TCR_Public/091008.mbx          T R O U B L E D   C O M P A N Y   R E P O R T E R

            Thursday, October 8, 2009, Vol. 13, No. 278

                            Headlines

ABITIBIBOWATER INC: Court's Written Order Denying TLG Lift Stay
ABITIBIBOWATER INC: Extends Scope of Ernst & Young Work
ABITIBIBOWATER INC: Opposes Prompt Decision on Turner Sludge Pact
ACTION MOTORS: Blames Ch 11 Bankruptcy on Industry Upheaval
ALPHA INNOTECH: Reports $15,785 Net Loss in Quarter Ended June 30

AMERICAN INT'L: AIG, Lehman Fight Over Big-Dollar Swap Contract
ADVANCED CELL: Shares Begin Trading on OTC Bulletin Board
AVINCI MEDIA: Net Loss Narrows to $1.3MM as Sales Increase
BEARINGPOINT INC: Ernst & Young Resigns as Outside Accountants
BIOCORAL INC: June 30 Balance Sheet Upside-Down by $3.8 Million

BLOCKBUSTER INC: Completes Sale of $675MM of 11.75% Senior Notes
BLOCKBUSTER INC: JPMorgan Loan Converted to L/C Facility
BOMBARDIER INC: DBRS Confirms Issuer Rating at 'BB'
BOOMERANG SYSTEMS: June 30 Balance Sheet Upside-Down by $2.7MM
BUILDING MATERIALS: Court OKs $400,000 Settlement With Laborers

BUILDING MATERIALS: Creditors Balk at Amended Plan Outline
CANWEST GLOBAL: Voluntary Chapter 15 Case Summary
CHRYSLER LLC: Amends Transition Services Pact With Chrysler Group
CHRYSLER LLC: Extends Scope of Cahill Gordon Work
CHRYSLER LLC: Jones Day Charges $20.4MM for May to August

CHRYSLER LLC: Proposes Indiana Tax Claims Settlement
CINCINNATI BELL: Sells $500 Mil. of 8.25% Senior Notes Due 2017
CIT GROUP: Goldman Loan Built as Return Swap to Avoid Bankr. Stay
CITGO PETROLEUM: Alky Unit Return Postponed by 2 Weeks
COATES INT'L: June 30 Balance Sheet Upside-Down by $143,600

COLONIAL BANCGROUP: Disputes Alabama Tax Assessments
COLONY BEACH: Files Chapter 11 After Hotels Suspended
CORUS BANKSHARES: Has $497MM Q2 Net Loss; Going Concern Raised
CORUS BANKSHARES: Nasdaq to Delist Common Stock
DELPHI CORP: AT&T Wants to Compel Payment of Administrative Claim

DELPHI CORP: Names P. Desnos as Global Service Center Director
DRINKS AMERICAS: July 31 Balance Sheet Upside-Down by $3.0 Million
DUNE ENERGY: Inks New Employment Agreements with CEO & CFO
EASY STREET: Files Amended List of Largest Unsecured Creditors
EASY STREET: U.S. Trustee Picks Seven-Member Creditors Committee

EDDIE BAUER: Court Approves Deloitte as Tax Consultant
EDG HOLDINGS: Files Amended List of Largest Unsecured Creditors
EDG HOLDINGS: Taps The Sharp Law Firm  to Represent in Ch. 11 Case
ELECTROGLAS INC: FormFactor Acquires Technology Assets
ELLEN TRACY: Court Approves Involuntary Ch. 7 Petition

EMPIRE RESORTS: Amends Investment Agreement With Kien Huat Realty
EMPIRE RESORTS: Sportsystems Management Services Deal Restated
ENRON CORP: Alfa, S.A.B., to Appeal Denial of Summary Judgment
ENRON CORP: No Reserve for Glatzer's Disallowed Claim
ENRON CORP: UC Regents to Settle With Goldman for $11.5MM

EQUIPMENT FINDERS: Files List of 20 Largest Unsecured Creditors
EQUIPMENT FINDERS: Taps Tune Entrekin as Litigation Counsel
EXTENDED STAY: Creditors Committee Retains BMC as Info Agent
EXTENDED STAY: ESH/HV Properties' Schedules of Assets & Debts
EXTENDED STAY: ESH/HV Properties' Statement of Fin'l Affairs

FINLAY ENTERPRISES: Court OKs Togut Segal as Conflicts Counsel
FONTAINEBLEAU LV: Contractors Want Lift Stay to Perfect Liens
FORD MOTOR: US Consortium Makes Bid for Swedish Unit Volvo
FREEDOM COMMUNICATIONS: Lacks Resources to Review Restricted Docs
GENERAL MOTORS: Saab Seeks EU Approval of State Guarantee

GREATER ATLANTIC: Deadline to Close Merger Moved to October 31
GREEKTOWN HOLDINGS: Fine Point Charges $3MM for June to August
HAMLIN PROPERTIES: Case Dismissed, But Court Keeps Removed Dispute
HOLLEY PERFORMANCE: Court Approves Epiq Bankruptcy as Claims Agent
HOLLEY PERFORMANCE: Get Initial Okay to Access Cash Collateral

HOLLEY PERFORMANCE: Section 341(a) Meeting Set For November 9
HOLLEY PERFORMANCE: Seeks Until October 28 to File Schedules
HOVNANIAN ENTERPRISES: To Issue $785MM of 10.625% Senior Notes
HOVNANIAN ENTERPRISES: Unveils Results of Discounted Offer
IA GLOBAL: Receives NYSE Amex Deficiency Notice

ILX RESORTS: Posts $672,267 Net Loss is First Half of 2009
INNOVATIVE CARD: Completes Financial Restructuring
KH FUNDING: June 30 Balance Sheet Upside-Down by $801,000
KIRK HOMES: Reorganization Case Converted to Chapter 7
LAKE TAHOE DEV'T: Files for Chapter 11 Bankruptcy Protection

LANDAMERICA FINANCIAL: Files Amended Chapter 11 Plan
LEHMAN BROTHERS:: AIG Fights with LBSF over Swap Contract
LL&E ROYALTY: Faces NYSE Suspension and Delisting
LYONDELL CHEMICAL: Creditors Seek Examiner for Bankruptcy
LYONDELL CHEMICAL: May Ask to Move Financing Repayment Deadline

MAGNA ENTERTAINMENT: Plans Mixed-Use Project on Laurel Park Land
MANASSEH BUILDING: Wants Plan Exclusivity Extended Until Dec. 28
METROMEDIA STEAKHOUSES: Kluge to Retain Control of Steakhouses
MOOG INC: Closes Sale of 2,675,000 Shares of Class A Common Stock
NEWLOOK INDUSTRIES: Wireless Enters Into Settlement with Trustee

NORTEL NETWORKS: Files Bankruptcy Rule 2015.3 Reports
NORTEL NETWORKS: NGS Wins IDIQ Contract from NOAA
NORTEL NETWORKS: TD AZLAN Welcomes Sale of Enterprise to Avaya
PHILADELPHIA NEWSPAPERS: Lenders Fight for Right to Credit Bid
PILGRIM'S PRIDE: District Court to Hold Jury Trial on DTTPA Suit

PILGRIM'S PRIDE: M&G Investment Owns $10.7% of Common Stock
PILGRIM'S PRIDE: November 4 Trial on Atkinson FLSA Class Suit
PLASTECH ENGINEERED: Trustee Launches Dozens of Payment Suits
PTC ALLIANCE: Can Hire Logan & Company as Claims Agent
QUESTEX MEDIA: Can Access CSCIB $5.5 Million Loan on Interim

QUESTEX MEDIA: Hires Epiq Bankruptcy as Claims Agent
READER'S DIGEST: Gets Final Court Approval of $150MM DIP Loan
RITZ CAMERA: Wants Plan Filing Deadline Moved to Oct. 26
SAIL CITY: Voluntary Chapter 15 Case Summary
SELECT COMFORT: Enters Into New Securities Purchase Agreement

SMURFIT-STONE: Fair Harbor, LSI & Sierra Buy Claims
SMURFIT-STONE: Grubb & Ellis Charges $1 Mil. for March-Sep. Work
SMURFIT-STONE: Two Officers Dispose of Shares in September
SPANSION INC: Court OKs Sale of Equipment to Micron for $2 Mil.
SPANSION INC: Equity Holders Support Mathers Plea for Committee

SPANSION INC: Plan Exclusivity Motion to be Heard October 16
SPRYLOGICS INT'L: Delays Filing of Interim Quarterly Fin'l Results
SUN-TIMES MEDIA: Thane Ritchie Wants Court to Reopen Sale Process
TARGETED GENETICS: Nasdaq Grants Request for Continued Listing
TEKNI-PLEX INC: Inks Second Supplemental Indenture with HSBC Bank

THORNBURG MORTGAGE: Chairman Garrett Thornburg Steps Down
TLC VISION: Gets Limited Waiver Through October 13
TORREYPINES THERAPEUTICS: Completes Merger With Raptor Pharma
TRIESTE INVESTMENTS: Case Dismissed Following Foreclosure
TRONOX INC: Receives Waiver After Second Bankruptcy Loan Default

TRUMP ENTERTAINMENT: Noteholders Up Their Bids in Ch. 11 Pitches
VERASUN ENERGY: Lender Group Sells Hankinson Plant for $92MM
VERO FASHION: Files for Ch 11 Bankr., Averts Foreclosure on Mall
VISTEON CORP: Losing Business from Big 3, Nissan
VISTEON CORP: To Get $31.3 Mil. From Chrysler, to Shed Contract

WASHINGTON MUTUAL: Bondholders Dispute WaMU Right to $4BB Funds
WASHINGTON MUTUAL: Court OKs Goldman Deal for Wind Power Assets
WASHINGTON MUTUAL: JPM Appeals Accepting WaMu Counterclaims
WASHINGTON MUTUAL: JPMorgan Escapes WaMu ERISA Action
WILLING HOLDING: June 30 Balance Sheet Upside-Down by $2.2 Million

WISCONSIN AMERICAN: A.M. Best Affirmed FSR of 'C++'

* 65 Jewelry Companies in Bankruptcy in 1H of 2009
* Bankruptcy Partner Returns to Munger Tolles & Olson
* Companies Selling More Bonds Secured by Assets

* Corporate Credit Rating Upgrades Poised to Exceed Downgrades
* East Valley, Ariz., Filings Rise 88.4% in Three Quarters
* FDIC Chair Says Secured Creditors Should Pay for Failures
* Frank Urges Using $2 Billion Repaid to TARP on Foreclosure Aid

* New Hampshire Bankr. Filings Up 34% in FY Ended September 2009
* Sage Holdings Acquires Donlin Recano

* U.S. Consumer Bankruptcies Top 1 Million, Group Says

* Chapter 11 Cases With Assets and Liabilities Below $1,000,000


                            *********

ABITIBIBOWATER INC: Court's Written Order Denying TLG Lift Stay
---------------------------------------------------------------
U.S. Bankruptcy Judge Kevin Carey entered a written order
embodying his bench ruling in June 2009, denying the request of
The Levin Group, L.P., for a modification of the automatic stay
under Section 362(d)(1) of the Bankruptcy Code to allow it to
assert counterclaims for $88 million against Bowater Incorporated
for breach of an engagement agreement in a state court action in
Greenville County, South Carolina.

So long as the counterclaims of TLG in the South Carolina
Litigation remain stayed, the Debtors will not pursue any claims
against TLG in the South Carolina Litigation without further
Court order, after notice to TLG and an opportunity to be heard.

To recall, the Debtors and TLG entered into a stipulation
relating to the Bench Ruling.  Under the Stipulation, the Debtors
are not precluded from asserting counterclaims against TLG in an
objection to any TLG claim filed in the Debtors' cases.

                      TLG's Lift Stay Request

Pursuant to 2006 Engagement Letter, TLG provided the Debtors with
general strategic and financial advice between August 1, 2006, and
January 31, 2007.  The Agreement provided that, among other
things, the Debtors would pay TLG a "transaction fee" in the
event of "execution of definitive agreements and closing of a
transaction," which refers to "certain acquisitions and
divestitures."  The parties agreed that the Transaction Fee would
be "equal to 2% of the enterprise value of the Transaction."

Representing TLG, Kevin J. Mangan, Esq., at Womble Carlye
Sandridge & Rice, PLLC, in Wilmington, Delaware, related that in
August 2007, Bowater filed an action against TLG for breach of
the Engagement Agreement.  TLG subsequently filed a counterclaim,
specifying that Bowater refused to pay a transaction fee with
respect to the Agreement.  TLG's Action, however, has been stayed
as of the Petition Date.

In TLG's request for stay relief, Mr. Mangan told Judge Carey that
the Claims in the Litigation are exclusively state law claims.
Therefore, the South Carolina state court is the most suitable
forum, he said.

                     About AbitibiBowater Inc.

Headquartered in Montreal, Canada, AbitibiBowater Inc. --
http://www.abitibibowater.com/ -- produces a wide range of
newsprint, commercial printing papers, market pulp and wood
products.  It is the eighth largest publicly traded pulp and paper
manufacturer in the world.  AbitibiBowater owns or operates 23
pulp and paper facilities and 29 wood products facilities located
in the United States, Canada, the United Kingdom and South Korea.
Marketing its products in more than 90 countries, the Company is
also among the world's largest recyclers of old newspapers and
magazines, and has third-party certified 100% of its managed
woodlands to sustainable forest management standards.
AbitibiBowater's shares trade over-the-counter on the Pink Sheets
and on the OTC Bulletin Board under the stock symbol ABWTQ.

The Company and several of its affiliates filed for protection
under Chapter 11 of the U.S. Bankruptcy Code on April 16, 2009
(Bankr. D. Del. Lead Case No. 09-11296).  Judge Kevin J. Carey
presides over the case.  The Company and its Canadian affiliates
commenced parallel restructuring proceedings under the Companies'
Creditors Arrangement Act before the Quebec Superior Court
Commercial Division the next day.  Alex F. Morrison at Ernst &
Young, Inc., was appointed CCAA monitor.

Paul, Weiss, Rifkind, Wharton & Garrison LLP, serves as the
Debtors' U.S. bankruptcy counsel.  Stikeman Elliot LLP, acts as
the Debtors' CCAA counsel.  Young, Conaway, Stargatt & Taylor, in
Wilmington, Delaware, serves as the Debtors' co-counsel, while
Troutman Sanders LLP in New York, serves as the Debtors' conflicts
counsel in the Chapter 11 proceedings.  The Debtors' financial
advisors are Advisory Services LP, and their noticing and claims
agent is Epiq Bankruptcy Solutions LLC.  The CCAA Monitor's
counsel is Thornton, Grout & Finnigan LLP, in Toronto, Ontario.
Abitibi-Consolidated Inc. and various Canadian subsidiaries filed
for protection under Chapter 15 of the U.S. Bankruptcy Code on
April 17, 2009 (Bankr. D. Del. 09-11348).  Judge Carey also
handles the Chapter 15 case.  Pauline K. Morgan, Esq., and Sean T.
Greecher, Esq., at Young, Conaway, Stargatt & Taylor, in
Wilmington, represent the Chapter 15 Debtors.

As of Sept. 30, 2008, the Company had $9,937,000,000 in total
assets and $8,783,000,000 in total debts.

Bankruptcy Creditors' Service, Inc., publishes AbitibiBowater
Bankruptcy News.  The newsletter provides gavel-to-gavel coverage
of the Chapter 11 proceedings and parallel proceedings under the
Companies' Creditors Arrangement Act in Canada undertaken by
Abitibibowater Inc. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000).


ABITIBIBOWATER INC: Extends Scope of Ernst & Young Work
-------------------------------------------------------
AbitibiBowater Inc. and its units obtained approval from the U.S.
Bankruptcy Court of an amended statement of work with respect to
the services rendered by Ernst & Young LLP, as tax advisors in
their cases.

Pauline K. Morgan, Esq., at Young Conaway Stargatt & Taylor, LLP,
in Wilmington, Delaware, relates that Amended SOW arose out of
Debtors' and E&Y's identification of three additional tax forms
for the 2008 tax year that E&Y would be responsible for
preparing.

Pursuant to the Amended SOW, E&Y will specifically perform the
additional tasks of:

  (1) preparing the Federal Form 5472, Information Return of a
      25% Foreign-Owned U.S. Corporation or a Foreign
      Corporation Engaged in a U.S. Trade or Business, for
      Fairfax Financial Holdings Limited for the tax year ending
      12/31/2008;

  (2) preparing the Oklahoma Form 200, Annual Franchise Tax
      Return, for Abitibi-Consolidated Corporation for the tax
      year ending 12/31/2008;

  (3) preparing the City of Philadelphia BPT, Business Privilege
      Tax Return for Abitibi-Consolidated Corporation for the
      tax years ending 4/1108 and 12/31/08; and

  (4) preparing any additional forms or tax returns related to
      2008 tax compliance, as requested by the Company.

The United States Trustee and the Official Committee of Unsecured
Creditors have consented to the approval of the Amended SOW,
according to Ms. Morgan.

                     About AbitibiBowater Inc.

Headquartered in Montreal, Canada, AbitibiBowater Inc. --
http://www.abitibibowater.com/ -- produces a wide range of
newsprint, commercial printing papers, market pulp and wood
products.  It is the eighth largest publicly traded pulp and paper
manufacturer in the world.  AbitibiBowater owns or operates 23
pulp and paper facilities and 29 wood products facilities located
in the United States, Canada, the United Kingdom and South Korea.
Marketing its products in more than 90 countries, the Company is
also among the world's largest recyclers of old newspapers and
magazines, and has third-party certified 100% of its managed
woodlands to sustainable forest management standards.
AbitibiBowater's shares trade over-the-counter on the Pink Sheets
and on the OTC Bulletin Board under the stock symbol ABWTQ.

The Company and several of its affiliates filed for protection
under Chapter 11 of the U.S. Bankruptcy Code on April 16, 2009
(Bankr. D. Del. Lead Case No. 09-11296).  Judge Kevin J. Carey
presides over the case.  The Company and its Canadian affiliates
commenced parallel restructuring proceedings under the Companies'
Creditors Arrangement Act before the Quebec Superior Court
Commercial Division the next day.  Alex F. Morrison at Ernst &
Young, Inc., was appointed CCAA monitor.

Paul, Weiss, Rifkind, Wharton & Garrison LLP, serves as the
Debtors' U.S. bankruptcy counsel.  Stikeman Elliot LLP, acts as
the Debtors' CCAA counsel.  Young, Conaway, Stargatt & Taylor, in
Wilmington, Delaware, serves as the Debtors' co-counsel, while
Troutman Sanders LLP in New York, serves as the Debtors' conflicts
counsel in the Chapter 11 proceedings.  The Debtors' financial
advisors are Advisory Services LP, and their noticing and claims
agent is Epiq Bankruptcy Solutions LLC.  The CCAA Monitor's
counsel is Thornton, Grout & Finnigan LLP, in Toronto, Ontario.
Abitibi-Consolidated Inc. and various Canadian subsidiaries filed
for protection under Chapter 15 of the U.S. Bankruptcy Code on
April 17, 2009 (Bankr. D. Del. 09-11348).  Judge Carey also
handles the Chapter 15 case.  Pauline K. Morgan, Esq., and Sean T.
Greecher, Esq., at Young, Conaway, Stargatt & Taylor, in
Wilmington, represent the Chapter 15 Debtors.

As of Sept. 30, 2008, the Company had $9,937,000,000 in total
assets and $8,783,000,000 in total debts.

Bankruptcy Creditors' Service, Inc., publishes AbitibiBowater
Bankruptcy News.  The newsletter provides gavel-to-gavel coverage
of the Chapter 11 proceedings and parallel proceedings under the
Companies' Creditors Arrangement Act in Canada undertaken by
Abitibibowater Inc. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000).


ABITIBIBOWATER INC: Opposes Prompt Decision on Turner Sludge Pact
-----------------------------------------------------------------
AbitibiBowater Inc. and its affiliates contend that Turner
Specialty Services LLC's request to compel them to decide on
whether to assume or reject Sludge Dewatering Project Agreement
No. BOW2013JP "is simply not reasonable."

Turner provided specialized dewatering services at the Debtors'
paper mill in Catawba, South Carolina, pursuant to a January 2007
Agreement between the parties.

Sean T. Greecher, Esq., at Young Conaway Stargatt & Taylor, LLP,
in Wilmington, Delaware, asserts that the Debtors need time to
(i) develop, analyze and consider an appropriate business plan,
both specifically in connection with go-forward operations at the
Catawba Mill, (ii) negotiate a Chapter 11 plan with their
creditor constituencies that would effectuate that business plan,
and (iii) proceed with confirmation of the Chapter 11 plan.

Turner, Mr. Greecher points out, is seeking to "short-circuit"
the decision process relating to the Agreement, thereby ignoring
that the Debtors must be permitted "the leeway needed to appraise
its financial situation and the potential value of its assets in
terms of the formulation of a [Chapter 11] plan."

The Debtors maintain that they have been complying, and will
continue to comply, with the terms of the Agreement going
forward.

Mr. Greecher emphasizes that the Court's denial of Turner's
request will allow the parties to continue to operate as they
normally would under the Agreement, with all its benefits and
burdens.  Hence, he maintains, permitting the parties to operate
within the terms of their Agreement "does not equate to prejudice
or hardship for Turner."

Against this backdrop, the Debtors ask the Court to deny Turner's
request.

                     About AbitibiBowater Inc.

Headquartered in Montreal, Canada, AbitibiBowater Inc. --
http://www.abitibibowater.com/-- produces a wide range of
newsprint, commercial printing papers, market pulp and wood
products.  It is the eighth largest publicly traded pulp and paper
manufacturer in the world.  AbitibiBowater owns or operates 23
pulp and paper facilities and 29 wood products facilities located
in the United States, Canada, the United Kingdom and South Korea.
Marketing its products in more than 90 countries, the Company is
also among the world's largest recyclers of old newspapers and
magazines, and has third-party certified 100% of its managed
woodlands to sustainable forest management standards.
AbitibiBowater's shares trade over-the-counter on the Pink Sheets
and on the OTC Bulletin Board under the stock symbol ABWTQ.

The Company and several of its affiliates filed for protection
under Chapter 11 of the U.S. Bankruptcy Code on April 16, 2009
(Bankr. D. Del. Lead Case No. 09-11296).  Judge Kevin J. Carey
presides over the case.  The Company and its Canadian affiliates
commenced parallel restructuring proceedings under the Companies'
Creditors Arrangement Act before the Quebec Superior Court
Commercial Division the next day.  Alex F. Morrison at Ernst &
Young, Inc., was appointed CCAA monitor.

Paul, Weiss, Rifkind, Wharton & Garrison LLP, serves as the
Debtors' U.S. bankruptcy counsel.  Stikeman Elliot LLP, acts as
the Debtors' CCAA counsel.  Young, Conaway, Stargatt & Taylor, in
Wilmington, Delaware, serves as the Debtors' co-counsel, while
Troutman Sanders LLP in New York, serves as the Debtors' conflicts
counsel in the Chapter 11 proceedings.  The Debtors' financial
advisors are Advisory Services LP, and their noticing and claims
agent is Epiq Bankruptcy Solutions LLC.  The CCAA Monitor's
counsel is Thornton, Grout & Finnigan LLP, in Toronto, Ontario.
Abitibi-Consolidated Inc. and various Canadian subsidiaries filed
for protection under Chapter 15 of the U.S. Bankruptcy Code on
April 17, 2009 (Bankr. D. Del. 09-11348).  Judge Carey also
handles the Chapter 15 case.  Pauline K. Morgan, Esq., and Sean T.
Greecher, Esq., at Young, Conaway, Stargatt & Taylor, in
Wilmington, represent the Chapter 15 Debtors.

As of Sept. 30, 2008, the Company had $9,937,000,000 in total
assets and $8,783,000,000 in total debts.

Bankruptcy Creditors' Service, Inc., publishes AbitibiBowater
Bankruptcy News.  The newsletter provides gavel-to-gavel coverage
of the Chapter 11 proceedings and parallel proceedings under the
Companies' Creditors Arrangement Act in Canada undertaken by
Abitibibowater Inc. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000).


ACTION MOTORS: Blames Ch 11 Bankruptcy on Industry Upheaval
-----------------------------------------------------------
Action Motors Corporation has filed for Chapter 11 bankruptcy
protection in the U.S. Bankruptcy Court for the District of
Connecticut, listing more than $1.1 million in debt, including
$100,000 in back taxes to Connecticut and New York.

Court documents say that Action Motors' creditors include its
president and owner Michael Bernstein -- owed about $750,000 for
loans he made to the dealership -- and M.I.B. Realty, which owns
the real property the Company occupies and is owed $145,000 in
rent.

Michael C. Juliano at NewsTimes.com reports that Action Motors'
lawyer, James Nugent, said that the Company filed for bankruptcy
nine months after financing from GMAC Financial Services and
Chrysler Financial ended in 2008.  The report quoted Mr. Nugent as
saying, "Action Motors is a victim of the upheaval of the
automotive industry.  You need financing to run a business."

According to NewsTimes.com, Action Motors has been selling only
GMC trucks after last month selling its Chrysler, Jeep, and Kia
franchises to Danbury Dodge.

Citing Mr. Nugent, NewsTimes.com relates that Action Motors had
sought to use cash collateral to continue operations, but Chrysler
Financial Services Americas LLC objections to the request.  Mr.
Nugent said that Action Motors is working with lenders to keep its
business open, the report states.  "We did reach an early
agreement and will continue to negotiate going forward.  The owner
has committed that he would try to retain as many jobs for people
as he can," the report quoted Mr. Nugent as saying.

Action Motors has cut its staff from 70 employees to 30, says
NewsTimes.com.

Action Motors Corporation is a dealership in Danbury, Connecticut.


ALPHA INNOTECH: Reports $15,785 Net Loss in Quarter Ended June 30
-----------------------------------------------------------------
Alpha Innotech Corp. reported a net loss of $15,785 on revenue of
$4,248,691 for the second quarter ended June 30, 2009, compared
with net income of $23,199 on revenue of $4,243,667 in the
corresponding period in 2008.

Gross profit was $2,359,435 and $2,386,232 for the three month
period ended June 30, 2009, and 2008, respectively, representing a
decrease of $26,797 or 1%.  The Company attributed the decline in
gross profit primarily to the increase in cost of goods sold
related to inventory adjustments.

Sales and marketing expenses were $1,231,732 and $1,312,771 for
the three month period ended June 30, 2009, and 2008,
respectively, representing a decrease of $81,039 or 6%.

Research and development expenses were $352,909 and $272,802 for
the three month period ended June 30, 2009, and 2008,
respectively, representing an increase of $80,107 or 29%.

General and administrative expenses were $603,782 and $589,899 for
the three month period ended June 30, 2009, and 2008,
respectively, representing an increase of $13,883 or 2%.

At June 30, 2009, the Company's consolidated financial statements
showed $6,125,886 in total assets, $6,111,333 in total
liabilities, and $14,553 in total stockholders' equity.

The Company's consolidated balance sheet at June 30, 2009, also
showed strained liquidity with $5,253,003 in total current assets
available to pay $5,954,660 in total current liabilities.

Full-text copies of the Company's consolidated financial
statements for the second quarter ended June 30, 2009, are
available for free at http://researcharchives.com/t/s?466f

                       Going Concern Doubt

Rowbotham and Company LLP, in San Francisco, California, expressed
substantial doubt about Alpha Innotech's ability to continue as a
going concern after auditing the consolidated financial statements
for the year ended December 31, 2008.  The auditing firm said that
the Company has incurred losses from operations prior to 2008, was
unable to generate positive cash flows from operations in 2008,
and has both a working capital and a shareholders' deficit at
December 31, 2008.

                       About Alpha Innotech

Based in San Leandro, Calif., Alpha Innotech Corp. (OTC BB: APNO)
-- http://www.alphainnotech.com/-- develops and markets both
macro imaging and micro imaging systems.  The macro imaging
systems are used for image documentation, quantitative analysis,
and image archiving.  These systems are used with electrophoresis
samples (gel, blots, autoradiographs, etc), microscopy
applications, and general imaging from insects to culture plates.
The micro imaging systems address the micro array, multiplex array
and cell based markets.  Researchers use the microimaging products
to analyze slides or multi-well microplates printed with genomic,
proteomic or cellular samples and in some cases, fixed cell
cultures.


AMERICAN INT'L: AIG, Lehman Fight Over Big-Dollar Swap Contract
---------------------------------------------------------------
The derivatives trading subsidiary of American International Group
Inc. told the Bankruptcy Court that Lehman Brothers Special
Financing Inc. did not meet its obligation to make premium
payments to the unit, in a fight over who owes whom under a credit
default swap contract.

In July 2004, AIG CDS, a unit of AIG Inc., entered into a swap
agreement with LBSF.  The swap agreement governs 125 separate
credit derivative transactions and was a credit default swap.

Credit derivative transactions involve contracts that afford
protection against the risk of a default by a specified entity,
referred to as the "reference entity."  In a credit derivative
transaction or "credit default swap," the buyer of credit
protection makes periodic fixed payments to the seller of the
credit protection for the specified term of the credit derivative
transaction or until a "credit event" occurs.

Under the Swap Agreement here, LBSF was the credit protection
buyer from AIG CDS with respect to 97 of the 125 credit derivative
transactions at issue.  In the remaining 28 credit derivative
transactions, AIG CDS was the credit protection buyer from LBSF.

According to AIG CDS, LBSF, prior to the bankruptcy filing, failed
to make an approximately $900,000 quarterly premium payment that
came due to AIG CDS in September of 2008.  Since the bankruptcy
filing of LBSF, it has failed to make any of the postpetition
premium payments in excess of $3 million.  Under the Swap
Agreement, "credit events" have occurred with respect to four
reference entities as to which LBSF was the credit protection
buyer: General Motors Corporation, Washington Mutual, Inc.,
Abitibi-Consolidated Inc., and Station Casinos, Inc.   Those
credit events occurred when GM, WaMu, and Abitibi filed for
bankruptcy and when Station Casinos defaulted on certain debt
obligations.

Following the occurrence of those credit events, LBSF, on July 23,
2009, tendered a Notice of Physical Settlement to AIG CDS, in
which it asserted that, no later than July 28, 2009, AIG CDS would
be required to pay to LBSF $12,500,000, representing the aggregate
physical settlement amount for the credit events that had occurred
with respect to GM, WaMu, Abitibi, and Station Casinos, less
$3,369,294, which represented the net amounts owed by LBSF to AIG.
Two weeks after serving notice, LBSF filed a motion with the
Bankruptcy Court seeking to compel AIG to honor its obligations
under the Swap Agreement.

AIG CDS, however, objects to the terms of LBSF's request.  AIG CDS
insists that any relief that the Court may award should be
conditioned on LBSF providing AIG CDS with adequate assurance that
it will perform its future obligations under the Swap Agreement as
they come due.  It notes that LBSF had failed to make payments
under the Swap Agreement for more than a year.  Since filing of
the Motion to Compel, LBSF has failed to pay a semi-annual payment
of $30,167 and a quarterly payment of $685,067, AIG CDS notes.

                   About American International

Based in New York, American International Group, Inc., is the
leading international insurance organization with operation in
more than 130 countries and jurisdictions.  AIG companies serve
commercial, institutional and individual customers through the
most extensive worldwide property-casualty and life insurance
networks of any insurer.  In addition, AIG companies are leading
providers of retirement services, financial services and asset
management around the world.  AIG's common stock is listed on the
New York Stock Exchange, as well as the stock exchanges in Ireland
and Tokyo.

In September 2008, AIG experienced a liquidity crunch when its
credit ratings were downgraded below "AA" levels by Standard &
Poor's, Moody's Investors Service and Fitch Ratings.  On
September 16, 2008, the Federal Reserve Bank created an
US$85 billion credit facility to enable AIG to meet increased
collateral obligations consequent to the ratings downgrade, in
exchange for the issuance of a stock warrant to the Fed for 79.9%
of the equity of AIG.  The credit facility was eventually
increased to as much as US$182.5 billion.  AIG has sold a number
of its subsidiaries and other assets to pay down loans received,
and continues to seek buyers of its assets.

The Troubled Company Reporter reported on March 4, 2009, that
Moody's Investors Service confirmed the A3 senior unsecured debt
and Prime-1 short-term debt ratings of American International
Group.  AIG's subordinated debt rating has been downgraded to Ba2
from Baa1.  The rating outlook for AIG is negative.  This rating
action follows AIG's announcement of net losses of US$62 billion
for the fourth quarter and US$99 billion for the full year of
2008, along with a revised restructuring plan supported by the
U.S. Treasury and the Federal Reserve.  This concludes a review
for possible downgrade that was initiated on September 15, 2008.


ADVANCED CELL: Shares Begin Trading on OTC Bulletin Board
---------------------------------------------------------
Advanced Cell Technology, Inc., said October 6 that effective
immediately the Company's shares will be traded on the Over-the-
Counter Bulletin Board under its previous ticker symbol ACTC.  The
Company is now fully reporting and up-to-date with all of its
filing requirements.  The Company's stock had previously traded on
the Pink Sheets.

"I am gratified that the Company was able to achieve another
significant milestone for its shareholders," said William M.
Caldwell IV, Advanced Cell's Chairman and CEO.  "Trading on the
OTCBB should allow for increased transparency and facilitate the
trading of our stock with a broader group of investors.  In the
last 12 months, Advanced Cell has completed a dramatic turnaround,
made even more impressive by the obstacles it has had to overcome.
We were able to cure a default with our Indenture holders, working
out an equitable settlement for all of our constituencies; we
raised capital through a series of licensing agreements and a
private placement, allowing us to continue development activities
which we expect will culminate in an IND filing this year for our
RPE program; and, we have been able to retain key members of our
scientific and management team, despite the adversity we have
faced.  We strongly believe in the potential for our science, and
look forward to aggressively developing our clinical programs in
the coming months."

                        About Advanced Cell

Based in Worcester, Massachusetts, Advanced Cell Technology Inc.
(OTC BB: ACTC) -- http://www.advancedcell.com/-- is a
biotechnology company focused on developing and commercializing
human embryonic and adult stem cell technology in the emerging
fields of regenerative medicine.  Principal activities to date
have included obtaining financing, securing operating facilities,
and conducting research and development.  The Company has no
therapeutic products currently available for sale and does not
expect to have any therapeutic products commercially available for
sale for a period of years, if at all.

At June 30, 2009, the Company had $6,431,749 in total assets,
including $918,575 in total current assets, against $78,661,772 in
total liabilities, including $72,472,134 in total current
liabilities, and $1,579,994 in Series A-1 redeemable convertible
preferred stock, $0.001 par value.  At June 30, 2009, the Company
had accumulated deficit of $138,254,284 and stockholders' deficit
of $73,810,017.

Advanced Cell warned in an August 2009 regulatory filing it may
not be able to continue as a going concern and fund cash
requirements for operations through the next 12 months with
current cash reserves.  The Company has losses from operations,
negative cash flows from operations, a substantial stockholders'
deficit and current liabilities exceed current assets.


AVINCI MEDIA: Net Loss Narrows to $1.3MM as Sales Increase
----------------------------------------------------------
Avinci Media Corporation reported a net loss of $1,263,478 for the
second quarter ended June 30, 2009, compared with a net loss of
$2,445,404 in the same period last year.

Total revenues increased $119,224, or 103% to $235,427 for the
three months ended June 30, 2009, as compared to $116,203 for the
same period in 2008.  The Company said the increase in revenue
during the three months ended June 30, 2009, over the same period
in 2008 is due to significant marketing efforts surrounding the
launch of aVinci products in Walgreen's stores through the United
States during the second quarter of 2009.

Total operating expense decreased $1,029,333, or 40.8%, to
$1,492,855 for the three months ended June 30, 2009, compared to
$2,522,188 for the same period in 2008.  Cost of goods sold
decreased $79,076.  Research and development expense decreased
$244,111.  Selling and marketing expense decreased $187,194.
General and administrative expense decreased $518,952.

At June 30, 2009, the Company's consolidated balance sheet showed
$1,430,979 in total assets, $796,063 in total liabilities, and
$634,916 in total stockholders' equity.

Full-text copies of the Company's consolidated financial
statements for the second quarter ended June 30, 2009, are
available for free at http://researcharchives.com/t/s?4670

                      Going Concern Doubt

Tanner LC, in Salt Lake City, Utah, expressed substantial doubt
about aVinci Media's ability to continue as a going concern after
auditing the Company's consolidated financial statements for the
year ended December 31, 2008.  The auditing firm said that the
Company has incurred negative cash flows from operating activities
and losses from operations and expects to incur additional losses.

                      About aVinci Media

Based in Draper, Utax, aVinci Media Corporation -
http://www.avincistudio.com/-- through its subsidiary, aVinci
Media, LC, deploys a software technology that employs "Automated
Multimedia Object Models," a patent-pending way of turning
consumer captured images, video, and audio into complete digital
files in the form of full-motion movies, DVD's, photo books,
posters and streaming media files.


BEARINGPOINT INC: Ernst & Young Resigns as Outside Accountants
--------------------------------------------------------------
The Board of Directors of BearingPoint, Inc., determined that,
effective as of September 29, 2009, following the completion of
the filing of the Company's Form 8 with the appropriate Japanese
authorities, the Company would no longer require the services of
its independent registered public accounting firm, Ernst & Young
LLP.  The services include those related to the Company's 401(k)
Plan, which was terminated effective as of September 30, 2009.

As a result, Ernst & Young notified the Company on September 29,
2009, that it resigned as the Company's and the Plan's independent
registered public accounting firm.

The Company has completed the sale of substantially all of its
businesses and assets to a number of parties and is pursuing the
sale of its remaining businesses and assets.  The sale
transactions will result in modification of the plan of
reorganization filed with the Bankruptcy Court on February 18,
2009, and in the liquidation of the Company's business and the
Company ceasing to operate as a going concern.

Because the Company has adopted "modified reporting" and due to
the proposed liquidation of the Company's business and the
termination of the Plan, the Board determined that the services of
an independent registered public accounting firm will no longer be
needed.

During the Company's fiscal years ended December 31, 2007, and
December 31, 2008, and through September 29, 2009, there were no
disagreements between the Company and Ernst & Young on any matter
of accounting principle or practice, financial statement
disclosure, or auditing scope or procedure that, if not resolved
to Ernst & Young's satisfaction, would have caused it to make
reference to the matter in connection with its report on the
Company's consolidated financial statements for the relevant year,
and there were no reportable events as defined in Item
304(a)(1)(v) of Regulation S-K, except that the Company disclosed
that material weaknesses existed in its internal control over
financial reporting for fiscal years 2007 and 2008.  The Company
has authorized Ernst & Young to respond fully to any inquiries of
its successor, if any, concerning the material weaknesses.

Ernst & Young's audit reports on the Company's consolidated
financial statements for the fiscal years ended December 31, 2007
and December 31, 2008, did not contain an adverse opinion or
disclaimer of opinion, nor were they qualified or modified as to
uncertainty, audit scope or accounting principles.  Ernst & Young
did, however, note in its report on the consolidated financial
statements for the fiscal year ended December 31, 2008 that the
financial statements were prepared assuming that the Company would
continue as a going concern and that uncertainties inherent in the
bankruptcy process raise substantial doubt about the Company's
ability to continue as a going concern.

During the Plan's fiscal years ended December 31, 2007, and
December 31, 2008, and through September 29, 2009, there were no
disagreements with Ernst & Young on any matter of accounting
principle or practice, financial statement disclosure, or auditing
scope or procedure with respect to the Plan that, if not resolved
to Ernst & Young's satisfaction, would have caused it to make
reference to the matter in connection with its report on the
Plan's consolidated financial statements for the relevant year,
and there were no reportable events as defined in Item
304(a)(1)(v) of Regulation S-K.  Furthermore, Ernst & Young's
audit reports on the Plan's consolidated financial statements for
the fiscal years ended December 31, 2007, and December 31, 2008,
did not contain an adverse opinion or disclaimer of opinion, nor
were they qualified or modified as to uncertainty, audit scope or
accounting principles.

                         About BearingPoint

BearingPoint, Inc. -- http://www.BearingPoint.com/-- was one of
the world's largest providers of management and technology
consulting services to Global 2000 companies and government
organizations in more than 60 countries worldwide.  Based in
McLean, Va., BearingPoint -- a former consulting arm of KPMG LLP -
- has roughly 15,000 employees focusing on the Public
Services, Commercial Services and Financial Services industries.
The Company's service offerings are designed to help clients
generate revenue, increase cost-effectiveness, manage regulatory
compliance, integrate information and transition to "next-
generation" technology.

BearingPoint, Inc., fka KPMG Consulting, Inc., together with its
units, filed for Chapter 11 protection on February 18, 2009
(Bankr. S.D.N.Y., Case No. 09-10691).  Alfredo R. Perez, Esq., at
Weil Gotshal & Manges LLP, in Houston; Marcia J. Goldstein, Esq.,
Ronit J. Berkovich, Esq., and Jose R. Alcantar, Esq., at Weil
Gotshal & Manges LLP, in New York, represent the Debtors as
restructuring counsel.  AlixPartners, LLP, is the Debtors'
restructuring advisors.  Greenhill & Co., LLC, is the Debtor's
financial advisor & investment banker.  Jeffrey S. Sabin, Esq., at
Bingham McCutchen LLP represents the Creditors' Committee as
counsel.

BearingPoint disclosed total assets of $1,762,689,000, and debts
of $2,231,839,000 as of September 30, 2008.


BIOCORAL INC: June 30 Balance Sheet Upside-Down by $3.8 Million
---------------------------------------------------------------
Bicoral, Inc., incurred a net loss of $139,257 for the second
quarter ended June 30, 2009, compared with a net loss of $149,159
in the corresponding period last year.

Net sales, which are solely attributable to the Company's wholly
owned French subsidiary, totaled approximately $112,700 for the
three months ended June 30, 2009, a decrease of approximately
$60,700 or 35%, from approximately $173,400 for the three months
ended June 30, 2008.  The Company said that the decrease is mainly
attributable to a decrease in sales of products in the
neurosurgery area in export during the second quarter 2009 and is
partially due to the fluctuating exchange rates between Euro and
US Dollar.

At June 30, 2009, the Company's consolidated balance sheet showed
$1,545,665 in total assets and $5,387,203 in total liabilities,
resulting in a $3,841,538 stockholders' deficit.

The Company's consolidated balance sheet at June 30, 2009, also
showed strained liquidity with $691,237 in total current assets
available to pay $2,156,267 in total current liabilities.

Full-text copies of the Company's quarterly report is available
for free at http://researcharchives.com/t/s?4676

                     Going Concern Doubt

Michael T. Studer CPA P.C., in Freeport, New York, expressed
substantial doubt about Biocoral's ability to continue as a going
concern after auditing the financial statements for the year ended
December 31, 2008.  The auditing firm pointed to the Company's net
losses, working capital deficiency and stockholders' deficit in
2008, 2007 and 2006.  Management believes that it is likely that
the Company will continue to incur net losses through at least
2009.

                    About Biocoral, Inc.

Based in La Garenne Colombes, France, Biocoral, Inc. was
incorporated under the laws of the State of Delaware on May 4,
1992.  Biocoral is a holding company that conducts its operations
primarily through its wholly-owned European subsidiaries.
The Company's operations consist primarily of research and
development and manufacturing and marketing of patented high
technology biomaterials, bone substitute materials made from
coral, and other orthopedic, oral and maxillo-facial products,
including products marketed under the trade name of Biocoral.

The Company has obtained regulatory approvals to market its
products throughout Europe, Canada and certain other countries.
The Company has not applied for the regulatory approvals needed to
market its products in the United States.


BLOCKBUSTER INC: Completes Sale of $675MM of 11.75% Senior Notes
----------------------------------------------------------------
Blockbuster Inc. on October 1, 2009, completed the sale of
$675 million aggregate principal amount of 11.75% senior secured
notes due 2014 at an issue price of 94.0%.  The Notes were sold to
qualified institutional buyers in accordance with Rule 144A, and
to persons outside the U.S. pursuant to Regulation S under the
Securities Act of 1933, as amended.  The Notes are senior secured
obligations and are guaranteed by the Company's domestic
subsidiaries.  The Notes and the guarantees are secured by first-
priority liens on substantially all of the Company's and the
guarantors' assets.

The Company used the net proceeds of the Notes to repay all
indebtedness outstanding under the Company's revolving credit
facility and Term Loan B and its revolving asset-based loan
facility in Canada, and to fund fees and expenses of the
transaction.  The Company plans to use the remaining net proceeds
for general corporate purposes.

The Notes were issued pursuant to an Indenture, dated as of
October 1, 2009, between the Company, the Guarantors and U.S. Bank
National Association, as trustee.

The Notes bear interest at a rate of 11.75 % and mature October 1,
2014. Interest on the Notes will be payable on January 1, April 1,
July 1, and October 1.

The Indenture limits the Company's ability and the ability of its
restricted subsidiaries to: incur additional indebtedness or issue
certain preferred shares; pay dividends on or make other
distributions in respect of the Company's capital stock or make
other restricted payments; create liens on certain assets to
secure debt; make certain investments; sell certain assets; make
capital expenditures; agree to certain restrictions on the ability
of restricted subsidiaries to make payments to the Company;
consolidate, merge, sell or otherwise dispose of all or
substantially all of the Company's assets; enter into sale and
leaseback transactions; enter into transactions with the Company's
affiliates; and designate the Company's subsidiaries as
Unrestricted Subsidiaries.  Certain of these limitations will be
suspended if the Notes receive a rating of "BBB-" or higher from
Standard & Poor's Rating Services (or its successors) and "Baa3"
or higher from Moody's Investors Service, Inc. (or its
successors), in each case, with a stable or better outlook.

Prior to October 1, 2014, the Company may redeem some or all of
the Notes at a redemption price equal to 100% of the principal
amount plus accrued and unpaid interest, if any, to the date of
redemption plus a "make-whole" premium.

In addition, at any time and from time to time, on or prior to
October 1, 2012, the Company may redeem up to 35% of the original
principal amount of the Notes with the net cash proceeds from
certain equity offerings at a redemption price equal to 111.75% of
the principal amount thereof, plus accrued and unpaid interest, if
any, to the date of redemption.

On each January 1, April 1, July 1, and October 1 commencing
January 1, 2010, the Company will be required to redeem 3.333% of
the aggregate original principal amount of the Notes at a
redemption price of 106% of the principal amount thereof, plus
accrued and unpaid interest, if any, to the applicable date of
redemption.  The mandatory redemption amount will be reduced by
3.333% of the principal amount of the Notes redeemed or
repurchased (other than pursuant to mandatory redemptions).

Upon the occurrence of a change of control (as defined in the
Indenture), any holder of Notes will have the right to require the
Company to repurchase all or any part of the Notes of such holder
at a purchase price in cash equal to 101% of the principal amount
thereof, plus accrued and unpaid interest, if any, to the date of
repurchase.

If more than $25.0 million of the aggregate principal amount of
the Company's 9% senior subordinated notes due 2012 are
outstanding on May 31, 2012, then holders of the Notes will have
the right to require the Company to repurchase all or any part of
their Notes at a purchase price in cash equal to 100% of their
principal amount, plus accrued and unpaid interest to the
repurchase date.  In addition, if for any fiscal year, commencing
with the fiscal year ending nearest December 31, 2009, the Company
has excess cash flow, the Company will be required within 120 days
after the end of such fiscal year to make an offer to repurchase
Notes from holders of the Notes, which offer shall be in an
aggregate amount equal to 50% of excess cash flow for such fiscal
year -- subject to reduction by a credit for Notes optionally
repurchased by the Company during such fiscal year -- at a
purchase price in cash equal to 100% of the principal amount of
the Notes, plus accrued and unpaid interest, if any, to the date
of purchase, in accordance with the procedures set forth in the
Indenture.

If the Company or its restricted subsidiaries sell assets
following the issue date under certain circumstances, the Company
will be required to use the net proceeds to make an offer to all
holders to purchase Notes, at an offer price in cash in an amount
equal to 100% of the principal amount of the Notes and such other
indebtedness, plus accrued and unpaid interest to the date of
purchase.

The Indenture contains customary events of default.  If an event
of default occurs and is continuing, the trustee or holders of at
least 25% in principal amount of the outstanding Notes may declare
the principal of premium, if any, and accrued and unpaid interest,
if any, on all the Notes to be due and payable immediately.
Certain events of bankruptcy or insolvency are events of default
which shall result in the Notes being due and payable immediately
upon the occurrence of such events of default.

The Notes were not registered under the Securities Act and, unless
so registered, may not be offered or sold in the United States
absent an applicable exemption from registration requirements.
This current report on Form 8-K is neither an offer to sell nor a
solicitation of an offer to buy the Notes or any other securities
and shall not constitute an offer, solicitation or sale in any
jurisdiction in which such offering, solicitation or sale would be
unlawful.

In connection with the sale of the Notes, on October 1, 2009, the
Company and the Guarantors entered into a Collateral Agreement
with U.S. Bank National Association, as collateral agent.
Pursuant to the Collateral Agreement, the Notes and the guarantees
are secured by a first-priority lien, subject to permitted liens,
on substantially all of the assets of the Company and the
Guarantors which secured the Company's credit agreement
immediately prior to the issue date of the Notes, including, but
not limited to, all accounts receivable, plant, property and
equipment (but excluding certain owned and all leased real
property), inventory, intangible assets and the capital stock of
any domestic subsidiary and certain foreign subsidiaries held by
the Company and any guarantor (but limited to 65% of the voting
stock of any such first-tier foreign subsidiary).

                         About Blockbuster

Blockbuster, Inc., headquartered in Dallas, Texas, is a leading
global provider of in-home movie and game entertainment with
roughly 7,400 stores throughout the Americas, Europe, Asia,
and Australia.  Revenues are about $5.3 billion.

As reported by the Troubled Company Reporter, Sept. 18, 2009,
Standard & Poor's Ratings Services raised its corporate credit
rating on Blockbuster to 'B-' from 'CCC'.  The outlook is stable.

The TCR on Oct. 6, 2009, said Moody's Investors Service upgraded
Blockbuster's long term ratings, including its probability of
default rating to 'Caa1' from 'Caa3' and its corporate family
rating to 'Caa1' from 'Caa2'.  The rating outlook is stable.


BLOCKBUSTER INC: JPMorgan Loan Converted to L/C Facility
--------------------------------------------------------
Blockbuster, Inc., reports that concurrently with the closing of
the sale of $675 million aggregate principal amount of 11.75%
senior secured notes due 2014 at an issue price of 94.0%, and the
repayment of the Company's revolving credit facility and Term
Loan B, the Company entered into a second amendment agreement to
its credit agreement, pursuant to which all liens securing the
credit facility were released, except for the cash collateral
securing outstanding letters of credit.

Pursuant to the Amendment, the credit agreement was converted to a
letter of credit facility.  The letters of credit outstanding
under the credit agreement remain outstanding but all financial
and substantially all negative covenants in the credit agreement
have been eliminated (although the credit agreement continues to
have customary covenants, events of default and other provisions
applicable to letter of credit facilities of this type).  The
existing letters of credit thereunder will continue to be secured
by cash collateral to the extent such letters of credit remain
outstanding.  All letters of credit under the Company's credit
agreement are currently scheduled to expire between August 13,
2010 and September 23, 2010, although the credit agreement
provides for the extension, amendment or renewal of certain of
such letters of credit.

   Issuing Bank                   Beneficiary            Amount
   ------------                   -----------            ------
   Wachovia Bank                  Viacom             $4,797,704
   Citicorp North America, Inc.   Viacom             $4,797,704
   JPMorgan Chase Bank, N.A.      Viacom            $14,393,114
   JPMorgan Chase Bank, N.A.      Ohio Bureau          $266,000
                                  of Workers'
                                  Compensation
   JPMorgan Chase Bank, N.A.      National Union    $29,825,107
                                  Fire Insurance
                                  Company of
                                  Pittsburgh, PA
   JPMorgan Chase Bank, N.A.      Travelers          $7,600,000
                                  Casualty and
                                  Surety
                                                   ------------
              Total                                 $61,679,630

In connection with the repayment of the revolving credit facility,
the Company paid the revolving lenders a fee of roughly
$1.5 million.

A full-text copy of the Second Amendment Agreement, dated as of
October 1, 2009, to the Amended and Restated Credit Agreement
dated as of August 20, 2004, among the Company, JPMorgan Chase
Bank, N.A., as administrative agent and issuing banks agent, and
the issuing banks party thereto, is available at no charge at
http://ResearchArchives.com/t/s?4675

                         About Blockbuster

Blockbuster, Inc., headquartered in Dallas, Texas, is a leading
global provider of in-home movie and game entertainment with
roughly 7,400 stores throughout the Americas, Europe, Asia, and
Australia.  Revenues are about $5.3 billion.

As reported by the Troubled Company Reporter, Sept. 18, 2009,
Standard & Poor's Ratings Services raised its corporate credit
rating on Blockbuster to 'B-' from 'CCC'.  The outlook is stable.

The TCR on Oct. 6, 2009, said Moody's Investors Service upgraded
Blockbuster's long term ratings, including its probability of
default rating to 'Caa1' from 'Caa3' and its corporate family
rating to 'Caa1' from 'Caa2'.  The rating outlook is stable.


BOMBARDIER INC: DBRS Confirms Issuer Rating at 'BB'
---------------------------------------------------
DBRS has confirmed the Issuer Rating and the Senior Unsecured
Debentures rating of Bombardier Inc. at BB with a Stable trend.
BBD's Preferred Shares are confirmed at Pfd-4 with a Stable trend.
The Company's business and financial risk profile was relatively
steady over the past year despite increasingly challenging
business aircraft industry conditions.  BBD is a leading global
aircraft and rail transportation equipment producer, with a well-
diversified revenue base evenly split between its aerospace (BA)
and comparatively stable transportation (BT) divisions, and
favourable liquidity.  However, the Company is exposed to highly-
cyclical end markets that have historically contributed to
financial volatility, and its balance sheet leverage is high.

BBD's earnings and cash flow are expected to decline over the near
term, but remain acceptable for its BB rating.  The Company's
operating performance peaked in F2009 at strong levels, but the
sharp deterioration in business aircraft industry demand that
commenced in late-calendar 2008, and relatively soft demand for
its commercial aircrafts are likely to pressure near-term
financial results.  BBD's business aircraft division has been the
key factor responsible for the growth in earnings over the past
several years.  However, the well-documented slowing in macro-
economic conditions and distressed credit market conditions mainly
contributed to materially lower business aircraft deliveries in H1
2010, lower selling prices and a high level of order
cancellations/deferrals that reduced BA's backlog.  Weaker than
expected results from BA remain a primary risk to near-term
earnings and cash flow, and a material recovery in demand is not
expected before calendar 2011.

DBRS notes that despite the challenges faced by the Company's BA
division, any downside to the ratings is unlikely over the near
term.  There are signs that business aircraft industry demand has
stabilized (albeit, at low levels), which should limit significant
deterioration in BA's operating results.  BBD continues to invest
in new business and commercial aircraft products in advance of an
eventual economic rebound and should be well positioned when
demand eventually improves.  While risks associated with the
production of the CSeries aircraft remain (i.e., competition, cost
overruns, demand), it is expected to be important to BBD's medium-
to long-term future and development is expected to continue as
planned.  In addition, BT, which is the leading manufacturer of
passenger rail equipment, has steadily improved margins from weak
levels in F2005, and the trend is likely to continue.  Efficiency
improvements, modestly growing end-market demand (with expected
benefits from recent government stimulus programs) and BT's strong
backlog are key earnings drivers that should help mitigate weaker
BA results.

BBD's leverage remains high for a manufacturing company.  The
Company generated a large net free cash flow deficit over the past
12 months to June 30, 2009, following positive free cash flow over
the past several years.  Large working capital uses were mainly
responsible, and restricted the Company's ability to reduce debt.
Adjusted debt-to-capital remains relatively aggressive in the
high-50% range (excluding BBD's underfunded pension position) at
July 31, 2009.  While key coverage ratios over the 12 months to
July 31, 2009 were favourable, they declined from peak F2009
levels and are expected to continue to modestly weaken over the
near term.  Furthermore, the underfunded position of BBD's pension
plan has increased since end-F2009 (to $1.8 billion at July 31,
2009) and is expected to continue to require large cash infusions.
However, debt repayment obligations are minimal until late-
calendar 2012, which reduces refinancing risk.  Furthermore,
liquidity is currently not an issue, given the Company's large
cash position and ample available credit that includes a recently
closed $500 million two-year revolving credit facility.  In the
event that business aircraft market conditions show signs of a
recovery, coverage ratios remain relatively in line with current
levels and adjusted debt-to-capital improves (closer to the low-
50% range) over the near term, DBRS would consider a positive
rating action.


