TCR_Public/060830.mbx          T R O U B L E D   C O M P A N Y   R E P O R T E R

            Wednesday, August 30, 2006, Vol. 10, No. 206

                             Headlines

2135 GODBY: Wants Southeast Apartment as Real Estate Agent
2929 PANTHERSVILLE: Judge Murphy Approves AICCO Premium Financing
2929 PANTHERSVILLE: Sells Spanish Trace Apartments to DT Group
AEROSOL PACKAGING: Wants to Use Sec. Creditors' Cash Collateral
ALANS CARPET: Case Summary & 20 Largest Unsecured Creditors

ALLIANCE LAUNDRY: Incurs $821,000 Net Loss in 2006 Second Quarter
ASARCO LLC: Asbestos Panel and FCR Want Open-Ended Bar Date
ASSET SECURITIZATION: S&P Raises Low-B Rating on 2 Cert. Classes
CALLA PROPERTIES: Taps Vaught & Boutris as Bankruptcy Counsel
CATALYST PAPER: Board Calls for Rejection of Third Avenue's Offer

CATHOLIC CHURCH: Tort Panel Wants Spokane & ACE Settlement Denied
CATHOLIC CHURCH: Tort Panel Won't Take Action Against Charities
CENTENNIAL COMMS: May 31 Balance Sheet Upside-Down by $1 Billion
CHICAGO HUDSON: Court Approves $12 Million Sale of Paved Lot
CHRISTIAN LIFE: Case Summary & 20 Largest Unsecured Creditors

CHRISTOPHER BARTELS: Case Summary & 19 Largest Unsecured Creditors
CITIMORTGAGE ALTERNATIVE: Fitch Rates Two Cert. Classes at Low-B's
COLLINS & AIKMAN: Court OKs Expedited Lease Rejection Procedures
COLLINS & AIKMAN: Fabric Balks at Lease Rejection Request
COLLINS & AIKMAN: Court Approves Settlement Pact with Insurers

COLUMBUS MCKINNON: S&P Upgrades Sr. Secured Notes' Rating to BB-
COUNCIL TRAVEL: Allowed Claimants Must Provide Updated Addresses
CRAIG SCALISE: Case Summary & 12 Largest Unsecured Creditors
CSFB ABS: S&P Lowers Class B Certificates' Rating to CCC from B
DANA CORP: Creditors Want Correct Reclamation Claim Amounts Paid

DANA CORP: Court Approves Settlement Agreement with American Axle
DAVITA INC: Inks Amended and Restated Supply Agreement with Gambro
DELPHI CORP: Hires Workers to Fill Vacancies in Ohio
DELPHI CORP: Umicore Considers Autocatalyst Unit Purchase
DELPHI CORP: Selects Bartech to Manage Staffing Services

EXIDE TECHNOLOGIES: Asks Foreign Claimholders to Provide Evidence
EXIDE TECHNOLOGIES: Can Object to Claims Until Jan. 15, 2007
FORD MOTOR: U.K. Executive A. Bamford Mulls Jaguar Acquisition
FURNITURE KING: Retail Store Assets Sold at Two-Day Auction
GIANT INDUSTRIES: Western Merger Cues Moody's to Hold Ratings

GLOBAL DOCUGRAPHIX: Panel Hires Locke Liddell as Special Counsel
GLOBAL HOME: Asks Court to Approve WearEver Sale Incentive Program
INCO LTD: Board Still Recommends Merger with Phelps Dodge
INT'L MANAGEMENT: Auctioning Membership Interests on September 14
INTERSTATE BAKERIES: Court OKs Rejection of 12 Property Leases

INTERSTATE BAKERIES: JPMorgan Supports Permanent CEO Search
JAFRA WORLDWIDE: Strong Metrics Cues Moody's to Upgrade Ratings
JAMES TAYLOR: Case Summary & 18 Largest Unsecured Creditors
KEITH NOVICK: Case Summary & Five Largest Unsecured Creditors
KEY CONTRACTING: Case Summary & 19 Largest Unsecured Creditors

KINSTON HOUSING: S&P Downgrades $3.2 Million Bonds' Rating to B
LA PETITE: S&P Assigns Junk Rating to Proposed $85 Million Loan
LAIRD COLLINS: Case Summary & 20 Largest Unsecured Creditors
LARRY'S MARKETS: Two More Grocery Stores Sold for $700,000
LONDON FOG: Closes Asset Sale to Iconix After Nev. State Approval

LUXELL TECH: Files Proposal to Creditors Under BIA in Canada
M&S GRADING: CIT Group Repossesses Leased Equipment
MAGNACHIP SEMICONDUCTOR: Has $179 Million Equity Deficit at July 2
MIRANT CORP: Allows 25 Claims Aggregating $2,266,255
MIRANT CORP: Asks Court to Approve Shady Hills Settlement Accord

NAKOMA LAND: Ch. 7 Trustee Sells Plumas Lot to Carters for $185K
NATIONAL GAS: Pre-Petition Bank Loan Payments are Avoidable
NORCRAFT HOLDINGS: Moody's Holds Junk Rating on $118MM Sr. Notes
NORTEL NETWORKS: Secures SNTF Contract for National GSM-R Project
NORTH GATE: Case Summary & Three Largest Unsecured Creditors

NOVELIS: Monahan Sits as Interim CEO as Board Lets Go of Sturgell
NOVELIS INC: Earns $90 Million for the Year Ended Dec. 31, 2005
NOVELIS INC: Declares $0.01 Dividend on Outstanding Common Stock
PELTS & SKINS: Hires Douglas Draper as Bankruptcy Counsel
POPULAR CLUB: Court Okays Teich Groh as Bankruptcy Counsel

PROCARE AUTOMOTIVE: Inks Settlement with Panel & Sec. Creditors
PROGRESSIVE GAMING: S&P Cuts Corporate Credit Rating to CCC
RADNOR HOLDINGS: Ch. 11 Filing Cues Moody's to Withdraw Ratings
ROSEN AUTO: 8th Cir. BAP Says Golfing Buddy Not an Insider
ROUGE INDUSTRIES: Court Approves Shiloh Settlement Stipulation

SAINT VINCENTS: Gets Court's Nod on New York DEC Settlement Pact
SAINT VINCENTS: Aptium Agrees to Limit Prepetition Claim at $25MM
SAINT VINCENTS: 22 Tort Claimants Call for Lifting of Stay
SALON MEDIA: 2007 First Fiscal Quarter Net Loss Rises to $525,000
SATELITES MEXICANOS: Can Continue Using Business Forms

SATELITES MEXICANOS: Seeks Bankr. Court Nod on Insurance Programs
SATELITES MEXICANOS: Wants to Continue Employing OCPs
SCOTTS MIRACLE-GRO: Reports $133.3MM Net Income in Third Quarter
SECUNDA INT'L: Receives Tenders and Consents for 100% of Notes
SMART ONLINE: June 30 Net Loss Decreases to $28,375

SORELL INC: June 30 Balance Sheet Upside-Down by $9.1 Million
SOUTHWEST FLORIDA: Court Nixes Deepening Insolvency Lawsuit
SPOKANE RACEWAY: Case Summary & Eight Largest Unsecured Creditors
SUK HWAN OH: Case Summary & Four Largest Unsecured Creditors
TAUBMAN CENTERS: Earns $7.8 Mil. in Second Quarter Ended June 30

TECNET INC: Court Approves Settlement Agreement on Escrow Lawsuit
TOWN SPORTS: Credit Measure Improvement Cues S&P's Rating Upgrade
TRANSPORT INDUSTRIES: S&P Affirms Ratings & Alters Outlook to Neg.
VARTEC TELECOM: Court Allows Ch. 7 Trustee to Retain CCSB LLP
VERASUN ENERGY: Successful IPO Cues S&P to Upgrade Rating to B+

W.R. GRACE: Wants to Conduct Rule 2004 Exam on Various Parties
W.R. GRACE: Court Fixes Oct. 16 & Nov. 15 as Asbestos PI Bar Dates
WHITAKER'S INC: Case Summary & 20 Largest Unsecured Creditors
WINN-DIXIE: Can Enter Into Liberty Surety Bonds Agreement
WINN-DIXIE: Judge Funk Okays Assumption of 30 Store Leases

* Upcoming Meetings, Conferences and Seminars

                             *********

2135 GODBY: Wants Southeast Apartment as Real Estate Agent
----------------------------------------------------------
2135 Godby Property, LLC, asks the U.S. Bankruptcy Court for the
Northern District of Georgia for permission to employ Southeast
Apartment Partners, LLC, as its real estate agent.

The Debtor wants Southeast Apartment to market and sell its
property located at 2135 Godby Road in College Park, Georgia, for
an initial amount of $16.5 million.

Joshua Goldfarb, a managing director at Southeast Apartment,
discloses that the firm will receive a 2% commission on the gross
purchase price, payable at the closing of the sale.

Mr. Goldfarb assures the Court that his firm does not hold or
represent any interest adverse to the Debtor or its estate.

Mr. Goldfarb can be reached at:

          Southeast Apartment Partners, LLC
          Attn: Joshua Goldfarb
          3390 Peachtree Road, Suite 300
          Atlanta, GA 30326
          Tel: (404) 442-5600
          Fax: (404) 442-5601

Headquartered in Calabasas, California, 2135 Godby Property, LLC,
dba Quail Creek Apartments, owns and operates a 486-unit apartment
in 2135 Godby Road, College Park, Georgia.  The company filed for
Chapter 11 protection on May 1, 2006 (Bankr. N.D. Ga. Case No.
06-65007).  Todd E. Hennings, Esq., at Macey, Wilensky, Kessler,
Howick & Westfall, LLP, represents the Debtor in its restructuring
efforts.  No Committee of Unsecured Creditors has been appointed
in the Debtor's case.  When the Debtor filed for protection from
its creditors, it estimated assets and debts between $10 million
and $50 million.


2929 PANTHERSVILLE: Judge Murphy Approves AICCO Premium Financing
-----------------------------------------------------------------
The Honorable Margaret H. Murphy of the U.S. Bankruptcy Court for
the Northern District of Georgia in Atlanta authorized 2929
Panthersville Associates to enter into an insurance premium
financing agreement with AICCO, Inc.

AICCO will fund the Debtor's 2006-2007 liability and property
damage insurance policies for the Spanish Trace Apartments located
at 299 Panthersville Road, Decatur in Dekalb County, Georgia.  The
total premium due on the policies is $86,077.

The Premium Finance Agreement requires the Debtor to make ten
monthly payments of $6,793 starting on Aug. 21, 2006, with the
final payment due on May 21, 2006.  Interest rate under the
Premium Finance Agreement is 11.25%.  The total finance charge is
$3,375.

Headquartered in Atlanta, Georgia, 2929 Panthersville Associates
owns a 518-unit apartment known as the Spanish Trace East
Apartments in Decatur, Georgia.  The company filed for chapter 11
protection on May 1, 2006 (Bankr. N.D. Ga. Case No. 06-64988).
John A. Christy, Esq., at Schreeder, Wheeler & Flint, LLP,
represents the Debtor.  No Committee of Unsecured Creditors
has been appointed in the Debtor's case.  When the Debtor filed
for protection from its creditors, it estimated assets between
$1 million and $10 million and debts between $10 million and
$50 million.


2929 PANTHERSVILLE: Sells Spanish Trace Apartments to DT Group
--------------------------------------------------------------
The Honorable Margaret H. Murphy of the U.S. Bankruptcy Court for
the Northern District of Georgia in Atlanta has approved the sale
of 2929 Panthersville Associates' Spanish Trace East Apartments to
DT Group Development, Inc., for a minimum price of $13 million.

The Spanish Trace is a 518-unit apartment project located at 2929
Panthersville Road, Decatur in Dekalb County, Georgia.  MLQ-MLL,
LLC holds a first priority lien and mortgage on the property.  A
$12,976 mechanic's and materialmen's lien filed by Carpet Issues,
Inc., further encumbers the property.

The Debtor is selling the apartments free and clear of liens.
Proceeds from the sale will be paid to MLQ pursuant to a July 2006
agreement.

The agreement provides for an escalating payoff starting at
$11,075,000 if the debt is paid by Aug. 31, 2006 and increasing to
$11,125,000 if paid by Sept. 29, 2006.  The Debtor can opt to
extend the payoff date to Oct. 31, 2006 with an increased payment
of $11,175,000.

The Debtor has scheduled 50 unsecured creditors holding an
aggregate of $546,102 in claims, of which approximately $315,102
represents unaffiliated creditors.  The Debtor says the remaining
funds from the sale would be sufficient to provide for
distributions to all allowed claims.

A full-text copy of the Asset Purchase Agreement is available for
a fee at:

  http://www.researcharchives.com/bin/download?id=060829220214

Headquartered in Atlanta, Georgia, 2929 Panthersville Associates
owns a 518-unit apartment known as the Spanish Trace East
Apartments in Decatur, Georgia.  The company filed for chapter 11
protection on May 1, 2006 (Bankr. N.D. Ga. Case No. 06-64988).
John A. Christy, Esq., at Schreeder, Wheeler & Flint, LLP,
represents the Debtor.  No Committee of Unsecured Creditors
has been appointed in the Debtor's case.  When the Debtor filed
for protection from its creditors, it estimated assets between
$1 million and $10 million and debts between $10 million and
$50 million.


AEROSOL PACKAGING: Wants to Use Sec. Creditors' Cash Collateral
---------------------------------------------------------------
Aerosol Packaging, LLC, dba Aerosol Specialties, asks the U.S.
Bankruptcy Court for the Northern District of Georgia for
permission to use cash collateral securing repayment of its
indebtedness to its secured lenders.

When the Debtor filed for bankruptcy, it owed Wachovia Bank, N.A.,
as successor-by-merger to SouthTrust Bank, around $2.4 million.
Wachovia asserts a first priority lien upon and security interest
in substantially all of the Debtor's assets on account of the
obligations.

The Debtor also owed Blue Ridge Investors II Limited Partnership
approximately $2 million as of the Debtor's bankruptcy filing.  To
secure the Blue Ridge Obligations, the Debtor granted Blue Ridge a
second priority lien upon and security interest in substantially
all of Wachovia's.

J. Christopher Miller, Esq., tells the Court that the Debtor has
had to severely curtail its production operations due to a lack of
cash resources to purchase raw materials and to pay payroll and
other operating expenses.  He says that due to the cash shortage,
the Debtor has accumulated approximately $2.5 million of order
backlogs representing at least six weeks of operating production.

Mr. Miller contends that unless the Debtor is authorized to use
the proceeds of its accounts generated in the ordinary course of
business, it will be unable to meet payroll and other operating
expenses.  Mr. Miller adds that the Debtor runs the risk of losing
a significant portion of its customer base if it cannot resume
production in short order.  If this were to occur and the Debtor
was forced to liquidate, the value of the collateral will be
materially and adversely impaired, Mr. Miller explains.

As adequate protection for the secured creditors' interest in cash
collateral, the Debtor proposes, among other things:

   a. that the secured creditors be granted a first priority
      security interest in and lien on the Debtor's postpetition
      accounts and proceeds;

   b. the continuation of the liens and security interests held by
      the secured creditors in the Collateral, including any
      related cash collateral; and

   c. a provision to the secured creditors of the Debtor's monthly
      operating reports required by the United States Trustee and
      filed with the Court.

Headquartered in Canton, Georgia, Aerosol Packaging, LLC, aka
Aerosol Specialties -- http://www.aerosolspecialties.com/-- is a
manufacturer, and a private label & contract filler of aerosol,
liquid filling products, durable undercoatings, paints, fabric
treatments, and personal care items.  The Debtor filed for chapter
11 protection on June 21, 2006 (Bankr. N.D. Ga. Case No. 06-
67096).  Brian L. Schleicher, Esq., and P. Steven Kratsch, Esq.,
at Jampol, Schleicher & Jacobs, LLP, represent the Debtor.  When
the Debtor filed for protection from its creditors, it estimated
assets between $1 million and $10 million and debts between $10
million and $50 million.


ALANS CARPET: Case Summary & 20 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: Alans Carpet Company, Inc.
        dba Alans Oriental Rugs and Bernsen's Carpets
        1613 Union Avenue
        Memphis, TN 38104

Bankruptcy Case No.: 06-26673

Type of Business: The Debtor retails carpets and oriental rugs.

Chapter 11 Petition Date: August 24, 2006

Court: Western District of Tennessee (Memphis)

Judge: George W. Emerson Jr.

Debtor's Counsel: Steven N. Douglass, Esq.
                  Harris Shelton Hanover Walsh, PLLC
                  2700 One Commerce Square
                  Memphis, TN 38103
                  Tel: (901) 525-1455
                  Fax: (901) 526-4084

Total Assets:   $823,873

Total Debts:  $1,308,906

Debtor's 20 Largest Unsecured Creditors:

   Entity                        Nature of Claim     Claim Amount
   ------                        ---------------     ------------
Brukvin Importers, Inc.
$125,8001261 Broadway, Suite 606
New York, NY 10001

Atlas Rug Corp.                                          $119,862
36 East 31st Street
New York, NY 10016

Commercial Appeal                                        $114,211
c/o Dough Alrutz, Esq.
1517 Aaron Brenner Drive
Suite 800
Memphis, TN 38120

Tufenkian Imp./Exp.                                      $111,547
Ventures, Inc.
919 Third Avenue, 1st Floor
New York, NY 10022

Apadana                                                   $98,550
25 East 31st Street
New York, NY 10016

Neman International Inc.                                  $86,461

Shaw Industries                                           $44,554

Nanak International, Inc.                                 $41,522

Harouninan Rugs                                           $34,978
International, Inc.

Carpenter/Sullivan                                        $30,756

Jerry Aziz Oriental Rugs                                  $17,782

Building Plastics, Inc.                                   $16,625

Beth Almond                                               $13,989

Mohawk Carpet                                             $11,205

I.M. International                                        $10,367

Beth Pope Pulliam                Consignment of Carpets   $10,000

Chaman Oriental Rugs                                       $9,550

Guardsmark, Inc.                                           $8,725

Adleta                                                     $8,670

Canon & Company, CPA                                       $8,455


ALLIANCE LAUNDRY: Incurs $821,000 Net Loss in 2006 Second Quarter
-----------------------------------------------------------------
For the three months ended June 30, 2006, Alliance Laundry
Holdings LLC incurred an $821,000 net loss from net revenues of
$86,931,000.

The Company's balance sheet at June 30, 2006 showed total assets
of $465,404,000, total liabilities of $373,184,000 and members'
equity of $92,220,000.

Full-text copies of the Company's financial statements for the
three months ended June 30, 2006 are available for free at:

               http://researcharchives.com/t/s?1093

Headquartered in Ripon, Wisconsin, Alliance Laundry Holdings LLC
-- http://www.comlaundry.com/-- through its subsidiary, Alliance
Laundry Systems, makes commercial laundry equipment used in
laundromats, multi-housing laundry facilities (apartments,
dormitories, military bases), and on-premise laundries (hotels,
hospitals, prisons).  Its washers and dryers are made under the
brands GeneSys, Huebsch, Speed Queen, and UniMac.  The company
also offers laundry and dry-cleaning presses and shirt finishing
equipment under the Ajax brand.  Investment firm Teachers' Private
Capital (private equity arm of Ontario Teachers' Pension Plan)
acquired 91% of ALH for about $450 million in early 2005.  The
company was founded in 1908.

                          *     *     *

In June 2006, Standard & Poor's Ratings Services affirmed its 'B'
rating and its recovery rating of '3' on Alliance Laundry Systems
LLC's senior secured credit facilities following its proposed $65
million add-on credit facilities.


ASARCO LLC: Asbestos Panel and FCR Want Open-Ended Bar Date
-----------------------------------------------------------
The Official Committee of Unsecured Creditors for the Asbestos
Subsidiary Debtors and Robert C. Pate, the future claims
representative, ask the U.S. Bankruptcy Court for the Southern
District of Texas in Corpus Christi that bar dates applicable to
Asbestos Debtors should be extended until the entry of a final
order in the derivative asbestos claims issues.

The Debtors seek to modify the bar dates as to the intercompany
claims of some Subsidiary Debtors.  However, the Stipulation does
not include the Asbestos Subsidiary Debtors -- Lac d'Amiante du
Quebec Ltee, CAPCO Pipe Company, Inc., Cement Asbestos Products
Company, Lake Asbestos of Quebec, Ltd., and LAQ Canada, Ltd.,
Jacob L. Newton, Esq., at Stutzman, Bromberg, Esserman & Plifka,
in Dallas, Texas, points out.

The Asbestos Committee and the FCR assert that the Asbestos
Debtors have significant claims against ASARCO LLC arising from
the derivative asbestos claims.

The step-by-step process of resolving the derivative asbestos
claims issues will culminate in March 2007.  Until the resolution
of the derivative asbestos claims issues, Mr. Newton contends
that it is inefficient and a waste of valuable resources and time
of the Asbestos Debtors, the Asbestos Committee and the FCR for
them to file their claims.

To promote economy and preserve valuable judicial and estate
resources, the Asbestos Committee and the FCR asserts that any
bar dates established that are applicable to the Asbestos Debtors
should be extended until the entry of a final order in the
derivative asbestos claims issues.

                       Bar Date Stipulation

As reported in the Troubled Company Reporter on Aug. 16, 2006, in
a Court-approved stipulation, ASARCO LLC, Encycle, Inc.,
ASARCO Consulting, Inc., Bridgeview Management Company, Inc.,
Asarco Oil And Gas Company, Inc., Government Gluch Mining Company
Limited, ALC, Inc., American Smelting and Refining Company, AR
Mexican Explorations Inc., AR Sacaton, LLC, Salero Ranch, Unit
III, Community Association, Inc., Covington Land Company, and
Asarco Master, Inc., agree that:

   (a) the Bar Date Order is extended solely with respect to
       Intercompany Claims;

   (b) the Stipulation does not modify or affect the Bar Date as
       it applies to claims asserted by or against the Asbestos
       Debtors, or as it applies to claims asserted by any party
       other than one of the Debtors; and

   (c) upon completion of the investigation of the Intercompany
       Claims, the Debtors and the Committees may file a
       supplemental bar date notice with the Court establishing a
       new bar date with respect to the Intercompany Claims,
       provided that the notice must be filed at least 30 days
       before the Intercompany Claims Bar Date.

Headquartered in Tucson, Arizona, ASARCO LLC --
http://www.asarco.com/-- is an integrated copper mining,
smelting and refining company.  Grupo Mexico S.A. de C.V. is
ASARCO's ultimate parent.  The Company filed for chapter 11
protection on Aug. 9, 2005 (Bankr. S.D. Tex. Case No. 05-21207).
James R. Prince, Esq., Jack L. Kinzie, Esq., and Eric A.
Soderlund, Esq., at Baker Botts L.L.P., and Nathaniel Peter
Holzer, Esq., Shelby A. Jordan, Esq., and Harlin C. Womble, Esq.,
at Jordan, Hyden, Womble & Culbreth, P.C., represent the Debtor
in its restructuring efforts.  Lehman Brothers Inc. provides the
ASARCO with financial advisory services and investment banking
services.  Paul M. Singer, Esq., James C. McCarroll, Esq., and
Derek J. Baker, Esq., at Reed Smith LLP give legal advice to
the Official Committee of Unsecured Creditors and David J.
Beckman at FTI Consulting, Inc., gives financial advisory
services to the Committee.  When the Debtor filed for protection
from its creditors, it listed $600 million in total assets and
$1 billion in total debts.

The Debtor has five affiliates that filed for chapter 11
protection on April 11, 2005 (Bankr. S.D. Tex. Case Nos. 05-20521
through 05-20525).  They are Lac d'Amiante Du Quebec Ltee, CAPCO
Pipe Company, Inc., Cement Asbestos Products Company, Lake
Asbestos of Quebec, Ltd., and LAQ Canada, Ltd.  Details about
their asbestos-driven chapter 11 filings have appeared in the
Troubled Company Reporter since Apr. 18, 2005.

Encycle/Texas, Inc. (Bankr. S.D. Tex. Case No. 05-21304), Encycle,
Inc., and ASARCO Consulting, Inc. (Bankr. S.D. Tex. Case No.
05-21346) also filed for chapter 11 protection, and ASARCO has
asked that the three subsidiary cases be jointly administered
with its chapter 11 case.  On Oct. 24, 2005, Encycle/Texas' case
was converted to a Chapter 7 liquidation proceeding. The Court
appointed Michael Boudloche as Encycle/Texas, Inc.'s Chapter 7
Trustee.  Michael B. Schmidt, Esq., and John Vardeman, Esq., at
Law Offices of Michael B. Schmidt represent the Chapter 7
Trustee. (ASARCO Bankruptcy News, Issue No. 27; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/
or 215/945-7000)


ASSET SECURITIZATION: S&P Raises Low-B Rating on 2 Cert. Classes
----------------------------------------------------------------
Standard & Poor's Ratings Services raised its ratings on five
classes of Asset Securitization Corp.'s commercial mortgage pass-
through certificates from series 1997-D4.

At the same time, ratings were affirmed on three other classes
from the same transaction.

The raised and affirmed ratings reflect the defeasance of 49% of
the transaction's collateral, as well as credit enhancement levels
that provide adequate support through various stress scenarios.

As of Aug. 16, 2006, the collateral pool consisted of 96 loans,
one REO asset, and one asset in foreclosure, with an aggregate
balance of $967.8 million, down from 121 loans with a balance of
$1.4 billion at issuance.  Additionally, the collateral securing
34 loans ($478.6 million) has been defeased.  The master servicer,
Capmark Finance Inc., provided primarily year-end 2005 financial
information for 95% of the pool.

Based on this information, Standard & Poor's calculated a weighted
average debt service coverage ratio of 1.59x for the pool, up from
1.42x at issuance.  The three delinquent assets ($19.9 million,
2%) in the transaction are the only assets with the special
servicer and are discussed below.  Two appraisal reduction amounts
totaling $8.3 million are in effect related to the REO asset and
the asset in foreclosure.  To date, the trust has experienced six
losses totaling $16.2 million.

The current top 10 loan exposures secured by real estate have an
aggregate outstanding balance of $291 million (30%).  The weighted
average DSCR for the top 10 exposures was 1.46x for year-end 2005,
up from 1.30x at issuance.  The weighted average DSCR for the top
10 exposures excludes the seventh-largest exposure, the Conestoga
and Randolph's Malls loan, as the collateral has been partially
defeased.  The increase in DSC resulted from increases in net cash
flow of 20% or more for five of the top 10 loans since issuance.
Three of the top 10 loans totaling $104.3 million mature in March
2007.  Two of the top 10 loans have DSCRs below 1.10x.

Standard & Poor's reviewed property inspections provided by
Capmark for all of the assets underlying the top 10 exposures, and
all were characterized as "good" except for two that were
characterized as "fair."

The three assets with the special servicer, also Capmark, have an
aggregate total exposure of $23.8 million.  Holiday Inn-New
Orleans has an unpaid principal balance of $8 million and is
secured by a 308-room full-service hotel in Gretna, Louisiana.
The sale of the property previously arranged by the borrower did
not go through, and the property is now in foreclosure.

The borrower is trying to retain the property but is having
difficulty obtaining the insurance required for refinancing.
Forbearance has been granted through December 2006, and the
borrower has made a good-faith deposit.  In the interim, the
court-appointed receiver remains in place.  An ARA of $4.2 million
is in effect.

The Radisson Inn-Columbus asset is REO and has an unpaid principal
balance of $8 million and a total exposure of $11.1 million.  The
268-room full-service hotel in Columbus, Ohio, is in the process
of being reflagged.  An ARA of $4.2 million is still outstanding.

The Inn at Manchester secures a loan that is over 90 days
delinquent with an unpaid principal balance of $3.9 million and a
total exposure of $4.7 million.  A 104-room extended-stay hotel in
Manchester, Connecticut, secures the loan.  The property was
transferred to the special servicer because it was not generating
sufficient cash flow to service the debt.

A proposed sale of the property did not close.  The court denied
the appointment of a receiver but provided for the payment of
excess cash flow after payment of operating expenses and taxes to
be forwarded to the lender.  Foreclosure proceedings have begun,
and Standard & Poor's expects only a minimal loss on the loan upon
its ultimate resolution.

Capmark reported a watchlist of 13 loans totaling $35.2 million
(3%).  Two of the top 10 loans have DSCRs below 1.1x but are not
on the master servicer's watchlist.  The third-largest exposure,
the Sunwest portfolio (38.8 million, 4%), is secured by 64
neighborhood retail properties, down from 72 properties at
issuance due to defeasance.  The majority are single-tenant
properties leased to 70 different tenants, with a geographic
concentration in Texas (65%).  The year-end 2005 DSCR was 1.05x,
down from 1.24x at issuance due to an increase in expenses.

Ambassador Apartments II, the sixth-largest exposure ($19.5
million, 2%), is secured by two multifamily properties in
Colorado.  The combined year-end 2005 DSCR was 1.05x.  County Club
West Apartments is a 288-unit multifamily property in Greeley,
Colorado, with a year-end 2005 DSCR of 1.07x and 89% occupancy.
Courtney Park is a 248-unit multifamily property in Fort Collins,
Colorado, with a year-end 2005 DSCR of 1.04x and 93% occupancy.

Standard & Poor's stressed various loans in the transaction,
paying closer attention to the assets with the special servicer
and those on the watchlist.  The expected losses and resultant
credit enhancement levels adequately support the raised and
affirmed ratings.

Ratings Raised:

                   Asset Securitization Corp.
  Commercial mortgage pass-through certificates series 1997-D4

            Class    To    From   Credit enhancement
            -----    --    ----   ------------------
             A-8     AA+   AA           14.27%
             B-1     A+    BBB+         10.64%
             B-2     BBB   BB+           7.02%
             B-3     BB+   BB            5.57%
             B-4     B+    B             3.39%

Ratings Affirmed:

                   Asset Securitization Corp.
  Commercial mortgage pass-through certificates series 1997-D4

              Class    Rating   Credit enhancement
              -----    ------   ------------------
              A-1D      AAA           44.72%
              A-6       AAA           18.62%
              B-5       B-             1.94%


CALLA PROPERTIES: Taps Vaught & Boutris as Bankruptcy Counsel
-------------------------------------------------------------
Calla Properties, Inc., asks the U.S. Bankruptcy Court for the
Northern District of California to employ Vaught & Boutris,
L.L.P., as its bankruptcy counsel, nunc pro tunc to Aug. 11, 2006.

Vaught & Boutris is expected to:

     a) prepare the schedules, statement of financial affairs,
        statement of executory contracts and other related
        documents pertaining to the Chapter 11 proceeding;

     b) represent the Debtor in each hearing, and to
        represent the Debtor at all meetings of creditors or
        with the Creditor's Committee;

     c) prepare an appropriate Disclosure Statement and Plan of
        Reorganization and to attend all hearing relating to its
        consideration and approval;

     d) review all claims asserted and to file objections
        to such claims as may be necessary;

     e) bring such action or defend such action as may arise
        during these proceedings; and

     f) perform other services for the Debtor relevant to this
        case.

The Debtor did not disclose the Firm's hourly billing rates.

Vaught & Boutris assures the Court that it does not hold any
interest adverse to the Debtor, its creditors or the estate.

The Firm can be reached at:

     Basil J. Boutris, Esq.
     Jon R. Vaught, Esq.
     Vaught & Boutris LLP
     80 Swan Way, Suite 320
     Oakland, CA 94621
     Tel: (510) 430-1518
     Fax: (510) 382-1166

Headquartered in San Jose, California, Calla Properties, Inc.,
filed its Chapter 11 petition on Aug. 11, 2006 (Bankr. N.D. Calif.
Case No. 06-51527).  Basil J. Boutris, Esq., at Vaught & Boutris,
L.L.P., represent the Debtors in its restructuring efforts.  When
the Debtor filed for protection from its creditors, it estimated
assets and debts between $10 million to $50 million.


CATALYST PAPER: Board Calls for Rejection of Third Avenue's Offer
-----------------------------------------------------------------
Catalyst Paper Corp.'s Board of Directors has unanimously
recommended that shareholders reject the unsolicited offer made on
August 11, 2006 by Third Avenue Management, through CTOE LLC, for
up to 39 million shares of Catalyst for CDN$3.30 per share.

The Board's recommendation is contained in a Directors' Circular
filed with Canadian securities regulators.  The Circular contains
opinions from Catalyst's financial advisors, CIBC World Markets
and UBS Securities Canada Inc., that the consideration offered
under the Third Avenue offer is inadequate, from a financial point
of view, to shareholders of Catalyst.  A copy of the Directors'
Circular is available for free at:

              http://ResearchArchives.com/t/s?10a6

                       Chairman's Comment

The Board's concerns with Third Avenue's offer relate to the price
they are offering to pay for effective control of the Company,
which we believe is inadequate, the coercive nature of the bid,
and the fact that they have failed to provide a clear indication
of their plans for the Company should they gain control," said
Keith Purchase, Chairman of the Catalyst Board of Directors.
"Third Avenue's actions and statements regarding its intentions
for Catalyst have been unclear and inconsistent.  Given the
partial nature of Third Avenue's offer, shareholders need to
understand what Third Avenue's plans are before they can make a
proper evaluation."

Mr. Purchase added, "We respect Third Avenue's reputation as a
deep value investor and share their view that Catalyst is
significantly undervalued.  The Board is confident in management's
ability to continue delivering significant productivity gains in
the years ahead, but we do not believe that value is reflected in
the Third Avenue offer.  For this and the other reasons outlined
in the Directors' Circular, we are recommending that shareholders
reject the Third Avenue offer and not tender their shares."

           Clear Strategy for Long-term Value Creation

"Catalyst has delivered strong operating performance in a very
difficult industry environment, and we have a clear plan in place
for creating significant additional value this year and in the
years ahead," said Russell J. Horner, Catalyst President and Chief
Executive Officer.  "The Board and management are committed to
serving the best interests of all Catalyst shareholders, and
continuing to meet the needs of our customers."

                 Reasons for the Recommendation

After careful consideration of the Third Avenue offer, the
Catalyst Board of Directors has determined that the Third Avenue
offer is inadequate and not in the best interests of Catalyst
shareholders (other than certain parties related to CTOE LLC).
The Board unanimously recommends that shareholders reject the
Third Avenue offer and not tender their shares to it.  The Board
cited a number of reasons for its recommendation, including that:

   * The TAM offer reflects neither the value of effective control
     that TAM would acquire the ability to exercise, nor the
     long-term value of Catalyst shares;

   * The timing of the TAM offer is opportunistic and would
     deprive shareholders whose shares are taken up under the TAM
     offer the benefit of any future improvement in Catalyst
     performance and industry fundamentals;

   * In a difficult industry environment, Catalyst has
     demonstrated superior performance relative to its peers;

   * As a partial bid the TAM offer is, by its very nature,
     coercive;

   * The TAM offer, and TAM's public statements and positions
     taken in respect of Catalyst, make TAM's intentions for
     Catalyst unclear;

   * If successful, the TAM offer would reduce Catalyst's public
     float, which could adversely affect the market for, and
     trading price of, Catalyst's shares;

   * In the opinion of both of Catalyst's financial advisors, the
     TAM offer is financially inadequate;

   * If the TAM offer is successful, TAM could sell its stake in
     Catalyst in a subsequent transaction in which it would
     receive a premium that may not be available to other
     shareholders; and

   * There may be alternatives to the TAM offer that could
     potentially provide shareholders with greater value.

            Exploration of Alternatives to the Offer

The Catalyst Board of Directors and Special Committee are
considering alternatives to the Third Avenue offer, and
discussions have commenced with several parties who have expressed
interest in a potential alternative transaction.  Shareholders are
reminded that, particularly in this difficult industry
environment, there can be no assurance that any alternative
transaction will result from these discussions.

Based in Vancouver, British Columbia, Catalyst Paper (TSX: CTL)
-- http://www.catalystpaper.com/-- produces mechanical printing
papers in North America.  The Company also produces market kraft
pulp and owns Western Canada's largest paper recycling facility.
With five mills employing 3,800 people at sites within a 160-
kilometer radius on the south coast of British Columbia, Catalyst
has a combined annual capacity of 2.4 million tons of product.

                         *     *     *

As reported in the Troubled Company Reporter on Aug. 23, 2006
Moody's Investors Service revised the rating outlook for Catalyst
Paper Corporation from negative to stable.  Moody's also affirmed
Catalyst's senior unsecured notes and corporate family rating at
B1.


CATHOLIC CHURCH: Tort Panel Wants Spokane & ACE Settlement Denied
-----------------------------------------------------------------
The Tort Claimants Committee asks Judge Patricia C. Williams of
the U.S. Bankruptcy Court for the Eastern District of Washington
to deny approval of the Diocese of Spokane's settlement agreement
with ACE Property & Casualty Insurance Company.

The Tort Claimants Committee objects to a provision in the
settlement that says the Settlement Amount will be released to the
Diocese on the effective date of the Settlement Agreement and that
the Diocese will not be entitled to withdraw any funds from the
Account, except for certain administrative costs, until Oct. 1,
2007, or on other dates as may be directed by the Bankruptcy
Court.

Joseph E. Shickich, Jr., Esq., at Riddell Williams P.S., in
Seattle, Washington, tells the Court that denying access to the
settlement funds after the Effective Date of the agreement serves
no business purpose.

As reported in the Troubled Company Reporter on July 12, 2006, the
Diocese of Spokane and ACE Property entered into a settlement
agreement to resolve all claims with respect to the Alleged Aetna
Policy, including coverage for Tort Claims and any other present
or future liabilities that might be covered.

A full-text copy of the Settlement, Release and Buy Back Agreement
between the Diocese and ACE Property is available for free at:

                http://researcharchives.com/t/s?d8d

The Settlement Agreement improperly predetermines how the funds
can be used under a plan of reorganization, Mr. Shickich says.
The provisions for access at another date directed by order of the
Bankruptcy Court do not cure that defect because they are totally
devoid of any standard to guide the Court's decision.

The provisions regarding the prohibition of uses of settlement
funds other than for "payment of indemnity for tort claims" are
ambiguous, Mr. Shickich contends.  The phrase "indemnity for Tort
Claims" on its face seems to contemplate payment to a third party,
which has itself paid tort claims, instead of direct payment of
tort claims to tort claimants.

Mr. Shickich says the Settlement Agreement also provides a
premature release of the ACE Insurers.  Spokane should not only
modify the proposed orders approving the settlement agreement, but
also the Settlement Agreement itself, he adds.

