TCR_Public/080408.mbx          T R O U B L E D   C O M P A N Y   R E P O R T E R

            Tuesday, April 8, 2008, Vol. 12, No. 83

                             Headlines

ABACUS 2006-11: Seven Note Classes Get Moody's Rating Downgrades
ABACUS 2006-14: Four Classes of Notes Get Moody's Junk Ratings
ABACUS 2006-15: Moody's Cuts Rating on $36 Mil. Notes From 'Aa1'
ABACUS 2007-AC1: Moody's Junks Ratings on Two Classes of Notes
AEOLUS PHARMA: To Take $49,000 Impairment Chg. in March 31 Quarter

AEOLUS PHARMA: Inks $230,000 Credit Agreement with UBS Financial
ALOHA AIRLINES: ALPA Helps Find Buyers for Operations
ALOHA AIRLINES: ALPA Offers to Help Transport Stranded Passengers
AMDL INC: Inks Sublicense Agreement for the MyGene HPV Chip Kit
ANALYTICAL SURVEYS: Jewett Schwartz Replaces Malone and Bailey

ANF DEER CREEK: Files Schedules of Assets and Liabilities
ARCLIN CANADA: S&P Changes Outlook to Negative; Holds 'B' Rating
BEAR STEARNS: Moody's Slashes Ratings on 57 Certs. to Junk Status
BLOCKBUSTER INC: Earns $38 Million in 4th Quarter ended January 6
CAIN MEZZ: Eroding Credit Quality Cues Moody's Four Junk Ratings

CAMBER 7: Moody's Junks Rating on $81 Mil. 2042 Notes From 'A3'
CAPITAL TRUST: S&P Cuts Ratings on 2005A and 2005A-T Bonds to 'BB'
CENTRO NP: Sells Certain Interests to NP Residential and Super LLC
CETUS ABS: Moody's Cuts Ratings on $100MM Notes to 'Ba2' From Aaa
CHIQUITA INTERNATIONAL: Inks New $350 Million Credit Facility

CHIQUITA BRANDS: Morten Arntzewn Resigns as Board Director
CITIMORTGAGE ALTERNATIVE: Moody's Cuts Ratings on Delinquencies
CITIUS I: Moody's Junks Ratings on $45 Million Notes From 'Aa2'
COLLEZIONE EUROPA: Obtains Court Ok to Hire Stump Corp. as Realtor
COMM 2007-FL14: S&P Keeps 'BB+' Rating on Two Classes of Certs.

COOKSON 2007: Moody's Junks Rating on $150 Mil. Notes From 'Baa3'
CREDIT SUISSE: S&P Downgrades Ratings on Four Classes of Certs.
CYGNUS BUSINESS: S&P Changes Outlook to Stable; Holds CCC+ Rating
DOV PHARMA: Board Dismisses PwC as Independent Auditors
EAU TECHNOLOGIES: Deficits Prompt Going Concern Opinion

ECO 2007-1: Four Classes of Notes Acquire Moody's Junk Ratings
EIRLES TWO: Eroding Credit Quality Cues Moody's Rating Downgrades
ENERGAS RESOURCES: Losses Prompt Going Concern Opinion
ENERGY PARTNERS: Closes Sale of Two Shelf Properties for $16.2MM
ENHERENT CORP: December 31 Balance Sheet Upside-Down by $245,000

EROOMSYSTEM TECHNOLOGIES: Management Raises Substantial Doubt
FIRST FRANKLIN: Moody's Cuts 46 Tranches' Ratings From Seven Deals
FOAMEX INT'L: December 30 Balance Sheet Upside-Down by $298MM
FOCUS ENHANCEMENTS: Burr Pilger Raises Substantial Doubt
FORT SHERIDAN: Three Classes of Notes Get Moody's Low-B Ratings

GENER8XION ENTERTAINMENT: Executive Officers Agree to 50% Pay Cut
GMAC LLC: Moody's Comments on $1.2BB Capital Injection to ResCap
GSAMP TRUST: Moody's Downgrades Ratings on Four Classes of Certs.
GSV INC: Recurring Losses Prompt UHY LLP's Going Concern Doubt
HILLCREST CDO: Poor Credit Quality Spurs Moody's Rating Reviews

INDYMAC HOME: Moody's Junks Ratings on Six Classes of Certificates
INTREPID TECH: Inks Securities Purchase Agreement with YA Global
LAKESIDE CDO I: Moody's Reviews 'Ba1' Notes Rating for Likely Cut
LAKESIDE CDO II: Moody's Cuts Ratings on $15 Mil. Notes to 'Ba3'
LOUISIANA RIVERBOAT: Files List of 30 Largest Unsecured Creditors

LUMINENT MORTGAGE: Grant Thorton Raises Substantial Doubt
MAAX HOLDINGS: Moody's Withdraws Junk Ratings for Business Reasons
MERISANT COMPANY: Moody's Withdraws 'B3' Ratings on Proposed Loan
MERRILL LYNCH: 52 Tranches Acquire Moody's Rating Downgrades
MICROFIELD GROUP: Liquidity Concerns Prompt Substantial Doubt

MILLSTONE II: Moody's Reviews Note Ratings for Likely Downgrades
MONTEREY CDO: Moody's Reviews Ratings on Eight Classes of Notes
MOVIE GALLERY: Voting Results Show Overwhelming Support for Plan
NEOMEDIA TECHNOLOGIES: Kingery & Crouse Raises Substantial Doubt
NIEUW HAARLEM: Moody's Cuts Ratings on $128.325 Mil. Notes to Ba1

NORCROSS SAFETY: $1.2BB Honeywell Deal Spurs S&P's Positive Watch
PEACE ARCH: Posts CDN$1.1 Million Net Loss in Qtr. Ended Nov. 30
PHH MORTGAGE: S&P Keeps Low-B Ratings on Two Classes of Certs.
POINT PLEASANT: Moody's Cuts $254.93 Mil. Notes From Aaa to 'Ba1'
PORT JACKSON: Moody's Junks Rating on $60 Mil. Notes From 'Ba1'

PROTECTIVE FINANCE: Moody's Attaches Low-B Ratings on Six Classes
RALI TRUSTS: Moody's Cuts Ratings on 119 Tranches From 22 Deals
RESIDENTIAL CAPITAL: Moody's Ratings Unmoved by Capital Injection
REVLON INC: Net Loss Slides to $16MM in Year ended December 31
RIVER RIM: Voluntary Chapter 11 Case Summary

ROADRUNNER RIVER: Files List of 12 Largest Unsecured Creditors
SEARCHHELP INC: Sept. 30 Balance Sheet Upside-Down by $1,710,469
SHEFFIELD CDO: Poor Credit Quality Cues Moody's Rating Downgrades
SIMMONS COMPANY: S&P Changes Outlook to Negative; Keeps 'B' Rating
SIMON WORLDWIDE: BDO Seidman Raises Substantial Doubt

SONIC CORP: Gabriel Tsampalieros Named to Board of Directors
SOUNDVIEW HOME: Six Classes of Certs. Get Moody's Junk Ratings
SR TELECOM: Reports $132.4 Million Net Loss in Year Ended Dec. 31
SR TELECOM: Closes $6 Million Sale of Asset to Group Legasse
STURGIS IRON: Case Summary & 20 Largest Unsecured Creditors

TAYLOR CAPITAL: Terminates Employment of Mark Garrigus with Bank
TELTRONICS INC: Dec. 31 Balance Sheet Upside-Down by $4.5 Million
TERWIN MORTGAGE: Moody's Downgrades Ratings on 37 Cert. Classes
THOMPSON PRODUCTS: Gets Authority to Employ DLA Piper as Counsel
THOMPSON PRODUCTS: Obtains Permission to Employ Albert Mink as CRO

THORNBURG MORTGAGE: S&P Junks Rating on ABCP Notes From 'A-1+'
VERMILLION INC: December 31 Balance Sheet Upside-Down by $11MM
WELWIND ENERGY: Posts CDN$752,399 Net Loss in Qtr. Ended Sept. 30

                             *********

ABACUS 2006-11: Seven Note Classes Get Moody's Rating Downgrades
----------------------------------------------------------------
Moody's Investors Service downgraded and left on review for
possible further downgrade the ratings on these notes issued by
Abacus 2006-11, Ltd.:

Class Description: $82,500,000 Class A-1 Variable Rate Notes Due
2045

  -- Prior Rating: Aaa
  -- Current Rating: Aa3, on review for possible downgrade

Class Description: $20,000,500 Class A-2 Series 1 Variable Rate
Notes Due 2045

  -- Prior Rating: Aa1, on review for possible downgrade
  -- Current Rating: A3, on review for possible downgrade

Class Description: $25,937,500 Class A-2 Series 2Variable Rate
Notes Due 2045

  -- Prior Rating: Aa1, on review for possible downgrade
  -- Current Rating: A3, on review for possible downgrade

Class Description: $19,375,000 Class B Variable Rate Notes Due
2045

  -- Prior Rating: Aa3, on review for possible downgrade
  -- Current Rating: Baa3, on review for possible downgrade

Class Description: $12,500,000 Class B Series 2 Variable Rate
Notes Due 2045

  -- Prior Rating: Aa3, on review for possible downgrade
  -- Current Rating: Baa3, on review for possible downgrade

Class Description: $18,750,000 Class C Variable Rate Notes Due
2045

  -- Prior Rating: A2, on review for possible downgrade
  -- Current Rating: Ba1, on review for possible downgrade

Class Description: $10,000,000 Class D Variable Rate Notes Due
2045

  -- Prior Rating: Baa1, on review for possible downgrade
  -- Current Rating: B1, on review for possible downgrade

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


ABACUS 2006-14: Four Classes of Notes Get Moody's Junk Ratings
--------------------------------------------------------------
Moody's Investors Service downgraded the ratings on these notes
issued by ABACUS 2006-14, Ltd.

Class Description: $20,000,000 Class A-2 Variable Rate Notes, Due
2045

  -- Prior Rating: Ba3, on review for possible downgrade
  -- Current Rating: Ca

Class Description: $10,000,000 Class A-2 Series 2 Variable Rate
Notes, Due 2045

  -- Prior Rating: Ba3, on review for possible downgrade
  -- Current Rating: Ca

Class Description: $36,684,375 Class B Variable Rate Notes, Due
2045

  -- Prior Rating: Caa3, on review for possible downgrade
  -- Current Rating: Ca

Class Description: $20,000,000 Class C Variable Rate Notes, Due
2045

  -- Prior Rating: Caa3, on review for possible downgrade
  -- Current Rating: Ca

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


ABACUS 2006-15: Moody's Cuts Rating on $36 Mil. Notes From 'Aa1'
----------------------------------------------------------------
Moody's Investors Service downgraded and left on review for
possible further downgrade the ratings on these notes issued by
ABACUS 2006-15, Ltd.:

Class Description: $70,000,000 Class A-2 Variable Rate Notes, Due
2045

  -- Prior Rating: Aaa, on review for possible downgrade
  -- Current Rating: Baa3, on review for possible downgrade

Class Description: $36,000,000 Class A-3 Variable Rate Notes, Due
2045

  -- Prior Rating: Aa1, on review for possible downgrade
  -- Current Rating: Ba2, on review for possible downgrade

Class Description: $37,500,000 Class B Series 1 Variable Rate
Notes, Due 2045

  -- Prior Rating: Aa3, on review for possible downgrade
  -- Current Rating: B2, on review for possible downgrade

Class Description: $6,000,000 Class B Series 2 Variable Rate
Notes, Due 2037

  -- Prior Rating: Aa3, on review for possible downgrade
  -- Current Rating: B2, on review for possible downgrade

Class Description: $41,150,000 Class C Series 1 Variable Rate
Notes, Due 2045

  -- Prior Rating: Ba2, on review for possible downgrade
  -- Current Rating: Caa1, on review for possible downgrade

Class Description: $2,850,000 Class C Series 2 Variable Rate
Notes, Due 2037

  -- Prior Rating: Ba2, on review for possible downgrade
  -- Current Rating: Caa1, on review for possible downgrade

Class Description: $14,650,000 Class D Series 1 Variable Rate
Notes, Due 2045

  -- Prior Rating: B1, on review for possible downgrade
  -- Current Rating: Caa2, on review for possible downgrade

Class Description: $2,850,000 Class D Series 2 Variable Rate
Notes, Due 2037

  -- Prior Rating: B1, on review for possible downgrade
  -- Current Rating: Caa2, on review for possible downgrade

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


ABACUS 2007-AC1: Moody's Junks Ratings on Two Classes of Notes
--------------------------------------------------------------
Moody's Investors Service downgraded the ratings on these notes
issued by ABACUS 2007-AC1, Ltd.:

Class Description: $50,000,000 Class A-1 Variable Rate Notes, Due
2038

  -- Prior Rating: Baa2, on review for possible downgrade
  -- Current Rating: Ca

Class Description: $142,000,000 Class A-2 Variable Rate Notes, Due
2038

  -- Prior Rating: Baa3, on review for possible downgrade
  -- Current Rating: Ca

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


AEOLUS PHARMA: To Take $49,000 Impairment Chg. in March 31 Quarter
---------------------------------------------------------------
Aeolus Pharmaceuticals Inc. disclosed Thursday that it expects to
take an impairment charge of $49,000 on its auction-rate
securities during the quarter ended March 31, 2008, based upon
reduced market values as determined based upon investments
statements as of March 31, 2008, received from UBS Financial
Services Inc.

The company has auction-rate securities with a par value of
$525,000 included in its investment portfolio.  The auction-rate
securities are AAA rated, long-term debt obligations secured by
student loans, which loans are generally guaranteed by the U.S.
Government under the Federal Family Education Loan Program.  In
addition to the U.S. Government guarantee on such student loans,
many of the securities also have separate insurance policies
guaranteeing both the principal and accrued interest.

The company said that in the past, the auction process has
generally allowed investors to obtain immediate liquidity if so
desired by selling the securities at their face amounts.  However,
the current disruptions in the credit markets have adversely
affected the auction market for these types of securities.  From
Feb. 26, 2008, to March 31, 2008, all auctions scheduled with
respect to the company's auction-rate securities failed to close.

The company said, however, that the auction-rate securities
continue to pay interest and there has been no change in the
rating of these securities to date.  The final maturity dates of
the auction-rate securities which the company owns is between 2029
and 2038.

Taking into account this other-than-temporary impairment charge,
the company's auction-rate securities had an estimated fair value
of approximately $476,000 as of March 31, 2008.

The company said that it will continue to monitor and evaluate the
market for these securities to determine if further impairment of
the carrying value of the securities has occurred due to the loss
of liquidity or for other reasons.  

The company also disclosed that if current conditions in the
auction-rate securities market continue into the fourth quarter of
fiscal 2008 or other unanticipated events occur prior to such
time, its financial condition and operations could be impacted
unless it can obtain other sources of capital at favorable terms
to the company.

The company further disclosed that it has filed a complaint
regarding its investments in auction-rate securities with UBS
Financial Services Inc. and is considering further actions against
UBS Financial Services, including but not limited to a mediation
or arbitration filing with the Financial Industry Regulatory
Authority, the governing body over financial institutions, or
other legal remedies.

                   About Aeolus Pharmaceuticals

Aeolus Pharmaceuticals Inc. (OTC BB: AOLS.OB) --
http://www.aeoluspharma.com/-- is developing a variety of   
therapeutic agents based on its proprietary small molecule
catalytic antioxidants, with AEOL 10150 being the first to enter
human clinical evaluation.   

At Dec. 31, 2007, the company's consolidated balance sheet showed
$1,293,000 in total assets, $606,000 in total liabilities, and
$687,000 in total stockholders' equity.

                     Going Concern Disclaimer

Haskell & White LLP, in Irvine, Calif., expressed substantial
doubt about Aeolus Pharmaceuticals Inc.'s ability to continue as a
going concern after auditing the company's consolidated financial
statements for the years ended Sept. 30, 2007, and 2006.  The
auditing firm reported that the company has suffered recurring
losses, negative cash flows from operations and does not currently
possess sufficient working capital to fund its operations
throughout the next fiscal year.  


AEOLUS PHARMA: Inks $230,000 Credit Agreement with UBS Financial
----------------------------------------------------------------
On March 27, 2008, Aeolus Pharmaceuticals, Inc. entered into a
secured credit agreement in the amount of up to $230,000 with UBS
Financial Services Inc.  On March 28, 2008, the company received
$230,000 under the credit agreement.  The credit agreement bears
interest at the per annum rate of LIBOR plus 0.25 percent.  

Availability of the line of credit is subject to the company's
compliance with certain financial and other covenants.   
Borrowings under the credit agreement are secured by the company's
investments held by UBS Financial Services Inc.  The proceeds of
the credit agreement will be used to provide working capital for
the company and its subsidiaries.

                   About Aeolus Pharmaceuticals

Aeolus Pharmaceuticals, Inc. (OTC BB: AOLS.OB) --
http://www.aeoluspharma.com/-- is developing a variety of   
therapeutic agents based on its proprietary small molecule
catalytic antioxidants, with AEOL 10150 being the first to enter
human clinical evaluation.   

At Dec. 31, 2007, the company's consolidated balance sheet showed
$1,293,000 in total assets, $606,000 in total liabilities, and
$687,000 in total stockholders' equity.

                     Going Concern Disclaimer

Haskell & White LLP, in Irvine, Calif., expressed substantial
doubt about Aeolus Pharmaceuticals Inc.'s ability to continue as a
going concern after auditing the company's consolidated financial
statements for the years ended Sept. 30, 2007, and 2006.  The
auditing firm reported that the company has suffered recurring
losses, negative cash flows from operations and does not currently
possess sufficient working capital to fund its operations
throughout the next fiscal year.  


ALOHA AIRLINES: ALPA Helps Find Buyers for Operations
-----------------------------------------------------
The Aloha Pilots Master Executive Council of the Air Line Pilots
Association International continued its efforts to help find
buyers for Aloha Airline Inc.'s operations and support Hawaii's
transportation and cargo needs by making a new proposal to assist
with continuing operations.

At the airline's request, ALPA offered more expeditious and
flexible procedures for retraining pilots for the smaller cargo
operation in accordance with their seniority rights.  In addition,
the pilots offered to substantially reduce the amount of furlough
pay to which they're entitled under their collective bargaining
agreement.  In return, the pilots sought the company's and
investor's help in continuing medical coverage for 30 days and
reduced rate travel to enable the search for new jobs in a
tightening market for pilots.  Very few pilot jobs are available
in Hawaii and Aloha has more than 300 pilots, most reside on the
islands.

Aloha Airlines management announced last weekend that it would
cease all passenger operations on March 31, just 10 days after
filing for Chapter 11 reorganization, the airline's second
bankruptcy in 3 years.  While the announcement may spell the end
of 61 years of operations for Aloha Airlines, it hasn't deterred
Aloha pilots, through their union leaders, from exploring every
avenue to assist the company.

"While the picture is grim, we're not going to stop trying to help
the islands and our company," said David Bird, Aloha MEC Chairman.
"We will never give up the Aloha spirit," continued Bird.

"The Aloha pilots have always displayed the highest sense of
loyalty and support for their company and our union.  ALPA will
not only defend their contract rights vigorously and represent
them in bankruptcy court, we will give everything we can to help
them move forward with their lives and careers," said Captain John
Prater, ALPA President.

The airline's announcement came as a surprise because management
recently continued to explore strategic options including looking
for larger aircraft and expanding operations to Asia.  Over the
past few months, Aloha pilots executed a series of Letters of
Agreement in response to management's plans.

Aloha filed first for bankruptcy in 2004, and pilots made
concessions to help improve the airline's financial position and
attract new investors.  The Aloha pilots agreed to a 20 percent
pay cut, productivity enhancements, and massive pension and
benefit reductions.  ALO pilots gave more than $12 million worth
of concessions to the airline to support its previous
restructuring efforts to ensure Aloha became profitable and a
stable airline.

                            About ALPA

The Air Line Pilots Association International --
http://www.alpa.org/ -- represents 61,000 airline pilots who fly  
for 43 airlines in the United States and Canada.

                       About Aloha Airlines

Based in Honolulu, Hawaii, Aloha Airgroup Inc., Aloha Airlines
Inc. -- http://www.alohaairlines.com/-- and its affiliates are    
carriers that fly passengers and freight to Hawaii's five major
airports, as well as to half a dozen destinations in the western
U.S.  They operate a fleet of about 20 aircraft, all Boeing 737s,
including three configured as freighters.

This is the airline's second bankruptcy filing.  Aloha filed for
Chapter 11 protection on Dec. 30, 2004 (Bankr. D. Hawaii Case No.
04-03063), and emerged from Chapter 11 bankruptcy protection in
February 2006.

The company and its affiliates filed again for Chapter 11
protection on March 18, 2008 (Bankr. D. Hawaii Lead Case No. 08-
00337).  Brian G. Rich, Esq., Jordi Guso, Esq., and Paul Steven
Singerman, Esq., at Berger Singerman P.A., and David C. Farmer,
Esq., represent the Debtors in their restructuring efforts.  When
the Debtors filed for protection from their creditors, they listed
estimated assets and debts of $100 million to $500 million.


ALOHA AIRLINES: ALPA Offers to Help Transport Stranded Passengers
-----------------------------------------------------------------
Pilots of Aloha Airlines Inc. made new offers to transport
stranded Mainland bound and Merrie Monarch passengers and
reiterated their standing offers to help Aloha Airlines
continue its cargo operation until a buyer can be found and
approved.

The Aloha Pilots Master Executive Council of the Air Line Pilots
Association International said they were willing to come to the
airport immediately to fly inter-island or mainland charter trips
with the idle Aloha airplanes sitting on the ramp at Honolulu
International Airport.  The Union voiced concern that their offers
are being frustrated by the actions of company senior management.

"We are going to keep trying to help our community and our company
during this difficult shut-down process," said David Bird, Aloha
MEC Chairman, "It is ridiculous that there are stranded passengers
in Hilo trying to get home from the Merrie Monarch Festival while
idle aircraft sit empty on the ramp with pilots available and
willing to fly."

Yesterday ALPA offered a more expeditious and flexible method
enabling the immediate re-training of pilots for the smaller cargo
operation in accordance with their seniority rights.  In addition,
the pilots offered to substantially reduce the amount of furlough
pay that pilots are entitled to under their collective bargaining
agreement.  In return, the pilots asked the company to honor its
contract and continue medical coverage for 30 days and travel
privileges to enable them to search for new jobs in a tightening
market for pilots.

Management has responded negatively to the pilots contract offer
from yesterday and used inflated cost figures to dismiss the
pilots' assistance offer.  Instead, management has taken steps to
frustrate that offer.  Management has sent pilots termination
letters, requested the return of their security and ID badges
making it impossible to clear security at the airport and shut off
access to company computers that would make it possible to bid
schedules for the continuing cargo operations.

Aloha pilots call on company management, interim lenders, the
Yucaipa Companies and the State of Hawaii to facilitate these
pilot assistance offers and to make funds available.  Aloha pilots
are willing to have the State or the U.S. Bankruptcy Court for the
District of Hawaii facilitate discussions between pilots, the
company and prospective buyers to help solve the transportation
crisis as soon as those talks can be arranged.

Yesterday, the Hawaii Tourism Authority gave tourism leaders
approval to spend up to $5 million in emergency funds to
underwrite additional airline service for passengers who have been
unable to secure alternative flights following the shutdown of ATA
and Aloha Airlines' operations.

"The Aloha pilots have always displayed the highest sense of
loyalty and support for their company and the State of Hawaii.  
ALPA will not only defend their contract rights vigorously and
represent them in bankruptcy court, we will give everything we can
to help them move forward with their lives and careers," said
Captain John Prater, president of ALPA.

Aloha Airlines management announced last weekend that it would
cease all passenger operations on March 31, just 10 days after
filing for Chapter 11 reorganization, the airline's second
bankruptcy in three years.  While the announcement may spell the
end of 61 years of operations for Aloha Airlines and a long, rich
history with ALPA, that hasn't deterred Aloha pilots, through the
MEC from exploring every avenue to assist the company.

Aloha pilots joined the union as pilots of Trans Pacific Airways
in 1949 -- the airline changed its name to Aloha in 1959.  More
than 300 pilots are employed by Aloha.

The airline's management blamed high fuel costs and predatory
pricing practices by its competitor, namely Mesa Air Group's go!,
as the reasons for its demise.

The airline's announcement comes as a surprise because management
recently continued to explore strategic options including looking
for larger aircraft and expanding operations to Asia.  Over the
past few months, Aloha pilots executed a series of Letters of
Agreement in response to management's plans.

                            About ALPA

The Air Line Pilots Association International --
http://www.alpa.org/ -- represents 61,000 airline pilots who fly  
for 43 airlines in the United States and Canada.

                       About Aloha Airlines

Based in Honolulu, Hawaii, Aloha Airgroup Inc., Aloha Airlines
Inc. -- http://www.alohaairlines.com/-- and its affiliates are    
carriers that fly passengers and freight to Hawaii's five major
airports, as well as to half a dozen destinations in the western
U.S.  They operate a fleet of about 20 aircraft, all Boeing 737s,
including three configured as freighters.

This is the airline's second bankruptcy filing.  Aloha filed for
Chapter 11 protection on Dec. 30, 2004 (Bankr. D. Hawaii Case No.
04-03063), and emerged from Chapter 11 bankruptcy protection in
February 2006.

The company and its affiliates filed again for Chapter 11
protection on March 18, 2008 (Bankr. D. Hawaii Lead Case No. 08-
00337).  Brian G. Rich, Esq., Jordi Guso, Esq., and Paul Steven
Singerman, Esq., at Berger Singerman P.A., and David C. Farmer,
Esq., represent the Debtors in their restructuring efforts.  When
the Debtors filed for protection from their creditors, they listed
estimated assets and debts of $100 million to $500 million.


AMDL INC: Inks Sublicense Agreement for the MyGene HPV Chip Kit
---------------------------------------------------------------
AMDL Inc. disclosed Thursday that it has entered into an exclusive
sublicense agreement with MyGene International Inc. for the MyGene
HPV Chip Kit, a diagnostic product for in-vitro genotype testing
in women of the Human Papilloma Virus (HPV).  

The agreement between MGI and AMDL is an exclusive sublicense to
use the patents, trademark, and technology in manufacturing,
promoting, marketing, distributing, and selling the MyGene HPV
Test Kit in the countries of China (including Hong Kong), Taiwan,
Singapore, Malaysia, Thailand, Cambodia, and Vietnam.  MGI owns an
exclusive worldwide license for the MyGene HPV Test Kit, excluding
Korea.  

AMDL Inc. says that HPV is the most common sexually transmitted
infection and that globally there are approximately 330 million
women presently infected with HPV, with 70% of existing infections
in Asian populations.  The company said that it is well known that
certain HPV types are the primary cause of cervical cancer.

The company also said that according to recent clinical trial
assessments, quoting Medical News Today, the global market for HPV
testing is projected to be $250 million in 2008, with the total
available market valued at $1 billion.  

Mr. Gary Dreher, chief executive officer of AMDL, noted that "this
HPV Diagnostic Test Kit is anticipated to become a major product
for the company.  This sublicense agreement demonstrates AMDL's
capability to in-license state of the art diagnostic products that
can gain swift regulatory approval and market acceptance."  

Dr. Tyler McCabe, president and chief executive officer of MGI
indicated, "In China alone, with skillful effort, substantial
sales potential could be realized within a few years.  MGI is
excited about the potential of this relationship, due to AMDL's
infrastructure in China and certain Asian countries, and we look
forward to working together to enter this large market."

MGI is a Utah corporation.  MGI licensed the MyGene HPV Test Kit
from MyGene Co. Ltd., a Korean company.

                         About AMDL Inc.

