TCR_Public/101228.mbx          T R O U B L E D   C O M P A N Y   R E P O R T E R

            Tuesday, December 28, 2010, Vol. 14, No. 358

                            Headlines

ACCURIDE CORP: Sankaty et al. Gain $132MM in Dealings, WSJ Says
ADINO ENERGY: Peggy Behrens Resigns From Board of Directors
AEROFLEX INCORPORATED: Moody's Cuts Rating on Senior Loan to 'Ba3'
AIG BAKER: Gets Interim Nod to Use Cash Collateral Until Jan. 5
AMBRILIA BIOPHARMA: Recovery for Creditors, Stakeholders Uncertain

AMERICAN INT'L: Secures $4.3 Billion in Credit Facilities
AMERICAN MEDIA: Stay Lifted to Allow Anderson Appeal to Proceed
AMERICAN MEDIA: Wins Final Nod for Akin Gump as Attorneys
ANGIOTECH PHARMA: Grace Period Extended to 120 Days
ANPATH GROUP: Emerges From Chapter 11 Bankruptcy Protection

ANPATH GROUP: Unveils Members of Reorganized Company's Board
ARROWHEAD GENERAL: Moody's Affirms 'B3' Corporate Family Rating
ASPIRE INTERNATIONAL: Posts $588,600 Net Loss in Q1 2009
ASSOCIATED MATERIALS: Names Brad Beard VP of AMI Distribution
ATI ACQUISITION: S&P Retains CreditWatch Negative on 'B' Rating

AVENTINE RENEWABLE: Inks Agreement for New $200 Million Term Loan
AVISTAR COMMS: Extends Maturity of JPMorgan Loan to Dec. 2011
BIOLASE TECHNOLOGY: Ascendiant to Assist in Sale of 3MM Shares
BPP TEXAS: Taps Munsch Hardt as Bankruptcy Counsel
BROADCAST INT'L: Inks Loan Restructuring Deal With Castlerigg

BRUNSWICK CORPORATION: Moody's Gives Pos. Outlook; Keeps B2 Rating
C&D TECH: Escapes Bankruptcy With Out-of-Court Restructuring
CAPITAL BANCORP: Proposes New TruPS Exchange Offer
CAPROCK WINE: Court Slashes Harold Pigg Fees
CARIBBEAN PETROLEUM: Bankr. Ct. Remands 8 Lawsuits to State Court

CENTRAL FALLS, R.I.: Bankruptcy Is "Last Option," Receiver Says
CHENIERE ENERGY: Amends Certificate to Reduce Number of Shares
CINCINNATI BELL: Says John Burns Rejoins as CBTS President
COAST CRANE: Can Sell Substantially All Assets to CC Bidding
COMERCIAL MEXICANA: NY Bankruptcy Court Closes Chapter 15 Case

CONOLOG CORP: Posts $831,600 Net Loss in October 31 Quarter
DELPHI CORP: Identifies Issues for Feb. 17 Hearing for Suits
DIPAK DESAI: Court Denies Motion to Dismiss or Convert
DRYSHIPS INC: Inks $770 Million Tanker Agreement
DRYSHIPS INC: Board Approves Share Purchase Program

E-DEBIT GLOBAL: Posts $445,900 Net Loss in Q3 2010
E*TRADE FINANCIAL: Names Matthew Audette as Chief Fin'l Officer
EIGEN INC: Chapter 11 Bankruptcy Case Terminates on December 31
EXCELITAS TECHNOLOGIES: S&P Assigns 'B+' Corp. Credit Rating
FIRST DATA: Discloses Final Results of Private Exchange Offers

FNB UNITED: Gets Noncompliance Letter From Nasdaq Stock Market
FNB UNITED: William Bruton Will Retire as Chief Credit Officer
FREDDIE MAC: Files November 2010 Monthly Volume Summary
FUSION CUISINE: Court Won't Reverse Chapter 7 Conversion
GENERAL GROWTH: Lenders to Help New GGP Refinancing

GENERAL GROWTH: New GGP Makes Dividend of $0.38 Per Share
GENERAL GROWTH: New GGP Restructuring Spurs CRE Fundraising Surge
GENERAL GROWTH: New GGP, THHC To Take Actions on Stalled Projects
GENERAL MARITIME: Amends Terms of $1.12 Billion Credit Facility
GOLDEN ELEPHANT: NW Pacific CPA Raises Going Concern Doubt

GREAT ATLANTIC: Wilmington Trust Appointed to Creditors' Committee
GULFSTREAM INT'L: Unit Files Schedules of Assets and Liabilities
HARRISBURG, PA: Hire Accounting Firm to Lead Forensic Audit
HAWKER BEECHRAFT: To Get Incentive for Staying in Wichita
HCA HOLDINGS: Files Shelf Registration Statement With SEC

HERITAGE CONSOLIDATED: Wins Approval of DIP Loan, Cash Use
HERITAGE CONSOLIDATED: Plan Outline Hearing Continued Until Jan. 7
HICKOK INCORPORATED: Operating Losses Cue Going Concern Doubt
IA GLOBAL: Closes Acquisition of PowerDial Systems and Services
IHEALTH TECHNOLOGIES: S&P Assigns 'B+' Corporate Credit Rating

INDIGO-ENERGY: Hercules Pappas Resigns From Board
ISTAR FINANCIAL: Names David DiStaso as Chief Financial Officer
JEAN DETHIERSANT: Has Until January 11 to File Plan
JER INVESTORS: Ernst & Young Raises Going Concern Doubt
JERSEY ISLAND: Hearing on Case Dismissal Continued Until Jan. 10

JETBLUE AIRWAYS: Amends Employment Deal of David Barger
JOSEPH-BETH BOOKSELLERS: Files Schedules of Assets and Liabilities
JOSEPH-BETH BOOKSELLERS: US Trustee Forms 7-Member Creditors Panel
JOSEPH-BETH BOOKSELLERS: Panel Taps Lowenstein Sandler as Counsel
JOURNAL REGISTER: Court Won't Review Claim Disallowance Order

JS WESTON'S: Taps Rodney L. Salvati as General Bankr. Counsel
JUMA TECHNOLOGY: Converge Won't Proceed With Buyout Offer
JUNIPER GROUP: Restates Q3 2010 Report; Posts $5.7MM Loss
KH FUNDING: Gets Court's Interim Nod to Use Cash Collateral
KH FUNDING: Taps Gray & Assoc. as Asset Disposition Consultant

KOOSHAREM CORPORATION: Moody's Cuts Corp. Family Rating to 'Caa2'
LDK SOLAR: $31MM in Notes Participated in $300MM Exchange Bid
LESLIE CONTROLS: District Court to Hear Chapter 11 Plan in January
LIBBEY INC: Glass Unit Launches Exchange Offer for 10% Notes
LOEHMANN'S HOLDINGS: Files 1st Amended Joint Plan

LOEHMANN'S HOLDINGS: S&P Withdraws 'D' Corporate Credit Rating
LOONEY RICKS: Seeks to Exclude Evidence in Infringement Suit
LOOP 76: Exit Plan Wins Approval Over Wells Fargo Plan
LYONDELL CHEMICAL: Says Interplastic Refuses to Pay $2MM
MBIA INSURANCE: S&P Downgrades Counterparty Credit Ratings to 'B'

METROPOLITAN 885: Judge Approves Bankruptcy-Exit Plan
MEDSCI DIAGNOSTICS: Court Expands Contract Validity Ruling
MONEY TREE: Recurring Losses Prompt Going Concern Doubt
MULTI-PLASTICS INC: Seeks Court's Nod to Use Cash Collateral
MY VINTAGE BABY: Senior Secured Lender Forecloses Assets

NETWORK COMMUNICATIONS: S&P Withdraws 'D' Ratings
NEVADA GEOTHERMAL: Posts $18 Million Net Loss in Fiscal 2010
NEWPAGE CORP: Accepts John Sheridan's Resignation From Board
NEXSTAR BROADCASTING: Unit to Redeem 11.375% Notes
NUTRACEA: Has Factoring Agreement with Pacific Western Bank

OLD COLONY: Files Schedules of Assets and Liabilities
OLDE PRAIRIE: Economic Duress Suit Against Lender is Dismissed
OXBOW CARBON: Moody's Assigns 'Ba3' Ratings to $600 Mil. Loan
OXIGENE INC: Stockholders Approves Reverse Stock Split
PALM HARBOR: Brian Cejka Takes Chief Restructuring Officer Role

PEP BOYS: Moody's Upgrades Corporate Family Rating to 'B1'
PERKINS & MARIE: S&P Downgrades Corporate Credit Rating to 'CC'
PETTERS CO: Bankr. Ct. Says Transfer of Trustee's Suit Premature
PETROHUNTER ENERGY: Eide Bailly Raises Going Concern Doubt
PHILLIPS RENTAL: Seeks Court's Nod to Use Cash Collateral

QUEPASA CORP: Raises $12.6 Million in Shares Sale
QUIGLEY CO: U.S. Trustee Wants Bankruptcy Case Dismissed
QWEST COMMS: Approves Accelerated Vesting of Restricted Stock
ROSEMARY LAND: Calif. App. Ct. Junks Appeal on Clarion Hotel Sale
S & Y ENTERPRISES: Taps David Carlebach as Bankr. Counsel

S & Y ENTERPRISES: Files Schedules of Assets and Liabilities
SAGECREST HOLDINGS: Antietem and NCF's Plan Due Jan. 14
SALPARE BAY: Has Until January 10 to File Amended Plan Outline
SBARRO INC: McGrane to Continue as Interim President & CEO
SCOLR PHARMA: DOesn't See Compliance With NYSE; Voluntary Delists

SEDGWICK HOLDINGS: Moody's Affirms 'B2' Corporate Family Rating
SINOBIOMED INC: Sells Wanxin to China Nonferrous for $200,000
SOLAR THIN: Gary Maitland Resigns as Senior VP and General Counsel
SPARTA COMMERCIAL: Posts $444,300 Net Loss in October 31 Quarter
STILLWATER MINING: Inks Palladium Sales Deal With General Motors

SUPERMEDIA INC: Pre-pays JPMorgan Term Loans at 70% of Par
SYS HOSPITALITY: Can Access Cash Collateral Until January 13
TAYLOR BEAN: City of Ocala Accepts Liquidation Plan
TECH DATA: Fitch Affirms Issuer Default Rating at 'BB+'
TELEFLEX INCORPORATED: Moody's Assigns 'Ba3' Corp. Family Rating

TEREX CORP: Moody's Says Note Repayment May Have Pos. Implications
TERRESTAR NETWORKS: Amends DIP Agreement to Extend Milestones
TERRESTAR NETWORKS: Proposes Deloitte as Tax Advisor
TERRESTAR NETWORKS: Sprint Nextel Sues U.S. Bank
THORNBURG MORTGAGE: Luxury Mortgage Taps Cole Schotz as Counsel

TRAI THIEN: Posts $13,550 Net Loss in Q3 2010
TRIBUNE CO: Court Approves Sitrick as Communications Consultant
TRIBUNE CO: Panel Files 2 More Suits vs. Paul Hastings, et al.
TRIBUNE CO: Sam Zell Says Claims Against Him "Not Colorable"
TRICO MARINE: Inks Fifth Amendment to Priority Credit Agreement

TUNICA-BILOXI GAMING: Moody's Affirms 'B2' Corporate Family Rating
TWIN CITY HOSPITAL: Court OKs Focus Managing Director as Ombudsman
UNIFI MANUFACTURING: Amends Sales & Services Deal With Dillon Yarn
UNITED CONTINENTAL: Files Investor Update for Q4 & FY 2010
US AIRWAYS: Gets 14,000 Applicants for Flight-Attendant Jobs

US AIRWAYS: Shares Rank Highest in Industry's Debt-Equity Ratio
USG CORP: Amends Credit Agreement With JPMorgan Chase
VAST COMPANIES: Court Converts Involuntary Case to Chapter 7
VITRO SAB: Mexico Judge Accepts Pre-packaged Insolvency Filing
WADE STOUT WILLIAMS: Agrees to Plan Discovery With Creditors

WASHINGTON MUTUAL: ANIC Challenges Lower Court's Injunction Ruling
WASTE2ENERGY: Misses $55,000 Payment on Sr. Convertible Debentures
WEST SHORE: Wants Ch. 11 Case Dismissed After Bank Foreclosure
WESTMORELAND RESOURCES: Renews Revolving Line of Credit With FIB
WHITNEY HOLDING: Fitch Puts BB+ Rating on Evolving Watch

ZURVITA HOLDINGS: Earns $1.8 Million in October 31 Quarter

* Experts Say Pension Costs to Force Munis Into Ch. 9 Bankruptcy
* WSJ Analysis Shows 98 TARP-Recipient Banks in Trouble

* Large Companies With Insolvent Balance Sheets

                            *********

ACCURIDE CORP: Sankaty et al. Gain $132MM in Dealings, WSJ Says
---------------------------------------------------------------
A Wall Street Journal analysis reveals investors' negotiations on
behalf of all Accuride Corp. bondholders parlayed their ownership
of the company's $275 million of old bonds into new Accuride
equity that today is valued at more than $559 million, once the
investors' costs are factored in.

The Journal's Tom McGinty and Mike Spector relate a handful of
investment firms generated gains of $132 million from their
privileged position in the Accuride bankruptcy case, according to
unsealed court documents.  Messrs. McGinty and Spector explain
that by owning a large chunk of Accuride bonds during the
bankruptcy proceedings last year, these traders got a valuable
perk -- a prime spot at the bankruptcy negotiating table where
they structured a new convertible-bond deal that triggered the big
profits this year, according to the documents.

Messrs. McGinty and Spector report that the details of the
transactions were outlined in bankruptcy-court disclosures
unsealed last month.  The Wall Street Journal had filed a legal
motion to make the documents public over the investment firms'
push to keep them secret.

According to Messrs. McGinty and Spector, the trades offer a rare
look at how powerful funds leverage their positions in troubled
companies.  "These investors said they bring more capital in to
help restructure businesses.  In the process, however, traders
have transformed the bankruptcy process into a money-making venue
that some experts have dubbed the 'bankruptcy exchange,'" Messrs.
McGinty and Spector wrote.

According to the Journal's analysis, the gains by five firms that
negotiated the restructuring on behalf of bondholders are:

          Sankaty Advisors LLC               $49.7 million
             a credit affiliate of
             Bain Capital LLC
          Brigade Capital Management LLC     $31.9 million
          Tinicum Inc.                       $31.5 million
          Canyon Capital Advisors LLC        $16.4 million
          BlackRock Financial Management      $2.9 million

The Journal says Tinicum, Brigade, Canyon Capital and Sankaty
declined to comment publicly on the analysis.  BlackRock Financial
Management, a unit of BlackRock Inc., said in a statement it has
invested in Accuride since 2005 and is pleased to "maximize
recovery to our funds' shareholders."

Accuride declined to comment, the Journal adds.

According to the Journal, Accuride's reorganization plan converted
$275 million in old bonds, many of them bought at deep discounts,
to 98 million shares of new Accuride stock.  However, the Journal
says, the biggest gains for the bondholders who negotiated the
restructuring came in a new bond deal.  The Journal recalls
Accuride determined it needed to raise $140 million to exit
bankruptcy.  The plan called for a sale of $140 million in bonds
that would later convert to 60% of Accuride's new equity.  These
convertible notes were offered exclusively to investors holding
Accuride's old bonds the day the company exited bankruptcy.

The Journal notes BlackRock, Brigade, Sankaty and Tinicum promised
to buy any convertible notes other holders of the old bonds
declined to buy. For that "backstop" pledge, they received 25
million new Accuride shares.  Those shares were valued at $38
million Wednesday, taking into account a subsequent 10-to-1
reverse split of Accuride's stock.

According to the Journal, citing the Financial Industry Regulatory
Authority, the first day the new convertible bonds traded on the
secondary market, they changed hands at twice face value amid the
company's improved prospects.  By November, their value had
tripled.

The Journal also relates Accuride offered to convert the bonds to
stock this year at a slight premium over what was owed at the
time.  Each $1,000 of bonds would convert to 238 shares of stock.
Nearly all of the holders of the convertible notes accepted the
offer; the conversion occurred on November 29.  The $140 million
in bonds were converted into 33.3 million shares of Accuride stock
valued at $511 million, based on Wednesday's closing price of
$15.33.

Messrs. McGinty and Spector note the trading activities are
perfectly legal, but have raised questions relating to
transparency and fairness as distressed-debt investors joust with
judges and other creditors.

According to the Journal, Deirdre Martini, a managing director at
Wells Fargo Capital Finance and former U.S. Trustee, said "the
evolution of distressed investing has made a mockery of the
underpinnings of our bankruptcy process, which is total
transparency."  She said, "The bankruptcy code's focus was never
intended to garner profits for distressed investors."

                      About Accuride Corp.

Evansville, Indiana-based Accuride Corporation --
http://www.accuridecorp.com/-- manufactures and supplies
commercial vehicle components in North America.  Accuride's
products include commercial vehicle wheels, wheel-end components
and assemblies, truck body and chassis parts, seating assemblies
and other commercial vehicle components.  Accuride's products are
marketed under its brand names, which include Accuride, Gunite,
Imperial, Bostrom, Fabco, Brillion, and Highway Original.

The Company and its affiliates filed for Chapter 11 protection
(Bankr. D. Del. Lead Case No. 09-13449) on October 8, 2009.  The
Debtors selected Latham & Watkins LLP as bankruptcy counsel, and
Young Conaway Stargatt & Taylor, LLP as co-counsel.  The Garden
City Group Inc. served as claims agent.  The Official Committee of
Unsecured Creditors tapped attorneys at Reed Smith LLP and Irell &
Manella LLP as counsel.

The Debtors disclosed $682,263,000 in total assets and
$847,020,000 in total liabilities as of Aug. 31, 2009.

The Bankruptcy Court confirmed the Debtor's reorganization plan in
February 2010.  Accuride emerged from bankruptcy on February 26,
2010.

                          *     *     *

As reported by the Troubled Company Reporter on August 3, 2010,
Standard & Poor's Ratings Services assigned its 'B' corporate
credit rating and stable outlook to Accuride Corp.  Upon emergence
from Chapter 11, the Company reduced debt by about one-third.  S&P
said the refinancing does not significantly affect total debt but
improves liquidity by extending debt maturities and adding
borrowing availability, as the Company currently has no revolving
credit facility.

The TCR on July 22 reported that Moody's Investors Service
assigned Corporate Family and Probability of Default ratings of B2
to Accuride.  The B2 Corporate Family Rating reflects Accuride's
deleveraged capital structure and the impact of restructuring
actions achieved during and prior to the company's tenor in
bankruptcy protection.


ADINO ENERGY: Peggy Behrens Resigns From Board of Directors
-----------------------------------------------------------
Peggy Behrens on December 15, 2010, resigned as director of Adino
Energy Corporation, effective December 21.  Ms. Behrens'
resignation was not due to any disagreement with the Board or the
Company.

On December 15, 2010, the Board appointed Iftikhar Dean as
director and president of the Company, effective December 21.  Mr.
Dean is president of Sunco Group, LLC, of Houston, Texas, a fuel
trading and terminaling company since 2008. From 1999 to 2008, Mr.
Dean was Chief Executive Officer of Jade Global Trading
Corporation, a fuel trading company.

Mr. Dean was appointed to the Board pursuant to a memorandum of
understanding entered into with the Company whereby Sunco and
Saranac Energy International, Inc., agreed to lend to the Company
the amount of $2,500,000 in a promissory note.  The note
automatically converts to Adino stock at the rate of 50 cents per
share once the closing price of Adino's stock reaches 50 cents.
Under the memorandum of understanding, Sunco and Saranac also
agreed to furnish to Adino a letter of credit in the amount of
$10 million.

Based in Houston, Texas, Adino Energy Corporation (OTC BB: ADNY)
-- http://www.adinoenergycorp.com/-- through its wholly owned
subsidiary Intercontinental Fuels, LLC, specializes in fuel
terminal operations for retail, wholesale, and governmental
suppliers.

The Company's balance sheet as of September 30, 2010, showed
$3.82 million in total assets, $6.18 million in total liabilities,
and a stockholders' deficit of $2.36 million.

M&K CPAs, PLLC, in Houston, Tex., expressed substantial doubt
about Adino Energy Corporation's ability to continue as a going
concern, following the Company's 2009 results.  The independent
auditors noted that the Company has suffered recurring losses from
operations and maintains a working capital deficit.


AEROFLEX INCORPORATED: Moody's Cuts Rating on Senior Loan to 'Ba3'
------------------------------------------------------------------
Moody's Investors Service has lowered the rating on Aeroflex
Incorporated's senior secured first lien revolver due 2013 and
(first-out) senior secured term loan due 2014 to Ba3 from Ba2;
lowered the rating on the (first-loss) senior secured term loan
due 2014 to B3 from B2; and revised the LGD point estimate on the
11.75% senior subordinated unsecured PIK term loan due 2015 (PIK
term loan) in accordance with Moody's LGD Methodology.  All other
Aeroflex ratings remain unchanged and the rating outlook remains
stable.  The rating actions and LGD revision result from
Aeroflex's recent purchase of a portion of the 11.75% senior notes
due 2015 (unrated) and PIK term loan following the company's
November 2010 tender offer announcement.

This is a summary of the rating actions and assessment revisions,
and Aeroflex's current ratings:

Rating Actions:

  -- $50 Million Senior Secured First Lien Revolver due 2013 to
     Ba3 (LGD-2, 25%) from Ba2 (LGD-2, 19%)

  -- $373 Million (originally $400 Million) (First-Out) Senior
     Secured Term Loan due 2014 to Ba3 (LGD-2, 25%) from Ba2
     (LGD-2, 19%)

  -- $116 Million (originally $125 Million) (First-Loss) Senior
     Secured Term Loan due 2014 to B3 (LGD-4, 66%) from B2 (LGD-4,
     53%)

LGD Assessment Revisions:

  -- $14 Million (originally $120 Million) 11.75% Senior
     Subordinated Unsecured PIK Term Loan due 2015, currently
     Caa1, LGD assessment revised to (LGD-6, 96%) from (LGD-6,
     92%)

Current Ratings:

* Corporate Family Rating -- B2
* Probability of Default Rating -- B2
* Speculative Grade Liquidity Rating affirmed -- SGL-2

                        Ratings Rationale

The downgrade of the senior secured debt obligations is due to the
reduced size of the unsecured creditor class (roughly $207 million
outstanding following the debt purchases vs.  $345 million
outstanding previously) relative to the size of the senior secured
creditor class, which remained the same after the debt repayments
(i.e., $373 million first-out term loan and $50 million first lien
revolver).  Essentially, the senior secured creditor class must
now absorb a disproportionately higher amount of losses under
Moody's LGD framework given the reduced amount of junior debt in
the capital structure.

When Moody's upgraded Aeroflex's Corporate Family and debt ratings
in September 2010, Moody's press release noted that "to the extent
an IPO is consummated and proceeds (depending on offering size)
allocated to meaningfully reduce the unsecured debt obligations
maturing 2015, ratings on the secured term loans would possibly
experience a one-notch downgrade.  The downgrade would result from
the reduction of unsecured obligations in the consolidated capital
structure, requiring the senior secured creditor class to absorb a
higher loss under Moody's Loss Given Default Methodology."

In November 2010, Aeroflex went public via an IPO and sold
19.8 million ordinary common shares (includes the overallotment
option exercised by the underwriters) at a price of $13.50/share.
The company used a portion of the net proceeds to reduce the
11.75% senior notes by roughly $32.2 million to $193 million and
to reduce the PIK term loan by approximately $154.4 million to
$14 million.

Aeroflex's B2 CFR continues to reflect the company's moderately
high financial leverage (5.1x adjusted debt to LTM EBITDA pro
forma for debt repayments, adjusted for operating leases and 25%
debt treatment for hybrid securities), thin credit protection
measures, modest scale and limited asset protection from a small
base of tangible assets.  It also captures the company's exposure
to customers in volatile wireless and networking verticals and to
government-policy dependent aerospace / defense electronics end
markets.  The rating takes into account Moody's hybrid security
treatment for the original $372 million of sponsor preferred-like
member interests in which 25% of the equity is treated as debt-
like.

At the same time, the B2 CFR considers Aeroflex's leading market
position as the primary or sole source provider in niche markets,
strong intellectual property portfolio with proprietary
technology, and highly visible and diversified revenue base with
no specific defense platform exposure.  It also incorporates the
company's stable competitive landscape, mission-critical products
with high switching costs resulting in relatively stable and high
gross margins (50%), good operating profitability and positive
free cash flow given its low capex fabless operating model.

The SGL-2 rating reflects Aeroflex's good liquidity from internal
sources, which consists of $65 million of cash balances as of
September 30, 2010 and Moody's expectation for solid FCF levels in
fiscal 2011.  External liquidity is supported by full access to an
undrawn $50 million revolver.  Moody's expect Aeroflex to remain
compliant with its financial covenants over the next year.

The stable rating outlook reflects the company's exposure to the
less cyclical aerospace/defense (government) sector, well-
diversified product portfolio in which Aeroflex is the only (or
principal) supplier and a rich portfolio of new products expected
to ramp and contribute to revenue growth in fiscal 2011.

Aeroflex's ratings could experience upward pressure to the extent
the company is able to: de-lever through expanded EBITDA and/or
debt reduction resulting in total debt to EBITDA (Moody's
adjusted) under 4.5x; and drive top-line revenue growth via
effective R&D investments and product development targeted to
moving up the value chain, and continued progress towards
increasing the dollar content in existing programs and broadening
applications for existing technologies into new end markets.

Ratings could migrate lower if: Aeroflex experienced an erosion in
its competitive position or product functionality due to under-
investment in R&D, as evidenced by below market revenue growth,
diminished pricing power or significant customer losses; the
company suffers a sustained contraction in gross and operating
margins, increases financial leverage above 7.0x or materially
increases capital expenditures leading to negative FCF generation
on a sustained basis; the company's liquidity position were to
weaken; or there was a material change in the business profile.

Moody's subscribers can find additional information in the
Aeroflex Credit Opinion published on www.moodys.com.

The last rating action was on September 30, 2010, when Moody's
upgraded Aeroflex's CFR to B2 from B3, upgraded the term loans and
revolver by one notch and changed the outlook to stable from
positive.

Aeroflex, headquartered in Plainview, NY, is a fabless specialty
provider of microelectronics and test and measurement products to
the aerospace, defense, wireless, broadband and medical markets.
For the twelve months ended September 30, 2010 revenues were
$681 million.


AIG BAKER: Gets Interim Nod to Use Cash Collateral Until Jan. 5
---------------------------------------------------------------
AIG Baker Tallahassee, L.L.C., and AIG Baker Tallahassee
Communities, L.L.C., sought and obtained interim authorization
from the U.S. Bankruptcy Court for the Northern District of
Alabama to use cash collateral securing obligations to their
lenders until 5:00 p.m. (Birmingham time) on January 5, 2011.

The Debtors are indebted to Wells Fargo Bank, N.A., successor-by-
merger to Wachovia Bank, National Association, pursuant to two
separate mortgage loans dated February 21, 2007 and March 1, 2008
respectively.  As of the Petition Date, AIG Baker Tallahassee
Communities was indebted $41,227,772.95 to the Lender.  As of the
Petition Date, AIG Baker Tallahassee, L.L.C., owed $44,119,480.89
to the Lender.

Lee R. Benton, Esq., at Benton & Centeno, LLP, explained that the
Debtors need the money to fund their Chapter 11 case, pay
suppliers and other parties.  The Debtors will use the collateral
pursuant to a budget, a copy of which is available for free at:

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

In exchange for using the cash collateral, the Debtors will grant
the Lender a valid, perfected, enforceable, and non-avoidable
first priority security interest in and lien and mortgage upon all
of the Debtors' assets and property.  As further protection for
the Lender's interests, the Debtors will pay the Lender (a) by the
10h day of each month, all rents and other amounts remaining after
payment of the expenses set forth in the Budget for the previous
month; and (b) all proceeds of the sale, lease, disposition, or
other realization of the collateral outside the ordinary course of
business.

The Debtors will establish one or more accounts at an institution
directed by the Lender into which it will deposit all of its
current and future cash collateral.  The Debtors will cooperate
with the Lender immediately to effectuate with third parties the
payment of all future rents and other amounts due by the third
parties to the Debtor directly into the accounts.  The Debtors
will provide the Lender a general ledger of cash on deposit with
any institution as of or after the Petition Date, including, as to
any deposit, the identity of the institution at which any deposit
is maintained and the amount of the deposit.

The Lender, represented by Hand Arendall LLC, had objected the
Debtors' request to use cash collateral, saying the Debtors'
proposed adequate protection failed to protect its interest in the
collateral.  The Lender described the proposed adequate protection
as "entirely illusory".  The Lender requested that the Debtors
establish an account with the Lender and that all rents and other
sources of revenue for the Debtors be placed in the cash
collateral account.  The Lender said that after placing the rents
and any other sources of revenue into the cash collateral account,
the Debtors could then transfer funds from the cash collateral
account to the accounts controlled by non-debtor affiliate, AIG
Baker Management, L.L.C., as necessary for the management to
satisfy any of the Debtors' necessary expenses.

The Court has set a final hearing for January 5, 2011, at
2:00 p.m. on the Debtors' request to use cash collateral.

Birmingham, Alabama-based AIG Baker Tallahassee, LLC, filed for
Chapter 11 bankruptcy protection on December 14, 2010 (Bankr. N.D.
Ala. Case No. 10-07353).  Lee R. Benton, Esq., at Benton &
Centeno, LLP, serves as the Debtor's bankruptcy counsel.  The
Debtor estimated its assets and debts at $50 million to
$100 million.

Affiliate AIG Baker Tallahassee Communities, LLC, filed a separate
Chapter 11 petition (Bankr. N.D. Ala. Case No. 10-07354).  It
estimated its assets and debts at $50 million to $100 million.


AMBRILIA BIOPHARMA: Recovery for Creditors, Stakeholders Uncertain
------------------------------------------------------------------
Ambrilia Biopharma Inc. provided on December 22, 2010, its bi-
weekly Default Status Report under National Policy 12-203 - Cease
Trade Orders for Continuous Disclosure Defaults.  According to
Ambrilia, any recovery for creditors and other stakeholders,
including shareholders, is uncertain and is highly dependent upon
a number of factors, including the outcome of Ambrilia proceedings
under the CCAA.

Ambrilia said that there has been no additional material
information concerning the Company and its affairs since its last
bi-weekly Default Status Report dated December 8, 2010, that has
not been disclosed.  Ambrilia intends to file, if required, its
next Default Status Report by January 5, 2011.

On November 10, 2010, Ambrilia announced that the filing of its
interim financial statements, management's discussion and analysis
and related CEO and CFO certifications for the third quarter ended
on September 30, 2010, would be delayed beyond the filing deadline
of November 12, 2010.

On August 4, 2010, Ambrilia said the filing of its interim
financial statements, management's discussion and analysis and
related CEO and CFO certifications for the second quarter ended on
June 30, 2010, would be delayed beyond the filing deadline
thereof.

On May 12, 2010, Ambrilia said the filing of its interim financial
statements, management's discussion and analysis and related CEO
and CFO certifications for the first quarter ended on March 31,
2010, was being delayed beyond the filing deadline thereof.

On April 1, 2010, Ambrilia said the filing of its 2009 audited
financial statements, annual management's discussion and analysis,
related CEO and CFO certifications and its annual information
form, was being delayed beyond the filing deadline thereof.

On November 16, 2009, Ambrilia said the filing of its interim
financial statements, management's discussion and analysis and
related CEO and CFO certifications for the third quarter ended on
September 30, 2009, was being delayed beyond the filing deadline
thereof.

On August 11, 2009, Ambrilia announced that the filing of its
interim financial statements, management's discussion and analysis
and related CEO and CFO certifications for the second quarter
ended on June 30, 2009, was being delayed beyond the filing
deadline thereof.

Ambrilia reports that since its most recent default announcement
on November 10, 2010, there have not been any material changes to
the information contained, or any failure by Ambrilia to fulfill
its intentions with respect to satisfying the provisions of the
alternative information guidelines, and there have been no
additional defaults subsequent to such announcement.

                     About Ambrilia Biopharma

Ambrilia Biopharma Inc. is a biotechnology company focused on the
discovery and development of novel treatments for viral diseases
and cancer.  The Company's strategy aims to capitalize on its
broad portfolio and original expertise in virology.  Ambrilia's
product portfolio is comprised of oncology and antiviral assets,
including two new formulations of existing peptides for cancer
treatment, a targeted delivery technology for cancer, an HIV
protease inhibitor program as well as HIV integrase and entry
inhibitors, Hepatitis C virus inhibitors and anti-Influenza A
compounds. Ambrilia's head office is located in Montreal.

The Company is currently subject to court protection under the
CCAA.


AMERICAN INT'L: Secures $4.3 Billion in Credit Facilities
---------------------------------------------------------
American International Group, Inc., said Monday it had entered
into 364-Day and 3-Year Bank Credit Facilities totaling $3 billion
split evenly between the two.

AIG also said its affiliate, Chartis Inc., has entered into a
1-Year $1.3 billion Letter of Credit Facility.

Thirty-Six banks participated in the facilities.  The facilities
will be available upon the closing of the previously announced
recapitalization plan with the United States Department of the
Treasury, the Federal Reserve Bank of New York and the AIG Credit
Facility Trust.

The signing of the AIG and Chartis facilities follows AIG's
successful return to the debt market earlier this month, at which
time AIG raised $2 billion selling senior unsecured notes and also
established a $500 million contingent liquidity facility after
more than a two-year absence from these markets.

"This success is another important vote of confidence by the
market in AIG," said AIG Chief Executive Officer Robert Benmosche.
"These credit facilities, combined with the debt offering and
contingent liquidity facility, demonstrate that AIG has momentum
and has made substantial and impressive progress this year.

"As we approach year's end, we believe we are close enough to
completing our recapitalization plan that we can see the finish
line," Mr. Benmosche said.

In addition, over the last six months AIG achieved the following
milestones:

    * Sold an aggregate of $2.0 billion in debt, including
      $500 million in three-year notes and $1.5 billion in 10-year
      notes on December 2.

    * Established a $500 million contingent liquidity facility on
      December 15.

    * Raised $37 billion through the ALICO sale and AIA initial
      public offering earlier this fall.

    * Entered an agreement to sell its AIG Star and AIG Edison
      life insurance companies for $4.3 billion on September 30.

    * On September 30, announced AIG's recapitalization plan to
      repay the Federal Reserve Bank of New York in full,
      facilitate the government's ultimate exit from AIG, and
      repay the American taxpayer.

Members of the lending syndicate under the $1.5 Billion Three-Year
Credit Agreement and their loan commitments are:

    Lender                                 Commitment
    ------                                 ----------
JPMORGAN CHASE BANK, N.A.                 $66,000,000
BANK OF AMERICA, N.A.                     $66,000,000
CITIBANK, N.A.                            $66,000,000
BARCLAYS BANK PLC                         $66,000,000
CREDIT SUISSE AG, CAYMAN ISLANDS BRANCH   $66,000,000
DEUTSCHE BANK AG NEW YORK BRANCH          $66,000,000
GOLDMAN SACHS BANK USA                    $66,000,000
MORGAN STANLEY SENIOR FUNDING, INC.       $66,000,000
NOMURA INTERNATIONAL PLC                  $66,000,000
THE ROYAL BANK OF SCOTLAND PLC            $66,000,000
UBS LOAN FINANCE LLC                      $66,000,000
WELLS FARGO BANK, N.A.                    $66,000,000
INDUSTRIAL AND COMMERCIAL
   BANK OF CHINA LIMITED,
   NEW YORK BRANCH                        $48,000,000
BNP PARIBAS                               $40,000,000
ROYAL BANK OF CANADA                      $40,000,000
STANDARD CHARTERED BANK                   $40,000,000
SUMITOMO MITSUI BANKING CORPORATION       $40,000,000
THE BANK OF NEW YORK MELLON               $40,000,000
THE BANK OF NOVA SCOTIA                   $40,000,000
U.S. BANK N.A.                            $40,000,000
DBS BANK LTD., LOS ANGELES AGENCY         $35,000,000
AUSTRALIA AND NEW ZEALAND
   BANKING GROUP LIMITED                  $30,000,000
CREDIT AGRICOLE CORPORATE
   & INVESTMENT BANK                      $30,000,000
ING BANK N.V.                             $30,000,000
MIZUHO CORPORATE BANK, LTD.               $30,000,000
NATIONAL AUSTRALIA BANK LIMITED           $30,000,000
PNC BANK, NATIONAL ASSOCIATION            $30,000,000
SOCIETE GENERALE                          $30,000,000
STATE STREET BANK AND TRUST COMPANY       $30,000,000
UNICREDIT BANK AG, NEW YORK BRANCH        $30,000,000
MIHI LLC                                  $25,000,000
NATIXIS, NEW YORK BRANCH                  $25,000,000
THE GOVERNOR & COMPANY OF
   THE BANK OF IRELAND                    $25,000,000
                                       --------------
        TOTAL                          $1,500,000,000

A full-text copy of the Three-Year Credit Agreement, dated as of
December 23, 2010, among AIG, the subsidiary borrowers, the
lenders and JPMorgan Chase Bank, N.A., as Administrative Agent, is
available at no charge at http://is.gd/jBvEN

Members of the lending consortium under the $1.5 Billion 364-Day
Credit Agreement and their loan commitments are:

    Lender                                 Commitment
    ------                                 ----------
JPMORGAN CHASE BANK, N.A.                 $66,000,000
BANK OF AMERICA, N.A.                     $66,000,000
CITIBANK, N.A.                            $66,000,000
BARCLAYS BANK PLC                         $66,000,000
CREDIT SUISSE AG, CAYMAN ISLANDS BRANCH   $66,000,000
DEUTSCHE BANK AG NEW YORK BRANCH          $66,000,000
GOLDMAN SACHS BANK USA                    $66,000,000
MORGAN STANLEY SENIOR FUNDING, INC.       $66,000,000
NOMURA INTERNATIONAL PLC                  $66,000,000
THE ROYAL BANK OF SCOTLAND PLC            $66,000,000
UBS LOAN FINANCE LLC                      $66,000,000
WELLS FARGO BANK, N.A.                    $66,000,000
INDUSTRIAL AND COMMERCIAL
   BANK OF CHINA LIMITED,
   NEW YORK BRANCH                        $48,000,000
BNP PARIBAS                               $40,000,000
ROYAL BANK OF CANADA                      $40,000,000
STANDARD CHARTERED BANK                   $40,000,000
SUMITOMO MITSUI BANKING CORPORATION       $40,000,000
THE BANK OF NEW YORK MELLON               $40,000,000
THE BANK OF NOVA SCOTIA                   $40,000,000
U.S. BANK N.A.                            $40,000,000
DBS BANK LTD., LOS ANGELES AGENCY         $35,000,000
AUSTRALIA AND NEW ZEALAND
   BANKING GROUP LIMITED                  $30,000,000
CREDIT AGRICOLE CORPORATE
   & INVESTMENT BANK                      $30,000,000
ING BANK N.V.                             $30,000,000
MIZUHO CORPORATE BANK, LTD.               $30,000,000
NATIONAL AUSTRALIA BANK LIMITED           $30,000,000
PNC BANK, NATIONAL ASSOCIATION            $30,000,000
SOCIETE GENERALE                          $30,000,000
STATE STREET BANK AND TRUST COMPANY       $30,000,000
UNICREDIT BANK AG, NEW YORK BRANCH        $30,000,000
MIHI LLC                                  $25,000,000
NATIXIS, NEW YORK BRANCH                  $25,000,000
THE GOVERNOR & COMPANY
     OF THE BANK OF IRELAND               $25,000,000
                                       --------------
        TOTAL                          $1,500,000,000

A full-text copy of the 364-Day Credit Agreement, dated as of
December 23, 2010, among AIG, the subsidiary borrowers, the
lenders and JPMorgan Chase Bank, N.A., as Administrative Agent, is
available at no charge at http://is.gd/jBwCe

Members of the lending syndicate under the $1.3 Billion Letter of
Credit Agreement and their loan commitments are:

    Lender                                 Commitment
    ------                                 ----------
JPMORGAN CHASE BANK, N.A.                  $50,000,000
BANK OF AMERICA, N.A.                      $50,000,000
CITIBANK, N.A.                             $50,000,000
DEUTSCHE BANK AG NEW YORK BRANCH           $47,500,000
STANDARD CHARTERED BANK                    $47,500,000
BARCLAYS BANK PLC                          $45,000,000
BNP PARIBAS                                $45,000,000
CREDIT SUISSE AG, NEW YORK BRANCH          $45,000,000
GOLDMAN SACHS BANK USA                     $45,000,000
LLOYDS TSB BANK PLC                        $45,000,000
MORGAN STANLEY BANK, N.A.                  $45,000,000
PNC BANK, NATIONAL ASSOCIATION             $45,000,000
ROYAL BANK OF CANADA                       $45,000,000
THE ROYAL BANK OF SCOTLAND PLC             $45,000,000
UBS AG, STAMFORD BRANCH                    $45,000,000
WELLS FARGO BANK, N.A.                     $45,000,000
AUSTRALIA AND NEW ZEALAND
   BANKING GROUP LIMITED                   $40,000,000
CREDIT AGRICOLE CORPORATE
   & INVESTMENT BANK                       $40,000,000
ING BANK N.V.                              $40,000,000
MIZUHO CORPORATE BANK, LTD.                $40,000,000
NATIONAL AUSTRALIA BANK LIMITED            $40,000,000
SOCIETE GENERALE                           $40,000,000
STATE STREET BANK AND TRUST COMPANY        $40,000,000
SUMITOMO MITSUI BANKING CORPORATION        $40,000,000
THE BANK OF NOVA SCOTIA                    $40,000,000
THE BANK OF NEW YORK MELLON                $40,000,000
UNICREDIT BANK AG, NEW YORK BRANCH         $40,000,000
U.S. BANK N.A.                             $40,000,000
MANUFACTURERS & TRADERS TRUST COMPANY      $30,000,000
NATIXIS, NEW YORK BRANCH                   $30,000,000
SKANDINAVISKA ENSKILDA BANKEN AB (PUBL.)   $20,000,000
                                        --------------
        TOTAL                           $1,300,000,000

A full-text copy of the Letter of Credit and Reimbursement
Agreement, dated as of December 23, 2010 among Chartis, the
lenders, JPMorgan Chase Bank, N.A., as Administrative Agent, and
each Several L/C Agent Party thereto, is available at no charge
at http://is.gd/jBy2R

                             About AIG

American International Group, Inc. -- http://www.aig.com/-- is an
international insurance organization with operations in more than
130 countries and jurisdictions.  AIG companies serve commercial,
institutional and individual customers through one of the most
extensive worldwide property-casualty networks of any insurer. In
addition, AIG companies are leading providers of life insurance
and retirement services around the world.  AIG 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.  AIG almost
collapsed under the weight of bad bets it made insuring mortgage-
backed securities.  The Company, however, was bailed out by the
Federal Reserve, but even after an initial infusion of
$85 billion, losses continued to grow.  The later rescue packages
brought the total to $182 billion, making it the biggest federal
bailout in U.S. history.

AIG has been working to protect and enhance the value of its key
businesses, execute an orderly asset disposition plan, and
position itself for the future.  AIG has sold a number of its
subsidiaries and other assets to pay down loans received from the
U.S. government, and continues to seek buyers of its assets.


AMERICAN MEDIA: Stay Lifted to Allow Anderson Appeal to Proceed
---------------------------------------------------------------
American Media Inc. and its units, on the one hand, and Anderson
News, LLC, and Anderson Services, LLC, on the other hand, entered
into a stipulation to lift the automatic stay for the limited
purpose of allowing the Anderson Action to proceed through
completion of an appeal pending in the U.S. Court of Appeals for
the Second Circuit.  The Court has approved the Stipulation.

Anderson filed a lawsuit on March 10, 2009, against the Debtors
and various other magazine publishers, wholesalers and
distributors in the U.S. District Court for the Southern District
of New York, whereby Anderson alleged, among other things, that
the Defendants violated Section 1 of the Sherman Act by engaging
in a purported industry-wide conspiracy to boycott Anderson and
forced it out of business and also asserted claims for defamation,
tortious interference with contract, and civil conspiracy.

The District Court dismissed the Anderson Action in its entirety
with prejudice and without leave to replead and, on October 25,
2010, denied Anderson's motion for reconsideration of the
dismissal decision.

Anderson filed an appeal before the United States Court of Appeals
for the Second Circuit on November 2010.

                        About American Media

Based in New York, American Media, Inc., publishes celebrity
journalism and health and fitness magazines in the U.S.  These
include Star, Shape, Men's Fitness, Fit Pregnancy, Natural Health,
and The National Enquirer.  In addition to print properties, AMI
manages 14 different Web sites.  The company also owns
Distribution Services, Inc., the country's #1 in-store magazine
merchandising company.

American Media, Inc., and 15 units, including American Media
Operations, Inc., filed for Chapter 11 protection in Manhattan
(Bankr. S.D.N.Y. Case No. 10-16140) on November 17, 2010.  Judge
Martin Glenn presides over the case.  Ira S. Dizengoff, Esq., Arik
Preis, Esq., Meredith A. Lahaie, Esq., Stefanie L. Kurlanzik,
Esq., and Kevin M. Eide, Esq., at Akin, Gump, Strauss, Hauer &
Feld, LLP, in New York, serve as the Debtors' bankruptcy counsel.
Moelis & Company is the Debtors' financial advisors and investment
bankers.  Kurtzman Carson Consultants LLC is the claims and notice
agent.

AMI estimated assets of $0 to $50,000 and debts of $500 million to
$1 billion in its Chapter 11 petition.  AMO, AMI's operating unit,
estimated assets of $100 million to $500 million and debts of
$500 million to $1 billion in its Chapter 11 petition.

American Media filed, together with the petition, a pre-packaged
Chapter 11 plan where holders of notes and bank debt would receive
either cash, new notes or stock.  Judge Glenn confirmed the
Debtors' Amended Joint Prepackaged Plan of Reorganization on
December 20, 2010, clearing the way for the Debtors to emerge from
Chapter 11 reorganization by the end of 2010.

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


AMERICAN MEDIA: Wins Final Nod for Akin Gump as Attorneys
---------------------------------------------------------
American Media Inc. and its units received the Bankruptcy Court's
authority to employ Akin Gump Strauss Hauer & Feld LLP as their
attorneys nunc pro tunc to the Petition Date.  The Debtors have
selected Akin Gump because of the firm's knowledge of their
businesses and financial affairs and recognized expertise with
business reorganizations under Chapter 11 of the Bankruptcy Code.

The Debtors will pay Akin Gump pursuant to the firm's standard
hourly rates:

    Partners                      $525-$1,150
    Counsel                         $475-$835
    Associates                      $325-$600
    Paraprofessionals               $125-$290

The current hourly rates for the Akin Gump attorneys with primary
responsibility for the case are:

Ira S. Dizengoff, Esq.      Partner - Financial
                             Restructuring            $950

Arik Preis, Esq.            Counsel - Financial
                             Restructuring            $675

Meredith Lahaie, Esq.       Associate - Financial
                             Restructuring            $525

The Debtors will also reimburse Akin Gump for its customarily
expenses incurred in connection with the representation including,
but not limited to, photocopying services, printing, delivery
charges, filing fees, postage, and computer research time.

Ira S. Dizengoff, Esq., at Akin Gump Strauss Hauer & Feld LLP, in
New York, assures the Court that his firm is a "disinterested
person" as that term is defined in Section 101(14) of the
Bankruptcy Code.

                        About American Media

Based in New York, American Media, Inc., publishes celebrity
journalism and health and fitness magazines in the U.S.  These
include Star, Shape, Men's Fitness, Fit Pregnancy, Natural Health,
and The National Enquirer.  In addition to print properties, AMI
manages 14 different Web sites.  The company also owns
Distribution Services, Inc., the country's #1 in-store magazine
merchandising company.

American Media, Inc., and 15 units, including American Media
Operations, Inc., filed for Chapter 11 protection in Manhattan
(Bankr. S.D.N.Y. Case No. 10-16140) on November 17, 2010.  Judge
Martin Glenn presides over the case.  Ira S. Dizengoff, Esq., Arik
Preis, Esq., Meredith A. Lahaie, Esq., Stefanie L. Kurlanzik,
Esq., and Kevin M. Eide, Esq., at Akin, Gump, Strauss, Hauer &
Feld, LLP, in New York, serve as the Debtors' bankruptcy counsel.
Moelis & Company is the Debtors' financial advisors and investment
bankers.  Kurtzman Carson Consultants LLC is the claims and notice
agent.

AMI estimated assets of $0 to $50,000 and debts of $500 million to
$1 billion in its Chapter 11 petition.  AMO, AMI's operating unit,
estimated assets of $100 million to $500 million and debts of
$500 million to $1 billion in its Chapter 11 petition.

American Media filed, together with the petition, a pre-packaged
Chapter 11 plan where holders of notes and bank debt would receive
either cash, new notes or stock.  Judge Glenn confirmed the
Debtors' Amended Joint Prepackaged Plan of Reorganization on
December 20, 2010, clearing the way for the Debtors to emerge from
Chapter 11 reorganization by the end of 2010.

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


ANGIOTECH PHARMA: Grace Period Extended to 120 Days
---------------------------------------------------
Angiotech Pharmaceuticals Inc. and U.S. Bank National Association,
as successor trustee under the Company's subordinated note
indenture, dated as of March 23, 2006, at the direction of a
majority of the holders of the Company's 7.75% Senior Subordinated
Notes due 2014, have executed a supplement to the Subordinated
Note Indenture.

The Supplemental Indenture extends the grace period applicable to
interest payments due on the Subordinated Notes from 90 days to
120 days before an event of default occurs.  The Subordinated Note
Indenture was previously amended on October 29, 2010, and
November 29, 2010, to extend this grace period to 60 days and 90
days, respectively.

                          About Angiotech

Based in Vancouver, British Columbia, in Canada, Angiotech
Pharmaceuticals, Inc. (NASDAQ: ANPI; TSX: ANP) --
http://www.angiotech.com/-- is a global specialty pharmaceutical
and medical device company.  Angiotech discovers, develops and
markets innovative treatment solutions for diseases or
complications associated with medical device implants, surgical
interventions and acute injury.

The Company's balance sheet at Sept. 30, 2010, showed $
326.80 million in total assets, $60.30 million in total
liabilities, and a stockholder's deficit of $622.16 million.

In early December 2010, Angiotech said it has reached an agreement
with the holders of 76% of its 7.75% Senior Subordinated Notes to
extend certain deadlines outlined in their Recapitalization
Support Agreement dated October 29, 2010.  Seventy-three percent
of the holders of the Subordinated Notes executed the Initial
Support Agreement and presently, 85% of the holders of the
Subordinated Notes have consented to the Initial Support
Agreement. On November 29, 2010, Angiotech and the Trustee, at the
direction of a majority of the holders of its Subordinated Notes,
extended the grace period applicable to interest payments due on
the Subordinated Notes before an event of default occurs, with
such grace period applicable to the $9.7 million semi-annual
interest payment that was due on the Subordinated Notes on
October 1, 2010 extended until December 30, 2010.

In November 2010, Moody's Investors Service downgraded the
probability of default rating of Angiotech to Ca/LD from Ca and
affirmed the Corporate Family Rating at Ca.  The company's other
existing debt ratings were affirmed.  The outlook is developing.

The assignment of the Ca/LD is the conclusion of the 30-day grace
period in which the company missed the original interest payment
of $9.7 million on its 7.75%, $250 million senior subordinated
notes due Oct. 1, 2010.  Moody's treats the failure to meet the
original contractual terms as a limited default.


ANPATH GROUP: Emerges From Chapter 11 Bankruptcy Protection
-----------------------------------------------------------
Anpath Group, Inc., emerged from its Chapter 11 restructuring on
December 23, 2010.

In May, Anpath Group filed a voluntary petition under Chapter 11
of the U.S. Bankruptcy Code in the District of Delaware.  The
company secured debtor-in-possession financing from several
lenders, including the Company's existing senior secured note
holder, to continue ongoing operations during the reorganization
process.  Commercialization of its broad range of commercial and
industrial infection prevention technologies had taken the Company
much longer than anticipated.

The company's plan of reorganization was confirmed on November 22,
2010 by the Hon. Kevin J. Carey.

"Anpath emerges from bankruptcy with good liquidity, no long-term
debt and lower overhead costs", stated J. Lloyd Breedlove,
President and CEO.  "Moreover, we now have more time to execute
our plans to exploit our technology and resultant infection
prevention products designed to prevent the spread of infectious
microorganisms that produce harmful effects on people, equipment
and the environment.  We believe our action, which has been made
possible by the support of our senior lenders, will, in the long
run, provide the best chance for all parties vested with an
interest in the Company to realize the Company's potential".

                       About Anpath Group

Based in Mooresville, N.C., Anpath Group, Inc. (OTC BB: ANPG)
-- http://www.anpathgroup.com/-- through its wholly-owned
subsidiary EnviroSystems, Inc., produces disinfecting, sanitizing
and cleaning products designed to help prevent the spread of
infectious microorganisms, while minimizing the harmful effects to
people, application surfaces and the environment.

