TCR_Public/960318.MBX BANKRUPTCY CREDITORS' SERVICE, INC.


Bankruptcy News For - March 18, 1996



  1. CARVER CORPORATION REPORTS FOURTH QUARTER AND FULL YEAR RESULTS
  2. McLouth Steel Products Corporation has begun shutdown of operations
  3. GROWTH ENVIRONMENTAL, INC. FILES FOR CHAPTER 11 RELIEF
  4. Rockefeller Center Properties, Inc. announces results




CARVER CORPORATION REPORTS FOURTH QUARTER AND FULL YEAR RESULTS

        
            LYNNWOOD, Wash. -- March 18, 1996 -- Carver
        Corporation (NASDAQ:CAVR), today reported the company's downsizing
        and sale of its professional audio product line impacted its results
        for the fourth quarter and full year in 1995.  In the fourth quarter
        of 1995, including a total of $1.8 million or $.49 per share in
        restructuring charges and write downs, Carver lost $1.1 million or
        $.30 per share on sales of $3.8 million compared to net losses of
        $495,000 or $.13 per share on sales of $6.2 million in the fourth
        quarter a year ago.  The company reported 1995 sales of $18.4
        million and net losses of $3.2 million or $.86 per share compared to
        1994 sales of $22.2 million and net losses of $2.9 million or $.78
        per share.  
        


            Throughout 1995, Carver s management team worked to resolve its
        operating problems.  During the year, the company downsized its
        operations, reduced overhead, eliminated obsolete inventory and
        streamlined its manufacturing processes.  Carver sold its
        Professional Audio line to Phoenix Gold, Inc. (NASDAQ:PGLD) for
        approximately $2 million in November.  The transaction was designed
        to permit Carver to focus exclusively on its primary business of
        consumer audio components and to bring much needed strength to its
        balance sheet and cash resources.  In addition, Carver listed its
        Lynnwood manufacturing facility for sale for $4.5 million in January
        1996.  The facility is valued on the company's balance sheet at
        approximately $2 million.  
        


            "The fourth quarter charges address issues raised by a thorough
        review of the entire operation of the company, including the sale of
        the professional product line,"  stated Stephen M. Williams,
        President and Chief Executive Officer.  "Many of the changes Bob
        Fulton (Director and former CEO) implemented last year were painful
        but necessary to give this company a chance to be competitive in the
        audio market.  I believe we are now in a position to capitalize on
        the popularity of the Carver brand."  
        


            The $1.8 million fourth quarter charges include approximately
        $1.3 million for the costs associated with downsizing of operations
        and the disposal of the professional and automotive product lines, a
        $50,000 write-off of tooling for certain discontinued products, a
        $260,000 write-off for excess and obsolete raw materials and
        finished goods, and an increase in reserves for doubtful accounts of
        $150,000.
        


            "Fourth quarter sales were lower due to continued lack of
        availability of certain consumer product models.  We operated during
        most of 1995 with very tight constraints on cash.  As a result, we
        deferred submitting orders for sourced products and some raw
        materials during the second and third quarters.  The discontinuation
        of professional product sales in mid November also contributed to
        lower fourth quarter sales,"  Williams said.  The pro division
        contributed $428,000 to fourth quarter and $4.0 million to full-year
        1995 sales compared to $1.3 million in the fourth quarter and $5.1
        million to 1994 sales.  "We believe the new affiliation with Circuit
        City, combined with strong consumer loyalty to the Carver brand will
        help us replace pro division revenues and generate consumer sales in
        1996 that approach our total sales in 1995."  
        


            "The rollout of Carver's consumer line in Circuit City's
        (NYSE:CC) 390 stores is progressing very well.  The enthusiasm we
        are seeing from Circuit City's sales people and consumers is very
        encouraging,"  Williams stated.  "In addition, the advertising and
        consumer awareness Circuit City is generating for Carver components
        has resulted in increased traffic for our existing dealers in those
        markets where the rollout began."  
        


            At year end, current liabilities and inventory levels were cut
        in half from year ago levels.  "The sale of the professional
        division and the restructuring charges clearly helped to strengthen
        the balance sheet significantly,"  Williams noted.  "We are
        continuing to address liquidity and working capital needs by
        exploring credit lines and other financing options.  The sale of the
        Lynnwood facility, while not imminent, will also improve our capital
        position and reduce overhead costs."  
        


