TCR_Public/990216.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, February 16, 1999, Vol. 3, No. 31

                   Headlines

BMJ MEDICAL: Notification of Late Filing of 10Q
BOYDS WHEELS: Emerges From Bankruptcy
BRAZOS SPORTSWEAR: Meeting of Creditors
CALDOR: Consortium to Conduct Liquidation Sales
CAJUN ELECTRIC: SWEPCO and Co-ops Review Court Decision

COMPASS PLASTICS: Announces Acceleration of Bank Debt
CRIIMI MAE: Applies To Employ Consultants and Experts
CROWLEY, MILNER: Going Out of Business Sales
DOW CORNING: Canadian Court Approves $25 Million Settlement
EATON: Financial Results Are Lower Than Forecast

GEOTEK: Announces Sale of Licenses to Nextel
HAYES: No White Knights - On The Auction Block
HIP HEALTH PLAN: A Warning For HMO Policy Holders
KENETECH WIND: Liquidating Reorganization Plan Confirmed
LIVENT INC: Applies To Hire Special Counsel

MAIDENFORM: Seeks Extension of Exclusivity
MARVEL ENTERPRISES: Completion of Sale of Fleer/Skybox
MCA FINANCIAL: Lists $302 Million in Liabilities
MOBILEMEDIA: Conflict of Interest Could Ruin Merger
PAN AM AIR BRIDGE: Grounded By Trustee

PARAGON TRADE: Committee Approves Chanin and Company
SMITH CORONA: Reports Second Quarter Financial Results              
SYNCRONYS: Prepares to Exit Chapter 11
WIRELESS ONE: Case Summary & 20 Largest Unsecured Creditors
WIRELESS ONE: Prenegotiated Plan of Reorganization

                   *********

BMJ MEDICAL: Notification of Late Filing of 10Q
-----------------------------------------------
BMJ MEDICAL MANAGEMENT, INC. announced on February 12, 1999
that there would be a delay in Filing Form 10Q with the SEC
for the quarter ended December 31, 1998. On December 17,
1998 the Company filed for protection under Chapter 11 of
the United States Bankruptcy Code. The Company is working
diligently to prepare the quarterly report as
soon as may be feasible.

BMJ Medical Management, Inc. is a single specialty
Physician Practice Management Company focused on
musculoskeletal care consisting of orthopaedic  
surgery, physiatry, rheumatology and podiatry as well as
ambulatory surgery centers, MRI diagnostic services and
physical and rehabilitative therapy.  


BOYDS WHEELS: Emerges From Bankruptcy
-------------------------------------
Boyds Wheels, Inc. Of California reports to the SEC in  
FORM 8K, that in a press release dated January 11, 1999,
Boyds Wheels, Inc. and its wholly owned subsidiary, Hot
Rods by Boyd, has emerged from the protection of the
bankruptcy system by confirming a joint plan of
reorganization before the United States  Bankruptcy Court,
Santa Ana Division.  The plan was accepted by 85 percent of  
Boyds Wheels' creditors.(States SEC - 02/13/99)


BRAZOS SPORTSWEAR: Meeting of Creditors
---------------------------------------
The meeting of creditors in the case of Brazos Sportswear,
Inc. is set for March 12, 1999, 10:00 AM, 844 King Street,
Room 2313, Wilmington, Delaware 19801.


CALDOR: Consortium to Conduct Liquidation Sales
-----------------------------------------------
The Bankruptcy Court for the Southern District of New York
has approved the selection of Gordon Brothers Retail
Partners LLC, Schottenstein Bernstein Capital Group LLC and
The Ozer Group LLC to jointly conduct the "going-out-of-
business" sales for Caldor Corp., which is closing all of
its stores in order to liquidate, according to a newswire
report. The consortium purchased the rights to liquidate
the Caldor inventory, and sales are to begin today. On Jan.
22, Caldor announced it would conduct an orderly wind down
of its business, which includes 145 stores on the East
Coast. Caldor has been operating under
chapter 11 protection.


CAJUN ELECTRIC: SWEPCO and Co-ops Review Court Decision
-------------------------------------------------------
Southwestern Electric Power Company and a group of Cajun
Electric distribution cooperatives are reviewing a U.S.  
Bankruptcy Court ruling today that denied confirmation of
their joint reorganization plan and a competitor's plan.  
Although both plans were rejected, the court said its
ruling should provide guidance for the bidders to modify
their existing plans.  No timetable for modifications was
set.

