TCR_Public/981214.MBX T R O U B L E D   C O M P A N Y   R E P O R T E R
      
   Monday, December 14, 1998, Vol. 2, No. 243
                 
                 Headlines

AMERICAN GAMING: Order of Joint Administration
AMF BOWLING: Reports Litigation in China
ARROW AUTOMOTIVE: Committee Taps PricewaterhouseCoopers
CD SERVICES: Bad Faith Filing
CELLEX BIOSCIENCES: To Reorganize Under Chapter 11

CITYSCAPE FINANCIAL: Order Extends Time
DOMINION BRIDGE: Extension Granted To File Proposal
HUNGARIAN TELECONSTRUCT CORP: Reports Operating Results
INTERNATIONAL WIRELESS: Seeks Authorization of Payment
MOBILEMEDIA: Court Approves Disclosure Statement

NEXAR TECHNOLOGIES: Likely to Begin Insolvency Proceedings
ONEITA INDUSTRIES: Gets Limited Exclusivity Extension
PETRIE RETAIL: Plan Confirmed, Sale To Close Next Week
POWER CO: Unsecured Creditors To Recover 3% To 7%
STELLEX INDUSTRIES: Switches Accountants

UNISON HEALTHCARE: Resolves All But One Objection To Plan
VOICE IT WORLDWIDE: Taps Accounting Firm Ehrhardt, Keefe
WINTERSILKS INC: Seeks Authorization to Use Cash Collateral

DLS CAPITAL PARTNERS: Bond Pricing For Week of 12/7/98

                 ***********


AMERICAN GAMING: Order of Joint Administration
----------------------------------------------
On November 30, 1998 the Honorable Jerry A. Brown entered
an order providing that In re Amgam Associates and In re
American Gaming and Resorts of Mississippi, Inc. d/b/a
American Gaming Corporation will be jointly administered.
A single docket sheet shall be maintained, a single claims
file will be maintained, disclosure statements shall be
consolidated into one, and plans of reorganization shall be
consolidated into one plan.


AMF BOWLING: Reports Litigation in China
----------------------------------------                      
In a current report on Form 8-K, AMF BOWLING WORLDWIDE,
INC. reports to the SEC that in its Quarterly Report on
Form 10-Q for the quarterly period ended on September 30,
1998, AMF Bowling Worldwide, Inc. reported that AMF Bowling
Products, Inc. is in litigation with Harbin Hai Heng
Bowling Entertainment Co. Ltd. ("Hai Heng") in the Harbin
Intermediate People's Court in Heilongiiang, China.

In connection with such litigation, on November 6, 1998,
the Harbin Intermediate People's Court awarded Hai Heng
approximately $3.5 million. The Company intends
to continue its vigorous defense of Hai Heng's claims and
intends to appeal such judgment. Management does not
believe that the ultimate outcome of the action will have a
material adverse impact on the financial position of the
Company.


ARROW AUTOMOTIVE: Committee Taps PricewaterhouseCoopers
-------------------------------------------------------
The Official Committee of Unsecured Creditors of Arrow
Automotive Industries, Inc. applies to the court for an
order approving the appointment of PricewaterhouseCoopers
as accountants and financial advisors to the Committee.

The Committee requests the assistance of accountants and
financial advisor to ascertain the viability of the
debtor;' to review and analyze the debtor's books, to
investigate historical transactions, to review and analyze
the debtor's operating controls, to prepare a liquidation
analysis, and to review and assess business plans and
advise the Committee in connection with the negotiation and
the formulation of a plan.

The firm will charge hourly rates ranging from $60 for
paraprofessionals to $400 per hour for partners.


CD SERVICES: Bad Faith Filing
-----------------------------
Bankruptcy Judge John E. Ryan ruled this week that CD
Services, a Laguna Hills, Calif., company that filed
chapter 7 in July, never planned to reorganized and that it
was shopping around for the best forum in which to present
its case, The Orange County Register reported. Judge Ryan
dismissed the bankruptcy case and sent it back to a Los
Angeles Superior Court-appointed receiver who will
distribute the company's remaining $30 million in assets.
The firm is accused of defrauding elderly investors out of
millions. Receiver Dennis Schmucker was appointed on July
30, the same day CD Services filed bankruptcy. Schmucker
said many of the records have been destroyed, making his
job of matching CDs with investors more difficult. (ABI 11-
Dec-98)
    