            Safe Harbor statement under the Private Securities Litigation
        Reform Act of 1995: Statements in this news release looking forward
        in time involve risks and uncertainties, including the effect of
        changing economic conditions, trends in the audio components market,
        product demand and market acceptance risks, risks associated with
        manufacturing, import and seasonality and other risk factors
        detailed in the Company's Securities and Exchange Commission
        filings.  
        


            Carver Corporation designs, develops, manufactures and markets
        high-fidelity consumer audio components and systems which are known
        for their superior sound reproduction.


        
                          Consolidated Financial Highlights:
                       (in thousands except per share results)
        
                              Three Months Ended     Twelve Months Ended
                                  December 31,            December 31,
                              1995          1994       1995         1994
        
        Net sales              $  3,772      $  6,180   $ 18,428     $
        22,171
        Gross margin                423(1)      1,341      3,390
        4,676
        Expenses
           Selling                  691         1,034      3,441
        3,827
           General &
        Administrative          592(2)        399      1,887        1,780
           Research & Development   123           296        808
        1,164
           Restructuring Charges  1,319(3)         --      1,319
        --
           Gain on Sale of
        Professional
        Products Line        (1,208)           --     (1,208)          --
        Loss from operations     (1,094)         (388)    (2,857)
        (2,095)
        Other (income) expense      (23)         (106)       300
        (778)
        Loss before taxes        (1,071)         (494)    (3,157)
        (2,873)
        Net loss                $(1,071)        $(494)   $(3,157)
        $(2,873)
        Net loss per share       $(0.30)       $(0.13)    $(0.86)
        $(0.78)
        Weighted common and
         common equivalent
         shares used for
         calculation per share    3,683         3,678      3,680
        3,678
        
        (1), (2), (3)  Includes charges for   (1)   Tooling W/O    $    51
                                                Inventory W/O      260
                                                               $   311
        
                                          (2)   Bad Debt       $   178
        
                                          (3)   Tooling        $   287
                                                Inventory          740
                                                Severance          223
                                                Other               69
                                                               $ 1,319
        
        Condensed Balance Sheet
        (in thousands)    
                                             December 31,   December 31,
                                                 1995           1994
        
        Cash and short-term investments          $    266        $    254
        Net receivables                             2,304           3,830
        Inventory                                   3,927           8,050
        Other assets                                1,886           1,966
        Net property, plant and equipment           2,291           2,528
        Total assets                             $ 10,674        $ 16,628
        
        Total liabilities                           3,285           6,091
        Shareholders  equity                        7,389          10,537
        Total liabilities and equity             $ 10,674        $ 16,628
        
        
        CONTACT:  Carver Corporation
                  John P. World, 206/775-1202
      

Cleveland-Cliffs Inc reports McLouth Steel Products Corporation, an iron
ore customer, has begun shutdown of operations
        


            CLEVELAND -- March 18, 1996 -- Cleveland-Cliffs Inc
        reported today that McLouth Steel
Products Corporation
, an iron ore
        customer operating under bankruptcy court protection since September
        29, 1995, has begun a shutdown of operations due to inadequate
        funds.  Discussions with potential buyers for the McLouth assets are
        in progress which could lead to a resumption of operations.
        Therefore, McLouth plans to maintain its facilities in a "hot-idle"
        status.  Cliffs had supplied approximately 120,000 tons of pellets
        per month to McLouth.  
        


            M. Thomas Moore, Cliffs' chairman and chief executive officer,
        said, "We have had a long association with McLouth, linked by our
        Michigan operations, and have provided periodic vital credit support
        in cooperation with other suppliers and labor.  However, McLouth's
        continuing cash deficits and poor financial outlook made it
        imprudent for Cliffs to unilaterally extend significant additional
        credit."  
        


            In 1995, McLouth accounted for 11 percent of Cliffs' total
        revenues.  Cliffs expects to maintain its total sales volume in the
        current strong iron ore market although a near-term adverse earnings
        impact could occur.  The Company noted that it periodically makes
        significant changes in customer mix and maintains a substantial base
        of multi-year contracts.  