                 Tort Litigants Committee Objects

The Official Committee of Tort Litigants asks Judge Williams to
deny the Diocese's request because the:

   (a) Settlement Motion is inadequate to support approval of the
       proposed settlement agreement with ACE insurers; and

   (b) the Settlement Agreement and the proposed orders contain
       provisions that may be either illegal, unenforceable or
       both.

Iain A.W. Nasatir, Esq., at Pachulski, Stang, Ziehl, Young, Jones
& Weintraub, LLP, in Los Angeles, California, notes that the
Settlement Motion does not discuss exactly what ACE is getting for
its $1,500,000 payment.

Mr. Nasatir tells Judge Williams that there is evidence that an
excess policy was issued to the Diocese for the same 1981 to 1982
policy period, providing an additional $5,000,000 in coverage.
While it is unclear from the documents supplied by the Diocese who
issued the $5,000,000 Policy, Mr. Nasatir relates that the
Settlement Agreement covers not just the primary policy, but any
and all insurance policies entered into between the Diocese and
ACE.

To the extent that ACE issued the excess policy and therefore had
a $5,000,000 potential exposure in addition to the primary
policy's exposure, Mr. Nasatir points out that ACE is being
released from the potential exposure by merely paying $1,500,000.

The Settlement Motion, according to Mr. Nasatir, is devoid of any
information as to how the $1,500,000 settlement amount compares to
the maximum and minimum range of recoveries the Diocese has
concluded the victims within the 1981 to 1982 coverage year could
be entitled to.

Moreover, the Settlement Agreement and the Proposed Order are
inconsistent in describing how the $1,500,000 settlement sum can
be used, Mr. Nasatir adds.

The fairness and reasonableness of the settlement with ACE cannot
be gauged since there exists the obvious potential for persons to
claim they are insureds under the policy and to make a claim
against ACE, Mr. Nasatir further asserts.

                     About Diocese of Spokane

The Roman Catholic Church of the Diocese of Spokane filed for
chapter 11 protection (Bankr. E.D. Wash. Case No. 04-08822) on
Dec. 6, 2004.  Michael J. Paukert, Esq., at Paine, Hamblen,
Coffin, Brooke & Miller, LLP, represents the Spokane Diocese in
its restructuring efforts.  When the Debtor filed for protection
from its creditors, it listed $11,162,938 in total assets and
$81,364,055 in total debts. (Catholic Church Bankruptcy News,
Issue No. 67; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


CATHOLIC CHURCH: Tort Panel Won't Take Action Against Charities
---------------------------------------------------------------
The Committee of Tort Litigants, Catholic Charities, Inc., and
other parties-in-interest in the Diocese of Spokane's Chapter 11
case have agreed to:

   * the Diocese's limited use of the proceeds of the sale of a
     property located at 707 N. Cedar Street, in Spokane,
     Washington; and

   * a deadline to commence an adversary proceeding against
     Catholic Charities relating to the Diocese's interest in
     those proceeds.

The Tort Litigants Committee, the Tort Claimants Committee, and
the Catholic Charities now stipulate regarding the prosecution of
the adversary proceeding.  The parties agree that prior to
September 1, 2006:

   (a) neither the Tort Litigants Committee or the Tort
       Committee, if the Tort Committee successfully intervenes
       in the Section 541 Litigation, will take any action,
       including, but not limited to, the filing of any motions
       or the initiation or continuation of any discovery, to
       prosecute the Section 541 Litigation against the Catholic
       Charities; and

   (b) Catholic Charities will not take any action, including but
       not limited to, the filing of any motions or the
       initiation or continuation of any discovery, to prosecute
       or defend the Section 541 Litigation against either the
       Tort Litigants Committee or the Tort Committee.

The U.S. Bankruptcy Court for the Eastern District of Washington
approves the parties' stipulation.

                    About The Diocese of Spokane

The Roman Catholic Church of the Diocese of Spokane filed for
chapter 11 protection (Bankr. E.D. Wash. Case No. 04-08822) on
Dec. 6, 2004.  Michael J. Paukert, Esq., at Paine, Hamblen,
Coffin, Brooke & Miller, LLP, represents the Spokane Diocese in
its restructuring efforts.  When the Debtor filed for protection
from its creditors, it listed $11,162,938 in total assets and
$81,364,055 in total debts. (Catholic Church Bankruptcy News,
Issue No. 67; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


CENTENNIAL COMMS: May 31 Balance Sheet Upside-Down by $1 Billion
----------------------------------------------------------------
At May 31, 2006, Centennial Communications Corp. reported total
stockholders' deficit of $1,064,859,000 from total assets of
$1,435,893,000 and total liabilities of $1,288,506,000.

For the fiscal year ended May 31, 2006, the Company reported
net income of $20,244,000 from total revenues of $945,728,000.

A full-text copy of the Company's financial report for the fiscal
year ended May 31, 2006 is available for free at:

              http://researcharchives.com/t/s?1092

Headquartered in Wall, New Jersey, Centennial Communications
Corporation -- http://www.centennialwireless.com/-- provides
wireless communications with cellular licenses covering smaller
markets in the central United States.  Centennial also offers
personal communications services in the Caribbean, as well as
wireline and wireless broadband services.  It operates as a
competitive local-exchange carrier in Puerto Rico, offering
traditional and Internet-based phone service.  Centennial sold its
Puerto Rican cable operations in 2004.  Venture capital firm
Welsh, Carson, Anderson & Stowe (54%) and a unit of the Blackstone
Group (24%) are Centennial's controlling shareholders.

                          *     *     *

As reported in the Troubled Company Reporter on Jul. 3, 2006,
Fitch assigned Centennial Communications Corp.'s issuer default
rating at 'B-' and senior unsecured notes rating at 'CCC/RR6'.
The rating outlook is stable.


CHICAGO HUDSON: Court Approves $12 Million Sale of Paved Lot
------------------------------------------------------------
The Honorable Jack B. Schmetterer of the U.S. Bankruptcy Court for
the Northern District of Illinois allowed Chicago Hudson, LLC, to
sell its sole asset -- a 0.94-acre vacant, paved parcel of
unimproved real estate located at the southwest corner of West
Chicago Avenue between North Kingsbury Street and North
Hudson Street, Chicago, Ill., and commonly known as 750 North
Hudson Street, Chicago, Ill. -- to Royal Apartments, USA, for
$12.3 million.

              Court Overrules Kingsbury's Objection

The Court approved the sale after overruling CP Kingsbury,
L.L.C.'s objection to the transaction.  Kingsbury is the assignee
of a previous Sale-Purchase Agreement concerning the North Hudson
lot.  The Sale-Purchase Agreement was inked on Jan. 25, 2005,
between the Debtor and AG-IV Realty Acquisition Corp.  Under that
sale pact, the lot was to be sold for $9 million.  The parties,
however, failed to close the sale.

Kingsbury objected to the sale, relying on Section 365(i) of the
Bankruptcy Code stating that "upon rejection by debtor-vendor of
executory sales contract, pursuant to which purchaser was in
possession of property, purchaser shall have choice either of
treating contract as terminated or of remaining in possession,
prevents debtor from avoiding its obligation to deliver title
under land sale contract where purchaser is 'in possession' of
premises, unless purchaser elects to have contract terminated."
Kingsbury insisted it was in possession of the lot.

The Court, however, ruled otherwise.  Judge Schmetterer determined
that Kingsbury was not "purchaser in possession" after ruling that
Kingsbury failed to prove actual physical possession.  The Court
relied on these facts for its decision:

   (1) the premises are vacant and unoccupied;

   (2) the Debtor remains responsible for payment of real estate
       taxes;

   (3) the Debtor paid for the fence which currently secures the
       premises;

   (4) following execution of the Sale-Purchase Agreement, the
       Debtor has retained possession and control of a trailer
       located within the premises;

   (5) the Debtor currently leases the paved portions of the
       premises to Premier Valet Chicago for the specific purpose
       of parking cars on the Premises; and

   (6) the Debtor currently maintains liability insurance on the
       Premises and Trailer.

Because "possession" for purposes of Section 365(i) is not defined
in the Bankruptcy Code, the Court looked to Illinois state law to
determine whether a purchaser is in possession.

Illinois law says "possession" includes "that position or relation
which one occupies, with respect to a particular piece of land
which gives to him its use and control and excludes all others
from a like use or control."  The Court determined that possession
of real estate in Illinois has not been found (i) where lots were
vacant and unoccupied and (ii) where a party has failed to erect a
fence or improve the land before claiming adverse possession.

Furthermore, Kingsbury's use of the trailer under a license
provision in an amendment to the Sale-Purchase Agreement was not
an act of ownership, the Court ruled.  Under Illinois law, the
mere grant of a license gives the licensee a right to use the
premises for specific purpose, but the owner retains possession
and control.

Stephen T. Bobo, Esq., at Sachnoff & Weaver, represented
Kingsbury.  Richard L. Lauter, Esq., at Levenfeld Pearlstein
represented the Debtor.  Stephen Wolfe, Esq., of the Office of
U.S. Trustee, represented the U.S. Trustee.

Testifying for Kingsbury was Nancy Carreon, Director of
Construction for Kingsbury's real estate development company
affiliate, Centrum Properties, Inc.  Testifying for the Debtor was
Robert Williams, President and CFO of the Debtor's LLC
Manager/affiliate, Rezmar Corporation.

The Court's opinion is published in 2006 WL 2088430.

                       Court's Sale Order

In its Aug. 15, 2006, order, the Court directs the Debtor to pay
DeStefano and Partners, Ltd., $145,000 during the closing of the
sale in satisfaction of DeStefano's secured mechanics lien claim.
The Debtor is also directed to pay Loretta Moran, the former
contract purchaser, $27,2900.  The Court clarifies that the order
is not intended in any way to impact the validity or
enforceability of the Declaration of Covenants, Conditions and
Restrictions made by MW-CPAG Holdings, LLC, and the Debtor.   The
document was recorded on July 26, 2001, with the Cook County's
Recorder's Office.

A full-text copy of the Asset Purchase Agreement between the
Debtor and Royal Apartments is available for a fee at:

http://www.researcharchives.com/bin/download?id=060829222239

Headquartered in Chicago, Illinois, Chicago Hudson, LLC, filed for
chapter 11 protection on May 16, 2006 (Bankr. N.D. Ill. Case No.
06-05596).  Richard S. Lauter, Esq., at Levenfeld Pearlstein, LLC,
represents the Debtor in its restructuring efforts.  No Official
Committee of Unsecured Creditors has been appointed in the
Debtor's case to date.  When the Debtor filed for protection from
its creditors, it estimated assets and debts between $10 million
and $50 million.


CHRISTIAN LIFE: Case Summary & 20 Largest Unsecured Creditors
-------------------------------------------------------------
Debtor: Christian Life Missionary Baptist Church
        4621 Northeast 23rd Street
        Oklahoma City, OK 73121

Bankruptcy Case No.: 06-12115

Type of Business: The Debtor is a religious organization.

Chapter 11 Petition Date: August 24, 2006

Court: Western District of Oklahoma (Oklahoma City)

Judge: Richard L. Bohanon

Debtor's Counsel: O. Clifton Gooding, Esq.
                  The Gooding Law Firm, P.C.
                  1200 City Place Building
                  204 North Robinson Avenue
                  Oklahoma City, OK 73102
                  Tel: (405) 948-1978
                  Fax: (405) 948-0864

Total Assets: $2,280,131

Total Debts:  $2,196,415

Debtor's 20 Largest Unsecured Creditors:

   Entity                        Nature of Claim     Claim Amount
   ------                        ---------------     ------------
Partners Equity                  Lease on Computer        $83,042
855 Business Center Drive        Equipment
Horsham, PA 19044

CapFinancial III LLC             Real Property            $73,766
SDS 12-2573
P.O. box 86
Minneapolis, MN 55486-2573

Keys Equipment                   Lease on Servers         $61,121
P.O. Box 203901
Houston, TX 77216

Wells Fargo Financial            Lease Agreement -        $56,025
Leasing Inc.                     Computer & Phone
400 Locust Street, Suite 500     Equipment
Des Moines, IA 50309

American State Bank              Loan                     $49,817
3816 North Peoria
Tulsa, OK 74106

Citi Capitol                     Lease on Computer        $45,315
                                 Equipment

GE Capitol                       Lease on Sound           $42,030
                                 Equipment

Advantage Bank                   Purchase Money           $11,348

Citi Business                    Credit Card              $11,014

Marlin Leasing                   Lease on Flavorburst &   $11,011
                                 Taylor Frozen Desert
                                 Machines

Chase                            Credit Card               $9,562

CRDMBR SVC/Chase                 Credit Card               $8,389

Keys Equipment                   Lease on Copier           $6,573

Bank of America                  Credit Card               $6,491

Home Depot                       Credit Card               $6,243

Park State Bank                  Guarantors on Loan        $6,118

1st State Bank Jones             Loan                      $6,118

Citicorp Credit Services         Credit Card               $6,033

West Asset Management            Collection                $5,497

MBNA                             Credit Card               $5,449


CHRISTOPHER BARTELS: Case Summary & 19 Largest Unsecured Creditors
------------------------------------------------------------------
Debtor: Christopher J. Bartels
        aka CTL Cattle Company
        aka Bartels Livestock
        aka S-Bar Packing, LLC
        aka Bartels Packing
        aka S-Bar Packing
        88091 Central Road
        Eugene, OR 97402

Bankruptcy Case No.: 06-61669

Chapter 11 Petition Date: August 24, 2006

Court: District of Oregon (Eugene)

Judge: Albert E. Radcliffe

Debtor's Counsel: Loren S. Scott, Esq.
                  Muhlheim Boyd
                  88 East Broadway
                  Eugene, OR 97401
                  Tel: (541) 868-8005
                  Fax: (541) 868-8004

Estimated Assets: $100,000 to $500,000

Estimated Debts:  $1 Million to $10 Million

Debtor's 19 Largest Unsecured Creditors:

   Entity                          Nature of Claim   Claim Amount
   ------                          ---------------   ------------
Top Cut Meat Products, Inc.        Judgment              $758,000
P.O. Box 99
Wilder, ID 83676

Chris Meyers                       Judgment              $100,476
c/o Gaydos, Churnside and Balthrop
440 East Broadway, Suite 300
Eugene, OR 97401

Navistar Financial                 Deficiency             $24,945
6801 Gaylord Parkway, Suite 203
Frisco, TX 75034

Great Seneca Financial             Judgment               $13,419
c/o Derrick McGavic
P.O. Box 10163
Eugene, OR 97440

Eugene Freezing & Storage Co.      Freezer Storage        $11,750
P.O. Box 2066
Eugene, OR 97402

Jerry Brown Co.                    Judgment               $11,340

Discover Card                      Credit Card             $9,500

Wright Express Corp.               Judgment                $8,000

Eugene Livestock Auction           Livestock               $7,500

McMinnville Auction Yard Inc.      Livestock               $6,941

CryoVac Corp.                      Bags                    $6,005

Alpine Pump                        Pump Purchase           $3,340

Baker Commodities                  Rendering Services      $2,781

Charlie Waterman                   Livestock               $2,129

Hansen Livestock                   Livestock               $2,000

Joe Lackner                        Livestock               $1,500

USDA-NFC                           Grading Services        $1,410

Dell Financial Services            Computer Purchase       $1,306

Professional Credit Service        Medical Expense           $332


CITIMORTGAGE ALTERNATIVE: Fitch Rates Two Cert. Classes at Low-B's
------------------------------------------------------------------
CitiMortgage Alternative Loan Trust, Series 2006-A3 REMIC pass-
through certificates:

  -- $312,063,283 classes IA-1 through IA-14, IA-IO, IIA-1,
     IIA-IO, and A-PO certificates (senior certificates) 'AAA'

  -- $6,855,000 class B-1 'AA'

  -- $2,448,000 class B-2 'A'

  -- $1,959,000 class B-3 'BBB'

  -- $1,305,000 class B-4 'BB'

  -- $816,000 class B-5 'B'

The $980,368 class B-6 is not rated by Fitch.

The 'AAA' rating on the senior certificates reflects:

   * the 4.40% subordination provided by the 2.10% Class B-1;
   * the 0.75% Class B-2;
   * the 0.60% Class B-3;
   * the 0.40% privately offered Class B-4;
   * the 0.25% privately offered Class B-5; and
   * the 0.30% privately offered Class B-6.

In addition, the ratings reflect the quality of the mortgage
collateral, strength of the legal and financial structures, and
CitiMortgage, Inc.'s servicing capabilities (rated 'RPS1' by
Fitch) as primary servicer.

As of the cut-off date, August 1, 2006, the mortgage pool consists
of 1,186 conventional, fully amortizing, 10-30 year fixed-rate
mortgage loans secured by first liens on one- to four-family
residential properties with an aggregate principal balance of
approximately $326,426,650, located primarily in California
(31.76%), New York (10.26%) and Florida (9.47%).

The weighted average current loan to value ratio of the mortgage
loans is 69.13%.  Approximately 77.3% of the loans were originated
under a reduced documentation program.  Condo and co-op properties
account for 8.58% of the total pool.  Cash-out refinance loans and
investor properties represent 40.05% and 8.64% of the pool,
respectively.

The average balance of the mortgage loans in the pool is
approximately $275,233.  The weighted average coupon of the loans
is 6.599% and the weighted average remaining term is 341 months.

None of the mortgage loans are 'high cost' loans as defined under
any local, state or federal laws.

The mortgage loans were originated or acquired by CMI and in turn
sold to CMSI.  A special purpose corporation, CMSI, deposited the
loans into the trust, which then issued the certificates. U.S.
Bank National Association will serve as trustee.  For federal
income tax purposes, an election will be made to treat the trust
fund as one or more real estate mortgage investment conduits.


COLLINS & AIKMAN: Court OKs Expedited Lease Rejection Procedures
----------------------------------------------------------------
The U.S. Bankruptcy Court for the Eastern District of Michigan
approved the expedited procedures for the rejection of unnecessary
and burdensome executory contracts and unexpired leases proposed
by Collins & Aikman Corporation and its debtor-affiliates.

Salient terms of the Debtor's rejection procedures include:

   (a) The Debtors will file a notice to reject a Contract,
       setting forth: (i) the Contracts to be rejected; (ii) the
       name and address of the counterparties to the Contracts;
       (iii) the effective date of the rejection for the
       Contracts; and (iv) the deadlines and procedures for
       filing objections to the Rejection Notice.

   (b) The Debtors will serve the Rejection Notice by an
       overnight delivery service on: (i) the Contract
       counterparties affected by the Rejection Notice; (ii)
       counsel to the Committee; (iii) counsel to the agent for
       the prepetition secured lenders; (iv) counsel to the agent
       for the postpetition secured lenders; and (v) the Office
       of the United States Trustee.

   (c) Parties objecting to the rejection must file and serve a
       written objection with the Court no later than 10 days
       after the date the Debtors serve the relevant Rejection
       Notice.

   (d) If an objection is not timely filed, the Debtors will file
       a certificate of no objection with a proposed order
       rejecting the Contracts.

   (e) If an objection is timely filed and not withdrawn or
       resolved, the Debtors will file a notice for a hearing to
       consider the objection for the Contracts to which the
       objection relates.  If an objection is overruled or
       withdrawn, the Contracts will be rejected.

Headquartered in Troy, Michigan, Collins & Aikman Corporation
-- http://www.collinsaikman.com/-- is a global leader in cockpit
modules and automotive floor and acoustic systems and is a leading
supplier of instrument panels, automotive fabric, plastic-based
trim, and convertible top systems.  The Company has a workforce of
approximately 23,000 and a network of more than 100 technical
centers, sales offices and manufacturing sites in 17 countries
throughout the world.  The Company and its debtor-affiliates filed
for chapter 11 protection on May 17, 2005 (Bankr. E.D. Mich. Case
No. 05-55927).  Richard M. Cieri, Esq., at Kirkland & Ellis LLP,
represents C&A in its restructuring.  Lazard Freres & Co., LLC,
provides the Debtor with investment banking services.  Michael S.
Stammer, Esq., at Akin Gump Strauss Hauer & Feld LLP, represents
the Official Committee of Unsecured Creditors Committee.  When the
Debtors filed for protection from their creditors, they listed
$3,196,700,000 in total assets and $2,856,600,000 in total debts.
(Collins & Aikman Bankruptcy News, Issue No. 38; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)


COLLINS & AIKMAN: Fabric Balks at Lease Rejection Request
---------------------------------------------------------
Fabric (DE) GP asks the U.S. Bankruptcy Court for the Eastern
District of Michigan deny Collins & Aikman Corporation and its
debtor-affiliates request to reject portions of a Master Lease
Agreement, relating to premises in Manchester, Michigan, and
Farmville, North Carolina.

Timothy A. Fusco, Esq., at Miller, Canfield, Paddock & Stone,
PLC, in Detroit, Michigan, argues that the Lease cannot be
rejected in part.  Section 365 of the Bankruptcy Code does not
authorize the rejection of real property; rather, the trustee or
debtor-in-possession only is authorized to "assume or reject any
executory contract or unexpired lease of the debtor," Mr. Fusco
explains.

Mr. Fusco, citing In re Rachels Industries, Inc., 109 B.R. 797,
802 (Bankr. W.D. Tenn. 1990), points out that the Debtors bear
the burden of proving that the Lease as to the Manchester and
Farmville premises should be severed.  Mr. Fusco asserts that
Debtors failed to satisfy this burden.

The Debtors argue that the Lease is severable because it covers
six properties in different locations and the Manchester and
Farmville properties allegedly operated on a stand-alone basis.
Mr. Fusco contends that this perspective is far too narrow and
does not reflect the parties' views when the original lease was
entered.

According to Mr. Fusco, the Lease was executed with Fabric
purchasing simultaneously from the Debtors all of the premises.
That sale treated the leased premises collectively for all
purposes including:

    *  Fabric obtained a single loan to acquire all of the leased
       premises and secured that loan by giving the Lender
       mortgages on all of the leased premises;

     * There was one Subordination, Non-Disturbance and Attornment
       Agreement provided by the Tenant to the Lender, which was
       signed by all of the applicable Debtors;

     * Fabric obtained only one policy for each type of insurance
       coverage for the six premises; and

     * C&A Corp. issued a single guaranty of all of Tenant's
       obligations under the Lease.

"[O]nly very recently did the Debtors begin characterizing the
Lease as severable," Mr. Fusco notes.  "[T]he Debtors' newfound
position reflects not the parties' intent, but rather the
Debtors' current economic preference."

In the event that the Court approves the rejection, Fabric asks
the Court to set the lease effective date of rejection on the
later of:

    -- June 29, 2006, for the Manchester premises and December 31,
       2006, for the Farmville premises; or

    -- the date by which the Debtors have fully vacated and
       surrendered possession of the Premises and paid all
       postpetition amounts due.

Headquartered in Troy, Michigan, Collins & Aikman Corporation
-- http://www.collinsaikman.com/-- is a global leader in cockpit
modules and automotive floor and acoustic systems and is a leading
supplier of instrument panels, automotive fabric, plastic-based
trim, and convertible top systems.  The Company has a workforce of
approximately 23,000 and a network of more than 100 technical
centers, sales offices and manufacturing sites in 17 countries
throughout the world.  The Company and its debtor-affiliates filed
for chapter 11 protection on May 17, 2005 (Bankr. E.D. Mich. Case
No. 05-55927).  Richard M. Cieri, Esq., at Kirkland & Ellis LLP,
represents C&A in its restructuring.  Lazard Freres & Co., LLC,
provides the Debtor with investment banking services.  Michael S.
Stammer, Esq., at Akin Gump Strauss Hauer & Feld LLP, represents
the Official Committee of Unsecured Creditors Committee.  When the
Debtors filed for protection from their creditors, they listed
$3,196,700,000 in total assets and $2,856,600,000 in total debts.
(Collins & Aikman Bankruptcy News, Issue No. 38; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)


COLLINS & AIKMAN: Court Approves Settlement Pact with Insurers
--------------------------------------------------------------
The Honorable Steven W. Rhodes of the U.S. Bankruptcy Court for
the Eastern District of Michigan granted Collins & Aikman
Corporation and its debtor-affiliates' request to approve a
settlement agreement with their insurers, OneBeacon Insurance
Company and National Indemnity Company.

Judge Rhodes clarifies that nothing in the Settlement Agreement
among Collins & Aikman Corp., OneBeacon Insurance Company and
National Indemnity Company will compromise, waive or otherwise
impair the rights of CBS Operations Inc.  CBS' rights under the
Policies are preserved.

CBS had complained that the Debtors' settlement with the insurers
did not expressly address its rights with respect to potential
environmental claims.

The Debtors are the successors-in-interest to Wickes Companies,
Inc., and certain of its subsidiaries.  CBS is the successor-in-
interest to an entity known as Gulf & Western Industries, Inc.

Pursuant to an Agreement among Gulf & Western and Wickes, Wickes
acquired from Gulf & Western the business and properties of the
Gulf & Western Consumer and  Industrial Products Group.  Wickes
generally assumed all liabilities and obligations directly and
primarily associated with the CIPG.  CBS believed that the
liabilities of corporations and operations sold to Wickes remain
the responsibility of the Debtors.

                          Settlement Terms

As reported in the Troubled Company Reporter on Jul 7, 2006, the
Debtors inherited certain environmental liabilities as part of
their prepetition acquisition of the Consumer & Industrial
Products Group.  The Debtors incurred expenses to defend claims
for damages brought by federal and state environmental regulatory
agencies and remediate the environment.  After paying the
Environmental Claims, the Debtors sought reimbursement from their
insurers.

The Insurers argued that the Environmental Claims did not arise
during the insurance coverage period.  They asserted that the
Debtors' other insurers should contribute to any reimbursement of
payments made on account of the Environmental Claims.

After extensive arm's-length negotiations, the parties reached a
settlement. Under the Settlement, the Debtors will:

   (a) receive $5,500,000 from the Insurers;

   (b) dismiss with prejudice the Coverage Action;

   (c) release the Insurers from all obligations in connection
       with the Environmental Claims; and

   (d) indemnify and hold the Insurers harmless from certain
       claims made against them arising from the Environmental
       Claims; provided that, the indemnification will not exceed
       the $5,500,000 settlement payment.

Headquartered in Troy, Michigan, Collins & Aikman Corporation
-- http://www.collinsaikman.com/-- is a global leader in cockpit
modules and automotive floor and acoustic systems and is a leading
supplier of instrument panels, automotive fabric, plastic-based
trim, and convertible top systems.  The Company has a workforce of
approximately 23,000 and a network of more than 100 technical
centers, sales offices and manufacturing sites in 17 countries
throughout the world.  The Company and its debtor-affiliates filed
for chapter 11 protection on May 17, 2005 (Bankr. E.D. Mich. Case
No. 05-55927).  Richard M. Cieri, Esq., at Kirkland & Ellis LLP,
represents C&A in its restructuring.  Lazard Freres & Co., LLC,
provides the Debtor with investment banking services.  Michael S.
Stammer, Esq., at Akin Gump Strauss Hauer & Feld LLP, represents
the Official Committee of Unsecured Creditors Committee.  When the
Debtors filed for protection from their creditors, they listed
$3,196,700,000 in total assets and $2,856,600,000 in total debts.
(Collins & Aikman Bankruptcy News, Issue No. 38; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)


COLUMBUS MCKINNON: S&P Upgrades Sr. Secured Notes' Rating to BB-
----------------------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on material
handling company Columbus McKinnon Corp. to positive from stable.

At the same time, Standard & Poor's raised its rating on the
company's 10% senior secured notes maturing in 2010 to 'BB-'
from 'B' and assigned a recovery rating of '1' to these notes,
indicating the rating agency's high expectation of full recovery
of principal in the event of a payment default.

In addition, Standard & Poor's affirmed its 'B+' corporate credit
and 'B-' senior subordinated ratings on the Amherst, New York-
based company.

"The outlook revision to positive reflects continued improvement
in credit measures and the expectation that the company will
pursue a less aggressive financial policy," said Standard & Poor's
credit analyst Gregoire Buet.

"The higher senior secured notes rating reflects their
significantly improved recovery prospects given their current
modest size in the capital structure, following recent
repayments."

As of July 2, 2006, the company had $28.8 million of these senior
secured notes outstanding.

As a result of improving end-market conditions, revenue generation
has been strong in the past two years.  Consolidated sales
increased 8% on organic growth in the fiscal year ended March 31,
2006, and near-term outlook at the end of the first quarter of
fiscal 2007 remains favorable.

Management has been focused on cost reductions, leading to
improvement in operating margins before depreciation and
amortization, now at around 13%, up from around 10% two years ago.
Increased health insurance, workers' compensation insurance, and
pension expenses continue to temper the company's margin
expansion, although Columbus McKinnon has successfully offset some
of the additional costs with product price increases.  Management
is committed to a continued focus on lean manufacturing
initiatives and the divestiture of non-core assets.

In the recent quarters, both equity issuance and positive cash
flow generation have contributed to debt reduction.  In
particular, the company redeemed approximately $40 million of its
outstanding 10% senior secured notes in November 2005, and has
continued since then to progressively repurchase notes on the open
market.


COUNCIL TRAVEL: Allowed Claimants Must Provide Updated Addresses
----------------------------------------------------------------
Travel Services Creditor Trust requests updated address
information from holders of unclaimed distributions.

The Trust was created under Council Travel Services, Inc., and its
debtor-affiliates' Second Amended Joint Plan of Liquidation, which
was confirmed on Aug. 12, 2004.

Holders of Allowed Claims who have not yet received distributions
under the plan must contact the Creditor Trustee no later than
5:00 p.m. on Sept. 21, 2006, and provide their accurate contact
information to:

      Creditor Trustee
      Buccino & Associates, Inc.
      c/o Harry Malinowski
      135 West 50th Street, Suite 2101
      New York, NY 10020
      Tel: (212) 459-2600 ext. 112

If a holder fails to provide information by Sept. 21, the
unclaimed distribution will be redistributed according to the Plan
to the holders of Allowed Claims whose correct contact information
is known to the Creditor Trustee.

Headquartered in Manhattan, New York, Council Travel Services,
Inc., provided student and budget travel packages.  The Company
and its debtor-affiliates filed for chapter 11 protection on
February 5, 2002 (Bankr. S.D.N.Y. Case No. 02-10509).  Schuyler
Glenn Carroll, Esq., at Olshan Grundman Frome Rosenzweig & Wolosky
LLP, represented the Debtors.  When the Debtors filed for
protection from its creditors, it listed an estimated $10 million
in assets and $21 million in debts.  Judge Gerber confirmed the
Debtors' Second Amended Joint Plan of Liquidation on
Aug. 12, 2004.  Brown Raysman Millstein Felder & Steiner LLP
represents the Travel Services Creditor Trustee.


CRAIG SCALISE: Case Summary & 12 Largest Unsecured Creditors
------------------------------------------------------------
Debtor: Craig A. Scalise
        504 Market Street
        Warren, PA 16365

Bankruptcy Case No.: 06-10990

Chapter 11 Petition Date: August 21, 2006

Court: Western District of Pennsylvania (Erie)

Judge: Warren W. Bentz

Debtor's Counsel: Lawrence C. Bolla, Esq.
                  Quinn Buseck Leemhuis Toohey & Kroto Inc.
                  2222 West Grandview Boulevard
                  Erie, PA 16506-4508
                  Tel: (814) 833-2222

Estimated Assets: Less than $50,000

Estimated Debts:  $1 Million to $10 Million

Debtor's 12 Largest Unsecured Creditors:

   Entity                        Nature of Claim     Claim Amount
   ------                        ---------------     ------------
Pramco IV, LLC                   1st Mortgage on         $402,028
6894 Pittsford-Palymyra Road     Real Mortgage
Suite 230
Fairport, NY 14450

Warren County Tax Claim Bureau   2004 Real Estate          $8,795
Warren County Court House        Taxes
Warren, PA 16365

                                 2005 Real Estate          $8,399
                                 Taxes

Peterson-Blick, Inc.             Funeral Expenses          $4,635
1003 Pennsylvania Avenue East
Warren, PA 16365

PA Department of Revenue         State Income Taxes        $5,929
Department 280948
Harrisburg, PA 17128-0948

FNB Consumer Discount Co.                                  $3,600
210 Liberty Street
Warren, PA 16365

Penn Credit Corp.                                          $2,969

Wells Fargo                                                $1,794

First National Bank                                        $1,564

Capital One Bank                                             $953

PNC Bank, N.A.                                               $743

Bon Ton                                                      $376

Wal-Mart                                                     $366


CSFB ABS: S&P Lowers Class B Certificates' Rating to CCC from B
---------------------------------------------------------------
Standard & Poor's Ratings Services lowered its rating on the
class B certificates issued by CSFB ABS Trust Series 2001-HE22
to 'CCC' from 'B' and removed it from CreditWatch with negative
implications, where it was placed July 12, 2006.  The class M-2
rating remains on CreditWatch with negative implications.

Concurrently, the ratings on three other classes from the same
transaction are affirmed.

The downgrade is a result of monthly net losses that have
continued to exceed monthly excess interest and erode the
overcollateralization available to support the class B
certificates.

Monthly net losses have exceeded monthly excess interest by
approximately $105,620 per month on average for the past six
months, based on the remittance reports for February 2006 through
July 2006.  Current o/c is $725,958, or 4.48%, which is below the
original level of 6.00%.

The CreditWatch negative placement on class M-2 reflects negative
credit support projections due to the moderate amount (22%) of
severely delinquent loans in the pool.  Although the pool had
amortized down to 10.34% of its original principal balance as of
the July 2006 period, cumulative losses amounted to 3.37% of the
original pool balance, and they may continue to increase if
delinquent loans cause future losses.

Standard & Poor's will continue to closely monitor the performance
of class M-2.  If delinquent loans cure to a point at which
projections turn positive at the current rating level, the rating
agency will affirm the rating on this class and remove it from
CreditWatch negative.

Conversely, if delinquencies translate into substantial realized
losses in the upcoming months and continue to erode credit
enhancement, Standard & Poor's will take further negative action
on this class.

The pool securing the mortgage pass-through certificates consists
of closed-end, fixed- and adjustable-rate, first-lien mortgage
loans with original terms to maturity not greater than 30 years.
The subprime mortgage loans were originated or acquired by various
banks, other mortgage lending institutions, or their
correspondents in accordance with underwriting guidelines that
generally target borrowers with less-than-perfect credit
histories.

Standard & Poor's will continue to closely monitor the performance
of this transaction.

Rating Lowered and Removed from Creditwatch Negative:

                 CSFB ABS Trust Series 2001-HE22

                    Class    To         From
                    -----    --         ----
                      B      CCC    B/Watch Neg.

Rating Remaining on Creditwatch Negative:

                 CSFB ABS Trust Series 2001-HE22

                        Class      Rating
                        -----      ------
                         M-2    A/Watch Neg.

Ratings Affirmed:

                 CSFB ABS Trust Series 2001-HE22

                      Class           Rating
                      -----           ------
                  A-1, A-IO, M-1       AAA


DANA CORP: Creditors Want Correct Reclamation Claim Amounts Paid
----------------------------------------------------------------
Approximately 46 more creditors ask the U.S. Bankruptcy Court for
the Southern District of New York to allow the correct amount of
their reclamation claims against Dana Corporation and its debtor-
affiliates:

                                                         Asserted
   Creditor                                               Amount
   --------                                              --------
   Air Dynamics, Inc.                                      20,355
   American Agip Co. Inc.                                 203,451
   ANCA, Inc.                                             476,430
   Bastian Material Handling LLC                     not provided
   Brunner Manufacturing and Sales & Brunner Int'l.     3,220,870
   Color Box, LLC                                          47,707
   Cooper-Standard Automotive Inc.                        451,583
   Curtis Screw Company, Inc.                              55,919
   Europower, Inc.                                         51,774
   ExxonMobil Oil Corporation                              57,478
   FGR Mechanical, Inc.                              not provided
   Fittings Products Co. LLC                               65,351
   Formtek Metal Forming, Inc.                            308,297
   H&F Machine Co.                                   not provided
   Hoerbiger Drivetech U.S.A., Inc.                        22,883
   Hollingsworth & Vose Company                           295,039
   HyPro, Inc.                                            168,214
   Industrial Air Centers, Inc.                            61,136
   IWKA Holding Corp.                                       7,281
   Jernberg Industries, Inc., & Jernberg Sales, Inc.      436,973
   Koyo Corporation of U.S.A                              926,166
   Lake Erie Products Corporation                         812,297
   Manth-Brownell, Inc., & Longacre Masterfund, LPD       313,826
   Medico Industries, Inc.                                355,345
   MGM Brakes, a division of Indian Head Industries       562,573
   Miba HydraMechanica Corp.                              125,619
   Nissan Trading Corp., U.S.A.                           564,769
   Nova Tube Indiana                                    3,603,095
   NSK Corporation                                        223,805
   Nucor Fastener                                          11,316
   Nucor Steel Tuscaloosa, Inc.                         1,503,891
   Power Supply Industries, Inc.                          112,648
   Precision Partners Holding Company & affiliates      1,899,651
   RBC Bearings, Inc.                                     431,704
   Rex Forge Division of J.J. Ryan Corp.                1,113,489
   Robin Industries, Inc.                                 210,877
   SGL Technic, Inc.                                      981,432
   Shaw Industries                                        157,850
   Shiloh Automotive, Inc.                                213,001
   Shiloh Corp., dba Shiloh Industries, Inc.              913,787
   SKF USA, Inc.                                          297,885
   SSI Technologies, Inc.                                  62,857
   Team Industries, Inc.                                  204,793
   The Timken Company                                   3,337,721
   Toyota Tsusho America, Inc.                          9,595,435
   Wolverine Broach Co., Inc.                              62,244

Each of the Creditors provided goods to the Debtors within 45
days of the Debtors' bankruptcy filing and in the ordinary course
of business.

According to the Creditors, they provided timely written notices
to the Debtors asserting their reclamation claims and provided
the necessary information supporting their reclamation claims.
The creditors also assert that the goods are identifiable,
thereby subject to reclamation under Section 546(c) of the
Bankruptcy Code.

