 million in rated
debt.

"The affirmation follows the affirmation of ratings on DRS
Technologies Inc. (corporate credit rating also 'BB-'), which is
in the process of acquiring IDT," said Standard & Poor's credit
analyst Christopher DeNicolo. DRS is acquiring IDT with a
combination of cash and stock for a total consideration of about
$548 million, which includes repaying IDT's outstanding debt. The
transaction is expected to close by the end of 2003.

Huntsville, Alabama-based IDT focuses on defense electronics,
addressing niche markets for electronic test equipment, warfare
simulators, communications monitoring, and specialty radars. Some
well-supported programs, with a high percentage of sole-source
contracts, mitigate participation in the highly competitive
domestic defense industry. Nevertheless, the business risk profile
remains well below average, with the firm facing much larger
defense competitors and normal industry risks of program
cancellations and cost overruns. IDT recently won a contract,
teamed with Cubic Defense Applications, to supply aerial combat
training equipment for U.S. Air Force, Navy, and Marine aircraft
worth a total $535 million (70% of which will go to IDT), the
largest in the company's history.

If the acquisition by DRS proceeds as planned and all of IDT rated
debt is repaid, ratings on IDT will be withdrawn. If the
acquisition is not completed, the ratings will depend on
management's strategy regarding keeping the company independent or
finding another suitor.


INTERMET: Weaker-Than-Expected Cash Flow Spurs S&P to Keep Watch
----------------------------------------------------------------
Standard & Poor's Ratings Services placed its 'BB-' corporate
credit and its other ratings for automotive casting company
Intermet Corp. on CreditWatch with negative implications. As of
June 30, 2003, the Troy, Michigan-based company had about $285
million of debt outstanding.

The CreditWatch listing is the result of weaker-than- anticipated
cash flow generation resulting from very challenging end-markets,
which are not expected to improve materially in the near term,"
said Standard & Poor's credit analyst Eric Ballantine. "In
addition, operating results are not anticipated to improve
significantly in the near term and could potentially lead to
financial covenant violations. The company expects to be in
compliance with its financial covenants in the third quarter and
has initiated conversations with its lending institutions about
potential waivers or amendments if needed."

Intermet's liquidity position continues to weaken, as a result of
limited room under its financial covenants. As of June 30, 2003,
the company had about $20 million in bank credit facility
availability. However, Intermet's financial covenants tighten at
the end of September 2003, which would further erode the company's
liquidity and may result in a covenant violation.

"We expect that if Intermet does break bank covenants, it will be
able to obtain a wavier or amendment. Still, liquidity may not be
sufficient to maintain the current rating," Mr. Ballantine said.

Standard & Poor's will review Intermet's plan to improve liquidity
and operating performance within the context of very difficult
end-markets. Currently, Standard & Poor's believes ratings will
not decline by more than one notch, if at all.


INTEGRATED HEALTH: Plan Declared Effective on September 9, 2003
---------------------------------------------------------------
Joseph M. Barry, Esq., at Young, Conaway, Stargatt & Taylor, LLP,
in Wilmington, Delaware, advises the Court that Integrated Health
Services Inc. and its debtor-affiliates' Amended Reorganization
Plan became effective on September 9, 2003.

Pursuant to the Plan, all entities seeking an award by the
Bankruptcy Code of compensation for services rendered or
reimbursement of expenses incurred through and including the
Confirmation Date under Sections 503(b)(2), 503(b)(3), 503(b)(4),
or 503(b)(5) of the Bankruptcy Code must file and serve with the
Bankruptcy Court their final applications no later than
October 24, 2003. (Integrated Health Bankruptcy News, Issue No.
64; Bankruptcy Creditors' Service, Inc., 609/392-0900)


INTERPOOL INC: Will Pay Cash Dividend on Common Stock on Oct. 15
----------------------------------------------------------------
Interpool, Inc. (NYSE:IPX) will pay a cash dividend of $.0625
cents per share for the third quarter of 2003.

The dividend will be payable on October 15, 2003 to shareholders
of record on October 1, 2003. The aggregate amount of the dividend
is expected to be approximately $1,700,000. The amount of the
quarterly dividend is based on an indicated annualized dividend
rate of 25 cents per share.

Interpool (Fitch, BB+ Preferred Share Rating, Stable) is one of
the world's leading suppliers of equipment and services to the
transportation industry. It is the world's largest lessor of
intermodal container chassis and a world-leading lessor of cargo
containers used in international trade. Interpool operates from
over 240 locations throughout the world.


KAISER ALUMINUM: Obtains Nod to Hire Charles River as Consultant
----------------------------------------------------------------
Kaiser Aluminum Corporation and its debtor-affiliates sought and
obtained the Court's authority to employ Charles River Associates
in the ordinary course of business as management consultants to
provide assessment of the outlook for the heat-treated aluminum
plate market.

Specifically, Charles River's responsibilities will include:

   (a) Assessment of the base year -- 2001/2002 -- plate
       demand/supply balance globally;

   (b) Analysis of plate supply-side issues, including
       calibration of relative costs of key global suppliers and
       future capacity outlook;

   (c) Determining if the Debtors should invest in certain
       equipment from the results of the analyses and
       assessments; and

   (d) Review other strategic implications for the Debtors that
       may originate from the study.

The Debtors reached an agreement with these parties regarding the
employment of Charles River:

   * the Official Committee of Unsecured Creditors;

   * the Official Committee of Asbestos Claimants;

   * the United States Trustee for the District of Delaware; and

   * Martin J. Murphy, the legal representative of future
     asbestos claimants.

The Debtors will pay Charles River, on a monthly basis, not more
than $50,000 during any six-month period.  The terms of Charles
River's compensation will only apply to the heat-treated aluminum
plate market assessment project. (Kaiser Bankruptcy News, Issue
No. 32; Bankruptcy Creditors' Service, Inc., 609/392-0900)


LEGACY HOTELS: Will Participate in Scotia Conference on Wed.
------------------------------------------------------------
Legacy Hotels Real Estate Investment Trust (TSX:LGY.UN) will
participate in Scotia Capital's Seventh Annual 'Back to School'
Conference held in Toronto on September 24, 2003.

Neil J. Labatte, Legacy's President and Chief Executive Officer,
will present at approximately 1:20 p.m. Eastern Time.

Interested participants can access a live audio webcast of the
presentation and slide materials through Legacy's website at
http://www.legacyhotels.ca. A replay of the presentation will be
archived for 90 days. The webcast will last for approximately 40
minutes.

Legacy is Canada's premier hotel real estate investment trust with
24 luxury and first-class hotels and resorts with over 10,000
guestrooms located in Canada and the United States. The portfolio
includes landmark properties such as Fairmont Le Chateau
Frontenac, The Fairmont Royal York, The Fairmont Empress and The
Fairmont Olympic Hotel, Seattle.

                           *   *   *

As previously reported, Standard & Poor's Ratings Services
downgraded its ratings on Legacy Hotels Real Estate Investment
Trust (Legacy REIT or the trust) to 'BB-'. At the same time, the
senior unsecured debt rating was lowered to 'B+' from 'BB+'. The
outlook is negative.

The 'BB-' long-term corporate credit rating on Legacy REIT
reflects the deterioration of its business risk profile and
financial risk profile. Legacy REIT's credit strengths include a
portfolio of good quality real estate assets and its prominent
market position. Legacy REIT's credit weaknesses include the
aggressive business and financial policies of management, weak and
deteriorating credit measures, liquidity concerns, and uncertainty
in the lodging sector in general. Standard & Poor's is concerned
with Legacy REIT's business and financial strategies given a
challenging lodging environment when it is experiencing weakening
credit measures.


LENNOX INT'L: Will Present at Morgan Stanley Conference Tomorrow
----------------------------------------------------------------
Rick Smith, chief financial officer of Lennox International Inc.
(NYSE: LII), will speak at the Morgan Stanley Convertible
Conference on Tuesday, September 23, beginning at 10:30 a.m.
Mountain Time.  The presentation will be broadcast live on the
Internet at http://www.lennoxinternational.comand will be
archived on the Web site for the next 30 days.

A Fortune 500 company operating in over 100 countries, Lennox
International Inc. (S&P, BB- Corporate Credit Rating, Stable) is a
global leader in the heating, ventilation, air conditioning, and
refrigeration markets.  Lennox International stock is traded on
the New York Stock Exchange under the symbol "LII".  Additional
information is available at http://www.lennoxinternational.com


MAJESTIC STAR: Amends Consent Solicitation & Notes Tender Offer
---------------------------------------------------------------
The Majestic Star Casino, LLC and The Majestic Star Capital Corp.
announced that it has amended the terms of its offer to purchase
and consent solicitation for its 10 7/8% Senior Secured Notes due
2006 as follows:

     * Holders who tendered their Notes and delivered their
       Consents prior to 5:00 p.m., New York City time, on
       Thursday, September 18, 2003 may validly withdraw those
       tenders and may validly revoke those Consents at any time
       prior to 5:00 p.m., New York City time, on Monday,
       September 22, 2003 by following the procedures set forth
       in the Amended Offer Documents referred to below.  Any
       Notes tendered and any Consents delivered prior to 5:00
       p.m., New York City time, on Thursday, September 18, 2003
       that are not validly withdrawn or revoked prior to 5:00
       p.m., New York City time, on Monday, September 22, 2003
       may not be withdrawn or revoked thereafter.

     * Holders who tender their Notes and deliver their Consents
       on or after 5:00 p.m., New York City time, on Thursday,
       September 18, 2003 will have no withdrawal rights and may
       not withdraw those tenders and may not revoke those
       Consents at any time.

     * The Consent Date has been extended to 5:00 p.m., New
       York City time, on Monday, September 22, 2003.

     * The Expiration Date has been extended to 5:00 p.m., New
       York City time, on Wednesday, October 1, 2003.

As of 5:00 p.m., New York City time, on Wednesday, September 17,
2003, $44,805,000 of the aggregate outstanding principal amount of
Notes had been tendered in the Offer and Consent Solicitation.

The complete terms and conditions of the Offer and Consent
Solicitation are set forth in the Offer to Purchase and Consent
Solicitation Statement dated August 26, 2003 and the related
Letter of Transmittal, as amended by Supplement No. 1 thereto
dated September 18, 2003.

The Majestic Star Casino, LLC is a multi-jurisdictional gaming
company that directly owns and operates one dockside gaming
facility located in Gary, Indiana and, pursuant to a 2001
acquisition through its unrestricted subsidiary, Majestic Investor
Holdings, LLC, owns and operates three Fitzgeralds brand casinos
located in Tunica, Mississippi, Black Hawk, Colorado and downtown
Las Vegas, Nevada.  For more information about the Company, visit
http://www.majesticstar.comor http://www.fitzgeralds.com

The Majestic Star Casino, LLC and Majestic Investor Holdings, LLC
make available free of charge their annual reports on Form 10-K,
quarterly reports on Form 10-Q, current reports on Form 8-K and
all amendments to those reports as soon as reasonably practicable
after such material is electronically filed with or furnished to
the Securities and Exchange Commission.  You may obtain a copy of
such filings at http://www.sec.govor from applicable Web sites.

                           *  *  *

As reported in the Troubled Company Reporter's September 2, 2003
edition, Standard & Poor's Ratings Services placed its 'B'
corporate credit rating for Majestic Star Casino LLC on
CreditWatch with positive implications following the company's
announcement that it plans to refinance the existing debt at both
Majestic Star and at its unrestricted subsidiary, Majestic
Investor Holdings LLC. Standard & Poor's has determined that if
the transaction closes under terms substantially in line with
those described, the corporate credit rating for Majestic Star
will be raised to 'B+'.

At the same time, Standard & Poor's assigned its 'BB-' rating to
Majestic Star's proposed $80 million four-year senior secured
credit facility, and a 'B' rating to its proposed $270 million
senior secured notes due 2010. Gary, Indiana-based Majestic Star
is a casino owner and operator. Pro forma for this transaction,
Standard & Poor's expects that total debt outstanding at June 30,
2003, would have been $306 million.


MARYLEBONE ROAD: Class A-3 Rating Cut to Speculative Grade Level
----------------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on
Marylebone Road CBO 3 B.V.'s class A-2 and A-3 tranches of credit-
linked notes due 2013. The ratings remain on CreditWatch with
negative implications, where they were placed June 13, 2003. At
the same time, the rating on the class A-1 tranche was affirmed
and removed from CreditWatch where it was placed June 13, 2003.