        
            At the time of McLouth's bankruptcy filing, Cliffs had an
        unreserved receivable of $5.0 million, secured by first liens on
        certain McLouth fixed assets.  A $2.7 million reserve against the
        receivable was recorded in September, 1995.  Cliffs has provided
        certain additional credit since the bankruptcy filing.  Unreserved
        amounts are secured by liens on McLouth assets.  Cliffs has filed
        substantial secured and unsecured claims.  
   

     
            Cleveland-Cliffs Inc subsidiaries manage seven iron ore mines in
        North America and Australia.  The Company has equity interests in
        six of the mines, holds a major iron ore reserve position in the
        United States, is a substantial iron ore merchant, and is pursuing
        development of a direct reduced iron business.  

        
        CONTACT:  Cleveland-Cliffs Inc
                  David L. Gardner, 216/694-5407



GROWTH ENVIRONMENTAL, INC. FILES FOR CHAPTER 11 RELIEF

        
            OAK BROOK, Ill., March 18,  - href="chap11.growth.html">Growth Environmental,
        Inc.
announced that it filed a petition for relief under
Chapter 11
        of the Bankruptcy Code on March 7, 1996.  The company further
        announced that it intends to file a liquidating plan or
        reorganization.
        


            As previously reported, the company's operating subsidiaries
        filed for relief under Chapter 11 of the Bankruptcy Code on Jan. 23,
        1996. The United States Bankruptcy Court for the Northern District
        of Illinois approved the company's subsidiaries' motion to sell
        substantially all of their assets.  At an auction held on Feb. 27,
        1996, Growth Resources, Inc. was the successful bidder for the
        subsidiaries' assets.

        
            Effective at the close of business on Dec. 11, 1995, the
        company's common stock no longer trades on the Nasdaq SmallCap
        Market.
   


        CONTACT:  Alvin K. Eaton, for Growth Environmental, Inc.
        708-990-2751



Rockefeller Center Properties,
Inc.
announces results of operations for the year end and fourth quarter, 1995
        


            NEW YORK, NY -- March 18, 1996 -- href="chap11.rcp.html">Rockefeller Center
        Properties, Inc.
(RCPI) announced today a net loss for the year
        ended Dec. 31, 1995 of $195,129,000, or $5.10 per share, as compared
        to net income of $15,143,000, or 40 cents per share, for the 1994
        fiscal year.
        


            RCPI also reported a net loss for the fourth quarter of 1995 of
        $28,755,000, or 75 cents per share, as compared to a net loss of
        $1,396,000, or 3 cents per share, for the previous year's comparable
        period.
        


            The loss for the year ended Dec. 31, 1995, is a result of the
        May 11, 1995, Chapter 11 bankruptcy filings by the Borrower under
        RCPI's mortgage loan on most of Rockefeller Center, and subsequent
        developments.  For accounting purposes RCPI limited recognition of
        income on the mortgage loan for the year ended Dec. 31, 1995 to the
        cash actually received from the Borrower, which resulted in a
        decrease in revenues of $87,815,000, or $2.30 per share, from the
        prior year.  The results also include increased general and
        administrative expenses of $7,097,000, or 19 cents per share,
        principally due to increased legal fees, investor relations related
        expenses and financial advisory fees incurred as a result of the
        Borrower's Chapter 11 filings.  In addition, as discussed in RCPI's
        Sept. 30, 1995 Form 10-Q, during 1995 RCPI reflected in its
        Statement of Operations $99,163,000, or $2.59 per share, of expenses
        related to the effects of the execution and delivery of the Merger
        Agreement entered into on Nov. 7, 1995 with an investor group led by
        Whitehall Street Real Estate Limited Partnership V.  In addition,
        during the third quarter, RCPI recognized as amortization of
        financing cost certain deferred debt issuance and letter of intent
        costs totalling $4,650,000, or 12 cents per share, related to the
        termination of a Combination Agreement.  RCPI also recorded a non-
        cash adjustment for the stock appreciation rights issued in December
        1994 of $10,795,000, or 28 cents per share.

