TCR_Public/960926.MBX




InterNet Bankruptcy Library - News for September 26, 1996






Bankruptcy News For September 26, 1996



  1. Zeigler EnerZ Subsidiary to Compete in Deregulated Energy Marketplace

  2. FoxMeyer Drug Company Names James J. Bonsall Interim Chief Financial Officer

  3. Winners Entertainment, Inc. Settles With Bennett Trustee

  4. Coleman Says Softness in Key Camping Markets, Recent Acquisition to Cause Small Loss in Third
    Quarter

  5. Happiness Express files Chapter 11 Bankruptcy Petition




Zeigler EnerZ Subsidiary to Compete in Deregulated Energy Marketplace


FAIRVIEW HEIGHTS, Ill., Sept. 26, 1996 - Zeigler Coal Holding Company (NYSE: ZEI) President and Chief
Executive Officer Chand B. Vyas today announced the launch of a new subsidiary, EnerZ Corporation, to take
advantage of emerging market opportunities growing out of utility deregulation.


EnerZ Corporation has filed an application with the Federal Energy Regulatory Commission (FERC) for status
as a wholesale power marketer. The company expects to receive its approval from FERC later this fall, and to
initiate business transactions shortly thereafter. EnerZ, a Delaware corporation, is leasing office space in the
New York area.


According to Vyas, "The chain of economic value for electricity includes a number of core activities: fuel,
transportation, clean air compliance measures, generation, transmission and marketing. We already participate
along a number of these links, and EnerZ provides us additional growth opportunities to leverage off of our
existing assets and expand our customer relationships."


Vyas said Zeigler is pleased to have hired Tayeb Tahir as president of EnerZ Corporation. Tahir brings to
EnerZ extensive experience in the power and natural gas markets and skills in strategic integration of
information technology with the energy industry. Tahir most recently served as a consultant to utilities and
other energy companies, with an emphasis on deregulation growth strategies. He has a Master's Degree in Gas
Technology from the Illinois Institute of Technology and an MBA from New York University.


"Because Zeigler coal annually fuels more than 50 billion kilowatt hours of power in the United States, or
nearly 2 percent of all domestic electricity, Zeigler has been well-positioned to evaluate trends and
opportunities within the electric utility industry," said Vyas. "And we made it clear earlier this year that we
are trading in our front-row seat for a place on the playing field. EnerZ Corporation is one more manifestation
of this strategy."


The Zeigler family of companies is among the largest coal producers and marketers in the United States, and
controls more than 1.3 billion tons of economically recoverable coal reserves, including 1 billion tons of low
sulfur coal. Zeigler subsidiaries currently operate underground and surface coal mining complexes in Illinois,
Kentucky, Ohio, West Virginia and Wyoming, which mine primarily steam coal for electricity generation.
Zeigler subsidiaries also operate two East Coast import/export terminals and the ENCOAL clean coal
technology corporation. And a Zeigler affiliate has a joint bid with NRG Energy pending to purchase out of
bankruptcy the non-nuclear assets of Louisiana-based Cajun Electric Power Cooperative.


SOURCE Zeigler Coal Holding Company/CONTACT: Vic Svec, Director, Investor Relations and
Communications, 618-394-2430, or Jacqueline E. Burwitz, Research Analyst, 618-394- 2570, both of Zeigler
Coal Holding Company/ (ZEI)




FoxMeyer Drug Company Names James J. Bonsall Interim Chief Financial Officer


DALLAS, TX Sept. 26, 1996 - FoxMeyer Drug Company, a unit of FoxMeyer Health Corporation (NYSE:
FOX), today announced the appointment of James J. Bonsall as interim chief financial officer. Mr. Bonsall
succeeds Edward Massman, who - as chief financial officer of the parent company - also served as CFO of
FoxMeyer Drug and other FoxMeyer Health subsidiaries. Mr. Massman remains with the parent company as
CFO.


"Jim Bonsall brings to the FoxMeyer organization a wealth of experience in financial management,
accumulated through 18 years with a major accounting and consulting firm and in corporate positions," said
Robert A. Peiser, vice chairman and chief executive officer of the Company. "We are extremely pleased to
have the benefit of his expertise to draw upon during the Company's restructuring under Chapter 11."