The Company filed for Chapter 11 bankruptcy protection on May 20,
2010 (Bankr. D. Del. Case No. 10-11652), pursuant to which it
proposed a plan of reorganization.  Mark E. Felger, Esq., at
Cozen O'Connor, assists the Company in its restructuring effort.
The Company disclosed $1,548,646 in assets and $3,536,825 in
Liabilities in its schedules.

The Plan proposed a restructuring of the debt and other claims
against the Company vis-a-vis the interests of its current
shareholders.  Before it was filed, the Company sought the support
of its principal creditors for the Plan that was being proposed.
In connection with this initiative, a super-majority of the Senior
Secured Class of creditors, including Anpath Lending, and a super-
majority of the investors holding more than 50% of the Convertible
Notes all signed the Plan Support Agreement.


ANPATH GROUP: Unveils Members of Reorganized Company's Board
------------------------------------------------------------
Anpath Group, Inc., unveiled on December 23, 2010, that J. Lloyd
Breedlove will serve as President and CEO of the Company.  Anpath
also announced the members of its new board of directors:

     -- Ira N. Kalfus, M.D.

Dr. Kalfus was formerly VP of Medical Affairs at Lev
Pharmaceuticals, where he led the clinical development for
Cinryze, which was approved by FDA in 2008. Upon the acquisition
of Lev by ViroPharma Inc. in 2008, he has advised ViroPharma on
product launch, expansion and investor relations.  He is also a
principal at M2G Consulting and is particularly interested in
early to late stage pharmaceutical and biotech opportunities.
Clients include hedge funds, advisory firms and industry.  He is
Chief Medical Officer of Thar Pharmaceuticals, a Pittsburgh based
pharmaceutical start-up.  His other positions have included
Hillside Medical Associates (practicing internist for
approximately 15 years)Aetna/US Healthcare (Medical Director), and
Long Island Jewish Medical Center (President of the Staff Society
and Chairman of Performance Improvement).  Dr. Kalfus completed
residency in Internal Medicine at Long Island Jewish Medical
Center and graduated from Albert Einstein College of Medicine
(M.D.) and Columbia University (B.A. in Biology).

     -- Philip Mandelbaum

Since September, 1998, Philip Mandelbaum has served as Treasurer
and Chief Financial Officer of The Remus Group, a consortium of
privately held investment companies.  Mr. Mandelbaum is a graduate
of the Rutgers Graduate School of Business Administration with a
Masters Degree in Business Administration from the Professional
Accounting Program. Mr. Mandelbaum is Certified Public Accountant
and has practiced in the public accounting arena for over 30
years.

     -- Steven G. Singer

Since November, 2000, Steven Singer has served as the Chairman and
Chief Executive of American Banknote Corporation, a global leader
in security documents (including passports, national ID cards,
credit cards and checks) since 1795.  Mr. Singer is a graduate
summa cum laude of the University of Pennsylvania and the Harvard
Law School.  During the past 10 years, he has served as the
Chairman of the Board of Globix Corporation, Motient Corporation,
ABnote Limitada do Brasil, Pure 1 Systems, and Leigh Mardon PTY,
and as Members of the Board of TV Max Holdings LLC, Galaxy Cable
LLC, Neon Corporation, Technicon Instruments Corp.

     -- Carl M. Sutera

From the mid 70's thru the late 80's Carl Sutera was President and
CEO of Lewis Chemical Corp. a hazardous waste recycling facility
located in Boston, MA. Mr. Sutera developed several proprietary
processing methods to extract chemical solvents from various waste
streams yielding re-usable solvents and innocuous land fill
materials. Since 1988 Mr. Sutera has been President and CEO of
Pure1 Systems, a Point-of-Use water filter manufacturer, he holds
several US patents on filtering and dispensing equipment for that
industry. Since 2006 Mr. Sutera has been a technical consultant to
ABnote, a global leader in the security documents industry. Mr.
Sutera is a graduate of Wentworth Institute's ASE School of
Aerospace Engineering and Northeastern University's College of
Engineering and holds a bachelors degree in Mechanical Engineering
from that institution.

                       About Anpath Group

Based in Mooresville, N.C., Anpath Group, Inc. (OTC BB: ANPG)
-- http://www.anpathgroup.com/-- through its wholly-owned
subsidiary EnviroSystems, Inc., produces disinfecting, sanitizing
and cleaning products designed to help prevent the spread of
infectious microorganisms, while minimizing the harmful effects to
people, application surfaces and the environment.

The Company filed for Chapter 11 bankruptcy protection on May 20,
2010 (Bankr. D. Del. Case No. 10-11652), pursuant to which it
proposed a plan of reorganization.  Mark E. Felger, Esq., at
Cozen O'Connor, assists the Company in its restructuring effort.
The Company disclosed $1,548,646 in assets and $3,536,825 in
Liabilities in its schedules.

The Plan proposed a restructuring of the debt and other claims
against the Company vis-a-vis the interests of its current
shareholders.  Before it was filed, the Company sought the support
of its principal creditors for the Plan that was being proposed.
In connection with this initiative, a super-majority of the Senior
Secured Class of creditors, including Anpath Lending, and a super-
majority of the investors holding more than 50% of the Convertible
Notes all signed the Plan Support Agreement.


ARROWHEAD GENERAL: Moody's Affirms 'B3' Corporate Family Rating
---------------------------------------------------------------
Moody's Investors Service has affirmed the ratings of Arrowhead
General Insurance Agency, Inc. (corporate family rating of B3),
reflecting the company's expertise in distributing specialty
property and casualty insurance products, its strong carrier
relationships and its consistent operating margins.  These
strengths are tempered by the company's significant debt burden
and restrictive financial covenants as well as its modest size
relative to the largest national brokers.  The rating outlook
remains stable.

"Arrowhead has returned to organic growth in revenues and EBITDA
during 2010 following various restructuring actions taken in
2009," said Bruce Ballentine, Moody's lead analyst for Arrowhead.
"The favorable trend in EBITDA should help the company to
renegotiate or refinance its maturing credit facilities."

As of September 30, 2010, Arrowhead's financing arrangement
consisted of a $10 million first-lien revolver maturing in August
2011 (undrawn, rated B3), a $110 million first-lien term loan due
in September 2012 (rated B3) and a $41 million second-lien term
loan due in February 2013 (rated Caa1).  Moody's expects the
company to complete a refinancing during the first half of 2011.

Arrowhead benefits from its established position as a general
agent and program specialist along with its healthy profit
margins, said Moody's.  The rating agency noted that Arrowhead's
business is somewhat concentrated among its largest insurance
carriers, leaving the company exposed to potential financial
problems of a leading carrier or to a carrier's withdrawal from a
target line of business.  Arrowhead mitigates this risk by having
alternative carriers involved in some of its major programs.
Arrowhead is also exposed to errors and omissions -- a risk
inherent in professional services.

Moody's cited these factors that could lead to an upgrade of
Arrowhead's ratings: (i) adjusted (EBITDA - capex) coverage of
interest exceeding 2.5x, (ii) adjusted free-cash-flow-to-debt
ratio exceeding 5%, and (iii) adjusted debt-to-EBITDA ratio below
5x.

Moody's cited these factors that could lead to a downgrade of the
company's ratings: (i) failure to refinance the credit facilities
comfortably ahead of their maturities, (ii) adjusted (EBITDA -
capex) coverage of interest below 1.5x, (iii) adjusted debt-to-
EBITDA ratio above 6.5x, or (iv) loss of a major carrier
relationship or comparable disruption to a key insurance program.

Arrowhead, based in San Diego, California, is a US general agency
and program manager, providing product development, marketing,
underwriting and administrative services to national insurance
carriers.  Arrowhead develops specialized insurance products in
cooperation with major carriers and distributes those products
through a network of retail and wholesale brokers.  Arrowhead
generated total revenues of $74 million and net income of $0.6
million for the first nine months of 2010.  Shareholders' equity
was $51 million as of September 30, 2010.


ASPIRE INTERNATIONAL: Posts $588,600 Net Loss in Q1 2009
--------------------------------------------------------
Aspire International, Inc., formerly Perfisans Holdings, Inc.,
filed with the U.S. Securities and Exchange Commission its
quarterly report on Form 10-Q, reporting a net loss of $588,616 on
$71,169 of sales for the three months ended March 31, 2009,
compared with a net loss of $315,066 on $1,227 of sales for the
same period of 2008.

The Company's balance sheet at March 31, 2009, showed $1,164,681
in total assets, $6,938,447 in total liabilities, and a
stockholders' deficit of $5,773,766.

At March 31, 2009, the Company had an accumulated deficit of
$22,589,118 and negative working capital of $6,393,660.  For the
three months ended March 31, 2009, net cash used in operating
activities amounted to $53,574, as compared to $11,699 for the
three months ended March 31, 2008.

DNTW Chartered Accountants, LLP, in Markham, Ontario, Canada,
expressed substantial doubt about Aspire International's ability
to continue as a going concern, following the Company's 2008
results.  The independent auditors noted of the Company's
significant cumulative operating losses.

A full-text copy of the Form 10-Q is available for free at:

               http://researcharchives.com/t/s?716a

Aspire International Inc. was incorporated in October 14, 1997, in
the state of Maryland.  The Company is currently focused on
developing the Manganese mining located in GuangXi, China through
its wholly owned foreign entity Aspire GuangXi Inc.  The Company
is also conducting further studies on its iron mining site in
Cambodia.  The Company is headquartered in Markham, Ontario, in
Canada.


ASSOCIATED MATERIALS: Names Brad Beard VP of AMI Distribution
-------------------------------------------------------------
Brad Beard on December 20, 2010, was appointed Vice President of
Associated Materials LLC's AMI Distribution unit.  The Company
entered into a new Employment Agreement with Mr. Beard, pursuant
to which he agreed to serve as the Company's Vice President of AMI
Distribution.  Pursuant to the Employment Agreement, Mr. Beard
will receive an annual base salary of $250,000 and will have a
target annual bonus opportunity equal to 60% of his base salary.

                   About Associated Materials

Based in Cuyahoga Falls, Ohio, Associated Materials LLC fka
Associated Materials Inc. -- http://www.associatedmaterials.com/
-- is a manufacturer of exterior residential building products,
which are distributed through company-owned distribution centers
and independent distributors across North America.

Affiliates of Hellman & Friedman LLC completed their purchase
of Associated Materials LLC for $1.3 billion in October 2010.

                          *     *     *

Associated Materials carries a 'B1' long term rating from Moody's
Investors Service.  It has 'B' issuer credit ratings, with
"stable" outlook, from Standard & Poor's Ratings Services.

In October 2010, S&P said the stable rating outlook reflects S&P's
expectation that AMI's earnings and cash flow will continue to
benefit from increased operating efficiencies, as well as stable
demand in the repair and remodeling markets.  Moreover, S&P
projects that adjusted debt to EBITDA should fall to between 5x
and 6x by the end of 2010 and interest coverage to be around 2x,
levels S&P would consider to be consistent with the current
rating.


ATI ACQUISITION: S&P Retains CreditWatch Negative on 'B' Rating
---------------------------------------------------------------
Standard & Poor's Ratings Services said that its 'B' corporate
credit rating on ATI Acquisition Co., as well as all related
issue-level ratings on the company's debt, remains on CreditWatch
with negative implications, where it was placed on Sept. 24, 2010.
Recovery ratings on the company's debt issues remain unchanged.

Arlington, Texas-based ATI had total debt of $273 million
(including earn-out liabilities) as of Sept. 30, 2010.

S&P continues to evaluate the potential impact of proposed
federal government regulation changes, which would negatively
affect ATI's operating performance, debt leverage, and liquidity.
The DoE has indicated that it plans to finalize the new
regulations by early 2011, with implementation beginning July 1,
2012.

Revenues for the nine months ended Sept. 30, 2010, rose 44.1%,
while EBITDA increased 13.8% due to increased bad debt expense as
a result of internal processing delays of federal student
financial aid.  S&P regards the company's recent revenues and
EBITDA increase as having little bearing on future performance if
increased regulation results in a sharp decline in enrollment.
ATI indirectly derives about 88% of revenues from federal
government sponsored financial aid and grants received by its
students.

Including ATI's off-balance-sheet operating lease commitments and
contingent payments, debt leverage declined slightly, to 4.7x for
the 12 months ended Sept. 30, 2010, from roughly 5.0x at the time
of the company's December 2009 leveraged buyout.  ATI's leverage
of 3.17x at Sept. 30, 2010, as calculated per covenants under the
company's bank facilities, provides a 25% cushion against the
leverage covenant of 4.25x, which steps down to 4.0x at Dec. 31,
2010, 3.75x at June 30, 2011, and 3.5x at Dec. 31, 2011.  However,
the potential impact of federal regulations on the company's
operating performance, debt leverage, and liquidity could be
material.

Separately, the company has an earn-out liability, which could
reach $20 million depending on performance targets, that is due to
sellers on April 30, 2011.  S&P believes that the company will not
have the ability to make this payment with its current liquidity,
and will need support from funds advised by BC Partners Inc., its
private equity sponsor.

"In resolving S&P's CreditWatch listing, S&P will assess the
outcome of the proposed regulation and its effect on ATI's
enrollment, operating performance, and liquidity," said Standard &
Poor's credit analyst Hal Diamond.  "S&P will also evaluate
management's plans to make the earn-out payment."


AVENTINE RENEWABLE: Inks Agreement for New $200 Million Term Loan
-----------------------------------------------------------------
Aventine Renewable Energy Holdings, Inc., said Wednesday that it
has obtained a new senior secured term loan of $200 million with
Citibank, N.A., as administrative agent and as collateral agent,
the lenders party thereto, Citigroup Global Markets Inc. and
Jefferies Finance LLC, as joint lead arrangers and joint book-
runners, and Citibank, N.A., and Jefferies Finance LLC, as co-
syndication agents.  The Company intends to use the proceeds of
the Term Facility to refinance their 13% senior secured notes due
2015, to pay related transaction costs, fees and expenses, and for
general corporate purposes.  The Term Facility is secured by a
pledge of the Company's capital stock and assets.  The Term
Facility matures December 22, 2015.

Tom Manuel, CEO of Aventine, noted, "This adds to what has already
been a very exciting week for Aventine.  In addition to securing
this term loan facility which significantly strengthens our
balance sheet we've also shipped our first load of ethanol out of
our Mt. Vernon, Indiana plant."  Mr. Manuel continued, "Each of
these steps helps us with our goal to improve the cost structure
of our business and position Aventine as a low cost producer."

A full-text copy of the Term Loan Agreement is available at no
charge at http://researcharchives.com/t/s?715d

                      About Aventine Renewable

Pekin, Illinois-based Aventine Renewable Energy Holdings, Inc.
(OTC BB: AVRW.OB) -- http://www.aventinerei.com/-- is a
producer and marketer of ethanol to many leading energy companies
in the United States.  In addition to ethanol, Aventine also
produces distillers grains, corn gluten meal, corn gluten feed,
corn germ and brewers' yeast.

The Company and its affiliates filed for Chapter 11 on April 7,
2009 (Bankr. D. Del. Lead Case No. 09-11214).  James L. Patton,
Esq., Joel A. Waite, Esq., Matthew Barry Lunn, Esq., and Ryan M.
Bartley, Esq., at Young, Conaway, Stargatt & Taylor, served as
bankruptcy counsel to the Debtors.  Dennis A. Meloro, Esq., and
Donald J. Detweiler, Esq., at Greenberg Traurig, LLP, represented
the official committee of unsecured creditors.  When it
filed for bankruptcy protection from its creditors, Aventine
Renewable estimated between $100 million and $500 million each in
assets and debts.

The Court confirmed on February 24, 2010, the Company's plan of
reorganization.  The Company emerged from Chapter 11 on March 15,
2010.


AVISTAR COMMS: Extends Maturity of JPMorgan Loan to Dec. 2011
-------------------------------------------------------------
Effective as of December 20, 2010, Avistar Communications
Corporation entered into a third amendment to the second amended
and restated revolving credit promissory note agreement with
JPMorgan Chase Bank, N.A., as lender.  The amended agreement
relates to the renewal of a line of credit with the Bank, which
Avistar may draw upon during the term of the note to fund its
business operations.

The primary purposes of the Third Amendment were to extend the
maturity date of the note from December 22, 2010 to December 22,
2011, and to increase the line of credit from $7.0 million to
$8.0 million.  As of December 20, 2010, the total principal amount
borrowed by Avistar under the Credit Facility was $7.0 million.

The Credit Facility is subject to customary terms and conditions,
including several reporting and non-financial covenants.  As
security for the payment of its obligations under the Credit
Facility, Avistar granted JPMorgan a security interest in and
right of setoff against substantially all of the assets of
Avistar, tangible and intangible.  The repayment of funds borrowed
and interest accrued under the Credit Facility is also personally
guaranteed by Gerald J. Burnett, Chairman of Avistar, and The
Gerald J. Burnett and Marjorie J. Burnett Revocable Trust, who has
pledged personal assets as collateral for the Credit Facility.

                   About Avistar Communications

Headquartered in San Mateo, California, Avistar Communications
Corporation (Nasdaq: AVSR) -- http://www.avistar.com/-- holds a
portfolio of 80 patents for inventions in video and network
technology and licenses IP to videoconferencing, rich-media
services, public networking and related industries.  Current
licensees include Sony Corporation, Sony Computer Entertainment
Inc. (SCEI), Polycom Inc., Tandberg ASA, Radvision Ltd. and
Emblaze-VCON.

The Company's balance sheet at Sept. 30, 2010, showed
$2.96 million in total assets, $9.21 million in total liabilities,
and a stockholder's deficit of $6.25 million.  Stockholders'
deficit was $5.18 million at June 30, 2010.


BIOLASE TECHNOLOGY: Ascendiant to Assist in Sale of 3MM Shares
--------------------------------------------------------------
Biolase Technology, Inc., entered into a Controlled Equity
Offering Agreement with Ascendiant Securities, LLC, as Selling
Agent, on December 23, 2010.

In accordance with terms of the Agreement, the Company may issue
and sell up to 3,000,000 shares of its common stock, par value
$0.001 per share, in a series of transactions over time as the
Company may direct through the Selling Agent.  Sales of shares of
the Company's common stock, if any, may be made in privately
negotiated transactions and any other method permitted by law,
including sales deemed to be an "at the market" offering as
defined in Rule 415 under the Securities Act of 1933, which
includes sales made directly on the NASDAQ Capital Market, the
existing trading market for the Company's common stock, or sales
made to or through a market maker other than on an exchange.

The Selling Agent will make all sales using its commercially
reasonable best efforts consistent with its normal trading and
sales practices, and on mutually agreed terms between the Selling
Agent and the Company.

Unless the Company and the Selling Agent agree to a lesser amount
with respect to certain persons or classes of persons, the
compensation to the Selling Agent for sales of common stock sold
pursuant to the Agreement will be 3.75% of the gross proceeds of
the sales price per share.

                     About BIOLASE Technology

Irvine, Calif.-based BIOLASE Technology, Inc. (NASDAQ: BLTI)
-- http://www.biolase.com/-- is a dental laser company.  The
Company develops, manufactures and markets Waterlase technology
and lasers and related products that advance the practice of
dentistry and medicine.

The Company's balance sheet at Sept. 30, 2010, showed
$19.49 million in total assets, $23.04 million in total
liabilities, and a stockholders' deficit of $3.54 million.

As reported in the Troubled Company Reporter on March 22, 2010,
BDO Seidman, LLP, in Costa Mesa, Calif., expressed substantial
doubt about the Company's ability to continue as a going concern,
following its 2009 results.  The independent auditors noted that
the Company has suffered recurring losses from operations, has had
declining revenues, has limited financial resources at
December 31, 2009, and is substantially dependent upon its primary
distributor for future purchases of the Company's products.


BPP TEXAS: Taps Munsch Hardt as Bankruptcy Counsel
--------------------------------------------------
BPP Texas, LLC, and its debtor-affiliates ask for authorization
from the U.S. Bankruptcy Court for the Eastern District of Texas
to employ Munsch Hardt Kopf & Harr, P.C., as bankruptcy counsel.

Munsch Hardt will, among other things:

     a. serve as attorneys of record for the Debtors in all
        aspects, to include any adversary proceedings commenced in
        connection with the bankruptcy cases and to provide
        representation and legal advice to the Debtors throughout
        the bankruptcy cases;

     b. assist in potential sales of the Debtors' assets;

     c. prepare on behalf of the Debtors all motions,
        applications, answers, orders, reports, and other legal
        papers and documents to further the Debtors' interests and
        objectives, and to assist the Debtors in the preparation
        of their schedules, statements, and reports; and

     d. assist the Debtors in connection with formulating and
        confirming a Chapter 11 plan.

Munsch Hardt will be paid based on the rates of its professionals:

        Joseph J. Wielebinski, Shareholder         $600
        Davor Rukavina, Shareholder                $375
        Jonathan L. Howell, Associate              $300
        Audrey M. Monlezun, Paralegal              $190

Davor Rukavina, Esq., an attorney at Munsch Hardt, assures the
Court that the firm is a "disinterested person" as that term
defined in Section 101(14) of the Bankruptcy Code.

                         About BPP Texas

Pittsburgh, Pennsylvania-based BPP Texas, LLC, along with BPP
Illinois, LLC, BPP Iowa, LLC, BPP Michigan, LLC, BPP Minnesota,
LLC, and BPP Wisconsin, LLC, own and operate 22 hotels located in
Texas, Illinois, Iowa, Michigan, Minnesota, and Wisconsin.

BPP Texas and several affiliates filed for Chapter 11 bankruptcy
protection on December 21, 2010 (Bankr. E.D. Tex. Lead Case No.
10-44378).  Davor Rukavina, Esq., and Jonathan Lindley Howell,
Esq., at Munsch Hardt Kopf & Harr, P.C., serve as the Debtors'
bankruptcy counsel.  BPP Texas estimated its assets at $1 million
to $10 million and debts at $50 million to $100 million.

Affiliates BPP Illinois, BPP Iowa, BPP Michigan, BPP Minnesota,
and BPP Wisconsin filed separate Chapter 11 bankruptcy petitions.
BPP Wisconsin estimated its assets at $10 million to $50 million
and debts at $50 million to $100 million.


BROADCAST INT'L: Inks Loan Restructuring Deal With Castlerigg
-------------------------------------------------------------
Broadcast International Inc. on December 16, 2010, entered into a
loan restructuring agreement with Castlerigg Master Investments
Ltd., the holder of its $15.0 million senior secured convertible
note.  The loan restructuring agreement provides that, subject to
and contingent upon the successful closing of a private offering
with proceeds of not less than $8,500,000, the note will be
amended and restated as an unsecured, senior convertible note in
the principal amount of $5.5 million.  The amended and restated
note will mature three years from closing, bear an annual interest
rate of 6.25%, payable semi-annually, and be convertible into
shares of the Company's common stock at a conversion price of
$1.35 per share, subject to adjustment.  The Company is obligated
to pay approximately $343,750, representing the aggregate amount
interest on the amended and restated note through December 31,
2011, at the closing of the transactions contemplated by the loan
restructuring agreement.

In consideration for amending the note, which currently represents
obligations to repay $15.0 million of principal and approximately
$2.75 million in accrued but unpaid interest, at the Closing, the
holder will receive $2.5 million in cash, payable from the
proceeds of the private offering, and a number of shares of the
Company's common stock equal to $3.5 million divided by the
price per share of common stock paid by the investors in the
private offering.  The holder will also forgive approximately
$6.25 million of principal and accrued interest indebtedness, and
the holder will surrender to the Company for cancellation warrants
to purchase a total of 5,208,333 shares of the Company's common
stock.  At the Closing, each of the Company's subsidiaries will
enter into a guaranty with the holder pursuant to which they will
guarantee the Company's obligations under the amended and restated
note.

Pursuant to the loan restructuring agreement, the Company and
the holder will enter into an Investor Rights Agreement at the
Closing, which provides the holder of the senior secured
convertible note will receive certain registration rights with
respect to the Company's securities held by such holder.  These
registration rights include an obligation of the Company to issue
additional warrants to the holder if certain registration
deadlines or conditions are not satisfied.  The agreement also
contains full-ratchet anti-dilution price protection provisions in
the event the Company issues stock or convertible debt with a
purchase price or conversion price less than the conversion price
described above.  The agreement contains other terms and
conditions that the Company believes are standard and customary
for agreements of such type.

The Company and the holder have each made customary
representations, warranties and covenants in the loan
restructuring agreement.  The obligations of the parties to
consummate the transactions contemplated by the loan restructuring
agreement are subject to customary closing conditions, including
that no material adverse effect shall have occurred or worsened.
The Company has post-closing indemnification obligations pursuant
to the loan restructuring agreement customary for transactions of
this nature.  The loan restructuring agreement may be terminated
by either party if the Closing does not occur on or prior to
December 31, 2010, and for other customary reasons.  The Company
has agreed to reimburse the fees and expenses of the holder
incurred in connection with the transactions contemplated by the
loan restructuring agreement, including, without limitation,
reasonable attorneys' fees, promptly upon demand whether or not
the Closing occurs.

On December 22, 2010, the Company also entered into an amended
note with the holder of its $1.0 million unsecured convertible
note, pursuant to which the maturity date of the note was extended
to December 31, 2013.  The holder of this $1.0 million note will
be issued 150,000 shares as consideration for extending the note
and an additional number of shares, valued at $0.60 per share, to
cover the payment of accrued interest in the amount of
approximately $80,000.

Based in Salt Lake City, Broadcast International, Inc. installs,
manages and supports private communication networks for large
organizations that have widely-dispersed locations or operations.
The Company owns CodecSys, a video compression technology to
convert video content into a digital data stream for transmission
over satellite, cable, Internet, or wireless networks, as well as
offers audio and video production services.  The Company's
enterprise clients use its networks to deliver training programs,
product announcements, entertainment, and other communications to
their employees and customers.

HJ & Associates LLC, in Salt Lake City, expressed substantial
doubt about the Company's ability to continue as a going concern,
after auditing the Company's financial statements for the year
2009.  The independent auditors noted that the Company has
incurred recurring losses from operations and has a deficit in
stockholders' equity and working capital.

The Company's balance sheet as of September 30, 2010, showed
$7.3 million in total assets, $25.3 million in total liabilities,
and a stockholders' deficit of $18.0 million.


BRUNSWICK CORPORATION: Moody's Gives Pos. Outlook; Keeps B2 Rating
------------------------------------------------------------------
Moody's Investors Service changed Brunswick Corporation's rating
outlook to positive from stable due to Moody's expectation that
its credit profile and earnings will continue to improve over the
near to mid-term despite continued softness in the overall marine
industry.  At the same time, all ratings were affirmed including
the B2 CFR and PDR, Ba3 secured notes, Caa1 unsecured notes and
SGL 1 liquidity rating.

"We believe Brunswick's continuing strong liquidity profile,
vastly improved cost structure, enhanced health of its dealership
network and strong product portfolio should enable it to
capitalize on nascent signs of possible marine industry
improvement," said Kevin Cassidy, Senior Credit Officer at Moody's
Investors Service.  Brunswick's strategy of ensuring the viability
of its dealer network by decreasing 2009 production paid dividends
in 2010 as the company had to significantly increase its
manufacturing to restock its dealer's inventory levels.  On top of
this, over the past couple of years, Brunswick has materially
improved its operating efficiency through numerous restructuring
activities, eliminating seven boat brands and closing 17
boatbuilding facilities since 2006.  The combined effect of
these actions has been to increase operating profit by about
$350 million in the first nine months of 2010 (excluding
restructuring), on a revenue increase of $560 million.  Despite
the improvements so far in 2010, Moody's expect Brunswick to lose
money in the fourth quarter because of typical seasonal
fluctuations and additional planned downtime in some fiberglass
boat plants beyond its normal holiday shutdown.  Moody's believe
Brunswick is expanding its downtime in an effort to manage its
production of fiberglass boats and dealer inventory ahead of the
selling season.  The fourth quarter loss is not expected to be
as high as the $120 million Q4 2009 loss, but more than the
$40 million Q4 2008 loss.

The positive outlook reflects Moody's expectation that overall
marine retail demand will continue to show modest improvements in
the near to mid-term and that operating margins and credit metrics
will meaningfully improve next year mainly because of increased
cost efficiencies and some volume improvement.  Moody's
expectation of a slight improvement in discretionary consumer
spending, especially for higher end consumers, and modest GDP
growth between 2.5% and 3.5% is also reflected in the positive
outlook as is Moody's belief that Brunswick will maintain a strong
liquidity profile.

In order for an upgrade to be considered in the near term, marine
industry units need to stay at around 135,000, demand for
fiberglass boats needs to show signs of improvement and worldwide
financial markets need to continue to stabilize.  If industry
units fell below this amount, the rating could still be upgraded
over the longer term assuming Brunswick's cost rationalization
efforts reap the benefits Moody's expect and Brunswick maintains
its strong liquidity profile.  Because of the severe volatility
over the last few years, Brunswick's credit metrics need to be
stronger than other similarly rated consumer durable companies.
Credit metrics necessary for an upgrade to be considered would be
financial leverage approaching 4x, strong mid single digit
operating margins, interest coverage approaching 2x and retained
cash flow/net debt in the mid to high single digits.

While not considered likely in the near term, if the company's
liquidity profile were to materially decrease or if the sovereign
debt crises were to rapidly expand and put pressure on worldwide
financial markets, the long term rating and liquidity rating could
be downgraded.  Significant erosion in the operating performance
of the company's dealership network or the floorplan lending
facility could also trigger a downgrade.  The outlook could be
stabilized or possibly changed to negative if marine retail demand
in 2011 meaningfully declines without signs of a recovery.

                         Rating Rationale

Brunswick's B2 corporate family rating reflects the severe and
sudden volatility in demand for marine related products over the
last few years.  The ensuing dramatic revenue and earnings decline
is incorporated into the rating, but so is Moody's expectation of
operating improvements in the near to mid-term as the company
continues to adjust its business profile to address the weak
marine industry.  Credit metrics are expected to improve from
their current levels with financial leverage potentially
approaching 4x by the end of 2011 and EBITA margins increasing to
the mid to high single digits.  A critical component of the B2
corporate family rating is Brunswick's strong liquidity profile.
Other factors supporting the rating are the improved health of its
dealership network, having a management team experienced in the
marine industry and having a joint venture agreement with General
Electric Capital Corporation for its floorplan financing.

These ratings were affirmed/assessments revised:

  -- Corporate family rating at B2;

  -- Probability of default rating at B2;

  -- $575 million senior unsecured notes due 2013-2027
     ($442 million outstanding) at Caa1 (LGD 5, 88% from 89%);

  -- $350 million senior secured notes due 2016 at Ba3
     ($340 million carrying value) (LGD 2, 29% from LGD 2, 23%);

  -- Speculative grade liquidity rating at SGL 1

The last rating action was on May 24, 2010, where Moody's affirmed
all ratings and revised the outlook to stable from negative.

Brunswick is headquartered in Lake Forest, Illinois.  The company
manufactures marine engines, pleasure boats, bowling capital
equipment and fitness equipment, and operates retail bowling
centers.  Sales for the twelve months ended September 2010
approximated $3.3 billion.


C&D TECH: Escapes Bankruptcy With Out-of-Court Restructuring
------------------------------------------------------------
C&D Technologies Inc. has received all necessary approvals from
its stockholders and noteholders for its proposed out-of-court
financial restructuring.  Upon consummation, which is expected
to occur shortly, the financial restructuring will reduce the
Company's total debt from approximately $175 million to
$50 million.

As all material conditions to consummating the out-of-court
restructuring have been satisfied, the Company has ceased seeking
support for its prepackaged plan of reorganization that it had
been pursuing in the event that certain conditions to the exchange
offers were not satisfied.

As of 11:59 PM EST on December 20, 2010, approximately 98.91% of
the outstanding principal of the Company's outstanding 5.25%
Convertible Senior Notes due 2025 and approximately 96.65% of the
outstanding principal of the Company's outstanding 5.50%
Convertible Senior Notes due 2026, for an aggregate of
approximately 97.99% of the outstanding principal of the Notes,
had been tendered and not withdrawn in its outstanding offers to
exchange the Notes for up to 95% of the outstanding shares of the
Company's common stock in the aggregate following consummation of
the exchange offers, and the exchange offers expired in accordance
with their terms.  The consummation of the exchange offers
was conditioned upon, among other things, at least 95% of the
aggregate principal amount of the Notes being tendered and not
withdrawn.

At a Special Meeting of Shareholders on Monday, December 20, 2010,
holders representing a majority of the Company's outstanding
Common Stock voted to approve the exchange offers and an amendment
to the Company's certificate of incorporation authorizing an
increase in the number of shares of Common Stock authorized for
issuance and a forward stock split in ratios between 1:1 and
1.95:1, to be determined by the Board of Directors of the Company.
The exchange offer is expected to be consummated on or before
December 31, 2010.

Pursuant to the terms of the exchange offers, the participating
noteholders will receive their pro rata share of 95% of the issued
and outstanding Common Stock of the Company immediately following
completion of the exchange offer.  Based on the amount of
principal validly tendered and not validly withdrawn in the
exchange offers, the participating noteholders will receive
approximately 93.09% of the issued and outstanding Common Stock of
the Company and existing holders of Common Stock will retain
approximately 6.91% of the issued and outstanding Common Stock of
the Company, in each case subject to dilution due to securities
issued under the Company's management incentive plans.

"[Tues]day's announcement represents a major accomplishment in our
financial restructuring plan," said Dr. Jeffrey A. Graves,
President and CEO.  "We are very pleased to have received approval
from both our equity and noteholders for our debt restructuring.
The debt-to-equity swap will enable us to reduce our total debt
from approximately $175 million to $50 million, giving us an
appropriate capital structure for a company our size.  We are
grateful for the support we have received from our customers,
suppliers and employees during this challenging period and are
optimistic about the future. Once we complete our financial
restructuring, we believe we will be in an excellent position to
leverage the strength of the C&D brand, our deep customer
relationships and reputation for industry leading products to take
advantage of improving market conditions and global growth
opportunities."

                      About C&D Technologies

C&D Technologies, Inc., provides solutions and services for the
switchgear and control (utility), telecommunications, and
uninterruptible power supply (UPS), as well as emerging markets
such as solar power.  C&D Technologies' engineers, manufactures,
sells and services fully integrated reserve power systems for
regulating and monitoring power flow and providing backup power in
the event of primary power loss until the primary source can be
restored.  C&D Technologies' unique ability to offer complete
systems, designed and produced to high technical standards, sets
it apart from its competition.  C&D Technologies is headquartered
in Blue Bell, PA.

                     Restructuring Support Agreement

On September 14, 2010, the Company entered into a restructuring
support agreement with two convertible noteholders who together as
of the date of the RSA held approximately 56% of the aggregate
principal amount of the 2005 Notes and the 2006 Notes.  The
Supporting Noteholders have agreed to a proposed restructuring of
the 2005 Notes and the 2006 Notes which will be effected through
(i) an offer to exchange the outstanding 2005 Notes and 2006 Notes
for up to 95% of the Company's common stock, or (ii) a prepackaged
plan of reorganization under Chapter 11 of the U.S. Bankruptcy
Code.

The RSA may be terminated by the Supporting Noteholders upon the
Company's failure to consummate the Exchange Offer and/or the
Prepackaged Plan on or prior to February 28, 2011.

                         Exchange Offer

Pursuant to the RSA, the Company launched the offer to exchange
its outstanding 5.25% Convertible Senior Notes due 2025 and 5.50%
Convertible Senior Notes due 2026 for up to 95% of the outstanding
shares of the Company's common stock in the aggregate following
consummation of the exchange offers.  The Company is
simultaneously soliciting holders of the Notes and the existing
holders of Common Stock to approve a prepackaged plan of
reorganization as an alternative to the exchange offer.

The exchange offers and the solicitation period for acceptances
under the prepackaged plan of reorganization expires 11:59 PM EST
on Monday, December 20, 2010.

If the restructuring is accomplished through the exchange offers,
the holders of Notes will receive their pro rata share of up to
95% of the outstanding shares of Common Stock following the
consummation of the exchange offers and the existing stockholders
of the Company will hold at least 5%, and up to 9.75% of the
outstanding shares of Common Stock following the consummation of
the exchange offers.

If the restructuring is accomplished through the prepackaged plan
of reorganization, 100% of the Notes, plus all accrued and unpaid
interest, will be cancelled, and holders of Notes will receive
their pro rata share of either (i) 95% of the common stock of the
Company issued under the prepackaged plan, if the Shareholder
Exchange Consent is obtained or (ii) 97.5% of the New Common
Stock, subject to dilution by any issuance made pursuant to
certain shareholder warrants to purchase 5.0% of the Common Stock,
if the Shareholder Exchange Consent is not obtained.

If the restructuring is accomplished through the prepackaged plan
of reorganization, 100% of the Common Stock will be cancelled, and
holders of Common Stock will receive their pro rata share of
either (i) 5% of the New Common Stock, if the Company's
stockholders approve the Shareholder Exchange Consent or (ii) (x)
2.5% of the New Common Stock and (y) Shareholder Warrants, if the
Company's stockholders do not approve the Shareholder Exchange
Consent.

C&D Technologies has elected not to make a semi-annual interest
payment due on its 5.25% Convertible Senior Notes due 2025 on
November 1, 2010.


CAPITAL BANCORP: Proposes New TruPS Exchange Offer
--------------------------------------------------
Capitol Bancorp Limited (NYSE: CBC) announced a comprehensive
capital strategy last week focused on the enhancement of the
Corporation's common equity and regulatory capital levels.  The
capital initiatives include:

  (A) an offer to exchange all outstanding trust-preferred
      securities;

  (B) an amendment to the Articles of Incorporation to
      authorize additional shares of common stock;

  (C) a shareholder rights offering;

  (D) development entity exchange offers; and

  (E) a potential reverse stock split.

Capitol Bancorp filed a preliminary proxy statement with the
Securities and Exchange Commission -- see http://is.gd/jkAa2--
outlining the planned actions that will be voted upon by the
holders of Capitol Bancorp's common stock at a special meeting
scheduled to be held on January 31, 2011.

              Multi-Faceted Capital Strategy

Capitol Bancorp is seeking the completion of the capital
initiatives described in this announcement, which are designed to
augment its existing strategic initiatives focused primarily on
affiliate divestitures, operational cost savings, balance sheet
deleveraging and system-wide liquidity.  Our multi-faceted capital
strategy includes the following components:

    (1) TruPS Exchange Offer -- Capitol Bancorp is offering to
        exchange its outstanding trust-preferred securities
        (with an aggregate liquidation value of approximately
        $170.8 million) for shares of Capitol Bancorp's common
        stock.  If successful, the completion of the TruPS
        exchange offer would have a material favorable impact on
        Capitol Bancorp's capital position.  The TruPS exchange
        offer is being made to strengthen Capitol Bancorp's equity
        base by increasing its Tier 1 tangible common equity
        component, while also reducing or potentially eliminating
        the approximate $16 million annual interest expense
        associated with these securities.  When the TruPS were
        originally issued, and until recently, substantially all
        of those securities comprised a crucial element of Capitol
        Bancorp's compliance with regulatory capital requirements
        because they were a material component of regulatory
        capital.  Because of Capitol Bancorp's weakened financial
        condition and recent changes affecting its ability (as
        well as that of other bank holding companies in the United
        States) to include any portion of its TruPS in regulatory
        capital computations, a small portion of its TruPS are
        included in the Corporation's current regulatory capital
        measurements and will cease to be includable in the
        future.

Currently, interest payments on all of Capitol Bancorp's TruPS are
in a deferral period, which commenced in mid-2009 as a component
of the Corporation's efforts to conserve cash resources.  In
addition, Capitol Bancorp is prohibited from making any interest
payments on the TruPS without prior regulatory approval.  By
increasing its common equity foundation through the TruPS exchange
offer and other contemplated components of its capital strategy,
which are described herein, Capitol Bancorp expects flexibility to
prospectively pursue market opportunities and implement longer-
term operating strategies that can be pursued at the appropriate
time, subject to approval of the TruPS exchange offer and the
other matters discussed in this announcement.

The following TruPS, which constitute all of Capitol Bancorp's
outstanding TruPS as of September 30, 2010, are subject to the
TruPS exchange offer:

                                              Approximate
                                              Liquidation
    TruPS Issuer                                   Amount
    ------------                             ------------
  Capitol Trust I (NYSE: CBC-PRA)             $25,300,000
  Capitol Trust II (non-publicly held)         10,000,000
  Capitol Trust III (non-publicly held)        15,000,000
  Capitol Trust 4 (non-publicly held)           3,000,000
  Capitol Trust VI (non-publicly held)         10,000,000
  Capitol Trust VII (non-publicly held)        10,000,000
  Capitol Trust VIII (non-publicly held)       20,000,000
  Capitol Trust IX (non-publicly held)         10,000,000
  Capitol Bancorp Trust X (non-publicly held)  33,000,000
  Capitol Trust XI (non-publicly held)         20,000,000
  Capitol Trust XII (NYSE: CBC-PB)             14,500,000

    (2) Amend Articles of Incorporation -- On December 22, 2010,
        Capitol Bancorp filed a preliminary proxy statement with
        the SEC in connection with a special meeting of holders of
        Capitol Bancorp's common stock scheduled to be held on
        January 31, 2011.  At the special meeting, the Corporation
        will ask holders of its common stock to amend its Articles
        of Incorporation in order to increase its number of
        authorized shares of common stock from 50,000,000 to
        1,500,000,000 shares.  Expanding the Corporation's
        authorized share count will also provide Capitol Bancorp
        with flexibility to pursue other possible capital
        initiatives, as discussed herein.

    (3) Shareholder Rights Offering -- Capitol Bancorp intends to
        commence, as soon as reasonably practicable, a rights
        offering of up to $25 million to existing holders of its
        common stock.  The timing and related pricing of the
        rights offering is to be determined at a later date and,
        while the Corporation can provide no assurance that a
        rights offering will be completed or that any holders of
        its common stock will exercise any such rights in
        connection with the rights offering, Capitol Bancorp
        believes a rights offering is a potential source to aid in
        the Corporation's current capital-raising goals.

    (4) Development Entity Exchanges -- Capitol Bancorp has
        several second-tier holding companies that have
        historically been a source of capital for some of its
        bank-development activities.  Such capital is a component
        of total capital, classified on its consolidated balance
        sheet as "noncontrolling interests in consolidated
        subsidiaries".  It is anticipated that Capitol Bancorp, as
        discussed previously herein, will commence an offer to
        issue shares of previously unissued common stock in
        exchange for the applicable development entity interests,
        converting this capital component to the more traditional
        form of common equity while also providing a source of
        liquidity for those investors.  At the special meeting,
        the Corporation will ask holders of its common stock to
        approve the issuance of additional shares of its common
        stock in connection with the development entity exchange
        offers to comply with New York Stock Exchange Rule
        312.03(c).  Capitol Bancorp says that it believes that
        this may serve to further simplify its ownership structure
        and could provide additional flexibility in pursuing other
        alternative external capital sources in the future.

    (5) Potential Reverse Stock Split -- In tandem with seeking
        shareholder approval to amend the Corporation's Articles
        of Incorporation to expand the number of authorized
        shares, as previously discussed, Capitol Bancorp will also
        seek approval to effect, if and when appropriate, a
        reverse stock split.  The reverse stock split may fall
        within a range of 1-for-5 to 1-for-75, with the actual
        exchange ratio and timing of such reverse stock split to
        be determined at the sole discretion of Capitol Bancorp's
        board of directors.  The Corporation's board of directors
        is submitting this proposal to holders of its common stock
        for approval with the primary intent of increasing the
        market price per share of Capitol Bancorp's common stock
        to make such common stock more attractive to a broader
        range of institutional and other investors and to help
        prevent the delisting of its common stock from the NYSE.
        Accordingly, Capitol Bancorp's board of directors believes
        that effecting the reverse stock split is in the best
        interests of Capitol Bancorp and holders of its common
        stock.  The reverse stock split, if approved and
        implemented by Capitol Bancorp's board of directors, will
        enhance liquidity and may also allow Capitol Bancorp to
        reduce certain future transaction costs (e.g., proxy
        solicitation fees).

Economic conditions throughout the United States, and in the
regions in which Capitol Bancorp and its banking operations are
located, have deteriorated to an extent not experienced since the
"Great Depression" of the 1930's.  Capitol Bancorp's operations
are focused on community banking and helping small, local
businesses meet their financial needs.  In this adverse economic
environment, small businesses and their owners have suffered
significant financial hardships, while the underlying values of
the real estate collateral supporting many of the loans to these
businesses have experienced significant deterioration.  This has
resulted in massive loan losses and dramatic growth in levels of
nonperforming assets not seen previously in the banking industry
in general and, in particular, at Capitol Bancorp.

Capitol Bancorp has incurred significant losses from operations in
periods since 2007, while also experiencing significant increases
in nonperforming loans, foreclosed real estate, loan losses and
other materially adverse circumstances.  This has led to a
material erosion of Capitol Bancorp's common equity and related
regulatory capital levels, resulting in Capitol Bancorp becoming
currently classified as less than adequately capitalized from a
regulatory perspective.  In 2009, Capitol Bancorp entered into a
written agreement with the Federal Reserve Bank of Chicago, its
primary federal regulator, which requires the Corporation to,
among other items, improve its operating results and its overall
condition.  Capitol Bancorp's less than adequately capitalized
classification exposes it to increased regulatory scrutiny and
enforcement action or other materially adverse consequences.

Because of Capitol Bancorp's financial condition and recent
changes affecting its ability (as well as that of other bank
holding companies in the United States) to include some portion of
trust-preferred securities in regulatory capital computations, a
small portion of its trust-preferred securities are included in
Capitol Bancorp's current regulatory capital measurements and will
cease to be includable in the future.  When such trust-preferred
securities were originally issued, and until recently,
substantially all of those securities were a crucial element of
Capitol Bancorp's compliance with regulatory capital requirements
because they were a very material component of regulatory capital.

Capitol Bancorp's Chairman and CEO, Joseph D. Reid commented,
"While the impact of the 'Great Recession' has been felt
nationally, certain markets and communities have been hit
especially hard during these difficult economic times.  Our
affiliates in Michigan, Arizona and Nevada are clear examples of
markets that continue to experience significant challenges and, as
a consequence, our once strong operations in many of those
communities have shifted to a defensive mode in order to face the
weaknesses and uncertainties that continue to threaten financial
institutions across the country.  Consequently, the opportunity to
dovetail our existing strategic initiatives with a multi-faceted
and comprehensive capital procurement strategy serves two critical
purposes:  first, it furthers Capitol Bancorp's ongoing efforts to
deleverage its consolidated balance sheet, reduce non-earning
assets and strategically redeploy equity capital to other parts of
our banking system; second, it potentially provides the roadmap
toward initial stages of restoring our capital stature to higher
levels over time.  The current challenges remain significant and
the existing burdens represented by elevated levels of
nonperforming assets continue to consume capital and managerial
resources, but we hope that these efforts support the Corporation
as it continues to weather the storm and return the Corporation to
fundamental performance over time."

               Affiliate Bank Divestitures
            and Regional Bank Consolidations

Capitol Bancorp previously announced plans to sell controlling
interests in several affiliated banks.  Less than two weeks ago,
the Corporation completed the divestiture of its $93 million
Southern Arizona Community Bank affiliate in Tucson, Arizona.  In
October, Capitol completed the sale of its interests in three
Colorado-based affiliates: Fort Collins Commerce Bank, Larimer
Bank of Commerce and Loveland Bank of Commerce.  Those four
transactions consisted of approximately $340 million of assets and
resulted in the generation of about $25 million of proceeds for
reinvestment in bank affiliates.  Capitol Bancorp also announced
agreements to sell its interests in 1st Commerce Bank in Nevada,
Community Bank of Rowan in North Carolina and Evansville Commerce
Bank in Indiana.  Those transactions, in addition to two other
pending transactions involving affiliates in Arizona and Texas,
reflect five divestitures awaiting regulatory approvals (and other
contingencies) and represent an additional $500 million of assets
and the opportunity to reallocate nearly $33 million of capital to
other banks within the Capitol Bancorp network.  The five pending
divestitures are anticipated to be completed in early 2011.

Several regional charter consolidations occurred in 2010 thus far
and in the fourth quarter of 2009 in Arizona, California, Georgia,
Indiana, Michigan, Nevada and Washington, resulting in the
elimination of 20 charters.  To date, the regional consolidation
effort has resulted in the consolidation of 27 charters into seven
geographically concentrated banks.  Preliminary results at the
merged institutions are actively monitored with the expectation of
meeting targeted efficiency objectives, although implementation
costs and restructuring expenses associated with these mergers may
delay full recognition of projected cost savings and efficiencies.

Mr. Reid stated, "Our affiliate divestiture activities resulted in
the sale of eleven institutions to date in 2010, eliminating
nearly $850 million of assets (additionally, two institutions
encompassing approximately $150 million of total assets were
divested in the fourth quarter of 2009).  There are five
additional transactions pending encompassing an additional
$500 million of assets as we aggressively seek to reallocate
capital and further deleverage the balance sheet.  Beyond the
approximate $1.5 billion of assets these efforts represent, there
are ongoing discussions with our advisors on additional fronts in
both the divestiture and capital-reallocation arenas as we
recognize and address the deterioration that has occurred in
capital."

               About Capitol Bancorp Limited

Capitol Bancorp Limited (NYSE: CBC) is a $4.2 billion national
community banking company, with a network of bank operations in 14
states.  Founded in 1988, Capitol Bancorp Limited has executive
offices in Lansing, Mich., and Phoenix, Ariz.


CAPROCK WINE: Court Slashes Harold Pigg Fees
--------------------------------------------
Judge Robert L. Jones directs the trustee overseeing the Chapter
11 case of Caprock Wine Company, L.L.C. and Caprock Real Estate
Holdings, L.L.C., to pay counsel Harold H. Pigg $14,000 in fees
and $653.97 as reimbursement of expenses.  Judge Jones deducted
$2,410 from the requested fees.

Major secured creditor PlainsCapital Bank objected to the fee
application on three categories: (1) the fees related to the
adversary proceedings, which fees PlainsCapital contends should be
disallowed as not beneficial to the estate and unnecessary to the
administration of the case, (2) the reasonableness of the fees,
which PlainsCapital contends cannot be ascertained because the
application is insufficiently detailed, and (3) the payment of any
allowed fees and expenses, which PlainsCapital contends is
prohibited because all funds are encumbered by its liens.

Lubbock, Texas-based Caprock Wine Company, LLC, doing business as
Cap*Rock Winery and Cap Rock Winery, filed for Chapter 11 on
December 23, 2009 (Bankr. N.D. Tex. Case No. 09-50576).  Caprock
Real Estate Holdings, L.L.C, filed a separate Chapter 11 petition
(Bankr. N.D. Tex. Case No. 09-50577) on the same day.  Both
petitions listed assets and debts of $1 million to $10 million.
Harold H. Pigg, Esq., in Lubbock, served as the Debtors' counsel.
The Court, at the behest of the United States Trustee, ordered the
appointment of a Chapter 11 trustee on February 5, 2010.


CARIBBEAN PETROLEUM: Bankr. Ct. Remands 8 Lawsuits to State Court
-----------------------------------------------------------------
Bankruptcy Judge Brian K. Tester remands eight civil actions
pending before the Puerto Rico court of First Instance, Bayamon
Part, against, among other parties, Caribbean Petroleum
Corporation to the Superior Court of the Commonwealth of Puerto
Rico, Bayamon Part, as per 28 U.S.C. Sec. 1452(b).  Judge Tester
says permissive abstention from the lawsuits is justified by the
cited statutes and case law.

The actions were filed on November 6, 2009, as a result of an
explosion at CAPECO's facilities in Bayamon, Puerto Rico on
October 23, 2009, during fuel offloading operations.  Several fuel
storage tanks, containing gasoline, diesel and petroleum products
and derivatives, exploded, burned or were damaged, causing a fire
that created a smoke plume allegedly containing hazardous
contaminants.  As a result of the incident, the plaintiffs brought
suit against CAPECO and others, including BP Products North
America Inc., seeking recovery of millions of dollars in
compensation for the alleged negligence of defendants.

BP seeks to remove the suits, arguing that the district court has
jurisdiction pursuant to 28 U.S.C. Sec. 1334(b), which provides
that "district courts shall have original but not exclusive
jurisdiction of all civil proceedings arising under title 11, or
arising in or related to cases under title 11."

CHARTIS Insurance Company - Puerto Rico argues that the Bankruptcy
Court should remand and abstain from hearing the Commonwealth
Court Action.  Even if the Court were to determine that subject
matter jurisdiction exists, the lawsuit is subject to mandatory
abstention under 28 U.S.C. Sec. 1334 (c)(2) because the basis of
the suit rests solely on Commonwealth law, and it would not have
been brought in federal court absent the bankruptcy case.  Such
matters, CHARTIS states, are clearly better suited for
determination by the Commonwealth Courts.  In the alternative, the
Bankruptcy Court should exercise its discretion and abstain from
hearing the action pursuant to 28 U.S.C. Sec. 1334(c)(1) and
should equitably remand the case to State court pursuant to 28
U.S.C. Sec. 1452(b).

A copy of the Court's December 23, 2010 Opinion and Order is
available at http://is.gd/jxiXGfrom Leagle.com.