        
            Under the Merger Agreement, RCPI has been extended a credit
        facility which is expected to provide sufficient liquidity for RCPI
        until the earlier of the consummation of the merger contemplated by
        the Merger Agreement or April 30, 1996.  Management and the Board of
        Directors believe that, if the RCPI stockholders do not approve the
        Merger Agreement or if the transactions contemplated by the Merger
        Agreement are not consummated, the Company would be subject to
        substantial uncertainties.  RCPI expects that, in the absence of
        additional financing, its cash resources will be exhausted by the
        end of April 1996.  Management believes that there is substantial
        doubt about RCPI's ability to continue as a going concern if RCPI's
        stockholders do not approve the Merger Agreement or if the
        transactions contemplated by the Merger Agreement are not
        consummated.  RCPI's financial statements for the year ended Dec.
        31, 1995 do not include any adjustment to reflect the possible
        future effects on the recoverability of assets or the amounts of
        liabilities that may result from the outcome of these uncertainties.

        
            RCPI also reported that its cash flow from operating and
        investing activities was $32,294,000 for 1995 as compared to
        $71,529,000 for 1994.  Cash flow from investing activities during
        1995 consisted of $50 million realized from draw downs of additional
        collateral under letters of credit following the Borrower's failure
        to make the interest payment due May 31, 1995.  These cash receipts
        were applied, solely for accounting purposes, to reduce the carrying
        value of the mortgage loan.

        
            RCPI is a mortgage real estate investment trust whose principal
        asset is a $1.3 billion participating convertible mortgage loan to
        the Borrower, the owner of Rockefeller Center.  The Borrower is 100
        percent controlled by Rockefeller Group Inc. (RGI).  Mitsubishi
        Estate Co. Ltd. controls an 80 percent equity interest in RGI and
        Rockefeller Family Interests hold the remaining 20 percent.  On May
        11, the Borrower commenced cases under Chapter 11 of the federal
        bankruptcy law in the United States Bankruptcy Court for the
        Southern District of New York.
   

     
            RCPI is listed on the New York Stock Exchange as "RCP."  As of
        March 15, 1996, there were 38,260,704 shares of common stock
        outstanding.


        
                              Years  ended            Quarters Ended   
                                 Dec. 31                 Dec. 31,
                           1995         1994        1995         1994
        
        Revenues           $21,470,000  $109,285,000  $   128,000
        $27,336,000
        Interest expense   $85,563,000  $ 77,501,000  $21,288,000
        $19,325,000
        General and         
         administrative    $11,267,000  $  4,170,000  $ 5,155,000 $
        559,000
        Amortization of
         financing costs   $ 9,258,000  $    705,000  $ 1,142,000 $
        176,000
        Increase in
         liability for
         stock appreciation
         rights            $10,795,000  $      ---    $   745,000  $     ---
        Effects of the
         execution and
          delivery of the
           merger agree-
        ment           $99,163,000  $      ---    $     ---    $     ---
        Expenses related
         to the March 25,
         1996 special
         meeting of
         stockholders      $   553,000  $      ---    $   553,000  $     ---
        Cost of swap      
         terminations and
         modifications
         related to debt
         extinguishment    $     ---    $  9,855,000  $
        ---    $6,730,000
        Cost of evaluating
         alternative
         financings        $     ---    $ 1,942,000   $
        ---    $1,942,000
        (Loss) income
         before
         non-recurring
         income         $(195,129,000)  $15,112,000   $(28,755,000)
        $(1,396,000)
        Non-recurring
         income (gain
         on sales of
         portfolio
         securities)    $      ---      $    31,000   $      ---    $    ---
        Net (loss)
         income         $(195,129,000)  $15,143,000 $(28,755,000) $
        (1,396,000)
        Net (loss)
          income
          per share     $       (5.10) $      0.40  $     (0.75) $
        (0.03)
        
        
            Note to Editors:  On Nov. 7, 1995, the Company entered into an
        Agreement and Plan of Merger with a group of investors (the
        "Investor Group") including Exor Group S.A., David Rockefeller,
        Rockprop L.L.C., Troutlet Investments Corporation and Whitehall
        Street Real Estate Limited Partnership V pursuant to which, subject
        to satisfaction of the conditions specified in the Merger Agreement,
        a corporation formed by the Investor Group would merge with the
        Company, the surviving company would be wholly owned by the Investor
        Group, and stockholders of the Company would receive $8 in cash for
        each of their shares of RCPI's Common Stock.  
      

  
            On the same date, the Company terminated the Agreement and Plan
        of Combination (the "Combination Agreement") dated as of Sept. 11,
        1995 with Equity Office Holdings, L.L.C.    


        CONTACT: Stephanie Leggett Young, 212/698-1440
                 Gary Holmes, 212/484-7736