BOOMERANG SYSTEMS: June 30 Balance Sheet Upside-Down by $2.7MM
--------------------------------------------------------------
Boomerang Systems, Inc., reported a net loss of $1,646,266 on zero
revenues for the third quarter ended June 30, 2009, compared with
a net loss of $1,103,291 on total revenues of $376,698 in the
corresponding period ended June 30, 2008.

At June 30, 2009, the Company's consolidated balance sheet showed
$1,825,217 in total assets and $4,503,812 in total liabilities,
resulting in a $2,678,595 stockholders' deficit.

The Company's consolidated balance sheet at June 30, 2009, also
showed strained liquidity with $1,553,234 in total current assets
available to pay $3,078,244 in total current liabilities.

Full-text copies of the Company's consolidated financial
statements for the third quarter ended June 30, 2009, are
available for free at http://researcharchives.com/t/s?466d

                      Going Concern Doubt

As reported in the TCR on January 15, 2009, Liebman Goldberg &
Drogin, LLP, in Garden City, New York, in a letter dated
January 5, 2009, to the Audit Committee of Boomerang Systems,
expressed substantial doubt about the Company's ability to
continue as a going concern.  The auditing firm, which audited
financial statements for fiscal year ended Sept. 30, 2008, noted
that the Company has no material revenues, has suffered recurring
losses from operations and has a net capital deficiency.

                      About Boomerang Systems

Based in Morristown, New Jersey, Boomerang Systems, Inc., through
its wholly owned subsidiary, Boomerang Utah, which it acquired in
February 2008, is engaged in the design, development, and
marketing of automated racking and retrieval systems for
automobile parking and automated racking and retrieval of
containerized self-storage units.


BUILDING MATERIALS: Court OKs $400,000 Settlement With Laborers
---------------------------------------------------------------
Jacob Adelman at The Associated Press reports that Bankruptcy
Judge Kevin Carey has approved Building Materials Holding
Corporation's settlement with a group of construction workers from
California, Arizona, and Nevada.

According to The AP, the workers lawyers said Building Materials
has agreed to pay their clients almost $475,000.  Eve Cervantez,
one of the lawyers said that a $244,000 settlement will be shared
among 85 workers who accused Building Materials and several
subsidiaries of withholding workers' overtime and other wage
payments in a lawsuit filed in 2008, while another $231,000 would
go toward legal fees, The AP states.

The AP, citing Ms. Cervantez, states that 11 additional workers
opted out of the settlement and still have claims pending in
bankruptcy court.

Building Materials Holding Corporation -- http://www.bmhc.com/--
is one of the largest providers of building materials and
residential construction services in the United States.  BMHC
serves the homebuilding industry through two recognized brands: as
BMC West, it distributes building materials and manufacture
building components for professional builders and contractors in
the western and southern states; as SelectBuild, it provides
construction services to high-volume production homebuilders in
key markets across the country.

BMHC and 11 affiliates filed for bankruptcy on June 16, 2009
(Bankr. D. Del. Lead Case No. 09-12074).  Judge Kevin J. Carey
handles the case.  Michael A. Rosenthal, Esq., and Matthew K.
Kelsey, Esq., at Gibson, Dunn & Crutcher LLP; and Sean M. Beach,
Esq., at Young Conaway Stargatt & Taylor, LLP, serve as bankruptcy
counsel.  Paul Croci, at Peter J. Solomon Company, serves as
financial advisor.  Joseph Spano at Alvarez & Marsal North
America, LLC, serves as restructuring advisor.  The Debtors' tax
consultant is KPMG LLP; tax advisor is PricewaterhouseCoopers LLP;
and claims and notice agent is The Garden City Group, Inc.
As of March 31, 2009, the Debtors had total assets of $480,148,000
and total debts of $481,314,000.


BUILDING MATERIALS: Creditors Balk at Amended Plan Outline
----------------------------------------------------------
Law360 reports that the creditors committee is objecting to a
disclosure statement filed by Building Materials Holding Corp.,
saying it does not have enough time to review the document.  But
the debtors have countered that the creditors are simply unhappy
with the lesser distribution they will receive and are trying to
delay the proceedings.

                      About Building Materials

Building Materials Holding Corporation -- http://www.bmhc.com/--
is one of the largest providers of building materials and
residential construction services in the United States.  BMHC
serves the homebuilding industry through two recognized brands: as
BMC West, it distributes building materials and manufacture
building components for professional builders and contractors in
the western and southern states; as SelectBuild, it provides
construction services to high-volume production homebuilders in
key markets across the country.

BMHC and 11 affiliates filed for bankruptcy on June 16, 2009
(Bankr. D. Del. Lead Case No. 09-12074).  Judge Kevin J. Carey
handles the case.  Michael A. Rosenthal, Esq., and Matthew K.
Kelsey, Esq., at Gibson, Dunn & Crutcher LLP; and Sean M. Beach,
Esq., at Young Conaway Stargatt & Taylor, LLP, serve as bankruptcy
counsel.  Paul Croci, at Peter J. Solomon Company, serves as
financial advisor.  Joseph Spano at Alvarez & Marsal North
America, LLC, serves as restructuring advisor.  The Debtors' tax
consultant is KPMG LLP; tax advisor is PricewaterhouseCoopers LLP;
and claims and notice agent is The Garden City Group, Inc.
As of March 31, 2009, the Debtors had total assets of $480,148,000
and total debts of $481,314,000.


CANWEST GLOBAL: Voluntary Chapter 15 Case Summary
-------------------------------------------------
Chapter 15 Petitioner: Canwest Global Communications Corp.

Chapter 15 Debtor: Canwest Global Communications Corp.
                   Canwest Place
                   201 Portage Avenue, 31st Floor
                   Winnipe Manltoba R3B 3L7

Chapter 15 Case No.: 09-15994

Debtor-affiliates filing separate Chapter 15 petitions:

    Entities                         Case No.
    --------                         --------
Canwest Global Broadcasting Inc./    09-15997
Radiodiffusion
Canwest Global Corp.

Canwest Media Inc.                   09-15998

Canwest Television GP Inc.           09-15996

4501063 Canada Inc.                  09-15999

Type of Business: Canwest Global Communications Corp. (TSX: CGS
                  and CGS.A,) an international media company, is
                  Canada's largest media company.  In addition to
                  owning the Global Television Network, Canwest is
                  Canada's largest publisher of English language
                  daily newspapers and owns, operates and holds
                  substantial interests in conventional
                  television, out-of-home advertising, specialty
                  cable channels, web sites and radio stations and
                  networks in Canada, New Zealand, Australia,
                  Turkey,Indonesia, Singapore, the United Kingdom
                  and the United States.

                  See http://www.canwest.com/

Chapter 15 Petition Date: October 6, 2009

Court: Southern District of New York (Manhattan)

Judge: Stuart M. Bernstein

Chapter 15 Petitioner's Counsel: Evan D. Flaschen, Esq.
                                 Bracewell & Giuliani LLP
                                 225 Asylum Street, Suite 2600
                                 Hartford, CT 06103
                                 Tel: (860) 256-8537
                                 Fax: (860) 246-3201
                                 Email: evan.flaschen@bgllp.com

Estimated Assets: $500 million to $1 billion

Estimated Debts: $50 million to $100 million


CHRYSLER LLC: Amends Transition Services Pact With Chrysler Group
-----------------------------------------------------------------
Old Carco LLC, formerly known as Chrysler LLC, is a party to the
Transition Services Agreement, dated as of June 10, 2009, with
Chrysler Group LLC, formerly known as New CarCo Acquisition LLC,
which sets forth the terms and conditions of certain transition
services to be shared and provided between Old Carco and New
Chrysler.

The TSA is included as Exhibit L in the Master Transaction
Agreement between Old Carco and New Chrysler, dated as of
April 30, 2009, in connection with the sale of the Debtors assets
to Fiat S.p.A.

The Parties desire to amend the TSA pursuant to the terms and
conditions of Amendment No. 1 to Transition Services Agreement,
dated as of October 1, 2009, a copy of which is available for free
at http://bankrupt.com/misc/Chrysler_TSA_Amendment1_100109.pdf

Pursuant to the TSA Amendment:

  (a) the "license termination date" on Exhibit C of the TSA for
      Newark is amended to extend the date until October 31,
      2009; and

  (b) without limiting any rights, obligations or remedies of
      any parties to the TSA, at any time on or before
      December 31, 2009, all obligations of New Chrysler with
      respect to the Newark facility, or any portion thereof,
      including the obligations for Phase-Out and Deactivation,
      the remedies contained in Section 7.5 of the TSA or to
      otherwise comply with Sections 7.2 and 7.8 of the TSA,
      will be assignable by Old Carco and inure to the benefit
      of any future owner of Newark without the consent of New
      Chrysler, upon written notice to New Chrysler.

The Parties subsequently entered into a stipulation authorizing
Old Carco to enter into the TSA Amendment, and approving TSA
Amendment.

                      About Chrysler LLC

Chrysler Group LLC, formed in 2009 from a global strategic
alliance with Fiat Group, produces Chrysler, Jeep(R), Dodge,
Mopar(R) and Global Electric Motors (GEM) brand vehicles and
products.  With the resources, technology and worldwide
distribution network required to compete on a global scale, the
alliance builds on Chrysler's culture of innovation -- first
established by Walter P. Chrysler in 1925 -- and Fiat's
complementary technology -- from a company whose heritage dates
back to 1899.

Headquartered in Auburn Hills, Michigan, Chrysler Group LLC's
product lineup features some of the world's most recognizable
vehicles, including the Chrysler 300, Jeep Wrangler and Dodge Ram.
Fiat will contribute world-class technology, platforms and
powertrains for small- and medium-sized cars, allowing Chrysler
Group to offer an expanded product line including environmentally
friendly vehicles.

Chrysler LLC and 24 affiliates on April 30 sought Chapter 11
protection from creditors (Bankr. S.D.N.Y (Mega-case), Lead Case
No. 09-50002).  Chrysler hired Jones Day, as lead counsel; Togut
Segal & Segal LLP, as conflicts counsel; Capstone Advisory Group
LLC, and Greenhill & Co. LLC, for financial advisory services; and
Epiq Bankruptcy Solutions LLC, as its claims agent.  Chrysler has
changed its corporate name to Old CarCo following its sale to a
Fiat-owned company.  As of December 31, 2008, Chrysler had
$39,336,000,000 in assets and $55,233,000,000 in debts.  Chrysler
had $1.9 billion in cash at that time.

In connection with the bankruptcy filing, Chrysler reached an
agreement with Fiat SpA, the U.S. and Canadian governments and
other key constituents regarding a transaction under Section 363
of the Bankruptcy Code that would effect an alliance between
Chrysler and Italian automobile manufacturer Fiat.  Under the
terms approved by the Bankruptcy Court, the company formerly known
as Chrysler LLC on June 10, 2009, formally sold substantially all
of its assets, without certain debts and liabilities, to a new
company that will operate as Chrysler Group LLC.  Fiat has a 20
percent equity interest in Chrysler Group.

Bankruptcy Creditors' Service, Inc., publishes Chrysler Bankruptcy
News.  The newsletter tracks the Chapter 11 proceedings of
Chrysler LLC and its debtor-affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


CHRYSLER LLC: Extends Scope of Cahill Gordon Work
-------------------------------------------------
Old CarCo LLC and its affiliates submitted to the Bankruptcy Court
an application to extend the scope of Cahill Gordon & Reindel
LLP's employment as the special counsel of three independent
members of Chrysler LLC's board of managers.  The Debtors expect
to include Cahill's representation in discrete matters in the
chapter 11 cases in Cahill's services.

Joel H. Levitin, Esq., a member of Cahill, relates that since the
time of Cahill's retention, all but one of the members of the
Board have resigned, leaving James N. Chapman, one of the
Independent Managers, as the sole manager, and the Debtors have
only one remaining employee, Ronald E. Kolka, the chief executive
officer.

Jones Day, which has been serving as general bankruptcy counsel to
the Debtors, recently asked that the Debtors consent to Jones
Day's engagement by New Chrysler with respect to executive
compensation and employee benefits matters, financing matters,
dealer matters, and board of director matters that are not adverse
to the Debtors.

However, according to Mr. Levitin, Messrs. Chapman and Kolka
informed Jones Day that they consent on behalf of the Debtors to
Jones Day's representation of New Chrysler in matters unrelated to
the Debtors, provided that the Debtors are permitted to rely on
Cahill to represent the Debtors as their board and management may
deem appropriate, including with respect to matters in which New
Chrysler may have an interest.

The board and management believe that it is necessary for them to
be able to rely on Cahill to represent the Debtors in certain
discrete circumstances, Mr. Levitin tells the Court.

The Court will consider the application on October 22, 2009.

                      About Chrysler LLC

Chrysler Group LLC, formed in 2009 from a global strategic
alliance with Fiat Group, produces Chrysler, Jeep(R), Dodge,
Mopar(R) and Global Electric Motors (GEM) brand vehicles and
products.  With the resources, technology and worldwide
distribution network required to compete on a global scale, the
alliance builds on Chrysler's culture of innovation -- first
established by Walter P. Chrysler in 1925 -- and Fiat's
complementary technology -- from a company whose heritage dates
back to 1899.

Headquartered in Auburn Hills, Michigan, Chrysler Group LLC's
product lineup features some of the world's most recognizable
vehicles, including the Chrysler 300, Jeep Wrangler and Dodge Ram.
Fiat will contribute world-class technology, platforms and
powertrains for small- and medium-sized cars, allowing Chrysler
Group to offer an expanded product line including environmentally
friendly vehicles.

Chrysler LLC and 24 affiliates on April 30 sought Chapter 11
protection from creditors (Bankr. S.D.N.Y (Mega-case), Lead Case
No. 09-50002).  Chrysler hired Jones Day, as lead counsel; Togut
Segal & Segal LLP, as conflicts counsel; Capstone Advisory Group
LLC, and Greenhill & Co. LLC, for financial advisory services; and
Epiq Bankruptcy Solutions LLC, as its claims agent.  Chrysler has
changed its corporate name to Old CarCo following its sale to a
Fiat-owned company.  As of December 31, 2008, Chrysler had
$39,336,000,000 in assets and $55,233,000,000 in debts.  Chrysler
had $1.9 billion in cash at that time.

In connection with the bankruptcy filing, Chrysler reached an
agreement with Fiat SpA, the U.S. and Canadian governments and
other key constituents regarding a transaction under Section 363
of the Bankruptcy Code that would effect an alliance between
Chrysler and Italian automobile manufacturer Fiat.  Under the
terms approved by the Bankruptcy Court, the company formerly known
as Chrysler LLC on June 10, 2009, formally sold substantially all
of its assets, without certain debts and liabilities, to a new
company that will operate as Chrysler Group LLC.  Fiat has a 20
percent equity interest in Chrysler Group.

Bankruptcy Creditors' Service, Inc., publishes Chrysler Bankruptcy
News.  The newsletter tracks the Chapter 11 proceedings of
Chrysler LLC and its debtor-affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


CHRYSLER LLC: Jones Day Charges $20.4MM for May to August
---------------------------------------------------------
Professionals retained in connection with Old CarCo LLC's
bankruptcy cases filed applications for payment of fees and
reimbursement of expenses for the specified period:

Professional        Applicable Period           Fees   Expenses
------------        -----------------           ----   --------
Jones Day           April 30 to Aug. 31,  $20,474,318   $990,916
                           2009

Greenhill & Co.     April 30 to Aug. 31,    1,000,000    150,317
LLC                        2009

Cahill Gordon &      May 1 to Aug. 31,        398,753     11,113
Reindell LLP               2009

Kramer Levin             Aug. 2009            447,026     15,961
Naftalis &
Frankel LLP

Capstone Advisory   April 30 to Aug. 31,    4,586,604    392,801
Group LLC                  2009

The Court will hear certain of the fee applications on October 22,
2009.

                      About Chrysler LLC

Chrysler Group LLC, formed in 2009 from a global strategic
alliance with Fiat Group, produces Chrysler, Jeep(R), Dodge,
Mopar(R) and Global Electric Motors (GEM) brand vehicles and
products.  With the resources, technology and worldwide
distribution network required to compete on a global scale, the
alliance builds on Chrysler's culture of innovation -- first
established by Walter P. Chrysler in 1925 -- and Fiat's
complementary technology -- from a company whose heritage dates
back to 1899.

Headquartered in Auburn Hills, Michigan, Chrysler Group LLC's
product lineup features some of the world's most recognizable
vehicles, including the Chrysler 300, Jeep Wrangler and Dodge Ram.
Fiat will contribute world-class technology, platforms and
powertrains for small- and medium-sized cars, allowing Chrysler
Group to offer an expanded product line including environmentally
friendly vehicles.

Chrysler LLC and 24 affiliates on April 30 sought Chapter 11
protection from creditors (Bankr. S.D.N.Y (Mega-case), Lead Case
No. 09-50002).  Chrysler hired Jones Day, as lead counsel; Togut
Segal & Segal LLP, as conflicts counsel; Capstone Advisory Group
LLC, and Greenhill & Co. LLC, for financial advisory services; and
Epiq Bankruptcy Solutions LLC, as its claims agent.  Chrysler has
changed its corporate name to Old CarCo following its sale to a
Fiat-owned company.  As of December 31, 2008, Chrysler had
$39,336,000,000 in assets and $55,233,000,000 in debts.  Chrysler
had $1.9 billion in cash at that time.

In connection with the bankruptcy filing, Chrysler reached an
agreement with Fiat SpA, the U.S. and Canadian governments and
other key constituents regarding a transaction under Section 363
of the Bankruptcy Code that would effect an alliance between
Chrysler and Italian automobile manufacturer Fiat.  Under the
terms approved by the Bankruptcy Court, the company formerly known
as Chrysler LLC on June 10, 2009, formally sold substantially all
of its assets, without certain debts and liabilities, to a new
company that will operate as Chrysler Group LLC.  Fiat has a 20
percent equity interest in Chrysler Group.

Bankruptcy Creditors' Service, Inc., publishes Chrysler Bankruptcy
News.  The newsletter tracks the Chapter 11 proceedings of
Chrysler LLC and its debtor-affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


CHRYSLER LLC: Proposes Indiana Tax Claims Settlement
----------------------------------------------------
Old Carco LLC, formerly Chrysler LLC, and its units ask the
Bankruptcy Court to approve an agreement settling the claims filed
by the Office of the Secretary of State, Securities Division,
Indiana, against the Debtors in a prepetition state administrative
proceeding related to a certain tax increment revenue bond issued
to the Debtors and since transferred to New Chrysler.

Corinne Ball, Esq., at Jones Day, in New York, relates that the
Settlement will result in the dismissal of the Administrative
Proceeding with prejudice and the release of the Claims in
exchange for an allowed general unsecured non-priority claim in
favor of the Indiana Secretary of State for $50,000 and the
release of the Bond by its holder, New Chrysler, to the
appropriate authorities.

Documentation of the Settlement includes: (a) a Consent Agreement
and Order between the Debtors and the Indiana Secretary of State;
(b) a Release of Claims by the Debtors, (ii) New Chrysler and
(iii) various government entities in Tipton County, Indiana,
including Tipton County itself, the Tipton County Redevelopment
Commission, Tipton County Economic Development Foundation, Inc.,
the Tipton County Board of Commissioners and the Tipton County
Council; and (c) a letter agreement by New Chrysler to the
Debtors.

Copies of the Documentation are available for free at:

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

Specifically, the Consent Agreement provides that:

  * the Debtors waive their rights to a hearing and appeal;

  * the Debtors agree that Indiana will have a prepetition
    general unsecured nonpriority claim for $50,000 in
    the Debtors' Chapter 11 cases for settlement purposes;

  * the Consent Agreement is contingent upon the return of the
    Bonds to Tipton County, Indiana;

  * the Debtors agree not to violate the Indiana Uniform
    Securities Act in the future; and

  * Indiana will file a motion to dismiss with prejudice upon
    the Parties' execution and approval of the Consent Agreement
    and Order.

The Debtors' failure to adhere to the terms of the Consent
Agreement will constitute grounds for administrative action.

Ms. Ball further relates that the Consent Agreement is executed in
the public interest to avoid the necessity and burden of a public
hearing and liquidation in the Bankruptcy Court.  However, it does
not constitute a finding against the Debtors of any violation of
the Indiana Securities Act and merely reflects the Parties' desire
to resolve the matter.

The Consent Agreement is expressly subject to the approval of the
Securities Commissioner and the Bankruptcy Court, Ms. Ball notes.
She says that should the Commissioner or the Bankruptcy Court fail
or refuse, for any reason, to approve the Consent Agreement, it
will be of no force or effect and it will not be admissible into
evidence nor referred to any hearing.

                      About Chrysler LLC

Chrysler Group LLC, formed in 2009 from a global strategic
alliance with Fiat Group, produces Chrysler, Jeep(R), Dodge,
Mopar(R) and Global Electric Motors (GEM) brand vehicles and
products.  With the resources, technology and worldwide
distribution network required to compete on a global scale, the
alliance builds on Chrysler's culture of innovation -- first
established by Walter P. Chrysler in 1925 -- and Fiat's
complementary technology -- from a company whose heritage dates
back to 1899.

Headquartered in Auburn Hills, Michigan, Chrysler Group LLC's
product lineup features some of the world's most recognizable
vehicles, including the Chrysler 300, Jeep Wrangler and Dodge Ram.
Fiat will contribute world-class technology, platforms and
powertrains for small- and medium-sized cars, allowing Chrysler
Group to offer an expanded product line including environmentally
friendly vehicles.

Chrysler LLC and 24 affiliates on April 30 sought Chapter 11
protection from creditors (Bankr. S.D.N.Y (Mega-case), Lead Case
No. 09-50002).  Chrysler hired Jones Day, as lead counsel; Togut
Segal & Segal LLP, as conflicts counsel; Capstone Advisory Group
LLC, and Greenhill & Co. LLC, for financial advisory services; and
Epiq Bankruptcy Solutions LLC, as its claims agent.  Chrysler has
changed its corporate name to Old CarCo following its sale to a
Fiat-owned company.  As of December 31, 2008, Chrysler had
$39,336,000,000 in assets and $55,233,000,000 in debts.  Chrysler
had $1.9 billion in cash at that time.

In connection with the bankruptcy filing, Chrysler reached an
agreement with Fiat SpA, the U.S. and Canadian governments and
other key constituents regarding a transaction under Section 363
of the Bankruptcy Code that would effect an alliance between
Chrysler and Italian automobile manufacturer Fiat.  Under the
terms approved by the Bankruptcy Court, the company formerly known
as Chrysler LLC on June 10, 2009, formally sold substantially all
of its assets, without certain debts and liabilities, to a new
company that will operate as Chrysler Group LLC.  Fiat has a 20
percent equity interest in Chrysler Group.

Bankruptcy Creditors' Service, Inc., publishes Chrysler Bankruptcy
News.  The newsletter tracks the Chapter 11 proceedings of
Chrysler LLC and its debtor-affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


CINCINNATI BELL: Sells $500 Mil. of 8.25% Senior Notes Due 2017
---------------------------------------------------------------
Cincinnati Bell Inc. on October 5, 2009, issued and sold
$500,000,000 aggregate principal amount of its 8.25% Senior Notes
due 2017.

In connection with the issuance and sale of the Notes, the Company
and certain of its subsidiaries entered into an underwriting
agreement dated as of September 30, 2009, with Morgan Stanley &
Co. Incorporated, Banc of America Securities LLC, Barclays Capital
Inc., Deutsche Bank Securities Inc. and RBS Securities Inc., as
representatives for the several underwriters.  Delivery of the
Notes was made under the Underwriting Agreement on October 5,
2009.

The Underwriters or their affiliates have from time to time
provided or may in the future provide investment banking,
commercial banking and financial advisory services to the Company,
for which they have received or will receive customary
compensation.

In connection with the issuance and sale of the Notes, the
Company and the Guarantors entered into an indenture dated as of
October 5, 2009, by and among the Company, the Guarantors and The
Bank of New York Mellon, as trustee.

The terms of the Notes are governed by the Indenture.  The Notes
will mature on October 15, 2017.  Interest on the Notes accrues at
the rate of 8.25% per annum, payable semiannually in cash in
arrears on each April 15 and October 15, commencing on April 15,
2010.  The Notes are jointly and severally guaranteed on an
unsecured senior basis by the Guarantors and each of the Company's
current and future restricted subsidiaries that becomes a
guarantor under its credit facility.  The Notes are unsecured
senior obligations of the Company, rank equally with all of its
existing and future senior indebtedness and rank senior to all of
its existing and future subordinated indebtedness.

The Company, at its option, may redeem the Notes in whole or in
part prior to October 15, 2013, by paying 100% of the principal
amount of the Notes, together with accrued and unpaid interest, if
any, plus a "make whole" premium.  The Company may also redeem
some or all of the Notes on or after October 15, 2013, at the
redemption prices set forth in the Notes, plus accrued and unpaid
interest, if any.

In addition, until October 15, 2013 and subject to certain
conditions, the Company may, at its option, redeem up to 35% of
the 2015 Notes at the redemption price set forth in the Indenture
with the proceeds of certain equity offerings by the Company.

The Indenture contains certain covenants that, subject to a number
of important exceptions and qualifications, limit, among other
things, the Company's ability and the ability of its restricted
subsidiaries to incur additional indebtedness or issue preferred
stock, create liens, make investments, enter into transactions
with affiliates, sell assets, guarantee indebtedness, declare or
pay dividends or other distributions to shareholders, repurchase
equity interests, redeem debt that is junior in right of payment
to the Notes, enter into agreements that restrict dividends or
other payments from subsidiaries, issue or sell capital stock of
certain of its subsidiaries, and consolidate, merge or transfer
all or substantially all of the Company's assets and the assets of
its subsidiaries on a consolidated basis.  In addition, if the
Company experiences specific kinds of changes in control, holders
of the Notes will have the right to require the Company to
purchase their Notes, in whole or in part, at a price equal to
101% of the principal amount, together with any accrued and unpaid
interest to the date of such purchase.

On October 5, the Company delivered a notice to The Bank of New
York Mellon, as trustee, under the Indenture dated as of July 11,
2003, among the Company, the subsidiary guarantors party thereto
and the Trustee, governing the Company's 7-1/4% Senior Notes
due 2013, notifying the Trustee of its election to redeem on
November 4, 2009, all of the outstanding 2013 Notes, at a
redemption price of 102.417% of the principal amount of the 2013
Notes together with accrued and unpaid interest to the Redemption
Date and instructing the Trustee to provide notice of the
Redemption to holders of the 2013 Notes.  The Redemption will be
made pursuant to the terms of the 2003 Indenture and will be made
with a portion of the net proceeds of the issuance and sale of
$500,000,000 aggregate principal amount of the Company's 8.25%
Senior Notes due 2017.

                       About Cincinnati Bell

Headquartered in Cincinnati, Ohio, Cincinnati Bell Inc. (NYSE:
CBB) -- http://www.cincinnatibell.com/-- provides integrated
communications solutions-including local, long distance, data,
Internet, and wireless services.  In addition, the Company
provides office communications systems as well as complex
information technology solutions including data center and managed
services.  Cincinnati Bell conducts its operations through three
business segments: Wireline, Wireless, and Technology Solutions.

As of June 30, 2009, Cincinnati Bell had $2.00 billion in total
assets and $2.63 billion in total liabilities, resulting in a
$623.7 million in shareowners' deficit.

                           *     *     *

As reported by the Troubled Company Reporter on October 2, 2009,
Fitch Ratings has assigned a 'BB-/RR3' rating to Cincinnati Bell's
proposed offering of $500 million of senior unsecured notes due
2017.  The company's Issuer Default Rating is 'B+'.  The Rating
Outlook is Stable.

Standard & Poor's Ratings Services assigned a 'B+' issue-level and
a '3' recovery rating to Cincinnati Bell's $500 million senior
notes due 2017.  The '3' recovery rating indicates expectations
for meaningful (50%-70%) recovery in the event of a payment
default.  In addition, S&P affirmed all ratings on CBI, including
the 'B+' corporate credit rating.  The outlook is stable.

Moody's Investors Service assigned a Ba3 rating to Cincinnati
Bell's $500 million senior unsecured notes offering.  Moody's
notes that the company has been addressing its debt maturities
over the past two years, and in the future is likely to take out
more debt coming due over the intermediate term.


CIT GROUP: Goldman Loan Built as Return Swap to Avoid Bankr. Stay
-----------------------------------------------------------------
Rolfe Winkler at Derivatives Week reports that Goldman Sachs Group
Inc. has structured its $3 billion loan to CIT Group as a total
return swap to avoid an automatic stay in bankruptcy.

Joe Bel Bruno and Kate Haywood at Dow Jones Newswires relate that
Goldman Sachs said on Monday that it was in talks to potentially
amend the terms of a $3 billion loan to CIT.  Goldman Sachs
extended $3 billion in funding to CIT in June 2008, in a 20-year
agreement put in place as the credit markets froze.  The contract
calls for CIT to pay Goldman Sachs 2.85% of the maximum amount
lent, which would come to $85.5 million annually for the first 10
years of the agreement.  CIT would be required to pay $1 billion
if it were to file for bankruptcy.

Goldman Sachs said in an internal memo that the financing for CIT
required the bank to "establish long-term funding" of its own,
which it is obligated to pay even if the CIT facility is paid off
early or CIT files for bankruptcy.  The $1 billion payment is
"designed to cover Goldman Sachs in such an event, according to
Goldman Sachs' memo.

Citing people familiar with the matter, Dow Jones relates that CIT
is looking at some options that would trim the $1 billion payment.

CreditSights said that CIT has limited time to restructure.

                        Restructuring Plan

CIT Group, on July 29, 2009, entered into a credit agreement,
with Barclays Bank PLC, as administrative agent and collateral
agent, and the lenders party thereto, for loans of up to
$3 billion.  In connection with the credit agreement, CIT Group
was required to adopt a restructuring plan acceptable by lenders
starting October 1, 2009.

CIT Group on October 1 announced that it has commenced a
restructuring of its capital structure that has been approved by
the Company's Board of Directors and by the Steering Committee of
CIT's bondholders.  The announcement is an important step in a
comprehensive restructuring plan to enhance CIT's capital levels,
improve its liquidity and return the Company to profitability.

Under the plan, CIT Group Inc. and CIT Group Funding Company of
Delaware LLC (Delaware Funding) are launching exchange offers for
certain unsecured notes.  The Company said that if it does not
achieve the objectives of the exchange offers, it may decide to
initiate a voluntary filing under Chapter 11 of the U.S.
Bankruptcy Code.

Therefore, the Company is concurrently soliciting bondholders and
other holders of CIT debt to approve a prepackaged plan of
reorganization.  The Company has been informed by advisors to the
Steering Committee that, subject to review of the offering
memorandum, approximately $10 billion of outstanding unsecured
indebtedness have already indicated their intention to participate
in the exchange offer or vote for the prepackaged plan of
reorganization.

                         About CIT Group

CIT Group Inc. (NYSE: CIT) -- http://www.cit.com/-- is a bank
holding company with more than $60 billion in finance and leasing
assets that provides financial products and advisory services to
small and middle market businesses.  Operating in more than 50
countries across 30 industries, CIT provides an unparalleled
combination of relationship, intellectual and financial capital to
its customers worldwide.  CIT maintains leadership positions in
small business and middle market lending, retail finance,
aerospace, equipment and rail leasing, and vendor finance.
Founded in 1908 and headquartered in New York City, CIT is a
member of the Fortune 500.

As of June 30, 2009, CIT Group had total assets of $71,019,200,000
against total debts of $64,901,200,000.


CITGO PETROLEUM: Alky Unit Return Postponed by 2 Weeks
------------------------------------------------------
Citgo Petroleum Corp has moved back by two weeks the restart date
for a fire-damaged alkylation unit at its Corpus Christi, Texas,
refinery because of union complaints about safety, sources
familiar with refinery operations, Erwin Seba at Reuters reports.

As reported in the Troubled Company Reporter-Latin America on
October 6, 2009, Reuters said that the campaign by the union and
environmental groups to stop the use of hydrogen fluoride was said
by the sources to be the reason for Citgo's push to get the
alkylation unit back on line.  The report relates the Company
fears a regulator may stop a shut hydrogen fluoride alkylation
unit's return to operation.  Reuters recalled that Citgo
Petroleum's alkylation unit was shuttered following a July 19
morning fire at its 163,000 barrel per day (bpd) Corpus Christi,
Texas, refinery.

According to Reuters, the United Steelworkers union warned U.S.
Occupational Safety and Health Administration and Citgo that
meeting a planned October 18-19 restart target for the alky unit
would require bypassing work on several systems and possibly
overlook damage on the unit from a July 19 explosion and fire that
severely injured a worker.  The report relates Citgo said that
repairs are being done in compliance with corporate and industry
standards along with government regulations.

                   About Citgo Petroleum

Headquartered in Houston, Texas, Citgo Petroleum Corp. --
http://www.citgo.com/-- is owned by PDV America, an indirect,
wholly owned subsidiary of Petroleos de Venezuela S.A., the
state-owned oil company of Venezuela.

                           *     *     *

As reported in the Troubled Company Reporter on June 5, 2009,
Fitch Ratings affirmed the current ratings of CITGO Petroleum
Corporation but revised the company's Outlook to Negative from
Stable.

Fitch affirmed these ratings for CITGO:

  -- Issuer Default Rating at 'BB-';
  -- Senior Secured Credit Facility at 'BBB-';
  -- Secured Term Loan at 'BBB-';
  -- Fixed-Rate Industrial Revenue Bonds at 'BBB-'.


COATES INT'L: June 30 Balance Sheet Upside-Down by $143,600
-----------------------------------------------------------
Coates International, Ltd., reported net income of $744,121 for
the second quarter ended June 30, 2009, compared with net income
of $80,500 in the corresponding period last year.

Revenue from research and development was approximately $475,000
and $700,000 in 2009 and 2008, respectively.  The revenue from
research and development was comprised of non-refundable partial
payments of the Release Payment provided for by the Company's
escrow agreement with Well to Wire Energy, Inc., established in
connection with its licensing and research and development
agreements.

In the second quarter of 2009, the Company repurchased the
property which serves as its headquarters and research and
development facility resulting in the recognition of the
approximately $895,000 balance of the deferred gain on sale of
that property in 2005.

At June 30, 2009, the Company's balance sheet showed $3,046,290 in
total assets and $3,189,962 in total liabilities, resulting in a
stockholders' deficit of $143,672.

The Company's balance sheet at June 30, 2009, also showed strained
liquidity with $744,833 in total current assets available to pay
$2,814,962 in total current liabilities.

Full-text copies of the Company's quarterly report is available
for free at http://researcharchives.com/t/s?467b

                       Going Concern Doubt

Weiser LLP, in New York, expressed substantial doubt about Coates
International's ability to continue as a going concern after
auditing the financial statements for year ended December 31,
2008.  The auditing firm said that the Company continues to have
negative cash flows from operations, recurring losses from
operations in prior years, and has a stockholders' deficiency.

                    About Coates International

Based in Wall Township, N.J., Coates International, Ltd.
(OTC BB: COTE) -- http://www.coatesengine.com/-- was incorporated
on August 31, 1988, for the purpose of researching, patenting and
manufacturing technology associated with a spherical rotary valve
system for internal combustion engines.  This technology was
developed over a period of 15 years by Mr. George J. Coates, who
is the President and Chairman of the Board of the Company.

The Coates Spherical Rotary Valve System (CSRV) represents a
revolutionary departure from the conventional poppet valve.  It
changes the means of delivering the air and fuel mixture to the
firing chamber of an internal combustion engine and of expelling
the exhaust produced when the mixture ignites.


COLONIAL BANCGROUP: Disputes Alabama Tax Assessments
----------------------------------------------------
The Colonial BancGroup, Inc., reports that the Company and its
subsidiaries were assessed certain final assessments of Financial
Institution Excise Taxes by the State of Alabama on August 14,
2009, the date that Colonial Bank was placed into receivership.
The tax assessments were for prior year tax returns which were
timely filed.  The parent company, Colonial BancGroup, disputes
the taxes assessed, and has filed a motion under Section 505.

A summary of the State of Alabama assessments:

     Tax Year                         Taxes and Interest Amount
     --------                         -------------------------
       2007                                 $2,887,050.82
       2006                                  2,534,635.98
       2005                                    752,747.01
       2004                                     99,050.34
       2003                                    535,322.43
       2002                                    739,371.74
       2001                                  1,533,170.71
                                      -------------------------
       Total                                 $9,081,349.03

Colonial BancGroup's 2008 income tax returns have been filed for
both federal and state taxes.  Colonial BancGroup is unable to pay
the income taxes due to Texas and Idaho because of the bankruptcy
filing and the FDIC action causing a freeze on BancGroup's cash
accounts obligations.

                                                Amount
                                         Receivable (Payable)
                                         --------------------
     Federal                                  $930,553.00
     State
        ID                                       ($450.00)
        TN                                      73,552.00
        TX                                    (120,850.00)
                                         --------------------
                                              $882,805.00

Headquartered in Montgomery, Alabama, The Colonial BancGroup
(NYSE: CNB) provides diversified financial services, including
retail and commercial banking, wealth management services,
mortgage banking and insurance products.  The BancGroup derives
substantially all of its income from Colonial Bank, N.A (Colonial
Bank) its banking subsidiary.  Colonial bank --
http://www.colonialbank.com/-- operates 354 branches in Florida,
Alabama, Georgia, Nevada and Texas with over $26 billion in
assets.

On August 14, 2009, Colonial BancGroup's banking unit Colonial
Bank, Montgomery, AL, was closed by the Alabama State Banking
Department and the Federal Deposit Insurance Corporation was named
receiver.  The FDIC sold most of the assets to Branch Banking and
Trust, Winston-Salem, North Carolina.  BB&T acquired $22 billion
in assets and assumed $20 billion in deposits of the Bank.

Colonial BancGroup filed for Chapter 11 bankruptcy protection on
August 25, 2009 (Bankr. M.D. Ala. Case No. 09-32303).  W. Clark
Watson, Esq., at Balch & Bingham LLP and Rufus T. Dorsey IV,
Esq., at Parker Hudson Rainer & Dobbs LLP assist the Company in
its restructuring efforts.  The Company listed $45,000,000 in
assets and $380,000,000 in debts in its bankruptcy filing.


COLONY BEACH: Files Chapter 11 After Hotels Suspended
-----------------------------------------------------
Colony Beach & Tennis Club, Ltd., has filed for Chapter 11
bankruptcy protection in the U.S. Bankruptcy Court for the Middle
District of Florida, two weeks after hotel operations were
suspended, Margaret Cashill at Tampa Bay Business Journal reports.

Colony Beach said in a statement that it filed for bankruptcy to
protect the long-term viability of the condominium-hotel operated
by a limited partnership that depends on the cooperation and
funding of its condominium association.

Business Journal relates that Colony Beach general partner and
operating manager Murray Klauber and the Company's president and
general manager Katherine Moulton hired financial and legal
consultants and investors to restore the resort, recapitalize,
restructure debt, and negotiate with the 237 unit owners.

Mr. Klauber and Ms. Moulton said in a statement that members of
the condominium association board of directors had attempted to
cripple resort operations and deplete the Company's financial
resources to force Mr. Klauber's surrender to the association.
Business Journal states that Jay Yablon, vice president of the
association board and chairman of the association's legal
committee, said that he would not respond to "ridiculous"
allegations.

Colony Beach & Tennis Club, Ltd., is based in Longboat Key,
Florida.


CORUS BANKSHARES: Has $497MM Q2 Net Loss; Going Concern Raised
--------------------------------------------------------------
CORUS Bankshares, Inc., posted a net loss of $497,652,000 for the
three months ended June 30, 2009, from a net loss of $16,184,000
for the same period a year ago.  The Company posted a net loss of
$798,655,000 for the six months ended June 30, 2009, from a net
loss of $11,676,000 for the same period a year ago.

CORUS Bankshares recorded Total Interest, Points and Fees, and
Dividend Income of $38,107,000 for the three months ended June 30,
2009, from $111,872,000 for the same period a year ago.  CORUS
Bankshares recorded Total Interest, Points and Fees, and Dividend
Income of $97,898,000 for the six months ended June 30, 2009, from
$255,548,000 for the same period a year ago.

As of June 30, 2009, CORUS had $7,064,426,000 in total assets
against $7,584,790,000 in total liabilities, resulting in
$520,364,000 of shareholders' deficit.

                   Deferral of Interest Payment

As of June 30, 2009, Corus had $417.8 million in floating rate
junior subordinated notes which included the original issuance of
$404.6 million in Debentures, as well as $13.2 million in deferred
interest payments related to those Debentures.  The Debentures
were issued to unconsolidated subsidiary trusts of the Company.
Each Trust's sole purpose is to issue Trust Preferred Securities,
and then use the proceeds of the issuance to purchase debentures
with terms essentially identical to the Trust Preferred
Securities, from the Company.

The Debentures each mature 30 years from their respective issuance
date, but are redeemable (at par) at Corus' option at any time
commencing on the fifth anniversary of their issuance (or upon the
occurrence of certain other prescribed events).  Furthermore,
while interest payments on the Debentures are payable quarterly,
so long as an event of default has not occurred, Corus may defer
interest payments for up to 20 consecutive quarters.  Events of
default under the terms of the debenture agreements include
failure to pay interest after 20 consecutive quarters of deferral,
failure to pay all principal and interest at maturity, or filing
bankruptcy.

The deferral provisions were intended to provide Corus with a
measure of financial flexibility during times of financial stress
due to market conditions, such as the current state of the
financial and real estate markets.  During the deferral period
Corus is precluded from declaring or paying any dividends to
common shareholders or repurchasing its common stock, among other
restrictions.

On November 18, 2008, Corus' Board of Directors elected to defer
further interest payments on each of the Debentures to conserve
cash at the holding company.  As no default has occurred, Corus
exercised the right to defer interest payments for up to 20
consecutive quarters.  The Company continues to accrue interest
expense and, under the terms of the Debentures, is required to
bring the interest payments current in the fourth quarter of 2013.
The Company has provided appropriate notice of its election to
defer interest payments to the Trustee of each Trust as required
by the respective indentures.

On February 18, 2009, the Company entered into the Agreement with
the Federal Reserve Bank of Chicago.  The Agreement restricts the
Company from paying any interest or principal on subordinated debt
or trust preferred securities, without the prior approval of the
FRB.  While no interest payments are required until 2013, the
existence of the Agreement could ultimately result in a default
under the provision of the Debentures.

Interest and fees included in interest expense totaled
$3.7 million and $7.8 million for three and six months ended
June 30, 2009, respectively, and $5.2 million and $12.3 million
for the three and six months ended June 30, 2008, respectively.
All of the outstanding Debentures are variable-rate, with interest
rates ranging from three-month LIBOR plus 1.33% to three-month
LIBOR plus 3.10%, resetting quarterly.  The scheduled maturities
of the Debentures range from 2033 through 2037.

                           Receivership

On September 11, 2009, Corus Bank, N.A., the wholly owned
subsidiary of Corus Bankshares, was closed by the Office of the
Comptroller of the Currency and the Federal Deposit Insurance
Corporation was appointed as receiver of Corus Bank.  As result of
the Bank's placement into receivership, the Company's investment
in the Bank has become effectively worthless.  There can be no
assurances that the FDIC, in its capacity as receiver for the
Bank, will not pursue financial claims against the Company,
including claims on the Company's remaining cash and liquid
assets.  As a result of the Bank's placement into receivership,
the Company is considering its future alternatives.

                           Going Concern

CORUS said it is highly unlikely the Company or its Bank unit will
be able to resume profitable operations in the near future, or at
all.

"Corus is suffering from the extraordinary effects of what may
ultimately be the worst economic downturn since the Great
Depression.  The effects of the current environment are being felt
across many industries, with financial services and residential
real estate being particularly hard hit.  The effects of the
downturn were particularly severe during the last 180 days of
2008, and have continued into 2009.  Corus, with a portfolio
consisting primarily of condominium construction loans, many in
the hard hit areas of Arizona, Nevada, south Florida and southern
California, has seen a rapid and precipitous decline in the value
of the collateral securing our loan portfolio.  Thus, we are
experiencing significant loan quality issues," the Company said.

The Company's Board of Directors has formed a Strategic Planning
Committee.  The Committee has hired an investment banking firm to
seek all strategic alternatives to enhance the stability of the
Company including a capital investment, sale, strategic merger or
some form of restructuring.

"To date, these efforts have been unsuccessful and it is highly
unlikely that the Company will succeed in this endeavor and be
able to comply with applicable regulatory requirements.  In
addition, a transaction, which would likely involve equity
financing, would result in substantial dilution to our current
stockholders and could adversely affect the price of our common
stock.  If the Company does not comply with the capital
requirements contained in the Regulatory Agreements, the
regulators may take additional enforcement action against the
holding company and the Bank."

"The uncertainty of successful execution of our plan, among other
factors, raises substantial doubt as to our ability to continue as
a going concern," the Company said.

A full-text copy of CORUS' quarterly report on Form 10-Q is
available at no charge at http://ResearchArchives.com/t/s?4678

                    About Corus Bankshares

Based in Chicago, Illinois, Corus Bankshares, Inc., is a bank
holding company.  Corus conducted its banking operations through
its wholly owned banking subsidiary Corus Bank, N.A.


CORUS BANKSHARES: Nasdaq to Delist Common Stock
-----------------------------------------------
The Nasdaq Stock Market on October 5, 2009, said it will delist
the common stock of CORUS Bankshares, Inc.

CORUS Bankshares' stock was suspended on September 24, 2009, and
has not traded on NASDAQ since that time.  NASDAQ will file a
Form 25 with the Securities and Exchange Commission to complete
the delisting.  The delisting becomes effective 10 days after the
Form 25 is filed.

                    About Corus Bankshares

Based in Chicago, Illinois, Corus Bankshares, Inc., is a bank
holding company.  Corus conducted its banking operations through
its wholly owned banking subsidiary Corus Bank, N.A.


DELPHI CORP: AT&T Wants to Compel Payment of Administrative Claim
-----------------------------------------------------------------
AT&T Solutions Inc. and its affiliates and the Debtors are parties
to telecommunications and related services contracts.  Under the
First Amended Joint Plan of Reorganization, the AT&T Contracts
were to be assumed and AT&T was to receive full payment of its
prepetition and postpetition claims.  AT&T has alleged that the
Debtors owe it $2,973,848 for services performed under the AT&T
Contracts for the period from October 8, 2005 to June 1, 2009.
AT&T says it has further reconciled the amounts owed and that it
intends to file a revised administrative expense claim for
$2,045,667.

AT&T Solutions thus asks the Court to:

  (a) require the Debtors' payment of the Administrative Claim
      pursuant to Section 503(b) of the Bankruptcy Code; or

  (b) in the alternative, modify the automatic stay to permit
      immediate termination of executory contracts pursuant to
      Section 362 of the Bankruptcy Code.

David A. Rosenzweig, Esq., at Fulbright & Jaworski L.L.P., in New
York, asserts that the Debtors would not be harmed if they are
compelled to immediately pay the Administrative Claim since they
are required to pay the Administrative Claim in full as set forth
under the Modified First Amended Joint Plan of Reorganization.
In contrast, he insists, the possible harm to AT&T is great and
continues to grow each month that AT&T is compelled to provide
the Debtors with services under the AT&T Contracts without
receiving any payment.  Since the Debtors are not paying for the
services, there will be no prejudice if the automatic stay is
modified and the AT&T Contracts are terminated, he points out.

Mr. Rosenzweig adds that early termination of the AT&T Contracts
will benefit the Debtors' estates by relieving the Debtors'
estates of the accrual of administrative claims.

                         About Delphi Corp

Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ)
-- http://www.delphi.com/-- is a global supplier of mobile
electronics and transportation systems, including powertrain,
safety, steering, thermal, and controls & security systems,
electrical/electronic architecture, and in-car entertainment
technologies.  Delphi technology is also found in computing,
communications, consumer accessories, energy and medical
applications.  Delphi has approximately 146,600 employees and
operates 150 wholly owned manufacturing sites in 34 countries with
sales of $18.1 billion in 2008.

The Company filed for Chapter 11 protection on October 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represent the Official Committee of Unsecured Creditors.  As of
June 30, 2008, the Debtors' balance sheet showed US$9,162,000,000
in total assets and US$23,742,000,000 in total debts.

The Court confirmed Delphi's plan on January 25, 2008.  The Plan
was not consummated after a group led by Appaloosa Management,
L.P., backed out from their proposal to provide US$2,550,000,000
in equity financing to Delphi.

At the end of July 2009, Delphi obtained confirmation of a revised
plan, build upon a sale of the assets to a entity formed by some
of the lenders who provided $4 billion of debtor-in-possession
financing, and General Motors Company.

Bankruptcy Creditors' Service, Inc., publishes Delphi Bankruptcy
News.  The newsletter tracks the Chapter 11 proceedings of Delphi
Corp. and its debtor-affiliates.  (http://bankrupt.com/newsstand/
or 215/945-7000)


DELPHI CORP: Names P. Desnos as Global Service Center Director
--------------------------------------------------------------
Delphi Corp. announced the appointment, effective immediately, of
Philippe Desnos as Global Delphi Service Center Director, Delphi
Product & Service Solutions (DPSS).  Mr. Desnos will be developing
and implementing the aftermarket expansion strategy on the Delphi
Service Center worldwide.

"With the appointment of Philippe Desnos, Delphi further
strengthens its commitment to develop the Delphi Service Center
in Europe and in other regions to further support the needs of
the garages today," said Mike Rayne, Vice President Global Diesel
Aftermarket.  "He brings a wealth of knowledge in terms of
network and distribution strategy and will be a great addition to
the team."

Mr. Desnos has more than 15 years of experience within Delphi and
a broad technical knowledge on Diesel Systems.  He started his
career in 1995 as an Engineer in the Diesel Systems organization
and moved to service operations subsequently being appointed as
Service Operations Manager in 2000 and to Engineering and Service
Manager in 2001.  As of early 2005, Mr. Desnos was transferred to
the US to assume the position of Managing Director DPSS Diesel USA
and Canada.  Mr. Desnos has an MBA from Warwick University in the
UK and a Master Degree in Engineering, from ESTACA University in
France.

                         About Delphi Corp

Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ)
-- http://www.delphi.com/-- is a global supplier of mobile
electronics and transportation systems, including powertrain,
safety, steering, thermal, and controls & security systems,
electrical/electronic architecture, and in-car entertainment
technologies.  Delphi technology is also found in computing,
communications, consumer accessories, energy and medical
applications.  Delphi has approximately 146,600 employees and
operates 150 wholly owned manufacturing sites in 34 countries with
sales of $18.1 billion in 2008.

The Company filed for Chapter 11 protection on October 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represent the Official Committee of Unsecured Creditors.  As of
June 30, 2008, the Debtors' balance sheet showed US$9,162,000,000
in total assets and US$23,742,000,000 in total debts.

The Court confirmed Delphi's plan on January 25, 2008.  The Plan
was not consummated after a group led by Appaloosa Management,
L.P., backed out from their proposal to provide US$2,550,000,000
in equity financing to Delphi.

At the end of July 2009, Delphi obtained confirmation of a revised
plan, build upon a sale of the assets to a entity formed by some
of the lenders who provided $4 billion of debtor-in-possession
financing, and General Motors Company.

Bankruptcy Creditors' Service, Inc., publishes Delphi Bankruptcy
News.  The newsletter tracks the Chapter 11 proceedings of Delphi
Corp. and its debtor-affiliates.  (http://bankrupt.com/newsstand/
or 215/945-7000)


DRINKS AMERICAS: July 31 Balance Sheet Upside-Down by $3.0 Million
------------------------------------------------------------------
Drinks Americas Holdings, Ltd. reported a net loss of $1,933,257
on net sales of $433,972 for the first quarter ended July 31,
2009, compared with a net loss of $1,303,120 on net sales of
$1,068,577 in the corresponding period ended July 31, 2008.

The Company said that decrease in net sales is predominantly due
to inventory shortfalls as a result of insufficient working
capital and the resulting delay of certain shipments.

Gross profit was $128,065 (29% of net sales) for the three months
ended July 31, 2009, compared to gross profit of $337,633 (32% of
net sales) for the three months ended July 31, 2008.

Selling, general and administrative expenses totaled $1,623,617
for the three months ended July 31, 2009, compared to $1,617,121
for the three months ended July 31, 2008, an increase of 0.4%.

Interest expense totaled $437,705 for the three months ended
July 31, 2009, compared to expense of $23,632 for the three months
ended July 31, 2008.  During the three months ended July 31, 2009,
the Company incurred non-cash charges of $66,000 relating to stock
issued to one investor in connection with extending his note.  In
addition during the three months ended July 31, 2009, the Company
incurred approximately $347,000 in non-cash interest charges
relating to the June sales of its debentures.

At July 31, 2009, the Company's consolidated balance sheet showed
$5,164,838 in total assets and $8,185,796 in total liabilities,
resulting in a $3,020,958 stockholders' deficit.

The Company's consolidated balance sheet at July 31, 2009, also
showed strained liquidity with $1,887,661 in total current assets
available to pay $7,585,796 in total current liabilities.

Full-text copies of the quarterly report are available for free at
http://researcharchives.com/t/s?4674

                    Going Concern Doubt

Bernstein & Pinchuk LLP, in New York, NY, expressed substantial
doubt about Drinks Americas Holdings, Ltd.'s ability to continue
as a going concern after auditing the Company's consolidated
financial statements for the year ended April 30, 2009.  The
auditing firm pointed to the Company's significant losses from
operations since its inception.

                   About Drinks Americas

Headquartered in Wilton, Conn., Drinks Americas Holdings, Ltd. --
http://www.drinksamericas.com/-- through its majority-owned
subsidiaries, Drinks Americas, Inc., Drinks Global, LLC, D.T.
Drinks, LLC, and Olifant U.S.A Inc., imports, distributes and
markets unique premium wine and spirits and alcoholic beverages
associated with icon entertainers, celebrities and destinations,
to beverage wholesalers throughout the United States.


DUNE ENERGY: Inks New Employment Agreements with CEO & CFO
----------------------------------------------------------
Dune Energy, Inc., on October 1, 2009, entered into new employment
agreements with James A. Watt, its President and Chief Executive
Officer, and Frank T. Smith, Jr., its Senior Vice President and
Chief Financial Officer.

Dune Energy also entered into restricted stock agreements, with
each of the individuals, pursuant to which Dune Energy agreed to
issue up to an aggregate of 2,250,000 shares of its common stock,
subject to certain vesting requirements set forth therein.  The
Employment Agreements and the Restricted Stock Agreements were
entered into after thoughtful consideration by Dune Energy's
Compensation Committee in consultation with an outside independent
compensation advisor engaged by Dune Energy to assist with this
process.

The Board of Directors of the Company believes that securing the
continued employment of Mr. Watt and Mr. Smith is vital to the
Company's future success and was also a requirement of Dune
Energy's senior lender.

The Employment Agreements provide for:

     -- Mr. Watt to continue to serve as the Company's President
        and Chief Executive Officer, at an annual base salary of
        $550,000, subject to adjustment by the Company's Board in
        its sole discretion;

     -- Frank T. Smith, Jr., to continue to serve as Senior Vice
        President and the Company's Chief Financial Officer, at an
        annual base salary of $268,000, subject to adjustment by
        the Board in its sole discretion.

The initial term of employment under the Employment Agreements is
three years, unless earlier terminated by the Company or the
executive officer by reason of disability, for cause, for "good
reason," change of control or otherwise.

In addition to their base salary, Mr. Watt and Mr. Smith are
eligible for a targeted annual bonus equal to 100% and 60%,
respectively, of such officer's then applicable base salary, as
determined by the Company's Board, based upon these performance
criteria, as measured from January 1 through December 31 of each
bonus year:

     (1) growth in proved reserves as that term is used by the
         Society of Petroleum Engineers and the World Petroleum
         Council in their March 1997 Petroleum Reserves
         Definitions;

     (2) increase in annual production volumes;

     (3) finding and development costs; and

     (4) achievement of individual goals for such officers as
         established by the Board.