                    About Caribbean Petroleum

San Juan, Puerto Rico-based Caribbean Petroleum Corporation, aka
CAPECO, owns and operates certain facilities in Bayomon, Puerto
Rico for the import, offloading, storage and distribution of
petroleum products.  Cribbean Petroleum sought Chapter 11
protection (Bankr. D. Del. Case No. 10-12553) on August 12, 2010,
nearly 10 months after a massive explosion at its major
Puerto Rican fuel storage depot virtually shut down the
company's operations.  The Debtor estimated assets of
$100 million to $500 million and debts of $500 million to
$1 billion as of the Petition Date.

Affiliates Caribbean Petroleum Refining, L.P., and Gulf Petroleum
Refining (Puerto Rico) Corporation filed separate Chapter 11
petitions on August 12, 2010.

John J. Rapisardi, Esq., George A. Davis, Esq., and Zachary A.
Smith, Esq. at Cadwalader, Wickersham & Taft LLP serve as lead
counsel to the Debtors, and Mark D. Collins, Esq., and Jason M.
Madron, Esq., at Richards, Layton & Finger, P.A., serve as local
counsel.  The Debtors' financial advisor is FTI Consulting Inc.
The Debtors' chief restructuring officer is Kevin Lavin of FTI
Consulting Inc.  Kurtzman Carson Consultants LLC serves as the
noticing, claims and balloting agent.

Dow Jones' Daily Bankruptcy Review, citing court papers, said that
Puma Energy International BV has been declared the winning bidder
in a bankruptcy sale of the Debtors' assets, with an offer of
US$82 million.


CENTRAL FALLS, R.I.: Bankruptcy Is "Last Option," Receiver Says
---------------------------------------------------------------
The Wall Street Journal's Michael Corkery reports retired Rhode
Island superior court judge Mark Pfeiffer, the state-appointed
receiver who took charge of Central Falls, Rhode Island, issued a
report earlier this month saying bankruptcy protection remains an
option of "last resort" if the city can't find a way to merge with
a neighboring city or regionalize its services, among other
measures, to control expenses.

According to the Journal, the receiver's report said Central
Falls, which measures just over a square mile, has huge unfunded
pension liabilities and poverty levels more than double the
statewide rate.

"Pension reform by itself is not going to solve it and they can't
tax their way out of it," the receiver said in an interview.
According to the Journal, Mr. Pfeiffer said that "by one reading"
Chapter 9 would allow cities to target current retiree benefits.
He also recommended that state lawmakers consider legislation that
would make it easier for Rhode Island cities to file for
bankruptcy without hurting their bondholders.  So far, the city
has continued to make timely payments on about $23 million in bond
debt.


CHENIERE ENERGY: Amends Certificate to Reduce Number of Shares
--------------------------------------------------------------
Cheniere Energy Inc. on August 14, 2008, filed a Certificate of
Designations of Series B Convertible Preferred Stock with the
Secretary of State of the State of Delaware creating the Series B
Convertible Preferred Stock, par value $0.0001 per share, of the
Company.

On December 23, 2010, following the occurrence of the Effective
Date, the Certificate of Designations was amended and restated
to reduce the number of authorized shares of Series B Preferred
Stock, to remove all voting rights of the holders of the Series B
Preferred Stock, to remove the right of the holders of the Series
B Preferred Stock to appoint directors, and to provide for the
redemption of the Series B Preferred Stock by the Company at the
election of the Company or the holders on August 15, 2018.

                       About Cheniere Energy

Cheniere Energy, Inc. (NYSE Amex: LNG) -- http://www.cheniere.com/
-- is a Houston-based energy company primarily engaged in LNG
related businesses, and owns and operates the Sabine Pass LNG
receiving terminal and Creole Trail pipeline in Louisiana.
Cheniere is pursuing related business opportunities both upstream
and downstream of the Sabine Pass LNG receiving terminal.
Cheniere is also the founder and holds a 30% limited partner
interest in another LNG receiving terminal.

Cheniere Energy reported a net loss of $40.6 million for the
quarter ended September 30, 2010, compared with a net loss of
$42.5 million for the comparable 2009 period.  Revenue was
$68.25 million in the third quarter of 2010 compared with
$56.33 million in the same period in 2009.

The Company's balance sheet at Sept. 30, 2010, showed
$2.61 billion in total assets, $354.40 million in total current
liabilities, $2.59 billion in long-term debt, $74.63 million in
long-term debt - related to parties, $30.73 million in deferred
revenue, $2.31 million in other non-current liabilities, and a
stockholders' deficit of $431.01 million.


CINCINNATI BELL: Says John Burns Rejoins as CBTS President
----------------------------------------------------------
Cincinnati Bell Inc. said John Burns has rejoined the company as
President of CBTS, a Cincinnati-based provider of data center
colocation services, managed and professional services, and IT
equipment.  Mr. Burns will report to Ted Torbeck, president and
general manager of Cincinnati Bell Communications.

As president of CBTS, Mr. Burns will have primary responsibility
for a segment of the top enterprise customers served by Cincinnati
Bell Communications.  Additionally, Mr. Burns will have primary
responsibility for the operations of CBTS.  CBTS will continue to
focus on the Cincinnati region and will serve existing Cincinnati-
based global customers with its full suite of managed and
professional services and equipment sales.  CyrusOne, a data
center colocation company in Texas that Cincinnati Bell acquired
in June 2010, will continue to be led by Dave Ferdman.  CyrusOne
will be focused on all data center opportunities outside
Cincinnati.

                      About Cincinnati Bell

Cincinnati Bell Inc., with headquarters in Cincinnati, Ohio,
provides telecommunications products and services to residential
and business customers in Ohio, Kentucky and Indiana.

Cincinnati Bell's balance sheet at Sept. 30, 2010, showed
$2.59 billion in total assets, $3.20 billion in total liabilities,
and a stockholder's deficit of $611.4 million.

                          *     *     *

The Company carries a 'B+' corporate credit rating from Standard &
Poor's.  S&P said in November 2010 that the rating reflects the
Company's highly leveraged financial risk profile, with
expectations for limited discretionary cash flow after capital
spending, which is currently elevated to expand its data center
business.

The Company has a 'B' Issuer Default Rating, and Stable outlook,
frm Fitch.  Fitch said in November 2010 that 'B' IDR for reflects
expectations for relatively high, albeit stable leverage and its
diversified revenue profile.  In addition, its wireline and
wireless businesses generate strong free cash flows.


COAST CRANE: Can Sell Substantially All Assets to CC Bidding
------------------------------------------------------------
The Hon. Karen A. Overstreet of the U.S. Bankruptcy Court for the
Western District of Washington authorized Coast Crane Company to
sell substantially all of its assets and business to CC Bidding
Corp., an affiliate of Essex Rental.

As reported in the Troubled Company Reporter on November 12, 2010,
Essex Rental Corp. was recognized as the successful bidder to
acquire, out of bankruptcy, the Debtor's assets.

Essex will pay approximately $80 million for Coast's assets,
approximately $48 million of which will be financed by a new,
fully-committed credit facility for the acquired business, and
assume certain of Coast's liabilities.  The acquisition price
reflects a significant discount to the replacement value of
Coast's assets.

According to the Debtor's report of auction, CCB offered an
alternative bid, which won the November 8 auction.  The bid
included an increased cash portion of the initial bid in an amount
sufficient to pay the senior lenders in full after assumption of
$45,899,000 of the obligation owed to the senior lenders.  The
initial bid was $33,278,000.  The bid also included an assumption
of $64,309,000 in liabilities, including $45,899,000 in
indebtedness owed to the senior lenders, $5,300,000 of junior-
secured indebtedness owed to Knott Partners, LLP and $1,700,000 of
trade payables.

                         About Coast Crane

Seattle, Washington-based Coast Crane Company leases, sells and
services tower cranes, forklifts, hoists, elevators, boom lifts,
scissor lifts and other heavy equipment used in commercial
construction throughout the world.

Coast Crane filed for Chapter 11 bankruptcy protection on
September 22, 2010 (Bankr. W.D. Wash. Case No. 10-21229).  Brian
L. Lewis, Esq., David C. Neu, Esq., and Michael J. Gearin, Esq.,
at K&L Gates LLP, assist the Debtor in its restructuring effort.
The Debtor estimated its assets at $50 million to $100 million and
debts at $100 million to $500 million.

T. Scott Aliva at CRG Partners Group LLC is the Debtor's chief
restructuring officer.


COMERCIAL MEXICANA: NY Bankruptcy Court Closes Chapter 15 Case
--------------------------------------------------------------
The Hon. Stuart M. Bernstein of the U.S. Bankruptcy Court for the
Southern District of New York closed the Chapter 15 case of
Controladora Comercial Mexicana, S.A.B. de C.V.

Fernando del Castillo Elorza filed the motion for an order
pursuant to Sections 350, 1517(d), 1521(a) and 105(a) of the
Bankruptcy Code seeking an order (i) enforcing the order of the
Federal District Court approving the Concurso Plan
and (ii) closing the chapter 15 case, in his capacity as the duly-
appointed foreign representative of Comercial Mexicana.

Judge Bernstein said the Mexican Court's Approval Order is granted
recognition and given full force and effect in the United States.

The Debtor commenced a voluntary insolvency proceeding under
Mexico's Ley de Concursos Mercantiles in Mexico before the Federal
District Court.

Controladora Comercial Mexicana SAB filed for Chapter 15
bankruptcy in the United States on July 16, 2010 (Bankr. S.D.N.Y.
Case No. 10-13750) to aid its main restructuring in Mexico, which
was approved by creditors.  CCM estimated more than US$1 billion
in both debt and assets in its Chapter 15 petition.

The U.S. filing seeks to protect the company from U.S. lawsuits
and creditor claims, following a July 14 announcement that it
filed to restructure in Mexico.

The Chapter 15 Petition was filed by Fernando del Castillo Elorza
as foreign representative.  Gary Kaplan, Esq., at Fried Frank
Harris Shriver & Jacobson in New York, represents the Foreign
Representative.


CONOLOG CORP: Posts $831,600 Net Loss in October 31 Quarter
-----------------------------------------------------------
Conolog Corporation filed its quarterly report on Form 10-Q,
reporting a net loss of $831,585 on $526,911 of product revenue
for the three months ended October 31, 2010, compared with a net
loss of $26.9 million on $468,096 of product revenue for the same
period ended October 31, 2009.

The Company's balance sheet at October 31, 2010, showed
$1.85 million in total assets, $972,574 in total liabilities, and
stockholders' equity of $875,395.

As reported in the Troubled Company Reporter on December 7, 2010,
WithumSmith+Brown, PC, in Somerville, New Jersey, expressed
substantial doubt about Conolog's ability to continue as a going
concern, following the Company's results for the fiscal year ended
July 31, 2010.  The independent auditors noted that the Company
has had recurring losses from operations of $3.53 million and
$1.62 million and used cash from operations in the amounts of
$1.64 million and $1.26 million for the years ended July 31, 2010,
and 2009, respectively.

A full-text copy of the Form 10-Q is available for free at:

               http://researcharchives.com/t/s?7162

Somerville, N.J.-based Conolog Corporation is engaged in the
design, production (directly and through subcontractors) and
distribution of small electronic and electromagnetic components
and sub-assemblies for use in telephone, radio and microwave
transmission and reception and other communication areas that are
used in both military and commercial applications.  Products are
used for transceiving various quantities, data and protective
relaying functions in industrial, utility and other markets.


DELPHI CORP: Identifies Issues for Feb. 17 Hearing for Suits
------------------------------------------------------------
On behalf of Reorganized Delphi, Eric B. Fisher, Esq., at Butzel
Long PC, in New York, wrote to Judge Robert Drain of the U.S.
Bankruptcy Court for the Southern District of New York regarding a
telephone conference scheduled for December 17, 2010, to determine
which issues relating to the Reorganized Debtors' request for
leave to file amended avoidance complaints will be addressed at a
related hearing on February 17, 2011.

Mr. Fisher apprised Judge Drain that about 77 defendants to
avoidance complaints filed by the Reorganized Debtors responded
to the Motion for Leave.  Out of those responses arose 11 issues
that the Reorganized Debtors believe are best suited for the
efficient resolution at the Feb. 17 Hearing, he related.  The
Issues generally do not turn on defendant-specific facts, but
rather relate to legal questions or factual circumstances common
to all Responding Defendants, he explained.  Moreover, the Issues
focus on the sufficiency of the Reorganized Debtors' proposed
amended pleadings, he stated.

The Reorganized Debtors thus believe that the Issues may be of
the greatest immediate interest to Judge Drain.

A list of the Issues is available without charge at:

    http://bankrupt.com/misc/Delphi_IssuesforFeb17Hearing.pdf

Mr. Fisher further noted that addressing the Issues at the
Feb. 17 Hearing would allow Judge Drain to concentrate on
what the Reorganized Debtors' proposed "amended complaints look
like" before focusing on the Responding Defendants' arguments
under Rule 4(m) of the Federal Rules of Civil Procedure,
arguments, which turn chiefly on issues of due process, notice,
prejudice and laches.  Judge Drain already heard the global Rule
4(m) arguments in connection with the Responding Defendants'
dismissal motions, and the case specific Rule 4(m) arguments will
undoubtedly be more difficult, time-consuming, and fact intensive,
Mr. Fisher stressed.

Judge Drain also scheduled to hear at the Feb. 17 Hearing motions
filed by certain of the Responding Defendants seeking relief from
a "Fourth Extension Order."  The Fourth Extension Order extended
the deadline to serve complaints pursuant to Rule 60(b)(1) of the
Federal Rules of Civil Procedure.  The issue raised in those
substantially identical motions is whether the Fourth Extension
Order should be vacated because, according to the responding
defendants, it was entered for different reasons than were prior
extension orders, he added.

                  Affinia Supplements Response

Affinia Group Holdings, Inc., and Brake Parts, Inc., submitted to
Judge Drain, a copy of Judge Kevin Gross of the U.S. Bankruptcy
Court for the District of Delaware's order entered In re Champion
Enterprises, Inc., 2010 Bankr. LEXIS 2720 Bankr. D. Del. To
supplement their objection to the Reorganized Debtors' Motion for
Leave to File Amended Complaints.

A full-text copy of Judge Gross' order dated September 1, 2010,
is available for free at:

      http://bankrupt.com/misc/Delphi_BCDecision09012010.pdf

Counsel to Affinia, Judy B. Calton, Esq., at Honigman Miller
Schwartz and Cohn LLP, in Detroit, Michigan, explains that
Champion supports the arguments in Affinia's objection,
particularly with respect to Delphi Automotive Systems LLC's
failure to properly plead facts to support the antecedent debt
and satisfaction requirements of Section 547(b)(5) of the
Bankruptcy Code, as mandated by Ashcroft v. Iqbal, 129 S. Ct.
1937 (2009).

Judge Gross held that courts in the Third Circuit generally find
that preferential transfer claims require particularized facts,
including: (i) an identification of the nature and amount of each
antecedent debt; and (ii) an identification of each alleged
preferential transfer including date, name of debtor/transferor,
name of transferee and amount of transfer.

Thus, Affinia asks Judge Drain to consider the supplemental
authority and deny the Motion for Leave to Amend Complaints.

                         About Delphi Corp.

Based in Troy, Michigan, Delphi Corporation --
http://www.delphi.com/-- is a global supplier of electronics and
technologies for automotive, commercial vehicle and other market
segments.  Delphi operates major technical centers, manufacturing
sites and customer support facilities in 30 countries.

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, represented the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represented 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.

On October 6, 2009, Delphi Corp.'s Chapter 11 plan of
reorganization became effective.  A Master Disposition Agreement
executed among Delphi Corporation, Motors Liquidation Company,
General Motors Company, GM Components Holdings LLC, and DIP Holdco
3, LLC, divides Delphi's business among three separate parties --
DPH Holdings LLC, GM Components, and DIP Holdco 3.

Delphi emerged from Chapter 11 as DPH Holdings.  DPH Holdings will
remain responsible for the post-Effective Date administration and
eventual closing of the Chapter 11 cases as well as the
disposition of certain retained assets and payment of certain
retained liabilities as provided under the Modified Plan.

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)


DIPAK DESAI: Court Denies Motion to Dismiss or Convert
------------------------------------------------------
The U.S. Bankruptcy Court for the District of Nevada denied Nevada
Mutual Insurance Company's request to appoint a Chapter 11
trustee, or alternatively, dismiss or convert the Chapter 11 case
of Dipak Desai.

Las Vegas, Nevada-based Dipak Desai, aka Dipak Desai, M.D.,
Chartered, filed for Chapter 11 bankruptcy protection on
February 26, 2010 (Bankr. D. Nev. Case No. 10-13050).  Bruce
Thomas Beesley, Esq., at Lewis And Roca LLP, and Michael F. Lynch,
Esq., who has an office in Las Vegas, Nevada, represents the
Debtor.  The Company disclosed $22,324,179 in assets and
$1,892,555 in liabilities as of the Petition Date.


DRYSHIPS INC: Inks $770 Million Tanker Agreement
------------------------------------------------
DryShips Inc. has entered into agreements with a first class
Korean shipyard to purchase 12 high specification newbuilding
tankers at a total purchase price of about $770 million, including
over $3 million per vessel in extra items.

The deliveries of the vessels are scheduled as follows:

   * Six newbuilding Aframax tankers with following deliveries:
     four in 2011 and two in 2012

   * Six newbuilding Suezmax tankers with following deliveries:
     one in 2011, two in 2012 and three in 2013.

The Company has made initial payments of about $120 million
against these newbuilding contracts from cash on hand.  The
Company intends to finance the remaining capital commitments,
which include delivery installments of about 70% of each vessel's
price, with cash on hand and bank debt.  The Company intends to
position its tanker investments for a spinoff or initial public
offering.

                       About DryShips Inc.

Based in Greece, DryShips Inc. -- http://www.dryships.com/--
-- owns and operates drybulk carriers and offshore oil
deep water drilling units that operate worldwide.  As of September
10, 2010, DryShips owns a fleet of 40 drybulk carriers (including
newbuildings), comprising 7 Capesize, 31 Panamax and 2 Supramax,
with a combined deadweight tonnage of over 3.6 million tons and
6 offshore oil deep water drilling units, comprising of 2 ultra
deep water semisubmersible drilling rigs and 4 ultra deep water
newbuilding drillships.

DryShips's common stock is listed on the NASDAQ Global Select
Market where it trades under the symbol "DRYS".

The Company's balance sheet at Sept. 30, 2010, showed
$5.80 million in total assets, $1.90 million in total current
liabilities, $1.10 million in total noncurrent liabilities, and
stockholders' equity of $2.80 million.

On November 25, 2010, DryShips Inc. entered into a waiver letter
for its $230.0 million credit facility dated September 10, 2007,
as amended, extending the waiver of certain covenants through
December 31, 2010.

As reported in the Troubled Company Reporter on Sept. 29, 2010,
the Company said it is currently in negotiations with its lenders
to obtain waivers, waiver extensions or to restructure its debt.
As of June 30, 2010, the Company's theoretical exposure (current
portion of long-term debt less cash and cash equivalents less
restricted cash) amounted to $761.4 million.


DRYSHIPS INC: Board Approves Share Purchase Program
---------------------------------------------------
DryShips Inc. said its Board of Directors has approved a share
purchase program for up to a total of $25.0 million of common
stock of its majority-owned subsidiary Ocean Rig UDW Inc., which
may be purchased from time to time through March 31, 2011.

Share purchases by the Company will be made for cash in open
market transactions in Norway on the OTC market maintained by the
Norwegian Association of Stockbroking Companies at prevailing
market prices or in privately negotiated transactions; provided
that the maximum price shall be $17.50 per share.  The timing and
amount of purchases under the program will be determined by
management based upon market conditions and other factors.

The program does not require the Company to purchase any specific
number or amount of Ocean Rig UDW Inc. common stock and may be
suspended or reinstated at any time in the Company's discretion
and without notice.

                       About DryShips Inc.

Based in Greece, DryShips Inc. -- http://www.dryships.com/--
-- owns and operates drybulk carriers and offshore oil
deep water drilling units that operate worldwide.  As of September
10, 2010, DryShips owns a fleet of 40 drybulk carriers (including
newbuildings), comprising 7 Capesize, 31 Panamax and 2 Supramax,
with a combined deadweight tonnage of over 3.6 million tons and
6 offshore oil deep water drilling units, comprising of 2 ultra
deep water semisubmersible drilling rigs and 4 ultra deep water
newbuilding drillships.

DryShips's common stock is listed on the NASDAQ Global Select
Market where it trades under the symbol "DRYS".

The Company's balance sheet at Sept. 30, 2010, showed $5.80
million in total assets, $1.90 million in total current
liabilities, $1.10 million in total non current liabilities, and
stockholders' equity of $2.80 million.

On November 25, 2010, DryShips Inc. entered into a waiver letter
for its $230.0 million credit facility dated September 10, 2007,
as amended, extending the waiver of certain covenants through
December 31, 2010.

As reported in the Troubled Company Reporter on Sept. 29, 2010,
the Company said it is currently in negotiations with its lenders
to obtain waivers, waiver extensions or to restructure its debt.
As of June 30, 2010, the Company's theoretical exposure (current
portion of long-term debt less cash and cash equivalents less
restricted cash) amounted to $761.4 million.


E-DEBIT GLOBAL: Posts $445,900 Net Loss in Q3 2010
--------------------------------------------------
E-Debit Global Corporation filed its quarterly report on Form
10-Q, reporting a net loss of $445,896 on $1,032,019 of revenues
for the three months ended September 30, 2010, compared with a net
loss of $75,371 on $1,096,116 of revenues for the same period of
2009.

The Company's balance sheet at September 30, 2010, showed
$1,791,984 in total assets, $1,956,942 in total liabilities, and a
stockholders' deficit of $164,958.

As of September 30, 2010, the Company had a working capital
deficit of $769,970 and an accumulated deficit of $4,082,227.

Cordovano and Honeck LLP, in Englewood, Colorado, expressed
substantial doubt about E-Debit Global Corporation's ability to
continue as a going concern, following the Company's 2009 results.
The independent auditors noted that the Company has suffered
recurring losses, has a working capital deficit at December 31,
2009, and has an accumulated deficit of $760,509 as of
December 31, 2009.

A full-text copy of the Form 10-Q is available for free at:

               http://researcharchives.com/t/s?715f

About E-Debit Global Corporation is a financial holding company in
Canada.  The Company's primary business is the sale and operation
of cash vending (ATM) and point of sale (POS) machines in Canada.


E*TRADE FINANCIAL: Names Matthew Audette as Chief Fin'l Officer
---------------------------------------------------------------
E*TRADE Financial Corporation has appointed Matthew Audette as its
Chief Financial Officer effective January 1, 2011.

On December 22, 2010, the Company entered into an employment
agreement with Mr. Audette, effective upon his commencement as
Chief Financial Officer.  Mr. Audette's compensation will include
a $500,000 annual salary and an annual target cash bonus
opportunity of $600,000, as well as annual equity award
opportunities.  In connection with his promotion, he will receive
stock options and restricted stock units with a total grant date
value of approximately $750,000, which will vest annually over
four years.

Mr. Audette will be provided with relocation benefits to be
determined by the Company.  The employment agreement has the
standard severance terms for the Company's executive officers,
providing that if he is involuntary terminated without cause or
resigns for good reason and signs a release, he will receive a
prorated bonus for the year of termination, one times the sum of
salary plus target bonus, 12 months of health benefits, and 12
months of accelerated vesting of equity awards.

If the termination occurs in connection with a change in control,
the severance benefits will be two times the sum of salary plus
target bonus, 24 months of health benefits and full accelerated
vesting of equity awards.

                     About E*Trade Financial

The E*Trade Financial (NASDAQ: ETFC) family of companies provides
financial services including trading, investing and related
banking products and services to retail investors.  Securities
products and services are offered by E*TRADE Securities LLC
(Member FINRA/SIPC).  Bank products and services are offered by
E*TRADE Bank, a Federal savings bank, Member FDIC, or its
subsidiaries.

The Company's balance sheet at Sept. 30, 2010, showed
$45.27 billion in total assets, $41.10 billion in total
liabilities, and stockholder's equity of $4.16 billion.

                         *     *     *

E*Trade has a 'B3' long-term issuer rating from Moody's Investors
Service.  In July 2010, when Moody's changed the outlook to
'stable' from 'negative', the ratings agency said, "E*TRADE's
credit profile remains vulnerable to a significantly
worse-than-anticipated level of credit losses at the bank, which
has previously been the primary reason for the negative outlook.
However, Moody's now thinks that the probability of this scenario
is reduced by E*TRADE's improved delinquency trends --
delinquencies have been stable or trending down for the last nine
months -- and the continued seasoning of its portfolio."

DBRS has confirmed the ratings for E*TRADE Financial Corporation
(E*TRADE, the Company or the Parent) and E*TRADE Bank (the Bank).
DBRS rates E*TRADE's Issuer & Senior Debt at B (high) and the
Bank's Deposits & Senior Debt at BB.  The trend on all ratings
remains Negative, except for the Bank's Short-Term Instruments
rating, which is Stable.

DBRS has commented that its ratings of E*TRADE Financial
Corporation remain unchanged after the Company's 3Q10 earnings
announcement.  DBRS rates E*TRADE's Issuer & Senior Debt at B
(high) and E*TRADE Bank's Deposits & Senior Debt (the Bank) at
BB.  All ratings, except the Short-Term Instruments rating of
the Bank, have a Negative trend. The Company reported net income
of $8 million in the quarter, its second consecutive quarter of
profitability, following net income of $35 million in 2Q10.  In
the prior year's quarter, E*TRADE reported a net loss of
$82 million, excluding a one-time non-cash charge related
to its debt exchange.  Over the past year, the Company has made
significant progress in preserving its strong franchise, reducing
non-core asset exposure and bolstering capitalization.  Combined
with improving credit trends, E*TRADE's swing to positive earnings
is an important step from a ratings perspective.  The positive
earnings performance was largely driven by lower loan loss
provisions, which declined 8% quarter-over-quarter (QoQ) and a
more substantial 56% year-over-year (YoY).  With improving credit
performance trends supporting the reduction in provisions, DBRS
anticipates that E*TRADE could continue to generate positive
quarterly results, but the environment remains challenging.


EIGEN INC: Chapter 11 Bankruptcy Case Terminates on December 31
---------------------------------------------------------------
The Hon. Peter J. Walsh of the U.S. Bankruptcy Court for the
District of Delaware entered a final decree closing the Chapter 11
case of Eigen, Inc., by December 31, 2010.

The Debtor's Plan of Liquidation was confirmed and the effective
date occurred on November 10.

As reported in the Troubled Company Reporter on September 22, the
Debtor proposed the Plan, in consultation with the Official
Committee of Unsecured Creditors' and Kazi Management VI, LLC, the
purchaser of substantially all of its assets, that provides for:
(i) a timely distribution of the Debtor's remaining Assets; (ii)
the estate and the Debtor's creditors with the proceeds of the
Committee Settlement; and (iii) unnecessary costs to the Debtor's
estate.

Under the Plan, holders of allowed general unsecured claims will
share, on a pro-rata basis, the proceeds of the Committee
Settlement.  The Debtor estimates that holders of unsecured claims
expected to aggregate $1,350,000 will receive an estimated
recovery of 22% on account of their allowed claims.

A full-text copy of the Disclosure Statement is available for free
at http://bankrupt.com/misc/EigenInc_BlacklineDS.pdf

                         About Eigen, Inc.

Grass Valley, California-based Eigen, Inc., a.k.a. Eigen, LLC,
develops tools for healthcare professionals.  The Company filed
for Chapter 11 bankruptcy protection on March 30, 2010 (Bankr. D.
Del. Case No. 10-11061).  Polsinelli Shughart PC, represents the
Debtor.  The Debtor disclosed $10,065,957 in assets and
$22,332,325 in liabilities.


EXCELITAS TECHNOLOGIES: S&P Assigns 'B+' Corp. Credit Rating
------------------------------------------------------------
Standard & Poor's Ratings Services said that it has assigned its
'B+' corporate credit rating to Waltham, Mass.-based Excelitas
Technologies Corp.  At the same time, S&P assigned a 'BB-' issue-
level rating to the company's $215 million senior secured credit
facility, with a recovery rating of '2', indicating S&P's
expectation of a substantial (70%-90%) recovery in a default
scenario.  The outlook is stable.

"The ratings on Excelitas primarily reflect the company's
aggressive financial risk profile," said Standard & Poor's credit
analyst Carol Hom.  "Its business risk profile is characterized by
its leading market position in a niche industry, good
profitability, and decent cash flow generation.  S&P expects
Excelitas' revenue to grow modestly in 2011; S&P also expects it
to use some of its free operating cash flow to reduce debt,
resulting in total adjusted debt to EBITDA of 5x or less by the
end of 2011.  The ratings also reflect S&P's expectation that
Excelitas' new revolver and decent cash flow generation will
continue to support adequate liquidity.  Excelitas Technologies
Corp. became the new legal name for IDS Acquisition Corp. in
October 2010."

The outlook is stable.  "S&P expects the company to operate within
credit measures commensurate for the rating over the business
cycle," Ms. Hom continued.  "However, S&P could lower the ratings
if a worse-than-expected market downturn and/or debt-financed
activities adversely affect liquidity or result in a meaningful
deterioration of credit measures, for example, if its debt to
EBITDA remains significantly higher than 5x for an extended
period.  On the other hand, if Excelitas' competitiveness remains
healthy in the long run, and if this is supported by the company's
credit measures, liquidity, and financial policies, S&P could
upgrade the rating."


FIRST DATA: Discloses Final Results of Private Exchange Offers
--------------------------------------------------------------
First Data Corporation reported the expiration and final results
of its private exchange offers, in which the Company offered to
exchange its 9.875% Senior Notes due 2015 and its 10.550% Senior
PIK Notes due 2015, subject to the Maximum Exchange Amount, for
the new securities, payable:

   i) 50% in new 8.25% Senior Second Lien Notes due 2021 or, at
      the election of each holder who tendered prior to the
      Early Tender Date and subject to the Maximum New PIK Toggle
      Amount, in new 8.75/10.00% PIK Toggle Senior Second Lien
      Notes due 2022, and

  ii) 50% in new 12.625% Senior Notes due 2021.

The Exchange Offers expired at midnight, New York City time, on
December 15, 2010.

The maximum aggregate principal amount of New Notes issuable in
the Exchange Offers was $6.0 billion.  The maximum aggregate
principal amount of New PIK Toggle Second Lien Notes issuable in
the Exchange Offers was $1.0 billion.

As of the Expiration Date, $3.187 billion aggregate principal
amount of Old Cash-Pay Notes, representing 85% of the outstanding
Old Cash-Pay Notes, were validly tendered in the Exchange Offers,
and $3.262 billion aggregate principal amount of Old PIK Notes,
representing 88% of the outstanding Old PIK Notes, were validly
tendered in the Exchange Offers.  Acceptance of Old Notes validly
tendered.  The proration rate for tenders of Old Notes that
elected to receive New Second Lien Notes in the form of New PIK
Toggle Second Lien Notes was 0.94713584.  The proration rate for
tenders of Old Notes that did not make a PIK Toggle Election was
0.89947090.

As a result of this proration, of the Old Notes validly tendered
in the Exchange Offers, the Company has accepted for exchange
$2.966 billion aggregate principal amount of Old Cash-Pay Notes
and $3.035 billion aggregate principal amount of Old PIK Notes.

In the Exchange Offers, the demand for New PIK Toggle Second Lien
Notes exceeded the Maximum New PIK Toggle Amount.  As a result,
holders will receive in exchange for all Old Notes validly
tendered with respect to which a PIK Toggle Election was made, a
portion of the New Second Lien Notes to which they are entitled in
the form of New PIK Toggle Second Lien Notes and the balance in
the form of New Cash-Pay Second Lien Notes.

On the settlement date for the Exchange Offers, which the Company
expects to be December 17, 2010, the Company will issue $6.000
billion aggregate principal amount of New Notes in exchange for
the Old Notes validly tendered and accepted in the Exchange
Offers.  The New Notes will be comprised of $1.000 billion
aggregate principal amount of New PIK Toggle Second Lien Notes,
$2.000 billion aggregate principal amount of New Cash-Pay Notes
and $3.000 billion aggregate principal amount of New Unsecured
Notes.

Upon settlement of the Exchange Offers, the holders whose Old
Notes are exchanged pursuant to the Exchange Offers will receive,
subject to terms and conditions of the Exchange Offers, the
following consideration payable for each $1,000 principal amount
of Old Notes accepted for exchange:

   * in the case of such Old Notes validly tendered in respect of
     which a PIK Toggle Election was made, (i) $500.00 principal
     amount of New Second Lien Notes in the form of (a)
     $250.302375 principal amount of New PIK Toggle Second Lien
     Notes and (b) $249.697625 principal amount of New Cash-Pay
     Second Lien Notes, and (ii) $500.00 principal amount of New
     Unsecured Notes;

   * in the case of such Old Notes validly tendered at or prior to
     5:00 p.m., New York City time, on December 1, 2010 in respect
     of which a PIK Toggle Election was not made, $500.00
     principal amount of New Cash-Pay Second Lien Notes and
     $500.00 principal amount of New Unsecured Notes; and

   * in the case of such Old Notes validly tendered after the
     Early Tender Date but before the Expiration Date, $485.00
     principal amount of New Cash-Pay Second Lien Notes and
     $485.00 principal amount of New Unsecured Notes.

In addition to the above amounts of New Notes, holders whose Old
Notes are exchanged pursuant to the Exchange Offers will receive
cash in lieu of any fractional amount of New Notes not received as
a result of rounding.

All holders whose Old Notes are exchanged pursuant to the Exchange
Offers will also receive accrued and unpaid interest in cash from
the last applicable interest payment date to, but not including,
the settlement date for the Exchange Offers.

The Exchange Offers were made upon the terms and subject to the
conditions set forth in the confidential Offering Memorandum dated
November 17, 2010, and the related letter of transmittal, as
amended by the press release issued on December 2, 2010.

                        About First Data

Based in Atlanta, Georgia, First Data Corporation, with over
$10 billion of revenue for the 12 months ended June 30, 2010,
provides commerce and payment solutions for financial
institutions, merchants, and other organizations worldwide.

As reported by the Troubled Company Reporter on November 23, 2010,
Moody's Investors Service expects First Data's new debt
instruments will likely be rated Caa1 assuming that 50% of the old
notes are exchanged.  The final ratings and Loss Given Default
assessments will be determined ultimately by the allocation
between the new and old notes upon completion of the debt
exchange.

The last rating action was on August 11, 2010, when Moody's
assigned a B1 rating to First Data's new $500 million senior
secured first lien notes and affirmed the company's B3 CFR and
existing ratings with a stable outlook.

The TCR also reported November 23, 2010, that Fitch Ratings
expects to assign a 'CCC/RR6' rating to First Data's proposed
issuance of up to $2.75 billion in second lien notes as part of
its exchange offer.

Moody's Investors Service assigned Caa1 ratings to First Data
Corp.'s new $2 billion 8.25% Senior Second Lien Notes due 2021,
$1 billion PIK Toggle Senior Second Lien Notes due 2022, and
$3 billion 12.625% Senior Unsecured Notes due 2021.  Moody's
also affirmed the company's existing ratings with a stable
outlook.


FNB UNITED: Gets Noncompliance Letter From Nasdaq Stock Market
--------------------------------------------------------------
FNB United Corp. on December 20, 2010, received a written notice
from The Nasdaq Stock Market indicating that FNB United is not in
compliance with Rule 5450(b)(1)(C), the market value rule, because
the market value of its publicly held shares was below $5,000,000
for the 30 consecutive business days ended December 17, 2010.
Rule 5810(c)(3)(D) provides FNB United with 180 calendar days, or
until June 20, 2011, to regain compliance with the market value
rule.  If at any time during this 180-day grace period the market
value of FNB United's publicly held shares closes at $5,000,000 or
more for a minimum of 10 consecutive days, Nasdaq will send to FNB
United written confirmation of compliance.

If FNB United does not regain compliance with the market value
rule by June 20, 2011, it will receive written notification from
Nasdaq that its common stock is subject to delisting.

Alternatively, FNB United may consider applying for a transfer to
The Nasdaq Capital Market.  To pursue this alternative, FNB United
will need to submit an application to transfer its common stock to
The Nasdaq Capital Market prior to June 20, 2011.

As reported in its current report on Form 8-K dated August 2,
2010, FNB United received notification from Nasdaq that it is not
in compliance with Rule 5450(a)(1), the bid price rule.  The 180-
day grace period to achieve compliance with the bid price rule
will expire on January 31, 2011.  FNB United may be eligible for
an additional grace period if it meets the initial listing
standards, with the exception of bid price, for The Nasdaq Capital
Market and submits an application to transfer its common stock to
that market.  In light of its market value and bid price rule
deficiencies, FNB United is reviewing its alternatives, including
the transfer of its common stock to The Nasdaq Capital Market and
delisting.

The notices from Nasdaq have no effect at this time on the listing
of FNB United common stock on The Nasdaq Global Select Market,
where it trades under the symbol "FBN."

                         About FNB United

Asheboro, N.C.-based FNB United Corp. (Nasdaq:FNBN) is the bank
holding company for CommunityOne Bank, N.A., and the bank's
subsidiary, Dover Mortgage Company.  Opened in 1907, CommunityOne
Bank -- http://www.MyYesBank.com/-- operates 45 offices in 38
communities throughout central, southern and western North
Carolina.  Through these subsidiaries, FNB United offers a
complete line of consumer, mortgage and business banking services,
including loan, deposit, cash management, wealth management and
internet banking services.

In its Form 10-Q for the three months ended June 30, 2010, the
Company acknowledged the existence of certain conditions that
raise substantial doubt its ability to continue as a going
concern, including significant losses that the Company incurred in
2009 and the Bank's agreement to the issuance of a Consent Order
by the OCC, dated July 22, 2010.  In the Consent Order, the Bank
and the OCC agreed as to areas of the Bank's operations that
warrant improvement and a plan for making those improvements.


FNB UNITED: William Bruton Will Retire as Chief Credit Officer
--------------------------------------------------------------
FNB United Corp. said William S. Bruton, the bank's Chief Credit
Officer, will retire effective December 31, 2010.  Mr. Bruton has
served in this position from 1995 until the present.  R. Larry
Campbell, Interim President and CEO, offered thanks and
appreciation to Mr. Bruton for his 23 years of service to the
bank.

David C. Lavoie has been appointed as the bank's new Chief Credit
Officer.  Mr. Lavoie will assume his responsibilities on
December 22, 2010.  Mr. Lavoie has 25 years' experience in
banking, with extensive risk management expertise in consumer and
commercial real estate acquired while with a large, nationwide
commercial bank.  His specialized skills will be advantageous as
he directs the bank's credit department.  He will work with both
bank staff and customers to address the effects on loans and
lending caused by the recession in the commercial and residential
real estate markets.

                         About FNB United

Asheboro, N.C.-based FNB United Corp. (Nasdaq:FNBN) is the bank
holding company for CommunityOne Bank, N.A., and the bank's
subsidiary, Dover Mortgage Company.  Opened in 1907, CommunityOne
Bank -- http://www.MyYesBank.com/-- operates 45 offices in 38
communities throughout central, southern and western North
Carolina.  Through these subsidiaries, FNB United offers a
complete line of consumer, mortgage and business banking services,
including loan, deposit, cash management, wealth management and
internet banking services.

In its Form 10-Q for the three months ended June 30, 2010, the
Company acknowledged the existence of certain conditions that
raise substantial doubt its ability to continue as a going
concern, including significant losses that the Company incurred in
2009 and the Bank's agreement to the issuance of a Consent Order
by the OCC, dated July 22, 2010.  In the Consent Order, the Bank
and the OCC agreed as to areas of the Bank's operations that
warrant improvement and a plan for making those improvements.


FREDDIE MAC: Files November 2010 Monthly Volume Summary
-------------------------------------------------------
Freddie Mac, formally known as the Federal Home Loan Mortgage
Corporation, issued November 2010 Monthly Volume Summary issued by
Freddie Mac on December 23, 2010.  A full-text copy of the Monthly
Summary is available for free at:

                http://ResearchArchives.com/t/s?7165

Based in McLean, Virginia, the Federal Home Loan Mortgage
Corporation, known as Freddie Mac (OTCBB: FMCC) --
http://www.FreddieMac.com/-- was established by Congress in
1970 to provide liquidity, stability and affordability to the
nation's residential mortgage markets.  Freddie Mac supports
communities across the nation by providing mortgage capital to
lenders.  Over the years, Freddie Mac has made home possible for
one in six homebuyers and more than five million renters.

Freddie Mac is under conservatorship and is dependent upon the
continued support of Treasury and FHFA to continue operating its
business.  The Company received $6.1 billion and $30.8 billion in
June 2009 and March 2009, respectively, pursuant to draw requests
that FHFA submitted to Treasury on the Company's behalf to address
the deficits in the Company's net worth as of March 31, 2009, and
December 31, 2008, respectively.  As a result of funding of the
draw requests, the aggregate liquidation preference on the senior
preferred stock owned by Treasury increased from $14.8 billion as
of December 31, 2008, to $51.7 billion on December 31, 2009.

Fitch Ratings has affirmed the long-term Issuer Default Ratings,
senior debt ratings and short-term IDRs of Freddie Mac at 'AAA'
and 'F1+', respectively.  In addition, Freddie's Support Rating of
'1' and Support Floor of 'AAA' have also been affirmed.  The
Rating Outlook remains Stable.


FUSION CUISINE: Court Won't Reverse Chapter 7 Conversion
--------------------------------------------------------
Bankruptcy Judge S. Martin Teel, Jr., denied Fusion Cuisine,
Inc.'s motion to vacate a prior Court order converting its case
from Chapter 11 to Chapter 7.  The Debtor's failure to file
monthly operating reports on a timely basis frustrated the United
States Trustee's monitoring of the case, and when those monthly
operating reports were filed woefully late -- on the eve of the
hearing on the motion to convert the case -- they showed a failure
to pay District of Columbia sales and withholding tax obligations
incurred in the operation of the business, numerous "bounced"
checks leading to substantial bank charges, and a failure to pay
rent on the debtor's lease of real property -- a lease that is a
critical component of any going concern value of the debtor's
business.  The failure timely to file monthly operating reports
that would have disclosed substantial mismanagement warranted an
order converting the case to Chapter 7.

A copy of the Court's Dec. 23 Memorandum Opinion and Order is
available at http://is.gd/jxutJfrom Leagle.com.

Washington D.C.-based Fusion Cuisine, Inc., filed for Chapter 11
bankruptcy (Bankr. D. D.C. Case No. 10-00821) on August 20, 2010,
listing between $100,000 and $500,000 in both assets and debts.
Kenneth L. Samuelson, Esq., at Samuelson Law Offices, LLC, in
Washington, DC, served as the Debtor's bankruptcy counsel.
A copy of the Debtor's petition is available at:

             http://bankrupt.com/misc/dcb10-00821.pdf


GENERAL GROWTH: Lenders to Help New GGP Refinancing
---------------------------------------------------
General Growth Properties, Inc. -- New GGP -- has about $700
million in cash on hand to help close many of refinancings it
expects to complete with the help of certain lenders, Alex
Finkelstein of the Commercial Real Estate Channel related.

New GGP contemplated refinancing about $15 billion worth of
mortgages it restructured during the company's bankruptcy.

To help New GGP in its refinancings are J.P. Morgan Chase & Co.;
Goldman Sachs Group Inc.; Wells Fargo & Co.; Deutsche Bank AG;
Bank of America Corp.; Morgan Stanley and RBS Securities, the
report related.

Mr. Finkelstein commented that the lenders smell fresh commissions
to be earned on commercial mortgaged-backed securities they might
place for New GGP.  Some of New GGP's debt load will be placed
with insurance companies, the report added.

                      About General Growth

Based in Chicago, Illinois, General Growth Properties, Inc. --
http://www.ggp.com/-- is the second-largest U.S. mall owner,
having ownership interest in, or management responsibility for,
more than 200 regional shopping malls in 44 states, as well as
ownership in master planned community developments and commercial
office buildings.  The Company's portfolio totals roughly
200 million square feet of retail space and includes more than
24,000 retail stores nationwide.  General Growth is a self-
administered and self-managed real estate investment trust.  The
Company's common stock is trading in the pink sheets under the
symbol GGWPQ.

General Growth Properties Inc. and its affiliates filed for
Chapter 11 protection on April 16, 2009 (Bankr. S.D.N.Y., Case No.
09-11977).  Marcia L. Goldstein, Esq., Gary T. Holtzer, Esq.,
Adam P. Strochak, Esq., and Stephen A. Youngman, Esq., at Weil,
Gotshal & Manges LLP, serve as bankruptcy counsel.  Kirkland &
Ellis LLP is co-counsel.  Kurtzman Carson Consultants LLC has been
engaged as claims agent.  The Company also hired AlixPartners LLP
as financial advisor and Miller Buckfire Co. LLC, as investment
bankers.  The Debtors disclosed $29,557,330,000 in assets and
$27,293,734,000 in debts as of December 31, 2008.

General Growth Properties on November 9, 2010, successfully
completed the final steps of its financial restructuring and
emerged from Chapter 11.  GGP successfully restructured
approximately $15 billion of project-level debt Recapitalized with
$6.8 billion in new equity capital Paid all creditor claims in
full achieved substantial recovery for equity holders.

As part of its plan of reorganization, GGP has split itself into
two separate and independent publicly traded corporations. GGP
shareholders as of the record date of November 1, 2010 received
common stock in both companies.  The new GGP, which will commence
trading November 10 on The New York Stock Exchange under the
ticker symbol "GGP," is the second-largest shopping mall owner and
operator in the country, with more than 183 regional malls in 43
states.  The spin-off company, The Howard Hughes Corporation,
consists of GGP's portfolio of master planned communities and
other strategic real estate development opportunities.  This
company will trade under the ticker symbol "HHC" on The New York
Stock Exchange.

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


GENERAL GROWTH: New GGP Makes Dividend of $0.38 Per Share
---------------------------------------------------------
General Growth Properties, Inc. said its Board of Directors has
declared a common stock dividend of $0.38 per share, payable in a
combination of cash and common stock.  The dividend is payable on
January 27, 2011, to stockholders of record on December 30, 2010.
The cash component of the dividend will be limited to 10% in the
aggregate.

In accordance with Internal Revenue Service procedure,
stockholders may elect to receive payment of the dividend
all in cash or all in common stock.  To the extent that
stockholders elect, in the aggregate, to receive more than
10% of the dividend in cash, the cash portion of the dividend
payable to each stockholder who elects to receive cash will
be prorated.  Stockholders who do not make an election will
receive 100% in common stock.  The number of shares of common
stock issued as a result of the dividend will be calculated
based on the volume weighted average trading prices of GGP's
common stock on January 19, 20 and 21, 2011.  Cash will be
issued in lieu of any fractional shares.  GGP expects the
dividend to be taxable to its stockholders, without regard to
whether a particular stockholder receives the dividend in the
form of cash or common stock.

An information letter and election form will be mailed to
stockholders of record promptly after December 30, 2010.  The
properly completed election form to receive cash or shares of
common stock must be received by GGP's transfer agent prior to
5:00 p.m. (EST) on January 21, 2011.  Registered stockholders with
questions regarding the dividend election may call BNY Mellon
Shareowner Services, GGP's transfer agent, at (201) 680-6578.  If
your shares of common stock are held through a bank, broker or
nominee, and you have questions regarding the dividend election,
please contact such bank, broker or nominee, who will also be
responsible for distributing to you the letter and election form
and submitting the election form on your behalf.

                      About General Growth

Based in Chicago, Illinois, General Growth Properties, Inc. --
http://www.ggp.com/-- is the second-largest U.S. mall owner,
having ownership interest in, or management responsibility for,
more than 200 regional shopping malls in 44 states, as well as
ownership in master planned community developments and commercial
office buildings.  The Company's portfolio totals roughly
200 million square feet of retail space and includes more than
24,000 retail stores nationwide.  General Growth is a self-
administered and self-managed real estate investment trust.  The
Company's common stock is trading in the pink sheets under the
symbol GGWPQ.

General Growth Properties Inc. and its affiliates filed for
Chapter 11 protection on April 16, 2009 (Bankr. S.D.N.Y., Case No.
09-11977).  Marcia L. Goldstein, Esq., Gary T. Holtzer, Esq.,
Adam P. Strochak, Esq., and Stephen A. Youngman, Esq., at Weil,
Gotshal & Manges LLP, serve as bankruptcy counsel.  Kirkland &
Ellis LLP is co-counsel.  Kurtzman Carson Consultants LLC has been
engaged as claims agent.  The Company also hired AlixPartners LLP
as financial advisor and Miller Buckfire Co. LLC, as investment
bankers.  The Debtors disclosed $29,557,330,000 in assets and
$27,293,734,000 in debts as of December 31, 2008.

General Growth Properties on November 9, 2010, successfully
completed the final steps of its financial restructuring and
emerged from Chapter 11.  GGP successfully restructured
approximately $15 billion of project-level debt Recapitalized with
$6.8 billion in new equity capital Paid all creditor claims in
full achieved substantial recovery for equity holders.

As part of its plan of reorganization, GGP has split itself into
two separate and independent publicly traded corporations. GGP
shareholders as of the record date of November 1, 2010 received
common stock in both companies.  The new GGP, which will commence
trading November 10 on The New York Stock Exchange under the
ticker symbol "GGP," is the second-largest shopping mall owner and
operator in the country, with more than 183 regional malls in 43
states.  The spin-off company, The Howard Hughes Corporation,
consists of GGP's portfolio of master planned communities and
other strategic real estate development opportunities.  This
company will trade under the ticker symbol "HHC" on The New York
Stock Exchange.

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


GENERAL GROWTH: New GGP Restructuring Spurs CRE Fundraising Surge
-----------------------------------------------------------------
Companies and funds reported raising $13.2 billion in November
2010 arising from commercial real estate-related transactions,
www.costar.com reported.

According to the article, the amount was $5 billion more than was
raised in October -- all of which was to be used to complete the
financial restructuring of GGP.

The report further noted that the $13.2 billion raised brings the
total inflow for the 11 months of 2010 to more than $91 billion
from about 1,583 entities.

For November, 143 investment entities reported newly raised
amounts of money, with 13 funds raising $6.77 billion for debt
repayment and 11 entities raised $346 million for non-property-
related investments, the report disclosed.

The remaining $6.08 billion was raised by 119 entities for
property investment, the report added.

                      About General Growth

Based in Chicago, Illinois, General Growth Properties, Inc. --
http://www.ggp.com/-- is the second-largest U.S. mall owner,
having ownership interest in, or management responsibility for,
more than 200 regional shopping malls in 44 states, as well as
ownership in master planned community developments and commercial
office buildings.  The Company's portfolio totals roughly
200 million square feet of retail space and includes more than
24,000 retail stores nationwide.  General Growth is a self-
administered and self-managed real estate investment trust.  The
Company's common stock is trading in the pink sheets under the
symbol GGWPQ.

General Growth Properties Inc. and its affiliates filed for
Chapter 11 protection on April 16, 2009 (Bankr. S.D.N.Y., Case No.
09-11977).  Marcia L. Goldstein, Esq., Gary T. Holtzer, Esq.,
Adam P. Strochak, Esq., and Stephen A. Youngman, Esq., at Weil,
Gotshal & Manges LLP, serve as bankruptcy counsel.  Kirkland &
Ellis LLP is co-counsel.  Kurtzman Carson Consultants LLC has been
engaged as claims agent.  The Company also hired AlixPartners LLP
as financial advisor and Miller Buckfire Co. LLC, as investment
bankers.  The Debtors disclosed $29,557,330,000 in assets and
$27,293,734,000 in debts as of December 31, 2008.

General Growth Properties on November 9, 2010, successfully
completed the final steps of its financial restructuring and
emerged from Chapter 11.  GGP successfully restructured
approximately $15 billion of project-level debt Recapitalized with
$6.8 billion in new equity capital Paid all creditor claims in
full achieved substantial recovery for equity holders.

As part of its plan of reorganization, GGP has split itself into
two separate and independent publicly traded corporations. GGP
shareholders as of the record date of November 1, 2010 received
common stock in both companies.  The new GGP, which will commence
trading November 10 on The New York Stock Exchange under the
ticker symbol "GGP," is the second-largest shopping mall owner and
operator in the country, with more than 183 regional malls in 43
states.  The spin-off company, The Howard Hughes Corporation,
consists of GGP's portfolio of master planned communities and
other strategic real estate development opportunities.  This
company will trade under the ticker symbol "HHC" on The New York
Stock Exchange.

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


GENERAL GROWTH: New GGP, THHC To Take Actions on Stalled Projects
-----------------------------------------------------------------
With its emergence from bankruptcy, General Growth Properties,
Inc. -- New GGP -- is expected to take action in connection to a
construction of a Walmart supercenter on a site owned by the
company, an attorney for Lockport, Michigan told Buffalo News.

The mall-owner's emergence from bankruptcy means its transactions
will no longer need approval by the Court, which was one of the
hurdles the project faced, Buffalo News explained.

The construction project was subject to a lawsuit filed by certain
town residents, the report stated.  The case ended in February
2010, when the State Court of Appeals refused to hear the
proceeding, the report cited.  The group known as Lockport Smart
Growth lost in State Supreme Court in 2008 and in the Appellate
Division in 2009, the report added.