The rating actions follow three declared credit events, estimated
and final valuations of those defaulted obligations, and further
deterioration of credit quality that has occurred in the
underlying Eur850 million reference portfolio.

The ratings reflect the credit quality of the reference credits,
the level of credit enhancement provided by subordination, and
Marylebone Road CBO 3's ability to meet its payment obligations as
issuer of the credit-linked notes.

           RATINGS LOWERED AND REMAINING ON CREDITWATCH
                   Marylebone Road CBO 3 B.V.

        Class                         Rating
                                  To          From
        A-2                       AA/Neg      AAA/Neg
        A-3                       BB+/Neg     A/Neg

            RATINGS AFFIRMED AND REMOVED FROM CREDITWATCH
                   Marylebone Road CBO 3 B.V.
        Class                         Rating
                                  To          From
        A-1                       AAA         AAA/Neg


MORRIS PUBLISHING: Reports Improved Second Quarter Performance
--------------------------------------------------------------
Morris Publishing Group LLC announced its results of operations
for the second quarter ended June 30, 2003.  The Company reported
that revenue increased by 2.0% in the second quarter over the same
period a year ago, driven by growth in all advertising categories:
retail, classified and national.  Total revenues for the second
quarter were $111.1 million.

Total advertising revenues were up 2.5% for the second quarter and
up 2.5% year to date, driven by all three categories of
advertising.  Retail advertising was up 1.7% for the second
quarter and 1.6% year to date. Classified advertising revenue was
up 2.3% for the second quarter and 3.3% year to date.  National
revenue was up 9.8% for the second quarter and 5.5% year to date.
Circulation revenue was down 0.7% for the second quarter and 0.8%
year to date.

William S. Morris IV, chief executive officer, said this quarter's
revenue represents a continued stable growth trend.  "We are
pleased with our revenue improvement in the second quarter,
particularly that increases were seen in all categories of
advertising."

EBITDA (net income before net interest expense, including
amortization of debt issuance costs, provision for income taxes,
depreciation and amortization expense) for the June 2003 fiscal
quarter was $28.7 million.  The results represent lower EBITDA
than the same period last year due to the planned expenses
associated with investments in shared services initiatives.
EBITDA margin for the June 2003 fiscal quarter was 25.8%, in line
with the full-year 2002 EBITDA margin.

On August 7, 2003, the Company and its parent, Morris
Communications Company LLC realigned various aspects of their debt
and capital structure, including the following:

     - The Company issued $250.0 million in aggregate principal
       amount of its 7% Senior Subordinated Notes due 2013,
       issued under an Indenture with Wachovia Bank, National
       Association, as trustee.

     - The Company entered into new $400.0 million senior
       secured credit facilities, which rank senior to the notes
       and are guaranteed by Morris Communications and its
       restricted subsidiaries, including all of the Company's
       existing subsidiaries.

     - The Company repaid its intercompany debt due to its
       parent, Morris Communications, which in turn repaid its
       existing senior secured credit facilities. As a result,
       the Company incurred a non-cash financing loss on
       extinguishment of debt of approximately $6.4 million
       related to the write-off of unamortized deferred loan
       costs.

     - Morris Communications contributed various real estate and
       trademarks primarily used in the newspaper business to
       the Company. The Company distributed to Morris
       Communications various parcels of real estate and related
       personal property that are not part of the newspaper
       business. These contributions and distributions will not
       affect the combined financial statements of the Company.

     - The Company entered into a management agreement with
       Morris Communications, whereby Morris Communications and
       its subsidiary, Mstar Solutions, will provide a wide
       range of management and general corporate services to the
       Company for certain fees payable by the Company.

Total debt outstanding at June 30, 2003, proforma for these and
other related transactions was $550.0 million.

Morris Publishing Group LLC is a wholly owned subsidiary of Morris
Communications Company LLC, a privately held media company based
in Augusta, Ga.  Morris Publishing Group was formed in 2001 and
assumed the operations of the newspaper business segment of its
parent, Morris Communications.  Morris
Publishing publishes 26 daily, 10 nondaily and 23 free community
newspapers in the United States.

                        *   *   *

As reported in the Troubled Company Reporter's July 28, 2003
issue, Standard & Poor's Ratings Services assigned its 'BB'
corporate credit rating to Morris Publishing Group LLC.

At the same time, Standard & Poor's assigned its 'BB' rating to
the company's planned $450 million senior secured credit
facilities. These bank loan facilities will consist of a $200
million 7-year revolving credit facility and $250 million 7.5-year
term loan. In addition, a 'B+' rating was assigned to the planned
$200 million senior subordinated notes due 2013 of Morris
Publishing and its subsidiary, co-issuer Morris Publishing Finance
Co. Proceeds will be used to repay Morris Publishing's existing
debt to holding company parent Morris Communications Co. LLC,
which will repay its existing credit facilities. The outlook is
stable for the Augusta, Georgia-headquartered media company. Pro
forma for the debt transactions, Morris Publishing will have about
$550 million of debt outstanding.


MEDICALCV INC: Seeking Additional Financing to Fund Future Ops.
---------------------------------------------------------------
Medicalcv Inc. is a cardiothoracic surgery device manufacturer.
Its primary products are mechanical heart valves known as the
Omnicarbon Series 3000 and Series 4000, which it manufactures and
markets.  Its heart valves are used to treat heart failure caused
by the aging process, heart diseases, prosthetic heart valve
failure and congenital defects.  To date, it has distributed the
Omnicarbon 3000 and 4000 heart valves primarily in Europe, South
Asia, the Middle East and the Far East.  In fiscal year 2003, it
derived 62 percent of its net sales from Europe.  As an innovator
of heart valve technology, the Company has more than 33 years of
experience in developing, manufacturing and marketing five
generations of heart valves, and has sold approximately 140,000
heart valves worldwide.

As of July 31, 2003, Medicalcv had an accumulated deficit of
$18,194,058 and has incurred losses in each of the last seven
fiscal years.  Since 1994, it has invested in developing a
bileaflet heart valve, a proprietary pyrolytic carbon coating
process and obtaining premarket approval from the FDA to market
its Omnicarbon 3000 heart valve in the U.S.  Company strategy has
been to invest in technology to better position it competitively
once FDA premarket approval was obtained.  It is expected that
cumulative net losses will continue at least through fiscal year
2004 because of anticipated spending necessary to market the
Omnicarbon 3000 heart valve in the U.S. and to establish and
maintain a strong marketing organization for domestic and foreign
markets.

The Company's ability to continue as a going concern depends upon
its ability to obtain additional debt and/or equity financing in
the second quarter of fiscal year 2004. It is currently seeking
additional financing to fund its operations and working capital
requirements.  The Company cannot provide any assurance, however,
that such additional financing will be available on terms
acceptable to it or at all. It will need to obtain additional
capital prior to the maturity date of its revolving line of credit
with PKM on September 17, 2003, or otherwise extend or restructure
this debt to continue operations.

Medicalcv anticipates that it will need to raise between
$8,000,000 and $10,000,000 of additional equity or debt financing
to fund operations and working capital requirements beginning in
September 2003.  It expects to face substantial difficulty in
raising funds in the current market environment and has no
commitments at this time to provide the required financing.  If it
does obtain the foregoing financing, it believes it will have
sufficient capital resources to operate and fund the growth of its
business for the remainder of fiscal year 2004 and fiscal year
2005.

There is no assurance, however, that it will be able to raise
sufficient additional capital on terms that it considers
acceptable, or at all.  The terms of any equity financing are
expected to be highly dilutive to its existing security holders.
The delisting of its securities from the Nasdaq SmallCap Market
that occurred in March 2003 will negatively affect its ability to
raise capital.  If unable to obtain adequate financing on
acceptable terms, the Company has indicated that it will be unable
to continue operations.


MERITAGE CORP: Prices Add-On Offering of 9.75% Senior Notes
-----------------------------------------------------------
Meritage Corp. (NYSE: MTH) has priced an add-on offering of $75
million in aggregate principal amount of its 9.75% senior notes
due June 1, 2011.

The notes were priced at 109.0% of their face amount implying a
yield to worst of 7.642%. The company intends to use the net
proceeds from the offering for general corporate purposes, which
will include the paydown of the company's senior credit facility.
Closing of the offering is expected to occur on Sept. 25, 2003.

These notes will be issued under an add-on provision of the
indenture that governs the 9.75% senior notes due 2011 issued by
Meritage on May 31, 2001 and Feb. 21, 2003. Collectively, they
will constitute a single series of notes with those notes,
bringing the aggregate principal amount outstanding of the 9.75%
senior notes due 2011 to $280 million. In connection with the
offering, the company has agreed to file an exchange offer
registration statement under the Securities Act in order to
exchange the unregistered notes for substantially identical
registered notes. Following the exchange offer, the notes will be
identical to and trade with the 9.75% senior notes due 2011 issued
by Meritage on May 30, 2001 and Feb. 21, 2003.

The notes have been offered only to qualified institutional buyers
in the United States under Rule 144A under the Securities Act of
1933, as amended, and certain investors outside of the United
States under Regulation S under the Securities Act. The offering
of the notes has not been registered under the Securities Act or
any state securities laws and the notes may not be offered or sold
in the United States absent registration or an applicable
exemption from the registration requirements of the Securities Act
and applicable state securities laws.

Meritage Corp. (Fitch, BB Senior Unsecured Debt Rating, Stable)
designs, builds and sells distinctive single-family homes ranging
from entry-level to semi-custom luxury. Meritage operates in the
Phoenix and Tucson, Ariz., markets under the Monterey Homes,
Hancock Communities and Meritage Homes brand names; in the
Dallas/Ft. Worth, Austin and Houston, Texas, markets as Legacy
Homes and Hammonds Homes; in the East San Francisco Bay and
Sacramento, Calif., markets as Meritage Homes; and in the Las
Vegas, market as Perma-Bilt Homes.


MERRILL LYNCH: S&P Downgrades Class F Notes Rating a Notch to B-
----------------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on class F
of Merrill Lynch Mortgage Investor's mortgage pass-through
certificates series 1995-C3. At the same time, ratings were raised
on classes C, D, and E, and ratings were affirmed on classes A-3
and B from the same transaction.

The rating actions reflect the increase in credit support levels
from a 62% paydown of the loan pool and improved financial
performance of the remaining properties in the loan pool, with a
year-end 2002 net cash flow weighted average debt service coverage
ratio of 1.48x (85% of loans reporting), up from 1.31x at
issuance. These are offset by the potential losses associated with
three real estate owned (REO) properties ($7.4 million, 3.0% of
loan pool) and three 90-plus days delinquent loans ($12.4
million, 5.1%).

As of August 2003, the loan pool balance was $243.28 million with
72 loans, down from $643.60 million with 149 loans at issuance. In
addition to the specially serviced loans mentioned above, as of
August 2003 there were 13 loans ($48.1 million, 19.8%) on the
master servicer's (GMAC Commercial Mortgage), watchlist. To date,
realized losses to the trust total $2.2 million.

Three of the specially serviced loans (two REO and one 90-plus
days delinquent totaling $6.8 million, 2.8%) secured by former
Ramada Inn Hotels, have the same borrower. One REO hotel in
Atlanta, Georgia. recently sold for a realized loss of
approximately $3.4 million, which should be reflected in the next
trustee report. The special servicer, CRIIMI Mae Services L.P., is
reviewing an offer on the other REO hotel in Nashville, Tennessee.
The total exposure balance is $2.8 million; the hotel was
appraised for $800,000 in March 2003. CRIIMI Mae anticipates a
loss of approximately $2.2 million on this loan. Currently, there
are some prospective buyers to purchase the property. Lastly, the
borrower has secured financing to pay off the other delinquent
loan for a hotel in Montgomery, Alabama. The loan balance is
$795,000, and the closing is expected to occur by Sept. 30, 2003.

