/raid1/www/Hosts/bankrupt/TCREUR_Public/010115.mbx     T R O U B L E D   C O M P A N Y   R E P O R T E R     

                       E U R O P E

       Monday, January 15, 2001, Vol. 2, No. 10
       
                       Headlines


* B E L G I U M *

LERNOUT & HAUSPIE: Philips Expresses Interest in Acquisition
LERNOUT & HAUSPIE: Unions Agree to Job Cuts
REAL SOFTWARE: Chairman Asked to Step Down

* F R A N C E *

BALSAN: Associated Weavers is New Owner

* G R E E C E *

OLYMPIC AIRWAYS: Privatization Attracts Five Bidders

* I R E L A N D *

CO MAYO: 220 Jobs Lost in Factory Shutdown
VENSTAR MEATS: BSE Crisis Cause Plant Closure

* N E T H E R L A N D S *

LETSBUYIT.COM: Merger Talks With Dealpartners.com   

* P O L A N D *

HUTA KATOWICE: State Refuses Financial Aid

* R U S S I A *

MEDIA-MOST: Moscow Court Postpones Bankruptcy Ruling
MEDIA-MOST: Prosecutors Search Moscow Office
NTV: Gazprom-Media Halts Sale

* S W E D E N *

PROSOLVIA AB: Administrators Seek SKr 1.4bn from Former Management  

* U N I T E D   K I N G D O M *

ANGLO AMERICAN: Liquidation Proceedings
AVCO TECHNOLOGIES: Liquidation Proceedings
CONSUMER INSURANCE: Liquidation Proceedings
CORUS: Shares Dip as Strike Threat Looms
EQUITABLE LIFE: Accountants Face Probe
GRACE ADVERTISING: Liquidation Proceedings
HALIFAX LOAN: Liquidation Proceedings
METROCAB: Administrators Cut 170 Jobs
SCOOT.COM: Sales Drop 34 Percent
TEAMWORKS ADVERTISING: Now in Voluntary Liquidation


=============
B E L G I U M
=============

LERNOUT & HAUSPIE: Philips Expresses Interest in Acquisition
------------------------------------------------------------
Royal Philips Electronics NV said it is interested in purchasing
parts or all of Lernout & Hauspie Speech Products NV but talks
have yet to start.  Spokesman Peter Schaffels was quoted by AFX as
saying Philips is following the situation as interest. He said
that the company will look into acquisition opportunities if they
arise, hinting on Philips' "considerable" presence in similar
markets.

He however declined to comment of the sales figures of Philips'
mobile handsets. Last January 9, Nokia Corp. released its 2000
sales report which came in below market expectations. Schaffels
said Philips' target is 14 million handsets -- he did not say
whether the target was achieved.
  

LERNOUT & HAUSPIE: Unions Agree to Job Cuts
-------------------------------------------
Lernout & Hauspie Speech Products NV said an agreement with the
labor unions has been reached.  A statement to AP Online said, 60
workers will be laid off in its Ieper headquarters.  Fifty-one are
full-time workers while 9 are temporary.

In an earlier announcement, Cahirman Roel Pieper said, L&H plans
to reduce its global workforce from 5,800 to 1,200.  He said that
80 to 100 of these cuts would be in Belgium.   


REAL SOFTWARE: Chairman Asked to Step Down
------------------------------------------
Real Software co-founder Rudy Hageman is under strong pressure to
step down as chairman of the Belgian IT services company, De
Standaard reported on Wednesday. Although the company did not
issue an official statement, the newspaper report said Hageman
will make an announcement this month. Observers believe that the
move is linked to concerns over the company's debt level and the
troubles experienced by its U.S. subsidiary after the acquisition
of Tava Technology in July 1999.

Reuters relates that Real Software shares will exit the Bel-20
blue chip index on February 1.  Tuesday's trading closed at
Euros6.55, a far cry from last year's high of Euros93.40.


===========
F R A N C E
===========

BALSAN: Associated Weavers is New Owner
---------------------------------------
Associated Weavers International, a Belgian carpet manufacturer
has been granted court approval to acquire French company Balsan
and its subsidiary Dalsan.  According to a Reuters report on
January 10, the French commercial court in Chateauroux, France
approved the takeover of both companies.  In a statement,
Associated Weavers said a limited capital increase to finance the
acquisition will contribute positively to group results.


===========
G R E E C E
===========

OLYMPIC AIRWAYS: Privatization Attracts Five Bidders
----------------------------------------------------
The planned privatization of the Greek national carrier has
attracted five bidders, government spokesman Dimitris Reppas said
last week. He did not identify bidders for the 65 percent stake in
Olympic, but eKathimerine's sources said these include U.S. firm
Chrysler Aviation, Japanese bank Sanwa, shipowner Stamatis Restis
and the Association of Civil Aviation Pilots. More bids are
expected to come before the January 31 deadline.  So far, only
Cyprus Airways has openly expressed its interest Olympic.