The report recalled that Walmart intends to buy the site where
Lockport Mall stood from GGP except for a single tenant that will
remain a New GGP property.  Other than the Bon-Ton store, the rest
of the mall will be demolished, the report stated.

The subdivision of the mall property to allow the existence of
Bon-Ton forced Walmart to apply for waivers, mostly regarding the
proper distance of buildings from property boundaries, the report
disclosed.  That opened the door to lawsuits from town residents
who alleged that that town approved the waivers illegally, Buffalo
News stated.

In related news, The Howard Hughes Corp., the company spun-off
from Old GGP, has begun talks with New York city agencies and
architects of South Street Seaport regarding development plans of
the property, DNAinfo related.

The article stated that SHoP architects designed Old GGP's
original plan in 2008 to raze the Pier 17 mall and build a hotel
and retail complex anchored by a 500-foot tower.  Local residents
were however concerned of the height of the tower and that the
upscale development would shut out the community, the article
noted.  In turn, Old GGP proposed several givebacks, including a
community center and a school, the article added.

The development plan received strong support from the City's
Economic Development Corp. which owned the Seaport property, the
report stated.  However, the City's Landmarks Preservation
Commission rejected the development plan, calling the design
inappropriate for the South Street Historic District, the report
related.

According to the report, commissioners also raised concerns about
Old GGP's plan to move the Tin Building from the base of the pier
to its tip.  The Commissioners did not vote on the development
plan but has proposed that Old GGP revise it, the report stated.
Before Old GGP could submit a revised development plan, the
company declared bankruptcy and the development was put on hold,
the report added.

                      About General Growth

Based in Chicago, Illinois, General Growth Properties, Inc. --
http://www.ggp.com/-- is the second-largest U.S. mall owner,
having ownership interest in, or management responsibility for,
more than 200 regional shopping malls in 44 states, as well as
ownership in master planned community developments and commercial
office buildings.  The Company's portfolio totals roughly
200 million square feet of retail space and includes more than
24,000 retail stores nationwide.  General Growth is a self-
administered and self-managed real estate investment trust.  The
Company's common stock is trading in the pink sheets under the
symbol GGWPQ.

General Growth Properties Inc. and its affiliates filed for
Chapter 11 protection on April 16, 2009 (Bankr. S.D.N.Y., Case No.
09-11977).  Marcia L. Goldstein, Esq., Gary T. Holtzer, Esq.,
Adam P. Strochak, Esq., and Stephen A. Youngman, Esq., at Weil,
Gotshal & Manges LLP, serve as bankruptcy counsel.  Kirkland &
Ellis LLP is co-counsel.  Kurtzman Carson Consultants LLC has been
engaged as claims agent.  The Company also hired AlixPartners LLP
as financial advisor and Miller Buckfire Co. LLC, as investment
bankers.  The Debtors disclosed $29,557,330,000 in assets and
$27,293,734,000 in debts as of December 31, 2008.

General Growth Properties on November 9, 2010, successfully
completed the final steps of its financial restructuring and
emerged from Chapter 11.  GGP successfully restructured
approximately $15 billion of project-level debt Recapitalized with
$6.8 billion in new equity capital Paid all creditor claims in
full achieved substantial recovery for equity holders.

As part of its plan of reorganization, GGP has split itself into
two separate and independent publicly traded corporations. GGP
shareholders as of the record date of November 1, 2010 received
common stock in both companies.  The new GGP, which will commence
trading November 10 on The New York Stock Exchange under the
ticker symbol "GGP," is the second-largest shopping mall owner and
operator in the country, with more than 183 regional malls in 43
states.  The spin-off company, The Howard Hughes Corporation,
consists of GGP's portfolio of master planned communities and
other strategic real estate development opportunities.  This
company will trade under the ticker symbol "HHC" on The New York
Stock Exchange.

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


GENERAL MARITIME: Amends Terms of $1.12 Billion Credit Facility
---------------------------------------------------------------
General Maritime Corporation on December 22, 2010, entered into
agreements to amend the terms of its $372 million senior secured
credit facility and its $750 million revolving credit facility.
Nordea Bank Finland plc, New York Branch and DnB NOR Bank ASA
acted as the lead arrangers of the facilities.

Under the terms of the amended credit facilities, the permitted
Net Debt to EBITDA ratio will increase to 8.75 times from the
previous requirement of 6.0 times.  This new maintenance covenant
ratio will be in effect for the fourth quarter of 2010 through the
third quarter of 2011.  For the fourth quarter of 2011 through the
life of each facility, the maintenance covenant ratio will revert
to 5.5 times.

In addition, the amendments provide that the applicable margin and
permitted dividend are based on a pricing grid.  While the Net
Debt to EBITDA ratio is greater than 6.0 times, the facilities
will bear an interest rate of LIBOR plus 350 bps; while it is 6.0
times or less, the facilities will bear an interest rate of LIBOR
plus 300 bps. Similarly, while the Net Debt to EBITDA ratio is
greater than 6.0 times, the Company will be permitted to pay a
dividend of up to $0.01 per share per quarter; while it is 6.0
times or less, the Company will be permitted to pay up to
$30 million per fiscal year in total dividends.

                   About General Maritime Corp.

Based in New York City, General Maritime Corporation through its
subsidiaries provides international transportation services of
seaborne crude oil and petroleum products.  The Company's fleet is
comprised of VLCC, Suezmax, Aframax, Panamax and product carrier
vessels.  The Company operates its business in one business
segment, which is the transportation of international seaborne
crude oil and petroleum products.  The Company's vessels are
primarily available for charter on a spot voyage or time charter
basis.

Standard & Poor's Ratings Services in December 2010 lowered its
long-term corporate rating on General Maritime Corp. to 'CCC+'
from 'B', and placed the ratings on CreditWatch with negative
implications.  At the same time, S&P lowered its ratings on the
company's senior unsecured notes to 'CCC-', two notches below the
new corporate credit rating; the recovery rating of '6', which
indicates S&P's expectation that lenders will receive a negligible
(0%-10%) recovery in a payment default scenario, remains
unchanged.

"The downgrade reflects General Maritime's weak liquidity, very
limited financial covenant headroom (despite recent amendments),
and deterioration in its financial profile," said Standard &
Poor's credit analyst Funmi Afonja.  "As of Sept. 30, 2010,
General Maritime had no borrowing availability under its
$749.8 million revolving credit facility and $8.7 million in
unrestricted cash, after factoring financial covenant limitations.
In S&P's opinion, the recent financial covenant amendments do not
provide sufficient covenant headroom, and there is still a high
probability of a covenant breach over the next quarter.  If there
is a covenant breach, lenders can require the immediate payment
of all amounts outstanding.  General Maritime's liquidity is
further constrained by significant upcoming debt maturities,
including $27.5 million in scheduled principal payments due in
2011 under its term loan, $50.1 million semiannual reduction on
the revolver, beginning on April 26, 2011, and a bullet payment
of $599.6 million in October 2012, when the facility expires.
General Maritime also has a $22.8 million bridge loan facility
that matures in October 2011.  Cash interest payments on the
bridge loan will increase if the company is unable to pay off the
loan by Dec. 31, 2010."

Moody's Investors Service lowered its ratings of General Maritime
Corporation: Corporate Family to B3 from B1, Probability of
Default to Caa1 from B2 and senior unsecured to Caa2 from Caa1.
Moody's also downgraded the Speculative Grade Liquidity rating to
SGL-4 from SGL-3.  The outlook is negative.


GOLDEN ELEPHANT: NW Pacific CPA Raises Going Concern Doubt
----------------------------------------------------------
Golden Elephant Glass Technology, Inc., filed on December 22,
2010, its annual report on Form 10-K for the fiscal year ended
December 31, 2009.

NW Pacific CPA, LLC, in Newcastle, Washington, expressed
substantial doubt about Golden Elephant Glass Technology's ability
to continue as a going concern.  The independent auditors noted
that the Company has accumulated deficits of $11,561,769 at
December 31, 2009, and also has a working capital deficiency of
$22,362,695 as of December 31, 2009.

The Company reported a net loss of $10,756,523 on $2,267,268 of
sales revenues for the year ended December 31, 2009, compared with
a net loss of $3,748,901 on $60,723,960 of sales revenues for the
year ended December 31, 2008.  The significant decrease in revenue
was mainly attributable to suspension of production since November
2008.

The Company's balance sheet at December 31, 2009, showed
$36,046,869 in total assets, $32,507,393 in total liabilities, and
stockholders' equity of $3,539,476.

A full-text copy of the Form 10-K is available for free at:

               http://researcharchives.com/t/s?7170

Golden Elephant Glass Technology, Inc., is a China-based float
glass manufacturer.  The Company's product offerings include float
glass, ultra-clear glass (also called crystal glass), colored
float glass and high grade, glass processed products such as
mirrors, glass artwork, tempered glass, insulated glass, laminated
glass, lacquered glass and similar products.  The Company's
production facility is located in Fuxin City, Liaoning Province,
China.  The Company sells its products to end users in China,
Asia, Europe, South America and South Africa.


GREAT ATLANTIC: Wilmington Trust Appointed to Creditors' Committee
------------------------------------------------------------------
Wilmington Trust has been appointed by the United States Trustee
to serve as a member of the unsecured creditors' committee in the
bankruptcy of The Great Atlantic & Pacific Tea Company, Inc.
Wilmington Trust is serving as indenture trustee for holders of
approximately $630 million of debt issued by A&P, whose bankruptcy
filing involves no credit exposure or investment risk to
Wilmington Trust.  As a result, the filing has no effect on
Wilmington Trust's balance sheet, credit quality, or financial
condition.  Through CCS, Wilmington Trust is paid a fee for its
services in the A&P case.

                            About A&P

Founded in 1859, Montvale, New Jersey-based Great Atlantic &
Pacific (A&P) is a leading supermarket retailer, operating under a
variety of well-known trade names, or "banners" across the mid-
Atlantic and Northeastern United States.  It operates 395
supermarkets, combination food and drug stores, beer, wine, and
liquor stores, and limited assortment food stores in Connecticut,
Delaware, Massachusetts, Maryland, New Jersey, New York,
Pennsylvania, Virginia, and the District of Columbia.  "Banners"
include A&P (101 stores), Food Basics (12 stores), Pathmark (128
stores), Super Fresh (57 stores), The Food Emporium (16 stores),
and Waldbaum's (59 stores).

A&P employs roughly 41,000 employees, including roughly 28,000
part-time employees.  Roughly 95% of the workforce are covered by
collective bargaining agreements.

The Great Atlantic & Pacific Tea Company, Inc., and its affiliates
filed petitions under Chapter 11 of the U.S. Bankruptcy Code on
December 12, 2010 (Bankr. S.D.N.Y. Case No. 10-24549) in White
Plains.

As of September 11, 2010, the Debtors reported total assets of
$2.5 billion and liabilities of $3.2 billion.

Paul M. Basta, Esq., James H.M. Sprayregen, Esq., and Ray C.
Schrock, Esq., at Kirkland & Ellis, LLP, in New York, and James J.
Mazza, Jr., Esq., at Kirkland & Ellis LLP, in Chicago, Illinois,
serve as counsel to the Debtors.  Kurtzman Carson Consultants LLC
is the claims and notice agent.  Lazard Freres & Co. LLC is the
financial advisor.  Huron Consulting Group is the management
consultant.

Bankruptcy Creditors' Service, Inc., publishes GREAT ATLANTIC &
PACIFIC BANKRUPTCY NEWS.  The newsletter tracks the Chapter 11
proceeding undertaken by A&P and its affiliates
(http://bankrupt.com/newsstand/or 215/945-7000).


GULFSTREAM INT'L: Unit Files Schedules of Assets and Liabilities
----------------------------------------------------------------
Gulfstream International Airlines, Inc., a debtor-affiliate of
Gulfstream International Group Inc., filed with the U.S.
Bankruptcy Court for the Southern District of Florida its
schedules of assets and liabilities, disclosing:

     Name of Schedule              Assets         Liabilities
     ----------------            -----------      -----------
  A. Real Property                        $0
  B. Personal Property           $15,967,096

  C. Property Claimed as
     Exempt
  D. Creditors Holding
     Secured Claims                                $6,531,447
  E. Creditors Holding
     Unsecured Priority
     Claims                                          $436,956
  F. Creditors Holding
     Unsecured Non-priority
     Claims                                        $18,274,696
                                 -----------      -----------
        TOTAL                    $15,967,096       $25,243,099

                 About Gulfstream International

Fort Lauderdale, Florida-based Gulfstream International Airlines
(NYSE Amex:GIA) operates a fleet of turboprop Beechcraft 19000
aircraft, and specializes in providing travelers with access to
niche locations not typically covered by major carriers.  GIA
operates more than 150 scheduled flights per day, serving nine
destinations in Florida, 10 destinations in the Bahamas, five
destinations from Continental Airline's hub under the Department
of Transportation's Essential Air Service Program and supports
charter service to Cuba through a services agreement with
Gulfstream Air Charter, Inc., an entity otherwise unrelated to the
Debtors.  GIA operates as a Continental Connection carrier, as
well as for United Airlines, Northwest Airlines and Copa Airlines,
through code share agreements.  GIA has 620 employees, including
530 working full-time.

Gulfstream International Group, Inc., filed for Chapter 11
bankruptcy protection on November 4, 2010 (Bankr. S.D. Fla. Case
No. 10-44131).  Brian K. Gart, Esq., at Berger Singerman, P.A.,
assists the Debtor in its restructuring effort.  The Debtor
estimated its assets at $100,001 to $500,000 and debts at
$1 million to $10 million.

Affiliates Gulfstream International Group, Inc., Gulfstream
International Airline, Inc., Gulfstream Training Academy, Inc.,
GIA Holdings Corp., Inc., and Gulstream Connection, Inc., filed
separate Chapter 11 petitions on November 4, 2010.


HARRISBURG, PA: Hire Accounting Firm to Lead Forensic Audit
-----------------------------------------------------------
Charles Thompson, writing for The Patriot-News, reports that the
Harrisburg Authority voted unanimously last week to hire the
accounting firm of ParenteBeard to lead a forensic audit of the
steps that led to the accumulation of nearly $300 million in debt
on its Harrisburg Incinerator.

According to the report, the firm will partner with special
counsel Klehr Harrison Harvey Branzburg, which was hired to
provide advice on production of documents, interviews and other
legal issues that could arise.

According to the report, authority member William Cluck called the
hirings a red-letter day for Harrisburg residents who want answers
to critical questions about the incinerator projects before they
get hit with the costs in the form of higher taxes and lost public
assets.

According to Patriot-News, no time line was set for completion of
the audit report.  Mr. Cluck, according to the report, said the
audit will kick off in earnest early next month with a discussion
aimed at refining the scope of the investigation.

                       About Harrisburg, PA

The city of Harrisburg is coping with debt related to a failed
revamp of an incinerator.  The outstanding principal on the
Incinerator debt is $288 million.  Total principal and interest on
this debt would amount to approximately $458 million.  Debt
service payments on the total incinerator debt are $20 million per
year.  Of this total, Dauphin County, Pennsylvania, is responsible
for roughly $10 million and Harrisburg is responsible for the
other $10 million.   The city is guarantor on 100% of the
$288 million Incinerator debt.

The City Council of Harrisburg, Pennsylvania, voted 5-2 on
September 28 to seek professional advice on bankruptcy or state
oversight.  Harrisburg needed state aid to avoid default on
$3.3 million of bond payments this month.

The city has missed about $8 million in debt-service payments this
year on bonds issued in connection with a trash-to-energy
incinerator.  The city owes another $40 million by the end of the
year, and was sued by its home county Dauphin County; bond insurer
Assured Guaranty Municipal Corp., a unit of Assured Guaranty Ltd.;
and bond trustees TD Bank and M&T Bank Corp. over $19 million in
skipped bond payments.

In November 2010, the city council tapped Cravath, Swaine and
Moore LLP as debt restructuring advisors.  Cravath is working on
"pro bono" basis.


HAWKER BEECHRAFT: To Get Incentive for Staying in Wichita
---------------------------------------------------------
Hawker Beechcraft Corporation has reached a formal agreement with
the State of Kansas that significantly incentivizes the company to
maintain its presence in Wichita over the next 10 years.  Chairman
and CEO Bill Boisture and Kansas Governor Mark Parkinson announced
the agreement alongside Wichita Mayor Carl Brewer and Sedgwick
County Commissioner Karl Peterjohn at an event at the National
Center for Aviation Training.  The State's incentive package
requires Hawker Beechcraft to maintain its current product lines
in Wichita and retain at least 4,000 jobs over the next 10 years.

"[Tues]day's announcement marks a key point in the future of
Hawker Beechcraft," Boisture said.  "With the acceptance of this
agreement, we are committing to be successful as a Wichita,
Kansas, and U.S. based private company and preserving a valued
American industry in tomorrow's aviation markets.  With the strong
level of commitment to our people and their skills enhancement, we
intend to have the best trained work force in the industry to
power the development, manufacturing and projection of our
diversified product line of business turbine aircraft, trainers
and special mission offerings to emerging global markets from here
in Kansas."

"As the general aviation industry continues to recover from the
economic recession, this agreement is a great victory for our
state as it stabilizes Hawker Beechcraft's long-term presence in
Wichita and provides some security to thousands of employees in
uncertain times," said Parkinson.  "I am pleased with the
workforce training assistance in this package which will further
solidify Wichita as having the best trained aviation workforce in
the world.  With this responsible agreement, Wichita and the
entire state will benefit as this critical sector of our economy
prepares for a stronger future."

The $40 million incentive package from the State of Kansas is part
of the IMPACT program available through the Kansas Department of
Commerce.  The package includes $10 million over three years for
tuition reimbursement and training as part of the State of Kansas
Investments in Lifelong Learning funds of the program.  The SKILL
funds may be used for employees attending the National Aviation
Training Center, Wichita State University or any of the other
Kansas Regents' institutions.  Hawker Beechcraft will also receive
$10 million in the first year, followed by $5 million each year
for the next four years, as part of the Major Project Investment
portion of IMPACT.  MPI funds may be used for other expenses
related to the project, such as the purchase or relocation of
equipment, product development, labor recruitment, or building
costs.

IMPACT incentive packages are financed through tax exempt, public
purpose bonds issued by the Kansas Development Finance Authority.
These bonds are retired through the revenue received from
statewide employer withholding taxes.

The City of Wichita and Sedgwick County have also agreed in
principle to each provide $2.5 million over the course of five
years.

"This is a significant moment for Wichita as we work to keep our
great city the Air Capital of the World," said Mayor Brewer.  "I
appreciate the hard work of Governor Parkinson and the partnership
with Sedgwick County to reach this agreement that will protect
Wichita jobs and keep Hawker Beechcraft an important piece of our
aviation community for years to come."

"We are so pleased to help announce this agreement at the National
Center for Aviation Training, an important project for Sedgwick
County and a critical component of the incentive package," said
Commissioner Peterjohn.  "Strengthening our aviation workforce
will not only profit Hawker Beechcraft, but the entire community
as we return the aviation industry to more prosperous times."

Hawker Beechcraft Acquisition Company, LLC, headquartered in
Wichita, Kansas, is a leading manufacturer of business jets,
turboprops and piston aircraft for corporations, governments and
individuals worldwide.

Hawker Beechcraft Acquisition Company LLC reported net sales for
the three months ended September 30, 2010, of $594.7 million, a
decrease of $163.0 million compared to the third quarter of 2009.
During the three months ended September 30, 2010, the Company
recorded an operating loss of $81.4 million, compared to an
operating loss of $721.1 million during the comparable period in
2009.  The improved operating loss versus the prior period was
primarily due to charges of $581.5 million related to asset
impairments recorded during the three months ended September 27,
2009.

The Company's balance sheet at June 27, 2010, showed $3.420
billion in total assets, $3.408 billion in total liabilities, and
stockholders' equity of $11.6 million.

Hawker Beechcraft reported a net loss of $56.8 million on $639.3
million of total sales for the three months ended June 27, 2010,
compared with net income of $172.2 million on $816.3 million of
sales for the three months ended June 28, 2009.

Hawker Beechcraft carries 'Caa2' corporate family and probability
of default ratings from Moody's Investors Service.


HCA HOLDINGS: Files Shelf Registration Statement With SEC
---------------------------------------------------------
HCA Holdings, Inc., filed a shelf registration statement with the
Securities and Exchange Commission in connection with future plans
to sell shares of common stock.  HCA completed a corporate
reorganization on November 22, 2010, pursuant to which Holdings
became the direct parent company of, and successor issuer to, HCA
Inc.  A copy of the preliminary prospectus dated December 22 is
available at no charge at http://is.gd/jxHIk

                          About HCA Inc.

Headquartered in Nashville, Tennessee, HCA is the nation's largest
acute care hospital company with 162 hospitals and 106
freestanding surgery centers.

The Company's balance sheet at Sept. 30, 2010, showed
$23.25 billion in total assets, $4.33 billion in total current
liabilities, $25.38 billion in long-term debt, $1,03 billion in
professional liability risks, $1.61 billion in income taxes and
other liabilities, and a stockholder's deficit of $9.24 billion.

HCA Inc. carries "B2" corporate family and probability of default
ratings, under review for possible upgrade, from Moody's Investors
Service.  It has a 'B+' corporate credit rating from Standard &
Poor's.

In May 2010, Standard & Poor's placed its 'B+' corporate credit
rating on hospital giant HCA, Inc., and S&P's ratings on its
secured and unsecured debt on CreditWatch with positive
implications.  "The speculative-grade rating on HCA continues to
reflect S&P's view that the largest U.S. owner and operator of
acute health care facilities is particularly sensitive to reduced
capacity utilization and pricing," said Standard & Poor's credit
analyst David Peknay, "by virtue of the significant debt leverage
assumed in its November 2006 leveraged buyout."

Fitch Ratings has removed HCA's ratings from Rating Watch Positive
and has taken these rating actions: Issuer Default Rating affirmed
at 'B'; Secured bank credit facility affirmed at 'BB/RR1'; Senior
Secured First lien notes affirmed at 'BB/RR1'; Senior Secured
Second lien notes upgraded to 'BB-/RR2' from 'B+/RR3'; Senior
unsecured notes affirmed at 'CCC/RR6'.  The Rating Outlook is
Positive.


HERITAGE CONSOLIDATED: Wins Approval of DIP Loan, Cash Use
----------------------------------------------------------
The U.S. Bankruptcy Court for the Northern District of Texas
authorized Heritage Consolidated, LLC, et al., to:

   -- use cash collateral;

   -- obtain secured postpetition financing; and

   -- provide adequate protection to their prepetition lenders.

These entities have interest in the cash collateral:

     (i) CIT Bank, CIT Capital USA Inc., as administrative agent,
         and other lenders from time to time, under a
         credit agreement with Consolidated.  The CIT Credit
         Agreement is a $30 million revolving credit facility with
         an initial borrowing base limit of $18 million.  The
         aggregate principal and interest amount of the advances
         currently outstanding under the CIT Credit Agreement is
         approximately $18.5 million;

    (ii) various vendors which have properly and timely asserted
         statutory liens against certain leaseholds and related
         property and equipment as a result of providing goods and
         services to the Debtors in the ordinary course of
         business; and

   (iii) HSC, as the operator under various operating agreements,
         for unpaid joint interest billings ("JIBs") arising out
         of or related to HSC's operations on behalf of
         Consolidated and other working interest owners in the
         Debtors' oil and gas properties.

CIT Capital USA Inc., and CIT Capital USA Inc., agreed to make
loans of up to $1,957,986 for the period commencing on the
Petition Date and ending on January 28, 2011.

The Debtors would use the cash collateral and the DIP financing to
fund their Chapter 11 case, pay suppliers and other parties.

As adequate protection for any diminution in value of the lenders'
collateral, the Debtors will grant the prepetition lenders
replacement, and superpriority administrative claims status,
subject to the carve out.

In exchange for using the cash collateral, the Debtors will grant
each holder of a valid prepetition lien replacement liens in
the same amount, validity, and priority and against the same
collateral for such holder's lien as they existed prior to the
Petition Date.

The Debtors will also segregate the cash collateral from all other
unencumbered funds, if any, and ensure that all postpetition
collections generated from the prepetition collateral likewise be
segregated as the cash collateral for use in the Debtors'
operations.

The Debtors will maintain adequate insurance coverage and
operational production in relation to the prepetition collateral
and timely pay all post-petition taxes assessed and royalties due
in relation to the prepetition collateral in the ordinary course
of the Debtors' businesses, thereby keeping the properties free of
liens and therefore ready to be assigned.

                    About Heritage Consolidated

Heritage Consolidated LLC is a privately-held whose core
operations consist of exploration for, and acquisition,
production, and sale of, crude oil and natural gas.

Heritage Consolidated filed a Chapter 11 petition (Bankr. N.D.
Tex. Case No. 10-36484) on September 14, 2010, in Dallas, Texas.
Its affiliate, Heritage Standard Corporation, also filed for
Chapter 11 (Bankr. N.D. Tex. Case No. 10-36485).  The Debtors each
estimated assets and debts of $10 million to $50 million.  Kevin
D. McCullough, Esq., in Dallas, Texas, serves as counsel to the
Debtors.


HERITAGE CONSOLIDATED: Plan Outline Hearing Continued Until Jan. 7
------------------------------------------------------------------
The Hon. Harlin D. Hale of the U.S. Bankruptcy Court for the
Northern District of Texas has continued until January 7, 2011, at
9:30 a.m., the hearing to consider adequacy of the disclosure
statement explaining Heritage Consolidated LLC, et al.'s proposed
plan of reorganization.

As reported in the Troubled Company Reporter on December 9, the
Plan provides that each holder of an allowed general unsecured
claim against Heritage Consolidated's estate will, at the election
of the Plan Administrator, (A) receive its Pro Rata share of
Distributions of Available Cash from Reorganized Consolidated out
of its Senior Claim Distribution Reserve in the amount of each
holder's Allowed General Unsecured Claim plus interest; or (B)
receive other less favorable treatment that may be agreed upon in
writing by the holder and the Plan Administrator.

On the Effective Date, allowed equity interests in Heritage
Consolidated will be canceled and extinguished, and a New
Consolidated Membership Interest will be issued to each holder in
place of the canceled and extinguished Equity Interest in Heritage
Consolidated.

The same treatment applies to allowed general unsecured claims
against Heritage Standard Corporation and allowed equity interests
in Heritage Standard Corporation's case.

Copies of the Plan and disclosure statement, filed September 17,
2010, are available for free at:

      http://bankrupt.com/misc/HERITAGE_CONSOLIDATED_plan.pdf
      http://bankrupt.com/misc/HERITAGE_CONSOLIDATED_ds.pdf

                    About Heritage Consolidated

Heritage Consolidated LLC is a privately held company whose core
operations consist of exploration for, and acquisition,
production, and sale of, crude oil and natural gas.

Heritage Consolidated filed a Chapter 11 petition (Bankr. N.D.
Tex. Case No. 10-36484) on September 14, 2010, in Dallas, Texas.
Its affiliate, Heritage Standard Corporation, also filed for
Chapter 11 (Bankr. N.D. Tex. Case No. 10-36485).  Kevin D.
McCullough, Esq., in Dallas, Texas, serves as counsel to the
Debtors.  The Debtors each estimated assets and debts of
$10 million to $50 million.


HICKOK INCORPORATED: Operating Losses Cue Going Concern Doubt
-------------------------------------------------------------
Hickok Incorporated filed on December 22, 2010, its annual report
on Form 10-K for the fiscal year ended September 30, 2010.

Meaden & Moore, Ltd., in Cleveland, Ohio, expressed substantial
doubt about Hickok's ability to continue as a going concern.  The
independent auditors noted that the Company has incurred large
operating losses during the past several years and may have
insufficient cash to fund operations for the next twelve months.

The Company reported a net loss of $949,496 on $5.26 million of
sales for fiscal 2010, compared with a net loss of $3.67 million
on $6.06 million of sales for fiscal 2009.

The Company's balance sheet at September 30, 2010, showed
$3.81 million in total assets, $528,652 in total liabilities, all
current, and stockholders' equity of $3.28 million.

A full-text copy of the Form 10-K is available for free at:

               http://researcharchives.com/t/s?7174

Cleveland, Ohio-based Hickok Incorporated and its wholly-owned
domestic subsidiaries develop and manufacture products used by
companies in the transportation and emissions testing industries.
Among the products are indicators and gauges sold to companies in
aircraft and locomotive markets.  On a much larger scale, the
Company manufactures diagnostic equipment used by technicians to
test the various electronic systems in automobiles and trucks, and
emissions testing equipment specified by various states for
testing vehicle emissions.


IA GLOBAL: Closes Acquisition of PowerDial Systems and Services
---------------------------------------------------------------
IA Global Inc. announced the closing of the acquisition of
PowerDial Systems, Ltd., a VOIP System Company and PowerDial
Services, Ltd, a VOIP Service Company, from Innovative Software
Direct Plc, a U.K. company listed on the PLUS Market.

UK-based PowerDial is an IT company providing VOIP and Asset and
Annuity solutions covering all aspects of convergence, including
voice, data, wireless and cable.  They provide physical networks,
onsite IT equipment, and applications that control the performance
and integrity of networks and the data on those networks.  In
FY2009, PowerDial reported revenues of $2.7 million and expects to
grow in FY2010 and beyond.  PowerDial was acquired for 2,400,000
shares of IAGI common stock at $1.00 per share, with additional
shares available for meeting certain performance metrics, for
raising funds for acquisition of additional VOIP, IT or telecom
companies and for the settlement of an ISD note payable.

"We are delighted to add this valuable communications services
component to our growing portfolio of global companies.  PowerDial
represents significant growth potential by providing an IT
business solutions platform that can be scaled both geographically
and by adding key technology components."  stated Brian Hoekstra,
CEO of IA Global, Inc.

                         About IA Global

San Francisco, Calif.-based IA Global, Inc. (OTCQB: IAGI.OB)
-- http://www.iaglobalinc.com/-- is a global services and
outsourcing company focused on growing existing businesses and
expansion through global mergers and acquisitions.  The Company is
utilizing its current partnerships to acquire growth businesses in
target sectors and markets at discounted prices.  The Company is
actively engaging in discussions with businesses that would
benefit from our business acumen and marketing expertise,
knowledge of Asian Markets, and technology infrastructure.

The Company's balance sheet at Sept. 30, 2010, showed
$4.65 million in total assets, $3.30 million in total current
liabilities, $2.79 million in long-term debt, and a stockholders'
deficit of $1.45 million.

As reported in the Troubled Company Reporter on July 20, 2010,
Sherb & Co., LLP, in New York, expressed substantial doubt about
the Company's ability to continue as a going concern, following
the Company's results for the fiscal year ended March 31, 2010.
The independent auditors noted that the Company has incurred
significant operating losses, and has a working capital deficit as
of March 31, 2010.


IHEALTH TECHNOLOGIES: S&P Assigns 'B+' Corporate Credit Rating
--------------------------------------------------------------
Standard & Poor's Ratings Services said it assigned its 'B+'
corporate credit rating on Georgia-based health care claims
payment processor iHealth Technologies.  The outlook is stable.

At the same time, S&P assigned 'BB' issue ratings and '1' recovery
ratings on the $175 million senior secured term loan due 2016 and
the $30 million revolving credit facility due 2015.  The
transaction has been revised since S&P assigned its preliminary
ratings, including reducing the size of the term loan and the
revolving credit facility, and lowering the amount of the
preferred stock redeemed.  As a result, the ratings outlook and
liquidity have improved due to increased covenant headroom, as
have recovery prospects, due to less secured debt in the capital
structure.

"The ratings on iHealth reflect its narrow business profile,
participation in a competitive market with well-capitalized larger
competitors, a concentrated customer base, and S&P's view that the
company's private-equity ownership structure is likely to preclude
sustained deleveraging," said Standard & Poor's credit analyst
Jennifer Pepper.  Factors that partially offset these risks
include multiyear contracts providing good revenue visibility, a
solid customer retention record, and consistent free cash flow
generation.

iHealth provides claims payment solutions to health care payers,
such as commercial health insurance plans and, more recently,
government entities, generating savings for them by reducing
errors, waste, and abuse in their claims payment process.  The
company achieves this by matching the client's payment policy on
the claims against its proprietary database of clinical codes and
identifying claim errors.  iHealth's revenue model is based on a
portion of savings provided to its customers which, in turn,
depends on the volume of claims processed by the company.  Higher
unemployment rates, which reduce the number of covered lives,
generally lead to lower claims volume, and hence, revenue for
iHealth.


INDIGO-ENERGY: Hercules Pappas Resigns From Board
-------------------------------------------------
Hercules Pappas on December 1, 2010, gave Indigo-Energy Inc.
notice that he was resigning from the company's Board of Directors
for personal reasons.  On December 18, 2010, the Company accepted
such resignation.

In addition, on December 18, 2010, Everett Miller resigned from
the Company.  The voluntary resignations came in the wake of a
civil complaint filed by the State of New Jersey against Everett
Miller and his company Carr Miller Capital Corporation and others
alleging violation of the securities laws and other violations.

On December 17, 2010, the Company was named as a nominal defendant
in a civil complaint filed by the New Jersey Attorney General
against Everett Miller, Carr Miller Capital and certain other
individuals and companies.  The Company is named because of Carr
Miller Capital's investment in the Company.  There has been no
allegation of wrongdoing on the Company's part but the complaint
does state that the Company was unjustly enriched by the actions
of Carr Miller Capital.  The Company had no knowledge of any
wrongdoing alleged to have been committed by Carr Miller Capital
and the company is cooperating fully to assist the Attorney
General's office in its court action.

On December 23, 2010, the Company entered into an Interim Relief
Consent Order with the Attorney General's Office.  The Relief
Order provide that Everett Miller and Hercules Pappas would leave
their positions with the Company and that the Company would not
transfer any of its assets held or controlled by Carr Miller
Capital, Everett Miller, Bryan Carr, Ryan Carr or Hercules Pappas
without the approval of the Attorney General's Office.

In addition, it provides that the Company and its officers and
directors would cooperate with any other civil or criminal
authorities in investigations arising out of or relating from the
subject matter of the above-titled case.  The Company also agreed
to accept the appointment of a third-party independent Fiscal
Agent by the court who shall review all of the Company's books and
records and prepare a report to the court.  The Attorney General's
office agreed to exempt the Company from any injunctive relief
sought in the complaint and to permit the Company to continue to
operate and pay its expenses in the ordinary course of business.
The Company does not anticipate that its field operations will be
adversely affected by the Relief Order.

Henderson, Nev.-based Indigo-Energy, Inc., is an independent
energy company, currently engaged in the exploration of natural
gas and oil.

The Company's balance sheet at September 30, 2010, showed
$5.05 million in total assets, $11.35 million in total
liabilities, and a stockholders' deficit of $6.30 million.

Mark Bailey & Company, Ltd., in Reno, Nevada, expressed
substantial doubt about Indigo-Energy's ability to continue as a
going concern, following the Company's 2009 results.  The
independent auditors noted that the Company has suffered recurring
losses from operations and has a net capital deficiency.


ISTAR FINANCIAL: Names David DiStaso as Chief Financial Officer
---------------------------------------------------------------
iStar Financial Inc. said David DiStaso has been named chief
financial officer, effective December 21, 2010.  Mr. DiStaso has
served as chief accounting officer of iStar Financial since 2008
and has functioned as the Company's principal financial officer
since April 2010.

"Dave has been a key member of our finance and accounting team for
more than two years, providing guidance and leadership to the
Company, while effectively leading the team as our principal
financial officer in this transition period," said Jay Sugarman,
iStar's chairman and chief executive officer.  "He has
demonstrated his ability to perform as CFO and earned the
confidence of our board, and we look forward to having Dave assume
this new role."

Prior to joining iStar Financial, DiStaso spent 11 years at CIT
Group, Inc., most recently as chief financial officer of the
Consumer Finance Division.  He spent the first 10 years of his
career in public accounting with KPMG.  DiStaso received his
bachelor's degree from Rutgers College and is a certified public
accountant.

                       About iStar Financial

New York-based iStar Financial Inc. (NYSE: SFI) provides custom-
tailored investment capital to high-end private and corporate
owners of real estate, including senior and mezzanine real estate
debt, senior and mezzanine corporate capital, as well as corporate
net lease financing and equity.  The Company, which is taxed as a
real estate investment trust, provides innovative and value added
financing solutions to its customers.

The Company's balance sheet at Sept. 30, 2010, showed
$10.47 billion in total assets, $8.70 billion in total
liabilities, and stockholder's equity of $1.76 billion.

                           *     *     *

iStar carries a 'C' issuer default rating from Fitch Ratings
Services.  Fitch lowered, among other things, the IDR from 'CC' to
'C' in October, noting that there is substantial amount of debt
maturities in the second quarter of 2011, consisting primarily of
a second lien term loan and second lien revolving credit agreement
in aggregate amounting to approximately $1.7 billion, and an
unsecured revolving credit facility of approximately $500 million.
In order to avoid maturity defaults on the second lien obligations
and unsecured revolving credit facility due June 2011, a coercive
debt exchange would need to be effected, whereby the company
negotiates with certain of its debt holders a material reduction
in terms to avert bankruptcy, Fitch said.

In July 2010, Standard & Poor's Ratings Services lowered its long-
term counterparty credit rating on iStar Financial to 'CCC' from
'B-'.  The outlook is negative.  iStar's limited funding
flexibility and the severe credit quality deterioration in its
loan portfolio continue to put negative pressure on the rating,
S&P said.


JEAN DETHIERSANT: Has Until January 11 to File Plan
---------------------------------------------------
The U.S. Bankruptcy Court for the Central District of California
has extended Jean Dethiersant's exclusive period to file a Plan of
Reorganization and Disclosure Statement to January 11, 2011.

West Hollywood, California-based Jean Dethiersant filed for
Chapter 11 bankruptcy protection on August 13, 2010 (Bankr. C.D.
Calif. Case No. 10-44108).  Michael Jay Berger, Esq., assists the
Debtor in his restructuring effort.  In his schedules, the Debtor
disclosed $11,058,225 in total assets and $14,339,820 in total
liabilities as of the Petition Date.


JER INVESTORS: Ernst & Young Raises Going Concern Doubt
-------------------------------------------------------
JER Investors Trust Inc. filed on December 20, 2010, its annual
report on Form 10-K for the fiscal year ended December 31, 2009.

Ernst & Young LLP, in McLean, Va., expressed substantial doubt
about JER Investors Trust's ability to continue as a going
concern.  The independent auditors noted that the Company has
incurred net losses of $77 million and $254 million, respectively,
for each of the twelve months ended December 31, 2009, and 2008.
Additionally, the Company is in payment default on its obligations
under the junior subordinated notes and note payable.  As of
December 31, 2009, the Company did not have sufficient liquid
assets available to meet all of its obligations.

The Company reported a net loss of $76.8 million on $62.3 million
of revenues for 2009, compared with a net loss of $254.1 million
on $108.1 million of revenues for 2008.

The Company's balance sheet at December 31, 2009, showed
$210.5 million in total assets, $237.6 million in total
liabilities, and a stockholders' deficit of $27.1 million.

A full-text copy of the Form 10-K is available for free at:

               http://researcharchives.com/t/s?7160

McLean, Va.-based JER Investors Trust Inc. is a specialty finance
company organized by J.E. Robert Company, Inc., primarily to
originate and acquire real estate debt securities and loans and
fee interests in net leased real estate assets.  The Company is
externally managed and advised by JER Commercial Debt Advisors
LLC, an affiliate of J.E. Robert Company.  The Company's
investment portfolio includes commercial real estate structured
finance products such as commercial mortgage backed securities
(commonly known as CMBS), mezzanine loans and participations in
whole mortgage loans.  The Company is organized and conduct its
operations in a manner intended to allow it to qualify as a real
estate investment trust, or REIT, for federal income tax purposes.


JERSEY ISLAND: Hearing on Case Dismissal Continued Until Jan. 10
----------------------------------------------------------------
The Hon. Wendelin I. Lipp of the U.S. Bankruptcy Court for the
District of Maryland has continued until January 10, 2011,
11:00 a.m., the hearing to consider the motion to dismiss or
convert Jersey Island Owner, LLC's Chapter 11 case.

The hearing is originally scheduled for 10:00 a.m. on December 28.

Secured creditor Wells Fargo Bank, N.A., asked the Court to
dismiss the Debtor's case or convert it to one under Chapter 7 of
the Bankruptcy Code because:

   -- the Debtor is administratively insolvent;

   -- the Debtor made no progress towards reorganization; and

   -- there is no indication that the Debtor will be able
      to formulate a plan of reorganization with a reasonable
      likelihood of being confirmed.

As of the Petition Date, the Debtor owed Wells Fargo $3,860,505,
plus costs and legal expenses, pursuant to note, loan agreement,
guaranty and attendant documents.

Wells Fargo is represented by:

     Richard E. Hagerty, Esq.
     TROUTMAN SANDERS LLP
     1660 International Drive, Suite 600
     McLean, Virginia 22102
     Tel: (703) 734-4326
     Fax: (703) 448-6520
     E-mail: richard.hagerty@troutmansanders.com

                    About Jersey Island Owner

Rockville, Maryland-based Jersey Island Owner, LLC, owns certain
real estate and improvements thereon located on the Chesapeake Bay
in the City of Crisfield, Somerset County, Maryland.  The Company
filed for Chapter 11 protection on June 9, 2010 (Bankr. D. Md.
Case No. 10-22970).  Bradford F. Englander, Esq., at Whiteford
Taylor & Preston, L.L.P., represents the Debtor.  The Company
estimated assets and debts at $10 million to $50 million.


JETBLUE AIRWAYS: Amends Employment Deal of David Barger
-------------------------------------------------------
JetBlue Airways Corporation and David Barger, the Company's
President and Chief Executive Officer, on December 21, 2010,
executed an amendment to Mr. Barger's employment contract,
extending his term of employment for an additional two years,
through February 11, 2015.  The remaining terms of Mr. Barger's
employment agreement are unchanged.  The Board of Directors of
the Company approved these changes to Mr. Barger's employment
agreement, at the recommendation of the Corporate Governance and
Nominating Committee.

                       About JetBlue Airways

JetBlue Airways Corp., based in Forest Hills, New York, operates a
low-cost, point-to-point airline from a hub in New York.  JetBlue
serves 60 cities with 600 daily non-stop flights.

The Company reported $6.618 billion in total assets,
$1.126 billion in total current liabilities, $2.88 billion long-
term debt and capital lease obligations, $531 million construction
obligation, $458 million deferred taxes, and stockholders' equity
of $1.623 billion, as of Sept. 30, 2010.

                            *    *    *

JetBlue carries 'Caa1' long term corporate family and probability
of default ratings, with positive outlook, from Moody's.  It has a
'B-' long term issuer default rating, with stable outlook, from
Fitch.  It also has a 'B-' issuer credit ratings from Standard &
Poor's.

Standard & Poor's Ratings Services said that it has affirmed its
ratings, including its 'B-' corporate credit rating, on Forest
Hills, New York-based JetBlue Airways Corp.  At the same time, S&P
revised its outlook on the rating to positive from stable.  The
recovery rating on senior unsecured debt remains '6', indicating
S&P's expectations of a negligible (0%-10%) recovery in a default
scenario.


JOSEPH-BETH BOOKSELLERS: Files Schedules of Assets and Liabilities
------------------------------------------------------------------
Joseph-Beth Booksellers, LLC, filed with the U.S. Bankruptcy Court
for the Eastern District of Kentucky its schedules of assets and
liabilities, disclosing:

     Name of Schedule              Assets         Liabilities
     ----------------            -----------      -----------
  A. Real Property                        $0
  B. Personal Property           $15,941,680
  C. Property Claimed as
     Exempt
  D. Creditors Holding
     Secured Claims                               $10,691,214
  E. Creditors Holding
     Unsecured Priority
     Claims                                                $0
  F. Creditors Holding
     Unsecured Non-priority
     Claims                                        $7,810,775
                                 -----------      -----------
        TOTAL                    $15,941,680      $18,501,989

JB Booksellers, Inc., a debtor-affiliate, filed separate schedules
disclosing $489,720 in assets and $7,018,757 in liabilities.

                  About Joseph-Beth Booksellers

Cincinnati, Ohio-based Joseph-Beth Booksellers, LLC, operated
seven bookstores and bookstore-cafes in Kentucky, Ohio,
Pennsylvania, North Carolina, and Virginia.  The Company filed for
Chapter 11 protection on November 11, 2010 (Bankr. E.D. Ky. Case
No. 10-53594).  The case is jointly administered with JB
Booksellers, Inc., (Bankr. Case No. 10-53593).  Ellen Arvin
Kennedy, Esq., at Dinsmore & Shohl, represents the Debtor.


JOSEPH-BETH BOOKSELLERS: US Trustee Forms 7-Member Creditors Panel
------------------------------------------------------------------
Richard F. Clippard, the U.S. Trustee for Region 8, appointed
seven members to the official committee of unsecured creditors in
the Chapter 11 cases of JB Booksellers, Inc., et al.

The Creditors Committee members are:

1. Davis Street Land Company of Tennessee, LLC.
   Attn: Robert Perlmuter
   622 Davis St., Suite 200
   Evanston, IL 60201
   Tel: (847) 425-4021
   Fax: (847) 425-4014
   E-mail: rperlmutter@dslandco.com

2. Vera Bradley Designs
   Attn: David Traylor
   5620 Industrial Rd.
   Ft. Wayne, IN 46825
   Tel: (800) 823-8372 extn. 5113
   E-mail: dtraylor@verabradley.com

3. Hatchette Book Group
   Attn: Amanda Eames
   3 Center Plaza
   Boston, MA 02108
   Tel: (617) 263-1966
   Fax: (617) 263-2852
   E-mail: amanda.eames@hbgusa.com

4. Holtzbrinck Publishers, LLC d/b/a MPS
   Attn: Joseph J. Walker
   16365 James Madison Highway
   Gordonsville, VA 22942
   Tel: (540) 672-7659
   Fax: (540) 672-7540
   E-mail: jwalker@mpsvirginia.com

5. Simond Schooter
   Attn: Michael Dougherty
   100 Front St.
   Riverside, NJ 08075
   Tel: (856) 824-2009
   Fax: (856) 824-2364
   E-mail: michael.dougherty@simondschooter.com

6. Workman Publishing Company, Inc.
   Attn: Philip C. Gerace
   225 Varick St.
   New York, NY 10014-4381
   Tel: (212) 614-7565
   Fax: (212) 674-5792
   E-mail: phil@workman.com

7. Caspari, Inc.
   Attn: Michael Wowk
   99 Cogwheel Lane
   Seymour, CT 06483
   Tel: (203) 888-1100 ext. 4304
   Fax: (203) 888-0246
   E-mail: mwowk@hgcaspari.com

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 attempt 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.

                  About Joseph-Beth Booksellers

Cincinnati, Ohio-based Joseph-Beth Booksellers, LLC, operated
seven bookstores and bookstore-cafes in Kentucky, Ohio,
Pennsylvania, North Carolina, and Virginia.  The Company filed for
Chapter 11 protection on November 11, 2010 (Bankr. E.D. Ky. Case
No. 10-53594).  The case is jointly administered with JB
Booksellers, Inc., (Bankr. Case No. 10-53593).  Ellen Arvin
Kennedy, Esq., at Dinsmore & Shohl, represents the Debtor.


JOSEPH-BETH BOOKSELLERS: Panel Taps Lowenstein Sandler as Counsel
-----------------------------------------------------------------
The Official Committee of Unsecured Creditors in the Chapter 11
cases of JB Booksellers, Inc., et al., asks the U.S. Bankruptcy
Court for the Eastern District of Kentucky for permission to
employ Lowenstein Sandler PC as co-counsel.

Lowenstein Sandler will, among other things:

   -- assist the Committee in investigating the acts, conduct,
      assets, liabilities, and financial condition of the Debtors,
      the operation of the Debtors' business, potential claims,
      and any other matters relevant to the cases or to the
      formulation of a plan of reorganization;

    -- participate in the formulation of a Plan; and

    -- provide legal advice as necessary with respect to any
       disclosure statement and Plan filed in this case and with
       respect to the process for approving or disapproving
       disclosure statements and confirming or denying
       confirmation of a Plan;

Lowenstein Sandler will work with Frost Brown Todd LLC, the
Committee's proposed counsel, to avoid any unnecessary duplication
of efforts and to handle the matter in an efficient and cost-
effective manner.

Lowenstein Sandler's hourly rates are:

   Members (principals)           $440 - $825
   Senior Counsel                 $390 - $575
   Counsel                        $340 - $575
   Associates                     $235 - $450
   Paralegals and Assistants      $145 - $215

To the best of the Committee's knowledge, Lowenstein Sandler
is a "disinterested person" as that term is defined in Section
101(14) of the Bankruptcy Code.

                  About Joseph-Beth Booksellers

Cincinnati, Ohio-based Joseph-Beth Booksellers, LLC, operated
seven bookstores and bookstore-cafes in Kentucky, Ohio,
Pennsylvania, North Carolina, and Virginia.  The Company filed for
Chapter 11 protection on November 11, 2010 (Bankr. E.D. Ky. Case
No. 10-53594).  The case is jointly administered with JB
Booksellers, Inc., (Bankr. Case No. 10-53593).  Ellen Arvin
Kennedy, Esq., at Dinsmore & Shohl, represents the Debtor.


JOURNAL REGISTER: Court Won't Review Claim Disallowance Order
-------------------------------------------------------------
Bankruptcy Judge Allan L. Gropper denied the request of Margaret
Mayer to vacate a prior order expunging her claim in the Journal
Register Company's Chapter 11 case.

On March 6, 2009, the Claimant filed a complaint in the Court of
Common Pleas of Philadelphia County naming as defendants, among
others, the Journal Register Company and Northeast News Cleaner,
and alleging that the defendants caused the Claimant to suffer
injury because of their negligent failure to keep certain
newspapers, newspaper bundles and ties in a reasonably safe
condition.  The Claimant filed a proof of claim in an unliquidated
amount for an alleged personal injury.

The Reorganized Debtors objected to the Claim on the grounds of
vagueness and failure to include any support for the contention
that the Reorganized Debtors were liable for the Claimant's
injury.  The Claimant did not timely file a response to the Claim
Objection or appear at the hearing on the Claim Objection and on
September 14, 2009, the Court ordered that the Claim be disallowed
and expunged.

A copy of the Court's December 23, 2010 Order is available at
http://is.gd/jxkmefrom Leagle.com.

                      About Journal Register

Yardley, Pennsylvania-based Journal Register Company (PINKSHEETS:
JRCO) -- http://www.JournalRegister.com/-- owns 20 daily
newspapers, more than 180 non-daily publications and operates over
200 individual Web sites that are affiliated with the Company's
daily newspapers, non-daily publications and its network of
employment Web sites.  All of the Company's operations are
strategically clustered in six geographic areas: Greater
Philadelphia; Michigan; Connecticut; Greater Cleveland; and the
Capital-Saratoga and Mid-Hudson regions of New York.  The Company
also owns JobsInTheUS, a network of 20 employment Web sites.

Journal Register, along with its affiliates, filed for Chapter 11
bankruptcy protection on February 21, 2009 (Bankr. S.D.N.Y. Case
No. 09-10769).  Marc Abrams, Esq., Rachel C. Strickland, Esq.,
Shaunna D. Jones, Esq., and Jennifer J. Hardy, Esq., at Willkie
Farr & Gallagher LLP, represent the Debtors as counsel.  William
M. Silverman, Esq., Scott L. Hazan, Esq., and Jeanette A. Barrow-
Bosshart, Esq., at Otterbourg, Steindler, Houston & Rosen, P.C.,
represent the official committee of unsecured creditors as
counsel.  Conway, Del Genio, Gries & Co., LLC, provides
restructuring management services to the Debtors.  Robert P.
Conway is the Company's chief restructuring officer.  At the time
of the filing, the Company estimated its assets at less than
$500 million in and $500 million to $1 billion in total debts.

Journal Register emerged from Chapter 11 protection under the
terms of a pre-negotiated plan of reorganization declared
effective in August 2009.


JS WESTON'S: Taps Rodney L. Salvati as General Bankr. Counsel
-------------------------------------------------------------
J.S. Weston's, Inc., asks the U.S. Bankruptcy Court for the Middle
District of Florida for permission to employ Rodney L. Salvati as
general bankruptcy counsel.

Mr. Salvati will, among other things:

   a. give the Debtor legal advice with respect to its powers and
      duties as a debtor-in-possession in the continued operation
      of its business and management of its property;

   b. take the necessary action to recover any preferential
      transfers, fraudulent transfers or other voidable transfers;
      and

   c. enjoin or stay any and all suits and proceedings against the
      Debtor affecting its ability to continue in business or
      affecting its property.

The Debtor also seeks authorization to pay Mr. Salvati his
attorney's fee and to reimburse Mr. Salvati for his reasonable and
necessary costs.

To the best of the Debtor's knowledge, Mr. Salvati is a
"disinterested person" as that term is defined in Section 101(14)
of the Bankruptcy Code.

                       About J.S. Weston's

Englewood, Florida-based J.S. Weston's, Inc., filed for Chapter 11
bankruptcy protection on November 11, 2010 (Bankr. M.D. Fla. Case
No. 10-27273).  Rodney L. Salvati, Esq., who has an office in
Venice, Florida, represents the Debtor.  The Company disclosed
$12,882,561 in assets and $8,945,052 in liabilities as of the
Chapter 11 filing.