CRIIMI Mae has accepted a $1.25 million offer to sell the third
REO property (total exposure is approximately $2.0 million), an
EconoLodge Hotel in Memphis, Tennessee. The sale is projected to
close by Oct. 16, 2003. The seventh largest loan in the pool is
one of the 90-plus days delinquent loans. The $7.3 million loan,
secured by a 49,000-square-foot retail center, consisting of three
buildings, in Orlando, Florida, was appraised at $9.9 million in
February 2003. The loan transferred to special servicing in August
2002 due to imminent monetary default when several tenants vacated
the property due to a decline in business. The year-end 2002 DSCR
was 0.99x, with an occupancy of 87%. The borrower plans to sell
one of the buildings and use the proceeds to pay down a portion of
the loan balance. Lastly, the borrower of the remaining 90-plus
day delinquent loan ($4.3 million, 1.8%) recently agreed to a
deed-in-lieu of foreclosure, which the special servicer expects to
close by mid October 2003. The collateral is a 181,332-sq.-ft.
retail center in Cadillac, Michigan. Kmart, the anchor tenant,
recently rejected its lease and vacated 114,240 sq. ft. (63% of
the center). As of June 2003, the property was 33% occupied, with
a DSCR of 0.76x.

Standard & Poor's is concerned with two of the top 10 loans (first
and fourth) on the watchlist. The borrower of the largest loan
($12.8 million, 5.3%), a multifamily complex in Arlington, Texas,
reported a decline in year-end 2002 DSCR to 1.00x from 1.37x at
issuance. As of September 2003, the borrower reported an occupancy
of 93.3%, similar to the 94% occupancy rate at issuance. The
fourth largest loan ($9.0 million, 3.7%), secured by a multifamily
complex in Taylors, South Carolina, reported a decline in DSCR to
0.78x from 1.28x at issuance. Seven of the remaining 11 loans are
on the watchlist due to DSCR below 1.10x, and the other four loans
due to a decline in occupancy at the properties.

Standard & Poor's stressed the specially serviced loans and some
of the watchlist loans in its analysis, and the stressed credit
enhancement levels adequately support the rating actions.

The loan pool has multiple property types that include multifamily
(60%), retail (23%), and healthcare (10%). The properties are
geographically disbursed throughout 25 states; Texas, with 36% of
the loan pool balance, is the only state with a concentration in
excess of 10%.

                      RATINGS LOWERED

              Merrill Lynch Mortgage Investors Inc.
            Mortgage pass-through certs series 1995-C3

                    Rating
        Class   To          From   Credit Support (%)
        F       B-          B                   5.69

                      RATINGS RAISED

              Merrill Lynch Mortgage Investors Inc.
           Mortgage pass-through certs series 1995-C3

                    Rating
        Class   To          From   Credit Support (%)
        C       AAA         AA+                51.99
        D       AA          BBB+               36.11
        E       BB+         BB                 17.60

                     RATINGS AFFIRMED

              Merrill Lynch Mortgage Investors Inc.
          Mortgage pass-through certs series 1995-C3

        Class   Rating   Credit Support (%)
        A-3     AAA                  81.09
        B       AAA                  65.22


NAT'L CENTURY: Seeks Clearance for Garland Settlement Agreement
---------------------------------------------------------------
Joseph M. Witalec, Esq., at Jones, Day, Reavis & Pogue, in
Columbus, Ohio, relates that before the Petition Date, pursuant
to a Sales and Subservicing Agreement, NPF XII, Inc. purchased
certain eligible accounts receivable from Garland Physicians'
Hospital, Ltd.  In December 2002, Garland and certain of the
Debtors, including NPF XII, entered into a settlement agreement
under which the parties settled the amounts due under the
accounts receivable financing program.

Garland and NPF-LL, Inc. are parties to an Equipment Lease
Agreement dated December 17, 2001.  The Lease Documents were
unaffected by the December 2002 settlement.  Garland remains
obligated to continue making payments under the Lease Agreement.
However, since March 17, 2003, when Garland made only a partial
payment, Garland has been in default under the Lease.  Garland
failed to make any subsequent monthly payments.  The aggregate
amount payable to NPF-LL under the Lease Documents as of August
2003 is $2,222,790.

Subsequently, Garland advised NPF-LL that it is unable to perform
its payment obligation under the Lease.  In connection with its
financial restructuring, Garland entered into an agreement for
the sale of substantially all of its assets to Vista Hospital of
Dallas, L.P.  To consummate the Vista Transaction, Garland must
agree to acquire and transfer the Leased Equipment to Vista Land
& Equipment, LLC, which is an affiliate of Vista Hospital.

After arm's-length negotiations, NPF-LL, Garland and The
Provident Bank, in its capacity as agent for the Debtors' secured
bank lenders, entered into a Settlement Agreement.  The principal
terms of the Agreement are:

A. Settlement Amount

   Garland will cause Vista Land to pay $1,650,000 to the NPF-LL
   cash collateral account at Provident by wire transfer at the
   time that the Leased Equipment is transferred to Vista Land.
   The Provident account details are:

   The Provident Bank
   Cincinnati, Ohio
   ABA # 042 000 424
   Acct # 0521 303
   Acct Name: NPF LL, Inc./Provident Bank Cash Collateral
   Account Attn: Jay Clements (513) 579-2064

B. Transfer of Title

   On payment of the Settlement Amount, NPF-LL will transfer its
   interests in the Leased Equipment to Vista Land as Garland's
   designee.

C. Transfer of Liens to Proceeds

   The conclusion of the relationship between NPF-LL and Garland,
   and the release of NPF-LL's interests under the Lease
   Documents in the Leased Equipment, will bind any and all
   parties that may assert a lien, claim or interest in or to the
   Lease Documents, with any liens transferring to the proceeds.
   The Leased Equipment will be transferred to Vista Land free
   and clear of all adverse claims, liens and interests, with
   claims, liens and interests attaching to the Settlement
   Amount.

D. Mutual Releases

   The Settlement Agreement provides for an exchange of mutual
   releases between NPF-LL and Provident, on the one hand, and
   Garland on the other hand, on the terms and subject to the
   conditions set forth in the Settlement Agreement.

NPF-LL believes that the proposed settlement will maximize the
recovery under the Lease Documents.  If the settlement is not
consummated, Garland has indicated that it may have difficulty
continuing normal business operations.  If that occurs, the
Debtors would be required to exercise their remedies, at
additional costs, to collect Garland's outstanding obligations
under the Lease Documents.  There is no assurance that the
Debtors would be able to collect as much as they will receive
pursuant to the Settlement Agreement.

Accordingly, the Court authorizes the Debtors to enter into the
Garland Settlement Agreement and implement it. (National Century
Bankruptcy News, Issue No. 22; Bankruptcy Creditors' Service,
Inc., 609/392-0900)


NAT'L CONSTRUCTION: Feb. 28 Net Capital Deficit Widens to C$920K
----------------------------------------------------------------
National Construction Inc. (TSX Venture Exchange: NAT, OTCBB:
NATS) announced results for the year-ended February 28, 2003. (All
subsequent amounts are expressed in Canadian dollars, unless
specified otherwise).

                Year-ended February 28, 2003

Revenues were $68.3 million for the year ended February 28, 2003
compared to $29.4 for the year ended February 28, 2002. Gross
profit for the year totaled $0.7 million compared to $2.8 million
for the year-ended February 28, 2002. Selling, general and
administrative expenses totaled $4.8 million compared to $5.2
million 2002. The net loss for the year-ended February 28, 2003
was $4.2 million compared to $2.9 million last year.

At February 28, 2003, the Company's balance sheet shows a total
shareholders' equity deficit of about $920,000.

National announced that it is restating its financial statements
for the first quarter ended May 31, 2002. The impact of the
restatement is the elimination of future income tax assets of
$573,557 at May 31, 2002.

National also announced that it has reached a settlement of $1.4
million for a major claim on the Interquisa Canada PTA (Purified
Terephthalic Acid Plant) project in Montreal East.

The complete financial statements for the year-ended February 28,
2003 and restated financial statements for the three months ended
May 31, 2002 are available at SEDAR at http://www.sedar.com

National Construction Inc. is a multi-trade industrial
construction and maintenance contracting services company
primarily servicing Eastern Canada. Established in 1941, National
provides piping, mechanical installation, electrical and
instrumentation services to industrial clients, mainly in the
petrochemical and chemical, oil and natural gas, energy, pulp and
paper, and mining and metallurgy sectors. National also provide
maintenance services for operating facilities in the petrochemical
industry.

National currently has four subsidiaries, National Construction
Group Inc., National Maintenance Inc; Auprocon Limited and
Entretien Industriel N-S Inc. all of which are wholly-owned.


NEXTEL COMMS: Will Redeem All 9.75% and 12% Redeemable Notes
------------------------------------------------------------
Nextel Communications Inc. (NASDAQ:NXTL) will redeem all of its
9.75% Senior Serial Redeemable Discount Notes due 2007 and 12%
Senior Serial Redeemable Notes due 2008. About $912 million in
principal amount of the 9.75% notes, and about $274 million in
principal amount of the 12% notes, were outstanding as of June 30,
2003.

The redemption of the 9.75% notes is being made pursuant to the
terms of the notes. The 9.75% notes are redeemable at Nextel's
option at a redemption price equal to 102.4375% of the outstanding
principal amount plus an amount equal to accrued but unpaid
interest. The redemption date for the 9.75% notes has been set for
October 31, 2003.

The redemption of the 12% notes is being made pursuant to the
terms of the notes. The 12% notes are redeemable at Nextel's
option at a redemption price equal to 106.0% of the outstanding
principal amount plus an amount equal to accrued but unpaid
interest. The redemption date for the 12% notes has been set for
November 1, 2003.

Nextel Communications (S&P, BB- Corporate Credit Rating, Stable),
a Fortune 300 company based in Reston, Va., provides fully
integrated wireless communications services across the United
States through its all-digital wireless network.


N-VIRO INTERNATIONAL: Red Ink Continued to Flow in 2nd Quarter
--------------------------------------------------------------
N-Viro International Corp. (OTC Bulletin Board: NVIC.OB) announced
the Company's financial results through the second quarter of
2003.

                    Second Quarter Results

Overall revenue increased $168,000, or 14%, to $1,408,000 for the
quarter ended June 30, 2003 from $1,240,000 for the quarter ended
June 30, 2002.  The increase in revenue was due primarily to the
addition of service fee revenue for the management of alkaline
admixture in 2002.  Gross profit decreased $16,000, or 4%, to
$346,000, primarily due to the increased percentage of
total revenue derived from the service fees for the management of
alkaline admixture.  The gross profit margin decreased to 25% from
29%, and was the net result of an increase in costs on purchasing
the alkaline admixture used in the process, offset by a decrease
in costs to start up the soil blending operation, started in May,
2002.

Operating expenses increased $132,000, or 26%, to $644,000,
primarily due to an increase of $232,000 in insurance and outside
professional fees, partially offset by a decrease of $100,000 in
personnel-related, selling and stockholder relation costs.
Included in the increase of $232,000 for insurance and outside
professional fees was $86,000 for expenses related to a
derivative action filed by a stockholder, and $82,000 in one-time
costs, paid for in the prior year and previously deferred in the
Company's balance sheet, related to the contracts with investment
banking firms to obtain equity and debt financing.

As a result of the foregoing factors, the Company recorded an
operating loss of $298,000 for the second quarter of 2003 compared
to an operating loss of $150,000 for the same period in 2002, an
increase in the loss of $148,000.

Net nonoperating expense increased by $110,000 to a net
nonoperating expense of $87,000 for the second quarter of 2003
from net nonoperating income of $23,000 for 2002.  The increase
was primarily due to an increase in interest expense of $59,000
and a decrease of income of $42,000 in the equity of a joint
venture, to a loss of $15,000 in 2003 from income of $27,000 in
2002.

Basic and diluted loss per share was $0.15 for the second quarter
2003 as compared to a loss per share of $0.05 for the same period
in 2002.

                     Year-to-Date Results

Overall revenue decreased $5,000, or 0.2%, to $2,653,000 for the
six months ended June 30, 2003 from $2,658,000 for the six months
ended June 30, 2002.  The decrease in revenue was due primarily to
increased service fee revenue for the management of alkaline
admixture.  Gross profit decreased $154,000, or 18%, to $678,000
for the six months ended June 30, 2003 from $832,000 for the six
months ended June 30, 2002.  This decrease in gross profit was
primarily due to the increase in the cost of supplying alkaline
admixture to all domestic facilities and additional product
shipping costs at its management facility operation.  The gross
profit margin decreased to 26% from 31%, and was primarily due to
the increased costs associated with the sale of alkaline admixture
and the Company's management facility operation for the same
period.