The actual bonus may be less than or more than the target bonus
based upon the assessment by the Board, in its sole and absolute
discretion, of such officers' performance against such criteria.
Notwithstanding, in no event shall the bonus awarded in any year
exceed 200% of Mr. Watt's then applicable base salary nor 120% of
Mr. Smith's then applicable base salary.

The Company has agreed to reimburse both officers for all
reasonable out of pocket expenses incurred by them in furtherance
of Company business.  Consistent with the Company's prior
agreements with Mr. Watt, the Company has also agreed to reimburse
him for all expenses he incurs in connection with his relocation
from Dallas to Houston including, without limitation, any
commission due upon the sale of his residence in Dallas.  This
obligation to reimburse Mr. Watt for his relocation expenses shall
remain in effect for a period of five years following the term of
his Employment Agreement.

Upon termination of Mr. Watt without "cause", upon his resignation
for "good reason", or upon his termination following a "change of
control" Mr. Watt will be entitled to receive a severance payment
equal to 2.99X his then current base salary plus his then targeted
annual bonus.  Upon termination of Mr. Smith without "cause" or
upon his resignation for "good reason", Mr. Smith will be entitled
to receive a severance payment equal his then current base salary
plus his then targeted annual bonus.  Upon termination or Mr.
Smith following a "change of control", Mr. Smith will be entitled
to receive a severance payment equal to two times his then current
base salary plus his then targeted annual bonus.  Each such
officer shall also be entitled to any unpaid bonus from the
preceding year of employment.  Upon termination without cause or
upon a resignation for good reason, all time-vesting Restricted
Shares held by Mr. Watt and Mr. Smith shall immediately vest.
Upon termination following a change of control, both time-vesting
and Performance based Restricted Shares held by such officers will
immediately vest.

To the extent that (i) any severance payment occurs in connection
with a termination without cause, resignation for good reason or
upon a change of control, (ii) vesting under the applicable
Restricted Stock Agreements set forth below, or (iii) the payment
of any other benefit within the meaning of Section 280G of the
Internal Revenue Code of 1986, as amended under any other
agreement would result in any taxes being imposed against Mr. Watt
or Mr. Smith under Section 4999 of the Code, then the Company has
agreed to pay such officers a payment in an amount equal to such
Excise Tax, plus an amount as shall be required to hold such
officers harmless from any tax liability relating to the payment
of such Gross-Up Payment.  The Company also agreed to make a
Gross-Up-Payment to Mr. Watt with respect to any taxes that may be
imposed on him by virtue of the Company agreeing to reimburse him
for his relocation expenses.

Each of the officers have agreed that, during the respective term
of his employment and for a one-year period after his termination
(other than termination by him for good reason or by us without
cause), not to engage, directly or indirectly, as an owner,
employee, consultant or otherwise, in any business engaged in the
exploration, drilling or production of natural gas or oil within
any one mile radius from any property that the Company then has an
ownership, leasehold or participation interest.  Each officer is
further prohibited during the time period from soliciting or
inducing, directly or indirectly, any of the Company's then-
current employees or customers, or any of its customers during the
one-year preceding the termination of his employment.

Pursuant to the Restricted Stock Agreements and in accordance with
the Dune Energy, Inc. 2007 Incentive Stock Plan, the Company has
granted restricted stock awards:

     -- 837,500 shares of the Company's common stock to Mr. Watt
        and 670,000 shares of common stock to Mr. Smith, which
        vest equally as to one-third of the shares over a three
        year period commencing on the first year anniversary
        thereof; and

     -- 412,500 shares of the Company's common stock to Mr. Watt
        and 330,000 shares of common stock to Mr. Smith, which
        vest in accordance with certain performance criteria.

Of the Performance Vesting Shares granted to Mr. Watt and Mr.
Smith, two-thirds of that amount (275,000 in the case of Mr. Watt
and 220,000 in the case of Mr. Smith) will only vest if at the end
of the period beginning on the first day of the fiscal quarter in
which the Effective Date occurs and ending on the last day of the
fiscal quarter ending prior to the third anniversary of the
Effective Date, the Company's Proved Reserves exceed 179bcfe.  If
such target is not achieved, none of these shares shall vest.

The remaining Performance Vesting Shares granted to Mr. Watt and
Mr. Smith (137,500 in the case of Mr. Watt and 110,000 in the case
of Mr. Smith) will only vest if at the end of the Performance
Period, the Company's Total Stock Return exceeds the 50th
percentile of an identified group of the Company's peers.  If such
target is not achieved, none of these shares shall vest.

The Company also reports that on October 1, 2009, its Board
approved the grant of 2,745,000 Restricted Shares to certain
employees and non-employee directors of the Company pursuant to
the Dune Energy, Inc. 2007 Incentive Stock Plan.  Presently, there
is not a sufficient number of shares reserved for issuance under
the Plan to allow for the contemplated grant.  Accordingly, to
allow for the issuance of such Restricted Shares, the Plan must
first be amended to increase the number of shares of common stock
available for issuance under the Plan.  To this end, the Company's
Board has approved amending the Plan to increase the number of
shares of common stock available for issuance thereunder from
7 million shares to 16 million shares.  As soon as practicable,
the Company intends to file a proxy statement with the Commission
seeking the vote of the Company's stockholders to approve the
amendment to the Plan.

                       About Dune Energy

Based in Houston, Texas, Dune Energy, Inc., is an independent
energy company.  Since May of 2004, it has been engaged in the
exploration, development, acquisition and exploitation of natural
gas and crude oil properties, with interests along the
Louisiana/Texas Gulf Coast.  Its properties cover 100,000 gross
acres across 23 producing oil and natural gas fields.

As of June 30, 2009, the Company had $382.3 million in total
assets; and $355.6 million in total liabilities and $213.4 million
in Redeemable convertible preferred stock; resulting in
$186.7 million in stockholders' deficit.  The Company had
$252.0 million in accumulated deficit as of June 30, 2009.


EASY STREET: Files Amended List of Largest Unsecured Creditors
--------------------------------------------------------------
Easy Street Holding, LLC, and its debtor-affiliates filed with the
U.S. Bankruptcy Court for the District of Utah an amended list of
its largest unsecured creditors, disclosing:

   Entity                                         Claim Amount
   ------                                         ------------
CBIZ Accounting                                   $62,005
175 S. West Temple, Suite 650
Salt Lake City, Utah 84111

Klehr, Harrison, Harvey,
Branzburg & Ellers LLP                            $55,602
260 South Broad Street
Philadelphia, PA 19102

Goodrich & Thomas CPAs                            $48,300
3200 Park Center Drive, Suite 1170
Costa Mesa, CA 92626-7153

Frank Rimerman & Co. LLP                           $4,180

Shaner Design, Inc.                                $4,095

Les Olson Company                                  $2,062

Park City Surveying                                $1,915

Staples Credit Plan                                  $978

Pitney Bowes                                         $161

Federal Express                                      $110

Park City, Utah-based Easy Street Holding, LLC, and its affiliates
filed for Chapter 11 on Sept. 14, 2009 (Bankr. D. Utah Case Nos.
09-29905 to 09-29908).  Steven J. McCardell, Esq., at Durham Jones
& Pinegar represents the debtors in their restructuring efforts.
In their petition, they listed $10,000,001 to $50,000,000 in
assets and $1,000,001 to $10,000,000 in debts.


EASY STREET: U.S. Trustee Picks Seven-Member Creditors Committee
----------------------------------------------------------------
The U.S. Trustee for Region 19 appointed seven members to the
official committee of unsecured creditors in the Chapter 11 cases
of Easy Street Holding, LLC, and its debtor-affiliates.

The Creditors Committee members are:

1. Elliott Workgroup Architecture, LLC - CHAIRMAN
   Attn: Craig Elliott
   P.O. Box 3419
   Park City, UT 84060
   Tel: (435) 649-0092 Ext. 301

2. Millcreek Consulting
   Attn: Stephen Brown
   3017 E. Kempner Rd.
   Salt Lake City, UT 84109
   Tel: (801) 277-2525
   Cell Phone: (801) 201-2813
   Fax: (801) 278-8524

   Attorney for Millcreek Consulting:
   Douglas J. Payne
   Fabian & Clendenin
   215 S. State Street, Suite 1200
   Salt Lake City, UT 84111
   Tel: (801) 531-8900
   Fax: (801) 596-2814

3. Gateway Center, LLC
   Attn: W. James Tozer, Jr.
   c/o Vectra Management Group
   424 West 33rd Street, Suite 540
   New York, New York 10001
   Tel: (212) 631-0202 Ext. 14

4. Klehr Harrison Harvey Branzburg & Ellers LLP
   Attn: Heather I. Levine
   260 South Broad Street
   Philadelphia, PA 19102-5003
   Tel: (215) 568-6060
   Direct Phone: (215) 569-4398
   Fax: (215) 568-6603

5. Goodrich and Thomas, CPAs
   Attn: Robert B. Goodrich
   3200 Park Center Drive, Suite 1170
   Costa Mesa, CA 92626
   Tel: (714) 546-0755
   Fax: (714) 546-4901

6. CBIZ MHM, LLC
   Attn: Mary Kay Griffin
   175 South West Temple, Suite 650
   Salt Lake City, UT 84101
   Tel: (801) 364-9300 Ext. 103
   Fax: (801) 364-9301

7. Shaner Design, Inc.
   Attn: Tom Shaner
   614 Main Street, Suite 404
   P.O. Box 4560
   Park City, UT 84060
   Tel: 435-649-4499

Official creditors' committees have the right to employ legal and
accounting professionals and financial advisors, at the Debtor's
expense.  They may investigate the Debtor's business and financial
affairs.  Importantly, official committees serve as fiduciaries to
the general population of creditors they represent.  Those
committees will also Attnempt to negotiate the terms of a
consensual Chapter 11 plan -- almost always subject to the terms
of strict confidentiality agreements with the Debtors and other
core parties-in-interest.  If negotiations break down, the
Committee may ask the Bankruptcy Court to replace management with
an independent trustee.  If the Committee concludes reorganization
of the Debtor is impossible, the Committee will urge the
Bankruptcy Court to convert the Chapter 11 cases to a liquidation
proceeding.

Park City, Utah-based Easy Street Holding, LLC, and its affiliates
filed for Chapter 11 on Sept. 14, 2009 (Bankr. D. Utah Case Nos.
09-29905 to 09-29908).  Steven J. McCardell, Esq., at Durham Jones
& Pinegar represents the debtors in their restructuring efforts.
In their petition, they listed $10,000,001 to $50,000,000 in
assets and $1,000,001 to $10,000,000 in debts.


EDDIE BAUER: Court Approves Deloitte as Tax Consultant
------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware authorized
Eddie Bauer Holdings, Inc., and its debtor-affiliates to employ
Deloitte Tax LLP as tax service providers and tax consultants.
The Debtors also have a pending application to hire KPMG LLP for
tax compliance services.

The Court also authorized the Official Committee of Unsecured
Creditors to employ ASK Financial LLP as its special counsel.

Established in 1920 in Seattle, Washington, Eddie Bauer is a
specialty retailer that sells outerwear, apparel and accessories
for the active outdoor lifestyle.  The Eddie Bauer brand is a
nationally recognized brand that stands for high quality,
innovation, style and customer service.  Eddie Bauer products are
available at 371 stores throughout the United States and Canada,
through catalog sales and online at http://www.eddiebauer.com/
Eddie Bauer participates in a joint venture in Japan and has
licensing agreements across a variety of product categories.

Eddie Bauer, Inc., was a subsidiary of Spiegel, Inc.  Eddie Bauer
Inc. emerged from Spiegel's 2003 Chapter 11 case as a separate,
reorganized entity under the control and ownership of Eddie Bauer
Holdings, Inc.

Eddie Bauer Holdings, Inc., and eight affiliates filed for
bankruptcy on June 17, 2009 (Bankr. D. Del. Lead Case No.
09-12099).  Judge Mary F. Walrath presides over the case.  David
S. Heller, Esq., Josef S. Athanas, Esq., and Heather L. Fowler,
Esq., at Latham & Watkins LLP, serve as the Debtors' general
counsel.  Kara Hammond Coyle, Esq., and Michael R. Nestor, Esq.,
at Young Conaway Stargatt & Taylor LLP, serve as local counsel.
The Debtors' restructuring advisors are Alvarez and Marsal North
America LLC.  Their financial advisors are Peter J. Solomon
Company.  Kurtzman Carson Consultants LLC acts as claims and
notice agent.  As of April 4, 2009, Eddie Bauer had $525,224,000
in total assets and $448,907,000 in total liabilities.

Eddie Bauer Canada, Inc., and Eddie Bauer Customer Services filed
for protection from their creditors in Canada on June 17, 2009,
the same day the U.S. Debtors filed for protection from their
creditors.  The Canadian Debtors have obtained an initial order of
the Canadian Court staying the proceedings against the Canadian
Debtors and their property in Canada.  RSM Richter Inc. was
appointed as monitor in the Canadian proceedings.


EDG HOLDINGS: Files Amended List of Largest Unsecured Creditors
---------------------------------------------------------------
EDG Holdings, Inc., filed with the U.S. Bankruptcy Court for the
Southern District of Illinois an amended list of its largest
unsecured creditors, disclosing:

   Entity                                         Claim Amount
   ------                                         ------------
Waste Manangement Cottonwood                      $383,140
601 Madison Road
East St. Louis, IL 62201

Southern III Regional Landfill                    $200,597
1540 Landfill Road
DeSoto, IL 62924

Fifth Third Bank                                  $129,669
P.O. Box 778
Evansville, IN 47705-0078

Landfill 33                                        $69,661

Teklab, Inc.                                       $66,498

Clinton Landfill, Inc.                             $65,023

Mastercard by CITI CARD                            $62,839

Wright Express                                     $57,671

First Environmental Labs                           $46,956

Fleet Fueling                                      $42,890

Riverstone Group, Inc.                             $29,382

Spaeth Welding, Inc.                               $26,758

Orin Remediation Technologies                      $24,920

Effingham Truck Sales, Inc.                        $24,806

Tazewell County landwill, Inc.                     $23,069

The Lowenbaum Partnership, LLC                     $23,000

Veolia ES Valley View, Inc.                        $22,750

Krenbiel & Associates                              $21,340

Ganim, Meder, Childers & Hoering, P.C.             $20,000

Cantral Mine Equipment Co.                         $18,685

                      About EDG Holdings, Inc.

Mount Vernon, Illinois-based EDG Holdings, Inc., operates a real
estate business.  The Company filed for Chapter 11 on Sept. 15,
2009 (Bankr. S.D. Ill. Case No. 09-41525).  Terry Sharp, Esq.,
represents the Debtor in its restructuring effort.  In its
petition, the Debtor listed assets and debts both ranging from
$10,000,001 to $50,000,000.


EDG HOLDINGS: Taps The Sharp Law Firm  to Represent in Ch. 11 Case
------------------------------------------------------------------
EDG Holdings, Inc., asks the U.S. Bankruptcy Court for the
Southern District of Illinois for permission to employ The Sharp
Law Firm, P.C., as counsel.

The firm will assist the Debtor in all matters relating to the
Chapter 11 case and in any other matters that may arise requiring
assistance of counsel.

John T. Hundley, a principal at The Sharp Law Firm, tells the
Court that the hourly rates of the firm's personnel are:

     Terry Sharp                      $225
     Mr. Hundley                      $225
     Associates                    $120 - $180
     Paralegals                     $70 -  $90
     Law Clerk                         $90

Mr. Hundley assures the Court that the firm is a "disinterested
person" as that term is defined in Section 101(14) of the
Bankruptcy Code.

Mr. Hundley can be reached at:

     The Sharp Law Firm, P.C.
     1115 Harrison
     P.O. Box 906
     Mt. Vernon, IL 62864
     Tel: (618) 242-0246

                      About EDG Holdings, Inc.

Mount Vernon, Illinois-based EDG Holdings, Inc., operates a real
estate business.  The Company filed for Chapter 11 on Sept. 15,
2009 (Bankr. S.D. Ill. Case No. 09-41525).  Terry Sharp, Esq.,
represents the Debtor in its restructuring effort.  In its
petition, the Debtor listed assets and debts both ranging from
$10,000,001 to $50,000,000.


ELECTROGLAS INC: FormFactor Acquires Technology Assets
------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware has
approved FormFactor, Inc.'s acquisition of intellectual property
rights and certain technology assets of Electroglas, Inc., related
to precision motion control automation.  The purchase provides
FormFactor with IP and physical assets the company will use in its
manufacturing operations.  The acquisition does not include
physical assets and technology solely used in the Electroglas
prober business, which are expected to be purchased by a third
party as part of a separate auction process.  The assets acquired
by FormFactor were made available at auction as part of activities
related to Electroglas' bankruptcy proceedings.

"The technologies we are acquiring are the product of significant
investment in the research and development of high accuracy motion
control," said Mario Ruscev, chief executive officer of
FormFactor.  "With these new capabilities, we will continue to
improve our manufacturing efficiency and provide our customers
with even higher quality end products."

In February 2009, Electroglas and FormFactor entered into an
agreement for Electroglas to supply tools and technology to
FormFactor.  In July 2009, Electroglas announced it had filed for
Chapter 11 bankruptcy protection.

Headquartered in San Jose, California, Electroglas Inc. operates a
semiconductor manufacturing machinery.  The Company and its
affiliate, Electroglas International Inc., filed for Chapter 11
protecton on July 9, 2009 (Bankr. D. Del. Lead Case No. 09-12416).
When the Debtors sought for protection from their creditors, they
listed $19,625,000 in total assets and $31,542,000 in total debts.


ELLEN TRACY: Court Approves Involuntary Ch. 7 Petition
------------------------------------------------------
The Hon. Arthur Gonzalez of the U.S. Bankruptcy Court for the
Southern District of New York has granted a petition from three
China-based creditors to put Ellen Tracy LLC was forced into
Chapter 7 bankruptcy protection, Tiffany Kary at Bloomberg News
reports.

As reported by the TCR on August 17, 2009, Shanghai K&J
Apparel Co., Chinamine Trading and Excellent Jade Ltd. -- owed a
total of $3.8 million by Ellen Tracy -- filed a bankruptcy
petition to send the Company to Chapter 7 liquidation.  The
petition was filed in Manhattan (Bankr. S.D.N.Y. Case No. 09-
14994).

Ellen Tracy LLC is a New York-based maker of women's dresses,
eyewear and luggage which started as a blouse company in 1949,
selling a dozen shirts for $36.  In February 2008, Liz Claiborne
Inc. sold the Ellen Tracy brand to investors including former
Bloomingdale's Chairman Marvin Traub and Barry Sternlicht, the
real-estate investor who heads Starwood Capital Group LLC.
The buyers paid $27.3 million in cash, and agreed to pay another
$15 million, depending on Ellen Tracy's performance through 2012.
The purchasers also include Radius Partners LLC and Windsong
Brands LLC's William Sweedler.


EMPIRE RESORTS: Amends Investment Agreement With Kien Huat Realty
-----------------------------------------------------------------
Empire Resorts, Inc., on September 30, 2009, entered into an
amendment to an Investment Agreement with Kien Huat Realty III
Limited, a corporation organized under the laws of the Isle of
Man, dated as of August 19, 2009, pursuant to which (i) on such
date the Company issued to Kien Huat 6,804,188 shares of its
common stock, par value $0.01 per share, or approximately 19.99%
of the outstanding shares of Common Stock on a pre-transaction
basis, for aggregate consideration of $11 million, and (ii) at a
future date, subject to and following stockholder approval of the
transaction, as required under applicable NASDAQ Marketplace
Rules, and the satisfaction of other customary closing conditions,
the Company will issue to Kien Huat an additional 27,701,852
shares of Common Stock for additional consideration of
$44 million.

Under the Investment Agreement, if any option or warrant
outstanding as of the closing of the First Tranche or the Second
Tranche (or, in limited circumstances, if issued after the closing
of the Second Tranche) is exercised after the closing of the First
Tranche, Kien Huat has the right (following notice of such
exercise) to purchase an equal number of additional shares of
Common Stock as are issued upon such exercise at the exercise
price for the applicable option or warrant.  The Amendment
clarifies that Kien Huat's Option Matching Right was intended to
extend to options and warrants exercised between the closing of
the First Tranche and the closing of the Second Tranche.

A full-text copy of the First Amendment and Clarification to the
Investment Agreement dated as of September 30, 2009, between
Empire Resorts, Inc. and Kien Huat Realty III Limited, is
available at no charge at http://ResearchArchives.com/t/s?467c

As reported by the Troubled Company Reporter, Empire Resorts on
August 20, 2009, made the interest payment to the Bank of New
York, as trustee, on the Company's 5-1/2%, senior convertible
notes of $2.6 million that was due on July 31, 2009.  The interest
payment was made within the time period permitted pursuant to the
indenture governing the Notes.

On July 29, 2009, as reported by the TCR, The Park Avenue Bank
delivered a notice to The Bank of New York advising that, as a
result of the occurrence of the event of default under the loan
agreement with The Park Avenue Bank, a standstill period has
commenced under the intercreditor agreement with respect to the
collateral.

The standstill period will continue until the earlier to occur of
(i) The Park Avenue Bank's express waiver or acknowledgement of
the cure of the applicable event of default in writing or the
occurrence of the discharge of the Loan Agreement secured
obligations, and (ii) the date that is 90 days from the date of
the Bank of New York's receipt of the standstill notice.

                       About Empire Resorts

Empire Resorts Inc. -- http://www.empiresorts.com/-- owns and
operates the Monticello Casino & Raceway, including slot machines
and a 230-acre harness racing facility in Sullivan County, 90
miles from midtown Manhattan.

As of June 30, 2009, Empire Resorts had total assets of
$45,791,000 against total debts of $81,489,000, resulting to total
stockholders' deficit of $35,698,000.  The $81,489,000 in
liabilities, which include $65,000,000 owing to convertible notes,
are all classified as "current liabilities".  The Company had
accumulated deficit of $105,375,000 as of June 30, 2009.


EMPIRE RESORTS: Sportsystems Management Services Deal Restated
--------------------------------------------------------------
Monticello Raceway Management, Inc., a wholly owned subsidiary of
Empire Resorts Inc., on September 30, 2009, entered into a
restated management services agreement with Sportsystems Gaming
Management at Monticello, LLC, a wholly owned subsidiary of
Delaware North Companies.

The Agreement revises and restates the management agreement dated
as of June 10, 2009, between MRMI and Sportsystems.  Under the
Original Agreement, MRMI retained Sportsystems to provide MRMI
with management and consulting services in connection with the
video gaming, food service, and related hospitality businesses
conducted by MRMI.  Pursuant to the Agreement, Sportsystems will
continue to advise and assist MRMI in its conduct of the day-to-
day operations of MRMI's video lottery gaming, food service and
related hospitality businesses at Monticello Gaming and Raceway
through December 31, 2009, as directed by MRMI.

In consideration for the services previously performed by
Sportsystems pursuant to the Original Agreement, contemporaneously
with the execution and delivery of the Agreement, MRMI agreed to
pay to Sportsystems $650,000 plus a base management fee of 0.75%
of the gross gaming revenue realized by MRMI for the months of
August and September 2009.  MRMI shall not be required to pay any
additional consideration for the ongoing advice and assistance to
be provided by Sportsystems pursuant to the Agreement.

As reported by the Troubled Company Reporter, Empire Resorts on
August 20, 2009, made the interest payment to the Bank of New
York, as trustee, on the Company's 5-1/2%, senior convertible
notes of $2.6 million that was due on July 31, 2009.  The interest
payment was made within the time period permitted pursuant to the
indenture governing the Notes.

On July 29, 2009, as reported by the TCR, The Park Avenue Bank
delivered a notice to The Bank of New York advising that, as a
result of the occurrence of the event of default under the loan
agreement with The Park Avenue Bank, a standstill period has
commenced under the intercreditor agreement with respect to the
collateral.

The standstill period will continue until the earlier to occur of
(i) The Park Avenue Bank's express waiver or acknowledgement of
the cure of the applicable event of default in writing or the
occurrence of the discharge of the Loan Agreement secured
obligations, and (ii) the date that is 90 days from the date of
the Bank of New York's receipt of the standstill notice.

                       About Empire Resorts

Empire Resorts Inc. -- http://www.empiresorts.com/-- owns and
operates the Monticello Casino & Raceway, including slot machines
and a 230-acre harness racing facility in Sullivan County, 90
miles from midtown Manhattan.

As of June 30, 2009, Empire Resorts had total assets of
$45,791,000 against total debts of $81,489,000, resulting to total
stockholders' deficit of $35,698,000.  The $81,489,000 in
liabilities, which include $65,000,000 owing to convertible notes,
are all classified as "current liabilities".  The Company had
accumulated deficit of $105,375,000 as of June 30, 2009.


ENRON CORP: Alfa, S.A.B., to Appeal Denial of Summary Judgment
--------------------------------------------------------------
Alfa, S.A.B. de C.V., seeks leave to appeal the order, dated
July 10, 2009, of Judge Arthur J. Gonzalez of the U.S. Bankruptcy
Court for the Southern District of New York, denying its motion
for summary judgment, to the Court of Appeals for the Second
Circuit.

According to Alfa, the Bankruptcy Court misread the Bankruptcy
Code's safe harbor provision that insulates certain pre-bankruptcy
transfers of a debtor's property -- a settlement payment by or to
a stockbroker -- from a preference and fraudulent transfer attack.

As previously reported, Enron sued Alfa and ninety-eight other
defendants on November 6, 2003, asserting that Enron's settlement
payments to J.P. Morgan Securities of Texas, Inc., to pay
commercial paper holders for their transfer of Enron commercial
paper, constitute preferential or fraudulent transfers.  Thus,
Enron claims that Alfa is liable for the $5.6 million Enron paid
to Morgan for the purchase of Alfa's commercial paper.

On appeal, Alfa wants the Second Circuit to review whether a
debtor's payment to a stockbroker and the stockbroker's settlement
payment to its customer for the purchase of the debtor's
commercial paper is insulated by Section 546(e) of the Bankruptcy
Code from a preference and fraudulent transfer attack made by the
debtor's bankruptcy trustee.

Alfa reiterates that it was entitled to summary judgment on
undisputed material facts.  Alfa adds that Enron's payment to J.P.
Morgan Securities, Inc., is precisely the kind of settlement
protected from recovery s either a preference or fraudulent
transfer.

                  Enron Opposes Leave to Appeal

Enron contends that the Motion for Leave simply repackages the
same failed arguments that the Bankruptcy Court rejected in two
prior motions for leave to appeal, while assiduously ignoring the
decision that the Bankruptcy Court did make: namely, that a fact
dispute exists as to whether Alfa "sold" its Enron commercial
paper on the secondary market.  According to Enron, rather than
address the Bankruptcy Court's actual ruling, the Motion tries to
rewrite it.

Specifically, Enron argues that:

(a) Alfa does not challenge the Bankruptcy Courts conclusion
     that, if J.P. Morgan had been acting as an agent for Enron,
     and not as a principal, the prepayments would not involve a
     secondary market sale of the commercial paper, would not
     constitute a settlement payment of a securities
     transaction, and thus would not implicate the safe
     harbor;

(b) Alfa fundamentally misreads the Bankruptcy Court's summary
     judgment decision.  Judge Gonzalez did not deny Alfa's
     summary judgment motion and set the matter in for a trial
     to "explore immaterial facts behind Enron's payment to the
     stockbroker . . . who bought Alfa's commercial paper."
     Instead, Enron notes, the Bankruptcy Court denied the
     motion and ordered a trial on an entirely different and
     utterly unremarkable issue: whether Alfa had in fact "sold"
     the commercial paper to J.P. Morgan;

(c) In ignoring the Bankruptcy Court's actual ruling, the
     Motion rests upon a false factual premise.  According to
     Alfa, it is a "critical undisputed fact" that "Alfa only
     dealt in the secondary market with Morgan, who initiated
     its repurchase of the Enron commercial paper."  According
     to Enron, those facts are disputed, however, and the
     Bankruptcy Court ordered a trial on that very issue;

(d) Alfa fails to demonstrate why the simple dispute of fact
     found by the Bankruptcy Court -- whether J.P. Morgan was
     acting as a principal or as an agent -- constitutes a fit
     subject for interlocutory appeal.  Enron relates that
     under the clear precedents of the Second Circuit and the
     Bankruptcy Court, a mere denial of summary judgment due to
     a fact dispute does not warrant interlocutory appeal;

(e) Even if it were appropriate to consider a factual dispute
     on interlocutory appeal, Alfa's evidence has a serious flaw
     -- it focuses on Alfa's alleged belief that J.P. Morgan
     was acting as a principal and not as an agent when J.P.
     Morgan paid Alfa;

(f) Even if the issue that Alfa does raise -- whether the
     Bankruptcy Court erred in construing the safe harbor to
     apply only to payments commonly made in the securities
     trade -- had figured in the Bankruptcy Court's summary
     judgment holding, the Bankruptcy Court reached that
     decision four years ago;

(g) Eighteen months ago, the Bankruptcy Court rejected
     essentially the same arguments regarding the scope of the
     safe harbor when it denied a motion by Alfa's co-Defendants
     seeking interlocutory appeal of the Bankruptcy Court's
     denial of their motions to dismiss;

(h) Alfa does not demonstrate why a trial limited to the issue
     of whether J.P. Morgan was acting as a principal would
     cause any particular burden, or why this case presents
     "exceptional circumstances" justifying the "rare" exception
     to the rule against piecemeal appeals before final
     judgment.  If Alfa proves at trial the factual premise for
     its Motion, then, under the ruling of the Bankruptcy Court,
     Alfa would win the trial and its safe harbor defense would
     apply.  None of the issues in the Motion will be
     implicated;

(i) Alfa's Motion has significant omissions and misstatements.
     To cite just one egregious error, Alfa repeatedly cites a
     law review article as support for its construction of the
     546(e) safe harbor; and

(j) Alfa's request that the Court certify a direct appeal to
     the Second Circuit is improper.  According to Enron, the
     statute allowing for that a direct appeal was enacted in
     2005 along with the other amendments that Alfa fails to
     distinguish, and is not retroactive.

In sum, the Debtors assert, Alfa's Motion fails at every point.

According to the Debtors, capping some 5-1/2 years of litigation,
the Bankruptcy Court has done its job and narrowed the many
complex issues in the case down to one discrete fact question that
at most would require a short trial to resolve.  Alfa insists that
the facts pertaining to that one issue are simple and indisputably
lie in its favor.  If so, the Debtors tell the Court, Alfa has
little reason to ask this Court to grant this procedurally
improper interlocutory appeal, which raises issues decided long
ago by the Bankruptcy Court that no longer are even at issue in
the case.  More likely than not, Alfa is seeking this appeal
simply to avoid a trial, the Reorganized Debtors assert.

                            About Enron

Based in Houston, Texas, Enron Corporation filed for Chapter 11
protection on December 2, 2001 (Bankr. S.D.N.Y. Case No. 01-
16033) following controversy over accounting procedures, which
caused Enron's stock price and credit rating to drop sharply.

Enron hired lawyers at Togut Segal & Segal LLP; Weil, Gotshal &
Manges LLP, Venable; Cadwalader, Wickersham & Taft, LLP for its
bankruptcy case.  The Official Committee of Unsecured Creditors in
the case tapped lawyers at Milbank, Tweed, Hadley & McCloy LLP.

The Debtors filed their Chapter Plan and Disclosure Statement on
July 11, 2003.  On January 9, 2004, they filed their fifth Amended
Plan and on the same day the Court approved the adequacy of the
Disclosure Statement.  On July 15, 2004, the Court confirmed the
Debtors' Modified Fifth Amended Plan and that plan was declared
effective on November 17, 2004.

After the approval of the Plan, the new board of directors decided
to change the name of Enron Corp. to Enron Creditors Recovery
Corp. to reflect the current corporate purpose.  ECRC's sole
mission is to reorganize and liquidate certain of the operations
and assets of the "pre-bankruptcy" Enron for the benefit of
creditors.

ECRC has been involved in the MegaClaims Litigation, an action
against 11 major banks and financial institutions that ECRC
believes contributed to Enron's collapse; the Commercial Paper
Litigation, an action involving the recovery of payments made to
commercial paper dealers; and the Equity Transactions Litigation,
which ECRC filed against Lehman Brothers Holdings, Inc., UBS AG,
Credit Suisse and Bear Stearns to recover payments made to the
four banks on transactions involving Enron's stock while the
company was insolvent.

(Enron Bankruptcy News; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


ENRON CORP: No Reserve for Glatzer's Disallowed Claim
-----------------------------------------------------
Enron Creditors Recovery Corp., and its affiliated reorganized
debtors, filed with the Court a statement in response to a
September 18, 2009 letter in which Bernard H. Glatzer asserted
that a reserve should have been established for his claims.  Mr.
Glatzer's letter was not filed with the Court.

The Reorganized Debtors assert that more than five years after Mr.
Glatzer's claim was disallowed pursuant to Section 502 of the
Bankruptcy Code, Mr. Glatzer claims that they should have a
reserve for his disallowed claims -- a suggestion that is
incorrect in light of the history of his claims and the provisions
of the Debtors' plan of reorganization.

The Reorganized Debtors point out that Section 1.87 of the
Supplemental Modified Fifth Amended Joint Plan of Affiliated
Debtors Pursuant to Chapter 11 of the United States Bankruptcy
Code provides that claims like Mr. Glatzer's that are disallowed
pursuant to Section 502 receive a "zero" reserve.

The Reorganized Debtors contend that if a claim has been
disallowed pursuant to Section 502, there is no need to reserve
for it absent an affirmative order of the Court requiring the
establishment of a reserve which did not occur.

                          About Enron

Based in Houston, Texas, Enron Corporation filed for Chapter 11
protection on December 2, 2001 (Bankr. S.D.N.Y. Case No. 01-
16033) following controversy over accounting procedures, which
caused Enron's stock price and credit rating to drop sharply.

Enron hired lawyers at Togut Segal & Segal LLP; Weil, Gotshal &
Manges LLP, Venable; Cadwalader, Wickersham & Taft, LLP for its
bankruptcy case.  The Official Committee of Unsecured Creditors in
the case tapped lawyers at Milbank, Tweed, Hadley & McCloy LLP.

The Debtors filed their Chapter Plan and Disclosure Statement on
July 11, 2003.  On January 9, 2004, they filed their fifth Amended
Plan and on the same day the Court approved the adequacy of the
Disclosure Statement.  On July 15, 2004, the Court confirmed the
Debtors' Modified Fifth Amended Plan and that plan was declared
effective on November 17, 2004.

After the approval of the Plan, the new board of directors decided
to change the name of Enron Corp. to Enron Creditors Recovery
Corp. to reflect the current corporate purpose.  ECRC's sole
mission is to reorganize and liquidate certain of the operations
and assets of the "pre-bankruptcy" Enron for the benefit of
creditors.

ECRC has been involved in the MegaClaims Litigation, an action
against 11 major banks and financial institutions that ECRC
believes contributed to Enron's collapse; the Commercial Paper
Litigation, an action involving the recovery of payments made to
commercial paper dealers; and the Equity Transactions Litigation,
which ECRC filed against Lehman Brothers Holdings, Inc., UBS AG,
Credit Suisse and Bear Stearns to recover payments made to the
four banks on transactions involving Enron's stock while the
company was insolvent.

(Enron Bankruptcy News; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


ENRON CORP: UC Regents to Settle With Goldman for $11.5MM
---------------------------------------------------------
The Regents of the University of California and Nathaniel
Pulsifer, Trustee of the Shooters Hill Revocable Trust, in The
Regents of the University of California, et al. v. Milbank Tweed,
et al., No. H-04-0088, seek preliminary approval of a proposed
settlement of the Action with Goldman, Sachs & Co., certifying a
Settlement Class, approving the form and manner of giving notice
to the Settlement Class of the settlement, and setting a hearing
for final approval of the Settlement.

Mr. Pulsifer request that the motion be granted not only because
public policy favors the settlement of complex class actions, but
the settlement has achieved a very good result for the Settlement
Class.

To recall, the Regents executed a tolling agreement with certain
Goldman Sachs entities in April 2002.  The Regents and Mr.
Pulsifer filed a complaint alleging claims under Section 11 of the
Securities Act of 1933 against Goldman Sachs.  Mr. Pulsifer
alleged that Goldman Sachs violated Section 11 in connection with
Enron's offering of the 7% Exchangeable Notes in August 1999.
Goldman Sachs filed its motion to dismiss in March 2004 and the
parties completed briefing on the motion in May 2004.  The Court
denied Goldman Sachs' Motion to Dismiss in December 2005.

Goldman Sachs later moved for judgment on the ground that the
Regents did not have standing to pursue the claim.  Goldman Sachs
filed a second motion for judgment and opposed class certification
of the grounds, among others, that the class was not sufficiently
numerous and that Representative Plaintiffs failed to prove loss
causation.

The settlement for the class resolves the Action with respect to
Goldman Sachs and no other defendant.  The settlement provides for
the establishment of a settlement fund amounting to $11.5 million
for the benefit of the Settlement Class.

Moreover, the Regents assert that in order to go forward with the
settlement approval process, it is necessary that the Court
certify a class in the Action for purposes of the settlement.
Federal Rule of Civil Procedure 23 provides that an action may be
maintained as a class action if each of the four prerequisites of
Rule 23(a) is met, in addition, the action qualifies under one of
the subdivisions of Rule 23(b).

Rule 23(a) provides that one or more members of a class may sue or
be sued as representative parties on behalf of all only if:

  (1) the class is so numerous that joinder of all members is
      impracticable;

  (2) there are questions of law or fact common to the class;

  (3) the claims or defenses of the representative parties are
      typical of the claims or defenses of the class; and

  (4) the representative parties will fairly and adequately
      protect the interest of the class.

The Regents tell the Court that during the class period, there
were millions of dollars of Enron's 7% Exchangeable Notes
outstanding and traded by hundreds, if not thousands, of class
members.  In the offering, $255 million of the Notes were sold,
The Regents add.  According to the Regents, the threshold for a
presumption of impracticality of joinder is thus exceeded.

The Regents relate that the Action presents numerous common
questions of both law and fact, including, among other things:

  (a) whether Goldman Sachs' acts as alleged violated the
      federal securities laws;

  (b) whether the registration statements filed in connection
      with the sale of certain Enron notes during the class
      period misrepresented material facts about the operations,
      financial condition and earnings of Enron; and

  (c) to what extent the members of the class have sustained
      damages and the proper measure of damages.

A full-text copy of the Goldman Settlement is available for free
at http://bankrupt.com/misc/Enron_GoldmanSettlement2.pdf

                            About Enron

Based in Houston, Texas, Enron Corporation filed for Chapter 11
protection on December 2, 2001 (Bankr. S.D.N.Y. Case No. 01-
16033) following controversy over accounting procedures, which
caused Enron's stock price and credit rating to drop sharply.

Enron hired lawyers at Togut Segal & Segal LLP; Weil, Gotshal &
Manges LLP, Venable; Cadwalader, Wickersham & Taft, LLP for its
bankruptcy case.  The Official Committee of Unsecured Creditors in
the case tapped lawyers at Milbank, Tweed, Hadley & McCloy LLP.

The Debtors filed their Chapter Plan and Disclosure Statement on
July 11, 2003.  On January 9, 2004, they filed their fifth Amended
Plan and on the same day the Court approved the adequacy of the
Disclosure Statement.  On July 15, 2004, the Court confirmed the
Debtors' Modified Fifth Amended Plan and that plan was declared
effective on November 17, 2004.

After the approval of the Plan, the new board of directors decided
to change the name of Enron Corp. to Enron Creditors Recovery
Corp. to reflect the current corporate purpose.  ECRC's sole
mission is to reorganize and liquidate certain of the operations
and assets of the "pre-bankruptcy" Enron for the benefit of
creditors.

ECRC has been involved in the MegaClaims Litigation, an action
against 11 major banks and financial institutions that ECRC
believes contributed to Enron's collapse; the Commercial Paper
Litigation, an action involving the recovery of payments made to
commercial paper dealers; and the Equity Transactions Litigation,
which ECRC filed against Lehman Brothers Holdings, Inc., UBS AG,
Credit Suisse and Bear Stearns to recover payments made to the
four banks on transactions involving Enron's stock while the
company was insolvent.

(Enron Bankruptcy News; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


EQUIPMENT FINDERS: Files List of 20 Largest Unsecured Creditors
---------------------------------------------------------------
Equipment Finders of Tennessee, Inc., filed with the U.S.
Bankruptcy Court for the Middle District of Tennessee a list of
its largest unsecured creditors, disclosing:

   Entity                                         Claim Amount
   ------                                         ------------
Textron                                            $2,890,923
Dept. AT 40219
Atlanta, GA 31192

Niftylift, Inc.                                       $86,762
32 Concourse Way
Greer SC 29650

Tennessee Department of Revenue                       $79,679
Andrew Jackson oofice Bldg.
500 Deadrick Street
Chattanooga, TN 37424

Shorkel International                                 $28,011

Evergreen Tank Solutions                              $26,413

Leevee Lift, Inc.                                     $23,681

CAT Rental Store                                      $23,473

Davidson County Clerk                                 $21,292

FIA Card services                                     $17,227

Metro Ready Mix, Inc.                                 $16,095

Solidad Industrial Tire, Inc.                         $12,828

RAM Corporation                                        $7,859

Industrial Contractors, Inc.                           $7,690

Material Handling Resources                            $7,599

Garrisson Service Company                              $6,809

Toyo Seat USA Corporation                              $6,797

NAPA - Nashville                                       $6,565

Mayville Engineering Company                           $6,488

Vulcan Materials Co.                                   $6,274

Hawkins Equipment Sales                                $6,050

Nashville, Tennessee-based Equipment Finders of Tennessee, Inc.,
filed for Chapter 11 on Sept. 11, 2009 (Bankr. M.D. Tenn. Case No.
09-10426).  William L. Norton III, Esq., at Bradley Arant Boult
Cummings LLP, represents the Debtor in its restructuring effort.
In its petition, the Debtor listed assets and debts both ranging
from $10,000,001 to $50,000,000.


EQUIPMENT FINDERS: Taps Tune Entrekin as Litigation Counsel
-----------------------------------------------------------
Equipment Finders of Tennessee, Inc., asks the U.S. Bankruptcy
Court for the Middle District of Tennessee for permission to
employ Tune, Entrekin & White, P.C., as special litigation
counsel.

Tune Entrekin will represent the Debtor in a certain litigation in
Middle Tennessee for the collection of accounts owed to the
Debtor.

Stephen Lund, an associate at Tune Entrekin, tells the Court that
as of the petition date, the Debtor owed the firm $350 for
prepetition legal services.  Mr. Lund adds that his hourly rate is
$175.

Mr. Lund assures the Court that Tune Entrekin is a "disinterested
person" as that term is defined in Section 101(14) of the
Bankruptcy Code.

Mr. Lund can be reached at:

     Tune, Entrekin & White, P.C.
     Regions Center, Suite 1700
     Nashville, TN 37238
     Tel: (615) 244- 2770

                About Equipment Finders of Tennessee

Nashville, Tennessee-based Equipment Finders of Tennessee, Inc.,
filed for Chapter 11 on Sept. 11, 2009 (Bankr. M.D. Tenn. Case No.
09-10426).  William L. Norton III, Esq., at Bradley Arant Boult
Cummings LLP represents the Debtor in its restructuring effort.
In its petition, the Debtor listed assets and debts both ranging
from $10,000,001 to $50,000,000.


EXTENDED STAY: Creditors Committee Retains BMC as Info Agent
------------------------------------------------------------
The Official Committee of Unsecured Creditors in Extended Stay
Inc.'s cases seeks the Court's authority to hire BMC Group Inc. as
its information agent.

The Creditors Committee wants to tap the services of BMC Group in
order to comply with its obligations, which include providing
creditors access to information, and soliciting and receiving
comments from creditors.

As information agent, BMC Group will be tasked to establish and
maintain an Internet-accessed Web site that provides a link or
other forms of access to the Web site maintained by the Debtors'
claims agent, and information, including highlights of
significant events in the Debtors' bankruptcy cases.  The firm
will also be tasked to distribute updates regarding the Debtors'
cases for creditors that have registered for such service on the
Creditors Committee's Web site.

BMC Group will be paid for its services with respect to case
management at these hourly rates:

  Data Entry/Administrative Support      $25 to $45
  Analysts                               $80 to $110
  Consultants                            $110 to $140
  Project Managers                       $175 to $225
  Principal/Director                     $250

A copy of the list detailing BMC Group's fees and other charges
is available for free at http://bankrupt.com/misc/ESIBMCFees.pdf

Tinamarie Feil, president for Client Services at BMC, assures the
Court that her firm does not have interests adverse to the
interests of the Debtors' estates, and that her firm is a
"disinterested person" under section 101(14) of the Bankruptcy
Code.

                        About Extended Stay

Extended Stay is the largest owner and operator of mid-price
extended stay hotels in the United States, holding one of the most
geographically diverse portfolios in the lodging sector with
properties located across 44 states (including 11 hotels located
in New York) and two provinces in Canada. As a result of
acquisitions and mergers, Extended Stay's portfolio has expanded
to encompass over 680 properties, consisting of hotels directly
owned or leased by Extended Stay or one of its affiliates.
Extended Stay currently operates five hotel brands: (i) Crossland
Economy Studios, (ii) Extended Stay America, (iii) Extended Stay
Deluxe, (iv) Homestead Studio Suites, and (v) StudioPLUS Deluxe
Studios.

For the year ending December 31, 2008, Extended Stay's audited
financial statements show consolidated assets (including nondebtor
affiliates) totaling approximately $7.1 billion and consolidated
liabilities totaling approximately $7.6 billion.  Consolidated
revenues for the 12 months ending December 31, 2008 were
approximately $1 billion.

Extended Stay Inc. and its affiliates filed for Chapter 11 on
June 15, 2009 (Bankr. S.D.N.Y. Case No. 09-13764).  Judge James M.
Peck handles the case.  Marcia L. Goldstein, Esq., at Weil Gotshal
& Manges LLP, in New York, represents the Debtors.  Lazard Freres
& Co. LLC is the Debtors' financial advisors.  Kurtzman Carson
Consultants LLC is the claims agent.

Bankruptcy Creditors' Service, Inc., publishes Extended Stay
Bankruptcy News.  The newsletter provides gavel-to-gavel coverage
of the Chapter 11 proceedings undertaken by Extended Stay Inc. and
its various affiliates. (http://bankrupt.com/newsstand/or
215/945-7000).


EXTENDED STAY: ESH/HV Properties' Schedules of Assets & Debts
-------------------------------------------------------------
A.     Real Property                               $927,280,085
      See: http://bankrupt.com/misc/ESHHVProp_SchedA.pdf

B.     Personal Property
B.1    Cash on hand                                      41,649
B.2    Bank Accounts
        Bank of America, Acct 3756329236                391,940
        Bank of America, Acct 3756581469                  6,026
        Regions Bank, Acct 4571800                        8,714
        US Bank, Acct 153910195533                       17,832
        Wachovia Bank NA, Acct 2090002757071             24,199
        Wells Fargo Bank, Acct 4159755362                72,405
B.3    Security Deposits
        Various Sales Tax Deposit as of 5/2009           48,313
        Various Utilities Deposit as of 5/2009          201,620
B.4    Household goods                                        0
B.5    Collectibles                                           0
B.6    Wearing apparel                                        0
B.7    Jewelry                                                0
B.8    Firearms, other hobby equipment                        0
B.9    Interests in Insurance Policies
        General Liability Loss Fund                     319,722
        Prepaid Insurance Premium
           Auto                                           4,992
           Directors & Officers                         599,722
           General Liability                             39,386
           Excess Umbrella                                7,969
           Property Pollution                            28,590
           Property Damage                              777,449
        See: http://bankrupt.com/misc/ESHHVProp_SchedB9.pdf
B.10   Annuities                                              0
B.11   Interests in an education IRA                          0
B.12   Interests in IRA, ERISA, other Pension Plans           0
B.13   Business Interests and stocks                          0
B.14   Interests in partnerships                              0
B.15   Government and Corporate Bonds                         0
B.16   Accounts Receivable
         Customer Accounts                            2,627,194
B.17   Alimony, support                                       0
B.18   Other Liquidated Debts
         Wachovia Bank NA                               387,497
B.19   Equitable or future interests, life estate             0
B.20   Other Contingent & Unliquidated Claims                 0
B.21   Intellectual Property                                  0
B.22   Patents                                                0
B.25   Vehicles                                               0
B.27   Aircraft and accessories                               0
B.28   Office equipment, furnishings and supplies             0
B.29   Machinery                                     37,879,648
        See: http://bankrupt.com/misc/ESHHVProp_SchedB29.pdf
B.30   Inventory                                              0
B.35   Other Personal Property
         Below market ground lease intangible, LV       354,678
         Corp. customer relationship intangibles      2,619,104
         Deferred financing costs                     3,026,438
         Email database intangible                       17,525
         Miscellaneous property operating receivables     1,425
         Prepaid ground lease                            18,295
         Prepaid property operating expenses             24,644

       TOTAL SCHEDULED ASSETS                      $978,604,891
       ========================================================

C.     Property Claimed as Exempt                             -

D.     Secured Claim                             $4,099,849,448
         U.S. Bank NA, Mortgage Loan
         Wells Fargo Bank NA, Mortgage Loan
         ** total secured claim amount not
            segregated as to the identified
            secured creditors

E.     Unsecured Priority Claims
         Alexander Shaw                                 Unknown
         Colorado Land Consultants Inc.                 Unknown
         HVM LLC                                        Unknown
         James J. Wermers Construction Company          Unknown
         Klover Architects, Inc.                        Unknown
         New Jersey Dept. of Transportation             Unknown
         Togawa Smith Martin Residential, Inc.          Unknown
         Wermer Builders Inc.                           Unknown
         Wermer Corporation                             Unknown
         Wermer Multi Family Corporation                Unknown

       TOTAL SCHEDULED LIABILITIES               $4,099,849,448
       ========================================================

ESH/HV Properties L.L.C. also submitted to the Court a list of
executory contracts and leases, which include these
counterparties:

  Contract Party                 Contract Type
  --------------                 -------------
  Enterprise, in Connecticut      Van Lease
  Enterprise, in Missouri         Van Lease
  Global Tower Assets LLC         Antennae Lease
  Homestead Village LLC           Trademark License Agreement
  HVM LLC                         Management Agreement
  Paradise Homes                  Ground Lease
  TAW Cameron Run LLC             Parking Lease
  The Molasky Group of Companies  Real Property Lease
  Wells Fargo Bank NA             Parking Lease

                        About Extended Stay

Extended Stay is the largest owner and operator of mid-price
extended stay hotels in the United States, holding one of the most
geographically diverse portfolios in the lodging sector with
properties located across 44 states (including 11 hotels located
in New York) and two provinces in Canada. As a result of
acquisitions and mergers, Extended Stay's portfolio has expanded
to encompass over 680 properties, consisting of hotels directly
owned or leased by Extended Stay or one of its affiliates.
Extended Stay currently operates five hotel brands: (i) Crossland
Economy Studios, (ii) Extended Stay America, (iii) Extended Stay
Deluxe, (iv) Homestead Studio Suites, and (v) StudioPLUS Deluxe
Studios.

For the year ending December 31, 2008, Extended Stay's audited
financial statements show consolidated assets (including nondebtor
affiliates) totaling approximately $7.1 billion and consolidated
liabilities totaling approximately $7.6 billion.  Consolidated
revenues for the 12 months ending December 31, 2008 were
approximately $1 billion.

Extended Stay Inc. and its affiliates filed for Chapter 11 on
June 15, 2009 (Bankr. S.D.N.Y. Case No. 09-13764).  Judge James M.
Peck handles the case.  Marcia L. Goldstein, Esq., at Weil Gotshal
& Manges LLP, in New York, represents the Debtors.  Lazard Freres
& Co. LLC is the Debtors' financial advisors.  Kurtzman Carson
Consultants LLC is the claims agent.

Bankruptcy Creditors' Service, Inc., publishes Extended Stay
Bankruptcy News.  The newsletter provides gavel-to-gavel coverage
of the Chapter 11 proceedings undertaken by Extended Stay Inc. and
its various affiliates. (http://bankrupt.com/newsstand/or
215/945-7000).


EXTENDED STAY: ESH/HV Properties' Statement of Fin'l Affairs
------------------------------------------------------------
F. Joseph Rogers, assistant secretary of ESH/HV Properties
L.L.C., relates that the company earned revenues from the
operations of its business during the two years immediately
before the Petition Date:

    Period                              Amount
    ------                           -------------
    1/01/09 - 06/14/09                $49,110,647
    1/01/08 - 12/31/08               $149,058,091
    1/01/07 - 12/31/07               $159,532,269

No income was earned by the Company from other sources other than
employment or operation of its business.

According to Mr. Rogers, within a year before the Petition Date,
ESH/HV Properties made payments, totaling $67,112,404, for the
benefit of creditors who are or were insiders of the Company.  A
breakdown of the insider payments are:

    HVM LLC
       Management Fees                           $5,041,497
       G&A reimbursement                          9,958,660
       Pass-Through Costs:
          Property operating expenses            46,446,578
          Personal property taxes paid              310,044
          Property damage loss claim payments       565,241
          Capital expenditures                    4,790,383
                                               ------------
                                                $67,112,404

The Company is also a party to these pending proceedings and
lawsuits within one year before the Petition Date:

Suit Caption                             Nature of proceeding
------------                             --------------------
BRE/HV Properties LLC v. Wermers          Breach of contract
Multi-family Corporation, James J.
Wermers Construction Company,
Wermers Builders Inc., Wermers Corp.,
Colorado Land Consultants Inc.,
Togawa Smith Martin Residential Inc.
Klover Architects Inc.
Case No. 04-AS-01135
Sacramento County Superior Court, in
San Diego, California

Alexander Shaw v. ESH/HV Properties LLC,    General Liability
Zurich American Insurance Company
Case No. 08-08-55931
Circuit Court of the 17th Judicial
Circuit in Fort Lauderdale, Florida

State of New Jersey by Commissioner of      Condemnation and
Transportation vs BRE/HV Properties LLC,    breach of contract
Homestead Village Incorporated, Bank
of America, Merrill Lynch Mortgage Lending
Inc; Bear Sterns Funding Inc; Donald
Witmondt; Maurice Soussa, Township of
Hanover
Case No. MRS-L-1659-06
Superior Court of New Jersey Law Division,
Morris County, in Morristown, New Jersey

The Company listed losses from fire, theft, and other causes,
totaling $898, 000, within a year before the Petition Date.
A list of the specific losses and the corresponding loss amount
is available for free at:

          http://bankrupt.com/misc/ESHHVProp_SOFA8.pdf

HVM LLC and The Lightstone Group supervised the keeping of the
Company's books and records within two years preceding the
Petition Date.

HVM LLC and Ernst & Young are the entities that have audited the
books and records of ESH/HV Properties within two years of the
Petition Date.

David Lichtenstein is the current chief executive officer and
president of ESH/Properties.  Joseph Winrich and Robert Rowell
are independent directors of the Company, while Joseph Teichman
is secretary general counsel to the Company.

ESH/Homestead Mezz L.L.C. has a 100% stock ownership in ESH/HV
Properties.

                        About Extended Stay

Extended Stay is the largest owner and operator of mid-price
extended stay hotels in the United States, holding one of the most
geographically diverse portfolios in the lodging sector with
properties located across 44 states (including 11 hotels located
in New York) and two provinces in Canada. As a result of
acquisitions and mergers, Extended Stay's portfolio has expanded
to encompass over 680 properties, consisting of hotels directly
owned or leased by Extended Stay or one of its affiliates.
Extended Stay currently operates five hotel brands: (i) Crossland
Economy Studios, (ii) Extended Stay America, (iii) Extended Stay
Deluxe, (iv) Homestead Studio Suites, and (v) StudioPLUS Deluxe
Studios.

For the year ending December 31, 2008, Extended Stay's audited
financial statements show consolidated assets (including nondebtor
affiliates) totaling approximately $7.1 billion and consolidated
liabilities totaling approximately $7.6 billion.  Consolidated
revenues for the 12 months ending December 31, 2008 were
approximately $1 billion.