JUMA TECHNOLOGY: Converge Won't Proceed With Buyout Offer
---------------------------------------------------------
Juma Technology Inc., on September 17, 2010, entered into a letter
of intent with ConvergeOne Holdings Corp.  Under the terms of the
Letter of Intent, Converge, through a subsidiary, was to acquire
from the Company the assets of the Company's solutions and
maintenance business, free and clear of liens and encumbrances.
The closing of the transaction was subject to a number of
conditions including the completion of due diligence.

On December 20, 2010, Converge notified the Company that it was
terminating its due diligence and that it had elected not to
proceed with the proposed transaction.

                       About Juma Technology

Farmingdale, N.Y.-based Juma Technology Corp. is a highly
specialized convergence systems integrator with a complete suite
of services for the implementation and management of an entity's
data, voice and video requirements.

The Company's balance sheet at Sept. 30, 2010, showed
$4.29 million in total assets, $22.01 million in total
liabilities, and a stockholder's deficit of $17.72 million.

As reported in the Troubled Company Reporter on April 5, 2010,
Seligson & Giannattasio, LLP, in White Plains, N.Y., expressed
substantial doubt about the Company's ability to continue as a
going concern, following its 2009 results.  The independent
auditors noted that the Company has incurred significant recurring
losses.


JUNIPER GROUP: Restates Q3 2010 Report; Posts $5.7MM Loss
---------------------------------------------------------
Juniper Group, Inc., filed on December 21, 2010, Amendment No. 1
to its quarterly report for the three months ended September 30,
2010, to correct the calculation pertaining to the derivative
liability relating to convertible debentures and the resulting
loss on adjustment of derivative and warrant liabilities to fair
value.

Juniper recorded a net loss of $5,720,701 for the three month
period ended September 30, 2010, as compared to net income of
$6,623,095 for the comparable period in 2009.

Revenues for the three months ended September 30, 2010, and 2009,
were $381,513 and $102,451, respectively.

The Company's balance sheet at September 30, 2010, showed
$1,083,429 in total assets, $29,323,950 in total liabilities, and
a stockholders' deficit of $28,240,521.

Liebman Goldberg & Hymowitz, LLP, in Garden City, New York,
expressed substantial doubt about Juniper Group, Inc.'s ability to
continue as a going concern, following the Company's 2009 results.
The independent auditors noted that the Company has a working
capital deficiency and has suffered recurring losses from
operations.

A full-text copy of the Form 10-Q/A for the quarterly period ended
September 30, 2010, is available for free at:

               http://researcharchives.com/t/s?716d

For the same reasons, the Company also restated its quarterly
reports for the the quarterly periods ended March 31, 2010, and
June 30, 2010.

A full-text copy of the Form 10-Q/A for the quarterly period ended
March 31, 2010, is available for free at:

               http://researcharchives.com/t/s?716e

A full-text copy of the Form 10-Q/A for the quarterly period ended
June 30, 2010, is available for free at:

               http://researcharchives.com/t/s?716f

Boca Raton, Fla.-based Juniper Group, Inc., is a holding company.
The Company was incorporated in the State of Nevada in 1997 and
conducts its business through indirect wholly-owned subsidiaries.

The Company's wireless infrastructure services operating
subsidiaries primarily focus their activities in the Eastern and
Central United States.  The Company's intention is to be able to
support the increased demand in the deployment of wireless
infrastructure services with leading wireless telecommunication
companies in providing them with maintenance and upgrading of
wireless telecommunication network sites, site acquisitions, site
surveys, co-location facilitation, tower construction and antenna
installation to tower system integration, hardware and software
installations.


KH FUNDING: Gets Court's Interim Nod to Use Cash Collateral
-----------------------------------------------------------
KH Funding Company sought and obtained interim authorization from
the Hon. Thomas J. Catliota of the U.S. Bankruptcy Court for the
District of Maryland to use up to $127,300 of the cash collateral
securing obligations to Wells Fargo Bank, N.A., until December 31,
2010.

Pursuant to an Indenture dated as of August 2, 2004, as amended
and supplemented to date, by and between KH Funding and Wells
Fargo Bank, N.A., KH Funding issued certain Series 3 Senior
Secured Investment Debt Securities and Series 4 Subordinated
Unsecured Investment Debt Securities.  As of October 31, 2010, the
Debtor owed the holders of the Series 3 Notes and Series 4 Notes
in aggregate amounts of more than $38,150,000 and $1,321,000,
respectively.

The Debtor reached an agreement with Wells Fargo, as indenture
trustee on behalf of the holders of certain series 3 notes, on the
use of cash collateral.

Lawrence D. Coppel, Esq., at Gordon, Feinblatt, Rothman,
Hoffberger & Hollander, LLC, explained that the Debtor needs the
money to fund its Chapter 11 case, pay suppliers and other
parties.  The Debtor will use the collateral pursuant to a budget,
a copy of which is available for free at:

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

In exchange for using the cash collateral, the Debtor will grant
the Indenture Trustee valid, binding, enforceable, and perfected
replacement liens in all property acquired or created postpetition
of the type included within the collateral during the period when
the Debtor is authorized to use cash collateral.  The Debtor will
also grant the Indenture Trustee administrative expense claims
with priority over every other claim.

Any cash collateral now held or hereafter received by the Debtor
will be collected, received, maintained and segregated by the
Debtor by depositing cash, checks, or other forms of remittance
evidencing same in the Debtor's existing bank account with Sandy
Spring Bank, which will be converted to a debtor-in-possession
account.

The Debtor promises to provide the Indenture Trustee reports that
include cash flow projections and financial or operating reports.
A written report will be provided by 12:00 p.m. (Eastern) every
Wednesday.

The Court has set a final hearing for December 30, 2010, at
11:00 a.m. on the Debtor's request to use cash collateral.

Silver Spring, Maryland-based KH Funding Company filed for Chapter
11 bankruptcy protection (Bankr. D. Md. Case No. 10-37371) on
December 3, 2010.  Lawrence Coppel, Esq. -- lcoppel@gfrlaw.com --
at Gordon Feinblatt Rothman Hoffberger & Hollander, LLC, in
Baltimore, Maryland, serves as the Debtor's bankruptcy counsel.
The Debtor estimated its assets and debts at $10 million to
$50 million.


KH FUNDING: Taps Gray & Assoc. as Asset Disposition Consultant
--------------------------------------------------------------
Bankruptcy Judge Thomas J. Catliota signed off on a stipulation
between KH Funding Company and the United States Trustee for
Region 4 expanding the U.S. Trustee's time until January 6, 2011,
to comment or object to the Debtor's bid to employ Gray &
Associates, LLC, as Asset Disposition Consultant.  A copy of the
Stipulation, dated December 23, 2010, is available at
http://is.gd/jxonMfrom Leagle.com.

Silver Spring, Maryland-based KH Funding Company filed for Chapter
11 bankruptcy protection (Bankr. D. Md. Case No. 10-37371) on
December 3, 2010.  Lawrence Coppel, Esq. -- lcoppel@gfrlaw.com --
at Gordon Feinblatt Rothman Hoffberger & Hollander, LLC, in
Baltimore, Maryland, serves as the Debtor's bankruptcy counsel.
The Debtor estimated its assets and debts at $10 million to
$50 million.


KOOSHAREM CORPORATION: Moody's Cuts Corp. Family Rating to 'Caa2'
-----------------------------------------------------------------
Moody's Investors Service downgraded Koosharem Corporation's (dba
Select Staffing) corporate family rating to Caa2 from Caa1 and the
probability-of-default rating to Caa3 from Caa2.  Moody's also
downgraded the rating on its first lien senior secured credit
facilities to Caa1 from B3 and the rating on the second lien term
loan to Ca from Caa3.  The ratings outlook remains negative.

Ratings downgraded:

  -- Corporate Family Rating to Caa2 from Caa1;

  -- Probability-of-Default Rating to Caa3 from Caa2;

  -- Senior secured first lien revolving credit facility to Caa1
     (LGD2, 23%) from B3 (LGD2, 24%);

  -- Senior secured first lien term loan to Caa1 (LGD2, 23%) from
     B3 (LGD2, 24%);

  -- Senior secured second lien term loan to Ca (LGD5, 72%) from
     Caa3 (LGD5, 74%).

                        Ratings Rationale

The downgrade of Select's corporate family and probability-of-
default ratings reflects a continuing event of default under the
credit agreement that stems from its failure to file the audited
2009 annual report.  While the company has a reasonable amount of
cash, this is currently the only source of liquidity.  Moreover,
Select's cash balance would not be sufficient to cover its debt
obligations in the event that lenders accelerated.  These issues,
combined with low profitability levels and a significant interest
burden, heighten Moody's concern over the potential for a debt
restructuring near-term.  The ratings derive limited support from
improving sales trends as staffing activity rebounds from the
trough levels experienced in the first half of 2009.

Select's Caa2 corporate family rating reflects its weak liquidity,
limited free cash flow generation, high leverage, low barriers to
entry and significant competition in the highly fragmented
temporary staffing industry, and the cyclicality inherent in the
business.  The rating derives limited support from Select's large-
scale within the U.S. staffing industry and improving topline
trends.

The negative outlook reflects Moody's concern that recent
improvements in operating performance may not preclude the need
for a debt restructuring.

A distressed exchange or payment default could result in a ratings
downgrade.

A balance sheet restructuring that improves liquidity on a
sustained basis could result in upward ratings momentum.

Koosharem Corporation, headquartered in Santa Barbara, California,
is a privately-held staffing services business with a network of
more than 420 offices in over 40 states including a network of
approximately 160 franchises.  The company offers temporary, temp-
to-hire, and direct placement positions and derives most of its
revenues from the placement of light industrial and clerical
staff.


LDK SOLAR: $31MM in Notes Participated in $300MM Exchange Bid
-------------------------------------------------------------
LDK Solar Co., Ltd., unveiled the results of its offer to exchange
up to $300 million in aggregate principal amount of currently
outstanding 4.75% Convertible Senior Notes due 2013 (CUSIP Nos.
50183L AA 5 and 50183L AB 3).  The Company offered to exchange the
Existing Notes for an equal aggregate principal amount of a newly
issued class of 4.75% Convertible Senior Notes due 2013 and cash
in an amount not greater than $100 nor less than $85.  The
Exchange Offer expired at 11:59 p.m., New York City time, on
December 22, 2010.

The total principal amount of Existing Notes accepted for exchange
was approximately $31,918,000.  Holders of Existing Notes that
validly tendered and did not validly withdraw their Existing Notes
prior to the expiration of the Exchange Offer will receive the
Exchange Consideration, including the Cash Consideration, on the
settlement date of the Exchange Offer, which is expected to be
December 29, 2010.

Pursuant to the terms of the modified "Dutch Auction," the Company
determined the Cash Consideration portion of the Exchange
Consideration to be $100 for each $1,000 principal amount of
Existing Notes.  In addition, holders of Existing Notes whose
Existing Notes were accepted for exchange in the Exchange Offer
will be paid cash in an amount equal to the accrued and unpaid
interest on the Existing Notes up to, but excluding, the
settlement date of the Exchange Offer.

As of December 9, 2010, roughly $395 million in aggregate
principal amount of the Existing Notes were outstanding.

The financial advisor for the Exchange Offer was Piper Jaffray &
Co., the information agent for the Exchange Offer was Georgeson
Inc. and the exchange agent for the Exchange Offer was The Bank of
New York Mellon.  Holders of the Existing Notes who have questions
may call the information agent at (800) 457-0759.  Banks and
brokerage firms may call (212) 440-9800.

                         About LDK Solar

LDK Solar Co., Ltd. (NYSE: LDK) -- http://www.ldksolar.com/--
manufactures photovoltaic products and multicrystalline wafers.
LDK Solar's headquarters and manufacturing facilities are located
in Hi-Tech Industrial Park, Xinyu City, Jiangxi Province in the
People's Republic of China.  LDK Solar's office in the United
States is located in Sunnyvale, California.

The Company's balance sheet at December 31, 2009, showed
US$4.384 billion in assets, US$3.507 billion of liabilities, and
US$876.9 million of stockholders' equity.

                        Going Concern Doubt

As reported in the Troubled Company Reporter-Asia Pacific on
July 6, 2010, LDK Solar said in its annual report on Form 20-F for
the year ended December 31, 2009, that at yearend, the Company had
a working capital deficit of US$833.6 million and an accumulated
deficit of US$32.8 million.  The Company said, "During the
year ended December 31, 2009, we incurred a net loss of
US$234.2 million [attributable to LDK Solar Co., Ltd.
shareholders].  As of December 31, 2009, we had cash and cash
equivalents of US$384.8 million, most of which are held by
subsidiaries in China.  Most of our short-term bank borrowings and
current installments of our long-term debt totaling US$978.6
million are the obligations of these subsidiaries.  We may also be
required by the holders of our convertible senior notes to
repurchase all or a portion of such convertible senior notes with
an aggregate principal amount of US$400.0 million on April 15,
2011.  These factors initially raised substantial doubt as to our
ability to continue as a going concern.  We are in need of
additional funding to sustain our business as a going concern, and
we have formulated a plan to address our liquidity problem."

The Company cautioned that "we cannot assure you that we will
successfully execute our liquidity plan.  If we do not
successfully execute such plan, we may have substantial doubt as
to our ability to continue as a going concern."


LESLIE CONTROLS: District Court to Hear Chapter 11 Plan in January
------------------------------------------------------------------
CIRCOR International, Inc. has issued an update on the timing of
the Chapter 11 bankruptcy proceedings of its Leslie Controls, Inc.
subsidiary.  In its October 28, 2010 press release, CIRCOR
announced bankruptcy court confirmation of the Leslie Controls
reorganization plan and indicated that it was targeting Leslie's
emergence from bankruptcy for the fourth quarter of 2010, pending
required affirmation of the reorganization plan by the U.S.
District Court.  While the Company had hoped the District Court
review would occur during the fourth quarter, the District Court
has scheduled the hearing for January 2011.

At the hearing, the District Court will review the Section 524(g)
asbestos trust aspects of the reorganization plan and consider
appeals lodged by certain of Leslie's insurers.  Upon entry of a
District Court order of approval and absent a stay pending any
further appeals, Leslie and CIRCOR would fund the Section 524(g)
asbestos trust once various closing conditions are satisfied and
the reorganization plan becomes effective.  Leslie's emergence
from bankruptcy and distributions from the trust to claimants
would not occur, however, until any subsequent appeals from the
District Court's order are favorably resolved.  CIRCOR and Leslie
believe that the pending and any subsequent appeals are, and would
be, without merit.

                   About CIRCOR International

CIRCOR International, Inc. -- http://investors.circor.com/--
designs, manufactures and markets valves and other highly
engineered products and subsystems that control the flow of fluids
safely and efficiently in the aerospace, energy and industrial
markets.  With more than 9,000 customers in over 100 countries,
CIRCOR has a diversified product portfolio with recognized,
market-leading brands.  CIRCOR's culture, built on the CIRCOR
Business System, is defined by the Company's commitment to
attracting, developing and retaining the best talent and pursuing
continuous improvement in all aspects of its business and
operations.  The Company's strategy includes growing organically
by investing in new, differentiated products; adding value to
component products; and increasing the development of mission-
critical subsystems and solutions.  CIRCOR also plans to leverage
its strong balance sheet to acquire strategically complementary
businesses.

                   About Leslie Controls

Based in Tampa, Florida, Leslie Controls manufacturers process
control valves, severe service control valves, on-off valves,
regulators, steam water heaters, actuators and controls.
Leslie is a unit of CIRCOR International, Inc.

Leslie Controls sought Chapter 11 bankruptcy protection (Bankr.
D. Del. Case No. 10-12199) on July 12, 2010.  Marion M. Quirk,
Esq., and Norman L. Pernick, Esq., at Cole, Schotz, Meisel,
Forman & Leonard, assist the Company in its restructuring
effort.  Natalie Ramsey, Esq., at Montgomery, McCracken,
Walker & Rhodes, LLP, represents the Asbestos Claimants
Committee, and Edwin J. Heron, Esq., at Young, Conaway,
Stargatt & Taylor, LLP, represents the Future Claimants'
Representative.  William R. Hanlon, Esq., at Goodwin Procter
LLP advises CIRCOR International, Inc.  The Company estimated
its assets at $10 million to $50 million and its debts at
$50 million to $100 million at that the time of the filing.


LIBBEY INC: Glass Unit Launches Exchange Offer for 10% Notes
------------------------------------------------------------
Libbey Inc. said its wholly owned subsidiary, Libbey Glass Inc.,
has commenced an exchange offer for any and all of its outstanding
$400,000,000 aggregate principal amount of 10.0% Senior Secured
Notes due 2015.

The Outstanding Notes were issued on February 8, 2010, in a
private placement pursuant to Rule 144A and Regulation S under the
Securities Act of 1933, as amended.  Holders of Outstanding Notes
may exchange them for an equal principal amount of a new issue of
10.0% Senior Secured Notes due 2015, which have been registered
under the Securities Act pursuant to an effective registration
statement on Form S-4 filed with the Securities and Exchange
Commission.

The exchange offer is being conducted to satisfy the Company's
obligations under the terms of a registration rights agreement
entered into in connection with the issuance of the Outstanding
Notes and does not represent a new financing transaction.

The exchange offer will expire at 12:00 midnight, New York City
time on January 24, 2011, unless extended or terminated. Tenders
of Outstanding Notes must be properly made before the exchange
offer expires and may be withdrawn at any time before the exchange
offer expires.

Documents describing the terms of the exchange offer, including
the prospectus and transmittal materials for making tenders, can
be obtained from the exchange agent, The Bank of New York Mellon,
Corporate Trust Operations, 480 Washington Boulevard, 27th floor,
Reorganization Unit, Jersey City, NJ 07310, Attn: William Buckley.
For information by telephone, call 1-212-815-5788.

                         About Libbey Inc.

Based in Toledo, Ohio, since 1888, Libbey, Inc., operates glass
tableware manufacturing plants in the United States in Louisiana
and Ohio, as well as in Mexico, China, Portugal and the
Netherlands.  Libbey supplies tabletop products to foodservice,
retail, industrial and business-to-business customers in over 100
countries.

                           *     *     *

Libbey carries 'B' issuer credit ratings, with stable outlook,
from Standard & Poor's Ratings Services.

On October 28, 2009, Libbey restructured a portion of its debt
by exchanging the old 16% Senior Subordinated Secured Payment-in-
Kind Notes due December 2011 of subsidiary Libbey Glass Inc.,
having an outstanding principal amount as of October 28, 2009, of
$160.9 million for (i) $80.4 million principal amount of new
Senior Subordinated Secured Payment-in-Kind Notes due 2021 of
Libbey Glass, and (ii) 933,145 shares of common stock and warrants
exercisable for 3,466,856 shares of common stock of Libbey Inc.

On February 8, 2010, Libbey used the proceeds of a $400.0 million
debt offering of 10.0% Senior Secured Notes due 2015 of Libbey
Glass Inc., as well as cash on hand, to (i) repurchase the
$306.0 million then outstanding Floating Rate Senior Secured Notes
due 2011 of Libbey Glass, (ii) repay the $80.4 million New PIK
Notes and (iii) pay related fees and expenses.  Concurrent with
the closing of the offering of the Senior Secured Notes, Libbey
entered into an amended and restated $110 million Asset Based Loan
facility which, among other terms, extended the maturity date to
2014.


LOEHMANN'S HOLDINGS: Files 1st Amended Joint Plan
-------------------------------------------------
BankruptcyData.com reports that Loehmann's Holdings filed with the
U.S. Bankruptcy Court a First Amended Joint Plan of Reorganization
and related Disclosure Statement.

BankruptcyData says the Disclosure Statement asserts, "Loehmann's
is worth more to its creditors as a going concern than upon
liquidation. The Plan provides, inter alia, for a $25 million
equity investment in Loehmann's Holdings, Inc. pursuant to a
Rights Offering through which Eligible Holders of Class A Notes
Claims that vote to accept the Plan will be granted the
opportunity to exercise rights to purchase shares of New
Convertible Preferred Stock on the Effective Date and the
conversion of the Class A Notes Claims into New Common Stock.
Only those Holders of Class A Notes Claims that are Eligible
Holders (i.e. those Holders that are Qualified Institutional
Buyers acting on their own behalf or on behalf of other Qualified
Institutional Buyers) that vote to accept the Plan will be
permitted to participate in the Rights Offering. If Class 4 (Class
B Notes Claims) accepts the Plan, the Holders of Class B Notes
Claims will receive New Common Stock.  If Class 4 (Class B Notes
Claims) does not vote to accept the Plan, the Holders of Class B
Notes Claims will receive no distribution under the Plan. The
Other Secured Claims will be paid in full in cash or receive such
other treatment as to render such Holders Unimpaired. If Class 5
(General Unsecured Claims) accepts the Plan, the holders of
General Unsecured Claims will be paid a Pro Rata distribution
consisting of Cash in the aggregate amount of $2 million.  If
Class 5 (General Unsecured Claims) does not vote to accept the
Plan, the Holders of General Unsecured Claims will receive no
distribution under the Plan and the $2 million otherwise
distributable to Holders of General Unsecured Claims will be
available for working capital purposes to the Reorganized Debtors.
In no event will Class 4 or Class 5's acceptance or rejection of
the Plan impact the amount of the $25 million New Investment . . .
Distributions to Holders of Claims in Class 4 and Class 5, if any,
under the Plan will be funded solely from the distributions
otherwise payable, or otherwise directly or indirectly available,
under the Plan to Holders of Allowed Class A Notes Claims."

                      About Loehmann's Holdings

Bronx, New York-based Loehmann's Holdings, Inc., is a discount
retailer with more than 60 stores.  The Bronx, New York-based
company is owned indirectly by Istithmar PJSC, an investment firm
owned by the government of Dubai.

Loehmann's filed for Chapter 11 bankruptcy protection on
November 15, 2010 (Bankr. S.D.N.Y. Case No. 10-16077).  It
estimated its assets and debts at $100 million to $500 million.

Affiliates Loehmann's Inc. (Bankr. S.D.N.Y. Case No. 10-16078),
Loehmann's Operating Co. (Bankr. S.D.N.Y. Case No. 10-16079),
Loehmann's Real Estate Holdings, Inc. (Bankr. S.D.N.Y. Case No.
10-16080), and Loehmann's Capital Corp. (Bankr. S.D.N.Y. Case No.
10-16081) filed separate Chapter 11 petitions.

Frank A. Oswald, Esq., at Togut, Segal & Segal LLP, assist the
Debtors in their restructuring efforts.

Perella Weinberg Partners LP is the Debtors' investment banker and
financial advisor.  Clear Thinking Group LLC is the Debtors'
restructuring adviser.  Troutman Sanders LLP is the Debtor's
special corporate counsel.  Kurtzman Carson Consultants LLC is the
Debtors' claims and notice agent.


LOEHMANN'S HOLDINGS: S&P Withdraws 'D' Corporate Credit Rating
--------------------------------------------------------------
Standard & Poor's Ratings Services said it withdrew its ratings on
Loehmann's Holdings Inc., including the 'D' corporate credit and
the 'D' issuer and '6' recovery ratings on the senior secured
notes at Loehmann's Capital Corp. The company and each of its U.S.
subsidiaries filed for protection under Chapter 11 of the
Bankruptcy Code on Nov. 15, 2010.  Subsequent to the company's
Chapter 11 filing, S&P determined that S&P would not have access
to sufficient information to continue surveillance on the
company's recovery ratings.


LOONEY RICKS: Seeks to Exclude Evidence in Infringement Suit
------------------------------------------------------------
District Judge Maurice Hicks Jr. grants, in part, and denies, in
part, the Motion in Limine filed by Looney Ricks Kiss Architects,
Inc., in the case, Looney Ricks Kiss Architects, Inc., v. Steve H.
Bryan, et al., Case No. 07-cv-572 (W.D. La.).  LRK refers to nine
different areas of evidence they wish to be excluded at trial.
This motion is opposed.

LRK filed suit alleging copyright infringement against numerous
defendants involved in the development, construction and operation
of three apartment complexes which were allegedly based on LRK's
design.

A copy of the Court's December 22, 2010 Memorandum Order is
available at http://is.gd/jxqKpfrom Leagle.com.

Memphis, Tenn.-based Looney Ricks Kiss Architects, Inc., filed for
Chapter 11 bankruptcy (Bankr. W.D. Tenn. Case No. 10-22034) on
February 23, 2010.  Judge Jennie D. Latta presides over the case.
John L. Ryder, Esq. -- jryder@harrisshelton.com -- at Harris
Shelton Hanover Walsh, PLLC, serves as the Debtor's counsel.  In
its petition, the Debtor scheduled assets of $3,117,189 and debts
of $4,200,925.


LOOP 76: Exit Plan Wins Approval Over Wells Fargo Plan
------------------------------------------------------
Bankruptcy Judge Randolph J. Haines confirmed the plan of
reorganization proposed by Loop 76, L.L.C., saying the plan
provides Wells Fargo Bank with more than it could obtain in a
chapter 7 liquidation.  Judge Haines said the feasibility of the
plan is substantially enhanced by both the existing and continuing
guarantee of the Wells Fargo debt by a solvent guarantor and by
that guarantor's commitment to fund up to $2,000,000 to cover
shortfalls in the first three years, and to secure that commitment
with collateral of equivalent value.  That additional funding is
almost sufficient to cover debt service payments even under the
creditor's experts' pessimistic analysis.

A copy of the Court's December 21 Memorandum Decision Confirming
Debtor's Plan of Reorganization is available at http://is.gd/jxz88
from Leagle.com.

Attorneys for Wells Fargo Bank are:

          Susan G. Boswell, Esq.
          Elizabeth S. Fella, Esq.
          QUARLES & BRADY LLP
          One South Church Avenue, Suite 1700
          Tucson, AZ 85701
          Telephone: (520) 770-8713
          Facsimile: (520) 770-2222
          E-mail: susan.boswell@quarles.com
                  elizabeth.fella@quarles.com

Attorneys for the Debtor are:

          Dale C. Schian, Esq.
          Mark C. Hudson, Esq.
          SCHIAN WALKER, P.L.C.
          3550 N. Central Ave., Ste. 1700
          Phoenix, AZ 85012
          Telephone: (602) 277-1501
          Facsimile: (602) 297-9633
          E-mail: dschian@swazlaw.com
                  mhudson@swazlaw.com

Scottsdale, Arizona-based Loop 76, LLC filed for Chapter 11 on
July 20, 2009 (Bankr. D. Ariz. Case No. 09-16799).  In its
petition, the Debtor listed assets and debts boith ranging from
$10,000,001 to $50,000,000.


LYONDELL CHEMICAL: Says Interplastic Refuses to Pay $2MM
--------------------------------------------------------
Lyondell Chemical Co. has accused Interplastic Corp. of unlawfully
refusing to pay $2 million in debt the newly solvent company
claims it is owed under contracts forged prior to its January 2009
bankruptcy filing, according to Bankruptcy Law360.

LyondellBasell Industries is one of the world's largest polymers,
petrochemicals and fuels companies.  Luxembourg-based 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 USUS$12.7 billion merger. Len Blavatnik's Access Industries
owned the Company prior to its bankruptcy filing.

On January 6, 2009, LyondellBasell Industries' U.S. operations,
led by Lyondell Chemical Co., 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 filed for
Chapter 11. 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.

Deryck A. Palmer, Esq., at Cadwalader, Wickersham & Taft LLP, in
New York, served as the Debtors' bankruptcy counsel.  Evercore
Partners served as financial advisors, and Alix Partners and its
subsidiary AP Services LLC, served as restructuring advisors.
AlixPartners' Kevin M. McShea acted as the Debtors' Chief
Restructuring Officer.  Clifford Chance LLP served as
restructuring advisors to the European entities.

LyondellBasell emerged from Chapter 11 bankruptcy protection in
May 2010, with a plan that provides the Company with US$3 billion
of opening liquidity.  A new parent company, LyondellBasell
Industries N.V., incorporated in the Netherlands, is the successor
of the former parent company, LyondellBasell Industries AF S.C.A.,
a Luxembourg company that is no longer part of LyondellBasell.
LyondellBasell Industries N.V. owns and operates substantially the
same businesses as the previous parent company, including
subsidiaries that were not involved in the bankruptcy cases.
LyondellBasell's corporate seat is Rotterdam, Netherlands, with
administrative offices in Houston and Rotterdam.


MBIA INSURANCE: S&P Downgrades Counterparty Credit Ratings to 'B'
-----------------------------------------------------------------
Standard & Poor's Ratings Services said that it lowered its
counterparty credit, financial strength, and financial enhancement
ratings on MBIA Insurance Corp. to 'B' from 'BB+'.  Standard &
Poor's also said that it lowered its counterparty credit,
financial strength, and financial enhancement ratings on National
Public Finance Guarantee Corp. to 'BBB' from 'A'.  In addition,
Standard & Poor's lowered its counterparty credit rating on MBIA
Inc. to 'B-' from 'BB-'.  The outlooks on MBIA Insurance and MBIA
Inc. remain negative, and the outlook on National remains
developing.

"S&P downgraded MBIA Insurance because its stress-case loss
projections for the company's collateralized debt obligations of
asset-backed securities and its commercial real estate related
exposures are now significantly higher than previously projected
and significantly exceed the company's capital resources,"
explained Standard & Poor's credit analyst Dick P. Smith.
"However, these loss expectations do not require immediate cash
outflows, and the company has adequate liquidity for the next few
years."

For the commercial real estate exposure, S&P now view this asset
class as being under moderate stress and have modified S&P's
methodology to exclude any previously applied diversification
benefits.  This change in methodology results in a substantial
increase in stress-case losses.  In addition, changes to S&P's
modeling methodology for assessing residential mortgage backed
securities and updated criteria for assessing CDOs (both ABS and
commercial real estate backed) have resulted in higher stress
environment loss projections for these asset classes.  Stress-case
loss projections do not reflect the losses S&P expects to occur
but rather reflect its view of potential losses in a stressed
environment.

The rating action on National is related to the rating action on
sister company MBIA Insurance.  Although National and MBIA
Insurance are separate legal entities, they both are subjects of
litigation that seeks to void the restructuring undertaken in 2009
that split off the municipal business formerly insured by MBIA
Insurance and related capital into National.  As long as that
litigation is unresolved, S&P believes there is a risk that the
two companies could be required to be recombined or that National
would be required to bolster MBIA Insurance's capital.  As such,
the MBIA Insurance rating acts as an anchor on the National
rating.  Given the possibility that a downgrade could move the
rating on National nearer to the rating on MBIA, S&P is
constraining the National rating at two rating categories higher
than MBIA.

The rating action on MBIA Inc. reflects the downgrades to key
operating subsidiaries MBIA Insurance and National.  However, MBIA
Inc.'s liquidity is currently strong, bolstered in 2010 by a small
dividend from Cutwater (the asset management subsidiary) and a tax
refund.  Cash on hand and cash inflows expected in the next few
years adequately cover the holding company's debt-service and
operating-expense obligations.

"The negative outlook on MBIA Insurance reflects the possibility
that adverse loss development on the structured finance book could
continue, diminishing liquidity and weakening capital," Mr. Smith
added.  Liquidity is currently adequate to meet projected claims
payments over the next several years, but there could be increased
losses and earnings volatility.  S&P could maintain the rating if
MBIA Insurance's capital stabilized as a result of diminished
potential for future adverse loss development.  However, if the
company exhibits increased losses and diminished liquidity -- such
that the time horizon to possible insolvency shortened to two
years or less -- S&P could lower the ratings again.

The outlook on National is developing.  S&P could raise the rating
within a relatively short period to 'A+', consistent with the
current stand-alone credit profile for National, if there is a
favorable resolution to the current litigation, which in turn
could facilitate National's capital-raising efforts and lead to a
greater acceptance of the separation of National from other non-
public finance entities within MBIA.  The stand-alone assessment
incorporates S&P's view that National's capital adequacy currently
meets its 'AA' standard and its expectations that National could
be successful in its efforts to re-establish its presence in the
municipal market.  Success in this regard -- as demonstrated by
competitive market share, premium pricing power, and enhanced
financial flexibility -- could ultimately lead to ratings in the
'AA' category.  Alternatively, an adverse ruling relating to the
separation of National from MBIA Insurance could cause us to lower
the ratings to a level nearer to the MBIA ratings.

The outlook on MBIA Inc. is negative, reflecting the potential for
liquidity to weaken over time because of access to cash from
subsidiaries being constrained as a result of adverse litigation
outcomes.  However, in the next few years, liquidity will likely
be adequate to meet debt-service and holding-company obligations,
including operating expenses.  S&P could raise the rating if the
diversity of reliable sources of dividends improved and the level
of available dividends relative to holding-company cash needs grew
to at least a multiple of two times.  S&P would lower the rating
if liquidity diminished to where the time horizon to possible
bankruptcy or default shortened to two years or less.


METROPOLITAN 885: Judge Approves Bankruptcy-Exit Plan
-----------------------------------------------------
Dow Jones' DBR Small Cap reports that Manhattan's Lipstick
Building was cleared to emerge from bankruptcy after Judge Shelley
C. Chapman approved a Chapter 11 plan that hands over the iconic
skyscraper to its largest lender.  DBR relates Judge Chapman
signed off on the deal Wednesday, allowing the building to exit
bankruptcy after just more than a month in Chapter 11.

Under the approved plan, according to DBR, senior lender Royal
Bank of Canada will cut its secured claim to $130 million from
$210 million.  In exchange, the lender will receive 100% of the
ownership interests in the restructured company that owns the
building as well as a $15 million principal payment when the
Chapter 11 plan takes effect.  General unsecured creditors owed
approximately $1 million are slated to be paid in full and in
cash.  All creditors eligible to vote on the plan supported the
deal, according to court papers.  An entity called New Lipstick
LLC will fund the reorganization plan.

New York-based Metropolitan 885 Third Avenue Leasehold, LLC, was
organized in 2007 as a Delaware limited liability company and is
wholly owned by Metropolitan 885 Third Avenue Leasehold Sub Junior
Mezz LLC, a Delaware limited liability company.  Metropolitan 885
owns the leasehold interest on Lipstick Building on Third Avenue,
a 34-storey Class A office building located on the eastside of
Third Avenue between 53rd and 54th Streets in New York City.

Metropolitan 885 filed for Chapter 11 bankruptcy protection on
November 16, 2010 (Bankr. S.D.N.Y. Case No. 10-16103).  In its
schedules, the Debtor disclosed $139,878,012 in total assets and
$210,337,682 in total debts.  The Garden City Group, Inc., is the
Debtor's claims agent.


MEDSCI DIAGNOSTICS: Court Expands Contract Validity Ruling
----------------------------------------------------------
Judge Enrique S. Lamoutte of the United States Bankruptcy Court
for the District of Puerto Rico denied the State Insurance Fund
Corporation's motion for reconsideration of the Court's Nov. 24
ruling confirming the validity of the contract between the SIF and
MEDSCI Diagnostics, Inc.  The Court also clarified and expanded
the Order.

The Troubled Company Reporter published a story on the ruling on
December 7, 2010.

The case is Medsci Diagnostics, Inc., v. State Insurance Fund
Corp., through its Administrator Zoime Alvarez Rubio, et al., Adv.
Pro. No. 10-0094 (Bankr. D. P.R.).  A copy of the Court's Opinion
and Order, dated December 23, 2010, is available at
http://is.gd/jxns1from Leagle.com.

San Juan, Puerto Rico-based Medsci Diagnostics, Inc., filed for
Chapter 11 bankruptcy protection on June 6, 2010 (Bankr. D. P.R.
Case No. 10-04961).  Edgardo Munoz, Esq., at Edgardo Munoz, PSC,
assists the Debtor in its restructuring effort.  The Company
disclosed $57,900,732 in total assets and $6,770,211 in total
debts in its schedules.


MONEY TREE: Recurring Losses Prompt Going Concern Doubt
-------------------------------------------------------
The Money Tree Inc. filed on December 23, 2010, its annual report
on Form 10-K for the fiscal year ended September 25, 2010.

Carr, Riggs & Ingram, LLC, in Tallahassee, Fla., expressed
substantial doubt about The Money Tree's ability to continue as a
going concern.  The independent auditors noted that the Company
has incurred recurring losses from operations and negative cash
flows from operating activities and has a net shareholders'
deficit.

The Company reported a net loss of $12.1 million on $10.86 million
of net revenues for fiscal 2010, compared with a net loss of
$12.94 million on $14.92 million of net revenues for fiscal 2009.

The Company's balance sheet at September 25, 2010, showed
$43.22 million in total assets, $89.13 million in total
liabilities, and a stockholders' deficit of $45.91 million.

A full-text copy of the Form 10-K is available for free at:

               http://researcharchives.com/t/s?7176

Based in Bainbridge, Ga., The Money Tree, Inc.
-- http://themoneytreeinc.com/-- originates direct consumer loans
and sales finance contracts in 91 locations throughout Georgia,
Alabama, Louisiana and Florida.  The Company is also engaged in
sales of merchandise (principally furniture, appliances, and
electronics) at certain finance company locations, and operates
two used automobile dealerships in Georgia.


MULTI-PLASTICS INC: Seeks Court's Nod to Use Cash Collateral
------------------------------------------------------------
Multi-Plastics, Inc., seeks authority from the Hon. Brian K.
Tester of the U.S. Bankruptcy Court for the District of Puerto
Rico to use $100,000 of cash collateral.

Firstbank of Puerto Rico, with the guarantee of Banco de
Desarrollo Economico, issued various loans to the Debtor
approximating $3 million secured by mortgage over real estate
property of the estate, and a security interest over cash,
accounts receivable, inventory and machinery and equipment.

Wallace Vazquez Sanabria, Esq., in San Juan, Puerto Rico, explains
that the Debtor needs the money to fund its Chapter 11 case, pay
suppliers and other parties.  The Debtor wants to use the first
$100,000 collected in accounts receivable and the proceeds from
the sale of the finished goods in the initial days of the
bankruptcy proceeding.  The Debtor will use the collateral
pursuant to a five-week budget, a copy of which is available for
free at:

        http://bankrupt.com/misc/MULTI-PLASTICS_budget.pdf

In exchange for using the cash collateral, the Debtor proposes to
grant the affected creditors a superpriority over the $150,000
advanced, which advance will be paid to the creditors commencing
on the ninth month after approval of the use of cash collateral in
equal monthly instalments of $10,000.

The balance of the accounts receivable and the raw materials
inventory will be segregated and disbursed to the creditor upon
collection on a monthly basis all proceeds from the balance of the
accounts receivable, while paying back the balance of the raw
materials inventory as the same is used and the sale is collected.

In view of the high financing costs that the Debtor has incurred
in the last few years the Debtor has incurred in the last few
years the Debtor is proposing to transfer the real estate to the
creditors who hold liens with a lease back provision which will
allow the Debtor to continue using the property.

The Court has set a hearing for January 12, 2011, at 9:00 a.m. on
the Debtor's request to use cash collateral.

Multi-Plastics, Inc., filed for Chapter 11 bankruptcy protection
on December 8, 2010 (Bankr. D. P.R. Case No. 10-11493).  Wallace
Vazquez Sanabria, Esq., who has an office in San Juan, Puerto
Rico, serves as the Debtor's bankruptcy counsel.  The Debtor
estimated its assets and debts at $1 million to $100 million.


MY VINTAGE BABY: Senior Secured Lender Forecloses Assets
--------------------------------------------------------
My Vintage Baby, Inc.'s assets have been foreclosed upon by the
senior secured lender.

My Vintage Baby, Inc., a Florida Corporation, has spent months
trying to move past the issues associated with and surrounding a
Security Exchange Commission investigation.  The investigation
involved a firm who advised and led My Vintage Baby, Inc., to
acquire the public shell corporation MVBY, and move into the Pink
Sheet markets.  These issues ultimately led to a freeze by the DTC
on the MVBY stock.

With a freeze to the stock and the SEC investigation surrounding
the past advisors, My Vintage Baby, Inc., has been unable to raise
the necessary capital to continue normal operations and fulfill
the company's obligations.

On November 9, 2010, My Vintage Baby, Inc., received notice of
default from its largest secured lender, Agile Opportunity Fund,
LLC, and their intent to accelerate and foreclose on their loan to
My Vintage Baby, Inc.

My Vintage Baby, Inc.'s Class "A" shareholders met in an emergency
meeting to explore possible remedies to resolve the indebtedness,
including but not limited to pursuing all possible legal avenues
to prevent the foreclosure of the loan on the assets of the
company.  It was determined that there were no viable solutions
within the time frame allowed to cure this default and secure the
capital required to produce a new line of merchandise which would
enable the company to continue operations.  The class "A"
shareholders therefore agreed to a peaceful transfer of the assets
of My Vintage Baby to Agile Opportunity Fund LLC, in lieu of the
foreclosure and the termination of the company.

Accordingly, effective November 16, 2010, all assets of My Vintage
Baby were surrendered to Agile Opportunity Fund LLC.

My Vintage Baby, Inc., is a public children's apparel company.


NETWORK COMMUNICATIONS: S&P Withdraws 'D' Ratings
-------------------------------------------------
Standard & Poor's Ratings Services withdrew its 'D' ratings on
U.S. publisher Network Communications Inc.  S&P also withdrew its
recovery ratings on the company's debt issues.

The ratings were withdrawn because the company has not provided us
with timely financial statements.


NEVADA GEOTHERMAL: Posts $18 Million Net Loss in Fiscal 2010
------------------------------------------------------------
Nevada Geothermal Power Inc. filed its annual report on Form 20-F,
reporting a net loss of US$17.98 million for the fiscal year ended
June 30, 2010, compared with a net loss of US$5.09 million for the
fiscal year ended June 30, 2009.  The Company generated revenue of
$11.84 million in fiscal 2010.  No revenue had been generated in
prior years.

The Company's balance sheet at June 30, 2010, showed
$187.27 million in total assets, $161.48 million in total
liabilities, and  stockholders' equity of $25.79 million.

"Although the Company has successfully declared commercial
operation at its Blue Mountain power plant facility, there exists
substantial doubt regarding the going concern assumption since the
Company has no track record of operating profitably, and the
Company must increase power production to meet loan covenants,
such as a covenanted interest coverage ratio," the Company said in
the filing.

A full-text copy of the Form 20-F is available for free at:

               http://researcharchives.com/t/s?716b

A full-text copy of the audited financial statements as of and for
the year ended June 30, 2010, is available for free at:

               http://researcharchives.com/t/s?716c

Based in Vancouver, Canada, Nevada Geothermal Power Inc. engages
in the acquisition, exploration and development of geothermal
resources principally in the Western United States in Nevada and
Oregon.  The Company holds 100% leasehold interests in five
properties: Blue Mountain, Pumpernickel North Valley and Edna, all
located in Nevada, and Crump Geyser, located in Oregon.


NEWPAGE CORP: Accepts John Sheridan's Resignation From Board
------------------------------------------------------------
Newpage Corporation have accepted the resignation of John W.
Sheridan from the board of directors and audit committee of each
of the Company, effective as of December 17, 2010.  There were no
disagreements between Mr. Sheridan and the Company that resulted
in Mr. Sheridan's resignation.

                        About NewPage Corp.

Headquartered in Miamisburg, Ohio, NewPage Corporation --
http://www.NewPageCorp.com/-- is a coated paper manufacturer in
North America, based on production capacity, with $3.1 billion in
net sales for the year ended December 31, 2009.  The company's
product portfolio is the broadest in North America and includes
coated freesheet, coated groundwood, supercalendered, newsprint
and specialty papers.  These papers are used for corporate
collateral, commercial printing, magazines, catalogs, books,
coupons, inserts, newspapers, packaging applications and direct
mail advertising.

NewPage owns paper mills in Kentucky, Maine, Maryland, Michigan,
Minnesota, Wisconsin and Nova Scotia, Canada.  These mills have a
total annual production capacity of approximately 4.4 million tons
of paper, including approximately 3.2 million tons of coated
paper, approximately 1.0 million tons of uncoated paper and
approximately 200,000 tons of specialty paper.

NewPage Corp.'s balance sheet at June 30, 2010, showed
$3.849 billion in total assets; $488 million in current debts,
$3.192 billion in long-term debt and $482 million in other long-
term obligations; and a total deficit of $313 million.

                           *     *     *

NewPage carries a 'CCC+' corporate credit rating from, with
negative outlook, from Standard & Poor's.  It has 'Caa1' long term
corporate family and probability of default ratings from Moody's.

Standard & Poor's Ratings Services in November 2010 revised its
recovery rating on NewPage Corp.'s senior secured first-lien notes
to '4' from '3'. "S&P believes that a '4' recovery more
appropriately conveys the risk that the company's postdefault
enterprise value may be affected by stresses more severe than what
S&P's analysis contemplates given the highly cyclical industry in
which NewPage operates," said Standard & Poor's credit analyst
Tobias Crabtree.


NEXSTAR BROADCASTING: Unit to Redeem 11.375% Notes
--------------------------------------------------
Nexstar Finance Holdings, Inc., a wholly owned subsidiary of
Nexstar Broadcasting Group, Inc., on December 16, 2010, notified
bond holders of its election to redeem on a pro rata basis, on
January 15, 2011, $12.5 million of its 11.375% Senior Discount
Notes due 2013 at the redemption price of 101.896% of the
outstanding amount together with accrued and unpaid interest on
the notes to the redemption date.

Irving, Texas-based Nexstar Broadcasting Group Inc. currently
owns, operates, programs or provides sales and other services to
62 television stations in 34 markets in the states of Illinois,
Indiana, Maryland, Missouri, Montana, Texas, Pennsylvania,
Louisiana, Arkansas, Alabama, New York, Rhode Island, Utah and
Florida.  Nexstar's television station group includes affiliates
of NBC, CBS, ABC, FOX, MyNetworkTV and The CW and reaches
approximately 13 million viewers or approximately 11.5% of all
U.S. television households.

                           *     *     *

As reported by the Troubled Company Reporter on August 30, 2010,
Standard & Poor's Ratings Services raised its corporate credit
rating on Nexstar Broadcasting Group to 'B' from 'B-'.  The rating
outlook is stable.

"The 'B' corporate credit rating reflects S&P's expectation that
Nexstar's core ad revenue will continue growing modestly in 2010
and 2011," said Standard & Poor's credit analyst Deborah Kinzer.
The EBITDA growth resulting from the rebound in core advertising,
combined with political ad revenue from the 2010 midterm
elections, should, in S&P's view, enable Nexstar to reduce its
leverage significantly by the end of the year.


NUTRACEA: Has Factoring Agreement with Pacific Western Bank
-----------------------------------------------------------
BankruptcyData.com reports that NutraCea filed with the
U.S. Bankruptcy Court a motion for an order:

  (1) authorizing and approving the Debtor's entry into and
      execution of a factoring agreement with First Community
      Financial, a division of Pacific Western Bank, which
      will be secured by a security interest in the Debtor's
      accounts, accounts receivable, inventory and proceeds;

  (2) finding and concluding that, upon payment of any amounts
      presently owing to Wells Fargo Bank, acting through its
      business credit operating division, First Community
      Financial's security interest will be senior to the security
      interest presently held by Wells Fargo Bank;

  (3) finding and concluding that First Community Financial's
      rights under the First Community Financial loan documents,
      including the security interest in its collateral, will be
      senior to the lien granted to general unsecured creditors
      under the Plan; and

  (4) authorizing and directing the Plan agent, Chas Harvick, of
      FTI Consulting, to execute any and all subordination
      agreements as may be required by First Community Financial.

                           About NutraCea

Phoenix, Arizona-based NutraCea is a world leader in production
and utilization of stabilized rice bran.  NutraCea holds many
patents for stabilized rice bran production technology and
proprietary products derived from SRB.  NutraCea's proprietary
technology enables the creation of food and nutrition products to
be unlocked from rice bran, normally a waste by-product of
standard rice processing.

Nutracea filed for Chapter 11 bankruptcy protection November 10,
2009 (Bankr. D. Ariz. Case No. 09-28817).  S. Cary Forrester,
Esq., at Forrester & Worth, PLLC, represents the Debtor.  The
Company estimated assets at $50 million to $100 million and debts
at $10 million to $50 million.

NutraCea has emerged from Chapter 11 bankruptcy protection
effective November 30, 2010.


OLD COLONY: Files Schedules of Assets and Liabilities
-----------------------------------------------------
Old Colony, LLC, filed with the U.S. Bankruptcy Court for the
District of Massachusetts its schedules of assets and liabilities,
disclosing:

     Name of Schedule               Assets        Liabilities
     ----------------             ----------      -----------
  A. Real Property                        $0
  B. Personal Property            $2,571,684
  C. Property Claimed as
     Exempt
  D. Creditors Holding
     Secured Claims                               $21,006,135
  E. Creditors Holding
     Unsecured Priority
     Claims                                           $53,663
  F. Creditors Holding
     Unsecured Non-priority
     Claims                                          $303,266
                                  ----------      -----------
        TOTAL                     $2,571,684      $21,363,064

Saugus, Massachusetts-based Old Colony, LLC, dba The Inn At
Jackson Hole, filed for Chapter 11 bankruptcy protection on
October 11, 2010 (Bankr. D. Mass. Case No. 10-21100).  Donald F.
Farrell, Jr., Esq., at Anderson Aquino LLP, assists the Debtor in
its restructuring effort.  The Debtor estimated its assets and
debts at $10 million to $50 million as of the Petition Date.


OLDE PRAIRIE: Economic Duress Suit Against Lender is Dismissed
--------------------------------------------------------------
WestLaw reports that allegations in a debtor-borrower's complaint,
that a lender, with knowledge that the debtor had to obtain
refinancing or risk losing property to expedited extra-judicial
seizure, had convinced the debtor to agree to break off its
negotiations with a competing finance company with the carrot of
beneficial terms set forth in a nonbinding term sheet, only to
thereafter delay in providing this refinancing until just prior to
time that the prior mortgage had to be paid off, when it made a
binding offer to provide such financing, but on different, more
oppressive terms, were insufficient to state a cause of action
under Illinois law to rescind the loan on an economic duress
theory.  Any economic compulsion to which debtor was subjected was
entirely of its own making in agreeing to break off these other
negotiations.  Moreover, the debtor did not allege why it could
not have obtained time for alternative financing and delayed any
extra-judicial seizure by the prior lender, such as by filing its
bankruptcy petition sooner.  In re Olde Prairie Block Owner, LLC,
--- B.R. ----, 2010 WL 5136039 (Bankr. N.D. Ill.).

                    About Olde Prairie Block

Olde Prairie Block Owner, LLC, owns two adjacent parcels of land
just north of McCormick Place in Chicago, Ill.  The Company sought
chapter 11 protection (Bankr. N.D. Ill. Case No. 10-22668) on
May 18, 2010.  The Debtor is represented by John E. Gierum, Esq.,
at Gierum & Mantas in Rosemont, Ill., and John Ruskusky, Esq.,
George R. Mesires, Esq., and Nile N. Park, Esq., at Ungaretti &
Harris LLP, in Chicago, Ill.  The Debtor estimated assets of
$100 million to $500 million liabilities of $10 million to
$50 million at the time of the filing.  The Debtor filed a chapter
11 plan on Sept. 11, 2010, and a copy of that plan is available at
http://bankrupt.com/misc/OLDEPRAIRE_Plan.pdfat no charge.


OXBOW CARBON: Moody's Assigns 'Ba3' Ratings to $600 Mil. Loan
-------------------------------------------------------------
Moody's Investors Service has assigned Ba3 ratings to Oxbow Carbon
LLC's $600 million secured revolving credit facility expiring
December 2015, $475 million secured term loan A expiring December
2015, $38.3 million secured term loan B expiring May 2014 and
$539.5 million secured term loan B-1 expiring May 2016.  The
company has amended and restated its bank credit facility to,
among other things, increase the amount of the revolver, add the
new term loan A, and extend the maturity dates.  At the same time,
Moody's affirmed Oxbow's Ba3 corporate family and probability of
default ratings.  Moody's has withdrawn the ratings on the
$350 million secured revolver as it has been replaced with the
$600 million secured revolver in the amended and restated credit
agreement.  The outlook is stable

                        Ratings Rationale

Oxbow's corporate family rating reflects the inherent volatility
of the fuel grade petcoke, CPC, and aluminum end markets.
However, Oxbow tends to exhibit relatively stable operating
margins given that the operating construct of earnings is
generally based on a net spread.  Moody's also consider the
operational risks inherent to Oxbow's single coal mine in
Colorado.

Although Moody's view the CPC business, where the company enjoys a
leading global market position, as an important contributor to
earnings, the diversity provided by its three primary business
legs, which in addition to CPC include coal mining and
distribution of fuel grade petcoke and coal, adds an additional
level of stability to the credit profile.  In 2009, strong
performance in both the coal segment, given its contract nature,
and the distribution business mitigated the sharp contraction in
CPC as volumes declined in line with lower production levels in
the aluminum industry.  However, this segment remained profitable
given its margin on metal construct, which can limit the degree of
deterioration on the downside.  The company's broad marketing base
and coal operations should support performance as the CPC business
continues to improve in 2011.

