InterNet Bankruptcy Library - News for September 30, 1996

Bankruptcy News For September 30,

  1. biosys makes announcement

  2. Hayes Microcomputer Products Adds More Marketing Muscle

  3. KIWI Files Reorganization Plan Will Continue to Serve New York, Chicago and

  4. Holly Products announces status of Country World Casinos Chapter 11
    bankruptcy proceedings

biosys makes announcement

COLUMBIA, Md.--Sept. 30, 1996--biosys, Inc. (NASDAQ/NM:BIOS) filed for
reorganization under Chapter 11 of the Bankruptcy Code in the Bankruptcy Court for
the District of Maryland in Baltimore on Friday, September 27, 1996.

The Company will operate as a debtor-in-possession and intends to formulate a plan
of reorganization or a plan of liquidation. Creditors will be receiving notice of the
filing from the Court.

biosys stated that it has proved impossible to raise the financing necessary to alleviate
a chronic cash shortage occasioned by losses from poor operating and market
conditions. As announced earlier with the publication of its second quarter results,
unusually cool and wet weather had depressed revenues in key market segments, and
severely reduced available cash resources.

Separately, biosys has notified NASDAQ that the Company is unable to comply with
certain NASDAQ requirements. First, a sufficient number of preferred shareholders
have sought to convert their preferred shares to common shares such that, if the
conversions occur, the conversions would account for more than 20% of the
Company's outstanding common shares. biosys had agreed to an undertaking with
NASDAQ pursuant to which the Company agreed that in the event of that amount of
conversions, the Company would redeem sufficient preferred shares such that the
conversions would account for less than 20% of the Company's outstanding shares.
biosys has notified NASDAQ that, in view of its financial situation, it cannot comply
with that undertaking.

The Company has also notified NASDAQ that it cannot meet the NASDAQ National
Market System's $4 million net tangible assets requirements. In addition, the Company
received notice from NASDAQ that the Company does not meet the minimum bid
price test.

In view of these circumstances, the Company expects that its stock will be delisted
from NASDAQ.

biosys is a leader in the development and commercialization of biological products
worldwide, primarily for insect control applications, based on multiple technologies,
including nematodes, baculoviruses, as well as environmentally benign botanical and
pheromone products. biosys also has a contract fermentation business unit, which
scales up and produces fermentation products for third party clients. biosys has active
research programs in a variety of areas, including nematode and pheromone products
development, baculovirus production via both in vivo and in vitro methodologies, and
applications of recombinant virus technology.

CONTACT: bioysys, Columbia Edwin C. Quattlebaum, President & CEO or Michael
R.N. Thomas, Vice President & CFO 410/381-3800

Hayes Microcomputer Products Adds More Marketing Muscle

ATLANTA, Sept. 30, 1996 - Hayes Microcomputer Products today announced the
appointment of two seasoned sales and marketing executives, again adding heft to its
management ranks as the company's resurgence continues.

Hayes named Pamela Anderson Director of Channel Marketing and Andrew Berman
Director of Sales, for its remote access business. Berman will report to Ray Malcoun,
Hayes Vice President of Sales. Anderson reports to Marshall Toplansky, Vice
President, Marketing. Malcoun and Toplansky, along with Chief Executive Officer Joe
Formichelli, are part of the new senior management team installed since Hayes
emerged from Chapter 11 with an infusion of new investment capital and a
restructured business model.

Anderson is a highly accomplished channel marketing executive who spent the last
seven years at Attachmate Corporation, most recently as director, channel sales. At
Hayes, she will be responsible for managing Hayes relations with all reseller
channels, expanding distribution of the Hayes product line and providing support and
education to the channel for effective customer marketing. Hayes has historically
placed great emphasis and value on channel marketing, having won the "Channel
Champion" distinction the past two years from Computer Reseller News.

Berman is a top sales and operations executive who most recently served as Vice
President, Worldwide Sales for client/server software vendor Open Environment.
Prior to that, Berman was regional manager of sales at U.S. Robotics
Corporate/Systems Division, and was a key manager responsible for launching its
remote access server line in the Southeastern United States.

"Hayes continues to invest in quality outside managers and add to its core marketing
strength," said Toplansky. "We are pleased to have Pam's and Andy's skills and
experience to address critical areas that will enhance Hayes' position in a competitive

Based in Norcross, Georgia, Hayes markets its ACCURA, OPTIMA, Practical
Peripherals and CENTURY brands of personal computer modems and remote
connectivity system products worldwide. With distributors in more than 45 countries,
it is one of the largest manufacturers of modems in the world.