Extended Stay Inc. and its affiliates filed for Chapter 11 on
June 15, 2009 (Bankr. S.D.N.Y. Case No. 09-13764).  Judge James M.
Peck handles the case.  Marcia L. Goldstein, Esq., at Weil Gotshal
& Manges LLP, in New York, represents the Debtors.  Lazard Freres
& Co. LLC is the Debtors' financial advisors.  Kurtzman Carson
Consultants LLC is the claims agent.

Bankruptcy Creditors' Service, Inc., publishes Extended Stay
Bankruptcy News.  The newsletter provides gavel-to-gavel coverage
of the Chapter 11 proceedings undertaken by Extended Stay Inc. and
its various affiliates. (http://bankrupt.com/newsstand/or
215/945-7000).


FINLAY ENTERPRISES: Court OKs Togut Segal as Conflicts Counsel
--------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
authorized Finlay Enterprises, Inc., and its debtor-affiliates to
employ Togut, Segal & Segal, LLP, as conflicts counsel.

The Court also approved the retention of Moses & Singer LLP as
counsel to the Official Committee of Unsecured Creditors.

In a separate application, the Debtors asked the Court for
authority to employ Alvarez & Marsal North America, LLC, to
provide the Debtors with a chief restructuring officer and
additional personnel.  A hearing on consider Alvarez & Marsal will
be held on Oct. 27, 2009, at 10:00 a.m. (Prevailing Eastern Time.)

Finlay Enterprises, Inc. (OTC Bulletin Board: FNLY) through its
wholly owned subsidiary, Finlay Fine Jewelry Corporation, is a
retailer of fine jewelry operating luxury stand-alone specialty
jewelry stores and licensed fine jewelry departments in department
stores throughout the United States and achieved sales of
$754.3 million in fiscal 2008.  The number of locations at the end
of the second quarter ended August 1, 2009, totaled 182, including
67 Bailey Banks & Biddle, 34 Carlyle and four Congress specialty
jewelry stores and 77 licensed departments with The Bon Ton.

The Company and seven affiliates filed for Chapter 11 on August 5,
2009 (Bankr. S. D. N.Y. Case No. 09-14873).  Weil, Gotshal &
Manges LLP, serves as bankruptcy counsel.  Alvarez & Marsal North
America, LLC, is engaged as restructuring advisor in the Chapter
11 case, and the firm's David Coles is appointed as chief
restructuring officer.  Epiq Bankruptcy Solutions, LLC, serves as
claims and notice agent.  Judge James Peck presides over the case.

In its bankruptcy petition, Finlay Enterprises disclosed assets of
$331,824,000 against debts of $385,476,000 as of July 4, 2009.  As
of the petition date, Finlay owes $38 million outstanding under a
first lien credit agreement, $24.7 million under second lien
notes, $176.6 million outstanding under third lien notes (in
addition to $17.5 million to secured vendors), and $40.6 million
under remaining unsecured obligations under the senior notes.

On September 25, 2009, the Bankruptcy Court appointed Gordon
Brothers Retail Partners, LLC, as agent for Finlay Enterprises and
its affiliates and subsidiaries to conduct "store closing" or
similar sales of merchandise located at all of the Company's
retail store locations and the Company's two distribution centers.
The transaction is expected to be completed by February 28, 2010.
Gordon Brothers bid 85.75 cents on the dollar for inventory valued
at an estimated $116 million for closings sales of 49 Finlay
stores.  Gordon had a prepetition contract to conduct store
closings sales for 55 other stores.


FONTAINEBLEAU LV: Contractors Want Lift Stay to Perfect Liens
-------------------------------------------------------------
In separate filings, prepetition contractors Warner Enterprises,
Inc. doing business as Sun Valley Electric Supply Co., Safe
Electronic, Inc., and Desert Fire Protection, a Nevada Limited
Partnership , prepetition contractors for the Debtors and
construction lien claimant pursuant to Nevada Revised Statutes
Section 108.221 through Section 108.246, ask the Court to lift
the automatic stay under Section 362(b) of the Bankruptcy Court
and Rule 4001-1 of the Local Bankruptcy Rules of the U.S.
Bankruptcy for the Southern District of Florida, so as to perfect
their construction lien claims against the property of Debtor
Fontainebleau Las Vegas, LLC.

The Contractors entered into various contracts to supply work,
materials, and equipment, for which payment is due, for the
Debtors' construction of their "Tier A" casino hotel resort --
the Project.  The Contractors recorded their claims at the Clark
County Recorder, at Clark County, in Nevada.  The Contractors
assert these lien claim amounts against the Debtor:

Contractor                 Contract            Claim Amount
----------                 --------            ------------
Desert Fire            Tower Contract with      $1,693,407
                        Fontainebleau Las
                        Vegas, LLC

                        Podium Contract with    $12,864,953
                        Fontainebleau Las
                        Vegas, LLC

                        Central Plant Contract   $2,528,017
                        with Fontainebleau Las
                        Vegas, LLC

Safe Electronic, Inc.  Podium Contract with     $2,907,288
                        Turnberry West
                        Construction, Inc.

                        Convention Center          $669,910
                        Contract with
                        Fontainebleau Las
                        Vegas, LLC

                        Turnberry Contract         $923,862
                        with Turnberry West
                        Construction, Inc.

Warner Enterprises,    Tower Contract with         $91,315
Inc.                   Bombard Electric, LLC

                        Podium Contract with       $379,562
                        Conti Electric, Inc.

                        Garage Contract with        $80,981
                        Conti Electric, Inc.

On June 6, 2007, the Prepetition Term Lenders and Prepetition
Revolver Lenders and the Debtors closed on a variety of loans to
fund the continued construction of the Project.

Work on the Project commenced on or about November 2006.
Commencement of this work was prior to signing and closing of the
June 6, 2007 Loans.  The Contractors assert that any valid
mechanics' liens on the Project are superior to the liens granted
to the Lenders in connection with the June 6, 2007 Loans.  The
adjudication of that issue will be resolved by separate adversary
proceeding.  The Contractors seek relief from the automatic stay,
to the extent applicable -- if at all, nunc pro tunc to the
Petition Date, in order to record its liens against the Project.

In separate filings, Bombard Mechanical, LLC, Austin General
Contracting Inc., and Absocold Corporation, informed the Court
that no parties have objected to their Stay Motions.
Accordingly, the Contractors ask the Court to grant their
Motions.

                  About Fontainebleau Las Vegas

Fontainebleau Las Vegas Holdings, LLC --
http://www.fontainebleau.com/-- is constructing a luxury resort,
Fontainebleu Las Vegas, on the northern end of the Las Vegas
Strip.

Fontainebleau Las Vegas Holdings, LLC, Fontainebleau Las Vegas,
LLC, Fontainebleau Las Vegas Capital Corp. filed for Chapter 11
protection on June 9, 2009 (Bankr. S.D. Fla. Lead Case No.
09-21481).  Judge A. Jay Cristol presides over the Debtors' cases.
Scott L Baena, Esq., at Bilzin Sumberg Baena Price & Axelrod LLP,
represents the Debtors in their restructuring efforts.  The
Debtors' Financial Advisor are Moelis & Company LLC and Citadel
Derivatives Group LLC.  The Debtors' Special Litigation Counsel is
David M. Friedman, Esq., at Kasowitz, Benson, Torres & Friedman
LLP and the Debtors' Special Counsel is Jack J. Kessler, Esq., and
Alan Rubin, Esq., at Buchanan Ingersoll & Rooney PC.  The Debtors'
Claims Agent is Kurtzman Carson Consulting LLC.  Attorneys at
Genovese Joblove & Battista, P.A., and Fox Rothschild, LLP,
represent the Official Committee of Unsecured Creditors.

As of June 9, 2009, Fontainebleau Las Vegas LLC listed more than
$1 billion in debt and a similar amount in assets, while each of
Fontainebleau Las Vegas Capital Corp. and Fontainebleau Las Vegas
Holdings, LLC, listed less than $50,000 in assets and more than
$1 billion in debts.

Bankruptcy Creditors' Service, Inc., publishes Fontainebleau
Bankruptcy News.  The newsletter tracks the Chapter 11 proceedings
of Fontainebleau Las Vegas Holdings, LLC, and its debtor-
affiliates.  (http://bankrupt.com/newsstand/or 215/945-7000)


FORD MOTOR: US Consortium Makes Bid for Swedish Unit Volvo
----------------------------------------------------------
Andrew Ward and John Reed at The Financial Times report that Crown
consortium has made an offer for Ford Motor Co.'s Swedish unit
Volvo.

Citing people close to the sale, the FT discloses the US-led
consortium is fronted by Michael Dingman, a former Ford director
and veteran turnround specialist, and Shamel Rushwin, a former
executive at Ford and Chrysler.

The FT says financing has been fully secured from US private
equity groups, but the consortium is seeking additional backing
from Swedish investors to signal its commitment to keep Volvo in
the country.

According to the FT, another informed person said the consortium
had offered Ford significantly less than China's Geely Automobile,
but that both bids involved similar plans for more than
US$3 billion of additional investment in Volvo after completion of
any deal.

As reported in the Troubled Company Reporter-Asia on Sept. 28,
2009, The Wall Street Journal said Geely emerged as the leading
contender to acquire Volvo.  The WSJ disclosed that Ford is in the
process of analyzing a recent Geely bid to acquire 100% of Volvo
for approximately US$2.5 billion.  According to the Journal, the
offer is higher than Ford or outsiders had expected for a brand
that has lost more than US$1 billion in recent years.

                         About Ford Motor

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures or distributes automobiles in
200 markets across six continents.  With about 260,000 employees
and about 100 plants worldwide, the company's core and affiliated
automotive brands include Ford, Jaguar, Land Rover, Lincoln,
Mercury, Volvo, Aston Martin, and Mazda.  The company provides
financial services through Ford Motor Credit Company.

The Company has operations in Japan in the Asia Pacific region. In
Europe, the Company maintains a presence in Sweden, and the United
Kingdom.  The Company also distributes its brands in various
Latin-American regions, including Argentina and Brazil.

                           *     *     *

As reported by the Troubled Company Reporter on April 15, 2009,
Standard & Poor's Ratings Services said it raised its ratings on
Ford Motor Co. and related entities, including the corporate
credit rating, to 'CCC+' from 'SD-'.  The ratings on Ford Motor
Credit Co. are unchanged, at 'CCC+', and the ratings on FCE Bank
PLC, Ford Credit's European bank, are also unchanged, at 'B-',
maintaining the one-notch rating differential between FCE and its
parent Ford Credit.  S&P said that the outlook on all entities is
negative.

Moody's Investors Service in December 2008 lowered the Corporate
Family Rating and Probability of Default Rating of Ford Motor
Company to Caa3 from Caa1 and lowered the company's Speculative
Grade Liquidity rating to SGL-4 from SGL-3.  The outlook is
negative.  The downgrade reflects the increased risk that Ford
will have to undertake some form of balance sheet restructuring in
order to achieve the same UAW concessions that General Motors and
Chrysler are likely to achieve as a result of the recently-
approved government bailout loans.  Such a balance sheet
restructuring would likely entail a loss for bond holders and
would be viewed by Moody's as a distressed exchange and
consequently treated as a default for analytic purposes.


FREEDOM COMMUNICATIONS: Lacks Resources to Review Restricted Docs
-----------------------------------------------------------------
Freedom Communications Inc.'s lawyer, Robert Klyman, said that
marked documents shared to the official committee of unsecured
creditors as confidential because it doesn't have the resources to
review them, according to a report by David McLaughlin posted at
The Wall Street Journal blog Bankruptcy Beat.

As reported by the TCR on October 7, 2009, the official committee
of unsecured creditors of Freedom Communications filed with the
Bankruptcy Court a motion to compel the Debtor to turn over more
documents.  The Creditors Committee also complained that Freedom
Communications marked as confidential more than a million pages it
provided to the Committee during discovery, including schedules of
baseball games.

The Debtor refused to give documents to the Pension Benefit
Guaranty Corp., a federal agency that is a member of the Creditors
Committee because it has authority over the Company's pension
program.  Freedom said it cannot give the government agency access
to confidential documents until the PBGC signs an agreement not to
share the information with anyone, including members of Congress,
or any other branch of the government.  The pension agency said in
court papers it cannot sign such an agreement because it is an arm
of the U.S. government.

Creditors said that Freedom Communications' use of confidential
documents will force them to file their own court papers under
seal and possibly close court hearings to the public, according to
Bankruptcy Beat.

Freedom Communications, headquartered in Irvine, Calif., is a
national privately owned information and entertainment company of
print publications, broadcast television stations and interactive
businesses.  The company's print portfolio includes approximately
90 daily and weekly publications, including approximately 30 daily
newspapers, plus ancillary magazines and other specialty
publications.  The broadcast company's stations -- five CBS, two
ABC network affiliates and one CW affiliate -- reach more than
3 million households across the country. The Company's news,
information and entertainment Web sites complement its print and
broadcast properties.

Freedom Communications filed for Chapter 11 on Sept. 1, 2009
(Bankr. D. Del. Case No. 09-13046).  Attorneys at Young Conaway
Stargatt & Taylor, and Latham & Watkins LLP serve as Chapter 11
counsel.  Houlihan, Lokey, Howard & Zukin, Inc., serves as
financial advisor while AlixPartners LLC is restructuring
consultant.  Logan & Co. serves as claims and notice agent.

Freedom Communications had $757,000,000 in assets against debts of
$1,077,000,000 as of July 31, 2009.


GENERAL MOTORS: Saab Seeks EU Approval of State Guarantee
---------------------------------------------------------
Niklas Magnusson at Bloomberg News reports that Saab Automobile
said Sweden's government sent an application to the European
Commission for approval of a potential state guarantee the Swedish
carmaker needs for a loan from the European Investment Bank.

Bloomberg relates Saab spokesman Eric Geers said Monday the
Swedish carmaker, which is being sold by General Motors Co., will
continue negotiations with the Swedish National Debt Office, which
handles the country's aid program for automakers, about the
potential guarantee.  Mr. Geers, as cited by Bloomberg, said Saab
is also waiting for the EIB to decide on whether to grant Saab the
loan.

As reported in the Troubled Company Reporter-Europe on Aug. 18,
2009, GM finalized an agreement to sell Saab to Koenigsegg
Automotive.  The FT disclosed the memorandum of understanding
agreed in June was conditional on US$600 million of funding from
the European Investment Bank, underwritten by Sweden.

                        Creditor Protection

The Troubled Company Reporter Europe, citing Bloomberg News,
reported on Feb. 23, 2009, Saab filed for protection from
creditors after parent GM said it will cut ties with the Swedish
carmaker following two decades of losses.  The Trollhaettan,
Sweden-based company filed for reorganization with a Swedish
district court to separate itself from GM and bring resources back
to Sweden.

On June 25, 2009, Troubled Company Reporter, citing The Wall
Street Journal, reported creditors of Saab approved the
automakers' proposal for settling its debts by paying a quarter of
what it originally owed.  Saab proposed to settle its debts by
paying 25% of about US$1.34 billion it owed to more than 600
creditors, including auto suppliers and the Swedish government.
The vast majority of the debt, almost SEK10 billion, was owed to
GM.

                        About Saab Automobile

Saab Automobile AB -- http://www.saab.com/-- is a wholly owned
subsidiary of General Motors.  With an annual production of up to
126,000 cars, Saab's current models include the 9-3 (available as
a convertible or sport sedan), the luxury 9-5 sedan (also
available in a sport wagon), and the seven-passenger 9-7X SUV.
Offered only through Saab Expressions dealerships, Saab cars woo
enthusiasts with merchandising that includes pen and pencil sets,
martini glasses, toys, and watches.

                       About General Motors

Headquartered in Detroit, Michigan, General Motors Corp.
(NYSE: GM) -- http://www.gm.com/-- as founded in 1908.  GM
employs about 266,000 people around the world and manufactures
cars and trucks in 35 countries.  In 2007, nearly 9.37 million GM
cars and trucks were sold globally under the following brands:
Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel,
Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's OnStar
subsidiary is the industry leader in vehicle safety, security and
information services.

GM Europe is based in Zurich, Switzerland, while General Motors
Latin America, Africa and Middle East is headquartered in Miramar,
Florida.

As reported by the Troubled Company Reporter, GM reported net loss
of US$6.0 billion, including special items, in the first quarter
of 2009.  This compares with a reported net loss of US$3.3 billion
in the year-ago quarter.  As of March 31, 2009, GM had
US$82.2 billion in total assets and US$172.8 billion in total
liabilities, resulting in US$90.5 billion in stockholders'
deficit.

General Motors Corporation and three of its affiliates filed for
Chapter 11 protection on June 1, 2009 (Bankr. S.D.N.Y. Lead Case
No. 09-50026).  General Motors changed its name to Motors
Liquidation Co. following the sale of its key assets to a company
60.8% owned by the U.S. Government.

The Honorable Robert E. Gerber presides over the Chapter 11 cases.
Harvey R. Miller, Esq., Stephen Karotkin, Esq., and Joseph H.
Smolinsky, Esq., at Weil, Gotshal & Manges LLP, assist the Debtors
in their restructuring efforts.  Al Koch at AP Services, LLC, an
affiliate of AlixPartners, LLP, serves as the Chief Executive
Officer for Motors Liquidation Company.  GM is also represented by
Jenner & Block LLP and Honigman Miller Schwartz and Cohn LLP as
counsel.  Cravath, Swaine, & Moore LLP is providing legal advice
to the GM Board of Directors.  GM's financial advisors are Morgan
Stanley, Evercore Partners and the Blackstone Group LLP.

Bankruptcy Creditors' Service, Inc., publishes General Motors
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
undertaken by General Motors Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000


GREATER ATLANTIC: Deadline to Close Merger Moved to October 31
--------------------------------------------------------------
Greater Atlantic Financial Corp. reports that on September 29,
2009, the Company, MidAtlantic Bancorp, Inc., and GAF Merger
Corp., the Virginia corporation formed to facilitate the merger,
entered into the First Amendment to the Agreement and Plan of
Merger to extend to October 31, 2009, the date on which the
Agreement and Plan of Merger may be terminated if the merger is
not consummated.

On June 15, 2009, Greater Atlantic Financial entered into a
definitive Agreement and Plan of Merger with MidAtlantic and
Acquisition Sub.  Pursuant to the Agreement and Plan of Merger,
MidAtlantic will acquire GAFC.

Section 7.1(d) of the Agreement and Plan of Merger provides that
the Board of Directors of GAFC or MidAtlantic may terminate the
Agreement and Plan of Merger in the event the merger is not
consummated by September 30, 2009.

A full-text copy of the First Amendment of Agreement and Plan of
Merger, dated as of September 29, 2009, is available at no charge
at http://ResearchArchives.com/t/s?467d

                     About Greater Atlantic

Greater Atlantic Financial Corp. is a bank holding company whose
principal activity is the ownership and management of Greater
Atlantic Bank.  The bank originates commercial, mortgage and
consumer loans and receives deposits from customers located
primarily in Virginia, Washington, D.C. and Maryland.  The bank
operates under a federal bank charter and provides full banking
services.

As of June 30, 2009, the Company had $204,596,000 in total assets
and $216,209,000 in total liabilities, resulting in $11,613,000 in
stockholders' deficit.

                        Going Concern Doubt

The Troubled Company Reporter reported on January 21, 2009, that
BDO Seidman, LLP, in Richmond, Virginia, in a letter dated
January 12, 2009, to the Board of Directors and Stockholders of
Greater Atlantic Financial Corp. expressed substantial doubt about
the company's ability to continue as a going concern.  The firm
audited the consolidated statements of financial condition of
Greater Atlantic Financial Corp. and its subsidiaries as of
September 30, 2008, and 2007 and the related consolidated
statements of operations, stockholders' equity (deficit),
comprehensive income (loss) and cash flows for each of the two
years in the period ended September 30, 2008.


GREEKTOWN HOLDINGS: Fine Point Charges $3MM for June to August
--------------------------------------------------------------
Professionals retained in connection with Greektown Holdings
Casino LLC's bankruptcy cases filed applications for payment of
fees and reimbursement of expenses for the period from June to
August 2009:

Professional        Applicable Period           Fees   Expenses
------------        -----------------           ----   --------
Fine Consulting     6/01/09-8/31/09      $3,038,334    $35,095
Group d/b/a The
Fine Point Group

Conway Mackenzie,   6/01/09-08/31/09        844,879      7,810
Inc.

Schafer and Weiner  6/01/09-08/31/09        501,708     21,941
PLLC

XRoads Solutions    6/01/09-08/31/09        474,108      2,205
Group LLC

Moelis & Company    6/01/09-08/31/09        450,000     26,192
LLC

Honigman Miller     7/07/09-09/08/09        366,204      8,156
Schwartz and Cohn
LLP

Clark Hill PLC      6/01/09-08/31/09        241,907      6,144

Jackier Gould PC    6/01/09-08/31/09         38,111        265

Floyd E. Allen and  6/01/09-08/31/09          1,461          4
Associates

                      About Greektown Casino

Based in Detroit, Michigan, Greektown Holdings, LLC, and its
affiliates -- http://www.greektowncasino.com/-- operates
world-class casino gaming facilities located in Detroit's
historic Greektown district featuring more than 75,000 square
feet of casino gaming space with more than 2,400 slot machines,
over 70 tables games, a 12,500-square foot salon dedicated to
high limit gaming and the largest live poker room in the
metropolitan Detroit gaming market.  Greektown Casino employs
approximately 1,971 employees, and estimates that it attracts
over 15,800 patrons each day, many of whom make regular visits to
its casino complex and related properties.  In 2007, Greektown
Casino achieved a 25.6% market share of the metropolitan Detroit
gaming market.  Greektown Casino has also been rated as the "Best
Casino in Michigan" and "Best Casino in Detroit" numerous times
in annual readers' polls in Detroit's two largest newspapers.

The Company and seven of its affiliates filed for Chapter 11
protection on May 29, 2008 (Bankr. E.D. Mich. Lead Case No.
08-53104).  Daniel J. Weiner, Esq., Michael E. Baum, Esq., and
Ryan D. Heilman, Esq., at Schafer and Weiner PLLC, represent the
Debtors in their restructuring efforts.  Judy B. Calton, Esq., at
Honigman Miller Schwartz and Cohn LLP, represents the Debtors as
their special counsel.  The Debtors chose Conway MacKenzie &
Dunleavy as their financial advisor, and Kurtzman Carson
Consultants LLC as claims, noticing, and balloting agent.  When
the Debtor filed for protection from its creditors, it listed
consolidated estimated assets and debts of $100 million to
$500 million.

Bankruptcy Creditors' Service, Inc., publishes Greektown Casino
Bankruptcy News.  The newsletter tracks the Chapter 11
proceedings undertaken by Greektown Casino and its various
affiliates.  (http://bankrupt.com/newsstand/or 215/945-7000)


HAMLIN PROPERTIES: Case Dismissed, But Court Keeps Removed Dispute
------------------------------------------------------------------
WestLaw reports that even after a debtor's single-asset Chapter 11
case was dismissed, a bankruptcy court would exercise its
discretion to retain jurisdiction over a removed state court
action which the debtor had filed, after the automatic stay was
lifted to permit a creditor to foreclose on the debtor's real
property when debtor was unable to sell the property by a
negotiated drop-dead date, in an attempt to enjoin the creditor
from obtaining the relief to which parties had expressly agreed in
bankruptcy court, and for purposes of which the stay had been
lifted.  The bankruptcy court was intimately familiar with the
controversy between the parties, and it would be a waste of
judicial resources to require another court to sift through the
facts.  The debtor had itself chosen the bankruptcy court as a
forum in petitioning for bankruptcy relief, and there were no
novel issues of state law that the bankruptcy court would have to
address.  Finally, the debtor's commencement of the state court
action smacked of forum shopping.  In re Hamlin Properties, Ltd.,
--- B.R. ----   , 2009 WL 3047011 (Bankr. N.D. Tex.) (Jernigan,
J.).

Based in Kaufman, Texas, Hamlin Properties Ltd. owns and manages a
208-unit apartment complex in Kemp, Tex., financed by secured
lender PAMI September, LLC.  Hamlin filed for protection on
Feb. 4, 2008 (Bankr. N.D. Tex. Case No. 08-30506).  Robert M.
Nicoud, Jr., Esq., at Olson, Nicoud & Gueck, L.L.P., represents
the Debtor in its restructuring efforts.  When the company filed
for protection against it creditors, it listed $17,330,120 total
assets and $16,255,767 total debts.


HOLLEY PERFORMANCE: Court Approves Epiq Bankruptcy as Claims Agent
------------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware authorized
Holley Performance Products Inc. and its debtor-affiliates to
employ Epiq Bankruptcy Solutions LLC as their claims, noticing,
and balloting agent.

The firm has agreed to, among other things:

   a) prepare and serve required notices and pleadings in these
      chapter 11 cases;

   b) file with the Clerk's Office a certificate or affidavit of
      service that includes a copy of the notice involved, an
      alphabetical list of persons to whom the notice was mailed,
      and the date of mailing;

   c) maintain copies of all proofs of claim and proofs of
      interest filed in these chapter 11 cases;

   d) maintain official claims registers by docketing all proofs
      of claim and proofs of interest on claims registers; and

   e) implement necessary security measures to ensure the
      completeness and integrity of the claims register,
      including, but not limited to, keeping adequate backups of
      electronic data;

The firm's standard hourly rates are:

      Senior Consultant                 $295
      Senior Case Manager            $225-$275
      Case Manager (Level 2)         $185-$220
      IT Programming Consultant      $140-$190
      Case Manager (Level 1)         $125-$175
      Clerk                          $40-$60

The Debtors assured the Court that the firm is a "disinterested
person" as defined in Section 101(14) of the Bankruptcy Code.

Holley Performance and its affiliates filed for Chapter 11 on
September 28, 2009 (Bankr. D. Del. Case No. 09-13333).  Pepper
Hamilton LLP represents the Debtors in their restructuring effort.
Ropes & Gray LLP is corporate counsel.  Epiq Bankruptcy Solutions
LLC serves as claims and notice agent.  The Debtors' cases have
been assigned to Judge Peter J. Walsh.


HOLLEY PERFORMANCE: Get Initial Okay to Access Cash Collateral
--------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware authorized
Holley Performance Products Inc. and its debtor-affiliates to use,
on an interim basis, cash collateral securing repayment of loans
made by lenders prior to the filing.

The Bankruptcy Court has authorized the Debtors to use cash
collateral until Dec. 27, 2009, pursuant to a budget.

Before their bankruptcy filing, the Debtors borrowed $25 million
revolver loan and $40 million term loan from their first lien
lender and Wells Fargo Foothill Inc., as administrative agent.  No
amounts are outstanding under the revolver and about $20.3 million
in principal is outstanding under the term loan plus outstanding
letters of credit of $1 million.

As adequate protection, the lenders will be granted additional
and replacement valid, binding, enforceable, non-avoidable, and
automatically perfected postpetition security interest in and
liens on any and all present and future properties of the Debtors.

A full-text copy of the cash collateral budget is available for
free at http://ResearchArchives.com/t/s?467a

                     About Holley Performance

Holley Performance and its affiliates are leading suppliers of
performance automotive products.  The Company designs,
manufactures, and markets a diversified line of performance
automotive products, including carburetors, fuel pumps, fuel
injection systems, nitrous oxide injection systems, superchargers,
exhaust headers, mufflers, and automotive performance plumbing
products,  The Company designs its performance automotive products
to enhance street, off-road, recreational, and competitive vehicle
performance through increased horsepower, torque, and drivability,
In addition to the automotive performance line, Holley Performance
remanufactures carburetors and manufactures performance products
for thc powersport, marine, and motorcycle markets, Holley
Performance also formerly supplied selected products to certain
industrial (non-automotive) original equipment manufacturers.

Holley Performance and its affiliates filed for Chapter 11 on
September 28, 2009 (Bankr. D. Del. Case No. 09-13333).  Pepper
Hamilton LLP represents the Debtors in their restructuring effort.
Ropes & Gray LLP is corporate counsel.  Epiq Bankruptcy Solutions
LLC serves as claims and notice agent.  The Debtors' cases have
been assigned to Judge Peter J. Walsh.  The petition says assets
and debts are between $100 million and $500 million.

Holley Performance returned to bankruptcy 19 months after winning
court approval of its last reorganization plan.


HOLLEY PERFORMANCE: Section 341(a) Meeting Set For November 9
-------------------------------------------------------------
(joel/court)

The U.S. Trustee for Region 2 will convene a meeting of creditors
of Holley Performance Products Inc. and its debtor-affiliates on
Nov. 9, 2009 at 1:00 p.m. (prevailing Eastern time) at 844 King
Street, 2nd Floor, Room 2112 in Wilmington, Delaware.

This is the first meeting of creditors required under Section
341(a) of the Bankruptcy Code in all bankruptcy cases.

All creditors are invited, but not required, to attend.  This
Meeting of Creditors offers the one opportunity in a bankruptcy
proceeding for creditors to question a responsible office of the
Debtor under oath about the company's financial affairs and
operations that would be of interest to the general body of
creditors.


                     About Holley Performance

Holley Performance and its affiliates are leading suppliers of
performance automotive products.  The Company designs,
manufactures, and markets a diversified line of performance
automotive products, including carburetors, fuel pumps, fuel
injection systems, nitrous oxide injection systems, superchargers,
exhaust headers, mufflers, and automotive performance plumbing
products,  The Company designs its performance automotive products
to enhance street, off-road, recreational, and competitive vehicle
performance through increased horsepower, torque, and drivability,
In addition to the automotive performance line, Holley Performance
remanufactures carburetors and manufactures performance products
for thc powersport, marine, and motorcycle markets, Holley
Performance also formerly supplied selected products to certain
industrial (non-automotive) original equipment manufacturers.

Holley Performance and its affiliates filed for Chapter 11 on
September 28, 2009 (Bankr. D. Del. Case No. 09-13333).  Pepper
Hamilton LLP represents the Debtors in their restructuring effort.
Ropes & Gray LLP is corporate counsel.  Epiq Bankruptcy Solutions
LLC serves as claims and notice agent.  The Debtors' cases have
been assigned to Judge Peter J. Walsh.  The petition says assets
and debts are between $100 million and $500 million.

Holley Performance returned to bankruptcy 19 months after winning
court approval of its last reorganization plan.


HOLLEY PERFORMANCE: Seeks Until October 28 to File Schedules
------------------------------------------------------------
(joel/court)

Holley Performance Products Inc. and its debtor-affiliates ask the
U.S. Bankruptcy Court for the District of Delaware to extend the
deadline, until Oct. 28, 2009, to file their schedules of assets
and debts, and statements of financial affairs.

The Debtors tell the Court that they were unable to gather and
analyze the necessary information to prepare and file their
schedules and statement before they filed for protection.  The
Debtors fear that they might not be able to complete the schedules
and statement before the initial deadline.

                     About Holley Performance

Holley Performance and its affiliates are leading suppliers of
performance automotive products.  The Company designs,
manufactures, and markets a diversified line of performance
automotive products, including carburetors, fuel pumps, fuel
injection systems, nitrous oxide injection systems, superchargers,
exhaust headers, mufflers, and automotive performance plumbing
products,  The Company designs its performance automotive products
to enhance street, off-road, recreational, and competitive vehicle
performance through increased horsepower, torque, and drivability,
In addition to the automotive performance line, Holley Performance
remanufactures carburetors and manufactures performance products
for thc powersport, marine, and motorcycle markets, Holley
Performance also formerly supplied selected products to certain
industrial (non-automotive) original equipment manufacturers.

Holley Performance and its affiliates filed for Chapter 11 on
September 28, 2009 (Bankr. D. Del. Case No. 09-13333).  Pepper
Hamilton LLP represents the Debtors in their restructuring effort.
Ropes & Gray LLP is corporate counsel.  Epiq Bankruptcy Solutions
LLC serves as claims and notice agent.  The Debtors' cases have
been assigned to Judge Peter J. Walsh.  The petition says assets
and debts are between $100 million and $500 million.

Holley Performance returned to bankruptcy 19 months after winning
court approval of its last reorganization plan.


HOVNANIAN ENTERPRISES: To Issue $785MM of 10.625% Senior Notes
--------------------------------------------------------------
Hovnanian Enterprises, Inc., said its wholly owned subsidiary,
K. Hovnanian Enterprises, Inc., will issue $785 million aggregate
principal amount of 10.625% senior secured notes due October 15,
2016, in a private placement.  The Notes and the guarantees
thereof by the Company and certain of its subsidiaries will be
secured on a first-priority lien basis on substantially all the
assets owned by K. Hovnanian and the guarantors, subject to
permitted liens and certain exceptions.

K. Hovnanian intends to use the net proceeds from the offering of
the Notes together with cash on hand to fund its previously
announced tender offers and consent solicitations for its
outstanding second and third lien senior secured notes and certain
series of senior unsecured notes commenced pursuant to the Offer
to Purchase and Consent Solicitation Statement dated September 21,
2009, as amended, and to pay related fees and expenses.  In
conjunction with the closing of the Notes offering, K. Hovnanian
expects to consummate the Tender Offers and to terminate its
existing revolving credit facility and enter into certain letter
of credit agreements.

The Notes have not been registered under the Securities Act of
1933, as amended.  The Notes may not be offered or sold within the
United States or to U.S. persons, except to "qualified
institutional buyers" in reliance on the exemption from
registration provided by Rule 144A and to certain persons in
offshore transactions in reliance on Regulation S.

                    About Hovnanian Enterprises

Hovnanian Enterprises, Inc. (NYSE: HOV), founded in 1959 by Kevork
S. Hovnanian, is headquartered in Red Bank, New Jersey.  The
Company is one of the nation's largest homebuilders with
operations in Arizona, California, Delaware, Florida, Georgia,
Illinois, Kentucky, Maryland, Minnesota, New Jersey, New York,
North Carolina, Ohio, Pennsylvania, South Carolina, Texas,
Virginia and West Virginia.  The Company's homes are marketed and
sold under the trade names K. Hovnanian(R) Homes(R), Matzel &
Mumford, Brighton Homes, Parkwood Builders, Town & Country Homes,
Oster Homes, First Home Builders of Florida and CraftBuilt Homes.
As the developer of K. Hovnanian's(R) Four Seasons communities,
the Company is also one of the nation's largest builders of active
adult homes.

As of July 31, 2009, the Company had $2.28 billion in total assets
and $2.34 billion in total liabilities, resulting in stockholders'
deficit of $104.5 million.

                           *     *     *

Hovnanian carries S&P's "CCC" corporate credit rating; Moody's
"Caa1" corporate family rating; and Fitch's "CCC" Issuer Default
Rating.


HOVNANIAN ENTERPRISES: Unveils Results of Discounted Offer
----------------------------------------------------------
Hovnanian Enterprises, Inc., said, in connection with the
previously announced tender offers and consent solicitations by
its wholly owned subsidiary, K. Hovnanian Enterprises, Inc., the
early tender period in respect of each of the Tender Offers
expired at 5:00 p.m., New York City time, on October 2, 2009.

Holders of notes who validly tendered and did not validly withdraw
their Notes on or prior to the Early Tender Date, will, if their
Notes are accepted for purchase, be entitled to receive the
applicable total consideration, which includes an early tender
consideration of $50 for each $1,000 principal amount of Notes
validly tendered on or before the Early Tender Date and accepted
in the applicable Tender Offer.

The amount of Notes validly tendered and not validly withdrawn, by
series, at the Early Tender Date:

                                     Principal    Percentage
                                     Amount       of
                      Outstanding    Tendered     Outstanding  Acceptance
   Title of           Principal      as of Early  Notes        Priority
   Security           Amount         Tender Date  Tendered     Level
   --------           -----------   -----------  ------------  ----------
Secured Notes
   11-1/2% Senior
    Secured Notes
    due 2013         $600,000,000  $589,227,000      98.2%         N/A
   18% Senior
    Secured Notes
    due 2017          $29,299,000   $17,597,000      60.1%         N/A

Unsecured Notes
   8% Senior Notes
    due 2012          $43,500,000    $7,826,000      18%           1
   6-1/2% Senior
    Notes due 2014   $144,000,000   $60,206,000      41.8%         2
   6-3/8% Senior
    Notes due 2014   $114,300,000   $26,054,000      22.8%         3
   6-1/4% Senior
    Notes due 2015   $129,300,000   $36,632,000      28.3%         4
   7-1/2% Senior
    Notes due 2016   $172,500,000   $64,523,000      37.4%         5
   6-1/4% Senior
    Notes due 2016   $173,200,000   $75,129,000      43.4%         6

K. Hovnanian will, subject to satisfaction of the Tender Offer
conditions, purchase for cash (i) any and all of its outstanding
2013 Secured Notes and (ii) any and all of its outstanding 2017
Secured Notes, and will purchase 8% Senior Notes due 2012, 6-1/2%
Senior Notes due 2014, 6-3/8% Senior Notes due 2014, 6-1/4% Senior
Notes due 2015, 7-1/2% Senior Notes due 2016 and 6-1/4% Senior
Notes due 2016, based on the acceptance priority levels shown in
the table, up to an amount that will require K. Hovnanian to spend
the maximum aggregate payment amount of $100.0 million.

K. Hovnanian also announced that it has received consents (coupled
with tenders) from holders of a majority in principal amount of
each series of its Secured Notes to adopt the proposed amendments
to the respective series of Secured Notes.  It is expected that
supplemental indentures effecting the proposed amendments will be
executed shortly but such proposed amendments will only become
operative simultaneously upon the acceptance for payment of all
Secured Notes of such series that are validly tendered (and not
previously withdrawn).  K. Hovnanian further announced that
withdrawal rights in the Secured Notes Tender Offers expired on
the Early Tender Date.

In addition, K. Hovnanian is amending its Offer to Purchase and
Consent Solicitation Statement, dated September 21, 2009, with
respect to the Unsecured Notes Tender Offer only. Pursuant to
this amendment, K. Hovnanian is (i) decreasing the Maximum
Payment Amount to $100.0 million from the previous amount of
$130.0 million, which means that K. Hovnanian is offering to
purchase the maximum aggregate principal amount of properly
tendered and accepted outstanding Unsecured Notes that it may
purchase for an aggregate consideration that is less than or equal
to the Maximum Payment Amount of $100.0 million and (ii) amending
the time period for withdrawal rights of holders of Unsecured
Notes to three business days from the date of this amendment,
which will be 12:00 midnight, New York City time, on October 7,
2009.

Each Tender Offer will expire at 12:00 midnight, New York City
time, on October 19, 2009, unless extended or earlier terminated.
Holders of Notes who have not already tendered their Notes may do
so at any time on or prior to 12:00 midnight, New York City time,
on October 19, 2009, but such holders will only be eligible to
receive the applicable tender offer consideration, which is an
amount, paid in cash, equal to the applicable total consideration
less the applicable early tender consideration, for their Notes.
K. Hovnanian has prepared a supplement to the Statement with
respect to the amendments.  The Tender Offers and Consent
Solicitations relating to the Notes are being made upon the terms
and conditions set forth in the Statement and the related Consent
and Letter of Transmittal.  The terms and conditions of the Tender
Offers and Consent Solicitations, except as otherwise modified
pursuant to the Supplement, remain the same.  Further details
about the terms and conditions of the Tender Offers and Consent
Solicitations are set forth in the Offer Documents.

K. Hovnanian reserves the right, in its sole discretion, to
further modify the terms of any of the Tender Offers, or to waive
or modify any one or more of the conditions thereto, in whole or
in part, at any time on or before the Expiration Date of such
Tender Offer.

K. Hovnanian has retained Credit Suisse Securities (USA) LLC to
serve as dealer manager for the Tender Offers and as solicitation
agent for the Consent Solicitations, and Bondholder Communications
Group to serve as the information and tender agent.  Copies of the
Offer Documents, including the Supplement, may be obtained from
BCG at (888) 385-2663 (toll free).  Questions regarding the Tender
Offers and Consent Solicitations may be directed to Credit Suisse
at (800) 820-1653 (toll free) or (212) 538-1862 (collect).

                    About Hovnanian Enterprises

Hovnanian Enterprises, Inc. (NYSE: HOV), founded in 1959 by Kevork
S. Hovnanian, is headquartered in Red Bank, New Jersey.  The
Company is one of the nation's largest homebuilders with
operations in Arizona, California, Delaware, Florida, Georgia,
Illinois, Kentucky, Maryland, Minnesota, New Jersey, New York,
North Carolina, Ohio, Pennsylvania, South Carolina, Texas,
Virginia and West Virginia.  The Company's homes are marketed and
sold under the trade names K. Hovnanian(R) Homes(R), Matzel &
Mumford, Brighton Homes, Parkwood Builders, Town & Country Homes,
Oster Homes, First Home Builders of Florida and CraftBuilt Homes.
As the developer of K. Hovnanian's(R) Four Seasons communities,
the Company is also one of the nation's largest builders of active
adult homes.

As of July 31, 2009, the Company had $2.28 billion in total assets
and $2.34 billion in total liabilities, resulting in stockholders'
deficit of $104.5 million.

                           *     *     *

Hovnanian carries S&P's "CCC" corporate credit rating; Moody's
"Caa1" corporate family rating; and Fitch's "CCC" Issuer Default
Rating.


IA GLOBAL: Receives NYSE Amex Deficiency Notice
-----------------------------------------------
IA Global, Inc., said October 1 that it received a deficiency
letter from the NYSE Amex on September 25, 2009.  In this letter,
NYSE Amex staff accepted IA Global's plan to bring the Company
back into compliance with Sections 134 and 1101 of the NYSE Amex's
Company Guide by October 12, 2009.  IA Global expects to regain
compliance with Sections 134 and 1101 of the Company Guide by
filing its Quarterly Report on Form 10-Q for the quarterly period
ended June 30, 2009, with the Securities and Exchange Commission
on or before October 12, 2009.

In its letter, the staff also indicated that the Company is not
compliance with certain additional continued listing standards set
forth in Part 10 of the Company Guide.  Specifically, the Company
is not in compliance with (i) Section 1003(a)(i) of the Company
Guide, since its total shareholders' equity is less than
$2 million and the Company has reported losses from continuing
operations and net losses in two out of the three most recent
fiscal years; (ii) Section 1003(a)(ii) of the Company Guide, since
its total shareholders' equity is less than $4 million and the
Company has reported losses from continuing operations and net
losses in three out of the four most recent fiscal years; (iii)
Section 1003(a)(iii) of the Company Guide, since its total
shareholders' equity is less than $6 million and the Company has
reported losses from continuing operations and net losses in the
five most recent fiscal years; and (iv) Section 1003(a)(iv) of the
Company Guide, since the Company sustained losses so substantial
in relation to its overall operations or its existing financial
resources or its financial condition has become so impaired that
is appears questionable, in the opinion of the NYSE Amex, that the
Company will be able to continue operations and/or meet its
obligations as they mature.

In order to maintain its listing on the NYSE Amex, the Company
must submit a plan by October 9, 2009, that addresses how it will
regain compliance with Section 1003(a)(iv) of the Company Guide by
March 25, 2010, and Section 1003(a)(i), (ii) and (iii) of the
Company Guide by March 25, 2011.  The Company will be subject to
periodic review by the NYSE Amex staff during the extension
period.  Failure to make progress consistent with the plan or to
regain compliance with the continued listing standards by the end
of the extension period could result in the Company being delisted
from the NYSE Amex.  The Company expects to submit its plan to
regain compliance with the continued listing standards and within
the time periods described above on or before the October 9, 2009
deadline.

IA Global, Inc. (AMEX:IAO) is a business process outsourcing and
financial services company targeting the business to business and
business to consumer markets in the Asia Region, the United States
and Australia.  The Company is seeking to expand its investments
in the BPO, B2B and financial services sectors.  In Japan, IA
Global is 100% owner of Global Hotline, Inc., a BPO company,
operating several call centers providing primarily outbound
telemarketing services for telecommunications and insurance
products.  In the Philippines, IA Global is the 100% owner of
Global Hotline Philippines Inc., a BPO company providing inbound
and outbound telemarketing services, and collocation facilities to
a variety of industries.  In the Asia region, the Company has
equity investments of 20.25% in Slate Consulting Co Ltd (Slate),
36% in Australian Secured Financial Limited and 16% in Taicom
Securities Co. Ltd.


ILX RESORTS: Posts $672,267 Net Loss is First Half of 2009
----------------------------------------------------------
ILX Resorts Incorporated reported a net loss of $672,267 on total
revenues of $16,919,180 for the six-months ended June 30, 2009,
compared with a net loss of $819,560 on total revenues of
$21,874,973 in the corresponding period in 2008.

The Company reported net income of $374,442 on total revenues of
$9,225,499 for the second quarter ended June 30, 2009, compared
with a net loss of $173,640 on total revenues of $11,451,496 in
the same period of 2008.

Sales of Vacation Ownership Interests decreased 26.9% or
$1,400,754 to $3,809,331 for the three months ended June 30, 2009,
from $5,210,085 for the same period in 2008 and decreased 34.7% or
$3,557,999 to $6,694,247 for the six months ended June 30, 2009,
from $10,252,246 for the same period in 2008.  The decrease
reflects reduced sales at all sales offices.

Resort operating revenue decreased 7.8% to $4,950,840 for the
three months ended June 30, 2009, from $5,368,230 for the same
period in 2008 and decreased 8.5% to $9,250,256 for the six months
ended June 30, 2009, from $10,104,115 for the same period in 2008.
The decrease for the three and six months ended June 30, 2009,
reflects the closure of the Los Abrigados Lodge, decreased
occupancy at the Company's resorts and decreased average daily
rate at certain of the Company's Sedona and Tucson resorts.

Interest and finance income decreased 46.7% to $465,328 for the
three months ended June 30, 2009, from $873,181 for the same
period in 2008 and decreased 35.8% to $974,677 for the six months
ended June 30, 2009, from $1,518,612 for the same period in 2008,
reflecting decreased Customer Note balances, a reduction in notes
sold due to the expiration of the agreement in June 2008 with a
financial institution to sell Customer Notes and a greater portion
of Customer Notes being zero-interest one year maturities.

Reorganization items were $619,501 for the six months ended
June 30, 2009, and include loss on disposal of facilities and
other in the amount of $403,476 and professional fees of $216,025.
The Company had no reorganization expenses in tye corresponding
period in 2008.  The loss on disposal of facilities and other
includes the write-off of lease acquisition costs, deposits,
leasehold improvements and other items related to the rejection of
seven unexpired leases as well as trustee fees.  Professional fees
are expenses for expert counsel.

At June 30, 2009, the Company's consolidated balance sheet showed
$71,747,176 in total assets, $42,471,532 in total liabilities, and
$29,275,644 in total shareholders' equity.

                  Credit Facilities and Capital

The Company has a financing commitment aggregating $20 million
whereby the Company borrowed against notes receivable pledged as
collateral.  These borrowings bear interest at a rate of prime
plus 1.5%.  The $20 million commitment has a borrowing period
which expires in December 2009 and the maturity is in January
2013.  At June 30, 2009, approximately $8.5 million was available
under this commitment.  However, the Company may not currently
borrow on this facility due to its March 2, 2009 filing under
Chapter 11 of the United State Bankruptcy Code.

Full-text copies of the Company's consolidated financial
statements for the six months ended June 30, 2009, are available
for free at http://researcharchives.com/t/s?466e

                       About ILX Resorts

Based in Sedona, Arizona, ILX Resorts Incorporated (NYSE
Alternext: ILX) -- http://www.ilxresorts.com/-- develops,
markets, and operates timeshare resorts in the western United
States and Mexico.  The Company's current portfolio of resorts
consists of seven resorts in Arizona, one in Indiana, one in
Colorado, one in San Carlos, Mexico, land in Puerto Penasco (Rocky
Point), Mexico and land in Sedona, Arizona.  The Company also owns
2,241 Vacation Ownership Interests in a resort in Las Vegas,
Nevada, 194 Vacation Ownership Interests in a resort in Pinetop,
Arizona, and 174 Vacation Ownership Interests in a resort in
Phoenix, Arizona.

ILX Resorts, Inc., and certain of its subsidiaries and limited
liability companies filed for bankruptcy protection on March 2,
2009 (Bankr. D. Ariz. Lead Case No. 09-03594).  Judge Redfield T.
Baum presides over the cases.  John J. Hebert, Esq., at Shughart
Thomson & Kilroy, P.C., serves as the Debtors' counsel.  As of
September 30, 2008, ILX Resorts had $73.6 million in total assets
and $43.2 million in total liabilities.


INNOVATIVE CARD: Completes Financial Restructuring
--------------------------------------------------
Innovative Card Technologies, Inc., said October 5 that it has
completed a three-part financial restructuring.  These
developments provide the company with $1.2 million in working
capital, absolve the company of approximately $9 million in debt,
and advantageously restructure $4.5 million in existing debt.
Innovative Card Technologies plans to use the working capital to
commercialize newly developed, patent-pending card technologies,
and to enhance and expand sales of the market-leading InCard
DisplayCard(TM).

The company raised $1.2 million in working capital from the sale
of additional Amortizing Convertible Debentures.  As part of this
transaction, the Company issued 2,254,642 warrants to the
investors; the newly issued debentures and warrants have a
conversion and exercise price of $0.25 respectively.  Los Angeles-
based T.R. Winston & Company acted as placement agent.

The company also announced that it has successfully met and
completed all of the conditions outlined in the "Assignment of
Debenture and Common Stock Warrant Agreement," as stipulated in a
July 11, 2009 agreement between Innovative Card Technologies and
EMC Corporation/RSA Security Inc.  The completion of this
agreement retires approximately $7.6 million dollars in debt and
cancels 1.01 million common stock purchase warrants previously
issued to EMC Corporation/RSA Security Inc.

In the final piece of the restructuring, the company entered into
a series of transactions with the holders of the remaining
Amortizing Convertible Debentures and certain other creditors.
The amended terms of debenture include waiving existing defaults,
late fees, interest hikes and liquidated damages.  The aggregate
debt reduction resulting from the renegotiation was $1.4 million
at the end of the third quarter.  The aggregate principal amount
of debentures after the exchange is approximately $4.7 million,
with 855,533 warrant shares subject to the amendment.
Approximately $1.4 million of these debentures have a conversion
price of $1.00 and approximately $3.3 million of these debentures
have a conversion price of $0.25.  The warrants have an exercise
price of $0.25. For more details on this transaction, please refer
to the company's 8K, filed October 5, 2009.

"I am pleased to announce a significant financial restructuring
that funds the company's future endeavors, absolves us of
significant debt, and reverses toxic terms of default and expense
that were assessed in our first quarter," said Richard Nathan,
President and CEO of InCard Technologies.  "This has been a
comprehensive team effort by our management team, the Board of
Directors, and our investment banker."  Mr. Nathan continued,
"These improvements to our balance sheet enable us to focus on
expanding our markets and introducing new products based on
patents filed this quarter and in our second quarter this year."

The InCard DisplayCard(TM) is used by banks, traders, and online
vendors to authenticate customer identity during online
transactions.  It is also used by various enterprise organizations
worldwide to authenticate employee access to electronic
information systems.

                About Innovative Card Technologies

Innovative Card Technologies, Inc. -- http://www.incard.com/--
develops and markets secure powered cards for payment,
identification, physical and logical access applications.


KH FUNDING: June 30 Balance Sheet Upside-Down by $801,000
---------------------------------------------------------
KH Funding Company reported a net loss of $583,379 for the second
quarter ended June 30, 2009, compared with a net loss of $197,980
in the same period last year.

Total interest income was $795,211 for the three months ended
June 30, 2009, compared to total interest income of $1.05 million
for the same period in 2008.  The Company attributed the decrease
in interest income to a decrease in loans receivable portfolio due
to normal payoffs and a lack of loan originations and purchases.

The Company reported that the increase in net loss was primarily
due to a decrease in net interest income during the 2009 period
when compared to the 2008 period because of a decrease in interest
earning assets, as a direct result of the Company's limited
ability to raise funds through the public sale of its investor
notes, and a reduced net margin.

                     Six Months Ended June 30

For the six months ended June 30, 2009, the Company reported a net
loss of $931,493, compared to a net loss of $292,903 in the same
period in 2008.

Total interest income was $1.61 million for the six months ended
June 30, 2009, compared to $2.27 million for the same period in
2008.  The decrease in interest income was due primarily to a
decrease of approximately $660,000 in interest earned on loans
between the two periods because a significant amount of the
Company's higher-rate loans have paid off.  The decrease in
interest earned on loans also resulted from a decline in loans
receivable portfolio due to normal payoffs and a lack of loan
originations and purchases.

The increase in net loss was primarily due to a decrease in net
interest income during the 2009 period when compared to the 2008
period because of a decrease in interest earning assets as a
direct result of the Company's limited ability to raise funds
through the public sale of investor notes.  In addition, the
Company had an increase in provision for loan losses.

                  Balance Sheet Information

At June 30, 2009, the Company's balance sheet showed
$45.24 million in total assets and $46.04 million in total
liabilities, resulting in a $801,856 stockholders' deficit.

Total assets increased by roughly $390,000, from $44.85 million at
December 31, 2008, to $45.24 million at June 30, 2009.  The
increase in total assets resulted primarily from the sale of
500,000 shares of common stock during the first quarter of 2009.

Total liabilities increased by roughly $810,000 from
$45.23 million at December 31, 2008, to $46.04 million at June 30,
2009.  The net increase was primarily due to a $830,000 increase
in collateralized notes payable for loans against Other Real
Estate Owned.

                Liquidity and Capital Resources

At June 30, 2009, the Company had cash and cash equivalents of
$1,697, a historically low level, compared to $221,463 at
December 31, 2008,and $209,224 at June 30, 2008.  During the first
six months of 2009, the Company received approximately $770,000 in
loan payments, which included unscheduled prepayments and payments
due at maturity, and it paid approximately $3.03 million to redeem
investor notes.

For the six months ended June 30, 2009, net cash used by operating
activities was $112,925, compared to $2.08 million that was
provided by operating activities for the six months ended June 30,
2008.  The primary reasons for the decrease were a $931,493 net
loss for the period and an increase of $579,241 in interest
receivable on loans for the six months ended June 30, 2009.

For the six months ended June 30, 2009, net cash provided by
investing activities was $381,613, compared to $3.59 million for
the same period in 2008.  Cash provided by investing activities
for the six months ended June 30, 2009, included $772,538 in
principal repayments on loans receivable offset by $356,462 in
loans made to borrowers, compared to $9.29 million in principal
repayments on loans receivable and $5.20 million in offsetting
loans made to borrowers for the six months ended June 30, 2008.

For the six months ended June 30, 2009, net cash used in financing
activities was $488,454, compared to $5.56 million for the same
period in 2008.  During the 2009 period, net proceeds from the
sale of collateralized note payables were $1.04 million and
proceeds from the sale of investor notes were $1.50 million, while
investor note redemptions during the 2009 period totaled
$3.03 million.

At June 30, 2009, the Company said it held approximately
$28.02 million in residential and commercial mortgage loans that
it  believes could be sold within a short period of time for the
purpose of satisfying investor note redemption requests.  However,
in the current economic market, the company believes the price it
could obtain for these loans would be below their par values.
Accordingly, the Company said it is instead focused on selling
non-interest earning assets, such as its Other Real Estate Owned,
to satisfy pending investor redemption requests.  The Company held
$1.35 million in second mortgage loans at June 30, 2009, which
earn higher yields than the first mortgage loans and that it
believes could also be sold, although generally they take longer
to sell and are sold at a discount.

As of June 30, 2009, the Company said that it was subject to
redemption requests with respect to approximately $350,000 of
outstanding investor notes that are within the 30-day grace period
for payment.  Further, the Company was subject to redemption
requests with respect to approximately $3.87 million of
outstanding investor notes that are beyond the 30-day grace period
for payment.  For those notes that are beyond the grace period,
the Company said it has either obtained waivers from each of the
note holders or are working to obtain waivers.  Because there are
some notes for which it has not yet obtained waivers, the Company
said it is in default under the Indenture.

Full-text copies of the Company's financial statements for the
second quarter ended June 30, 2009, are available for free at:

               http://researcharchives.com/t/s?4677

                       Going Concern Doubt

Stegman & Company, in Baltimore, Maryland, expressed substantial
doubt about KH Funding's ability to continue as a going concern
after auditing the Company's financial statements for the year
ended December 31, 2008.  The auditing firm pointed to the
Company's recurring losses from operations and stockholders'
deficit.