Despite a weak operating environment in 2009, the company remained
free cash flow generative, continued to reduce debt and maintained
sound coverage ratios.  As such, leverage, as measured by the
debt/EBITDA ratio, which approached 6x following the 2007
acquisition of GLC Carbon USA has improved meaningfully to just
under 2x at September 30, 2010 (using Moody's standard
adjustments), giving the company some cushion at its rating level.

Oxbow's stable outlook reflects Moody's expectation that the
company will continue to generate solid earnings and positive cash
flow over the next 12 to 18 months driven by strong fundamentals
in its CPC, coal, and distribution segments.

Going forward, the ratings and/or outlook could be raised if the
company continues to generate solid earnings and free cash flow
such that leverage continues at less than 2.0x on a sustainable
basis and EBITDA margins improve to greater than 15%, all while
maintaining a comfortable liquidity profile.

The ratings and/or outlook could be lowered if leverage increased
to greater than 3.5x, EBITDA margins decrease to less than 10%, or
free cash flow turns negative.

The last rating action on Oxbow Carbon LLC was November 17, 2010
when the ratings were raised to Ba3 from B1.

Headquartered in West Palm Beach, Florida, Oxbow is a leading
supplier of CPC.  It is also the world's largest distributor of
petroleum coke (largely industrial grade but also anode grade) and
a distributor of other solid fuels, principally steam coal.  The
company handles approximately 14.5 million tons of fuel grade
petroleum coke, currently accounting for roughly 20% of the global
petcoke market (excluding China), and generated $2.5 billion of
revenues during the 12 months ended September 30, 2010.  Oxbow is
a subsidiary of Oxbow Carbon & Minerals Holdings, Inc., a private
company controlled by William I. Koch, with private equity and
strategic investors holding the balance.


OXIGENE INC: Stockholders Approves Reverse Stock Split
------------------------------------------------------
OXiGENE Inc. held a Special Meeting of Stockholders on
December 21, 2010, at the Company's offices at 701 Gateway
Boulevard, Suite 210, South San Francisco, California.  Of the
107,892,343 shares of the Company's common stock entitled to vote
at the meeting, 78,472,688 shares were represented at the meeting
in person or by proxy, constituting a quorum.

Stockholders approved a proposed amendment to the Company's
Restated Certificate of Incorporation to effect a reverse stock
split of the Company's Common Stock, $0.01 par value per share, at
a ratio in the range of 1:2 to 1:20, such ratio to be determined
by the Board of Directors.  Stockholders Authorized to adjourn the
special meeting, if necessary, if a quorum is present, to solicit
additional proxies if there are not sufficient votes in favor of
proposal.

The reverse stock split authorized by the stockholders pursuant to
Proposal 1 has not been implemented at this time.  The timing of
implementation and the ratio within the approved range applicable
to the split remains subject to the determination of the Board of
Directors of the Company.

                        About OxiGENE Inc.

South San Francisco, Calif.-based OXiGENE (Nasdaq: OXGN)
-- http://www.oxigene.com/-- is a clinical-stage
biopharmaceutical company developing novel therapeutics to treat
cancer and eye diseases.

As reported in the Troubled Company Reporter on March 22, 2010,
Ernst & Young LLP, in Boston, expressed substantial doubt about
the Company's ability to continue as a going concern, following
its 2009 results.  The independent auditors noted that the Company
has incurred recurring operating losses and will be required to
raise additional capital, alternative means of financial support,
or both, prior to January 1, 2011, in order to sustain operations.


PALM HARBOR: Brian Cejka Takes Chief Restructuring Officer Role
---------------------------------------------------------------
BankruptcyData.com reports that the U.S. Bankruptcy Court approved
Palm Harbor Homes' motions seeking to retain Alvarez & Marsal
North America to provide a chief restructuring officer and certain
additional personnel and appoint Brian E. Cejka as chief
restructuring officer. The Court also approved the Company's
motions to retain Polsinelli Shughart as counsel and Locke Lord
Bissell & Liddell as attorney.

                          About Palm Harbor

Addison, Texas-based Palm Harbor Homes, Inc. --
http://www.palmharbor.com/-- manufactures and markets factory-
built homes.  The Company markets nationwide through vertically
integrated operations, encompassing manufactured and modular
housing, financing and insurance.

Palm Harbor filed for Chapter 11 bankruptcy protection on
November 29, 2010 (Bankr. D. Del. Case No. 10-13850).  It
disclosed $321,263,000 in total assets and $280,343,000 in total
debts.

Affiliates Palm Harbor Albemarle, LLC (Bankr. D. Del. Case No.
10-13849), Palm Harbor Real Estate, LLC (Bankr. D. Del. Case No.
10-13851), Palm Harbor GenPar, LLC (Bankr. D. Del. Case No.
10-13852), Palm Harbor Manufacturing, LP (Bankr. D. Del. Case No.
10-13853), and Nationwide Homes, Inc. (Bankr. D. Del. Case No.
10-13854) filed separate Chapter 11 petitions.

Brian Cejka at Alvarez & Marsal is the Debtors' chief
restructuring officer.  Raymond James And Associates, Inc., is the
Debtors' investment banker.  Alvarez & Marshal North America, LLC,
is the Debtors' financial advisor.  BMC Group, Inc., is the
Debtors' claims agent.


PEP BOYS: Moody's Upgrades Corporate Family Rating to 'B1'
----------------------------------------------------------
Moody's Investors Service upgraded the Corporate Family and
Probability of Default ratings of Pep Boys -- Manny, Moe & Jack,
Inc., to B1 from B2, and affirmed the SGL-2 speculative grade
liquidity rating.  The rating outlook is stable.

                        Ratings Rationale

The one-notch upgrade reflects the continuing improvement in
operating performance, particularly on the expense side, that has
resulted in an enhanced credit profile.  Debt/EBITDA has reduced
to 4.1 times and interest coverage has improved to 2.2 times at
the LTM October 2010.  "Pep Boys' continues to benefit from the
positive industry fundamentals in the automotive parts and repair
segment, which Moody's feel will continue as one of the top
performing segments in retail for the next 12-18 months," stated
Moody's Senior Analyst Charlie O'Shea.  "The challenge for the
company going forward will be to continue to generate additional
traction on the revenue side."

The affirmation of the SGL-2 speculative grade liquidity rating,
representing good liquidity, reflects Pep Boys' ability to meet
most of its operating cash flow requirements from internal
sources, with only moderate reliance on its unrated $300 million
asset-based revolving credit facility that expires in 2013.

Ratings upgraded and LGD point estimates adjusted include:

  -- Corporate family rating to B1 from B2;

  -- Probability of default rating to B1 from B2;

  -- Senior secured term loan to Ba2 (LGD 2, 27%) from Ba3 (LGD 2,
     28%), and

  -- Senior subordinated notes to B3 (LGD 5, 79%) from Caa1 (LGD
     5, 80%)

Rating affirmed:

  -- Speculative grade liquidity rating of SGL-2.

The stable outlook reflects Moody's expectation that Pep Boys
performance will be maintained at least at present levels, that it
will maintain good liquidity, and that financial policy will
remain conservative.

Ratings could be upgraded if operating performance continues to
improve, which would demonstrate that management's strategy is
generating continued traction as evidenced by positive comparable
store sales, and if financial policy remains conservative.
Quantitatively, if debt/EBITDA is sustained below 4.25 times,
EBITA/interest expense is sustained above 2 times, and EBITA
margin is maintained above 6%, ratings could be upgraded.

Ratings could be downgraded in the event operating performance
deteriorates, which would indicate that management's strategy was
losing traction, or if financial policy were to become aggressive.
Quantitatively, ratings could be downgraded if debt/EBITDA
increased above 5 times or EBITA/interest approached 1.5 times.

Pep Boys provides automotive parts and service for consumers and
commercial businesses through approximately 600 locations in 35
states and Puerto Rico.  Based in Philadelphia, Pennsylvania, its
annual revenues are around $1.9 billion.


PERKINS & MARIE: S&P Downgrades Corporate Credit Rating to 'CC'
---------------------------------------------------------------
Standard & Poor's Ratings Services said that it lowered its
corporate credit rating on Memphis, Tenn.-based Perkins & Marie
Callender's Inc. to 'CC' from 'CCC'.  In S&P's opinion, Perkins is
vulnerable to default as its liquidity sources may not be
sufficient to cover its cash uses, including interest payments, in
the near-term.  The outlook is negative.

"The rating action on Perkins reflects S&P's view that the company
will not be able to service its existing debt and will need to
consider alternatives regarding its highly leveraged capital
structure," said Standard & Poor's credit analyst Andy Sookram.
The company has two interest payments totaling about $19 million
due in the first half of 2011.  Based on S&P's assessment of
Perkins' liquidity and cash flows, S&P think there is significant
risk that the company will not make these payments on a timely
basis.  For the rolling 12-month period ended Oct.  3, 2010,
EBITDA declined 13% to $45 million from one year ago, reflecting
difficult market conditions that led to weak, but improving same-
store sales and higher costs.  At this level of EBITDA, interest
coverage declined to 0.7x compared with 1x over the same
timeframe.  The company remains highly leveraged with debt to
EBITDA in excess of 10x.  Given S&P's operating assumptions that
include high unemployment, weak demand and rising commodity costs,
S&P is not expecting any meaningful improvement in credit measures
in the near-term.


PETTERS CO: Bankr. Ct. Says Transfer of Trustee's Suit Premature
----------------------------------------------------------------
WestLaw reports that a motion to transfer to the district court a
Chapter 11 trustee's adversary proceeding raising, inter alia,
fraudulent transfer and unjust enrichment claims in connection
with the Ponzi scheme in which the debtors allegedly were involved
was premature, warranting its denial.  The issue of whether the
defendants were entitled to the jury trial demanded was not yet
ripe for decision, since the defendants had not yet filed an
answer disputing the trustee's factual averments.  Moreover, the
bankruptcy court would retain authority over the proceeding, even
if the defendants were entitled to a jury trial and would not
consent to the trial being conducted by a bankruptcy judge, until
the need for a trial was established.  In re Petters Co., Inc., --
- B.R. ----, 2010 WL 5174456 (Bankr. D. Minn.).

The Honorable Gregory F. Kishel entered his order denying the
transfer on Dec. 20, 2010, in Kelley v. Michael J. Hofer; CHW,
LLC; Hgh, LLC; Hofer Financial Services, LLC; Hofer Financial
Ventures, LLC; Mikarhof Corporation; Imaging Solutions, Inc.; ISMS
Capital, LLC; and Quality Growth, Inc., Adv Pro. No. 10-4221
(Bankr. D. Minn.).  This adversary proceeding is one among 200-
plus commenced by the Douglas A. Kelley, in his capacity as
trustee in the bankruptcy cases of Debtors Petters Company, Inc.,
Petters Group Worldwide, LLC, and their related entities.  It is
part of a so-called "clawback" effort, undertaken to redress what
is alleged to have been a large-scale Ponzi scheme that left
$3.5 billion or more in unsatisfied creditors' claims after its
collapse.

                  About Petters Group Worldwide

Based in Minnetonka, Minn., Petters Group Worldwide LLC is named
for founder and chairman Tom Petters.  The group is a collection
of some 20 companies, most of which make and market consumer
products.  It also works with existing brands through licensing
agreements to further extend those brands into new product lines
and markets.  Holdings include Fingerhut (consumer products via
its catalog and Web site), SoniqCast (maker of portable, WiFi MP3
devices), leading instant film and camera company Polaroid
(purchased for $426 million in 2005), Sun Country Airlines
(acquired in 2006), and Enable Holdings (online marketplace and
auction for consumers and manufacturers' overstock inventory).
Petters formed the company in 1988.

Petters Company, Inc., is the financing and capital-raising unit
of Petters Group Worldwide, LLC.  Petters Company, Inc., Petters
Group Worldwide, LLC, and eight other affiliates filed separate
petitions for Chapter 11 protection (Bankr. D. Minn. Case No.
08-45257) on Oct. 11, 2008.  James A. Lodoen, Esq., at
Lindquist & Vennum P.L.L.P., represents the Debtors as counsel.
In its petition, Petters Company, Inc., estimated its debts at
$500 million and $1 billion.  Its parent, Petters Group
Worldwide, LLC, estimated its debts at not more than $50,000.

As reported in the Troubled Company Reporter on October 7, 2008,
Petters Aviation, LLC, and affiliates MN Airlines, LLC, doing
business as Sun Country Airlines, Inc., and MN Airline Holdings,
Inc., filed separate petitions for Chapter 11 bankruptcy
protection with the U.S. Bankruptcy Court for the District of
Minnesota on October 6, 2008 (Case Nos. 08-45136, 08-35197 and 08-
35198).  Petters Aviation, LLC is a wholly owned unit of Thomas
Petters Inc. and owner of MN Airline Holdings, Inc., Sun Country's
parent company.


PETROHUNTER ENERGY: Eide Bailly Raises Going Concern Doubt
----------------------------------------------------------
PetroHunter Energy Corporation filed on December 23, 2010, its
annual report on Form 10-K for the fiscal year ended September 30,
2010.

Eide Bailly LLP, in Greenwood Village, Colo., expressed
substantial doubt about PetroHunter Energy's ability to continue
as a going concern.  The independent auditors noted that the
Company has an accumulated deficit of $286.0 million and net loss
of $6.8 million for the year ending September 30, 2010, and as of
that date, has a working capital deficit of $11.3 million.

The Company reported a net loss of $6.8 million on $0 revenue for
fiscal 2010, compared with a net loss of $129.7 million on
$128,000 of revenues for fiscal 2009.  Oil and gas revenues
decreased as the Company sold its only producing wells effective
as of December 1, 2008.

During the year ended September 30, 2009, the Company recorded
impairment expense of $90.4 million, representing the impairment
of the remaining book value of the U.S. full cost pool in 2009 due
to unsuccessful exploration activity and the Company's inability
to fund additional exploration.

The Company's balance sheet at September 30, 2010, showed
$2.2 million in total assets, $64.3 million in total liabilities,
and a stockholders' deficit of $62.1 million.

A full-text copy of the Form 10-K is available for free at:

               http://researcharchives.com/t/s?7175

Denver, Colo.-based PetroHunter Corporation, formerly Digital
Ecosystems Corp., is an oil and gas exploration company, which
currently holds oil and gas interests located in the Piceance
Basin of Western Colorado, and in the Beetaloo Basin in the
Northern Territory in Australia through an equity investment.


PHILLIPS RENTAL: Seeks Court's Nod to Use Cash Collateral
---------------------------------------------------------
Phillips Rental Properties, LLC, asks for authorization from the
U.S. Bankruptcy Court for the Eastern District of Tennessee to use
cash collateral securing its obligations to its lenders.

The Debtor, along with Gary and Karla Phillips, is a co-maker and
guarantor on notes with:

                                  Approximate Amount of Claim
                                  ---------------------------
  a. Bank of TN                           $514,748
  b. Carter County Bank                   $204,419
  c. Citizens Bank                        $565,947
  d. Eastman Credit Union               $2,383,489
  e. First TN Bank                        $791,808
  f. Regions Bank                       $3,770,512
  g. TriSummit Bank                     $1,036,460

The Banks claim a security interest in certain receivables,
personal property and real properties of the Debtor.

Fred M. Leonard, Esq., at Gary Phillips Construction, LLC,
explains that the Debtor needs the money to fund its Chapter 11
case, pay suppliers and other parties.

The Debtor believes that its current assets upon which the Banks
claims a lien have a value much in excess of that necessary to
adequately protect the interest of the Banks.

TriSummit Bank, Citizens Bank, and First TN Bank object to the
Debtor's request to use cash collateral.

Piney Flats, Tennessee-based Phillips Rental Properties, LLC,
filed for Chapter 11 bankruptcy protection on December 7, 2010
(Bankr. E.D. Tenn. Case No. 10-53129).  Fred M. Leonard, Esq.,
in Bristol, Tennessee, serves as the Debtor's bankruptcy counsel.
According to its schedules, the Debtor disclosed $13,499,682 in
total assets and $9,650,892 in total liabilities.


QUEPASA CORP: Raises $12.6 Million in Shares Sale
-------------------------------------------------
Quepasa Corporation on December 21, 2010, closed a private
placement and sold 1,753,329 shares of its common stock to a
number of institutional and accredited investors at $7.50 per
share.

The Company received approximately $12.6 million in net proceeds
and will use the proceeds primarily to expand its gaming platform,
including through acquisitions, as well as to facilitate the
continued development of Quepasa-owned gaming intellectual
property and other general corporate purposes.  Two of the
investors in this private placement were a trust controlled by a
director of the Company and an entity of which a director of the
Company is the sole member of the board of directors.

In connection with the offering, the Company paid a commission to
its placement agent, Merriman Capital, Inc., of $435,000.

                    About Quepasa Corporation

West Palm Beach, Fla.-based Quepasa Corporation (OTC BB: QPSA)
through its Web site http://www.Quepasa.com/operates as an online
social community for young Hispanics.

The Company's balance sheet at September 30, 2010, showed
$3.39 million in total assets, $6.67 million in total liabilities,
and a stockholders' deficit of $3.28 million.  At Sept. 30, the
Company had accumulated losses from inception of $164.28 million.

As reported in the Troubled Company Reporter on March 9, 2010,
Salberg & Company, P.A., in Boca Raton, Florida, expressed
substantial doubt about the Company's ability to continue as a
going concern.  The independent auditors noted of the Company's
net loss and net cash used in operating activities in 2009 of
$10.58 million and $3.88 million, respectively, and a
stockholders' deficit and an accumulated deficit of $3.90 million
and $159.33 million, respectively, at December 31, 2009.


QUIGLEY CO: U.S. Trustee Wants Bankruptcy Case Dismissed
--------------------------------------------------------
Tiffany Kary, writing for Bloomberg News, reports the United
States Trustee asserts that Pfizer Inc., the world's largest drug
company, should have the bankruptcy of its Quigley unit dismissed.
Bloomberg says a hearing to decide the U.S. Trustee's request is
set for January 13, according to court papers filed December 23.

According to Ms. Kary, lawyers for the U.S. Trustee said while the
Quigley bankruptcy has been pending, creditors with alleged
asbestos-related health problems have been unable to sue Pfizer,
and many have died.

"The harm in delaying the inevitable dismissal of this case is to
the individuals who have filed asbestos claims against the Debtor
and Pfizer," lawyers for acting U.S. Trustee Tracy Hope Davis
wrote in court papers, according to Bloomberg.  "For some of those
individuals, time may be of the essence."

As reported by the Troubled Company Reporter on September 9, 2010,
Bloomberg News said U.S. Bankruptcy Judge Stuart M. Bernstein in
New York on September 8 rejected Quigley's fourth reorganization
plan and said parties should discuss dismissal of the case.  He
said the plan was filed in "bad faith" by Pfizer and cited
testimony that asbestos claims directed at Quigley could total
$4.45 billion over the next 42 years.

"In a nutshell, Pfizer bought enough votes to assure that any plan
would be accepted," Judge Bernstein wrote.

Bloomberg at that time reported that, in a 90-page ruling that
covers Pfizer's failed attempts to deal with its growing asbestos
liabilities since June 1985, Judge Bernstein noted that a lawyer
who represented both Quigley and Pfizer settled claims against
Quigley and got releases for Pfizer at no additional cost.

As reported by the TCR on October 15, Dow Jones' Daily Bankruptcy
Review said Pfizer has moved to overturn the Bankruptcy Court's
ruling that it engaged in bad-faith vote buying in a bid to shake
an estimated $900 million worth of asbestos liabilities.

Under the proposed Chapter 11 plan, Pfizer is paying about
$450 million into a trust to satisfy claims about products for
which it allegedly has derivative liability.  According to
Bloomberg's Tiffany Kary, the "channeling injunction" of the
Bankruptcy Code would direct all future claims into the trust,
covering death or personal injury claims related to Insulag,
Panelag and Damit, products for the steel industry that contained
asbestos and were made from the time of World War II to the 1970s.

Ms. Kary reports that Pfizer spokesman Christopher Loder has said
the company is prepared to contribute additional funds to
Quigley's plan to satisfy the court's concerns, and will discuss
fair compensation of asbestos claims at the January 13 hearing.

Ms. Kary notes Pfizer reported in its third-quarter report in
November a $701 million charge for asbestos litigation for
Quigley.  In a report filed November 12 with the U.S. Securities
and Exchange Commission, Pfizer said it was filing an appeal of
the Quigley ruling to "preserve its right to address certain legal
issues raised in the court's opinion."

Ms. Kary also relates an ad-hoc committee representing 43,100
individual asbestos claimants in Quigley's bankruptcy had also
asked in October that a judge end the case, and also end the
injunction that has shielded Pfizer from lawsuits since 2004.

                        About Quigley Co.

Quigley Co. was acquired by Pfizer in 1968 and sold small amounts
of products containing asbestos until the early 1970s. In
September 2004, Pfizer and Quigley took steps that were intended
to resolve all pending and future claims against the Company and
Quigley in which the claimants allege personal injury from
exposure to Quigley products containing asbestos, silica or mixed
dust. Quigley filed for bankruptcy in 2004 and has a Chapter 11
plan and a settlement with Chrysler.

Quigley filed for Chapter 11 bankruptcy protection on Sept. 3,
2004 (Bankr. S.D.N.Y. Case No. 04-15739) to implement a proposed
global resolution of all pending and future asbestos-related
personal injury liabilities.

Lawrence V. Gelber, Esq., and Michael L. Cook, Esq., at Schulte
Roth & Zabel LLP, represent the Debtor in its restructuring
efforts.  Elihu Inselbuchm Esq., at Caplin & Drysdale, Chartered,
represents the Official Committee of Unsecured Creditors.  When
the Debtor filed for protection from its creditors, it disclosed
$155,187,000 in total assets and $141,933,000 in total debts.


QWEST COMMS: Approves Accelerated Vesting of Restricted Stock
-------------------------------------------------------------
To preserve economic benefits to Qwest Communications
International Inc.'s stockholders of approximately $120 million
that would otherwise have been lost in connection with the
company's pending merger with CenturyLink, Inc., the Company on
December 21, 2010, approved:

   i) the immediate accelerated vesting of restricted stock and
      performance shares held by certain of the Company's
      employees, including the executive officers named
      in the Company's proxy statement for the Company's2010
      annual stockholders meeting, whom we refer to as the
      Company's "named executive officers,"

  ii) the immediate acceleration of cash severance payments to
      three employees, including $4.95 million of cash severance
      benefits to Teresa A. Taylor, the Company's executive vice
      president and chief operating officer, and

iii) a payment of $1.1 million to Ms. Taylor to reimburse her for
      excise taxes to which she will be subject solely as a result
      of the acceleration of her cash severance benefits and to
      provide a related tax gross-up.

A full-text copy of the regulatory filing is available for free
at http://ResearchArchives.com/t/s?7168

                           About Qwest

Based in Denver, Colorado, Qwest Communications (NYSE: Q) --
http://www.qwest.com/-- offers residential customers a new
generation of fiber-optic Internet service, high-speed Internet
solutions, as well as digital home phone, wireless service
available through Verizon Wireless and DIRECTV services.  Qwest is
also the choice of 95% of Fortune 500 companies, offering a
full suite of network, data and voice services for small
businesses, large businesses, government agencies and wholesale
customers.  Additionally, Qwest participates in Networx, the
largest communications services contract in the world, and is
recognized as a leader in the network services market by leading
technology industry analyst firms.

Qwest carries a 'Ba1' corporate family and probability of default
ratings from Moody's and has 'BB' issuer credit ratings from
Standard & Poor's.

"Our high debt levels pose risks to our viability and may make us
more vulnerable to adverse economic and competitive conditions, as
well as other adverse developments," the Company said in its Form
10-K for the year ended Dec. 31, 2009.  At Dec. 31, the Company's
consolidated debt was approximately $14.2 billion.  Approximately
$5.8 billion of its debt obligations come due over the next three
years.  This amount includes $1.265 billion of our 3.50%
Convertible Senior Notes due 2025, which it may elect to redeem at
any time on or after November 20, 2010 and holders may require the
Company to repurchase for cash on November 15, 2010.

The Company's balance sheet at June 30, 2010, showed
$18.95 billion in total assets, $20.20 billion in total
liabilities, and a stockholders' deficit of $1.24 billion.

Fitch Ratings is maintaining the Rating Watch Positive on the
'BB' Issuer Default Rating assigned to Qwest Communications
International, Inc. and its subsidiaries.  Concurrently, Fitch
has affirmed the 'BBB-' issue rating assigned to Qwest's
$1.035 billion senior secured credit facility and the senior
unsecured debt issued by Qwest Corporation.  Approximately
$13.1 billion of debt outstanding as of June 30, 2010, including
$7.9 billion of debt outstanding at QC, is affected by Fitch's
action.


ROSEMARY LAND: Calif. App. Ct. Junks Appeal on Clarion Hotel Sale
-----------------------------------------------------------------
The Court of Appeals of California for the Sixth District affirmed
a lower court judgment and rejected an appeal by the trustees of
two living trusts, which held junior liens in leasehold interests
in the Clarion Hotel, located in San Jose, California.

The trustees seek review of a summary judgment granted to 2720
Uridias Ranch, LLC, and California Mortgage and Realty, Inc.,
following foreclosure sale of the leasehold interests by a senior
lienor.  The trustees contend that Uridias improperly added an
amount attributable to an advance it had previously made to the
foreclosing lienor; consequently, the trustees were deprived of
"surplus proceeds" they should have received when the foreclosure
sale occurred.  The trustees further argue that the notice of
default and notice of trustee's sale were defective for failing to
identify Uridias's advance.

The Clarion Hotel was operated by the Delta Hotel Group, LP, which
was a sublessee of Rosemary Land Company, LLC, also a sublessee.
In February 2004, the trusts loaned $1.5 million to Rosemary,
Delta, and Liberty Properties, LLC, secured by a deed of trust in
the leaseholds.  In subsequent years, the amount was increased to
$2 million.

The trustees' lien was originally in third position, after True
North Management Group and Redwood Mortgage Investors VIII.   In
October 2005, CMR Mortgage Fund II, LLC, made a $6 million loan,
also secured by deeds of trust in the leasehold interests held by
Rosemary and Delta.  That transaction was facilitated by
California Mortgage, which was the trustee and loan servicing
agent.  The trustees agreed to subordinate their position to CMR
II, leaving them in fourth position.  The successor in interest to
CMR Fund II was Uridias, which thus became the third lienholder.

On January 29, 2007, CMR Fund II recorded the default of the
borrowers on the $6 million note of October 2005.  On October 22,
2007, Rosemary and Delta declared bankruptcy under Chapter 11 of
the United States Bankruptcy Code.

A foreclosure sale took place on July 28, 2008.  Uridias made a
successful credit bid of $3,600,500 for the Delta lease.  The
Rosemary leasehold was sold to the Etessam Family Trust for
$6,330,350.  The sale yielded $9,930,850, creating a shortfall of
about $50,000.  The Etessam proceeds were paid to Uridias, and, as
no surplus emerged from the sale, plaintiffs as junior lienors
received nothing.

The trustees assert that they were entitled to $3,074,406.70,
which was the "outstanding balance of obligations" to them as
"first-in-line junior lienors."

The appellate case is Naresh P. Singh, et al., v. California
Mortgage and Realty, Inc., et al., No. H035019 (Calif. Ct. App.).
A copy of the decision dated December 23, 2010, written by Justice
Franklin D. Elia, is available at http://is.gd/jxdP5from
Leagle.com.  Justices Conrad L. Rushing and Eugene Premo
concurred.

Based in Saratoga, California, Rosemary Land Co., L.L.C., filed
for Chapter 11 bankruptcy (Bankr. N.D. Calif. Case No. 07-53369)
on October 22, 2007.  Liberty Properties, L.L.C. (Bankr. N.D.
Calif. Case No. 07-53369) and Delta Hotel Group, L.P. (Bankr. N.D.
Calif. Case No. 07-53370) also filed separate petitions.  Charles
B. Greene, Esq., in San Jose, California, served as bankruptcy
counsel.  Each of the Debtors listed $1 million to $100 million in
both assets and debts in their respective petition.


S & Y ENTERPRISES: Taps David Carlebach as Bankr. Counsel
---------------------------------------------------------
S & Y Enterprises, LLC, asks the U.S. Bankruptcy Court for the
Eastern District of New York for permission to employ the Law
Offices of David Carlebach, Esq., as counsel.

Carlebach will, among other things:

   -- provide the Debtor with legal counsel with respect
      to its powers and duties as a debtor-in-possession in
      the continued management of its property during the
      Chapter 11 case;

   -- prepare on behalf of the Debtor all necessary applications,
      answers, orders, reports, and other legal documents which
      may be required in connection with the Chapter 11 case; and

   -- provide the Debtor with legal services with respect
      to formulating and negotiating a plan of reorganization with
      creditors.

To the best of the Debtor's knowledge, Carlebach is a
"disinterested person" as that term is defined in Section 101(14)
of the Bankruptcy Code.

Carlebach can be reached at:

     David Carlebach, Esq.
     40 Exchange Place, Suite 1306
     New York, NY 10005
     Tel: (212) 785-3041
     Fax: (212) 785-3618
     E-mail: david@carlebachlaw.com

                  About S & Y Enterprises, LLC

Brooklyn, New York-based S & Y Enterprises, LLC, own and maintain
real estate.  The Company filed for Chapter 11 protection on
November 11, 2010 (Bankr. E.D. N.Y. Case No. 10-50623).  The
Company disclosed $20,014,678 in assets and $8,700,899 in
liabilities as of the Chapter 11 filing.


S & Y ENTERPRISES: Files Schedules of Assets and Liabilities
------------------------------------------------------------
S & Y Enterprises, LLC, filed with the U.S. Bankruptcy Court for
the Eastern District of New York its schedules of assets and
liabilities, disclosing:

     Name of Schedule              Assets         Liabilities
     ----------------            -----------      -----------
  A. Real Property               $20,000,000
  B. Personal Property               $14,678
  C. Property Claimed as
     Exempt
  D. Creditors Holding
     Secured Claims                                $6,350,000
  E. Creditors Holding
     Unsecured Priority
     Claims                                              $616
  F. Creditors Holding
     Unsecured Non-priority
     Claims                                        $2,350,283
                                 -----------      -----------
        TOTAL                    $20,014,678       $8,700,899

                  About S & Y Enterprises, LLC

Brooklyn, New York-based S & Y Enterprises, LLC, own and maintain
real estate.  The Company filed for Chapter 11 protection on
November 11, 2010 (Bankr. E.D. N.Y. Case No. 10-50623).  David
Carlebach, Esq., represents the Debtor.  The Debtor estimated
assets at $10 million to $50 million and debts at $1 million to
$10 million.


SAGECREST HOLDINGS: Antietem and NCF's Plan Due Jan. 14
-------------------------------------------------------
Bankruptcy Judge Alan H. S. Shiff adjourns the hearing on the
request by AIIFinancial Group, LLC, AllSettled Group, Inc.,
AllSettled Partners, Inc., AllSettled Assets, LLC, and Capital
Credit Group SD, Inc., to dismiss the chapter 11 cases of Antietem
Funding, LLC, and National Consolidated Funding, LLC II for
"cause" under to 11 U.S.C. Sec. 1112(b), to the date set to
consider confirmation of Antietem and NCF's plan.

All discovery with respect to the AllSettled Parties' Motion to
Dismiss is stayed until further Court order.  Antietem and NCF are
directed to file a disclosure statement, plan, and a motion to
shorten time for approval of the disclosure statement and plan on
or before January 14, 2011.

Judge Shiff said Antietem and NCF may be included in SageCrest II
Debtors' plan, or they may file separate, stand-alone plans.
However, whether or not they are included, they are inextricably
intertwined with SC II by their status as wholly owned
subsidiaries.

A copy of the Court's December 22 Memorandum and Order is
available at http://is.gd/jxwQMfrom Leagle.com.


          Norman N. Kinel, Esq.
          David A. Van Grouw, Esq.
          LOWENSTEIN SANDIER PC
          1251 Avenue of the Americas
          New York, NY 10020
          Telephone: 646-414-6878
          Facsimile; 973-422-6881
          E-mail: nkinel@lowenstein.com
                 dvangrouw@lowenstein.com

               - and -

          John F. Carberry, Esq.
          Cummings & Lockwood LLC
          Six Landmark Square
          Stamford, CT 06901
          Telephone: 203-351-4280
          E-mail: jcarberry@cl-law.com

                          About SageCrest

SageCrest II, LLC, is part of a group of funds that was formed to
address the financial needs of companies which, due to the
consolidation of the banking and specialty finance sectors, had
been shut off from traditional sources of capital.  SC II and its
affiliates conduct business chiefly through two lines of business:
structured finance and real estate investment and development.  In
their structured finance business, SC II and its units have made
loans to borrowers primarily in five areas: specialty finance;
life insurance-related products; corporate; mortgage and real
estate products; and specialty auto finance.  For real estate
investment and development, the debtors have made loans or
investments in the areas of hospitality, mixed use, multi-family,
and commercial.  SC II and its affiliates have typically provided
senior secured, asset-based loans and related products to small-
sized and medium-sized businesses that have a significant asset
base and are overlooked by many lenders in the mainstream capital
markets.  They have also provided junior or subordinated secured
financing.

Greenwich, Connecticut-based SageCrest Financial, LLC is managed
by Windmill Management LLC.  SageCrest and its affiliates provided
secured loans to small and midsized business, specializing in
life-insurance products, real estate finance and auto finance.

SageCrest Financial and SageCrest II LLC filed chapter 11
petitions on August 17, 2008 (Bankr. Conn. Case Nos. 08-50755 and
08-50754), and filings by SageCrest Holdings Limited (Bankr. D.
Conn. Case No. 08-50763) and SageCrest Dixon, Inc. (Bankr. D.
Conn. Case No. 08-50844), followed.  The cases are jointly
administered under Lead Case No. 08-50754.

The Debtors estimate their assets at $100 million to $500 million.

On October 7, 2008, the United States Trustee appointed a
committee of equity security holders, including in its membership
defendants Topwater Exclusive Fund III, LLC, and Wood Creek Multi-
Asset Fund, LP.  The Equity Committee is comprised of former
investors in SC II with all committee members claiming they
redeemed their investments in that debtor.  Asserting they are
creditors -- and not equity holders -- of SC II, both Topwater and
Wood Creek resigned from the Equity Committee.

Affiliate Antietam Funding LLC sought Chapter 11 bankruptcy
protection (Bankr. D. Conn. 10-52523) on October 20.  Antietam
Funding LLC estimated assets of $50 million to $100 million and
debts of $100 million to $500 million.

Antietam's primary asset is a portfolio of life insurance
investments.


SALPARE BAY: Has Until January 10 to File Amended Plan Outline
--------------------------------------------------------------
The Hon. Trish M. Brown of the U.S. Bankruptcy Court for the
District of Oregon extended until January 10, 2011, the deadline
for Salpare Bay, LLC, to file an amended plan of reorganization
and disclosure statement.

At a November 4 hearing, Judge Brown ordered that the Debtor file
the amended disclosure statement by December 1.

As reported in the Troubled Company Reporter on October 14,
according to the Disclosure Statement, the Plan provides that the
Debtor will refinance the property through an FHA loan, or a
conventional loan, which will allow the Debtor to develop a multi-
family residential project in two phases around the Marina, with
Creditors holding Allowed Claims secured by perfected construction
liens to be paid in full by June of 2013.  Creditors with
Unsecured Claims will be paid from either or both additional loan
proceeds or Net Operating Income generated by the Debtor post-
confirmation.

The only secured creditors in the Chapter 11 case are the county
taxing authorities and creditors asserting that they hold a claim
secured by a perfected Construction Lien asserted under Oregon law
or by judgment.  The claimants will be paid in full by June 2013
from loan proceeds obtained by the Debtor.  Small creditors with
unsecured claims equal to or less than $2,000 will be paid 100% of
their allowed claim in cash, with 25% being paid within 60 days of
the Effective Date of the Plan and the remaining 75% being paid on
or before October 31, 2011.  Creditors holding general unsecured
claims will receive pro rata distributions of 30% of Net Operating
Income generated by the Reorganized Debtor on a quarterly basis
for five years.  All postpetition and administrative expense
claims will be paid upon the effective date unless the claimant
agrees to different treatment in writing.  All current equity
interests will be canceled and new equity may be issued.

A full-text copy of the Disclosure Statement is available for free
at http://bankrupt.com/misc/SalpareBay_DS.pdf

                         About Salpare Bay

Vancouver, Washington-based Salpare Bay LLC operates a
condominium.  Salpare Bay filed for Chapter 11 bankruptcy
protection on June 7, 2010 (Bankr. D. Ore. Case No. 10-35333).
Tara J. Schleicher, Esq., who has an office in Portland, Oregon,
represents the Debtor.  The Company estimated assets and debts at
$10 million to $50 million.


SBARRO INC: McGrane to Continue as Interim President & CEO
----------------------------------------------------------
The Board of Directors of Sbarro Inc. appointed Nicholas McGrane
in July 2010 to serve as the Company's Interim President and Chief
Executive Officer and initiated a search for a new chief executive
officer.  After reviewing and meeting with several potential
candidates for the position and taking into account the Company's
current financial and operating situation, the Board has decided
to suspend the search process and to have Mr. McGrane continue as
Interim President and Chief Executive Officer.

Mr. McGrane was previously employed by MidOcean Partners, which
indirectly holds debt and a majority of the Company's common
stock. On December 15, 2010, Mr. McGrane ceased to be employed by
MidOcean and became an employee of the Company effective December
16, 2010.  Mr. McGrane has retained his profit participation in
various investment funds sponsored by MidOcean, including the
funds that hold debt and equity in the Company, and this
participation will continue to vest while he continues as Interim
Chief Executive Officer at Sbarro.  Although the Company has
not previously paid compensation to Mr. McGrane for his
services, MidOcean has invoiced the Company for reimbursement of
approximately $160,000 for Mr. McGrane's services from July 28,
2010.

On December 20, 2010, the Company entered into a letter agreement
with Mr. McGrane covering his service to the Company from December
16, 2010.  The Letter Agreement provides for an annual salary of
$500,000, confirms Mr. McGrane's eligibility to participate in
applicable Company bonus and benefit programs and addresses
certain perquisites.  The foregoing is a summary of the material
terms of the Letter Agreement.  Such summary does not purport to
be complete and is qualified in its entirety by reference to the
full text of the Letter Agreement.

On December 17, 2010, in light of the Company's current financial
and operating situation, the Board adopted a key employee
retention plan to motivate and retain key employees.  The plan
provides for a total of $90,000 in annual salary increases and a
total of $500,000 in bonus payments.  Specifically, the annual
salary of Carolyn Spatafora, the Company's Chief Financial
Officer, was increased from $300,000 to $350,000, effective
December 20, 2010, and each of Ms. Spatafora, Anthony J. Missano,
President, Business Development, and Stuart Steinberg, General
Counsel and Secretary, was awarded a bonus payment of $60,000.

Four other Senior Managers received bonus payments ranging from
$40,000 to $60,000 per person.  An additional $100,000 was set
aside under the plan for bonus payments to other employees, to be
determined by the Senior Executive Management Team, with no
individual's bonus payments to exceed $25,000.  The bonus payments
have been made.

                       About Sbarro Inc.

Melville, N.Y.-based Sbarro, Inc. -- http://www.sbarro.com/-- is
the world's leading Italian quick service restaurant concept and
the largest shopping mall-focused restaurant concept in the world.
The Company has 1,056 restaurants in 41 countries.

                         *     *     *

As reported by the Troubled Company Reporter on August 17, 2010,
Standard & Poor's Ratings Services lowered its corporate credit
rating on Sbarro to 'CCC-' from 'CCC+'.  The outlook is negative.
S&P also lowered the ratings on the company's $21.5 million
revolving facility and $183 million first-lien term loan to 'CCC-'
from 'CCC+'.  The '4' recovery rating on these facilities remains
unchanged.  Concurrently, S&P lowered the rating on the company's
$150 million senior unsecured notes to 'CC' from 'CCC-' and kept
the recovery rating of '6' on this debt issue unchanged.

"The ratings on Sbarro reflect S&P's belief that it might have
difficulties complying with the EBITDA covenant under its bank
facility," said Standard & Poor's credit analyst Mariola Borysiak.
At June 27, 2010, Sbarro had only $1.7 million cushion to its
$40 million EBITDA covenant and this covenant steps up at December
2010 to $43 million.  Sbarro would be out of compliance with this
covenant pro forma for this step-up.

In July 2009, Moody's increased Sbarro's credit ratings to Caa1
from Caa2 on its senior credit facility, affirmed its C rating on
its senior notes and affirmed its Ca corporate rating, which
ratings hold to date.


SCOLR PHARMA: DOesn't See Compliance With NYSE; Voluntary Delists
-----------------------------------------------------------------
SCOLR Pharma, Inc., has notified the NYSE Amex Exchange of its
intent to file a Form 25 with the Securities and Exchange
Commission to effect the voluntary withdrawal of SCOLR's common
stock from listing on the Exchange.  SCOLR plans to file the Form
25 with the Commission on or about January 3, 2011.  SCOLR expects
that its common stock will cease trading on the Exchange upon the
effectiveness of its withdrawal from listing, which will occur ten
calendar days following the filing of a Form 25.  SCOLR
anticipates that its common stock will begin quotation on the OTC
Bulletin Board thereafter.

SCOLR is voluntarily withdrawing its common stock from listing on
the Exchange because it has determined that it cannot reasonably
expect to regain compliance with the Exchange's continued listing
standards by December 27, 2010, the date of expiration of a
compliance extension period afforded by the Exchange.  SCOLR
believes that voluntary withdrawal will provide a more orderly
transition of trading in its common stock to the OTC Bulletin
Board or similar quotation service, and anticipates that its
common stock will begin quotation on the OTC Bulletin Board after
the effectiveness of withdrawal of its common stock from listing
on the Exchange.

SCOLR was notified by the Exchange (i) that it was not in
compliance with Section 1003(a)(iii) of the NYSE Amex Company
Guide because it had stockholders' equity of less than $6 million
and losses from continuing operations and net losses in its five
most recent fiscal years; and (ii) that it did not meet the
continued listing standard set forth in Section 1003(a)(ii) of the
Company Guide because it had stockholders' equity of less than $4
million and losses from continuing operations and net losses in
three of its four most recent fiscal years.

SCOLR was also notified that it did not meet the continued listing
standard set forth in Section 1003(a)(iv) of the Company Guide
because it had sustained losses which were so substantial in
relation to its overall operations or its existing financial
resources, or its financial condition had become so impaired that
it appeared questionable as to whether SCOLR would be able to
continue operations and meet its obligations as they mature.  On
April 13, 2010, SCOLR received notice from the Exchange that it
had resolved the continued listing deficiency with respect to
Section 1003(a)(iv) of the Company Guide.

As permitted by Exchange rules, SCOLR submitted a plan of
compliance on July 28, 2009, that, together with subsequent
supplements, advises the Exchange of action SCOLR had taken and
intends to take to regain compliance with the continued listing
standards.  The Exchange accepted this plan of Compliance and
granted SCOLR an extension period within which to regain
compliance. The extension period is scheduled to expire on
December 27, 2010.

                    About SCOLR Pharma

Based in Bothell, Washington, SCOLR Pharma, Inc. --
http://www.scolr.com/-- is a specialty pharmaceutical company
focused on applying its formulation expertise and patented CDT
platforms to develop novel prescription pharmaceutical, over-the-
counter (OTC), and nutritional products.  Its CDT drug delivery
platforms are based on multiple issued and pending patents and
other intellectual property for the programmed release or enhanced
performance of active pharmaceutical ingredients and nutritional
products.


SEDGWICK HOLDINGS: Moody's Affirms 'B2' Corporate Family Rating
---------------------------------------------------------------
Moody's Investors Service has affirmed the B2 corporate family
rating and the B3 second-lien term loan of Sedgwick Holdings,
Inc., a holding company for Sedgwick Claims Management Services,
Inc., following the announcement that Sedgwick plans to acquire
Specialty Risk Services, Inc., a leading third-party claims
administrator, for $278 million.  The rating outlook for Sedgwick
is stable.  The transaction is subject to customary regulatory
approval and is expected to close during the first quarter of
2011.  Moody's has placed the B1 first-lien term loan on review
for possible downgrade due to an expected increase in financial
leverage.

"The proposed transaction will diversify the company's client base
and product offerings," said Enrico Leo, Moody's lead analyst for
Sedgwick.  Over the longer term, the transaction may generate
cross selling opportunities among clients of the two firms.
Negative aspects of the transaction include an increased debt
burden and the potential for business disruptions during the
integration phase.  Financing for the transaction is expected to
consist of a combination of debt, equity and cash on hand.
Sedgwick's current debt load consists of $400 million in first-
lien debt and $200 million in second lien debt.  Sedgwick's
adjusted debt-to-EBITDA ratio, as measured by Moody's, was 5.9x
for the 12 months through September 2010.

Sedgwick's ratings reflect the company's substantial financial
leverage, leading to a low level of financial flexibility and
somewhat weak interest and fixed charge coverage.  In addition,
some uncertainty exists regarding Sedgwick's long term capital
targets given the company's ownership by private equity firms who
tend to favor high levels of debt in the capital structure.  An
additional challenge for the company is its fairly ambitious long
term growth plan, which may be difficult to achieve given
generally flat to declining claim frequency trends in the US.

Helping to offset these risks is Sedgwick's status as a market
leader in the claims management sector, its diverse customer base,
product line and geographic spread and its strong historic organic
revenue growth.  As a service provider to insurance companies and
self-insured entities, Sedgwick also benefits from a fairly stable
earnings profile, due to the relatively high switching costs faced
by customers, a stable cost structure, and the lack of exposure to
insurance underwriting risk.

Moody's cited these factors that could lead to a rating upgrade
for Sedgwick: (i) a long term commitment to lower financial
leverage (i.e.  debt-to-EBITDA below 4.5x), (ii) free cash flow-
to-debt of 6% or better, and (iii) interest coverage of 3x or
better.  Conversely, these factors that could lead to a downgrade:
(i) debt-to-EBITDA ratio over 6.5x, (ii) free cash flow-to-debt of
3% or less, or (iii) interest coverage below 1.5x.

Sedgwick is one of the largest claims service providers in the
United States.  The company processes claims for a wide range of
insurance product lines including workers' compensation, general
liability, and disability insurance.  For 2009, the company
generated revenues of $703 million.


SINOBIOMED INC: Sells Wanxin to China Nonferrous for $200,000
-------------------------------------------------------------
Sinobiomed Inc. on December 17, 2010, entered into a stock
purchase and sale agreement with China Nonferrous Metals Resource
Geological Survey Inc., a British Virgin Islands company and
Wanxin Bio-Technology Limited, the Company's wholly owned British
Virgin Islands subsidiary, pursuant to which the Company agreed to
sell 100% of its equity interest in Wanxin to China Nonferrous for
an aggregate sale price of $200,000.

A full-text copy of the stock and purchase agreement is available
for free at http://ResearchArchives.com/t/s?7169

                         About Sinobiomed

Sinobiomed Inc. formerly CDoor Corp. (OTC BB: SOBM)
-- http://www.sinobiomed.com/-- was incorporated in the State of
Delaware.  The Company is a Chinese developer of genetically
engineered recombinant protein drugs and vaccines.  Based in
Shanghai, Sinobiomed currently has 10 products approved or in
development: three on the market, four in clinical trials and
three in research and development.  The Company's products respond
to a wide range of diseases and conditions, including: malaria,
hepatitis, surgical bleeding, cancer, rheumatoid arthritis,
diabetic ulcers and burns, and blood cell regeneration.

                      Going Concern Doubt

Schumacher & Associates Inc., in Denver, expressed substantial
doubt about Sinobiomed Inc.'s ability to continue as a going
concern after auditing the company's consolidated financial
statements for the year ended December 31, 2007.  The auditing
firm reported that the Company has experienced losses since
commencement of operations and has negative working capital and a
stockholders' deficit.

The Company is in the process of researching, developing, testing
and evaluating proposed new pharmaceutical products and has not
yet determined whether these products are technically or
economically feasible.  Management's plan is to actively search
for new sources of capital, including government and non-
government grants toward research projects and new equity
investment.


SOLAR THIN: Gary Maitland Resigns as Senior VP and General Counsel
------------------------------------------------------------------
Gary Maitland, Esq., resigned as Senior Vice-President and General
Counsel of Solar Thin Films Inc. on December 20, 2010.  Mr.
Maitland also resigned as a member of Solar Thin Films' Board of
Directors.

Headquartered in New York, Solar Thin Films, Inc., engages in
the design, manufacture and installation of thin-film amorphous
silicon ("a-Si") photovoltaic turnkey manufacturing facilities.

RBSM LLP, in New York, N.Y., expressed substantial doubt about
Solar Thin Films, Inc.'s ability to continue as a going concern,
following the Company's 2009 results.  The independent auditors
noted that the Company has suffered recurring losses from
operations.

The Company's balance sheet at September 30, 2010, showed
$2.05 million in total assets, $5.40 million in total liabilities,
and a stockholders' deficit of $3.35 million.


SPARTA COMMERCIAL: Posts $444,300 Net Loss in October 31 Quarter
----------------------------------------------------------------
Sparta Commercial Services, Inc.. filed its quarterly report on
Form 10-Q, reporting a net loss of $444,342 on $164,835 of
revenue for the three months ended October 31, 2010, compared with
a net loss of $1.00 million on $188,546 of revenue for the same
period ended October 31, 2009.

The Company's balance sheet at October 31, 2010, showed
$2.11 million in total assets, $4.52 million in total liabilities,
and a stockholders' deficit of $2.41 million.

The Company has an accumulated deficit of $33.23 million as of
October 31, 2010.

RBSM LLP, in New York, expressed substantial doubt about Sparta
Commercial Services' ability to continue as a going concern
following its results for the fiscal year ended April 30, 2010.
The independent auditors noted of the Company's recurring losses
from operations.

A full-text copy of the Form 10-Q is available for free at:

              http://researcharchives.com/t/s?714e

                     About Sparta Commercial

Based in New York, Sparta Commercial Services, Inc.
-- http://www.spartacommercial.com/-- is a specialized consumer
finance company engaged primarily in the purchase of retail
installment sales contracts and the origination of leases to
assist consumers in acquiring new and used motorcycles (550cc and
higher), scooters, and 4-stroke ATVs.


STILLWATER MINING: Inks Palladium Sales Deal With General Motors
----------------------------------------------------------------
Stillwater Mining Company on December 17, 2010, entered into a
Palladium Sales Agreement with General Motors LLC, setting forth
the terms by which Stillwater will sell and deliver palladium to
GM for the years 2011-2013.

The Agreement will become effective on January 1, 2011.
Stillwater will sell to GM contractually determined fixed
quantities of Palladium in each of the years 2011, 2012 and 2013
for a price to be calculated based on the London PM Fix Monthly
Average for Palladium at the time of each sale.

                      About Stillwater Mining

Billings, Montana-based Stillwater Mining Company --
http://www.stillwatermining.com/-- is the only U.S. producer of
palladium and platinum and is the largest primary producer of
platinum group metals outside of South Africa and Russia.  The
Company's shares are traded on the New York Stock Exchange under
the symbol "SWC."

The Company's balance sheet at Sept 30, 2010, showed
$778.23 million in total assets, $287.90 million in total
liabilities, and stockholders' equity of $490.33 million.

Stillwater carries 'Caa1' corporate family and probability of
default ratings, with 'stable' outlook, from Moody's Investors
Service.  It has 'B' issuer credit ratings from Standard & Poor's.


SUPERMEDIA INC: Pre-pays JPMorgan Term Loans at 70% of Par
----------------------------------------------------------
SuperMedia Inc. had entered into the First Amendment to the Loan
Agreement, dated as of December 31, 2009, with lenders led by
JPMorgan Chase Bank, N.A., as collateral agent and administrative
agent.  Pursuant to an amendment, the Company commenced an offer
to make a non-pro rata prepayment of term loans outstanding
utilizing cash up to a maximum of $185,000,000 at a price of 70%
to 77% of par.

On December 21, 2010, the Company completed its offer to make a
non-pro rata prepayment of term loans that commenced on December
15, 2010 and the Company will utilize $185,000,000 in cash to
repay approximately $264,000,000 of the term loans at a rate of
70% of par.  The Company expects to settle the prepayments with
the Agent on or about December 23, 2010.  The Voluntary Prepayment
will reduce total debt outstanding to approximately $2,232,000,000
from the $2,496,000,000 level reported at the end of the third
quarter of 2010.

                         About Idearc Inc.

Headquartered in DFW Airport, Texas, Idearc, Inc. (NYSE: IAR) --
http://www.idearc.com/-- formerly known as Directories
Disposition Corporation, provides yellow and white page
directories and related advertising products in the United States
and the District of Columbia.  Products include print yellow
pages, print white pages, Superpages.com, Switchboard.com and
LocalSearch.com, the company's online local search resources, and
Superpages Mobile, their information directory for wireless
subscribers.  Idearc is the exclusive official publisher of
Verizon print directories in the markets in which Verizon is
currently the incumbent local exchange carrier.  Idearc uses the
Verizon brand on their print directories in their incumbent
markets, well as in their expansion markets.