Some Creditors assert that a portion of their reclamation claims
relate to goods that were shipped to and received by the Debtors
within 20 days of the Debtors' bankruptcy filing, thus qualifying
for administrative priority:

                                    Administrative
   Creditor                         Priority Claim
   --------                         --------------
   Hoerbiger                               $10,144
   Shiloh Automotive                        95,874
   Shiloh                                  373,142
   Toyota Tsusho America                 3,907,048
   Lake Erie Products Corporation          511,973
   Fittings Products Co., LLC               25,968
   Team Industries, Inc.                    75,624
   HyPro, Inc.                              52,135

The Creditors ask the Court to overrule the Debtors' objection to
their reclamation claims and compel the Debtors to immediately
pay their reclamation claims.

Some Creditors also ask the Court for an opportunity to conduct
discovery so that they can fully and properly respond to the
alleged factual basis for the Debtors' objection to their
reclamation claims.

Representing Robin Industries, Leslie Ann Berkoff, Esq., at
Moritt Hock Hamroff & Horowitz LLP, in Garden City, New York,
argues that the Debtors should be required to state the basis for
their assertions.  Ms. Berkoff notes that the Debtors had
asserted that, among others, a portion of the reclaimed goods had
been consumed, altered or modified, and were no longer
identifiable and available for reclamation.  Ms. Berkoff asserts
that the Debtors have provided no evidence that any of the
reclaimed goods were consumed before the date of the reclamation
demand.

Ms. Berkoff further notes that the Debtors assert that all
reclamation claims against them are rendered valueless due to
their determination that their prepetition lenders held a
$377,000,000 "floating lien."  Ms. Berkoff points out that the
Prepetition Lenders' debt was extinguished by payment
postpetition, under the DIP Loan Facility.  The Prepetition
Lenders no longer hold any rights in the goods, nor were they
paid from the proceeds of those goods, Ms. Berkoff says.

Some of the other Creditors asserted similar arguments.  They
insist that the supporting information they provided to the
Debtors satisfies the prima facie elements of a valid reclamation
claim under Section 546(c).  In addition, the Creditors continue,
the Debtors' Notice fails to establish that the Reclamation
Claims are invalid due to the superior rights of the holder of a
security interest in the reclaimed goods because the Debtors have
failed to establish that they were insolvent at the time of the
Reclamation Demand.

                      About Dana Corporation

Toledo, OH-based Dana Corp. -- http://www.dana.com/-- designs and
manufactures products for every major vehicle producer in the
world, and supplies drivetrain, chassis, structural, and engine
technologies to those companies.  Dana employs 46,000 people in 28
countries.  Dana is focused on being an essential partner to
automotive, commercial, and off-highway vehicle customers, which
collectively produce more than 60 million vehicles annually.  The
company and its affiliates filed for chapter 11 protection on Mar.
3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354).  Corinne Ball, Esq.,
and Richard H. Engman, Esq., at Jones Day, in Manhattan and
Heather Lennox, Esq., Jeffrey B. Ellman, Esq., Carl E. Black,
Esq., and Ryan T. Routh, Esq., at Jones Day in Cleveland, Ohio,
represent the Debtors.  Henry S. Miller at Miller Buckfire & Co.,
LLC, serves as the Debtors' financial advisor and investment
banker.  Ted Stenger from AlixPartners serves as Dana's Chief
Restructuring Officer.  Thomas Moers Mayer, Esq., at Kramer Levin
Naftalis & Frankel LLP, represents the Official Committee of
Unsecured Creditors.  When the Debtors filed for protection from
their creditors, they listed $7.9 billion in assets and $6.8
billion in liabilities as of Sept. 30, 2005.  (Dana Corporation
Bankruptcy News, Issue No. 19; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


DANA CORP: Court Approves Settlement Agreement with American Axle
-----------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
approved a settlement agreement between Dana Corporation and
American Axle & Manufacturing Inc., resolving a license dispute
between the parties.

As reported in the Troubled Company Reporter on Aug. 10, 2006,
Dana filed a lawsuit against American Axle in the United States
District Court for the Eastern District of Michigan, Southern
Division, in 1998.  Dana alleges that American Axle is infringing
certain of Dana's patents in connection with the production of
driveline assemblies.

In the 1998 Action, Dana sought monetary damages ranging from
$2,500,000 to $7,700,000 for infringement of the Patents-in-Suit,
and an injunction preventing further infringement by American
Axle.

American Axle said that any damages would be, at most,
approximately $165,000.  American Axle asserted counterclaims
alleging, among other things, that the Patents-in-Suit are not
valid because they were not timely filed, and that no infringement
has occurred.

In 2000, the District Court found Dana's Patents-in-Suit to be
invalid and granted summary judgment to American Axle.  Dana filed
another lawsuit against American Axle in the District Court to add
an antitrust counterclaim in the 1998 Action.

The United States Court of Appeals for the Federal Circuit,
however, vacated the District Court's summary judgment order and
remanded the case to the District Court for a determination
regarding infringement.

Based on a finding of non-infringement, in 2003, the District
Court granted American Axle's second motion for summary judgment.
The Federal Circuit then vacated the second summary judgment order
on the basis that the District Court's construction of a disputed
patent claim term was incorrect.  The Federal Circuit furnished a
different definition for that term and remanded the case to the
District Court for a new trial.

In May 2005, American Axle filed a third motion for summary
judgment, which the District Court denied.

In May 2006, the Bankruptcy Court modified the automatic stay to
allow American Axle to pursue its Counterclaims.  However, the
Court denied American Axle's request to pursue a reexamination in
the PTO.

Dana and its debtor-affiliates believe that they have a
meritorious case and could prevail in the litigation of the
Actions, however, Corinne Ball, Esq., at Jones Day, in New York,
points out that:

   (1) the Actions have been vigorously contested for nearly
       eight years;

   (2) litigating the Actions to the ultimate conclusion would be
       expensive and time consuming,

   (3) the outcome of litigation is uncertain; and

   (4) even if Dana were successful in litigation at trial, it
       would still have to collect any judgments rendered in the
       1998 Action and could face the further costs and delays of
       appeals.

Ms. Ball adds that even if the Debtors are successful in proving
that American Axle had infringed one or more claims of the
Patents-in-Suit, there is a risk that American Axle would prevail
on its Counterclaims that one or more of the infringed patents was
invalid.

American Axle could then move to have the case declared
exceptional and seek its own attorneys' fees and costs from Dana,
which the Debtors estimate could exceed $2,000,000, Ms. Ball
further points out.

Accordingly, while the final trial preparations were underway in
the 1998 Action, the Debtors and American Axle began negotiating a
settlement.  The District Court agreed to a 60-day stay of the
proceeding to permit the parties to finalize the settlement.

The salient terms of the Settlement Agreement are:

   (a) American Axle will pay to Dana a lump sum cash of
       $1,625,000 by wire transfer.

   (b) Dana will grant to American Axle a perpetual, fully
       paid license under the Licensed Dana Patents to make
       vehicle driveline assemblies.  The Licensed Dana Patents
       include the Patents-in-Suit and other patents owned by or
       licensed to Dana that are necessary for making driveline
       assemblies with reduced diameter portions.

   (c) American Axle will grant to Dana a perpetual, fully paid
       license under the Licensed AAM Patent to make Licensed
       Products for programs in commercial production.

   (d) The Licenses may be sublicensed to Dana or American Axle's
       affiliates, but may not be sublicensed to other third
       parties without the licensor's consent provided that the
       assignee agrees to be bound by the terms and conditions of
       the Settlement Agreement.  The licenses also will survive
       a change of control of the licensee.

   (e) The Actions will be dismissed with prejudice immediately
       after American Axle pays the Settlement Amount.

   (f) The parties will mutually release each other from certain
       liabilities for the period through the License Effective
       Date, including those claims asserted in the Actions, that
       were required to be asserted in the Actions or that are
       based on the Dana Licensed Patents or the Licensed AAM
       Patent.

The Settlement Agreement expressly authorizes Dana's use of the
Licensed American Axle Patent in connection with programs already
in commercial production.  Ms. Ball contends that absent the
licensed of the American Axle Patent, Dana's alleged used of these
patent right could be prohibited or subject to further litigation.

Ms. Ball further contends that the Settlement Agreement eliminates
the risks and costs of ongoing litigation of the Actions and
provides for the prompt payment of $1,625,000 in cash into the
Debtors' estates.

Although the Debtors estimate that the judgment, if they prevailed
at trial, could be more than twice the Settlement Amount, Ms. Ball
argues that there is no assurance of prevailing at trial or being
able to collect any judgment promptly.

                      About Dana Corporation

Toledo, OH-based Dana Corp. -- http://www.dana.com/-- designs and
manufactures products for every major vehicle producer in the
world, and supplies drivetrain, chassis, structural, and engine
technologies to those companies.  Dana employs 46,000 people in 28
countries.  Dana is focused on being an essential partner to
automotive, commercial, and off-highway vehicle customers, which
collectively produce more than 60 million vehicles annually.  The
company and its affiliates filed for chapter 11 protection on Mar.
3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354).  Corinne Ball, Esq.,
and Richard H. Engman, Esq., at Jones Day, in Manhattan and
Heather Lennox, Esq., Jeffrey B. Ellman, Esq., Carl E. Black,
Esq., and Ryan T. Routh, Esq., at Jones Day in Cleveland, Ohio,
represent the Debtors.  Henry S. Miller at Miller Buckfire & Co.,
LLC, serves as the Debtors' financial advisor and investment
banker.  Ted Stenger from AlixPartners serves as Dana's Chief
Restructuring Officer.  Thomas Moers Mayer, Esq., at Kramer Levin
Naftalis & Frankel LLP, represents the Official Committee of
Unsecured Creditors.  When the Debtors filed for protection from
their creditors, they listed $7.9 billion in assets and $6.8
billion in liabilities as of Sept. 30, 2005.  (Dana Corporation
Bankruptcy News, Issue No. 19; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


DAVITA INC: Inks Amended and Restated Supply Agreement with Gambro
------------------------------------------------------------------
DaVita, Inc., has entered into an amended and restated Alliance
and Product Supply Agreement with Gambro Renal Products, Inc. and
Gambro AB.

The Company entered into the original supply agreement in
conjunction with the closing of its acquisition of Gambro
Healthcare, Inc., from a subsidiary of Gambro AB.

The Company had delivered to GRP a notice of termination of the
supply agreement based in part upon GRP's inability to supply
certain products as a result of an import ban by the US Food and
Drug Administration.  The amendment and restatement of the supply
agreement effectively revokes the termination notice, permits the
Company to obtain alternate supplies of the affected products
during the import ban and reduces the Company's purchase
obligations under the supply agreement.

Headquartered in El Segundo, California, DaVita (NYSE: DVA) is a
leading provider of dialysis services for patients suffering from
chronic kidney failure.  The Company provides services at kidney
dialysis centers and home peritoneal dialysis programs
domestically in 41 states, as well as Washington, D.C.  As of
March 31, 2006, DaVita operated or managed over 1,200 outpatient
facilities serving approximately 98,000 patients

                         *     *     *

The Company's 6-5/8% Senior Notes due Mar. 15, 2013 carry Standard
& Poor's Ratings Services' B rating.


DELPHI CORP: Hires Workers to Fill Vacancies in Ohio
----------------------------------------------------
Delphi Corp. is trying to fill upcoming vacancies by its hourly
workers who have chosen to sign up with the attrition plan, Dayton
Daily News reports.

Outside the Delphi plant in Kettering, Ohio, there is a banner
sign soliciting job applicants, Dayton Daily relates.  Delphi also
has placed an ad in the Dayton Daily inviting skilled tradesmen
for jobs at $30 an hour.  For unskilled workers, Delphi is hiring
them at $14 an hour.

Based in Troy, Mich., Delphi Corporation -- http://www.delphi.com/
-- is the single largest global supplier of vehicle electronics,
transportation components, integrated systems and modules, and
other electronic technology.  The Company's technology and
products are present in more than 75 million vehicles on the road
worldwide.  The Company filed for chapter 11 protection on Oct. 8,
2005 (Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler
Jr., Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at
Skadden, Arps, Slate, Meagher & Flom LLP, represent the Debtors in
their restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell
A. Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins
LLP, represents the Official Committee of Unsecured Creditors.
As of Aug. 31, 2005, the Debtors' balance sheet showed
$17,098,734,530 in total assets and $22,166,280,476 in total
debts.  (Delphi Bankruptcy News, Issue No. 39; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)


DELPHI CORP: Umicore Considers Autocatalyst Unit Purchase
---------------------------------------------------------
Umicore SA is looking to expand its business globally and may
target Delphi Corp.'s autocatalyst business in its acquisition
strategy, Bloomberg News reports.

Delphi is a possibility and would add to Umicore's business in
the U.S., Bloomberg relates, citing Arnaud W. Goossens, an
analyst at ING Wholesale Banking, and Wouter, an analyst at KBC
Securities, in Brussels, Belgium.

Umicore is a precious-metals recycler and ranks third in global
autocatalyst production, according to Bloomberg.

Delphi is the fourth-biggest autocatalyst maker, Bloomberg notes.

An autocatalyst sits in the engine's exhaust pipe and reduces air
pollutants from vehicles, like hydrocarbons, carbon monoxide and
oxides of nitrogen, by converting them into less harmful carbon
dioxide, nitrogen and water vapor.

Based in Troy, Mich., Delphi Corporation -- http://www.delphi.com/
-- is the single largest global supplier of vehicle electronics,
transportation components, integrated systems and modules, and
other electronic technology.  The Company's technology and
products are present in more than 75 million vehicles on the road
worldwide.  The Company filed for chapter 11 protection on Oct. 8,
2005 (Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler
Jr., Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at
Skadden, Arps, Slate, Meagher & Flom LLP, represent the Debtors in
their restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell
A. Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins
LLP, represents the Official Committee of Unsecured Creditors.
As of Aug. 31, 2005, the Debtors' balance sheet showed
$17,098,734,530 in total assets and $22,166,280,476 in total
debts.  (Delphi Bankruptcy News, Issue No. 39; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)


DELPHI CORP: Selects Bartech to Manage Staffing Services
--------------------------------------------------------
Bartech Workforce Management has signed a Master Vendor Provider
contract with Delphi Corp.  The agreement names Bartech as the
master vendor for Delphi's North American contract workforce,
managing the company's contract staffing needs.  The contract is
one of the largest Delphi has awarded to a minority-owned
supplier.

"The selection of Bartech Workforce Management to manage Delphi's
contract workforce nationwide is a huge milestone for Bartech, and
validates our efforts to be more competitive in the marketplace by
maintaining a laser-like commitment on being more cost efficient,
quality-focused and customer-oriented in the traditional and
emerging human capital and staffing services industry," said Jon
E. Barfield, chairman and chief executive officer of The Bartech
Group.

"Delphi's global supply management team remains focused on
optimizing our entire purchasing value stream by engaging
suppliers, such as Bartech, that further enable our ability to
reduce waste, eliminate unnecessary costs and elevate our
financial performance," said Sid Johnson, Delphi vice president,
global supply management.

As Delphi's MVP, Bartech will recruit and employ contract
technical staff and manage approximately 85 other suppliers of
contract staffing services at Delphi's business units across the
U.S.  Additionally, the unique contract allows Bartech and Delphi
to jointly manage costs associated with Delphi's contract
workforce.  "This truly creates a win-win environment in which the
objectives for both companies are well aligned," said Barfield.

BWM will utilize the InSite(R) technology platform from Fieldglass
to manage the program at Delphi.  Fieldglass is a leading provider
of human capital and services procurement solutions for Global
2000 companies.

The contract begins this summer.  Other Bartech companies include
Bartech Technical Services, Bartech Information Technology
Solutions and Bartech Staffing Services.

                    About The Bartech Group

Founded in 1977, The Bartech Group -- http://www.bartechgroup.com/
-- is among the largest, independent human capital staffing and
services firms in the United States specializing in engineering,
information technology, managed service provider services,
administrative staffing services and related outsourcing services
and solutions.

                      About Delphi Corp

Based in Troy, Mich., Delphi Corporation -- http://www.delphi.com/
-- is the single largest global supplier of vehicle electronics,
transportation components, integrated systems and modules, and
other electronic technology.  The Company's technology and
products are present in more than 75 million vehicles on the road
worldwide.  The Company filed for chapter 11 protection on Oct. 8,
2005 (Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler
Jr., Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at
Skadden, Arps, Slate, Meagher & Flom LLP, represent the Debtors in
their restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell
A. Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins
LLP, represents the Official Committee of Unsecured Creditors.
As of Aug. 31, 2005, the Debtors' balance sheet showed
$17,098,734,530 in total assets and $22,166,280,476 in total
debts.  (Delphi Bankruptcy News, Issue No. 39; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)


EXIDE TECHNOLOGIES: Asks Foreign Claimholders to Provide Evidence
-----------------------------------------------------------------
Under Exide Technologies and its debtor-affiliates' confirmed Plan
of Reorganization, holders of allowed claims in certain classes
are entitled to receive a portion of the New Exide Common Stock or
New Exide Warrants, which were initially authorized or issued on
the effective date of the plan.

Exide's current records, however, indicate that some claimholders
reside in a jurisdiction outside the United States.  The Plan
dictates that Exide must first receive evidence that distribution
to foreign claimholders is legally permitted in that foreign
jurisdiction.

Thus, in a letter dated July 20, 2006, Exide Technologies
requested Foreign Claimholders to provide evidence that the
portion of the New Exide Common Stock or New Exide Warrants to be
distributed with respect to their Allowed Claims is legally
permitted.

The written evidence may be sent:

    (a) by U.S. Mail to:

        BMC Group
        Attention: Exide Claims Agent and Distribution Agent
        P.O. Box 1063
        El Segundo, CA 90245-1063

    (b) by courier or hand delivery to:

        BMC Group
        Attention: Exide Claims Agent and Distribution Agent
        1330 E. Franklin Avenue
        El Segundo, CA 90245

The BMC Group can be contacted by telephone at 1-888-909-0100.

                           About Exide

Headquartered in Princeton, New Jersey, Exide Technologies
(NASDAQ: XIDE) -- http://www.exide.com/-- manufactures and
distributes lead acid batteries and other related electrical
energy storage products.  The Company filed for chapter 11
protection on Apr. 14, 2002 (Bankr. Del. Case No. 02-11125).
Matthew N. Kleiman, Esq., and Kirk A. Kennedy, Esq., at Kirkland &
Ellis, represented the Debtors in their successful restructuring.
Exide's confirmed chapter 11 Plan took effect on May 5, 2004.  On
April 14, 2002, the Debtors listed $2,073,238,000 in assets and
$2,524,448,000 in debts.  (Exide Bankruptcy News, Issue No. 90;
Bankruptcy Creditors' Service, Inc., 215/945-7000,
http://bankrupt.com/newsstand/)


EXIDE TECHNOLOGIES: Can Object to Claims Until Jan. 15, 2007
------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware gave
Exide Technologies and its debtor-affiliates until Jan. 15, 2007,
to object to claims without prejudice to the Debtors' rights to
seek additional extensions.

As reported in the Troubled Company Reporter on Aug. 11, 2006,
more than 6,000 proofs of claim have been filed in the Debtors'
Chapter 11 cases totaling $4,400,000,000.  The Reorganized Debtors
have filed 31 omnibus claims objections and two individual
objections to claims, and have consensually resolved numerous
other claims.

In addition, the Reorganized Debtors, the Postconfirmation
Creditors Committee, and each of their professionals have:

    (i) reviewed, reconciled and resolved about 5,150 claims,
        reducing the total amount of outstanding claims by more
        than $2,600,000; and

   (ii) completed nine quarterly distributions to creditors under
        the confirmed Plan of Reorganization, consisting of
        distributions on 2,200 claims totaling $1,800,000.

Despite the substantial progress, the Reorganized Debtors said
they need more time to review and resolve the remaining 750 Filed
Claims and 400 Scheduled Claims.

The Debtors explained that the extension will allow them and the
Postconfirmation Creditors Committee more time to continue
evaluating the claims filed against the estate, prepare and file
additional objections, and consensually resolve the claims.

The Reorganized Debtors assured the Court that they have consulted
with the Postconfirmation Creditors Committee regarding their
request, and the Committee supports the extension.

                           About Exide

Headquartered in Princeton, New Jersey, Exide Technologies
(NASDAQ: XIDE) -- http://www.exide.com/-- manufactures and
distributes lead acid batteries and other related electrical
energy storage products.  The Company filed for chapter 11
protection on Apr. 14, 2002 (Bankr. Del. Case No. 02-11125).
Matthew N. Kleiman, Esq., and Kirk A. Kennedy, Esq., at Kirkland &
Ellis, represented the Debtors in their successful restructuring.
Exide's confirmed chapter 11 Plan took effect on May 5, 2004.  On
April 14, 2002, the Debtors listed $2,073,238,000 in assets and
$2,524,448,000 in debts.  (Exide Bankruptcy News, Issue No. 90;
Bankruptcy Creditors' Service, Inc., 215/945-7000,
http://bankrupt.com/newsstand/)


FORD MOTOR: U.K. Executive A. Bamford Mulls Jaguar Acquisition
--------------------------------------------------------------
JC Bamford Excavators Ltd.'s Chairman of the Board Sir Anthony
Bamford is looking at the possibility of buying luxury brand
Jaguar from Ford Motor Co., according to published reports.  JC
Bamford is a U.K.-based construction-machinery company.  Mr.
Bamford said that the brand has potential.  He added, however,
that Jaguar needs to cut ties with Land Rover for him to consider
his plans further.

Jaguar is part of the Premier Automotive Group, which includes
other brands like Volvo, Land Rover and Aston Martin.  In Ford's
second quarter results, the segment incurred a $180 million net
loss.  The Company's management said the decline in earnings in
the PAG segment primarily reflected unfavorable currency exchange
related to the expiration of favorable hedges, adjustments to
warranty accruals for prior model-year vehicles, mainly at Land
Rover and Jaguar, and lower market share at Volvo associated with
new model changeovers, offset partially by favorable product and
market mix and lower overhead costs.

The possible sale might be considered as part of the amendments to
the Company's Way Forward restructuring program.  Amendments to
the restructuring plan will be deliberated by the Company's board
of directors on Sept. 14, 2006.  Formal announcements will come a
week after that.

Talks about the possible sale of Ford Motor Credit Co. surfaced as
chairman of the Company's Executive Committee, Robert E. Rubin,
has resigned from the Ford Board of Directors. Mr. Rubin is a
member of the Office of the Chairman of Citigroup Inc., the
company called to evaluate strategies for Ford.

                         About Ford Motor

Headquartered in Dearborn, Michigan, Ford Motor Company --
http://www.ford.com/-- manufactures and distributes
automobiles in 200 markets across six continents.  With more than
324,000 employees worldwide, the company's core and affiliated
automotive brands include Aston Martin, Ford, Jaguar, Land Rover,
Lincoln, Mazda, Mercury and Volvo.  Its automotive-related
services include Ford Motor Credit Company and The Hertz
Corporation.

                         *     *     *

As reported in the Troubled Company Reporter on Aug. 22, 2006,
Dominion Bond Rating Service placed long-term debt rating of Ford
Motor Company Under Review with Negative Implications following
announcement that Ford will sharply reduce its North American
vehicle production in 2006.  DBRS lowered on July 21, 2006, Ford
Motor Company's long-term debt rating to B from BB, and lowered
its short-term debt rating to R-3 middle from R-3 high.  DBRS also
lowered Ford Motor Credit Company's long-term debt rating to
BB(low) from BB, and confirmed Ford Credit's short-term debt
rating at R-3(high).

Fitch Ratings also downgraded the Issuer Default Rating of Ford
Motor Company and Ford Motor Credit Company to 'B' from 'B+'.
Fitch also lowered the Ford's senior unsecured rating to 'B+/RR3'
from 'BB-/RR3' and Ford Credit's senior unsecured rating to 'BB-
/RR2' from 'BB/RR2'.  The Rating Outlook remains Negative.

Standard & Poor's Ratings Services also placed its 'B+' long-term
and 'B-2' short-term ratings on Ford Motor Co., Ford Motor Credit
Co., and related entities on CreditWatch with negative
implications.

As reported in the Troubled Company Reporter on July 24, 2006,
Moody's Investors Service lowered the Corporate Family and senior
unsecured ratings of Ford Motor Company to B2 from Ba3 and the
senior unsecured rating of Ford Motor Credit Company to Ba3 from
Ba2.  The Speculative Grade Liquidity rating of Ford has been
confirmed at SGL-1, indicating very good liquidity over the coming
12 month period.  The outlook for the ratings is negative.


FURNITURE KING: Retail Store Assets Sold at Two-Day Auction
-----------------------------------------------------------
Caspert Management Co. Inc. conducted a two-day bankruptcy auction
for Furniture King, Inc.'s assets on Sunday, Aug. 27, 2006 at 1043
Southern Boulevard, Bronx, New York, and on Monday, Aug. 28 at
2883 Third Avenue, Bronx, New York.

Assets included in the sale were furniture and appliances in two
Furniture King retail stores.

At the knockdown of the bid, all bidders were required to pay a
25% deposit in cash or cash equivalent.

Successful bidders during the Monday Auction must remove their
furniture, at their own cost & expense, by 4:00 p.m. today,
Aug. 30, 2006,

A full-text copy of the assets included in the Sunday Auction is
available for free at http://ResearchArchives.com/t/s?1096

Headquartered in Newark, New Jersey, Furniture King, Inc., sells
furniture.  The Company and its debtor-affiliates filed for
chapter 11 protection on Aug. 7, 2006 (Bankr. D. N.J. Case Nos.
06-17282 to 06-17285).  Morris S. Bauer, Esq. and Sheryll S.
Tahiri, Esq., at Alyson Weckstein Tiegel Ravin Greenberg PC, in
Roseland, New Jersey, represents the Debtors.  When the Debtors
filed for protection from their creditors, they estimated assets
and debts between $1 million to $10 million.


GIANT INDUSTRIES: Western Merger Cues Moody's to Hold Ratings
-------------------------------------------------------------
Moody's Investors Service affirmed Giant Industries' B3 senior
subordinated note rating, B1 Corporate Family Rating, and moved
the rating outlook from stable to developing.  This action follows
the announcement that, in an all cash acquisition, debt-free
Western Refining, Inc., will acquire Giant for $83 per share and
assume $275 million in Giant debt for a total transaction value of
approximately $1.5 billion.  The rating outlook had been stable.

In connection with the acquisition, Giant reports that it would
likely tender for and retire its existing senior subordinated note
issues.  Western will fund the share purchase and Giant debt
refinancings with proceeds from Western's pending $1.5 billion
senior secured term loan, up to $250 million in combined
Giant/Western balance sheet cash, and Western's pending
$500 million senior secured working capital revolver.

If Giant's bonds are not retired, the notes would either retain
their ratings or be moved up or down by one notch, depending on
final leverage at closing, cash flows and margin outlook at the
time, and the reasonably expected pace of Western debt reduction
at the time.  If Giant's bonds remained outstanding, Giant's
corporate family rating would be withdrawn, a new Western
corporate family rating would be established, and the bond ratings
would be notched according to the protocols of Moody's pending
Loss Given Default notching methodology which would have been
implemented by then.

Pro-forma, Western will hold four refineries, with one large
and two very small refineries in the Southwest U.S. and one
moderately small and more complex refinery in Virginia.  Total
throughput capacity would approximate 216,000 barrels per day.
Western will also inherit Giant's 159 retail sites and wholesale
distribution business in the Southwest.  Western's El Paso, Texas
refinery has been processing approximately 117,000 barrels per day
of total throughput.  Giant owns three refineries, with its two
Southwestern refineries processing approximately 37,000 barrels
per day of total throughput and its Yorktown, Virginia refinery
processing approximately 62,000 barrels per day.  Western believes
it will be able to improve upon Yorktown refinery's downtime
record as recorded under Giant's and preceding owner BP's
operating management.

Pro-forma, the ratings would reflect leverage, Western's learning
curve in assimilating Giant, and the inherent risk of high margin
cyclicality driven by macro forces on demand and sector and
regional forces on crude oil and refined product demand and
supply.  As well, a degree of margin uncertainty continues to
reside in constrained crude oil supplies for Giant's two Four
Corners refineries as well as due to eventual resolution in the
role the Longhorn Refinery may play in Southwestern margins under
expected new ownership.

Western will be very highly leveraged, measured on complexity
barrels and throughput capacity and refining margins and cash
flows are very volatile.  This is mitigated by:

   (1) the deleveraging potential of current strong ongoing up-
       cycle margins,

   (2) considerably improved diversification in Western's
       operational and regional margin risk due to the increase to
       four refineries, ownership of 62,000 of processing capacity
       exposed to Atlantic Basin margins, and more diversified
       crude sourcing capabilities, and

   (3) the rationalization benefits of regional consolidation in
       the Southwestern region.

Western Refining is headquartered in El Paso, Texas.  Giant
Industries is located in Scottsdale, Arizona. Giant operates three
refineries, 127 service station stores in the Four Corners area,
and is the largest independent wholesaler of petroleum products in
Arizona.


GLOBAL DOCUGRAPHIX: Panel Hires Locke Liddell as Special Counsel
----------------------------------------------------------------
The U.S. Bankruptcy Court for the Northern District of Texas
approved the request of the Official Committee of Unsecured
Creditors appointed in Global DocuGraphix, Inc., and Global
DocuGraphix USA, Inc.'s chapter 11 cases, to employ Locke Liddell
& Sapp, LLP, as its special counsel.

Locke Liddell will:

   a) investigate and prosecute litigation on behalf of the
      Committee as appropriate, including, but not limited to,
      actions brought pursuant to Chapter 5 of the Bankruptcy Code
      and commercial torts;

   b) provide additional assistance to the Committee and its
      general counsel upon request, which services may include,
      but are not limited to, acting as Committee's counsel if the
      Committee's general counsel encounters a conflict of
      interest.

The firm's professionals bill:

          Professional                    Hourly Rate
          ------------                    -----------
          Peter A. Franklin III, Esq.        $490
          Doug Skierski, Esq.                $370
          Melissa S. Hayward, Esq.           $200

Mr. Franklin, a Locke Liddell partner, assures the Court that his
firm is a "disinterested person" as that term is defined in
Section 101(14) of the Bankruptcy Code.

Headquartered in Plano, Texas, Global DocuGraphix, Inc. --
http://www.gdxinc.com/-- is a commercial printing company
offering products and solutions for printing, advertising,
marketing, office, and document management.  The Company and its
subsidiary, Global DocuGraphix USA, Inc., filed for chapter 11
protection on July 18, 2006 (Bankr. N.D. Tex. Case No. 06-32889)
Holland N. O'Neil, Esq., and Richard McCoy Roberson, Esq., at
Gardere, Wynne and Sewell LLP represent the Debtors in their
restructuring efforts.  When the Debtors filed for bankruptcy,
they reported assets and debts totaling between $10 million and
$50 million.


GLOBAL HOME: Asks Court to Approve WearEver Sale Incentive Program
------------------------------------------------------------------
Global Home Products LLC and its debtor-affiliates ask the U.S.
Bankruptcy Court for the District of Delaware to approve a
performance-based management incentive plan, conditioned on the
going concern sale of substantially all assets of these WearEver
Debtors:

         * Mirro Acquisition, Inc.,
         * Mirro PuertoRico, Inc., and
         * Mirro Operating Company LLC.

The WearEver Debtors sell metal cookware, bakeware and related
accessories throughout North America.

Laura Davis Jones, Esq., at Pachulski Stang Ziehl Young Jones &
Weintraub LLP, in Wilmington, Del., tells the Court that the
WearEver Debtors' business is not profitable under its current
capital structure.  The Debtors will be unable to continue the
business as a going concern beyond the near term.  The Debtors
have already asked permission to sell the business for at least
$21 million.

To provide appropriate incentives for the employees of the
WearEver Debtors to effectuate the proposed sale, the Debtors want
to implement a multi-tiered performance-based management sale
incentive program conditioned on the successful closing of the
proposed sale and other benchmarks.  According to Ms. Jones, the
Incentive Plan will cover the 11 principal employees involved in
the proposed sale.  The Debtors believe that these employees
require additional incentives to close the proposed sale, given
the hard work and dedication that they have displayed from the
time of the decision to sell the assets through the approval of
the sale procedures, and given the additional hard work and
dedication that will be required of those employees through the
closing of the sale.

Under the proposed multi-tiered Incentive Plan:

   (a) on the closing of the going concern sale of the WearEver
       business, each of the WearEver Sale Employees who fulfilled
       his or her obligations to the Debtors through the closing
       will be entitled to receive a one-time incentive payment
       ranging from 20% to 40% of the employee's annual salary; or

   (b) on the closing of the proposed sale and in the event
       that the gross proceeds are equal to or greater than
       $25 million, each WearEver Sale Employees will receive a
       one-time incentive payment ranging from 25% to 50% of the
       employee's annual salary; or

   (c) on the closing of the proposed sale and in the event that
       the gross proceeds are equal to $30 million, each WearEver
       Sale Employees will receive a one-time incentive payment
       ranging from 30% to 55% of the employee's annual salary; or

   (d) on the closing of the proposed sale and in the event that
       the gross proceeds are greater than $30 million, each
       WearEver Sale Employees will receive:

       (i) a one-time incentive payment ranging from 30% to 55% of
           the employee's annual salary; and

      (ii) for each $1 million of gross proceeds received in
           excess of $30 million, the aggregate payments to all
           WearEver Sale Employees would increase by 1%, subject
           to a maximum increase of 15% if the aggregate gross
           sale proceeds equals or exceed $45 million.

According to Ms. Jones, given the best scenario, total payments
under the Incentive Plan will not exceed $538,142 in the
aggregate.

Headquartered in Westerville, Ohio, Global Home Products, LLC
-- http://www.anchorhocking.com/and http://www.burnesgroup.com/
--  sells houseware and home products and manufactures high
quality glass products for consumers and the food services
industry.  The company also designs and markets photo frames,
photo albums and related home decor products.  The company and
16 of its affiliates, including Burnes Puerto Rico, Inc., and
Mirro Puerto Rico, Inc., filed for Chapter 11 protection on
Apr. 10, 2006 (Bankr. D. Del. Case No. 06-10340).  Laura Davis
Jones, Esq., Bruce Grohsgal, Esq., James E. O'Neill, Esq., and
Sandra G.M. Selzer, Esq., at Pachulski, Stang, Ziehl, Young, Jones
& Weintraub LLP, represent the Debtors.  Bruce Buechler, Esq., at
Lowenstein Sandler, P.C., represents the Official Committee Of
Unsecured Creditors.  When the company filed for protection from
their creditors, they estimated assets between $50 million and
$100 million and estimated debts of more than $100 million.


INCO LTD: Board Still Recommends Merger with Phelps Dodge
---------------------------------------------------------
Inco Ltd.'s Board of Directors continues to recommend that
shareholders vote in favor of the proposed combination between
Inco and Phelps Dodge Corp. at a special meeting of Inco
shareholders to be held on Sept. 7, 2006.  Accordingly, the Board
has recommended that Inco shareholders reject the offer by
Companhia Vale do Rio Doce to purchase for cash all of the
outstanding common shares of Inco.

Subject to certain exceptions, the Combination Agreement between
Inco and Phelps Dodge requires that Inco's Board continue to
recommend that shareholders vote in favor of the arrangement
between Inco and Phelps Dodge, unless the Board determines that a
competing acquisition proposal constitutes a "superior proposal".
The Combination Agreement also provides that Inco publicly may
take a neutral position with respect to any competing acquisition
proposal only until 15 days following the commencement of the
competing acquisition proposal.  In the case of the CVRD Offer,
this 15 calendar day period expired Aug. 29, 2006.

On August 15, 2006, Inco said its Board of Directors was remaining
neutral and making no recommendation with respect to the CVRD
Offer.  Inco's Board did not determine that the CVRD Offer
constitutes a "superior proposal" for purposes of the Combination
Agreement.  However, the Board did determine that the CVRD Offer
could reasonably be expected to result in a "superior proposal"
and, in accordance with the Combination Agreement, authorized
Inco's senior management and advisors to engage in discussions and
negotiations with CVRD.  Representatives of Inco have had several
conversations with representatives of CVRD in which they indicated
that Inco was in a position to engage in negotiations with CVRD to
ascertain whether CVRD was willing to improve the CVRD Offer such
that the Board would be willing to declare it a "superior
proposal" for purposes of the Combination Agreement.  To date,
CVRD has indicated that it is not willing to enter into
substantive discussions or negotiations with respect to improving
the CVRD Offer.  Accordingly, the Inco Board, consistent with its
obligations under the Combination Agreement, has determined to
continue to recommend that Inco shareholders vote in favor of the
arrangement with Phelps Dodge and to recommend that Inco
shareholders reject the CVRD Offer.

In connection with Board's recommendation regarding the CVRD
Offer, the Company is filing today a Notice of Change to
Directors' Circular with Canadian securities regulatory
authorities and an amendment to Solicitation/Recommendation
Statement on Schedule 14D-9 with the United States Securities and
Exchange Commission.  The Notice of Change to Directors' Circular
will be mailed to Inco shareholders on Aug. 29.  Inco shareholders
are urged to read the Notice of Change to Directors' Circular and
the CVRD 14D-9 and any amendments thereto because they contain
important information.

                       About Inco Ltd.

Headquartered in Sudbury, Ontario, Inco Limited (TSX, NYSE:N) --
http://www.inco.com/-- produces nickel, which is used primarily
for manufacturing stainless steel and batteries.  Inco also
mines and processes copper, gold, cobalt, and platinum group
metals.  It makes nickel battery materials and nickel foams,
flakes, and powders for use in catalysts, electronics, and
paints.  Sulphuric acid and liquid sulphur dioxide are produced
as byproducts.  The company's primary mining and processing
operations are in Canada, Indonesia, and the U.K.

                          *     *     *

Inco Limited's 3-1/2% Subordinated Convertible Debentures due
2052 carry Moody's Investors Service's Ba1 rating.


INT'L MANAGEMENT: Auctioning Membership Interests on September 14
-----------------------------------------------------------------
William F. Perkins, the Chapter 11 Trustee appointed in
International Management Associates, LLC, and its debtor-
affiliates' cases, will oversee the auction of the membership
interests of IMA Real Estate Fund, LLC, in three real estate
development projects in Los Angeles, California, on Sept. 14,
2006, 10:00 a.m., in Courtroom 1401, 75 Spring Street S.W., in
Atlanta, Georgia,

The projects, which includes:

   * GTO Hollywood LLC,
   * GTO Lake Arrowhead LLC, and
   * GTO Manchester LLC

will be sold as a single package to the highest bidder.