                         About KH Funding

KH Funding Company -- http://www.khfunding.com/-- conducts
mortgage banking operations from its headquarters in Silver
Spring, Maryland.  The Company's primary business activities
consist of originating, acquiring and servicing mortgage and
business loans.  Over the past few years, the Company's lending
activities have focused primarily on purchasing, rather than
originating, loans.


KIRK HOMES: Reorganization Case Converted to Chapter 7
------------------------------------------------------
Anna Marie Kukec at Daily Herald reports that the U.S. Bankruptcy
Court for the Northern District of Illinois has ordered the
conversion of Kirk Homes' Chapter 11 reorganization case to
Chapter 7 liquidation.  Citing CEO John Carroll, Daily Herald
relates that a dozen employees were laid of on Friday.

Kirk Homes, an industry leader in sustainable development
initiatives and preservation of open space, is currently building
communities in Bolingbrook, Hoffman Estates, Lakemoor, and
Woodstock.  Kirk Corporation is based in Streamwood, Illinois.

Kirk voluntarily filed for reorganization under Chapter 11 of the
U.S. Bankruptcy Code in the Northern District of Illinois.


LAKE TAHOE DEV'T: Files for Chapter 11 Bankruptcy Protection
------------------------------------------------------------
Lake Tahoe Development Co., LLC, has filed for Chapter 11
bankruptcy protection in the U.S. Bankruptcy Court for the Eastern
District of California.

Ryan Slabaugh and Adam Jensen at Tahoe Daily Tribune relates that
Lake Tahoe Development and its owner, Randy Lane, had presumably
been scrambling to find financing to continue the stalled
$420 million convention center project since Mr. Lane lost his
funding in November 2007.  According to Tahoe Daily Tribune, the
city council rejected a bond proposal last summer that could have
helped raise the money to get the development back on track,
fearing that the bonds may never be paid back.

Lake Tahoe Development Co., LLC, is a developer in Zephyr Cove,
Nevada.


LANDAMERICA FINANCIAL: Files Amended Chapter 11 Plan
----------------------------------------------------
LandAmerica Financial Group and its affiliates filed with the
Bankruptcy Court an amended joint chapter 11 plan and related
disclosure statement.

The primary purpose of the Plan is to sell substantially all of
the Debtors' assets and to distribute the proceeds to creditors.
General unsecured creditors of LandAmerica 1031 Exchange
Services, Inc. are expected to recover 37.1% of their claims.
Unsecured creditors of LFG will recover 28.3%.  On the
effective date, the stock of the Debtors will be cancelled and
equity holders won't receive anything.

A liquidating trust for each Debtor will be created to prosecute
the legal causes of action held by the Debtors, and to administer
the liquidation and distribution of the assets to creditors.

The official committees of unsecured creditors for LFG Inc. and
LandAmerica 1031 Exchange Services, Inc. support confirmation of
the Plan and urge all holders of claims whose votes are being
solicited to accept the Plan.  Voting deadline is on November 10.

The Bankruptcy Couret is expected to begin hearings to consider
confirmation of the Plan on November 18.

A copy of the Amended Plan is available for free at:

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

A copy of the Disclosure Statement, which details the terms of the
Amended Plan, is available for free at:

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

                    About LandAmerica Financial

LandAmerica Financial Group, Inc., provides real estate
transaction services with offices nationwide and a vast network of
active agents.  LandAmerica and its affiliates operate through
approximately 700 offices and a network of more than 10,000 active
agents throughout the world, including Mexico, Canada, the
Caribbean, Latin America, Europe, and Asia.

LandAmerica Financial Group and its affiliate LandAmerica 1031
Exchange Services, Inc. filed for Chapter 11 protection Nov. 26,
2008 (Bankr. E.D. Va. Lead Case No. 08-35994).  Attorneys at
Willkie Farr & Gallagher LLP and McGuireWoods LLP serve as co-
counsel.  Zolfo Cooper is the restructuring advisor.  Epiq
Bankruptcy Solutions serves as claims and notice agent.

Attorneys at Akin Gump Strauss Hauer & Feld LLP and Tavenner &
Beran, PLC serve as counsel to the Creditors Committee of 1031
Exchange.  Bingham McCutchen LLP and LeClair Ryan serve as counsel
to the Creditors Committee of LFG.

In its bankruptcy petition, LFG listed total assets of
$3,325,100,000, and total debts of $2,839,800,000 as of Sept. 30,
2008.

On March 6, 2009, affiliate LandAmerica Assessment Corporation,
aka National Assessment Corporation, filed its own petition for
Chapter 11 relief.  Affiliate LandAmerica Title Company filed for
for Chapter 11 relief on March 27, 2009.   LandAmerica Credit
Services, Inc., filed for Chapter 11 in July 2009.

Bankruptcy Creditors' Service, Inc., publishes LandAmerica
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
undertaken by LandAmerica Financial and its affiliate LandAmerica
1031 Exchange Services, Inc. (http://bankrupt.com/newsstand/or
215/945-7000)


LEHMAN BROTHERS:: AIG Fights with LBSF over Swap Contract
---------------------------------------------------------
The derivatives trading subsidiary of American International Group
Inc. told the Bankruptcy Court that Lehman Brothers Special
Financing Inc. did not meet its obligation to make premium
payments to the unit, in a fight over who owes whom under a credit
default swap contract.

In July 2004, AIG CDS, a unit of AIG Inc., entered into a swap
agreement with LBSF.  The swap agreement governs 125 separate
credit derivative transactions and was a credit default swap.

Credit derivative transactions involve contracts that afford
protection against the risk of a default by a specified entity,
referred to as the "reference entity."  In a credit derivative
transaction or "credit default swap," the buyer of credit
protection makes periodic fixed payments to the seller of the
credit protection for the specified term of the credit derivative
transaction or until a "credit event" occurs.

Under the Swap Agreement here, LBSF was the credit protection
buyer from AIG CDS with respect to 97 of the 125 credit derivative
transactions at issue.  In the remaining 28 credit derivative
transactions, AIG CDS was the credit protection buyer from LBSF.

According to AIG CDS, LBSF, prior to the bankruptcy filing, failed
to make an approximately $900,000 quarterly premium payment that
came due to AIG CDS in September of 2008.  Since the bankruptcy
filing of LBSF, it has failed to make any of the postpetition
premium payments in excess of $3 million.  Under the Swap
Agreement, "credit events" have occurred with respect to four
reference entities as to which LBSF was the credit protection
buyer: General Motors Corporation, Washington Mutual, Inc.,
Abitibi-Consolidated Inc., and Station Casinos, Inc.   Those
credit events occurred when GM, WaMu, and Abitibi filed for
bankruptcy and when Station Casinos defaulted on certain debt
obligations.

Following the occurrence of those credit events, LBSF, on July 23,
2009, tendered a Notice of Physical Settlement to AIG CDS, in
which it asserted that, no later than July 28, 2009, AIG CDS would
be required to pay to LBSF $12,500,000, representing the aggregate
physical settlement amount for the credit events that had occurred
with respect to GM, WaMu, Abitibi, and Station Casinos, less
$3,369,294, which represented the net amounts owed by LBSF to AIG.
Two weeks after serving notice, LBSF filed a motion with the
Bankruptcy Court seeking to compel AIG to honor its obligations
under the Swap Agreement.

AIG CDS, however, objects to the terms of LBSF's request.  AIG CDS
insists that any relief that the Court may award should be
conditioned on LBSF providing AIG CDS with adequate assurance that
it will perform its future obligations under the Swap Agreement as
they come due.  It notes that LBSF had failed to make payments
under the Swap Agreement for more than a year.  Since filing of
the Motion to Compel, LBSF has failed to pay a semi-annual payment
of $30,167 and a quarterly payment of $685,067, AIG CDS notes.

                      About Lehman Brothers

Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- was the
fourth largest investment bank in the United States.  For more
than 150 years, Lehman Brothers has been a leader in the global
financial markets by serving the financial needs of corporations,
governmental units, institutional clients and individuals
worldwide.

Lehman Brothers filed for Chapter 11 bankruptcy September 15, 2008
(Bankr. S.D.N.Y. Case No. 08-13555).  Lehman's bankruptcy petition
listed $639 billion in assets and $613 billion in debts,
effectively making the firm's bankruptcy filing the largest in
U.S. history.  Several other affiliates followed thereafter.

The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at Weil,
Gotshal & Manges, LLP, in New York, represent Lehman.  Epiq
Bankruptcy Solutions serves as claims and noticing agent.

On September 19, 2008, the Honorable Gerard E. Lynch, Judge of the
U.S. District Court for the Southern District of New York, entered
an order commencing liquidation of Lehman Brothers, Inc., pursuant
to the provisions of the Securities Investor Protection Act (Case
No. 08-CIV-8119 (GEL)).  James W. Giddens has been appointed as
trustee for the SIPA liquidation of the business of LBI

The Bankruptcy Court has approved Barclays Bank Plc's purchase of
Lehman Brothers' North American investment banking and capital
markets operations and supporting infrastructure for
US$1.75 billion.  Nomura Holdings Inc., the largest brokerage
house in Japan, purchased LBHI's operations in Europe for $2
dollars plus the retention of most of employees.  Nomura also
bought Lehman's operations in the Asia Pacific for US$225 million.

               International Operations Collapse

Lehman Brothers International (Europe), the principal UK trading
company in the Lehman group, was placed into administration,
together with Lehman Brothers Ltd, LB Holdings PLC and LB UK RE
Holdings Ltd.  Tony Lomas, Steven Pearson, Dan Schwarzmann and
Mike Jervis, partners at PricewaterhouseCoopers LLP, have been
appointed as joint administrators to Lehman Brothers International
(Europe) on September 15, 2008.  The joint administrators have
been appointed to wind down the business.

Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan Inc.
filed for bankruptcy in the Tokyo District Court on September 16.
Lehman Brothers Japan Inc. reported about JPY3.4 trillion
(US$33 billion) in liabilities in its petition.

Bankruptcy Creditors' Service, Inc., publishes Lehman Brothers
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
undertaken by Lehman Brothers Holdings, Inc., and its various
affiliates.  (http://bankrupt.com/newsstand/or 215/945-7000)


LL&E ROYALTY: Faces NYSE Suspension and Delisting
-------------------------------------------------
LL&E Royalty Trust said October 5 that it has received an
additional notice from The New York Stock Exchange stating that
the Trust has until November 16, 2009, to cure the average closing
price noncompliance and that, if the Trust fails to do so, the
NYSE would have to initiate suspension and delisting procedures.

As previously announced, the NYSE had previously notified the
Trust that the Trust had fallen below the NYSE's continued listing
standard relating to the average closing price of the Trust's
securities and that, as such, the Trust was subject to the
procedures outlined in sections 801 and 802 of the NYSE Listed
Company Manual.  Rule 802.01C of the NYSE Listed Company Manual
requires that the securities have a minimum average closing price
of not less than $1.00 during a consecutive 30 trading-day period.

During 2006 and 2007 the Trust's net revenues were below the
minimum amounts required by the Trust's governing documents for
the continuation of the Trust.  Consequently, in accordance with
its governing documents, the Trust terminated effective
December 31, 2007, and will sell its assets.  However, as
announced by the Trustee on October 22, 2008, the Trustee
determined that, in light of market conditions, it was in the best
interests of the Unitholders to postpone the sale of the Trust's
assets.  The Trustee reviews market conditions frequently, and
intends to recommence the marketing process as soon as
practicable.

                          About LL&E Trust

LL&E Royalty Trust (NYSE: LRT) operates as an investment trust in
the United States.  The trust owns 99% interest in a partnership,
which holds net over-riding royalty interests in oil and gas
properties located in Alabama, Florida; and in federal waters
offshore Louisiana.  The partnership also holds 3% royalty
interests in approximately 400,000 acres of south Louisiana fee
lands.  LL&E Royalty Trust was founded in 1983 and is based in
Austin, Texas.


LYONDELL CHEMICAL: Creditors Seek Examiner for Bankruptcy
---------------------------------------------------------
Tiffany Kary at Bloomberg News reports that the official committee
of unsecured creditors formed in Lyondell Chemical Co.'s Chapter
11 cases is asking the Bankruptcy Court to order the appointment
of an examiner to investigate whether Len Blavatnik and lenders
from the chemical maker's 2007 buyout are unfairly influencing its
bankruptcy.

The Creditors Committee asserts that Lyondell needs an independent
examiner because Blavatnik, chairman of Access Industries Holding
LLC, still controls the Company.  The examiner, according to the
panel, should probe why the Company wouldn't refinance its
$8 billion bankruptcy loan, and how Mr. Blavatnik and lenders who
worked with him in 2005 will also fund a rights offering that
includes a "forced settlement" of the creditors' lawsuit against
them.

The Official Committee of Unsecured Creditors of Lyondell Chemical
Co. and its affiliates has commenced a lawsuit against Citibank
N.A., Deutsche Bank, and other banks that funded the 2007
acquisition of Lyondell Chemical Company by Basell AF S.C.A.
Having accumulated heavy debt because of the merger,
LyondellBasell was in a full-blown liquidity crisis and was
running out of money to fund its operations only three months
following the merger.  The Creditors Committee asserted claims of,
among other things, fraudulent transfer, breach of fiduciary duty,
avoidance of unperfected senior liens.

U.S. Bankruptcy Judge Robert Gerber will hear the examiner request
on Oct. 14.  The Company's disclosure statement to its
reorganization plan must be approved by Oct. 15 in order for the
company to keep current terms of its $8 billion loan, creditors
noted.

Noteholders led by the Bank of New York Mellon and Bank of New
York Mellon Trust Company, as indenture trustees, have asked the
Bankruptcy Court to compel Lyondell Chemical Co. to refinance the
secured lending package that matures Dec. 15, two weeks before
commencement of a trial where the Creditors Committee is
attempting to void the lenders' security interests based on a
theory that the 2007 leveraged buyout amounted to a fraudulent
transfer.

BNY, the indenture trustee for the 8.375 percent senior notes, has
also filed a separate lawsuit against the secured lenders, arguing
that it suffered unique damages because the LBO violated covenants
in the senior note indenture and also violated an inter-creditor
agreement.

                      About Lyondell Chemical

LyondellBasell Industries is one of the world's largest polymers,
petrochemicals and fuels companies.  It is the global leader in
polyolefins technology, production and marketing; a pioneer in
propylene oxide and derivatives; and a significant producer of
fuels and refined products, including biofuels.  Through research
and development, LyondellBasell develops innovative materials and
technologies that deliver exceptional customer value and products
that improve quality of life for people around the world.
Headquartered in The Netherlands, LyondellBasell --
http://www.lyondellbasell.com/-- is privately owned by Access
Industries.

Basell AF and Lyondell Chemical Company merged operations in 2007
to form LyondellBasell Industries, the world's third largest
independent chemical company.  LyondellBasell became saddled with
debt as part of the US$12.7 billion merger.  On January 6, 2009,
LyondellBasell Industries' U.S. operations and one of its European
holding companies -- Basell Germany Holdings GmbH -- filed
voluntary petitions to reorganize under Chapter 11 of the U.S.
Bankruptcy Code to facilitate a restructuring of the company's
debts.  The case is In re Lyondell Chemical Company, et al.,
Bankr. S.D.N.Y. Lead Case No. 09-10023).  Seventy-nine Lyondell
entities, including Equistar Chemicals, LP, Lyondell Chemical
Company, Millennium Chemicals Inc., and Wyatt Industries, Inc.
filed for Chapter 11.  In May 2009, one of the cases was dismissed
-- Case No. 09-10068 -- because it is duplicative of Case No. 09-
10040 relating to Debtor Glidden Latin America Holdings.

The Hon. Robert E. Gerber presides over the case.  Deryck A.
Palmer, Esq., at Cadwalader, Wickersham & Taft LLP, in New York,
serves as the Debtors' bankruptcy counsel.  Evercore Partners
serves as financial advisors, and Alix Partners and its subsidiary
AP Services LLC, serves as restructuring advisors.  AlixPartners'
Kevin M. McShea acts as the Debtors' Chief Restructuring Officer.
Clifford Chance LLP serves as restructuring advisors to the
European entities.  Lyondell Chemical estimated that consolidated
assets total US$27.12 billion and debts total US$19.34 billion as
of the bankruptcy filing date.

Lyondell has obtained approximately US$8 billion in DIP financing
to fund continuing operations.  The DIP financing includes two
credit agreements: a US$6.5 billion term loan, which comprises a
US$3.25 billion in new loans and a US$3.25 billion roll-up of
existing loans; and a US$1.57 billion asset-backed lending
facility.

Luxembourg-based LyondellBasell Industries AF S.C.A. and another
affiliate were voluntarily added to Lyondell Chemical's
reorganization filing under Chapter 11 on April 24, 2009, in order
to seek protection against claims by certain financial and U.S.
trade creditors.  On May 8, 2009, LyondellBasell Industries added
13 non-operating entities to Lyondell Chemical Company's
reorganization filing under Chapter 11 of the U.S. Bankruptcy
Code.  All of the entities are U.S. companies and were added to
the original Chapter 11 filing for administrative purposes.  The
filings will have no impact on current business or operations as
none of the entities manufactures or sells products.

Bankruptcy Creditors' Service, Inc., publishes Lyondell Bankruptcy
News.  The newsletter tracks the Chapter 11 proceeding undertaken
by Lyondell Chemical Company and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


LYONDELL CHEMICAL: May Ask to Move Financing Repayment Deadline
---------------------------------------------------------------
Brett Clanton at Houston Chronicle reports that Lyondell Chemical
Company said that it may ask lenders to extend by 50 days a
December 15 deadline on repayment of more than $8 billion in
bankruptcy financing, citing potential delays from the creditors'
lawsuit.  Houston Chronicle notes that this could push its
emergence from Chapter 11 to late January.

Houston Chronicle relates that Lyondell Chemical Company is at
odds with a group of former and active employees for refusing to
pay more than $25 million in deferred compensation.  Houston
Chronicle states that affected employees claimed that the deferred
compensation plan contained money they earned.

Participants in the plans were made aware the programs were
unfunded, unsecured obligations, Houston Chronicle says, citing
Lyondell Chemical.

According to Houston Chronicle, bankruptcy court judge Robert
Gerber had allowed Lyondell Chemical's LyondellBasell Industries
to terminate certain executive benefit plans, including the
deferred compensation program, converting the money owed under the
programs into unsecured claims against the Company.  Court
documents say that Lyondell Chemical and its affiliates owe
$26 million in deferred compensation to 96 current employees and
67 former employees.

                      About Lyondell Chemical

LyondellBasell Industries is one of the world's largest polymers,
petrochemicals and fuels companies.  It is the global leader in
polyolefins technology, production and marketing; a pioneer in
propylene oxide and derivatives; and a significant producer of
fuels and refined products, including biofuels.  Through research
and development, LyondellBasell develops innovative materials and
technologies that deliver exceptional customer value and products
that improve quality of life for people around the world.
Headquartered in The Netherlands, LyondellBasell --
http://www.lyondellbasell.com/-- is privately owned by Access
Industries.

Basell AF and Lyondell Chemical Company merged operations in 2007
to form LyondellBasell Industries, the world's third largest
independent chemical company.  LyondellBasell became saddled with
debt as part of the US$12.7 billion merger.  On January 6, 2009,
LyondellBasell Industries' U.S. operations and one of its European
holding companies -- Basell Germany Holdings GmbH -- filed
voluntary petitions to reorganize under Chapter 11 of the U.S.
Bankruptcy Code to facilitate a restructuring of the company's
debts.  The case is In re Lyondell Chemical Company, et al.,
Bankr. S.D.N.Y. Lead Case No. 09-10023).  Seventy-nine Lyondell
entities, including Equistar Chemicals, LP, Lyondell Chemical
Company, Millennium Chemicals Inc., and Wyatt Industries, Inc.
filed for Chapter 11.  In May 2009, one of the cases was dismissed
-- Case No. 09-10068 -- because it is duplicative of Case No. 09-
10040 relating to Debtor Glidden Latin America Holdings.

The Hon. Robert E. Gerber presides over the case.  Deryck A.
Palmer, Esq., at Cadwalader, Wickersham & Taft LLP, in New York,
serves as the Debtors' bankruptcy counsel.  Evercore Partners
serves as financial advisors, and Alix Partners and its subsidiary
AP Services LLC, serves as restructuring advisors.  AlixPartners'
Kevin M. McShea acts as the Debtors' Chief Restructuring Officer.
Clifford Chance LLP serves as restructuring advisors to the
European entities.  Lyondell Chemical estimated that consolidated
assets total US$27.12 billion and debts total US$19.34 billion as
of the bankruptcy filing date.

Lyondell has obtained approximately US$8 billion in DIP financing
to fund continuing operations.  The DIP financing includes two
credit agreements: a US$6.5 billion term loan, which comprises a
US$3.25 billion in new loans and a US$3.25 billion roll-up of
existing loans; and a US$1.57 billion asset-backed lending
facility.

Luxembourg-based LyondellBasell Industries AF S.C.A. and another
affiliate were voluntarily added to Lyondell Chemical's
reorganization filing under Chapter 11 on April 24, 2009, in order
to seek protection against claims by certain financial and U.S.
trade creditors.  On May 8, 2009, LyondellBasell Industries added
13 non-operating entities to Lyondell Chemical Company's
reorganization filing under Chapter 11 of the U.S. Bankruptcy
Code.  All of the entities are U.S. companies and were added to
the original Chapter 11 filing for administrative purposes.  The
filings will have no impact on current business or operations as
none of the entities manufactures or sells products.

Bankruptcy Creditors' Service, Inc., publishes Lyondell Bankruptcy
News.  The newsletter tracks the Chapter 11 proceeding undertaken
by Lyondell Chemical Company and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


MAGNA ENTERTAINMENT: Plans Mixed-Use Project on Laurel Park Land
----------------------------------------------------------------
Larry Carson at The Baltimore Sun reports that Magna Entertainment
Corp. is proposing to build 775 residences and more than a half-
million square feet of offices and retail shops on the Howard
County portion of Laurel Park.

According to the report, Magna Entertainment Corp. had filed suit
after being disqualified for a slots license on Laurel Park for
failing to include a required $28.5 million in fees with its bid.
Maryland's highest court ruled that Magna's challenge had to wait
until after the state slots commission awards the licenses.

Magna's parent company, MI Developments of Ontario, has scheduled
a public information meeting on the new Howard County proposal at
6 p.m. Wednesday at the Savage Library on Gorman Road.

                     About Magna Entertainment

Based in Aurora, Ontario, Magna Entertainment Corp. is North
America's largest owner and operator of horse racetracks based on
revenue.  The Company develops, owns and operates horse racetracks
and related pari-mutuel wagering operations, including off-track
betting facilities.  MEC also develops, owns and operates casinos
in conjunction with its racetracks where permitted by law.

MEC owns and operates AmTote International, Inc., a provider of
totalisator services to the pari-mutuel industry, XpressBet(R), a
national Internet and telephone account wagering system, as well
as MagnaBet(TM) internationally.  Pursuant to joint ventures, MEC
has a 50% interest in HorseRacing TV(R), a 24-hour horse racing
television network, and TrackNet Media Group LLC, a content
management company formed for distribution of the full breadth of
MEC's horse racing content.

Following its failure to meet obligations to lenders led by PNC
Bank, National Association, and Wells Fargo Bank, National
Association, and controlling shareholder MI Developments Inc.'s
decision not to provide further financial backing, Magna
Entertainment Corp. and 24 affiliates filed for Chapter 11 on
March 5, 2009 (Bankr. D. Del. Lead Case No. 09-10720).

Marcia L. Goldstein, Esq., and Brian S. Rosen, Esq., at Weil,
Gotshal & Manges LLP, have been engaged as bankruptcy counsel.
Mark D. Collins, Esq., L. Katherine Good, Esq., and Maris J.
Finnegan, Esq., at Richards, Layton & Finger, P.A., are the
Debtors' local counsel.  Miller Buckfire & Co. LLC is the Debtors'
investment banker and financial advisor.  Kurtzman Carson
Consultants LLC is the claims and noticing agent for the Debtors.

Magna Entertainment Corp. had total assets of US$1.054 billion and
total liabilities of US$947.3 million based on unaudited
consolidated financial statements as of December 31, 2008.


MANASSEH BUILDING: Wants Plan Exclusivity Extended Until Dec. 28
----------------------------------------------------------------
Manasseh Building Group, Inc., asks the U.S. Bankruptcy Court for
the Central District of California to extend the extend the
exclusive period to file its disclosure statement and Plan of
Reorganization until Dec. 28, 2009.

The Debtor also asks the Court to vacate the Nov. 3, 2009, hearing
to consider the disclosure statement.

Based in Oak Park, California, Manasseh Building Group, Inc., also
known as MBG and Pacific Planning and Design, operates a real
estate business.  The Debtor filed for Chapter 11 protection on
March 9, 2009 (Bankr. C.D. Calif. Case No. 09-12507).  Joseph A.
Eisenberg, Esq., at Jeffer, Mangels, Butler & Marmaro LLP
represents the Debtors in its restructuring efforts.  The Debtor
listed assets of between $10 million and $50 million and the same
range of debts.


METROMEDIA STEAKHOUSES: Kluge to Retain Control of Steakhouses
--------------------------------------------------------------
Steven Church at Bloomberg reports that Bankruptcy Judge Mary
Walrath approved a reorganization plan for Metromedia Steakhouses
Co. that allows John Kluge to retain control of the Ponderosa and
Bonanza restaurant chains.

Mr. Kluge and a group of affiliated companies and trusts hold $259
million in Metromedia Steakhouses debt.  Mr. Kluge will exchange
the debt for equity in the reorganized steakhouse chain.

After a two-day hearing, Judge Walrath approved the plan after
Metromedia made minor changes.

The Plan is the product of a settlement stemming from a suit
brought in February by the official committee of unsecured
creditors formed in its Chapter 11 case.  The Committee sued Mr.
Kluge, who controls the Company, along with a trust he created,
and two of his companies, including Metromedia Co.  The suit was
aimed at recharacterizing $225 million in debt as equity or making
Mr. Kluge's claim subordinate to the claims of creditors.

Pursuant to the settlement, engrafted in the Plan, Metromedia's
affiliates will not receive cash distributions on their
$258 million in claims, but will take equity in the reorganized
company.  Unsecured creditors are to receive an $850,000 payment
and a $3.65 million promissory note, for a 50% recovery.  Secured
creditors will be paid in full or have their claims reinstated.

                   About Metromedia Steakhouses

Plano, Texas-based Metromedia Steakhouses Company, L.P. owned,
operated and franchised family-focused restaurants operating under
the Ponderosa Steakhouse and Bonanza Steakhouse brands under the
Metromedia Restaurant Group.  Metromedia Steakhouse and three
affiliates filed Chapter 11 petitions on Oct. 22, 2008 (Bankr. D.
Del. Lead Case No. 08-12490).  Judge Mary Walrath handles the
case.  Bruce Grohsgal, Esq., and Laura Davis Jones, Esq., at
Pachulski, Stang, Ziehl Young & Jones LLP, represent the Debtors
in their chapter 11 cases.  In its bankruptcy petition, Metromedia
estimated assets of $1 million to $10 million and debts of
$100 million to $500 million.

Based in Plano, Tex., S & A Restaurant Corp. --
http://www.steakandale.com,http://www.steakandalerestaurants.com,
http://www.bennigans.com/-- and other affiliated entities
operate the Bennigan's Grill & Tavern, and the Steak & Ale
restaurant chains under the Metromedia Restaurant Group.  S & A
Restaurant and 38 of its affiliates filed Chapter 7 petition
under the U.S. Bankruptcy Code on July 29, 2008 (Bankr. E.D. Tex.
Case No. 08-41898).  J. Michael Sutherland, Esq. at Carrington
Coleman Sloman & Blumenthal, represents the Debtors in their
restructuring efforts.  When the Debtors filed for bankruptcy,
they listed estimated assets of between $100,000,000 and
$500,000,000 and estimated debts of between $10,000,000 and
$50,000,000.

The Metromedia Restaurant Group, a unit of closely held
conglomerate Metromedia Company, was one of the world's leading
multi-concept table-service restaurant groups, with more than 800
Bennigan's(R), Bennigan's SPORT(TM), Steak and Ale(R), Ponderosa
Steakhouse(R) and Bonanza(TM) Steakhouse restaurants in the United
States and abroad.


MOOG INC: Closes Sale of 2,675,000 Shares of Class A Common Stock
-----------------------------------------------------------------
Moog Inc. said that it has closed its public offering and sale of
2,675,000 shares of Class A common stock (which number of shares
includes 175,000 shares sold to the underwriters' pursuant to the
exercise in part of their over-allotment option) at a price of
$29.50 per share.  Net proceeds to Moog from the offering were
approximately $75 million.  Moog will use the net proceeds from
this offering to repay a portion of the indebtedness recently
incurred under its revolving bank credit facility to acquire GE
Aviation Systems' flight control actuation business.  All of the
shares were offered by Moog pursuant to a prospectus supplement
under Moog's existing shelf-registration statement.  Cowen and
Company, LLC, acted as the lead manager for the offering.

                          About Moog Inc.

Headquartered in East Aurora, New York, Moog Inc. (NYSE:MOG.A) --
http://www.moog.com/-- is a designer, manufacturer and integrator
of precision control components and systems.  The company's
products and systems include military and commercial aircraft
flight controls, satellite positioning controls, controls for
positioning gun barrels and automatic ammunition loading for
military combat vehicles, controls for steering tactical and
strategic missiles, and thrust vector controls for space launch
vehicles.  The company operates in five segments, including
Aircraft Controls, Space and Defense Controls, Industrial Systems,
Components and Medical Devices.  The company's manufacturing
facilities are located in the United States, including facilities
in New York, California, Utah, Virginia, North Carolina,
Pennsylvania, Ohio and Illinois, and in Germany, England, Italy,
Japan, the Philippines, Ireland and India.


NEWLOOK INDUSTRIES: Wireless Enters Into Settlement with Trustee
----------------------------------------------------------------
Newlook Industries Corp. said October 5 that its majority-owned
subsidiary, Wireless Age Communications, Inc. ("Wireless Age") has
entered into an agreement with the receiver and trustee in
bankruptcy  of its former subsidiaries, Wireless Age
Communications Ltd. ("Wireless Communications") and Wireless
Source Distribution Ltd. ("Wireless Source").  Pursuant to the
Settlement Agreement, Wireless Age agreed to pay Wireless
Communications and Wireless Source a total of $750,000 to settle
outstanding loans totaling approximately $8.3 million provided by
Wireless Communications and Wireless Source to Wireless Age.

Pursuant to the terms of the Settlement Agreement, the Trustee has
agreed to seek court approval for the arrangement on or before
October 9, 2009.  Wireless Age has agreed to pay an initial
installment of $50,000 within two days following the expiry of the
30-day appeal period after approval of the court order.  The
remaining $700,000 will be payable on or before December 31, 2009.
If Wireless Age defaults on payment of the Settlement Amount, it
has agreed not to contest actions taken by the Trustee to recover
a reduced amount of $3.25 million, less any payments made on the
Settlement Amount, rather than the full $8.3 million amount of the
loans.

Gary N. Hokkanen, Newlook CFO stated, "The agreement is necessary
to improve Wireless Age's balance sheet.  If completed prior to
year-end, it will settle the approximately $8.3 million accrued
special charge loss provision booked in December 2008,
representing a substantial gain.  In addition, it will allow
Wireless Age to take its first steps to bring its SEC reporting
back up to date and migrate to a more senior listing."

Wireless Age agreed to provide a release to the Trustee and others
effective upon the expiry of the appeal period, and the Trustee
agreed to provide a release to Wireless Age, effective upon
payment of the Settlement Amount.  All parties to the Settlement
Agreement agreed that the exchange of releases and payment of
monies do not constitute an admission of liability, but are simply
a compromise of disputed claims.

John G. Simmonds, Newlook CEO commented: "I'm extremely pleased
with this agreement, as it allows us to arrange a restructuring
with Wireless Age and move towards a renewable energy transaction,
subject to regulatory approvals."

                            Late Filing

As reported in the Troubled Company Reporter-Europe on June 16,
2009, Newlook previously held that their December 31, 2008 audited
annual financial statements would not be filed on time.  As a
result of the delay, Newlook Industries made an application to the
Ontario Securities Commission for a Management Cease Trade Order
to be imposed as prescribed under National Policy 12-203 with
respect to the late filing.

Newlook's failure to file its Annual Financial Statements within
the prescribed period of time was due to two subsidiaries being
placed into receivership by a secured creditor on January 9, 2009.

                      About Newlook Industries

Newlook Industries Corp., headquartered in Toronto, Ontario, is a
publicly traded company listed on the TSX Venture Exchange.
Newlook holds a 56% controlling interest in Wireless Age
Communications, Inc., (WLSA:OTCBB).  Wireless Age's retail
subsidiary, Wireless Age Communications Ltd., owns and operates
retail cellular and telecommunications outlets in cities in
western Canada.  Wireless Age's wholesale subsidiary, Wireless
Source Distribution Ltd., distributes two-way radio products and
wireless accessories to retailers, dealers, service centres,
carriers and network operators.


NORTEL NETWORKS: Files Bankruptcy Rule 2015.3 Reports
-----------------------------------------------------
Nortel Networks Inc. and its debtor affiliates delivered to the
Court a report on the value, operations and profitability of
companies in which they hold a substantial or controlling
interest as of June 30, 2009, as required by Rule 2015.3 of
the Federal Rules of Bankruptcy Procedure.

The report shows that the estates of NNI, Nortel AltSystems Inc.,
Sonoma Systems and Nortel Networks (NNCI) Inc. hold a substantial
or controlling interest in these companies:

                                                NNI Interest
Company Name                                   of the Estate
------------                                   -------------
Diamondware, Ltd.                                 100.00%
Nortel Networks India International Inc.          100.00%
Nortel Government Solutions Incorporated          100.00%
Nortel Ventures LLC                               100.00%
Bay Networks do Brasil Ltda.                       99.50%
Nortel Networks Technology Ltd.                   100.00%
Bay Networks Redes de Dados para
Sistemas Informaticos, Lda.                      100.00%
Clarify Limited                                   100.00%
Penril Datacomm Limited                           100.00%
Nortel Networks Eastern Mediterranean Ltd.        100.00%
Nortel Technology Excellence Centre
Private Limited                                   99.01%
Nortel Networks Japan                             100.00%
Nortel Networks Technology K.K.                   100.00%
Nortel Networks Southeast Asia Pte Ltd.           100.00%
Nortel Networks Technology (Thailand) Ltd.         99.94%
Limited Partnership Investment Fund                22.84%

                                                 AltSystems
                                                 Interest
Company Name                                   of the Estate
------------                                   -------------
Nortel AltSystems International Limited           100.00%
Nortel AltSystems AB                              100.00%

                                                  Sonoma
                                                 Interest
Company Name                                   of the Estate
------------                                   -------------
Sonoma Systems Europe Limited                    100.00%
Sonoma Limited                                   100.00%

                                               NNCI Interest
Company Name                                   of the Estate
-----------------                              --------------
Nortel Networks de Guatemala, Ltda.              98.00%
Nortel Trinidad and Tobago Limited              100.00%

NNI disclosed in the report that it is the sole member of Nortel
Foundation, a non-profit foundation organized as a non-stock
corporation.  There was no activity at Nortel Foundation during
the first six months of 2009.  The Nortel Foundation had assets
of approximately $32,000 in cash on hand as of June 30, 2009.

NNI also filed balance sheets and other financial documents for
those entities held by the company, Nortel AltSystems, Sonoma and
NNCI.  Full-text copies of those documents are available for free
at http://bankrupt.com/misc/NortelRule2015.3ReportsJune30.pdf

                      About Nortel Networks

Headquartered in Ontario, Canada, Nortel Networks Corporation
(NYSE/TSX: NT) -- http://www.nortel.com/-- delivers next-
generation technologies, for both service provider and enterprise
networks, support multimedia and business-critical applications.
Nortel's technologies are designed to help eliminate today's
barriers to efficiency, speed and performance by simplifying
networks and connecting people to the information they need, when
they need it.  Nortel does business in more than 150 countries
around the world.  Nortel Networks Limited is the principal direct
operating subsidiary of Nortel Networks Corporation.

Nortel Networks Corp., Nortel Networks Inc., and other affiliated
corporations in Canada sought insolvency protection under the
Companies' Creditors Arrangement Act in the Ontario Superior Court
of Justice (Commercial List).  Ernst & Young has been appointed to
serve as monitor and foreign representative of the Canadian Nortel
Group.  The Monitor also sought recognition of the CCAA
Proceedings in the Bankruptcy Court under Chapter 15 of the
Bankruptcy Code.

Nortel Networks Inc. and 14 affiliates filed separate Chapter 11
petitions on January 14, 2009 (Bankr. D. Del. Case No. 09-10138).
Judge Kevin Gross presides over the case.  James L. Bromley, Esq.,
at Cleary Gottlieb Steen & Hamilton, LLP, in New York, serves as
general bankruptcy counsel; Derek C. Abbott, Esq., at Morris
Nichols Arsht & Tunnell LLP, in Wilmington, serves as Delaware
counsel.  The Chapter 11 Debtors' other professionals are Lazard
Freres & Co. LLC as financial advisors; and Epiq Bankruptcy
Solutions LLC as claims and notice agent.

The Chapter 15 case is Bankr. D. Del. Case No. 09-10164.  Mary
Caloway, Esq., and Peter James Duhig, Esq., at Buchanan Ingersoll
& Rooney PC, in Wilmington, Delaware, serves as Chapter 15
petitioner's counsel.

Certain of Nortel's European subsidiaries have also made
consequential filings for creditor protection.  The Nortel
Companies related in a press release that Nortel Networks UK
Limited and certain subsidiaries of the Nortel group incorporated
in the EMEA region have each obtained an administration order
from the English High Court of Justice under the Insolvency Act
1986.  The applications were made by the EMEA Subsidiaries under
the provisions of the European Union's Council Regulation (EC)
No. 1346/2000 on Insolvency Proceedings and on the basis that
each EMEA Subsidiary's centre of main interests is in England.
Under the terms of the orders, representatives of Ernst & Young
LLP have been appointed as administrators of each of the EMEA
Companies and will continue to manage the EMEA Companies and
operate their businesses under the jurisdiction of the English
Court and in accordance with the applicable provisions of the
Insolvency Act.

Several entities, particularly, Nortel Government Solutions
Incorporated, have material operations and are not part of the
bankruptcy proceedings.

As of September 30, 2008, Nortel Networks Corp. reported
consolidated assets of $11.6 billion and consolidated liabilities
of $11.8 billion.  The Nortel Companies' U.S. businesses are
primarily conducted through Nortel Networks Inc., which is the
parent of majority of the U.S. Nortel Companies.  As of
September 30, 2008, NNI had assets of about $9 billion and
liabilities of $3.2 billion, which do not include NNI's guarantee
of some or all of the Nortel Companies' about $4.2 billion of
unsecured public debt.

Bankruptcy Creditors' Service, Inc., publishes Nortel Networks
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
and ancillary foreign proceedings undertaken by Nortel Networks
Corp. and its various affiliates.  (http://bankrupt.com/newsstand/
or 215/945-7000)


NORTEL NETWORKS: NGS Wins IDIQ Contract from NOAA
-------------------------------------------------
Nortel Government Solutions (NGS), a U.S. company wholly owned by
Nortel, announced that the National Oceanic and Atmospheric
Administration (NOAA) has selected NGS as a prime contractor on
the Instrument Processing Engineering Support-III (IPES-III)
contract.  Through the IPES contract, NGS will provide a wide
array of IT support services to the Office of Systems Development
(OSD) Ground Systems Division (GSD) of the NOAA Environmental
Satellite, Data, and Information Service (NESDIS).  The contract's
period of performance is August 10th 2009 -- August 9th 2012.  The
estimated value is $5.0M.

As part of the IPES contract, NGS, along with sub-contractors
Integral Systems, Inc., and Carr Astronautics will provide NESDIS
OSD with highly specialized support and expertise associated with
the design and development of end-to-end solutions for the current
series of the Geostationary Operational Environmental Satellite
(GOES) ground system components.  These systems are critical for
the continuity of the GOES constellation and vital for predicting
and tracking the formation of hurricanes.  This contract provides
multi-faceted support and an architectural upgrade to ensure the
evolution and enhancement of NOAA's NESDIS operational weather
forecasting capabilities.

"NGS has provided mission-critical systems support to NOAA since
2001," said Chuck Saffell, CEO of Nortel Government Solutions.
"We are proud of the high-caliber scientific and technical support
we have provided to NOAA over the years and are convinced that the
re-architecting of the GOES system will provide operational,
maintenance, and reliability dividends for NOAA while reducing
maintenance costs in the future."

The NGS-proposed architecture to be implemented under the IPES-III
contract significantly reduces ground system life-cycle costs,
improves future standardization between component systems,
standardizes operation and maintenance of operational ground
equipment, enhances IT security, and provides continuity of
operation for GOES satellites.

It also reduces the system's footprint and power requirements and
will enable the performance of hardware or software upgrades
without incurring long system downtimes.

               About Nortel Government Solutions

Nortel Government Solutions is a network-centric integrator,
providing the services expertise, mission-critical systems and
secure communications that empower government to ensure the
security, livelihood, and well being of its citizens.

Headquartered in Fairfax, Va., Nortel Government Solutions offers
a one-stop shop for solutions designed to improve workforce
productivity, reduce operating costs, and streamline
inter-agency communications.  Please visit
http://www.nortelgov.com/for more information.

                      About Nortel Networks

Headquartered in Ontario, Canada, Nortel Networks Corporation
(NYSE/TSX: NT) -- http://www.nortel.com/-- delivers next-
generation technologies, for both service provider and enterprise
networks, support multimedia and business-critical applications.
Nortel's technologies are designed to help eliminate today's
barriers to efficiency, speed and performance by simplifying
networks and connecting people to the information they need, when
they need it.  Nortel does business in more than 150 countries
around the world.  Nortel Networks Limited is the principal direct
operating subsidiary of Nortel Networks Corporation.

Nortel Networks Corp., Nortel Networks Inc., and other affiliated
corporations in Canada sought insolvency protection under the
Companies' Creditors Arrangement Act in the Ontario Superior Court
of Justice (Commercial List).  Ernst & Young has been appointed to
serve as monitor and foreign representative of the Canadian Nortel
Group.  The Monitor also sought recognition of the CCAA
Proceedings in the Bankruptcy Court under Chapter 15 of the
Bankruptcy Code.

Nortel Networks Inc. and 14 affiliates filed separate Chapter 11
petitions on January 14, 2009 (Bankr. D. Del. Case No. 09-10138).
Judge Kevin Gross presides over the case.  James L. Bromley, Esq.,
at Cleary Gottlieb Steen & Hamilton, LLP, in New York, serves as
general bankruptcy counsel; Derek C. Abbott, Esq., at Morris
Nichols Arsht & Tunnell LLP, in Wilmington, serves as Delaware
counsel.  The Chapter 11 Debtors' other professionals are Lazard
Freres & Co. LLC as financial advisors; and Epiq Bankruptcy
Solutions LLC as claims and notice agent.

The Chapter 15 case is Bankr. D. Del. Case No. 09-10164.  Mary
Caloway, Esq., and Peter James Duhig, Esq., at Buchanan Ingersoll
& Rooney PC, in Wilmington, Delaware, serves as Chapter 15
petitioner's counsel.

Certain of Nortel's European subsidiaries have also made
consequential filings for creditor protection.  The Nortel
Companies related in a press release that Nortel Networks UK
Limited and certain subsidiaries of the Nortel group incorporated
in the EMEA region have each obtained an administration order
from the English High Court of Justice under the Insolvency Act
1986.  The applications were made by the EMEA Subsidiaries under
the provisions of the European Union's Council Regulation (EC)
No. 1346/2000 on Insolvency Proceedings and on the basis that
each EMEA Subsidiary's centre of main interests is in England.
Under the terms of the orders, representatives of Ernst & Young
LLP have been appointed as administrators of each of the EMEA
Companies and will continue to manage the EMEA Companies and
operate their businesses under the jurisdiction of the English
Court and in accordance with the applicable provisions of the
Insolvency Act.

Several entities, particularly, Nortel Government Solutions
Incorporated, have material operations and are not part of the
bankruptcy proceedings.

As of September 30, 2008, Nortel Networks Corp. reported
consolidated assets of $11.6 billion and consolidated liabilities
of $11.8 billion.  The Nortel Companies' U.S. businesses are
primarily conducted through Nortel Networks Inc., which is the
parent of majority of the U.S. Nortel Companies.  As of
September 30, 2008, NNI had assets of about $9 billion and
liabilities of $3.2 billion, which do not include NNI's guarantee
of some or all of the Nortel Companies' about $4.2 billion of
unsecured public debt.

Bankruptcy Creditors' Service, Inc., publishes Nortel Networks
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
and ancillary foreign proceedings undertaken by Nortel Networks
Corp. and its various affiliates.  (http://bankrupt.com/newsstand/
or 215/945-7000)


NORTEL NETWORKS: TD AZLAN Welcomes Sale of Enterprise to Avaya
--------------------------------------------------------------
TD Azlan, Europe's leading distributor of enterprise networking,
server, storage and enterprise software solutions, has welcomed
the selection of Avaya to acquire Nortel Enterprise Solutions as a
positive move that will provide reassurance for value-added
resellers and partners of both companies.

As a key European partner for both Nortel and Avaya, TD Azlan is
ideally positioned and ready to deliver continuity of product
supply, service and support to their respective channel
communities, pending final approval of the merger by relevant
authorities in North America and Europe.

Simon England, VP Enterprise Tech Data Europe, MD for Azlan EMEA,
states: "We believe that the coming together of Avaya and Nortel
Enterprise Solutions has great promise, especially for channel
partners. For Avaya, this is clearly much more than just gaining
access to an established end-user base.  Nortel has had a long and
successful history of working with channels and has very well-
qualified partners that are able to position and architect
solutions.  Avaya has been making significant investments in its
channels at all levels and has put a very strong partner
management team and program in place.  When the strengths of these
organizations and channels are combined, the benefits and
opportunities for partners will be immense."

Steve Cant, European Business Development Director for TD Azlan
EMEA, adds: "This is certainly positive news for customers and
partners of both Nortel and Avaya who will continue to receive the
support and see further on-going investment in key products lines.
Avaya is firmly committed to the channel and we will continue
working closely with them to ensure that they can support and
retain their customers and to develop and drive joint business
development in key areas of the market."

Over the past two years, TD Azlan has worked closely with both
Avaya and Nortel to convert its experience, expertise and
capabilities into valuable reseller engagement, activation and
business development initiatives.  It will be eager to translate
the scale and focus advantages gained through this agreement to
maximize benefits to Avaya/Nortel resellers.

Assuming it goes ahead, the acquisition will enable VARs who have
made long-term investments and commitments in Nortel solutions to
continue reaping the rewards, Cant notes. "Already highly active
and proficient in leading technologies such as IP telephony,
unified communications, and data networking, Avaya is perfectly
positioned to preserve and grow the relationships with the
thousands of European resellers developed by Nortel over many
years.  Partners can fully expect the combined company to continue
developing high-performance solutions that will enable them to
compete effectively for new business in the enterprise convergence
market."

Avaya is acquiring an exciting product set and experienced
workforce with huge potential.  Azlan considers this acquisition
as a bold and positive move, with potential to spark a new wave of
optimism and innovation within the networking market.

Existing and new partners affected by the merger will benefit from
TD Azlan's commitment to helping customers develop their value
business via continued investment in skills training and business
development programs.

                          About Azlan

Azlan, the Enterprise Division of Tech Data Corporation, is a
leading value-added distributor of networking, communications,
midrange enterprise server, storage and software solutions in
Europe.   It enables fast, cost-effective pan-European
distribution of products and solutions for market leaders such as
Cisco, IBM, HP, VMware and Oracle.  Azlan provides a variety of
other value creating services including channel development,
marketing and sales support, training and certification, and
finance programs designed to assist vendor and reseller partners
in developing their SME and mid market opportunities.

Azlan continues to build on its 25 year history of excellence, now
as part of Tech Data, which acquired Azlan in March 2003.  Tech
Data generated $24.1 billion in net sales for its fiscal year
ended January 31, 2009.  Founded in 1974, Tech Data is a leading
distributor of IT products, with more than 100,000 customers in
over 100 countries.

                      About Nortel Networks

Headquartered in Ontario, Canada, Nortel Networks Corporation
(NYSE/TSX: NT) -- http://www.nortel.com/-- delivers next-
generation technologies, for both service provider and enterprise
networks, support multimedia and business-critical applications.
Nortel's technologies are designed to help eliminate today's
barriers to efficiency, speed and performance by simplifying
networks and connecting people to the information they need, when
they need it.  Nortel does business in more than 150 countries
around the world.  Nortel Networks Limited is the principal direct
operating subsidiary of Nortel Networks Corporation.

Nortel Networks Corp., Nortel Networks Inc., and other affiliated
corporations in Canada sought insolvency protection under the
Companies' Creditors Arrangement Act in the Ontario Superior Court
of Justice (Commercial List).  Ernst & Young has been appointed to
serve as monitor and foreign representative of the Canadian Nortel
Group.  The Monitor also sought recognition of the CCAA
Proceedings in the Bankruptcy Court under Chapter 15 of the
Bankruptcy Code.

Nortel Networks Inc. and 14 affiliates filed separate Chapter 11
petitions on January 14, 2009 (Bankr. D. Del. Case No. 09-10138).
Judge Kevin Gross presides over the case.  James L. Bromley, Esq.,
at Cleary Gottlieb Steen & Hamilton, LLP, in New York, serves as
general bankruptcy counsel; Derek C. Abbott, Esq., at Morris
Nichols Arsht & Tunnell LLP, in Wilmington, serves as Delaware
counsel.  The Chapter 11 Debtors' other professionals are Lazard
Freres & Co. LLC as financial advisors; and Epiq Bankruptcy
Solutions LLC as claims and notice agent.

The Chapter 15 case is Bankr. D. Del. Case No. 09-10164.  Mary
Caloway, Esq., and Peter James Duhig, Esq., at Buchanan Ingersoll
& Rooney PC, in Wilmington, Delaware, serves as Chapter 15
petitioner's counsel.

Certain of Nortel's European subsidiaries have also made
consequential filings for creditor protection.  The Nortel
Companies related in a press release that Nortel Networks UK
Limited and certain subsidiaries of the Nortel group incorporated
in the EMEA region have each obtained an administration order
from the English High Court of Justice under the Insolvency Act
1986.  The applications were made by the EMEA Subsidiaries under
the provisions of the European Union's Council Regulation (EC)
No. 1346/2000 on Insolvency Proceedings and on the basis that
each EMEA Subsidiary's centre of main interests is in England.
Under the terms of the orders, representatives of Ernst & Young
LLP have been appointed as administrators of each of the EMEA
Companies and will continue to manage the EMEA Companies and
operate their businesses under the jurisdiction of the English
Court and in accordance with the applicable provisions of the
Insolvency Act.

Several entities, particularly, Nortel Government Solutions
Incorporated, have material operations and are not part of the
bankruptcy proceedings.

As of September 30, 2008, Nortel Networks Corp. reported
consolidated assets of $11.6 billion and consolidated liabilities
of $11.8 billion.  The Nortel Companies' U.S. businesses are
primarily conducted through Nortel Networks Inc., which is the
parent of majority of the U.S. Nortel Companies.  As of
September 30, 2008, NNI had assets of about $9 billion and
liabilities of $3.2 billion, which do not include NNI's guarantee
of some or all of the Nortel Companies' about $4.2 billion of
unsecured public debt.

Bankruptcy Creditors' Service, Inc., publishes Nortel Networks
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
and ancillary foreign proceedings undertaken by Nortel Networks
Corp. and its various affiliates.  (http://bankrupt.com/newsstand/
or 215/945-7000)


PHILADELPHIA NEWSPAPERS: Lenders Fight for Right to Credit Bid
--------------------------------------------------------------
The October 1 hearing on Philadelphia Newspapers LLC's request to
conduct an auction for its business ended without a bench ruling
by the bankruptcy judge.  According to Sophia Pearson at Bloomberg
News, U.S. Bankruptcy Judge Stephen Raslavich reserved decision on
the Company's proposed auction rules, which bar senior lenders
from submitting a credit bid at the auction.

Philadelphia Newspapers is opposing a credit bid by lenders owed
more than $400 million, saying that it would have a "chilling
effect" on competing bidders.  A credit bid would top the
stalking-horse bid submitted by a group of local investors,
including Bruce E. Toll, vice chairman of homebuilder Toll
Brothers Inc.

Creditors, on the other hand, accused the current owners of
Philadelphia Newspapers of trying to "game" the bankruptcy system
to keep insiders in control.  According to The Associated Press,
creditors argued for the right to make a "credit bid", using some
of the $300 million of secured debt.  The AP states that creditors
complained that Philadelphia Newspapers drew up a reorganization
plan designed to exclude credit bids and retain CEO Brian Tierney
and his team.

The Company is contemplating an October 22 auction, wherein a
group of local investors, including Bruce E. Toll, would be lead
bidder for its business.  The Debtors have filed a proposed
Chapter 11 plan built around the sale of the business to Mr. Toll
or to the highest bidder.

Philadelphia Newspapers filed a Chapter 11 plan of reorganization
on August 20.  The Plan provides for the sale of substantially all
of the Debtors' assets to Mr. Toll-led Philly Papers, LLC, absent
higher and better bids at an auction.  Under the deal, Philly
Papers is expected to pay over $41,000,000, after payment of
approximately $6,000,000 in administrative and priority claims.

According to the disclosure statement explaining the Plan, holders
of secured claims, including $66 million, senior secured claims,
will recover 100 cents on the dollar.  Holders of $350 million
prepetition unsecured debt claims will recover less than 1% of
their claims.  Holders of prepetition unsecured trade claims will
recover up to 6%.

A copy of the Disclosure Statement is available for free at:

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

A copy of the Insider Plan is available for free at:

    http://bankrupt.com/misc/PhillyNews_Ch11Plan.pdf

Senior lenders, including CIT Group Inc., have proposed their own
reorganization plan that would allow the Company to emerge from
bankruptcy with about $60 million in debt.  Led by Citizens
Bank of Pennsylvania, as agent, senior lenders would own about
95% of the Company with the remainder going to unsecured mezzanine
debt holders.  Other unsecured creditors will recover up to 10% of
their claims in cash.

                About Philadelphia Newspapers

Philadelphia Newspapers -- http://www.philly.com/-- owns and
operates numerous print and online publications in the
Philadelphia market, including the Philadelphia Inquirer, the
Philadelphia Daily News, several community newspapers, the
region's number one local Web site, philly.com, and a number of
related online products. The Company's flagship publications are
the Inquirer, the third oldest newspaper in the country and the
winner of numerous Pulitzer Prizes and other journalistic
recognitions, and the Daily News.

Philadelphia Newspapers and its debtor-affiliates filed for
Chapter 11 bankruptcy protection on February 22, 2008 (Bankr. E.D.
Pa. Case No. 09-11204).  Proskauer Rose LLP is the Debtors'
bankruptcy counsel, while Lawrence G. McMichael, Esq., at Dilworth
Paxson LLP is the local counsel.  The Debtors' financial advisor
is Jefferies & Company Inc.  The Garden City Group, Inc., serves
as claims and notice agent.  Philadelphia Newspapers listed assets
and debts of $100 million to $500 million in its bankruptcy
petition.


PILGRIM'S PRIDE: District Court to Hold Jury Trial on DTTPA Suit
----------------------------------------------------------------
Shelia and James Adams and a number of similar independent
farmers in Texas, Arkansas, Oklahoma, and Louisiana, who raise
chickens for processing and distribution to Pilgrim's Pride Corp.
filed an adversary proceeding to bring claims against the Debtors
for violations of the Packers and Stockyards Act, fraud,
promissory estoppel, intentional infliction of emotional distress,
and violations of the Texas Deceptive Trade Practices Act.  In
light of the complaint, the Growers ask the Court for a trial
by jury.

Judge D. Michael Lynn of the United States Bankruptcy Court for
the Northern District of Texas, Fort Worth Division, has
determined that the disposition of the Adversary Proceeding filed
by Sheila and James Adams, et al., may affect the progress of the
Debtors' reorganization.