The court also ruled in favor of the group of cooperatives,
known as the Committee of Certain Members, in a major
contractual rights issue that is central to the Cajun case.  
The Committee, SWEPCO, Claiborne Electric Cooperative and
the Louisiana Public Service Commission were co-plaintiffs
in the litigation against the bankruptcy trustee for the
Cajun Electric estate.   The court held that the
cooperatives' existing power supply agreements with Cajun
cannot be assumed in the manner proposed in the
trustee's reorganization  plan.

"While we are disappointed that our joint plan was not
confirmed at this point, we will review the court's
decision carefully and evaluate our options,"
said  Mike Smith, Vice President of Central and South West
Corp. and former President of SWEPCO.  "We will look at
where we hit the mark and the few technical areas where the
court said we fell short in meeting the Bankruptcy Code
requirements. A successful plan must meet the needs of a
number of parties with competing  interests, and it will
take time to review the complex matters in today's  rulings
and determine our course of action," he said.

"We are very pleased that through our joint efforts, the
co-ops and SWEPCO have succeeded in achieving court
recognition of the co-ops' contractual rights,"  Smith
said.

The Committee of Certain Members includes Beauregard
Electric Cooperative, Inc., Dixie Electric Membership
Corp., Jefferson Davis Electric Cooperative, Inc.,
Northeast Louisiana Power Cooperative, Inc., South
Louisiana Electric Cooperative Association and Valley
Electric Membership Corp.  Although it has withdrawn from
the Committee for financial reasons, Washington-St. Tammany  
Electric Cooperative, Inc. has notified the court of its
continuing support of the SWEPCO/Committee plan.

Claiborne Electric Cooperative, Inc. which is not a member
of the committee, also supports the SWEPCO/Committee plan.

Southwestern Electric Power Co., based in Shreveport, La.,
is a subsidiary of Central and South West Corp. (NYSE:
CSR), a Dallas-based public utility holding company.


COMPASS PLASTICS: Announces Acceleration of Bank Debt
-----------------------------------------------------      
Compass Plastics & Technologies Inc. (Nasdaq SmallCap:CPTI)
Thursday announced that it is negotiating with its lenders,
Manufacturers Bank and California Bank & Trust,  
to restructure the terms of indebtedness of the company and
its subsidiaries  that is in default due to failure to
comply with certain financial covenants.

The company received notice from the banks on Feb. 2, 1999,
of acceleration and demand for immediate payment in full of
all amounts due under the loan agreement, aggregating
approximately $12 million. The banks have expressed  
their willingness to forbear exercising their rights and
remedies on a day-to-day basis subject to continued
progress in negotiating a restructuring. The
banks have reserved the right to exercise all of their
rights and remedies at any time.

Compass President & CEO Michael A. Gibbs said: "We are
working diligently to amend our senior lending arrangements
to cure the default. We expect to reach agreement on terms
in the next few weeks."

Compass Plastics & Technologies, through its wholly owned
subsidiaries, AB Plastics Corp. and M.O.S. Plastics Inc.,
is a leading contract manufacturer and assembler of custom
injection-molded plastic components in the western United  
States and Baja, Mexico.

The company manufactures the plastic exteriors of computer
monitors, televisions, electronic keyboards and other
consumer products. In addition to injection-molded
components, the company offers a broad range of "value-
added" services including painting, decorating and assembly
of mechanical and electrical components.


CRIIMI MAE: Applies To Employ Consultants and Experts
---------------------------------------------------
The debtor, CRIIMI MAE Inc. seeks an order authorizing the
employment effective as of December 1, 1998 of David F.
Babbel and LECG, Inc. as a consultant and expert for the
debtor in the adversary proceeding CRIIMI MAE Inc. v.
Citicorp Securities, Inc.  Babbel and LECG are being
employed to provide expert analysis, opinion and evaluation
of repurchase and reverse repurchase transactions and the
nature of the market for such transactions, the transaction
at issue in the adversary proceeding and other related
matters.  Babbel's hourly fee is $425.

The debtor, CRIIMI MAE Inc. seeks an order authorizing the
employment effective as of December 1, 1998 of Timothy J.
Riddiough, Ph.D. as a consultant, expert witness and
financial and real estate economist.  With respect to the
same adversary proceeding referred to above, Riddiough will
provide expert analysis and opinion on the nature of the
commercial mortgage-backed securities market, issues
concerning pricing, liquidity and valuation of commercial
mortgage-backed securities and other related issues and
matters.  Riddiough's rate for services to be provided is
$350 per hour.