Based in Tustin, California, AMDL Inc. (AMEX: ADL) --
http://www.amdl.com/-- with operations in Shenzhen, Jiangxi, and  
Jilin, China, is a vertically integrated specialty pharmaceutical
company.  In combination with its subsidiary Jade Pharmaceutical
Inc., AMDL engages in the research, development, manufacture, and
marketing of diagnostic products.

At Dec. 31, 2007, the company's consolidated balance sheet showed
$32,867,178 in total assets, $7,145,665 in total liabilities, and
$25,721,513 in total stockholders' equity.

The company reported a net loss of $2,351,74 on net revenues of
$15,009,100 for the year ended Dec. 31, 2007, compared with a net
loss of $5,867,428 on net revenues of $2,103,936 for 2006.

                     Going Concern Disclaimer

KMJ Corbin & Company LLP, in Irvine, Calif., expressed substantial
doubt about AMDL Inc.'s ability to continue as a going concern
after auditing the company's consolidated financial statements for
the years ended Dec. 31, 2007, and 2006.  The auditing firm said
that the company has incurred significant operating losses and
negative cash flows from operations through Dec. 31, 2007, and has
an accumulated deficit at Dec. 31, 2007.


ANALYTICAL SURVEYS: Jewett Schwartz Replaces Malone and Bailey
--------------------------------------------------------------
On April 2, 2008, Analytical Surveys engaged Jewett, Schwartz,
Wolfe & Associates as its new independent registered public
accounting firm.

On the same day, the company notified Malone and Bailey PC of its
intention to engage Jewett, Schwartz, Wolfe & Associates as its
new independent registered public accounting firm, at which time
the company dismissed Malone and Bailey.

The company said that Malone and Bailey's reports on the its
financial statements for the past year have not contained an
adverse opinion or disclaimer of opinion, and were not modified as
to audit scope or accounting principles.  The Malone and Bailey
reports, however, contained a going concern qualification.  

The decision to change its independent registered public
accounting firm was approved by the company's Board of Directors.

Analytical Surveys aid there were no disagreements between the
company and Malone and Bailey on any matter of accounting
principles or practices, financial statement disclosure, or
auditing scope or procedure.

                     About Analytical Surveys

Based in San Antonio, Tex., Analytical Surveys Inc. (Nasdaq: ANLT)
-- http://www.asienergy.com/-- provides utility-industry data     
collection, creation, and management services for the geographic
information systems markets.  The company has recently
transitioned its focus toward the development of oil and gas
exploration and production opportunities.  ASI's Energy Division
is focused on high-quality exploratory and developmental drilling
opportunities, as well as purchase of proven reserves with upside
potential attributable to behind-pipe reserves, infill drilling,
deeper reservoirs, and field extension opportunities.

At Sept. 30, 2007, the company's consolidated balance sheet showed
$1,176,000 in total assets and $2,274,000 in total liabilities,
resulting in a $1,098,000 total stockholders' deficit.  

                       Going Concern Doubt

As reported in the Troubled Company Reporter on Jan. 17, 2008,
Houston-based Malone & Bailey PC expressed substantial doubt about
Analytical Surveys Inc.'s ability to continue as a going
concern after auditing the company's consolidated financial
statements for the year ended Sept. 30, 2007.

The auditing firm reported that the company has suffered
significant operating losses in 2007 and prior years and does not
currently have external financing in place to fund working capital
requirements.  

The company posted a net loss of $4,534,000 on total revenues of
$586,000 for the year ended Sept. 30, 2007, as compared with a net
loss of $335,000 on total revenues of $4,320,000 in the prior
year.


ANF DEER CREEK: Files Schedules of Assets and Liabilities
------------------------------------------------------
ANF Deer Creek, LLC delivered to the United States
Bankruptcy Court for the Central District Of California its
schedules of assets and liabilities disclosing:

   Name of Schedule                   Assets      Liabilities
   ----------------                -----------    -----------
   A. Real Property                $21,000,000
   B. Personal Property                159,060
   C. Property Claimed
      as Exempt
   D. Creditors Holding                           $18,771,484
      Secured Claims
   E. Creditors Holding                                     0
      Unsecured Priority
      Claims
   F. Creditors Holding                               723,790
      Unsecured Nonpriority
      Claims
                                   ------------   -------------
      TOTAL                         $21,159,060   $21,159,080

Based in Lake Forest, California, ANF Deer Creek, LLC owns and
develops real estate.  The developer filed for Chapter 11
protection on Mar. 5, 2008 (Bankr. C.D. Calif. Case No. 08-11068).  
Leonard M. Shulman, Esq. at Shulman, Hodges & Bastian, LLP
represents the Debtor in its restructuring efforts.  When the
Debtor filed for protection from its creditors, it listed
estimated assets and debts both of $10 million to $50 million.


ARCLIN CANADA: S&P Changes Outlook to Negative; Holds 'B' Rating
----------------------------------------------------------------
Standard & Poor's Ratings Services revised the outlook on
Mississauga, Ontario-based Arclin Canada Ltd. to negative from
stable.  At the same time, S&P affirmed the 'B' long-term
corporate credit rating on the company.
     
S&P also affirmed the 'B+' first-lien senior secured debt rating
(one notch above the corporate credit rating on Arclin), while the
recovery rating is unchanged at '2', indicating an expectation of
substantial (70%-90%) recovery in the event of default.  The
'CCC+' second-lien senior secured debt rating was also affirmed
(two notches below the corporate credit rating), while the
recovery rating is unchanged at '6', indicating an expectation of
negligible (0%-10%) recovery in a default scenario.
     
"The negative outlook reflects our weak cash flow expectations for
the company's resins business, its tight liquidity, and the
likelihood that Arclin will breach its covenant in the next six
months," said Standard & Poor's credit analyst Jatinder Mall.
     
The ratings on Arclin (formerly Dynea Canada Ltd.) reflect its
highly leveraged capital structure, the cyclical and low-margin
commodity resins business, and the company's relatively small size
compared with its main competitors.  These risks are partially
offset by a strong market position in the resins and overlays
markets, the ability to pass through incremental raw material
costs, and some product and end-market diversity.
     
Arclin manufactures formaldehyde-based adhesive resins and
overlays products, and has operations in Canada, the U.S., and
Mexico.  The company generates about 57% of its revenues from
panelboard resins and about 20% from the overlays segment.   
Overall, Arclin generates most of its revenues from the U.S. and
Canada.
     
The negative outlook reflects S&P's expectations of weak cash flow
generation as demand for resins declines in Arclin's building
products and engineered specialties business units, and as
liquidity remains tight.  S&P could lower the ratings if resins
volumes decline even more than expected, resulting in further
deterioration in cash flows and financial metrics.  Furthermore,
S&P will monitor the situation to see what steps the company takes
to remain compliant with covenants and improve its liquidity.  An
upgrade is unlikely in the near term and would require that the
company improve cash flows and meaningfully deleverage its balance
sheet.


BEAR STEARNS: Moody's Slashes Ratings on 57 Certs. to Junk Status
-----------------------------------------------------------------
Moody's Investors Service has downgraded 125 certificates and has
placed on review for further possible downgrade 25 certificates
from 18 transactions issued by SACO I Trust and Bear Stearns
Mortgage Funding Trust.  The transactions are backed by second
lien loans.  The certificates were downgraded because the bonds'
credit enhancement levels, including excess spread and
subordination were too low compared to the current projected loss
numbers at the previous rating levels.

The actions take into account the continued and worsening
performance of transactions backed by closed-end-second and home
equity line of credit collateral.  Substantial pool losses of over
the last few months have eroded credit enhancement available to
the mezzanine and senior certificates.  Despite the large amount
of write-offs due to losses, delinquency pipelines have remained
high as borrowers continue to default.

Complete rating actions are:

Issuer: Bear Stearns Mortgage Funding Trust 2006-SL1

  -- Cl. A, Downgraded to B3 from Aa3; Placed under Review for      
     further Possible Downgrade

  -- Cl. M-1, Downgraded to C from Ba1

  -- Cl. M-2, Downgraded to C from Caa2

  -- Cl. M-3, Downgraded to C from Ca

Issuer: Bear Stearns Mortgage Funding Trust 2006-SL2

  -- Cl. A, Downgraded to B3 from Aa1; Placed under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to C from Baa3

  -- Cl. M-2, Downgraded to C from B2

  -- Cl. M-3, Downgraded to C from Ca

Issuer: Bear Stearns Mortgage Funding Trust 2006-SL3

  -- Cl. A, Downgraded to B3 from Aa2; Placed under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to C from Baa2

  -- Cl. M-2, Downgraded to C from B1

  -- Cl. M-3, Downgraded to C from Caa2

Issuer: Bear Stearns Mortgage Funding Trust 2006-SL4

  -- Cl. A, Downgraded to B3 from Aa1; Placed under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to Ca from Aa3

  -- Cl. M-2, Downgraded to C from Ba1

  -- Cl. M-3, Downgraded to C from B2

  -- Cl. M-4, Downgraded to C from Ca

Issuer: Bear Stearns Mortgage Funding Trust 2006-SL5

  -- Cl. I-A, Downgraded to B1 from Aa2; Placed under Review for
     further Possible Downgrade

  -- Cl. II-A, Downgraded to B1 from Aa2; Placed under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to Ca from Baa2

  -- Cl. M-2, Downgraded to C from Ba2

  -- Cl. M-3, Downgraded to C from B2

  -- Cl. M-4, Downgraded to C from Caa2

  -- Cl. M-5, Downgraded to C from Ca

Issuer: Bear Stearns Mortgage Funding Trust 2006-SL6

  -- Cl. I-A, Downgraded to B1 from Aa2; Placed under Review for
     further Possible Downgrade

  -- Cl. II-A, Downgraded to B1 from Aa2; Placed under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to Caa3 from Baa1

  -- Cl. M-2, Downgraded to C from Baa3

  -- Cl. M-3, Downgraded to C from B1

  -- Cl. M-4, Downgraded to C from Caa1

  -- Cl. M-5, Downgraded to C from Caa3

  -- Cl. M-6, Downgraded to C from Ca

Issuer: Bear Stearns Mortgage Funding Trust 2007-SL1

  -- Cl. I-A, Downgraded to B1 from Aaa; Placed Under Review for
     further Possible Downgrade

  -- Cl. II-A, Downgraded to B1 from Aaa; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to Caa2 from Aa1

  -- Cl. M-2, Downgraded to Ca from Aa2

  -- Cl. M-3, Downgraded to C from Aa3

  -- Cl. M-4, Downgraded to C from Baa2

  -- Cl. M-5, Downgraded to C from Baa3

  -- Cl. M-6, Downgraded to C from Ba1

  -- Cl. B-1, Downgraded to C from Ca

Issuer: Bear Stearns Mortgage Funding Trust 2007-SL2

  -- Cl. I-A, Downgraded to B1 from Aaa; Placed Under Review for
     further Possible Downgrade

  -- Cl. II-A, Downgraded to B1 from Aaa; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to Caa2 from Aa1

  -- Cl. M-2, Downgraded to Ca from Aa2

  -- Cl. M-3, Downgraded to C from Aa3

  -- Cl. M-4, Downgraded to C from Baa1

  -- Cl. M-5, Downgraded to C from Baa2

  -- Cl. M-6, Downgraded to C from B1

  -- Cl. B-1, Downgraded to C from Ca

Issuer: Bear Stearns Second Lien Trust 2007-1

  -- Cl. I-M-1, Downgraded to Ca from Aa3
  -- Cl. I-M-2, Downgraded to C from B1
  -- Cl. I-M-3, Downgraded to C from B2
  -- Cl. I-M-4, Downgraded to C from B3
  -- Cl. I-B-1, Downgraded to C from Ca
  -- Cl. II-M-1, Downgraded to Caa3 from Aa3
  -- Cl. II-M-2, Downgraded to Ca from A1
  -- Cl. II-M-3, Downgraded to Ca from A2
  -- Cl. II-M-4, Downgraded to C from Baa2
  -- Cl. II-M-5, Downgraded to C from Ba1
  -- Cl. II-M-6, Downgraded to C from B2
  -- Cl. II-B-1, Downgraded to C from Caa1
  -- Cl. III-M-1, Downgraded to Caa2 from Aa3
  -- Cl. III-M-2, Downgraded to Caa3 from A1
  -- Cl. III-M-3, Downgraded to Ca from A2
  -- Cl. III-M-4, Downgraded to C from Baa2
  -- Cl. III-M-5, Downgraded to C from Ba1
  -- Cl. III-M-6, Downgraded to C from B2
  -- Cl. III-B-1, Downgraded to C from Caa1

Issuer: SACO I Trust 2006-10

  -- Cl. A, Downgraded to Ba3 from Aa1; Placed under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to Caa2 from Aa3

  -- Cl. M-2, Downgraded to Ca from Ba2

  -- Cl. M-3, Downgraded to C from Ba3

  -- Cl. M-4, Downgraded to C from Caa2

  -- Cl. M-5, Downgraded to C from Ca

Issuer: SACO I Trust 2006-12

  -- Cl. I-A, Downgraded to Ba2 from Aaa; Placed Under Review for
     further Possible Downgrade

  -- Cl. I-M-1, Downgraded to Caa3 from Baa3

  -- Cl. I-M-2, Downgraded to C from Caa2

Issuer: SACO I Trust 2006-3

  -- Cl. A-1, Downgraded to Baa2 from Aa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. A-3, Downgraded to Baa2 from Aa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to B2 from Aa2

  -- Cl. M-2, Downgraded to Caa3 from Baa3

  -- Cl. M-3, Downgraded to Ca from Ba3

  -- Cl. M-4, Downgraded to C from Caa2

  -- Cl. M-5, Downgraded to C from Ca

Issuer: SACO I Trust 2006-4

  -- Cl. A-1, Downgraded to Baa2 from Aaa; Placed Under Review for
     further Possible Downgrade

  -- Cl. A-3, Downgraded to Baa2 from Aaa; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to B3 from Aa1

  -- Cl. M-2, Downgraded to Caa3 from Ba1

  -- Cl. M-3, Downgraded to Ca from B1

  -- Cl. M-4, Downgraded to C from Caa2

  -- Cl. M-5, Downgraded to C from Ca

Issuer: SACO I Trust 2006-6

  -- Cl. A, Downgraded to Ba2 from Aa2; Placed under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to Caa3 from Baa2

  -- Cl. M-2, Downgraded to C from B2

  -- Cl. M-3, Downgraded to C from Caa3

Issuer: SACO I Trust 2006-7

  -- Cl. A, Downgraded to B2 from Aa2; Placed under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to Ca from Baa3

  -- Cl. M-2, Downgraded to C from Caa1

  -- Cl. M-3, Downgraded to C from Ca

Issuer: SACO I Trust 2006-9

  -- Cl. A, Downgraded to Ba2 from Aa2; Placed under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to B3 from Aa3

  -- Cl. M-2, Downgraded to Caa2 from Baa3

  -- Cl. M-3, Downgraded to Caa3 from Ba1

  -- Cl. M-4, Downgraded to Ca from Ba2

  -- Cl. M-5, Downgraded to C from B1

  -- Cl. M-6, Downgraded to C from Caa2

Issuer: SACO I Trust 2007-1

  -- Cl. I-A, Downgraded to Baa3 from Aaa; Placed Under Review for
     further Possible Downgrade

  -- Cl. II-A, Downgraded to Baa3 from Aaa; Placed Under Review
     for further Possible Downgrade

  -- Cl. M-1, Downgraded to B2 from Aaa

  -- Cl. M-2, Downgraded to Caa2 from Aa1

  -- Cl. M-3, Downgraded to Caa3 from Aa2

  -- Cl. M-4, Downgraded to Ca from Aa3

  -- Cl. M-5, Downgraded to C from Baa1

  -- Cl. M-6, Downgraded to C from Baa2

  -- Cl. B-1, Downgraded to C from Ba3

  -- Cl. B-2, Downgraded to C from Caa2

Issuer: SACO I Trust 2007-2, Mortgage-Backed Certificates, Series
2007-2

  -- Cl. I-A, Downgraded to Baa3 from Aaa; Placed Under Review for
     further Possible Downgrade

  -- Cl. II-A, Downgraded to Baa3 from Aaa; Placed Under Review
     for further Possible Downgrade

  -- Cl. M-1, Downgraded to Caa1 from Aa1

  -- Cl. M-2, Downgraded to Caa3 from Aa2

  -- Cl. M-3, Downgraded to Ca from Aa3

  -- Cl. M-4, Downgraded to C from Baa2

  -- Cl. M-5, Downgraded to C from Ba3

  -- Cl. M-6, Downgraded to C from B3


BLOCKBUSTER INC: Earns $38 Million in 4th Quarter ended January 6
-----------------------------------------------------------------
Blockbuster Inc. reported financial results for the fourth quarter
and full-year ended Jan. 6, 2008.

For the fourth quarter of 2007, net income was $38.1 million, an
improvement of $29.8 million as compared with net income of
$8.3 million for the fourth quarter of 2006.  Adjusted net income
for the fourth quarter of 2007, which excludes severance costs and
certain other items, totaled $54.9 million as compared with
adjusted net income of $21.1 million for the fourth quarter of
2006.

"The year 2007 was one of transition for Blockbuster," Jim Keyes,
Blockbuster chairman and CEO, said.  "During the last half of the
year, we established financial stability and took decisive steps
to grow our rental business, diversify revenue streams and broaden
channels of distribution."  

"Most notably, through aggressive cost reductions, the
repositioning of our subscription programs, and a renewed focus on
store merchandising, we gained momentum in both sales and
earnings," Mr. Keyes added.  "Building on our fourth quarter
growth in year-over-year revenues and improvement in operating
income, we are well positioned to return the company to
profitability in 2008."

Cash flow provided by operating activities decreased by
$14.7 million from $159.9 million for the fourth quarter of 2006
to $145.2 million for the fourth quarter of 2007.  The decrease
was driven by changes in working capital.

Free cash flow for the fourth quarter of 2007 was essentially flat
at $122.8 million as compared to the same period last year.  
During the fourth quarter of 2007, the company paid down
approximately $79.2 million in debt, including the entire balance
outstanding under its revolving credit facility at Sept. 30, 2007.

At Jan. 6, 2008, the company's total debt, including capital lease
obligations was $757.8 million compared with $984.2 million in
Dec. 31, 2006.

For the full-year 2007, net loss totaled $85.1 million as compared
with net income of $39.2 million for 2006.  Excluding gain on the
sale of GAMESTATION(R), severance and lease termination costs and
certain other items, adjusted net loss for the full-year 2007
totaled $135.6 million compared with adjusted net loss of
$1.6 million in 2006.

                           Restatement

The company restated, in its Form 10-K for the fiscal year ended
Jan. 6, 2008, its reported consolidated financial statements for
each of the fiscal years ended Dec. 31, 2006, and 2005 and its
condensed consolidated financial information for each of the
interim periods of fiscal years 2007 and 2006 to correct
identified errors.  The company is not withdrawing reliance on its
financial statements for the fiscal years ended Dec. 31, 2006, and
2005, or for any of the interim periods of fiscal years 2007 and
2006, because the company has determined that these financial
statements can still be relied upon.

The effects of the restatement on income from continuing
operations were:

   -- Thirty-nine weeks ended Sept. 30, 2007 - increase of    
      $1.9 million from reported loss from continuing operations
      of $118.0 million to a restated amount of $116.1 million.

   -- Fiscal year ended Dec. 31, 2006 - decrease of $4.2 million
      from reported income from continuing operations of
      $67.9 million to a restated amount of $63.7 million.

   -- Fiscal year ended Dec. 31, 2005 - increase of $4.2 million
      from reported loss from continuing operations of
      $548.3 million to a restated amount of $544.1 million.

In consideration of the errors that led to this restatement, the
company reported in its Form 10-K for the year ended Jan. 6, 2008,
two material weaknesses in its internal controls over financial
reporting.  The material weaknesses were related to accounting for
general and administrative expense accruals and accounting for
foreign currency translation adjustments.

                     About Blockbuster Inc.

Based in Dallas, Texas, Blockbuster Inc. (NYSE: BBI,
BBI.B) -- http://www.blockbuster.com/-- is a leading global    
provider of in-home movie and game entertainment, with over 7,800
stores throughout the Americas, Europe, Asia and Australia.  
(Movie Gallery Bankruptcy News Issue No. 15; Bankruptcy Creditors'
Service Inc.; http://bankrupt.com/newsstand/or 215/945-7000)

                          *     *     *

As reported in the Troubled company Reporter on Dec. 28, 2007,
Fitch Ratings affirmed Blockbuster Inc.'s long-term Issuer
Default Rating at 'CCC' and the senior subordinated notes at
'CC/RR6'.  The rating outlook is stable.  The company had
approximately $991 million of debt outstanding as of
Sept. 30, 2007.


CAIN MEZZ: Eroding Credit Quality Cues Moody's Four Junk Ratings
----------------------------------------------------------------
Moody's Investors Service downgraded ratings of six classes of
notes issued by Cain Mezz ABS CDO IV, Ltd. and left on review for   
possible downgrade the ratings of three of these classes of notes.   
The classes affected by this rating actions are:

Class Description: $292,000,000 Class A1S Variable Funding Senior
Secured Floating Rate Notes Due 2047

  -- Prior Rating: A1, on review for possible downgrade
  -- Current Rating: A3, on review for possible downgrade

Class Description: $78,000,000 Class A1J Senior Secured Floating
Rate Notes Due 2047

  -- Prior Rating: Baa2, on review for possible downgrade
  -- Current Rating: Ba3, on review for possible downgrade

Class Description: $52,000,000 Class A2 Senior Secured Floating
Rate Notes Due 2047

  -- Prior Rating: Ba2, on review for possible downgrade
  -- Current Rating: Caa3, on review for possible downgrade

Class Description: $30,500,000 Class A3 Secured Deferrable
Interest Floating Rate Notes Due 2047

  -- Prior Rating: B1, on review for possible downgrade
  -- Current Rating: Ca

Class Description: $20,000,000 Class B1 Mezzanine Secured
Deferrable Interest Floating Rate Notes Due 2047

  -- Prior Rating: B3, on review for possible downgrade
  -- Current Rating: Ca

Class Description: $8,500,000 Class B2 Mezzanine Secured
Deferrable Interest Floating Rate Notes Due 2047

  -- Prior Rating: Caa2, on review for possible downgrade
  -- Current Rating: Ca

The rating actions reflect deterioration in the credit quality of
the underlying portfolio, as well as the occurrence on Feb. 27,
2008, as reported by the Trustee, of an event of default caused by
a failure of the Senior Credit Test, as described in Section
5.1(h) of the Indenture dated May 30, 2007.

As provided in Article V of the Indenture during the occurrence
and continuance of an Event of Default, holders of certain Notes
may be entitled to direct the Trustee to take particular actions
with respect to the Collateral Debt Securities and the Notes.

The rating downgrades taken reflect the increased expected loss
associated with the tranche.  Losses are attributed to diminished
credit quality on the underlying portfolio.  The severity of
losses of certain tranches may be different, however, depending on
the timing and choice of remedy to be pursued following the event
of default by certain Noteholders.  Because of this uncertainty,
the ratings assigned to the Class A1S, A1J and A2 Notes remain on
review for possible further action.

Cairn Mezz ABS CDO IV, Ltd. is a collateralized debt obligation
backed primarily by a portfolio of RMBS securities and CDO
securities and synthetic securities in the form of credit default
swaps.  Reference obligations for the credit default swaps are
RMBS and CDO securities.


CAMBER 7: Moody's Junks Rating on $81 Mil. 2042 Notes From 'A3'
---------------------------------------------------------------
Moody's Investors Service downgraded ratings of seven classes of
notes issued by Camber 7 plc, and left on review for possible
further rating action ratings of four of these classes of notes.   
The notes affected by this rating action are:

Class Description: $485,000,000 Class A-1 Floating Rate Secured
Notes Due 2042

  -- Prior Rating: Aaa, on review for possible downgrade
  -- Current Rating: A3, on review for possible downgrade

Class Description: $100,000,000 Class A-2 Floating Rate Secured
Notes Due 2042

  -- Prior Rating: Aa3, on review for possible downgrade
  -- Current Rating: Ba2, on review for possible downgrade

Class Description: $72,000,000 Class A-3 Floating Rate Secured
Notes Due 2042

  -- Prior Rating: A1, on review for possible downgrade
  -- Current Rating: B3, on review for possible downgrade

Class Description: $81,000,000 Class B Floating Rate Secured Notes
Due 2042

  -- Prior Rating: A3, on review for possible downgrade
  -- Current Rating: Caa3, on review for possible downgrade

Class Description: $78,300,000 Class C Deferrable Floating Rate
Secured Notes Due 2042

  -- Prior Rating: Baa3, on review for possible downgrade
  -- Current Rating: C

Class Description: $45,450,000 Class D Deferrable Floating Rate
Secured Notes Due 2042

  -- Prior Rating: B1, on review for possible downgrade
  -- Current Rating: C

Class Description: $11,250,000 Class E Deferrable Floating Rate
Secured Notes Due 2042

  -- Prior Rating: Ca
  -- Current Rating: C

Camber 7 plc is a collateralized debt obligation backed primarily
by a portfolio of RMBS securities, CDO securities and synthetic
securities in the form of credit default swaps.  Reference
obligations for the credit default swaps are RMBS securities.  The
rating actions reflect deterioration in the credit quality of the
underlying portfolio, as well as the occurrence as reported by the
Trustee on March 12, 2008, of an event of default caused by the
Class A-3 Overcollateralization Ratio falling below 100%, as
described in Section 5.1(f) of the Indenture dated February 28,
2007.  This event of default is still continuing

As provided in Article V of the Indenture during the occurrence
and continuance of an Event of Default, holders of certain Notes
may be entitled to direct the Trustee to take particular actions
with respect to the Collateral Debt Securities and the Notes.

The rating downgrades taken reflect the increased expected loss
associated with each tranche.  Losses are attributed to diminished
credit quality on the underlying portfolio.  The severity of
losses of certain tranches may be different, however, depending on
the remedy pursued following the event of default.  Because of
this uncertainty, the ratings assigned to the Class A-1 Notes, A-2
Notes, A-3 Notes and B Notes remain on review for possible further
action.


CAPITAL TRUST: S&P Cuts Ratings on 2005A and 2005A-T Bonds to 'BB'
------------------------------------------------------------------
Standard & Poor's Ratings Services lowered its rating on Capital
Trust Agency (Atlantic Housing Foundation Inc. Properties),
Florida's housing revenue bonds series 2005A and 2005A-T bonds to
'BB' from 'AA-', its rating on the agency's series 2005B bonds to
'CCC' from 'A', and its rating on the agency's series 2005C bonds
to 'CC' from 'BBB'.  Standard & Poor's also placed all of its
ratings on the agency's bonds on CreditWatch with negative
implications.  The rating actions affect about $162 million in
debt.
     
The downgrades and CreditWatch placement reflect draws on the debt
service reserve fund to make debt service payments, unfavorable
auction-rate market conditions which have led to increased rates
on the series 2005A and 2005A-T debt, and increasing losses on
swaps, due to declining LIBOR rates.      

"The negative rating actions are due to unfavorable market
conditions in the auction rate market and the project's exposure
to interest rate swaps, which are projected to cost the project
more than $1.8 million in 2008", said Standard & Poor's credit
analyst Renee Berson.
     
The Atlantic Housing Foundation portfolio originally contained a
total of 3,799 units.  Bond proceeds were used to finance a pool
of 20 properties in three states from affiliates of the Atlantic
Housing Foundation.  These bonds are pooled through a trust
agreement for the payment of debt service.  The owners are limited
liability companies set up by the Atlantic Housing Foundation, a
Texas 501(C)(3) not-for-profit organization.