CELLEX BIOSCIENCES: To Reorganize Under Chapter 11
---------------------------------------------------
Cellex Biosciences Inc., which was the subject of an
involuntary bankruptcy petition filed in October by three
of its unsecured creditors, announced yesterday it will
reorganize under a voluntary chapter 11, according to a
newswire report. The company filed a consent to order for
relief with the bankruptcy court in Minnesota on Dec. 8 and
is now operating as a debtor-in-possession. This
reorganization replaces a recapitalization plan
announced in July. Cellex Biosciences had until Dec. 4 to
file an answer to the involuntary petition. It is now
negotiating a consensual plan of reorganization, and new
potential investors have been identified to help finance
the reorganization and ongoing operations. (ABI 11-Dec-98)


CITYSCAPE FINANCIAL: Order Extends Time
---------------------------------------
The Honorable Adlai S. Hardin, Jr., entered an order on
December 2, 1998 upon the consideration of the motion of
the debtors, Cityscape Financial Corp. and Cityscape Corp.
seeking an extension of the deadline to assume or reject
all of their unexpired leases of nonresidential real
property.

The Court's order extends the time period from December 4,
1998 to March 4, 1999.


DOMINION BRIDGE: Extension Granted To File Proposal
----------------------------------------------------    
A new extension until Jan. 22 was granted to Dominion
Bridge Corp. and its subsidiaries, Cedar Group of Canada
and Davie Industries Inc., to file their proposal with
regard to creditors, pursuant to their August 11 filing
under Canada's Bankruptcy and Insolvency Act, according to
a newswire report. (ABI 11-Dec-98)


HUNGARIAN TELECONSTRUCT CORP: Reports Operating Results
--------------------------------------------------------
Euroweb International filed a quarterly report with the SEC
for the quarter ended June 30, 1997.  Hungarian
Teleconstruct Corp. reports that for the six months ended
June 30, 1997, the Company incurred a net loss of
$1,887,693; the net loss for the six months ended June 30,
1996 amounted to $786,985.  The acquisition of the Internet
business resulted in goodwill of $1,912,077, which is being
amortized over five years; amortization for the six months
ended June 30,1997 amounted to $191,000.


INTERNATIONAL WIRELESS: Seeks Authorization of Payment
------------------------------------------------------
The debtors, International Wireless and its affiliates seek
authority to make a payment of a capital call in connection
with the debtors' assets in Pakistan.  A hearing to
consider the motion will be held on December 17, 1998 at
2:30 PM before the Honorable Mary F. Walrath, US Bankruptcy
Court for the District of Delaware.

The debtor seeks authority for Pakistan Wireless Holdings
Limited, a debtor in this case, to fund its portion of a
capital call in Pakistan in the amount of approximately
$1,076,749.  Although the debtors believe that this is in
the ordinary course of business, they seek court approval
out of an abundance of caution.  The payment6 of capital
call is a common occurrence in the debtor's business
operations.  The notice of the capital call reuqires it to
be paid by December 20, 1998.


MOBILEMEDIA: Court Approves Disclosure Statement
------------------------------------------------
Clearing the way for its merger with Arch Communications
Group Inc., MobileMedia Corp. announced yesterday that the
bankruptcy court for the District of Delaware approved its
disclosure statement, according to a newswire report. Now
the company will distribute its Third Amended Plan of
Reorganization to creditors for a vote; once it is approved
by creditors and the court, the company will move ahead
with its merger. The plan and statement reflect the terms
of the proposed merger and are scheduled to be distributed
to creditors no later than Dec. 24. The deadline for voting
on the plan is Jan. 27. The court has scheduled a Feb. 3
confirmation hearing. MobileMedia filed chapter 11 on Jan.
30, 1997, and in August of this year, the two companies
announced their merger plans.