The debtor, CRIIMI MAE Inc. seeks an order authorizing the
employment effective as of November 1, 1998 of Howard B.
Hill and Howard B. Hill & Co., LLC as a consultant and
expert for the debtor, to provide expert analysis, opinion
an devaluation of a number of valuation issues with respect
to the same adversary proceeding referred to above.  Hill  
is being employed to provide analysis relating to the value
of the Retained Bonds which are the subject of the
adversary proceeding, the value and performance of the
underlying mortgages, and the methodologies relevant to
valuation, marking to market, use of spreads and other
related issues and matters.  Hill will be compensated at a
rate of $375 per hour.  Hill has received an initial
payment of $15,000.


CROWLEY, MILNER: Going Out of Business Sales
--------------------------------------------
Schottenstein Bernstein Capital Group and The Ozer Group
will jointly conduct sales at 25 Stores in CT, NH, NJ, NY,
VT and MI beginning February 14. The United States
Bankruptcy Court for the Eastern District of Michigan has
approved the selection of Schottenstein  Bernstein Capital
Group LLC and The Ozer Group LLC to jointly conduct the  
"going-out-of-business" sales for the 25 stores comprising
the Crowley, Milner  and Company specialty retail
department store group.

Schottenstein Bernstein Capital Group and The Ozer Group
purchased the rights to liquidate the inventory in 9
Crowley's and 16 Steinbach's stores through Court
authorized sales.  Under their winning bid, they have
purchased an estimated $66 million of merchandise
inventory, and will pay approximately $24 million, or 36.4%
of retail value.

The "going-out-of-business" sales will commence on Sunday,
February 14, and are expected to continue until all
merchandise is sold.  At every Crowley's and Steinbach's
store, all merchandise has been marked down, including the
entire line of men's, women's and children's fashion and
basic clothing.

Yesterday, Schottenstein Bernstein Capital Group and The
Ozer Group were also selected to liquidate the entire 145
store Caldor chain, with an estimated $495 million of
inventory at retail, along with Gordon Brothers LLC.

Crowley, Milner and Company announced on February 5, 1999
that it would conduct an orderly wind down of its business,
subject to Bankruptcy Court approval.   The Company
currently operates 25 stores.  Its Crowley's department
store chain  has 16 stores in Connecticut, New Hampshire,
New Jersey, New York and Vermont.   Its Steinbach's
department store chain has 9 stores in Michigan.


DOW CORNING: Canadian Court Approves $25 Million Settlement
-----------------------------------------------------------                       
A Canadian court has approved a $25 million settlement in a
class action suit involving several thousand women
who  say they suffered injury from silicone breast implants
made by the Dow Corning  Corp.

The Vancouver Sun newspaper reports details of the
settlement will be mailed to an estimated 3,700 to 4,100
Canadians outside of Quebec and Ontario, where  
separate cases were filed.

The settlement requires approval in U.S. courts because Dow
Corning is in bankruptcy.

Those filing claims in the case may each reportedly receive
a $1,200 expedited settlement if there was no disease or
injury and up to $250, 000 for total disability.

Helen Harrington, the case's representative plaintiff, told
the newspaper that individual compensation would depend on
proof of recognized medical conditions, the number of
eligible claimants, level of disability and age when the
symptoms  occurred.

Silicone breast implants became available in 1962. By the
early 1990s, reports of ruptured implants and possible
health effects began emerging.

A court-appointed scientific panel in Birmingham, Ala.,
ruled in December that no link had been established between
the implants and disease but did not rule out the
possibility of damage from ruptured implants.


EATON: Financial Results Are Lower Than Forecast
------------------------------------------------                 
T. Eaton Co. announced its fourth-quarter and year-end
earnings would be "significantly lower" than forecast in
December. The retailer, with 64 outlets across Canada, said
several factors including year-end inventory adjustments,
lower sales, and a high level of discounting at Christmas
would cause it to report lower than expected earnings
before interest, taxes depreciation and amortization
(EBITDA). Eaton's year end was January 31.

The Toronto-based company did not attach a dollar value to
it's earnings revision Friday.  Two months ago, Eaton
warned investors it would post a C$29 million net  
loss in the fourth quarter.

"It's all in the press release. We're not saying anything
else," Eaton President and Chief Executive Brent Ballantyne
told Reuters Friday morning.  Eaton shares fell C$0.75, or
12.1 percent, to C$5.45 in early Friday trade on the
Toronto Stock Exchange.