CENTRO NP: Sells Certain Interests to NP Residential and Super LLC
------------------------------------------------------------------
Effective March 28, 2008, Centro NP LLC completed the disposition
of 49% of its interests in certain subsidiaries owning real
properties with an approximate fair market value of
$780 million to Centro NP Residual Holding LLC, a joint venture
owned by Super LLC, the company's sole and managing member, and
the company.

The Contribution Agreement was released from escrow and became
effective as of March 30, 2008.

Pursuant to the Contribution Agreement, the company also
distributed 51% of its interest in certain subsidiaries to its
parent, Super LLC, and Super LLC contributed such interest in the
these subsidiaries to Centro NP Residual Holding.   

           Distribution, Contribution and Assignment
     Agreement and Property Management and Leasing Agreement

Centro NP LLC also disclosed that the company, Super LLC, Centro
US Management Joint Venture 2 LP, Centro US Employment Company LLC
and Centro New Plan Inc., a member of Super LLC, executed a
Distribution, Contribution and Assignment Agreement to memorialize
the prior agreement of the parties thereto with respect to the
assumption of all liabilities relating to the company's employees
by Joint Venture 2 and the distribution of approximately
$15 million of miscellaneous assets used in the day-to-day
management of the company's properties to Joint Venture 2.  

In connection with such transaction, the company executed property
management agreements with a wholly owned subsidiary of Joint
Venture 2 to memorialize the prior agreement under which Joint
Venture 2 has been managing the company's properties.

The Distribution Agreement and the property management agreements
were released from escrow as of March 30, 2008.

                 Letter Agreement Amendment

On March 28, 2008, the company entered into a letter agreement
modifying and waiving provisions of the Revolving Credit Facility
and the Letter Agreement, dated as of Feb. 14, 2008, relating to
the companys $350.0 million unsecured revolving credit facility
with Bank of America N.A., as administrative agent.

The Letter Agreement Amendment, among other things, modifies and
waives provisions of the Revolving Credit Facility and the Letter
Agreement to permit the Management Services Assumption.

A full-text copy of the Contribution, Distribution and Assignment
Agreement, dated as of March 28, 2008, among Super LLC, Centro NP
LLC, Centro NP Residual Holding LLC and certain of the company's
wholly owned subsidiaries, is available for free at:

            http://researcharchives.com/t/s?2a0b                

A full-text copy of the Distribution, Contribution, Assignment and
Assumption Agreement among Centro NP LLC, Super LLC, Centro New
Plan Inc., Centro US Management Joint Venture 2 LP and Centro US
Employment Company LLC, is available for free at:

               http://researcharchives.com/t/s?2a0c

A full-text copy of the Exclusive Global Leasing and Management
Agreement (Non-Contracted) between Centro Super Management Joint
Venture 2 LLC and Centro NP LLC, is available for free at:

               http://researcharchives.com/t/s?2a0e

A full-text copy of the Exclusive Global Subcontract Agreement
(Third Party) between Centro Super Management Joint Venture 2 LLC
and Centro NP LLC, is available for free at:

               http://researcharchives.com/t/s?2a0f

A full-text copy of the Exclusive Global Subcontract Agreement
(Related Party) between Centro Super Management Joint Venture 2,
LLC and Centro NP LLC, is available for free at:

               http://researcharchives.com/t/s?2a10

A full-text copy of the Letter Agreement, dated as of March 28,
2008, among Super LLC, JPMorgan Chase Bank N.A., as agent, and
certain other parties, is available for free at:

               http://researcharchives.com/t/s?2a0d

                       About Centro NP LLC

Headquartered in Lexington, New York, Centro NP LLC was formed in
February 2007 to succeed the operations of New Plan Excel Realty
Trust Inc.  The principal business of the company is the ownership
and management of community and neighborhood shopping centers
throughout the United States.

At Sept. 30, 2007, the company's consolidated balance sheet showed
$6.30 billion in total assets, $2.38 billion in total liabilities,
$87.5 million in minority interest in consolidated partnership and
joint ventures, and $3.83 billion in total stockholders' equity.

                          *     *     *  

As reported in the Troubled Company Reporter on Feb. 26, 2008,
Fitch Ratings maintained Centro NP LLC, formerly New Plan Excel
Realty Trust's Issuer Default Rating at 'CCC'.


CETUS ABS: Moody's Cuts Ratings on $100MM Notes to 'Ba2' From Aaa
-----------------------------------------------------------------
Moody's Investors Service downgraded ratings of four classes of
notes issued by Cetus ABS CDO 2006-2, Ltd. and left on review for
possible downgrade the rating of one of these classes of notes.   
The class affected by this rating action is:

Class Description: $100,000,000 Class A-1 Floating Rate Senior
Secured Notes Due 2046

  -- Prior Rating: Aaa, on review for possible downgrade
  -- Current Rating: Ba2, on review for possible downgrade

Class Description: $50,000,000 Class A-2 Floating Rate Senior
Secured Notes Due 2046

  -- Prior Rating: Ba1, on review for possible downgrade
  -- Current Rating: Ca

Class Description: $55,000,000 Class B Deferrable Subordinate
Secured Notes Due 2046

  -- Prior Rating: Ca
  -- Current Rating: C

Class Description: $40,00,000 Class C Deferrable Junior
Subordinate Secured Notes Due 2046

  -- Prior Rating: Ca
  -- Current Rating: C

Cetus ABS CDO 2006-2, Ltd. is a collateralized debt obligation
backed primarily by a portfolio of RMBS, CDO securities and
synthetic securities in the form of credit default swaps.   
Reference obligations for the credit default swaps are RMBS and
CDO securities.

Since the closing date, the CDO has experienced deterioration in
the credit quality of the underlying portfolio, as well as the
occurrence on March 11, 2008, as reported by the Trustee, of an
event of default caused when the Net Outstanding Portfolio
Collateral Balance plus the MVS Account Excess as of a
Determination Date is less than the sum of the Remaining Unfunded
Notional Amount plus the outstanding Swap Counterparty Amount plus
the Aggregate Outstanding Amount of the Class A-1 Notes, as set
forth in Section 5.1(h) of the Indenture dated Sept. 27, 2006.

As provided in Article V of the Indenture, during the occurrence
and continuance of an Event of Default, certain parties to the
transaction may be entitled to direct the Trustee to take
particular actions with respect to the Notes.  In this regard,
Moody's has received notification from the Trustee that a Majority
of the Controlling Class has declared the principal of all of the
Secured Notes to be immediately due and payable.

The rating downgrades taken reflect the increased expected loss
associated with the tranche.  Losses are attributed to diminished
credit quality on the underlying portfolio.  The severity of
losses of certain tranches may be different, however, depending on
the timing and choice of remedy to be pursued following the event
of default.  Because of this uncertainty, the ratings assigned to
the Class A-1 and Class A-2 Notes remain on review for possible
further action.


CHIQUITA INTERNATIONAL: Inks New $350 Million Credit Facility
-------------------------------------------------------------
Chiquita Brands International Inc. disclosed Monday that it has
entered into a new $350 million senior secured credit agreement
with various lenders, including Cooperatieve Centrale Raiffeisen -
Boerenleenbank B.A., "Rabobank Nederland," New York Branch
("Rabobank") acting as administrative agent and lead arranger and
with Wells Fargo Bank, National Association as the syndication
agent.  Entry into this agreement completes the company's
previously announced refinancing plan, which has lowered the
company's interest expense, extended debt maturities and added
significant covenant flexibility that will allow management to
focus further on successfully executing its profitable growth
strategy.

"We are very pleased with the outcome of the refinancing we have
achieved during a period of turbulent financial markets, and we
appreciate the continuing support provided by our bank partners,"
said Fernando Aguirre, chairman and chief executive officer.  "I
am confident that our strengthened balance sheet will enhance our
ability to achieve sustainable, profitable growth."

The new six-year secured credit facility consists of a
$150 million revolving credit facility and a $200 million term
loan, and replaces the company's prior $200 million revolving
credit facility as well as the $132 million Term Loan C which
remained outstanding following the company's February 2008
offering of 4.25% Convertible Senior Notes due 2016.  The
revolving credit facility may be increased in the future by up to
$50 million at Chiquita's request, under certain circumstances.

The agreement governing the new credit facilities contains two
material financial maintenance covenants, an operating company
leverage ratio and a fixed charge coverage ratio, both of which
are set at levels that provide significant added flexibility. The
holding company leverage covenant that was part of the prior
senior secured facility is not included in the new credit
facility.

                      About Chiquita Brands

Headquartered in Cincinnati, Ohio, Chiquita Brands International
Inc. (NYSE: CQB) -- http://www.chiquita.com/-- is a marketer and  
distributor of high-quality fresh and value-added food products.
The company markets its products under the Chiquita(R) and Fresh
Express(R) premium brands and other related trademarks.  Chiquita
employs approximately 24,000 people operating in more than 70
countries worldwide.

At Dec. 31, 2007, the company's consolidated balance sheet showed
$1.429 billion in total assets, $533.3 million in total
liabilities, and $895.5 million in total stockholders' equity.

                          *     *    *

As reported in the Troubled Company Reporter on March 4, 2008,
Moody's Investors Service affirmed Chiquita Brands International
Inc.'s $250 million 7.5% senior unsecured notes due 2014 at Caa2
(LGD5), LGD % to 82% from 89%; and $225 million 8.875% senior
unsecured notes due 2015 at Caa2 (LGD5), LGD % to 82% from 89%.


CHIQUITA BRANDS: Morten Arntzewn Resigns as Board Director
----------------------------------------------------------
On March 28, 2008, Morten Arntzen notified the Chiquita Brand
International Inc.'s Board of Directors of his decision not to
stand for re-election to the Board of Directors at the company's
annual meeting of stockholders in 2008 due to other business
commitments.  Mr. Arntzen will continue to serve as a director of
the company until the 2008 annual meeting of stockholders. Mr.
Arntzen's retirement from the Board of Directors does not involve
any disagreement with the Company.

On April 3, 2008, the Board of Directors of the company elected a
new director, William H. Camp.  Mr. Camp, age 59, was employed by
Archer Daniels Midland Company, an agricultural processing company
and manufacturer of value-added food and feed ingredients from
1986 until he retired in December 2007.  It has not yet been
determined on which standing committees of the Board of Directors
Mr. Camp will serve.  Mr. Camp, however, was appointed to serve on
an ad hoc committee recently formed to consider certain recent
litigation involving the company.

                      About Chiquita Brands

Headquartered in Cincinnati, Ohio, Chiquita Brands International
Inc. (NYSE: CQB) -- http://www.chiquita.com/-- is a marketer and  
distributor of high-quality fresh and value-added food products.
The company markets its products under the Chiquita(R) and Fresh
Express(R) premium brands and other related trademarks.  Chiquita
employs approximately 24,000 people operating in more than 70
countries worldwide.

At Dec. 31, 2007, the company's consolidated balance sheet showed
$1.429 billion in total assets, $533.3 million in total
liabilities, and $895.5 million in total stockholders' equity.

                          *     *    *

As reported in the Troubled Company Reporter on March 4, 2008,
Moody's Investors Service affirmed Chiquita Brands International
Inc.'s $250 million 7.5% senior unsecured notes due 2014 at Caa2
(LGD5), LGD % to 82% from 89%; and $225 million 8.875% senior
unsecured notes due 2015 at Caa2 (LGD5), LGD % to 82% from 89%.  


CITIMORTGAGE ALTERNATIVE: Moody's Cuts Ratings on Delinquencies
---------------------------------------------------------------
Moody's Investors Service has taken rating actions on 34 tranches
from 5 Alt-A transactions issued by CitiMortgage Alternative Loan
Trust.  Thirty one tranches were placed on review for possible
downgrade and an additional three were downgraded.  The collateral
backing these transactions consists primarily of first-lien,
fixed-rate, Alt-A mortgage loans.

The ratings were downgraded, in general, based on higher than
anticipated rates of delinquency, foreclosure, and REO in the
underlying collateral relative to credit enhancement levels.  The
actions described below are a result of Moody's on-going review
process.

Complete rating actions are:

Issuer: CitiMortgage Alternative Loan Trust 2006-A1

  -- Cl. B-2, Downgraded to Baa1 from A2
  -- Cl. B-3, Downgraded to B2 from Baa2

Issuer: CitiMortgage Alternative Loan Trust 2006-A2

  -- Cl. B-3, Downgraded to Baa3 from Baa1

Issuer: CitiMortgage Alternative Loan Trust 2007-A3

  -- Cl. IA-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-6, Placed on Review for Possible Downgrade,
     currently Aa1

  -- Cl. IA-8, Placed on Review for Possible Downgrade,
     currently Aa1

  -- Cl. IA-9, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-10, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-IO, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IIA-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IIA-IO, Placed on Review for Possible Downgrade,      
     currently Aaa

  -- Cl. A-PO, Placed on Review for Possible Downgrade,
     currently Aaa

Issuer: CitiMortgage Alternative Loan Trust 2007-A5

  -- Cl. IA-5, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-8, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-9, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-11, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-12, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-14, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-15, Placed on Review for Possible Downgrade,
     currently Aa1

  -- Cl. IA-16, Placed on Review for Possible Downgrade,
     currently Aa1

  -- Cl. IA-IO, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-PO, Placed on Review for Possible Downgrade,
     currently Aaa

Issuer: CitiMortgage Alternative Loan Trust, Series 2007-A2

  -- Cl. IA-3, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-6, Placed on Review for Possible Downgrade,
     currently Aa1

  -- Cl. IA-7, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-8, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-9, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-10, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-11, Placed on Review for Possible Downgrade,
     currently Aa1

  -- Cl. IA-12, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-15, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-16, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IA-IO, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-PO, Placed on Review for Possible Downgrade,
     currently Aaa


CITIUS I: Moody's Junks Ratings on $45 Million Notes From 'Aa2'
---------------------------------------------------------------
Moody's Investors Service downgraded and left on review for
possible downgrade these notes issued by Citius I Funding, Ltd.:

Class Description: Up to $1,800,000,000 Class A ST Notes

  -- Prior Rating: Aaa
  -- Current Rating: A2, on review for possible downgrade

Class Description: Up to $1,800,000,000 Class A LT Notes

  -- Prior Rating: Aaa
  -- Current Rating: A2, on review for possible downgrade

Class Description: The $70,000,000 Class A-1 Secured Floating Rate
Notes Due 2046

  -- Prior Rating: Aaa
  -- Current Rating: Baa2, on review for possible downgrade

Class Description: The $25,000,000 Class A-2 Secured Floating Rate
Notes Due 2046

  -- Prior Rating: Aaa
  -- Current Rating: Baa3, on review for possible downgrade

In addition Moody's also downgraded these notes:

Class Description: The $45,000,000 Class B Secured Floating Rate
Notes Due 2046

  -- Prior Rating: Aa2
  -- Current Rating: Ca

Class Description: The $25,000,000 Class C Deferrable Floating
Rate Notes Due 2046

  -- Prior Rating: A2, on review for possible downgrade
  -- Current Rating: Ca

Class Description: The $15,000,000 Class D Deferrable Floating
Rate Notes due 2046

  -- Prior Rating: Ba3
  -- Current Rating: Ca

Class Description: The $4,000,000 Class E Deferrable Floating Rate
Notes due 2046

  -- Prior Rating: B3
  -- Current Rating: Ca

According to Moody's, the rating actions are the result of
deterioration in the credit quality of the transaction's
underlying collateral pool, which consists primarily of structured
finance securities.


COLLEZIONE EUROPA: Obtains Court Ok to Hire Stump Corp. as Realtor
------------------------------------------------------------------
The U.S. Bankruptcy Court for the District of New Jersey gave
permission to Collezione Europa U.S.A. Inc. and its debtor-
affiliates to employ The Stump Corp. as their realtor.

The employment of Stump is necessary because the Debtors must sell
or lease their 411,000 sq. feet warehouse in North Carolina in
order to provide funds that are crucial to their reorganization.

The property is located at 2973 Kelly Boulevard in Claremont,
North Carolina.

The Debtors will pay Stump a sales commission of 3% of the selling
price upon the closing of a sale of the property on terms
acceptable to the owner.  If a cooperating broker brings in the
buyer, then the real estate commission will rise to 5%, with the
cooperating broker receiving 3% and Stump receiving 2%.

The Debtors will pay Stump a commission of 3% of the monthly base
rental, in the case of a lease or extension, expansion or renewal
of lease involving the property.  If a cooperatiing broker brings
in the tenant, then the real estate commissions will rise to 5%,
with the cooperating broker receiving 3% and Stump receiving 2%.

If a tenant, under a lease on which Stump has earned a commission,
acquires the property, the Debtors will pay Stump a sales
commission of 3% of the selling price at closing.  If the broker
brings in the buyer, then the real estate commission will rise to
5%, with the cooperating broker receiving 3% and Stump receiving
2%.

J.R. Stump, Jr., the president of Stump, attested that his firm
does not hold or represent any interest adverse to the Debtors or
their estates, and that the firm is a "disinterested person" as
such term is defined under Section 101(14) of the bankruptcy code.

                     About Collezione Europa

Based in Englewood, N.J., Collezione Europa USA, Inc. --
http://www.czeusa.com/-- was founded in 1984. Since the inception     
of the company, the sole focus has been imports from different
parts of the world . The Company presently imports from the
Philippines, China, Taiwan and Mexico. Collezione Europa maintains
an inventory of more than 250,000 items.  The Company operates a
450,000 square foot warehouse in Claremont, North Carolina. In
July 2005 Collezione established a new showroom at the Las Vegas
World Market Center, Las Vegas. The Company also has a showroom in
High Point, North Carolina.

The company and two of its subsidiaries filed for bankruptcy
protection on Feb. 29, 2008 (Bankr. D.N.J., Case No. 08-13599).   
Sam Della Fera, Esq. at Trenk, DiPasquale, Webster, Della Fera &
Sodono represents the Debtors in their restructuring efforts.   
When the company filed for bankruptcy petition, it listed assets
of $10 million to $50 million and debts of $10 million to
$50 million.  


COMM 2007-FL14: S&P Keeps 'BB+' Rating on Two Classes of Certs.
---------------------------------------------------------------
Standard & Poor's Ratings Services revised its CreditWatch
placements on four classes of commercial mortgage pass-through
certificates from COMM 2007-FL14 to positive from developing.  Six
other ratings remain on CreditWatch developing.  The remaining
ratings on this transaction are not affected at this time.
     
On Feb. 1, 2008, Standard & Poor's placed its ratings on 10
classes of commercial mortgage pass-through certificates from COMM
2007-FL14 on CreditWatch with developing implications due to the
uncertainty surrounding the maturity of the Macklowe EOP Manhattan
Portfolio Pool 1 loan within this transaction.  The Macklowe loan
did not pay off at its Feb. 9, 2008, maturity date and was
transferred to special servicing on Feb. 13, 2008, due to its
maturity default.

The Macklowe loan consists of a $1.096 billion senior pooled
component and a $172.0 million senior unpooled component
(collectively, the A-participation interest) that are included in
the trust, as well as a $298.0 million junior participation that
is held outside the trust.
     
The CreditWatch revisions follow a notice dated April 2, 2008, by
LaSalle Bank N.A., the trust's reporting agent, indicating that
Capmark, as special servicer, has received notice that the B-
participation holder intends to exercise its "B-Participation
Holders Par Purchase Right" under the participation agreement.  
The B-participation holder also intends to exercise its "Purchaser
of Trust Asset by Related Junior Participants" right under the
servicing and intercreditor agreement and purchase the entire A-
participation on April 14, 2008.
     
Should the purchase of the A note occur, it will be removed from
the trust, resulting in a reduction of the trust balance.  This
will result in increased credit enhancement levels that may prompt
upgrades of classes B through D as well as retire the MLK1 class.
     
The Macklowe EOP loan is secured by a first mortgage encumbering
the fee interests in a cross-collateralized and cross-defaulted
portfolio of four class A office properties totaling 3,028,266
square feet of space in Midtown Manhattan.  The properties include
Worldwide Plaza in the Midtown West submarket; 1540 Broadway in
the Times Square submarket; and 527 Madison Avenue and Tower 56,
both in the Plaza District submarket.
     
S&P will resolve all of the CreditWatch placements after the
Macklowe EOP loan is resolved and we have analyzed the remaining
loans in the pool.

                Ratings Placed on CreditWatch Positive

                           COMM 2007-FL14
            Commercial mortgage pass-through certificates

                                 Rating
                                 ------
                  Class    To               From
                  -----    --               ----
                  B        AA+/Watch Pos    AA+/Watch Dev    
                  C        AA/Watch Pos     AA/Watch Dev     
                  D        AA/Watch Pos     AA/Watch Dev     
                  MLK1     BBB-/Watch Pos   BBB-/Watch Dev

             Ratings Remaining on CreditWatch Developing

                          COMM 2007-FL14
             Commercial mortgage pass-through certificates

                          Class    Rating
                          -----    ------
                          E        AA-/Watch Dev
                          F        A/Watch Dev
                          G        A/Watch Dev      
                          H        A-/Watch Dev     
                          J        BBB/Watch Dev    
                          K        BBB-/Watch Dev  

                     Other Outstanding Ratings

                          COMM 2007-FL14
            Commercial mortgage pass-through certificates

                          Class    Rating
                          -----    ------
                          A-1        AAA
                          A-J        AAA
                          X-1        AAA
                          X-2        AAA
                          X-3-DB     AAA
                          X-3-SG     AAA
                          X-4        AAA
                          X-5-DB     AAA
                          X-5-DG     AAA
                          GLB1       A
                          GLB2       BBB+
                          GLB3       BBB-
                          GLB4       BB+
                          AOA1       A+
                          AOA2       A-
                          AOA3       BBB-
                          AOA4       BB+
                          PG1        A+
                          PG2        A-
                          PG3        BBB
                          PG4        BBB-
                          PH1        BBB+
                          PH2        BBB
                          PH3        BBB-


COOKSON 2007: Moody's Junks Rating on $150 Mil. Notes From 'Baa3'
-----------------------------------------------------------------
Moody's Investors Service downgraded these notes issued by Cookson
Series 2007:

Class Description: $150,000,000 Floating Rate Notes due 2047

  -- Prior Rating: Baa3, on review for possible downgrade
  -- Current Rating: Ca

Class Description: EUR60,000,000 Variable Rate Notes due 2047

  -- Prior Rating: Baa3, on review for possible downgrade
  -- Current Rating: Ca

Class Description: $41,000,000 Variable Rate Notes due 2047

  -- Prior Rating: Baa3, on review for possible downgrade
  -- Current Rating: Ca

Class Description: $150,000,000 Series 2007-19 Variable Rate Notes
Due 2047

  -- Prior Rating: Ba1, on review for possible downgrade
  -- Current Rating: Ca

Class Description: $150,000,000 Series 2007-35 Variable Rate Notes
Due 2047

  -- Prior Rating: Baa2, on review for possible downgrade
  -- Current Rating: Ca

Class Description: EUR40,000,000 Variable Rate Notes Due 2044

  -- Prior Rating: Baa2, on review for possible downgrade
  -- Current Rating: Ca

Class Description: EUR40,000,000 Variable Rate Notes Due 2044

  -- Prior Rating: Baa1, on review for possible downgrade
  -- Current Rating: Ca

Class Description: $150,000,000 Variable Rate Notes Due 2044

  -- Prior Rating: Baa2, on review for possible downgrade
  -- Current Rating: Ca

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


CREDIT SUISSE: S&P Downgrades Ratings on Four Classes of Certs.
---------------------------------------------------------------
Standard & Poor's Ratings Services raised its ratings on four
classes of commercial mortgage pass-through certificates from
Credit Suisse First Boston Mortgage Securities Corp.'s series
2002-CKS4.  Concurrently, S&P lowered its ratings on four classes
and affirmed S&P's ratings on the remaining classes from this
transaction.
     
The raised ratings reflect increased credit support due to the
paydown of 12% of the pool and defeasance of $208 million (19%) of
the pool's collateral.  The upgrade of class A-PM is due to the
improved performance of the Arbor Place Mall.
     
The lowered ratings reflect the anticipated losses and credit
support erosion upon the eventual resolution of several assets
with the special servicer.  S&P expects the class P certificate to
incur principal losses relating to the specially serviced assets
in the pool.  S&P will lower its rating to 'D' when this occurs.
     
The affirmed ratings reflect credit enhancement levels that
provide adequate support through various stress scenarios.
     
As of the March 17, 2008, remittance report, the collateral pool
consisted of 138 loans with an aggregate trust balance of
$1.09 billion, compared with 156 loans with a $1.23 billion
balance at issuance.  The master servicer, KeyCorp Real Estate
Capital Markets Inc., reported financial information for 100% of
the pool excluding defeased loans.  Ninety-nine percent of the
servicer-reported information was full-year 2006 data and partial-
year 2007 data.  Based on this information, Standard & Poor's
calculated a weighted average debt service coverage of 1.45x, down
from 1.48x at issuance.  Three loans ($11.4, 1%) in the pool are
delinquent.  There are six loans ($25.9 million, 2%) with the
special servicer, LNR Partners Inc., two of which are 90-plus days
delinquent and four are current.  An appraisal reduction
amount of $497,682 is in effect for one of the specially serviced
assets.  To date, the trust has experienced six losses totaling
$7.0 million.
     
There are six loans with the special servicer.  Three of the six
loans are for multifamily properties within the Dallas
metropolitan statistical area and have the same sponsor. Details
are:

     -- Basswood Manor Apartments, ($6.0 million), Metrocrest
     Village Apartments ($4.17 million, 0.4%), and Prairie Ridge
     Apartments ($2.2 million, 0.2%) were transferred to the
     special servicer in June 2007 due to payment default.  
     Basswood Manor Apartments is secured by a 212-unit      
     multifamily property in Lewisville, Texas.  Metrocrest
     Village Apartments is secured by a 143-unit multifamily
     property in Carrolton, Texas.  Prairie Ridge Apartments is
     secured by a 100-unit multifamily property in Grand Prairie,
     Texas.  The borrowers of the three loans are separate special
     purpose entities, but all have the same principal.  The
     borrowers has resumed monthly payments, making all of the      
     loans current. Discussions are underway with the borrowers
     regarding default interest.  As of year-end 2007, all three      
     properties reported occupancy of 89% or better; however, the
     DSC for each property is below 1.0x.  Recent appraisals for
     each property indicate a valuation slightly above the
     respective total exposure.

     -- Concepts Direct Inc. Headquarters ($7.9 million, 1%) is
     secured by a 117,182-sq.-ft. industrial property in Longmont,
     Colorado.  This loan was transferred to the special servicer
     in May 2007 due to a nonpermitted transfer of ownership
     interests that occurred in 2005.  The borrower intends to
     sell the property and pay off the loan.  As of June 2007, the
     occupancy rate was 69% and DSC was 0.97x.

     -- Tahiti Garden Apartments ($3.7 million, 0.3%) is secured
     by a 112-unit multi-family property in Lauderdale Lake,
     Florida.  The loan is 90-plus-days delinquent and was
     transferred to the special servicer in February 2007 due to
     payment default.  LNR reported that the property has
     significant deferred maintenance due to damage from Hurricane
     Wilma.  The borrower diverted insurance proceeds that were
     received pursuant to an insurance claim from Hurricane Wilma.  
     The property continues to have significant deferred
     maintenance.  The borrower has not funded repairs to remedy
     the situation.

     -- Capital Square Shopping Center ($2.0 million, 0.2%) is
     secured by a 44,519sq.-ft. retail property in Battle Creek,
     Michigan.  The loan was transferred to LNR in November 2007
     due to payment default.  The loan is 90-plus-days delinquent.  
     A foreclosure sale occurred on March 7, 2008, and the
     property is now real estate owned.  An ARA of $497,226 is in
     effect.
     