=============
I R E L A N D
=============

CO MAYO: 220 Jobs Lost in Factory Shutdown
------------------------------------------
Irish car components factory Co Mayo closed down its Ballina
components plant on January 11 resulting to the loss of 220 jobs.
Wage inflation was blamed for the shutdown. Irish Independent
said, production at the Henniges Elastomers plant will be
transferred to Germany by its American parent company.

Michael O'Donnell, general manager of Henniges' Ballina factory
said the plant would be phased out over the next seven to eight
months to attract another investor. Henniges Elastomers which
manufactures parts for car makers such as Opel, BMW, Mercedes and
Audi.


VENSTAR MEATS: BSE Crisis Cause Plant Closure
---------------------------------------------
James Murray, plant director of Venstar (Ireland) Meats blames the
ongoing BSE crisis as the culprit to the closure of a factory in
Jamestown, Co Leitrim.  After only seven months in operation, the
factory, which employs 45 workers, was closed because its European
and international markets collapsed. Murray explains that the
cattle destruction scheme has rendered the commercial price of the
cattle beyond what was viable.

Moyvalley Meats, another beef processing plant in Monaghan in
Lough Egish near Carrickmacross, is also closing due to lack of
confidence in Irish beef. Workers were told that markets in
Germany, India and Indonesia crashed.


=====================
N E T H E R L A N D S
=====================

LETSBUYIT.COM: Merger Talks With Dealpartners.com   
-------------------------------------------------
French-based Internet retail Dealpartners.com is in exploratory
talks with e-tailer Letsbuyit.com for a possible alliance or joint
venture.  Jason Stanard, UK managing director of Dealpartners
said, the company's owners, such as Netpartners and PINO ventures
support the talks. "They are interested in seeing what
opportunities may be there." News of the talks encouraged trading
of Letsbuyit shares. It gained six eurocents from Tuesday's low of
0.27 euros to stand at 0.35 euros. Letsbuyit is also in talks with
court-appointed administrators over a possible rescue package.
Stanard said, the company might be in talks with other possible
buyers as well.

Reuters reports that Dealpartners has recently acquired French e-
tailer Clust while Netpartners operates the auction site QXL
Ricardo. PINO Ventures has investments in Italian telecom and
Internet group Tiscali.


===========
P O L A N D
===========

HUTA KATOWICE: State Refuses Financial Aid
------------------------------------------
Poland's treasury ministry has denied the request of the country's
largest steel mill for zlotys 660 million in financial aid to keep
it running. Reuters said, the ministry has declined to directly
increase the mill's capital or guarantees its banking loans. In a
news conference, Edward Nowak, deputy economy minister in charge
of the steel sector said, the final decision rests on the whole
cabinet. He said that the treasury ministry might support Huta
Katowice if this will lead to the mill's privatization. He goes
further to say that the firm has no acceptable restructuring plan.
"It is not fair to simply stand up and ask for more funds,
Katowice has to change its structure of production."

Huta Katowice warns that a government refusal might lead to
insolvency. It is one of biggest employers in the industrial
region of southern Silesia and a key supplier of steel products.

Katowice's debts topped two billion zlotys last year and creditor
banks have repeatedly threatened to cease financing the state-
owned company.  


===========
R U S S I A
===========

MEDIA-MOST: Moscow Court Postpones Bankruptcy Ruling
----------------------------------------------------
The Moscow arbitration court delayed its decision on the
bankruptcy case of Media-Most and its subsidiary TNT television.
The court postponed its ruling to the end of January after TNT
lawyers requested for a tribunal of three judges citing the
importance of the case.  However, the court will hear the case of
two other Media-MOST subsidiaries -- NTV television and satellite
channel NTV Plus -- as scheduled on January 17.

Last month, Moscow's tax inspectorate announced that it had filed
a suit seeking the liquidation of Media-MOST and its television
subsidiaries for insufficient assets to cover debts.


MEDIA-MOST: Prosecutors Search Moscow Office
--------------------------------------------
Russian prosecutors searched the central Moscow office of the
Media-MOST group, owned by media tycoon Valdimir Guzinsky. Agence
France-Presse said the Wednesday search concentrated on the office
of Andrei Tsimailo, believed to be Guzinsky's right-hand man and
the person responsible for Media-MOST financial dealings. Media-
MOST told AFP that Russian agents and representatives from the
office of the prosecutor general entered the their offices and
demanded documents from the staff.

Guzinsky is under house arrest in Spain awaiting extradition. He
is facing fraud and embezzlement charges in Russia over a deal
with gas company Gazprom, Media-MOST's largest shareholder and
creditor. He maintains that the case against him is politically
motivated. Media-MOST, the biggest independent media group in
Russia is critical of the policies of Russian President Vladimir
Putin.