Idearc and its affiliates filed for Chapter 11 protection on
March 31, 2009 (Bankr. N.D. Tex. Lead Case No. 09-31828).  Toby L.
Gerber, Esq., at Fulbright & Jaworski, LLP, represented the
Debtors in their restructuring efforts.  The Debtors tapped Moelis
& Company as their investment banker; Kurtzman Carson Consultants
LLC as their claims agent.  William T. Neary, the United States
Trustee for Region 6, appointed six creditors to serve on an
official committee of unsecured creditors of Idearc, Inc., and its
debtor-affiliates.  The Committee selected Mark Milbank, Tweed,
Hadley & McCloy LLP, as counsel, and Haynes and Boone, LLP,
co-counsel.  The Debtors' financial condition as of Dec. 31, 2008,
showed total assets of $1,815,000,000 and total debts of
$9,515,000,000.

Idearc completed its debt restructuring and its plan of
reorganization became effective as of December 31, 2009.  In
connection with its emergence from bankruptcy, Idearc changed its
name to SuperMedia Inc.  Under its reorganization, Idearc reduced
its total debt from more than $9 billion to $2.75 billion of
secured bank debt.

Standard & Poor's Ratings Services said it lowered its corporate
credit rating on Dallas-based SuperMedia Inc. to 'SD' from 'CC'.
S&P also lowered its issue-level rating on the company's senior
secured credit facility to 'D' from 'CC''.


SYS HOSPITALITY: Can Access Cash Collateral Until January 13
------------------------------------------------------------
The U.S. Bankruptcy Court for the Central District of California,
authorized Richard J. Laski, the Chapter 11 Trustee for Suk Hee
Suh, and SYS Hospitality, LLC, to use the cash collateral of the
Debtors' respective secured creditors through January 13, 2011.

The trustee would use the cash collateral to fund the Debtors'
postpetition obligations.

The further hearing on the requested cash collateral use will be
held on January 13, at 1:30 p.m.

La Canada Flintridge, California-based Suk Hee Suh filed for
Chapter 11 bankruptcy protection on April 9, 2010 (Bankr. C.D.
Calif. Case No. 10-23682).  Robert M. Yaspan, Esq., at the Law
Offices of Robert M Yaspan, assists the Debtor in its
restructuring effort.  The Company disclosed $10,253,055 in assets
and $19,380,036 in liabilities as of the Petition Date.

An affiliate, SYS Hospitality LLC, doing business as Hawthorn
Suites, also filed for Chapter 11 on April 9, 2010 (Bankr. C.D.
Calif. Case No. 10-20501).  The Debtor disclosed assets of
$434,800 and debts of $10,319,421 in its Chapter 11 petition.


TAYLOR BEAN: City of Ocala Accepts Liquidation Plan
---------------------------------------------------
Susan Latham Carr, staff writer for Ocala Star-Banner, reports
that the Ocala City Council last week voted to accept a proposed
liquidation plan that could pay about 3.3% to 4.4% of the $330,000
in claims the city has in the Taylor, Bean & Whitaker Chapter 11
bankruptcy case.  The council also voted to reject requests from
two companies to buy those claims, even though the offers were for
more money than the city expects to recoup from the Taylor Bean
bankruptcy case.

According to the report, the city has two claims against Taylor
Bean:

     -- a $216,000 claim for property the city donated to Taylor
        Bean under the city's Economic Improvement Fund, now
        referred to as the Economic Incentive Program.  In
        exchange for the land, Taylor Bean was supposed to retain
        a certain number of employees for a number of years but,
        because the company folded, it was unable to meet its
        obligations under the deal; and

     -- $114,000 claim for electric bills that were unpaid before
        the bankruptcy.

As reported by the Troubled Company Reporter on December 21, 2010,
Judge Jerry A. Funk put his stamp of approval on the Second
Amended and Restated Disclosure Statement with respect to the
Second Amended and Restated Joint Plan of Liquidation proposed by
Taylor Bean and the Official Committee of Unsecured Creditors
appointed in those chapter 11 cases.  Accordingly, the Debtors and
the Committee may now solicit creditors for their votes to accept
the plan.

The Record Data for determining who can vote on the plan is
Nov. 5, 2010.  Ballots must be cast by Jan. 12, 2011, and any
objections to the plan of liquidation must be filed and served by
that date.  A confirmation hearing will be held on Jan. 19, 2011,
in Jacksonville, Fla.

Copies of the Plan, Disclosure Statement and other relevant
documents are available at http://www.bmcgroup.com/tbwmortgage/at
no charge.

                        About Taylor Bean

Taylor, Bean & Whitaker Mortgage Corp. grew from a small Ocala-
based mortgage broker to become one of the largest mortgage
bankers in the United States.  In 2009, Taylor Bean was the
country's third largest direct-endorsement lender of FHA-insured
loans of the largest wholesale mortgage lenders and issuer of
mortgage backed securities.  It also managed a combined mortgage
servicing portfolio of approximately $80 billion.  The company
employed more that 2,000 people in offices located throughout the
United States.

Taylor Bean sought Chapter 11 protection (Bankr. M.D. Fla. Case
No. 09-07047) on August 24, 2009.  Taylor Bean filed the
Chapter 11 petition three weeks after federal investigators
searched its offices.  The day following the search, the Federal
Housing Administration, Ginnie Mae and Freddie Mac prohibited the
company from issuing new mortgages and terminated servicing
rights.  Taylor Bean estimated more than $1 billion in both assets
and liabilities in its bankruptcy petition.

Jeffrey W. Kelly, Esq., and J. David Dantzler, Jr., Esq., at
Troutman Sanders LLP, in Atlanta, Ga., and Russel M. Blain, Esq.,
and Edward J. Peterson, III, Esq., at Stichter, Riedel, Blain &
Prosser, PA, in Tampa, Fla., represent the Debtors.  Paul Steven
Singerman, Esq. -- singerman@bergersingerman.com -- and Arthur J.
Spector, Esq. -- aspector@bergersingerman.com -- at Berger
Singerman PA, in Miami, Fla., represent the Committee.  BMC Group,
Inc., serves as the claims and noticing agent.


TECH DATA: Fitch Affirms Issuer Default Rating at 'BB+'
-------------------------------------------------------
Fitch Ratings has affirmed the ratings of Tech Data:

  -- Issuer Default Rating at 'BB+';

  -- $250 million senior unsecured credit facility at 'BB+';

  -- $350 million 2.75% senior unsecured convertible debentures at
     'BB+'.

The Rating Outlook is Stable.

Fitch's Stable Outlook for the IT Distributors in 2011 is based on
expectations for steady end-market demand and stabilization of
industry financial profiles, offset by expectations of moderate
deterioration in liquidity and heightened event risk.  Fitch
expects a slowdown in sales growth in 2011, as corporate IT demand
normalizes amidst sluggish growth in North America and Europe.
Cost reduction initiatives implemented over the past two years
have combined with revenue growth to push operating margins to
near-term highs.  While temporary periods of out-performance may
occur over the course of the upcoming year, Fitch expects
operating margins to revert back to historical levels over time.

Fitch expects the liquidity profiles of IT distributors to
deteriorate slightly, after peaking in the September quarter of
2009, as companies continue their acquisitive growth strategies in
the coming year.  Fitch believes that acquisition activity will
likely remain high if valuations stay compressed for struggling
competitors.  In addition, an increasingly stable operating
environment could potentially lead distributors to invest greater
capital in acquisitions, through either larger deal volume or
larger deal sizes.  Normalizing sales volumes with some organic
growth should enhance cash flows as working capital reinvestment
decreases with the completion of the inventory refresh cycle.
Share repurchases are another possible drain to liquidity though
Fitch expects the distributors to take a balanced approach in this
regard.  Ratings incorporate some capacity for liquidity
deterioration as well as moderate acquisition activity.

Tech Data's ratings and Stable Outlook reflect the above
considerations as well as these:

  -- Fitch expects continued mid-single-digit organic revenue
     growth as Tech Data benefits from a modest recovery in
     enterprise hardware spending and PC sales as well as its
     exposure to the typically higher growth small-medium business
     market.  Fitch believes recent improvements in profitability
     are primarily attributable to cost-cutting actions take over
     the past two years in addition to selective disengagement
     from below-average profit business lines, particularly in
     Europe.  The ratings incorporate ongoing moderate pricing
     pressure in the industry and its impact on gross margins as
     other distributors and direct sellers compete for market
     share. As a result, Fitch believes Tech Data will face trade-
     offs between pricing strategies that preserve market share
     and gross margin levels.  Additionally, management's focus on
     increasingly sophisticated service offerings are expected to
     increase operating expenses moderately.  As a result, Fitch
     believes further improvements to EBITDA margins may not be
     sustainable as increased operating expenses offset pricing
     strategies that preserve higher gross margins.

  -- Profitability in Europe has improved in recent years due to
     previous restructuring efforts and management's attempts to
     offset softer demand by exiting low-return businesses and
     product lines.  However, Fitch believes the company's
     significant exposure to the European market (56% of revenue)
     will likely be a limiting factor to overall growth, as
     European demand is expected to lag other regions in 2011.
     While Fitch expects operating margins in Europe to remain
     materially below the Americas, Tech Data's leading share in
     this region could enable better margin performance relative
     to Fitch's expectations over the next several years.  Fitch
     does expect Tech Data's lack of exposure to the faster-
     growing Asia-Pacific market to result in slower growth and
     limit scale relative to competitors with operations in this
     region.

  -- As expected, working capital reinvestment drove free cash
     flows lower in fiscal 2011 (ends Jan. 31, 2011), with free
     cash flow in the Oct. 31 latest 12-month period of
     negative $150 million.  Fitch expects Tech Data to generate
     excess free cash flow from reduced working capital needs in
     conjunction with more modest growth in fiscal 2012.  As of
     Oct. 31, 2010, the cash conversion cycle was 27 days, and
     increase of four days over the prior year due primarily to
     increased days in inventory.

  -- Tech Data's acquisitions drove approximately $100 million of
     incremental debt since the beginning of fiscal 2011, bringing
     leverage to 1.4 times.  Fitch believes Tech Data could
     potentially pursue additional debt-financed acquisitions
     resulting in higher leverage if opportunities arise and
     excess cash balances are depleted within the next few years.
     In such a scenario, if leverage rises meaningfully above 2.0x
     for an extended period, it could pressure ratings as Fitch
     would primarily be concerned with profitability trends and
     expectations that Tech Data could reduce leverage in the
     short-run through free cash flow generation or EBITDA growth.
     Additionally, Fitch believes shareholder-friendly actions are
     increasingly likely as Tech Data's business stabilizes,
     particularly if acquisition opportunities do not come to
     fruition.  Such actions could pressure ratings if debt
     financing increases leverage above historical levels.

Rating strengths include:

  -- Tech Data's scale of operations, international footprint,
     financial capability and breadth of product offering, which
     provide a competitive advantage via moderate barriers to
     entry;

  -- Importance of the wholesale distribution model for original
     equipment manufacturers, particularly for the SMB market.

Rating concerns include:

  -- The company's operating results are significantly affected by
     the cyclicality of IT demand and general global economic
     conditions;

  -- Potential for the use of free cash flow and/or debt issuance
     for acquisitions, or for shareholder-friendly actions, which
     Fitch expects to rise amidst a more stable operating
     environment;

  -- Low-margin and high working capital nature of the wholesale
     distribution model raises operating risk and can lead to
     volatility in free cash flow.

Liquidity was solid as of Oct. 31, 2010, and consisted primarily
of $707 million in cash and cash equivalents, a $250 million
senior unsecured revolving credit facility (with $172 million in
capacity after letters of credit) expiring March 2012 and an
undrawn
$150 million U.S.-based accounts receivable securitization program
which matures in October 2011.  Tech Data has other, mostly
uncommitted, lines of credit with approximately $456 million
available for use (net of $131 million of borrowings), which the
company uses as additional sources of liquidity.

Total debt was $523 million as of Oct. 31, 2010, and consisted of
i) $350 million in 2.75% senior convertible debentures redeemable
in December 2011 ($338 million accreted value as of Oct. 31),
which are convertible at $54.26 per share and putable to the
company in December 2011; ii) $131 million outstanding under
various credit facilities; iii) a five-year $14 million 4% loan
from Brightstar related to the acquisition of Triade's mobility
subsidiaries, MCC; iv) a $33 million interest-free loan from
Brightstar; and v) $7.5 million in capital leases.


TELEFLEX INCORPORATED: Moody's Assigns 'Ba3' Corp. Family Rating
----------------------------------------------------------------
Moody's Investors Service assigned a Ba3 Corporate Family Rating
and Ba3 Probability of Default rating to Teleflex Incorporated.
At the same time, Moody's assigned a B2 to the company's existing
convertible senior subordinated notes and a Speculative Grade
Liquidity Rating of SGL-2.  The rating outlook is stable.

Following its 2007 acquisition of medical products manufacturer,
Arrow International, Teleflex has been reshaping its portfolio by
divesting assets in both its aerospace and commercial segments.

Ratings assigned:

Teleflex Incorporated:

  -- CFR at Ba3
  -- PDR at Ba3
  -- Convertible senior subordinated notes at B2, LGD5, 88%
  -- Speculative Grade Liquidity Rating at SGL-2

                        Ratings Rationale

The Ba3 CFR reflects the company's moderately diverse offerings of
lower tech hospital based products, moderate size relative to
competitors, a recent history of weak sales growth related to
regulatory challenges, and a need to refocus on innovation.
Product innovation that can add value and translate into better
pricing is critical especially in light of cost-conscious hospital
customers and weaker admissions and surgery trends.

"Teleflex's ratings consider a degree of uncertainty associated
with the company's ongoing transformation into a pure-play medical
products company," said Diana Lee, a Senior Credit Officer at
Moody's.

The company has been repaying debt associated with the
$2.1 billion Arrow transaction using proceeds from divestitures;
Moody's expect this to continue as management sells remaining non-
core assets, such as its Actuation business, which it recently
agreed to sell for $94 million.  The completion of these
divestitures and the final resolution of its corporate warning
letter should help management focus on building its medical
products business.  However, as Teleflex enters the next phase of
its growth strategy, it is expected to engage in acquisitions in
the medical products space, which could result in leverage
returning to higher levels.

The stable outlook incorporates Moody's view that the company will
begin to see somewhat better growth rates in its medical business
and continue its transformation without raising leverage
significantly above current levels (adjusted Debt/EBITDA at about
3.2 times at September 26, 2010).  If Teleflex is able to see
ongoing improvement in growth rates while gaining market share,
and engages in only moderate-sized acquisitions such that
Debt/EBITDA can be sustained around 3.0 times and FCF/Debt can be
sustained in the mid-teens range, the ratings could be upgraded.
If, however, the company raises debt levels or sees deterioration
in sales or cash flow and Debt/EBITDA approaches 4.0 times or
FCF/Debt is sustained below 10%, the ratings could be downgraded.

Teleflex's SGL-2 rating reflects its good liquidity profile,
highlighted by positive free cash flow, cash balances, the
presence of external liquidity and the ability and intent to
monetize non-medical assets to repay debt.  However, these
positives are also tempered by a 2011 debt maturity and the
potential for additional acquisitions.

Unlike Teleflex's secured bank facility and senior unsecured notes
(both unrated), the senior subordinated convertible notes do not
benefit from guarantees from the operating subsidiaries.

Teleflex Incorporated, headquartered in Limerick, Pennsylvania, is
a global provider of medical products with a presence in the
critical care, surgical and cardiac areas.


TEREX CORP: Moody's Says Note Repayment May Have Pos. Implications
------------------------------------------------------------------
Moody's Investors Service has issued an issuer comment discussing
Terex Corporation announcement to call its' $297.6 million
principal amount of 7-3/8% Senior Subordinated notes due 2014, for
redemption effective January 15, 2011.  The issuer comment
explains that the repayment of these notes could have positive
implications for certain other rated instruments in Terex's
capital structure.

Moody's last rating action on Terex was on June 28, 2010, when the
company's Speculative Grade Liquidity Rating was upgraded to SGL-2
from SGL-3 and when it affirmed the company's Corporate Family and
Probability of Default Ratings at B2.  The ratings outlook
remained stable.

Terex Corporation, headquartered in Westport, CT, is a diversified
global manufacturer supporting the construction, mining, utility
and other end markets.  Revenues for the last twelve months
through September 30, 2010, totaled approximately $4.3 billion.


TERRESTAR NETWORKS: Amends DIP Agreement to Extend Milestones
-------------------------------------------------------------
TerreStar Networks Inc. and its units entered into a second
amendment to the DIP Credit Agreement with Bank of New York
Mellon, as administrative agent, and certain lender parties on
December 14, 2010.

The DIP Credit Agreement was modified to, among other things,
change the definition of the milestone requirement.  The
definition of "Milestone Requirement" in the Credit Agreement is
amended in its entirety to read as:

  "'Milestone Requirement' will mean the requirement that the
  Loan Parties, other than the Non-Subsidiary Guarantors will
  meet the following deadlines; provided however, that in the
  case of clauses (b), (f) and (g) below, the deadlines will be
  met by all Loan Parties (which for the avoidance of doubt,
  exclude the Non-Subsidiary Guarantors from and after the
  Repayment Date): (a) filing an Acceptable Plan by November 5,
  2010, (b)filing jointly with any person required by the FCC or
  Industry Canada, (i) all necessary applications for approval
  of the transfers of control over all the FCC Licenses, and the
  transfer of control over, transfer or assignment of all the
  Industry Canada Licenses within the terms and conditions
  thereof, and related authorizations held by any Loan Party
  that are contemplated by any Acceptable Plan and (ii) all
  required notifications to the FCC and Industry Canada, in each
  case by December 22, 2010, (c) receiving Bankruptcy Court
  approval of a disclosure statement by December 22, 2010, (d)
  commencement of a hearing by the Bankruptcy Court on
  confirmation of an Acceptable Plan by February 14, 2011, (e)
  entry of a final, non-appealable order by the Bankruptcy Court
  confirming such Acceptable Plan by February 28, 2011, (f)
  within 7 days after request of the Administrative Agent
  (acting at the written request of the Required Lenders), with
  respect to any order of the Bankruptcy Court, a corresponding
  recognition order, in form and substance reasonably acceptable
  to the Required Lenders will have been entered in the Canadian
  Court, which order shall have become final and non-appealable
  within twenty-one (21) days after entry of such order by the
  Canadian Court, and (g) the Final DIP Order and Final
  Recognition Order shall have become final and non-appealable
  within 60 and 63 days of the date of the entry of the Interim
  DIP Order and Initial Recognition Order, respectively."

A full-text copy of the 2nd DIP Agreement Amendment is available
for free at http://bankrupt.com/misc/TrStr2ndDIPAmend.pdf

                     About TerreStar Networks

Reston, Va.-based TerreStar Corporation (NASDAQ: TSTR)
-- http://www.terrestar.com/-- is in the mobile communications
business through its ownership of TerreStar Networks, its
principal operating subsidiary, and TerreStar Global.

TerreStar Networks, in cooperation with its Canadian partners,
TerreStar Canada and TerreStar Solutions, majority-owned
subsidiaries of Trio 1 and 2 General Partnerships, plans to launch
an innovative wireless communications system to provide mobile
coverage throughout the United States and Canada using integrated
satellite-terrestrial smartphones and other devices.  This system
build out will be based on an integrated satellite and ground-
based technology intended to provide communication service in most
hard-to-reach areas and will provide a nationwide interoperable,
survivable and critical communications infrastructure.  The
Company intends to provide multiple communications applications,
including voice, data and video services.

As of June 30, 2010, the Company had four wholly owned
subsidiaries, MVH Holdings Inc., Motient Holdings Inc., TerreStar
Holdings Inc., and TerreStar New York Inc.  Motient Ventures
Holding Inc., a wholly owned subsidiary of MVH Holdings Inc.,
directly holds approximately 89.3% and 86.5% interest in TerreStar
Networks and TerreStar Global, respectively.

TerreStar Networks Inc. and Its affiliates filed voluntary
petitions for relief under Chapter 11 of the United States
Bankruptcy Code in Manhattan (Bankr. S.D.N.Y. Lead Case No.
10-15446).

The Debtors' parent, TerreStar Corporation (NASDAQ: TSTR), is not
among the Chapter 11 filers.

The Garden City Group, Inc., will act as claims and noticing agent
in the Chapter 11 cases.  Michel Wunder, Esq., Ryan Jacobs, Esq.,
and Jarvis Hetu, Esq. at Fraser Milner Casgrain LLP and  Ira
Dizengoff, Esq., Arik Preis, Esq., and Ashleigh Blaylock, Esq.,
at Akin Gump Strauss Hauer & Feld LLP, serve as bankruptcy
counsel to the Debtors.  Blackstone Advisory Partners LP is the
financial advisor.

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


TERRESTAR NETWORKS: Proposes Deloitte as Tax Advisor
----------------------------------------------------
TerreStar Networks Inc. and its units seek the Bankruptcy Court's
authority to employ Deloitte Tax LLP as their tax service
provider, nunc pro tunc to the Petition Date.

The Debtors note that they previously employed Deloitte Tax to
provide tax-related services and thus, the firm has garnered
considerable knowledge concerning the Debtors and is already
familiar with the Debtors' business affairs to the extent
necessary for the scope of the firm's proposed and anticipated
services.

As the Debtors' tax service provider, Deloitte Tax will:

  -- advise the Debtors in their work with their counsel and
     financial advisors on the cash tax effects of restructuring
     and bankruptcy and the post-restructuring tax profile,
     including plan of reorganization tax costs;

  -- advise the Debtors regarding the restructuring and
     bankruptcy emergence process from a tax perspective,
     including the tax work plan;

  -- advise the Debtors on the cancellation of debt income for
     tax purposes under Internal Revenue Code section 108;

  -- advise the Debtors on post-bankruptcy tax attributes
     available under the applicable tax regulations and the
     reduction of attributes based on the Debtors' operating
     projections, including a technical analysis of the effects
     of Treasury Regulation Section 1.1502-28 and the interplay
     with IRC sections 108 and 1017;

  -- advise the Debtors on potential effect of the Alternative
     Minimum Tax in various post-emergence scenarios;

  -- advise the Debtors on the effects of tax rules under IRC
     Sections 382(l)(5) and (l)(6) pertaining to the post-
     bankruptcy net operating loss carryovers and limitations on
     their utilization and the Debtors' ability to qualify for
     IRC Section 382(l)(5);

  -- advise the Debtors on net built-in gain or net built-in
     loss position at the time of "ownership change", including
     limitations on use of tax losses generated from post-
     restructuring or post-bankruptcy asset or stock sales;

  -- advise the Debtors as to the proper treatment of
     postpetition interest for state and federal income tax
     purposes;

  -- advise the Debtors as to the proper state and federal
     income tax treatment of prepetition and postpetition
     reorganization costs including restructuring-related
     professional fees and other costs, the categorization and
     analysis of the costs, and the technical positions related
     thereto;

  -- advise the Debtors in their evaluation and modeling of the
     tax effects of liquidating, disposing of assets, merging or
     converting entities as part of the restructuring, including
     the effects on federal and state tax attributes, state
     incentives, apportionment and other tax planning;

  -- advise the Debtors on state income tax treatment and
     planning for restructuring or bankruptcy provisions in
     various jurisdictions including cancellation of
     indebtedness calculation, adjustments to tax attributes and
     limitations on tax attribute utilization;

  -- advise the Debtors on responding to tax notices and audits
     from various taxing authorities;

  -- assist the Debtors with identifying potential tax refunds
     and advise the Debtors on procedures for tax refunds from
     tax authorities;

  -- advise the Debtors on income tax return reporting of
     bankruptcy issues and related matters;

  -- advise the Debtors in their review and analysis of the tax
     treatment of items adjusted for financial reporting
     purposes as a result of "fresh start" accounting as
     required for the emergence date of the U.S. financial
     statements in an effort to identify the appropriate tax
     treatment of adjustments to equity; and other tax basis
     adjustments to assets and liabilities recorded;

  -- assist in documenting as appropriate, the tax analysis,
     development of the Debtors' opinions, recommendation,
     observations, and correspondence for any proposed
     restructuring alternative tax issue or other tax matter
     described above;

  -- advise the Debtors regarding other state or federal income
     tax questions that may arise in the course of this
     engagement, as requested by the Debtors, and as may be
     agreed to by Deloitte Tax;

  -- advise the Debtors in their efforts to calculate tax basis
     in the stock in each of the Debtors' subsidiaries or other
     entity interests; and

  -- advise the Debtors with their evaluation of any original
     issue discount or applicable high yield discount obligation
     provision s that may be associated with the new debt
     instruments instituted in connection with the restructuring
     or bankruptcy filing.

In addition, Deloitte Tax will assist the Debtors with federal
and state income tax compliance matters and assist the Debtors
with federal and state tax provision matters.

The Debtors propose to pay Deloitte Tax according to the firm's
regular hourly rates in addition to reimbursements for necessary
out-of-pocket expenses.

Hourly rates for Deloitte Tax professionals are:

    Partner, Principal, or Director      $640 to $730
    Senior Manager                       $565 to $590
    Manager                              $490 to $515
    Senior                               $365 to $390
    Staff                                $280 to $305

Gregory Anderson, a director of Deloitte Tax, assures the Court
that his company is a "disinterested person" as the term is
defined under Section 101(14) of the Bankruptcy Code.

                     About TerreStar Networks

Reston, Va.-based TerreStar Corporation (NASDAQ: TSTR)
-- http://www.terrestar.com/-- is in the mobile communications
business through its ownership of TerreStar Networks, its
principal operating subsidiary, and TerreStar Global.

TerreStar Networks, in cooperation with its Canadian partners,
TerreStar Canada and TerreStar Solutions, majority-owned
subsidiaries of Trio 1 and 2 General Partnerships, plans to launch
an innovative wireless communications system to provide mobile
coverage throughout the United States and Canada using integrated
satellite-terrestrial smartphones and other devices.  This system
build out will be based on an integrated satellite and ground-
based technology intended to provide communication service in most
hard-to-reach areas and will provide a nationwide interoperable,
survivable and critical communications infrastructure.  The
Company intends to provide multiple communications applications,
including voice, data and video services.

As of June 30, 2010, the Company had four wholly owned
subsidiaries, MVH Holdings Inc., Motient Holdings Inc., TerreStar
Holdings Inc., and TerreStar New York Inc.  Motient Ventures
Holding Inc., a wholly owned subsidiary of MVH Holdings Inc.,
directly holds approximately 89.3% and 86.5% interest in TerreStar
Networks and TerreStar Global, respectively.

TerreStar Networks Inc. and Its affiliates filed voluntary
petitions for relief under Chapter 11 of the United States
Bankruptcy Code in Manhattan (Bankr. S.D.N.Y. Lead Case No.
10-15446).

The Debtors' parent, TerreStar Corporation (NASDAQ: TSTR), is not
among the Chapter 11 filers.

The Garden City Group, Inc., will act as claims and noticing agent
in the Chapter 11 cases.  Michel Wunder, Esq., Ryan Jacobs, Esq.,
and Jarvis Hetu, Esq. at Fraser Milner Casgrain LLP and  Ira
Dizengoff, Esq., Arik Preis, Esq., and Ashleigh Blaylock, Esq.,
at Akin Gump Strauss Hauer & Feld LLP, serve as bankruptcy
counsel to the Debtors.  Blackstone Advisory Partners LP is the
financial advisor.

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


TERRESTAR NETWORKS: Sprint Nextel Sues U.S. Bank
------------------------------------------------
Sprint Nextel Corporation commenced a complaint on December 17,
2010, against U.S. Bank National Association, in its capacity as
Indenture Trustee and Collateral Agent for the 15.0% Senior
Secured Payment-In-Kind Notes due 2014 issued by TerreStar
Networks Inc.

Sprint Nextel provides land-based mobile wireless services.

Sprint Nextel disputes the validity and enforceability of the
liens on licenses granted by the Federal Communications
Commission and proceeds thereof purportedly granted to U.S. Bank
as collateral agent of the Secured Noteholders.

As requirements for the Debtors to be able to provide mobile
satellite services or MSS, they obtained various licenses and
authorizations from the FCC.  Darryl S. Laddin, Esq., at Arnall
Golden Gregory LLP, in Atlanta Georgia -- dladdin@agg.com --
notes that pursuant to a security agreement dated February 2007,
the Debtors purported to grant a security interest in the FCC
Licenses and any proceeds thereof to U.S. Bank as collateral
agent for the Senior Secured Noteholders.

On behalf of Sprint Nextel, Mr. Laddin contends that applicable
law prohibits the grant of a security interest in the FCC
Licenses.  The Federal Communications Act, he notes, prohibits
the transfer, assignment or disposal of a FCC license to any
person except upon application to the FCC.  He adds that pursuant
to applicable law, a lien on proceeds or value generated by the
FCC Licenses does not attach until those proceeds are generated.

Mr. Laddin also asserts that pursuant to the Bankruptcy Code, any
prepetition lien on the proceeds of the FCC Licenses does not
attach to any proceeds or value derived from the FCC Licenses
after the filing of the bankruptcy cases by the Debtors.

The Debtors' ability to use the FCC Licenses is subject to the
requirement that they complete the relocation of Broadcast
Auxiliary Services.  Mr. Laddin tells the Court that Sprint
Nextel conferred a substantial benefit on the Debtors by
completing the BAS Relocation of -- without which, the Debtors
would not have been able to utilize the so-called S-Band Spectrum
and the value of FCC Licenses to utilize the S-Band Spectrum
would have been significantly less.

Sprint Nextel notes that it completed the BAS Relocation in July
2010 and incurred around $750 million in associated costs.
Sprint Nextel maintains that the Debtors' pro rata share of the
BAS Relocation Costs specific to their portion of the spectrum is
more than $100 million.

"To force Sprint Nextel to shoulder the entire costs of the BAS
Relocation would be contrary to the public interest," Mr. Laddin
asserts.

Accordingly, by virtue of its Complaint, Sprint Nextel asks Judge
Lane to declare that:

  (a) the Senior Secured Noteholders do not hold valid and
      enforceable security interests in any of the FCC Licenses;
      and

  (b) any purported prepetition liens on the proceeds of the
      Debtors' FCC Licenses either:

      -- do not attach to proceeds or value generated by the FCC
         Licenses postpetition as a matter of law;

      -- do not attach to proceeds or value generated by the FCC
         Licenses postpetition under the equities of the case;
         or

      -- are subordinate to the reimbursement claim of Sprint
         Nextel for BAS Relocation costs.

                     About TerreStar Networks

Reston, Va.-based TerreStar Corporation (NASDAQ: TSTR)
-- http://www.terrestar.com/-- is in the mobile communications
business through its ownership of TerreStar Networks, its
principal operating subsidiary, and TerreStar Global.

TerreStar Networks, in cooperation with its Canadian partners,
TerreStar Canada and TerreStar Solutions, majority-owned
subsidiaries of Trio 1 and 2 General Partnerships, plans to launch
an innovative wireless communications system to provide mobile
coverage throughout the United States and Canada using integrated
satellite-terrestrial smartphones and other devices.  This system
build out will be based on an integrated satellite and ground-
based technology intended to provide communication service in most
hard-to-reach areas and will provide a nationwide interoperable,
survivable and critical communications infrastructure.  The
Company intends to provide multiple communications applications,
including voice, data and video services.

As of June 30, 2010, the Company had four wholly owned
subsidiaries, MVH Holdings Inc., Motient Holdings Inc., TerreStar
Holdings Inc., and TerreStar New York Inc.  Motient Ventures
Holding Inc., a wholly owned subsidiary of MVH Holdings Inc.,
directly holds approximately 89.3% and 86.5% interest in TerreStar
Networks and TerreStar Global, respectively.

TerreStar Networks Inc. and Its affiliates filed voluntary
petitions for relief under Chapter 11 of the United States
Bankruptcy Code in Manhattan (Bankr. S.D.N.Y. Lead Case No.
10-15446).

The Debtors' parent, TerreStar Corporation (NASDAQ: TSTR), is not
among the Chapter 11 filers.

The Garden City Group, Inc., will act as claims and noticing agent
in the Chapter 11 cases.  Michel Wunder, Esq., Ryan Jacobs, Esq.,
and Jarvis Hetu, Esq. at Fraser Milner Casgrain LLP and  Ira
Dizengoff, Esq., Arik Preis, Esq., and Ashleigh Blaylock, Esq.,
at Akin Gump Strauss Hauer & Feld LLP, serve as bankruptcy
counsel to the Debtors.  Blackstone Advisory Partners LP is the
financial advisor.

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


THORNBURG MORTGAGE: Luxury Mortgage Taps Cole Schotz as Counsel
---------------------------------------------------------------
Bankruptcy Judge Duncan W. Keir signed off on a Stipulation and
Consent Order in the action, Joel I. Sher Chapter 11 Trustee for
TMST Home Loans, Inc., f/k/a Thornburg Mortgage Home Loans, Inc.,
v. Luxury Mortgage Corp., Adv. Pro. No. 10-00898 (Bankr. D. Md.).

Luxury retained Cole, Schotz, Meisel, Forman & Leonard, P.A. as
local counsel for the adversary proceeding.  To allow for Luxury's
counsel to receive informal discovery from the Trustee, and to
afford the parties an opportunity to resolve the matter without
any further litigation, the Trustee and Luxury have agreed to an
extension of the Answer deadline for Luxury through and including
January 29, 2011.

To contact Luxury's counsel:

          Gary H. Leibowitz, Esq.
          COLE, SCHOTZ, MEISEL, FORMAN & LEONARD, P.A.
          300 East Lombard Street
          Baltimore, MD 21202
          Telephone: 410-528-2971
          Facsimile: 410-528-9401
          E-mail: gleibowitz@coleschotz.com

                     About Thornburg Mortgage

Based in Santa Fe, New Mexico, Thornburg Mortgage Inc. (NYSE: TMA)
-- http://www.thornburgmortgage.com/-- was a single-family
residential mortgage lender focused principally on prime and
super-prime borrowers seeking jumbo and super-jumbo adjustable
rate mortgages.  It originated, acquired, and retained investments
in adjustable and variable rate mortgage assets.  Its ARM assets
comprised of purchased ARM assets and ARM loans, including
traditional ARM assets and hybrid ARM assets.

Thornburg Mortgage and its four affiliates filed for Chapter 11 on
May 1, 2009 (Bankr. D. Md. Lead Case No. 09-17787).  Thornburg
changed its name to TMST, Inc.

Judge Duncan W. Keir is handling the case.  David E. Rice, Esq.,
at Venable LLP, in Baltimore, Maryland, is tapped as counsel.
Orrick, Herrington & Sutcliffe LLP is employed as special counsel.
Jim Murray, and David Hilty, at Houlihan Lokey Howard & Zukin
Capital, Inc., are tapped as investment banker and financial
advisor.  Protiviti Inc. is also engaged for financial advisory
services.  KPMG LLP is the tax consultant.  Epiq Systems, Inc., is
claims and noticing agent.  Thornburg listed total assets of
$24.4 billion and total debts of $24.7 billion, as of January 31,
2009.

On October 28, 2009, the Court approved the appointment of Joel I.
Sher as the Chapter 11 Trustee for the Company, TMST Acquisition
Subsidiary, Inc., TMST Home Loans, Inc., and TMST Hedging
Strategies, Inc.


TRAI THIEN: Posts $13,550 Net Loss in Q3 2010
---------------------------------------------
Trai Thien USA Inc., formerly known as Develocap, Inc., filed its
quarterly report on Form 10-Q, reporting a net loss of $13,550 on
$3.0 million of revenues for the three months ended September 30,
2010, compared with net income of $72,544 on $1.7 million of
revenues for the same period of 2009.

The Company's balance sheet at September 30, 2010, showed
$28.0 million million in total assets, $17.0 million in total
liabilities, and stockholders' equity of $11.0 million.

The Company has committed and contracted for the construction of
six vessels in Vietnam with a combined carrying capacity of 45,600
deadweight tons in the aggregate value of roughly $60.7 million
(equivalent to VND1.170 trillion), which are expected to be
delivered between 2010 and 2011.  As of September 30, 2010, the
Company has $58,522 available cash and cash equivalents and
suffers from negative working capital of $12,532,154, whereas the
Company may not have sufficient working capital to meet with these
capital commitments.  Also, the Company has defaulted on repayment
of certain short-term bank borrowings.

These factors raise substantial doubt about the Company's ability
to continue as a going concern.

A full-text copy of the Form 10-Q is available for free at:

               http://researcharchives.com/t/s?7171

Based in Ho Chi Minh City, Vietnam, Trai Thien USA Inc. (formerly
known as Develocap, Inc.) was incorporated under the laws of the
State of Nevada on January 23, 2004.  The Company operates its
chartered and owned vessels in the ocean transportation in
Vietnam, through its variable interest entity, Trai Thien, which
is registered as a joint stock company under the Enterprise Law of
the Socialist Republic of Vietnam on June 11, 2007, which
primarily charters vessels from the ship-owners and operates the
vessels in the ocean transportation of a broad range of major and
minor bulk cargoes including iron ore, coal, grain, cement and
fertilizer, along Asian shipping routes.


TRIBUNE CO: Court Approves Sitrick as Communications Consultant
---------------------------------------------------------------
The Bankruptcy Court approved, on December 13, 2010, the
application of Tribune Co. and its units to employ Sitrick and
Company, a division of Sitrick Brincko Group, LLC, as corporate
communications consultants pursuant to Section 327(a) of the
Bankruptcy Code.

As reported in the Dec. 14, 2010 edition of the Troubled Company
Reporter, the Official Committee of Unsecured Creditors in Tribune
Co.'s cases agreed to certain modifications to the proposed order
that was submitted with the application to employ Sitrick,
including revision of the indemnification provision and inclusion
of provisions related to fees.

The Revised Proposed Order provides that Sitrick's monthly
compensation will not be allowed in an amount greater than
$25,000.  The cap on Sitrick's compensation for the months of
August through November 2010 will be applied on an aggregate and
not a month-to-month basis so that Sitrick's compensation will not
exceed $100,000 in the aggregate over that four-month period.

The indemnification provisions of the Engagement letter and the
Application are also modified to provide that:

  (a) Sitrick will not be entitled to indemnification,
      contribution, or reimbursement for services other than the
      services provided under the Engagement Letter, unless
      those services and the indemnifications, contributions, or
      reimbursement are approved by the Court;

  (b) The Debtors will have no obligation to indemnify Sitrick,
      or provide contribution or reimbursement to Sitrick, for
      any claim or expense to the extent that it is either
      (i) judicially determined to have arisen from Sitrick's
      gross negligence or willful misconduct; (ii) for a
      contractual dispute in which the Debtors or the Committee
      allege the breach of Sitrick's contractual obligations
      unless the Court determines the indemnification,
      contribution or reimbursement would be permissible; or (iii)
      settled prior to a judicial determination; and

  (c) If before the earlier of (i) entry of an order confirming
      a Chapter 11 plan, and (ii) entry of an order closing the
      Debtors Chapter 11 cases, Sitrick believes it is entitled
      to the payment of any amounts by the Debtors on account of
      the Debtors' indemnification, contribution or
      reimbursement obligations, Sitrick must file an
      application before the Court, and the Debtors may not pay
      Sitrick before the entry of an order approving the
      payment.

The Creditors Committee previously asked the U.S. Bankruptcy Court
to deny the Debtors' application to employ Sitrick and Company as
their corporate communications consultants.  According to the
Committee, the Application does not identify any particular news
articles or activities that suggest that the reporting of the
Tribune bankruptcy cases requires additional media "tailoring."

In their application, the Debtors said they seek to employ
Sitrick, as a leading media relations firm, to provide advice and
render services that would enable them to respond proactively and
effectively to rumors, potential news stories, news stories, blogs
and other digital and traditional media regarding their businesses
and their restructuring.

The Debtors proposed to pay Sitrick a non-refundable retainer of
$60,000. Sitrick's fees will be applied against the retainer and
will be determined in accordance with Sitrick's standard hourly
billing rates, which range from $185-$895 per hour, depending on
the professional performing the services.  Once the retainer has
been fully applied against time charges, additional time charges
will be billed as incurred.  The Debtors will also reimburse
Sitrick for all reasonable and necessary out-of-pocket expenses.

                       About Tribune Co.

Headquartered in Chicago, Illinois, Tribune Co. --
http://www.tribune.com/-- is a media company, operating
businesses in publishing, interactive and broadcasting, including
ten daily newspapers and commuter tabloids, 23 television
stations, WGN America, WGN-AM and the Chicago Cubs baseball team.

The Company and 110 of its affiliates filed for Chapter 11
protection on December 8, 2008 (Bankr. D. Del. Lead Case No. 08-
13141).  The Debtors proposed Sidley Austin LLP as their counsel;
Cole, Schotz, Meisel, Forman & Leonard, PA, as Delaware counsel;
Lazard Ltd. and Alvarez & Marsal North America LLC as financial
advisors; and Epiq Bankruptcy Solutions LLC as claims agent.  As
of December 8, 2008, the Debtors have $7,604,195,000 in total
assets and $12,972,541,148 in total debts.

Chadbourne & Parke LLP and Landis Rath LLP serve as co-counsel to
the Official Committee of Unsecured Creditors.  AlixPartners LLP
is the Committee's financial advisor.  Landis Rath Moelis &
Company serves as the Committee's investment banker.  Thomas G.
Macauley, Esq., at Zuckerman Spaeder LLP, in Wilmington, Delaware,
represents the Committee in connection with the lawsuit filed
against former officers and shareholders for the 2007 LBO of
Tribune.

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


TRIBUNE CO: Panel Files 2 More Suits vs. Paul Hastings, et al.
--------------------------------------------------------------
The Official Committee of Unsecured Creditors in Tribune Co.'s
cases initiated two additional adversary proceedings against
against Paul, Hastings, Janofsky & Walker LLP and JPMorgan Chase
Bank, N.A., Merrill Lynch Capital Corporation, and other leveraged
buyout lender preference defendants.

The Official Committee of Unsecured Creditors previously filed
adversary proceedings against 212 defendants seeking to avoid
transfers and to recover property transferred.

The Complaints each seeks to avoid and recover from the
Defendants, or from any other person or entity for whose benefit
the transfers were made, all preferential transfers of property
made for or on account of an antecedent debt and to or for the
benefit of the Defendants by the Debtors during the one-year
period prior to the Petition Date.

                       About Tribune Co.

Headquartered in Chicago, Illinois, Tribune Co. --
http://www.tribune.com/-- is a media company, operating
businesses in publishing, interactive and broadcasting, including
ten daily newspapers and commuter tabloids, 23 television
stations, WGN America, WGN-AM and the Chicago Cubs baseball team.

The Company and 110 of its affiliates filed for Chapter 11
protection on December 8, 2008 (Bankr. D. Del. Lead Case No. 08-
13141).  The Debtors proposed Sidley Austin LLP as their counsel;
Cole, Schotz, Meisel, Forman & Leonard, PA, as Delaware counsel;
Lazard Ltd. and Alvarez & Marsal North America LLC as financial
advisors; and Epiq Bankruptcy Solutions LLC as claims agent.  As
of December 8, 2008, the Debtors have $7,604,195,000 in total
assets and $12,972,541,148 in total debts.

Chadbourne & Parke LLP and Landis Rath LLP serve as co-counsel to
the Official Committee of Unsecured Creditors.  AlixPartners LLP
is the Committee's financial advisor.  Landis Rath Moelis &
Company serves as the Committee's investment banker.  Thomas G.
Macauley, Esq., at Zuckerman Spaeder LLP, in Wilmington, Delaware,
represents the Committee in connection with the lawsuit filed
against former officers and shareholders for the 2007 LBO of
Tribune.

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


TRIBUNE CO: Sam Zell Says Claims Against Him "Not Colorable"
------------------------------------------------------------
As reported in the Dec. 14, 2010 edition of the Troubled Company
Reporter, the Official Committee of Unsecured Creditors in Tribune
Co.'s cases asks the Bankruptcy Court to confirm that its
October 27, 2010 order granting the panel standing on behalf of
the Debtors' estates to commence, prosecute and settle claims and
counterclaims arising out of or in connection with the Debtors'
2007 leveraged buyout transaction encompasses all claims set forth
in the Committee's Amended Complaints in Adversary Proceeding No.
10-53963.  By order dated October 27, 2010, the Court granted the
Committee leave, standing and authority to commence and prosecute
the claims of the Debtors' estates.

In response, Samuel Zell and EGI-TRB LLC insists that the alleged
claims against them, which the Examiner found unlikely to succeed,
are not colorable and that it would not benefit the estates to
pursue them.  Mr. Zell and EGI-TRB request that the Court continue
to preserve all their rights as defendants, including the right to
contest these issues in future proceedings.

Mr. Zell and EGI-TRB also request that the Court reserve the
ruling on whether the Official Committee of Unsecured Creditors
has standing to prosecute these claims when and if the stay is
lifted.  Among other things, Mr. Zell and EGI-TRB note, even if it
may have been in the best interest of the estates to commence
certain alleged claims to preserve them against a looming
limitation deadline, the Court should reserve judgment on whether
it is of benefit of the estates to spend millions of dollars
prosecuting claims the Examiner found are unlikely to succeed.

Alternatively, Mr. Zell and EGI-TRB request that the Court direct
the parties to further meet and confer to address the concerns
raised by the objections and if they are unable to reach
agreement, for the parties to propose a process for resolving this
objection.

Thomas G. Macauley, Esq., at Zuckerman Spaeder LLP, special
counsel to the Creditors' Committee, said in a certification of
counsel that the parties agreed to address the limited objection
of Mr. Zell and EGI-TRB at a subsequent hearing.  The revised
proposed order provides that the Court reserves ruling on Mr. Zell
and EGI-TRB's limited objection at a hearing on January 20, 2011.
The Court signed the revised proposed order.

                       About Tribune Co.

Headquartered in Chicago, Illinois, Tribune Co. --
http://www.tribune.com/-- is a media company, operating
businesses in publishing, interactive and broadcasting, including
ten daily newspapers and commuter tabloids, 23 television
stations, WGN America, WGN-AM and the Chicago Cubs baseball team.

The Company and 110 of its affiliates filed for Chapter 11
protection on December 8, 2008 (Bankr. D. Del. Lead Case No. 08-
13141).  The Debtors proposed Sidley Austin LLP as their counsel;
Cole, Schotz, Meisel, Forman & Leonard, PA, as Delaware counsel;
Lazard Ltd. and Alvarez & Marsal North America LLC as financial
advisors; and Epiq Bankruptcy Solutions LLC as claims agent.  As
of December 8, 2008, the Debtors have $7,604,195,000 in total
assets and $12,972,541,148 in total debts.

Chadbourne & Parke LLP and Landis Rath LLP serve as co-counsel to
the Official Committee of Unsecured Creditors.  AlixPartners LLP
is the Committee's financial advisor.  Landis Rath Moelis &
Company serves as the Committee's investment banker.  Thomas G.
Macauley, Esq., at Zuckerman Spaeder LLP, in Wilmington, Delaware,
represents the Committee in connection with the lawsuit filed
against former officers and shareholders for the 2007 LBO of
Tribune.

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


TRICO MARINE: Inks Fifth Amendment to Priority Credit Agreement
---------------------------------------------------------------
In a regulatory filing December 20, 2010, Trico Marine Services,
Inc., disclosed that on December 16, Trico Shipping AS entered
into an amendment and consent - Fifth Amendment to PCA -- to the
priority credit agreement by and among Trico Shipping, as
borrower, Trico Supply AS -- Holdings -- and certain of Holdings'
other wholly owned subsidiaries identified therein, as guarantors,
Cantor Fitzgerald Securities, as administrative agent, and the
lenders party thereto.  The Fifth Amendment to PCA provided (i) a
consent to the sale of the vessels Trico Star and Trico Sabre and
the use of proceeds therefrom and (ii) a waiver of certain
prepayment obligations in connection with the sale.  In addition,
the Fifth Amendment to PCA amended the Priority Credit Agreement
by including certain fees of the Working Capital Facility (defined
below) lenders as part of the obligations due under the Priority
Credit Agreement.

On December 16, 2010, Trico Shipping entered into an amendment and
consent to asset sale -- Sixth Amendment to WCF -- to the Working
Capital Facility, by and among Trico Shipping as borrower,
Holdings and certain of Holdings' other wholly owned subsidiaries
identified therein, as guarantors, Nordea Bank Finland plc, New
York Branch, as administrative agent, and the lenders party
thereto.  The Sixth Amendment provided (i) consent to the sale of
the vessels Trico Star and Trico Sabre and the use of proceeds
therefrom and (ii) for reduction of the revolving loan commitments
to $11,922,989.60. In addition, the Sixth Amendment amended the
Working Capital Facility by (i) requiring that certain information
related to the restructuring of Trico Shipping and its
subsidiaries be delivered to the Working Capital Facility lenders,
(ii) waiving certain prepayment obligations in connection with the
sale of the vessels Trico Star and Trico Sabre, and (iii)
consenting to the execution of the Fifth Amendment to PCA.

                          Relationships

Affiliates of certain funds managed by Tennenbaum Capital
Partners, LLC are lenders under Trico Marine Services, Inc.'s
Second Amended and Restated Credit Agreement dated as of June 11,
2010, as amended, the Company's Senior Secured, Super-Priority
Debtor-in-Possession Credit Agreement, dated as of August 24,
2010, as amended, the Working Capital Facility, as amended, and
the Priority Credit Agreement, as amended.  At present, certain
lenders under the Priority Credit Agreement are holders of the
Notes.

Nordea serves as administrative agent, book runner, joint lead
arranger and a lender under the Trico Shipping Working Capital
Facility.  Nordea is the issuer of certain of Trico Marine
Services, Inc.'s letters of credit.

A complete text of the Sixth Amendment to WCF is available at no
charge at http://researcharchives.com/t/s?715b

A complete text of the Fifth Amendment to PCA is available at no
charge at http://researcharchives.com/t/s?715c

                       About Trico Marine

Headquartered in Texas, Trico Marine Services, Inc. --
http://www.tricomarine.com/-- provides subsea services, subsea
trenching and protection services, and towing and supply vessels.
Trico filed for Chapter 11 protection on August 25, 2010 (Bankr.
D. Del. Case No. 10-12653).  John E. Mitchell, Esq., Angela B.
Degeyter, Esq., and Harry A. Perrin, Esq., at Vinson & Elkins LLP,
assist the Debtor in its restructuring effort.  The Debtor
disclosed US$30,562,681 in assets and US$353,606,467 in
liabilities as of the Petition Date.

Affiliates Trico Marine Assets, Inc. (Bankr. D. Del. Case No.
10-12648), Trico Marine Operators, Inc. (Case No. 10-12649), Trico
Marine International, Inc. (Case No. 10-12650), Trico Marine
Cayman, L.P. (Case No. 10-12651), and Trico Holdco, LLC (Case No.
10-12652) filed separate Chapter 11 petitions.

Cahill Gordon & Reindell LLP is the Debtors' special counsel.
Alix Partners Services, LLC, is the Debtors' chief restructuring
officer.  Epiq Bankruptcy Solutions is the Debtors' claims and
notice agent.  Postlethwaite & Netterville serves as the Debtors'
accountant and Ernst & Young LLP serves as tax advisors.
Pricewaterhousecoopers LLC provides the independent accountants
and tax advisors for the Debtors.

Aside from the Cayman Islands holding company, Trico's foreign
subsidiaries were not included in the filing and will not be
subject to the requirements of the U.S. Bankruptcy Code.


TUNICA-BILOXI GAMING: Moody's Affirms 'B2' Corporate Family Rating
------------------------------------------------------------------
Moody's Investors Service revised the rating outlook of Tunica-
Biloxi Gaming Authority to stable from positive, while affirming
all its long term ratings, including Corporate Family rating and
Probability of Default rating at B2.

"The revision of the Authority's rating outlook to stable reflects
Moody's view that the Authority will not achieve and maintain
credit metrics required for a higher rating in the next 12-18
months given its current run-rate operating performance,"
commented Moody's analyst John Zhao.  The stable outlook also
incorporates Moody's expectation that TBGA's credit metrics would
not deteriorate significantly to levels that are not consistent
with its current rating in the near future.

These ratings were affirmed and assessments changed:

* Corporate Family rating -- at B2

* Probability of Default rating -- at B2

* 9% Sr. unsecured notes due 2015 changed from B2 (LGD 4, 53%) to
  B2 (LGD 4, 52%)

                      Stable Rating Outlook

In the first nine months of fiscal 2010, TBGA saw both revenue and
EBITDA declines due to continuing weakness in the overall consumer
spending and gaming demand in its Marksville, Louisiana market.
As a result, its debt/EBITDA has remained well above 3.0x and is
unlikely to decline to below 3.0x, a targeted leverage ratio
required for a higher rating.  Despite the continued topline
pressure, the stable outlook also suggests that TBGA's near-term
EBITDA would remain relatively stable due to its implementation of
cost containment programs and anticipated moderation in revenue
decline.

Moody's also expects TBGA will likely maintain an adequate
liquidity profile and adopt financial discipline with respect to
tribal distributions.  In Moody's opinion, TBGA's free cash flow
is likely to be near breakeven level in the next twelve months,
constrained by its significant tribal distributions and modest
capital spending.  Moody's notes the cushion under the fixed
charge covenant per the credit agreement for the revolving credit
facility is very modest, and may require TBGA to scale back
distribution and/or capex in order to remain compliant should
EBITDA erode.