The top 10 loans secured by real estate have an aggregate
outstanding balance of $402 million (37%) and a weighted average
DSC of 1.59x, compared with 1.63x at issuance.  Four of the top 10
loans appear on the master servicer's watchlist.  Standard &
Poor's reviewed property inspections provided by the master
servicer for all of the assets underlying the top 10 loans, and
two were characterized as "excellent," while the remaining were
characterized as "good."
     
Key reported a watchlist of 26 loans with an aggregate outstanding
balance of $228 million (21%), which includes the fourth-, fifth-,
eighth-, and ninth-largest loans.  The fourth-largest loan, 1650
Arch Street ($44 million, 4%), is secured by a 587,021-sq.-ft.
office building in Philadelphia, Pennsylvania.  The loan appears
on the watchlist because the major tenant, U.S. General Services
Administration, with 54% net rentable area, has a lease expiration
date in May 2008.  As of Sept. 30, 2007, the building was 99%
occupied and DSC was 1.68x.  Excluding the U.S. General Service
lease, occupancy and DSC would decrease to 45% and 0.09x,
respectively.
     
The fifth-largest loan, Old Hickory Mall ($32 million, 3%), is
secured by a 359,774 sq. ft. of space in a 535,772-sq.-ft regional
mall in Jackson, Tennessee.  The mall was originally developed in
phases as freestanding buildings in 1967 and in 1973.  The loan is
on the watchlist as the mall was in an area affected by a class 4
tornado that occurred on Feb. 5, 2008.  The borrower reported that
the property did not sustain any damage.  As of year-end 2006,
occupancy was 99% and DSC was 1.45x.  Key will remove this loan
from the watchlist, which will be reflected in the April 2008
remittance report.
     
The eighth-largest loan, the Village at Chandler Crossings
($22 million, 2%), is secured by a 252-unit student housing in
East Lansing, Michigan.  The property was built in 2002 and is in
close proximity to Michigan State University.  The loan was
previously with the special servicer from September 2004 to June
2006.  The loan appears on the watchlist due to low DSC and
occupancy.  For the nine-months ending Sept. 30, 2007, Key
reported an occupancy rate of 71% and a DSC of 0.85x.
     
The ninth-largest loan, Forum at Gateways ($21 million, 2%), is
secured by a 258,322sq.-ft. retail property in Sterling Heights,
Michigan.  The second-largest tenant, Farmer Jack (21% of the
gross leasable area), vacated the premises because of its
corporate strategy to exit the Michigan market.  Farmer Jack
continues to pay rent and is seeking subtenants.  As of Sept. 30,
2007, the physical occupancy was 72.4%, while the economic
occupancy was 93.3%. Key reported a DSC of 1.34x as of year-end
2006.
     
Credit characteristics for the largest loan, Crystal Mall, and the
second-largest loan, Arbor Place Mall, are consistent with those
of investment-grade obligations. Details are:

     -- The Crystal Mall loan has a trust balance and whole-loan
     balance of $97.8 million.  The loan is secured by 528,947 sq.
     ft. of a 793,747-sq.-ft. fully enclosed regional mall in
     Waterford, Connecticut.  The mall was constructed in 1984 and
     renovated in 1997. Standard & Poor's adjusted net cash flow
     is comparable to its level at issuance.  Key reported a DSC
     of 1.70x and 91.5% occupancy for the nine months ended
     Sept. 30, 2007.   

     -- The Arbor Place Mall loan has a pooled trust balance of
     $68.1 million and a whole-loan balance of $97.8 million.  The
     subordinate nonpooled component of the $4.5 million is raked
     to the A-PM certificate, which derives 100% of its cash flow
     from this loan.  The loan is secured by 473,449 sq. ft. of a
     1,030,449-sq.-ft. fully enclosed mall in Douglasville,
     Georgia.  The mall was constructed in 1999.  Key reported a
     DSC of 2.01x and 92.8% occupancy for the nine months ended
     Sept. 30, 2007.
     
Standard & Poor's stressed the loans on the watchlist and other
loans with credit issues as part of its analysis.  The resultant
credit enhancement levels support the ratings at the raised,
lowered, and affirmed levels.

                         Ratings Raised
   
                  CSFB Mortgage Securities Corp.
  Commercial mortgage pass-through certificates series 2002-CKS4

                           Rating
                           ------
               Class   To         From    Credit enhancement
               -----   --         ----    ------------------
               C       AAA        AA+              16.62%
               D       AA+        AA               13.79%
               E       AA         AA-              12.23%
   
                  CSFB Mortgage Securities Corp.
  Commercial mortgage pass-through certificates series 2002-CKS4


                        Rating         Credit enhancement
                        ------         ------------------
            Class   To         From    (nonpooled interests)
            -----   --         ----    ---------------------
            A-PM    A+         BBB+             N/A
   
                         Ratings Lowered

                 CSFB Mortgage Securities Corp.
  Commercial mortgage pass-through certificates series 2002-CKS4

                           Rating
                           ------
               Class   To         From    Credit enhancement
               -----   --         ----    ------------------
               M       B          BB-            2.47%
               N       B-         B              1.91%
               O       CCC        B-             1.34%
               P       CCC-       CCC            0.77%

                         Ratings Affirmed
    
                  CSFB Mortgage Securities Corp.
   Commercial mortgage pass-through certificates series 2002-CKS4


                                       Credit enhancement
                                       ------------------
            Class   To         From    (pooled interests)
            -----   --         ----    ------------------
            A-1      AAA                          22.56
            A-2      AAA                          22.56
            B        AAA                          18.32
            F        A+                           10.39
            G        A                             8.98
            H        A-                            7.71
            J        BBB                           5.30
            K        BBB-                          4.31
            L        BB+                           3.60
            A-X      AAA                            N/A
            A-SP     AAA                            N/A
   
                       N/A -- Not applicable.
     

CYGNUS BUSINESS: S&P Changes Outlook to Stable; Holds CCC+ Rating
-----------------------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on Cygnus
Business Media Inc. and its parent company, CommerceConnect Media
Holdings Inc., to stable from developing.  At the same time, S&P
affirmed all ratings, including the 'CCC+' corporate credit
rating.
      
"The outlook change reflects our opinion that an imminent rating
change is unlikely," explained Standard & Poor's credit analyst
Tulip Lim.
     
S&P analyzes Cygnus Business Media, a business-to-business
publisher and event organizer, on a consolidated basis with its
parent.  
     
The ratings reflect the company's limited liquidity, high
tolerance for risk, high debt leverage, small EBITDA base, and
difficult business fundamentals.  These factors are minimally
offset by Cygnus' cash flow diversity, and the niche competitive
positions of its trade publications, expositions, and related
operations serving eight industry sectors.


DOV PHARMA: Board Dismisses PwC as Independent Auditors
-------------------------------------------------------
On April 1, 2008, the Audit Committee of the Board of Directors of
DOV Pharmaceutical Inc. dismissed PricewaterhouseCoopers LLP as
the company's independent registered public accounting firm for
the year ending Dec. 31, 2008.

The reports of PwC on the company's consolidated financial
statements for the fiscal years ended Dec. 31, 2007, and Dec. 31,
2006, contained an explanatory paragraph raising substantial doubt
about the company's ability to continue as a going concern.

During the fiscal years ended Dec. 31, 2007, and Dec. 31, 2006,
and through April 1, 2008, there were no disagreements with PwC on
any matter of accounting principles or practices, financial
statement disclosure, or auditing scope or procedure.  

As of the date of this filing, the Audit Committee has not yet
engaged a successor independent registered public accounting firm
for the fiscal year ending Dec. 31, 2008.

                    About DOV Pharmaceutical

Based in Somerset, N.J., DOV Pharmaceutical Inc. (Other OTC:
DOVP.PK) -- http://www.dovpharm.com/ -- is a biopharmaceutical
company focused on the discovery, acquisition and development of
novel drug candidates for central nervous system disorders.  The
company's product candidates address some of the largest
pharmaceutical markets in the world including depression, pain and
insomnia.

At Dec. 31, 2007, the company's consolidated balance sheet showed
$15,530,464 in total assets, $2,005,263 in total current
liabilities, $2,101,419 in deferred credits, $6,326,980 in Series
D convertible preferred stock, and $5,096,802 in total
stockholders' equity.

                          *     *     *

PricewaterhouseCoopers LLP, in Florham Park, N. J., expressed
substantial doubt about DOV Pharmaceutical Inc.'s ability to
continue as a going concern after auditing the company's
consolidated financial statements for the years ended Dec. 31,
2007, and 2006.  PwC pointed to the company's recurring losses
from operations.


EAU TECHNOLOGIES: Deficits Prompt Going Concern Opinion
-------------------------------------------------------
HJ & Associates, LLC, in Salt Lake City, Utah, raised substantial
doubt about EAU Technologies, Inc., fka Electric Aquagenics
Unlimited, Inc.'s ability to continue as a going concern after
auditing the company's financial statements for the year ended
Dec. 31, 2007, and 2006.  The auditing firm pointed to the
company's working capital and stockholders' deficit.

For the year ended Dec. 31, 2007, the company posted a $10,891,337
net loss on $878,599 of total sales as compared with an $8,515,357
net loss on $1,150,472 of total sales in 2006.

At Dec. 31, 2007, the company's balance sheet showed $5,347,458 in
total assets and $11,922,031 in total liabilities, resulting in a
$6,574,573 stockholders' deficit.

The company had a $3,938,781 stockholders' deficit at Dec. 31,
2006.

The company's balance sheet at Dec. 31, 2007, also showed strained
liquidity with $4,677,688 in total current assets available to pay
$4,563,245 in total current liabilities.

                            Name Change

The company changed its name to EAU Technologies, Inc., from
Electric Aquagenics Unlimited, Inc., on Jan. 17, 2007.

                         Subsequent Events

In January 2008, an officer of the company exercised 150,000
options for $1,500 or $0.01 per share.  The options were granted
in 2003 for services.

In February 2008, the compensation committee of the company's
board of directors granted $30,000 to each board member in the
form of 23,077 shares of restricted stock for each director,
effective on Feb. 27, 2008.  The restricted stock will vest
ratably over a period of two years from the date of grant.  These
grants were made pursuant to the annual directors' compensation
program approved by the board in December 2007.  The compensation
committee also granted 49,500 shares of restricted stock to
various employees, which will vest one year from the date of
grant.

In March 2008, the company and the University of Georgia Research
Foundation entered into a Settlement and License Amendment.  The
Amendment settles a dispute among the parties regarding the amount
of royalties due under the License Agreement dated as of June 18,
2002, in connection with the use of the licensed technology by
Water Science LLC.  Under the Amendment, to settle this dispute,
the company will pay to UGARF a total of $65,000, of which $25,000
has been paid to date.  The remaining $40,000 will be paid in four
equal installments of $10,000 each due on the first day of the
calendar quarters of 2008, aside from the initial payment, which
is due within ten days of the effective date of the Amendment.

A full-text copy of the company's 2007 annual report is available
for free at http://ResearchArchives.com/t/s?29f5

Based in Kennesaw, Ga., EAU Technologies, Inc., formerly known as
Electric Aquagenics Unlimited, Inc. (OTCBB: EAUI.OB) --
http://www.eau-x.com/-- develops, manufactures and sells  
equipment that uses water electrolysis to create fluids.  These
fluids have various commercial applications and may be used in
commercial food processing organic or non-organic agricultural and
consumer products that clean, disinfect, remediate, hydrate and
moisturize.


ECO 2007-1: Four Classes of Notes Acquire Moody's Junk Ratings
--------------------------------------------------------------
Moody's Investors Service downgraded and left on review for
possible further downgrade the ratings on these notes issued by
ECO 2007-1 SPC:

Class Description: ECO 2007-I Segregated Portfolio $60,000,000
Variable Rate Notes Due 2047

  -- Prior Rating: A3, on review for possible downgrade
  -- Current Rating: B3, on review for possible downgrade

Additionally, Moody's downgraded these notes:

Class Description: ECO 2007-II Segregated Portfolio $45,000,000
Variable Rate Notes Due 2047

  -- Prior Rating: Ba2, on review for possible downgrade
  -- Current Rating: Ca

Class Description: ECO 2007-III Segregated Portfolio $33,000,000
Variable Rate Notes Due 2047

  -- Prior Rating: B2, on review for possible downgrade
  -- Current Rating: Ca

Class Description: ECO 2007-IV Segregated Portfolio $12,000,000
Variable Rate Notes Due 2047

  -- Prior Rating: Caa1, on review for possible downgrade
  -- Current Rating: Ca

Class Description: ECO 2007-V Segregated Portfolio $12,000,000
Variable Rate Notes Due 2047

  -- Prior Rating: Caa3, on review for possible downgrade
  -- Current Rating: Ca

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio


EIRLES TWO: Eroding Credit Quality Cues Moody's Rating Downgrades
-----------------------------------------------------------------
Moody's Investors Service downgraded and left on review for
possible further downgrade the ratings on these notes issued by
Eirles Two Limited:

Class Description: Eirles Two Limited - Series 251

  -- Prior Rating: Baa1, on review for possible downgrade
  -- Current Rating: Ba3, on review for possible downgrade

Class Description: Eirles Two Limited - Series 252

  -- Prior Rating: Baa3, on review for possible downgrade
  -- Current Rating: B1, on review for possible downgrade

Class Description: Eirles Two Limited - Series 257

  -- Prior Rating: Baa1, on review for possible downgrade
  -- Current Rating: Ba3, on review for possible downgrade

Class Description: Eirles Two Limited - Series 258

  -- Prior Rating: Ba1, on review for possible downgrade
  -- Current Rating: Caa1, on review for possible downgrade

Class Description: Eirles Two Limited - Series 259

  -- Prior Rating: Baa2, on review for possible downgrade
  -- Current Rating: B1, on review for possible downgrade

Class Description: Eirles Two Limited - Series 261

  -- Prior Rating: A3, on review for possible downgrade
  -- Current Rating: Ba2, on review for possible downgrade

Class Description: Eirles Two Limited - Series 264

  -- Prior Rating: Ba2, on review for possible downgrade
  -- Current Rating: Caa2, on review for possible downgrade

Class Description: Eirles Two Limited - Series 265

  -- Prior Rating: Ba1, on review for possible downgrade
  -- Current Rating: Caa1, on review for possible downgrade

Class Description: Eirles Two Limited Series 242

  -- Prior Rating: Aaa
  -- Current Rating: A1, on review for possible downgrade

Class Description: Eirles Two Limited Series 243

  -- Prior Rating: A2, on review for possible downgrade
  -- Current Rating: Baa1, on review for possible downgrade

Class Description: Eirles Two Limited Series 244

  -- Prior Rating: Baa2, on review for possible downgrade
  -- Current Rating: Baa3, on review for possible downgrade

Class Description: Eirles Two Limited Series 245

  -- Prior Rating: Aa3, on review for possible downgrade
  -- Current Rating: A3, on review for possible downgrade

Class Description: Eirles Two Limited Series 247

  -- Prior Rating: A2, on review for possible downgrade
  -- Current Rating: Baa1, on review for possible downgrade

Additionally, Moody's downgraded these notes:

Class Description: Eirles Two Limited - Series 266

  -- Prior Rating: B1, on review for possible downgrade
  -- Current Rating: Ca

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


ENERGAS RESOURCES: Losses Prompt Going Concern Opinion
------------------------------------------------------
Murrell, Hall, McIntosh & Co., PLLP, in Oklahoma City raised
substantial doubt about Energas Resources, Inc., ability to
continue as a going concern after auditing the company's
consolidated financial statements for the fiscal years ended Jan.
31, 2007, and 2006.  The auditing firm pointed to the company's
recurring losses from operations.

For the year ended Jan. 31, 2007, the company reported a
$1,516,282 net loss on $644,360 of total revenues as compared with
a $1,583,501 net loss on $1,197,252 of total revenues for the
fiscal year ended Jan. 31, 2006.

At Jan. 31, 2007, the company's balance sheet showed $$6,339,759
in total assets, $1,603,336 in total liabilities, $103,686 in
asset retirement obligation, and $4,632,737 in total stockholders'
equity.

A full-text copy of the company's 2007 annual report is available
for free at http://ResearchArchives.com/t/s?29e6

                     About Energas Resources

Based in Oklahoma City, Okla., Energas Resources, Inc. (OTCBB:
EGSR) -- http://www.energasresources.com/-- operates, develops,  
produces, explores and acquires petroleum and natural gas
properties in the United States through its wholly owned
subsidiaries, A.T. Gas Gathering Systems Inc. and TGC Inc.  In
addition, the company owns
and operates natural gas gathering systems, located in Oklahoma
and Kentucky, which serve wells operated by the company for
delivery to a mainline transmission system.


ENERGY PARTNERS: Closes Sale of Two Shelf Properties for $16.2MM
----------------------------------------------------------------
Energy Partners, Ltd., had completed its sale of two Gulf of
Mexico Shelf properties located within its Western offshore area
for $16.2 million.  As of the effective date, the estimated proved
reserves represented less than 1% of the company's proved reserves
and a recent average production rate net to the company of less
than 2% of fourth quarter 2007 average production.  After
preliminary closing adjustments for the closing dates of March 26,
2008 and March 27, 2008, the cash proceeds received totaled
approximately $15.0 million.

Headquartered in New Orleans, Louisiana, Energy Partners Ltd.
(NYSE:EPL) -- http://www.eplweb.com-- is an oil and natural gas    
exploration and production company.  The company's operations are
concentrated in the gulf of Mexico Shelf, the deepwater gulf of
Mexico, as well as the gulf coast onshore region.

                            *     *     *

As reported in the Troubled Company Reporter on March 4, 2008,
Standard & Poor's Ratings Services said that ratings on Energy
Partners Ltd. (B/Negative/--) would not be immediately affected by
several recent developments.  The company announced $100 million
in noncash, pretax impairment charges, largely related to
mechanical failures, early depletion, and production difficulties
in fields located in its Western offshore area.  Its leverage
metrics have weakened year-over-year, with debt per proved barrel
currently above $11 on an adjusted basis.  And it has seen feeble
drilling and reserve replacement results in 2007.

As reported in the Troubled Company Reporter on March 3, 2008,
Moody's Investors Service downgraded Energy Partners, Ltd.'s
Corporate Family Rating to Caa1 from B3, its Probability of
Default to Caa1 from B3, and the ratings on its $300 million
senior unsecured fixed rate notes and $150 million senior
unsecured floating rate notes to Caa2 (LGD 4, 67%) from Caa1
(LGD 4, 65%).  The downgrade reflects EPL's continued weak capital
productivity, especially as evidenced by its 2007 results,
negative sequential quarterly production trends, and continued
high financial leverage.  The rating outlook remains negative.


ENHERENT CORP: December 31 Balance Sheet Upside-Down by $245,000
----------------------------------------------------------------
enherent Corp.'s balance sheet at Dec. 31, 2007, showed total
assets of $10.172 million and total liabilities of
$10.417 million, resulting to total capital deficiency of
$0.245 million.

The company reported its financial results for the fourth quarter
of 2007 and the year ended Dec. 31, 2007.

Net income decreased by approximately $0.023 million to
$0.118 million for the fourth quarter of 2007 as compared to net
income of approximately $0.141 million for the comparable quarter
of 2006.  The decrease in net income resulted from increased
operating costs as a result of a severance expense charge of
$0.116 million during the quarter.

The company reported a net income of approximately $0.412 million
for the year ended Dec. 31, 2007, compared with a net loss of
approximately $0.298 million for the year ended Dec. 31, 2006.  
The increase of $0.710 million was due to cost reductions made by
the company that resulted in a relative decrease in selling and
recruiting payroll costs, general and administrative payroll costs
and other operating expenses during the year ended Dec. 31, 2007.

"We are proud of what we accomplished this year and are pleased
with our full year financial operating results, Pamela Fredette,
Chairman, CEO and president, commenting on the financial results
for 2007, said.  "Notably, as a result of the initiatives we have
taken to improve our cost structure over the past few years, we
have significantly improved our profitability and are better
positioned to react to changes in market conditions."

"We look forward to building on this momentum with a strategy
focused on organic and acquired growth and improved
profitability," Ms. Fredette added.  "We continue to review
acquisition candidates and pursue alliances with organizations
that may create new service possibilities and growth
opportunities."

                 Liquidity and Capital Resources

At Dec. 31, 2007, the revolving credit facility balance
outstanding was $2.825 million.

At Dec. 31, 2007, the companys long-term obligations with
maturities of less than one year total $3.4 million exclusive of
its revolving asset based credit facility with Ableco with a
balance of $2.8 million.  

Cash and cash equivalents were $1.122 million at Dec. 31, 2007,
compared to $0.632 million at Dec. 31, 2006.

                     About enherent Corp.

Based in New York City, enherent Corp. (OTC BB: ENHT) --
http://www.enherent.com/-- provides information technology
services in the U.S.  Its services include IT consultative
resource and staffing, systems integration, application
development, and network and security.  The company also
distributes computer hardware and software products.  The company
primarily serves insurance, financial services, banking, retail
distribution, apparel, home healthcare, and pharmaceutical
industries.


EROOMSYSTEM TECHNOLOGIES: Management Raises Substantial Doubt
-------------------------------------------------------------
Hansen, Barnett & Maxwell, P.C., in Salt Lake City, Utah, gave a
clean opinion on eRoomSystem Technologies, Inc.'s consolidated
financial statements for the year ended Dec. 31, 2007.

The company's management, however, said, "Although eRoomSystem
realized a profit in 2007 as well as in 2006, the company is
anticipating decreasing revenue as its existing hotel revenue-
sharing and maintenance contracts conclude over the next couple of
years.  This raises substantial doubt about eRoomSystem's ability
to continue as a going concern."

Up until the year ended Dec. 31, 2004, the company had suffered
recurring losses.  During the years ended Dec. 31, 2007, and 2006,
the company realized net income of $402,221 and $162,083,
respectively, and had total revenues of $1,174,150 and $1,337,485,
respectively.  

During the years ended Dec. 31, 2007, and 2006, the company's
operations provided $765,270 and $683,126 of cash, respectively.  
The company had cash of $2,353,972 as of Dec. 31, 2007.  At Dec.
31, 2007, the company had working capital of $2,416,398.

At Dec. 31, 2007, the company's balance sheet showed $3,160,762 in
total assets, $130,821 in total liabilities, and $3,029,941 in
total stockholders' equity.

A full-text copy of the company's 2007 annual report is available
for free at http://ResearchArchives.com/t/s?29f0

                       About eRoomSystem

Based in Lakewood, N.J., eRoomSystem Technologies, Inc. (OTCB:
ERMS) -- http://www.eroomsystem.com/-- develops and installs the  
eRoomSystem, an in-room computer platform and communications
network for the lodging and hotel industry worldwide.  The
eRoomSystem is a computerized platform and processor-based system
designed to collect and control data in eRoomServ refreshment
centers.


FIRST FRANKLIN: Moody's Cuts 46 Tranches' Ratings From Seven Deals
------------------------------------------------------------------
Moody's Investors Service downgraded the ratings of forty six
tranches issued in seven transactions from the First Franklin
Mortgage Loan Trust 2005 shelf.  The collateral backing each
tranche consists primarily of first lien adjustable-rate and
fixed-rate subprime mortgage loans.

The deals being reviewed have experienced an increasing proportion
of severely delinquent loans.  Timing of losses and in some cases,
pending stepdown, will cause the protection available to the
subordinated bonds to be diminished.

Complete rating actions are:

Issuer: First Franklin Mortgage Loan Trust 2005-FF1

  -- Cl. M-2, downgraded from A2 to Baa2
  -- Cl. M-3, downgraded from A3 to Baa3
  -- Cl. B-1, downgraded from Baa1 to Ba2
  -- Cl. B-2, downgraded from Baa2 to Ba3
  -- Cl. B-3, downgraded from Baa3 to B1
  -- Cl. B-4, downgraded from Ba1 to Caa2

Issuer: First Franklin Mortgage Loan Trust 2005-FF2

  -- Cl. M-4, downgraded from A1 to A3
  -- Cl. M-5, downgraded from A2 to Baa1
  -- Cl. M-6, downgraded from A3 to Baa3
  -- Cl. B-1, downgraded from Baa1 to Ba2
  -- Cl. B-2, downgraded from Baa2 to Ba3
  -- Cl. B-3, downgraded from Baa3 to B2
  -- Cl. B-4, downgraded from Ba1 to Caa2
  -- Cl. B-5, downgraded from Ba2 to Caa3

Issuer: First Franklin Mortgage Loan Trust 2005-FF3

  -- Cl. M-3, downgraded from Aa3 to A2
  -- Cl. M-4, downgraded from A1 to Baa1
  -- Cl. M-5, downgraded from A2 to Baa2
  -- Cl. M-6, downgraded from A3 to Baa3
  -- Cl. M-7, downgraded from Baa1 to Ba3
  -- Cl. M-8, downgraded from Baa2 to B2
  -- Cl. M-9, downgraded from Baa3 to Caa2
  -- Cl. B-1, downgraded from Ba1 to Caa3

Issuer: First Franklin Mortgage Loan Trust 2005-FF4

  -- Cl. M-5, downgraded from A3 to Baa2
  -- Cl. M-6, downgraded from Baa1 to Ba1
  -- Cl. M-7, downgraded from Baa2 to Ba2
  -- Cl. M-8, downgraded from Baa3 to B3

Issuer: First Franklin Mortgage Loan Trust 2005-FF6

  -- Cl. M-5, downgraded from A3 to Baa2
  -- Cl. B-1, downgraded from Baa1 to Baa3
  -- Cl. B-2, downgraded from Baa2 to Ba2
  -- Cl. B-3, downgraded from Baa3 to B1
  -- Cl. B-4, downgraded from Ba1 to Caa1

Issuer: First Franklin Mortgage Loan Trust 2005-FFH1

  -- Cl. M-4, downgraded from A1 to A3
  -- Cl. M-5, downgraded from A2 to Baa2
  -- Cl. M-6, downgraded from A3 to Ba1
  -- Cl. B-1, downgraded from Baa1 to B1
  -- Cl. B-2, downgraded from Baa2 to Ca
  -- Cl. B-3, downgraded from Baa3 to C
  -- Cl. B-4, downgraded from Ba1 to C

Issuer: First Franklin Mortgage Loan Trust 2005-FFH2

  -- Cl. M-4, downgraded from A1 to Baa1
  -- Cl. M-5, downgraded from A2 to Baa3
  -- Cl. M-6, downgraded from A3 to Ba3
  -- Cl. M-7, downgraded from Baa1 to B3
  -- Cl. M-8, downgraded from Baa2 to Caa2
  -- Cl. M-9, downgraded from Baa3 to Ca
  -- Cl. B-1, downgraded from Ba1 to C
  -- Cl. B-2, downgraded from Ba2 to C


FOAMEX INT'L: December 30 Balance Sheet Upside-Down by $298MM
-------------------------------------------------------------
Foamex International Inc.'s balance sheet at Dec. 30, 2007, showed
total assets of $433.7 million and total liabilities of
$731.8 million, resulting to total shareholders' deficit of
$298.1 million.

The company reported financial results for the fourth quarter and
fiscal year, which ended on Dec. 30, 2007.

Net loss for the fourth quarter was $35.6 million compared to net
income of $1.1 million in the fourth quarter of 2006.  Interest
expense for the fourth quarter of 2007 was $14.4 million.

Net loss for 2007 was $46.7 million compared to net income of
$12.3 million in 2006.

"This year we made significant progress restructuring and
streamlining operations; we took actions to reduce excess capacity
and improve plant efficiencies, while significantly lowering
overheadsm," Jack Johnson, president and chief executive officer,
said.  "We improved cash flow through working capital reductions
and asset sales, allowing us to reduce debt by approximately
$95.0 million, since emerging from bankruptcy in February 2007,
thus lowering debt levels to $534.1 million at year-end."