The retailer first listed on the TSE on April 17, 1998,
after a brush with bankruptcy.

Its stock soared C$1.50 to close at C$6.50 in the final
minutes of the day Monday on rumors Macy's and Bloomingdale
owner Federated Department Stores Inc. might buy all or
some of the beleaguered Canadian company's stores.
Federated made a $1.7 billion bid Thursday for Fingerhut
Cos., killing  that speculation. But other rumors put
Eaton's in the sights of Quebec-based Boutiques San
Francisco Inc. and Toronto's Sears Canada Inc.

"Boutiques San Francisco said they'd wait until Eaton was
backed up against a wall before jumping in," said Christian
Cyr, retail analyst at Montreal brokerage Tasse & Associes.

Sears Canada's chairman, Paul Walters, has been on the
record as being prepared to snap up Eaton outlets at the
right price.  Eaton's earnings warning came as "no
surprise," Cyr said.  "Ever since they came out with their
IPO (initial public offering) I've had  a sell
recommendation out," he added.    ($1=$1.49 Canadian)


GEOTEK: Announces Sale of Licenses to Nextel
--------------------------------------------
Geotek Communications, Inc. (OTC:GOTKQ), announced on
February 12, 1999 that it has agreed to sell all of its 191
900  MHz licenses to Nextel Communications, Inc. ("Nextel")
for a purchase price of $150 million. The sale is subject
to Bankruptcy Court and regulatory approvals, including,
inter alia, the modification to, or vacation of, a Consent
Decree  between, among others, Nextel and The United States
of America, which limits  Nextel's ability to acquire
certain of Geotek's FCC licenses.

Geotek filed for Chapter 11 protection in June 1998. The
sale of its 900 MHz  licenses to Nextel is part of its plan
to pursue the orderly wind-down of its  operations and
liquidation of its assets. Geotek's equity holders are not
expected to receive any distributions pursuant to the
Company's plan of liquidation or reorganization.


HAYES: No White Knights - On The Auction Block
----------------------------------------------
According to a Newsbytes report on February 13, 1999, the
assets of Hayes Corp. [NASDAQ:HAYZQ], the pioneering modem
maker that entered bankruptcy protection last October and
closed its doors at the beginning of January, went on the
auction block today.

Volpe, Brown, Whelan & Co. LLC, of San Francisco, retained
by Hayes to conduct the sale, parcelled out Hayes' assets
into a number of packages, including key product lines,
including its V.90 and V.34 modem products as one  
package, its 336 DVD External Modem, Asynchronous Digital
Subscriber Line (ADSL) products, cable products and legacy
products, among others. The Hayes Europe and Hayes
Asia/Pacific operations were each separate packages, as
were the company's domain names and its customer contacts
and databases.

Altogether, the Hayes assets were divided into 24 separate
lots. Auction information is posted on the Hayes World Wide
Web site at http://www.hayes.com.Today's sales are to  
become final in court next week.

Newsbytes sources said bids were received on at least 20 of
the 24 packages. Volpe, Brown, Whelan officials did not
return telephone calls seeking comment on the auction.

Hayes dominated the modem market in the 1980s, when
compatibility with standards set by Hayes defined modems in
much the same way as compatibility with IBM personal
computers defined PCs. The company began to falter in the  
1990s, though, and in 1996 was forced to file for
protection under Chapter 11 of the Bankruptcy Act for the
first time.


HIP HEALTH PLAN: A Warning For HMO Policy Holders
-------------------------------------------------
The Record Northern New Jersey reports on February 11, 1999
that the 165,000 people covered by HIP Health Plan of New
Jersey should be aware that switching insurance policies is
not likely to be as easy as Governor Whitman promises. Her
pledge this week of "seamless coverage" as HIP is  
liquidated and policyholders move to other insurers paints
a rosy picture. But the reality may be far different.

With HIP's clinic doors closing on March 31, people should
switch to new health insurers as quickly as possible. They
should not wait, even if they love their HIP doctors and
have been with them for years. The longer patients
delay, the longer they risk interruption of their coverage.

The state has ordered competing HMOs to accept all HIP
patients who apply, regardless of any pre-existing medical
conditions, but only until March 31. Under this guarantee,
former HIP patients can't be charged more than the  
new HMO's routine rates. But since HIP charges among the
lowest rates in the state, many people will end up paying
higher premiums.