NOTE: Hayes, the Hayes logo, ACCURA, CENTURY and OPTIMA are trademarks
of Hayes Microcomputer Products, Inc. Other trademarks are trademarks of their
respective companies.

SOURCE Hayes Microcomputer Products, Inc. /CONTACT: Angela Hooper, Hayes
Microcomputer Products, Inc., 770-840-9200, ext. 6030; Fax: 770-441-1238; Internet

KIWI Files Reorganization Plan Will Continue to Serve New York, Chicago and

NEWARK, N.J. Sept. 30, 1996 - Citing past debts and the effect of the ValuJet crash
and shutdown, and its own partial shutdown, KIWI International Air Lines today filed
a Chapter 11 reorganization petition in U.S. Bankruptcy Court in Newark, NJ. KIWI
plans to continue most of its operation, and is in the process of securing at least $5
million in Debtor In Possession financing in its efforts to successfully reorganize.

KIWI wants passengers and travel professionals to know that under the plan, which
takes effect Tuesday morning, KIWI will operate a full schedule of flights between
Newark, Chicago and Atlanta. For passengers with travel plans that include West
Palm Beach, Tampa, Orlando, Las Vegas and Bermuda, KIWI is seeking agreements
for protection with other carriers and is offering refunds. Passengers are advised to
contact their travel agent or call 1-800-JET-KIWI for information if they are flying
between Tuesday and Friday. Passengers traveling beyond that date are respectfully
requested to call at a later date so that KIWI may handle those customers with the
most immediate needs.

"We have been working around the clock to obtain funding and credit concessions to
avoid filing the petition," said Jerry Murphy, President and CEO. Unfortunately, KIWI
was unable to reach an agreement with its main aircraft lessor in a restructuring

"This filing is the most fair, sensible and prudent measure for vendors, employees,
investors and the traveling public. It will allow us to restructure our financial
obligations equitably and realistically in a controlled manner while preserving jobs
and a core schedule of high quality air transportation service.

"KIWI will operate during this period and then emerge as a stronger company.
Although the debt accumulated during the first three years of KIWI were a millstone
around our necks, we were making real financial progress, posting three consecutive
quarters of profit. The ValuJet crash on May 11 started a downward spiral that was
dramatically accelerated when the FAA, under intense public and media pressure,
took the unusual step of putting four aircraft on the ground although we have a perfect
flying record.

"Through these events, which also includes ValuJet's grounding and a traditionally
slow September, KIWI has slowly bled to the point where we have to take action."
Murphy added that under the plan, employees and travel agency commissions will be

By maintaining a full schedule of flights between Newark, Chicago and Atlanta only,
KIWI will reduce its staff level. However, it expects to be back to expand its
schedule in November. At that time, an appropriate number of employees will be

Based in Newark, NJ, KIWI started flying on September 21, 1992. It recently flew its
5,000,000th passenger. Murphy and a new management team came to KIWI in
September, 1995 and quickly began to turn the company around by reorganizing the
company's structure, culture, operations and creating its first business plan.

SOURCE KIWI International Air Lines /CONTACT: Rob Kulat of KIWI International
Air Lines, 201-645-8445

Holly Products announces status of Country World Casinos Chapter 11 bankruptcy

BALA CYNWYD, Pa.--September 30, 1996--Holly Products Inc. (NASDAQ: HOPR,
HOPRW, HOPRP; BSE: HOP, HOPW, HOPP) today announced the completion of
formal testimony of its claims hearing in United States Bankruptcy Court, District of
Colorado for its majority owned subsidiary, Country World Casinos Inc.

Final written closing arguments must be submitted to the Court in the next ten days and
a decision of the Court is expected shortly thereafter.

William H. Patrowicz, president of Holly Products Inc., stated, "The facts in a case
always speak for themselves. I believe we presented a strong case and look forward
to a favorable ruling in short order, as well as a finalization to these Chapter 11
Proceedings in the near future."

Holly Products Inc., headquartered in Bala Cynwyd, has a wholly owned subsidiary,
Navtech Industries Inc. of Shiprock, N.M. and a majority owned subsidiary, Country
World Casinos Inc., of Denver. Navtech is a manufacturer and tester of electronic
components for casino equipment, hotel equipment and signage. Country World
Casinos Inc. is a development corporation, whose plan is to construct a casino in
Black Hawk, Colo., as well as a hotel complex.

CONTACT: Holly Products Inc. William H. Patrowicz, 610/617-0400 or Martin E.
Janis & Company Inc. Elliott Jacobson, 312/943-1100