Operating expenses increased $113,000, or 11%, to $1,095,000 for
the six months ended June 30, 2003 from $982,000 for the six
months ended June 30, 2002.  The increase was primarily due to an
increase of $270,000 in insurance and outside professional fees,
partially offset by a decrease of $159,000 in personnel-related,
selling and stockholder relation costs. Included in the increase
of $270,000 for insurance and outside professional fees was
$142,000 for expenses related to a derivative action filed by a
stockholder, and $82,000 in one-time costs, paid for in the prior
year and previously deferred in the Company's balance sheet,
related to the contracts with investment banking firms to obtain
equity and debt financing.

As a result of the foregoing factors, the Company recorded an
operating loss of $417,000 for the six months ended June 30, 2003
compared to an operating loss of $150,000 for the six months ended
June 30, 2002, an increase in the loss of $267,000.

Net nonoperating expense increased by $153,000 to a net
nonoperating expense of $105,000 for the six months ended June 30,
2003 from net nonoperating income of $48,000 for the six months
ended June 30, 2002.  The increase was primarily due to an
increase in interest expense of $75,000 and a decrease of income
of $65,000 in the equity of a joint venture, to a loss of
$13,000 in 2003 from income of $52,000 in 2002.

Basic and diluted loss per share was $0.20 for the six months
ended June 30, 2003 as compared to a loss per share of $0.04 for
the same period in 2002.

Commenting on the results, Terry J. Logan, Company CEO stated, "We
are encouraged by the increase in ongoing revenues this year
compared to last year of almost $92,000, but this increase has
brought with it exposure to additional costs that has adversely
impacted our gross profit.  Late last month we finished litigation
with a stockholder that impacted us directly in the form of
increased professional fees and indirectly with time spent by
management and our board.  We hope to put this chapter behind us
and refocus efforts to become profitable."

N-Viro International Corporation develops and licenses its
technology to municipalities and private companies.  N-Viro's
patented processes use lime and/or mineral-rich, combustion
byproducts to treat, pasteurize, immobilize and convert wastewater
sludge and other bio-organic wastes into biomineral agricultural
and soil-enrichment products with real market value.  More
information about N-Viro International can be obtained by
contacting the office or on the Internet at http://www.nviro.com

As reported in the Troubled Company Reporter's September 19, 2003
edition, in February 2003 the Company closed on an $845,000 credit
facility with a local bank.  This senior debt credit facility is
comprised of a $295,000 four year term note at 7.5% and a line of
credit up to $550,000 at Prime plus 1 % and secured by a first
lien on all assets of the Company.  The Company will use the funds
to refinance existing debt and to provide working capital.
Previously, the Company had a $750,000 line of credit with another
financial institution, secured by a $400,000 restricted
Certificate of Deposit, required and held by this financial
institution.  Effectively, the former line of credit provided only
$350,000 of additional working capital.  The effective increase in
the line will provide the Company with additional working capital,
and the debt refinance will provide lower cost and longer term
debt, improving cash flow.  To secure the credit facility, the
Company was required by the financial institution to obtain
Additional Collateral of $100,000 from a real estate mortgage from
a third party.  Messrs. J. Patrick Nicholson, the Chairman of the
Board and Consultant to the Company; Michael G. Nicholson, the
Company's Chief Operating Officer and a Director; Robert F.
Nicholson, a Company employee, and Timothy J. Nicholson, a Company
employee, collectively provided the $100,000 Additional
Collateral.  In exchange for their commitment, the Company has
agreed to provide the Nicholsons the following: (1) an annual fee
in an amount  equal to two percent (2%) of the aggregate value of
the Mortgage or Mortgages encumbering the Additional Collateral,
which fee originally shall be $2,000.00 per annum;  (2) interest
at an annual rate of 5% of the aggregate value of the Mortgage or
Mortgages encumbering the Additional Collateral beginning on the
first anniversary date of the closing of the Credit Facility, and
(3) grant, jointly, a warrant to acquire in the aggregate, 50,000
shares of the Company's voting common stock at a purchase price of
$0.90 per share, which was the closing market price of the
Company's common stock on the prior business day to the closing of
the Credit Facility.  In addition, the Company granted to the
Nicholsons a lien upon the Company's inventory and accounts
receivable. This lien is subordinated to both existing liens on
the Company's assets and all liens granted by the Company in favor
of the financial institution providing the Credit Facility.

The Company is in violation of financial covenants contained in
the agreement, concerning the maintenance of both a tangible net
worth amount and positive debt service coverage ratio for the
period, of which requires positive earnings. The Company's bank
waived this violation in light of the Company's net loss for the
six  months ended June 30, 2003.

The Company is currently actively pursuing sale of its investment
in Florida N-Viro, LP, which may provide, in management's opinion,
additional funds to finance the Company's cash requirements.
Because these efforts are still in progress, there can be no
assurance the Company will successfully complete these
negotiations.

Notwithstanding the above, the Company has in the past and
continues to sustain net and operating losses.  In addition, the
Company has used substantial amounts of working capital in its
operations which has reduced its liquidity to a low level.  These
matters raise substantial doubt about the Company's ability to
continue as a going concern.


PG&E NAT'L: Court Okays Reed Smith as USGen Committee's Counsel
---------------------------------------------------------------
The USGen Unsecured Creditors' Committee sought and obtained the
Court's permission to retain Reed Smith as its counsel.

Reed Smith is expected to:

   (a) advise the Committee with respect to its duties and
       powers;

   (b) consult with USGen concerning the administration of its
       case;

   (c) assist the Committee in its investigation of the acts,
       conduct, assets, liabilities, including USGen's financial
       condition and business operation, and the desirability of
       the continuation of such business, and any other matters
       relevant to the case or the formulation of a Plan;

   (d) prepare all necessary motions, applications, answers,
       orders, reports, or other papers in connection with the
       administration of USGen's estate;

   (e) receive any proposed Plan and Disclosure Statement,
       participate with USGen or others in the formulation or
       modification of a Plan, or propose a Committee Plan if
       appropriate; and

   (f) perform other legal services as may be required and in
       the Committee's interest.

Reed Smith will be paid its customary hourly rates, and reimbursed
for expenses incurred in its service to the Committee.  Reed
Smith's current hourly rates are:

                Partners              $275 - 500
                Associates             180 - 325
                Paraprofessionals      145 - 200
(PG&E National Bankruptcy News, Issue No. 5; Bankruptcy Creditors'
Service, Inc., 609/392-0900)


PHILIP SERVICES: Commences CCAA Filing as Part of Reorg. Plan
-------------------------------------------------------------
Philip Services Corporation (OTC:PSCD.PK) (TSE:PSC) announced that
it and certain of its subsidiaries, including its two Canadian
operating subsidiaries, Philip Services Inc. and Philip Analytical
Services Inc., have filed voluntary applications for protection
under the Companies' Creditors Arrangement Act with the Ontario
Superior Court of Justice (Commercial Division) in Toronto.

The purpose of the Canadian filing is to assist the Company in
carrying out the reorganization plan sponsored by High River
Limited Partnership, an affiliate of Carl C. Icahn, which was
selected by the Company and which selection was affirmed by the
U.S. Bankruptcy Court by order made on Sept. 12, 2003. Under the
Canadian filing, the Canadian Court has (i) recognized the U.S.
Bankruptcy Proceedings, (ii) stayed all claims by Canadian
claimants against the Company and its subsidiaries subject to the
Chapter 11 proceedings under the U.S. Bankruptcy Code, and (iii)
directed all Canadian claimants with claims against the US Debtors
to assert such claims in the US Proceedings. The recognition of
the US Proceedings by the Canadian Court will facilitate the
effective coordination of the Company's restructuring in both
countries.

"We will continue to provide our Canadian customers with the high
level of service that we have delivered in the past, pay employees
in the normal course, and continue their ordinary course
benefits," said Robert L. Knauss, principal executive officer and
chairman of the board. Mr. Knauss added, "The implementation of
the High River Plan will start us on the road to recovery and
financial stability, and upon confirmation of the Plan, will
provide assurance that the Company will emerge as an ongoing
entity no longer burdened by excess debt and troublesome legacy
issues which will benefit all stakeholders."

Ernst & Young Inc. has been appointed as interim receiver over
the key business assets of the Company's Canadian subsidiaries to
facilitate the Canadian transactions required by the High River
Plan. Under the High River Plan, High River Limited Partnership,
among other things, will provide an exit loan facility of US$150
million to the reorganized Company and will pay US$20 million for
a 20% equity interest in the reorganized Company on the effective
date of a plan of reorganization. On completion, entities owned
by Carl C. Icahn would, in the aggregate, own a majority of the
outstanding shares of the reorganized Company. The business
operations of the Canadian subsidiaries would be continued by one
or more new subsidiaries of the reorganized Company.

A disclosure statement for the plan of reorganization and the
plan of reorganization itself have not yet been presented to or
approved by the U.S. Bankruptcy Court for the Southern District
of Texas. The approval of the Canadian Court will also be
necessary before completion of the Canadian transactions required
by the High River Plan. Confirmation of the High River Plan is,
as in all Chapter 11 proceedings, subject to confirmation by a
vote of certain creditors and no assurance can be given that the
Plan will be confirmed as currently proposed.

Headquartered in Houston, Philip Services Corporation is an
industrial and metals services company with two operating groups:
PSC Industrial Services provides industrial cleaning and
environmental services; and PSC Metals Services delivers scrap
charge optimization, inventory management, remote scrap sourcing,
by-products services and industrial scrap removal to major
industry sectors throughout North America. The Company and most
of its U.S.-domiciled subsidiaries filed for Chapter 11
protection on June 2, 2003.


PRIME HOSPITALITY: Will Release 3rd Quarter Earnings on Oct. 30
---------------------------------------------------------------
Prime Hospitality Corp. (NYSE: PDQ), will release its third
quarter earnings on Thursday, October 30, 2003 to be followed by a
conference call that day at 9:30 a.m. Eastern Time.

Participating on the call will be A.F. Petrocelli, Chairman and
CEO, and Richard Szymanski, Senior Vice President and CFO.

     To Participate:

      1.   Dial In Number: 1-800-603-4335

      2.   Give the operator your name and company affiliation.

3.   The system will connect you with the conference
     group.

A playback will be available two hours after the completion of the
conference call through 11/13/2003.  To listen to the tape, call
1-800-642-1687 and enter the conference ID#: 2902984.

If you have any questions about the teleconference please call
Colleen O'Hanlon, 973-882-1010.

Prime Hospitality Corp., one of the nation's premiere lodging
companies, owns, manages, develops and franchises more than 240
hotels throughout North America.  The Company owns and operates
three proprietary brands, AmeriSuites(R) (all-suites), Prime
Hotels & Resorts(sm) (full-service) and Wellesley Inns & Suites(R)
(limited service).  Also within Prime's portfolio are owned and/or
managed hotels operated under franchise agreements with national
hotel chains including Hilton, Radisson, Sheraton and Holiday Inn.
Prime can be accessed over the Internet at
http://www.primehospitality.com

As reported in Troubled Company Reporter's July 30, 2003 edition,
Standard & Poor's Ratings Services affirmed its 'BB-' corporate
credit and 'B' subordinated debt ratings for Prime Hospitality
Corp.

At the same time, the ratings were removed from CreditWatch where
they were placed on July 2, 2003. The outlook remains negative,
reflecting the continued soft lodging environment.


PRUDENTIAL SECURITIES: Fitch Affirms Low-B Ratings on 4 Classes
---------------------------------------------------------------
Prudential Securities Secured Financing Corp.'s commercial
mortgage pass-through certificates, series 1999-NRF1, are upgraded
by Fitch Ratings as follows:

        -- $51.1 million class B to 'AAA' from 'AA';
        -- $46.5 million class C to 'AA' from 'A';
        -- $46.5 million class D to 'BBB+' from 'BBB'
        -- $13.9 million class E to 'BBB' from 'BBB-'.

Fitch also affirms the following classes:

        -- $71 million class A-1 'AAA';
        -- $480.3 million class A-2 'AAA';
        -- Interest-only class A-EC 'AAA';
        -- $20.9 million class F 'BB+';
        -- $25.6 million class G 'BB';
        -- $9.3 million class H 'BB-';
        -- $9.3 million class J 'B+'.