Interested parties must submit their competing bids before
Sept. 11, 2006, at 4:00 p.m., to:

     a) William F. Perkins
        the Debtor's Chapter 11 Trustee
        W.G. Hays & Associates, LLC
        1100 Spring Street, N.W., Suite 450
        Atlanta, GA 30309
        Tel: (404) 682-4835
        Fax: (404) 881-6133

Copies of bids must be provided to:

        John W. Mills, III, Esq.
        the Chapter 11 Trustee Counsel
        Kilpatrick Stockton LLP
        1100 Peachtree Street, Suite 2800
        Atlanta, GA 30309
        Tel: (404) 815-6183
        Fax: (404) 541-3236

     b) Mark S. Kaufman
        Bryan E. Bates
        the Official Committee of Invesors
        303 Peachtree Street, N.E., Suite 5300
        Atlanta, GA 30308
        Tel: (404) 527-4120
        Fax: (404) 527-4198

If a qualified bid is not submitted, the Trustee will consider
California Urban Housing Fund, LLC, as the successful bidder.
California Urban is offering to acquire IMA's membership interests
in the three real estate development projects for approximately
$4.5 million.

A copy of the bid procedures governing the sale of the membership
interests is available for free at:

              http://researcharchives.com/t/s?105a

Headquartered in Atlanta, Georgia, International Management
Associates, LLC -- http://www.imafinance.com/-- managed hedge
funds for investors.  The company and nine of its affiliates filed
for chapter 11 protection on Mar. 16, 2006 (Bankr. N.D. Ga. Case
No. 06-62966).  David A. Geiger, Esq., and Dennis S. Meir, Esq.,
at Kilpatrick Stockton LLP, represent the Debtors in their
restructuring efforts.  James R. Sacca, Esq., at Greenberg
Traurig, LLP, and Mark S. Kaufman, Esq., at McKenna Long &
Aldridge, LLP, represent the Official Committee of Unsecured
Creditors.  When the Debtors filed for protection from their
creditors, they did not state their total assets but estimated
total debts to be more than $100 million.

On April 28, 2006, the Court appointed William F. Perkins as the
Debtors' chapter 11 trustee.  Kilpatrick Stockton LLP represents
Mr. Perkins.


INTERSTATE BAKERIES: Court OKs Rejection of 12 Property Leases
--------------------------------------------------------------
The Honorable Jerry W. Venters of the U.S. Bankruptcy Court for
the Western District of Missouri approved the rejection of 12
unexpired non-residential real property leases by Interstate
Bakeries Corporation and its debtor-affiliates.

The rejected leases are:

                                                       Rejection
Landlord                     Location                    Date
--------                     --------                  ---------
Betty Evans                  Tallulah, Los Angeles      7/20/06
Betty Evans                  Tallulah, Los Angeles      7/20/06
R.R. Browder Corp.           Rockwood, Tennessee        7/20/06
Genecov Investments, Ltd.    Tyler, Texas               7/20/06
Walter Hugh Zinnecker        Houston, Texas             7/20/06
Leo Frazier                  Davenport, Iowa            7/20/06
Gayle Tripp                  Greenville, North Carolina 7/20/06
ASPI Group                   Moses Lake, Washington     7/20/06
Kensington Van Buren, LP     Riverside, California      7/31/06
Ed Perlenfein                Albany, Oregon             7/31/06
TNC Leasing                  Arco, Idaho                8/09/06
Barry L. Nolind              Oroville, California       8/09/06

The Court directs the Debtors to pay the rent due under each Lease
on a pro-rated basis for each day from Sept. 22, 2004, to the
Rejection Date.

Judge Venters directs all holders of claims arising from the
rejection of the Leases to file a separate, completed and
executed proof of claim on or before Sept. 10, 2006.

As reported in the Troubled Company Reporter on Aug. 3, 2006, the
Debtors asserted that each of the real property leases do not
have any marketable value beneficial to their estates.

The Debtors noted that certain of the real property leases may
obligate them to pay for real estate taxes, utilities, insurance
and other charges.

Headquartered in Kansas City, Missouri, Interstate Bakeries
Corporation is a wholesale baker and distributor of fresh baked
bread and sweet goods, under various national brand names,
including Wonder(R), Hostess(R), Dolly Madison(R), Baker's Inn(R),
Merita(R) and Drake's(R). The Company employs approximately
32,000 in 54 bakeries, more than 1,000 distribution centers and
1,200 thrift stores throughout the U.S. The Company and seven of
its debtor-affiliates filed for chapter 11 protection on
September 22, 2004 (Bankr. W.D. Mo. Case No. 04-45814). J. Eric
Ivester, Esq., and Samuel S. Ory, Esq., at Skadden, Arps, Slate,
Meagher & Flom LLP, represent the Debtors in their restructuring
efforts. When the Debtors filed for protection from their
creditors, they listed $1,626,425,000 in total assets and
$1,321,713,000 (excluding the $100,000,000 issue of 6.0% senior
subordinated convertible notes due August 15, 2014 on August 12,
2004) in total debts. (Interstate Bakeries Bankruptcy News, Issue
No. 46; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


INTERSTATE BAKERIES: JPMorgan Supports Permanent CEO Search
-----------------------------------------------------------
JPMorgan Chase Bank, N.A., as agent to the Amended and Restated
Credit Agreement dated April 25, 2002, asks the U.S. Bankruptcy
Court for the Western District of Missouri to approve Interstate
Bakeries Corporation and its debtor-affiliates' request to employ
SSI (U.S.), Inc., dba Spencer Stuart as the Debtors' executive
search consultant.

JPMorgan supports the Debtors' efforts to obtain exit financing
and develop a Chapter 11 plan that provides for the repayment in
full of the Prepetition Credit Agreement obligations and prompt
exit from bankruptcy.

Lisa A. Epps, Esq., in Spencer Fane Britt & Browne, LLP, in
Kansas City, Missouri, asserts that an extensive search process
will be necessary to find an executive with the right balance of
operational and marketing skills to lead the Debtors' on post-
emergence basis.  "Thus, beginning the search for a permanent CEO
now is a reasonable step."

JPMorgan supports the Debtors' efforts to search for a permanent
chief executive officer based on the understanding that the
Debtors will establish a process where the creditor and equity
constituents have a meaningful and active role in the selection
process.

JPMorgan asserts that the Debtors need to establish a flexible
procedure that appropriately reflects each constituency's likely
stake in the post-emergence enterprise.

Headquartered in Kansas City, Missouri, Interstate Bakeries
Corporation is a wholesale baker and distributor of fresh baked
bread and sweet goods, under various national brand names,
including Wonder(R), Hostess(R), Dolly Madison(R), Baker's Inn(R),
Merita(R) and Drake's(R). The Company employs approximately
32,000 in 54 bakeries, more than 1,000 distribution centers and
1,200 thrift stores throughout the U.S. The Company and seven of
its debtor-affiliates filed for chapter 11 protection on
September 22, 2004 (Bankr. W.D. Mo. Case No. 04-45814). J. Eric
Ivester, Esq., and Samuel S. Ory, Esq., at Skadden, Arps, Slate,
Meagher & Flom LLP, represent the Debtors in their restructuring
efforts. When the Debtors filed for protection from their
creditors, they listed $1,626,425,000 in total assets and
$1,321,713,000 (excluding the $100,000,000 issue of 6.0% senior
subordinated convertible notes due August 15, 2014 on August 12,
2004) in total debts. (Interstate Bakeries Bankruptcy News, Issue
No. 46; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


JAFRA WORLDWIDE: Strong Metrics Cues Moody's to Upgrade Ratings
---------------------------------------------------------------
Moody's Investors Service upgraded its ratings on Jafra Worldwide
Holdings, S.aR.L and its affiliates including the company's
corporate family rating and senior subordinated notes rating.
These actions reflect the company's robust business model in
Mexico and strong financial metrics.  The rating outlook is
stable.

This ratings of Jafra Worldwide Holdings, S.aR.L were upgraded:

   * Corporate family rating, from B1 to Ba3.

This ratings of Distribuidora Comercial Jafra, S.A. de C.V. and
Jafra Cosmetics International, Inc were upgraded:

   * $130 million senior subordinated notes due 2011, from B3 to
     B2.

Jafra's Ba3 corporate family rating reflects the company's
strong financial metrics, free cash flow and leading market share
position in its core Mexican direct selling business offset by the
company's small scale and reliance on a single market for
the majority of its revenue and nearly all of the company's cash
flow.  The ratings also reflect management's experience in
implementing strategies to grow its consultant base, especially in
core markets, and improve productivity.

At the same time, Jafra and Vorwerk have maintained prudent
financial policies including meaningful debt reduction through
free cash flow and proceeds from private equity issuances as
well as by exiting unprofitable markets in Latin America.  While
Moody's recognizes the strategic value of company's plans to
diversify into other developing markets including Russia,
Indonesia and China, it notes the heightened competitive and
operational risks the company faces in achieving this much
needed diversification.

In addition, competitive activity is likely to be heightened as
Jafra will compete with both large, well-resourced players and
nimble regional providers of personal care products. Ultimately,
Jafra may not achieve the returns necessary to sustain
profitability in those markets without significant capital
investment and potential charges.  The Ba3 corporate family rating
is also constrained by the challenges faced in operating
a multi-level direct selling model, with the attendant risk of
consultant turnover and productivity.  These risks are further
heightened by the mismatch between company's peso-denominated
revenues and earnings against its dollar denominated debt
obligations.

The stable outlook reflects Jafra's strong credit metrics and
leading market position in important direct selling markets such
as Mexico and Hispanic markets in the U.S. where the company has
been successful in building its consultant base, revenue and cash
flow.

Ratings are unlikely to increase over the near-term given the
significant operational and financial risks the company faces
implementing its global growth strategy.  Moody's believes that
Jafra is comfortably positioned within its rating category.
Important components of an eventual upgrade and outlook revision
would be profitable diversification into new markets to reduce
Jafra's reliance on Mexico, continued strong performance and
consultant gains in the company's core Mexican and Hispanic
operations in the U.S. as well as a prudent and measured
approach to refinancing its high coupon public debt.

The rating and outlook would be negatively impacted should the
company's financial performance deteriorate materially from plan,
political or currency shock to its core Mexican market occurs,
financial policies deviates significantly from its prudent balance
sheet management.  Deterioration in credit metrics
such that leverage exceeds 2x and free cash flow to debt
drops below 25%, would also result in ratings pressure.

Headquartered in Westlake Village, California, Jafra sells
fragrances, color cosmetics, skin and body care products, and
other personal care items through a network of over 470,000
self-employed consultants.  Revenues for the last twelve months
ending June 2006 totaled $467 million.  Jafra's parent company,
Vorwerk & Co. KG, is a family-owned direct seller of household
appliances, carpets, industrial and financial services,
based in Wuppertal, Germany with annual revenues of
approximately $2.8 billion.


JAMES TAYLOR: Case Summary & 18 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: James H. Taylor Mining, Inc.
        P.O. Box 1020
        Louisa, KY 41230

Bankruptcy Case No.: 06-10211

Type of Business: The Debtor is a mining company.

Chapter 11 Petition Date: August 29, 2006

Court: Eastern District of Kentucky (Ashland)

Judge: Joseph M. Scott, Jr.

Debtor's Counsel: Paul Stewart Snyder, Esq.
                  P.O. Box 1067
                  Ashland, KY 41105-1067
                  Tel: (606) 325-5555
                  Fax: (606) 324-1665

Estimated Assets: $10 Million to $50 Million

Estimated Debts:  $1 Million to $10 Million

Debtor's 18 Largest Unsecured Creditors:

   Entity                          Nature of Claim   Claim Amount
   ------                          ---------------   ------------
Steve Singleton                    Royalties and       $3,096,001
225 Barrow Road                    Overriding
Lexington, KY 40502                Royalties

U.S. Small Business Admin.                               $515,980
P.O. Box 740192
Atlanta, GA 30374-0192

Ireland Williams                   Royalties             $380,000
P.O. Box 1020
Louisa, KY 41230

Tierney Land Company               Royalties             $284,602
c/o Douglas Wofoshin
200 Pennsylvania Avenue, Suite 400
Washington, DC 20006

U.S. Department of Labor MSIIA     Other Claim or Debt   $272,756
Mine Safety and Health Admin.
P.O. Box 360250M
Pittsburgh, PA 15251-6250

Alchemy Engineering                Business Debt         $136,780

Internal Revenue Service           Taxes Owed to          $78,967
                                   Government Unit

Commonwealth of Kentucky                                  $75,623

C&E Trucking                                              $58,000

Mining Manufacturing, Inc.         Equipment              $57,000

GMAC Processing Center                                    $36,509

Varney Trucking                                           $44,000

Midwestern Risk Specialist, Inc.                          $42,185

Central Appalachia                                        $41,600

Logan Hydraulics Company                                  $40,296

Mine Exchange                                             $30,000

Cardinal Coal Sales                                       $28,001

Dry Fork Supply                                           $25,610


KEITH NOVICK: Case Summary & Five Largest Unsecured Creditors
-------------------------------------------------------------
Debtor: Keith Jeffrey Novick
        13 The Tulips
        Roslyn, NY 11576

Bankruptcy Case No.: 06-72039

Chapter 11 Petition Date: August 25, 2006

Court: Eastern District of New York (Central Islip)

Debtor's Counsel: Clifford Katz, Esq.
                  Teresa Sadutto, Esq.
                  Platzer Swergold Karlin Levine
                  Goldberg & Jaslow, LLP
                  1065 Avenue of the Americas, 18th Floor
                  New York, NY 10018
                  Tel: (212) 593-3000
                  Fax: (212) 593-0353

Estimated Assets: $500,000 to $1 Million

Estimated Debts:  $1 Million to $10 Million

Debtor's Five Largest Unsecured Creditors:

   Entity                           Claim Amount
   ------                           ------------
Michele Beberman                        $600,000
440 Links Drive South
Roslyn, NY 11576

FC Stone, LLC - Savant Division         $459,577
1 North End Avenue, Suite 1129
Sebastian Angelico
New York, NY 10282

Peter Burke                             $112,000
74-4 Brook Avenue
Deer Park, NY 11729

Arnold Novick                            $70,000
24 Mount Avenue
Providence, RI 02906

Sheila Zamkoff                           $10,000
717 Meadowcreek Cible
Lower Gwynedd, PA 19002


KEY CONTRACTING: Case Summary & 19 Largest Unsecured Creditors
--------------------------------------------------------------
Debtor: Key Contracting LLC
        1303 Junction Road
        Browns Mills, NJ 08015-3801
        Tel: (609) 735-2783

Bankruptcy Case No.: 06-18073

Chapter 11 Petition Date: August 29, 2006

Court: District of New Jersey (Trenton)

Debtor's Counsel: David E. Shaver, Esq.
                  Broege, Neumann, Fischer & Shaver LLC
                  25 Abe Voorhees Drive
                  Manasquan, NJ 08736
                  Tel: (732) 223-8484

Total Assets:   $378,723

Total Debts:  $1,532,235

Debtor's 19 Largest Unsecured Creditors:

   Entity                        Nature of Claim     Claim Amount
   ------                        ---------------     ------------
Internal Revenue Service         Tax Liability           $217,697
Cincinnati, OH 45999

Sun National Bank                Bank Loan               $201,163
P.O. Box 849
Vineland, NJ 08362-0849

Operating Engineers Local 825    Employee Benefits       $197,591
65 Springfield Avenue
Springfield, NJ 07081-1308

CitiCapital                      Equipment Loan           $97,000
P.O. Box 6229
Carol Stream, IL 60197-6229

H & G L Welfare Fund                                      $96,419
700 Raymond Boulevard
Newark, NJ 07105-2909

GMAC                             Equipment Loan           $59,524

Interchange Capital              Equipment Loan           $57,652

Stavola Contracting Company      Trade Debt               $43,673

Ingersol Rand                    Equipment Loan           $41,935

Wolf & Samson, P.C.              Trade Debt               $41,580

Chase Auto Finance               Equipment Loan           $41,457

Ohio Casualty Group              Insurance Premium        $38,055

North Fork Bank                  Equipment Loan           $30,480

Ford Credit                      Equipment Loan           $30,332

American Express-Business Card   Credit Card Debt         $28,694

Hoffman Equipment                Trade Debt               $26,869

North Fork Bank                  Equipment Loan           $21,872

State of New Jersey              Tax Liability            $21,666
Emp. Accounts

State of New Jersey GIT          Tax Liability            $21,039


KINSTON HOUSING: S&P Downgrades $3.2 Million Bonds' Rating to B
---------------------------------------------------------------
Standard & Poor's Ratings Services lowered its rating on Kinston
Housing Authority (Kinston Towers Project), N.C.'s $3.2 million
series 1994A bonds to 'B' from 'BB'.  The outlook is stable.

The downgrade reflects:

   * debt service coverage below the 1.0x level over the past
     three years;

   * contract rent above fair market rents, limiting the ability
     of the project to receive rental increases;

   * a decline in net rent compared with the previous year; and

   * an increase in expenses leading to deterioration of the
     expense ratio.

The latest audited financial results for the year ended Dec. 31,
2005, indicate a slight deterioration in the performance of the
property.  This is reflected in debt service coverage of 0.94x,
down from 0.95x in 2004.

The property has not received a rental increase since 2002 because
contract rents are above fair market rents.  Furthermore, HUD has
denied the project's 2005 application for a rental increase.
Expenses increased to $3,905 per unit per year in 2005, up from
$3,837 in fiscal 2004 primarily due to a 16% increase in utilities
expenses, which constitute 36% of total expenses.


LA PETITE: S&P Assigns Junk Rating to Proposed $85 Million Loan
---------------------------------------------------------------
Standard & Poor's Rating Services raised its corporate credit
rating on Chicago, Illinois-based La Petite Academy to 'B-' and
removed the ratings from CreditWatch, where they were placed with
positive implications on July 7, 2006.  The outlook is stable.

"On July 26, 2006, we assigned our 'B' senior secured bank loan
rating to the company's $20 million, first-lien senior secured
revolving credit facility due in 2011, and $110 million, first-
lien senior secured term loan due 2012.  A recovery rating of '1'
was assigned to the senior secured facilities indicating the
expectation for a substantial (80%-100%) recovery in the event of
a payment default," said Standard & Poor's credit analyst Jesse
Juliano.

Standard & Poor's also assigned its 'CCC' rating to the company's
proposed $85 million second-lien secured term loan due 2013.  A
recovery rating of '4' was assigned to the second-lien secured
facilities indicating the expectation for a negligible (0%-25%)
recovery in the event of a payment default.

Proceeds from the financings will be used to:

   * refinance the existing $32 million term loan and $145 million
     10% senior notes due May 2008;

   * repay $8 million outstanding under its revolving credit
     facility;

   * fund $5 million of transaction expenses; and

   * prefund $5 million of fiscal year 2007 capital expenditures.

The ratings on La Petite Academy Inc. reflect:

   * its weak cash flow;

   * heavy debt burden; and

   * vulnerability to weakness in the economy, specifically
     employment.

The company had serious operating and financial problems in 2000
to 2003 due to the downturn in the U.S. economy and weakness in
financial operations and controls.  Since then, under new
management, operating improvements led to an increase in operating
margins and cash flow.


LAIRD COLLINS: Case Summary & 20 Largest Unsecured Creditors
------------------------------------------------------------
Debtor: Laird Collins
        Jennifer Denise Collins
        185 Lakewood Lake Lane
        Huntingdon, TN 38344

Bankruptcy Case No.: 06-11968

Chapter 11 Petition Date: August 18, 2006

Court: Western District of Tennessee (Jackson)

Judge: G. Harvey Boswell

Debtors' Counsel: Timothy B. Latimer, Esq.
                  Utley & Latimer, P.C.
                  425 East Baltimore
                  Jackson, TN 38301
                  Tel: (731) 424-3315

Total Assets: $1,025,000

Total Debts:  $743,120

Debtors' 20 Largest Unsecured Creditors:

   Entity                        Nature of Claim     Claim Amount
   ------                        ---------------     ------------
Carroll Bank & Trust             Real Estate -            $55,792
P.O. Box 889                     Lakewood Lake Lane
Huntingtdon, TN 38344

Payment Remittance Center                                 $40,253
P.O. Box 6426
Carol Stream, IL 60197-6426

Ford Motor Credit                2006 Ford F250           $37,963
P.O. Box 105697
Atlanta, GA 30348-5697

Citizens Bank Automobile         2005 Chrysler 300        $30,000
Finance, Inc.
P.O. Box M
Providence, RI 02901-1683

Key Bank                         Real Estate -            $20,000
P.O. Box 94722                   Lakewood Lake Lane
Cleveland, OH 44101-4722

E*Trade Consumer Finance Corp.   Camper                   $29,500

Fifth Third Bank                 2003 Ford F250           $29,000

Capital One Bank                                          $15,964

Sears Credit Cards                                        $14,880

Wells Fargo Card Services                                 $13,139

Capital One                                               $11,952

Discover                                                  $11,760

MBNA America                                              $10,471

Chase Card Service                                         $7,924

Yard Card                        2004 Gizmo Lawnmower      $7,449

The Jackson Clinic                                         $5,960

Huntingdon Auto Parts                                      $5,733

GE Money Bank/Rural King                                   $4,914

Retail Services                  Nautilus                  $2,341

Northern Tool & Equipment HSBC                             $2,000


LARRY'S MARKETS: Two More Grocery Stores Sold for $700,000
----------------------------------------------------------
Craig Harris, a Seattle Post Intelligencer writer reports that two
of the remaining Larry's Markets stores, in North Seattle and
Tukwila, were sold Monday for $700,000.

Jay Kornfeld, Esq., at Bush Strout & Kornfeld, in an interview
with the Post Intelligencer, said that Summit Trading will acquire
the Tukwila store for about $200,000, while Hop Thanh Supermarket
Inc. bought the North Seattle store for $500,000.

The Post Intelligencer reports that 60 to 70 workers at the
Tukwila store will have the option the continue working with their
new employer.  It is unknown to Mr. Kornfeld if the new owner of
the North Seattle, which also has 60 to 70 workers, would hire the
store's current employees.

Mr. Kornfeld added that Larry's is very close to selling the
Redmond store, but "not close enough to be public."

Headquartered in Kirkland, Washington, Larry's Markets, Inc. --
http://www.larrysmarkets.com/-- operates several supermarkets and
department stores in the U.S. Northwest.  The company filed for
chapter 11 protection on May 7, 2006 (Bankr. W.D. Wash. Case No.
06-11378).  Armand J. Kornfeld, Esq., at Bush Strout & Kornfeld,
represents the Debtor.  The Official Committee of Unsecured
Creditors has selected Marc L. Barreca, Esq., and Michael J.
Gearin, Esq., at Preston Gates & Ellis LLP, to represent it in the
Debtor's case.  When the Debtor filed for protection from its
creditors, it listed total assets of $12,574,695 and total debts
of $21,489,800.


LONDON FOG: Closes Asset Sale to Iconix After Nev. State Approval
-----------------------------------------------------------------
Iconix Brand Group, Inc., has closed the acquisition of the London
Fog brand from London Fog Group Inc.  The Company was planning on
purchasing the brand, pending final approval by the Nevada state
bankruptcy court, which was subsequently received.

Neil Cole, Chairman and CEO of the Iconix Brand Group, stated, "We
are thrilled to have closed on our purchase of the London Fog
brand.  With two leading outerwear makers forming the foundation
of our licensing program, we are confident will be able to quickly
capitalize on the long and rich heritage of London Fog and build
it into a lifestyle brand that appeals to a broad range of
consumers."

                    About Iconix Brand Group

Iconix Brand Group, Inc., (Nasdaq: ICON) owns, licenses and
markets a portfolio of consumer brands including CANDIE'S (R),
BONGO (R), BADGLEY MISCHKA (R), JOE BOXER (R) RAMPAGE (R) and MUDD
(R). The Company has also signed a definitive agreement to
purchase the brand MOSSIMO (R) which is anticipated to close in
September of this year. The Company licenses it brands to a
network of leading retailers and manufacturers that touch every
major segment of retail distribution from the luxury market to the
mass market. Iconix, through its in-house advertising agency,
advertises and markets its brands to continually drive greater
consumer awareness and loyalty.

                        About London Fog

Headquartered in Seattle, Washington, London Fog Group, Inc.,
-- http://londonfog.com/-- designs and retails the latest styles
in jackets and other professional apparel.  The company and six of
its affiliates filed for chapter 11 protection on March 20, 2006
(Bankr. D. Nev. Case No. 06-50146).  Stephen R. Harris, Esq., at
Belding, Harris & Petroni, Ltd., represents the Debtors in their
restructuring efforts.  Avalon Group, Ltd., serves as the Debtors'
financial advisor.  When the Debtors filed for protection from
their creditors, they estimated assets and debts between
$50 million to $100 million.


LUXELL TECH: Files Proposal to Creditors Under BIA in Canada
------------------------------------------------------------
The Board of Directors of Luxell Technologies Inc. working its way
through a complete assessment of the Company's business activities
and financial situation as part of a major business review.

Upon the completion of this assessment and an in-depth review of
the resulting report, the Board, the majority of whom are
relatively new members, concluded that if the Company was to
effectively transform itself, a major restructuring program was
now necessary.  As an entry point to the necessary actions, the
Company hired a new interim CFO and expects to shortly announce
the appointment of a new CEO with a proven record of leading
companies through successful transformations.

John MacDonald, Chairman and interim CEO, has described the
situation:

"There was a fair level of optimism at the beginning of 2006 based
on the volume of work in production and for how substantially the
order logs had grown.  At that time it was certainly our
expectation we could meet our goal of at least one profitable
quarter and black ink in 2007.  We now see this is not possible.

"Unfortunately, despite all that has been achieved, including a
number of implemented cost reductions, it is clear the Company's
aggressive product development programs have diminished the
working capital position to the point where operations are being
curtailed and a workable go forward plan cannot be accomplished
without new capital and restructuring.

"Specifically, the development costs of one group of new contracts
went beyond anything expected and have produced a burden which
make the goals we stated at the beginning of this year impossible
to achieve.

"In fact, this and a history of 15 years of negative returns have
led this Board to conclude that the profits necessary to overcome
the current payables will not materialize in a time frame that
would be acceptable for orderly management of the Company's
current obligations.  It is also clearly evident the Company's
facility and lease arrangement is untenable for the business plan,
which has emerged from our recent strategic review.

"However, the Board remains convinced the Company possesses
valuable "know-how" and in some areas proprietary production
techniques have also been developed.  We believe there are viable
products and Intellectual Property, which, under certain
conditions and given the time to complete such a transaction,
could be sold.

"As a result, the Company's Board of Directors has determined the
best option to realize a possible future for the Company, its
shareholders, employees, suppliers and customers, is to file a
proposal to creditors under the Bankruptcy and Insolvency Act,
which will take a minimum of 45 days to complete and provide the
Company with a complete stay on any creditor proceedings.

"The Proposal will address all classes of creditors and observe
standard practice, regulatory and financial requirements.  It is
anticipated the Proposal will include the issuance of a promissory
note to creditors of record, which would be due Sept. 1, 2008."

Mr. MacDonald added that the Promissory notes may also become
convertible to common shares by debt holders, at the current
market rate and upon the due date, subject to applicable
regulatory approval.  This option would allow longstanding
creditors who have supported the company to participate in a
restructured, profitable firm and potentially the reflection in
the share value.

The Proposal must receive approval by at least 66.6% (2/3) in
dollars and 50% plus one in the number of eligible creditors who
vote in order to be accepted.

In order to continue operations, the Company has sought new
financing for $1 million of Debtor in Possession Financing to
provide the Company with working capital as well as to fund C.O.D.
payments to suppliers.  This additional term debt is intended to
provide holders of promissory notes with assurance that if the
assets of the Company were sold they would not be prejudiced for
having accepted the proposal.

The Company is also examining the structuring of a further
$5 million convertible debenture and what the terms and conditions
of such additional financing would entail.

                          About Luxell

Luxell Technologies Inc. (TSX: LUX) -- http://www.luxell.com/
http://www.aktelux.com/and http://www.luxellresearch.com/--  
designs, manufactures and licenses flat panel display technologies
and solutions for defence and avionics industries through its
operating divisions Aktelux and Luxell Research.


M&S GRADING: CIT Group Repossesses Leased Equipment
---------------------------------------------------
In March 1999, The CIT Group / Equipment Financing, Inc., leased
some equipment to Fehrs Nebraska Tractor & Equipment Co.  In
September 2000, Fehrs purportedly sold the equipment to M & S
Grading, Inc.  Ferhs went out of business, and M&S sought chapter
11 protection in May 2002.  CIT filed an adversary proceeding in
the Bankruptcy Court to obtain an order requiring the debtor to
relinquish possession of the equipment.  The Honorable Timothy J.
Mahoney of the United States Bankruptcy Court for the District of
Nebraska entered a judgment in favor of CIT.  The Debtor appealed.

In a decision published at 2006 WL 2069443, the United States
Court of Appeals for the Eighth Circuit says CIT's interest in the
equipment is superior to the Debtors and M&S must return the
equipment without further delay.  M&S, the Court observed, never
obtained clear title to the equipment, and doesn't get to use it
at no charge.


MAGNACHIP SEMICONDUCTOR: Has $179 Million Equity Deficit at July 2
------------------------------------------------------------------
MagnaChip Semiconductor disclosed its financial results for the
second quarter ended July 2, 2006.

At July 2, 2006, the Company's balance sheet showed total assets
of $858.6 million and total liabilities of $926.6 million
resulting in a stockholders' deficit of $179.8 million.

Revenue for the three months ended July 2, 2006 was $197.6
million, compared to $236.0 million in 2005.

Gross margin was $20.3 million or 10.3% of revenue for the quarter
ended July 2, 2006, compared to $60.4 million or 25.6% of revenue
for the second quarter of 2005.

Operating expenses were $149.6 million in the current quarter.
This included restructuring and impairment charges of $93.7
million.  The impairment was made to one of the Company's wafer
fabrication facilities that had been significantly under-utilized
and related customer intangibles.  Excluding the restructuring and
impairment charges, operating expenses for the second quarter of
2006 were $55.9 million or 28.3% of revenue, compared to $57.4
million or 24.3% of revenue, which excluded special charges during
the second quarter of 2005.  Operating loss was $129.3 million
during the quarter.  Excluding the restructuring and impairment
charges, the operating loss for the second quarter of 2006 was
$35.6 million compared to an operating income of $3.0 million
before special charges in the prior year's second quarter.

Net interest expense for the second quarter of 2006 was $14.4
million, compared to $14.0 million in the second quarter of 2005.
Net loss for the three months ended July 2, 2006 was $132.1
million.  Excluding the restructuring and impairment charges, the
loss was $38.4 million, compared to a net loss of $22.2 million
excluding special charges in the prior year's second quarter.

Sang Park, President and CEO of MagnaChip Semiconductor,
commented, "This was a disappointing quarter due to pricing
pressures seen across the entire industry, higher channel
inventory levels and due to company-specific execution issues.  I
joined the company during such a difficult quarter because of my
confidence in MagnaChip's growth prospects.  We have a strong
employee base, with good potential in our technology and product
portfolio, world-class customers and significant capacity in our
manufacturing facilities.  As a result, the company's recent
performance is not acceptable and we are targeting dramatic
actions in the second half of 2006 that will result in improved
financial results in the future.  In my first thirty days, we have
launched aggressive corrective actions for the business going
forward that stress a renewed sense of urgency and accountability.
I am confident that we are taking the right steps."

"We are more focused than ever before on executing the turnaround
of our revenue through execution of new product introduction ramps
that we have in progress and expansion of our foundry services.
Our 2 Megapixel CMOS image sensor SOC and our high-performance 1.3
Megapixel CMOS image sensor SOC have passed important
qualification milestones with key customers, and we expect volume
from these products to ramp in the fourth quarter and into 2007.
We believe that our recovery in this key market has begun. The end
market for display driver IC's had lower sell through of product
than expected.  As a result, we will be working through inventory
issues in the channel into the next quarter.  Our wafer foundry
business continues to show stable growth, and we expect to expand
our 0.18 process geometry services to Analog customers into the
fourth quarter."

Robert Krakauer, EVP of Corporate Operations and CFO of MagnaChip
Semiconductor, said, "The gross margin decline in the second
quarter was primarily due to the lower revenue level compounded by
industry-wide pricing pressure and a product mix that skewed
toward lower margin products.  The infrastructure we have in place
is designed to support a multi-billion dollar revenue per year
company, not one generating below $200 million a quarter.  As part
of the changes we are making, we have made key changes in our
sales organization to more adequately support our second half ramp
strategy.  We expect that as our company's performance regains the
revenue growth momentum in-line with our leadership position and
historic levels, our profitability will return to higher historic
levels as well."

                    Third Quarter 2006 Outlook

For the third quarter of 2006, the Company expects revenues to be
approximately 6% to 9% lower compared to the second quarter given
inventory issues in our end markets, with flat gross margins.

MagnaChip Semiconductor -- http://www.magnachip.com/-- is a
designer, developer and manufacturer of mixed-signal and digital
multimedia semiconductors addressing the convergence of consumer
electronics and communications devices.  The Company focuses on
CMOS image sensors and flat panel display drivers, which are
complex, high performance, mixed signal semiconductors that
capture images and enable and enhance the features and
capabilities of both small and large flat panel displays.
MagnaChip also provides wafer foundry services utilizing CMOS high
voltage, embedded memory, analog and power process technologies
for the manufacture of IC's for customer-owned designs.


MIRANT CORP: Allows 25 Claims Aggregating $2,266,255
----------------------------------------------------
To avoid costly litigation, Reorganized Mirant Corp. and its
debtor-affiliates entered into separate stipulations with 15
claimants agreeing to the allowance of these claims against their
reorganized estates:

                                     Allowed
                           Claim      Claim
    Claimant               Number     Amount    Liable Debtor
    --------               ------    -------    -------------
    Avaya, Inc.             2186     $44,370    Mirant Kendall,
                            2187                MIRMA, Mint Farm,
                            2189                Mirant Delta, and
                            2190                Mirant New York
                            7851
                            8252
                            8347

    Consol Energy Inc.      7032    $405,100    MAEM

    Hain Capital
    Holdings, LLC           8396     291,460    Hudson Valley Gas

    Georgia Department      7485       5,837    MADI
    of Revenue              7488      18,378    Mirant Services
                            7489     714,574    MAEM

    Longacre Master
    Fund, Ltd.              6577      63,000    Mirant Kendall

    Longacre Master
    Fund, Ltd.              3983     256,873    Mirant Delta

    Man Capital, LLC        6685      37,258    MAEM

    Motion Industries, Inc. 7370
                            7371      12,533    MIRMA

    New York Power
    Authority               7099       5,494    Mirant Corporation

    Pitney Bowes
    Credit Corporation      1228      15,939    Mirant Corporation

    Power Engineers
    Consulting              3719      25,000    MAEM

    PSI Energy, Inc.        6274     279,143    Mirant Sugar Creek
                            6275      49,077    Mirant Sugar Creek

    Richards, Layton &
    Finger, P.A.            3936      13,535    Mirant Corporation

    Vitol S.A., Inc.          37      25,000    MAEM

    Tharp Company           2032       3,225    Mirant Corporation

Ian T. Peck, Esq., at Haynes and Boone, LLP, in Dallas, Texas,
notes that certain of the Avaya Claims were not allowed in full
or were disallowed in their entirety.

Hain Capital asserts Claim No. 8396 as an assignee of Power
Engineers, Inc.

Longacre Master Fund holds Claim Nos. 6577 and 3983 as an
assignee of General Electric Company and B&W Construction
Company, Inc.

Headquartered in Atlanta, Georgia, Mirant Corporation (NYSE: MIR)
-- http://www.mirant.com/-- is an energy company that produces
and sells electricity in North America, the Caribbean, and the
Philippines.  Mirant owns or leases more than 18,000 megawatts of
electric generating capacity globally.  Mirant Corporation filed
for chapter 11 protection on July 14, 2003 (Bankr. N.D. Tex. 03-
46590), and emerged under the terms of a confirmed Second Amended
Plan on Jan. 3, 2006.  Thomas E. Lauria, Esq., at White & Case
LLP, represented the Debtors in their successful restructuring.
When the Debtors filed for protection from their creditors, they
listed $20,574,000,000 in assets and $11,401,000,000 in debts.
The Debtors emerged from bankruptcy on Jan. 3, 2006.  (Mirant
Bankruptcy News, Issue No. 103; Bankruptcy Creditors' Service
Inc., http://bankrupt.com/newsstand/or 215/945-7000)

                           *     *     *

As reported in the Troubled Company Reporter on July 17, 2006,
Moody's Investors Service downgraded the ratings of Mirant
Corporation and its subsidiaries Mirant North America, LLC and
Mirant Americas Generation, LLC.  The Ba2 rating for Mirant Mid-
Atlantic, LLC's secured pass through trust certificates was
affirmed.  The rating outlook is stable for Mirant, MNA, MAG, and
MIRMA.

Moody's downgraded Mirant Americas Generation, LLC's Senior
Unsecured Regular Bond/Debenture, to B3 from B2.  Moody's also
downgraded Mirant Corporation's Corporate Family Rating, to B2
from B1, and Speculative Grade Liquidity Rating, to SGL-2 from
SGL-1.  Mirant North America, LLC's Senior Secured Bank Credit
Facility, was also downgraded to B1 from Ba3 and its Senior
Unsecured Regular Bond/Debenture, to B2 from B1.

As reported in the Troubled Company Reporter on July 13, 2006,
Fitch Ratings placed the ratings of Mirant Corp., including the
Issuer Default Rating of 'B+', and its subsidiaries on Rating
Watch Negative following its announced plans to buy back stock and
sell its Philippine and Caribbean assets.

Ratings affected are Mirant Corp.'s 'B+' Issuer Default Rating and
Mirant Mid-Atlantic LLC's 'B+' Issuer Default Rating and the Pass-
through certificates' 'BB+/Recovery Rating RR1'.

Fitch also placed Mirant North America, Inc.'s Issuer Default
Rating of 'B+', Senior secured bank debt's 'BB/RR1' rating, Senior
secured term loan's 'BB/RR1' rating, and Senior unsecured notes'
'BB-/RR1' rating on Rating Watch Negative.  Mirant Americas
Generation, LLC's Issuer Default Rating of 'B+' and Senior
unsecured notes' 'B/RR5' rating was included as well.