Mr. Bonsall is a senior associate in the corporate restructuring and turnaround firm of Jay Alix & Associates,
which was retained by FoxMeyer as financial advisors and restructuring consultants to assist in the Company's
reorganization efforts. Prior to his current position, Mr. Bonsall spent six years as a partner of the accounting
and management consulting firm Ernst & Young. He has also served as the chief financial officer and treasurer
of EQ - The Environmental Quality Company, one of the nation's largest privately held environmental services
companies. His experience spans a variety of industries including distribution service, manufacturing and high
technology. Mr. Bonsall is a certified public accountant and serves on the Board of Directors of Big Brothers
Big Sisters and Michigan's Children's Trust Fund.


FoxMeyer Drug Company and certain affiliated companies filed to reorganize under Chapter 11 of the U.S.
Bankruptcy code on August 27, 1996, in U.S. Bankruptcy Court in Wilmington, Delaware. FoxMeyer Drug is
the nation's fourth largest wholesaler of pharmaceutical products, health and beauty aids. The Company,
headquartered in Dallas, employs 2,400 in 21 states and the District of Columbia.


SOURCE FoxMeyer /CONTACT: Ann Julsen of Sitrick And Company, 310-788-2850; or Wade Hyde of
FoxMeyer Drug Company, 972-446-4270/ (FOX)




Winners Entertainment, Inc. Settles With Bennett Trustee


CHESTER, W. Va., Sept. 26, 1996 - Winners Entertainment, Inc. (Nasdaq: WINS) announced today that the
Company and its Mountaineer Park, Inc. subsidiary have entered an agreement with Richard C. Breeden,
solely in his capacity as trustee of the estate of Bennett Management and Development Corp., settling all of
their claims against Bennett. If the settlement is approved by the United States Bankruptcy Court, it will be
effective as of October 31, 1996 and the Company and Mountaineer will dismiss their lawsuit against Bennett
with prejudice.


The agreement modifies the schedule for amortization of the principal of Bennett's $10.2 million construction
loan such that instead of 36 equal monthly payments of $283,333, Mountaineer will make principal payments
of $75,000 per month from October through March and $125,000 per month from April through September.
The remaining principal balance will continue to be due on April 30, 1999. In the event the Bennett loan is not
prepaid by December 31, 1997, then either (I) the interest rate on any outstanding balance shall, as of January
1, 1998, increase from 12.5% to 14.5% if such rate increase is approved by Mountaineer's other mortgage
lender; or (II) the monthly payments of principal will increase to $100,000 from October through March and
$200,000 from April through September.


The settlement also modifies the Company's obligation to issue additional shares of the Company's common
stock to Bennett if the loan is not prepaid by January 1, 1997. Whereas the Construction Loan Agreement had
required the Company to issue Bennett $2.5 million worth of the Company's common stock on January 2, 1997
absent prepayment, the settlement permits the Company, at its option, either to pay Bennett $500,000 or issue
$750,000 in stock. Similarly, the Company may pay $750,000 or issue $1 million in stock if the Bennett loan is
not prepaid by July 1, 1997, and pay $1 million or issue $1.25 million in stock if the loan is not prepaid by
December 31, 1997. If the Company elects to issue Bennett additional shares of common stock, such shares
will be subject to the Construction Loan Agreement's requirement that, to the extent such issuance would
otherwise result in Bennett having voting rights to greater than 5% of the Company's issued and outstanding
shares, then the voting rights shall be transferred to the Company's board of directors.


In the event the Trustee desires to sell any of the shares held by Bennett, the settlement also grants the
Company until December 31, 1997 the right to match any bona fide offer presented to the Trustee by a
non-affiliate to purchase the shares. The settlement likewise grants the Company an option, for the period
commencing on the date Mountaineer has paid the Bennett loan in full and terminating ten business days
thereafter, to purchase all (but not part) of the 1,530,000 shares currently held by Bennett for a price per share
equal to 90% of the average closing bid price of the shares as reported by Nasdaq for the twenty (20)
consecutive trading days immediately preceding the date on which Mountaineer retires the loan, but in no event
less then $1.125 per share.


The settlement is expressly subject to the approval of the United States Bankruptcy Court. On September 25,
the Trustee filed an application seeking approval of the settlement. The Trustee's Court papers explained that
the settlement would benefit the creditors of the Bennett estate because it avoids the risk of litigation and
"stabilizes the cash flow of Mountaineer Park thereby increasing the equity value of (Winners) shares." There
can be no assurance, however, that the Court will approve the settlement or any modification thereof on terms
acceptable to the Company.