"Some of our more notable accomplishments include: selling our
70% equity interest in Foamex Asia; consolidating our Eddystone,
PA and Fort Wayne, Indiana manufacturing facilities; selling the
Fairless Hills, Pennsylvania, Dallas, Texas, and Orlando, Florida
carpet cushion facilities; lowering management compensation costs;
and recently, launching new products at ISPA," Mr. Johnson
continued.

"Although we are operating in a sluggish economy, we remain
confident in our strategic plan, which is to continue de-levering
the balance sheet and grow the business by exploiting our
technological advantage in the flexible polyurethane market and
expanding globally," Mr. Johnson added.  "The recently disclosed
Rights Offering and Second Lien Offering demonstrate the
commitment of both the management team and significant
equityholders to position the company to achieve its strategic
growth plan."

                  Liquidity and Capital Resources

Cash and cash equivalents were $5.2 million at Dec. 30, 2007,
compared to $6.0 million at Dec. 31, 2006.  Working capital at
Dec. 30, 2007, was $108.2 million and the current ratio was 1.69
to 1 compared to working capital at Dec. 31, 2006 of $24.0 million
and a current ratio of 1.08 to 1.

Total debt and revolving credit borrowings at Dec. 30, 2007 was
$534.1 million, a $109.6 million decrease from Dec. 31, 2006,
including prepayments of $80.0 million on the first lien term
loan.

As of Dec. 30, 2007, there were revolving credit borrowings of
$7.9 million under the Revolving Credit Facility.  Revolving
credit borrowings at Dec. 30, 2007, reflect working capital
requirements.

During 2007, the company consolidated the operations of its
Eddystone, Pennysylvania manufacturing facility and its Fort
Wayne, Indiana manufacturing facility.  The company intends to
sell the Eddystone, Pennsylvania facility and has included the
$5.0 million net book value of the assets as held for sale in the
accompanying consolidated balance sheet as of Dec. 30, 2007.

                 About Foamex International Inc.

Headquartered in Linwood, Pennsylvania, Foamex International Inc.
(FMXIQ.PK) -- http://www.foamex.com/-- produces cushioning for     
bedding, furniture, carpet cushion and automotive markets.  The
company also manufactures polymers for the industrial, aerospace,
defense, electronics and computer industries.  

The company and eight affiliates filed for chapter 11 protection
on Sept. 19, 2005 (Bankr. Del. Case Nos. 05-12685 through 05-
12693).  As of July 3, 2005, the Debtors reported $620,826,000 in
total assets and $744,757,000 in total debts.  

On Feb. 2, 2007, the Court confirmed the Debtors' Second Amended
Joint Plan of Reorganization.  The Plan of Reorganization of
Foamex International Inc. became effective and the company emerged
from chapter 11 bankruptcy protection on Feb. 12, 2007.


FOCUS ENHANCEMENTS: Burr Pilger Raises Substantial Doubt
--------------------------------------------------------
Burr, Pilger & Mayer LLP in San Jose raised substantial doubt
about Focus Enhancements, Inc.'s ability to continue as a going
concern after auditing the company's consolidated financial
statements for the years ended Dec. 31, 2007, and 2006.  The
auditing firm pointed to the company's recurring losses from
operations, net capital deficiency and accumulated deficit.

For the year ended Dec. 31, 2007, the company posted a $17,361,000
net loss on $29,971,000 of net revenues as compared with a
$15,923,000 net loss on $37,478,000 of net revenues for the same
period in 2006.

At Dec. 31, 2007, the company's balance sheet showed $25,920,000
in total assets, $24,863,000 in total liabilities, and $1,057,000
in total stockholders' equity.

The company's balance sheet at Dec. 31, 2007, showed strained
liquidity with $11,336,000 in total current assets available to
pay $13,370,000 in total current liabilities.

A full-text copy of the company's 2007 annual report is available
for free at http://ResearchArchives.com/t/s?29e4

                        Subsequent Events

Focus received on Feb. 11, 2008, gross proceeds of approximately
$9.3 million through the sale of additional indebtedness under
revised terms of its existing Jan. 24, 2006, Senior Secured
Convertible Note Purchase Agreement.

Prior investors under the original agreement and new investors
amended the Original Agreement through an "Amended and Restated
Senior Secured Note Purchase Agreement".

The Amended Agreement increases the amounts outstanding under the
Original Agreement from $11.5 million (after amendments to date)
to $20.8 million in new senior secured notes, amends the terms of
the Notes so they are no longer convertible into company common
stock, and issues to the holders of the Notes a total of 26
million warrants under which the holders have the right to
purchase one share of the company's common stock for $0.80 per
warrant share.

The Notes mature on Jan. 1, 2011, and initially bear interest at a
12% annual rate, increasing to 15% on Oct. 1, 2008, with payment
dates on June 30 and Dec. 30 of each year the Notes remain
outstanding.  The Notes are collateralized by all of the assets of
the company.  The transaction closed on Feb. 11, 2008.  No
placement agent fee or commissions are payable in connection with
the Amended Agreement.

Under the Amended Agreement, the company may, in its discretion,
elect to pay interest due on June 30, 2008, and Dec. 30, 2008, in
cash or by issuing additional Notes in the full amount of such
interest payment, if there has been no event of default.  

If the company elects to make the interest payments by issuance of
additional Notes, this would result is the additional issuance of
up to approximately $2,600,000 of Note principal and approximately
3.3 million Warrants (at the same exercise price of $0.80 per
share).

                     About Focus Enhancements

Headquartered in Campbell, Calif., Focus Enhancements, Inc.
(NASDAQ: FCSE) -- http://www.Focusinfo.com/-- designs world  
class-solutions in advanced, proprietary video and wireless video
technologies.  The company's Semiconductor Group develops wireless
IC chip set based on WiMedia UWB standard and design as well as
markets portable ICs to the video convergence, portable media,
navigation systems and smartphone markets.  The company's System
Group develops video products for the digital media markets, with
customers in the broadcast, video production, digital signage and
digital asset management markets.


FORT SHERIDAN: Three Classes of Notes Get Moody's Low-B Ratings
---------------------------------------------------------------
Moody's Investors Service downgraded and left on review for
possible further downgrade the ratings on these notes issued by
Fort Sheridan ABS CDO, Ltd.:

Class Description: $52,000,000 Class B Third Priority Secured
Floating Rate Notes Due 2041

  -- Prior Rating: Aa2
  -- Current Rating: A1, on review for possible downgrade

Class Description: $13,000,000 Class C-1 Mezzanine Secured
Floating Rate Notes Due 2041

  -- Prior Rating: Baa2
  -- Current Rating: Ba1, on review for possible downgrade

Class Description: $2,000,000 Class C-2 Mezzanine Secured Fixed
Rate Notes Due 2041

  -- Prior Rating: Baa2
  -- Current Rating: Ba2, on review for possible downgrade

Class Description: $4,000,000 Class C-3 Mezzanine Secured Fixed
Rate Notes Due 2041

  -- Prior Rating: Baa2
  -- Current Rating: Ba2, on review for possible downgrade

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


GENER8XION ENTERTAINMENT: Executive Officers Agree to 50% Pay Cut
-----------------------------------------------------------------
Gener8Xion Entertainment Inc. made the following disclosures on
April 3, 2008:

  a) On March 28, 2008, Gener8Xion Entertainment Inc. and its
     Board of Directors appointed Carlos D. De Mattos as interim
     chief financial Officer to replace Marilyn Beaubien who has
     resigned as chief financial officer as of April 1, 2008.  

     Mr. De Mattos is also the president and a board member of the
     company.  Concurrent with the appointment of the new interim
     chief financial officer, the company and its Board of  
     Directors has also appointed Richard P. Towne, Esq. as the
     new corporate secretary replacing Ms. Beaubien.  Mr. Towne
     has been the in house lawyer for the company for the past
     three years.

  b) On March 28, 2008, all executive officers agreed to and
     accepted Managements recommendation, which was approved by
     the Board of Directors to reduce all executive officers
     salaries by fifty (50%) commencing April 1, 2008.  The agreed
     to reductions in the salaries of the executive officers were
     part of a program of cost reductions instituted by the
     company.

                  About Gener8Xion Entertainment

Based in Burbank, California, Gener8Xion Entertainment Inc.
(OTC BB: GNXE.OB) -- http://www.8x.com/-- is an integrated media    
company engaged in various operating activities including film and
television production and distribution, sales and rentals of film
and video equipment, systems integration and studio facility
management.

Gener8Xion Entertainment Inc.'s consolidated balance sheet at
Jan. 31, 2008, showed $2,841,582 in total assets and $3,829,777 in
total liabilities, resulting in a $988,195 total stockholders'
deficit.

                     Going Concern Disclaimer

As reported in the Troubled Company Reporter on Feb. 21, 2008,
Los Angeles-based Farber Hass Hurley & McEwen LLP expressed
substantial doubt about Gener8Xion Entertainment Inc.'s ability to
continue as a going concern after auditing the company's
consolidated financial statements for the year ended Oct. 31,
2007.  The auditing firm's pointed to the company's operating
losses since inception.


GMAC LLC: Moody's Comments on $1.2BB Capital Injection to ResCap
----------------------------------------------------------------
Residential Capital LLC's announcement that it has received a
$1.2 billion capital injection from its parent GMAC LLC does not
impact the ratings of either entity.  The $1.2 billion capital
injection is equal to the face amount of ResCap debt purchased in
the open market by GMAC with an estimated current market value of
$607 million and exchanged for $607 million newly created ResCap
preferred units.  GMAC also disclosed that it has purchased an
additional $340 million face value of ResCap debt currently valued
at $266 million that they may contribute to ResCap.

The senior unsecured rating of GMAC LLC is B1 and ResCap B2.  The
rating outook for both firms is negative.  The downgrade of GMAC's
rating on Feb. 5, 2008 to B1 with a negative outlook contemplated
that the company would likely continue to provide capital to
support ResCap in the near term.  The cash and capital cost to
GMAC of providing the $1.2 billion capital injection to ResCap,
and the $340 million of additional debt purchased but not
contributed to ResCap, is within Moody's expectation of the amount
of support GMAC would provide to ResCap.

In regards to ResCap, the downgrade to B2 on Feb. 5, 2008
incorporated the possibility that the company would receive
sizable support from its parent.  Moody's still believes that
ResCap's parents may have a limited tolerance for supporting
ResCap if ResCap's performance and condition fail to meet
management's expectations for improvement during the first half of
2008.  Additionally, Moody's notes that the form of the capital
injection does not improve ResCap's short term liquidity profile.   
As stated above, the ResCap rating outlook remains negative.


GSAMP TRUST: Moody's Downgrades Ratings on Four Classes of Certs.
-----------------------------------------------------------------
Moody's Investors Service downgraded four certificates issued by
GSAMP Trust 2005-S2.  The transaction is backed by second lien
loans.  The certificates were downgraded because the bonds' credit
enhancement levels, including excess spread and subordination were
too low compared to the current projected loss numbers at the
previous rating levels.

The actions take into account the continued and worsening
performance of transactions backed by closed-end-second and home
equity line of credit collateral.  Substantial pool losses of over
the last few months have eroded credit enhancement available to
the mezzanine and senior certificates.  Despite the large amount
of write-offs due to losses, delinquency pipelines have remained
high as borrowers continue to default

Complete rating actions are:

Issuer : GSAMP Trust 2005-S2

  -- Cl. M-2, Downgraded to Ba2 from A2
  -- Cl. M-3, Downgraded to B2 from Ba1
  -- Cl. M-4, Downgraded to Caa1 from Ba3
  -- Cl. B-1, Downgraded to Caa3 from B1


GSV INC: Recurring Losses Prompt UHY LLP's Going Concern Doubt
--------------------------------------------------------------
UHY LLP raised substantial doubt about GSV Inc.'s ability to
continue as a going concern after auditing the company's
consolidated financial statements for the year ended Dec. 31,
2007.

The auditing firm said that the company has incurred recurring
operating losses, and it has negligible working capital as of
Dec. 31, 2007.  The company's expected future sources of revenue
will be derived from its investments in oil and gas wells.  
However, the attainment of profitability from these investments is
not assured.  The company will be required to obtain financing to
fund drilling and development to recover its investment in
geologic studies and to pay certain indebtedness as it becomes
due.  In addition, the discovery of proved reserves in properties
under evaluation is not assured.

At Dec. 31, 2007, the company's balance sheet showed $2,980,654 in
total assets, $1,062,530 in total liabilities, and $1,918,124 in
total stockholders' equity.

The company had $38,581,204 in accumulated deficit at Dec. 31,
2007.

The company's balance sheet at Dec. 31, 2007, showed strained
liquidity with $568,355 in total current assets available to pay
$884,405 in total current liabilities.

A full-text copy of the company's 2007 annual report is available
for free at http://ResearchArchives.com/t/s?29e3

Based in Westport, Conn., GSV Inc. (OTC BB: GSVI) --
http://www.gsv.com/-- manages investments in oil and gas wells in  
Louisiana and Texas.  The company also has limited Internet-
related investments.


HILLCREST CDO: Poor Credit Quality Spurs Moody's Rating Reviews
---------------------------------------------------------------
Moody's Investors Service placed on review for possible downgrade
the ratings on these notes issued by Hillcrest CDO I Ltd:

Class Description: $21,250,000 Class A-2 Floating Rate Senior
Secured Notes Due 2039

  -- Prior Rating: Aaa
  -- Current Rating: Aaa, on review for possible downgrade

Class Description: $33,350,000 Class B-1 Floating Rate Senior
Secured Notes Due 2039

  -- Prior Rating: Aa2
  -- Current Rating: Aa2, on review for possible downgrade

Class Description: $1,500,000 Class B-2 Fixed Rate Senior Secured
Notes Due 2039

  -- Prior Rating: Aa2
  -- Current Rating: Aa2, on review for possible downgrade

Class Description: $9,500,000 Class C Floating Rate Senior
Subordinate Secured Deferrable Notes Due 2039

  -- Prior Rating: A2
  -- Current Rating: A2, on review for possible downgrade

Class Description: $4,000,000 Class 1 Composite Notes

  -- Prior Rating: Baa2
  -- Current Rating: Baa2, on review for possible downgrade

Class Description: $9,000,000 Class 2 Composite Notes

  -- Prior Rating: Baa2
  -- Current Rating: Baa2, on review for possible downgrade

Moody's also downgraded and left on review for possible further
downgrade the ratings on these notes:

Class Description: $19,400, 000 Class D Floating Rate Senior
Subordinate Secured Deferrable Notes Due 2039

  -- Prior Rating: Baa2, on review for possible downgrade
  -- Current Rating: Ba2, on review for possible downgrade

Class Description: $21,250, 000 Class E Subordinate Secured Notes
Due 2039

  -- Prior Rating: B2, on review for possible downgrade
  -- Current Rating: Caa2, on review for possible downgrade

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


INDYMAC HOME: Moody's Junks Ratings on Six Classes of Certificates
------------------------------------------------------------------
Moody's Investors Service downgraded seven certificates and placed
on review for further possible downgrade one certificate issued by
IndyMac Home Equity Mortgage Loan Asset-Backed Trust, INDS 2006-A.   
The transaction is backed by second lien loans.  The certificates
were downgraded because the bonds' credit enhancement levels,
including excess spread and subordination were too low compared to
the current projected loss numbers at the previous rating levels.

The actions take into account the continued and worsening
performance of transactions backed by closed-end-second and home
equity line of credit collateral.  Substantial pool losses of over
the last few months have eroded credit enhancement available to
the mezzanine and senior certificates.  Despite the large amount
of write-offs due to losses, delinquency pipelines have remained
high as borrowers continue to default.

Complete rating actions are:

Issuer: IndyMac Home Equity Mortgage Loan Asset-Backed Trust, INDS
2006-A

  -- Cl. A, Downgraded to Ba3 from Aa1; Placed under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to Caa1 from Aa2

  -- Cl. M-2, Downgraded to Caa3 from Baa3

  -- Cl. M-3, Downgraded to Ca from Ba2

  -- Cl. M-4, Downgraded to C from B2

  -- Cl. M-5, Downgraded to C from Caa2

  -- Cl. M-6, Downgraded to C from Ca


INTREPID TECH: Inks Securities Purchase Agreement with YA Global
----------------------------------------------------------------
On March 28, 2008, Intrepid Technology and Resources Inc. entered
into a Securities Purchase Agreement with YA Global Investments
L.P., fka. Cornell Capital Partners.

Pursuant to the agreement, the company sold to YA Global up to
$585,000 of Secured Convertible Debentures and warrants to acquire
up to 4,200,000 additional shares of common stock, of which
$585,000 was funded on March 28, 2008.  The debentures are
convertible into shares of the company's common stock, par value
$0.005 per share.

The debentures shall accrue interest at a rate equal to eleven
percent (11%) per annum and shall mature, unless extended by the
holder in accordance with the terms of the debentures, on
March  28, 2010.

The debentures are secured by a a security interest in all of the
assets of the company and of each of the company's subsidiaries
and a Guaranty, dated March 28, 2008, in favor of YA Global by
each subsidiary of the company.  Within thirty (30) days after
March 28, 2008, the company will will provide YA Global a second
position security interest in such property located at (a) 501
West Broadway Suite 200, Idaho Falls, Idaho, (b) 675 North 700
East, Rupert, Idaho and (c) 1449 East 3150 South, Wendell, Idaho.

On March 28, 2008, the company and YA Global Investor amended the
warrant to purchase 5,000,000 shares of the company's common stock
issued to YA Global on Dec. 1, 2005, by resetting the exercise
price of the warrant from $0.055 to $0.01.

A full-text copy of the Securities Purchase Agreement, dated
March 28, 2008, is available for free at:

               http://researcharchives.com/t/s?2a11

                    About Intrepid Technology

Headquartered in Idaho Falls, Idaho, Intrepid Technology and
Resources Inc. (OTC BB: IESV.OB) -- http://www.intrepid21.com/--
is an application innovator in alternative energy technology and
production and of biogas products and services designed to
assist in worldwide energy independence, reduce pollution and
carbon emissions from renewable agriculture feedstock and
industrial and agriculture waste materials.

At Dec. 31, 2007, the company's consolidated balance sheet showed
$13,923,395 in total assets, $13,732,974 in total liabilities, and
$190,421 in total stockholders' equity.

                       Going Concern Doubt

As reported in the Troubled Company Reporter on Oct. 10, 2007,
Logan, Utah-based Jones Simkins PC expressed substantial doubt
about Intrepid Technology and Resources Inc.'s ability to continue
as a going concern after auditing the company's consolidated
financial statements for the year ended June 30, 2007.  The
auditing firm reported that the company has incurred recurring
losses, has negative working capital, and has negative cash flows
from operations.


LAKESIDE CDO I: Moody's Reviews 'Ba1' Notes Rating for Likely Cut
-----------------------------------------------------------------
Moody's Investors Service placed on review for possible downgrade
the ratings on these notes issued by Lakeside CDO I, LTD.:

Class Description: $152,000,000 Class A-2 Second Priority Senior
Secured Floating Rate Notes Due 2038

  -- Prior Rating: Aaa
  -- Current Rating: Aaa, on review for possible downgrade

Moody's also downgraded and left on review for possible further
downgrade the ratings on these notes:

Class Description: $9,000,000 Class B Third Priority Senior
Secured Floating Rate Notes Due 2038

  -- Prior Rating: A2, on review for possible downgrade
  -- Current Rating: Ba1, on review for possible downgrade

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


LAKESIDE CDO II: Moody's Cuts Ratings on $15 Mil. Notes to 'Ba3'
----------------------------------------------------------------
Moody's Investors Service downgraded and left on review for
possible further downgrade the ratings on these notes issued by
Lakeside CDO II, Ltd:

Class Description: $15,000,000 Class B Third Priority Secured
Floating Rate Notes Due 2040

  -- Prior Rating: A3
  -- Current Rating: Baa1, on review for possible downgrade

Class Description: $15,000,000 Class C Mezzanine Secured Floating
Rate Notes Due 2040

  -- Prior Rating: Baa2
  -- Current Rating: Ba3, on review for possible downgrade

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


LOUISIANA RIVERBOAT: Files List of 30 Largest Unsecured Creditors
-----------------------------------------------------------
Roadrunner River Resort, LLC submitted to the U.S. Bankruptcy
Court for the Western District of Louisiana its list of 30 largest
unsecured creditors, disclosing:

   Entity                          Claim Amount
   ------                          ------------
IGT                                $327,433
4012 Solutions Center
Chicago, IL 60677-400

Merrill Corp.                      $230,559
311 South Wacker Drive, Suite 1800
Chicago, IL 60605-8620

Isle of Capri                      $100,000 to
600 Emerson, Suite 300             $1,000,000
St. Louis, MO 63141

Moody's Investors Service          $125,000

Bonomo Builders                    $116,979

Shuffle Master, Inc.               $99,849

Standard & Poors                   $93,500

Ernst & Young                      $68,840

Conco Food Service                 $59,654

Entergy Corp.                      $54,625

SWEPCO                             $51,619

Leah Hall                          $46,500

WMS Gaming                         $45,308

Sysco Food Services                $34,314

Joseph Bosley                      $33,920

Paragon Press                      $33,880

Grandma's Best, LLC                $33,411

Guest Supply                       $29,166

Santa Maria Wholesale              $23,877

Lamar Advertising Co.              $23,639

Centerpoint                        $22,934

Tempower Temporary Services        $18,689

Farmers Seafood Co., Inc.          $17,557

U.S. Foodservice, Inc.             $17,557

Eagle Distributing, Inc.           $15,567

City of Bossier-Utilities          $14,524

Global Payments, Inc.              $12,604

Buckhead Beef Co.                  $12,453

William Curran                     $10,749

G&G Distributors                   $10,593

Headquartered in Bossier City, Louisiana, Louisiana Riverboat
Gaming Partnership, which does business as Diamond Jacks Casino &
Resort, and its debtor-affiliates-- http://www.islecorp.com/  --  
operate casinos and hotels.  The companies filed for Chapter 11
protection on March 11, 2008 (Bankr. W.D. La. Case No. 08-10824).  
Tristan E. Manthey, Esq. and William H. Patrick, III, Esq. at
Heller Draper Hayden Patrick and Horn represent the Debtors.  When
they filed for protection from its creditors, the companies listed
consolidated assets and debts both between $100 million to $500
million.


LUMINENT MORTGAGE: Grant Thorton Raises Substantial Doubt
---------------------------------------------------------
Grant Thornton LLP in Philadelphia raised substantial doubt about
Luminent Mortgage Capital, Inc.'s ability to continue as a going
concern after it audited the company's consolidated financial
statements for the year ended Dec. 31, 2007.

Grant Thornton said Luminent Mortgage has lost $721 million for
the year ended Dec. 31, 2007, which included $481.7 million in
impairment losses on mortgage-backed securities.  The company also
recorded $21.3 million in corporate, state and U.S. federal income
taxes due to its inability to meet the threshold for tax benefit
recognition as it related to its qualification as a REIT.  
Additionally, the company is in default under certain financing
arrangements.

                        Default and Waiver

In September 2007, the company entered into a definitive credit
agreement with Arco Capital Corporation Ltd. that was amended in
December 2007 that provides for a revolving credit facility in the
amount of the lesser of $16 million or 85% of eligible asset
values as defined in the definitive credit agreement.

The line of credit matures on Sept. 26, 2012, and undrawn portions
of the facility can be cancelled at the company's option.  The
line of credit bears interest at LIBOR plus 4.00%.  A commitment
fee of 0.50% is payable quarterly on the daily average amount of
the unused line of credit.  

The facility will be repaid from net proceeds in excess of
$250,000 from the sale, transfer or disposition of any property or
asset of the company or from 75% of the company's annual excess
cash amount as defined in the agreement.

The line of credit is secured by all of the company's assets that
are not subject to a previous security interest.  

As of Dec. 31, 2007, the company was not in compliance with
certain covenants required by this agreement; however, Arco has
provided the company with a waiver and has continued to allow the
company to maintain the lines of credit.

                            Financials

For the year ended Dec. 31, 2007, the company posted a
$720,997,000 net loss on $520,878,000 of total interest income as
compared with $46,797,000 of net income on $357,137,000 of total
interest income for the same period ended Dec. 31, 2006.

At Dec. 31, 2007, the company's consolidated balance sheet showed
$4,721,918,000 in total assets and $5,031,943,000 in total
liabilities, resulting in a $310,025,000 stockholders' deficit.

The company's accumulated distributions in excess of accumulated
earnings at Dec. 31, 2007, increased more than 7x to $865,098,000
from $115,827,000 at Dec. 31, 2006.

A full-text copy of the company's 2007 annual report is available
for free at http://ResearchArchives.com/t/s?29de

                     About Luminent Mortgage

San Francisco-based Luminent Mortgage Capital Inc. (NYSE: LUM)
-- http://www.luminentcapital.com/-- is a real estate investment  
trust, or REIT.  Luminent is an asset management company that
invests in prime whole loans, U.S. agency and other highly-rated,
single-family, adjustable-rate, hybrid adjustable-rate and fixed-
rate mortgage-backed securities, which it acquires in the
secondary market.


MAAX HOLDINGS: Moody's Withdraws Junk Ratings for Business Reasons
------------------------------------------------------------------
Moody's Investors Service has withdrawn all ratings on MAAX
Holdings, Inc. and MAAX Corporation for business reasons.

These ratings were withdrawn on MAAX Holdings, Inc.:

  -- Corporate Family Rating, Ca

  -- Probability of Default Rating, Ca

  -- Speculative Grade Liquidity Rating, SGL-4

  -- $152 million 11.57% senior unsecured discount notes due 2012,
     C (LGD6, 93%)

This rating was withdrawn on MAAX Corporation:

  -- $150 million 9.75% senior subordinated notes due 2012, Ca
     (LGD5, 73%)

MAAX Holdings, Inc., headquartered in Quebec, is a manufacturer of
bathroom products and spas for the residential market.  For the
twelve months ended Nov. 30, 2007, the company reported revenues
of $411 million and a net loss of $180 million.


MERISANT COMPANY: Moody's Withdraws 'B3' Ratings on Proposed Loan
-----------------------------------------------------------------
Moody's Investors Service withdrew the ratings on Merisant
Company's previously proposed new $35 million bank revolving
credit agreement and $210 million bank term loan, following the
company's announcement that it had withdrawn the transaction due
to an inability to obtain favorable financing terms in an adverse
market.

The withdrawn transaction was to have refinanced the company's
existing bank credit facilities.  Moody's affirmed Merisant's
other ratings, including its corporate family rating of Caa3 and
its probability of default rating of Caa3.  The rating outlook
remains stable.

Ratings withdrawn:

Merisant Company

  -- Previously proposed new $35 million senior secured revolving
     credit agreement at B3 (LGD2,16%)

  -- Previously proposed new $210 million senior secured term
     loans at B3 (LGD2,16%)

Ratings affirmed:

Merisant Worldwide, Inc.

  -- Corporate family rating at Caa3

  -- Probability of default rating at Caa3

  -- $137 million senior subordinated discount notes maturing May
     2014 at Ca (LGD6,91%)

Merisant Company

  -- $35 million first lien senior secured revolving credit
     expiring in January 2009 at B3 (LGD2,16%)

  -- $190 million first lien senior secured Term Loan B maturing
     in January 2010 at B3 (LGD2, 16%)

  -- $15.7 million (original EU 50 million) 1st lien senior
     secured Term Loan A maturing in January 2009 at B3
     (LGD2, 16%)

  -- $225 million senior subordinated notes maturing in July 2013   
     at Ca (LGD4, 63%)

The affirmation of Merisant's existing ratings is based on the
greater stability in the company's operating performance.  
Reported operating profit margin in each of the first three
quarters of fiscal 2007 was stronger than in the same period in
the prior year, even when excluding $30 million in other income in
the second quarter of fiscal 2007.  Profitability has benefited
from supply chain programs to streamline manufacturing.  Cost
structure has also been helped by the current excess of global
aspartame supply.