Standard & Poor's Ratings Services also placed the 'B+' corporate
credit ratings on Mirant Corp. and its subsidiaries, Mirant North
American LLC, Mirant Americas Generating LLC, and Mirant Mid-
Atlantic LLC, on CreditWatch with negative implications.


MIRANT CORP: Asks Court to Approve Shady Hills Settlement Accord
----------------------------------------------------------------
Reorganized Shady Hills Power Company, L.L.C., a Mirant Corp.
debtor-affiliate and Mike Olson, in his capacity as tax collector
for Pasco county in Florida, entered into a settlement agreement
to resolve their dispute on certain unpaid taxes totaling
$3,225,509, plus other costs.

Michelle C. Campbell, Esq., at White & Case LLP, in Miami,
Florida, relates that the dispute relates to tangible personal
property taxes for 2003 imposed on Shady Hills' power plant
located in Pasco County.

By operation of Section 362(a) of the Bankruptcy Code, Ms.
Campbell says the 2003 Taxes remained unpaid and became "past
due" on April 1, 2004, under Section 192.333 of the Florida
Statutes.  As a result, a statutory tax lien attached to the
Shady Hills Power Plant, effective January 1, 2003.

On December 3, 2003, the Tax Collector filed Claim No. 5797
against Shady Hills asserting a secured claim based on the Tax
Lien, including interests calculated at 18% per annum and
attorney's fees.

The New Mirant Entities dispute:

    * the amount of the taxes; and

    * the 18% delinquency rate, asserting that it is significantly
      higher than any interest rate that the Tax Collector would
      be entitled to receive under Section 506 of the Bankruptcy
      Code.

New Mirant further asserts that the Tax Collector is not entitled
to the collection costs or attorney's fees under applicable law.

To avoid litigation expenses, costs and delay, New Mirant sought
and obtained Court approval of the Settlement Agreement between
Shady Hills and Pasco County.

The salient terms of the Settlement Agreement are:

    (a) Claim No. 5797 will be an Allowed Secured Claim treated in
        Mirant Debtor Class 2 for $3,677,081, which includes
        accrued interest calculated at 6% per annum from
        April 1, 2004, until July 1, 2006;

    (b) The Allowed Secured Claim will not be subject to
        determination pursuant to Section 505 of the Bankruptcy
        Code;

    (c) All other amounts relating to the Claim, including the
        collection costs will be disallowed in their entirety,
        will not be asserted in any forum, and are not subject to
        reconsideration pursuant to Section 502(j) of the
        Bankruptcy Code; and

    (d) Pasco County will release the Tax Lien on payment of the
        Claim.

A full-text copy of the Shady Hills Settlement Agreement is
available for free at http://researcharchives.com/t/s?1094

                          About Mirant

Headquartered in Atlanta, Georgia, Mirant Corporation (NYSE: MIR)
-- http://www.mirant.com/-- is an energy company that produces
and sells electricity in North America, the Caribbean, and the
Philippines.  Mirant owns or leases more than 18,000 megawatts of
electric generating capacity globally.  Mirant Corporation filed
for chapter 11 protection on July 14, 2003 (Bankr. N.D. Tex. 03-
46590), and emerged under the terms of a confirmed Second Amended
Plan on Jan. 3, 2006.  Thomas E. Lauria, Esq., at White & Case
LLP, represented the Debtors in their successful restructuring.
When the Debtors filed for protection from their creditors, they
listed $20,574,000,000 in assets and $11,401,000,000 in debts.
The Debtors emerged from bankruptcy on Jan. 3, 2006.  (Mirant
Bankruptcy News, Issue No. 103; Bankruptcy Creditors' Service
Inc., http://bankrupt.com/newsstand/or 215/945-7000)

                           *     *     *

As reported in the Troubled Company Reporter on July 17, 2006,
Moody's Investors Service downgraded the ratings of Mirant
Corporation and its subsidiaries Mirant North America, LLC and
Mirant Americas Generation, LLC.  The Ba2 rating for Mirant Mid-
Atlantic, LLC's secured pass through trust certificates was
affirmed.  The rating outlook is stable for Mirant, MNA, MAG, and
MIRMA.

Moody's downgraded Mirant Americas Generation, LLC's Senior
Unsecured Regular Bond/Debenture, to B3 from B2.  Moody's also
downgraded Mirant Corporation's Corporate Family Rating, to B2
from B1, and Speculative Grade Liquidity Rating, to SGL-2 from
SGL-1.  Mirant North America, LLC's Senior Secured Bank Credit
Facility, was also downgraded to B1 from Ba3 and its Senior
Unsecured Regular Bond/Debenture, to B2 from B1.

As reported in the Troubled Company Reporter on July 13, 2006,
Fitch Ratings placed the ratings of Mirant Corp., including the
Issuer Default Rating of 'B+', and its subsidiaries on Rating
Watch Negative following its announced plans to buy back stock and
sell its Philippine and Caribbean assets.

Ratings affected are Mirant Corp.'s 'B+' Issuer Default Rating and
Mirant Mid-Atlantic LLC's 'B+' Issuer Default Rating and the Pass-
through certificates' 'BB+/Recovery Rating RR1'.

Fitch also placed Mirant North America, Inc.'s Issuer Default
Rating of 'B+', Senior secured bank debt's 'BB/RR1' rating, Senior
secured term loan's 'BB/RR1' rating, and Senior unsecured notes'
'BB-/RR1' rating on Rating Watch Negative.  Mirant Americas
Generation, LLC's Issuer Default Rating of 'B+' and Senior
unsecured notes' 'B/RR5' rating was included as well.

Standard & Poor's Ratings Services also placed the 'B+' corporate
credit ratings on Mirant Corp. and its subsidiaries, Mirant North
American LLC, Mirant Americas Generating LLC, and Mirant Mid-
Atlantic LLC, on CreditWatch with negative implications.


NAKOMA LAND: Ch. 7 Trustee Sells Plumas Lot to Carters for $185K
----------------------------------------------------------------
The Hon. Gregg W. Zive of the U.S. Bankruptcy Court for the
District of Nevada allowed Angelique Clark, the chapter 7 trustee
of Nakoma Land, Inc., and its debtor-affiliates to sell a property
in Plumas, Calif. to Colin Carter and Noreen Roche Carter for
$185,000.

The Property is described more fully as:

         Lot 219 of GOLD MOUNTAIN, UNIT 10 "STAR TOP"
         AS SHOWN ON THE MAP THEREOF FILED MARCH 10, 1999,
         IN BOOK 8 OF MAPS, AT PAGES 102 THROUGH 106, RECORDS
         OF PLUMAS COUNTY. RESERVING THEREFROM, ALL THE WATER
         AND WATER RIGHTS IN, UNDER OR FLOWING OVER SAID REAL
         PROPERTY OR APPURTENANT THERETO. A.P.N. 131-220-007.

The Court directed the Chapter 7 Trustee to satisfy the liens of
these entities by paying the Debtor's indebtedness:

   a) County Taxes for the fiscal year 2004-2005 and subsequent
      years in the amount of $2,433.21;

   b) Funds due the Gold Mountain Community Services District;

   c) Homeowners dues owing the Gold Mountain Homeowners
      association;

   d) unsecured property taxes in the amount of $1117; and

   e) unsecured property taxes in the amount of $1044.

Secured creditor Investors Financial LLC, which is owed around
$15 million, has consented to the sale.

The Court further authorized the Chapter 7 Trustee to pay from the
sale proceeds a broker's commission to Mohawk Valley Associates
Real Estate $7,400 or 4% of the sale price.

Headquartered in Reno, Nevada, Nakoma Land, Inc., operates the
Nakoma Resort in Plumas County, California.  The Debtor along with
its affiliates filed for chapter 11 protection on May 19, 2005
(Bankr. D. Nev. Case No. 05-51556).  Alan R. Smith, Esq., at the
Law Offices of Alan R. Smith represented the Debtors.  When the
Debtors filed for protection from its creditors, they listed total
assets of $18,000,000 and total debts of $15,252,580.  The Court
then appointed Angelique I.M. Clark as chapter 11 trustee.  The
U.S. Trustee for Region 13 recommended Ms. Clark's appointment
after Investors Financial LLC, sought for the appointment of a
trustee.


NATIONAL GAS: Pre-Petition Bank Loan Payments are Avoidable
-----------------------------------------------------------
Richard M. Hutson II, the chapter 11 trustee appointed in National
Gas Distributors, LLC's bankruptcy case sued Branch Banking
and Trust Company to avoid and recover, pursuant to 11 U.S.C.
Secs. 547 and 550, preferential transfers aggregating
$3,263,516.15 made by NGD to the Bank before the company filed for
bankruptcy protection under a loan agreement guaranteed
individually by the Debtor's principals.

The Bank argued that the guarantees are irrelevant, the loan was
made to provided financing for NGD's business, and all payments
were made pursuant to "ordinary business terms."

The Honorable A. Thomas Small, in a decision published at 2006 WL
2135557, says the challenged payments that paid off debts
guaranteed by its principals before it went out of business were
not made "according to ordinary business terms," as evaluated from
debtor's perspective and in light of sound business practice in
general, and BB&T can't successfully assert an "ordinary business
terms" defense to the trustee's preference claims.

Robert H. Pryor, Esq., at Helms Mulliss & Wicker, PLLC, represents
BB&T in this litigation.

National Gas Distributors, LLC -- http://www.gaspartners.com/--  
spplied natural gas, propane, and oil to industrial, municipal,
military, and governmental facilities.  As of mid-December 2005,
the Company effectively ceased business operations due to
inadequate remaining capital and its inability to arrange for the
purchase and delivery of natural gas to its customers. The Company
filed for bankruptcy on January 20, 2006 (Bankr. E.D.N.C. Case No.
06-00166).  Richard M. Hutson, II, serves as the Chapter 11
Trustee, and is represented by John A. Northen, Esq., at Northen
Blue LLP.  When the Debtor filed for bankruptcy, it estimated
between $1 million to $10 million in assets and $10 million to
$50 million in debts.


NORCRAFT HOLDINGS: Moody's Holds Junk Rating on $118MM Sr. Notes
----------------------------------------------------------------
Moody's Investor Service assigned a B1 corporate family rating
to Norcraft Holdings, L.P.  Moody's also affirmed the debt ratings
of both Norcraft Holdings L.P. and of its subsidiary Norcraft
Companies L.P. collectively referred to as "Norcraft."

The rating action and affirmation considers the company's high
leverage, significant goodwill, and reliance on the homebuilding
market.  The ratings also consider recent years' improvement in
the company's financial and operating performance.

These ratings actions been taken:

Norcraft Holdings, L.P:

   * Corporate family rating, assigned at B1,
   * $118 million 9-3/4% senior discount notes, affirmed Caa1.

Norcraft Companies, L.P:

   * $60 million revolving credit facility, affirmed at B1.

   * $150 million guaranteed senior subordinated notes, affirmed
     at B3.

   * Corporate family rating, previously at B1, withdrawn.

The rating outlooks for both Norcraft Holdings, L.P., and for
Norcraft Companies, L.P. remain stable.

The ratings affirmation reflects the company's strong operating
performance for the first half of 2006.  Moody's previous rating
action on Norcraft took place on April 19, 2006 when Moody's
affirmed the ratings. The ratings outlook remains stable.

For the first half of 2006, Norcraft reported a 17.6% increase in
sales and a 16.3% increase in operating income.  EBITDA increased
by 14.8% to $40.2 million.

The ratings and outlook could improve if the company continues
to perform strongly through the remainder of 2006.  On an as
adjusted basis using Moody's standard analytical adjustments, FCF
to total debt was 15.8%.  Although this is unusually strong for a
B1 rated company, the primary factor why the company's outlook is
not currently positive lies in the expectation that declining home
starts and a slowdown in the remodeling market will slow the
company's impressive growth rate.  There is also the possibility
that acquisitions or a dividend will weaken the company's balance
sheet.

The ratings may decline if the company's free cash flow to
total debt declines below 7% or if leverage increases to over 4x.
Moody's notes that earlier this year the company made significant
changes to the covenants governing the company's senior credit
facilities including the relaxation of the acquisition basket
and its leverage covenants thereby granting the company greater
flexibility to take on additional leverage and pay dividends.
A large debt financed acquisition at premium multiples or a
large debt financed dividend are events that would likely pressure
the ratings and outlook.

Headquartered in Eagan, Minnesota, Norcraft Holdings, L.P.
designs, produces, and markets branded kitchen and bathroom
cabinetry in the U.S. Estimated revenues for the year ended
Dec. 31, 2005 were approximately $405 million.


NORTEL NETWORKS: Secures SNTF Contract for National GSM-R Project
-----------------------------------------------------------------
Nortel Networks Corporation has been selected by Societe Nationale
des Transports Ferroviaires, an Algerian Railways operator, for
the first phase of SNTF's national GSM-R project to provide a new
wireless communication system that aims to enhance emergency
procedures, improve operational efficiency, increase safety and
reduce the overall cost of its operations.

The Company will deploy a GSM for Railways network that will make
SNTF the first African railway operator to adopt the new global
GSM-R standard.

The new system will allow train drivers, station controllers and
other railway employees to communicate with each other instantly
and at any time, either individually or as separate groups. In the
first phase of SNTF's GSM-R project awarded to the Company, the
network will be deployed along the El Gourzi - Touggourt line in
Eastern Algeria.

Ali Leulmi, central director of infrastructures, SNTF, said, "The
international adopted GSM-R standard is a key component to
upgrading the Algerian railway communication infrastructure.  It
is part of a much larger railway infrastructure project, including
the construction of new conventional and high speed lines,
upgrades of signalling systems and other railway infrastructure,"

The Company also disclosed that it will provide design and
engineering services for SNTF's GSM-R network from the Nortel
Global Services portfolio.  Its local channel partner, SNEF
Algeria, will supply construction, installation and commissioning
support.

With the new contract win, the Company further disclosed that it
is the first supplier deploying GSM-R networks in the three
continents of Europe, Asia and Africa, including national
deployments in France for RFF, in Great Britain for Network Rail,
and in Germany for Deutsche Bahn.  The Company supplied as well
the high-speed line between Rome and Naples, Italy for SIRTI. The
Company is also deploying a GSM-R network for the world's highest
rail line, the Tibet-Qinghai high-speed line in China.

Headquartered in Ontario, Canada, Nortel Networks Corporation
(NYSE/TSX: NT) -- http://www.nortel.com/-- is a recognized leader
in delivering communications capabilities that enhance the human
experience, ignite and power global commerce, and secure and
protect the world's most critical information.  Serving both
service provider and enterprise customers, Nortel delivers
innovative technology solutions encompassing end-to-end broadband,
Voice over IP, multimedia services and applications, and wireless
broadband designed to help people solve the world's greatest
challenges.  Nortel does business in more than 150 countries.

                           *     *     *

As reported in the Troubled Company Reporter on July 10, 2006,
Dominion Bond Rating Service confirmed the long-term ratings of
Nortel Networks Capital Corporation, Nortel Networks Corporation,
and Nortel Networks Limited at B (low) along with the preferred
share ratings of Nortel Networks Limited at Pfd-5 (low).  All
trends are Stable.

DBRS confirmed B (low) Stb Senior Unsecured Notes; B (low) Stb
Convertible Notes; B (low) Stb Notes & Long-Term Senior Debt;
Pfd-5 (low) Stb Class A, Redeemable Preferred Shares; and Pfd-5
(low) Stb Class A, Non-Cumulative Redeemable Preferred Shares.

As reported in the Troubled Company Reporter on June 20, 2006,
Moody's Investors Service affirmed the B3 corporate family rating
of Nortel; assigned a B3 rating to the proposed $2 billion senior
note issue; downgraded the $200 million 6.875% Senior Notes due
2023 and revised the outlook to stable from negative.

Standard & Poor's also affirmed its 'B-' long-term and 'B-2'
short-term corporate credit ratings on the company, and assigned
its 'B-' senior unsecured debt rating to the company's proposed $2
billion notes.  The outlook is stable.


NORTH GATE: Case Summary & Three Largest Unsecured Creditors
------------------------------------------------------------
Debtor: North Gate Business Park, LLC
        3055 West 2100 South
        Salt Lake City, UT 84119

Bankruptcy Case No.: 06-23131

Chapter 11 Petition Date: August 25, 2006

Court: District of Utah (Salt Lake City)

Debtor's Counsel: Jeremy Eveland, Esq.
                  Law Offices of Jeremy D. Eveland, PLLC
                  3995 South 700 East, Suite 400
                  Salt Lake City, UT 84107
                  Tel: (801) 747-0821
                  Fax: (801) 747-0826

Total Assets: $1,200,200

Total Debts:    $442,728

Debtor's Three Largest Unsecured Creditors:

   Entity                          Nature of Claim   Claim Amount
   ------                          ---------------   ------------
Meridian Engineering, Inc.         Professional            $7,447
9217 South Redwood Road            Services
Suite A
West Jordan, UT 84088

Architecture Belgique              Professional            $2,000
P.O. Box 9                         Services
Midvale, UT 847047

Salt Lake County Treasurer         Taxes                   $1,500
2001 South State Street #N120
P.O. Box 410418
Salt Lake City, UT 84141-0418


NOVELIS: Monahan Sits as Interim CEO as Board Lets Go of Sturgell
-----------------------------------------------------------------
Novelis Inc.'s Board of Directors has decided to replace the
Company's President and Chief Executive Officer, Brian W.
Sturgell.  Effective immediately, William T. Monahan, Chairman of
Novelis' Board of Directors and the retired Chairman and Chief
Executive Officer of Imation Corporation, will serve as Interim
CEO until Mr. Sturgell's successor has been selected and is in
place.  The Board has commenced an external search for a successor
to Mr. Sturgell.

In light of Mr. Monahan's interim CEO responsibilities, the Board
has formed a temporary Office of the Chairman that comprises Mr.
Monahan and directors Clarence J. Chandran and Edward A.
Blechschmidt.  Mr. Sturgell will be available to advise the Office
of the Chairman during the transition period.  The executive team
will now report directly to Mr. Monahan.

Mr. Monahan said, "The past eighteen months have been difficult
for Novelis.  During this period, we have had to address
significant challenges, including the impact of unprecedented
increases in metal prices and an extensive financial review and
restatement process.

"We deeply appreciate Brian's leadership in the creation of
Novelis as an independent company from a complex corporate spin-
off.  During his tenure, the Company began its transformation into
a public-markets, shareholder-focused enterprise, while
restructuring its financial organization and resolving complex
reporting issues.

"Novelis has excellent value-creating assets and opportunities,
and we have a strong management team in place.  We will accelerate
the building of our global market position and leading product
technologies to generate cash flow and deliver shareholder value."

Based in Atlanta, Georgia, Novelis Inc. (NYSE: NVL) (TSX: NVL)
-- http://www.novelis.com/-- provides customers with a regional
supply of technologically sophisticated rolled aluminum products
throughout Asia, Europe, North America, and South America.  The
company operates in 11 countries and has approximately 13,000
employees.  Through its advanced production capabilities, the
company supplies aluminum sheet and foil to the automotive and
transportation, beverage and food packaging, construction and
industrial, and printing markets.

                        *    *    *

As reported in the Troubled Company Reporter on May 18, 2006,
Moody's Investors Service placed the ratings of Novelis Inc.,
and its subsidiary, Novelis Corp., under review for possible
downgrade.  Novelis Corporation's Ba2 senior secured bank credit
facility rating was placed on review for possible downgrade.

Novelis Inc.'s Ba3 corporate family rating; Ba2 senior secured
bank credit facility and B1 senior unsecured regular
bond/debenture were placed on review for possible downgrade.


NOVELIS INC: Earns $90 Million for the Year Ended Dec. 31, 2005
---------------------------------------------------------------
Novelis Inc., filed, on Form 10-K, its financial statements for
the fiscal year ended Dec. 31, 2005, with the Securities and
Exchange Commission on Aug. 25, 2006.

The Company's net sales increased to $8.36 billion in 2005
compared to $7.76 billion in 2004, an increase of $608 million, or
8%.  The improvement was primarily the result of an increase in
LME metal pricing, which was 10% higher on average during 2005
compared to 2004.

The Company reported net income of $90 million, for the year ended
Dec. 31, 2005, compared net income of $55 million, in 2004.

Interest expense and amortization of debt issuance costs - net was
$194 million in 2005, significantly higher than the $48 million
allocated to the Company by Alcan for 2004.  The increase resulted
from the debt the Company undertook to finance the spin-off.  In
addition, the Company incurred $11 million in debt issuance costs
on undrawn credit facilities that were used to back up the Alcan
notes it received in January 2005 as part of the spin-off, and
included such costs in interest expense and amortization of debt
issuance costs - net.  In previous quarters during 2005, the costs
were included in "Other income - net".

The Company disclosed that it has material weaknesses in its
internal control over financial reporting and that its disclosure
controls and procedures were not effective.  The Company is
working to remediate the weaknesses to enable it to timely and
accurately prepare and file its reports with the United States
Securities and Exchange Commission.

The Company also disclosed, it restated its consolidated and
combined financial statements for the quarters ended March 31 and
June 30, 2005.  Other filings were delayed or remain outstanding,
including its quarterly reports on Form 10-Q for the quarters
ended Mar. 31, 2006 and June 30, 2006.  The expenses incurred in
connection with the restatement and review process were
approximately $30 million through June 30, 2006. These expenses
include professional fees, audit fees, credit waiver and consent
fees, and special interest on its $1.4 billion 7.25% senior
unsecured debt securities due 2015, which it will continue to
incur until, among other things, the Company is current with its
SEC filings and complete its registered exchange offer for its
Senior Notes.

A full text-copy of Novelis Inc's financial report may be viewed
at no charge at http://ResearchArchives.com/t/s?108f

Based in Atlanta, Georgia, Novelis, Inc., (NYSE: NVL) (TSX: NVL)
-- http://www.novelis.com/-- provides customers with a regional
supply of technologically sophisticated rolled aluminum products
throughout Asia, Europe, North America, and South America.  The
company operates in 11 countries and has approximately 13,000
employees.  Through its advanced production capabilities, the
company supplies aluminum sheet and foil to the automotive and
transportation, beverage and food packaging, construction and
industrial, and printing markets.

                        *    *    *

As reported in the Troubled Company Reporter on May 18, 2006,
Moody's Investors Service placed the ratings of Novelis Inc., and
its subsidiary, Novelis Corp., under review for possible
downgrade.  Novelis Corporation's Ba2 senior secured bank credit
facility rating was placed on review for possible downgrade.

Novelis Inc.'s Ba3 corporate family rating; Ba2 senior secured
bank credit facility and B1 senior unsecured regular
bond/debenture were placed on review for possible downgrade.


NOVELIS INC: Declares $0.01 Dividend on Outstanding Common Stock
----------------------------------------------------------------
The Board of Directors of Novelis Inc., declared a quarterly
dividend of $0.01 per share on its outstanding common stock,
payable on Sept. 25, 2006, to shareholders of record at the close
of business on Sept. 7, 2006.

There are approximately 74 million common shares of the Company
stock outstanding.

The Company disclosed that its Board reduced the dividend for the
quarter in consideration of corporate cost increases and higher
interest rates, as well as the limitations under its credit
agreement related to dividend payments.

The Company also disclosed that it will mail copies of its Annual
Report on Form 10-K to each shareholder along with its proxy
materials.  The Company's annual report is currently available for
download on its website.  Shareholders who require printed copies
in advance of the mailing of proxy materials may contact the
Investor Relations department by telephone at 404-814-4212.

Based in Atlanta, Georgia, Novelis, Inc., (NYSE: NVL) (TSX: NVL)
-- http://www.novelis.com/-- provides customers with a regional
supply of technologically sophisticated rolled aluminum products
throughout Asia, Europe, North America, and South America.  The
company operates in 11 countries and has approximately 13,000
employees.  Through its advanced production capabilities, the
company supplies aluminum sheet and foil to the automotive and
transportation, beverage and food packaging, construction and
industrial, and printing markets.

                        *    *    *

As reported in the Troubled Company Reporter on May 18, 2006,
Moody's Investors Service placed the ratings of Novelis Inc., and
its subsidiary, Novelis Corp., under review for possible
downgrade.  Novelis Corporation's Ba2 senior secured bank credit
facility rating was placed on review for possible downgrade.

Novelis Inc.'s Ba3 corporate family rating; Ba2 senior secured
bank credit facility and B1 senior unsecured regular
bond/debenture were placed on review for possible downgrade.


PELTS & SKINS: Hires Douglas Draper as Bankruptcy Counsel
---------------------------------------------------------
The U.S. Bankruptcy Court for the Eastern District of Louisiana
Allowed Pelts & Skins, LLC, to employ Douglas S. Draper, Esq., and
the law firm of Heller, Draper, Hayden, Patrick & Horn, L.L.C., as
its bankruptcy counsel, nunc pro tunc to Aug. 1, 2006.

Mr. Draper will:

     a) advise the Debtor with respect to its rights, powers and
        duties as debtors and debtors-in-possession in the
        continued operation and management of the business and
        properties;

     b) prepare and pursue confirmation of plan of reorganization
        and approval of a disclosure statements;

     c) prepare on behalf of the Debtors all necessary
        applications, motions, answers, proposed orders, other
        pleadings, notices, schedules and other documents, and
        reviewing all financial and other reports to be file;

     d) advise the Debtors concerning and preparing responses to
        applications, motions, pleadings, notices and other
        documents which may be filed by other parties and served
        herein;

     e) appear in Court to protect the interest of the Debtors
        before the Court;

     f) represent the Debtors in connection with obtaining
        post petition financing;

     g) advise the Debtors concerning and assisting in the
        negotiation and documentation of financing agreements,
        cash collateral orders and related transactions;

     h) investigate into the nature and validity of liens
        asserted against the property of the Debtors, and advise
        the Debtors concerning the enforceability of said liens;

     i) investigate and advise the Debtors concerning and taking
        such action as may be necessary to collect income and
        assets in accordance with applicable law, and recover
        property for the benefit of the Debtors' estates;

     j) advise and assist the Debtors in connection with any
        potential property dispositions;

     k) advise the Debtors concerning executory contracts and
        unexpired leases assumptions, assignments and rejections
        and lease restructuring, and recharacterizations;

     l) assist the Debtors in reviewing, estimating and resolving
        claims asserted against the Debtors' estates;

     m) commence and conduct litigation necessary and appropriate
        to assert rights held by the Debtors, protect assets of
        the Debtors' chapter 11 estates or otherwise further the
        goal of completing the Debtors' successful
        reorganization; and

     n) perform all other legal services for the Debtors which
        may be necessary and proper in this proceeding.

The Debtor tells the Court that the Firm has received a $50,000
retainer.

Mr. Draper, a member of the Firm, discloses that the Firm's
professionals bill:

     Professionals                  Hourly Rate
     -------------                  -----------
     attorneys                        $350-225
     associates                       $260-225
     paralegals                       $ 95-45

     Attorneys                      Designation    Hourly Rate
     ---------                      -----------    -----------
     William H. Patrick, III, Esq.   attorney         $350
     Douglas S. Draper, Esq.         attorney         $350
     Tristan Manthey, Esq.           attorney         $295
     other members                                    $295

Mr. Draper assures the Court that the Firm does not hold any
interest adverse to the Debtors, its creditors or the estate and
is a "disinterested person" as that term is defined in Section
101(14) of the Bankruptcy Code.

The Attorneys can be reached at:

     Douglas S. Draper, Esq.
     William H. Patrick, III, Esq.
     Tristan Manthey, Esq.
     Greta M. Brouphy, Esq.
     Heller, Draper, Hayden, Patrick & Horn, L.L.C.
     650 Poydoras Street, Suite 2500
     New Orleans, LA 70130-6104
     Tel: (504) 568-1888
     Fax: (504) 522-0949

Headquartered in Covington, Louisiana, Pelts & Skins, L.L.C.,
produces, processes, and sells alligator skins to tanneries.
The Company filed its chapter 11 petition on Aug. 1, 2006
(Bankr. E.D. La. Case No. 06-10742).  Douglas S. Draper, Esq.,
at Heller, Draper, Hayden, Patrick & Horn, L.L.C., represents
the Debtor.  Pelts & Skins estimated its assets and debts at
$10 million to $50 million when it filed for protection from
its creditors.


POPULAR CLUB: Court Okays Teich Groh as Bankruptcy Counsel
----------------------------------------------------------
The U.S. Bankruptcy Court for the District of New Jersey
authorized Popular Club Plan, Inc., to employ Teich Groh as its
Bankruptcy Counsel.

Teich Groh is expected to:

     a) enforce the restraining provisions of Section 362 of the
        U.S. Bankruptcy Code;

     b) represent the Debtor in connection with any and all
        motions including, but not limited to, motions reject
        executory contracts;

     c) examine liens against the assets of the Debtor;

     d) negotiate with secured creditors to obtain advances;

     e) advise the Debtor on all matters requiring legal
        assistance; and

     f) negotiate with creditors in working out an arrangement and
        take the necessary legal steps in order to confirm the
        arrangement, including negotiations for financing.

The Debtor tells the Court that its owes the Firm $13,317.  The
Firm has agreed to waive any claims for payment.

Teich Groh's professionals bill:

     Attorneys                    Hourly Rate
     ---------                    -----------
     Barry W. Frost, Esq.            $350
     Carol L. Knowlon, Esq.          $300
     Michael A. Zindler, Esq.        $410
     Allen I. Gorski, Esq.           $300
     Brian W. Hofmeister, Esq.       $300

The Firm assures the Court that it does not hold any interest
adverse to the Debtor, its creditors or estate and it is a
"disinterested person" as that term is defined in Section 101(14)
of the Bankruptcy Code.

Mr. Frost can be reached at:

     Barry W. Frost, Esq.
     Teich Groh
     691 State Highway 33
     Trenton, New Jersey 08619
     Tel: (609) 890-1500

Headquartered in Garfield, New Jersey, Popular Club Plan, Inc., is
a catalog retailer.  The Company filed for chapter 11 protection
on Aug. 4, 2006 (Bankr. D. N.J. Case No. 06-17231).  Barry W.
Frost, Esq., at Teich Groh, represents the Debtor.  When the
Debtor filed for protection from its creditors, it listed total
assets of $10,740,500 and total debts of $5,496,884.


PROCARE AUTOMOTIVE: Inks Settlement with Panel & Sec. Creditors
---------------------------------------------------------------
The Official Committee of Unsecured Creditors appointed in ProCare
Automotive Service Solutions LLC's chapter 11 case asks the U.S.
Bankruptcy Court for the Northern District of Ohio to approve
settlement among the Committee, the Debtor, and certain of the
Debtor's secured and unsecured creditors, and authorizing the
Debtor to pay certain secured claims.

                      Secured Indebtedness

When the Debtor filed for bankruptcy, it was a party to a certain
Credit and Security Agreement dated as of Aug. 24, 2005, with:

   * Key Mezzanine Capital Fund I, L.P.;
   * Regis Capital Partners, L.P.;
   * PASS Holdings LLC; and
   * Sullivan Partners.

The obligations under the Prepetition Credit Agreement were
secured by the Debtor's accounts receivable, inventory, and
certain other assets, subject to investigation and challenge by
the Committee into the validity of the claims and security
interests.  The Debtor's obligations under the Prepetition Credit
Agreement were approximately $8.3 million as of the Debtor's
bankruptcy filing.

                     Unsecured Indebtedness

In addition, as of the Debtor's bankruptcy petition date, the
Debtor also had unsecured obligations to certain of the
Prepetition Lenders, including obligations under a Junior
Subordinated Promissory Note (face value $1 million) dated
September 30, 1999, to Global Asset Investment LLC and a Junior
Subordinated Promissory Note (face value $2 million) dated
September 30, 1999, to Key Mezzanine Capital, L.L.C.

Furthermore, the Debtor had an unsecured obligation to Sullivan
Management LLC pursuant to a Junior Subordinated Promissory Note
(face value $410,000) dated August 20, 2004.  SML filed a proof of
claim related to this note for $491,575.

                  Asset Sale and DIP Financing

The Debtor entered chapter 11 with the intent to sell
substantially all of its assets.  Towards that end, the Debtor
entered into an agreement to sell most of its assets to Monro
Muffler Brake, Inc., Monro also agreed to provide the Debtor with
postpetition financing so that it could complete the sale of its
assets while continuing operations.

Pursuant to a formula set forth in the Court's Final Financing
Order, $3.333 million of the proceeds of the Monro Sale was paid
to the Prepetition Lenders on an interim basis, subject to
disgorgement if there was a successful Committee Challenge.  In
addition, $2.0 million of the proceeds of the Monro Sale was
placed in escrow subject to expiration of the Committee's
investigation period, agreement between the Committee and the
Prepetition Lenders, or further Court order.  The alleged liens
and security interests of the Prepetition Lenders also attached to
certain other proceeds of the sale, but no specific provisions
were made for payment of those other proceeds to the Prepetition
Lenders.

During the investigation period provided for in the Final
Financing Order, the Committee conducted an extensive
investigation into the liens and claims of the Prepetition
Lenders, the claims of SML, and the conduct of and decisions by
the Debtor's prepetition management (certain of whom had been
appointed by the Prepetition Lenders).  As a result of this
investigation, the Committee believes it has grounds for a
Committee Challenge with regard to certain of the claims and liens
of the Prepetition Lenders and objections to the claims of SML.
The Prepetition Lenders and SML believe their claims are valid and
that they have strong defenses to the Committee's objections.

After substantial negotiations, and after considering the costs
and risks of litigation, the Committee, the Prepetition Lenders,
SML, and the Debtor have agreed on a settlement of the claims by
and against the Prepetition Lenders and SML, as well as the
structure of a liquidating plan of reorganization to be proposed
by the Debtor.

The terms of the proposed settlement are:

Secured Claims of                   The Prepetition Lenders will
Prepetition Secured Lenders         have a collective allowed
                                    secured claim of $5.575 mil.
                                    The Allowed Secured Claim will
                                    be paid to the Prepetition
                                    Lenders as follows:

                                    (a) the $3.333 million
                                        Interim Payment already in
                                        possession of the
                                        Prepetition Lenders
                                        pursuant to the Final
                                        Financing Order will no
                                        longer be subject to
                                        disgorgement;

                                    (b) the $2.0 million
                                        Prepetition Lender
                                        Escrowed Funds will be
                                        released to the
                                        Prepetition Lenders; and

                                    (c) the Debtor will make an
                                        additional payment from
                                        the proceeds of the Monro
                                        Sale to the Prepetition
                                        Lenders of $242,000.

Unsecured Claims of                 The Prepetition Lenders will
Prepetition Secured Lenders         waive and release all
                                    unsecured claims of any type,
                                    including any general
                                    unsecured claims and any
                                    deficiency claims.

Sullivan Management                 SML will receive an allowed
Claims                              general unsecured claim of
                                    $200,000

Claims Against Directors            The Debtor and Committee will
and Officers                        waive and release all claims
                                    and causes of action against
                                    the Debtor's current and
                                    former directors and officers.

Plan of Liquidation                 The Debtor will propose, the
                                    Committee will support
                                    confirmation of, and the
                                    Prepetition Lenders and SML
                                    will not oppose a liquidating
                                    plan of reorganization
                                    containing these terms:

                                    (a) no further payment will be
                                        made to the Prepetition
                                        Lenders, who will already
                                        have been paid in full
                                        pursuant to the Agreed
                                        Order;

                                    (b) the liquidation of the
                                        Debtor's remaining assets
                                        and distribution of the
                                        proceeds to creditors in
                                        accordance with the
                                        priority scheme of the
                                        Bankruptcy Code;

                                    (c) creation of a liquidating
                                        trust for the benefit of
                                        unsecured creditors and
                                        any remaining unpaid
                                        administrative and
                                        priority creditors, with a
                                        trustee to be appointed by
                                        the Committee;

                                    (d) assignment to the
                                        trust of the Debtor's
                                        remaining assets,
                                        including chapter 5 causes
                                        of action, or, at the
                                        Committee's option, the
                                        waiver and release of all
                                        chapter 5 causes of
                                        action;

                                    (e) a claims administration
                                        process to be completed by
                                        the liquidating trustee;

                                    (f) general release of the
                                        Debtor's current and
                                        former directors and
                                        officers; and

                                    (g) other appropriate terms
                                        consistent with the above
                                        to be agreed between the
                                        Debtor and the Committee.

Based in Independence, Ohio, ProCare Automotive Service Solutions,
LLC -- http://www.procareauto.com/-- offers maintenance and
repair services to all makes and models of foreign, domestic,
light truck, and commercial-fleet vehicles.  ProCare operates 82
retail locations in eight metropolitan areas throughout three
states.  The Debtor filed for chapter 11 protection on March 5,
2006 (Bankr. N.D. Ohio Case No. 06-10605).  Alan R. Lepene, Esq.,
Jeremy M. Campana, Esq., and Sean A. Gordon, Esq., at Thompson
Hine LLP, represent the Debtor.  Scott N. Opincar, Esq., at
McDonald Hopkins Co., LPA, represents the Official Committee of
Unsecured Creditors.  Joseph M. Geraghty at Conway MacKenzie &
Dunleavy gives financial advisory services to the Committee.  When
the Debtor filed for protection from its creditors, it estimated
assets and debts between $10 million and $50 million.


PROGRESSIVE GAMING: S&P Cuts Corporate Credit Rating to CCC
-----------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on
Las Vegas-based gaming-related products developer Progressive
Gaming International Corp., including its corporate credit rating
to 'CCC' from 'CCC+'.  The outlook is negative.

The downgrade follows operating results for the second quarter
ended June 30, 2006, that continue to be very weak.  Revenues were
down 21% to $15 million due to lower slots and table games
revenues, offset somewhat by higher systems-related revenues.
The EBITDA decline was more significant primarily due to charges
of approximately $4.5 million related to severance, charges for
inventory reserves and settlement of legal matters.

Losses (before interest, taxes, depreciation, and amortization)
for this quarter were $6.6 million (excluding stock compensation
expense and other non-recurring charges) versus EBITDA of $2.5
million in the same prior-year period.  This marks the second
consecutive quarter where the company generated losses before
interest, taxes, depreciation and amortization.