The $15.8 million class K, $6.5 million class L and $10.7 class M
certificates are not rated by Fitch.

The rating upgrades reflect the consistent loan performance
combined with the reduction of the pool's collateral balance,
which has resulted in increased subordination levels. As of the
August 2003 distribution date, the transaction's aggregate
principal balance has decreased 13.1%, to $807.3 million from
$928.9 million at closing.

CapMark Services, LP, the master servicer, collected year-end 2002
financials for 93.6% of the pool balance. Based on the information
provided, the resulting YE 2002 weighted average debt service
coverage ratio is 1.60 times, compared to 1.57x at YE 2001 and
1.45x at issuance for the same loans.

The deal has few loans of concern. Currently, three loans (0.70%)
are in special servicing. The largest loan, Best Western Luxbury
Hotel (0.4%), is secured by a hotel in Fort Wayne, Indiana and is
90 days delinquent. The borrower is currently receiving offers on
the property. The next largest specially serviced loan, Fountain
View Retirement Village of Grant (0.2%), is secured by a health
care property in Grant, Michigan and is also 90 days delinquent.

The loan transferred to the special servicer in May 2003. The
special servicer continues to work with the borrower to bring the
loan current. The borrower maintains that they can not afford the
insurance that is required in the loan documents. The final loan
in special servicing, Wagner Hardware Company (0.1%), is secured
by a warehouse property in Mansfield, Ohio. The building is
currently 100% vacant due to the single tenant vacating the
property. The borrower is negotiating a sale of the property that
would result in minimal losses to the pool.

Fitch will continue to monitor this transaction, as surveillance
is ongoing.


QWEST COMMUNICATIONS: Provides Update on GSA Review Process
-----------------------------------------------------------
Qwest Communications International Inc. (NYSE: Q) announced that
the Inspector General of the General Services Administration has
referred to the GSA Suspension/Debarment Official the question of
whether Qwest should be considered for debarment. This is a
continuation of a review that was initiated by the General
Counsel's office of the GSA in July 2002.

The company has been informed that the basis for the referral is
last February's indictment against four former employees in
connection with a transaction with the Arizona School Facilities
Board in June 2001 and a civil complaint filed the same day by the
Securities and Exchange Commission against the same former
employees and others relating to the Arizona School Facilities
Board transaction and a transaction with Genuity Inc. in 2000.

The company is cooperating fully with the GSA and believes that it
will remain a supplier to the government, although it cannot
predict the outcome of this referral.

Qwest Communications International Inc. (NYSE: Q) -- whose
December 31, 2003 balance sheet shows a total shareholders' equity
deficit of about $1 billion -- is a leading provider of voice,
video and data services to more than 25 million customers. The
company's 49,000 employees are committed to the "Spirit of
Service" and providing world-class services that exceed customers'
expectations for quality, value and reliability. For more
information, please visit the Qwest Web site at www.qwest.com


RELIANCE: Wants Plan Filing Exclusivity Extended Until Dec. 31
--------------------------------------------------------------
Reliance Group Holdings and Reliance Financial Services ask Judge
Gonzalez for another extension of their exclusive periods to file
a plan and solicit acceptances of that plan.

Steven R. Gross, Esq., at Debevoise & Plimpton, tells Judge
Gonzalez that since the Settlement with the Pennsylvania
Liquidator, the parties are now able to devote their attention to
formulating a Reorganization Plan.  However, this cannot be
completed overnight because it will take time to implement the
Settlement due to the complexity of the issues.

Mr. Gross assures the Court that the Debtors and the Committees
are working on Reorganization Plans, one of which will be filed
to be confirmed before the end of this year.

The dispute on the merits and priority status of various tax
claims asserted by New York State and New York City continue to
hinder the discussions.  Since these taxing authorities have not
provided a full explanation of their claims, the process of
assessing the tax exposure and negotiating compromises will
require more time.

As a result, the Debtors ask the Court to extend their exclusive
filing period to and including December 31, 2003, and their
exclusive solicitation period to and including March 3, 2004.

Mr. Gross assures Judge Gonzalez that creditors will not be
prejudiced by the requested extension because the Debtors are
continuing to preserve the estate's assets, making minimal
expenditures for administrative expenses.  Termination of the
Exclusive Periods at this juncture could harm and prejudice the
Debtors' estates.  In view of the litigious nature of the
Debtors' Chapter 11 proceedings, the uncertainty resulting from
premature termination of the Exclusive Periods could have a
substantial adverse impact on the stability of the Debtors'
Chapter 11 cases. (Reliance Bankruptcy News, Issue No. 40;
Bankruptcy Creditors' Service, Inc., 609/392-0900)


SK GLOBAL: Wants Lease Decision Period Extended to December 22
--------------------------------------------------------------
SK Global America, Inc. is currently a party to four unexpired
non-residential real property leases that have neither been
assumed nor rejected.  Some of these Leases may be valuable
assets of the Debtor's Chapter 11 estate or may be integral to
the continued operation of its business.

The Debtor asks Judge Blackshear to extend its deadline to assume
or reject the Leases to December 22, 2003, without prejudice to
the rights of each of the lessors under the Leases to seek, for
cause shown, an earlier date upon which the Debtor must assume or
reject a specific Lease.

Scott E. Ratner, Esq., at Togut, Segal & Segal LLP, in New York,
explains that additional time is needed for the Debtor to analyze
the Leases to avoid what would be either a premature assumption
or rejection of them.  If the Debtor were to assume the Leases
prematurely, Mr. Ratner points out that the Debtor, its estate
and creditors would incur unnecessary administrative costs for
the Leases, which ultimately may not be important as the Debtor
continues to work on a business plan that may include relocation
or consolidation of its operations.  In addition, any post-
assumption breach by the Debtor under an assumed Lease would give
rise to an administrative expense claim.

As an international trading company with several offices located
throughout the U.S., annual sales exceeding $2,600,000 and
numerous trading partners located in the country and abroad, the
Debtor's financial affairs and contractual relationships are
complex and extensive.  Mr. Ratner notes that the Debtor's case
is still in its early stages.  During the first 60 days of its
case, the Debtor expended significant time and resources on
issues relating to its orderly transition to operating in a
Chapter 11 context.

Mr. Ratner explains that it's simply not possible for the Debtor
to make a reasoned decision as to the assumption or rejection of
the Leases prior to the current deadline.  The Debtor does not
want to inadvertently forfeit any Lease as a result of the
"deemed rejected" provision of Section 365(d)(4) of the
Bankruptcy Code.

Mr. Ratner assures the Court that granting the Debtor a 90-day
extension will not prejudice the Lessors because:

   (a) the Debtor is current on its postpetition rent
       obligations under the Leases;

   (b) the Debtor has the financial wherewithal and intent to
       continue to timely perform all of its postpetition
       obligations under the Leases as required by Section
       365(d)(3) of the Bankruptcy Code; and

   (c) in all instances, individual Lessors may ask, for cause
       shown, that the Court fix an earlier date by which the
       Debtor must assume or reject a Lease. (SK Global Bankruptcy
       News, Issue No. 5; Bankruptcy Creditors' Service, Inc.,
       609/392-0900)


SOLECTRON: Affirms Q4 Results to Reflect Discontinued Operations
----------------------------------------------------------------
Solectron Corporation (NYSE:SLR), a leading provider of
electronics manufacturing and supply-chain services, said its
fiscal fourth-quarter results will include discontinued
operations.

On previous earnings conference calls, Solectron said it intends
to divest certain operations that are not central to the
company's future strategy. In the fourth quarter, several of
these operations met the criteria required by Statement of
Financial Accounting Standards No. 144, Accounting for the
Impairment or Disposal of Long-Lived Assets, to be reported as
discontinued operations. As a result, each line item within
Solectron's GAAP financial statements will exclude amounts
related to discontinued operations and the company will report
these amounts as "discontinued operations" for all periods
presented. This presentation ensures that each line item within
the company's statements of operations reflects amounts related
only to the company's continuing operations and those operations
for which the company has not yet met the SFAS No. 144 criteria
for discontinued operations.

The company also affirmed its guidance, which includes
discontinued operations, for fourth-quarter sales of $2.6 billion
to $3 billion and a pro forma loss per share of 6 to 2 cents.

Solectron will report earnings after the close of market
Sept. 25. Management will host a Webcast to discuss fourth-quarter
and year-end results at 2 p.m. PDT/5 p.m. EDT. The Webcast will be
accessible at http://www.solectron.com/investor.

Solectron (Fitch, BB- Corporate Credit Rating, Negative) --
http://www.solectron.comprovides a full range of global
manufacturing and supply-chain management services to the world's
premier high-tech electronics companies. Solectron's offerings
include new-product design and introduction services, materials
management, high-tech product manufacturing, and product warranty
and end-of-life support. The company is based in Milpitas,
Calif., and had sales of $12.3 billion in fiscal 2002.


SOUTH STREET CBO: S&P Takes Rating Actions on 1999-1 Notes
----------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings on the class
A-1LB, A-1, A-2L, and A-2 notes issued by South Street CBO 1999-1
Ltd., a high-yield arbitrage CBO transaction managed by Colonial
Asset Management, on CreditWatch with negative implications. At
the same time, the rating on the class A-1LA notes is affirmed.
The ratings on classes A-1LB, A-1, A-2L, and A-2 were previously
lowered April 30, 2003.

The CreditWatch placements reflect factors that have negatively
affected the credit enhancement available to support the notes
since the ratings were lowered April 30, 2003. These factors
include continuing par erosion of the collateral pool securing the
rated notes and a negative migration in the credit quality of the
performing assets within the pool.

According to the most recent monthly trustee report
(Aug. 18, 2003), the deal holds $52.61 million worth of securities
that are in default, $6.97 million of which have defaulted since
the last rating action. Standard & Poor's noted that as a result
of asset defaults, the overcollateralization ratio for the class A
notes has suffered since the previous rating action. As of the
August trustee report, the class A overcollateralization ratio was
at 77.99%, versus the minimum required ratio of 115.00%, and
compared to a ratio of 81.13% at the time of the April rating
action.

The transaction is also failing the interest coverage test.
According to the most recent report, the interest coverage ratio
was at 101.50%, down from a ratio of 116.35 at the time of the
last rating action, and compared to a minimum required ratio of
130%. In addition, the transaction is failing two of the required
rating tests. The performing portfolio currently holds 48.50% of
collateral with ratings of 'B' and above, compared to the required
minimum of 75.00%. Also, the performing portfolio currently holds
67.45% of collateral rated 'B-' and above, compared to the
required minimum of 95.00%.

Standard & Poor's will be reviewing the results of current cash
flow runs generated for South Street CBO 1999-1 Ltd. to determine
the level of future defaults the rated tranches can withstand
under various stressed default timing, and interest rate
scenarios, while still paying all of the interest and principal
due on the notes. The results of these cash flow runs will be
compared to the projected default performance of the performing
assets in the collateral pool to determine whether the ratings
currently assigned to the notes are consistent with the credit
enhancement available.

             RATINGS PLACED ON CREDITWATCH NEGATIVE

                 South Street CBO 1999-1 Ltd.

                        Rating               Current
        Class     To               From      Balance ($ mil.)
        A-1LB     BBB/Watch Neg    BBB                 10.00
        A-1       BBB/Watch Neg    BBB                 55.0
        A-2L      CCC-/Watch Neg   CCC-                24.0
        A-2       CCC-/Watch Neg   CCC-                36.0

                        RATING AFFIRMED

                South Street CBO 1999-1 Ltd.

                                  Balance ($ mil.)
        Class     Rating         Orig.     Current
        A-1LA     AAA            85.000    38.310


                    OTHER OUTSTANDING RATING

               South Street CBO 1999-1 Ltd.

                                  Balance ($ mil.)
        Class     Rating         Orig.     Current
        A-3       CC             45.50       45.50


TENFOLD CORP: Automates CardioTrac Data Quality Management
----------------------------------------------------------
TenFold(R) Corporation (OTC Bulletin Board: TENF), provider of the
Universal Application(TM) platform for building and implementing
enterprise applications, is releasing a powerful new feature that
automates record quality maintenance for the Universal
Application-powered CardioTrac(TM) application.