Further cost savings and the leveraging of manufacturing capacity
through the production of private label goods represent
opportunities to enhance profitability, while greater
international expansion could boost sales over the intermediate
term.  Merisant is anticipated to be able to fund working capital,
capital expenditures, and modest term debt repayments with cash on
hand ($51 million at Dec. 31, 2007), its $35 million revolving
credit agreement, and modest operating cash flow.

Merisant's Caa3 corporate family rating reflects the company's
very heavy debt burden relative to its earnings and cash flow and
the likelihood, in Moody's view, that the company might need to
restructure its debt in order to be able to meet fierce
competition and to invest in growth opportunities.

The rating outlook is stable, given that the current corporate
family rating adequately captures debt recovery expectations for
the enterprise.

Headquartered in Chicago, Merisant Worldwide, Inc. is a leading
global producer and marketing of low-calorie tabletop sweeteners.   
Its premium-priced brands are Equal and Canderel, which are
sweetened with aspartame.  Merisant has an estimated 21% dollar
share of the global retail market for low-calorie tabletop
sweeteners, and sales of approximately $290 million for the fiscal
year ended Dec. 31, 2007.


MERRILL LYNCH: 52 Tranches Acquire Moody's Rating Downgrades
------------------------------------------------------------
Moody's Investors Service downgraded the ratings of 52 tranches
from 12 Alt-A transactions issued by Merrill Lynch.  Twenty  
tranches remain on review for possible further downgrade.   
Additionally, 56 tranches were placed on review for possible
downgrade.

The collateral backing these transactions consists primarily of
first-lien, fixed and adjustable-rate, Alt-A mortgage loans.  The
ratings were downgraded, in general, based on higher than
anticipated rates of delinquency, foreclosure, and REO in the
underlying collateral relative to credit enhancement levels.  The
actions described below are a result of Moody's on-going review
process.

Complete rating actions are:

Merrill Lynch Alternative Note Asset Trust, Series 2007-A1

  -- Cl. A-2A, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-2B, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-2C, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B3 from Aa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to B3 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-3, Downgraded to B3 from Aa3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-4, Downgraded to Caa1 from Baa3; Placed Under Review
     for further Possible Downgrade

  -- Cl. M-5, Downgraded to Ca from Ba2

  -- Cl. M-6, Downgraded to Ca from Ba3

  -- Cl. B-1, Downgraded to Ca from Caa1

  -- Cl. B-2, Downgraded to Ca from Caa2

Merrill Lynch Alternative Note Asset Trust, Series 2007-A2

  -- Cl. A-3A, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-3B, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-3C, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B3 from Aa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to B3 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-3, Downgraded to B3 from Aa3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-4, Downgraded to Ca from Ba1

  -- Cl. M-5, Downgraded to Ca from Ba3

  -- Cl. M-6, Downgraded to Ca from B3

  -- Cl. B-1, Downgraded to Ca from Caa1

  -- Cl. B-2, Downgraded to Ca from Caa2

Merrill Lynch Alternative Note Asset Trust, Series 2007-A3

  -- Cl. A-2A, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-2B, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-2C, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B2 from Aa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to B3 from Aa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-3, Downgraded to B3 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-4, Downgraded to B3 from Aa3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-5, Downgraded to Ca from Ba2

  -- Cl. M-6, Downgraded to Ca from B1

  -- Cl. B-1, Downgraded to Ca from Caa2

  -- Cl. B-2, Downgraded to Ca from Caa3

Merrill Lynch Alternative Note Asset Trust, Series 2007-F1

  -- Cl. 1-A1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 1-A2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 2-A1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 2-A2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 2-A3, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 2-A4, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 2-A5, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 2-A6, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 2-A7, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 2-A8, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 2-A9, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 2-A10, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. PO, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IO-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IO-2, Placed on Review for Possible Downgrade,
     currently Aaa

Merrill Lynch Mortgage Investors Trust 2005-A6

  -- Cl. M-1, Downgraded to Aa3 from Aa2

  -- Cl. M-2, Downgraded to Ba1 from A2

  -- Cl. B-1, Downgraded to B3 from Baa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. B-2, Downgraded to B3 from Baa3; Placed Under Review for
     further Possible Downgrade

Merrill Lynch Mortgage Investors Trust 2005-A8

  -- Cl. B-2, Downgraded to Ba1 from Baa3

Merrill Lynch Mortgage Investors Trust 2006-A1

  -- Cl. I-A2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. II-A2, Placed on Review for Possible Downgrade,
     currently Aaa

Merrill Lynch Mortgage Investors Trust 2006-A2

  -- Cl. M-1, Downgraded to Baa3 from Aa2

  -- Cl. M-2, Downgraded to B2 from A3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-3, Downgraded to Ca from Ba2

Merrill Lynch Mortgage Investors Trust 2006-A4

  -- Cl. M-1, Downgraded to B2 from Aa2

  -- Cl. M-2, Downgraded to B3 from Baa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-3, Downgraded to Ca from B1

  -- Cl. I-A, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. II-A, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. III-A-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IV-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IV-A-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. V-A, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. X-A, Placed on Review for Possible Downgrade,
     currently Aaa

Merrill Lynch Mortgage Investors Trust 2006-AF2

  -- Cl. MF-2, Downgraded to Baa1 from A2

  -- Cl. MF-3, Downgraded to Ba3 from Baa2

  -- Cl. MV-2, Downgraded to A3 from Aa2

  -- Cl. MV-3, Downgraded to Baa3 from Aa3

  -- Cl. MV-4, Downgraded to B1 from A2

  -- Cl. MV-5, Downgraded to B2 from A3; Placed Under Review for
     further Possible Downgrade

  -- Cl. MV-6, Downgraded to B2 from Baa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. BV-1, Downgraded to B2 from Baa3; Placed Under Review for
     further Possible Downgrade

  -- Cl. BV-2, Downgraded to Ca from Ba1

  -- Cl. BV-3, Downgraded to Ca from Ba2

Merrill Lynch Mortgage Investors Trust 2007-AF1

  -- Cl. 1AF-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 1AF-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 1AF-4, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 1AF-5, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 1AF-6, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 1AF-7, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 1AF-8, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 1AF-10, Placed on Review for Possible Downgrade,           
     currently Aaa

  -- Cl. 1AF-11, Placed on Review for Possible Downgrade,      
     currently Aaa

  -- Cl. 1AF-12, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. AV-IO, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 2AF-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. 2AF-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. MV-1, Downgraded to B1 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. MV-2, Downgraded to Ca from B1

  -- Cl. MV-3, Downgraded to Ca from Caa2

  -- Cl. F-PO, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. F-IO, Placed on Review for Possible Downgrade,
     currently Aaa

Merrill Lynch Mortgage Investors Trust Series 2006-AF1

  -- Cl. AF-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. AF-2A, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. AF-2B, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. AF-2C, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. AF-3A, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. AF-3B, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. MF-1, Downgraded to Ba2 from Aa2

  -- Cl. MF-2, Downgraded to B1 from Baa3; Placed Under Review for
     further Possible Downgrade

  -- Cl. MF-3, Downgraded to Ca from B1

  -- Cl. MV-3, Downgraded to Ba1 from Baa2

  -- Cl. PO, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. IO, Placed on Review for Possible Downgrade,
     currently Aaa


MICROFIELD GROUP: Liquidity Concerns Prompt Substantial Doubt
-------------------------------------------------------------
RBSM LLP in McLean, Va., raised substantial doubt about Microfield
Group, Inc.'s ability to continue as a going concern after
auditing the company's consolidated financial statements for the
fiscal years ended Dec. 29, 2007, and Dec. 30, 2006.  The auditing
firm said Microfield Group is experiencing difficulty in
generating sufficient cash flow to meet its obligations and
sustain its operations.

For the year ended Dec. 29, 2007, the company reported a
$14,035,506 net loss on $12,625,654 of sales as compared with
$832,960 of net income on $3,201,980 of sales for the year ended
Dec. 30, 2006.

At Dec. 29, 2007, the company's consolidated balance sheet showed
$48,085,644 in total assets, $16,827,690 in total liabilities, and
$31,257,954 in total stockholders' equity.

The company's balance sheet at Dec. 29, 2007, showed strained
liquidity with $15,642,749 in total current assets available to
pay $16,766,363 in total current liabilities.

The company's accumulated deficit at Dec. 29, 2007, increased to
$120,696,679 from $106,661,173 at Dec. 30, 2006.

                         Subsequent Event

On Nov. 29, 2007, the company's board of directors signed an
agreement to sell all of the shares of its wholly owned subsidiary
Christenson Electric, Inc., to a corporation formed by the
management of CEI, for $1,650,000 in cash and the assumption of
approximately $7.5 million in term and revolving debt (subject to
adjustments for subsequent changes).  The company's shareholders
approved the agreement in a vote on March 10, 2008.

A full-text copy of the company's 2007 annual report is available
for free at http://ResearchArchives.com/t/s?29dc

Microfield Group, Inc. -- http://www.microfield.com/-- through  
its wholly owned operating subsidiary, EnergyConnect, Inc.,
specializes in transactions involving integration of consumers of
electricity into the wholesale electricity markets.


MILLSTONE II: Moody's Reviews Note Ratings for Likely Downgrades
----------------------------------------------------------------
Moody's Investors Service placed on review for possible downgrade
the ratings on these notes issued by Millstone II CDO Ltd.:

Class Description: $46,000,000 Class B Deferrable Floating Rate
Notes Due 2051

  -- Prior Rating: Aa2
  -- Current Rating: Aa2, on review for possible downgrade

Moody's also downgraded and left on review for possible further
downgrade the ratings on these notes:

Class Description: $14,000,000 Class C Deferrable Floating Rate
Notes Due 2051

  -- Prior Rating: A2, on review for possible downgrade
  -- Current Rating: Baa1, on review for possible downgrade

Class Description: $10,000,000 Class D Deferrable Floating Rate
Notes Due 2051

  -- Prior Rating: Baa2, on review for possible downgrade
  -- Current Rating: Ba1, on review for possible downgrade

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


MONTEREY CDO: Moody's Reviews Ratings on Eight Classes of Notes
---------------------------------------------------------------
Moody's Investors Service placed on review for possible downgrade
the ratings on these notes issued by Monterey CDO, Ltd.:

Class Description: Up to $240,000,000 Class A-1A First Priority
Senior Secured Floating Rate Delayed Draw Notes Due September 2042

  -- Prior Rating: Aaa
  -- Current Rating: Aaa, on review for possible downgrade

Class Description: $560,000,000 Class A-1B First Priority Senior
Secured Floating Rate Notes Due September 2042

  -- Prior Rating: Aaa
  -- Current Rating: Aaa, on review for possible downgrade

Additionally, Moody's downgraded and left on review for possible
further downgrade the ratings on these notes:

Class Description: $80,000,000 Class A-2 Second Priority Senior
Secured Floating Rate Notes Due September 2042

  -- Prior Rating: Aaa, on review for possible downgrade
  -- Current Rating: A2, on review for possible downgrade

Class Description: $51,000,000 Class A-3 Third Priority Senior
Secured Floating Rate Notes Due September 2042

  -- Prior Rating: Aaa, on review for possible downgrade
  -- Current Rating: Baa1, on review for possible downgrade

Class Description: $34,000,000 Class B Fourth Priority Senior
Secured Floating Rate Notes Due September 2042

  -- Prior Rating: Aa2, on review for possible downgrade
  -- Current Rating: Baa2, on review for possible downgrade

Class Description: $7,000,000 Class C Fifth Priority Senior
Secured Floating Rate Notes Due September 2042

  -- Prior Rating: Aa3, on review for possible downgrade
  -- Current Rating: Baa3, on review for possible downgrade

Class Description: $10,000,000 Class D Sixth Priority Mezzanine
Secured Deferrable Floating Rate Notes Due September 2042

  -- Prior Rating: A2, on review for possible downgrade
  -- Current Rating: Ba1, on review for possible downgrade

Class Description: $10,000,000 Class E Seventh Priority Mezzanine
Secured Deferrable Floating Rate Notes Due September 2042

  -- Prior Rating: Baa2, on review for possible downgrade
  -- Current Rating: Ba2, on review for possible downgrade

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


MOVIE GALLERY: Voting Results Show Overwhelming Support for Plan
----------------------------------------------------------------
Movie Gallery, Inc. and its debtor-affiliates have disclosed that
the voting results for the Debtors' Second Amended Joint Plan of
Reorganization have been filed with U.S. Bankruptcy Court for the
Eastern District of Virginia.

Voting by every class of creditors entitled to vote was
overwhelmingly in support of the Plan.  The Plan was accepted by
more than 90% of the approximately 1,500 creditors who voted on
the Plan.

A confirmation hearing on the Plan is scheduled for Wednesday,
April 9, 2008.  The Debtors believe that the Plan satisfies the
requirements of the U.S. Bankruptcy Code and is hopeful that it
will be confirmed by the Bankruptcy Court.  The Debtors remain on
schedule to emerge early in the second quarter of 2008.

"Through our ongoing restructuring we have positioned Movie
Gallery and Hollywood Video as stronger businesses, better
equipped for long-term success," said Joe Malugen, Chairman,
President and Chief Executive Officer of Movie Gallery.  "We are
confident that our Plan represents a fair and equitable outcome
for all of the creditors involved.  We are pleased to have
the strong support of our creditors and appreciate the continued
loyalty of our customers, suppliers and employees."

Details of the voting results including votes on a class-by-class
basis are available at http://www.kccllc.net/moviegallery

                       About Movie Gallery

Based in Dothan, Alabama, Movie Gallery Inc. --
http://www.moviegallery.com/-- is a home entertainment specialty
retailer.  The company owns and operates 4,600 retail stores that
rent and sell DVDs, videocassettes and video games.

The company and its debtor-affiliates filed for Chapter 11
protection on Oct. 16, 2007 (Bankr. E.D. Va. Case Nos. 07-33849 to
07-33853.  Anup Sathy, Esq., Marc J. Carmel, Esq., and Richard M.
Cieri, Esq., at Kirkland & Ellis LLP, represent the Debtors.
Michael A. Condyles, Esq., and Peter J. Barrett, Esq., at Kutak
Rock LLP, is the Debtors' local counsel.  The Debtors' claims &
balloting agent is Kutzman Carson Consultants LLC.  When the
Debtors' filed for protection from their creditors, they listed
total assets of $891,993,000 and total liabilities of
$1,419,215,000.

The Official Committee of Unsecured Creditors has selected Robert
J. Feinstein, Esq., James I. Stang, Esq., Robert B. Orgel, Esq.,
and Brad Godshall, Esq., at Pachulski Stang Ziehl & Jones LLP, as
its lead counsel, and Brian F. Kenney, Esq., at Miles &
Stockbridge PC, as its local counsel.

The Debtors' spokeswoman Meaghan Repko said that the company does
not expect to exit bankruptcy protection before the second quarter
of 2008.  The Debtors have until June 13, 2008 to file their plan
of reorganization.


NEOMEDIA TECHNOLOGIES: Kingery & Crouse Raises Substantial Doubt
----------------------------------------------------------------
Kingery & Crouse, P.A, raised substantial doubt about NeoMedia
Technologies, Inc.'s ability to continue as a going concern after
auditing the company's consolidated financial statements for the
year ended Dec. 31, 2007.  The auditing firm said the company has
suffered recurring losses from operations and has ongoing
requirements for additional capital investment.

For the year ended Dec. 31, 2007, the company reported a
$40,635,000 net loss on $1,864,000 of net sales as compared with a
$68,406,000 net loss on $1,605,000 of net sales for the same
period in 2006.

At Dec. 31, 2007, the company's consolidated balance sheet showed
$13,524,000 in total assets and $87,752,000 in total liabilities,
resulting in a $74,228,000 stockholders' deficit.

The company's accumulated deficit at Dec. 31, 2007, increased to
$201,565,000 from $160,930,000 at Dec. 31, 2006.

                        Subsequent Events

The company exercised a put option with 12Snap AG on Jan. 28,
2008.  The company sold its remaining 10% ownership of 12Snap to
Bernd Michael -- a private investor and former shareholder of
12Snap prior to the company's acquisition of 12Snap.

The option agreement gave the company the right to sell the
remaining 10% stake held for a purchase price of $800,000 after
Dec. 31, 2007.  This resulted in net proceeds of $800,000 in
January 2008.

YA Global Investments, LP, fka Cornell Capital Partners LP,
converted 100 shares, 25 shares, 50 shares and 50 shares of the
company's Series C preferred stock on Feb. 19, 2008, March 10,
2008, March 17, 2008, and March 25, 2008, respectively.  

In exchange for the Series C preferred stock, the company issued
10 million, 2.5 million, 5 million and 5 million shares of common
stock, respectively.

A full-text copy of the company's 2007 annual report is available
for free at http://ResearchArchives.com/t/s?29dd

Based in Fort Myers, Fla., NeoMedia Technologies, Inc. (OTC BB:
NEOM) -- http://www.neom.com/-- provides Internet advertising  
solutions using wireless technologies to connect traditional print
and broadcast media companies to active mobile content.


NIEUW HAARLEM: Moody's Cuts Ratings on $128.325 Mil. Notes to Ba1
-----------------------------------------------------------------
Moody's Investors Service downgraded and left on review for
possible further downgrade the ratings on these notes issued by
Nieuw hAArlem CDO Ltd:

Class Description: $209,025,000 Class A-1 Senior Secured Floating
Rate Notes due 2050

  -- Prior Rating: Aaa, on review for possible downgrade
  -- Current Rating: Baa1, on review for possible downgrade

Class Description: $128,325,000 Class A-2 Senior Secured Floating
Rate Notes due 2050

  -- Prior Rating: Aa2, on review for possible downgrade
  -- Current Rating: Ba1, on review for possible downgrade

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


NORCROSS SAFETY: $1.2BB Honeywell Deal Spurs S&P's Positive Watch
-----------------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings on Norcross
Safety Products LLC and holding company Safety Products Holdings
Inc., including the corporate credit ratings of 'B+', on
CreditWatch with positive implications, following the announcement
that Honeywell International Inc. (A/Stable/A-1) will acquire
Norcross for $1.2 billion.
      
"We assume the debt of Norcross and Safety Products Holdings will
be repaid, and expect to withdraw the ratings shortly after the
close of the acquisition," said Standard & Poor's credit analyst
Sarah Wyeth.


PEACE ARCH: Posts CDN$1.1 Million Net Loss in Qtr. Ended Nov. 30
----------------------------------------------------------------
Peach Arch Entertainment Group Inc. reported a net loss of
CDN$1.1 million for the first quarter ended Nov. 30, 2007,
compared with a net loss of CDN$373,000 for the first quarter
ended Nov. 30, 2006.

Revenues for the first quarter were CDN$17.2 million, up 52% from
CDN$11.3 million for the same period in the prior year.  The
increase in revenues was primarily due to a CDN$5.3 million
increase in revenues in the home entertainment segment which
includes new revenues from the acquisition of Trinity in the U.S.  
A CDN$2.8 million increase in television revenues was partially
offset by a CDN$2.3 million decrease in motion picture revenues.  
The lower motion picture revenues were due to a delay in product
delivery to Q2 and Q3.

Operating expenses, defined as amortization of investment in film
and television programming and other production costs, home
entertainment costs, selling, general and administrative costs,
stock and warrant-based compensation costs, and other amortization
of CDN$17.3 million in the period increased by 63% from
CDN$10.6 million for the same period in the prior year.  The
increase is primarily due to higher home entertainment direct
costs from the higher revenues and increased corporate costs from
the inclusion of the new businesses Castle Hill/Dream, Trinity and
Dufferin Gate as well as additional overhead to support organic
growth.

In the first quarter of fiscal 2008, the company recorded a loss
from operations of CDN$115,000 compared to earnings of CDN$717,000
last year.  The loss in the quarter is mainly attributable to the
lower revenues and earnings in the motion picture segment due to
the delay in the delivery of certain titles to future quarters.

Interest income for the three months was CDN$442,000, compared to
CDN$260,000 in the prior year.

Interest expense for the three months was CDN$1.7 million for the
year, compared to CDN$822,000 in the prior year.  The change over
the prior year reflects increased interest expense due to higher
production loans, as well as the inclusion of loan arrangement
fees paid for new loan facilities negotiated during the quarter.

Foreign exchange gain for the three months was CDN$356,000,
compared to a loss of CDN$317,000 in the prior year which reflects
the impact of the strengthening Canadian dollar on the company's
U.S. operations.

Income tax expense of CDN$139,000 in the period consists of a
CDN$258,000 provision for income taxes net of a recovery for
income taxes for CDN$119,000 compared to CDN$198,000 provision for
income taxes which is net of a recovery for income taxes for
CDN$64,000 for the same period in the prior year.  

A recovery for income taxes of CDN$119,000 was recorded in the
quarter, CDN$46,000 relates to intangible assets that arose on
business acquisitions which resulted in a future income tax
liability represented by the tax effect of the temporary
differences between the tax and accounting treatment of intangible
assets.  Amortization of intangible assets during the period
resulted in a partial reversal of temporary timing differences and
a resulting income tax recovery.  

An additional CDN$73,000 was recorded as a future tax recovery,
and is related to net operating losses in the United States.

At Nov. 30, 2007, the company's consolidated balance sheet showed
CDN$166.3 million in total assets, CDN$121.2 million in total
liabilities, and CDN$45.1 million in total stockholders' equity.

                         About Peace Arch

Based in Toronto, Los Angeles, and London, Peace Arch
Entertainment Group Inc. (AMEX: PAE) (TSX: PAE) --
http://www.peacearch.com/-- produces and acquires feature films,  
television and home entertainment content for distribution to
worldwide markets.  Peace Arch owns one of the largest libraries
of top quality independent feature films in the world, featuring
more than 1000 classic and contemporary titles.

                          *     *     *

As reported in the Troubled Company Reporter on March 28, 2008,
Peace Arch's management said in its Form 20-F report to the U.S.
Securities and Exchange Commission for the fiscal year ended
Aug. 31, 2007, that while the company continues to maintain its
day-to-day activities and produce and distribute films and
television programming, its working capital situation is severely
constrained.  

The company also that it operates in an industry that has long
operating cycles which require cash injections into new projects
significantly ahead of the delivery and exploitation of the final
production.

If the company is unsuccessful in its financing efforts and in
achieving sufficient cash flows from operating activities, the
company may be required to significantly reduce or limit
operations.  

These factors cast substantial doubt on the company's ability to
continue as a going concern.


PHH MORTGAGE: S&P Keeps Low-B Ratings on Two Classes of Certs.
--------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its ratings on 12
classes of mortgage pass-through certificates from PHH Mortgage
Corp.'s series 2003-3P.
     
The affirmations are based on current credit enhancement
percentages that are sufficient to support the current ratings on
the certificates.  As of the March 25, 2008, distribution date,
total delinquencies were 0.77% of the current pool balance.  There
have been no cumulative realized losses to date.  The current
outstanding pool factor is 44.87%, and the deal is 58 months
seasoned.
     
The collateral for this transaction consists of conventional
fixed-rate residential mortgage loans.  The loans are secured by
first liens on one- to four-family residential properties.

                        Ratings Affirmed
   
                        PHH Mortgage Corp
         Mortgage pass-through certificates series 2003-3P
   
             Class                              Rating
             -----                              ------
             A-1, A-2, A-3, A-4, A-5, A-6, X    AAA
             B-1                                AA
             B-2                                A
             B-3                                BBB
             B-4                                BB
             B-5                                B
             

POINT PLEASANT: Moody's Cuts $254.93 Mil. Notes From Aaa to 'Ba1'
-----------------------------------------------------------------
Moody's Investors Service downgraded and left on review for
possible further downgrade the ratings on these notes issued by
Point Pleasant Funding 2007-1, Ltd.:

Class Description: $254,930,000 Class A-1 Floating Rate Notes due
September 2047

  -- Prior Rating: Aaa, on review for possible downgrade
  -- Current Rating: Ba1, on review for possible downgrade

Class Description:$170,000,000 Class A-2 Floating Rate Notes due
September 2047

  -- Prior Rating: Aaa, on review for possible downgrade
  -- Current Rating: Ba2, on review for possible downgrade

Class Description: $100,000,000 Class B Floating Rate Notes due
September 2047

  -- Prior Rating: A3, on review for possible downgrade
  -- Current Rating: B1, on review for possible downgrade

Additionally, Moody's downgraded these notes:

Class Description: $28,000,000 Class C Deferrable Floating Rate
Notes due September 2047

  -- Prior Rating: Ba3, on review for possible downgrade
  -- Current Rating: Ca

Class Description: $32,000,000 Class D Deferrable Floating Rate
Notes due September 2047

  -- Prior Rating: Caa3, on review for possible downgrade
  -- Current Rating: Ca

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio


PORT JACKSON: Moody's Junks Rating on $60 Mil. Notes From 'Ba1'
---------------------------------------------------------------
Moody's Investors Service downgraded and left on review for
possible further downgrade the ratings on these notes issued by
Port Jackson CDO 2007-1, Ltd.:

Class Description: $105,000,000 Class A-1 First Priority Senior
Secured Floating Rate Delayed Draw Notes due 2052

  -- Prior Rating: Aaa, on review for possible downgrade
  -- Current Rating: Ba2, on review for possible downgrade

Class Description: $112,500,000 Class A-2 Second Priority Senior
Secured Floating Rate Notes due 2052

  -- Prior Rating: A2, on review for possible downgrade
  -- Current Rating: B2, on review for possible downgrade

Class Description: $17,500,000 Class A-3 Third Priority Senior
Secured Floating Rate Notes due 2052

  -- Prior Rating: A3, on review for possible downgrade
  -- Current Rating: B3, on review for possible downgrade

Class Description: $60,000,000 Class B Fourth Priority Senior
Secured Floating Rate Notes due 2052

  -- Prior Rating: Ba1, on review for possible downgrade
  -- Current Rating: Caa1, on review for possible downgrade

Additionally, Moody's downgraded these notes:

Class Description: $15,000,000 Class C Fifth Priority Mezzanine
Secured Deferrable Floating Rate Notes due 2052

  -- Prior Rating: Caa1, on review for possible downgrade
  -- Current Rating: C

Class Description: $15,000,000 Class D Sixth Priority Mezzanine
Secured Deferrable Floating Rate Notes due 2052

  -- Prior Rating: Caa3, on review for possible downgrade
  -- Current Rating: C

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


PROTECTIVE FINANCE: Moody's Attaches Low-B Ratings on Six Classes
-----------------------------------------------------------------
Moody's Investors Service assigned definitive ratings to
securities issued by Protective Finance Corporation REMIC
Commercial Mortgage Pass-Through Certificates Series 2007-PL.  The
provisional ratings issued on Dec. 10, 2007 have have been
replaced with these definitive ratings:

  -- Class A-1, $218,335,000, rated Aaa
  -- Class A-2, $152,306,000, rated Aaa
  -- Class A-3, $113,129,000, rated Aaa
  -- Class A-4, $132,870,000, rated Aaa
  -- Class A-1A, $94,557,000, rated Aaa
  -- Class A-M, $101,600,000, rated Aaa
  -- Class A-J, $102,870,000, rated Aaa
  -- Class B, $5,080,000, rated Aa1
  -- Class C, $8,890,000, rated Aa2
  -- Class D, $6,350,000, rated Aa3
  -- Class E, $7,620,000, rated A1
  -- Class F, $6,350,000, rated A2
  -- Class G, $8,890,000, rated A3
  -- Class H, $7,620,000, rated Baa1
  -- Class J, $7,620,000, rated Baa2
  -- Class K, $8,890,000, rated Baa3
  -- Class L, $5,080,000, rated Ba1
  -- Class M, $2,540,000, rated Ba2
  -- Class N, $2,540,000, rated Ba3
  -- Class O, $2,540,000, rated B1
  -- Class P, $3,810,000, rated B2
  -- Class Q, $2,540,000, rated B3
  -- Class IO, $1,015,997,122*, rated Aaa

                * Approximate notional amount


RALI TRUSTS: Moody's Cuts Ratings on 119 Tranches From 22 Deals
---------------------------------------------------------------
Moody's Investors Service downgraded the ratings of 119 tranches
from 22 transactions issued by Residential Accredit Loans
Inc.under the QA shelf.  Fifty downgraded tranches remain on
review for possible further downgrade.  Additionally, 55 tranches
were placed on review for possible downgrade.  The collateral
backing these transactions consists primarily of first-lien,
adjustable-rate, Alt-A mortgage loans.