"We do not expect significant revenue growth in the company's
slots and tables given its small position in the gaming equipment
sector and the high degree of competition.  PGIC, however, has
benefited from revenue growth in its systems business from demand
for its CasinoLink System and from higher software maintenance and
system software revenues," said Standard & Poor's credit analyst
Peggy Hwan Hebard.


RADNOR HOLDINGS: Ch. 11 Filing Cues Moody's to Withdraw Ratings
---------------------------------------------------------------
Moody's Investors Service withdrew Caa1 corporate family and Caa3
$135 million 11% senior unsecured note due 2010 ratings on Radnor
Holdings Corporation following the company's announcement that on
August 21, 2006 it filed for protection under Chapter 11 of the US
Bankruptcy Code.

Headquartered in Radnor, Pennsylvania, Radnor Holdings Corporation
is a global manufacturer and distributor of specialty chemical,
foam, and plastic packaging products for the foodservice,
insulation, and packaging industries.  For the fiscal year ended
December 30, 2005 revenue was approximately $465 million.


ROSEN AUTO: 8th Cir. BAP Says Golfing Buddy Not an Insider
----------------------------------------------------------
Thomas Stalnaker, the Chapter 7 Trustee overseeing the liquidation
of Rosen Auto Leasing, Inc., sued to reverse and unwind
prepetition transactions among the Debtor, its principal and an
individual who was the principal's former friend and golfing
partner.  Arguing that the friend and golfing partner was an
"insider" under 11 U.S.C. Sec. 101(15), the Trustee wanted to use
the longer reachback period available under Chapter 5 of the
Bankruptcy Code.

The Honorable Timothy J. Mahoney, Chief Judge of the U.S.
Bankruptcy Court for the District of Nebraska ruled against the
Trustee, 334 B.R. 257, and the Trustee appealed to the The United
States Bankruptcy Appellate Panel for the Eighth Circuit.  The
BAP, in a decision published at 2006 WL 2136007, says Judge
Mahoney was correct.

Rosen Auto Leasing, Inc., and Jerome A. Rosen were in the business
of selling and leasing used cars.  The corporation filed for
chapter 11 protection (Bankr. D. Neb. Case No. 02-81781) and
operated under chapter 11 for a number of months.  Mr. Rosen filed
a personal bankruptcy case (Bankr. D. Neb. Case No. 02-82963)
after the corporate restructuring failed.


ROUGE INDUSTRIES: Court Approves Shiloh Settlement Stipulation
--------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware approved a
stipulation among:

   * Severstal North America, Inc.,
   * Rouge Industries, Inc.,
   * Rouge Steel Company,
   * Shiloh Industries, Inc.,
   * Shiloh Corporation,
   * Liverpool Coil Processing, Incorporated,
   * Medina Blanking, Inc.
   * Sectional Stamping, Inc.
   * Greenfield Die & Manufacturing, Inc.,
   * Shiloh Automotive, Inc., and
   * The Sectional Die Company,

resolving the Shiloh Litigation, the Stay Motion, the Shiloh
Adversary, the Shiloh Preference Action, and the JDA Motion.

                      The Shiloh Litigation

Prior to Oct. 23, 2003, the Petition Date, Rouge conducted
business, from time to time, with one or more of the Shiloh
entities.  Certain of the Shiloh entities provided various
services and sold various goods to Rouge for use in their business
or for resale by Rouge to others.  As a result of these
transactions, certain of the Debtors owed the Shiloh entities
various sums of money.  Likewise, Rouge sold steel to certain of
the Shiloh entities for use in their business or for resale to
others.  As a result of these transactions, certain of the Shiloh
entities also became indebted to certain of the Debtors.

Through a prepetition litigation, the parties each sought to
recover the various amounts they claimed were owed to them and
sought declaratory and other relief relating to the Shiloh
Receivables and the Shiloh Payables.

On Dec. 30, 2003, the Court approved the Debtors' motion to sell
all their assets to Severstal.  The Shiloh Receivables the Debtors
sought to recover were among the assets transferred to Severstal
under the sale stipulation.

In response to the sale order, certain of the Shiloh entities
filed a motion for relief from the automatic stay to liquidate
claims and to effect a setoff of the money owed to the Debtors
against money owed by the Debtors.  After preliminary proceedings
on the motion, the Shiloh entities failed to further prosecute the
motion during the pendency of the Shiloh Adversary.

                        Severstal Action

In February 2005, Severstal filed an action against the Shiloh
entities seeking to recover the Shiloh Receivables from Shiloh and
related relief.  The Severstal action remains pending.  The
Debtors are not parties to the Severstal action.

                      The Shiloh Adversary

On March 2, 2005, the Shiloh entities commenced an adversary
proceeding against Rouge, seeking various forms of declaratory
relief including:

   a) a declaration that the Shiloh entities validly and properly
      completed setoffs against certain of the Shiloh Receivables,

   b) a declaration that the Shiloh Receivables were not sold or
      transferred by the Debtors to Severstal, and

   c) a declaration that the Shiloh entities' contract defenses,
      including any defense of setoff survived the closing of the
      sale and remained as valid defenses against any claims
      asserted by the Debtors and/or Severstal against the Shiloh
      entities based upon the Shiloh Receivables.

On April 4, 2005, Rouge requested that the Shiloh adversary be
dismissed with prejudice based on:

   a) failure of the Shiloh entities to join Severstal as a party,

   b) failure of the Shiloh entities to adequately plead the
      reasons for the nonjoinder of Severstal and

   c) the Shiloh entities' willful refusal to amend the Complaint
      for Declaratory Judgment to name Severstal as a defendant
      despite the Debtors' repeated requests.

                  The Shiloh Preference Action

On Oct. 21, 2005, the Debtors commenced an adversary proceeding
against the Shiloh entities, which sought:

   a) to avoid certain transfers of the Debtors' property,
      including certain setoffs allegedly effectuated by one or
      more of the Shiloh entities and certain alleged transfers or
      receivables between and among certain of the Shiloh
      entities,

   b) to recover property of the Debtors, and

   c) related relief.

                         The JDA Motion

On May 22, 2006, the Debtors requested the approval and
ratification of the Joint Defense and Common Interests Agreement
and Term Sheet by and among Debtors and Severstal.

                    Terms of the Stipulation

   a) The Shiloh entities will pay Severstal $907,000, in full and
      final resolution of any and all claims between the Shiloh
      entities and Severstal and/or the Debtors with respect to or
      arising with the Shiloh Litigation, the Shiloh Adversary,
      the Shiloh Preference Action and/or the Stay Motion, or
      involving any matter occurring at any time relating to the
      Shiloh Payables and/or the Shiloh Receivables;

   b) Severstal will pay the Debtors $20,000, in full and final
      resolution of any and all claims between the Debtors,
      Severstal and/or the Shiloh entities with respect to or
      arising with the Shiloh Litigation, the Shiloh Adversary,
      the Shiloh Preference Action, the Stay Motion, the Term
      Sheet and/or the JDA Motion;

   c) The Shiloh entities shall be deemed to have withdrawn with
      prejudice any or all claims filed against any of the Debtors
      in the Rouge Bankruptcy Cases, including but not limited to
      the Shiloh Proofs of Claim;

   d) The parties shall take all actions necessary to dismiss with
      prejudice the Shiloh Litigation, the Shiloh Adversary and
      the Shiloh Preference Action;

   e) The Stay Motion shall be deemed withdrawn with prejudice;
      and

   f) The JDA Motion shall be granted in accordance with the terms
      of the Stipulation, and the Term Sheet shall be deemed
      modified to provide

      (i) only for the payment of the Debtor Payment by Severstal,
          and

     (ii) that, upon the payment, any and all obligations of
          Severstal and/or the Debtors under the Term Sheet shall
          be deemed satisfied.

                     About Rouge Industries

Headquartered in Dearborn, Michigan, Rouge Industries, Inc., an
integrated producer of flat-rolled steel, filed for chapter 11
protection on October 23, 2003 (Bankr. D. Del. Case No. 03-13272).
Donna L. Harris, Esq., Robert J. Dehney, Esq., Eric D. Schwartz,
Esq., Gregory W. Werkheiser, Esq., and Alicia B. Davis, Esq., at
Morris, Nichols, Arsht & Tunnell represent the Debtors in their
restructuring efforts.  Kurt F. Gwynne, Esq., Claudia Z. Springer,
Esq., and Paul M. Singer, Esq., at Reed Smith LLP, serve as
counsel to the Official Committee of Unsecured Creditors.  When
the Debtors filed for protection from their creditors, they listed
$558,131,000 in total assets and $558,131,000 in total debts.  On
Dec. 19, 2003, the Court approved the sale of substantially all of
the Debtors' assets to SeverStal N.A. for $285.5 million.  The
Asset Sale closed on Jan. 30, 2005.


SAINT VINCENTS: Gets Court's Nod on New York DEC Settlement Pact
----------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
authorized Saint Vincents Catholic Medical Centers of New York and
its debtor-affiliates to enter into an "Order on Consent" with The
New York State Department of Environmental Conservation.

As reported in the Troubled Company Reporter on Aug. 11, 2006,
SVMC owns a petroleum bulk storage facility, including six active
registered tanks, at St. Vincent's Hospital, Staten Island,
located at 355 Bard Avenue, Staten Island, New York.

The Tanks are subject to regulation pursuant to the Environmental
Conservation Law of the State of New York, the Navigation Law of
the State of New York, and Titles 6 and 17 of the Official
Compilation of the Codes, Rules and Regulations of the State of
New York.

The DEC has jurisdiction over the environmental laws of the state
of New York, and is authorized to regulate the storage and
handling of petroleum in the state.

The DEC alleged that the Debtors committed several violations of
state law arising from the Debtor's operation of the Tanks,
including:

    * a petroleum discharge in the Kill Van Kull, Staten Island,
      detected by the United States Coast Guard in March 2001.
      SVCMC notified the DEC of a petroleum discharge at the
      Staten Island Hospital caused by equipment failure;

    * the site remains contaminated; and

    * one 2,000-gallon underground storage tank, one 1,500-gallon
      UST, and one 4,275-gallon UST at the Facility have not been
      tested as required.

In addition, the DEC alleges that SVCMC violated and continue to
violate:

    (1) ECL Sections 17-0501 and 17-0503;
    (2) NL Sections 173 and 176; and
    (3) 17 NYCRR Section 32.5 and 6 NYCRR Section 613.5 (a).

To resolve the allegations without the risk or expense of
litigation, the Debtors entered into the "Order on Consent"
with the DEC.

                       The Order on Consent

For its violations, the Debtors have agreed to pay a civil
penalty for $37,500.  The Debtors have agreed to grant New York:

    -- an allowed administrative expense claim for $25,000, which
       will be payable on the effective date of the Debtors' Plan
       of Reorganization.  The claim will not be subordinated for
       any reason; and

    -- an additional allowed administrative expense claim for
       $12,500, upon service on the Debtors of a Notice of Non-
       Compliance with the terms of the Order on Consent, to be
       paid on the Plan Effective Date.

In addition to payment of the civil penalty, the Order on
Consent requires the Debtors to achieve compliance with
applicable environmental laws by carrying out corrective
measures.

A full-text copy of the parties' Order on Consent is available
for free at http://researcharchives.com/t/s?f55

Headquartered in New York, New York, Saint Vincents Catholic
Medical Centers of New York -- http://www.svcmc.org/-- the
largest Catholic healthcare providers in New York State, operate
hospitals, health centers, nursing homes and a home health agency.
The hospital group consists of seven hospitals located throughout
Brooklyn, Queens, Manhattan, and Staten Island, along with four
nursing homes and a home health care agency.  The Company and six
of its affiliates filed for chapter 11 protection on July 5, 2005
(Bankr. S.D.N.Y. Case No. 05-14945 through 05-14951).  Gary
Ravert, Esq., and Stephen B. Selbst, Esq., at McDermott Will &
Emery, LLP, filed the Debtors' chapter 11 cases.  On Sept. 12,
2005, John J. Rapisardi, Esq., at Weil, Gotshal & Manges LLP took
over representing the Debtors in their restructuring efforts.
Martin G. Bunin, Esq., at Thelen Reid & Priest LLP, represents the
Official Committee of Unsecured Creditors.

As of Apr. 30, 2005, the Debtors listed $972 million in total
assets and $1 billion in total debts.  (Saint Vincent Bankruptcy
News, Issue No. 32 Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


SAINT VINCENTS: Aptium Agrees to Limit Prepetition Claim at $25MM
-----------------------------------------------------------------
Aptium W. New York, Inc., and Saint Vincents Catholic Medical
Centers are parties to a consulting and administrative services
agreement and an integrated sub-lease.

To secure the payment of fees due to Aptium under the Services
Agreement, SVCMC granted to Aptium a security interest on

    a) all Program Revenue;

    b) accounts receivable, contract rights, rights to receive
       payment, claims, entitlements and other rights which are a
       part of, which arise out of, or which result from the
       Program Revenue; and

    c) any related proceeds.

To evidence its liens and security interests in the Aptium
Prepetition Collateral, Aptium filed a UCC-1 Financing Statement
with the New York Department of State on June 12, 2003.

When the Debtors filed for bankruptcy, Aptium's Prepetition Liens
extended to and covered the Aptium Prepetition Collateral.  Based
on the parties' review of the relevant patient and billing
records, as of the Petition Date, there existed receivables for
services rendered prior to that date, which constitute Aptium's:

    -- collateral of approximately $55,000,000, at gross billed
       charges; and

    -- estimated receivables, net of discounts negotiated by
       various providers, of approximately $25,000,000.

The actual value of Aptium's prepetition claim, as of the Petition
Date, will depend on the extent to which the Net Aptium
Receivables are actually collected postpetition, which process is
likely to take substantial time.

Pursuant to a Stipulation and Order between the Debtors and Aptium
signed by the Bankruptcy Court on September 8, 2005, SVCMC was
authorized to use Aptium's cash collateral, and SVCMC granted
adequate protection to Aptium including a replacement security
interest in, and lien on, all of the postpetition Aptium cash
collateral.  Subsequently, the Debtors and Aptium entered into
successive stipulations providing for the Debtors' continued use
of cash collateral.  The Debtors continue to operate under the
collateral.

The Debtors and Aptium are in negotiations concerning an amendment
to the Services Agreement, and changes in the interpretation and
implementation.

The parties want to stipulate to and estimate the value of
Aptium's prepetition secured claim, and to provide a mechanism for
payment of a portion of the secured claim.

Accordingly, the Debtors and Aptium have agreed that:

    (a) Aptium's Prepetition Liens in the Aptium Prepetition
        Collateral are valid and perfected as of the Petition
        Date, and constitute a secured, first-priority lien on the
        Aptium Prepetition Collateral, the allowed amount of which
        lien and claim will not exceed $25,000,000.

    (b) Aptium's claim in the Debtors' Chapter 11 cases as of
        the Petition Date for consulting, and its administrative
        fees for services rendered prepetition will not exceed
        $25,000,000.  Aptium's recourse is limited to postpetition
        collections on the Net Aptium Receivables.

    (c) As of March 31, 2006, approximately $11,200,000 has been
        collected by the Debtors, postpetition, on account of the
        Net Aptium Receivables, of which $1,950,000 has previously
        been paid over to Aptium to reduce Aptium's remaining
        prepetition secured claim, which will not exceed
        $23,050,000.  The claim is now secured by a duly perfected
        first priority Replacement Lien granted to Aptium under
        the Cash Collateral Stipulation.

    (d) The Debtors will continue to remit, semi-monthly, the
        cash proceeds of the Aptium Postpetition Collateral to
        Aptium.  Aptium's administrative claim, for all payments
        made and received from and after the Petition Date through
        March 31, 2006, will be allowable to the extent that the
        amounts billed by Aptium and payments made by the Debtors,
        were properly billed and made in accordance with the
        Agreement and subject to the Debtors' rights to audit.

    (e) Pending the conclusion of the parties' negotiation,
        any further negotiations, discussion or resolution
        regarding Aptium's administrative claim against the estate
        for postpetition services rendered on or after April 1,
        2006, beyond the payments made or contemplated in respect
        of postpetition services, are deferred.  Aptium's
        administrative claim for services rendered postpetition,
        both before and after March 31, 2006, cannot exceed, and
        Aptium's recourse is limited to, collections received by
        the Debtors from postpetition Program Revenue.

Headquartered in New York, New York, Saint Vincents Catholic
Medical Centers of New York -- http://www.svcmc.org/-- the
largest Catholic healthcare providers in New York State, operate
hospitals, health centers, nursing homes and a home health agency.
The hospital group consists of seven hospitals located throughout
Brooklyn, Queens, Manhattan, and Staten Island, along with four
nursing homes and a home health care agency.  The Company and six
of its affiliates filed for chapter 11 protection on July 5, 2005
(Bankr. S.D.N.Y. Case No. 05-14945 through 05-14951).  Gary
Ravert, Esq., and Stephen B. Selbst, Esq., at McDermott Will &
Emery, LLP, filed the Debtors' chapter 11 cases.  On Sept. 12,
2005, John J. Rapisardi, Esq., at Weil, Gotshal & Manges LLP took
over representing the Debtors in their restructuring efforts.
Martin G. Bunin, Esq., at Thelen Reid & Priest LLP, represents the
Official Committee of Unsecured Creditors.

As of Apr. 30, 2005, the Debtors listed $972 million in total
assets and $1 billion in total debts.  (Saint Vincent Bankruptcy
News, Issue No. 32 Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


SAINT VINCENTS: 22 Tort Claimants Call for Lifting of Stay
----------------------------------------------------------
Pursuant to Section 362(d) of the Bankruptcy Code and Rules 1017
and 4001(a) of the Federal Rules of Bankruptcy Procedure, 22 Tort
Claimants ask the U.S. Bankruptcy Court for the Southern District
of New York to lift the automatic stay and authorize them to:

    (i) proceed to obtain judgments in their pending state court
        actions against Saint Vincents Catholic Medical Centers of
        New York and its debtor-affiliates;

   (ii) commence and prosecute any contemplated state court
        actions; and

  (iii) seek payment of any settlement or judgment from any
        applicable insurance policy.

Prior to the Petition Date, the Tort Claimants either:

    * commenced actions in the Supreme Court for the State of New
      York against the Debtors seeking damages related to, among
      other things, alleged medical malpractice; or

    * incurred injuries which are alleged to give rise to
      liability on the part of the Debtors and others under
      theories of medical malpractice.

A full-text copy of a schedule of the Tort Claimants' Pending and
Contemplated Actions is available for free at:

    http://bankrupt.com/misc/SVCMC_TortClaimantsActions.pdf

Fred Stevens, Esq., at Fox Rothschild LLP, in New York, relates
that there is an insurance policy covering nine of the Claims --
the Type A Claims.  The Debtors allege that they have no
insurance policy relating to four of the Claims -- the Type B
Claims.

Mr. Stevens informs the Court that the State Court Actions were
moving towards conclusion when the Debtors filed for bankruptcy.

Mr. Stevens asserts that the stay should be lifted because:

    -- it would allow the Claims to be liquidated in the most
       convenient forum, and would result in the complete
       resolution of the issues between the Debtors and Tort
       Claimants;

    -- liquidation of the Claims in the State Courts would not
       interfere with the Debtor's bankruptcy cases;

    -- the continuation the State Court Actions will not result in
       the accrual of any administrative claims against the
       Debtors' estates with respect to Type A Claims as they are
       being defended by a third-party insurance carrier, rather
       than by the Debtors;

    -- it would be far less expensive for the Debtors to liquidate
       the Type B Claims in the State Courts than it would be in
       the Bankruptcy Court or the District Court;

    -- other creditors will benefit from the liquidation in the
       State Courts because if the Type A Claims were liquidated
       or estimated within the Debtors bankruptcy cases,
       significant administrative claims would accrue against the
       estates for fees and expenses incurred in connection with
       liquidating the Claims; and

    -- it is in the best interests of judicial economy for the
       litigation to remain with the State Courts.

Mr. Stevens notes that the Court granted stay relief to claimants
with claims identical in nature to the Type A Claims.

Headquartered in New York, New York, Saint Vincents Catholic
Medical Centers of New York -- http://www.svcmc.org/-- the
largest Catholic healthcare providers in New York State, operate
hospitals, health centers, nursing homes and a home health agency.
The hospital group consists of seven hospitals located throughout
Brooklyn, Queens, Manhattan, and Staten Island, along with four
nursing homes and a home health care agency.  The Company and six
of its affiliates filed for chapter 11 protection on July 5, 2005
(Bankr. S.D.N.Y. Case No. 05-14945 through 05-14951).  Gary
Ravert, Esq., and Stephen B. Selbst, Esq., at McDermott Will &
Emery, LLP, filed the Debtors' chapter 11 cases.  On Sept. 12,
2005, John J. Rapisardi, Esq., at Weil, Gotshal & Manges LLP took
over representing the Debtors in their restructuring efforts.
Martin G. Bunin, Esq., at Thelen Reid & Priest LLP, represents the
Official Committee of Unsecured Creditors.

As of Apr. 30, 2005, the Debtors listed $972 million in total
assets and $1 billion in total debts.  (Saint Vincent Bankruptcy
News, Issue No. 32 Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


SALON MEDIA: 2007 First Fiscal Quarter Net Loss Rises to $525,000
-----------------------------------------------------------------
Salon Media Group, Inc., filed its first fiscal quarter financial
statements for the three months ended June 30, 2006, with the
Securities and Exchange Commission on Aug. 11, 2006.

Salon Media reported a net loss of $525,000 for its first fiscal
quarter ended June 30, 2006, compared with a net loss of $116,000
for the same period in 2005.

Total revenues for the quarter ended June 30, 2006, were
$1,545,000 compared with $1,630,000 a year ago.  While advertising
revenues were $900,000 for both periods, Salon Premium revenues
declined 21% to $400,000 when compared with $500,000 a year ago
from a drop in memberships.

On a non-GAAP pro forma basis, which excludes non-cash and
non-recurring items, Salon recorded a $400,000 net loss for the
current quarter and a near-breakeven $3,000 net loss in the prior
year quarter.

"We had a disappointing quarter, with flat advertising revenues
and a continued decline in our Premium membership," Elizabeth
Hambrecht, Salon's chief executive officer and president stated.
"However, we are very pleased that Chris Neimeth joined Salon as
Publisher during the quarter, and he is taking steps to rebuild
our ad sales team."

Ms. Hambrecht continued, "Also, our recent efforts to grow traffic
have begun to bear fruit, with our average monthly unique visitors
growing 34% in the June 2006 quarter as compared to a year ago."

At June 30, 2006, the Company's balance sheet showed $5,460,000 in
total assets, $1,619,000 in total liabilities, and $3,841,000 in
total stockholders' equity.

The Company's June 30 balance sheet sheet showed strained
liquidity with $1,334,000 in total current assets available to pay
$1,508,000 in total current liabilities coming due within the next
12 months.

Full-text copies of the Company's first fiscal quarter financials
are available for free at http://ResearchArchives.com/t/s?109a

                        Going Concern Doubt

As reported in the Troubled Company Reporter on July 5, 2006,
Burr, Pilger & Mayer LLP expressed substantial doubt about Salon
Media Group, Inc.'s ability to continue as a going concern after
auditing the Company's financial statements for the fiscal year
ended March 31, 2006.  The auditor pointed to the Company's
recurring losses, negative cash flows from operations and
accumulated deficit.

                         About Salon Media

Founded in 1995, Salon Media Group, Inc. (SALN.OB) --
http://www.salon.com/-- is an Internet publishing company.  Salon
Media's award-winning journalism combines original investigative
stories and provocative personal essays along with quick-take
commentary and staff-written Web logs about politics, technology,
culture, and entertainment.  Salon Media's Web site also hosts two
online communities: Table Talk and The Well.  Features in Salon
Media's Web site include the daily music download column
Audiofile, Videodog video clips, the Daou Report, an opinionated
guide to the blogosphere, and the ability to automatically submit
Letters to the Editor.


SATELITES MEXICANOS: Can Continue Using Business Forms
------------------------------------------------------
Satelites Mexicanos, S.A. de C.V., obtained authority from the
U.S. Bankruptcy Court for the Southern District of New York, to
use, on an interim basis, its existing check stock and business
form stock.

The Honorable Robert D. Drain directs the Debtor to imprint the
legend "debtor-in-possession" on its business forms as soon as
reasonably practicable after the Petition Date.

Pursuant to the operating guidelines established by the Office of
the United States Trustee for debtors-in-possession, the Debtor is
required to obtain checks that bear the designation "debtor in
possession" and reference the bankruptcy case number and the type
of account on those checks.

Printing new business forms would create time-consuming and costly
administrative burdens at great cost to the estate, Matthew S.
Barr, Esq., at Milbank, Tweed, Hadley & McCloy LLP, in New York,
explains.  Strict compliance with the Guidelines would also
negatively affect operations at the Debtor's headquarters and
divert management's attention from the reorganization efforts, he
adds.

                   About Satelites Mexicanos

Satelites Mexicanos, S.A. de C.V., provides fixed satellite
services in Mexico.  Satmex provides transponder capacity via its
satellites to customers for distribution of network and cable
television programming, direct-to-home television service, on-site
transmission of live news reports, sporting events and other video
feeds.  Satmex also provides satellite transmission capacity to
telecommunications service providers for public telephone networks
in Mexico and elsewhere and to corporate customers for their
private business networks with data, voice and video applications.
Satmex also provides the government of the United Mexican States
with approximately 7% of its satellite capacity for national
security and public purposes without charge, under the terms of
the Orbital Concessions.

The Debtor filed for chapter 11 petition on August 11, 2006
(Bankr. S.D.N.Y. Case No. 06-11868).  Luc A. Despins, Esq., at
Milbank, Tweed Hadley & McCloy LLP represents the Debtor in the
U.S. Bankruptcy proceedings.  Attorneys from Galicia y Robles,
S.C., and Quijano Cortina Lopez y de la Torre give legal advice in
the Debtor's Mexican Bankrutpcy proceedings.  UBS Securities LLC
and Valor Consultores, S.A. de C.V., give financial advice to the
Debtor.  Steven Scheinman, Esq., Michael S. Stamer, Esq., and
Shuba Satyaprasad, Esq., at Akin Gump Strauss Hauer & Feld LLP
give legal advice to the Ad Hoc Existing Bondholders' Committee.
Dennis Jenkins, Esq., and George W. Shuster, Jr., Esq., at Wilmer
Cutler Pickering Hale and Dorr LLP give legal advice to Ad Hoc
Senior Secured Noteholders' Committee.  As of July 24, 2006, the
Debtor has $905,953,928 in total assets and $743,473,721 in total
liabilities.

On May 25, 2005, certain holders of Satmex's Existing Bonds and
Senior Secured Notes filed an involuntary chapter 11 petition
against the Company (Bankr. S.D.N.Y. Case No. 05-13862).
On June 29, 2005, Satmex filed a voluntary petition for a Mexican
reorganization, known as a Concurso Mercantil, which was assigned
to the Second Federal District Court for Civil Matters for the
Federal District in Mexico City.

On August 4, 2005, Satmex filed a petition, pursuant to Section
304 of the Bankruptcy Code to commence a case ancillary to the
Concurso Proceeding and a motion for injunctive relief seeking,
among other things, to enjoin actions against Satmex or its assets
(Bankr. S.D.N.Y. Case No. 05-16103).  (Satmex Bankruptcy News,
Issue No. 2; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


SATELITES MEXICANOS: Seeks Bankr. Court Nod on Insurance Programs
-----------------------------------------------------------------
Satelites Mexicanos, S.A. de C.V., seeks authority from the U.S.
Bankruptcy Court for the Southern District of New York, to
maintain its existing insurance programs.

The Debtor asks the Court's authority to:

    (1) maintain and continue its current Insurance Programs and
        Insurance Policies on an uninterrupted basis, consistent
        with prepetition practices; and

    (2) pay when due and in the ordinary course all premiums,
        administrative fees and other obligations, including any
        prepetition obligations.

The Debtor maintains various insurance policies and related
programs through several third-party carriers.  The Insurance
Programs include coverage for claims relating to, among other
things, in-orbit damage for its satellites, multimedia liability,
general liability, directors and officers' liability, automotive
liability, legal liability and property.

A schedule of the Debtor's Insurance Policies is available at no
charge at http://researcharchives.com/t/s?1097

The Insurance Programs, Luc A. Despins, Esq., at Milbank, Tweed,
Hadley & McCloy LLP, in New York, explains, are essential to the
preservation of the Debtor's business, property and assets and, in
many cases, coverage is required by various regulations, laws and
contracts that govern the Debtor's business conduct.

The Debtor believes the premiums for each of the Insurance
Programs have been paid in full as of the date of its filing for
chapter 11 protection.  The Debtor seeks authority to pay any
amounts that may be due and owing under its Insurance Programs out
of an abundance of caution, to ensure maintenance of coverage.

                    In-Orbit Insurance Coverage

Prior to the launch of the Satmex 6 satellite on May 27, 2006, the
Debtor obtained a one-year in-orbit insurance coverage for the
satellite.  The policy provides coverage for partial, constructive
total and total loss of Satmex 6.

The insurance is in the amount of $235 million with an additional
total loss only policy for $30 million and is based on prevailing
market terms and conditions.  The policy requires that 75% of the
satellite's capacity be impaired before a total loss can be
declared.

Arianespace, S.A, provided launch risk coverage for Satmex 6.

The premium amount paid prepetition by the Debtor for in-orbit
insurance coverage of Satmex 6 totals $41,464,125.

The Debtor also maintains one-year in-orbit Insurance Programs for
the Satmex 5 satellite and the Solidaridad 2 satellite under terms
reflecting current market conditions.  The premiums for the period
from December 2005 to 2006 for Satmex 5 -- $2,131,500 -- and
Solidaridad 2 -- $942,200 -- have been fully paid.

Solidaridad 2 is insured for $35 million and the current insurance
policy expires on Dec. 5, 2006.  In the event of a loss of the
satellite, the insurance policy provides for a payment to the
Debtor of up to the insured amount, less any unpaid premiums.

Satmex 5 is insured for $75 million and the current insurance
policy expires on Dec. 5, 2006.  The insurance coverage on Satmex
5 provides that if 75% or more of satellite capability is lost,
then a constructive total loss is deemed to have occurred, and the
full amount of insurance would become due and payable.  In the
event of a loss of Satmex 5, the insurance policy provides for a
payment to the Debtor of up to the insured amount, less any unpaid
premiums.

                  Directors and Officers Insurance

The Debtor provides insurance coverage for all of its directors
and officers, up to a $5 million total limit of liability.  The
aggregate annual premium for D&O insurance coverage is $404,000,
which is paid in two installments per year with the next premium
payment due Sept. 15, 2006.  The current policy expires on
Feb. 25, 2007.

              General Liability and Property Insurance

The Debtor maintains media liability insurance that covers, among
other things, costs arising from legal responsibility related to
its multimedia service activities.  The aggregate annual premium
for media liability insurance coverage is approximately $60,000
and the current policy expires on July 14, 2007.

The Debtor also maintains property, casualty and third-party
insurance.  The aggregate semi-annual premium for property,
casualty and third-party insurance coverage is $42,000 and the
current policy expires Nov. 30, 2006.

The Debtor maintains an umbrella insurance policy for all of its
automobiles, with different premiums paid and different expiration
dates for each of the automobiles.  The total aggregate annual
premium paid by the Debtor for automobile insurance coverage is
$15,500.

                   About Satelites Mexicanos

Satelites Mexicanos, S.A. de C.V., provides fixed satellite
services in Mexico.  Satmex provides transponder capacity via its
satellites to customers for distribution of network and cable
television programming, direct-to-home television service, on-site
transmission of live news reports, sporting events and other video
feeds.  Satmex also provides satellite transmission capacity to
telecommunications service providers for public telephone networks
in Mexico and elsewhere and to corporate customers for their
private business networks with data, voice and video applications.
Satmex also provides the government of the United Mexican States
with approximately 7% of its satellite capacity for national
security and public purposes without charge, under the terms of
the Orbital Concessions.

The Debtor filed for chapter 11 petition on August 11, 2006
(Bankr. S.D.N.Y. Case No. 06-11868).  Luc A. Despins, Esq., at
Milbank, Tweed Hadley & McCloy LLP represents the Debtor in the
U.S. Bankruptcy proceedings.  Attorneys from Galicia y Robles,
S.C., and Quijano Cortina Lopez y de la Torre give legal advice in
the Debtor's Mexican Bankrutpcy proceedings.  UBS Securities LLC
and Valor Consultores, S.A. de C.V., give financial advice to the
Debtor.  Steven Scheinman, Esq., Michael S. Stamer, Esq., and
Shuba Satyaprasad, Esq., at Akin Gump Strauss Hauer & Feld LLP
give legal advice to the Ad Hoc Existing Bondholders' Committee.
Dennis Jenkins, Esq., and George W. Shuster, Jr., Esq., at Wilmer
Cutler Pickering Hale and Dorr LLP give legal advice to Ad Hoc
Senior Secured Noteholders' Committee.  As of July 24, 2006, the
Debtor has $905,953,928 in total assets and $743,473,721 in total
liabilities.

On May 25, 2005, certain holders of Satmex's Existing Bonds and
Senior Secured Notes filed an involuntary chapter 11 petition
against the Company (Bankr. S.D.N.Y. Case No. 05-13862).
On June 29, 2005, Satmex filed a voluntary petition for a Mexican
reorganization, known as a Concurso Mercantil, which was assigned
to the Second Federal District Court for Civil Matters for the
Federal District in Mexico City.

On August 4, 2005, Satmex filed a petition, pursuant to Section
304 of the Bankruptcy Code to commence a case ancillary to the
Concurso Proceeding and a motion for injunctive relief seeking,
among other things, to enjoin actions against Satmex or its assets
(Bankr. S.D.N.Y. Case No. 05-16103).  (Satmex Bankruptcy News,
Issue No. 2; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


SATELITES MEXICANOS: Wants to Continue Employing OCPs
-----------------------------------------------------
Satelites Mexicanos, S.A. de C.V., seeks authority from the U.S.
Bankruptcy Court for the Southern District of New York, to
continue employ and pay its Ordinary Course Professionals, without
having to file separate employment applications and affidavits.

The Debtor retains the services of various professionals in the
ordinary course of its business operations.  These professionals,
who are not involved in the administration of the Chapter 11 case,
render a wide range of legal, accounting, tax and other services
that impact the Debtor's day-to-day operations.

According to Luc A. Despins, Esq., at Milbank, Tweed, Hadley &
McCloy LLP, in New York, it is essential that the Ordinary Course
Professionals' employment be continued on an ongoing basis so as
to avoid disruption of the Debtor's normal business operations.
The Debtor's request will also save the estate the substantial
expenses associated with applying separately for the employment of
each professional.

Consistent with prepetition practices, the Debtor proposes to pay
each Ordinary Course Professional, without a prior application to
the Court, 100% of its fees and disbursements incurred up to
either:

    (a) $50,000 per month; or
    (b) $500,000 during the pendency of the Chapter 11 case.

Ordinary Course Professionals seeking more than $50,000 in a
single month while the Debtor is in Chapter 11, or $500,000 during
the pendency of the Chapter 11 case will be required to file a fee
application for the full amount of their fees.

Each Ordinary Course Professional must also file with the Court
and serve on the U.S. Trustee and the Debtor:

    -- an affidavit certifying that it does not represent or hold
       any interest adverse to the Debtor or the Debtor's estate
       with respect to the matter on which it is to be employed;
       and

    -- a completed retention questionnaire.

A list of the Debtor's ordinary course professionals is available
for free at http://researcharchives.com/t/s?1098

The Debtor reserves the right to supplement its list of Ordinary
Course Professionals from time to time as necessary.  The Debtor
will notify the Court of additional Ordinary Course Professionals
through a notice, which will be served on the appropriate notice
parties.  If no objection to the Notice is filed within 15 days,
the Debtor's retention of that additional Ordinary Course
Professional will be deemed approved by the Court.

Although certain of the Ordinary Course Professionals may hold
unsecured claims against the Debtor for prepetition services, the
Debtor does not believe that any of the Professionals has an
interest adverse to the estate, the creditors or other parties-
in-interest on the matters for which the Professionals would be
employed.

Therefore, all of the Ordinary Course Professionals proposed to be
retained meet the special counsel retention requirement under
Section 327(e) of the Bankruptcy Code, Mr. Despins says.

                   About Satelites Mexicanos

Satelites Mexicanos, S.A. de C.V., provides fixed satellite
services in Mexico.  Satmex provides transponder capacity via its
satellites to customers for distribution of network and cable
television programming, direct-to-home television service, on-site
transmission of live news reports, sporting events and other video
feeds.  Satmex also provides satellite transmission capacity to
telecommunications service providers for public telephone networks
in Mexico and elsewhere and to corporate customers for their
private business networks with data, voice and video applications.
Satmex also provides the government of the United Mexican States
with approximately 7% of its satellite capacity for national
security and public purposes without charge, under the terms of
the Orbital Concessions.

The Debtor filed for chapter 11 petition on August 11, 2006
(Bankr. S.D.N.Y. Case No. 06-11868).  Luc A. Despins, Esq., at
Milbank, Tweed Hadley & McCloy LLP represents the Debtor in the
U.S. Bankruptcy proceedings.  Attorneys from Galicia y Robles,
S.C., and Quijano Cortina Lopez y de la Torre give legal advice in
the Debtor's Mexican Bankrutpcy proceedings.  UBS Securities LLC
and Valor Consultores, S.A. de C.V., give financial advice to the
Debtor.  Steven Scheinman, Esq., Michael S. Stamer, Esq., and
Shuba Satyaprasad, Esq., at Akin Gump Strauss Hauer & Feld LLP
give legal advice to the Ad Hoc Existing Bondholders' Committee.
Dennis Jenkins, Esq., and George W. Shuster, Jr., Esq., at Wilmer
Cutler Pickering Hale and Dorr LLP give legal advice to Ad Hoc
Senior Secured Noteholders' Committee.  As of July 24, 2006, the
Debtor has $905,953,928 in total assets and $743,473,721 in total
liabilities.

On May 25, 2005, certain holders of Satmex's Existing Bonds and
Senior Secured Notes filed an involuntary chapter 11 petition
against the Company (Bankr. S.D.N.Y. Case No. 05-13862).
On June 29, 2005, Satmex filed a voluntary petition for a Mexican
reorganization, known as a Concurso Mercantil, which was assigned
to the Second Federal District Court for Civil Matters for the
Federal District in Mexico City.