Consumers should also allow time for filling out and
processing applications for new coverage. There will be
huge inconveniences for some people in choosing new doctors
and in adjusting to receiving their medical care
and diagnostic tests at a variety of facilities. HIP's
network of clinics has most services under one roof.

The most anxiety will be felt by those HIP patients in the
midst of medical treatment for serious conditions such as
cancer or heart disease, by those facing surgery or other
complicated procedures, and by pregnant women.

Although the state is right to provide HIP patients a
safety net, consumer advocates say this huge disruption
could have been avoided entirely.

In 1997, the state allowed HIP to try to bail itself out by
turning over its management to a little-known Virginia
company, PHP Healthcare Corp., that was not equipped to
handle the huge HMO and its financial problems. PHP's New  
Jersey branch, Pinnacle Health Enterprises, is now
bankrupt. Even after the state's takeover late last year,
doctors and hospitals are still owed $65 million.

State health, insurance, and legal officials should have
investigated the HIP bail-out plan deeper, which consumer
advocates say would have revealed red flags about the
Virginia company.

And one final lesson: The millions of New Jerseyans
enrolled in other HMOs should not sit back and relax,
thinking the HIP disaster doesn't concern them. The HMO
industry nationwide is shaky. There have been mergers and
buy-outs in recent months. Experts have financial concerns
about other major HMOs, in addition to the continuing
concerns about the rights of consumers and the  
quality of care that HMOs provide.

Those patients directly affected by the HIP fiasco as well
as all other HMO policyholders have to be informed and
aggressive about their health coverage. They can't leave
their fate to chance. They should be up to date on the
financial conditions of their HMOs and be aware of other
options. It's just too risky to be complacent.


KENETECH WIND: Liquidating Reorganization Plan Confirmed
--------------------------------------------------------
As expected, Kenetech Windpower Inc.'s liquidating
reorganization plan was confirmed just days prior to the
Jan. 29 deadline set forth in the wind plant settlement
agreement. The U.S. Bankruptcy Court in Oakland, Calif.'s
Jan. 27 confirmation order also approves the settlement
agreement, which was finalized the same day. The court
indicated at a Jan. 6confirmation hearing that it would
approve the plan following submission of the settlement
agreement in its final form. The settlement provides that
the various partners in and lenders of the company's wind
power facilities will have their interests classified in
the plan as allowed Class 5 unsecured claims and settles
them for the lesser of the total amount of the other Class
5 allowed claims or $134 million, subject to certain
conditions.(The Daily Bankruptcy Review and ABI Copyright c
February 12, 1999)

  
LIVENT INC: Applies To Hire Special Counsel
-------------------------------------------
Livent (U.S.) Inc., et al. seeks to hire the law firm Rosen
& Slome LLP as special counsel to render legal advice and
assistance to the debtor regarding matters which may arise
where the interests of the debtor and the debtor
subsidiaries would be in conflict.

The parties have agreed to pay the firm a retainer of
$20,000.  The hourly rates of the firm range from $75 per
hour for paralegals to $250 per hour for attorneys.


MAIDENFORM: Seeks Extension of Exclusivity
------------------------------------------
The debtors, Maidenform Worldwide, Inc., et al., seek
an order extending the period during which the debtors have
the exclusive right to file a plan or plans of
reorganization, from the current expiration to and through
July 1, 1999 for filing a plan of reorganization and to and
through August 29, 1999 for soliciting acceptance of such a
plan.  This is the debtors' fifth request for an extension
of such periods, and represents a proposed extension of
each period for approximately four months.

In light of the size and complexity of the debtors cases,
the debtor submits that cause exists for the requested
extension.  The debtors have continued to make significant
progress towards successful rehabilitation.  The debtor
states that its recent monthly earnings and cash flow
performances have been the strongest in several years.  The
debtors are currently implementing their business plan for
1999 and they are engaged in negotiations with the DIP
financing lenders, the pre-petition secured lenders and the
statutory committee of unsecured creditors regarding plan
distribution terms.  They have also commenced tax and
evaluation analyses necessary for the development of a
plan.  The debtors hope to emerge from bankruptcy by the
end of the second or early in the third quarter of 1999.


MARVEL ENTERPRISES: Completion of Sale of Fleer/Skybox
------------------------------------------------------
Marvel Enterprises, Inc. (NYSE: MVL) announced on February
11, 1999 that it has completed the previously announced
sale of Fleer/Skybox International, its trading card
business, for a purchase price of $26 million in cash,
subject to post-closing adjustment, to a newly formed  
private company founded by Alex Grass and his son Roger
Grass.