After reviewing the pleadings and conducting a Status Conference,
Judge Lyn recommended to Judge Terry Means of the United States
District Court for the Northern District of Texas, Forth Worth
Division, that the Motion for withdrawal of reference earlier
filed by Sheila and James Adams et al, the plaintiffs in this
case, be granted, with respect to all proceedings in the Adversary
case.  The Debtors signified no objection to Judge Lynn's
recommendation.

Judge Lynn informed the District Court that there is currently
pending before the Bankruptcy Court, a motion by the Debtors to
dismiss this Adversary proceeding on grounds that the complaint
fails to satisfy Rule 9(b) of the Federal Rules of Civil
Procedure, which requires Plaintiffs, at a minimum, to allege the
particulars of "the time, place, and contents of false
representations, as well as the identity of the person making the
misrepresentation and what was obtained or given up thereby.

Both parties had demanded that the Adversary be tried to a jury,
however, the Adams, et al., had averred that it does not consent
to the bankruptcy court conducting that jury trial or entering
judgment in the Adversary Proceeding.

As earlier reported, the Adams alleged in their complaint that the
Debtors violated Section 192(e) of the PSA by improperly
committing acts intended to manipulate the price of chicken,
coercing the growers to undergo expensive "retrofits" of their
farms for the Debtors' own benefit, and retaliating against
and ultimately terminating the contracts of those Growers who
refused to retrofit the Debtors' demands.

By the Order of Judge Terry R. Means, the Adams et al's Motion to
Withdraw Reference is granted, and the U.S. District Court for the
Northern District of Texas retains Jurisdiction of this Adversary
Proceeding.

                         Clinton City Suit

Judge Lynn also recommended to Judge Terry R. Means, after
reviewing the pleadings and conducting a Status Conference, that
the Motion for withdrawal of reference with regards to an
Adversary Complaint earlier filed by Clinton City, Arkansas, with
the U.S. Bankruptcy Court for the Northern District of Texas,
Forth Worth Division, for the Debtors' alleged misuse of economic
power to violate the Packers and Stockyards Act, be granted, with
respect to all proceedings in the Adversary case.

The Debtors have also filed a motion to dismiss this Adversary
case.  The Motion to Dismiss is now pending in the U.S. Bankruptcy
Court for the Northern District of Texas, Judge Lynn informed
Judge Terry Means.

As the Clinton proceedings is identical to the Adams proceedings
in all respects, Judge Terry Means also granted Clinton City's
Motion to Withdraw Reference and further ruled that the two
proceedings be consolidated with cause number 4:09-CV-386-Y in the
U.S. District Court for the Northern District Court of Texas,
Forth Worth Division.

                     About Pilgrim's Pride

Headquartered in Pittsburgh, Texas, Pilgrim's Pride Corporation
(Pink Sheets: PGPDQ) -- http://www.pilgrimspride.com/-- employs
roughly 41,000 people and operates chicken processing plants and
prepared-foods facilities in 14 states, Puerto Rico and Mexico.
The Company's primary distribution is through retailers and
foodservice distributors.

Pilgrim's Pride Corp. and six other affiliates filed Chapter 11
petitions on December 1, 2008 (Bankr. N.D. Tex. Lead Case No.
08-45664).  The Debtors' operations in Mexico and certain
operations in the United States were not included in the filing
and continue to operate as usual outside of the Chapter 11
process.

Pilgrim's Pride has engaged Stephen A. Youngman, Esq., Martin A.
Sosland, Esq., and Gary T. Holzer, Esq., at Weil, Gotshal & Manges
LLP, as bankruptcy counsel.  Lazard Freres & Co., LLC, is the
Company's investment bankers and William K. Snyder of CRG Partners
Group LLC is chief restructuring officer.  Kurtzman Carson
Consulting LLC serves as claims and notice agent.  Kelly Hart and
Brown Rudnick represent the official equity committee.  Attorneys
at Andrews Kurth LLP represents the official committee of
unsecured creditors.

As of December 27, 2008, the Company had $3,215,103,000 in total
assets, $612,682,000 in total current liabilities, $225,991,000 in
total long-term debt and other liabilities, and $2,253,391,000 in
liabilities subject to compromise.

Bankruptcy Creditors' Service, Inc., publishes Pilgrim's Pride
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
of Pilgrim's Pride Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


PILGRIM'S PRIDE: M&G Investment Owns $10.7% of Common Stock
-----------------------------------------------------------
M&G Investment Funds notified the Court that, as of July 17, 2009,
it beneficially owns 7,900,000 shares of common stock of Pilgrim's
Pride Corporation, which represents 10.667% of the total amount of
PPC Common Stock outstanding as of that date.

Headquartered in Pittsburgh, Texas, Pilgrim's Pride Corporation
(Pink Sheets: PGPDQ) -- http://www.pilgrimspride.com/-- employs
roughly 41,000 people and operates chicken processing plants and
prepared-foods facilities in 14 states, Puerto Rico and Mexico.
The Company's primary distribution is through retailers and
foodservice distributors.

Pilgrim's Pride Corp. and six other affiliates filed Chapter 11
petitions on December 1, 2008 (Bankr. N.D. Tex. Lead Case No.
08-45664).  The Debtors' operations in Mexico and certain
operations in the United States were not included in the filing
and continue to operate as usual outside of the Chapter 11
process.

Pilgrim's Pride has engaged Stephen A. Youngman, Esq., Martin A.
Sosland, Esq., and Gary T. Holzer, Esq., at Weil, Gotshal & Manges
LLP, as bankruptcy counsel.  Lazard Freres & Co., LLC, is the
Company's investment bankers and William K. Snyder of CRG Partners
Group LLC is chief restructuring officer.  Kurtzman Carson
Consulting LLC serves as claims and notice agent.  Kelly Hart and
Brown Rudnick represent the official equity committee.  Attorneys
at Andrews Kurth LLP represents the official committee of
unsecured creditors.

As of December 27, 2008, the Company had $3,215,103,000 in total
assets, $612,682,000 in total current liabilities, $225,991,000 in
total long-term debt and other liabilities, and $2,253,391,000 in
liabilities subject to compromise.

Bankruptcy Creditors' Service, Inc., publishes Pilgrim's Pride
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
of Pilgrim's Pride Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


PILGRIM'S PRIDE: November 4 Trial on Atkinson FLSA Class Suit
-------------------------------------------------------------
The Bankruptcy Court has set a November 4, 2009 trial docket call
for the adversary proceeding filed by Anna Atkinson et al. Against
Pilgrim's Pride Corp. and its affiliates.  This pertains to the
amended complaint by Anna Atkinson, seeking trial by jury, which
Ms. Atkinson did not request in her original complaint.

Earlier, the Debtors informed the Court to deny the allegations
asserted by the Atkinson complaint to the extent the allegations
give rise to any presumption that they have violated the Fair
Labor Standards Act.  Furthermore, the Debtors asserted that the
relief sought for in the Atkinson Complaint cannot be granted for
the reason that the Complaint fails to state a claim, and the
alleged donning or doffing for which the Atkinson complaint seeks
compensation is not work, said Marcus Helt, Esq., at Gardere Wynne
Sewell LLP, in Dallas, Texas.

Anna Atkinson, Antione Gerald, Angela Evans, Wesley Harris, Ringo
Morrison, Eric Frederick, and Pertina Hardnick, individually and
on behalf of all others similarly situated, filed an adversary
proceeding against the Debtors to recover unpaid overtime wages
brought under the Fair Labor Standards Act.

The Putative Class Members are current and former poultry process
employees of the Debtors' Sumter, South Carolina; Sanford and
Siler City, North Carolina; and Guntersville, Alabama facilities
during the time period May 26, 2006, up to the present.  The
Putative Class Members complain that they were required to work
"off the clock" and were not paid overtime for all hours worked
in excess of 40 hours a week in accordance with the FLSA.

                     About Pilgrim's Pride

Headquartered in Pittsburgh, Texas, Pilgrim's Pride Corporation
(Pink Sheets: PGPDQ) -- http://www.pilgrimspride.com/-- employs
roughly 41,000 people and operates chicken processing plants and
prepared-foods facilities in 14 states, Puerto Rico and Mexico.
The Company's primary distribution is through retailers and
foodservice distributors.

Pilgrim's Pride Corp. and six other affiliates filed Chapter 11
petitions on December 1, 2008 (Bankr. N.D. Tex. Lead Case No.
08-45664).  The Debtors' operations in Mexico and certain
operations in the United States were not included in the filing
and continue to operate as usual outside of the Chapter 11
process.

Pilgrim's Pride has engaged Stephen A. Youngman, Esq., Martin A.
Sosland, Esq., and Gary T. Holzer, Esq., at Weil, Gotshal & Manges
LLP, as bankruptcy counsel.  Lazard Freres & Co., LLC, is the
Company's investment bankers and William K. Snyder of CRG Partners
Group LLC is chief restructuring officer.  Kurtzman Carson
Consulting LLC serves as claims and notice agent.  Kelly Hart and
Brown Rudnick represent the official equity committee.  Attorneys
at Andrews Kurth LLP represents the official committee of
unsecured creditors.

As of December 27, 2008, the Company had $3,215,103,000 in total
assets, $612,682,000 in total current liabilities, $225,991,000 in
total long-term debt and other liabilities, and $2,253,391,000 in
liabilities subject to compromise.

Bankruptcy Creditors' Service, Inc., publishes Pilgrim's Pride
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
of Pilgrim's Pride Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


PLASTECH ENGINEERED: Trustee Launches Dozens of Payment Suits
-------------------------------------------------------------
Law360 reports that Carroll Services LLC, liquidating trustee for
bankrupt auto supplier Plastech Engineered Products Inc., has
commenced roughly 90 adversary proceedings against various
creditors, including robotics company SAS Automation Ltd., the
Chardon Rubber Co., staffing firm Populus Group LLC and others
seeking to recover alleged preferential or fraudulent transfers.

Based in Dearborn, Michigan, Plastech Engineered Products, Inc. --
http://www.plastecheng.com/-- is a full-service automotive
supplier of interior, exterior and underhood components. It
designs and manufactures blow-molded and injection-molded plastic
products primarily for the automotive industry. Plastech's
products include automotive interior trim, underhood components,
bumper and other exterior components, and cockpit modules.
Plastech's major customers are General Motors, Ford Motor Company,
and Toyota, as well as Johnson Controls, Inc.

Plastech is a privately held company and is the largest family-
owned company in the state of Michigan. The company is certified
as a Minority Business Enterprise by the state of Michigan.
Plastech maintains more than 35 manufacturing facilities in the
midwestern and southern United States. The company's products are
sold through an in-house sales force.

The company and eight of its affiliates filed for Chapter 11
protection on Feb. 1, 2008 (Bankr. E.D. Mich. Lead Case No. 08-
42417).  Gregg M. Galardi, Esq., at Skadden Arps Slate Meagher &
Flom LLP, and Deborah L. Fish, Esq., at Allard & Fish, P.C.,
represented the Debtors in their restructuring efforts.  The
Debtors chose Jones Day as their special corporate and litigation
counsel.  Lazard Freres & Co. LLC served as the Debtors'
investment bankers, while Conway, MacKenzie & Dunleavy provided
financial advisory services.  The Debtors also employed Donlin,
Recano & Company as their claims and noticing agent. Joel D.
Applebaum, Esq., at Clark Hill PLC, represented the Official
Committee of Unsecured Creditors.

As of Dec. 31, 2006, the company's books and records reflected
assets totaling $729,000,000 and total liabilities of
$695,000,000.

The Debtors filed their Plan of Liquidation on August 11, 2008.
As reported by the Troubled Company Reporter on December 22, 2008,
the Court confirmed Plastech's Fifth Amended Joint Plan of
Liquidation.  The Plan became effective in accordance with its
terms on December 31, 2008.  (Plastech Bankruptcy News; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000).


PTC ALLIANCE: Can Hire Logan & Company as Claims Agent
------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware authorized
PTC Alliance Corp. and its debtor-affiliates to employ Logan &
Company Inc. and their claims, noticing and balloting agent.

The firm is expected to:

   a) serve required notices in these chapter 11 cases;

   b) maintain all proofs of claim and proofs of interests filed
      in these chapter 11 cases;

   c) docket all Claims;

   d) maintain and transmit to the Clerk the official Claims
      registers;

   e) maintain current mailing lists of all entities that have
      filed Claims and notices of appearance;

   f) provide the public access for examination to all
      Claims at its premises during regular business hours and
      without charge;

   g) record all transfers of Claims; and

   h) provide balloting and plan solicitation services related to
      the Debtors' chapter 11 plan.

The firm's standard hourly rates are:

      Principal                              $270
      Court Testimony                        $300
      Statement & Schedule Preparation       $200
      Account Executive Support              $185
      Public Webstite Design                 $185
      Programming Support                    $150
      Project Coordinator                    $125
      Data Prep Analysis                     $100
      Data Entry                              $70
      Clerical                                $45

The Debtors assured the Court that the firm is a "disinterested
person" as defined in Section 101(14) of the Bankruptcy Code.

Headquartered in Wexford, Pennsylvania, PTC Alliance Corp. makes
welded and cold drawn mechanical steel tubing and tubular shapes,
chrome-plated bar products and precision components.  The company
and its affiliates filed for Chapter 11 protection on October 1,
2009 (Bankr. D. Del. Lead Case No. 09-13395).  The Debtors
selected Reed Smith LLP as their counsel.  The Debtors listed
assets between $50 million and $100 million, and debts between
$100 million and $500 million.


QUESTEX MEDIA: Can Access CSCIB $5.5 Million Loan on Interim
------------------------------------------------------------
The Hon. Mary F. Walrath of the U.S. Bankruptcy Court for the
District of Delaware authorized Questex Media Group Inc. and its
debtor-affiliates to access, on an interim basis, $5.5 million of
$15 million postpetition financing from Credit Suisse Cayman
Islands Branch, as administrative and collateral agent.

The Debtors provided an initial cash flow budget from Oct. 9,
2009, to Jan. 1, 2010.

The DIP facility will incur interest at the alternate base rate
plus the applicable margin or the adjusted LIBO rate plus the
applicable margin.  The alternate base rate is, for any day, the
great of (i) 4%; (ii) the prime rate in effect on such; (iii) the
federal funds rate in effect for such day plus 0.5%; and (iv) the
adjusted LIBO rate for a one-month interest in effect on such day
plus 1%.  The applicable rate is (i) 9% for any ABR loan and (ii)
10% for any Eurodollar loan.  Default rate interest is 2% per
annum plus the rate otherwise applicable.

All obligations with respect to the DIP loan incurred by the
Debtors will be at all times constitute allowed superpriority
administrative expense claims, having priority over all
administrative expenses.

The DIP facility is subject to a $250,000 carve-out to pay fees
and expenses incurred by professionals of the Debtors'.

The DIP facility contains appropriate and customary events of
default.

A hearing is set for Oct. 26, 2009, at 3:00 p.m., to consider
final approval of the DIP request.  Objections, if any, are due
Oct. 19, 2009.

                     Prepetition Indebtedness

The Debtors say that they have approximately $242 million in total
funded secured debt that stems from two financing agreements:

   * a first lien credit agreement made up of a $30 million first
     lien revolving credit facility and a $150 million first lien
     term loan; and

   * a second lien credit agreement made up of a $55 million
     second lien term loan.

The Debtors' obligations under the senior secured credit
facilities are secured by substantially all of their assets.

The Debtors add that they have about $41 million outstanding on
account of unsecured notes, and approximately $18.5 million in
accrued outstanding and unpaid "earnout" payments owed to former
principals of acquired entities.  The Debtors say that they incur
regular trade debt and other obligations in the ordinary course of
business, primarily during the second half of the year.

A full-text copy of the initial cash flow budget is available for
free at http://ResearchArchives.com/t/s?4673

Questex Media Group, Inc. -- http://www.questex.com/-- provides
media and telecommunication services.  The Debtors' media
properties include 23 trade publications and 150 digital
publications.  The cCmpany was formed in 2005 by Audax Group Inc,
a private equity firm based in Boston, which bought business units
from Advanstar Holdings Inc for $185 million.

Questex Media and its affiliates filed for Chapter 11 on Oct. 5
(Bankr. D. Del. Lead Case No. 09-13423).  James Stempel, Esq., and
Erik Chalut, Esq., at Kirkland & Ellis LLP, and Michael Nestor,
Esq., at Young Conaway Stargatt & Taylor, LLP, represent the
Debtors in their restructuring efforts.  The Company says it has
assets of $299 million against debts of $321 million.


QUESTEX MEDIA: Hires Epiq Bankruptcy as Claims Agent
----------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware authorized
Questex Media Group Inc. and its debtor-affiliates to employ Epiq
Bankruptcy Solutions LLC as their notice, claims and balloting
agent.

The firm has agreed to, among other things:

   a) prepare and serve a variety of documents on behalf
      of the Debtors in these chapter 11 cases

   b) maintain an official claims register in the
      Debtors' chapter 11 cases by docketing all proofs of
      claim and proofs of interest

   c) maintain copies of all proofs of claim and proofs
      of interest filed in these chapter 11 cases;

   d) update the official claims registers in accordance
      with Court orders; and

   e) implement necessary security measures to ensure
      the completeness and integrity of the claims
      registers.

The firm's standard hourly rates of its professionals are:

      Senior Consultant              $295
      Senior Case Manager          $225-$275
      Case Manager (Level 2)       $185-$220
      IT Programming Consultant    $140-$190
      Case Manager (Level 1)       $125-$175
      Clerk                         $40-$60

The Debtors assured the Court that the firm is a "disinterested
person" within the meaning of Section 101(14) of the Bankruptcy
Code.

Questex Media Group, Inc. -- http://www.questex.com/-- provides
media and telecommunication services.  The Debtors' media
properties include 23 trade publications and 150 digital
publications.  The Company was formed in 2005 by Audax Group Inc,
a private equity firm based in Boston, which bought business units
from Advanstar Holdings Inc for $185 million.

Questex Media and its affiliates filed for Chapter 11 on Oct. 5
(Bankr. D. Del. Lead Case No. 09-13423).  James Stempel, Esq., and
Erik Chalut, Esq., at Kirkland & Ellis LLP, and Michael Nestor,
Esq., at Young Conaway Stargatt & Taylor, LLP, represent the
Debtors in their restructuring efforts.  The Company says it has
assets of $299 million against debts of $321 million.


READER'S DIGEST: Gets Final Court Approval of $150MM DIP Loan
-------------------------------------------------------------
Tiffany Kary at Bloomberg News reports that The Reader's Digest
Association Inc., received permission to borrow the final portion
of a loan that gives it up to $150 million to reorganize.

U.S. Bankruptcy Judge Robert Drain at a hearing on October 5
approved the final $50 million portion of Reader's Digest's
debtor-in-possession loan, subject to some changes.  The Debtor
had already won interim permission to borrow $100 million under
the DIP, for which JPMorgan Chase Bank serves as an agent to a
group of lenders.

"I'm satisfied based on the record," Drain said, after hearing
that lawyers would submit an amended version of the loan agreement
Reader's proposed in earlier court documents.

The Credit and Guarantee Agreement among The Reader's Digest
Association, Inc., as borrower, the other Debtors, as guarantors,
JPMorgan Chase, as administrative agent, and the DIP lenders, was
previously amended to provide for a May 26, 2010 maturity date of
the DIP Loans.

               About The Reader's Digest Association

RDA is a global multi-brand media and marketing company that
educates, entertains and connects audiences around the world.  The
company builds multi-platform communities based on branded
content.  With offices in 44 countries, it markets books,
magazines, and music, video and educational products reaching a
customer base of 130 million in 78 countries.  It publishes 94
magazines, including 50 editions of Reader's Digest, the world's
largest-circulation magazine, operates 65 branded Web sites
generating 22 million unique visitors per month, and sells
40 million books, music and video products across the world each
year.  Its global headquarters are in Pleasantville, N.Y.

Reader's Digest said that as of June 30, 2009, it had total assets
of $2.2 billion against total debts of $3.4 billion.

Reader's Digest, together with its 47 affiliates, filed for
Chapter 11 on August 24 (Bankr. S.D.N.Y. Case No. 09-23529).
Kirkland & Ellis LLP has been engaged as general restructuring
counsel.  Mallet-Prevost, Colt & Mosle LLP has been tapped as
conflicts counsel.  Ernst & Young LLP is auditor.  Miller Buckfire
& Co, LLC, is financial advisor.  AlixPartners, LLC, is
restructuring consultant.  Kurtzman Carson Consultants is notice
and claims agent.

The Official Committee of Unsecured Creditors is tapping BDO
Seidman, LLP, as financial advisor, Trenwith Securities, LLP, as
investment banker and Otterbourg, Steindler, Houston & Rosen,
P.C., as counsel.

Bankruptcy Creditors' Service, Inc., publishes Reader's Digest
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
undertaken by Reader's Digest and its affiliates
(http://bankrupt.com/newsstand/or 215/945-7000)


RITZ CAMERA: Wants Plan Filing Deadline Moved to Oct. 26
--------------------------------------------------------
Ritz Camera Centers, Inc., nka RCC Liquidating Corp., asks the
U.S. Bankruptcy Court for the District of Delaware to extend the
(a) exclusive filing period until Oct. 26, 2009, and (b) exclusive
period to solicit acceptances for the Chapter 11 plan until
Dec. 24, 2009.  Prior to the filing of the motion, the Debtor
already received two extensions of its plan filing periods.

The motion is the Debtor's third request for extension.

Headquartered in Beltsville, Maryland, Ritz Camera Centers, Inc. -
- http://www.ritzcamera.com/-- sells digital cameras and
accessories, and electronic products.  The Company filed for
Chapter 11 protection on February 22, 2009 (Bankr. D. Del. Case
No. 09-10617).  Irving E. Walker, Esq., Gary H. Leibowitz, Esq.,
at Cole, Schotz, Meisel, Forman & Leonard, P.A., in Baltimore, are
bankruptcy counsel to the Debtor.  Norman L. Pernick, Esq., and
Karen M. Mckinley, Esq., at Cole, Schotz, Meisel, Forman &
Leonard, P.A., in Wilmington, Delaware, serve as local counsel.
Thomas & Libowitz, P.A., is Debtor's special corporate counsel and
conflicts counsel.  Marc S. Seinsweig, at FTI Consulting, Inc,
acts as the Debtor's chief restructuring officer.  Kurtzman Carson
Consultants LLC is the claims and noticing agent.  Attorneys at
Cooley Godward Kronish LLP represent the official committee of
unsecured creditors as lead counsel.  The Committee selected
Bifferato LLC as Delaware counsel.  In its schedules, the Debtor
listed total assets of $277 million and total debts of
$172.1 million.


SAIL CITY: Voluntary Chapter 15 Case Summary
--------------------------------------------
Chapter 15 Petitioner: Sail City Apparel Limited

Chapter 15 Debtor: Sail City Apparel Limited
                    dba Canterbury of New Zealand
                   18 Viaduct Harbor Avenue
                   Auckland
                   New Zealand

Chapter 15 Case No.: 09-36607

Chapter 15 Petition Date: October 6, 2009

Court: District of New Jersey (Trenton)

Chapter 15 Petitioner's Counsel: Richard M. Meth, Esq.
                                 Day Pitney LLP
                                 P.O. Box 1945
                                 Morristown, NJ 07962-1945
                                 Tel: (973) 966-6300
                                 Fax: (973) 966-1015
                                 Email: msteen@daypitney.com

Estimated Assets: $1 million to $10 million

Estimated Debts: $10 million to $50 million


SELECT COMFORT: Enters Into New Securities Purchase Agreement
-------------------------------------------------------------
Select Comfort Corporation said October 5 it terminated the
Securities Purchase Agreement entered into with Sterling Partners
on May 22, 2009, and entered into a new Securities Purchase
Agreement.  As part of the termination agreement, both companies
mutually released claims relating to the original agreement.

Under terms of the new Securities Purchase Agreement, Sterling
Partners has the right through June 2010 to invest $10.0 million
in exchange for 2.5 million shares of the company's common stock
priced at $4.00 per share and warrants to purchase two million
shares of the company's common stock at an exercise price of $0.01
per share.  Select Comfort can require the investment upon
securing an acceptable extended credit agreement from its lenders.
With the close of the investment and exercise of the warrants,
Sterling Partners will own approximately 8.9 percent of the
company's common stock.

"This agreement positions us to pursue additional capital, which
combined with the Sterling investment, will strengthen our
financial position and increase our financial flexibility," said
Bill McLaughlin, president and CEO, Select Comfort Corporation.
"In addition to exploring additional financing alternatives for
the company, we continue to negotiate with our lenders to secure a
permanent financing agreement."

The termination date of the current credit agreement is June 9,
2010, with the most recent waiver the company is operating under
in effect until October 13, 2009.

Select Comfort also stated that sales trends continue to improve,
with positive same-store sales growth during August and September.
Cost and cash controls implemented during the past 18 months
remain in place and continue to be effective.  The company
anticipates that its third-quarter results will include one-time
charges ranging from $3.0 million to $5.0 million associated with
the original Securities Purchase Agreement and its termination.

                 About Select Comfort Corporation

Based in Minneapolis, Select Comfort designs, manufactures,
markets and supports a line of adjustable-firmness mattresses
featuring air-chamber technology, branded the Sleep Number(R) bed,
as well as foundations and bedding accessories.  SELECT COMFORT(R)
products are sold through its approximately 400 company-owned
stores located across the United States; select bedding retailers;
direct marketing operations; and online at:

                    http://www.sleepnumber.com


SMURFIT-STONE: Fair Harbor, LSI & Sierra Buy Claims
---------------------------------------------------
From September 18, 2009, to September 29, 2009, more than 30
claims were transferred by various creditors to various entities,
including Fair Harbor Capital LLC, Liquidity Solutions, Inc., and
Sierra Liquidity Fund LLC.

Among the claims transferred were the claims of:

  Transferor                                Amount
  ----------                                ------
  Konecranes, Inc.                        $184,942
  ACC Planned Service, Inc.                156,016
  American Plumbing Contractors, Inc.       53,299
  Cram-A-Lot                                48,547
  Franklin Storage LP                       46,230
  American Paper Recycling                  32,049
  NAPA Transportation, Inc.                 28,791
  Buske Lines, Inc.                         27,565
  Franklin Freight Brokerage, Inc.          26,920
  Carter Printing Co.                       14,614

                       About Smurfit-Stone

Smurfit-Stone Container Corp. -- http://www.smurfit-stone.com/--
is one of the leading integrated manufacturers of paperboard and
paper-based packaging in North America and one of the world's
largest paper recyclers.  The Company operates 162 manufacturing
facilities that are primarily located in the United States and
Canada.  The Company also owns roughly one million acres of
timberland in Canada and operates wood harvesting facilities in
Canada and the United States.  The Company employs roughly
21,250 employees, 17,400 of which are based in the United States.
For the quarterly period ended September 30, 2008, the Company
reported roughly $7.450 billion in total assets and
$5.582 billion in total liabilities on a consolidated basis.

Smurfit-Stone and its U.S. and Canadian subsidiaries filed for
Chapter 11 protection on January 26, 2009 (Bankr. D. Del. Lead
Case No. 09-10235).  Certain of the company's affiliates,
including Smurfit-Stone Container Canada Inc., a wholly owned
subsidiary of SSCE, and certain of its affiliates, filed to
reorganize under the Companies' Creditors Arrangement Act in the
Ontario Superior Court of Justice in Canada.

Smurfit-Stone joined pulp- and paper-related bankruptcies as
rising Internet use hurts magazines and newspapers.  Corporacion
Durango SAB, Mexico's largest papermaker, sought U.S. bankruptcy
in October.  Quebecor World Inc., a magazine printer and Pope &
Talbot Inc., a pulp-mill operator, also sought cross-border
bankruptcies for their operations in the U.S. and Canada.

James F. Conlan, Esq., Matthew A. Clemente, Esq., Dennis M.
Twomey, Esq., and Bojan Guzina, Esq., at Sidley Austin LLP, in
Chicago, Illinois; and Robert S. Brady, Esq., and Edmon L. Morton,
Esq., at Young Conaway Stargatt & Taylor in Wilmington, Delaware,
serve as the Debtors' bankruptcy counsel.  PricewaterhouseCooper
LLC, serves as the Debtors' financial and investment consultants.
Lazard Freres & Co. LLC acts as the Debtors' investment bankers.
Epiq Bankruptcy Solutions LLC acts as the Debtors' notice and
claims agent.

Bankruptcy Creditors' Service, Inc., publishes Smurfit-Stone
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
and ancillary foreign proceedings undertaken by Smurfit-Stone
Container Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


SMURFIT-STONE: Grubb & Ellis Charges $1 Mil. for March-Sep. Work
----------------------------------------------------------------
These professionals retained in the Chapter 11 cases of Smurfit-
Stone Container Corp., in separate filings, filed applications for
allowance of fees and reimbursement of expenses:

  Professional             Period          Fees      Expenses
  ------------             ------       ----------   --------
  Grubb & Ellis Co.        Feb. 27 to   $1,087,654         $0
                           Sep. 22, 2009

  Sidley Austin LLP        Jun. 2009       705,162     18,302

  Ernst & Young LLP        Jun. 2009       529,320      5,084

  Bennett Jones LLP        Aug. 2009        68,191     10,671

  Pachulski Stang Ziehl &  Jun. 2009         8,279      1,831
  Jones LLP                Jul. 2009         7,016        940

In separate filings, these professionals assert that there were
no responses or objections to their previous monthly fee
applications:

  Professional                    Period
  ------------                    ------
  Bennett Jones                   Jul. 2009
  FTI Consulting, Inc.            Jul. 2009
  PricewaterhouseCoopers LLP      May 2009

                       About Smurfit-Stone

Smurfit-Stone Container Corp. -- http://www.smurfit-stone.com/--
is one of the leading integrated manufacturers of paperboard and
paper-based packaging in North America and one of the world's
largest paper recyclers.  The Company operates 162 manufacturing
facilities that are primarily located in the United States and
Canada.  The Company also owns roughly one million acres of
timberland in Canada and operates wood harvesting facilities in
Canada and the United States.  The Company employs roughly
21,250 employees, 17,400 of which are based in the United States.
For the quarterly period ended September 30, 2008, the Company
reported roughly $7.450 billion in total assets and
$5.582 billion in total liabilities on a consolidated basis.

Smurfit-Stone and its U.S. and Canadian subsidiaries filed for
Chapter 11 protection on January 26, 2009 (Bankr. D. Del. Lead
Case No. 09-10235).  Certain of the company's affiliates,
including Smurfit-Stone Container Canada Inc., a wholly owned
subsidiary of SSCE, and certain of its affiliates, filed to
reorganize under the Companies' Creditors Arrangement Act in the
Ontario Superior Court of Justice in Canada.

Smurfit-Stone joined pulp- and paper-related bankruptcies as
rising Internet use hurts magazines and newspapers.  Corporacion
Durango SAB, Mexico's largest papermaker, sought U.S. bankruptcy
in October.  Quebecor World Inc., a magazine printer and Pope &
Talbot Inc., a pulp-mill operator, also sought cross-border
bankruptcies for their operations in the U.S. and Canada.

James F. Conlan, Esq., Matthew A. Clemente, Esq., Dennis M.
Twomey, Esq., and Bojan Guzina, Esq., at Sidley Austin LLP, in
Chicago, Illinois; and Robert S. Brady, Esq., and Edmon L. Morton,
Esq., at Young Conaway Stargatt & Taylor in Wilmington, Delaware,
serve as the Debtors' bankruptcy counsel.  PricewaterhouseCooper
LLC, serves as the Debtors' financial and investment consultants.
Lazard Freres & Co. LLC acts as the Debtors' investment bankers.
Epiq Bankruptcy Solutions LLC acts as the Debtors' notice and
claims agent.

Bankruptcy Creditors' Service, Inc., publishes Smurfit-Stone
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
and ancillary foreign proceedings undertaken by Smurfit-Stone
Container Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


SMURFIT-STONE: Two Officers Dispose of Shares in September
----------------------------------------------------------
In separate regulatory filings with the Securities and Exchange
Commission, two of Smurfit Stone Container Corp.'s officers
disclosed that they disposed a number of shares of the Company's
common stock.

The Officers are:
                             Amount of             Date of
  Name/Position              Shares Disposed       Transaction
  -------------              ---------------       -----------
  Paul K. Kaufman               1,151,977          9/16/2009
  Sr. Vice President &
  Controller

  Mark R. O'Bryan                 2,163            9/23/2009
  Sr. Vice President of           6,443            9/25/2009
  Strat. Initiatives &            1,200            9/28/2009
  CIO

Mr. Kaufman disposed of his shares at $0.442 per share.  The
disposed shares were indirectly owned by Mr. Kaufman in line with
the Company's 401(k) Plan.

Mr. Bryan disposed of his 2,163 shares at $0.52 per share.
Following the transaction, Mr. Bryan directly owned 1,200 shares
and indirectly owned 6,443.8691 pursuant to the company's 401(k)
Plan.  Subsequently, Mr. Bryan disposed of the 6,443.8691 shares
at $0.4528 per share and the 1,200 shares at $0.45 per share.
Mr. Bryan owned zero Smurfit shares after the transactions.

                       About Smurfit-Stone

Smurfit-Stone Container Corp. -- http://www.smurfit-stone.com/--
is one of the leading integrated manufacturers of paperboard and
paper-based packaging in North America and one of the world's
largest paper recyclers.  The Company operates 162 manufacturing
facilities that are primarily located in the United States and
Canada.  The Company also owns roughly one million acres of
timberland in Canada and operates wood harvesting facilities in
Canada and the United States.  The Company employs roughly
21,250 employees, 17,400 of which are based in the United States.
For the quarterly period ended September 30, 2008, the Company
reported roughly $7.450 billion in total assets and
$5.582 billion in total liabilities on a consolidated basis.

Smurfit-Stone and its U.S. and Canadian subsidiaries filed for
Chapter 11 protection on January 26, 2009 (Bankr. D. Del. Lead
Case No. 09-10235).  Certain of the company's affiliates,
including Smurfit-Stone Container Canada Inc., a wholly owned
subsidiary of SSCE, and certain of its affiliates, filed to
reorganize under the Companies' Creditors Arrangement Act in the
Ontario Superior Court of Justice in Canada.

Smurfit-Stone joined pulp- and paper-related bankruptcies as
rising Internet use hurts magazines and newspapers.  Corporacion
Durango SAB, Mexico's largest papermaker, sought U.S. bankruptcy
in October.  Quebecor World Inc., a magazine printer and Pope &
Talbot Inc., a pulp-mill operator, also sought cross-border
bankruptcies for their operations in the U.S. and Canada.

James F. Conlan, Esq., Matthew A. Clemente, Esq., Dennis M.
Twomey, Esq., and Bojan Guzina, Esq., at Sidley Austin LLP, in
Chicago, Illinois; and Robert S. Brady, Esq., and Edmon L. Morton,
Esq., at Young Conaway Stargatt & Taylor in Wilmington, Delaware,
serve as the Debtors' bankruptcy counsel.  PricewaterhouseCooper
LLC, serves as the Debtors' financial and investment consultants.
Lazard Freres & Co. LLC acts as the Debtors' investment bankers.
Epiq Bankruptcy Solutions LLC acts as the Debtors' notice and
claims agent.

Bankruptcy Creditors' Service, Inc., publishes Smurfit-Stone
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
and ancillary foreign proceedings undertaken by Smurfit-Stone
Container Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


SPANSION INC: Court OKs Sale of Equipment to Micron for $2 Mil.
---------------------------------------------------------------
Bankruptcy Judge Kevin Carey approved the Debtors' request to
sell an AMAT POLISHER REFLEXION LK, a surplus piece of equipment,
to Micron Technology, Inc., for $2,000,000, free and clear of all
liens, claims and encumbrances.

The Debtors purchased the Equipment for chemical mechanical
polishing to develop 65nm technology.  CMP is used in
semiconductor fabrication for planazing a semiconductor wafer.
The Equipment was originally delivered to the Debtors on June 26,
2008, at a cost of $3.65 million before tax.  Up to the Petition
Date, the Equipment was used at the Debtors' SDC factory in
Sunnyvale California.  Since the Petition Date, the Debtors
concluded to stop production of the FAB and as a result, the
Equipment was decommissioned and has been remarketed for sale.

The Debtors tell the Court that the Equipment has been inspected
by five companies.  The Debtors have determined that the
$2,000,000 offered by Micron was likely to be the highest and
best price that they could obtain in the current market for the
Equipment.

                       About Spansion Inc.

Spansion Inc. (NASDAQ: SPSN) -- http://www.spansion.com/-- is a
Flash memory solutions provider, dedicated to enabling, storing
and protecting digital content in wireless, automotive,
networking and consumer electronics applications.  Spansion,
previously a joint venture of AMD and Fujitsu, is the largest
company in the world dedicated exclusively to designing,
developing, manufacturing, marketing, selling and licensing Flash
memory solutions.

Spansion Inc., Spansion LLC, Spansion Technology LLC, Spansion
International, Inc., and Cerium Laboratories LLC filed voluntary
petitions for Chapter 11 on March 1, 2009 (Bankr. D. Del. Lead
Case No. 09-10690).  On February 9, 2009, Spansion's Japanese
subsidiary, Spansion Japan Ltd., voluntarily entered into a
proceeding under the Corporate Reorganization Law (Kaisha Kosei
Ho) of Japan to obtain protection from its creditors as part of
the company's restructuring efforts. None of Spansion's
subsidiaries in countries other than the United States and Japan
are included in the U.S. or Japan filings.  Michael S. Lurey,
Esq., Gregory O. Lunt, Esq., and Kimberly A. Posin, Esq., at
Latham & Watkins LLP, have been tapped as bankruptcy counsel.
Michael R. Lastowski, Esq., at Duane Morris LLP, is the Delaware
counsel.  Epiq Bankruptcy Solutions LLC, is the claims agent.
The United States Trustee has appointed an official committee of
unsecured creditors in the case.  As of September 30, 2008,
Spansion disclosed total assets of US$3,840,000,000, and total
debts of US$2,398,000,000.

Spansion Japan Ltd. filed a Chapter 15 petition on April 30, 2009
(Bankr. D. Del. Case No. 09-11480).  The Chapter 15 Petitioner's
counsel is Gregory Alan Taylor, Esq., at Ashby & Geddes.  It said
that Spansion Japan had US$10 million to US$50 million in assets
and US$50 million to US$100 million in debts.

Bankruptcy Creditors' Service, Inc., publishes Spansion Bankruptcy
News.  The newsletter tracks the Chapter 11 proceeding
undertaken by Spansion Inc. and its affiliates
(http://bankrupt.com/newsstand/or 215/945-7000)


SPANSION INC: Equity Holders Support Mathers Plea for Committee
---------------------------------------------------------------
Philip Mathers, a party-in-interest and equity security holder of
2,000,000 class A common stock of Spansion Inc., has asked the
U.S. Bankruptcy Court for the District of Delaware to appoint an
Official Committee of Equity Security Holders to assure a timely
and appropriate representation of equity security holders and the
orderly and proper administration of the estate.

Esopus Creek Value LLP, Schottenfeld Associates, L.P. and
Plainfield Asset Management, LLC join Philip Mathers in his
request for the appointment of an Equity Security Holders
Committee.  The parties assert that the Debtors' Chapter 11 cases
cry out for the appointment of an Equity Committee to represent
the interest of equity security holders and to pierce through the
web of confusion that has been created by the Debtors'
inconsistent, and ever-changing financial disclosures.  The
parties aver that rarely has the financial reporting in a major
Chapter 11 case has been as unreliable and inconsistent as the
financial reporting that has occurred in the Debtors' cases.
According to the Joining Parties, if an Equity Committee is not
appointed, shareholders will be left without a voice in the
Debtors' Chapter 11 proceedings.

In a separate filing, Orange Capital LLC also joins Dr. Mathers'
request for the appointment of an Equity Security Holders
Committee.  Orange Capital holds 6,560,00 shares of the Debtors'
common stock.

            Debtors Want T. Koch Testimony Excluded

The Debtors ask the Court to exclude the testimony and evidence
provided by Thomas R. Koch, the expert retained by The John
Gorman 401(k), in support of The 401(k)'s joinder to Dr. Mathers'
motion for the appointment of an equity security committee.  The
Debtors contend that Mr. Koch lacks the required expertise to
provide a valuation opinion.  The Debtors assert that Mr. Koch's
valuation methodology is wholly unreliable.

The Debtors maintain that Mr. Koch compounds this very basic flaw
by relying upon the Debtors' financial projections prepared back
in April 2009 to apply his inflated multiples to the rosiest
possible EBITDA and revenue figures.  Furthermore, the Debtors
note, although Mr. Koch took note of a long list of risk factors
disclosed by the Debtors even back then and the Debtors' warning
not to rely on the projections, he made no adjustments to allow
for the faintest possibility that the Debtors would meet these
projections.

   Gorman 401(k)'s Responds to Debtors' Move to Block

The 401(k) asks the Court to deny the Debtors' request to exclude
Mr. Koch's expert testimony.  The 401(k) avers that the Debtors'
motion is little more than an argument over the weight that
should be provided to the testimony, and fall short of the
requirements for excluding Mr. Koch's testimony.

The 401(k) asserts that with the exception of criticizing Mr.
Koch for utilizing only one methodology for valuing the company,
the Debtors' arguments are with either the numbers or information
utilized by Mr. Koch in his report, and whether Mr. Koch has
utilized appropriate comparable companies, considered appropriate
risk factors, or spent sufficient time developing his model and
talking with the company about its plans and expected
performance.

                       About Spansion Inc.

Spansion Inc. (NASDAQ: SPSN) -- http://www.spansion.com/-- is a
Flash memory solutions provider, dedicated to enabling, storing
and protecting digital content in wireless, automotive,
networking and consumer electronics applications.  Spansion,
previously a joint venture of AMD and Fujitsu, is the largest
company in the world dedicated exclusively to designing,
developing, manufacturing, marketing, selling and licensing Flash
memory solutions.

Spansion Inc., Spansion LLC, Spansion Technology LLC, Spansion
International, Inc., and Cerium Laboratories LLC filed voluntary
petitions for Chapter 11 on March 1, 2009 (Bankr. D. Del. Lead
Case No. 09-10690).  On February 9, 2009, Spansion's Japanese
subsidiary, Spansion Japan Ltd., voluntarily entered into a
proceeding under the Corporate Reorganization Law (Kaisha Kosei
Ho) of Japan to obtain protection from its creditors as part of
the company's restructuring efforts. None of Spansion's
subsidiaries in countries other than the United States and Japan
are included in the U.S. or Japan filings.  Michael S. Lurey,
Esq., Gregory O. Lunt, Esq., and Kimberly A. Posin, Esq., at
Latham & Watkins LLP, have been tapped as bankruptcy counsel.
Michael R. Lastowski, Esq., at Duane Morris LLP, is the Delaware
counsel.  Epiq Bankruptcy Solutions LLC, is the claims agent.
The United States Trustee has appointed an official committee of
unsecured creditors in the case.  As of September 30, 2008,
Spansion disclosed total assets of US$3,840,000,000, and total
debts of US$2,398,000,000.

Spansion Japan Ltd. filed a Chapter 15 petition on April 30, 2009
(Bankr. D. Del. Case No. 09-11480).  The Chapter 15 Petitioner's
counsel is Gregory Alan Taylor, Esq., at Ashby & Geddes.  It said
that Spansion Japan had US$10 million to US$50 million in assets
and US$50 million to US$100 million in debts.

Bankruptcy Creditors' Service, Inc., publishes Spansion Bankruptcy
News.  The newsletter tracks the Chapter 11 proceeding
undertaken by Spansion Inc. and its affiliates
(http://bankrupt.com/newsstand/or 215/945-7000)


SPANSION INC: Plan Exclusivity Motion to be Heard October 16
------------------------------------------------------------
The hearing to consider the Debtors' request has been further
adjourned to October 16, 2009.  Pursuant to Del.Bankr.LR 9006-2,
the Debtors' exclusive Plan filing period is automatically
extended until the conclusion of that hearing.

Spansion Inc. and its debtor affiliates ask Judge Kevin J. Carey
of the U.S. Bankruptcy Court for the District of Delaware to
further extend their time to file a plan of reorganization
through December 28, 2009.  The Debtors also ask the Court to
extend their deadline to solicit acceptances of that Plan through
February 23, 2010.

Michael R. Lastowski, Esq., at Duane Morris, LLP, in Wilmington,
Delaware, relates that in the approximately six months since the
Petition Date, the Debtors and their professionals have devoted
considerable time and resources to critical business and legal
matters.

According to Mr. Lastowksi, the Debtors have made impressive
progress in restructuring their business operations.  He relates
the Debtors have exchanged detailed financial information with the
official committee of unsecured creditors and the ad hoc
consortium of holders of the Senior Secured Floating Rate Notes
Due 2013.  The Debtors have also held meetings regarding the
potential terms of a plan of reorganization for the Debtors.

The Debtors relate that they have advised the Committee and Ad Hoc
Consortium that they desire strongly to achieve a Plan that is
supported by both of those constituencies, to avoid potentially
lengthy and costly Plan confirmation proceedings.  The Debtors
note that they have taken, and continue to take, a number of steps
to enhance their business's efficiencies prior to the adoption or
confirmation of a Plan as well.  In concert with the other changes
made necessary by the Debtors' restructuring, including reductions
in force and streamlining facility operations, the Debtors relate
that they continue to prime their business for a successful
reorganization.

Mr. Lastowski contends that to allow the Exclusive Periods to
expire before this process and the contemporaneous process of
negotiations have substantially matured would defeat the purpose
of Section 1121 of the Bankruptcy Code and divest the Debtors of
a meaningful and reasonable opportunity to negotiate, propose and
confirm a consensual plan of reorganization.

                       About Spansion Inc.

Spansion Inc. (NASDAQ: SPSN) -- http://www.spansion.com/-- is a
Flash memory solutions provider, dedicated to enabling, storing
and protecting digital content in wireless, automotive,
networking and consumer electronics applications.  Spansion,
previously a joint venture of AMD and Fujitsu, is the largest
company in the world dedicated exclusively to designing,
developing, manufacturing, marketing, selling and licensing Flash
memory solutions.

Spansion Inc., Spansion LLC, Spansion Technology LLC, Spansion
International, Inc., and Cerium Laboratories LLC filed voluntary
petitions for Chapter 11 on March 1, 2009 (Bankr. D. Del. Lead
Case No. 09-10690).  On February 9, 2009, Spansion's Japanese
subsidiary, Spansion Japan Ltd., voluntarily entered into a
proceeding under the Corporate Reorganization Law (Kaisha Kosei
Ho) of Japan to obtain protection from its creditors as part of
the company's restructuring efforts. None of Spansion's
subsidiaries in countries other than the United States and Japan
are included in the U.S. or Japan filings.  Michael S. Lurey,
Esq., Gregory O. Lunt, Esq., and Kimberly A. Posin, Esq., at
Latham & Watkins LLP, have been tapped as bankruptcy counsel.
Michael R. Lastowski, Esq., at Duane Morris LLP, is the Delaware
counsel.  Epiq Bankruptcy Solutions LLC, is the claims agent.
The United States Trustee has appointed an official committee of
unsecured creditors in the case.  As of September 30, 2008,
Spansion disclosed total assets of US$3,840,000,000, and total
debts of US$2,398,000,000.

Spansion Japan Ltd. filed a Chapter 15 petition on April 30, 2009
(Bankr. D. Del. Case No. 09-11480).  The Chapter 15 Petitioner's
counsel is Gregory Alan Taylor, Esq., at Ashby & Geddes.  It said
that Spansion Japan had US$10 million to US$50 million in assets
and US$50 million to US$100 million in debts.

Bankruptcy Creditors' Service, Inc., publishes Spansion Bankruptcy
News.  The newsletter tracks the Chapter 11 proceeding
undertaken by Spansion Inc. and its affiliates
(http://bankrupt.com/newsstand/or 215/945-7000)


SPRYLOGICS INT'L: Delays Filing of Interim Quarterly Fin'l Results
------------------------------------------------------------------
Sprylogics International Corp. is providing a seventh bi-weekly
default status report in accordance with National Policy 12-203 -
Cease Trade Orders for Continuous Disclosure Defaults.  In its
initial default announcement of May 28, 2009, the Company
announced that it will not be filing its audited financial
statements for its fiscal year ended January 31, 2009, and its
management's discussion and analysis relating to the Annual
Financial Statements before the prescribed deadline of June 1,
2009.

As previously announced, the Company made an application to the
applicable securities regulators under NP 12-203 requesting that a
management cease trade order be imposed in respect of this late
filing.  On June 2, 2009, the Ontario Securities Commission issued
a temporary management cease trade order, which imposed
restrictions on all trading in and all acquisitions of the
securities of the Company by the Chief Executive Officer and the
Chief Financial Officer of the Company for a period of 15 days
from the date of such order.  On June 15, 2009, the Ontario
Securities Commission issued a permanent management cease trade
order, which is still in effect.

The Company continues to work on closing its current debenture
financing (as announced in the press release of the Company dated
September 21, 2009), which will provide the Company with
sufficient working capital to engage the auditors to complete the
Annual Financial Statements.  This debenture financing, which was
previously anticipated to close on September 30, 2009, is now
expected to close on October 9, 2009.

The Company previously announced that it anticipated that it would
file the Annual Required Filings by October 30, 2009.  However,
since the Company has not closed the above-mentioned debenture
financing within the timeframe originally contemplated, the
Company now anticipates that it will file the Annual Required
Filings by November 13, 2009.

As a result of the delay in filing the Annual Required Filings,
the Company has been unable to file, before the prescribed
deadline, its interim quarterly financial statements for the three
month periods ended April 30, 2009, and July 31, 2009, as well as
its management discussion and analysis related thereto.  The
Corporation intends to file the Interim Required Filings along
with the Annual Required Filings on November 13, 2009.

Other than the information set out above, the Company reports that
since the Default Notice and the six subsequent bi-weekly default
status reports: (i) there is no material change to the information
set out in the Default Notice or the Default Status Reports that
has not been generally disclosed; (ii) there has been no failure
by the Company in fulfilling its stated intentions with respect to
satisfying the provisions of the alternative information
guidelines set out in NP 12-203; (iii) there has not been any
other specified default by the Company under NP 12-203; and (iv)
there is no other material information concerning the affairs of
the Company that has not been generally disclosed.

The Company will continue to satisfy the provisions of the
alternative information guidelines under NP 12-203 by issuing
bi-weekly default status reports in the form of news releases so
long as it remains in default of the filing requirements set out
above.

                About Sprylogics International Corp.

Sprylogics International Inc. -- http://www.sprylogics.com/--
develops advanced search, analysis, and compliance technology.
These solutions provide case management tools to the Fortune 500.
Additionally, Sprylogics' products search large amounts of
unstructured data on the web, and in internal corporate databases,
and convert it into more relevant searches for a variety of
applications.  The core technology driving Sprylogics' solutions
is embedded in the Cluuz Search Engine platform.  Cluuz search
results are visually displayed through patent pending semantic
cluster graphs and result in improved decision-making
capabilities.


SUN-TIMES MEDIA: Thane Ritchie Wants Court to Reopen Sale Process
-----------------------------------------------------------------
Robert MacMillan at Reuters reports that private equity manager
Thane Ritchie, whose attempt to bid for Sun-Times Media Group was
blocked, wants the U.S. Bankruptcy Court for the District of
Delaware to reopen the sale process.

According to Reuters, Mr. Ritchie said that he made requests to
meet with the Chicago Newspaper Guild to discuss a coalition offer
to purchase Sun-Times Media.  The group "was told that it was
against federal labor laws for a potential bidder to have a
conversation with the guild," the report quoted Mr. Ritchie as
saying.  The report states that Mr. Ritchie is asking the Chicago
Newspaper Guild to ask the court to reopen the bidding process for
30 more days.  According to the report, Mr. Ritchie also wants the
court to allow the guild to work with him to ensure an alternative
offer.

Reuters quoted Sun-Times Media Group spokesperson Tammy Chase as
saying, "Various other parties expressed interest in the
transaction, but ultimately declined to bid.  Assertions that any
party was improperly deterred from making a bid in this process
are patently false."

Sun-Times Media Group, Inc. -- http://www.thesuntimesgroup.com/--
(Pink Sheets: SUTM) owns media properties including the Chicago
Sun-Times and Suntimes.com as well as newspapers and Web sites
serving more than 200 communities across Chicago.  The Company and
its affiliates conduct business as a single operating segment
which is concentrated in the publishing, printing, and
distribution of newspapers in greater Chicago, Illinois,
metropolitan area and the operation of various related Web sites.
The Company also has affiliates in Canada, the United Kingdom, and
Burma.

Sun-Times Media's balance sheet at September 30, 2008, showed
total assets of $479.9 million, total liabilities of
$801.7 million, resulting in a stockholders' deficit of roughly
$321.8 million.

The Company and its affiliates filed for Chapter 11 bankruptcy
protection on March 31, 2009 (Bankr. D. Del. Case No. 09-11092).
James H.M. Sprayregan, P.C., James A. Stempel, Esq., David A.
Agay, Esq., and Sarah H. Seewer, Esq., at Kirkland & Ellis LLP,
assist the Debtors in their restructuring efforts.  Kurtzman
Carson Consultants LLC is the Debtors' claims agent.  As of
November 7, 2008, the Debtors listed $479,000,000 in assets and
$801,000,000 in debts.


TARGETED GENETICS: Nasdaq Grants Request for Continued Listing
--------------------------------------------------------------
Targeted Genetics Corporation said October 1 that, on
September 28, 2009, the Nasdaq granted the Company's request to
remain listed on The Nasdaq Capital Market.  The Company's
continued listing is subject to regaining compliance with the
Nasdaq listing requirements by evidencing shareholders' equity of
$2.5 million (or demonstrating compliance with alternative listing
criteria) on or before January 19, 2010, and achieving a closing
bid price of $1.00 or more for a minimum of 10 consecutive trading
days on or before February 8, 2010, as well as maintaining
compliance with all other requirements for continued listing on
the Nasdaq Capital Market.  In addition, the Company must inform
the Nasdaq panel if the Company determines not to pursue a reverse
stock split as a means, if necessary, to enable the Company to
regain compliance with the $1.00 share price requirement.  If the
Company does not satisfy the foregoing conditions, the Nasdaq
panel will issue a final determination to delist the Company's
common stock and will suspend trading of the Company's shares
effective on the second business day after the date of the Panel's
final determination.

The Company also reported that, on September 25, 2009, it amended
the lease for its 38,000 square foot facility in Seattle,
Washington, used for office space and research and development
activities.  Under the terms of the lease amendment, which extends
the termination date for the lease provided in the previous lease
amendment, the lease will terminate upon 30 days' written notice
by either the landlord or the Company (or, in specified
circumstances, upon 10 days written notice by the landlord).
Under the terms of the September 25, 2009 amendment, as in the
previous lease amendment, the Company will be released from future
payment obligations and other liabilities at the time of lease
termination.

Based in Seattle, Washington, Targeted Genetics Corporation --
http://www.targetedgenetics.com/-- is a biotechnology company
committed to the development of innovative therapies for the
prevention and treatment of diseases with significant unmet
medical need.  A key area of focus for Targeted Genetics is
applying its proprietary Adeno-Associated Virus (AAV) technology
platform to deliver genetic constructs to increase gene function
or silence gene function.  Targeted Genetics' lead product
development efforts target ocular and neurological indications,
two therapeutic areas where AAV delivery may have competitive
advantages over other therapeutic modalities.


TEKNI-PLEX INC: Inks Second Supplemental Indenture with HSBC Bank
-----------------------------------------------------------------
Tekni-Plex, Inc., reports that on September 30, 2009, the Company,
the guarantors party thereto and HSBC Bank USA, National
Association, as trustee, entered into:

     (i) a Second Supplemental Indenture to the Indenture dated as
         of June 10, 2005, by and among the Company, each of the
         guarantors party thereto and the Trustee, pursuant to
         which the 10-7/8% Senior Secured Notes due 2012 were
         issued; and

    (ii) a Second Supplemental Indenture to the Indenture dated as
         of November 21, 2003, by and among the Company, each of
         the guarantors party thereto and the Trustee, pursuant to
         which the 8-3/4% Senior Secured Notes due 2013 were
         issued to amend certain provisions related to the
         Collateral.