Edson Arneault, president and chairman of Winners and Mountaineer Park, commented that "If approved by the
Court, the modified amortization schedule would provide Mountaineer a substantial amount of additional cash
for advertising, site improvements, and working capital. Likewise, the modification of the requirement to issue
Bennett additional shares would allow Mountaineer to include in applications for new financing the results
from the third and fourth quarters of 1996 and the first quarter of 1997." Management believes that those
results will permit Mountaineer to refinance on more attractive terms. A copy of the settlement will be filed as
an exhibit to a report on Form 8-K to be filed by the Company.


WINNERS ENTERTAINMENT, INC. owns and operates the Mountaineer Racetrack and Gaming Resort in
Chester, West Virginia. The Mountaineer complex currently encompasses a thoroughbred racetrack, including
off track betting, 800 video lottery terminals, a 101 room hotel, nine hole executive golf course, fine dining and
entertainment, and the Speakeasy Gaming Saloon.


SOURCE Winners Entertainment, Inc./CONTACT: John Heilshorn of Lippert-Heilshorn, 212-838-3777, ext.
104, or email: JOHNLHAI.COM/ (WINS)




Coleman Says Softness in Key Camping Markets, Recent Acquisition to Cause Small Loss in Third Quarter


GOLDEN, Colo.--Sept. 26, 1996--The Coleman Company said today that sales of its camping related
recreation products in North America and Japan experienced softness in the third quarter.


Combined with the expected first year dilutive effect of its recent European acquisition, Camping Gaz, the
company will report a small loss in the third quarter. In the comparable period of 1995, Coleman earned 17
cents per share before an extraordinary item.


Coleman said it considers the market softness to be abnormal. In North America adverse weather conditions,
which had been disruptive in the spring and early summer, continued with the result being the company
estimates it lost nearly a full turn at retail compared to a normal year. In Japan, following a strong start,
overall consumer spending declined unexpectedly during July and August, key months for consumer purchases
of these product lines


The company said it expects these markets will resume growing in 1997, assuming a return to normal weather
conditions in the United States and improved consumer confidence in Japan.


The company noted its Home Safety & Security Products and Eastpak divisions are expected to show strong
double digit revenue growth in the period versus last year.


Coleman said it expects to resume a normal earnings pattern in the fourth quarter, excluding the expected
dilutive effect of Camping Gaz which will cause a small reported loss.


In addition the company announced it will be taking one time, after tax, charges in the third and fourth quarters
totaling approximately $50 million. About two thirds of the charges relate to the restructuring of its worldwide
recreation business, reflecting the integration of Camping Gaz, one quarter to its withdrawal from the entry
level electric pressure washer market and the balance largely to pending litigation.


Coleman pointed out it has found greater than previously identified cost savings as it integrates Camping Gaz
into its nearly $1 billion global recreation business. These cost savings, totaling approximately $20 million
annually, will phase in during 1997 and enable a reduction in the company's global recreation work force of
over 10 percent.


Describing the entry level electric pressure washer market as increasingly commodity in nature, Coleman said
it would withdraw from the segment. It will continue to market gas powered units, a category in which it has a
substantial and growing market share.


Coleman is traded as CLN on the New York Stock Exchange. It manufactures and distributes widely
diversified product lines for camping, leisure time, hardware/home center home safety/security markets in the
United States, Canada and more than 100 other countries. -0-


Forward Looking Information: Information in this press release which is not historical includes
forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Act
of 1995. All of such forward-looking statements involve risks and uncertainties including, without limitation,
the size of the loss in the third quarter from Camping Gaz, the expectation that markets will resume their
growth in 1997, the anticipated strong double digit revenue growth in Home Safety & Security and Eastpak, the
resumption of normal earnings pattern in the fourth quarter and the anticipated substantial and growing market
share in gas pressure washers.


CONTACT: The Coleman Company, Golden Charles McIlwaine, 303/202-2446




Happiness Express files Chapter 11 Bankruptcy Petition


NEW YORK, NY --Sept. 26, 1996--Happiness Express announced today that yesterday it filed a petition
requesting relief under Chapter 11 of the Bankruptcy Code (Title 11 of the United States Code) in the United
States Bankruptcy Court for the Southern District of New York.


The voluntary Chapter 11 filing was authorized by the Board of Directors following failed negotiations with
the company's lending institutions.


CONTACT: Happinesss Express Inc. Morton Scheer, COO 212/741-7168