MCA FINANCIAL: Lists $302 Million in Liabilities
------------------------------------------------
According to the Detroit Free Press, the Chapter 11 filing
by MCA Financial Corp. follows the seizure of the
Southfield, Mich., mortgage company by state regulators.
The company reports $302 million in liabilities and $314
million in assets in its Chapter 11 petition. The IRS is
listed as the largest creditor; it is owed $1.3 million for
1997 taxes. On Jan. 22 MCA shut down and laid off nearly
900 employees when its $185 million line of credit
was about to be severed. The Michigan Financial
Institutions Board then seized the company and named B.N.
Bahadur of BBK Ltd., as conservator. The Board charged MCA
officials with neglect in collecting payments. On
Wednesday, Bahadur said he has obtained about $4.85 million
in financing to enable the company to wind down operations,
pay rent and utility bills at its main office and close to
40 branches, and to pay more than 100 employees. (ABI 12-
Feb-99)


MOBILEMEDIA: Conflict of Interest Could Ruin Merger
---------------------------------------------------
After three days of trial, confirmation of MobileMedia
Communications Inc.'s reorganization plan, which hangs on
its merger with Arch Communications Group Inc. (APGR),
has hit a major roadblock that also could ultimately doom
the merger. The hearing was adjourned Wednesday until
Friday at the request of MobileMedia after the court
expressed a concern about questions of a potential conflict
of interest. The issue has to do with  MobileMedia's sale
to Arch Communications. The reorganization plan calls for
MobileMedia's unsecured creditors to invest $217 million
into Arch through a rights offering for Arch stock, and
that money will be used to help Arch finance the merger
transaction. A group of four MobileMedia creditors, two of
whom sit on the official creditors' committee, are
acting as "standby partners" of the Arch rights in the
event MobileMedia's other creditors opt not to exercise
purchase rights. By virtue of their role on the committee,
the standby buyers have had access to information not
available to other creditors, such as a report by Houlihan
Lokey Howard & Zukin Financial Advisors Inc. that shows
MobileMedia's future to be very bright.(The Daily
Bankruptcy Review and ABI Copyright c February 12, 1999)


PAN AM AIR BRIDGE: Grounded By Trustee
--------------------------------------
Trustee Michael McConnell has temporarily grounded Pan Am
Air Bridge, Miami's seaplane company, because the airline's
insurance had been canceled due to lack of payment, The
Miami Herald reported. McConnell was appointed by a Dallas
bankruptcy judge to oversee the airline, and he said he
intends to get the planes flying again as soon as possible.
TPI, a Texas-based plane leasing company, filed an
involuntary  bankruptcy petition against Flying Boat Inc.,
which does business as Pan Am Air Bridge.  TPI claims it is
owed more than $100,000 in payments for a leased plane, and
other creditors are owed $200,000. The court has not yet
ruled on the claims. Flying Boat Chair Patricia Long said
that TPI actually owes her money and that the appointment
of the trustee jeopardizes the airline's future. She said,
"It's very hard to get insurance when there's a bankruptcy
trustee." Long is head of Air Alaska Commuter Holdings, a
Delaware corporation that bought Pan Am Air Bridge in
January last year. Long had hoped to create an Anchorage-
Miami direct route to create market for the Alaska tourist
in Miami. McConnell maintains his job is to preserve Flying
Boat's assets. (ABI 12-Feb-99)


PARAGON TRADE: Committee Approves Chanin and Company
----------------------------------------------------
The Official Committee of Equity Security Holders filed an
application for approval of its employment of Chanin and
Company, LLC as investment banker.  The US Bankruptcy Court
for the Northern District of Georgia, Atlanta Division,
granted the application and it is approved effective
December 2, 1998.


SMITH CORONA: Reports Second Quarter Financial Results              
------------------------------------------------------
Smith Corona Corp. (Nasdaq:SCCO) Friday reported its
financial results for the second quarter ended Dec. 31,
1998.

The company reported a loss of $6.3 million, or $2.10 per
share, on sales of $12.8 million. For the same period last
year, the company reported net income of $2.2 million, or
$0.78 per diluted share, on sales of $17.0 million.