NEXAR TECHNOLOGIES: Likely to Begin Insolvency Proceedings
----------------------------------------------------------
Nexar Technologies Inc., Southborough, Mass., announced
that due to the company's inability to obtain new financing
and concern among its creditors, it will soon begin
insolvency proceedings, according to a newswire report.
Nexar anticipates that it will be delisted from Nasdaq as
early as today because of the company's failure to satisfy
Nasdaq listing requirements. (ABI 11-Dec-98)


ONEITA INDUSTRIES: Gets Limited Exclusivity Extension
-----------------------------------------------------
The court extended Oneita's exclusive period to file an
amended reorganization plan to Feb. 18 after its lenders
agreed to support the extension with a provision that they
could file their own plan any time after Dec. 17.  Under
the agreement, any plan of reorganization submitted by
lenders would have to be supported by a majority of the
members of the lenders' group holding at least two-thirds
in amount of the aggregate lenders' claims.  In its request
for a longer period of exclusivity, Oneita asserted the
extension was warranted based on the strides the company
has made during its reorganization, including a hike in its
accounts receivable.  In January, the accounts receivable
and inventory had a face value of $31 million, but by
October, it had grown to nearly $38 million, according to
Oneita. (Federal Filings Inc. 11-Dec-98)


PETRIE RETAIL: Plan Confirmed, Sale To Close Next Week
------------------------------------------------------
The court confirmed a modified version of Petrie Retail
Inc.'s reorganization plan that incorporates the sale of
the retailer to a unit of Urban Brands and provides $3
million more of consideration than their purchase
agreement. The sale of Petrie's remaining assets, with the
exception of 13 leases, is scheduled to close at the end of
next week.  Petrie, the committee, Urban Acquisition Corp.,
and Petrie shareholder Warburg Pincus Ventures L.P. agreed
to modify the sale transaction and plan to provide more
consideration and preserve more than $200 million of net
operating loss carryovers for Warburg.  Warburg has agreed
to assume or waive a total of about $8 million of
administrative claims, including professional fees and fees
related to the debtor-in-possession financing provided to
the retailer, and would pay $12 million of the
consideration provided under the plan, among other things.
(Federal Filings Inc. 11-Dec-98)


POWER CO: Unsecured Creditors To Recover 3% To 7%
--------------------------------------------------
Power Co. of America L.P. estimated that unsecured
creditors, who have asserted more than $368.8 million of
claims, would receive a minimum recovery of 3 percent to 7
percent under the company's liquidating plan of
reorganization. The former electricity-trading company
filed its proposed plan and disclosure statement on Nov.
30, the deadline set by the court in September. The
official committee of unsecured creditors "has worked
closely with the Debtor in the preparation of the Plan,"
which provides for the creation of a liquidating trust. The
recovery estimate for unsecured creditors does not include
any recoveries from causes of action and assumes that each
claim is allowed in the amount asserted. "The ultimate
recovery by holders of Allowed [unsecured] Claims in Class
4 will depend upon the degree to which the Trustee is able
to maximize the Trust Property by collecting receivables,
pursuing claims against various parties and reconciling the
amounts listed in the Debtor's books and records," the
energy marketer noted. (The Daily Bankruptcy Review and ABI
Copyright c December 11, 1998)


STELLEX INDUSTRIES: Switches Accountants
----------------------------------------
On December 2, 1998, the Board of  Directors  of Stellex  
Industries,  Inc. and subsidiaries  resolved  to (i) engage  
Deloitte & Touche LLP as the  independent accountants for
all of Stellex  Industries,  Inc. and  subsidiaries for the
year ended  December  31,  1998  and  (ii)  dismiss   
PricewaterhouseCoopers  LLP  as independent  accountants  
of KII Holding Corp. and  subsidiaries,  a significant
consolidated subsidiary of Stellex Industries, Inc. and
subsidiaries.

PricewaterhouseCoopers  LLP had audited the  consolidated  
balance sheets of KII Holdings Corp. and  subsidiaries  
(formerly  Kleinert  Industries,  Inc.), as of
December  31,  1997  and  1996  and  the  related  
consolidated   statements  of operations,  stockholders'  
equity and cash flows for the six-month period ended
December  31, 1997  (successor)  and June 30, 1997  
(predecessor)  and the years ended December 31, 1996 and
1995 (predecessor).

During the years ended December 31, 1997 and 1996 and the  
subsequent interim period through  December  2,  1998,  (i)  
there were no disagreements with PricewaterhouseCoopers  
LLP on any matter of accounting principles or practices,
financial statement  disclosure,   or  auditing  scope  or  
procedures,  which disagreements if not resolved to its  
satisfaction would have caused it to make reference  in  
connection  with  its  report  to the  subjective  matter  
of the disagreement, and (ii) PricewaterhouseCoopers LLP
has not advised the registrant of any  reportable  events
as defined in paragraph (A) through (D) of RegulationS-K
Item 304 (a) (1) (v).