The Supplemental Indentures permit the Company to engage in
activities in the ordinary course of business that require release
of the Collateral, including asset dispositions not prohibited
under the Indentures and the Security Documents, without complying
with TIA Section 314(d) in accordance with the interpretation and
guidance as to the meaning thereof of the Securities and Exchange
Commission and its staff, including "no action" letters and
exemptive orders.  Prior to the execution of the Supplemental
Indentures, the Company was required to obtain the consent of the
Collateral Agent for each release of the Collateral, including in
the ordinary course of business.  The Supplemental Indentures
eliminate this administrative burden and instead permit the
Company to conduct ordinary course activities with respect to
Collateral not otherwise prohibited under this Indenture and the
related Security Documents.  The Company is required to deliver to
the Collateral Agent, within 30 calendar days following the end of
each six-month period beginning on February 15 and August 15 of
any year, an Officers' Certificate to the effect that all releases
and withdrawals during the preceding six-month period pursuant to
the Indentures in which no release or consent of the Collateral
Agent or the Trustee was obtained in the ordinary course of the
Company's or the Guarantors' business were not prohibited by the
Indentures.

Except as described, the material terms of the Indentures are
substantially unchanged.

                        About Tekni-Plex

Headquartered in Coppell, Texas, Tekni-Plex Inc. --
http://www.tekni-plex.com/-- manufactures packaging, packaging
products and materials as well as tubing products.  The company
primarily serves the food, healthcare and consumer markets.  It
has built leadership positions in its core markets, and focuses on
vertically integrated production of highly specialized products.
Tekni-Plex has operations in the United States, Europe, China,
Argentina, and Canada.

Tekni-Plex has not filed financial reports in 2009.  On June 27,
2008, Tekni-Plex said it had initiated an internal investigation
regarding the Company's financial records.

                           *     *     *

As reported by the Troubled Company Reporter on April 6, 2009,
Moody's Investors Service withdrew the ratings for Tekni-Plex due
to a lack of sufficient information to assess the creditworthiness
of the company.  The Company is a voluntary filer and has obtained
waivers from its lenders allowing it until December 31, 2009, to
file the required statements.  Although the Company has
successfully restructured and reduced its debt and secured
financing to continue operating, the lack of published financial
data leaves insufficient information to assess effectively the
creditworthiness of the issuer, Moody's said.  The Company has
also declined to provide any information to Moody's to facilitate
the continuation of ratings coverage.

These ratings were withdrawn:

  -- $150 million 10.87% sr. secured notes due 2012, Caa1 (LGD2,
     16%)

  -- $275 million 12-3/4% sr. subordinated notes due 2010, C
     (LGD5, 85%)

  -- $40 million 12-3/4% sr. subordinated notes due 2010, C (LGD5,
     85%)

  -- $275 million 8.75% sr. secured second lien notes due 2013,
     Caa3 (LGD3, 46%)

  -- Caa3 Corporate Family Rating

  -- Caa3/LD Probability of Default Rating


THORNBURG MORTGAGE: Chairman Garrett Thornburg Steps Down
---------------------------------------------------------
Garrett Thornburg, Chairman of the Board of Directors of TMST,
Inc., formerly known as Thornburg Mortgage, Inc., on October 2,
2009, resigned from the Board of Directors of TMST Inc., effective
immediately.

On October 5, 2009, the Board of Directors unanimously appointed
Thomas F. Cooley as Chairman of the Board.

Mr. Cooley is the Richard R. West Dean and the Paganelli-Bull
Professor of Economics at the New York University Stern School of
Business, as well as a Professor of Economics in the NYU Faculty
of Arts and Science.  The former President of the Society for
Economic Dynamics and a Fellow of the Econometric Society,
Professor Cooley is a widely published scholar in the areas of
macroeconomic theory, monetary theory and policy and the financial
behavior of firms, and is recognized as a national leader in both
macroeconomic theory and business education.  Dean Cooley is a
member of the Council of Foreign Relations and serves on the Board
of TMST Inc.  He also writes a weekly column for FORBES.com.
Before joining NYU Stern, Dean Cooley was a Professor of Economics
at the University of Rochester, University of Pennsylvania, and UC
Santa Barbara.  Prior to his academic career, Dean Cooley was a
systems engineer for IBM Corporation.  Dean Cooley received his BS
from Rensselaer Polytechnic Institute, and his MA and PhD from the
University of Pennsylvania.  He also holds a doctorem honoris
causa from the Stockholm School of Economics.

                     About Thornburg Mortgage

Based in Santa Fe, New Mexico, Thornburg Mortgage Inc. (NYSE: TMA)
-- http://www.thornburgmortgage.com/-- is a single-family
residential mortgage lender focused principally on prime and
super-prime borrowers seeking jumbo and super-jumbo adjustable
rate mortgages.  It originates, acquires, and retains investments
in adjustable and variable rate mortgage assets.  Its ARM assets
comprise of purchased ARM assets and ARM loans, including
traditional ARM assets and hybrid ARM assets.

Thornburg Mortgage, Inc., and its four affiliates filed for
Chapter 11 on May 1 (Bankr. D. Md. Lead Case No. 09-17787).  Judge
Duncan W. Keir is handling the case.

David E. Rice, Esq., at Venable LLP, in Baltimore, Maryland, has
been tapped as counsel.  Orrick, Herrington & Sutcliffe LLP is
employed as special counsel.  Jim Murray, and David Hilty, at
Houlihan Lokey Howard & Zukin Capital, Inc., have been tapped as
investment banker and financial advisor.  Protiviti Inc. has also
been engaged for financial advisory services.  KPMG LLP is the tax
consultant.  Epiq Systems, Inc., is claims and noticing agent.  In
its bankruptcy petition, Thornburg listed total assets of
$24,400,000,000 and total debts of $24,700,000,000, as of
January 31, 2009.


TLC VISION: Gets Limited Waiver Through October 13
--------------------------------------------------
TLC Vision Corporation, effective as of October 1, 2009, secured
from its lenders an extension to October 13, 2009 of the
previously announced limited waiver with respect to its credit
facility.  The credit facility, dated June 21, 2007, amended as of
February 28, 2008, March 31, 2009, June 5, 2009, June 30, 2009 and
September 8, 2009, provides for an $85 million term loan and a
$25 million revolving credit line.  As of September 30, 2009, the
amount outstanding under the credit facility was approximately
US$101.1 million.

The extension agreement and forbearance agreement is contained in
the Limited Waiver, dated as of September 30, 2009, which, among
other things, provides a limited waiver through October 13, 2009,
of specified defaults and extends to October 14, 2009, the time
for payment of certain principal, interest and other payments
previously due, provided, however, that in the event that the
Limited Waiver is executed by less than 100% of the lenders, the
Limited Waiver provides that lenders will, until October 13, 2009,
forbear from exercising their rights arising out of the non-
payment of certain principal, interest and other payments
previously due.  The Limited Waiver provides that lenders holding
a majority amount of the secured credit facility may, in their
sole discretion, extend the waiver period to October 30, 2009.

The Limited Waiver also provides for the Company to negotiate in
good faith and use its best efforts to agree by October 26, 2009,
to (i) documentation for additional debt financing acceptable to
lenders representing a majority of the outstanding debt under the
credit agreement, and (ii) documentation for an overall debt
and/or equity restructuring acceptable to the credit agreement
lenders under applicable law.

                          About TLCVision

Based in St. Louis, Missouri, TLC Vision Corporation (NASDAQ:
TLCV) (TSX: TLC) -- http://www.tlcvision.com/-- is North
America's premier eye care services company, providing eye doctors
with the tools and technologies needed to deliver high-quality
patient care.  Through its centers' management, technology access
service models, extensive optometric relationships, direct to
consumer advertising and managed care contracting strength,
TLCVision maintains leading positions in Refractive, Cataract and
Eye Care markets.


TORREYPINES THERAPEUTICS: Completes Merger With Raptor Pharma
-------------------------------------------------------------
Raptor Pharmaceuticals Corp. and TorreyPines Therapeutics, Inc.,
on September 30, 2009, completed their merger.  The combined
company is named "Raptor Pharmaceutical Corp." and commenced
trading on September 30 on the NASDAQ Capital Market under the
ticker symbol "RPTP."  Pursuant to NASDAQ's regulations, for the
first 20 trading days the ticker symbol will be "RPTPd".

The Companies' stockholders approved the proposals to complete the
merger at its annual meeting of stockholders held September 28,
2009.

The combined company is headquartered in Novato, California, and
managed by Raptor's existing management team including Christopher
M. Starr, Ph.D., as Chief Executive Officer and director, Todd C.
Zankel, Ph.D., as Chief Scientific Officer, Kim R. Tsuchimoto,
C.P.A., as Chief Financial Officer, Ted Daley, as President of the
clinical division and Patrice P. Rioux., M.D., Ph.D., as Chief
Medical Officer of the clinical division.

Christopher M. Starr, Ph.D., Chief Executive Officer of the
combined company, commented, "The closing of this merger creates a
NASDAQ-listed biopharmaceutical company with what we believe is a
robust pipeline aimed at improving the lives of patients with
unmet medical needs.  The Raptor management team has worked
diligently to rapidly advance our development programs and meet
our specified milestones.  In under four years, we have completed
the transition from a preclinical, bulletin board-quoted drug
discovery company into a NASDAQ-listed biopharmaceutical company
with mid- and late-stage product candidates. We are very excited
for our common stock to begin trading on NASDAQ and believe that
listing on a premier national stock market has the potential to
improve liquidity in our common stock and improve our access to
the capital markets. In the coming months, we hope to announce
several important milestones.  By the end of 2009, we expect to
announce clinical trial data on our lead product candidate, DR
Cysteamine, from a Phase 2a clinical trial in non-alcoholic
steatohepatitis and a Phase 2b clinical trial in nephropathic
cystinosis."

On July 27, 2009, Raptor and TorreyPines entered into a definitive
merger agreement.  Under terms of the merger agreement, Raptor
will be merged with and into a wholly owned subsidiary of
TorreyPines upon closing.  TorreyPines will issue, and Raptor
stockholders will receive, shares of TorreyPines common stock such
that Raptor stockholders will own 95%, and TorreyPines
stockholders will own 5%, of the combined company.

Raptor stockholders will receive 17,881,300 shares of the combined
company's common stock in exchange for the 76,703,147 shares of
Raptor common stock outstanding immediately prior to the closing
of the merger.  TorreyPines stockholders will receive 941,121
shares of the combined company's common stock in exchange for the
15,999,058 shares of TorreyPines common stock outstanding
immediately prior to the closing of the merger.  For example:

                               1,000 Shares   1,000 Shares
                               of Raptor      of TorreyPines
                               ------------   --------------
     Number of Combined             233             58
     Company Shares Issued
     as a Result of Merger

In connection with the merger and subject to the same conversion
factor as the Raptor common stock, the combined company will
assume all of Raptor's stock options and warrants outstanding at
the time of the merger.  The combined company will also retain the
TorreyPines stock options and warrants outstanding at the merger,
subject to the same conversion factor as the TorreyPines common
stock.

Raptor Pharmaceutical also announced the appointment of Llew
Keltner, M.D., Ph.D., to the Company's board of directors.  Dr.
Keltner is currently CEO and President of Light Sciences Oncology,
a privately held biotechnology company developing a late-stage,
light-activated therapy for hepatocellular cancer and other solid
tumors.  He is also CEO of EPISTAT, an international healthcare
technology transfer, corporate risk management and healthcare
strategy company that he founded in 1972.

                    About Raptor Pharmaceutical

Based in Novato, California, Raptor Pharmaceutical Corp. --
http://www.raptorpharma.com/-- is dedicated to speeding the
delivery of new treatment options to patients by working to
improve existing therapeutics through the application of highly
specialized drug targeting platforms and formulation expertise.
The Company focuses on underserved patient populations where it
can have the greatest potential impact and currently has product
candidates in clinical development designed to treat nephropathic
cystinosis, non-alcoholic steatohepatitis, Huntington's Disease,
aldehyde dehydrogenase deficiency and a non-opioid solution
designed for chronic pain.

The Company's preclinical programs are based upon bioengineered
novel drug candidates and drug-targeting platforms derived from
the human receptor-associated protein and related proteins that
are designed to target cancer, neurodegenerative disorders and
infectious diseases.

                         About TorreyPines

TorreyPines Therapeutics, Inc. -- http://www.tptxinc.com/-- is a
biopharmaceutical company that aims to develop product candidates
each capable of treating a number of acute and chronic diseases
and disorders such as migraine and chronic pain.  The company
currently has two ionotropic glutamate receptor antagonist
clinical stage product candidates.

                           *     *     *

Ernst & Young LLP, the Company's independent registered public
accounting firm, has included an explanatory paragraph in their
report on the Company's 2008 financial statements related to the
uncertainty and substantial doubt of its ability to continue as a
going concern.

As of June 30, 2009, TorreyPines had $1.42 million in total assets
and $149,000 in total liabilities.  As of June 30, 2009, the
Company's accumulated deficit was $121.9 million.  Without
additional sources of cash, it said existing working capital is
not sufficient to meet the cash requirements necessary to fund its
planned operating expenses and working capital requirements
through December 31, 2009.  The Company said these conditions
raise substantial doubt about its ability to continue as a going
concern.

TorreyPines said its management plans to address the expected
shortfall of working capital by completing the merger with Raptor,
or securing additional funding through project financing, equity
financing, a development partner or sale of assets.  "There can be
no assurance that we will complete the merger or be able to obtain
any sources of funding," TorreyPines said.

TorreyPines indicated if it cannot complete the merger with Raptor
in a timely manner, or otherwise obtain sufficient funding in the
short-term, it may be forced to file for bankruptcy, cease
operations or liquidate and dissolve the Company.


TRIESTE INVESTMENTS: Case Dismissed Following Foreclosure
---------------------------------------------------------
The U.S. Bankruptcy Court for the District of Arizona dismissed
the Chapter 11 case of Trieste Investments, LLLP.

As reported in the Troubled Company Reporter on Aug. 6, 2009,
the Debtor asked to dismiss its Chapter 11 case, based on
the terms of its settlement with secured creditor Weldor Alders.

Pursuant to the settlement, the automatic stay in this case was
consensually agreed to have been lifted and terminated as on
May 11, 2009, and Mr. Alders was authorized to go forward with the
foreclosure on the 7,500 acre property of the Debtor in Liberty
County, Texas.

Debtor disclosed that to the best of its knowledge the sale has
taken place leaving it and its bankruptcy estate with no assets
remaining to distribute to the other remaining creditors of the
bankruptcy estate, and thus there is no cause to continue with the
case.

Scottsdale, Arizona-based Trieste Investments, LLLP, holds
investment property in Liberty County, Texas.  The Company filed
for Chapter 11 protection on October 6, 2008 (Bankr. D. Ariz. Case
No. 08-13674).  Franklin D. Dodge, Esq., at Ryan Rapp & Underwood,
P.L.C., represents the company as counsel.  The company listed
between $10 million and $50 million each in assets and debts.


TRONOX INC: Receives Waiver After Second Bankruptcy Loan Default
----------------------------------------------------------------
Tiffany Kary at Bloomberg News reports that Tronox Inc. changed
its $125 million loan agreement after a second default, giving it
until Jan. 12 to file financial statements and until Dec. 8 to
sell its assets.  The second amendment to Tronox's so-called
"debtor-in-possession" or bankruptcy loan, made Sept. 23, was
filed before the Bankruptcy Court on October 2.

According to the report, Tronox said it doesn't need to seek court
approval for the waiver, granted by Credit Suisse, an agent to the
loan.  The lenders waived "any Default that may have occurred as a
result of the failure to deliver the financial statements," for
Tronox's fiscal year ended Dec. 31.  The waiver is until Jan. 12.
The waiver agreement also changes the credit agreement to set an
auction deadline of Dec. 8 for Tronox's assets.  The Company has
until Dec. 20 to win an order approving a sale.

Tronox is pursuing a "dual path" in bankruptcy.  Tronox has told
the Court that while it is preparing to conduct an auction where
Huntsman Corp. will be lead bidder for its assets, it has also
held preliminary discussions with stakeholders over the terms of a
standalone reorganization plan.

Judge Allan Gropper on September 16 also approved a sale process
where Huntsman will be stalking horse bidder in a December 8
auction.  Competing bids are due Dec. 1.  Huntsman will receive a
$12.5 million break-up fee and up to $300 million in expense
reimbursement if Tronox pursues another transaction.

Huntsman has signed a deal to pay, absent higher and better
offers, $415 million for Tronox's operating assets, which include
(i) Titanium dioxide facilities in The Netherlands and the United
States, excluding its facility in Savannah, Georgia; (ii) a 50%
joint venture interest in the Western Australian titanium dioxide,
mine and beneficiating operations; and (iii) Electrolytic
production facilities in the United States.  A copy of the Asset
Purchase Agreement is available for free at
http://researcharchives.com/t/s?43ab

                         About Tronox Inc.

Headquartered in Oklahoma City, Tronox Incorporated (Pink Sheets:
TRXAQ, TRXBQ) is the world's fourth-largest producer and marketer
of titanium dioxide pigment, with an annual production capacity of
535,000 tonnes.  Titanium dioxide pigment is an inorganic white
pigment used in paint, coatings, plastics, paper and many other
everyday products.  The Company's four pigment plants, which are
located in the United States, Australia and the Netherlands,
supply high-performance products to approximately 1,100 customers
in 100 countries.  In addition, Tronox produces electrolytic
products, including sodium chlorate, electrolytic manganese
dioxide, boron trichloride, elemental boron and lithium manganese
oxide.

Tronox has $1.6 billion in total assets, including $646.9 million
in current assets, as at September 30, 2008.  The Company has
$881.6 million in current debts and $355.9 million in total
noncurrent debts.

Tronox Inc., aka New-Co Chemical, Inc., and 14 other affiliates
filed for Chapter 11 protection on January 13, 2009 (Bankr.
S.D.N.Y. Case No. 09-10156).  The case is before Hon. Allan L.
Gropper. Richard M. Cieri, Esq., Jonathan S. Henes, Esq., and
Colin M. Adams, Esq., at Kirkland & Ellis LLP in New York,
represent the Debtors.  The Debtors also tapped Togut, Segal &
Segal LLP as conflicts counsel; Rothschild Inc. as investment
bankers; Alvarez & Marsal North America LLC, as restructuring
consultants; and Kurtzman Carson Consultants serves as notice and
claims agent.

An official committee of unsecured creditors and an official
committee of equity security holders have been appointed in the
cases.  The Creditors Committee has retained Paul, Weiss, Rifkind,
Wharton & Garrison LLP as counsel.

Until September 30, 2008, Tronox Inc. was publicly traded on the
New York Stock Exchange under the symbols TRX and TRX.B.  Since
then, Tronox Inc. has traded on the Over the Counter Bulletin
Board under the symbols TROX.A.PK and TROX.B.PK.  As of
December 31, 2008, Tronox Inc. had 19,107,367 outstanding shares
of class A common stock and 22,889,431 outstanding shares of class
B common stock.

Bankruptcy Creditors' Service, Inc., publishes Tronox Bankruptcy
News.  The newsletter tracks the Chapter 11 proceeding undertaken
by Tronox Inc. and its 14 affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


TRUMP ENTERTAINMENT: Noteholders Up Their Bids in Ch. 11 Pitches
----------------------------------------------------------------
According to Law360, Trump Entertainment Resorts Inc. and a group
of noteholders have upped the ante in their competing
restructuring proposals for the gaming company, with Donald Trump
and a bank offering to pitch in an additional $13.9 million for
creditors and the noteholders offering $50 million more in fresh
capital.

                          Competing Plans

As reported by the TCR on August 6, 2009, Trump Entertainment
Resorts Inc. filed a Chapter 11 plan built around the proposed
sale of the company to shareholder Donald Trump.  Under the
agreement reached with the Company, Donald J. Trump and
BNAC, Inc., an affiliate of Beal Bank Nevada, will invest
$100 million cash in the newly private company and become its
owners.  Beal Bank and Beal Bank Nevada agreed to amend and
restate a prepetition credit agreement with the partnership
subsidiary of the Company in order to restructure approximately
$486 million in debt.  Under the amendment, the debt will be
assumed by the reorganized company post-emergence and the maturity
period for the repayment is extended until December 2020 from the
existing maturity of 2012.  Under the Plan, only Beal Bank will
have recovery, and lower ranked creditors would receive nothing.
According to the disclosure statement explaining the Plan, Beal
Bank will recover 94% of its claims.

The Ad Hoc Committee of Holders of the 8.5% Senior Secured Notes
Due 2015 say that they have a "superior plan".  The Noteholders
noted that, in stark contrast to the Insider Plan, their plan
would deliver far more value to all constituencies.  The salient
terms of the Noteholder Plan are:

   -- A capital contribution of $175 million in new equity capital
      in the form of a rights offering backstopped by certain
      holders of the Senior Secured Notes.

   -- The Noteholder Plan further contemplates the sale of the
      Trump Marina Hotel Casino to Coastal Marina, LLC for
      $75 million, net of certain deposits and the dismissal of
      the litigation commenced by the Debtors against, among
      others, Richard T. Fields and Coastal Development, LLC

   -- Beal Bank would receive a cash pay down equal to the
      proceeds from the Marina Sale, plus $75 million from the
      proceeds of a rights offering.  In addition, Beal Bank would
      receive new debt at an interest rate to be determined by the
      Court sufficient to provide Beal Bank with the present value
      of Beal's allowed secured claim.

   -- Holders of the Senior Secured Notes, together with eligible
      holders of general unsecured claims, will be entitled to
      receive their pro rata share of (a) 5% of the common stock
      of the reorganized Debtors, and (b) subscription rights to
      acquire 95% of the New Common Stock.  In addition, holders
      of general unsecured claims that are not eligible to receive
      subscription rights would be entitled to receive their pro
      rata share of a fixed pool of cash.

                    About Trump Entertainment

Based in Atlantic City, New Jersey, Trump Entertainment Resorts
Inc. (NASDAQ: TRMP) -- http://www.trumpcasinos.com/-- owns and
operates three casino hotel properties in Atlantic City, New
Jersey, which include Trump Taj Mahal Casino Resort, Trump Plaza
Hotel and Casino, and Trump Marina Hotel Casino.  The Company
conducts gaming activities and provides customers with casino
resort and entertainment.

Donald Trump is a shareholder of the Company and, as its non-
executive Chairman, is not involved in the daily operations of the
Company.  The Company is separate and distinct from Mr. Trump's
privately held real estate and other holdings.

Trump Entertainment Resorts, TCI 2 Holdings, LLC, and other
affiliates filed for Chapter 11 on February 17, 2009 (Bankr. D.
N.J., Lead Case No. 09-13654).  The Company has tapped Charles A.
Stanziale, Jr., Esq., at McCarter & English, LLP, as lead counsel,
and Weil Gotshal & Manges as co-counsel.  Ernst & Young LLP is the
Company's auditor and accountant and Lazard Freres & Co. LLC is
the financial advisor.  Garden City Group is the claims agent.
The Company disclosed assets of $2,055,555,000 and debts of
$1,737,726,000 as of December 31, 2008.

Trump Hotels & Casino Resorts, Inc., filed for Chapter 11
protection on Nov. 21, 2004 (Bankr. D. N.J. Case No. 04-46898
through 04-46925).  Trump Hotels' obtained the Court's
confirmation of its Chapter 11 plan on April 5, 2005, and in May
2005, it exited from bankruptcy under the name Trump Entertainment
Resorts Inc.


VERASUN ENERGY: Lender Group Sells Hankinson Plant for $92MM
------------------------------------------------------------
VeraSun Energy Corp. on April 9, 2009, completed the sale to
AgStar Financial Services PCA substantially all of the assets
relating to its production facilities in Dyersville, Iowa;
Hankinson, North Dakota; Janesville, Minnesota; Central City
and Ord, Nebraska; and Woodbury, Michigan.  AgStar, formed by
creditors of VeraSun, bought a total of six closed plants for
$324 million.  About $70 million of the purchase price was
specifically set aside for the Dyersville facility.

Murphy Oil Corporation (NYSE:MUR) said October 1 that it has
bought from AgStar the corn-based ethanol plant located in
Hankinson, North Dakota, for $92 million.

The plant, which initially began operating in July 2008 before
being idled in October 2008, has an annual production capacity of
110 million gallons.  The purchase price of $92 million will be
financed primarily through non-recourse debt offered via the
sellers.  Additionally, an estimated $15 million in working
capital will be invested into the facility.

Murphy Oil Corporation's President and Chief Executive Officer,
David M. Wood, said, "We are adding this capability to supplement
our growing North American fuels business.  It also marks our
initial entry into the manufacture of bio-fuels.  Given the
current ethanol mandates and our subsequent blending needs, having
more of a presence in the supply chain better balances our
business."  He also added, "This plant is favorably located near
the feedstock supply and has accessible rail service for carrying
the finished product.  We should see first production shortly."

                    About VeraSun Energy

Headquartered in Sioux Falls, South Dakota, VeraSun Energy Corp.
-- http://www.verasun.com/or http://www.VE85.com/-- produces and
markets ethanol and distillers grains.  Founded in 2001, the
company has a fleet of 16 production facilities in eight states,
with 14 in operation.

The Company and its debtor-affiliates filed for Chapter 11
protection on October 31, 2008 (Bankr. D. Del. Case No. 08-12606).
Mark S. Chehi, Esq., at Skadden Arps Slate Meagher & Flom LLP
represents the Debtors in their restructuring efforts.
AlixPartners LLP serves as their restructuring advisor.
Rothschild Inc. is their investment banker and Sitrick & Company
is their communication agent.  The Debtors' claims noticing and
balloting agent is Kurtzman Carson Consultants LLC.  The Debtors'
total assets as of June 30, 2008, was $3,452,985,000 and their
total debts as of June 30, 2008, was $1,913,214,000.

VeraSun closed on April 1, 2009, the sale of substantially all of
its assets to Valero Renewable Fuels, a subsidiary of Valero
Energy Corporation, North America's largest petroleum refiner and
marketer.  The purchased assets included five ethanol production
facilities and a development site.  The facilities are located in
Aurora, South Dakota; Fort Dodge, Charles City, and Hartley, Iowa;
and Welcome, Minnesota, and the development site is in Reynolds,
Indiana.

Valero paid $350 million for the ethanol production facilities in
Aurora, Fort Dodge, Charles City, Hartley and Welcome, in addition
to the Reynolds site.  Valero also successfully bid $72 million
for the Albert City facility and $55 million for the Albion
facility.  The purchase price also includes working capital
and other certain adjustments.

VeraSun also completed on April 9 the sale to AgStar Financial
Services PCA of substantially all of the assets relating to the
company's production facilities in Dyersville, Iowa; Hankinson,
North Dakota; Janesville, Minnesota; Central City and Ord,
Nebraska; and Woodbury, Michigan.  AgStar released the USBE
Subsidiaries from their obligations under $319 million of existing
indebtedness and assumed certain liabilities relating to the
AgStar Facilities.

On April 13, US BioEnergy Corporation and US Bio Marion LLC
completed the sale to Marion Energy Investments LLC, as assignee
of Dougherty and First Bank & Trust, of substantially all of the
assets relating to the Debtors' production facility in Marion,
South Dakota.  The consideration for the acquired assets consisted
of release of US Bio Marion from its obligations under
approximately $93 million of existing indebtedness to the Marion
Buyers, payment by MEI of $934,861 in cash and assumption by the
Marion Purchasers of certain liabilities relating to the Marion
facility.  VeraSun Bankruptcy News; Bankruptcy Creditors' Service
Inc., http://bankrupt.com/newsstand/or 215/945-7000).


VERO FASHION: Files for Ch 11 Bankr., Averts Foreclosure on Mall
----------------------------------------------------------------
Vero Fashion Outlets, LLC, has filed for Chapter 11 bankruptcy
protection for the Southern District of Florida.

According to Sun-Sentinel, mortgage holder, LNV Corp. had filed a
$32.5 million foreclosure lawsuit against Vero Fashion Outlets
Mall, seeking to put the property under control of an outside
business operation.  Circuit Judge Paul Kanarek worked over the
weekend on preparing a ruling on the lawsuit, the report says.

Vero Fashion Outlets, LLC, is based in Vero Beach, Florida.


VISTEON CORP: Losing Business from Big 3, Nissan
------------------------------------------------
Ryan Beene at Crain's Detroit Business reports that Visteon
Corp.'s U.S. manufacturing operations are losing parts supply
contracts with the Detroit 3 and Nissan North America Inc.

According to the report, the automakers are discontinuing
component parts purchases from Visteon's U.S. plants through a
combination of re-sourcing supply agreements to other suppliers or
through the sale of some of Visteon's U.S. plants, according to a
bankruptcy court filing made Wednesday by Ford Motor Co. in the
U.S. Bankruptcy Court for the District of Delaware.

Jim Fisher, Visteon director of corporate communications, says the
curtailed contracts are part of the company's overall effort to
exit non-competitive and non-core business lines, primarily its
North American interiors unit.

"We're continuing to work with our customers in the core areas of
electronics, interiors (outside North America) and lighting and
we're retaining business with our customers in those areas, we
intend to have an engineering and manufacturing presence in the US
to support those core products," Mr. Fisher said, according to
Crain's.

                        About Visteon Corp.

Headquartered in Van Buren Township, Michigan, Visteon Corporation
(NYSE: VC) -- http://www.visteon.com/-- is a global automotive
supplier that designs, engineers and manufactures innovative
climate, interior, electronic and lighting products for vehicle
manufacturers, and also provides a range of products and services
to aftermarket customers.  The company has corporate offices in
Van Buren Township, Michigan (U.S.); Shanghai, China; and Kerpen,
Germany.  It has facilities in 27 countries and employs roughly
35,500 people.  The Company has assets of $4,561,000,000 and debts
of $5,311,000,000 as of March 31, 2009.

Visteon Corporation and 30 of its affiliates filed for Chapter 11
protection on May 28, 2009, (Bank. D. Del. Case No. 09-11786
through 09-11818).  Judge Christopher S. Sontchi oversees the
Chapter 11 cases.  James H.M. Sprayregen, Esq., Marc Kieselstein,
Esq., and James J. Mazza, Jr., Esq., at Kirkland & Ellis LLP, in
Chicago, Illinois, represent the Debtors in their restructuring
efforts.  Laura Davis Jones, Esq., James E. O'Neill, Esq., Timothy
P. Cairns, Esq., and Mark M. Billion, Esq., at Pachulski Stang
Ziehl & Jones LLP, in Wilmington, Delaware, serve as the Debtors'
local counsel.  The Debtors' investment banker and financial
advisor is Rothschild Inc.  The Debtors' notice, claims, and
solicitation agent is Kurtzman Carson Consultants LLC.  The
Debtors' restructuring advisor is Alvarez & Marsal North America,
LLC.

Bankruptcy Creditors' Service, Inc., publishes Visteon Bankruptcy
News.  The newsletter tracks the Chapter 11 proceedings of Visteon
Corp. and its debtor-affiliates. (http://bankrupt.com/newsstand/
or 215/945-7000)


VISTEON CORP: To Get $31.3 Mil. From Chrysler, to Shed Contract
---------------------------------------------------------------
Chrysler Group LLC reached an agreement with Visteon Corp.,
requiring the automaker to pay more than $31.3 million to its
supplier.

The agreement was hammered out to address the liquidity needs of
Visteon which is also under bankruptcy protection, according to a
court document Visteon filed before the U.S. Bankruptcy Court for
the District of Delaware which oversees Visteon's Chapter 11 case.
The agreement requires approval of the Delaware bankruptcy court.

Under the deal, Chrysler Group agreed to pay more than
$31.3 million to Visteon, which includes more than $5.2 million
for the purchase of tools and equipment used to manufacture
components in Chrysler vehicles at Visteon's facilities in
Saltilo, Mexico, and in Highland Park, Michigan.  Chrysler Group
also agreed to make additional payment every 15 days from the date
the agreement is approved until March 31, 2010, for shipments of
component parts by Visteon.

In return for the payment, Visteon will continue to supply parts
to Chrysler Group until March 31, 2010, and help the automaker in
finding new suppliers for products Visteon will no longer
manufacture.

Visteon will also maintain some of Chrysler Group's business lines
including its lighting programs while some of the automaker's
business in the areas of climate and electronics will be resourced
to Visteon's affiliates including Halla Climate Control
Corporation and Yanfeng Visteon Automotive Electronics Co. Ltd.

Chrysler Group accounted for less than 5% of Visteon's revenue in
2008, according to a report by Crain's Detroit Business.  Last
year, Visteon recorded total revenue of approximately
$9.54 billion.

                        About Visteon Corp.

Headquartered in Van Buren Township, Michigan, Visteon Corporation
(NYSE: VC) -- http://www.visteon.com/-- is a global automotive
supplier that designs, engineers and manufactures innovative
climate, interior, electronic and lighting products for vehicle
manufacturers, and also provides a range of products and services
to aftermarket customers.  The company has corporate offices in
Van Buren Township, Michigan (U.S.); Shanghai, China; and Kerpen,
Germany.  It has facilities in 27 countries and employs roughly
35,500 people.  The Company has assets of $4,561,000,000 and debts
of $5,311,000,000 as of March 31, 2009.

Visteon Corporation and 30 of its affiliates filed for Chapter 11
protection on May 28, 2009, (Bank. D. Del. Case No. 09-11786
through 09-11818).  Judge Christopher S. Sontchi oversees the
Chapter 11 cases.  James H.M. Sprayregen, Esq., Marc Kieselstein,
Esq., and James J. Mazza, Jr., Esq., at Kirkland & Ellis LLP, in
Chicago, Illinois, represent the Debtors in their restructuring
efforts.  Laura Davis Jones, Esq., James E. O'Neill, Esq., Timothy
P. Cairns, Esq., and Mark M. Billion, Esq., at Pachulski Stang
Ziehl & Jones LLP, in Wilmington, Delaware, serve as the Debtors'
local counsel.  The Debtors' investment banker and financial
advisor is Rothschild Inc.  The Debtors' notice, claims, and
solicitation agent is Kurtzman Carson Consultants LLC.  The
Debtors' restructuring advisor is Alvarez & Marsal North America,
LLC.

Bankruptcy Creditors' Service, Inc., publishes Visteon Bankruptcy
News.  The newsletter tracks the Chapter 11 proceedings of Visteon
Corp. and its debtor-affiliates. (http://bankrupt.com/newsstand/
or 215/945-7000)


WASHINGTON MUTUAL: Bondholders Dispute WaMU Right to $4BB Funds
---------------------------------------------------------------
Certain banks, designating themselves as the Washington Mutual
Bank Bondholders, who hold claims in connection with notes issued
by WaMU, dispute the Debtors' "unquestionable right" to seek the
turnover of $4 billion in funds held by JPMorgan Chase Bank,
National Association.  The Bank Bondholders further disagree that
there is no dispute that any the Deposits are property of the
Debtors' estates.

As previously reported, the Debtors averred that the Funds were
held in six disputed accounts in Washington Mutual Bank in
Henderson, Nevada, and WMB fsb, in Park City, Utah.  They noted
that JPMorgan purchased substantially all of WMB's assets from
the Federal Deposit Insurance Corporation and subsequently,
assumed all of WMB fsb's deposit liabilities by merging WMB fsb
with JPMorgan's own banking operations.

The Debtors are not entitled to a turnover of the Deposits
"because there is a substantial, good faith dispute whether the
Funds are payable to them," Laura Davis Jones, Esq., at Pachulski
Stang Ziehl & Jones LLP, in Wilmington, Delaware, contends on
behalf of the Bank Bondholders.

Even if the Deposits otherwise represent a "debt that is property
of the [Debtors' estates] and that is matured, payable on demand,
or payable on order," pursuant to Section 542(b) of the
Bankruptcy Code, the Deposits are not subject to turnover to the
Debtors because the debt "may be offset under Section 553 of [the
Bankruptcy Code] against a claim against the [Debtors],"
including claims of WMB's Receivership Estate, Ms. Jones
explains.

According to Ms. Jones, if and to the extent the purported
deposits are not property of JPMorgan, they belong to the
WMB Receivership Estate or otherwise must be made available first
to satisfy the claims of the Bank Bondholders and other
legitimate creditors of WMB - and not the Debtors.

In addition, any purported transfers from WMB to WMB fsb at the
direction of WaMu -- shortly before the Petition Date and before
WMB was forced into receivership -- are avoidable for the benefit
of the WMB Receivership Estate and its creditors, Ms. Jones
asserts.

To the extent the Debtors may obtain possession or control over
the Deposits, Ms. Jones maintains, those Deposits remain subject
to all competing claims, rights and interests of the Bank
Bondholders and the WMB Receivership Estate as set forth in the
proofs of claims filed in the Debtors' cases by the Bank
Bondholders and the FDIC, in its capacity as WMB Receiver.

Under applicable banking law and in accordance with their own
representations, the Debtors, as shareholders and not creditors
of WMB, were supposed to act as "source of strength" for WMB, Ms.
Jones relates.  However, she cites, "[the Debtors] failed
adequately to do so, and accordingly their claims are barred."

The Bank Bondholders, holders of senior notes issued by WMB, seek
to intervene in the Adversary Proceedings between JPM and WaMu to
protect their interests in the Debtors' estates.  The FDIC has
opposed participation by the Bondholders, noting that FDIC is
already statutorily tasked and presumed to adequately represent
the interests of the Receivership estate and its creditors.

The Bank Bondholders consist of Bank of Scotland PLC; Fir Tree
Capital Opportunity Master Fund, L.P.; Fir Tree Mortgage
Opportunity Master Fund, L.P.; Fir Tree Value Master Fund, L.P.;
HFR ED Select Fund IV Master Trust; Lyxorf York Fund Limited;
Marathon Credit Opportunity Master Fund, Ltd.; Marathon Special
Opportunity Master Fund, Ltd.; Permal York Ltd.; The Yarde Fund,
L.P.; The Yarde Fund VI-A, L.P.; The Yarde Fund VII-B, L.P.; The
Yarde Fund VIII, L.P.; The Yarde Fund IX, L.P.; The Yarde Fund
IX-A, L.P.; Yarde Investment Partners (Offshore), Ltd.; Yarde
Investment Partners, L.P.; York Capital Management, L.P.; York
Credit Opportunities Fund, L.P.; York Credit Opportunities Master
Fund, L.P.; York Investment Master Fund, L.P.; York Select, L.P.;
and York Select Master Fund, L.P.

                     About Washington Mutual

Based in Seattle, Washington, Washington Mutual Inc. --
http://www.wamu.com/-- is a holding company for Washington Mutual
Bank as well as numerous non-bank subsidiaries.  The Company
operates in four segments: the Retail Banking Group, which
operates a retail bank network of 2,257 stores in California,
Florida, Texas, New York, Washington, Illinois, Oregon, New
Jersey, Georgia, Arizona, Colorado, Nevada, Utah, Idaho and
Connecticut; the Card Services Group, which operates a nationwide
credit card lending business; the Commercial Group, which conducts
a multi-family and commercial real estate lending business in
selected markets, and the Home Loans Group, which engages in
nationwide single-family residential real estate lending,
servicing and capital markets activities.

Washington Mutual Bank was taken over September 25 by U.S.
government regulators.  The next day, WaMu and its affiliate, WMI
Investment Corp., filed separate petitions for Chapter 11 relief
(Bankr. D. Del. 08-12229 and 08-12228, respectively).  Wamu owns
100% of the equity in WMI Investment.  Weil Gotshal & Manges
represents the Debtors as counsel.  When WaMu filed for protection
from its creditors, it listed assets of $32,896,605,516 and debts
of $8,167,022,695.  WMI Investment listed assets of $500,000,000
to $1,000,000,000 with zero debts.

Bankruptcy Creditors' Service Inc. publishes Washington Mutual
Bankruptcy News.  The newsletter tracks the Chapter 11 proceedings
of Washington Mutual Inc. (http://bankrupt.com/newsstand/or
215/945-7000).


WASHINGTON MUTUAL: Court OKs Goldman Deal for Wind Power Assets
---------------------------------------------------------------
Bankruptcy Judge Mary Walrath has authorized WMI Investment Corp.
to enter into a Letter of Intent with Goldman Sachs & Co.,
pursuant to which WMI Investment will enter into exclusive
negotiations with Goldman Sachs regarding Goldman Sachs' potential
purchase of WMI Investment's membership interest in JPMC Wind
Investment Portfolio LLC.

Goldman Sachs has presented an indicative purchase price in
excess of $15 million, but requested that the purchase price
offered and set forth in the Letter of Intent be treated as
confidential information pursuant to Section 107(b) of the
Bankruptcy Code and Rule 9018 of the Federal Rules of Bankruptcy
Procedure.

An unredacted copy of the Letter of Intent, with the indicative
Purchase Price disclosed, has been provided to the Official
Committee of Unsecured Creditors, Mark D. Collins, Esq., at
Richards, Layton & Finger, P.A., in Wilmington, Delaware,
relates.

Mr. Collins explains that the Wind Power Investment is comprised
of WMI Investment's membership interest in JPMC Wind Investment
Portfolio LLC, a portfolio holding company which owns an equity
interest in each of these four project companies:

  (a) Airtricity Sand Bluff WF Holdco, LLC, which owns the
      Airtricity-Sand Bluff wind farm, near Sterling City,
      Texas;

  (b) UPC Hawaii Wind Partners II, LLC, which owns the UPC-
      Kaheawa Pastures wind farm, located in Maui, Hawaii;

  (c) Whirlwind Energy, LLC, which owns the RES-Whirlwind wind
      farm, located in Floyd County, Texas; and

  (d) Buffalo Gap Holdings 2, LLC, which owns the AES-Buffalo
      Gap 2 wind farm, located in Nolan and Taylor Counties,
      Texas.

According to Mr. Collins, CP Energy Group, LLC, as the Debtors'
investment banker, identified potential purchasers of the Wind
Power Investment and assisted in negotiations with prospective
purchasers.  Out of seven parties that expressed interest in the
Wind Power Investment, the Debtors determined that the bid
submitted by Goldman Sachs is the highest and best bid remitted.
Subsequently, WMI Investment and Goldman Sachs entered into a
non-binding Letter of Intent through which Goldman Sachs
expressed interest in acquiring the Investment.

In connection with the Letter of Intent, the Court ordered that
the Debtors may reimburse Goldman Sachs for its reasonable out-of-
pocket professional fees and expenses incurred in conducting due
diligence, preparing and negotiating definitive documentation,
and consummating the sale of the Wind Power Investment, up to a
maximum of $300,000 as administrative expense claims under
Section 503(b)(1) of the Bankruptcy Code.

WMI Investment will only be required to reimburse Goldman Sachs
for its fees and expenses (i) if the purchase price with respect
to the Sale is greater than $15 million, and (ii) upon Goldman
Sachs submission to WMI Investment of satisfactory documentation
evidencing Goldman Sachs' incurrence of the fees and expenses.

WMI Investment's obligation to reimburse Goldman Sachs for the
firm's fees and expenses will cease if definitive agreements are
entered into between Goldman Sachs and WMI Investment with
respect to the Wind Power Investment and that transaction is not
consummated as a result of Goldman Sachs' material breach, Judge
Walrath ruled.

The indicative Purchase Price in the Letter of Intent will
be treated as confidential information pursuant to Section 107(b)
of the Bankruptcy Code and Rule 9018 of the Federal Rules of
Bankruptcy Procedure, the Court held.

                     About Washington Mutual

Based in Seattle, Washington, Washington Mutual Inc. --
http://www.wamu.com/-- is a holding company for Washington Mutual
Bank as well as numerous non-bank subsidiaries.  The Company
operates in four segments: the Retail Banking Group, which
operates a retail bank network of 2,257 stores in California,
Florida, Texas, New York, Washington, Illinois, Oregon, New
Jersey, Georgia, Arizona, Colorado, Nevada, Utah, Idaho and
Connecticut; the Card Services Group, which operates a nationwide
credit card lending business; the Commercial Group, which conducts
a multi-family and commercial real estate lending business in
selected markets, and the Home Loans Group, which engages in
nationwide single-family residential real estate lending,
servicing and capital markets activities.

Washington Mutual Bank was taken over September 25 by U.S.
government regulators.  The next day, WaMu and its affiliate, WMI
Investment Corp., filed separate petitions for Chapter 11 relief
(Bankr. D. Del. 08-12229 and 08-12228, respectively).  Wamu owns
100% of the equity in WMI Investment.  Weil Gotshal & Manges
represents the Debtors as counsel.  When WaMu filed for protection
from its creditors, it listed assets of $32,896,605,516 and debts
of $8,167,022,695.  WMI Investment listed assets of $500,000,000
to $1,000,000,000 with zero debts.

Bankruptcy Creditors' Service Inc. publishes Washington Mutual
Bankruptcy News.  The newsletter tracks the Chapter 11 proceedings
of Washington Mutual Inc. (http://bankrupt.com/newsstand/or
215/945-7000).


WASHINGTON MUTUAL: JPM Appeals Accepting WaMu Counterclaims
-----------------------------------------------------------
Bankruptcy Judge Mary Walrath denied the request of JPMorgan Chase
Bank, National Association, to dismiss Washington Mutual Inc.'s
counterclaims, pursuant to Rule 12(b)(6) of the Federal Rules of
Civil Procedure, in the adversary proceeding commenced by JPM
against WaMU.

In their request opposing the dismissal, Washington Mutual, Inc.,
and WMI Investment Corp., contend that having obtained the largest
deposit and new customer base ever seized by the Federal Deposit
Insurance Corporation, in its capacity as receiver of Washington
Mutual, Inc.'s banking assets, JPMorgan Chase Bank, N.A., now
seeks "to further line its pockets at the expense of WaMu, by
grabbing assets above and beyond [those that] it already acquired
at fire-sale price."

To recall, WaMu's Disallowed Claim for $13.6 billion was filed
against FDIC on account of outstanding principal and accrued
interest due under certain promissory notes, intercompany
receivables, tax refunds, fraudulent transfers, liquidation
preference and property transfers.

Through its Adversary Complaint filed in the United States
Bankruptcy Court for the District of Delaware, JPMorgan has
sought to ensure that it is not divested of the assets and
interests purchased in good faith from the FDIC, as receiver for
WMB.  JPMorgan is also seeking indemnification and recovery
against the Debtors for certain liabilities that may be asserted
against it.

"The Assets in dispute . . . could not have been transferred to
JPMorgan without the Court's approval because they became
property of the estate pursuant to Section 541 of the Bankruptcy
Code," Rafael X. Zahralddin-Aravena, Esq., at Elliott Greenleaf,
in Wilmington, Delaware, says on behalf of the Debtors.

In this regard, JPMorgan Chase informed the U.S. District Court
for the District of Delaware that it is taking an appeal from the
Bankruptcy Court's decision.  Specifically, JPMorgan raises these
issues to the District Court:

  (1) Does the Financial Institutions Reform, Recovery, and
      Enforcement Act's jurisdictional bar preclude the
      Bankruptcy Court from exercising subject matter
      jurisdiction over claims against a purchaser from FDIC
      regarding the scope, validity or avoidability of a sale by
      and actions of the FDIC as receiver for a failed
      depository institution under the U.S Banks and Banking
      Code?

  (2) Does the FIRREA bar WaMu which availed itself of the
      FIRREA claims process, whose claims have been disallowed
      by the FDIC as receiver from collaterally attacking the
      disallowance of their claims in the Bankruptcy Court
      against a purchaser from the FDIC?

  (3) Is the Bankruptcy Court's Order void for lack of subject
      matter jurisdiction for the additional reason that the
      District Court's docketing of the FDIC's appeals from the
      Bankruptcy Court's orders divested it of jurisdiction to
      issue the Order, which implicates aspects of the case
      involved in a pending Appeal?

Subsequently, JPMorgan submitted a notice of divestiture of
jurisdiction, which is intended to immediately bring to the
Bankruptcy Court's attention its lack of jurisdiction to proceed
with matters relating to the Adversary Proceeding, pending
disposition of JPMorgan's Appeal.

Under the Divestiture Rule, an appeal concerns the fundamental
right of a party not to have to proceed before the forum, then
the matters "encompassed by the appeal" involve the very power of
the lower court to act, thereby divesting the lower court of the
authority to act while the appeal is pending, Adam G. Landis,
Esq., at Landis Rath & Cobb LLP, in Wilmington, Delaware,
explains.

"In the absence of a finding that the [Appeal is] frivolous, the
trial court must suspend its proceedings once a notice of appeal
is filed.  Any order entered after the Court is divested of
jurisdiction must be vacated by the appellate court," Mr. Landis
contends, citing In re Sacred Heart Hosp., 204 B.R. at 143, aff'd
133 F. 3d at 245.

Upon JPMorgan's filing of the Appeal, the Bankruptcy Court was
immediately divested of jurisdiction, Mr. Landis reiterates.
Exhibits relating to the Divestiture Notice were subsequently
filed by JPMorgan.

                Debtors Argue JPMorgan's Appeal

Washington Mutual, Inc., and WMI Investment Corp. contend that
the appeal taken by JPMorgan Chase Bank, National Association,
from the order entered by Bankruptcy Judge Walrath, denying
JPMorgan's request to dismiss the Debtors' counterclaims in the
Adversary Proceeding initiated by JPMorgan "would only frustrate,
not promote, the efficient resolution of the Adversary Proceeding,
as well as the[ir] bankruptcy cases."

The Debtors' Counterclaims, as asserted pursuant to Rule 12(b)(6)
of the Federal Rules of Civil Procedure, seek a dismissal of
JPMorgan's Adversary Complaint with prejudice and a ruling that
JPMorgan be required to return and pay WaMu an amount equal to
the Capital Contributions and Preferential Transfers plus pre-
judgment interest.  JPMorgan denied the allegations in the
Counterclaims asserted by the Debtors.

"The Debtors' litigation with JPMorgan likely represents the
largest source of recovery in the Debtors' bankruptcy cases . . .
and the resolution thereof will be an integral part of any
Chapter 11 plan," Rafael X. Zahralddin-Aravena, Esq., at Elliott
Greenleaf, in Wilmington, Delaware, asserts, on behalf of the
Debtors.

Mr. Zahralddin-Aravena further reiterates that the provisions
under the Financial Institutions Reform, Recovery, and
Enforcement Act "is not applicable to the claims at issue" in the
JPMorgan Adversary Complaint.

Moreover, Mr. Zahralddin-Aravena emphasizes, the Bankruptcy
Court's Order is "non-appealable, and pursuant to U.S. Supreme
Court Authority, may not qualify for the collateral order
doctrine."  Thus, he explains, the Bankruptcy Court has not been
divested of its jurisdiction and there are no questions as to the
Order's validity or legal effect.

In a separate filing, JPMorgan submitted to the Court items for
inclusion in the record on Appeal.

            Debtors Respond to Notice of Divestiture

The Debtors maintain that JPMorgan's notice of divestiture of
jurisdiction pending its Appeal "was filed solely to delay and
avoid trial while JPMorgan continues to withhold billions of
dollars in the Debtors' funds."

If JPMorgan were allowed to divest the Bankruptcy Court of
jurisdiction so that its "frivolous and dilatory" Appeal may
first be resolved, Mr. Zahralddin-Aravena argues, JPMorgan would
accomplish its goal of continuing to saddle its adversaries with
cost and delay and the Debtors and their creditors will suffer
tremendous harm.

The Debtors maintain that the Bankruptcy Court has not been
divested of its jurisdiction to adjudicate the JPMorgan Adversary
Complaint.  The Debtors thus ask Judge Walrath to swiftly reject
JPMorgan's contention that by the ministerial act of filing the
Appeal, it has awarded itself the relief that has already been
twice refused by the Bankruptcy Court when it denied JPMorgan's
request to stay and dismiss the JPMorgan Adversary Complaint.

In a joinder to the Debtors' response, the Official Committee of
Unsecured Creditors asserts that neither JPMorgan's pending
Appeal nor its Notice of Divestiture Pending Appeals divests the
Bankruptcy Court of its jurisdiction in the JPMorgan Adversary
Complaint.

                     Key Lawsuits Among Parties

Washington Mutual filed a suit in March against the FDIC before
the U.S. District Court in Washington after its claim in the bank
receivership was denied.  The Debtor seeks to recover $6.5 billion
in capital contributions, $4 billion in preferred securities and
$3 billion in tax refunds.  The lawsuit contends the FDIC sold the
bank for substantially less than the assets were worth.  The
holding company believes the bank's assets were worth more than
the bank's debt.

In April 2009, JPMorgan, which acquired Washington Mutual Bank,
filed in the Bankruptcy Court a complaint against Washington
Mutual and WMI Investment Corp., and Federal Deposit Insurance
Corporation, seeking (i) to ensure that it is not divested of the
assets and interests purchased in good faith from the FDIC, as
receiver for WMB; and (ii) for indemnification and recovery
against the Debtors for certain liabilities that may be asserted
against JPMorgan, as successor by merger to WMB, pursuant to a
Purchase and Assumption Agreement dated September 25, 2008, with
the FDIC.

In mid-April 2009, Washington Mutual countered with its own
lawsuit against JPM in the Bankruptcy Court, seeking recovery of
$4 billion it was holding in deposit accounts at its bank
unit when the thrift unit was taken over in September by the
FDIC and immediately transferred to JPMorgan Chase & Co.

                     About Washington Mutual

Based in Seattle, Washington, Washington Mutual Inc. --
http://www.wamu.com/-- is a holding company for Washington Mutual
Bank as well as numerous non-bank subsidiaries.  The Company
operates in four segments: the Retail Banking Group, which
operates a retail bank network of 2,257 stores in California,
Florida, Texas, New York, Washington, Illinois, Oregon, New
Jersey, Georgia, Arizona, Colorado, Nevada, Utah, Idaho and
Connecticut; the Card Services Group, which operates a nationwide
credit card lending business; the Commercial Group, which conducts
a multi-family and commercial real estate lending business in
selected markets, and the Home Loans Group, which engages in
nationwide single-family residential real estate lending,
servicing and capital markets activities.

Washington Mutual Bank was taken over September 25 by U.S.
government regulators.  The next day, WaMu and its affiliate, WMI
Investment Corp., filed separate petitions for Chapter 11 relief
(Bankr. D. Del. 08-12229 and 08-12228, respectively).  Wamu owns
100% of the equity in WMI Investment.  Weil Gotshal & Manges
represents the Debtors as counsel.  When WaMu filed for protection
from its creditors, it listed assets of $32,896,605,516 and debts
of $8,167,022,695.  WMI Investment listed assets of $500,000,000
to $1,000,000,000 with zero debts.

Bankruptcy Creditors' Service Inc. publishes Washington Mutual
Bankruptcy News.  The newsletter tracks the Chapter 11 proceedings
of Washington Mutual Inc. (http://bankrupt.com/newsstand/or
215/945-7000).


WASHINGTON MUTUAL: JPMorgan Escapes WaMu ERISA Action
-----------------------------------------------------
Law360 reports that the federal judge overseeing a consolidated
putative class action brought by participants of Washington Mutual
Inc.'s savings plan has dismissed JPMorgan Chase & Co. as a
defendant, saying its acquisition of the failed financial giant's
banking unit did not include the transfer of fiduciary liability.

JPM, which bought the banking assets of Washington Mutual Inc.
after the bank was sent to receivership with the Federal Deposit
Insurance Corp, is a party to lawsuits against WaMu.

                 Key Lawsuits Between WaMU and JPM

Washington Mutual filed a suit in March against the FDIC before
the U.S. District Court in Washington after its claim in the bank
receivership was denied.  The Debtor seeks to recover $6.5 billion
in capital contributions, $4 billion in preferred securities and
$3 billion in tax refunds.  The lawsuit contends the FDIC sold the
bank for substantially less than the assets were worth.  The
holding company believes the bank's assets were worth more than
the bank's debt.

In April 2009, JPMorgan, which acquired Washington Mutual Bank,
filed in the Bankruptcy Court a complaint against Washington
Mutual and WMI Investment Corp., and Federal Deposit Insurance
Corporation, seeking (i) to ensure that it is not divested of the
assets and interests purchased in good faith from the FDIC, as
receiver for WMB; and (ii) for indemnification and recovery
against the Debtors for certain liabilities that may be asserted
against JPMorgan, as successor by merger to WMB, pursuant to a
Purchase and Assumption Agreement dated September 25, 2008, with
the FDIC.

In mid-April 2009, Washington Mutual countered with its own
lawsuit against JPM in the Bankruptcy Court, seeking recovery of
$4 billion it was holding in deposit accounts at its bank
unit when the thrift unit was taken over in September by the
FDIC and immediately transferred to JPMorgan Chase & Co.