The ratings were downgraded or placed on review for possible
downgrade, in general, based on higher than anticipated rates of
delinquency, foreclosure, and REO in the underlying collateral
relative to credit enhancement levels.  The actions described
below are a result of Moody's on-going review process.

Complete rating actions are:

Issuer: RALI Series 2005-QA8 Trust

  -- Cl. M-1, Downgraded to A1 from Aa2
  -- Cl. M-2, Downgraded to Ba1 from A2
  -- Cl. M-3, Downgraded to B1 from Baa2

Issuer: RALI Series 2005-QA9 Trust

  -- Cl. M-1, Downgraded to Baa1 from Aa2

  -- Cl. M-2, Downgraded to B1 from A2

  -- Cl. M-3, Downgraded to B3 from Baa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. B-1, Downgraded to Ca from Ba2

Issuer: RALI Series 2005-QA10 Trust

  -- Cl. M-1, Downgraded to A2 from Aa2

  -- Cl. M-2, Downgraded to Ba3 from A2

  -- Cl. M-3, Downgraded to B3 from Baa2; Placed Under Review for
     further Possible Downgrade

Issuer: RALI Series 2005-QA11 Trust

  -- Cl. I-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. I-A-IO, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. II-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. III-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. V-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. VI-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to Baa3 from Aa2

  -- Cl. M-2, Downgraded to B2 from A2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-3, Downgraded to B3 from Baa2; Placed Under Review for
     further Possible Downgrade

Issuer: RALI Series 2005-QA12 Trust

  -- Cl. M-1, Downgraded to Baa1 from Aa2

  -- Cl. M-2, Downgraded to B1 from A2

  -- Cl. M-3, Downgraded to B3 from Baa2; Placed Under Review for
     further Possible Downgrade

Issuer: RALI Series 2005-QA13 Trust

  -- Cl. I-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. I-A-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. II-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. III-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. III-A-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to Ba2 from Aa2

  -- Cl. M-2, Downgraded to B3 from A3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-3, Downgraded to Ca from Ba1

Issuer: RALI Series 2006-QA1 Trust

  -- Cl. A-I-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-I-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-II-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-III-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-III-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B1 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to B3 from Baa3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-3, Downgraded to Ca from B2

Issuer: RALI Series 2006-QA2 Trust

  -- Cl. I-A-2, Placed on Review for Possible Downgrade,
     currently Aa1

  -- Cl. I-A-IO, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. II-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. II-A-2, Placed on Review for Possible Downgrade,
     currently Aa1

  -- Cl. II-A-IO, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. III-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. III-A-2, Placed on Review for Possible Downgrade,
     currently Aa1

  -- Cl. III-A-IO, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B2 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to B3 from Baa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-3, Downgraded to Ca from B2

Issuer: RALI Series 2006-QA3 Trust

  -- Cl. A-3, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to Baa2 from Aa1

  -- Cl. M-2, Downgraded to B2 from Aa2

  -- Cl. M-3, Downgraded to B2 from Aa3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-4, Downgraded to B3 from A2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-5, Downgraded to B3 from A3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-6, Downgraded to B3 from Baa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-7, Downgraded to B3 from Baa3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-8, Downgraded to Ca from Ba1

  -- Cl. M-9, Downgraded to Ca from Ba3

Issuer: RALI Series 2006-QA4 Trust

  -- Cl. A, Placed on Review for Possible Downgrade, currently Aaa

  -- Cl. M-1, Downgraded to Baa1 from Aa1

  -- Cl. M-2, Downgraded to B1 from Aa2

  -- Cl. M-3, Downgraded to B2 from Aa3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-4, Downgraded to B3 from A2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-5, Downgraded to B3 from A3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-6, Downgraded to B3 from Baa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-7, Downgraded to Caa1 from Baa3; Placed Under Review
     for further Possible Downgrade

  -- Cl. M-8, Downgraded to Ca from Ba1

  -- Cl. M-9, Downgraded to Ca from Ba3

  -- Cl. M-10, Downgraded to Ca from Caa1

Issuer: RALI Series 2006-QA5 Trust

  -- Cl. I-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. I-A-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. I-A-3, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. II-A-2, Placed on Review for Possible Downgrade,
     currently Aa1

  -- Cl. I-M-1, Downgraded to Baa3 from Aa1

  -- Cl. I-M-2, Downgraded to B3 from Aa2

  -- Cl. I-M-3, Downgraded to B3 from Aa3; Placed Under Review for
     further Possible Downgrade

  -- Cl. I-M-4, Downgraded to B3 from A3; Placed Under Review for
     further Possible Downgrade

  -- Cl. I-M-5, Downgraded to B3 from Baa1; Placed Under Review
     for further Possible Downgrade

  -- Cl. I-M-6, Downgraded to Caa1 from Baa2; Placed Under Review
     for further Possible Downgrade

  -- Cl. I-M-7, Downgraded to Ca from Ba2

  -- Cl. I-M-8, Downgraded to Ca from Ba3

  -- Cl. I-M-9, Downgraded to Ca from B3

  -- Cl. II-M-1, Downgraded to B2 from Aa2

Issuer: RALI Series 2006-QA6 Trust

  -- Cl. A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-4, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to Baa1 from Aa1

  -- Cl. M-2, Downgraded to Ba1 from Aa2

  -- Cl. M-3, Downgraded to B2 from Aa3

  -- Cl. M-4, Downgraded to B2 from A2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-5, Downgraded to B2 from A3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-6, Downgraded to B3 from Baa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-7, Downgraded to Caa1 from Baa3; Placed Under Review
     for further Possible Downgrade

  -- Cl. M-8, Downgraded to Ca from Ba1

  -- Cl. M-9, Downgraded to Ca from Ba3

  -- Cl. B, Downgraded to Ca from B3

Issuer: RALI Series 2006-QA7 Trust

  -- Cl. I-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. II-A-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B2 from Aa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to B2 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-3, Downgraded to B3 from Aa3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-4, Downgraded to B3 from A2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-5, Downgraded to B3 from Baa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-6, Downgraded to Caa1 from Baa2; Placed Under Review
     for further Possible Downgrade

  -- Cl. M-7, Downgraded to Ca from Ba1

  -- Cl. M-8, Downgraded to Ca from Ba2

  -- Cl. M-9, Downgraded to Ca from Ba3

  -- Cl. M-10, Downgraded to Ca from Caa1

Issuer: RALI Series 2006-QA8 Trust

  -- Cl. A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-3, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B2 from Aa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to B3 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-3, Downgraded to B3 from Aa3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-4, Downgraded to B3 from A3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-5, Downgraded to B3 from Baa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-6, Downgraded to Caa1 from Baa3; Placed Under Review
     for further Possible Downgrade

  -- Cl. M-7, Downgraded to Ca from Ba2

  -- Cl. M-8, Downgraded to Ca from Ba3

  -- Cl. M-9, Downgraded to Ca from B2

Issuer: RALI Series 2006-QA9 Trust

  -- Cl. A-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B2 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to B3 from A3; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-3, Downgraded to B3 from Baa2; Placed Under Review for      
     further Possible Downgrade

  -- Cl. M-4, Downgraded to Ca from Ba1

  -- Cl. M-5, Downgraded to Ca from Ba2

  -- Cl. M-6, Downgraded to Ca from B1

Issuer: RALI Series 2006-QA10 Trust

  -- Cl. A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-3, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B3 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to Ca from Ba1

  -- Cl. M-3, Downgraded to Ca from Ba3

  -- Cl. M-4, Downgraded to Ca from B1

  -- Cl. M-5, Downgraded to Ca from B2

Issuer: RALI Series 2006-QA11 Trust

  -- Cl. A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B3 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to Ca from Ba1

  -- Cl. M-3, Downgraded to Ca from Ba3

  -- Cl. M-4, Downgraded to Ca from B2

  -- Cl. M-5, Downgraded to Ca from Caa1

Issuer: RALI Series 2007-QA1 Trust

  -- Cl. A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-3, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B3 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to Ca from Ba2

  -- Cl. M-3, Downgraded to Ca from B2

  -- Cl. M-4, Downgraded to Ca from B3

  -- Cl. M-5, Downgraded to Ca from Caa3

Issuer: RALI Series 2007-QA2 Trust

  -- Cl. A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-2, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-3, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B3 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to Ca from B1

  -- Cl. M-3, Downgraded to Ca from Caa1

  -- Cl. M-4, Downgraded to Ca from Caa3

Issuer: RALI Series 2007-QA3 Trust

  -- Cl. A-4, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B3 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to Ca from Ba3

  -- Cl. M-3, Downgraded to Ca from B2

  -- Cl. M-4, Downgraded to Ca from Caa1

Issuer: RALI Series 2007-QA4 Trust

  -- Cl. A-1-A, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. A-1-B, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B2 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to Ca from Ba3

  -- Cl. M-3, Downgraded to Ca from B3

  -- Cl. M-4, Downgraded to Ca from Caa3

Issuer: RALI Series 2007-QA5 Trust

  -- Cl. I-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. II-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. III-A-1, Placed on Review for Possible Downgrade,
     currently Aaa

  -- Cl. M-1, Downgraded to B1 from Aa2; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-2, Downgraded to Ca from B1

  -- Cl. M-3, Downgraded to Ca from B3


RESIDENTIAL CAPITAL: Moody's Ratings Unmoved by Capital Injection
-----------------------------------------------------------------
Residential Capital LLC's announcement that it has received a
$1.2 billion capital injection from its parent GMAC LLC does not
impact the ratings of either entity.  The $1.2 billion capital
injection is equal to the face amount of ResCap debt purchased in
the open market by GMAC with an estimated current market value of
$607 million and exchanged for $607 million newly created ResCap
preferred units.  GMAC also disclosed that it has purchased an
additional $340 million face value of ResCap debt currently valued
at $266 million that they may contribute to ResCap.

The senior unsecured rating of GMAC LLC is B1 and ResCap B2.  The
rating outook for both firms is negative.  The downgrade of GMAC's
rating on Feb. 5, 2008 to B1 with a negative outlook contemplated
that the company would likely continue to provide capital to
support ResCap in the near term.  The cash and capital cost to
GMAC of providing the $1.2 billion capital injection to ResCap,
and the $340 million of additional debt purchased but not
contributed to ResCap, is within Moody's expectation of the amount
of support GMAC would provide to ResCap.

In regards to ResCap, the downgrade to B2 on Feb. 5, 2008
incorporated the possibility that the company would receive
sizable support from its parent.  Moody's still believes that
ResCap's parents may have a limited tolerance for supporting
ResCap if ResCap's performance and condition fail to meet
management's expectations for improvement during the first half of
2008.  Additionally, Moody's notes that the form of the capital
injection does not improve ResCap's short term liquidity profile.   
As stated above, the ResCap rating outlook remains negative.


REVLON INC: Net Loss Slides to $16MM in Year ended December 31
--------------------------------------------------------------
Revlon Inc. released financial results for the full year and
fourth quarter ended Dec. 31, 2007.

Net loss in the full year 2007 was $16.1 million compared to a net
loss of $251.3 million in the full year 2006.  Adjusted EBITDA in
the full year 2007 was $224.5 million, compared to an Adjusted
EBITDA of $78.2 million last year.

Operating income was $121.0 million in the full year 2007, versus
an operating loss of $50.2 million in the full year 2006.

In the full year 2006, Vital Radiance, executive severance and
restructuring expenses unfavorably affected the company's
operating income and net loss by $145.1 million and Adjusted
EBITDA by $122.9 million.  Results for the full year 2007 included
restructuring expenses of $7.3 million.  

Excluding the impact of these items, the improvements in operating
income, net loss and Adjusted EBITDA were driven by net sales
increases, continued benefits from restructuring actions and
ongoing cost controls.

"We are executing our strategy and our financial results in 2007
were our best in many years, David Kennedy, Revlon president and
chief executive officer, said.  "We generated $224.5 million in
Adjusted EBITDA and our negative free cash flow was $13.8 million.
Our improved financial performance was driven by increased net
sales, continued benefits from our restructuring actions and
ongoing control of our costs."  

"We fully recognize the need to further improve our performance,
and enter 2008 with a continued focus on increasing the value of
our company by building the Revlon brand and driving towards both
profitable sales growth and positive free cash flow," Mr. Kennedy
added.

                      Fourth Quarter Results

Net income in the fourth quarter of 2007 was $40.8 million
compared with a net loss of $5.5 million in the fourth quarter of
2006.  Adjusted Earnings Before Interest, Taxes, Depreciation and
Amortization or EBITDA in the fourth quarter of 2007 was
$106.3 million, compared to an Adjusted EBITDA of $108.2 million
in the same period last year.

Operating income was $80.4 million in the fourth quarter of 2007,
versus operating income of $70.1 million in the fourth quarter of
2006.

In the fourth quarter 2006, Vital Radiance and restructuring
expenses unfavorably affected the company's operating income and
net loss by $20.8 million and Adjusted EBITDA by $9.7 million.  
The fourth quarter of 2007 included restructuring expenses of
$0.4 million.

Excluding the impact of these items, the decreases in operating
income and Adjusted EBITDA were largely attributable to increased
brand support and higher performance-based incentive compensation.
Net income was reduced by the same factors that affected Operating
Income and Adjusted EBITDA.  Net income in the fourth quarter of
2006 included a charge of $23.1 million related to the early
extinguishment of debt.

                   Cash Flow and Balance Sheet

Cash flow provided by operating activities in the full year 2007
was $3.8 million, compared to cash flow used in operating
activities of $138.7 million in the full year 2006.  This
improvement was due to a lower net loss and decreased permanent
display spending, partially offset by changes in net working
capital.

At Dec. 31, 2007, the company's balance sheet showed total assets
of $889.3 million, total liabilities of $1,971.3 million and total
stockholders' deficiency of $1,082 million.  

                        About Revlon Inc.

Headquartered in New York City, Revlon Inc. (NYSE:REV) --
http://www.revlon.com/-- conducts its business through its direct
wholly owned operating subsidiary, Revlon Consumer Products
Corporation and its subsidiaries, which manufactures, markets and
sells an array of cosmetics, skincare, fragrances, beauty tools,
hair color and personal care products.  The company is a mass-
market cosmetics brand.

                          *     *     *

As reported in the Troubled company Reporter on Nov. 8, 2007,
The company's Sept. 30, 2007, consolidated balance sheet showed
$882.4 million in total assets and $2.03 billion in total
liabilities, resulting in a $1.15 billion in total shareholders'
deficit.

Net loss in the third quarter of 2007 was $10.4 million, compared
with a net loss of $100.5 million in the third quarter of 2006.


RIVER RIM: Voluntary Chapter 11 Case Summary
--------------------------------------------
Lead Debtor: River Rim, LLC
             2005 East 2700 South, Suite 140
             Salt Lake City, UT 84109

Bankruptcy Case No.: 08-22107

Debtor-affiliates filing separate Chapter 11 petitions:

        Entity                                     Case No.
        ------                                     --------
        Ralph D. Brinton                           08-22111
        Aaron John Wernli                          08-22113
        James T. Bramlette                         08-22114

Chapter 11 Petition Date: April 4, 2008

Court: District of Utah (Salt Lake City)

Judge: Glen E. Clark

Debtors' Counsel: Gregory J. Adams, Esq.
                     (gadams@mbt-law.com)
                  McKay Burton & Thurman
                  170 South Main Street, Suite 800
                  Salt Lake City, UT 84101
                  Tel: (801) 521-4135
                  Fax: (801) 521-4252
                  http://www.mbt-law.com/

Estimated Assets: $10 million to $50 million

Estimated Debts:  $10 million to $50 million

The Debtors did not file lists of their largest unsecured
creditors.


ROADRUNNER RIVER: Files List of 12 Largest Unsecured Creditors
--------------------------------------------------------------
Roadrunner River Resort, LLC submitted to the U.S. Bankruptcy
Court for the District of Arizona its list of 12 largest
unsecured creditors, disclosing:

   Entity                          Nature of Claim   Claim Amount
   ------                          ---------------   ------------
Internal Revenue Service                             $65,000
P.O. Box 21126
Philadelphia, PA 19114

Harris Bank                        2007 Dodge        $40,000
                                   Pickup; value of
                                   security: $32,000

Chrysler Financial                 2006 Dodge        $32,000
P.O. Box 15026                     Pickup; value of
Wilmington, DE 19850               security: $27,000

GEMB Lending                       2006 Dune Chaser  $26,000
                                   Trailer; value of
                                   security: $25,000

GMAC                               2006 Hummer;      $24,000
                                   value of
                                   security: $18,000

Arizona Department of Revenue                        $20,000

Bank of America                                      $18,000



CNH Capital                        farm tractor;     $18,000
                                   value of
                                   security: $17,000

Providian                                            $16,000

Target                                               $6,000

Orchard Bank Household                               $2,700
Services

JC Penney                                            $2,000

Based in Parker, Arizona, Roadrunner River Resort, LLC filed for
Chapter 11 protection on Mar. 12, 2008 (Bankr. D. Ariz. Case No.
08-02529).  Robert M. Cook, Esq. represents the Debtor in its
restructuring efforts.  When the Debtor filed for protection from
its creditors, it listed estimated assets and liabilities of both
$1 million to $100 million.


SEARCHHELP INC: Sept. 30 Balance Sheet Upside-Down by $1,710,469
----------------------------------------------------------------
SearchHelp Inc.'s consolidated balance sheet at Sept. 30, 2007,
showed $2,130,180 in total assets and $3,840,649 in total
liabilities, resulting in a $1,710,469 total stockholders'
deficit.

The company's consolidated balance sheet at Sept. 30, 2007, also
showed strained liquidity with $543,200 in total current assets
available to pay $3,692,164 in total current liabilities.

The company reported a net loss of $1,200,394 on total revenues of
$60,273 for the third quarter ended Sept. 30, 2007, compared with
a net loss of $972,464 on total revenues $109,838 for the same
period ended Sept. 30, 2006.

Factors contributing to the company's loss were an increase in
technology costs as the company continued its investment in IT
infrastructure and bandwidth to support increased customer usage  
and in acquiring additional technical expertise in software
development and support.  These costs, which include website
design and optimization, infrastructure hosting, bandwidth
provisioning database and program upgrades and enhancements and
the use of outside technical consultants, increased approximately
$134,000 for the three months ended Sept. 30, 2007, from the
comparable period of the prior year.

Interest expense for the three months ended Sept. 30, 2007, and
2006 was $ 268,865 and $227,565, respectively, an increase of
$41,300.  This increase in interest expense is primarily a result
of the company paying interest on the increased number of
convertible notes and bridge notes outstanding.  

Full-text copies of the company's consolidated financial
statements for the quarter ended Sept. 30, 2007, are available for
free at http://researcharchives.com/t/s?2a07

                     Going Concern Disclaimer

As reported in the Troubled Company Reporter on April 20, 2007,
Lazar, Levine and Felix LLP expressed substantial doubt about
SearchHelp Inc.'s ability to continue as a going concern after
auditing the company's consolidated financial statements for the
years ended Dec. 31, 2006, and 2005.  The auditing firm pointed to
the company's recurring losses from operations and negative
working capital and net capital deficiency.

                      About SearchHelp Inc.

SearchHelp Inc. (OTC BB: SHLP) -- http://www.searchhelp.com/--    
develops software services committed to real-time online
protection and safety.  The company offers parental control
software that enable parents, both in home and remotely, to
monitor and regulate their child's computer activity through
timely reports via email and cell phone.


SHEFFIELD CDO: Poor Credit Quality Cues Moody's Rating Downgrades
-----------------------------------------------------------------
Moody's Investors Service placed on review for possible downgrade
the ratings on these notes issued by Sheffield CDO II, Ltd.:

Class Description: $32,500,000 Class A-3 Senior Secured Floating
Rate Notes due 2051

  -- Prior Rating: Aaa
  -- Current Rating: Aaa, on review for possible downgrade

Class Description: $31,600,000 Class B Senior Secured Floating
Rate Notes due 2051

  -- Prior Rating: Aa2
  -- Current Rating: Aa2, on review for possible downgrade

Additionally, Moody's downgraded and left on review for possible
further downgrade the ratings on these notes:

Class Description: $19,500,000 Class C Deferrable Interest Secured
Floating Rate Notes due 2051

  -- Prior Rating: A2, on review for possible downgrade
  -- Current Rating: Ba1, on review for possible downgrade

Class Description: $21,400,000 Class D Deferrable Interest Secured
Floating Rate Notes due 2051

  -- Prior Rating: Ba3, on review for possible downgrade
  -- Current Rating: Caa1, on review for possible downgrade

According to Moody's, the rating actions reflect increased
deterioration in the credit quality of the underlying portfolio.


SIMMONS COMPANY: S&P Changes Outlook to Negative; Keeps 'B' Rating
------------------------------------------------------------------
Standard & Poor's Ratings Services revised its rating outlook on
Simmons Co. to negative from stable.  All ratings on the company,
including the 'B' corporate credit rating, were affirmed.  On a
consolidated basis, Simmons had total debt outstanding of about
$1.2 billion at Dec. 31, 2007.
      
"The outlook revision reflects our expectation that the cushion on
the bedding company's financial covenants could tighten over the
next few quarters, as a result of the sluggish housing market and
reduced consumer spending," said Standard & Poor's credit analyst
Rick Joy.

While the company has shown strong sales growth over the second
half of 2007, several companies in the bedding industry have
experienced substantial softening of trends in recent months,
which S&P believes reflects a broader industry slowdown.  S&P
believes the company may find it difficult to improve credit
measures over the next year amid continued softness in the U.S.
housing market, a weak retail environment, and rising raw material
costs.  In addition, S&P is concerned about a potential
constriction of the company's cushion on its financial covenants,
given a step-down in the required debt leverage covenant level
beginning this quarter.
     
The speculative-grade ratings on Simmons reflect its narrow
business focus, aggressive financial policy, and highly leveraged
financial profile.  Somewhat mitigating these factors are the
company's well-recognized brands, solid market position, and the
mattress industry's relatively stable demand and barriers to
entry.
     
Atlanta, Georgia-based Simmons manufactures and distributes
bedding products and mattresses in the U.S.  The company sells a
broad range of mattresses and foundations under well-recognized
brands, including its flagship Beautyrest brand.  The estimated
$6.9 billion U.S. bedding industry is highly competitive, with
three companies dominating a significant portion of the market.

Simmons is the No. 2 participant, with a share of about 16%,
behind market leader Sealy Corp., with a 21% share, and ahead of
AOT Bedding Holdings Corp., with a share of more than 13%,
according to third-party sources.  While the industry has
historically demonstrated stability in various economic
environments, near-term growth prospects have weakened along with
the economy and housing market in the U.S.  However, high
transportation costs and the short lead times required by
retailers provide some protection against the threat of imported
products.
     
S&P expects the intermediate-term operating environment to be
challenging.  If Simmons' cushion on its financial covenants
narrows significantly, S&P could lower the ratings.  Although
unlikely over the near term, S&P could revise the outlook to
stable if Simmons is able to strengthen credit measures and
improve its operations.


SIMON WORLDWIDE: BDO Seidman Raises Substantial Doubt
-----------------------------------------------------
BDO Seidman, LLP, in Los Angeles raised substantial doubt about
Simon Worldwide, Inc.'s ability to continue as a going concern
after auditing the company's consolidated financial statements for
the years ended Dec. 31, 2007, and 2006.

BDO Seidman pointed to the company's stockholders' deficit,
significant losses from operations, and lack of any operating
revenue.

The company had no revenue in 2005, 2006 and 2007.  For the year
ended Dec. 31, 2007, the company posted a $1,781,000 net loss as
compared with a $1,918,000 net loss on Dec. 31, 2006.

At Dec. 31, 2007, the company's balance sheet showed $20,427,000
in total assets, $1,599,000 in total liabilities, and $33,696,000
in redeemable preferred stock, resulting in a $14,868,000
stockholders' deficit.

The company had a $7,236,000 stockholders' deficit at Dec. 31,
2006.

A full-text copy of the company's 2007 annual report is available
for free at http://ResearchArchives.com/t/s?29e2

                      About Simon Worldwide

Headquartered in Los Angeles, Calif., Simon Worldwide, Inc., was
a diversified marketing and promotion agency with offices
throughout North America, Europe and Asia.  The company had worked
with some of the largest and best-known brands in the world and
had been involved with some of the most successful consumer
promotional campaigns in history.  Through its wholly owned
subsidiary, Simon Marketing Inc., the company provided promotional
agency services and integrated marketing solutions including
loyalty marketing, strategic and calendar planning, game design
and execution, premium development and production management.

In August 2001, McDonald's Corp, its principal customer,
terminated its 25-year relationship with the company as a result
of the embezzlement by a former employee of winning game pieces
from McDonald's promotional games it administered.  Other
customers also terminated their relationships with the company.


SONIC CORP: Gabriel Tsampalieros Named to Board of Directors
------------------------------------------------------------
Sonic Corp. announced Thursday that Gabriel Tsampalieros has been
named to its Board of Directors.  Tsampalieros is the owner,
chairman and chief executive officer of The Second Cup Coffee
Company Inc., the largest franchisor of specialty coffee cafes in
Canada.  Founded in 1975, Second Cup has more than 360 locations
in Canada and more than 30 international locations.

"Gabe brings relevant franchise, multi-unit retail and management
experience to our Board.  His business and legal background will
add significant value to what is already a strong Board of
Directors," said Clifford Hudson, chairman and chief executive
officer of Sonic Corp.

                        About Sonic Corp.

Headquartered in Oklahoma City, Oklahoma, Sonic Corp. (Nasdaq:
SONC) -- http://www.sonicdrivein.com/-- originally started as a    
hamburger and root beer stand in 1953, in Shawnee, Oklahoma,
called Top Hat Drive-In, and then changed its name to Sonic in
1959.  The first drive-in to adopt the Sonic name is still serving
customers in Stillwater, Oklahoma.  Sonic has more than 3,400
drive-ins coast to coast and in Mexico.

                          *     *     *

As reported in the Troubled Company Reporter on April 4, 2008,
Sonic Corp.'s consolidated balance sheet at Feb. 29, 2008, showed
total assets of $776.2 million and total liabilities of
$886.0 million, resulting in a $109.8 million total stockholders'
deficit.


SOUNDVIEW HOME: Six Classes of Certs. Get Moody's Junk Ratings
--------------------------------------------------------------
Moody's Investors Service downgraded seven certificates and has
placed on review for further possible downgrade one certificate
issued by Soundview Home Loan Trust 2006-A.  The transaction is
backed by second lien loans.  The certificates were downgraded
because the bonds' credit enhancement levels, including excess
spread and subordination were too low compared to the current
projected loss numbers at the previous rating levels.