The B2 CFR considers highly competitive nature of the TBGA's
market, small size, its dependence on a single market and other
risk factors common to Native American gaming issuer.  Positive
rating considerations is given to the company's modest leverage
and adequate liquidity profile.  Moody's also acknowledges that
additional gaming capacities in the regional markets, such as a
casino in Baton Rouge by Pinnacle Gaming and the 15th gaming
license to be awarded in Louisiana, could pose long-term threat to
TBGA's gaming operation.

Should the Authority's free cash flow turn negative (inclusive of
tribal distributions and capital expenditures), downward rating
pressures would develop.  Furthermore, while currently unexpected,
failure to receive the final approval from NIGC, in order to
finalize and close on the Authority's revolving line of credit
extension/amendment could result in negative rating action.

TBGA is an unincorporated governmental agency of the Tunica-Biloxi
Tribe of Louisiana.  TBGA owns and operates the Paragon Casino
Resort located in Marksville, Louisiana.


TWIN CITY HOSPITAL: Court OKs Focus Managing Director as Ombudsman
------------------------------------------------------------------
Focus Management Group Managing Director Daniel T. McMurray has
been appointed as Patient Care Ombudsman of Twin City Hospital
under an Order entered by the U.S. Bankruptcy Court for the
Northern District of Ohio on December 1, 2010.

As Patient Care Ombudsman, Mr. McMurray is responsible for
monitoring the quality of patient care as TCH proceeds through its
bankruptcy, representing the interest of the patients of the
hospital and reporting to the Court every 60 days regarding the
quality of patient care provided.

Focus will support Mr. McMurray in his role as Ombudsman in the
performance of his duties and responsibilities.

Mr. McMurray has wide-ranging operational and financial expertise
in providing creative solutions for healthcare institutions in
turnaround situations.  His prior roles included Chief Operating
Officer of the Jackson Memorial Medical Center, where he directed
and coordinated its strategic reorganization, Administrator of the
Bascom Palmer Eye Institute and Chief Executive Officer of St.
Anthony's Health Care Center.

Mr. McMurray can be reached at (800) 528-8985 or via e-mail at
d.mcmurray@focusmg.com

                  About Focus Management Group

Focus Management Group -- http://www.focusmg.com/-- provides
nationwide professional services in turnaround management,
insolvency proceedings, business restructuring and operational
improvement with a senior-level team of 160 professionals.
Headquartered in Tampa, FL, with offices in Atlanta, Chicago,
Cleveland, Columbus, Dallas, Los Angeles, Philadelphia and
Washington DC, the firm provides a full portfolio of services to
distressed companies and their stakeholders, including secured
lenders and equity sponsors.

                      About Twin City Hospital

Dennison, Ohio-based Twin City Hospital filed for Chapter 11
bankruptcy protection on October 13, 2010 (Bankr. N.D. Ohio Case
No. 10-64360).  Shawn M. Riley, Esq., at McDonald Hopkins LLC,
assists the Debtor in its restructuring effort.  The Debtor
estimated its assets and debts at $10 million to $50 million.


UNIFI MANUFACTURING: Amends Sales & Services Deal With Dillon Yarn
------------------------------------------------------------------
Unifi Manufacturing, Inc., a wholly owned subsidiary of Unifi,
Inc., and Dillon Yarn Corporation, on December 20, 2010, entered
into a Third Amendment to the Sales and Services Agreement dated
as of January 1, 2007.

The Third Amendment provides that effective January 1, 2011, the
term of the Agreement will be extended for a one year term, which
will expire on December 31, 2011.  The consideration for the Sales
Services and Transitional Services to be provided by DYC to UMI
during the one year term of the Third Amendment shall be paid in
advance, in quarterly installments of $325,000 each for the first
and second calendar quarters of 2011, and in such quarterly
installments as the parties may agree to for the third and fourth
calendar quarters of 2011, not to exceed $325,000 per installment.

Stephen Wener, the Chairman of the Board of Directors of the
Registrant, is the President and Chief Executive Officer of DYC,
and together with his wife, beneficially owns 17.5% of the equity
interest in DYC.

                         About Unifi

Unifi, Inc. (NYSE: UFI) -- http://www.unifi.com/and
http://www.repreve.com/-- is a diversified producer and processor
of multi-filament polyester and nylon textured yarns and related
raw materials.  The Company adds value to the supply chain and
enhances consumer demand for its products through the development
and introduction of branded yarns that provide unique performance,
comfort and aesthetic advantages.  Key Unifi brands include, but
are not limited to: AIO(R) - all-in-one performance yarns,
SORBTEK(R), A.M.Y.(R), MYNX(R) UV, REPREVE(R), REFLEXX(R),
MICROVISTA(R) and SATURA(R). Unifi's yarns and brands are readily
found in home furnishings, apparel, legwear, and sewing thread, as
well as industrial, automotive, military, and medical
applications.

As reported by the Troubled Company Reporter on November 20, 2009,
Moody's Investors Service revised Unifi, Inc.'s ratings outlook to
stable from negative.  Moody's affirmed the company's Caa1
Corporate Family and Probability of Default Ratings, and the Caa2
rating on its senior secured notes due 2014.

Standard & Poor's Ratings Services said that it placed its
ratings, including the 'B-' corporate credit rating, on
Greensboro, N.C.-based Unifi Inc. on CreditWatch with positive
implications.

Moody's Investors Service upgraded Unifi Inc.'s Corporate Family
Rating and Probability of Default ratings to B3 from Caa1.
Concurrently, the rating on Unifi's 11.5% senior secured notes was
upgraded to Caa1 from Caa2.  The ratings outlook is positive.

Standard & Poor's Ratings Services said that it raised its
corporate credit and senior secured debt ratings on Greensboro,
N.C.-based Unifi Inc. to 'B' from 'B-'.


UNITED CONTINENTAL: Files Investor Update for Q4 & FY 2010
----------------------------------------------------------
United Continental Holdings Inc. filed an investor update that
provides forward-looking information about the Company for the
fourth quarter and full year of 2010.  All year over year
comparisons are based on the pro-forma combined company financial
statements published in the Company's Investor Update on Nov. 22,
2010.

The Company estimated its fourth quarter consolidated passenger
unit revenue to be up 9.75% to 10.75% year-over-year, and mainline
PRASM to be up 11.0% to 12.0% year-over-year.

The Company also estimated its fourth quarter consolidated
available seat miles to be up 4.2% and full year ASM to be up 1.1%
year-over-year.

A full-text copy of the regulatory filing is available for free
at http://ResearchArchives.com/t/s?7163

                  About United Continental

United Continental Holdings, Inc. (NYSE: UAL) --
http://www.UnitedContinentalHoldings.com/, http://www.united.com/
and http://www.continental.com/-- is the holding company for both
United Airlines and Continental Airlines.  Together with United
Express, Continental Express and Continental Connection, these
airlines operate a total of approximately 5,800 flights a day to
371 airports throughout the Americas, Europe and Asia from their
hubs in Chicago, Cleveland, Denver, Guam, Houston, Los Angeles,
New York, San Francisco, Tokyo and Washington, D.C.  United and
Continental are members of Star Alliance, which offers more than
21,200 daily flights to 1,172 airports in 181 countries worldwide
through its 28 member airlines. United's and Continental's more
than 80,000 employees reside in every U.S. state and in many
countries around the world.

United Continental carries 'B2' corporate family and probability
of default ratings, with stable outlook, from Moody's, 'B' issuer
credit ratings, with stable outlook, from Standard & Poor's, and
'B-' issuer default rating from Fitch.

UAL Corp filed for Chapter 11 protection on Dec. 9, 2002 (Bankr.
N.D. Ill. Case No. 02-48191).  James H.M. Sprayregen, Esq., Marc
Kieselstein, Esq., David R. Seligman, Esq., and Steven R. Kotarba,
Esq., at Kirkland & Ellis, represented the Debtors in their
restructuring efforts.  Fruman Jacobson, Esq., at Sonnenschein
Nath & Rosenthal LLP represented the Official Committee of
Unsecured Creditors.  Judge Eugene R. Wedoff confirmed a
reorganization plan for United on Jan. 20, 2006.  The Company
emerged from bankruptcy on Feb. 1, 2006.

At June 30, 2010, UAL had $20.134 billion in total assets against
total current liabilities of $8.573 billion, long-term debt of
$6.281 billion, long-term obligations under capital leases of
$1.01 billion, other liabilities and deferred credits of
$7.022 billion, and a stockholders' deficit of $2.756 billion.


US AIRWAYS: Gets 14,000 Applicants for Flight-Attendant Jobs
------------------------------------------------------------
US Airways Group, Inc., received 14,000 applications for 420
flight attendants positions, according to Bloomberg News.

"We're obviously thrilled, not just with the volume but also the
quality and passion and enthusiasm these applicants have for
these jobs," Jim Olson, a spokesman for US Airways, said in an
interview, Bloomberg related.  "The response also shows that
being a flight attendant is a highly desirable position."

According to the report, US Airways is adding attendants and
pilots next year to cover expected retirements and attrition, the
integration of larger planes into its fleet, and more
international flying.

Meanwhile, US Airways President Scott Kirby presented at the 2010
Hudson Securities Airline Conference on December 8, 2010.  Mr.
Kirby's presentation was webcast live at http://www.usairways.com/
An archive of the webcast is available on the company's Web site
until Jan. 8, 2011.  Listeners to the webcast will need a current
version of Media Player or RealPlayer software and at least a
28.8 kbps connection to the Internet.

                         About US Airways

US Airways -- http://www.usairways.com/-- along with US Airways
Shuttle and US Airways Express, operates more than 3,000 flights
per day and serves more than 190 communities in the U.S., Canada,
Mexico, Europe, the Middle East, the Caribbean, Central and South
America.

Under a Chapter 11 plan declared effective on March 31, 2003,
USAir emerged from bankruptcy with the Retirement Systems of
Alabama taking a 40% equity stake in the deleveraged carrier in
exchange for $240 million infusion of new capital.

US Airways and its subsidiaries filed another Chapter 11 petition
on September 12, 2004 (Bankr. E.D. Va. Case No. 04-13820).  Brian
P. Leitch, Esq., Daniel M. Lewis, Esq., and Michael J. Canning,
Esq., at Arnold & Porter LLP, and Lawrence E. Rifken, Esq., and
Douglas M. Foley, Esq., at McGuireWoods LLP, represented the
Debtors in their restructuring efforts.  The USAir II bankruptcy
plan became effective on September 27, 2005.  The Debtors
completed their merger with America West on the same date. (US
Airways Bankruptcy News; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).

                           *     *     *

US Airways Group carries Moody's "Caa1" Long-Term rating, LT Corp.
family rating and probability of default rating.  Outlook is
negative.

US Airways Group carries Standard & Poor's "B-" LT Foreign Issuer
Credit rating and LT Local Issuer credit rating.  Outlook is also
negative.

US Airways Group carries Fitch's "CCC" LT Issuer default rating
and "C" Senior unsecured debt rating.  Outlook is also negative.


US AIRWAYS: Shares Rank Highest in Industry's Debt-Equity Ratio
---------------------------------------------------------------
US Airways Group ranked the highest in terms of debt to equity
ratio in the airlines industry, according to a Dec. 17, 2010
report by SmarTrend at zacks.com.

The Debt/Equity ratio measures a company's leverage and a high
level often implies that a company has financed much of its
growth with debt, says the report.

The top five companies in the Airlines industry, as measured by
their Debt to Equity ratio, are:

  * US Airways Group (NYSE:LCC) has a Debt/Equity ratio of
    59.84x based on total debt of $4.4 billion.

  * Delta Air Lines (NYSE:DAL) has a Debt/Equity ratio of 21.49x
    based on total debt of $15.4 billion.

  * Pinnacle Airlines (NASDAQ:PNCL) has a Debt/Equity ratio of
    5.37x based on total debt of $658.9 million.

  * Republic Airways Holdings (NASDAQ:RJET) has a Debt/Equity
    ratio of 5.17x based on total debt of $2.6 billion.

  * Lan Airlines (NYSE:LFL) has a Debt/Equity ratio of 2.57x
    based on total debt of $3.1 billion.

                         About US Airways

US Airways -- http://www.usairways.com/-- along with US Airways
Shuttle and US Airways Express, operates more than 3,000 flights
per day and serves more than 190 communities in the U.S., Canada,
Mexico, Europe, the Middle East, the Caribbean, Central and South
America.

Under a Chapter 11 plan declared effective on March 31, 2003,
USAir emerged from bankruptcy with the Retirement Systems of
Alabama taking a 40% equity stake in the deleveraged carrier in
exchange for $240 million infusion of new capital.

US Airways and its subsidiaries filed another Chapter 11 petition
on September 12, 2004 (Bankr. E.D. Va. Case No. 04-13820).  Brian
P. Leitch, Esq., Daniel M. Lewis, Esq., and Michael J. Canning,
Esq., at Arnold & Porter LLP, and Lawrence E. Rifken, Esq., and
Douglas M. Foley, Esq., at McGuireWoods LLP, represented the
Debtors in their restructuring efforts.  The USAir II bankruptcy
plan became effective on September 27, 2005.  The Debtors
completed their merger with America West on the same date. (US
Airways Bankruptcy News; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).

                           *     *     *

US Airways Group carries Moody's "Caa1" Long-Term rating, LT Corp.
family rating and probability of default rating.  Outlook is
negative.

US Airways Group carries Standard & Poor's "B-" LT Foreign Issuer
Credit rating and LT Local Issuer credit rating.  Outlook is also
negative.

US Airways Group carries Fitch's "CCC" LT Issuer default rating
and "C" Senior unsecured debt rating.  Outlook is also negative.


USG CORP: Amends Credit Agreement With JPMorgan Chase
-----------------------------------------------------
USG Corporation entered into the Third Amendment and Restatement
Agreement, dated as of December 21, 2010, with JPMorgan Chase
Bank, N.A., as Administrative Agent, Issuing Agent and Swingline
Lender, and various lenders pursuant to which the Company's Second
Amended and Restated Credit Agreement, dated as of January 7,
2009, was amended and restated as the Third Amended and Restated
Credit Agreement, dated as of December 21, 2010, among the
Company, as borrower, the Administrative Agent, the lenders and
Bank of America, N.A. and Wells Fargo Bank, N.A., as Co.,
Syndication Agents.

The Credit Agreement is secured by trade receivables and inventory
of the Company and the Company's material domestic subsidiaries.
The Credit Agreement allows for revolving loans and letters of
credit in an aggregate principal amount not to exceed the lesser
of:

    i) $400 million and

   ii) a borrowing base determined by reference to the trade
       receivables and inventory of the Company and the
       Guarantors.

The maximum allowable borrowings may be increased at the request
of the Company and with the agreement of the lenders agreeing to
provide increased or new lending commitments, provided that the
maximum allowable borrowings after giving effect to the increase
may not exceed $600 million.

The Revolving Loans bear interest at a floating rate based upon
the Alternate Base Rate or, at the option of the Company, the
Adjusted LIBO rate plus 3.00%. The Company may prepay the
Revolving Loans under the Credit Agreement in its discretion
without premium or penalty.  The Credit Agreement terminates on
December 21, 2015, unless terminated earlier in accordance with
its terms, including if by May 2, 2014, the Company's senior notes
maturing in 2014 are not repaid, their payment is not provided for
or their maturity has not been extended until at least 2016 unless
the Company then has liquidity of at least $500 million.

The Credit Agreement also provides for Revolving Loans that, at
the request of the Company and in the Administrative Agent's
discretion, result in borrowings that exceed the maximum allowable
borrowings under the Credit Agreement.

Overadvances may not exceed $25 million, may not remain
outstanding for more than 30 days and bear interest at a floating
rate based upon the Alternate Base Rate plus 5.00%.

The Credit Agreement contains a covenant that would require the
Company to maintain a minimum fixed charge coverage ratio of 1.1
to 1.0 if and for so long as Excess Availability is less than the
greater of (a) $40 million and (b) 15% of the lesser of (i) the
aggregate revolving commitments at such time and (ii) the
borrowing base at such time.  The Credit Agreement also contains
customary representations and warranties and usual and customary
affirmative and negative covenants that, among other things,
restrict the Company's and certain of its subsidiaries' ability,
in certain circumstances, to (1) incur indebtedness, (2) create
liens, (3) merge or consolidate with certain entities, (4) engage
in any business other than business of the type or reasonably
related to the type conducted on the date of the Credit Agreement,
(5) sell, transfer, lease or otherwise dispose of all or
substantially all of their assets, (6) issue or sell equity
interests of certain of the Company's subsidiaries, (7) make
certain investments, loans or advances, (8) engage in sale-
leaseback transactions, (9) enter into certain swap or similar
agreements, (10) make certain dividends, distributions,
repurchases and other restricted payments and (11) engage in
certain affiliate transactions.

The Credit Agreement also contains certain customary events of
default, including, but not limited to, the failure to make
required payments, material breaches of representations or
warranties, the failure to observe certain covenants or
agreements, the failure to pay or default of certain other
indebtedness, the failure to maintain the guarantee pursuant to
the Guarantee Agreement described below, certain adverse material
monetary judgments, bankruptcy, insolvency and a change of
control. Borrowings under the Credit Agreement are subject to
acceleration upon the occurrence of events of default.

In connection with the Credit Agreement, the Company and the
Guarantors reaffirmed their obligations under the Guarantee
Agreement, dated as of January 7, 2009, among the Company, the
Guarantors and the Administrative Agent, pursuant to which the
Company and the Guarantors guarantee the obligations of the
Company under the Credit Agreement and the Guarantors under the
Guarantee Agreement.

In connection with the Credit Agreement, the Company and the
Guarantors also reaffirmed their obligations under the Pledge and
Security Agreement, dated as of January 7, 2009, among the
Company, the Guarantors and the Administrative Agent, pursuant to
which the Company and Guarantors granted a security interest in
all trade receivables and inventory, and proceeds in respect
thereof, and all related deposit accounts to the Administrative
Agent as collateral for borrowings under the Credit Agreement and
the obligations under the Guarantee Agreement.

                         About USG Corp.

USG Corporation, headquartered in Chicago, Illinois, is a leading
producer and distributor of building materials in the Unites
States, Canada and Mexico.  The company manufactures and markets
gypsum wallboard and operates a specialty distribution business
that sells to professional contractors.  It also manufactures
ceiling tiles and ceiling grids used primarily in commercial
applications.  Revenues for the last 12 months through March 31,
2010, totaled approximately $3.1 billion.

                           *     *     *

As reported by the Troubled Company Reporter on November 8, 2010,
Moody's Investors Service assigned a B2 rating to USG
Corporation's new senior unsecured notes, and affirmed its Caa1
Corporate Family Rating and Caa1 Probability of Default Rating.
USG's speculative grade liquidity rating remains SGL-3.  The
outlook is stable.

The Caa1 Corporate Family Rating results from weak operating
performance.  Low capacity utilization rates of approximately 45%
at its gypsum manufacturing facilities make it difficult for USG
to overcome its high fixed costs.  Moody's projects that potential
demand increases for wallboard from North American new home
construction and repair and remodeling will not be adequate to
generate sufficient volumes and operating profits to cover USG's
interest expense over the intermediate term.  Furthermore, the
non-residential construction end market, which accounts for about
30% of USG's revenues, is expected to face stagnant growth well
into 2011.  The amount of profits derived from the company's
worldwide ceilings business is not enough to make up shortfalls in
the gypsum and distribution businesses.  For the last twelve
months through September 30, 2010, operating margins remain
substandard at negative 4.9% and leverage is very high at debt-to-
EBITDA of 27.2 times.  The company's inability to generate
positive earnings will result in very weak credit metrics for the
foreseeable future and will require cash to fund operating
shortfalls.


VAST COMPANIES: Court Converts Involuntary Case to Chapter 7
------------------------------------------------------------
The Hon. George B. Nielsen of the U.S. Bankruptcy Court for the
District of Arizona converted the involuntary Chapter 11 case of
Vast Companies, LLC, to a liquidation case under Chapter 7.  The
Debtor failed to appear with counsel and failed to show the
necessary cause to continue under Chapter 11.

The office of the U.S. Trustee appointed Diane M. Mann as Chapter
7 trustee.  Steve Brown & Associates, LLC, represents the Chapter
7 trustee.

Mike Hickey and James F. Guthrie filed an Involuntary Chapter 11
petition for Tempe, Arizona-based Vast Companies, LLC, on
March 30, 2010 (Bankr. D. Ariz. Case No. 10-08793).


VITRO SAB: Mexico Judge Accepts Pre-packaged Insolvency Filing
--------------------------------------------------------------
Vitro SAB de CV said Monday the Judge of Fourth Civil and Labor
District Court cited in the city of Monterrey, Nuevo Leon, in
Mexico, consented the insolvency application with restructuring
plan submitted by the Company.

Alejandro Sanchez Mujica, Vitro's General Counsel, said "This is a
very important step in our orderly restructuring process, aimed to
create value for the majority of creditors within a shorter period
than the one to be achieved through an involuntary proceeding,
since it allows to go directly into the conciliation stage,
arriving sooner to the credit acceptance stage and finally vote on
the proposed restructuring plan."

In a statement Vitro said the acceptance by the judge of the
insolvency proceeding with restructuring plan is a major
breakthrough for the majority of creditors and other stakeholders
interested in the Company moving forward in this process as soon
as possible, as it opens a more expeditious solution than the one
intended by a minority group of funds whose interests differ from
those of the majority that expects a successful concluding
restructuring.  This process will increase the value of their
investment -- higher value of the new debt -- and give the company
long term viability, preserving the source of employment and
Vitro's competitiveness.

For further information, please contact:

          Adrian Meouchi
          Carlos Garza
          Vitro S.A.B. de C.V.
          Telephone: + (52) 81-8863-1765 / 1730
          E-mail: ameouchi@vitro.com
                  cgarza@vitro.com

               - and -

          Albert Chico
          Roberto Riva Palacio
          Vitro, S.A.B. de C.V.
          Telephone: + (52) 81-8863-1661/ 1689
          E-mail: achico@vitro.com
                  rriva@vitro.com

               - and -

          Susan Borinelli
          Barbara Cano
          Breakstone Group
          Telephone: (646) 330-5907
          E-mail: sborinelli@breakstone-group.com
                   bcano@breakstone-group.com

                         About Vitro SAB

Headquartered in Monterrey, Mexico, Vitro, S.A.B. de C.V. (BMV:
VITROA; NYSE: VTO), through its two subsidiaries, Vitro Envases
Norteamerica, SA de C.V. and Vimexico, S.A. de C.V., is a global
glass producer, serving the construction and automotive glass
markets and glass containers needs of the food, beverage, wine,
liquor, cosmetics and pharmaceutical industries.

Vitro is the largest manufacturer of glass containers and flat
glass in Mexico, with consolidated net sales in 2009 of Ps. 23,991
million ($1.837 billion).

Vitro defaulted on its debt in 2009, and is now seeking to
restructure around $1.5 billion in debt, including $1.2 billion in
notes.

Vitro launched an offer to buy back or swap US$1.2 billion in debt
from bondholders.  The tender offer would be consummated with a
bankruptcy filing in Mexico and Chapter 15 filing in the United
States.  Vitro said noteholders would recover as much as 73% by
exchanging existing debt for cash, new debt or convertible bonds.
The offer was to expire December 7.

Noteholders who oppose the exchange, namely Knighthead Master
Fund, L.P., Lord Abbett Bond-Debenture Fund, Inc., Davidson
Kempner Distressed Opportunities Fund LP, and Brookville Horizons
Fund, L.P. -- which hold US$75 million, or approximately 6% of the
outstanding bond debt -- commenced involuntary bankruptcy cases
under Chapter 11 of the U.S. Bankruptcy Code against Vitro Asset
Corp. (Bankr. N.D. Tex. Case No. 10-47470) and nine other
affiliates on November 17, 2010.

Vitro engaged Susman Godfrey, L.L.P. as U.S. special litigation
Counsel to analyze the potential rights that Vitro may exercise in
the United States against the ad hoc group of dissident
bondholders and its advisors.

A larger group of noteholders, known as the Ad Hoc Group of Vitro
Noteholders -- comprised of holders, or investment advisors to
holders, which represent approximately $650 million of the Senior
Notes due 2012, 2013 and 2017 issued by Vitro -- was not among the
Chapter 11 petitioners, although the group has expressed concerns
over the exchange offer.  The group says the exchange offer
exposes Noteholders who consent to potential adverse consequences
that have not been disclosed by Vitro.  The group is represented
by John Cunningham, Esq., and Richard Kebrdle, Esq. at White &
Case LLP.

The U.S. affiliates subject to the involuntary petitions are
Vitro Chemicals, Fibers & Mining, LLC (Bankr. N.D. Tex. Case
No. 10-47472); Vitro America, LLC (Bankr. N.D. Tex. Case No.
10-47473); Troper Services, Inc. (Bankr. N.D. Tex. Case No.
10-47474); Super Sky Products, Inc. (Bankr. N.D. Tex. Case No.
10-47475); Super Sky International, Inc. (Bankr. N.D. Tex. Case
No. 10-47476); VVP Holdings, LLC (Bankr. N.D. Tex. Case No.
10-47477); Amsilco Holdings, Inc. (Bankr. N.D. Tex. Case No.
10-47478); B.B.O. Holdings, Inc. (Bankr. N.D. Tex. Case No.
10-47479); Binswanger Glass Company (Bankr. N.D. Tex. Case No.
10-47480); Crisa Corporation (Bankr. N.D. Tex. Case No. 10-47481);
VVP Finance Corporation (Bankr. N.D. Tex. Case No. 10-47482); VVP
Auto Glass, Inc. (Bankr. N.D. Tex. Case No. 10-47483); V-MX
Holdings, LLC (Bankr. N.D. Tex. Case No. 10-47484); and Vitro
Packaging, LLC (Bankr. N.D. Tex. Case No. 10-47485).

Vitro SAB on December 13, 2010, filed its voluntary petition for a
pre-packaged Concurso Plan in the Federal District Court for Civil
and Labor Matters for the State of Nuevo Leon, thereby commencing
its voluntary concurso mercantil proceedings.  Vitro SAB believes
that, as a result of the implementation of the Concurso Plan
through the Mexican Proceeding, the holders of the Restructured
Debt will recover 68% to 75% of the face value of their respective
claims.

Vitro SAB also commenced parallel proceedings under Chapter 15 of
the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No. 10-16619) in
Manhattan on December 13, 2010, to seek U.S. recognition and
deference to its bankruptcy proceedings in Mexico.

Alejandro Francisco Sanchez-Mujica, as foreign representative of
Vitro, has asked the U.S. Bankruptcy Court to enter an order
recognizing the Mexican Proceeding as "foreign main proceeding"
pursuant to 11 U.S.C. Secs. 1515 and 1517.


WADE STOUT WILLIAMS: Agrees to Plan Discovery With Creditors
------------------------------------------------------------
Wade Stout Williams and PAC Outsourcing, LLC, agree to certain
discovery procedures with creditors Cresta Miller and PAC
Services, LLC, in connection with the disclosure statement
explaining the Debtors' Amended Joint Plan of Reorganization,
filed on October 18, 2010, and the Debtors' Amended Joint Plan of
Reorganization, filed on October 18, 2010.  The parties agree to
produce certain business, financial and other information which
they consider proprietary or confidential.  A copy of the
Stipulated Confidentiality and Protective Order, dated December
23, 2010, signed by Bankruptcy Judge Wendelin I. Lipp, is
available at http://is.gd/jxsBKfrom Leagle.com.

Cresta Miller and PAC Services are represented by:

           Paul Sweeney, Esq.
           LOGAN, YUMKAS, VIDMAR & SYBENEY, LLC
           2530 Riva Road, Suite 400
           Annapolis, MD 21401
           Telephone: (443) 569-5972
           Facsimile: (410) 571-2798
           Email: psweeney@loganyumkas.com

Wade Stout Williams and PAC Outsourcing, LLC, filed for Chapter 11
bankruptcy protection (Bankr. D. Md. Case Nos. 09-19427 and 09-
19429) on May 27, 2009.  Ronald Drescher, Esq. --
rondrescher@drescherlaw.com -- in Baltimore, Maryland, represents
the Debtors as counsel.


WASHINGTON MUTUAL: ANIC Challenges Lower Court's Injunction Ruling
------------------------------------------------------------------
Bankruptcy Law360 reports that American National Insurance Co. has
told a federal appeals court that a lower court improperly barred
it from pursuing claims that JPMorgan Chase & Co. obtained an
unlawful profit of at least $1.9 billion through a scheme to strip
away the contract rights of bondholders in Washington Mutual Bank
NA.

                       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.

Washington Mutual Bank was taken over on Sept. 25, 2008, 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.  When WaMu filed for
protection from its creditors, it disclosed assets of
$32,896,605,516 and debts of $8,167,022,695.  WMI Investment
estimated assets of $500 million to $1 billion with zero debts.

WaMu is represented by Brian Rosen, Esq., at Weil, Gotshal &
Manges LLP in New York City; Mark D. Collins, Esq., at Richards,
Layton & Finger P.A. in Wilmington, Del.; and Peter Calamari,
Esq., and David Elsberg, Esq., at Quinn Emanuel Urquhart Oliver &
Hedges, LLP.  Fred S. Hodera, Esq., at Akin Gump Strauss Hauer &
Fled LLP in New York City and David B. Stratton, Esq., at Pepper
Hamilton LLP in Wilmington, Del., represent the Official Committee
of Unseucred Creditors.  Stephen D. Susman, Esq., at Susman
Godfrey LLP and William P. Bowden, Esq., at Ashby & Geddes, P.A.,
represent the Equity Committee.  Stacey R. Friedman, Esq., at
Sullivan & Cromwell LLP and Adam G. Landis, Esq., at Landis Rath &
Cobb LLP in Wilmington, Del., represent JPMorgan Chase, which
acquired WaMu's assets prior to the Petition Date.


WASTE2ENERGY: Misses $55,000 Payment on Sr. Convertible Debentures
------------------------------------------------------------------
A total of $55,000 of principal amount of Waste2Energy Holdings
Inc.'s 12% Senior Convertible Debentures became due December 18,
2010.

The Company did not make the required payment on the Maturity Date
or by the cure period provided by the Debentures and as result an
Event of Default under the Debentures has occurred.  As a result
of the Event of Default, the outstanding principal amount of the
Debentures plus accrued but unpaid interest, liquidated damages
and other amounts owing in respect thereof through the date of the
acceleration shall become at the election of the holder of the
Debenture immediately due and payable in cash at the Mandatory
Default Amount.  Commencing 5 days after the occurrence of any
Event of Default that results in the eventual acceleration of the
Debenture, the interest rate on the Debenture shall accrue at an
interest rate equal to the lesser of 17% per annum or the maximum
rate permitted under applicable law.

As used in the Debentures, Mandatory Default Amount means the sum
of (a) the outstanding principal amount of the Debenture, plus
all accrued and unpaid interest hereon, divided by the Conversion
Price of the Debenture on the date the Mandatory Default Amount
is either (A) demanded or otherwise due or (B) paid in full,
whichever has a lower Conversion Price, multiplied by the VWAP  on
the date the Mandatory Default Amount is either (x) demanded or
otherwise due or (y) paid in full, whichever has a higher VWAP,
and (b) all other amounts, costs, expenses and liquidated damages
due in respect of this Debenture.  Subject to the terms of the
Debenture, the VWAP is the most recent bid price per share of the
Common Stock reported in the "Pink Sheet" published by Pink OTC
Markets Inc.

                  About Waste2Energy Holdings

Greenville, S.C.-based Waste2Energy Holdings, Inc. (Pink Sheets:
WTEZ) -- http://www.waste2energy.com/-- is a "cleantech"
technology company that designs, builds, installs and sells waste
to energy plants that generate "Renewable Green Power" converting
biomass or other solid waste streams traditionally destined for
landfills into clean renewable energy.

The Company's balance sheet at June 30, 2010, showed $3.4 million
in total assets, $11.7 million in total liabilities, and a
stockholders' deficit of $8.3 million.

As reported in the Troubled Company Reporter on July 19, 2010,
Marcum LLP, in New York, expressed substantial doubt the Company's
ability to continue as a going concern, following its results for
the fiscal year ended March 31, 2010.  The independent auditors
noted that the Company has incurred a significant loss from
continuing operations of $11.7 million and used cash of
$5.2 million for continuing operations which resulted in an
accumulated deficit of $30.4 million and a working capital
deficiency of $6.6 million as of March 31, 2010.

                              Default

On October 30, 2010, a total of $87,500 of principal amount of the
Company's 12% Senior Convertible Debentures became due.  On
November 2, 2010, $40,000 of principal amount of the Debentures
became due.  The Company did not make the required payment on the
maturity date or by the cure period provided by the Debentures and
as result an Event of Default under the Debentures has occurred.
As a result of the Event of Default, the outstanding principal
amount of the Debentures plus accrued but unpaid interest,
liquidated damages and other amounts owing in respect thereof
through the date of the acceleration will become at the election
of the holder of the Debenture immediately due and payable in cash
at the Mandatory Default Amount.


WEST SHORE: Wants Ch. 11 Case Dismissed After Bank Foreclosure
--------------------------------------------------------------
West Shore Resort Properties III, LLC, asks the U.S. Bankruptcy
Court for the District of Nevada to dismiss its Chapter 11 case.

The Debtor related that the Court granted secured creditor
American California Bank a relief of automatic stay with respect
to its property in Placer County, California.  On October 7, 2010,
American California conducted a non-judicial foreclosure sale of
the property, the primary asset of the estate.

The Debtor also relates that it has withdrawn its disclosure
statement.

As reported in the Troubled Company Reporter on August 10, the
Disclosure Statement provided that the Debtor would operate the
property located at West Lake Boulevard, Homewood, California,
post-confirmation, as part of a greater resort concept in
conjunction with some or all of the other property.  The net
income form the property and voluntary contributions from the
other property would be used to fund the Plan.

Under the Plan, the property, along with the other property, would
informally combine to create a destination resort with amenities
and accommodations, well as multiple venue options for any type of
private gatherings.  The Debtor would also complete the remaining
units in the Development Plan.  The property would be sold or
refinanced, provided the sales or refinance is in sufficient
amount to pay all AMCal in full.

A full-text copy of the Disclosure Statement is available for free
at http://bankrupt.com/misc/WestShore_DS.pdf

                About West Shore Resort Properties

Reno, Nevada-based West Shore Resort Properties III, LLC, owns and
operates certain property located at 5110, 5130, and 5140 West
Lake Boulevard, Homewood, California.  The Company filed for
Chapter 11 bankruptcy protection on March 30, 2010 (Bankr. D.
Nev. Case No. 10-51101).  Sallie B. Armstrong, Esq., in Reno,
Nevada, represents the Debtor.  The Debtor disclosed $28,000,000
in assets, and $15,830,906 in liabilities.


WESTMORELAND RESOURCES: Renews Revolving Line of Credit With FIB
----------------------------------------------------------------
Effective December 17, 2010, Westmoreland Resources Inc., a wholly
owned subsidiary of Westmoreland Coal Company, entered into a one-
year renewal of its revolving line of credit with First Interstate
Bank, Billings, Montana.  All other terms of the borrowing remain
the same during the renewal period.  Outstanding borrowings at
December 17, 2010, were $19.6 million.

                      About Westmoreland Coal

Colorado Springs, Colo.-based Westmoreland Coal Company is an
energy company whose operations include five surface coal mines in
Montana, North Dakota and Texas and two coal-fired power-
generating units with a total capacity of 230 megawatts in North
Carolina.  The Company sold 24.3 million tons of coal in 2009.
The Company's two principal operating segments are its coal
segment and its power segment, in addition to two non-operating
segments.

As reported in the Troubled Company Reporter on March 15, 2010,
KPMG LLP, in Denver, expressed substantial doubt about the
Company's ability to continue as a going concern.  The independent
auditors noted that of the Company's recurring losses from
operations, working capital deficit and net capital deficiency.


WHITNEY HOLDING: Fitch Puts BB+ Rating on Evolving Watch
--------------------------------------------------------
Fitch Ratings has placed Whitney Holding Corp.'s ratings including
its respective 'BBB' and 'F2' long- and short-term Issuer Default
Ratings on Rating Watch Evolving.  The action follows the
announcement that WTNY and Gulfport, MS based Hancock Holding
Company has entered into a definitive merger agreement.  While
Fitch does not currently rate HBHC, Fitch believes the combined
company would likely be rated investment grade.

The all stock deal creates a company with approximately
$20 billion in assets, $16 billion in deposits and over 300
branches in five contiguous states bordering the Gulf of Mexico.
The merger is expected to close in the second quarter of 2011 with
a $200 million capital raise anticipated to maintain sound capital
ratios and facilitate the payoff of WTNY's $300 million in TARP.
The company has projected an 8.6% tangible common equity ratio at
close.

HBHC has positively differentiated itself during this downturn by
remaining profitable with NCOs and NPAs below many peer
comparisons, especially for a banking company based in the
Southeast.  WTNY has remained under pressure from asset quality
challenges which have hampered the company's return to
profitability with Fitch's expectation that elevated pressure from
loan losses would have likely continued into 2011.  WTNY's current
ratings reflect the company's elevated level of problem loans and
operating performance relative to other similarly rated peers.
HBHC is expected to take an approximate $447 million credit mark
representing 6% of WTNY's $7.5 billion loan portfolio (less loans
already identified for bulk sale) with higher marks in commercial
real estate and construction and development loans.

While there are apparent synergies and potential cost saves, this
is a major acquisition for HBHC and integration remains a
substantive risk.  While both company's have acquisition
experience, neither have completed a merger of this scope.  The
loan portfolio of the combined entity will be more balanced with
HBHC's more consumer focused book combining with WTNY's more
commercially-oriented loan portfolio.  The combined company will
still have a large percentage of loans in CRE and construction at
44% of combined loans.  Fitch notes that HBHC's performance in
this area has been relatively better than peers and WTNY has
continued to work through its problems in this area, however,
Fitch expects CRE loans to remain challenging for the industry.

WTNY is an $11.9 billion holding company based in New Orleans, LA,
with branches in Louisiana, Mississippi, Alabama, Florida and
Texas.  Headquartered in Gulfport, Miss., HBHC is an $8.2 billion
in assets company with branches in Mississippi, Louisiana,
Alabama, and Florida.

These ratings have placed on Rating Watch Evolving:

Whitney Holding Corporation

  -- Long term IDR 'BBB';
  -- Short-term IDR 'F2';
  -- Individual 'C';
  -- Preferred stock 'BB+'.

Whitney National Bank

  -- Long term IDR 'BBB';
  -- Long-term deposits 'BBB+';
  -- Short-term IDR 'F2';
  -- Short-term Deposits 'F2';
  -- Subordinated debt 'BBB-';
  -- Individual 'C'.

These ratings have been affirmed:

Whitney Holding Corporation
Whitney National Bank

  -- Support at '5'
  -- Support Floor at 'NF'


ZURVITA HOLDINGS: Earns $1.8 Million in October 31 Quarter
----------------------------------------------------------
Zurvita Holdings, Inc., filed its quarterly report on Form 10-Q,
reporting net income of $1.8 million on $1.3 million of revenues
for the three months ended October 31, 2010, compared with a net
loss of $5.6 million on $1.2 million of revenues for the same
period ended October 31, 2009.  The increase in net income is
primarily attributable to non-cash unrealized gains recognized on
fair valuing the Company's outstanding liability warrants.

The Company's balance sheet at October 31, 2010, showed
$1.5 million in total assets, $6.5 million in total liabilities,
$4.5 million in redeemable preferred stock, and a stockholders'
deficit of $9.5 million.

At October 31, 2010, the Company had negative working capital of
roughly $62,000, an accumulated deficit of roughly $19.4 million
and negative cash flows from operating activities of roughly
$1.3 million.

Meeks International, LLC, in Tampa, Fla., expressed substantial
doubt about Zurvita Holdings' ability to continue as a going
concern, following the Company's results for the fiscal year ended
July 31, 2010.  The independent auditors noted that the Company
has suffered recurring losses from operations and has not
generated sufficient cash flows from operations to meet its needs.

A full-text copy of the Form 10-Q is available for free at:

               http://researcharchives.com/t/s?7161

Based in Houston, Tex., Zurvita Holdings, Inc., is a direct sales
marketing company offering high-quality products and services
targeting individuals, families and small businesses.


* Experts Say Pension Costs to Force Munis Into Ch. 9 Bankruptcy
----------------------------------------------------------------
The Wall Street Journal's Michael Corkery reports that legal and
municipal-finance experts say rising pension costs, combined with
dwindling state and federal aid, could push more cities into
bankruptcy or at least raise the prospect as possible leverage in
contract negotiations with public workers.

"Right now we are looking at a major squeeze on municipalities and
I would fully expect more cases to be filed than traditionally
have been," said David Skeel, a professor at the University of
Pennsylvania Law School who focuses on bankruptcy law, according
to the Journal.

According to the report, Mr. Skeel said the question of whether a
municipality can cut benefits to current retirees is a "big issue"
emerging from the smattering of recent cases in Chapter 9, which
provides a route for municipal bankruptcies.  The Journal notes
Mr. Skeel recently wrote a widely circulated article advocating
that states be allowed to file for bankruptcy, which is currently
not permitted under Chapter 9.

The Journal's Mr. Corkery, however, notes the municipal-bond
industry insists Chapter 9 bankruptcy filings will remain rare.
There were 10 municipal filings in 2009 and five so far this year,
according to James Spiotto, Esq., a lawyer at Chapman & Cutler.
Since the law was created in the 1930s, there have been only about
600 cases.

In recent decades, bondholders in the $2.8 trillion municipal
market have largely escaped big losses in Chapter 9 cases because
much of their debt has been secured by special liens and tax
pledges that are protected, said Mr. Spiotto, the Journal relates.


* WSJ Analysis Shows 98 TARP-Recipient Banks in Trouble
-------------------------------------------------------
Dow Jones' Newswires' Michael Rapoport reports that nearly 100
U.S. banks that got bailout funds from the federal government show
signs they are in jeopardy of failing.  The total, based on an
analysis of third-quarter financial results by The Wall Street
Journal, is up from 86 in the second quarter, reflecting eroding
capital levels, a pileup of bad loans and warnings from
regulators.  The report says the 98 banks in shaky condition got
more than $4.2 billion in infusions from the Treasury Department
under the Troubled Asset Relief Program.

Dow Jones relates the troubled banks identified by the Journal all
have either a Tier 1 capital ratio under the "well-capitalized" 6%
level; both a total risk-based capital ratio of under the "well-
capitalized" 10% threshold and nonperforming loans of over 10% of
their portfolio; or a regulatory order requiring the bank to
monitor or boost its capital.

Dow Jones relates the analysis also calculated that 814 of the
nation's 7,760 banks and savings institutions are troubled
according to these standards, up from 729 at the end of the second
quarter.  The FDIC's official list of problem banks, which uses
different criteria from the Journal's analysis, includes 860
financial institutions.  The banks aren't publicly identified.

Mr. Rapoport says a Federal Deposit Insurance Corp. spokesman
declined to comment on the Journal's analysis.

Mr. Rapoport further notes that the Government Accountability
Office said in October 78 banks on the FDIC's troubled-bank list
as of June 30 were TARP recipients, up from 47 at the end of 2009.
Dozens of TARP banks were "marginal institutions" that were
financially weaker than other recipients and should have gotten
more scrutiny before receiving taxpayer-funded infusions, the GAO
said.

Dow Jones relates that, in a response to the GAO report, the
Treasury Department said it would consider the GAO's
recommendations to improve its funding process if it ever has a
program similar to TARP again.


* Large Companies With Insolvent Balance Sheets
-----------------------------------------------

                                                          Total
                                               Total     Share-
                                   Total     Working   Holders'
                                  Assets     Capital     Equity
   Company          Ticker         ($MM)       ($MM)      ($MM)
   -------          ------        ------     -------   --------
ABRAXAS PETRO       AXAS US        178.1        (5.2)      (1.7)
ABSOLUTE SOFTWRE    ABT CN         124.2        (6.0)      (6.2)
ACCO BRANDS CORP    ABD US       1,097.3       261.9      (97.3)
AEGERION PHARMAC    AEGR US          2.9       (29.5)     (27.3)
ALASKA COMM SYS     ALSK US        624.8         2.6      (15.3)
AMER AXLE & MFG     AXL US       2,071.4        61.9     (469.1)
AMR CORP            AMR US      25,357.0    (2,102.0)  (3,643.0)
ARQULE INC          ARQL US         94.1        45.1       (9.7)
ARRAY BIOPHARMA     ARRY US        139.3        23.0     (125.2)
ARVINMERITOR INC    ARM US       2,879.0       331.0   (1,023.0)
AUTOZONE INC        AZO US       5,640.5      (584.3)    (817.2)
BLUEKNIGHT ENERG    BKEP US        296.0      (427.8)    (152.8)
BOARDWALK REAL E    BEI-U CN     2,343.6         -       (100.8)
BOARDWALK REAL E    BOWFF US     2,343.6         -       (100.8)
BOSTON PIZZA R-U    BPF-U CN       111.3         5.0     (116.3)
BRAVO BRIO RESTA    BBRG US        162.8       (28.9)     (61.5)
CABLEVISION SY-A    CVC US       7,501.6      (157.7)  (6,222.8)
CAMPUS CREST COM    CCG US         327.5         -        (60.7)
CC MEDIA-A          CCMO US     17,393.5     1,410.4   (7,219.6)
CENTENNIAL COMM     CYCL US      1,480.9       (52.1)    (925.9)
CENVEO INC          CVO US       1,393.6       220.0     (332.5)
CHENIERE ENERGY     CQP US       1,797.0        30.3     (521.9)
CHENIERE ENERGY     LNG US       2,616.5      (137.1)    (431.0)
CHOICE HOTELS       CHH US         403.3       (11.5)     (75.5)
CLEVELAND BIOLAB    CBLI US         11.9        (9.7)     (10.0)
COMMERCIAL VEHIC    CVGI US        289.3       114.0       (5.7)
CONSUMERS' WATER    CWI-U CN       869.7         9.9     (263.6)
CUMULUS MEDIA-A     CMLS US        324.1        (2.5)    (349.3)
DENNY'S CORP        DENN US        312.7       (10.7)    (102.4)
DISH NETWORK-A      DISH US      9,292.9       733.1   (1,416.5)
DISH NETWORK-A      EOT GR       9,292.9       733.1   (1,416.5)
DOMINO'S PIZZA      DPZ US         425.7       104.1   (1,241.9)
DUN & BRADSTREET    DNB US       1,727.3      (612.4)    (717.4)
EASTMAN KODAK       EK US        6,929.0     1,406.0     (213.0)
EPICEPT CORP        EPCT SS          6.7        (1.1)     (14.2)
EXELIXIS INC        EXEL US        372.9       (11.8)    (217.6)
FORD MOTOR CO       F US       180,330.0   (18,558.0)  (1,740.0)
FORD MOTOR CO       F BB       180,330.0   (18,558.0)  (1,740.0)
GENCORP INC         GY US          981.8       150.8     (224.9)
GLG PARTNERS INC    GLG US         400.0       156.9     (285.6)
GLG PARTNERS-UTS    GLG/U US       400.0       156.9     (285.6)
GRAHAM PACKAGING    GRM US       2,840.3       259.1     (580.3)
HEALTHSOUTH CORP    HLS US       1,796.9       124.3     (394.9)
HICKS ACQUISITIO    HKACU US         0.8        (0.8)      (0.1)
HOVNANIAN ENT-A     HOV US       1,817.6     1,101.9     (337.9)
HOVNANIAN ENT-B     HOVVB US     1,817.6     1,101.9     (337.9)
IDENIX PHARM        IDIX US         63.1        24.0      (21.3)
INCYTE CORP         INCY US        464.6       305.0     (128.9)
INTERMUNE INC       ITMN US        143.9        10.2      (67.7)
IPCS INC            IPCS US        559.2        72.1      (33.0)
ISTA PHARMACEUTI    ISTA US        112.2         8.8      (71.8)
JAZZ PHARMACEUTI    JAZZ US        108.0       (13.3)      (0.8)
JUST ENERGY INCO    JE-U CN      1,834.1      (578.0)    (497.2)
KNOLOGY INC         KNOL US        658.7        53.5       (5.3)
LIGAND PHARM-B      LGND US        112.6        (1.4)      (1.1)
LIGHTING SCIENCE    LSCG US         60.0        28.3     (122.4)
LIN TV CORP-CL A    TVL US         782.4        21.2     (146.9)
LORILLARD INC       LO US        3,504.0     1,665.0      (38.0)
MAINSTREET EQUIT    MEQ CN         399.4         -         (8.5)
MANNKIND CORP       MNKD US        305.1        76.5     (181.4)
MEAD JOHNSON        MJN US       2,217.6       414.5     (415.7)
MOODY'S CORP        MCO US       2,348.2       508.8     (297.6)
MORGANS HOTEL GR    MHGC US        759.1        47.0      (42.1)
NATIONAL CINEMED    NCMI US        836.1        40.5     (340.8)
NAVISTAR INTL       NAV US       9,730.0     2,246.0     (924.0)
NEWCASTLE INVT C    NCT US       3,760.1         -       (591.2)
NEXSTAR BROADC-A    NXST US        607.6        31.2     (189.9)
NORTH AMERICAN G    NMGL US          0.0        (0.1)      (0.1)
NPS PHARM INC       NPSP US        228.8       147.8     (149.8)
NYMOX PHARMACEUT    NYMX US          0.9        (1.0)      (1.8)
OTELCO INC-IDS      OTT-U CN       331.6        27.5       (3.5)
OTELCO INC-IDS      OTT US         331.6        27.5       (3.5)
PALM INC            PALM US      1,007.2       141.7       (6.2)
PDL BIOPHARMA IN    PDLI US        257.5        26.1     (304.5)
PETROALGAE INC      PALG US          5.9        (8.2)     (51.6)
PHARMATHENE INC     PIP US          21.6       (17.7)     (11.4)
PLAYBOY ENTERP-A    PLA/A US       165.8       (16.9)     (54.4)
PLAYBOY ENTERP-B    PLA US         165.8       (16.9)     (54.4)
PRIMEDIA INC        PRM US         215.5        (5.8)     (97.8)
PRIMO WATER CORP    PRMW US         29.0       (29.4)      (9.6)
PROTECTION ONE      PONE US        562.9        (7.6)     (61.8)
QUALITY DISTRIBU    QLTY US        284.3        26.9     (132.9)
QUANTUM CORP        QTM US         459.6       127.8      (83.7)
QWEST COMMUNICAT    Q US        18,959.0    (1,163.0)  (1,425.0)
REGAL ENTERTAI-A    RGC US       2,670.3       114.1     (267.3)
REVLON INC-A        REV US         794.8        86.9     (991.8)
RIGNET INC          RNET US         93.2         9.5      (11.6)
RSC HOLDINGS INC    RRR US       2,736.4      (175.7)     (37.5)
RURAL/METRO CORP    RURL US        293.7        46.4      (95.1)
SALLY BEAUTY HOL    SBH US       1,589.4       387.1     (460.3)
SINCLAIR BROAD-A    SBGI US      1,536.2        37.8     (156.0)
SINCLAIR BROAD-A    SBTA GR      1,536.2        37.8     (156.0)
SMART TECHNOL-A     SMA CN         559.1       201.9      (63.2)
SMART TECHNOL-A     SMT US         559.1       201.9      (63.2)
SPECTRAL CAPITAL    FCCN US          0.0        (0.0)      (0.0)
STEREOTAXIS INC     STXS US         47.5        (6.2)      (5.3)
SUN COMMUNITIES     SUI US       1,164.1         -       (131.0)
SWIFT TRANSPORTA    SWFT US      2,666.1       101.3     (826.2)
SYNERGY PHARMACE    SGYP US          2.7        (2.3)      (1.8)
TAUBMAN CENTERS     TCO US       2,529.7         -       (541.1)
TEAM HEALTH HOLD    TMH US         886.9         4.7      (18.2)
THERAVANCE          THRX US        212.6       161.1     (141.1)
UNISYS CORP         UIS US       2,840.1       472.1   (1,034.2)
UNITED CONTINENT    UAL US           -      (1,186.0)  (2,206.0)
UNITED RENTALS      URI US       3,744.0       188.0      (15.0)
VECTOR GROUP LTD    VGR US         859.0       245.3      (37.7)
VENOCO INC          VQ US          766.2        20.4      (94.8)
VIRGIN MOBILE-A     VM US          307.4      (138.3)    (244.2)
WARNER MUSIC GRO    WMG US       3,779.0      (592.0)    (211.0)
WEIGHT WATCHERS     WTW US       1,103.1      (377.9)    (708.2)
WHX CORP            WXCO US        374.2        62.1       (8.9)
WORLD COLOR PRES    WC CN        2,641.5       479.2   (1,735.9)
WORLD COLOR PRES    WCPSF US     2,641.5       479.2   (1,735.9)
WORLD COLOR PRES    WC/U CN      2,641.5       479.2   (1,735.9)
WR GRACE & CO       GRA US       4,209.6     1,333.7     (175.1)
YRC WORLDWIDE IN    YRCW US      2,673.1      (288.2)    (121.7)
ZOGENIX INC         ZGNX US         55.0        (0.9)     (34.5)

                           *********

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.  Marites Claro, Joy Agravante, Rousel Elaine Tumanda, Howard
C. Tolentino, 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 2010.  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 ***