On August 4, 2005, Satmex filed a petition, pursuant to Section
304 of the Bankruptcy Code to commence a case ancillary to the
Concurso Proceeding and a motion for injunctive relief seeking,
among other things, to enjoin actions against Satmex or its assets
(Bankr. S.D.N.Y. Case No. 05-16103).  (Satmex Bankruptcy News,
Issue No. 2; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


SCOTTS MIRACLE-GRO: Reports $133.3MM Net Income in Third Quarter
----------------------------------------------------------------
The Scotts Miracle-Gro Company recorded $133.3 million of net
income for three months ended July 1, 2006, compared to
$88.5 million of net income for the same period last year.
Excluding restructuring and other charges, adjusted net income was
$133.9 million compared with $117.2 million for the same period
last year.

The Company reported sales for its third quarter, leading to a 14%
improvement in adjusted net income during the period.  The strong
performance was led by a 12% sales growth in the core North
American consumer business and a 26% sales growth in Scotts
LawnService.

On both a third quarter and year-to-date basis, consumer purchases
of the Company's products at its largest retail accounts improved
10% from last year.  For example, consumer purchases of growing
media products on a year-to-date basis have improved 17%, led by a
24% increase in garden soils.  Purchases of lawn products have
improved 12%, led by a 28% increase in straight lawn fertilizer.
Purchases of garden fertilizer have improved 11%.

The plant food increase was driven by the launch of Miracle-Gro
LiquaFeed, which, with year-to-date sales of more than $35
million, is the most successful new product launch in the
Company's 138-year history.

"The continued strength of our brands is evident in the results we
are sharing today," said Jim Hagedorn, chairman and chief
executive officer.  "In an environment of higher fuel prices,
rising interest rates and overall economic uncertainty, consumers
remain engaged in the lawn and garden category and are
increasingly depending on our brands to help them achieve
a healthy lawn and beautiful garden.

"We are very pleased with our overall results.  While some areas
of our business have not met our expectations, the continued
strength of our core business and the growth of Scotts LawnService
is keeping us on track to meet our full-year expectations."

The Company reiterated its full-year guidance of 20-22% adjusted
net income growth.  However, results from Smith & Hawken and
International will be lower than expected and company-wide gross
margins will be lower than expected due mostly to fuel and
commodity prices as well as unfavorable product mix.  As a result,
full-year earnings are most likely to be on the low end of the
range.

                       Third Quarter Results

For the quarter ended July 1, 2006, ScottsMiracle-Gro reported
company-wide sales of $1.05 billion, up 16% from $901.2 million
from the same period a year earlier.  Last year's third quarter
included a non-recurring charge of $45.7 million related to a
liability for the outstanding balance of the deferred contribution
amounts payable to Monsanto under the Roundup agreement.
Excluding the Roundup adjustment, sales in the quarter
increased 11%.

During the quarter, North America sales increased 12% to $770.3
million from $687.5 million.  Excluding the impact of
acquisitions, sales increased by 7%.  Consumer purchases of the
Company's products at its largest retail accounts increased 10%
during the quarter, including a 9% increase in lawn fertilizers, a
17% increase in growing media products and an 11% increase in
plant food.

Scotts LawnService reported a 26% increase in sales to $75.3
million.  By continuing to leverage the Scotts brand and its focus
on customer service, the business has improved its customer count
by more than 10%.  "We continue to improve our competitive
position in the lawn service category," Mr. Hagedorn said.  "The
26% sales growth for Scotts LawnService is virtually all organic,
and we believe our customer retention rates continue to outperform
the competition."

Smith & Hawken sales were flat compared to last year at $58
million.  International sales were $144.5 million, up 2% from
$142.0 million a year earlier.  Excluding the impact of foreign
exchange rates, International sales were flat.

Gross margins were 38.7% compared to 37.0% a year earlier.
Excluding the non-recurring charge for Roundup mentioned earlier,
gross margin rates declined 140 basis points in the quarter driven
by increased commodity and fuel costs and less profitable product
mix.  Selling, general and administrative costs decreased 4% as a
result of Project Excellence, including reduced legal and
compliance costs.

Headquartered in Marysville, Ohio, The Scotts Miracle-Gro Company
(NYSE: SMG) -- http://www.scotts.com/-- through its wholly-owned
subsidiary, The Scotts Company LLC, is a marketer of branded
consumer products for lawn and garden care, with products for
professional horticulture as well.  The Company's brands are
Scotts(R), Miracle-Gro(R) and Ortho(R) brands are market-leading
in their categories, as is the consumer Roundup(R) brand, which is
marketed in North America and most of Europe exclusively by Scotts
and owned by Monsanto.  The Company also owns Smith & Hawken, a
leading brand of garden-inspired products that includes pottery,
watering equipment, gardening tools, outdoor furniture and live
goods, and Morning Song, a leading brand in the wild bird food
market.  In Europe, the Company's brands include Weedol(R),
Pathclear(R), Evergreen(R), Levington(R), Miracle-Gro(R), KB(R),
Fertiligene(R) and Substral(R).

                           *    *    *

Scotts Miracle-Gro's 6.625% Senior Subordinated Notes due 2013
carries Moody's Investor Service's Ba2 rating and Standard &
Poor's Rating Services at B+ rating.


SECUNDA INT'L: Receives Tenders and Consents for 100% of Notes
--------------------------------------------------------------
Secunda International Limited disclosed the results to date of its
cash tender offer and consent solicitation for any and all of its
outstanding $125 million aggregate principal amount of Senior
Secured Floating Rate Notes due 2012.

Tenders and consents had been received, as of Aug. 25, 2006, from
holders of $125 million in aggregate principal amount of the
Notes, representing 100% of the outstanding Notes.

The tender offer is scheduled to expire at 5:00 p.m., New York
City Time, on September 12, 2006.  The "Settlement Date" will be
promptly after the Expiration Time, and is expected to be the
business day following the Expiration Time.

The Company also disclosed that after receiving the approval of
the Holders of at least a majority of the outstanding principal
amount of Notes, it executed the Supplemental Indenture to effect
the proposed amendments to the Indenture governing the Notes.  The
Supplemental Indenture will become operative only upon its
purchase, pursuant to the Tender Offer, of more than a majority in
principal amount of the outstanding Notes.  The proposed
amendments to be effected by the supplemental indenture, among
other things, eliminate substantially all of the restrictive
covenants and certain events of default in the indenture governing
the Notes.  Notes tendered prior to the Early Tender Time may no
longer be withdrawn and consents delivered prior to the Early
Tender Time may no longer be revoked.

The complete terms and conditions of the Tender Offer are
described in the Offer to Purchase and Consent Solicitation
Statement of the Company dated June 27, 2006 and the Offer to
Purchase and Consent Solicitation Statement Supplement of the
Company dated August 14, 2006, copies of which may be obtained by
contacting:

               D.F. King and Co., Inc.
               Information agent for the tender offer
               (212) 269-5550 (collect), or
               (800) 758-5378 (U.S. toll-free)

Banc of America Securities LLC is the exclusive dealer manager and
solicitation agent for the Tender Offer.  Additional information
concerning the Tender Offer may be obtained by contacting:

               Banc of America Securities LLC,
               High Yield Special Products
               (212) 847-5836 (collect); or
               (888) 292-0070 (U.S. toll-free)

Based in Nova Scotia, Canada, Secunda International Limited
-- http://www.secunda.com/-- provides supply and support services
to the offshore oil and gas industry internationally.  The Company
currently owns and operates a fleet of 14 harsh weather,
multifunctional marine vessels that provide supply, support and
safety services to offshore exploration, development, production
and subsea construction projects.  The Company primarily serves
the North Sea, West Africa and the Gulf of Mexico and have a
leading position in the east coast of Canada.

                        *     *     *

As reported in the Troubled Company Reporter on June 29, 2006,
Standard & Poor's Ratings Services held its 'B-' long-term
corporate credit and senior secured debt ratings on offshore
support vessel provider Secunda International Inc. on CreditWatch
with positive implications, where they were placed Sept. 29, 2005.


SMART ONLINE: June 30 Net Loss Decreases to $28,375
---------------------------------------------------
Smart Online, Inc., filed its financial report for the quarter
ended June 30, 2006, on Form 10-Q, with the Securities and
Exchange Commission on Aug. 25, 2006.

Total revenues were $1.3 million for the second quarter of 2006
compared to $406,116 for the second quarter of 2005 representing
an increase of $924,216 or 228%.  The increase is primarily
attributable to revenue from its two newly acquired subsidiaries.

Net loss for the three months ended June 30, 2006 decreased to
$28,375 from $860,816 for the three months ended June 30, 2005.

Total revenues were $3.2 million for the first half of 2006
compared to $659,354 for the first half of 2005 representing an
increase of $2.6 million or 389%.

The Company disclosed that it recorded other income in the amount
of $1.6 million related to taking back 625,000 shares of its
common stock resulting from the May 31, 2006 cancellation of an
investor relations contract.  The shares were taken back at the
fair market value on the date of the contract cancellation, which
was $2.50 per share.

Net loss for the six months ended June 30, 2006 increased to $1.6
million from $1.2 million for the six months ended June 30, 2005.

At June 30, 2006, the Company's principal sources of liquidity
were unrestricted cash and cash equivalents totaling $853,129 and
accounts receivable of $358,568.  As of August 14, 2006, its
principal sources of liquidity were unrestricted cash and cash
equivalents totaling approximately $565,000 and accounts
receivable of approximately $290,000.

The Company's working capital deficit at June 30, 2006, was
approximately $4.5 million.  The Company disclosed that its
working capital is not sufficient to fund its operations beyond
Sept. 2006, unless the Company substantially increase its revenue,
limit expenses or raise substantial additional capital.

The Company also disclosed that its primary source of liquidity,
during 2005 and the first half of 2006, was from sales of its
securities.  During the first six months of 2006, the Company
raised an additional $2 million of proceeds through the sale of
additional shares of common stock, and $22,100 on the exercise of
warrants.  The Company also raised approximately $623,000 through
the factoring of receivables of Smart CRM.  After June 30, 2006,
the Company raised an additional $500,000 through the sales of
additional shares of common stock.  All proceeds were used to pay
existing operating liabilities and to fund current operations.

                      Going Concern Doubt

Sherb & Co., LLP, expressed substantial doubt about Smart Online,
Inc.'s ability to continue as a going concern after auditing the
Company's financial statements for the years ended Dec. 31, 2005
and 2004.  The auditing firm pointed to the Company's recurring
losses from operations and working capital deficit.

Smart Online Inc. -- http://www.SmartOnline.com/-- develops and
markets Internet-delivered Software-as-Service software
applications and data resources to start, run, protect and grow
small businesses.


SORELL INC: June 30 Balance Sheet Upside-Down by $9.1 Million
-------------------------------------------------------------
Sorell, Inc., reported total revenues for the three months ended
June 30, 2006 of $7.2 million compared to total revenues of
$9 million for the prior year comparable period.

Net loss for the quarter ended June 30, 2006 was $3.5 million,
versus a net loss of $2.6 million for the comparable quarter in
2005.  Cash and cash equivalents at the end of June 30, 2006
decreased to $1.4 million compared to $2.8 million for the same
period in 2005.

The Company's balance sheet at June 30, 2006 showed total assets
of $21.4 million and total liabilities of $30.5 million resulting
in a stockholders' deficit of $9.1 million.

Total revenues in the six months ended June 30, 2006 were $9
million compared to $18.5 million for the six months ended June
30, 2005.  For the six months ended June 30, 2006, the Company
reported a net loss of $5.3 million compared to a net loss in the
comparable 2005 quarter of $7.6 million.

The company disclosed gross profit margin ratio changed from
negative 15.8% in the six months ended June 30, 2005 to negative
22.7% for the six months ended June 30, 2006, which reflected the
effects of overhead reductions as a result of its move out of the
Electronic Manufacturing Services business and into the branded-
product business.

The Company's loans at June 30, 2006, consisted of $25.4 million
of current loans payable and $4.5 million of long-term loans
payable, compared to $17.4 million of current loans payable and
$4.4 million of long-term loans payable at June 30, 2005.

                       Legal Proceedings

Miracle Progress International filed in the Seoul District Court
in Korea alleging compensation for damages amounting to $2 million
against S-Cam Ltd and TNP Telecom.  The three companies entered
into an agreement to launch a GSM phone business on which the
Company is in charge of manufacturing, and TNP telecom is in
charge of design and development, with the Plaintiff charged with
marketing.  Plaintiff claims damages in marketing and sales
because of quality defects in manufacturing.  The Company asserted
the defect was the result from the design, not quality control.
The final decision has not been made.

TNP Telecom filed in the Seoul District Court in Korea region
alleging compensation for the development cost of a GSM phone
design amounting to $200,000 against S-Cam Ltd and Miracle
Progress International.  The Company has asserted that the design
and development of Plaintiff caused the defect of products and
ruined the business.  The final decision has not been made.

Information Tele-communication Company filed in the Suwon District
Court in Korea alleging compensation for damages amounting to
$221,932 against the Company.  Plaintiff claimed the Company did
not purchase parts after placing the order.  The company asserted
the Plaintiff did not keep the delivery date and payment condition
was Letter of Credit. The final decision has not been made.

                       Going Concern Doubt

As reported in the Troubled Company Reporter on May 16, 2006,
SF Partnership, LLP, Chartered Accountants, in Toronto, Canada,
raised substantial doubt about Sorell, Inc., fka NetMeasure
Technology Inc.'s ability to continue as a going concern after
auditing the Company's consolidated financial statements for the
years ended Dec. 31, 2005, and 2004.  The auditor pointed to the
Company's recurring losses.

                       About Sorell, Inc.

Sorell, Inc., fka NetMeasure Technology Inc., (OTCBB: SLII)
develops, manufactures, sells consumer electronics, which includes
mobile phones, MP3 players, MP3 CD players, portable media
players, mobile cameras and other devices.  S-Cam Co., Ltd., based
in Korea, is an operating subsidiary of Sorell and a divestiture
from Samsung Electronics.


SOUTHWEST FLORIDA: Court Nixes Deepening Insolvency Lawsuit
-----------------------------------------------------------
Louis X. Amato, the Chapter 11 Trustee for Southwest Florida Heart
Group, P.A., sued Drs. Richard A. Chazal, Erick M. Burton and
Michael D. Danzig, alleging a laundry list of claims and causes.
On cross-motions for summary judgment, the Honorable Alexander L.
Paskay held that the Trustee could not assert a viable claim under
Florida law against members of the bankrupt physicians'
association for prolonging the association's existence and thereby
deepening its insolvency.  In a decision published at 2006 WL
2147615, Judge Paskay says the deepening insolvency count of the
Trustee's complaints in Adversary Proceeding Nos. 06-00031, 06-
00081 and 06-00910,  must be dismissed.

Reporting assets and liabilities of less than $10 million,
Southwest Florida Heart Group, P.A., sought chapter 11 protection
on August 29, 2005 (Bankr. M.D. Fla. Case No. 05-17167).  Jeffrey
W. Leasure, Esq., in Fort Myers, Fla., represents the Debtor.  On
Nov. 21, 2005, Louis X. Amato was appointed as a Chapter 11
Trustee in the Debtor's case.


SPOKANE RACEWAY: Case Summary & Eight Largest Unsecured Creditors
-----------------------------------------------------------------
Debtor: Spokane Raceway Park Inc.
        West 1616 Kiernan
        Spokane, WA 99205

Bankruptcy Case No.: 06-01966

Type of Business: The Debtor operates a 2.5 mile Grand Prix Road
                  Course and racing facility outside Spokane,
                  Washington.
                  See http://www.spokaneracewaypark.com/

Chapter 11 Petition Date: August 17, 2006

Court: Eastern District of Washington (Spokane/Yakima)

Judge: Patricia C. Williams

Debtor's Counsel: Bruce R. Boyden, Esq.
                  621 West Mallon, Suite 509
                  Spokane, WA 99201
                  Tel: (509) 327-3457
                  Fax: (509) 327-9951

Estimated Assets: $50 Million to $100 Million

Estimated Debts:  $1 Million to $10 Million

Debtor's Eight Largest Unsecured Creditors:

   Entity                        Nature of Claim   Claim Amount
   ------                        ---------------   ------------
LeMasters & Daniels              Accounting Fees       $178,894
700 Bank Os Ameica Building
601 West Riverside Avenue
Spokane, WA 99201

Carl Oreskovichi                 Attorney's Fees       $140,000
6404 North Monroe
Spokane, WA 99208

Robert E. Kovacevich             Accounting Fees        $75,000
818 West Riverside Avenue
Suite 715
Spokane, WA 99201

Deonne Moe                       Wages                  $10,000
West 1616 Kiernan
Spokane, WA 99205

Joe Delay                        Attorney's Fees         $3,800
601 West Main Avenue
Spokane, WA 99201

Mahoney & O'Neill Insurance      Fire Insurance          $2,591

Pam Allen Appraisal Services     Appraisal Fee           $1,400

Garland Printing                 Printing                $1,064


SUK HWAN OH: Case Summary & Four Largest Unsecured Creditors
------------------------------------------------------------
Debtor: Suk Hwan Oh
        24221 Chetwood Circle
        Lutherville, MD 21093

Bankruptcy Case No.: 06-15168

Chapter 11 Petition Date: August 28, 2006

Court: District of Maryland (Baltimore)

Debtor's Counsel: Christopher Hamlin, Esq.
                  McNamee Hosea
                  6411 Ivy Lane, Suite 200
                  Greenbelt, MD 20770
                  Tel: (301) 441-2420
                  Fax: (301) 982-9450

Estimated Assets: More than $100 Million

Estimated Debts:  $1 Million to $10 Million

Debtor's Four Largest Unsecured Creditors:

   Entity                        Nature of Claim     Claim Amount
   ------                        ---------------     ------------
Atlantic City Showboat                                    $25,000
801 Boardwalk
Atlantic City, NJ 08401

Washington Mutual                                          $6,000
P.O. Box 1093
Northridge, CA 91328

Chase Mastercard                 Credit Card Purchases     $5,201
P.O. Box 15153
Wilmington, DE 19886-5153

Bank of America                  Credit Card Purchases     $2,774
P.O. Box 1753
Newark, NJ 07101-1758


TAUBMAN CENTERS: Earns $7.8 Mil. in Second Quarter Ended June 30
----------------------------------------------------------------
Taubman Centers, Inc., reported strong financial results for the
second quarter 2006 and increased guidance for the year.

For the three months ended June 30, 2006, the Company earned
$7.8 million of net income on $139.3 million of net revenues
compared to $1.6 million of net income on $117.2 million of net
revenues in 2005.

"This strong performance was due to growth in rents and recoveries
at our centers, the continuing contribution from last year's
opening of Northlake Mall, increased land sale gains during the
quarter and interest income from the cash on our balance sheet,"
said Robert S. Taubman, chairman, president and chief executive
officer of Taubman Centers.

                        Robust Tenant Sales

Mall tenant sales per square foot gained momentum during the
second quarter, increasing 8.5% for the quarter and 6.9% for the
year-to-date period. "We've now experienced strong sales
performance at our centers for over three years," said Mr.
Taubman.  "Clearly consumers are continuing to favor our regional
malls.  During this quarter, the categories of women's apparel and
accessories, children's apparel, jewelry, electronics and sit down
restaurants showed double-digit sales per square foot growth
across our portfolio.  This sales strength continues to drive
retailer confidence and leasing in our centers."

Leased space at June 30, 2006, was 91.8%, up 0.9% from June 30,
2005.  Total occupancy for the portfolio was 89.0% at June 30,
2006, up 0.3% from June 30, 2005.

                       Strong Balance Sheet

During May, the company refinanced Cherry Creek Shopping Center.
The new $280 million, 10-year non-recourse, interest-only loan
carries an interest rate of 5.24% and was used to pay off the
existing $173 million 7.68% loan.

Also during the quarter, the company redeemed its $113 million
8.30% Series A Preferred Stock with Series I Preferred Stock and
at the end of the quarter, redeemed that issue with available
cash.  The company incurred a charge of $4.7 million during the
second quarter representing the difference between the carrying
values and redemption prices of each issue.  In future periods,
these transactions are expected to increase FFO per share by $0.03
to $0.04 per annum, as the preferred stock has been replaced with
lower cost debt.  The company continues to have $217 million of
other classes of preferred equity outstanding.

"At June 30, we reported $79 million of cash on our balance
sheet," said Lisa A. Payne, vice chairman and chief financial
officer of Taubman Centers.  "In August, we plan to repay the
existing $140 million floating rate loan on Dolphin Mall with
available cash and a portion of our currently unused $390 million
credit facilities.  This culminates our efforts to reduce floating
rate debt, which subsequent to the Dolphin Mall payoff will be
approximately 4% of our total debt.  Our average fixed interest
rate is currently 5.67% and we have a laddered maturity schedule
that extends to 2016.  These transactions clearly demonstrate how
strong real estate with growing cash flows generates capital."

                     The Pier at Caesars Opens

The Pier at Caesars opened its doors in late June.  This center,
built on a pier 900 feet into the Atlantic Ocean is steadily
rolling out additional stores and restaurants throughout the
summer and into the fall.  At its completion, The Pier at Caesars
will be home to over 100 mid to high-end luxury retailers and
restaurants.  The center has 35 stores open to date including
Gucci, Coach, Louis Vuitton, Bottega Veneta, Salvatore Ferragamo
and Tourneau.  The Pier will also offer an exciting restaurant
lineup including Stephen Starr's Buddakan and The Continental,
Jeffrey Chodorow's rumjungle, and Patrick Lyon's Game On, Sonsie
and The Trinity Pub.  The center is over 95% leased and committed
and is anticipated to be about 80% occupied by year end.  Taubman
Centers will have a 30% interest in The Pier, a project that will
transform Atlantic City's retail and dining experience.

                       About Taubman Centers

Headquartered in Bloomfield Hills, Michigan, Taubman Centers, Inc.
(NYSE: TCO) -- http://www.taubman.com/-- is a real estate
investment trust that acquires, develops, owns, and manages 23
urban and suburban regional shopping centers.

                            *    *    *

Fitch Ratings has affirmed the 'BB-' rating on Taubman Centers,
Inc.'s $300 million in outstanding preferred stock, as well as the
'BB' rating on The Taubman Realty Group Limited Partnership, the
operating partnership of Taubman Centers, Inc.  The Rating Outlook
is Stable.


TECNET INC: Court Approves Settlement Agreement on Escrow Lawsuit
-----------------------------------------------------------------
The Hon. Harlin DeWayne Hale of the U.S. Bankruptcy Court for the
Northern District of Texas approved the settlement agreement
executed by:

   * Scott M. Seidel, the Chapter 7 Trustee handling the
     liquidation of TecNet, Inc., and its debtor-affiliates;

   * Telephone Electronics Corp.;

   * Walter J. Frank, Jr.;

   * LM Data of Texas;

   * Arete Sales and Marketing, LLC, and

   * Robert M. Simels, P.C.

James F. Adams, Esq., at Passman & Jones, in Dallas, Texas, tells
the Court that on Aug. 19, 2004, the Ch. 7 Trustee filed a
complaint against Simels styled Seidel v. Robert M. Simels, PC,
Adversary No. 04-3489.  The complaint sought recovery of
approximately $3,400,000 that Simels was holding in escrow as a
result of an alleged transaction between ePIN Services, LLC, TEC
and the Frank Parties.  The Trustee alleged that the Debtors owned
an interest in the Escrow Funds.

On Nov. 23, 2004, and Nov. 29, 2004, the Court entered orders
authorizing the Frank Parties and TEC to intervene in the Escrow
Litigation to assert claims in the Escrowed Funds.  The Frank
Parties and TEC intervened and also asserted claims against
Simels.  The United States District Court for the Northern
District of Texas has withdrawn the reference in this case, but
allowed the Bankruptcy Court to hear all pretrial matters.  The
Bankruptcy Court has entered a partial summary judgment ordering
Simels to pay $1,000,000 of the Escrowed Funds into the Bankr.
Court's registry of the Court and Simels has complied with that
order. Simels remains in possession of around $2,400,000.

On February 19, 2005, Diamond Phone Card, Inc., and Enhanced
Prepaid Distribution, Inc., filed their complaint against TEC,
Frank, Joseph Fail, Cloyce C. Clark, Diego Roca and Digitec 2000,
Inc. in New York asserting claims arising out of the alleged
transaction which included escrow of the Escrow Funds.  The EPD
Litigation was ultimately transferred to the District Court and
styled Enhanced Prepaid Distribution v. Telephone Electronics
Corp., District Court Civil No. 3:05-cv-01197.

On Aug. 22, 2005, the Court entered orders consolidating the EPD
Litigation into the Escrow Litigation.  The Consolidated
Litigation has not been set for trial.

After extensive investigation and negotiation, the Movants have
agreed on terms for a compromise and settlement regarding the
claims asserted by the Trustee in the Escrow Funds.

The Court directs:

   a) Bankruptcy Court clerk to pay from the $1,000,000 deposited
      by Simels into the registry of the Bankruptcy Court in the
      proceeding Seidel v. Simels, et al., No. 04-3489, $400,000
      to Scott M. Seidel, Chapter 7 Trustee.  The Clerk should
      mail the check to:

               James F. Adams, Esq.
               Passman & Jones
               1201 Elm Street, Suite 2500
               Dallas, TX 75270-2599

   b) Bankruptcy Court clerk to pay from the Registry Funds the
      sum of $600,000 plus 1/2 of all accrued interest to
      Hiersche, Hayward, Drakeley & Urbach, P.C.  The Clerk should
      mail the check to:

               Russell W. Mills, Esq.
               Hiersche, Hayward, Drakeley & Urbach, P.C.
               15303 Dallas Parkway, Suite 700
               Addison, TX 75001

   c) Bankruptcy Court clerk to pay from the Registry Funds the
      sum of 1/2 of all accrued interest to Edward W. Hayes, P.C.
      Trust Account.  The Clerk should mail the check to:

               Leo Kayser, III, Esq.,
               Kayser & Redfern, LLP
               515 Madison Avenue, 30th Floor
               New York, NY 10022

   d) Simels to pay from the $2,400,000 held by Simels as escrow
      agent for the benefit of TEC, the Frank Parties, and
      Enhanced Prepaid Distribution, Inc., to Edward W. Hayes P.C.
      Trust Account the sum of $1,500,000; and

   e) Simels to pay from the Simels Funds the sum of $900,000 to
      HHDU.

Headquartered in Garland, Texas, TecNet, Inc., provides
telecommunication services, filed for chapter 11 protection on
April 8, 2004 (Bankr. N.D. Tex. Case No. 04-34162) and its case
was converted to a chapter 7 liquidation proceeding on June 4,
2004.  Scott M. Siedel serves as the chapter 7 Trustee.  Mark A.
Weisbart, Esq., represents the Debtor in its restructuring
efforts.  When the Company filed for protection from its
creditors, it listed estimated debts of over $10 million and
estimated debts of over $100 million.  On June 7, 2005, the Court
converted the chapter 11 case to a chapter 7 proceeding.  Scott M.
Seidel was appointed as the Chapter 7 Trustee.


TOWN SPORTS: Credit Measure Improvement Cues S&P's Rating Upgrade
-----------------------------------------------------------------
Standard & Poor's Ratings Services raised its ratings on fitness
club operator Town Sports International Holdings Inc. and its
operating subsidiary Town Sports International Inc.  The corporate
credit rating on both companies was raised to 'B+' from 'B'.  The
outlook is stable.  All ratings are removed from CreditWatch with
positive implications.

"The upgrade is based on credit measure improvement from debt
repayment and a commitment to maintaining current credit profile,"
said Standard & Poor's credit analyst Andy Liu.

Total debt outstanding as of June 30, 2006, was $333.8 million.

New York City-based Town Sports completed its IPO on June 2, 2006,
raising net proceeds of $91.8 million, which were used to redeem a
portion of its senior discount notes and senior notes.  Debt
repayment reduced lease-adjusted debt to EBITDA to 5.5x, from 6.3x
at the end of 2005.

At the same time, the company has succeeded in reversing negative
discretionary cash flow, and should be able to remain cash
generative by this measure if current business trends continue.

The rating on Town Sports reflects:

   * the company's aggressive expansion plan;
   * its heavy capital spending; and
   * longer-term concern about market saturation.

These factors are only partly offset by:

   * the company's good competitive position in its four major
     markets;

   * its continuing same-club revenue increases; and

   * its higher margins relative to its peers.

Town Sports owns and operates 142 fitness clubs in the
northeastern U.S.

The company has an aggressive plan to grow its club base 10% per
year.  While this should ensure revenue and EBITDA growth over the
coming years, the increase in capital spending could result in
discretionary cash flow deficits in the intermediate term and
limit the company's ability to delever.

In addition, more than 60% of Town Sports' clubs are located in
the New York metropolitan area, rendering the company somewhat
vulnerable to that city's economy.  A more immediate concern is
softening consumer sentiment and a possible decline in consumer
discretionary spending.  While Town Sports has not been affected
so far, these macroeconomic factors could negatively affect
membership enrollment.

Longer-term, aggressive club building by Town Sports and its peers
could also lead to market saturation and a significantly more
competitive market for all participants.


TRANSPORT INDUSTRIES: S&P Affirms Ratings & Alters Outlook to Neg.
------------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its ratings on
Transport Industries Holdings L.P., including the 'B+' corporate
credit rating.

Standard & Poor's also affirmed its 'B+' senior secured bank loan
rating and '4' recovery rating on subsidiary Transport Industries
L.P.'s bank facility.

At the same time, the rating agency revised the outlook to
negative from stable following the company's announcement that it
plans to purchase a small truckload brokerage business (the
company has yet to disclose the name publicly) that serves both
the U.S. and Canada for slightly more than $30 million.

The acquisition will be funded with a new $30 million add-on to
the company's current bank facility.  The company's bank facility
now consists of a five-year $70 million revolving facility (due
2010) and a $305 million term loan (due 2011), including the new
$30 million add-on.  The recovery rating is '4', indicating
expectations of marginal (25%-50%) recovery in the event of a
payment default.

"The outlook revision takes into account the company's aggressive
growth strategy-with eight acquisitions within the last two years,
most recently the purchase of Southpoint Distribution in June of
2006-which has resulted in a leveraged balance sheet, modest debt
reduction, and a somewhat stretched credit profile," said Standard
& Poor's credit analyst Eric Ballantine.

Ratings on Irving, Texas-based Transport Industries Holdings L.P.
reflect:

   * its very aggressive growth strategy;

   * limited financial flexibility;

   * concentrated customer base; and

   * relatively small position within the fragmented truckload
     trucking and logistics industries.

Positive credit factors include the company's somewhat variable
cost structure by using owner-operators (independent truck drivers
who own their own tractors) and long-term contractual
relationships.

Privately held Transport Industries' financial profile is weaker
than those of many of the larger trucking and logistics companies
against which it competes.  Pro forma for the latest transaction,
Transport Industries will be leveraged at slightly more than 5x
total debt to EBITDA (including the present value of operating
leases), which is at the upper end of where it should be for the
rating given the competitive and modestly cyclical nature of the
businesses it competes in.  Financial flexibility is limited and
the company currently does not have access to the public equity
markets.

Transport Industries' four main lines of business are: dedicated
transport services, truckload management, truck brokerage, and
distribution services.  The proposed acquisition will help expand
the company's existing truckload brokerage operation and gives it
additional geographic diversity by expanding operations into the
Canadian market.

The company's aggressive acquisition strategy has resulted in a
leveraged balance sheet.  Any slowing in economic conditions,
margin pressures, or additional debt-financed acquisitions that
results in a deterioration of credit quality could lead to a
downgrade of the ratings.  An outlook change to stable is unlikely
in the near term, given the company's highly leveraged financial
profile.


VARTEC TELECOM: Court Allows Ch. 7 Trustee to Retain CCSB LLP
-------------------------------------------------------------
The Honorable Harlin DeWayne Hale of the U.S. Bankruptcy Court for
the Northern District of Texas in Dallas authorized Jeffrey H.
Mims, the interim Chapter 7 Trustee of Vartec Telecom, Inc., and
its debtor-affiliates, to continue retaining Carrington, Coleman,
Sloman & Blumenthal, LLP, as special counsel.

Carrington Coleman will continue to investigate and prosecute the
estates' claims against the Rural Telephone Finance Cooperative.
The Official Committee of Unsecured Creditors retained Carrington
Coleman in November 2004 pursuant to a Supplemental Compensation
Agreement.  The Chapter 7 Trustee wants to retain Carrington
Coleman under the same terms.

Mr. Mims says the Supplemental Compensation Arrangement is in the
best interest of the estates because it fairly compensates
Carrington Coleman while providing the estate with an opportunity
to obtain a significant recovery even if there are currently no
unencumbered assets available to fund the prosecution of these
claims.

Under the agreement, Carrington Coleman will advance expenses in
connection with the prosecution of the claims, up to a maximum
amount of $650,000.  The advance will be reimbursed from any
recoveries, prior to the computation of the contingency fee due to
the firm.  Carrington Coleman is further entitled to any
applicable contingency fee of 33-1/3% of amounts obtained in any
settlement reached after January 1, 2006.  Total payments due to
Carrington Coleman are capped at $20 million, excluding expenses.

Stephen A. Goodwin, Esq., at Carrington Coleman, assures the Court
that his firm is a "disinterested person" as that phrase is
defined in Section 101(14) of the Bankruptcy Code.

Headquartered in Dallas, Texas, Vartec Telecom Inc. --
http://www.vartec.com/-- provides local and long distance service
and is considered a pioneer in promoting 10-10 calling plans.  The
Company and its affiliates filed for chapter 11 protection on
November 1, 2004 (Bankr. N.D. Tex. Case No. 04-81694.  Daniel C.
Stewart, Esq., William L. Wallander, Esq., and Richard H. London,
Esq., at Vinson & Elkins, represented the Debtors in their
restructuring efforts.  J. Michael Sutherland, Esq., and Stephen
A. Goodwin, Esq., at Carrington Coleman Sloman & Blumenthal,
represented the Official Committee of Unsecured Creditors.

On June 16, 2006, the Debtors' Chapter 11 cases were converted
into liquidation proceedings under Chapter 7 of the Bankruptcy
Code.  Jeffrey H. Mims was subsequently appointed as Chapter 7
Trustee.  J. Michael Sutherland, Esq., at Carrington Coleman
Sloman & Blumenthal, LLP, represents the Mr. Mims.  Craig H.
Averch, Esq., at White & Case, LLP, represents the Official
Committee of Excel Independent Representatives.

When the Company filed for protection from its creditors, it
listed more than $100 million in assets and debts.


VERASUN ENERGY: Successful IPO Cues S&P to Upgrade Rating to B+
---------------------------------------------------------------
Standard & Poor's Ratings Services raised its corporate credit
rating on ethanol producer VeraSun Energy Corp. to 'B+' from 'B-'
and removed the rating from CreditWatch with positive
implications.  The outlook is stable.

"The upgrade was driven by the company's successful IPO and its
ability to generate cash in order to finance its strategic
growth," said Standard & Poor's credit analyst Daniel Welt.

On June 14, 2006, VeraSun successfully completed its IPO.  The
company will use the $233 million in net proceeds, along with cash
from operations, to finance two new 110 million gallons per year
ethanol facilities in Hartley, Iowa, and Welcome, Minnesota.

Ratings stability reflects VeraSun's conservative capital
structure and expected retention and reinvestment of cash flow.
The uncertainty concerning the long-term viability of the ethanol
industry is reflected in the rating.

"We expect the company to maintain its conservative capital
structure and its productive reinvestment of cash flow," said Mr.
Welt.

Given the risks and uncertainties surrounding the ethanol
industry, the rating is likely to be limited on the upside to the
'B' rating category for the foreseeable future.


W.R. GRACE: Wants to Conduct Rule 2004 Exam on Various Parties
--------------------------------------------------------------
Kirkland & Ellis LLP, counsel for W.R. Grace & Co. and its debtor-
affiliates, sent on July 6, 2006, a letter to certain parties
enclosing a request for production of documents pursuant to Rules
2004 and 7034 of the Federal Rules of Bankruptcy Procedure and
Rules 26 and 34 of the Federal Rules of Civil Procedure.

The Discovery Parties are:

   * the Official Committee of Asbestos Personal Injury
     Claimants;

   * the Official Committee of Asbestos Property Damage
     Claimants;

   * David Austern, the Court-appointed legal representative for
     future asbestos claimants;

   * the Zonolite Attic Insulation Claimants; and

   * certain claimants asserting personal injury claims relating
     to the W.R. Grace & Co. vermiculite mine in Libby, Montana.

The Request sought all documents relating to any agreement,
arrangement or contract entered into within or among the
Discovery Parties relating to any potential Chapter 11 plan of
reorganization, plan negotiations, claims payment, valuation of
claims, or other resolution of the Debtors' Chapter 11
proceedings.

Scott Baena, Esq., at Bilzin Sumberg Baena Price & Axelrod, LLP,
in Miami, Florida, counsel to the PD Committee, corresponded to
Kirkland on July 7, 2006, indicating that certain documents would
be produced, but that the Parties did not intend to fully comply
with the formal Request.

On July 17, 2006, Mr. Baena provided Kirkland a series of
electronic mail concerning an agreement among the Discovery
Parties relating to any potential plan or resolution of the
Chapter 11 cases.  Mr. Baena indicated that the Discovery Parties
did not believe the Request was appropriate, hence, he would not
confirm whether other responsive documents existed which were not
produced.

Against this backdrop, the Debtors ask the U.S. Bankruptcy Court
for the District of Delaware to compel the Discovery Parties to
produce to Kirkland documents relating to the Announced Agreement.

With the anticipation that their initial request for production
will need to be supplemented as more facts are learned, the
Debtors further ask the Court to impose a continuing obligation
on the Discovery Parties to respond to their requests.

The Debtors assert that the requested production of documents is
crucial to their ability to formulate a confirmable plan of
reorganization.

                         About W.R. Grace

Headquartered in Columbia, Maryland, W.R. Grace & Co. (NYSE:GRA)
-- http://www.grace.com/-- supplies catalysts and silica
products, especially construction chemicals and building
materials, and container products globally.  The Company and its
debtor-affiliates filed for chapter 11 protection on April 2, 2001
(Bankr. D. Del. Case No. 01-01139).  James H.M. Sprayregen, Esq.,
at Kirkland & Ellis, and Laura Davis Jones, Esq., at Pachulski,
Stang, Ziehl, Young, Jones & Weintraub, P.C., represent the
Debtors in their restructuring efforts.  The Debtors hired
Blackstone Group, L.P., for financial advice.
PricewaterhouseCoopers LLP is the Debtors' accountant.