The independent auditors' report of  PricewaterhouseCoopers
LLP on the consolidated  financial  statement of KII
Holdings Corp. and  subsidiaries as of and for the years
ended  December  31, 1997 and 1996 did not contain any
adverse opinion or  disclaimer  of  opinion,  and was not  
qualified  or  modified as to uncertainty,   audit   scope,   
or   accounting   principles.   


UNISON HEALTHCARE: Resolves All But One Objection To Plan
---------------------------------------------------------
Unison HealthCare Corp. has resolved all but one objection
to its reorganization plan and the eight creditor classes
entitled to vote "overwhelmingly" approved the joint plan,
according to an attorney for the nursing home operator.  On
another front, the court Wednesday approved the company's
$38.2 million deal to sell and leaseback from Omega
Healthcare Investors Inc.(OHI) seven nursing homes, a
transaction that is an important part of Unison's plan.  
While the company had sought to close the deal by Dec. 15
in order to avoid changes to its terms, Omega has agreed to
an extension and the sale/leaseback transaction is on track
to close next month. (Federal Filings Inc. 11-Dec-98)


VOICE IT WORLDWIDE: Taps Accounting Firm Ehrhardt, Keefe
--------------------------------------------------------
The debtor, Voice It Worldwide, Inc. is seeking court
authority to engage Ehrhardt, Keefe, Steiner & Hottman, PC
to perform certain professional services including
preparation of tax returns, and assisting the debtor with
financial information, projections and 5tax planning.  The
firm will charge an hourly rate of $215 for Mr. Steven L.
Schenbeck's work, and associates and other staff members
will charge hourly rates ranging from $55 per hour to $165
per hour.


WINTERSILKS INC: Seeks Authorization to Use Cash Collateral
-----------------------------------------------------------
The debtor, Wintersilks, Inc. is seeking authority to use
cash collateral, in which Graham Webb International Limited
Partnership claims an interest, for the period from January
1, 1999 through April 30, 1999.

The current cash collateral order will expire on December
31, 1998 and unless an order extending the use of cash
collateral is entered, the debtor states that it will be
without the funds available to continue to operate.

The debtor has filed a plan of reorganization and a
Disclosure Statement.  A hearing on approval of the
Disclosure Statement is scheduled to be heard on January
11, 1999.  The debtor anticipates that the Disclosure
statement will be approved.  The debtor requests that the
debtor be granted continued use of cash collateral through
the anticipated date of distribution which is 30 days after
the confirmation date.


DLS CAPITAL PARTNERS: Bond Pricing For Week of 12/7/98
------------------------------------------------------
Following are indicated prices for selected issues:

Acme Metal 10 7/8'07       13 - 16 (f)  
Planet Hollywood 12 '05    44 - 48
Atel 0/14 1/2 '04          15 - 17      
Royal Oak 12 3/4 '06       48 - 52
Amer Pad & Paper 13 '05    56 - 58     
Samsonite 10 3/4 '08       84 - 86
Asia P & P 11 3/4 '05      69 - 71       
Service Merchandise 9 '04  36 - 37
Boston Chicken 7 3/4 '05    4- 5 (f)    
Sunbeam 0 '18              11 - 12
Brazos 10 1/2 '07           6- 9 (f)   
Zenith 6 1/4 '11           16 - 18 (f)
Brunos 10 1/2 '05          14 - 15 (f)
Cityscape 12 3/4 '04       14 - 16 (f)
E & S Holdings 10 3/8 '06  45 - 47
Globalstar 11 1/4 '04      74 - 75
Hechinger 9.45 '12         66 - 69
Hills 12 1/2 '02           51 - 52
Mobilemedia 9 3/8 '07      11 - 13 (f)
Penn Traffic 9 5/8 '05      8 - 9






                ***********

The Meetings, Conferences and Seminars column appears in
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Bond pricing, appearing each Friday, is supplied by DLS
Capital Partners, Dallas, Texas.

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-
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Debra Brennan and Lexy Mueller, Editors.   

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