CardioTrac, a Universal Application-powered cardiac patient
tracking and reporting application, maintains cardiac procedure
outcomes data. The new automated record quality tool allows
administrators to automatically and flexibly manage data cleansing
to insure high data quality. This new tool will significantly
reduce the effort administrators otherwise have to expend to
manually cleanse third-party data. It will also improve batch
processing performance and end-user response time.

"We are pleased to be able to add this great new feature to
CardioTrac," said Elton Orme, TenFold's Manager of Support
Services. "System Administrators will use this tool to remove
invalid data created by and dumped into CardioTrac by third-party
systems.  These System Administrators will now be able to
automatically remove such unwanted data based on criteria they
specifically identify."

"Because CardioTrac is powered by TenFold's Universal Application
platform, we were able to quickly introduce this powerful feature
into CardioTrac in response to our customer's request for data
cleansing automation," said Robert Jacobs, Ph.D., Director of
TenFold Support Services. "Using the Universal Application has
enabled us to translate our customer's manual process quickly into
application functionality, which gives them Speed, Quality and
Power that no other technology could deliver.  With the Universal
Application, this feature can be built and tested in less than two
days," added Dr. Jacobs.

CardioTrac is in use today at over twenty hospitals throughout the
United States and is available on over twenty-five hardware and
software platforms.

TenFold (OTC Bulletin Board: TENF) -- whose June 30, 2003 balance
sheet shows a total shareholders' equity deficit of about $12
million -- licenses its breakthrough, patented technology for
applications development, the Universal Application platform, to
organizations that face the daunting task of replacing legacy
applications or building new applications systems.  Unlike
traditional approaches, where business and technology requirements
create difficult IT bottlenecks, Universal Application technology
lets a small, primarily non-technical, business team design,
build, deploy, maintain, and upgrade new or replacement
applications with extraordinary speed and limited demand on scarce
IT resources.  For more information, visit http://www.10fold.com


TOYS 'R' US: $400 Million Notes Issue Gets Speculative Rating
-------------------------------------------------------------
Fitch Ratings has assigned a 'BB+' rating to Toys 'R' Us' $400
million issue of 7.375% notes due 2018. The proceeds from the
financing, together with existing cash balances, will be used to
repay two debt issues totaling $800 million that mature in January
and February of 2004. The Rating Outlook is Stable.

The rating reflects TOY's soft operations, which will continue to
be impacted by the weak retail environment and competitive
pressures from Wal-Mart and Target. Offsetting these factors are
TOY's improved free cash flow and solid liquidity. The Stable
Outlook reflects TOY's more conservative financial posture, and
the expectation that there will be no further deterioration in the
company's credit measures. TOY's comparable store sales in its
U.S. toy stores declined 2.4% in the second quarter of 2003,
following a 1.5% decline in the first quarter. Of its other
businesses, TOY's international toy stores and Babies 'R' Us have
performed well, while its Kids 'R' Us chain continues to struggle.

The EBITDA margin was 7.0% in the twelve months ended
Aug. 2, 2003, flat with full-year 2002. TOY has taken a number of
positive steps, including remodeling its U.S. toy stores, adding
exclusive merchandise and enhancing customer service levels,
though the impact of these efforts has been muted by the weak
retail environment.

Soft operations have exerted pressure on TOY's bondholder
protection measures. Financial leverage remains high, with
adjusted debt/EBITDAR of 4.7 times in the twelve months ended
Aug. 2, 2003 compared with 4.4x in 2002. The increase in leverage
is temporary and reflects the pre-funding of upcoming debt
maturities. EBITDAR/interest plus rents of 2.7x in the latest
twelve months was flat compared with 2002. These measures are
expected to show gradual improvement over the next couple of
years.

TOY has built a solid liquidity position, with $925 million of
cash on hand as of mid-year 2003. This cash, plus proceeds from
the new issuance and availability on TOY's $685 million long-term
bank facility should be more than adequate to finance substantial
seasonal working capital needs and near-term debt maturities.
Going forward, TOY is expected to use its free cash flow for debt
reduction as share repurchase activity remains on hold.


TYCO INT'L: Will Pay Regular Quarterly Dividend on Nov. 1, 2003
---------------------------------------------------------------
The Board of Directors of Tyco International Ltd. (NYSE-TYC, LSE-
TYI, BSX-TYC) has declared a regular quarterly cash dividend of
one and one quarter cents per common share. The dividend is
payable on November 1, 2003 to shareholders of record on
October 1, 2003.

Tyco International Ltd. is a diversified manufacturing and service
company. Tyco is the world's largest manufacturer and servicer of
electrical and electronic components; the world's largest
designer, manufacturer, installer and servicer of undersea
telecommunications systems; the world's largest manufacturer,
installer and provider of fire protection systems and electronic
security services; and the world's largest manufacturer of
specialty valves. Tyco also holds strong leadership positions in
disposable medical products, plastics and adhesives. Tyco operates
in more than 100 countries and had fiscal 2002 revenues from
continuing operations of approximately $36 billion.

                         *  *   *

As previously reported, Fitch Ratings affirmed its ratings on the
senior unsecured debt and commercial paper of Tyco International
Ltd., as well as the unconditionally guaranteed debt of its wholly
owned direct subsidiary Tyco International Group S. A., at
'BB'/'B', respectively. The Rating Outlook has been changed to
Stable from Negative. The ratings affect approximately $21 billion
of debt securities.

The change to Outlook Stable reflects Tyco's progress with respect
to reestablishing access to capital, addressing its liability
structure, implementing steps to improve operating performance,
and demonstrating cash generation despite a difficult economic
environment in a number of key end-markets. The impact of
fundamental favorable changes in Tyco's financial policies and
profile since late fiscal 2002 is constrained by economic weakness
in its markets, potential legal liabilities related to shareholder
lawsuits and SEC investigations, and the possibility, although
reduced, of further accounting charges and adjustments. The
ratings could improve over time as Tyco demonstrates more
consistent results and that it has put behind it the accounting
concerns that have obscured the transparency of its financial
reporting in the past.


UNITED AIRLINES: Unsecured Committee Hires Wolff as ATSB Counsel
----------------------------------------------------------------
The Official Committee of Unsecured Creditors in the Chapter 11
cases of United Airlines Inc. and its debtor-affiliates seeks the
Court's authority to retain Wolff & Associates, LLP of
Indianapolis, as its advisor in matters pending before the Air
Transportation Stabilization Board.

Dana J. Lockhart of Airbus North America Holdings, Committee
Chairman, informs the Court that Kenneth K. Wolff is the managing
partner, controlling interest holder and sole employee of Wolff.
Mr. Wolff has extensive experience in the airline and finance
industries.  Mr. Wolff was employed by ATA Holdings Corp., the
parent corporation of ATA Airlines, for approximately 13 years.
Between 1990 and 2003, Mr. Wolff was responsible for arranging
financing for the rapid growth of ATA Holdings Corp. from 2,000
to 7,500 employees, from $280,000,000 to $1,300,000,000 in
revenues and from 19 airplanes to 82 airplanes.  Mr. Wolff was
directly involved with ATA as the second airline to complete a
government guaranteed loan package in 2002.

Mr. Wolff will be paid $350 per hour.  He may hire independent
contractors at rates not to exceed $300 per hour on an as-needed
basis.  Mr. Wolff will be reimbursed for all expenses incurred in
connection with these services.

Mr. Wolff assures Judge Wedoff that he does not have an interest
materially adverse to the Committee, the Debtors, their creditors
or other parties-in-interest in these cases.

As the Committee's advisor, Mr. Wolff is expected to:

  a) assist the Committee in matters related to United's
     submission of an application to the ATSB;

  b) communicate with the Committee's legal counsel;

  c) assist the Committee with documentation for the ATSB;

  d) participate in hearings before the Bankruptcy Court on ATSB-
     related matters;

  e) participate in Committee meetings; and

  f) provide other services as mutually agreed by Wolff and the
     Committee. (United Airlines Bankruptcy News, Issue No. 26;
     Bankruptcy Creditors' Service, Inc., 609/392-0900)


U.S. STEEL: Realigns Corporate Administrative Functions
-------------------------------------------------------
United States Steel Corporation (NYSE: X) is realigning its
corporate administrative functions to include the creation of a
business services organization.

The new group, which includes a significant portion of the
company's administrative personnel, will be responsible for
routine activities previously spread across multiple
organizations, as well as the development and management of the
company's systems and information technology. The business
services organization will be under the direction of Eugene P.
Trudell, who has been named vice president-business services,
effective October 1, reporting to U. S. Steel President and Chief
Operating Officer John P. Surma.

U. S. Steel Chairman and CEO Thomas J. Usher said of this
announcement, "We have been aggressive in pursuing our cost-
reduction objectives, and this administrative realignment is a
critical step in the process. In Gene's capable hands, the new
business services organization will quickly move us closer to our
goals."

Surma added, "The most important feature of the business services
organization will be a shared-services model for administrative
activities with a strong focus on performance, accountability and
continuous improvement. This new structure is expected to
simultaneously reduce costs, enable future growth and provide
administrative flexibility. Gene's demonstrated ability to cost-
effectively deliver high quality services across many components
of our business makes him the perfect choice to fill this
challenging position."

Trudell, 55, began his career with U. S. Steel in 1970 as an order
detailer in commercial order entry at the company's headquarters
in Pittsburgh. In 1977, he moved to marketing administrative
services as a systems designer, and progressed through a number of
increasingly responsible positions in tubular marketing and
business planning. In 1984, he was named supervisor of the
commercial systems department. He was promoted to department
manager of U. S. Steel quality systems in 1987.

In 1989, Trudell was transferred to Mon Valley Works, near
Pittsburgh, where he was named manager-business systems. He served
in that capacity until 1993, with Clairton Works and the Fairless
Plant added to his area of responsibility in 1990 and 1991,
respectively. His responsibility for these three facilities was
expanded in 1993 to include process control, when he was named
manager-systems and process control. He returned to headquarters
in 1996 when he was promoted to general manager-computer services,
a position he held until 2002, when he was named managing director
- information technology services.

Trudell earned a bachelor's degree in education from Duquesne
University in Pittsburgh in 1970. He is a former president and
current member of the Steel Industry Systems Association, an
organization that provides a forum for systems professionals to
gather and discuss the implementation of systems within the steel
industry.

For more information about U. S. Steel visit
http://www.ussteel.com

                          *   *   *

As reported in Troubled Company Reporter's May 9, 2003 edition,
Standard & Poor's Ratings Services lowered its corporate credit
rating on integrated steel producer United States Steel Corp. to
'BB-' from 'BB' based on concerns about the firm's increased
financial risk.

Standard & Poor's removed its ratings on Pittsburgh, Pennsylvania-
based United States Steel from CreditWatch, where they were placed
with negative implications on Jan. 9, 2003. The current outlook is
negative. The company had about $1.7 billion in lease-adjusted
debt at March 31, 2003.

At the same time, Standard & Poor's assigned its 'BB-' rating to
United States Steel Corp.'s $350 million senior notes due 2010.


VIDEO CITY: Fails to Beat Form 10-QSB Filing Deadline
-----------------------------------------------------
Video City, Inc., has not been able to compile the requisite
financial data and other information necessary to enable it to
have sufficient time to complete the Company's Quarterly Report on
Form 10-QSB for the quarter ended July 31, 2003, due to a shortage
of personnel and other resources.

Per FAS 144 the operations for the three months and six months
ended July 31, 2002 will be shown as discontinued operations in
the earnings statement, due to the sale and anticipated sale of
substantially all of the Company's assets. The Company had
revenues of $4.0 million and $7.9 million, respectively, for the
three-months and six-months periods ended July 31, 2002. The
Company's revenue for the three-months and six-months periods
ended July 31, 2003 are $1.6 million and $3.4 million,
respectively. The Company divested 26 stores between the periods
beginning November 6, 2002 and ending July 31, 2003.

At April 30, 2003, the company's working capital deficit is
disclosed at about $3 million while net capital deficit tops $1.4
million.


WCI STEEL: Receives Court Approval of First Day Motions
-------------------------------------------------------
U.S. Bankruptcy Judge William T. Bodoh has approved first day
motions presented by WCI Steel, Inc., including orders allowing
the company to continue to pay salaries, wages and benefits to its
employees and to honor pre-petition obligations to its employees.