For the six months ended Dec. 31, 1998, Smith Corona
reported a loss of $11.9 million, or $4.00 per share, on
sales of $23.9 million compared with net income of $0.7
million, or $0.26 per diluted share, on sales of $31.8
million. Last year's results included gains of $3.7 million
and $.5 million on the sale of the manufacturing facility
and extraordinary gains from the company's financial
reorganization, respectively.

Management attributed the decline in sales primarily to
lower volumes globally for typewriters and related
accessories and supplies. Sales of new office  
communications products contributed net sales of $1.9
million for the second quarter and $3.5 million for the six
months, compared with $0.4 million for the
second quarter and six months last year.

"We are continuing to refine our business plan by
emphasizing Smith Corona's long and successful track record
in printed document production and data transmission. We
will be bringing to market competitive new product lines in
inkjet printer supplies, labeling devices and supplies, and
digital photo printers and supplies which we expect to hit
markets in the fourth quarter," stated John A. Bermingham,
president and chief executive officer of Smith Corona.

"By so doing, we will de-emphasize telephony and fax
products, although we will continue to ensure service on
all Smith Corona brand products. We have also expanded our
sales capability and see increased opportunities to market  
our core typewriter and supplies business with visually
appealing models to reach new global audiences."

Bermingham further noted that the company's product
strategy will be focused on revitalizing gross margins,
which fell to 1.2 as a percent of sales in part  
due to telephony and facsimile inventory writedowns, while
minimizing operating expenses.

The company's corporate restructuring program began to take
effect in the second quarter and improvements in selling,
general and administrative expenses are anticipated in the
third and fourth quarters. During the third quarter,
the company will also relocate its headquarters to a more
cost-effective structure in Cortland.


SYNCRONYS: Prepares to Exit Chapter 11
--------------------------------------
Syncronys Softcorp., Marina del Rey, Calif., announced that
it has signed an agreement with Generation Entertainment
Corp. of Scottsdale, Ariz., to develop a CD music web site;
the contract puts the company in a new position as it
prepares to exit chapter 11, the management said, according
to a newswire report. Syncronys filed chapter 11 on July
15.  The web site will feature more than 250,000 titles
available in CD, DVD and Video Programming. (ABI 12-Feb-99)


WIRELESS ONE: Case Summary & 20 Largest Unsecured Creditors
-----------------------------------------------------------
Debtor:  Wireless One, Inc.
         2506 Lakeland Drive
         Jackson, MS 39208

Court: District of Delaware

Case No.: 98-95   Filed: 02/11/99    Chapter: 11

Debtor's Counsel: William H. Sudell, Jr.
                  Morris, Nichols, Arsht & Tunnell
                  1201 North Market Street
                  P.O. Box 1347
                  Wilmington, Delaware 19899-1347
                  (302) 658-9200

Total Assets:            $278,895,025
Total Liabilities:       $363,886,908
                                                   No. of
No. of shares of common stock         16,940,064       233

20 Largest Unsecured Creditors:

   Name                                             Amount
   ----                                             ------
United States Trust Company of New York         172,300,000
United States Trust Company of New York         150,000,000  
Mississippi EDNET                                 1,693,218
MS ED NET Institute, Inc.                         1,625,000
HBO                                                 448,171
Rendall & Associates                                354,578
Southern Comm. Contractors                          302,132
ESPN                                                243,924
BT Alex Brown, Inc.                                 243,750
SHOWTIME                                            210,487
Passive Devices, Inc.             180,570
Disney            141,102
Library of Congress          140,000
Hinds County Tax Collector         134,405
US Fleet Leasing           124,855
Blue Cross Blue /Shield of MS        118,937
TNT             105,748
NICK             101,306
Viewer's Choice                           98,749
Sunmark Temporary Staffing                           94,461


WIRELESS ONE: Prenegotiated Plan of Reorganization
--------------------------------------------------
Wireless One, Inc. (OTC Bulletin Board - WIRL) announced
today that it has reached an agreement for a financial
reorganization with certain holders of its two series of
unsecured senior notes (collectively, the "Senior Notes"),  
including the members of the unofficial ad hoc committee of
holders of the Senior Notes (the "Committee"). Pursuant to
the Bondholders Agreement, Wireless One will file a
voluntary petition today under Chapter 11 of the U.S.  
Bankruptcy Code in the United States Bankruptcy Court for
the District of  Delaware in Wilmington (the "Court").

Under the plan contemplated by the Bondholders Agreement,
Wireless One will eliminate the approximately $327 million
of indebtedness represented by the Senior Notes, allowing
it to continue operations on a stronger financial  
footing.