The actions take into account the continued and worsening
performance of transactions backed by closed-end-second and home
equity line of credit collateral.  Substantial pool losses of over
the last few months have eroded credit enhancement available to
the mezzanine and senior certificates.  Despite the large amount
of write-offs due to losses, delinquency pipelines have remained
high as borrowers continue to default.

Complete rating actions are:

Issuer: Soundview Home Loan Trust 2006-A

  -- Cl. A, Downgraded to Ba2 from Aa1; Placed Under Review for
     further Possible Downgrade

  -- Cl. M-1, Downgraded to Caa2 from Aa2

  -- Cl. M-2, Downgraded to Ca from Ba1

  -- Cl. M-3, Downgraded to C from B2

  -- Cl. M-4, Downgraded to C from Caa1

  -- Cl. M-5, Downgraded to C from Caa2

  -- Cl. M-6, Downgraded to C from Ca


SR TELECOM: Reports $132.4 Million Net Loss in Year Ended Dec. 31
-----------------------------------------------------------------
SR Telecom Inc. released its year-end audited financial results
and its fourth quarter results for the period ended Dec. 31, 2007.

As reported in the Troubled Company Reporter on April 2, 2008, the
company entered into a definitive agreement with Lagasse
Communications & Industries Inc., or Groupe Lagasse, to sell the
majority of its property and assets related to the WiMAX business
and symmetryTM line of products.  SR Telecom received cash
proceeds of $6.05 million, before transaction fees.  The
transaction closed April 4, 2008.  A report on the closed sale
transaction is in today's Troubled Company Reporter.s

The audited consolidated financial statements for the year ended
December 31, 2007 have been prepared using a different basis than
the standard going concern assumption.

The company's assets were valued at their net realizable value for
a total of $37.0 million.  As a result, a significant asset
impairment of $40.6 million was recognized in the fourth quarter
financial statements.

Since the company filed for creditor protection under Companies'
Creditors Arrangement Act (CCAA), the liabilities were presented
in the financial statements at their "allowed claim amount",
triggering an increase in liabilities of $17.7 million.  Total
liabilities amounted to $150.3 million.  The allowed claim amount
represents the estimated maximum amount to be potentially claimed
by creditors.

No provision has been recorded in 2007 for the losses expected to
occur from Jan. 1, 2008, to the liquidation date as the audited
financial statements for the year ended Dec. 31, 2007, have not
been prepared on a liquidation basis.

                 Consolidated Financial Results

SR Telecom's revenue for the year was $75.7 million compared to
$68.7 million in 2006.  Despite this increase, the revenue
generated in 2007 was below management's expectations for its
symmetry product line.  This revenue shortfall was mainly due to
the impact of liquidity restrictions on sales efforts, delays in
manufacturing and product and technology development and to
additional delays incurred in the ongoing implementation of major
contracts in Mexico and Argentina.

Operating loss from continuing operations was $115.5 million, up
from $98.0 million in 2006.  Net loss and comprehensive loss for
2007 was $132.4 million, compared to $115.6 million in the prior
year.

Results in 2007 were significantly impacted by asset impairment
and restructuring charges of $60.6 million resulting from CCAA
proceedings, which includes an asset impairment charge of
$40.6 million to bring assets to their net realizable value based
on the proceeds from the asset sale to Groupe Lagasse, with the
remainder related to an increase in long-term liabilities to their
allowed claim amount.  The impact of asset impairment and
restructuring charges was partially offset by lower selling,
general and administrative expenses and reduced research and
development expenses compared to 2006.

Total assets amounted to $37.0 million as at Dec. 31, 2007,
compared to $150.6 million in 2006.  The decrease over the prior
year by $113.6 million was a result of the asset impairment charge
and the discontinued operations of CTR, the company's Chilean
subsidiary operating in the Telecommunications Service Provider
Segment, sold at the beginning of 2007.

Liabilities increased by $10.6 million to $150.3 million as at
Dec. 31, 2007, due to the additional financing obtained in July
2007 and the adjustment of liabilities to their allowed claim
amount.  The increase was partially offset by CTR discontinued
operations and elimination of related liabilities.

Consolidated cash and cash equivalents decreased from
$18.5 million as at Dec. 31, 2006, to $17.0 million as at Dec. 31,
2007.

                          About SR Telecom

Headquartered in Quebec, Canada, SR Telecom (TSX: SRX) --
http://www.srtelecom.com/-- delivers broadband wireless access
(BWA) solutions that enable service providers to deploy voice,
Internet and next-generation services in urban, suburban and
remote areas.  The company has offices in Mexico, France and
Thailand.

SR Telecom Inc.'s consolidated balance sheet at June 30, 2007,
showed CDN$83.9 million in total assets and CDN$97.9 million
in total liabilities, resulting in a CDN$14.0 million total
stockholders' deficit.

SR Telecom is currently operating under the protection of the
Companies' Creditors Arrangement Act (CCAA).  The company
filed for creditor protection under the CCAA on Nov. 19, 2007.  On
Feb. 29, 2008, it obtained a court order to extend the period of
the Court-ordered stay of proceedings under the CCAA to May 2,
2008.


SR TELECOM: Closes $6 Million Sale of Asset to Group Legasse
------------------------------------------------------------
SR Telecom Inc. closed the sale of the majority of its assets to
Sherbrooke (Quebec) based Groupe Lagasse. The transaction, which
received court approval on March 31, 2008, will provide continuity
for SR Telecom's international customer base and protect high
technology jobs in Montreal.

As reported in the Troubled Company Reporter on April 2, 2008,
SR Telecom Inc. said that the Quebec Superior Court authorized the
sale of the majority of the company's assets to Groupe Lagasse.  
As announced on March 24, 2008, Groupe Lagasse will purchase SR
Telecom's brand, trademarks, intellectual property, patents,
inventories and equipment relating to its symmetryMX product line.

SR Telecom shareholders will not receive any value out of the
proceeds of the sale.

Since Nov. 19, 2007, SR Telecom has been operating under the
protection of the Companies' Creditors Arrangement Act (CCAA).  On
February 29, 2008, it obtained a court order to extend the period
of the Court-ordered stay of proceedings under the CCAA to May 2,
2008.

The new business will be operating under the name SR Telecom & Co.
S.E.C., a Groupe Lagasse wholly owned subsidiary.

                        About Groupe Lagasse

Groupe Lagasse -- http://www.groupelagasse.com/-- is an  
international company with manufacturing and products business
units that focus on providing leading edge, rugged, high
reliability, and high availability solutions for the private and
public sectors.  Its activities include electronic manufacturing
expertise for secure radio and telecom products that address the
entire product life cycle.  The Group also develops advanced
carrier grade VoIP access devices, gateways, secure SIP-based
software solutions and secure, ruggedized, active RFID solutions.  
These are complemented by outsourced contact center solutions and
automated interactive voice services that can deliver a single
message to as many as 10,000 recipients per hour, via phone,
mobile phone, SMS and e-mail.  Groupe Lagasse is a privately held
holding whose sales, in 2007, exceeded $200 M Cnd; the group has
operations in Europe and North America and employs over 1,000
people worldwide.

                          About SR Telecom

Headquartered in Quebec, Canada, SR Telecom (TSX: SRX) --
http://www.srtelecom.com/-- delivers broadband wireless access
(BWA) solutions that enable service providers to deploy voice,
Internet and next-generation services in urban, suburban and
remote areas.  The company has offices in Mexico, France and
Thailand.

SR Telecom Inc.'s consolidated balance sheet at June 30, 2007,
showed CDN$83.9 million in total assets and CDN$97.9 million
in total liabilities, resulting in a CDN$14.0 million total
stockholders' deficit.


STURGIS IRON: Case Summary & 20 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor: Sturgis Iron & Metal Co., Inc.
        aka Kalamazoo Scrap and Processing Division
        aka Monroe Recycling
        aka Elkhart Metals
        aka Fitzgerald Recycling
        aka Fort Wayne Scrap
        70675 South Centerville Road
        Sturgis, MI 49091

Bankruptcy Case No.: 08-02966

Type of Business: The Debtor sells ferrous metal scrap & waste in
                  wholesale.  It also manufactures secondary
                  nonferrous metals, and provides pre-finishing
                  iron or steel processes services, finishing
                  metal processing services, and smelting
metal                   
                  services.

Chapter 11 Petition Date: April 4, 2008

Court: Western District of Michigan (Grand Rapids)

Judge: Jeffrey R. Hughes

Debtor's Counsel: Jay L. Welford, Esq.
                     (jwelford@jaffelaw.com)
                  Judith Greenstone Miller, Esq.
                     (jmiller@jaffelaw.com)
                  Paige Barr, Esq.
                     (pbarr@jaffelaw.com)
                  Paul R. Hage, Esq.
                     (phage@jaffelaw.com)
                  Richard E. Kruger, Esq.
                     (rkruger@jaffelaw.com)
                  Jaffe, Raitt, Heuer & Weiss, PC
                  27777 Franklin Road, Suite 2500
                  Southfield, MI 48034
                  Tel: (248) 351-3000
                  http://www.jaffelaw.com/

Estimated Assets: $100 million to $500 million

Estimated Debts:  $100 million to $500 million

Debtor's 20 Largest Unsecured Creditors:

   Entity                      Claim Amount
   ------                      ------------
MPI International, Inc.        $3,825,303
2129 Austin
Rochester Hills, MI 48309

Benteler Automotive            $1,515,924
525 West Monroe Street,
8th Floor
Chicago, IL 60661

Sherbanuk Metals Marketing     $1,411,084
122 Scollard Street, 200 Level
Toronto, Ontario, Canada
M5R1G2

Federal Mogul                  $1,055,130
26555 Northwestern Highway
Southfield, MI 48033-2146

Bull Moose Tube, Inc.          $975,855
1819 Clarkson Road
Chesterfield, MO 63017

Gunite Corp.                   $884,634
Attn: Laurie Herl
801 CR 15
Elkhart, IN 46516

People Link                    $863,708
431 East Colfax Avenue,
Suite 200
South Bend, IN 46617

Ferrous Process & Trading      $764,647
Department #225401
P.O. Box 67000
Detroit, MI 48267-2254

Set Enterprises                $620,344
28217 Van Dyke Avenue
Warren, IN 48093

Paragon Industries             $594,189
3378 West Highway 117
P.O. Box 1408
Sapulpa, OK 74067

Hubbell-Raco                   $577,869
3902 West Sample Street
South Bend, IN 46619-2933

General Motors                 $532,485
300 Renaissance Center
Detroit, MI 48265-0001

American Axle & Manufacturing  $519,353
1840 Holbrook
Hamtramck, MI 48212
Detroit, MI 48279-5893

Skill Tool & Die               $516,570
P.O. Box 673376
Detroit, MI 48267-3376

Wendt Corp.                    $499,885
2080 Military Road
Tonawanda, NY 14150

CSX Corp.                      $468,393
1659 Solutions Center
Chicago, IL 60677-1006

Nucor Corp.                    $439,683
1915 Rexford Road
Charlotte, NC 28211

Superior Metal Recycling       $390,221
2051 North M-18
Roscommon, MI 48153

Sunnybrook RV                  $312,170
P.O. Box 2001
201 14th Street
Middlebury, IN 46540

Earthmovers, Inc.              $301,105
A Waste Management Co.
P.O. Box 9001054
Louisville, KY 40290-1054


TAYLOR CAPITAL: Terminates Employment of Mark Garrigus with Bank
----------------------------------------------------------------
On April 1, 2008, Taylor Capital Group Inc.'s wholly owned
subsidiary, Cole Taylor Bank, entered into an Agreement and
Release with Mark Garrigus, chief credit officer, in connection
with the termination of his employment with the bank, effective
June 30, 2008.

Mr. Garrigus will continue to perform his responsibilities through
April 30, 2008, and then provide transition services, if needed,
through June 30, 2008.

                       About Taylor Capital

Headquartered in Illinois, Chicago, Taylor Capital Group Inc.
(Nasdaq: TAYC) -- http://www.taylorcapitalgroup.com/-- is a bank-     
holding company.  The company derives virtually all of its revenue
from its subsidiary, Cole Taylor Bank, which presently operates 11
banking centers throughout the Chicago metropolitan area.

At Dec. 31, 2007, the company's consolidated balance sheet showed
$3.556 billion in total assets, $2.580 billion in total deposits,
$722.0 million in other liabilities, and $254.3 million in total
stockholders' equity.
    
                          *     *     *

As reported in the Troubled Company Reporter on Feb. 1, 2008,
Fitch Ratings downgraded the individual rating to 'C' from 'B/C'.  
The rating outlook has been revised to negative from stable.
  

TELTRONICS INC: Dec. 31 Balance Sheet Upside-Down by $4.5 Million
-----------------------------------------------------------------
At Dec. 31, 2007, Teltronics Inc.'s consolidated balance sheet
showed $18.0 million in total assets and $22.5 million in total
liabilities, resulting in a $4.5 million total stockholders'
deficit.

The company reported a net loss of $2.1 million on net sales of
$40.6 million for the year ended Dec. 31, 2007, compared with net
income of $1.6 million on net sales of $46.9 million for the year
ended Dec. 31, 2006.

The overall decrease in net sales for the year ended Dec. 31,
2007, was primarily the result of reduced sales in the 20-20
market based on competitive pressure from the VoIP switch
providers, deceases in the Intelligent Systems Management market
which was as a result of the change in focus from the telephony
market to the server based systems, and decreases in the Contract
Services market.  

For the year ended Dec. 31, 2007, interest expense increased
$499,000 to $1.9 million.  The increase in interest costs was
primarily the result of an additional charge of approximately
$489,000 from the debt restructuring in 2007.

                            Liquidity

As of Dec. 31, 2007, the company had cash and cash equivalents of
$1,123,000 as compared to $794,000 as of Dec. 31, 2006.  Working
capital as of Dec. 31, 2007, was $116,000 as compared to $798,000
as of Dec. 31, 2006.

The company's obligations as of Dec. 31, 2007, consisted primarily
of the following items:

  a) a revolving line of credit facility with an outstanding
     balance of $4,029,000,

  b) a senior term loan of $5,258,000,

  c) a note payable to Tri-Link of $208,000,

  d) a note payable to a related party of $348,000, and

  e) dividends on its Series B and C Preferred stock, of which
     $252,000 is due and payable within the next twelve months.

Full-text copies of the company's consolidated financial
statements for the year ended Dec. 31, 2007, are available for
free at http://researcharchives.com/t/s?2a02

                      About Teltronics Inc.

Headquartered in Sarasota, Florida, Teltronics Inc. (OTC BB:
TELT) -- http://www.teltronics.com/-- designs, develops,  
installs, manufactures and markets electronic hardware and
application software products, and engages in electronic
manufacturing services primarily in the telecommunication
industry.  

The company focuses on three major telecommunications markets.  
The first is the monitoring of alarms from PBXs, voice mail
systems and data networks.  

The second telecommunications market is in the Digital Switching
Systems arena which involves providing telephone switches to Small
and Medium Business Markets as well as advanced Automatic Call
Distribution.  The company's premier product in this market is the
20-20(TM) switching system.

The third telecommunications market is VoIP.

  
TERWIN MORTGAGE: Moody's Downgrades Ratings on 37 Cert. Classes
---------------------------------------------------------------
Moody's Investors Service downgraded 37 certificates and placed on
review for further possible downgrade two certificates from eight
transactions issued by Terwin Mortgage Trust.  The transactions
are backed by second lien loans.  The certificates were downgraded
because the bonds' credit enhancement levels, including excess
spread and subordination were too low compared to the current
projected loss numbers at the previous rating levels.

The actions take into account the continued and worsening
performance of transactions backed by closed-end-second and home
equity line of credit collateral.  Substantial pool losses of over
the last few months have eroded credit enhancement available to
the mezzanine and senior certificates.  Despite the large amount
of write-offs due to losses, delinquency pipelines have remained
high as borrowers continue to default.

Complete rating actions are:

Issuer: Terwin Mortgage Trust 2006-1

  -- Cl. II-A-1b, Downgraded to Ba2 from Aa3; Placed under Review
     for further Possible Downgrade

  -- Cl. II-G, Downgraded to Ba2 from Aaa; Placed Under Review for
     further Possible Downgrade

  -- Cl. II-M-A, Downgraded to Caa1 from A1

  -- Cl. II-M-1, Downgraded to Caa3 from Baa2

  -- Cl. II-M-2, Downgraded to Ca from Ba1

  -- Cl. II-M-3, Downgraded to C from Caa2

  -- Cl. II-B-1, Downgraded to C from Ca

Issuer: Terwin Mortgage Trust 2006-10SL

  -- Cl. G, Downgraded to B3 from Aaa
  -- Cl. M-1, Downgraded to C from Ba3
  -- Cl. M-2, Downgraded to C from B2
  -- Cl. M-3, Downgraded to C from Caa3

Issuer: Terwin Mortgage Trust 2006-12SL

  -- Cl. A-IO, Downgraded to B3 from Aaa
  -- Cl. G, Downgraded to B3 from Aaa
  -- Cl. M-1, Downgraded to C from B1
  -- Cl. M-2, Downgraded to C from Caa3

Issuer: Terwin Mortgage Trust 2006-2HGS

  -- Cl. G, Downgraded to B3 from Aaa
  -- Cl. M-1, Downgraded to C from Baa2
  -- Cl. M-2, Downgraded to C from Ba1
  -- Cl. M-3, Downgraded to C from Caa1

Issuer: Terwin Mortgage Trust 2006-4SL

  -- Cl. G, Downgraded to B2 from Aaa
  -- Cl. M-1, Downgraded to Caa3 from Baa3
  -- Cl. M-2, Downgraded to Ca from Ba3
  -- Cl. M-3, Downgraded to C from Caa1
  -- Cl. B-1, Downgraded to C from Caa3

Issuer: Terwin Mortgage Trust 2006-6

  -- Cl. I-G, Downgraded to B2 from Aaa
  -- Cl. I-M-1, Downgraded to Caa3 from Ba1
  -- Cl. I-M-2, Downgraded to Ca from Ba3
  -- Cl. I-M-3, Downgraded to C from Caa1
  -- Cl. I-B-1, Downgraded to C from Caa3
  -- Cl. I-B-2, Downgraded to C from Ca

Issuer: Terwin Mortgage Trust 2006-8

  -- Cl. I-G, Downgraded to B3 from Aaa
  -- Cl. I-M-1, Downgraded to Ca from Ba1
  -- Cl. I-M-2, Downgraded to C from Ba3
  -- Cl. I-M-3, Downgraded to C from Caa2

Issuer: Terwin Mortgage Trust 2007-1SL

  -- Cl. G, Downgraded to B3 from Aaa
  -- Cl. M-1, Downgraded to C from Ba2
  -- Cl. M-2, Downgraded to C from Ba3


THOMPSON PRODUCTS: Gets Authority to Employ DLA Piper as Counsel
----------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware gave
permission to Thompson Products Inc. and its debtor-affiliates to
employ DLA Piper US LLP as their counsel, nunc pro tunc to
Feb. 19, 2008.

As counsel to the Debtors, DLA Piper US LLP will advise the
Debtors with respect to their powers and duties as debtors-in-
possession and to provide other necessary legal advice in
connection with their Chapter 11 bankruptcy cases.

Prior to bankruptcy filing, DLA Piper billed the Debtors
$269,173.06 for fees and expenses.  The Debtors paid $187,659.55
and DLA Piper wrote off $81,513.51 relating to prepetition
services rendered to the Debtors and will not seek payment of that
amount.

DLA Piper will bill the Debtors for services rendered at its
regular hourly rates.  DLA Piper professionals bill:

     Timothy W. Walsh, Esq.     Partner       $800 per hour
     Vincent J. Roldan, Esq.    Associate     $630 per hour
     Mark C. Smith, Esq.        Associate     $355 per hour

Timothy W. Walsh, Esq., a partner at DLA Piper, attested that his
firm does not hold or represent any interest adverse to the
Debtors or their estates, and that the firm is a "disinterested
person" as defined in Section 101(14) of the bankruptcy code.

Headquartered in Lakeville, Massachussetts, Thompson Products Inc.
-- http://www.thompsonproductsinc.com/-- makes and sells photo   
albums, frames, scrapbooks and stationeries.  The company and two
of its affiliates filed for Chapter 11 protection on Feb. 19, 2008
(Bankr. D.Del., Case No. 08-10319).  No trustee or examiner has
been appointed in the Debtors' Chapter 11 cases.  Eric Michael
Sutty, Esq. and Justin K. Edelson, Esq. at Bayard, P.A. represent
the Debtors as local counsel.  When Thompson Products filed for
bankruptcy, it listed between $1 million to $100 million in assets
and between $1 million to $100 million in liabilities.


THOMPSON PRODUCTS: Obtains Permission to Employ Albert Mink as CRO
------------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware granted
authority to Thompson Products Inc. and its debtor-affiliates to
employ Albert J. Mink as their chief restructuring advisor, nunc
pro tunc to Feb. 19, 2008.

Mr. Mink, who was appointed interim chief financial officer of the
Debtors in 2005, is expected to assist the Debtors' bankruptcy
counsel with the development of any chapter 11 plan and disclosure
statement as well as assist in the negotiations in connection with
any proposed DIP financing.

As compensation for his services as chief restructuring officer,
Mr. Mink will be paid at a rate of $290 per hour.  

Mr. Mink attested to the Court that he does not hold or represent
any interest adverse to the Debtors or their estates.

Headquartered in Lakeville, Massachussetts, Thompson Products Inc.
-- http://www.thompsonproductsinc.com/-- makes and sells photo   
albums, frames, scrapbooks and stationeries.  The company and two
of its affiliates filed for Chapter 11 protection on Feb. 19, 2008
(Bankr. D.Del., Case No. 08-10319).  No trustee or examiner has
been appointed in the Debtors' Chapter 11 cases.  

Timothy W. Walsh, Esq., Vincent J. Roldan, Esq., and Mark C.  
Smith, Esq., at DLA Piper represent the Debtors in their
restructuring efforts.  Eric Michael Sutty, Esq. and Justin K.
Edelson, Esq. at Bayard, P.A. represent the Debtors as local
counsel.  When Thompson Products filed for bankruptcy, it listed
between $1 million to $100 million in assets and between $1
million to $100 million in liabilities.


THORNBURG MORTGAGE: S&P Junks Rating on ABCP Notes From 'A-1+'
--------------------------------------------------------------
Standard & Poor's Ratings Services lowered its rating on the
extendible asset-backed commercial paper (ABCP) notes issued by
Thornburg Mortgage Capital Resources LLC to 'C' from 'A-1+' and
removed it from CreditWatch, where it was placed with negative
implications on March 7, 2008.
     
The rating action is based on the recent and steep decrease of the
reported weighted average price of the ABCP program's underlying
collateral, which consists of residential mortgage backed
securities.  Over the last three weeks, the reported weighted
average price of the collateral has dropped approximately 10
points and has declined by four points in the last week.  
According to the most recent reported pricing information, the
current market value of Thornburg's portfolio is no longer
sufficient to cover the amount of Thornburg's outstanding ABCP due
on April 14, 2008.
     
Unlike traditional ABCP vehicles that benefit from third-party
liquidity, the market value of the underlying collateral of
Thornburg's ABCP is a primary source of liquidity, and is
therefore a key consideration in S&P's rating analysis of the
notes.
     
The lowered rating reflects Standard & Poor's opinion that
Thornburg's outstanding ABCP notes from this program are currently
vulnerable to nonpayment and are dependent on favorable economic
conditions to meet their financial commitments.


VERMILLION INC: December 31 Balance Sheet Upside-Down by $11MM
--------------------------------------------------------------
Vermillion Inc.'s balance sheet at Dec. 31, 2007, showed total
assets $24.053 million, and total liabilities of $35.515 million,
resulting to a total stockholders' deficit of $11.462 million.  

The company released financial results for the fourth quarter and
year ended Dec. 31, 2007.  The net loss for the fourth quarter of
2007 was $3.3 million, compared to $1.9 million for the fourth
quarter of 2006.

For the full year of 2007, the net loss was $21.3 million compared
to a net loss of $22.1 million in the same period in 2006.

Total operating expenses for the fourth quarter of 2007 were $4.9
million, compared to $7.7 million in the same period last year.
The decrease in operating expenses was due to reductions in
research and development and general and administrative expenses,
as well as the elimination of selling and marketing expenses
associated with the company\u2019s former instrument business.

At Dec. 31, 2007, the company's cash, short- and long-term
investments, totaled $20.4 million, compared to $17.7 million at
Dec. 31, 2006.  Net cash used in operating activities in the
fourth quarter of 2007 was $4.3 million.  

                     About Vermillion Inc.

Based in Fremont, California, Vermillion Inc. (NASDAQ:VRMLD) --
http://www.vermillion.com/-- fka Ciphergen Biosystems Inc. is    
involved in the discovery, development and commercialization of
specialty diagnostic tests that provide physicians with
information, with which to manage their patients' care and that
improve patient outcomes.  Incorporated on Dec. 9, 1993, the
company, along with its prestigious scientific collaborators, has
ongoing diagnostic programs in oncology, hematology, cardiology
and women's health with an initial focus in ovarian cancer.


WELWIND ENERGY: Posts CDN$752,399 Net Loss in Qtr. Ended Sept. 30
-----------------------------------------------------------------
Welwind Energy International Corp. reported a net loss of
CDN$752,399 on revenue of CDN$52,495 for the third quarter ended
Sept. 30, 2007, compared with a net loss of CDN$526,248 on revenue
of CDN$33,758 for the same period ended Sept. 30, 2006.

The increase in sales was due to the company obtaining two new
customers during the period.  

The increase in net loss was a result of the increase in stock
based compensation from CDN$287,784 for the three month period
ended Sept. 30, 2006, to CDN$559,217 for the three month period
ended Sept. 30, 2007.    

                          Balance Sheet

At Sept. 30, 2007, the company's consolidated balance sheet showed
CDN$3,047,670 in total assets, CDN$782,652 in total liabilities,
and CDN$2,265,018 in total stockholders' equity.

Full-text copies of the company's consolidated financial
statements for the quarter ended Sept. 30, 2007, are available for
free at http://researcharchives.com/t/s?2a06

                       Going Concern Doubt

Manning Elliott LLP, in Vancouver, Canada, expressed substantial
doubt about Welwind Energy International Corporation's ability to
continue as a going concern after auditing the company's
consolidated financial statements as of the years ended Dec. 31,
2006, and 2005.  The auditing firm pointed to the company's
significant operating losses and the need for additional
equity/debt financing to sustain operations.

                       About Welwind Energy

Headquartered in Maple Ridge, British Columbia, Canada, Welwind
Energy International Corp., fka Vitasti Inc. (OTC BB: WWEI) --
http://www.welwind.com/-- was founded in 2005 to build, own and  
operate wind farms on an international scale.  Its current project
is focused on bridging the North America-China link by building
wind farms in China.  

Concurrently with the development of the wind farm projects, the
company intends to continue to operate the retail bakery and food
store and its manufacturing and distribution of specialty health
food products.


                             *********

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.  Shimero R. Jainga, Ronald C. Sy, Joel Anthony G. Lopez,
Cecil R. Villacampa, Melanie C. Pador, Ludivino Q. Climaco, Jr.,
Loyda I. Nartatez, Tara Marie A. Martin, Philline P. Reluya,
Joseph Medel C. Martirez, Ma. Cristina I. Canson, Christopher G.
Patalinghug, and Peter A. Chapman, Editors.

Copyright 2008.  All rights reserved.  ISSN: 1520-9474.

This material is copyrighted and any commercial use, resale or
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re-mailing and photocopying) is strictly prohibited without prior
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 $775 for 6 months delivered via e-
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for the term of the initial subscription or balance thereof are
$25 each.  For subscription information, contact Christopher Beard
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                    *** End of Transmission ***