The court also approved on an interim basis a $100 million debtor-
in- possession credit facility from Congress Financial
Corporation, Bank of America, N.A. and other lenders under its
existing $100 million working capital facility (which includes a
$15 million junior participation by The Renco Group, Inc., WCI's
ultimate parent). This facility is expected to provide WCI with
the liquidity necessary to meet its obligations to its suppliers,
customers and employees during the Chapter 11 reorganization
process. The company is also seeking approval of a $10 million
subordinated secured financing facility from Renco. It is expected
that a hearing on this supplemental financing will occur at the
time of the final hearing on the $100 million facility.

Commenting on these orders, Edward R. Caine, president and chief
executive officer of WCI, said, "We are moving forward, under
Chapter 11 protection, to complete our restructuring plan and make
WCI a strong competitor once again. Our first day orders assure
that employee compensation continues without interruption and that
WCI will maintain normal operations during this process."

On Sept. 16, 2003, WCI filed a voluntary petition for protection
under Chapter 11 of the U.S. Bankruptcy Code in the United States
Bankruptcy Court for the Northern District of Ohio, Eastern
Division in Youngstown.

WCI is an integrated steelmaker producing more than 185 grades of
custom and commodity flat-rolled steel at its Warren, Ohio
facility. WCI products are used by steel service centers,
convertors, electrical equipment manufacturers and the automotive
and construction markets. The company has approximately 1,800
employees.


WESTERN WIRELESS: Agrees to Acquire HickoryTech Wireless Assets
---------------------------------------------------------------
Western Wireless Corporation (Nasdaq:WWCA), a leading provider of
wireless communications services to rural America, has signed a
definitive agreement to acquire the wireless assets of HickoryTech
Corporation (Nasdaq:HTCO) for $25 million, subject to working
capital and construction in progress adjustments to be determined
at closing.

The purchase price will be paid in the form of approximately 1
million shares of HickoryTech common stock currently owned by
Western Wireless and $12.8 million in cash.

The licenses to be acquired include the Minnesota 10 Rural Service
Area and the Minneapolis/St. Paul Metro A-2 cellular licenses, as
well as the Mankato-Fairmont and Rochester-Austin-Albert Lea Basic
Trading Area PCS licenses.

"We are very excited about this opportunity to expand our business
in Minnesota," said Mikal Thomsen, President of Western Wireless.
"We look forward to bringing the quality service that our
customers expect to Mankato, Rochester and surrounding
communities."

Licensed population in the cellular markets is approximately
425,000. Licensed population in the PCS markets is approximately
500,000. Service is currently marketed predominately within the
cellular markets. Western Wireless will acquire about 25,000
subscribers upon completion of the transaction.

The transaction is expected to close during the fourth quarter of
2003 subject to Federal Communications Commission and other
required approvals.

Western Wireless Corporation, located in Bellevue, Washington, was
formed in 1994 through the merger of previously unrelated rural
wireless companies. Following the merger, Western Wireless
continued to invest in rural cellular licenses, acquired six PCS
licenses in the original auction of PCS spectrum in 1995 through
its VoiceStream subsidiary, and made its first international
investment in 1996. Western Wireless went public later in 1996 and
completed the spin-off of VoiceStream in 1999. Western Wireless
now serves over 1.2 million subscribers in 19 western states under
the Cellular One(R) and Western Wireless(R) brand names. Through
its subsidiaries and operating joint ventures, Western Wireless is
licensed to offer service in eight foreign countries.

The Company's restated March 31, 2003 balance sheet shows a total
shareholders' equity deficit of about $508 million, while its
restated June 30, 2003 balance sheet shows a total shareholders'
equity deficit of about $465 million.


WILLIAMS: Allegheny Pays Initial $100MM for Contract Termination
----------------------------------------------------------------
Williams (NYSE: WMB) has received an initial payment of $100
million cash associated with the expected termination of its long-
term contract to supply up to 1,000 megawatts of power to a
subsidiary of Allegheny Energy Inc. (NYSE: AYE).  The termination
agreement between Allegheny and Williams was announced on Aug. 1.

The termination agreement provides that payment and associated
supply rights and obligations under the contract are suspended
upon receipt of the initial $100 million payment plus any
outstanding amounts owed under the supply contract. Approximately
$6 million in additional cash was received related to these
outstanding amounts.

Although it has the right to make the termination effective
earlier, Williams anticipates it will terminate the supply
contract upon its receipt of the final $28 million of the
termination payment, which is due in installments of $14 million
within six and twelve months from the initial payment date.

Williams expects to immediately begin marketing the power
previously obligated under the contract.

Williams (S&P, B+ Long-Term Corporate Credit Rating, Negative),
through its subsidiaries, primarily finds, produces, gathers,
processes and transports natural gas.  Williams' gas wells,
pipelines and midstream facilities are concentrated in the
Northwest, Rocky Mountains, Gulf Coast and Eastern Seaboard.  More
information is available at http://www.williams.com


WORLDCOM INC: Obtains Approval to Employ Deloitte as Consultant
---------------------------------------------------------------
The Worldcom Debtors sought and obtained the Court's authority to
employ Deloitte & Touche LLP as consultants, nunc pro tunc to
July 15, 2003.

Robert Blakely, WorldCom Chief Financial Officer, relates that
the Debtors selected Deloitte as their consultants because of its
diverse experience and extensive knowledge, including, without
limitation, in the fields of consulting, accounting and systems
controls.  Deloitte is one of the Big Four accounting firms, and
has the necessary depth and range of skills to assist the Debtors
in these Chapter 11 cases.

Deloitte will assist the Debtors:

     (i) in gathering documents and information identified by the
         Debtors in connection with the completion of their
         financial reporting processes;

    (ii) in documenting and remediating the Debtors' financial
         and related internal control processes; and

   (iii) regarding issues specific to companies in bankruptcy,
         including, without limitation, the requirements of SOP
         90-7 -- Financial Reporting by Entities in
         Reorganization Under the Bankruptcy Code.

In connection with these Projects, Deloitte is also prepared to
provide other assistance as the Debtors may request.

The specific procedures that Deloitte will perform in connection
with the Projects will include assisting the Debtors:

   * in establishing a project management office at the Debtors'
     premises;

   * in conducting interviews with the Debtors' finance,
     accounting, systems and operating personnel regarding the
     information and the status of the Projects;

   * in their review of schedules, timetables and work plans
     prepared, as well as assistance with the preparation of
     updated project plans, task lists and timelines;

   * in accumulating and analyzing their financial, systems,
     control and operational information and other relevant data
     in connection with the completion of their financial
     reporting process;

   * in documenting their financial and related control processes
     and functions and helping the Debtors in preparing
     remediation actions that the Debtors may deem necessary; and

   * with other project management and facilitation activities.

According to Mr. Blakely, Deloitte will be compensated based on
the hours actually expended by each professional at 75% of each
professional's then current regular hourly billing rate.  The
range of Deloitte's hourly billing rates by classification of
personnel for the engagement before any applicable discount are:

   Partner/Principal/Director                  $550 - 750
   Senior Manager                               500 - 590
   Manager                                      400 - 520
   Senior Accountants/Senior Consultants        250 - 400
   Staff Accountants/Consultants                150 - 275
   Paraprofessionals                             75 - 120

Mr. Blakely states that Deloitte has not received an advance
payment retainer for services to be rendered to the Debtors.
Deloitte is not a prepetition creditor of the Debtors.

Anthony Kern, a principal at Deloitte, attests that the firm is a
"disinterested person" as that term is defined in Section 101(14)
of the Bankruptcy Code.  Mr. Kern, however, discloses that
Deloitte has provided unrelated services to certain parties-in-
interest in the Debtors' cases.  Deloitte assisted
MatlinPatterson Global Advisors LLC and Silver Lake Partners in
the acquisition of certain of the Debtors' debt.

Deloitte is a defendant in a number of lawsuits filed by Adelphia
Communications Corporation.  Deloitte provided privileged, non-
testifying litigation support services to certain defendants in
actions brought by purchasers of WorldCom and MCI debt
securities.

Certain WorldCom lenders have provided financing to Deloitte.
Deloitte also purchases communication services from the Debtors.
Deloitte Consulting LP, an affiliate, provided ordinary course
services to the Debtors on four projects that were completed in
May 2003.

Nevertheless, Mr. Kern ascertains that Deloitte does not hold or
represent an interest adverse to the Debtors' estates that would
impair its ability to objectively perform professional services
for the Debtors.  Mr. Kern also notes that Deloitte has
established an ethical wall and confidentiality safeguards among
the engagement teams providing litigation support services and
financial analysis to creditors and the WorldCom engagement team.
(Worldcom Bankruptcy News, Issue No. 38; Bankruptcy Creditors'
Service, Inc., 609/392-0900)


ZI CORPORATION: Provides Update on Company Ownership
----------------------------------------------------
Zi Corporation (Nasdaq: ZICA) (TSX: ZIC), a leading provider of
intelligent interface solutions, issued an update of the
information it has recently received concerning the number of
shares of the Company's stock held in one or more funds formerly
managed by Lancer Management Group LLC and related parties.

Through various court proceedings, certain of the Lancer funds
and management companies are in receivership or creditor
protection. The court appointed receiver (and party in control
with respect to the fund under creditor protection; collectively
referred to herein as the Receiver) filed an initial report on
September 8 in the U.S. District Court in Florida, noting, among
other things, that numerous substantial investment position
discrepancies have been identified in many of the funds' holdings
and the Receiver therefore remains uncertain of the funds'
ownership interest in many of those portfolio companies, which
uncertainty the Company understands may include Zi.

The initial report also discloses that the Receiver may apply to
the court for abatement of its obligation to make regulatory
filings with the U.S. Securities and Exchange Commission or other
appropriate agencies. The Company is treating the Receiver as the
authoritative source for information and believes it has the best
access to information that may become available so that it, as
the representative of a Zi shareholder, can make definitive
disclosure regarding its shareholdings in the Company. As of
September 17, 2003 the Receiver was unable to provide the Company
with information pertaining to the holdings of the funds. The
Company has offered assistance to the Receiver including the
provision of copies of its shareholder records.

At this time, the Company's information regarding its
shareholders includes: on December 31, 2002 there were 225
registered shareholders which the Company's transfer agent has
advised represents 13,000 beneficial owners of stock. As the
Company reported in its Form 20F at December 31, 2002, there were
187 registered shareholders in the United States representing
24.8 million shares, or approximately 65 percent of the total
number of shares outstanding. The remaining 38 registered
shareholders at December 31, 2002 are elsewhere, primarily in
Canada. In each of Canada and the United States one registered
shareholder dominates the registered shareholder list. In Canada,
CDS & Co. is the registered holder of 94 percent of the Canadian
shares and, in the United States, Cede & Co. is the registered
holder of 97 percent of the United States shares. CDS and Cede
provide securities post-trade clearance, settlement, risk
management and safekeeping services for securities holders.  CDS
and Cede report 155 accounts, which is reflective of the number
of securities dealers holding positions in the Company on behalf
of their individual clients.

Zi Corporation -- http://www.zicorp.com-- is a technology company
that delivers intelligent interface solutions to enhance the user
experience of wireless and consumer technologies. The company's
intelligent predictive text interfaces, eZiTap(TM) and eZiText,
allow users to personalize the device and simplify text entry
providing consumers with easy interaction for short messaging,
e-mail, e-commerce, Web browsing and similar applications in
almost any written language. eZiNet(TM), Zi's new client/network
based data indexing and retrieval solution, increases the
usability for data-centric devices by reducing the number of key
strokes required to access multiple types of data resident on a
device, a network or both. Zi supports its strategic partners and
customers from offices in Asia, Europe and North America. A
publicly traded company, Zi Corporation is listed on the Nasdaq
National Market (ZICA) and the Toronto Stock Exchange (ZIC).

At March 31, 2003, Zi Corporation's balance sheet disclosed a
working capital deficit of about $2 million.


* President Urged to Maintain Steel Safeguard for Full 3 Years
--------------------------------------------------------------
98 Members of Congress from 31 states sent a letter to President
Bush urging the Administration to uphold its commitment to the
Section 201 steel tariffs that were imposed on March 5, 2002 by
keeping them in place for the full, intended three-year term.

The letter, initiated by Steel Caucus Chairman Phil English (R-PA)
and Vice-Chairman Pete Visclosky (D-IN), was sent to the President
in anticipation of the September 19 release of the International
Trade Commission's (ITC) Midterm Review Report on the President's
Steel Program.