                      About Washington Mutual

Based in Seattle, Washington, Washington Mutual Inc. --
http://www.wamu.com/-- is a holding company for Washington Mutual
Bank as well as numerous non-bank subsidiaries.  The Company
operates in four segments: the Retail Banking Group, which
operates a retail bank network of 2,257 stores in California,
Florida, Texas, New York, Washington, Illinois, Oregon, New
Jersey, Georgia, Arizona, Colorado, Nevada, Utah, Idaho and
Connecticut; the Card Services Group, which operates a nationwide
credit card lending business; the Commercial Group, which conducts
a multi-family and commercial real estate lending business in
selected markets, and the Home Loans Group, which engages in
nationwide single-family residential real estate lending,
servicing and capital markets activities.

Washington Mutual Bank was taken over September 25 by U.S.
government regulators.  The next day, WaMu and its affiliate, WMI
Investment Corp., filed separate petitions for Chapter 11 relief
(Bankr. D. Del. 08-12229 and 08-12228, respectively).  Wamu owns
100% of the equity in WMI Investment.  Weil Gotshal & Manges
represents the Debtors as counsel.  When WaMu filed for protection
from its creditors, it listed assets of $32,896,605,516 and debts
of $8,167,022,695.  WMI Investment listed assets of $500,000,000
to $1,000,000,000 with zero debts.

Bankruptcy Creditors' Service Inc. publishes Washington Mutual
Bankruptcy News.  The newsletter tracks the Chapter 11 proceedings
of Washington Mutual Inc. (http://bankrupt.com/newsstand/or
215/945-7000).


WILLING HOLDING: June 30 Balance Sheet Upside-Down by $2.2 Million
------------------------------------------------------------------
Willing Holding, Inc., reported a net loss of $338,328 on revenues
of $99,008 for the second quarter ended June 30, 2009, compared
with a net loss of $962,759 on revenues of $297,180 in the same
period in 2008.

Revenues for the three months ended June 30, 2009 were $99,008,
which was primarily due to the Company's search engine
optimization business with a smaller portion attributed to the
remaining mortgage related products and services as compared to
$297,180 in revenue during the three months ended June 30, 2008.
The Company anticipates that the revenues generated from the
mortgage business will continue to decline due to the economic
downturn in the housing and mortgage industries.

Operating expenses for the three months ended June 30, 2009, were
$219,006, as compared to $1,259,939 in operating expenses during
the three months ending June 30, 2008.

Loss from operations of $119,998 for the three months ending
June 30, 2009, as compared to the same period ending June 30, 2008
losses of $962,759 reflect the Company's transition into the SEO
products and services industry and indicative of the adverse
effect the economic downturn in the housing and mortgage industry
has had on the Company's Telemarketing Group.

At June 30, 2009, the Company's consolidated balance sheet showed
$1,081,680 in total assets, $3,318,575 in total liabilities,
resulting in a stockholders' deficit of $2,236,895.

The Company's consolidated balance sheet at June 30, 2009, also
showed strained liquidity with $278,680 in total current assets
available to pay $3,037,317 in total current liabilities.

Full-text copies of the Company's consolidated balance sheet for
the second quarter ended June 30, 2009, are available for free at:

           http://researcharchives.com/t/s?466c

                   Going Concern Doubt

Gruber & Company LLC, in Lake St. Louis, Missouri, expressed
substantial doubt about the Company's ability to continue as a
going concern after auditing the financial statements for the
years ended December 31, 2008.  The auditing firm reported that
the Company had a loss in 2008 of $6,543,315 and its total
liabilities exceeded its current assets by $3,011,894 and had a
negative equity of $1,674,357.

                  About Willing Holding

Based in Greensboro, North Carolina, Willing Holding, Inc.
formerly Perfect Web Inc. was incorporated in the state of Florida
in November of 2005.  For the years 2006, 2007 and until July 2008
the Company was a wholly owned subsidiary of Perfect Web
Technologies, Inc. when it was spun out as a separate Company.
The Company has entered the business of telemarketing and Internet
marketing that manages a call center employing either a live
operator or a recorded message, in which case it is known as
"automated telemarketing" using voice broadcasting to acquire
potential clients as well as continuing through its wholly owned
subsidiary New World Mortgage, as a mortgage broker.

Prior to the emergence of a economic slowdown and its adverse
effect on the mortgage and housing industries, New World developed
an e-commerce platform that combines search engine organization
and website design for small businesses, its primary market.


WISCONSIN AMERICAN: A.M. Best Affirmed FSR of 'C++'
---------------------------------------------------
A.M. Best Co. has affirmed the financial strength rating (FSR) of
C++ (Marginal) and issuer credit rating (ICR) of "b" of Wisconsin
American Mutual Insurance Company (Wisconsin American Mutual)
(Fond du Lac, WI).  The outlook for both ratings is stable.
Concurrently, A.M. Best has withdrawn the ratings at the company's
request and assigned a category NR-4 to the FSR and an "nr" to the
ICR.

The ratings reflect Wisconsin American Mutual's weak underwriting
results due to the impact that severe weather-related and
significant fire losses have had on its results, its significant
dependence on reinsurance and adverse loss reserve development
that occurred over several years.

Offsetting these rating factors is management's strategy to
improve profitability and balance sheet strength through the
contraction of its business.  Additional strategies include
tightening underwriting guidelines, obtaining rate adequacy,
reducing operational expenses, closely monitoring loss reserve
development and improving information technology.


* 65 Jewelry Companies in Bankruptcy in 1H of 2009
--------------------------------------------------
In the first six months of this year, 917 jewelry companies
discontinued operations, versus 523 a year earlier, Bloomberg
said, citing the Jewelers Board of Trade, a credit and collections
agency in Warwick, Rhode Island, that tracks about 30,500 jewelry
retailers and suppliers.  Sixty-five were in bankruptcy, compared
with 29 in the same period last year, the agency said.

Finlay Enterprises Inc., Fortunoff Holdings LLC and Whitehall
Jewelers Holdings Inc. are among jewelers that have filed for
bankruptcy and entered liquidation after consumers slashed
spending on non-necessities during the recession.

The world's largest jewelry retailers are Tiffany & Co., and Cie
Financiere Richemont AG, owner of Cartier and Van Cleef & Arpels.


* Bankruptcy Partner Returns to Munger Tolles & Olson
-----------------------------------------------------
Thomas B. Walper, a senior bankruptcy lawyer and restructuring
professional, has rejoined Munger, Tolles & Olson as a partner.
For the past two years, Mr. Walper has been head of corporate
restructuring for investment firm Plainfield Asset Management in
Greenwich, Conn.  Prior to that, Mr. Walper had been a partner at
Munger, Tolles & Olson for 16 years.

"Tom's business experience and his years of bankruptcy practice
make him an invaluable addition to our bankruptcy and
reorganization practice," said Sandra Seville-Jones, co-managing
partner of Munger, Tolles & Olson. "We are fortunate to welcome
back an MTO veteran in a critical practice area given the
difficult economy."

While at MTO, Mr. Walper played a significant role in many of the
country's largest chapter 11 cases and restructurings, including
Refco, Calpine, Pacific Gas & Electric, Southern California
Edison, Kmart, United Airlines, Southern Pacific Funding,
California Power Exchange and Coho Energy. He was the lead
bankruptcy counsel for Berkshire Hathaway Inc. for several years
representing them in connection with the Enron, FINOVA Group,
Fruit of the Loom, Oakwood Homes, and USG Corporation bankruptcy
cases.  At MTO, Mr. Walper's practice will include the
representation of debtors, creditors, creditors' committees,
unsecured creditors, and boards of directors, as well as the
representation of acquirers and sellers of financially troubled
companies, both in and outside of bankruptcy.

"I am invigorated to come back to the practice of law with the
significant experiences I have gleaned from my role as a buy-side
principal," Mr. Walper said.  "The current economic conditions
have led to some of the most sophisticated and challenging
bankruptcy work the industry has seen, and I am looking forward to
helping our clients in these complex times."

At Plainfield, Mr. Walper contributed to the analysis and
underwriting of investments in distressed securities and private
transactions and developed and implemented both consensual and
litigated exit strategies for distressed private and public
investments.  In this role, he acted as a principal representative
on numerous formal and informal creditors committees.  He first
joined MTO in 1991, after serving as a partner in Stroock &
Stroock & Lavan's bankruptcy group.

Mr. Walper has twice (2002 and 1999) been recognized by
Turnarounds and Workouts magazine as one of the country's top 12
bankruptcy lawyers.  The author of numerous articles and a
treatise on the representation of creditor's committees, he is a
frequent speaker on complex bankruptcy topics.  Mr. Walper was one
of the founders of the Debtor Assistance Program of the Los
Angeles County Bar Association, which provides insolvency services
to indigent consumers with more than 150 attorney volunteers
within the Central District of California.


* Companies Selling More Bonds Secured by Assets
------------------------------------------------
Companies are selling more bonds secured by assets than ever,
showing that even in a record year for corporate debt, investors
are becoming more demanding, Bryan Keogh and Gabrielle Coppola at
Bloomberg News reported.

According to the report, Blockbuster Inc. sold $675 million of
debt on Sept. 17, agreeing to pay a 15.2 percent yield and pledge
movies and video games as collateral.  Brunswick Corp. used its
bowling alleys and headquarters in Lake Forest, Illinois, to back
a $350 million bond sale in August.  HCA Inc., the hospital chain
acquired in a 2006 leveraged buyout, raised $3.06 billion this
year, providing "substantially all" of its assets as security.

About $40 billion in senior secured notes have been issued this
year, up from $10 billion in the same period of 2008, helping the
riskiest companies get funds as the high-yield market rallied 52
percent, according to data compiled by Bloomberg.

While the government and the Federal Reserve lent, spent or
committed $11.6 trillion to fix financial markets, investors
remain concerned that the economy may not be strong enough for
default rates to fall below their long-term average.


* Corporate Credit Rating Upgrades Poised to Exceed Downgrades
--------------------------------------------------------------
John Detrixhe and Caroline Hyde at Bloomberg News report that
corporate credit rating upgrades are poised to exceed downgrades
for the first time since early 2007 as investors scoop up bond
sales at a record pace and the global economy shows signs of
recovering.

The finance unit of Dearborn, Michigan-based automaker Ford
Motor Co., Hutchison Whampoa Ltd. in Hong Kong and Abu Dhabi
National Energy Co. led companies selling at least $775 billion of
debt in the third quarter, the most ever for the period, according
to data compiled by Bloomberg.  Issuance totals $2.79 trillion
year-to-date, up from $2.73 trillion for all of 2008.

According to Bloomberg, Pacific Investment Management Co. and
Loomis Sayles & Co. are growing more confident in companies'
ability to repay debt as the economy rebounds from the worst
global recession since World War II.  Last month JPMorgan Chase &
Co., whose high-yield strategists have been ranked No. 1 by
Institutional Investor magazine for the past seven years, cut its
2010 U.S. default rate forecast to 4%, from 7%.


* East Valley, Ariz., Filings Rise 88.4% in Three Quarters
----------------------------------------------------------
The U.S. Bankruptcy Court of Arizona said that bankruptcy filings
in East Valley increased 88.4% to 18,098 during the first three
quarters of the year compared to 9,604 in the same period in 2008,
Edward Gately at East Valley Tribune reports.  According to the
Tribune, overall filings statewide rose 83.7% to 24,646 in the
first three quarters of 2009, from 13,413 for the same period in
2008.  The Tribune states that filings for Chapter 7 rose 96.1% in
the Valley and 91.5% statewide.  September 2009 compared with
September 2008, overall filings increased 84.6% in the Valley,
from 1,339 to 2,472, and 76.7% statewide, from 1,881 to 3,323, the
Tribune says.  The report quoted Nancy Dickerson, the court's
chief deputy clerk, as saying, "We've seen consistent growth since
the third quarter of 2006.  Since then, it's gone up every single
quarter, and we're expecting the fourth quarter to be no different
than this trend."


* FDIC Chair Says Secured Creditors Should Pay for Failures
-----------------------------------------------------------
Rebecca Christie and Christine Harper at Bloomberg News report
that Federal Deposit Insurance Corp. Chairman Sheila Bair said
regulators should consider making secured creditors carry more of
the cost of bank failures.

"This could involve potentially limiting their claims to no more
than, say, 80 percent of their secured credits," Mr. Bair said
October 4 in a speech to a banking conference in Istanbul,
according to Bloomberg.  "This would ensure that market
participants always have some skin in the game, and it would be
very strong medicine indeed."

The proposal would probably increase banks' cost of funding and
make it harder to find long-term financing because creditors would
be watching closely for any signs of trouble, said William Black,
associate professor of economics and law at the University of
Missouri-Kansas City and a former bank regulator.

The Federal Deposit Insurance Corporation board said in a
statement Sept. 29 that it has adopted a Notice of Proposed
Rulemaking that would require insured institutions to prepay their
estimated quarterly risk-based assessments for the fourth quarter
of 2009 and for all of 2010, 2011 and 2012.  The FDIC estimates
that the total prepaid assessments collected would be $45 billion.
The FDIC Board also voted to adopt a uniform three-basis point
increase in assessment rates effective on January 1, 2011, and
extend the restoration period from seven to eight years.

FDIC Chairman Sheila C. Bair said, "First and foremost, bank
customers should know that their insured deposits have and always
will be 100 percent safe, no matter what. This commitment to
depositors is absolute.  The decision today is really about how
and when the industry fulfills its obligation to the insurance
fund.  It's clear that the American people would prefer to see an
end to policies that look to the federal balance sheet as a remedy
for every problem.  In choosing this path, it should be clear to
the public that the industry will not simply tap the shoulder of
the increasingly weary taxpayer.  This proposal is a vote of
confidence for the banking industry's resilience, and it will
continue to recover its strength as we work through the
significant challenges ahead."

Prepayment of assessments will allow the industry to strengthen
the cash position of the Deposit Insurance Fund (DIF) immediately,
while allowing the capital impact of deposit insurance assessments
to be felt gradually over time as the industry improves its own
financial position.  The banking industry has substantial
liquidity to prepay assessments.  As of June 30, FDIC-insured
institutions held more than $1.3 trillion in liquid balances, or
22% more than they did a year ago.  Prepaying assessments will put
the industry's liquid balances to good use in conserving capital
and helping to maintain the capacity of banks to lend while they
rebuild the DIF.  FDIC analysis indicates that this arrangement is
much less likely to impair bank lending than a one-time special
assessment.

The FDIC board met Tuesday to discuss options to replenish the
agency's insurance reserves.   Among other options by the FDIC for
replenishing its DIF is a second special assessment on banks to
shore up its shrinking deposit fund, and borrowing taxpayer
dollars from the Treasury Department or taking loans from banks.
The agency on Tuesday rejected options for a second special fee or
borrowing from the Treasury Department, according to Bloomberg.
Banks are opposing paying a second assessment and prefer prepaying
their premiums.

The insurance fund will have a negative balance as of Sept. 30
after 120 banks were shut in the past two years, and will be
positive by 2012, the FDIC said, according to Bloomberg.  Banks
failures may cost $100 billion through 2013 with half the cost
already incurred, the FDIC stated.

According to a report last month by the FDIC, its deposit
insurance fund dwindled by $2.6 billion -- 20.3% -- during the
second quarter to $10.4 billion.  According to the FDIC, the
reduction was primarily due to an $11.6 billion increase in loss
provisions for bank failures.  For 2009 through the end of the
second quarter, 45 insured institutions with combined assets of
$35.9 billion failed at an estimated current cost to the DIF of
$10.5 billion.  However, since the end of the second quarter,
50 more banks have closed.

            Soros Sees Better Results for Europe

According to Simon Kennedy and Rainer Buergin at Bloomberg,
billionaire investor George Soros said the U.S. economic recovery
will be sluggish as "basically bankrupt" financial companies and
indebted consumers impede it.  "The U.S. will be very slow in
recovery," Mr. Soros said in a panel discussion in Istanbul, where
the annual meetings of the International Monetary Fund and World
Bank begin Oct. 6.  "The United States has a long way to go."

Mr. Soros signaled a stronger rebound in Europe, a view at odds
with the IMF.  "Europe has been less damaged," Mr. Soros said.
The European Central Bank may be faster than the Federal Reserve
to start withdrawing stimulus, he said, adding that it is "too
early, certainly for the United States," for policy makers to
start reversing their emergency measures.


* Frank Urges Using $2 Billion Repaid to TARP on Foreclosure Aid
----------------------------------------------------------------
ABI reports that House Financial Services Committee Chairman
Barney Frank (D-Mass.) said Monday that he plans to introduce
legislation next week to steer $2 billion in rescue funds repaid
by U.S. banks to foreclosure relief for unemployed workers.


* New Hampshire Bankr. Filings Up 34% in FY Ended September 2009
----------------------------------------------------------------
Bob Sanders at New Hampshire Business Review reports that 4,870
bankruptcy filings were made in September 2009, the last month of
the bankruptcy court's fiscal year.  The number was a 34% increase
compared to the previous fiscal year, says NHBR.  About 442 people
filed for bankruptcy protection in New Hampshire in September,
four fewer than August, and about 10% less than July, NHBR states.
according to NHBR, five of the September filings were made by
businesses, compared to 14 business filings in August and 17 in
July.  The report says that the filers include:

     -- Raymond Sand & Gravel LLC filed for Chapter 11 bankruptcy
        protection on September 7;

     -- Seff Enterprises & Holdings LLC, forced into Chapter 7
        liquidation on September 15;

     -- Two Macs LLC filed for Chapter 7 bankruptcy protection on
        September 21;

     -- WWW Holdings Inc. Woodsville filed for Chapter 11
        bankruptcy protection on September 21; and

     -- Dana Stockman Construction Services LLC filed for Chapter
        7 bankruptcy protection on September 22, Chapter 7.


* Sage Holdings Acquires Donlin Recano
--------------------------------------
Sage Holdings has acquired Donlin, Recano & Company, Inc., a
Chapter 11 claims and noticing agent.  DRC will continue to
provide claims administration and noticing support services to its
clients, partnered with the expanded operating platform provided
by Sage Holdings and its subsidiaries, such as D. F. King & Co.,
Inc., an independent proxy solicitation firm with offices in New
York and London.

DRC's services include pre-Chapter 11 filing preparation, Chapter
11 noticing solutions, claims management, balloting, and
distribution services.  DRC also provides information support
services to committees of unsecured creditors appointed in Chapter
11 cases.

Dr. Oliver Niedermaier, President and Chief Executive Officer of
Sage Holdings, said, "With this acquisition, Sage Holdings has
extended its offerings to include the full range of services
required by companies at all stages of the bankruptcy process.
This is a high-growth area for our business."

Louis A. Recano, Chief Executive Officer of DRC, stated, "Becoming
part of the Sage Holdings family will bring important and
significant benefits to our current and future clients.  Our new
sister companies have tried-and-tested communications platforms
for large-scale projects, along with extensive experience and
skill in preserving brand, management and corporate integrity on a
global basis, all of which complements our expertise in bankruptcy
management services, while reinforcing our long-standing
commitments to efficiency and client service."

Peter C. Harkins, President and Chief Executive Officer of D. F.
King & Co., Inc., said, "In addition to the experience and skill
of DRC's professionals, clients of DRC will now enjoy immediate
access to D. F. King's integrated information technology,
financial printing, material distribution and call center
services, along with our investor and creditor identification,
financial communications and vote solicitation services, on the
scale required to maximize efficiencies in the bankruptcy
process."

                       About Sage Holdings:

Sage Holdings http://www.sageholdings.com-- is a global financial
communications and stakeholder management firm.  Formed in 2007,
with private equity backing from The Riverside Company
(www.riversidecompany.com), Sage Holdings companies include:
Capital Precision, a capital markets intelligence specialist
(www.capitalprecision.com); M:Communications, Europe's fastest
growing financial communications consultancy (www.mcomgroup.com);
Hallvarsson & Halvarsson, the top-ranked Scandinavian financial
communications firm (www.halvarsson.com); Broadgate Consultants, a
Wall Street investor and financial media relations consultancy
(www.broadgate.com); D. F. King, a leader in corporate M&A
transactions, proxy solicitation and related stakeholder services
in the U.S. and Europe (www.dfking.com); Donlin Recano, a leading
Chapter 11 claims and noticing agent (www.donlinrecano.com); and
Taylor Rafferty, a leading international investor relations firm
with offices in New York, Europe and Asia (www.taylor-
rafferty.com).  With offices in New York, London, Dubai, Munich,
Stockholm and Hong Kong, Sage Holdings serves over 1,000 public
companies, mutual fund families and private equity clients and
employs over 350 professionals supported by ~1,400 call center
employees.

Sage Holdings is structured along three business segments:
consulting; analytics and technology; and stakeholder fulfillment.
Sage Holdings has built an international business of substantial
value in these areas and expects to continue growing through
further complementary acquisitions in each of the world's major
financial centers.

                      About Donlin Recano

Based in New York and Chicago, Donlin, Recano & Company, Inc.,
uses proprietary technologies to organize and guide clients
through the bankruptcy process, a service which is now enhanced
by, among other things, the expanded printing, call center and
technology platforms offered by Sage Holdings companies.


* U.S. Consumer Bankruptcies Top 1 Million, Group Says
------------------------------------------------------
U.S. consumer bankruptcies totaled 1,046,449 filings through the
first nine months of 2009 (Jan. 1 to Sept. 30), the first time
since the 2005 bankruptcy overhaul that filings have surged past
the 1 million mark during the first three calendar quarters of a
year, according to the American Bankruptcy Institute, relying on
data from the National Bankruptcy Research Center.  The filings
for the first three-quarters of 2009 were the highest total since
the 1,350,360 consumer filings through the first nine months of
2005.

For the first nine months of 2005, the figure was 1.35 million.

"Bankruptcy filings continue to climb as consumers look to shelter
themselves from the effects of rising unemployment rates and
housing debt," said Samuel Gerdano, ABI executive director. "The
consumer filing total through the first nine months is consistent
with our expectation that consumer bankruptcies will top
1.4 million in 2009."

The September 2009 consumer filing total reached 124,790, a 41%
increase from the 88,663 consumer filings in September 2008.  The
September 2009 filings also represented a 4% increase over the
119,874 filings in August 2009 and it is the fourth highest single
month since the 2005 law change.  Chapter 13 filings constituted
28 percent of all consumer cases in September, unchanged from the
August rate.


* Chapter 11 Cases With Assets and Liabilities Below $1,000,000
---------------------------------------------------------------
In Re Margarita Martinez
  Bankr. D. Ariz. Case No. 09-22821
     Chapter 11 Petition filed September 16, 2009
        Filed as Pro Se

In Re Housing Renaissance Fund Inc.
  Bankr. C.D. Calif. Case No. 09-34928
     Chapter 11 Petition filed September 16, 2009
        Filed as Pro Se

In Re La Joya Trust
  Bankr. C.D. Calif. Case No. 09-34964
     Chapter 11 Petition filed September 16, 2009
        Filed as Pro Se

In Re Mara Investments LLC
  Bankr. C.D. Calif. Case No. 09-34899
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/cacb09-34899.pdf

In Re Amarjeet Singh Bhatia
      dba Lander's Gas and Food Mart
  Bankr. E.D. Calif. Case No. 09-92976
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/caeb09-92976.pdf

In Re Harpreet Singh Bhatia
      dba Lander's Gas and Food Mart
  Bankr. E.D. Calif. Case No. 09-92977
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/caeb09-92977.pdf

In Re Raymond Francis Olmo, Jr.
     Yvette Richelle Gemignani-Olmo
  Bankr. E.D. Calif. Case No. 09-39868
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/caeb09-39868.pdf

In Re Edward C. Embury, Jr.
  Bankr. D. Colo. Case No. 09-29276
     Chapter 11 Petition filed September 16, 2009
        Filed as Pro Se

In Re Beaches of Vilano, LLC
  Bankr. M.D. Fla. Case No. 09-07808
     Chapter 11 Petition filed September 16, 2009
        Filed as Pro Se

In Re Brenda S. Cheeks
  Bankr. N.D. Ga. Case No. 09-84295
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/ganb09-84295.pdf

In Re Clintex Laboratories, Inc.
  Bankr. N.D. Ill. Case No. 09-34377
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/ilnb09-34377.pdf

In Re Larned Sand & Gravel Inc.
  Bankr. D. Kans. Case No. 09-13010
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/ksb09-13010.pdf

In Re Gonzalez Enterprises, LLC
  Bankr. W.D. La. Case No. 09-81212
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/lawb09-81212.pdf

In Re Jose Cruz Gonzalez
     Harriet Ann Gonzalez
  Bankr. W.D. La. Case No. 09-81213
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/lawb09-81213.pdf

In Re Dorsey Management, LLC t/a Stonefish Grill
  Bankr. D. Md. Case No. 09-27444
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/mdb09-27444.pdf

In Re D.B.S., INC.
  Bankr. E.D. Mich. Case No. 09-68660
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/mieb09-68660p.pdf
        See http://bankrupt.com/misc/mieb09-68660c.pdf

In Re Robert E. Lawson
  Bankr. E.D. Mo. Case No. 09-49174
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/moeb09-49174.pdf

In Re 2704 SATTLEY LLC
  Bankr. D. Nev. Case No. 09-27238
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/nvb09-27238.pdf

In Re John R. Williams
     Irene H. Williams
  Bankr. D. Nev. Case No. 09-27299
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/nvb09-27299.pdf

In Re Skyscraper Service Co.
  Bankr. D. N.J. Case No. 09-34366
     Chapter 11 Petition filed September 16, 2009
        Filed as Pro Se

In Re Caskinette Auto Sales, Inc.
      d/b/a TI Auto Sales Yamaha Shi-Doo
  Bankr. N.D. N.Y. Case No. 09-32570
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/nynb09-32570p.pdf
        See http://bankrupt.com/misc/nynb09-32570c.pdf

In Re Hopewell Tax Service, Inc.
      dba Taxpert Tax Service of Hopewell Junction
      dba Taxpert Funding
  Bankr. S.D.N.Y. Case No. 09-37530
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/nysb09-37530.pdf

In Re Prosperous Properties LLC
  Bankr. S.D. Ohio Case No. 09-60670
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/ohsb09-60670.pdf

In Re New Hope Personal Care Homes, Inc.
  Bankr. M.D. Pa. Case No. 09-07179
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/pamb09-07179.pdf

In Re Rhonda Leigh Tretter-McCoy
  Bankr. D. P.R. Case No. 09-10596
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/tnmb09-10596.pdf

In Re VIP Transport Inc.
  Bankr. D. P.R. Case No. 09-07769
     Chapter 11 Petition filed September 16, 2009
           See http://bankrupt.com/misc/prb09-07769.pdf

In Re Chariot Transportation Inc.
  Bankr. M.D. Tenn. Case No. 09-10593
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/tnmb09-10593.pdf

In Re St. Gumbeaux, Inc.
      dba Gumbo's Louisiana Style Cafe
      dba The Brown Bar
  Bankr. W.D. Tex. Case No. 09-12600
     Chapter 11 Petition filed September 16, 2009
        See http://bankrupt.com/misc/txwb09-12600.pdf

In Re Jordan Timber Co., LLC
  Bankr. S.D. Ala. Case No. 09-14312
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/alsb09-14312.pdf

In Re M & M Partner Company Inc.
  Bankr. N.D. Calif. Case No. 09-48714
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/canb09-48714.pdf

In Re Kun Young, Inc.
  Bankr. D. Col. Case No. 09-29426
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/cob09-29426.pdf

In Re Realty Unlimited, Inc.
  Bankr. E.D. Ky. Case No. 09-52996
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/kyeb09-52996.pdf

In Re Gladys L. Avery Irrevocable Trust
  Bankr. D. Maine Case No. 09-11248
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/meb09-11248.pdf

In Re Redsun Market, Inc.
      dba Zip's Market
  Bankr. E.D. Mich. Case No. 09-34977
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/mieb09-34977.pdf

In Re Jeffrey Arthur LaFrance
  Bankr. D. Minn. Case No. 09-46215
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/mnb09-46215.pdf

In Re DCR GROUP, LLC
  Bankr. D. Nev. Case No. 09-27340
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/nev09-27340.pdf

In Re Toon Town Paint, LLC
  Bankr. D. N.J. Case No. 09-34511
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/njb09-34511.pdf

In Re Walker Management Systems, Inc.
  Bankr. D. N.J. Case No. 09-34517
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/njb09-34517.pdf

In Re Alcides Curtis
  Bankr. E.D.N.Y. Case No. 09-76989
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/nyeb09-76989.pdf

In Re Edwin D. Pawling
  Bankr. N.D. N.Y. Case No. 09-13444
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/nynb09-13444.pdf

In Re New Day Village, Inc.
  Bankr. S.D. Ohio Case No. 09-60745
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/ohsb09-60745.pdf

In Re Pickles
      aka Pickles Boardwalk Food
  Bankr. W.D. Pa. Case No. 09-11685
     Chapter 11 Petition filed September 17, 2009
     Chapter 11 Petition dismissed September 17, 2009
        Filed as Pro Se

In Re Forrester Machine & Tool Corporation
  Bankr. W.D. Tenn. Case No. 09-13836
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/tnwb09-13836.pdf

In Re El Cazador-Sequim Inc.
      dba El Cazador Mexican Restaurant
      aka El Cazador Mexican Grill and Cantina
  Bankr. W.D. Wash. Case No. 09-19607
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/wiwb09-19607.pdf

In Re High County Health, Inc.
  Bankr. D. Wyo. Case No. 09-20925
     Chapter 11 Petition filed September 17, 2009
        See http://bankrupt.com/misc/wyd09-20925.pdf

In Re Gordon Ronald Dalton
  Bankr. D. Ariz. Case No. 09-23277
     Chapter 11 Petition filed September 18, 2009
        See http://bankrupt.com/misc/azb09-23277.pdf

In Re Kobra Associates, Inc.
  Bankr. E.D. Calif. Case No. 09-40068
     Chapter 11 Petition filed September 18, 2009
        See http://bankrupt.com/misc/caeb09-40068.pdf

In Re Food Service Management, Inc.
  Bankr. E.D. Calif. Case No. 09-40066
     Chapter 11 Petition filed September 18, 2009
        See http://bankrupt.com/misc/caeb09-40066.pdf

In Re Frank J. Kennedy, III
     Lorraine Kennedy
  Bankr. E.D. Calif. Case No. 09-40098
     Chapter 11 Petition filed September 18, 2009
        See http://bankrupt.com/misc/caeb09-40098.pdf

In Re Timber Lane Associates, LLC
  Bankr. D. Conn. Case No. 09-32563
     Chapter 11 Petition filed September 18, 2009
        See http://bankrupt.com/misc/ctb09-32563.pdf

In Re Commonwealth Creamery, Inc.
      dba Oberweis Ice Cream & Dairy Store
  Bankr. E.D. Mich. Case No. 09-68964
     Chapter 11 Petition filed September 18, 2009
        See http://bankrupt.com/misc/mieb09-68964.pdf

In Re Heritage-Warrington Center, L.P.
  Bankr. D. N.J. Case No. 09-34694
     Chapter 11 Petition filed September 18, 2009
        See http://bankrupt.com/misc/njb09-34694.pdf

In Re William Greg Horton
     Cathryn Joy Strohm-Horton
  Bankr. W.D. N.C. Case No. 09-11034
     Chapter 11 Petition filed September 18, 2009
        Filed as Pro Se

In Re Pickles
      aka Pickles Boardwalk Food
  Bankr. W.D. Pa. Case No. 09-11702
     Chapter 11 Petition filed September 18, 2009
        Filed as Pro Se

In Re TM Billiards, Inc. dba Plush Pocket Billiards
  Bankr. E.D. Mich. Case No. 09-69073
     Chapter 11 Petition filed September 19, 2009
        See http://bankrupt.com/misc/mieb09-69073.pdf

In Re Charles G. McBreen
     Kathleen M. McBreen
  Bankr. E.D. Wis. Case No. 09-33532
     Chapter 11 Petition filed September 19, 2009
        See http://bankrupt.com/misc/wieb09-33532.pdf

In Re Adam A. Smith
  Bankr. E.D. Wash. Case No. 09-05262
     Chapter 11 Petition filed September 20, 2009
        See http://bankrupt.com/misc/waeb09-05262.pdf

In Re Kings Island Marine, Inc.
  Bankr. E.D. Wis. Case No. 09-33534
     Chapter 11 Petition filed September 20, 2009
        See http://bankrupt.com/misc/wieb09-33534.pdf

In Re AZ Tan Club, LLC
  Bankr. D. Ariz. Case No. 09-23413
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/azb09-23413.pdf

In Re Douglas Allan Carroll
  Bankr. D. Ariz. Case No. 09-23354
     Chapter 11 Petition filed September 21, 2009
        Filed as Pro Se

In Re Joseph G. Max
     Tamera J. Max
  Bankr. D. Ariz. Case No. 09-23427
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/azb09-23427.pdf

In Re Lourdes Urzua
  Bankr. D. Ariz. Case No. 09-23385
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/azb09-23385.pdf

In Re Selah Investment Group, Inc.
  Bankr. D. Ariz. Case No. 09-23397
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/azb09-23397.pdf

In Re Cynthia Sheridan
      dba Straddles Border Stop
  Bankr. E.D. Calif. Case No. 09-40229
     Chapter 11 Petition filed September 21, 2009
        Filed as Pro Se

In Re Christopher Todd Angle
  Bankr. D. Conn. Case No. 09-51872
     Chapter 11 Petition filed September 21, 2009
        Filed as Pro Se

In Re Peter Anthony Sharp
      aka Peter A. Sharp
      aka Peter Sharp
  Bankr. D. D.C. Case No. 09-00826
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/dcb09-00826.pdf

In Re Lakeland Moose Lodge # 945
  Bankr. M.D. Fla. Case No. 09-21144
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/flmb09-21144.pdf

In Re Jose Luis Bahena
  Bankr. N.D. Ill. Case No. 09-34875
     Chapter 11 Petition filed September 21, 2009
        Filed as Pro Se

In Re M K & H Holding Corp., Inc.
  Bankr. S.D. Ill. Case No. 09-32490
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/ilsb09-32490.pdf

In Re Conqueror Marine Logistics, LLC
  Bankr. W.D. La. Case No. 09-51321
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/lawb09-51321.pdf

In Re Raider Marine Logistics, LLC
     Bankr. W.D. La. Case No. 09-51321
        Chapter 11 Petition filed September 21, 2009
           See http://bankrupt.com/misc/lawb09-51322.pdf

In Re Enforcer Marine Logistics, LLC
     Bankr. W.D. La. Case No. 09-51323
        Chapter 11 Petition filed September 21, 2009
           See http://bankrupt.com/misc/lawb09-51323.pdf

In Re George Garrett Colen
     Melody Adrianne Colen
      fka Melody Adrianne Padgett
  Bankr. D. Md. Case No. 09-27824
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/mdb09-27824.pdf

In Re Andrew Mark Pirnie
     Debra Beatrice Pirnie
  Bankr. W.D. Mo. Case No. 09-44568
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/mowb09-44568.pdf

In Re WWW Holdings, Inc.
      dba The Way We Were Outlet
  Bankr. D. N.H. Case No. 09-13632
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/nhb09-13632.pdf

In Re Mary K. Butya
  Bankr. W.D. Pa. Case No. 09-26952
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/pawb09-26952.pdf

In Re EHJ LLC
      dba Tinks
      dba Elliot J. Catering
  Bankr. S.D. Ohio Case No. 09-16123
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/ohsb09-16123.pdf

In Re Lanny W. Harper
  Bankr. M.D. Tenn. Case No. 09-10784
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/tnmb09-10784.pdf

In Re Lyndale W. Harper
     Dottie J. Harper
  Bankr. M.D. Tenn. Case No. 09-10785
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/tnmb09-10785.pdf

In Re JAM Food Store, Inc.
  Bankr. N.D. Tex. Case No. 09-45815
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/txnb09-45815.pdf

In Re Allied Primary Home Care Services, Inc.
  Bankr. W.D. Tex. Case No. 09-53641
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/txwb09-53641.pdf

In Re Heath Burchinal
      aka Xtreme Edge Enterprises, LLC dba Xtreme Graphix
      aka Sneekee, Inc. dba Sneekee
      aka XG Draper, LLC dba Xtreme Graphix of Draper
      aka SMS Entertainment Group, LLC
          dba Southern Utah Savings Express
      aka SMS Entertainment LLC dba Southern Utah Savings Express
      aka Xtreme Edge Enterprises, LLC
          dba Xtreme Graphix Design & Apparel
      aka Xtreme Edge Enterprises, LLC dba Xtreme Edge Graphix
     Theata Kristie Burchinal
      aka Xtreme Edge Enterprises, LLC dba Xtreme Graphix
      aka Xtreme Edge Enterprises, LLC dba Xtreme Edge Graphix
      aka Xtreme Edge Enterprises, LLC
          dba Xtreme Graphix Design & Apparel
  Bankr. D. Utah Case No. 09-30210
     Chapter 11 Petition filed September 21, 2009
        See http://bankrupt.com/misc/utb09-30210.pdf

In Re Asap Firebird Tire Service, LLC
  Bankr. D. Ariz. Case No. 09-23522
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/azb09-23522.pdf

In Re Bora Enterprises, Inc.
  Bankr. D. Ariz. Case No. 09-23536
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/azb09-23536.pdf

In Re Lisa Wolfe
  Bankr. D. Ariz. Case No. 09-23478
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/azb09-23478.pdf

In Re Marsh Aviation Company
  Bankr. D. Ariz. Case No. 09-23468
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/azb09-23468.pdf

In Re Andrew T. Wang
  Bankr. C.D. Calif. Case No. 09-22465
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/cacb09-22465.pdf

In Re Moon Joo Lee
      aka M J Lee
      aka MoonJoo Joo Lee
     Jiyoung Jeong
      aka Jiji Jeong
      aka Jiyoung Young Jeong
      aka Ji Young Jeong
  Bankr. N.D. Calif. Case No. 09-48849
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/canb09-48849.pdf

In Re Andrew Rudnick, DMD, P.A.
      fka Northlake Dental Associates
      aka Palm Beach Dental Group
  Bankr. S.D. Fla. Case No. 09-30060
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/flsb09-30060.pdf

In Re G. David Volpitto
      aka George David Volpitto
  Bankr. S.D. Ga. Case No. 09-12350
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/gasb09-12350.pdf

In Re Rojas Group, Inc.
  Bankr. D. Mass. Case No. 09-18977
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/mab09-18977.pdf

In Re Lane Cabinets Inc.
      dba Cabinet Concepts By Design, Cabinets by Lane
  Bankr. W.D. Mo. Case No. 09-62149
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/mowb09-62149.pdf

In Re Gale Audrey St. John
  Bankr. E.D.N.Y. Case No. 09-48207
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/nyeb09-48207.pdf

In Re Melange Salon at the Peninsula, Inc.
  Bankr. S.D.N.Y. Case No. 09-15710
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/nysb09-15710.pdf

In Re PCN Development, Inc.
  Bankr. W.D. Pa. Case No. 09-27002
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/pawb09-27002.pdf

  In Re Joseph J. Perri
     Bankr. W.D. Pa. Case No. 09-27003
        Chapter 11 Petition filed September 22, 2009

In Re Tommy Grimes
     Natalie Bernadette Grimes
  Bankr. W.D. Va. Case No. 09-51523
     Chapter 11 Petition filed September 22, 2009
        Filed as Pro Se

In Re Duong Ly
  Bankr. D. Ariz. Case No. 09-23667
     Chapter 11 Petition filed September 23, 2009
        Filed as Pro Se

In Re SPS Building Co, LLC
  Bankr. D. Ariz. Case No. 09-23534
     Chapter 11 Petition filed September 22, 2009
        See http://bankrupt.com/misc/azb09-23534.pdf

In Re Profound Health Care Inc.
  Bankr. C.D. Calif. Case No. 09-35676
     Chapter 11 Petition filed September 23, 2009
        See http://bankrupt.com/misc/cacb09-35676.pdf

In Re Ronald A. Grant
  Bankr. N.D. Calif. Case No. 09-48880
     Chapter 11 Petition filed September 23, 2009
        Filed as Pro Se

In Re Normandy Apartments, LLC
  Bankr. S.D. Fla. Case No. 09-30180
     Chapter 11 Petition filed September 23, 2009
        Filed as Pro Se

In Re John M. Schieppe
      dba Schiappa's Little Hill
     Dona L. Schieppe
  Bankr. S.D. Ill. Case No. 09-32517
     Chapter 11 Petition filed September 23, 2009
        See http://bankrupt.com/misc/ilsb09-32517.pdf

In Re Liberty Land Group, Ltd.
  Bankr. S.D. Ill. Case No. 09-41583
     Chapter 11 Petition filed September 23, 2009
        See http://bankrupt.com/misc/ilsb09-41583.pdf

In Re Robert J. Mobley
      dba Correctional Counseling of Kansas
     Shawna K. Mobley
      dba Correctional Counseling of Kansas
  Bankr. D. Kans. Case No. 09-13133
     Chapter 11 Petition filed September 23, 2009
        See http://bankrupt.com/misc/ksb09-13133.pdf

In Re Diamond M. Contractors, Inc.
  Bankr. D. Mass. Case No. 09-43958
     Chapter 11 Petition filed September 23, 2009
        See http://bankrupt.com/misc/mab09-43958.pdf

In Re J-F Deli Inc.
  Bankr. D. N.J. Case No. 09-35019
     Chapter 11 Petition filed September 23, 2009
        Filed as Pro Se

In Re TCC, Inc.
      dba Isohama Japanese Restaurant
  Bankr. D. N.J. Case No. 09-35018
     Chapter 11 Petition filed September 23, 2009
        See http://bankrupt.com/misc/njb09-35018.pdf

In Re So'Sila Enterprises, Inc.
  Bankr. D. N.M. Case No. 09-14330
     Chapter 11 Petition filed September 23, 2009
        See http://bankrupt.com/misc/nmb09-14330.pdf

In Re Bunce's Brighton, Inc.
  Bankr. W.D. N.Y. Case No. 09-22494
     Chapter 11 Petition filed September 23, 2009
        See http://bankrupt.com/misc/nywb09-22494.pdf

In Re Bacorn, Inc.
  Bankr. W.D. Pa. Case No. 09-27045
     Chapter 11 Petition filed September 23, 2009
        See http://bankrupt.com/misc/pawb09-27045.pdf

In Re Carlsbad Development II, LLC
  Bankr. D. Utah Case No. 09-30289
     Chapter 11 Petition filed September 23, 2009
        Filed as Pro Se

In Re Roy Virgil Cook
  Bankr. D. Utah Case No. 09-30278
     Chapter 11 Petition filed September 23, 2009
        Filed as Pro Se

In Re Abraham's Covenant
  Bankr. D. Ariz. Case No. 09-23830
     Chapter 11 Petition filed September 24, 2009
        Filed as Pro Se

In Re Carl Ray Twentier
     Patricia Kay Twentier
  Bankr. D. Ariz. Case No. 09-23803
     Chapter 11 Petition filed September 24, 2009
        Filed as Pro Se

In Re Sunrug Inc.
  Bankr. D. Ariz. Case No. 09-23842
     Chapter 11 Petition filed September 24, 2009
        See http://bankrupt.com/misc/azb09-23842.pdf

In Re Helen Koshak
  Bankr. C.D. Calif. Case No. 09-20155
     Chapter 11 Petition filed September 24, 2009
        Filed as Pro Se

In Re Oak View Townhomes LLC
  Bankr. C.D. Calif. Case No. 09-22558
     Chapter 11 Petition filed September 24, 2009
        Filed as Pro Se

In Re Sushama Devi Lohia
  Bankr. C.D. Calif. Case No. 09-20164
     Chapter 11 Petition filed September 24, 2009
        Filed as Pro Se

In Re Pepper Creek Outsiders, LLC.
  Bankr. D. Del. Case No. 09-13292
     Chapter 11 Petition filed September 24, 2009
        Filed as Pro Se

In Re Carlson Industrial Support Systems, Inc.
  Bankr. D. Conn. Case No. 09-32656
     Chapter 11 Petition filed September 24, 2009
        See http://bankrupt.com/misc/ctb09-32656.pdf

In Re Bernardo E. Ramos
  Bankr. C.D. Ill. Case No. 09-92004
     Chapter 11 Petition filed September 24, 2009
        Filed as Pro Se

In Re Pleasant Hill Lake Development, Inc.
  Bankr. C.D. Ill. Case No. 09-72825
     Chapter 11 Petition filed September 24, 2009
        See http://bankrupt.com/misc/ilcb09-72825.pdf

In Re BMW Construction, Inc.
  Bankr. N.D. Ill. Case No. 09-35420
     Chapter 11 Petition filed September 24, 2009
        See http://bankrupt.com/misc/ilnb09-35420.pdf

In Re George J. Karvounis
  Bankr. D. Md. Case No. 09-28101
     Chapter 11 Petition filed September 24, 2009
        See http://bankrupt.com/misc/mdb09-28101p.pdf
        See http://bankrupt.com/misc/mdb09-28101c.pdf

In Re KERB Ventures, Inc.
  Bankr. D. Md. Case No. 09-28107
     Chapter 11 Petition filed September 24, 2009
        See http://bankrupt.com/misc/mdb09-28107.pdf

In Re A & S Realty
  Bankr. D. Mass. Case No. 09-19083
     Chapter 11 Petition filed September 24, 2009
        Filed as Pro Se

In Re Charles D. Dailey
      asf The Money Matrix, Inc.
      asf The Realty Matrix, Inc.
      asf The Management Matrix, Inc.
      asf Dailey Building and Loan, Inc.
     Lisa M. Dailey
      asf L.M.T. Dailey, LLC
  Bankr. D. Minn. Case No. 09-36696
     Chapter 11 Petition filed September 24, 2009
        See http://bankrupt.com/misc/mnb09-36696.pdf

In Re Brite Fuel Oil Corporation
  Bankr. S.D.N.Y. Case No. 09-15730
     Chapter 11 Petition filed September 23, 2009
        See http://bankrupt.com/misc/nysb09-15730.pdf

In Re Kathryn Urbaszewski
      dba URSA Minor Studios
      fdba Flying Cow Enterprises, Inc.
      dba Klug & Company, Inc.
      aka Kathryn Urbaszeqski-Geitz
  Bankr. W.D. N.C. Case No. 09-11057
     Chapter 11 Petition filed September 24, 2009
        See http://bankrupt.com/misc/ncwb09-11057.pdf

In Re Grover Williams
      dba L & G C Store #2
      dba L and G Grocery
  Bankr. W.D. Tenn. Case No. 09-30570
     Chapter 11 Petition filed September 24, 2009
        See http://bankrupt.com/misc/tnwb09-30570.pdf

In Re Eagle River Dairy Development, LLC
  Bankr. N.D. Tex. Case No. 09-20639
     Chapter 11 Petition filed September 24, 2009
        See http://bankrupt.com/misc/txnb09-20639.pdf

In Re Dominion Capital
      fka Momentum Partners - Hosmer Associates, LLC
  Bankr. W.D. Wash. Case No. 09-47054
     Chapter 11 Petition filed September 24, 2009
        Filed as Pro Se

In Re SMG Trust
      fdba Shoals Memorial Gardens
      fdba Spry Memorial Gardens
      fdba REDSIT
  Bankr. N.D. Ala. Case No. 09-83914
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/alnb09-83914p.pdf
        See http://bankrupt.com/misc/alnb09-83914c.pdf

In Re Bradley Steven Weinholtz
     Deborah Lynne Weinholtz
  Bankr. C.D. Calif. Case No. 09-20218
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/cacb09-20218.pdf

In Re Felix Rodriguez
     Satik Rodriguez
  Bankr. N.D. Calif. Case No. 09-58203
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/canb09-58203.pdf

In Re Syndicate Automotive Concepts, Inc.
  Bankr. S.D. Calif. Case No. 09-14438
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/casb09-14438.pdf

In Re Acute Care Team, Inc.
  Bankr. M.D. Fla. Case No. 09-21609
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/flmb09-21609.pdf

In Re Carlos Enrique Delossantos
  Bankr. M.D. Fla. Case No. 09-21589
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/flmb09-21589.pdf

In Re Jon Shehan
  Bankr. M.D. Fla. Case No. 09-14384
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/flmb09-14384.pdf

In Re A's Inc.
      dba Macullen's
  Bankr. D. Idaho Case No. 09-21056
     Chapter 11 Petition filed September 25, 2009
        Filed as Pro Se

In Re My Ranch, Inc. d/b/a Fresh Harvest Market
  Bankr. N.D. Ill. Case No. 09-35697
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/ilnb09-35697.pdf

In Re Central Office Products, Inc.
  Bankr. N.D. Ind. Case No. 09-14398
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/innb09-14398.pdf

In Re Larry R. Jackson
     Melissa M. Jackson
  Bankr. S.D. Ind. Case No. 09-14159
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/insb09-14159.pdf

In Re Print Service, Inc.
  Bankr. W.D. La. Case No. 09-20861
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/lawb09-20861.pdf

In Re Carl Edmond Harper
  Bankr. D. Md. Case No. 09-28206
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/mdb09-28206.pdf

In Re Marco A. Medina
  Bankr. D. Mass. Case No. 09-19104
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/mab09-19104.pdf

In Re Cottonwood Manor Inc.
  Bankr. S.D. Miss. Case No. 09-03374
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/mssb09-03374.pdf

In Re James Rigoni
      aka Tony Rigoni
      fdba Camelot Homes LLC
     Nicole Rigoni
      aka Nicki Rigoni
  Bankr. D. Nev. Case No. 09-27981
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/nvb09-27981.pdf

In Re Nationwide Maintenance & General Contracting, Inc.
      aka Nationwide Maintenance, Inc.
  Bankr. S.D.N.Y. Case No. 09-23781
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/nysb09-23781p.pdf
        See http://bankrupt.com/misc/nysb09-23781c.pdf

In Re Thomas E. Settles, Sr.
      aka Eddie Settles
      aka Thomas E. Settles
      aka T. Edward Settles
  Bankr. E.D. Tenn. Case No. 09-16159
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/tneb09-16159p.pdf
        See http://bankrupt.com/misc/tneb09-16159c.pdf

In Re Columbia Shores Railroad, LLC
  Bankr. E.D. Wash. Case No. 09-05375
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/waeb09-05375.pdf

In Re Advanced Door and Security Inc.
  Bankr. W.D. Wash. Case No. 09-19906
     Chapter 11 Petition filed September 25, 2009
        See http://bankrupt.com/misc/wawb09-19906.pdf

In Re Fitness Quest of Thornton, Inc.
  Bankr. D. Colo. Case No. 09-30225
     Chapter 11 Petition filed September 27, 2009
        See http://bankrupt.com/misc/cob09-30225.pdf

In Re George Francis Clancy, III
      aka Jeff Clancy
  Bankr. S.D. Ind. Case No. 09-14211
     Chapter 11 Petition filed September 27, 2009
        See http://bankrupt.com/misc/insb09-14211.pdf

In Re Sarah Beth Lange
  Bankr. S.D. Ind. Case No. 09-14212
     Chapter 11 Petition filed September 27, 2009
        See http://bankrupt.com/misc/insb09-14212.pdf

In Re South Beach Restaurant Inc.
  Bankr. D. Ariz. Case No. 09-24135
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/azb09-24135.pdf

In Re Maxwell's Lounge & Restaurant Inc.
  Bankr. N.D. Calif. Case No. 09-49118
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/canb09-49118.pdf

In Re Dennis W. Maxwell
  Bankr. M.D. Fla. Case No. 09-21836
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/flmb09-21836.pdf

In Re Kevin John Byrnes
     Elizabeth Ann Byrnes
  Bankr. M.D. Fla. Case No. 09-08133
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/flmb09-08133.pdf

In Re The Blue Diamond Sports Entertainment Group
      dba Kooter Browns 98 West
  Bankr. N.D. Fla. Case No. 09-32017
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/flnb09-32017.pdf

In Re Riteway Logistics Inc
  Bankr. C.D. Ill. Case No. 09-72858
     Chapter 11 Petition filed September 28, 2009
        Filed as Pro Se

In Re Terry Lee Nelson
      dba Nelson Farms
      dba Cornerstone Transportation LLC
  Bankr. S.D. Ill. Case No. 09-32571
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/ilsb09-32571.pdf

In Re John Holt Trucking, LLC
  Bankr. W.D. La. Case No. 09-81281
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/lawb09-81281.pdf

In Re Paul L. Dervartanian
      dba Diversified Builders
  Bankr. D. Mass. Case No. 09-19171
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/mab09-19171.pdf

In Re Ivan Copney
      dba Copney Enterprises
  Bankr. W.D. N.C. Case No. 09-11065
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/ncwb09-11065.pdf

In Re The Vineyard Cafe, LLC
  Bankr. S.D. Ohio Case No. 09-16322
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/ohsb09-16322.pdf

In Re Craig Brown
  Bankr. E.D. Pa. Case No. 09-17285
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/paeb09-17285.pdf

In Re John J. Vestri
     Susan A. Vestri
      aka Susan A. Manaker
  Bankr. E.D. Pa. Case No. 09-17291
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/paeb09-17291.pdf

In Re Jose Gilberto Padilla-Bruno
     Mildred Candelario-Ortiz
  Bankr. D. P.R. Case No. 09-08107
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/prb09-08107.pdf

In Re Hilario Cruz Martinez
      dba Olive Hills Apartment
  Bankr. N.D. Tex. Case No. 09-36354
     Chapter 11 Petition filed September 28, 2009
        See http://bankrupt.com/misc/txnb09-36354.pdf

In Re 2414 N. Scottsdale Road, LLC
  Bankr. D. Ariz. Case No. 09-24330
     Chapter 11 Petition filed September 29, 2009
        See http://bankrupt.com/misc/azb09-24330.pdf

In Re Delmas Towers, LLC
  Bankr. N.D. Calif. Case No. 09-58312
     Chapter 11 Petition filed September 29, 2009
        Filed as Pro Se

In Re Harris, Ward & Webb Ellison Funeral Home, LLC
  Bankr. N.D. Ga. Case No. 09-85465
     Chapter 11 Petition filed September 29, 2009
        See http://bankrupt.com/misc/ganb09-85465.pdf

In Re Chad Heinen
     Kelly Heinen
  Bankr. W.D. La. Case No. 09-51378
     Chapter 11 Petition filed September 29, 2009
        See http://bankrupt.com/misc/lawb09-51378.pdf

In Re C.C.C.P., LLC
  Bankr. E.D. Mich. Case No. 09-70001
     Chapter 11 Petition filed September 29, 2009
        See http://bankrupt.com/misc/mieb09-70001.pdf

In Re EPets, Inc.
  Bankr. E.D.N.Y. Case No. 09-77362
     Chapter 11 Petition filed September 29, 2009
        See http://bankrupt.com/misc/nyeb09-77362.pdf

In Re Saratoga Country Kitchen, Inc.
  Bankr. E.D.N.Y. Case No. 09-48478
     Chapter 11 Petition filed September 29, 2009
        Filed as Pro Se

In Re SalAnna Realty, LP
  Bankr. E.D. Pa. Case No. 09-17333
     Chapter 11 Petition filed September 29, 2009
        See http://bankrupt.com/misc/paeb09-17333.pdf

In Re Precision Body Works, Inc.
  Bankr. M.D. Pa. Case No. 09-07577
     Chapter 11 Petition filed September 29, 2009
        See http://bankrupt.com/misc/pamb09-07577p.pdf
        See http://bankrupt.com/misc/pamb09-07577c.pdf

In Re Las Rosas Mexican Grill, LLC
  Bankr. S.D. Tex. Case No. 09-37166
     Chapter 11 Petition filed September 29, 2009
        See http://bankrupt.com/misc/txsb09-37166.pdf



                           *********

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.

The Sunday TCR delivers securitization rating news from the week
then-ending.

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.  Danilo Munnoz, Joseph Medel C. Martirez, Denise Marie
Varquez, Philline Reluya, Ronald C. Sy, Joel Anthony G. Lopez,
Cecil R. Villacampa, Sheryl Joy P. Olano, Carlo Fernandez,
Christopher G. Patalinghug, and Peter A. Chapman, Editors.

Copyright 2009.  All rights reserved.  ISSN: 1520-9474.

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

The TCR subscription rate is $775 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance thereof
are $25 each.  For subscription information, contact Christopher
Beard at 240/629-3300.

                  *** End of Transmission **