Stroock & Stroock & Lavan LLP represent the Official Committee of
Unsecured Creditors.  The Creditors Committee tapped Capstone
Corporate Recovery LLC for financial advice.  David T. Austern,
the legal representative of future asbestos personal injury
claimants, is represented by Orrick Herrington & Sutcliffe LLP and
Phillips Goldman & Spence, PA.  Elihu Inselbuch, Esq., and
Nathan D. Finch, Esq., at Caplin & Drysdalerepresent the
Official Committee of Asbestos Personal Injury Claimants.  
The Asbestos Committee of Property Damage Claimants tapped
Scott L. Baena, Esq., and Jay M. Sakalo, Esq., at Bilzin
Sumberg Baena Price & Axelrod LLP to represent it.  Lexecon,
LLP, provided asbestos claims consulting services to the Official
Committee of Equity Security Holders.


W.R. GRACE: Court Fixes Oct. 16 & Nov. 15 as Asbestos PI Bar Dates
------------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware establishes
October 16, 2006, as the deadline for all persons and entities
asserting settled prepetition asbestos personal injury claims to
file their W.R. Grace & Co. Asbestos PI Proof of Claim.

The Settled Prepetition Asbestos PI Claim is an asbestos-related
claim for personal injury or wrongful death alleged to have been
caused, in whole or in part, by exposure to asbestos or asbestos-
containing material to which one or more of the Debtors were held
legally responsible, and that claim against the Debtors:

   (1) was filed in court as a lawsuit or civil action before
       the Petition Date; and

   (2) is subject to a settlement agreement that:

          -- is evidenced by writing dated before the Petition
             Date;

          -- is enforceable under applicable non-bankruptcy law;

          -- provides for a release of one or more of the
             Debtors; and

          -- has not been fully paid or satisfied by any of the
             Debtors.

Judge Fitzgerald also sets the deadline for claimants asserting
non-settled prepetition asbestos PI claims to file their Asbestos
PI Proof of Claim on November 15, 2006.

The Prepetition Asbestos PI Litigation Claim may consist of a
Non-Settled Prepetition Asbestos PI Claim, a Settled Prepetition
Asbestos PI Claim, or both.

Asbestos PI Proofs of Claim that are postmarked as mailed on or
before the applicable Asbestos PI Bar Dates, but are actually
received thereafter, will be deemed and considered timely filed.

Judge Fitzgerald rules that any Prepetition Asbestos PI
Litigation Claim holder who fails to file an Asbestos PI Proof of
Claim on or before the Asbestos PI Bar Dates will be forever
barred, estopped, and enjoined from:

   (i) asserting a claim against any of the Debtors or the
       Section 524(g) trust to be established under the Debtors'
       Chapter 11 plan of reorganization; or

  (ii) receiving distributions under any plan in the Debtors'
       cases.

The Order will not in any way apply to:

   (a) an asbestos-related property damage claim;

   (b) a property damage claim arising from Zonolite attic
       insulation;

   (c) an asbestos-related claim for which a lawsuit or civil
       action has been filed exclusively seeking or exclusively
       predicated on medical monitoring;

   (d) an asbestos-related workers' compensation claim;

   (e) any asbestos-related claim for personal injury or
       wrongful death that does not satisfy the definitions of a
       Settled Prepetition Asbestos PI Claim and a Non-Settled
       Prepetition Asbestos PI Claim;

   (f) any asbestos-related claim for personal injury or wrongful
       death that would otherwise satisfy the definition of a
       Settled Prepetition Asbestos PI Claim or a Non-Settled
       Prepetition Asbestos PI Claim, but has been disallowed
       or expunged by court order; and

   (g) an asbestos-related claim for personal injury or wrongful
       death that had not been filed in court as a lawsuit or
       civil action against any of the Debtors as of the
       Petition Date.

If a party holds a Prepetition Asbestos PI Litigation Claim
against more than one of the Debtors, that party need not file a
separate Asbestos PI Proof of Claim form against each of the
Debtors.  Any Settled Prepetition Asbestos PI Claim holder must
indicate "supporting documentation" on the Asbestos PI Proof of
Claim form and supply.

Judge Fitzgerald further rules that if the Asbestos PI Proof of
Claim reflects a settlement amount that does not correspond with
the Debtors' settlement records, the Debtors will so notify and
send the claimant a W.R. Grace Asbestos Personal Injury
Questionnaire within 21 calendar days after receipt of the
Asbestos PI Proof of Claim.

                         About W.R. Grace

Headquartered in Columbia, Maryland, W.R. Grace & Co. (NYSE:GRA)
-- http://www.grace.com/-- supplies catalysts and silica
products, especially construction chemicals and building
materials, and container products globally.  The Company and its
debtor-affiliates filed for chapter 11 protection on April 2, 2001
(Bankr. D. Del. Case No. 01-01139).  James H.M. Sprayregen, Esq.,
at Kirkland & Ellis, and Laura Davis Jones, Esq., at Pachulski,
Stang, Ziehl, Young, Jones & Weintraub, P.C., represent the
Debtors in their restructuring efforts.  The Debtors hired
Blackstone Group, L.P., for financial advice.
PricewaterhouseCoopers LLP is the Debtors' accountant.

Stroock & Stroock & Lavan LLP represent the Official Committee of
Unsecured Creditors.  The Creditors Committee tapped Capstone
Corporate Recovery LLC for financial advice.  David T. Austern,
the legal representative of future asbestos personal injury
claimants, is represented by Orrick Herrington & Sutcliffe LLP and
Phillips Goldman & Spence, PA.  Elihu Inselbuch, Esq., and
Nathan D. Finch, Esq., at Caplin & Drysdalerepresent the
Official Committee of Asbestos Personal Injury Claimants.  
The Asbestos Committee of Property Damage Claimants tapped
Scott L. Baena, Esq., and Jay M. Sakalo, Esq., at Bilzin
Sumberg Baena Price & Axelrod LLP to represent it.  Lexecon,
LLP, provided asbestos claims consulting services to the Official
Committee of Equity Security Holders.


WHITAKER'S INC: Case Summary & 20 Largest Unsecured Creditors
-------------------------------------------------------------
Debtor: Whitaker's Inc. of Sumter
        P.O. Box 147
        Mayesville, SC 29104

Bankruptcy Case No.: 06-03636

Type of Business: The Debtor is a high-volume kitchen
                  cabinet manufacturer.

Chapter 11 Petition Date: August 22, 2006

Court: District of South Carolina (Columbia)

Judge: Helen E. Burris

Debtor's Counsel: Barbara George Barton, Esq.
                  Robinson, Barton, McCarthy,
                  Calloway & Johnson, P.A.
                  P.O. Box 12287
                  Columbia, SC 29211
                  Tel: (803) 256-6400

Total Assets: $1,234,991

Total Debts:  $5,578,802

Debtor's 20 Largest Unsecured Creditors:

   Entity                           Claim Amount
   ------                           ------------
Internal Revenue Service              $1,600,000
Insolvency Group 4, MDP 39
1835 Assembly Street, Room 469
Columbia, SC 29201

Carolina First                          $400,000
P.O. Box 100201
Columbia, SC 29202

Workers Compensation Trust Fund         $375,000
c/o Richard Detwiler Esq.
P.O. Box 1390
Columbia, SC 29202-1390

Capitoline Products, Inc.               $107,758
100 Capitoline Drive
Rome, GA 30165-7431

South Carolina Department of Revenue     $60,000
c/o Joe S. Dusenbury, Jr.
P.O. Box 12265
Columbia, SC 29211

Carolina First                           $48,989

Cronland Lumber Co., Inc.                $33,750

Employers Insurance of Wassau            $30,203

Ferrari American Inc.                    $25,232

Wilson Art International                 $22,449

Alpine Sales                             $21,196

Shaw Lumber Co., Inc.                    $20,000

Gates Petroleum Co.                      $19,846

Wachovia Bank Card Services              $16,880

Altman Tractor and Equipment Co., Inc.   $16,485

Card Services                            $15,278

Carolina Fasteners, Inc.                 $14,975

Richmond Wood Products Ltd.              $14,508

Exxon                                    $14,503

Hardwoods of Morganton Inc.              $13,939


WINN-DIXIE: Can Enter Into Liberty Surety Bonds Agreement
---------------------------------------------------------
The Honorable Jerry A. Funk of the U.S. Bankruptcy Court for the
Middle District of Florida authorized Winn-Dixie Stores, Inc., and
its debtor-affiliates to enter into a surety credit facility with
Liberty Mutual Insurance Company pursuant to Sections 105(a) and
363 of the Bankruptcy Code.

As reported in the Troubled Company Reporter on July 31, 2006, the
Debtors must have a surety post, bonds, or other forms of security
to comply with workers' compensation insurance, governmental
licensing, tax and other regulations and to maintain or establish
water, waste, telephone and electric utility accounts, D.J. Baker,
Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, in New York,
related.

Before the Debtors filed for bankruptcy, Liberty provided them
with a surety facility.  Under a General Agreement of Indemnity
dated Jan. 23, 2003, Liberty posted numerous bonds under which the
Debtors agreed to reimburse Liberty for any loss, damage or
expense incurred by reason of any bonds issued on the Debtors'
behalf.

As of Feb. 21, 2005, bonds aggregating $41,000,000 remained
outstanding.  Through Court-approved transactions and
settlements, the aggregate amount of the bonds has been reduced
to around $35,000,000, Mr. Baker relates.

The Debtors' reimbursement obligation to Liberty is backed by a
letter of credit for $19,999,793 issued by Wachovia Bank, N.A.
Liberty filed proofs of claim against the Debtors, alleging
contingent fees of up to $41,000,000, plus attorneys' fees and
expenses.

Earlier in the Chapter 11 cases, the Debtors were unable to reach
an agreement with Liberty on the posting of new surety bonds on
terms favorable to the Debtors.  The Debtors therefore sought and
obtained the Court's consent to enter into a general surety
indemnity agreement with RLI Insurance Company, following the
unsuccessful negotiations with Liberty.

However, Liberty resumed negotiations with the Debtors and the
parties have reached an agreement that justifies the Debtors'
entry into the Surety Credit Facility with Liberty despite the
previous agreement with RLI, Mr. Baker says.

The principal terms of the Surety Credit Facility are:

   (1) Liberty will provide the Debtors with up to $50,000,000 in
       surety credit for 18 months from the date of the closing
       of the Facility;

   (2) All outstanding surety bonds as of July 21, 2006, that were
       issued by Liberty will remain in full force and effect for
       the duration of the Facility;

   (3) Premium will be charged on all bonds at the net rate of
       $15.30 per $1,000 of bond penal sum, with a minimum
       premium of $100 for issuance of any single bond;

   (4) Upon closing of the Facility, the Debtors will pay Liberty
       a $630,000 facility fee in exchange for Liberty's waiver
       of any claims for reimbursement of professional fees and
       expenses through June 30, 2006, and withdrawal of all
       proofs of claim previously filed with the Court;

   (5) The Debtors will reimburse Liberty for attorneys' fees and
       expenses incurred after June 30, 2006, in connection with
       their Chapter 11 proceeding, the bonds and the Facility;

   (6) All bonds issued by Liberty after closing will be
       consistent with the type of the outstanding surety bonds;

   (7) Liberty will consider applications of bond issuance on a
       case-to-case basis, requiring special terms and
       conditions for certain types of bonds;

   (8) Liberty will continue to hold the Letter of Credit as
       collateral for all bonded and indemnity obligations owed
       by the Debtors; and

   (9) The Debtors will assume the liabilities and obligations
       under the Liberty General Agreement of Indemnity, which
       bulk of liabilities are associated with nearly $27,000,000
       of bonds backing the Debtors' workers' compensation
       obligations.

Liberty and the Debtors continue to negotiate the definitive
documentation that will govern the Surety Credit Facility.  They
agree that the documentation will contain indemnity provisions in
favor of Liberty.

As of July 21, 2006, 64 bonds of various types aggregating
$33,871,688 remain outstanding.  The Debtors have applied for six
miscellaneous bonds, aggregating $6,320,000, which Liberty has
agreed to issue immediately after the closing of the transaction.

The aggregate amount of surety credit available under the
Facility is reduced by the existing bonds and the miscellaneous
bonds, with the difference between the total amount of the
existing bonds and miscellaneous bonds and the $50,000,000
maximum amount remaining available for the issuance of new bonds
or increases in the penal sums of the existing bonds.

Mr. Baker related that the Surety Credit Facility is superior to
RLI's facility because:

   -- it has a significantly higher credit limit;

   -- Liberty has committed to issue the bonds on the Debtors'
      behalf immediately after the closing of the transaction,
      while RLI is under no obligation to issue any bonds; and

   -- Liberty's collateral requirements and premium rates are
      lower and provide the Debtors increased operational
      flexibility.

Headquartered in Jacksonville, Florida, Winn-Dixie Stores, Inc.
-- http://www.winn-dixie.com/-- is one of the nation's largest
food retailers.  The Company operates 527 stores in Florida,
Alabama, Louisiana, Georgia, and Mississippi.  The Company,
along with 23 of its U.S. subsidiaries, filed for chapter 11
protection on Feb. 21, 2005 (Bankr. S.D.N.Y. Case No. 05-11063,
transferred Apr. 14, 2005, to Bankr. M.D. Fla. Case Nos.
05-03817 through 05-03840).  D.J. Baker, Esq., at Skadden
Arps Slate Meagher & Flom LLP, and Sarah Robinson Borders,
Esq., and Brian C. Walsh, Esq., at King & Spalding LLP,
represent the Debtors in their restructuring efforts.
Paul P. Huffard at The Blackstone Group, LP, gives
financial advisory services to the Debtors.  Dennis F. Dunne,
Esq., at Milbank, Tweed, Hadley & McCloy, LLP, and John B.
Macdonald, Esq., at Akerman Senterfitt give legal advice to the
Official Committee of Unsecured Creditors.  Houlihan Lokey &
Zukin Capital gives financial advisory services to the
Committee.  When the Debtors filed for protection from their
creditors, they listed $2,235,557,000 in total assets and
$1,870,785,000 in total debts.  (Winn-Dixie Bankruptcy News,
Issue No. 49; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


WINN-DIXIE: Judge Funk Okays Assumption of 30 Store Leases
----------------------------------------------------------
The Honorable Jerry A. Funk of the U.S. Bankruptcy Court for the
Middle District of Florida authorized Winn-Dixie Stores, Inc., and
its debtor-affiliates to assume the leases of Store Nos. 30, 80,
138, 144, 176, 209, 221, 254, 256, 260, 265, 278, 287, 290, 328,
348, 353, 356, 463, 517, 607, 611, 662, 672, 1404, 1449, 2217,
2265, 2323 and 2602.

The Court continues the hearing on the Debtors' request as to the
leases of Store Nos. 2, 81, 153, 167, 218, 222, 231, 243, 250,
279, 281, 359, 375, 426, 454, 460, 556, 631, 637, 651, 656, 660,
698, 737, 777, 1537, 2211, 2258, 2267, 2289, 2301, 2311 and 2348
to Sept. 7, 2006.

Judge Funk overrules Concord-Fund IV Retail, LP's objection to
the Debtors' proposed assumption of the lease of Store No. 254.

According to Judge Funk, Concord-Fund has presented no evidence
to the Court that the Store 254 Lease has been terminated.  He
authorizes the Debtors to assume the Lease, pursuant to Section
365 of the Bankruptcy Code.

The Debtors' request and the cure and assumption objections filed
by the landlord for Store Nos. 84, 599, 736, 1852, 2213, 2230 and
2333 will be treated by a separate Court Order.

Judge Funk directs the Debtors to pay the landlords any
undisputed cure amounts due on the effective date of the Debtors'
Joint Plan of Reorganization.  If the Debtors are unable to
resolve the Cure Objections consensually, the Debtors will set
the Cure Objections for hearing before the Court.

Judge Funk clarifies that if the Effective Date does not occur,
the Court Order will be null and void.

Headquartered in Jacksonville, Florida, Winn-Dixie Stores, Inc.
-- http://www.winn-dixie.com/-- is one of the nation's largest
food retailers.  The Company operates 527 stores in Florida,
Alabama, Louisiana, Georgia, and Mississippi.  The Company,
along with 23 of its U.S. subsidiaries, filed for chapter 11
protection on Feb. 21, 2005 (Bankr. S.D.N.Y. Case No. 05-11063,
transferred Apr. 14, 2005, to Bankr. M.D. Fla. Case Nos.
05-03817 through 05-03840).  D.J. Baker, Esq., at Skadden
Arps Slate Meagher & Flom LLP, and Sarah Robinson Borders,
Esq., and Brian C. Walsh, Esq., at King & Spalding LLP,
represent the Debtors in their restructuring efforts.
Paul P. Huffard at The Blackstone Group, LP, gives
financial advisory services to the Debtors.  Dennis F. Dunne,
Esq., at Milbank, Tweed, Hadley & McCloy, LLP, and John B.
Macdonald, Esq., at Akerman Senterfitt give legal advice to the
Official Committee of Unsecured Creditors.  Houlihan Lokey &
Zukin Capital gives financial advisory services to the
Committee.  When the Debtors filed for protection from their
creditors, they listed $2,235,557,000 in total assets and
$1,870,785,000 in total debts.  (Winn-Dixie Bankruptcy News,
Issue No. 50; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


* Upcoming Meetings, Conferences and Seminars
---------------------------------------------
September 6, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      4th Annual Alberta Golf Tournament
         Kananaskis Country Golf Course, Kananaskis, Alberta
            Contact: 403-294-4954 or http://www.turnaround.org/

September 7, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Business Mixer
         TBA, Seattle, Washington
            Contact: 503-223-6222 or http://www.turnaround.org/

September 7-8, 2006
   EUROMONEY
      Leveraged Finance
         Hotel Rey Juan Carlos I, Barcelona, Spain
            Contact: http://www.euromoneyplc.com/

September 7-8, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Saratoga Regional Conference
         Gideon Putnam Hotel, Saratoga Springs, New York
            Contact: http://www.turnaround.org/

September 7-8, 2006
   AMERICAN BANKRUPTCY INSTITUTE
      Complex Financial Restructuring Program
         Wynn Las Vegas, Las Vegas, NV
            Contact: 1-703-739-0800; http://www.abiworld.org/

September 7-9, 2006
   AMERICAN BANKRUPTCY INSTITUTE
      Southwest Bankruptcy Conference
         Wynn Las Vegas, Las Vegas, Nevada
            Contact: 1-703-739-0800; http://www.abiworld.org/

September 8-9, 2006
   AMERICAN BANKRUPTCY INSTITUTE
      International Insolvency Symposium
         London, England
            Contact: http://www.turnaround.org/

September 9, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      ALS Walk 4 Life
         Montrose Harbor, Chicago, IL
            Contact: 815-469-2935 or http://www.turnaround.org/

September 11, 2006
   AMERICAN BANKRUPTCY INSTITUTE / NEW YORK INSTITUTE OF CREDIT
      Golf Outing
         Montammy Golf Club, Alpine, NJ
            Contact: http://www.abiworld.org/

September 12, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      ACG/TMA Joint Movie - Enron: The Smartest Guys in the Room
      TBD, AZ
            Contact: 623-581-3597 or http://www.turnaround.org/

September 13, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast Meeting
         Marriott Tyson's Corner, Vienna, Virginia
            Contact: 703-912-3309 or http://www.turnaround.org/

September 13, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Networking Breakfast
         TBA, Secaucus, New Jersey
            Contact: 908-575-7333 or http://www.turnaround.org/

September 13, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      LI Turnaround Formal Event
         Long Island, New York
            Contact: http://www.turnaround.org/

September 13, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Networking Function
         Sydney, Australia
            Contact: 0438 653 179 or http://www.turnaround.org/

September 13, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Formal Event - Major Speaker to be Announced
         Long Island, New York
            Contact: 631-251-6296 or http://www.turnaround.org/

September 13-15, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Texas Regional Conference
         Hyatt Regency Resort & Spa
            Lost Pines, TX
               Contact: 870-760-7116 or http://www.turnaround.org/

September 14, 2006
   ASSOCIATION OF INSOLVENCY & RESTRUCTURING ADVISORS
      Advanced Restructuring and Plan of Reorganization
         Park Central, New York, NY
               Contact: http://www.airacira.org/

September 14, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Kick-Off Reception
         Westin Buckhead, Atlanta, GA
            Contact: 678-795-8103 or http://www.turnaround.org/

September 15, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      BOK Review - Management
         Gardner Carton & Douglas, Chicago, IL
            Contact: 815-469-2935 or http://www.turnaround.org/

September 17-24, 2006
   NATIONAL ASSOCIATION OF BANKRUPTCY TRUSTEES
      Optional Alaska Cruise
         Seattle, Washington
            Contact: 800-929-3598 or http://www.nabt.com/

September 19-20, 2006
   STRATEGIC RESEARCH INSTITUTE
      2nd Annual Euro Distressed Debt Summit
         Le Meridien Parkhotel, Frankfurt, Germany
            Contact: http://www.srinstitute.com/

September 20, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      South Florida Dinner
         Bankers Club, Miami, Florida
            Contact: 561-882-1331 or http://www.turnaround.org/

September 21, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Young Professionals Group - "Conversations in Networking"
         Dave & Buster's, Philadelphia, PA
            Contact: 215-657-5551 or http://www.turnaround.org/

September 21, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Restructuring Workshop With US
      Bankruptcy Judges Hale, Nelms and Lynn
         Belo Mansion - The Pavilion, Dallas, TX
            Contact: http://www.turnaround.org/

September 24, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Restructuring the Troubled High Tech Company
         Arizona
            Contact: http://www.turnaround.org/

September 25, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      10th Annual Turnaround Tee-off Golf Tournament & Fundraiser
         Green Valley Country Club, Lafayette Hill, PA
            Contact: 215-657-5551 or http://www.turnaround.org/

September 25, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Carolinas Membership Luncheon featuring a presentation by
      James Porter of Mesirow Financial
         City Club, Charlotte, NC
            Contact: 704-319-2288 or http://www.turnaround.org/

September 26, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Luncheon
         Centre Club, Tampa, Florida
            Contact: 561-882-1331 or http://www.turnaround.org/

September 27, 2006
   BEARD AUDIO CONFERENCES
      Year One of BAPCPA: Lessons Learned and Outlook
         A Look at the Business Provisions One Year Later
            Contact: 240-629-3300
            Or http://www.beardaudioconferences.com/

September 27, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Joint Education Program with NYIC Joint Reception
         CFA/RMA/IWIRC
         Woodbridge Hilton, Iselin, NJ
            Contact: http://www.turnaround.org/

September 26-27, 2006
   EUROMONEY
      Asia Pacific High Yield Debt Summit
         JW Marriott Hotel, Hong Kong
            Contact: http://www.euromoneyplc.com/

September 27, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      7th Annual Cross Border Business Restructuring and
         Turnaround Conference
         Banff, Alberta
            Contact: http://www.turnaround.org/

September 27, 2006
   ASSOCIATION OF INSOLVENCY & RESTRUCTURING ADVISORS
      New York Luncheon - Pension Panel Program
      Harmonie Club, New York, NY
           Contact: 541-58-1665 or http://www.airacira.org/

October 3, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Networking Organization of Women Networking Event/
      Fundraiser
         TBD, Philadelphia, PA
            Contact: 215-657-5551 or http://www.turnaround.org/

October 3, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      3rd Annual Golf Outing
         Fox Chapel Golf Club, Pittsburgh, PA
            Contact: 412-644-8794 or http://www.turnaround.org/

October 5, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Commercial Lenders Breakfast
         Sydney, Australia
            Contact: 0438 653 179 or http://www.turnaround.org/

October 6, 2006
   AMERICAN BANKRUPTCY INSTITUTE
      Bankruptcy 2006: Views from the Bench
         Georgetown University Law Center, Washington, DC
            Contact: 1-703-739-0800; http;//www.abiworld.org/

October 10, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast Meeting
         Center Club, Baltimore, Maryland
            Contact: 703-912-3309 or http://www.turnaround.org/

October 11, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Professional Development Meeting
         Sydney, Australia
            Contact: 0438 653 179 or http://www.turnaround.org/

October 12, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      UTS Fundamentals of Turnaround Management
         Melbourne, Australia
            Contact: 0438 653 179 or http://www.turnaround.org/

October 11-14, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      2006 Annual Conference
         Milleridge Cottage, Long Island, New York
            Contact: 312-578-6900; http://www.turnaround.org/

October 12, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      UTS Fundamentals of Turnaround Management
         Mecure Hotel - Haymarket, Sydney, Australia
            Contact: http://www.turnaround.org/

October 16, 2006
   AMERICAN BANKRUPTCY INSTITUTE
      A Year After BAPCPA
         Georgetown University Law Center, Washington, DC
            Contact: 1-703-739-0800; http://www.abiworld.org/

October 18-19, 2006
   EUROMONEY
      2nd Annual Latin America Syndicated Loans Conference
         JW Marriott Hotel, Miami, FL
            Contact: http://www.euromoneyplc.com/

October 17, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Updates on the New Bankruptcy Law
         Kansas City, Missouri
            Contact: http://www.turnaround.org/

October 19, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Billards Networking Night - Young Professionals
         TBA, New Jersey
            Contact: 908-575-7333 or http://www.turnaround.org/

October 26, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Hedge Funds - Expanded Financing Opportunities in Business
      Turnarounds
         Arizona
            Contact: http://www.turnaround.org/

October 26, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast Speaker Series #3
         TBA, Calgary, Alberta
            Contact: 403-294-4954 or http://www.turnaround.org/

October 26, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast Speaker Series #3
         TBA, Calgary, Alberta
            Contact: 403-294-4954 or http://www.turnaround.org/

October 27, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast with Coach Dan Reeves
         Westin Buckhead, Atlanta, GA
            Contact: 678-795-8103 or http://www.turnaround.org/

October 28, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      BK/TMA Golf Tournament
         Orange Tree Golf Resort, AZ
            Contact: 623-581-3597 or http://www.turnaround.org/

October 30-31, 2006
   Distressed Debt Summit: Preparing for the Next Default Cycle
      Financial Research Associates LLC
         Helmsley Hotel, New York, NY
            Contact: http://www.frallc.com/

October 31, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Luncheon
         Citrus Club, Orlando, Florida
            Contact: 561-882-1331 or http://www.turnaround.org/

October 31 - November 1, 2006
   INTERNATIONAL WOMEN'S INSOLVENCY & RESTRUCTURING CONFEDERATION
      IWIRC Annual Conference
         San Francisco, California
            Contact: http://www.iwirc.com/

November 1, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Halloween Isn't Over! - Ghosts of turnarounds past who
         remind you about what you should have done differently
            Portland, Oregon
               Contact: http://www.turnaround.org/

November 1-4, 2006
   NATIONAL CONFERENCE OF BANKRUPTCY JUDGES
      National Conference of Bankruptcy Judges
         San Francisco, California
            Contact: http://www.ncbj.org/

November 2, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA UK Annual Conference
         Millennium Gloucester Hotel, London, UK
            Contact: http://www.turnaround.org/

November 2-3, 2006
   BEARD GROUP & RENAISSANCE AMERICAN CONFERENCES
      Third Annual Conference on Physician Agreements & Ventures
      Successful Strategies for Medical Transactions and
      Investments
         The Millennium Knickerbocker Hotel - Chicago
            Contact: 903-595-3800; 1-800-726-2524;
            http://www.renaissanceamerican.com/

November 7, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Networking Breakfast
         Marriott, Bridgewater, New Jersey
            Contact: 908-575-7333 or http://www.turnaround.org/

November 7-8, 2006
   EUROMONEY
      5th Annual Distressed Debt Investment Symposium
         Hyatt Regency, London, UK
            Contact: http://www.euromoneyplc.com/

November 8, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast Meeting
         Marriott Tyson's Corner, Vienna, Virginia
            Contact: 703-912-3309 or http://www.turnaround.org/

November 8, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Australia National Conference
         Sydney, Australia
            Contact: http://www.turnaround.org/

November 14, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Luncheon Program
         St. Louis, Missouri
            Contact: 815-469-2935 or http://www.turnaround.org/

November 15, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Joint Reception with NYIC/NYTMA
         TBA, New York
            Contact: 908-575-7333 or http://www.turnaround.org/

November 15, 2006
   LI TMA Formal Event
      TMA Australia National Conference
         Long Island, New York
            Contact: http://www.turnaround.org/

November 15, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      South Florida Dinner
         Citrus Club, Orlando, Florida
            Contact: 561-882-1331 or http://www.turnaround.org/

November 16, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Bankruptcy Judges Panel
         Duquesne Club, Pittsburgh, Pennsylvania
            Contact: http://www.turnaround.org/

November 16, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Dinner Program
         TBA, Seattle, Washington
            Contact: 503-223-6222 or http://www.turnaround.org/

November 16-17, 2006
   STRATEGIC RESEARCH INSTITUTE
      8th Annual West Distressed Debt Investing Forum
         Venetian Resort Hotel Casino, Las Vegas, NV
            Contact: http://www.srinstitute.com

November 23, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Martini Party
         Vancouver, British Columbia
            Contact: 403-294-4954 or http://www.turnaround.org/

November 27-28, 2006
   BEARD GROUP & RENAISSANCE AMERICAN CONFERENCES
      Thirteenth Annual Conference on Distressed Investing
      Maximizing Profits in the Distressed Debt Market
         The Essex House Hotel - New York
            Contact: 903-595-3800; 1-800-726-2524;
            http://www.renaissanceamerican.com/

November 28, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Luncheon
         Centre Club, Tampa, FL
            Contact: 561-882-1331 or http://www.turnaround.org/

November 29, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Special Program
         TBA, New Jersey
            Contact: 908-575-7333 or http://www.turnaround.org/

November 29, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Turnaround Industry Trends
         Jasna Polana, Princeton, NJ
            Contact: http://www.turnaround.org/

November 30-December 2, 2006
   AMERICAN BANKRUPTCY INSTITUTE
      Winter Leadership Conference
         Hyatt Regency at Gainey Ranch, Scottsdale, Arizona
            Contact: 1-703-739-0800; http://www.abiworld.org/

December 6, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Holiday Dinner
         Portland, Oregon
            Contact: 503-223-6222 or http://www.turnaround.org/

December 7, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Networking Breakfast
         The Newark Club, Newark, New Jersey
            Contact: 908-575-7333 or http://www.turnaround.org/

December 13, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      LI TMA Holiday Party
         TBA, Long Island, New York
            Contact: 631-251-6296 or http://www.turnaround.org/

December 13, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Christmas Function
         GE Commercial Finance, Sydney, Australia
            Contact: 0438 653 179 or http://www.turnaround.org/

December 20, 2006
   TURNAROUND MANAGEMENT ASSOCIATION
      Holiday Extravaganza - TMA, AVF & CFA
         Georgia Aquarium, Atlanta, GA
            Contact: 678-795-8103 or http://www.turnaround.org/

January 12, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      Annual Lender's Panel Breakfast
         Westin Buckhead, Atlanta, GA
            Contact: http://www.turnaround.org/

February 8-11, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      Certified Turnaround Professional (CTP) Training
         NY/NJ
            Contact: http://www.turnaround.org/

February 22, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA PowerPlay - Atlanta Thrashers
         Philips Arena, Atlanta, GA
            Contact: 678-795-8103 or http://www.turnaround.org/

February 25-26, 2007
   NORTON INSTITUTES
      Norton Bankruptcy Litigation Institute
         Marriott Park City, UT
            Contact: http://www2.nortoninstitutes.org/

February 2007
   AMERICAN BANKRUPTCY INSTITUTE
      International Insolvency Symposium
         San Juan, Puerto Rico
            Contact: 1-703-739-0800; http://www.abiworld.org/

March 15, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      Martini Madness Cocktail Reception with Geraldine Ferraro
         Westin Buckhead, Atlanta, GA
            Contact: 678-795-8103 or http://www.turnaround.org/

March 15-18, 2007
   NATIONAL ASSOCIATION OF BANKRUTPCY TRUSTEES
      NABT Spring Seminar
         Ritz-Carlton Buckhead, Atlanta, GA
            Contact: http://www.NABT.com/

March 27-31, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      Spring Conference
         Four Seasons Las Colinas, Dallas, Texas
            Contact: http://www.turnaround.org/

March 29-31, 2007
   ALI-ABA
      Chapter 11 Business Reorganizations
         Scottsdale, Arizona
            Contact: 1-800-CLE-NEWS; http://www.ali-aba.org/

April 11-15, 2007
   AMERICAN BANKRUPTCY INSTITUTE
      ABI Annual Spring Meeting
         J.W. Marriott, Washington, DC
            Contact: 1-703-739-0800; http://www.abiworld.org/

April 20, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      Breakfast meeting with Chapter President, Bruce Sim
         Westin Buckhead, Atlanta, GA
            Contact: 678-795-8103 or http://www.turnaround.org/

June 6-9, 2007
   ASSOCIATION OF INSOLVENCY & RESTRUCTURING ADVISORS
      23rd Annual Bankruptcy & Restructuring Conference
         Westin River North, Chicago, Illinois
            Contact: http://www.airacira.org/

June 14-17, 2007
   AMERICAN BANKRUPTCY INSTITUTE
      Central States Bankruptcy Workshop
         Grand Traverse Resort, Traverse City, Michigan
            Contact: 1-703-739-0800; http://www.abiworld.org/

June 28 - July 1, 2007
   NORTON INSTITUTES
      Norton Bankruptcy Litigation Institute
         Jackson Lake Lodge, Jackson Hole, WY
            Contact: http://www2.nortoninstitutes.org/

July 12-15, 2007
   AMERICAN BANKRUPTCY INSTITUTE
      Northeast Bankruptcy Conference
         Marriott, Newport, RI
            Contact: 1-703-739-0800; http://www.abiworld.org/

October 10-13, 2007
   NATIONAL CONFERENCE OF BANKRUPTCY JUDGES
      National Conference of Bankruptcy Judges
         Orlando, Florida
            Contact: http://www.ncbj.org/

October 16-19, 2007
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Annual Convention
         Marriott Copley Place, Boston, Massachusetts
            Contact: 312-578-6900; http://www.turnaround.org/

December 6-8, 2007
   AMERICAN BANKRUPTCY INSTITUTE
      Winter Leadership Conference
         Westin Mission Hills Resort, Rancho Mirage, California
            Contact: 1-703-739-0800; http://www.abiworld.org/

March 25-29, 2008
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Spring Conference
         Ritz Carlton Grande Lakes, Orlando, Florida
            Contact: http://www.turnaround.org/

September 24-27, 2008
   NATIONAL CONFERENCE OF BANKRUPTCY JUDGES
      National Conference of Bankruptcy Judges
         Scottsdale, Arizona
            Contact: http://www.ncbj.org/

October 28-31, 2008
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Annual Convention
         Marriott Copley Place, Boston, Massachusetts
            Contact: 312-578-6900; http://www.turnaround.org/

October 5-9, 2009
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Annual Convention
         Marriott Desert Ridge, Phoenix, Arizona
            Contact: 312-578-6900; http://www.turnaround.org/

2009 (TBA)
   NATIONAL CONFERENCE OF BANKRUPTCY JUDGES
      National Conference of Bankruptcy Judges
         Las Vegas, Nevada
            Contact: http://www.ncbj.org/

October 4-8, 2010
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Annual Convention
         JW Marriott Grande Lakes, Orlando, Florida
            Contact: http://www.turnaround.org/

2010 (TBA)
   NATIONAL CONFERENCE OF BANKRUPTCY JUDGES
      National Conference of Bankruptcy Judges
         New Orleans, Louisiana
            Contact: http://www.ncbj.org/

   BEARD AUDIO CONFERENCES
      Coming Changes in Small Business Bankruptcy
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Distressed Real Estate under BAPCPA
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      High-Yield Opportunities in Distressed Investing
         Audio Conference Recording
            Contact: 240-629-3300;
          http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Fundamentals of Corporate Bankruptcy and Restructuring
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Reverse Mergers - the New IPO?
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Dana's Chapter 11 Filing
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Employee Benefits and Executive Compensation
      under the New Code
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/


   BEARD AUDIO CONFERENCES
      Validating Distressed Security Portfolios: Year-End Price
      Validation and Risk Assessment
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Changing Roles & Responsibilities of Creditors' Committees
      Audio Conference Recording
         Contact: 240-629-3300;
         http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Calpine's Chapter 11 Filing
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Healthcare Bankruptcy Reforms
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      Changes to Cross-Border Insolvencies
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com/

   BEARD AUDIO CONFERENCES
      The Emerging Role of Corporate Compliance Panels
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com

   BEARD AUDIO CONFERENCES
      Privacy Rights, Protections & Pitfalls in Bankruptcy
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com

   BEARD AUDIO CONFERENCES
      High-Yield Opportunities in Distressed Investing
         Audio Conference Recording
            Contact: 240-629-3300;
            http://www.beardaudioconferences.com

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

                             *********

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/

On Thursdays, the TCR delivers a list of recently filed chapter 11
cases involving less than $1,000,000 in assets and liabilities
delivered to nation's bankruptcy courts.  The list includes links
to freely downloadable images of these small-dollar petitions in
Acrobat PDF format.

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.

Monthly Operating Reports are summarized in every Saturday edition
of the TCR.

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., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland,
USA.  Marie Therese V. Profetana, Robert Max Victor M. Quiblat II,
Shimero R. Jainga, Joel Anthony G. Lopez, Emi Rose S.R. Parcon,
Rizande B. Delos Santos, Cherry A. Soriano-Baaclo, Christian Q.
Salta, Jason A. Nieva, Lucilo M. Pinili, Jr., Tara Marie A. Martin
and Peter A. Chapman, Editors.

Copyright 2006.  All rights reserved.  ISSN: 1520-9474.

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

The TCR subscription rate is $725 for 6 months delivered via e-
mail. Additional e-mail subscriptions for members of the same firm
for the term of the initial subscription or balance thereof are
$25 each.  For subscription information, contact Christopher Beard
at 240/629-3300.

                    *** End of Transmission ***