The Members of Congress wrote, "America's steel industry and its
steelworkers have accomplished a dramatic restructuring in a
remarkably short period of time, but that recovery is only in its
infancy. It is essential that the 201 relief remain in place for
the full term, not only for the industry and its workers to
continue the consolidation process they have begun, but for the
problems of excess capacity and government subsidies you are
addressing through multilateral negotiations to be resolved."

The bipartisan group of Congressmen also applauded the President's
decision to appeal a negative ruling on the tariffs from the World
Trade Organization (WTO).

In addition, 22 U.S. Senators and 46 U.S. Representatives voiced
their support for the Steel Program during the ITC's 332 and 204
hearings earlier this summer.

Since 1997, 41 steel companies have entered into bankruptcy as the
result of a surge in imports, and 56,000 jobs were lost. The
President's Steel 201 Program has allowed the industry to
restructure and consolidate at a historic level, including an
investment of over $3.6 billion in consolidation, reinventing
labor relations and restructuring management costs.

A signed copy of the letter is available by contacting David
Stewart in Congressman Phil English's office at 202.225.5406 or
Ben Bochnowski in Congressman Peter Visclosky's office at
202.225.2461. The text of the letter follows:

The Honorable George W. Bush
The White House
1600 Pennsylvania Avenue, NW
Washington, DC 20502

Dear Mr. President:

Very shortly you will have the opportunity to evaluate the report
submitted to you by the U.S. International Trade Commission on the
effect of the steel 201 safeguard at its mid-point. We applaud
your determination to withstand the pressure being exerted on your
Administration by foreign steel interests and consumers to repeal
the declining tariffs prior to your consideration of the
International Trade Commission's report as well as your defense of
the safeguard laws, and your right to initiate them, by your swift
appeal of the World Trade Organization Dispute Panel's ruling.

The comprehensive steel strategy you initiated in March of 2002
has only begun to yield results. America's steel industry and its
steelworkers have accomplished a dramatic restructuring in a
remarkably short period of time, but that recovery is only in its
infancy. It is essential that the 201 relief remain in place for
the full term, not only for the industry and its workers to
continue the consolidation process they have begun, but for the
problems of excess capacity and government subsidies you are
addressing through multilateral negotiations to be resolved.

Since March of 2002, the industry has invested over $3.6 billion
dollars in restructuring. The United Steelworkers of America,
working with the newly formed ISG, US Steel and Wheeling-Pitt, has
negotiated ground-breaking labor agreements that have facilitated
the necessary yet difficult process of streamlining the workplace
both on the management and worker sides. This has not come without
a price. Fifty-six thousand steelworkers lost their jobs and
200,000 steelworker retirees, widows and dependents lost pension
and health care benefits.

The industry and its workers have, and will continue to do their
part to make the necessary adjustments to import competition that
you called for when granting 201 relief. This was designed to be a
three-year program and additional restructuring and consolidation
is underway. Steelworkers still need to be trained or retrained,
capital investments and improvements have yet to be fully
implemented, and the process of integrating large companies, like
ISG's acquisition of Bethlehem or US Steel's acquisition of
National, will take time -- time that the full three years and one
day of relief envisions. It is vitally important that the
protection that the 201 relief affords continue for its full term.

When you announced this multilateral steel initiative in June of
2001, you said: "The U.S. steel industry has been affected by a
50-year legacy of foreign government intervention in the market
and direct financial support of their steel industries. The result
has been significant excess capacity, inefficient production, and
a glut of steel on world markets." After a fifty-year assault, in
just 18 months of relief provided by the steel safeguard, the
industry has consolidated and is making additional progress toward
cost reduction and efficiency, steel prices remain low and supply
is plentiful. Those that urge repeal of the tariffs before its
full three-year term is over have enjoyed years of profits
generated by access to cheap, unfairly traded steel.

Now is not the time to turn your back on those that have
sacrificed and suffered to pull our domestic industry out of
crisis. If Section 201 relief is cut short, or if dumped and
subsidized steel imports are allowed to once again flood the U.S.
market, all the efforts undertaken by the industry and its workers
will be for naught.

The 201 relief must stay on course for its full three-year
duration to provide the domestic industry and its workers the time
they need to complete their part of the bargain. Your
Administration should not change at the midpoint the conditions
under which the industry is restructuring nor flag in its efforts
to reduce global excess capacity.

Sincerely,

Abercrombie, Neil, D-HI Jones, Stephanie Tubbs, D-OH
Aderholt, Robert, R-AL Kanjorski, Paul, D-PA
Andrews, Rob, D-NJ Kaptur, Marcy, D-OH
Baca, Joe, D-CA Kilpatrick, Carolyn C., D-MI
Ballance, Frank, D-NC Kleczka, Gerald, D-WI
Becerra, Xavier, D-CA Kucinich, Dennis, D-OH
Bell, Chris, D-TX Lampson, Nick, D-TX
Berkley, Shelley, D-NV Langevin, Jim, D-RI
Berry, Marion, D-AR Lantos, Tom, D-CA
Bilirakis, Michael, R-FL LaTourette, Steve, R-OH
Bishop, Rob, R-UT Levin, Sander, D-MI
Bishop, Sanford, D-GA Lewis, John, R-GA
Boehlert, Sherwood, R-NY Lucas, Ken, D-NY
Bonner, Jo, R-AL Matheson, Jim, D-UT
Brady, Robert, D-PA McGovern, James, D-MA
Brown, Corrine, D-FL McNulty, Michael, D-NY
Brown, Henry, R-SC Michaud, Mike, D-ME
Brown, Sherrod, D-OH Millender-McDonald, Juanita, D-CA
Capito, Shelley Moore, R-WV Miller, George, D-CA
Cardin, Ben, D-MD Mollohan, Alan, D-WV
Cardoza, Dennis, D-CA Murphy, Tim, R-PA
Carson, Brad, D-OK Murtha, John, D-PA
Carson, Julia, D-IN Myrick, Sue, R-NC
Conyers, John Jr., D-MI Ney, Bob, R-OH
Costello, Jerry, D-IL Oberstar, Jim, D-MN
Cramer, Bud, D-AL Pallone, Frank, D-NJ
Cummings, Elijah, D-MD Pastor, Ed, D-AZ
Davis, Artur, D-AL Payne, Donald, D-NJ
Delahunt, William, D-MA Pickering, Charles, R-MS
DeLauro, Rosa, D-CT Pomeroy, Earl, D-ND
Dingell, John, D-MI Quinn, Jack, R-NY
Doyle, Mike, D-PA Regula, Ralph, R-OH
English, Phil, R-PA Ross, Mike, D-AR
Evans, Lane, D-IL Ruppersberger, Dutch, D-MD
Fattah, Chaka, D-PA Ryan, Tim, D-OH
Filner, Bob, D-CA Sandlin, Max, D-TX
Gephardt, Dick, D-MO Schakowsky, Jan, D-IL
Gerlach, Jim, R-PA Shimkus, John, R-IL
Green, Gene, D-TX Skelton, Ike, D-MO
Greenwood, James, R-PA Spratt, John, D-SC
Grijalva, Raul, D-AZ Strickland, Ted, D-OH
Gutierrez, Luis, D-IL Stupak, Bart, D-MI
Hall, Ralph, D-TX Towns, Edolphus, D-NY
Hart, Melissa, R-PA Turner, Jim, D-TX
Hinchey, Maurice, D-NY Visclosky, Pete, D-IN
Hoeffel, Joseph, D-PA Walsh, Jim, R-NY
Holden, Tim, D-PA Weldon, Curt, R-PA
Houghton, Amo, R-NY Wilson, Joe, R-SC
Israel, Steve, D-NY Wynn, Albert, D-MD


* BOND PRICING: For the week of September 22 - 26, 2003
-------------------------------------------------------

Issuer                                Coupon   Maturity  Price
------                                ------   --------  -----
Adelphia Communications                9.875%  03/01/07    68
Adelphia Communications               10.875%  10/01/10    68
American & Foreign Power               5.000%  03/01/30    66
AMR Corp.                              9.000%  09/15/16    72
Aurora Foods                           9.875%  02/15/07    57
Burlington Northern                    3.200%  01/01/45    55
Calpine Corp.                          7.875%  04/01/08    69
Calpine Corp.                          8.500%  02/15/11    69
Calpine Corp.                          8.625%  08/15/10    70
Calpine Corp.                          8.750%  07/15/07    74
Century Communications                 8.875%  01/15/07    69
Cincinnati Bell Telephone              6.300%  12/01/28    74
Coastal Corp.                          6.950%  06/01/28    70
Coastal Corp.                          7.420%  02/15/37    73
Comcast Corp.                          2.000%  10/15/29    33
Continental Airlines                   7.033%  06/15/11    74
Cox Communications Inc.                0.348%  02/23/21    72
Cox Communications Inc.                2.000%  11/15/29    34
Crown Cork & Seal                      7.500%  12/15/96    73
Cummins Engine                         5.650%  03/01/98    67
Dan River Inc.                        12.750%  04/15/09    68k
Delta Air Lines                        7.900%  12/15/09    75
Delta Air Lines                        8.300%  12/15/29    65
Delta Air Lines                        9.000%  05/15/16    68
Elwood Energy                          8.159%  07/05/26    70
Enron Corp.                            7.875%  06/15/03    19
Fibermark Inc.                        10.750%  04/15/11    65
Finova Group                           7.500%  11/15/09    51
Gulf Mobile Ohio                       5.000%  12/01/56    63
IMC Global Inc.                        7.300%  01/15/28    73
Internet Capital                       5.500%  12/21/04    63
Level 3 Communications Inc.            6.000%  09/15/09    62
Level 3 Communications Inc.            6.000%  03/15/10    61
Liberty Media                          3.500%  01/15/31    73
Liberty Media                          3.750%  02/15/30    61
Liberty Media                          4.000%  11/15/29    65
Loral Cyberstar                       10.000%  07/15/06    60
Lucent Technologies                    6.450%  03/15/29    69
Lucent Technologies                    6.500%  01/15/28    69
Mirant Corp.                           2.500%  06/15/21    48
Mirant Corp.                           5.750%  07/15/07    48
Missouri Pacific Railroad              4.750%  01/01/30    71
Missouri Pacific Railroad              5.000%  01/01/45    63
Northern Pacific Railway               3.000%  01/01/47    52
Northwest Airlines                     7.875%  03/15/08    74
NTL Communications Corp.               7.000%  12/15/08    19
Revlon Consumer Products               8.625%  02/01/08    53
Universal Health Services              0.426%  06/23/20    65
US Timberlands                         9.625%  11/15/07    56
Viropharma Inc.                        6.000%  03/01/07    51
Worldcom Inc.                          6.250%  08/15/03    33
Worldcom Inc.                          6.400%  08/15/05    33
Worldcom Inc.                          6.950%  08/15/28    33
Xerox Corp.                            0.570%  04/21/18    65

                          *********

Monday's edition of the TCR delivers a list of indicative prices
for bond issues that reportedly trade well below par.  Prices are
obtained by TCR editors from a variety of outside sources during
the prior week we think are reliable.  Those sources may not,
however, be complete or accurate.  The Monday Bond Pricing table
is compiled on the Friday prior to publication.  Prices reported
are not intended to reflect actual trades.  Prices for actual
trades are probably different.  Our objective is to share
information, not make markets in publicly traded securities.
Nothing in the TCR constitutes an offer or solicitation to buy or
sell any security of any kind.  It is likely that some entity
affiliated with a TCR editor holds some position in the issuers'
public debt and equity securities about which we report.

Each Tuesday edition of the TCR contains a list of companies with
insolvent balance sheets whose shares trade higher than $3 per
share in public markets.  At first glance, this list may look like
the definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical cost
net of depreciation may understate the true value of a firm's
assets.  A company may establish reserves on its balance sheet for
liabilities that may never materialize.  The prices at which
equity securities trade in public market are determined by more
than a balance sheet solvency test.

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, Donnabel C. Salcedo, Ronald P. Villavelez and Peter A.
Chapman, Editors.

Copyright 2003.  All rights reserved.  ISSN: 1520-9474.

This material is copyrighted and any commercial use, resale or
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re-mailing and photocopying) is strictly prohibited without prior
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not guaranteed.

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for the term of the initial subscription or balance thereof are
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                *** End of Transmission ***