Concurrently, Wireless One announced that at the time of
filing it will seek Court approval of a proposed agreement
providing for approximately $18.9 million in debtor-in-
possession ("DIP") financing. Proceeds of the DIP  
financing will be used to refinance approximately $14.9
million of principal, interest and related fees on
outstanding notes that the DIP lender had purchased under a
pre-petition Senior Secured Discretionary Note Facility, to  
pay certain transaction costs and expenses, and to finance
the Company's business plan during the bankruptcy
proceedings.

Henry Burkhalter, president and chief executive officer of
Wireless One, said the Company expects to continue to
provide uninterrupted service to its video and data
subscribers and customers and continue to pay its employee
salary, wages and benefits throughout the reorganization
process. The Company stated that it will seek immediate
Court approval to pay prepetition debt owed to  
trade creditors who continue to do business with the
Company on the same terms  that they did prior to the
filing of the petition.

"Since we began to work on restructuring our finances last
year, our objective has always been to limit the impact on
our operations," Burkhalter said.  "Filing with a
prenegotiated agreement under Chapter 11 allows
Wireless One both the stability to effectively restructure
its finances and the capacity to  continue normal
operations and emerge a stronger, more viable Company."

The Bondholders Agreement contemplates that the Company
will file and seek approval of a plan of reorganization
under which the holders of the Senior Notes would receive
96 percent of the outstanding common stock of the  
reorganized company in exchange for cancellation of the
Senior Notes. Existing stockholders of the Company would
receive, in exchange for the cancellation of the existing
common stock of the Company, 4 percent of the common stock
of the reorganized Company, together with warrants to
purchase 10 percent of the new common stock on a fully
diluted basis.

Under the Bondholders Agreement, a new employee stock
option plan would be adopted and certain employees would be
provided with other incentives to complete the
reorganization and work to increase the Company's
enterprise value after completion of the reorganization.

The Company stated that it expects to file a plan of
reorganization and a disclosure statement reflecting the
terms of the Bondholders Agreement as soon as possible. The
noteholders who have signed the Bondholders Agreement have  
represented to the Company that they hold an aggregate of
approximately 46 percent of the outstanding Senior Notes.
In addition, the Company stated that it has had discussions
with certain other noteholders and expects that additional
holders of approximately an aggregate of seven percent of
the outstanding Senior Notes will agree to the terms of the
Bondholders Agreement, which would bring the total amount
of Senior Notes subject to the Bondholders Agreement to
approximately 53 percent of the outstanding Senior Notes.  
Confirmation of a plan of reorganization will be subject to
approval of the Court and will require, among other things,
approval of the plan by a majority of the voting
noteholders who must hold at least two-thirds in amount
of the  claims represented by the Senior Notes. Completion
of the reorganization will also require consent of the
F.C.C.

The Bondholders Agreement assumes that certain asset
dispositions will be made or additional financing will be
obtained, subject to Committee and Court approval, in order
to repay the DIP financing and provide the Company with  
adequate working capital after its emergence from
bankruptcy. The Company has no agreements providing for any
asset dispositions or financing, and there
can  be no assurance that any such dispositions will occur
or that such financing  will be available.

The agreements relating to the DIP financing are publicly
available through the Court. Term sheets summarizing the
terms of the plan of reorganization contemplated under the
Bondholders Agreement and the terms of the DIP  
financing, and certain other information, will be contained
in a Current Report on Form 8-K filed by the Company with
the Securities and Exchange Commission.  

Wireless One, Inc., a Broadband Wireless Access provider,
owns, develops and operates wireless video and data systems
in eleven contiguous states in the Southeast U.S. The
Company's exclusive licenses in the Multi-point Multi-
channel Distribution System ("MMDS") and Wireless
Communications Spectrum ("WCS") allow them to reach an
estimated 7,700,000 households and 700,000 businesses in 67
markets. The Company currently has over 104,000
subscribers.

                   *********

The Meetings, Conferences and Seminars column appears
in the TCR each Tuesday.  Submissions via e-mail to
conferences@bankrupt.com are encouraged.  

Bond pricing, appearing in each Friday edition of the TCR,
is provided 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-
published by Bankruptcy Creditors' Service, Inc.,
Princeton, NJ, and Beard Group, Inc., Washington, DC.  
Debra Brennan and Lexy Mueller, Editors. Copyright 1999.  
All rights reserved.  ISSN 1520-9474.  

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