NTV: Gazprom-Media Halts Sale
-----------------------------  
Russia's Gazprom-Media said it is discarding the December 28 sale
deal of NTV to Deutsche Bank after Media-Most, a major shareholder
of NTV "failed to fulfill its obligations."  Gazprom-Media and
Media-Most, both major shareholders of NTV earlier agreed to sell
25 percent of NTV to a recognized international investor through
Deutsche Bank.  

In a statement made available to Reuters, Gazprom-Media said
Media-Most must conform to the sale agreement it reached with
Deutsche Bank.

For its part, Media-Most refuses to recognize the December 28
accord between Gazprom and Deutsche Bank. Dmitry Ostalsky, a
spokesman for Media-Most said "This bilateral agreement
contradicts the agreement between Gazprom and Media-Most." He said
that Media-Most has filed a suit against a Gazprom-Media unit and
Deutsche Bank in London and Gibraltar for violating the
settlement.


===========
S W E D E N
===========

PROSOLVIA AB: Administrators Seek SKr 1.4bn from Former Management  
------------------------------------------------------------------
The administrators of Prosolvia AB are asking the company's former
management for SKr 1.4 billion representing the difference in
value of the bankrupt estate from the time of its listing.  The
January 8 edition of Dagens Industri said the company's estate is
now only worth SKr 196 million from a previous value of nearly SKr
1.6 billion.


===========================
U N I T E D   K I N G D O M
===========================

ANGLO AMERICAN: Liquidation Proceedings
----------------------------------------
Company Name: Anglo American Energy Ltd
Previous Name:
Company No: 3167679
Com. Business: Oil & Gas Participants
Appointed on: 05/12/00
Type: Members
Appointed by: Members
Liquidators: Robert S Palmer IPno: 5531
Firm Name: Gallagher & Co
Address: 7 Bedford Square
City Postcode: London WC1B 3RA


AVCO TECHNOLOGIES: Liquidation Proceedings
-------------------------------------------
Company Name: Avco Technologies Ltd
Previous Name:
Company No: 2040294
Com. Business: Manufacturers of Aircraft
Appointed on: 04/12/00
Type: Members
Appointed by: Members
Liquidators: Malcolm E Cork IPno: 1841
Firm Name: Moore Stephens Booth White
Address: 1-2 Little King Street
City Postcode: Bristol BS1 4HW


CONSUMER INSURANCE: Liquidation Proceedings
-------------------------------------------
Company Name: Consumer Insurance Services Ltd
Previous Name:
Company No: 3270601
Com. Business: Insurance Administration
Appointed on: 04/12/00
Type: Creditors
Appointed by: Members
Liquidators: Henry Lan IPno: 8188
Firm Name: David Rubin & Co
Address: Pearl Assurance House 319 Ballards Lane
City Postcode: London N12 8LY


CORUS: Shares Dip as Strike Threat Looms
----------------------------------------
Shares in the Anglo-Dutch steel company Corus slipped in
Thursday's trading as news of an impending strike reached traders.
Reuters said the stock dipped nearly four percent early Thursday
afternoon, but  later improved to 75-3/4 pence, down only 3.5
percent.  Analysts say this is still better that the seven-year
low of 46 pence in October 2000.  Brett Olsher of JP Morgan told
Reuters, the company was attractive based on a historical price-
book multiple of around 67 percent. He said savings of up to 700
million pounds may be generated by the business overhaul resulting
in 15 pence per share after tax.

The news of the strike comes after the announced dismissal of
4,500 workers from UK's two biggest plants. Corus plans to cut
costs by 450-500 million pounds per year.


EQUITABLE LIFE: Accountants Face Probe
---------------------------------------
The Institute of Chartered Accountants in England & Wales will
investigate the accountancy firms that audited troubled mutual
insurer Equitable Life. A spokesman for the institute said, the
professional body has supervisory capacity under the Companies Act
of 1989 and will consider the function of its members who rendered
professional services to the management of Equitable Life
Assurance Society.

The spokesman adds that the institute will determine if the
investigation will follow its own internal arrangements or jointly
with The Institute of Chartered Accountants in Scotland. Reuters
say Ernst and Young did Equitable's 1999 audit, but the institute
spokesman did not name which among the "number of firms" will be
probed.  He said that not all of them will necessarily face
investigation.


GRACE ADVERTISING: Liquidation Proceedings
------------------------------------------
Company Name: Grace Advertising Ltd
Previous Name:
Company No: 2545596
Com. Business: Advertising
Appointed on: 01/12/00
Type: Creditors
Appointed by: Creditors and Members
Liquidators: R L H Knight IPno: 2231
Firm Name: Morgan
Address: The White Cottage 19 West Street
City Postcode: Epsom KT18 7BS


HALIFAX LOAN: Liquidation Proceedings
--------------------------------------
Company Name: Halifax Loan Notes Ltd
Previous Name: Hackremco (No 1683) Ltd
Company No: 4013310
Com. Business: Investment Co
Appointed on: 01/12/00
Type: Members
Appointed by: Members
Liquidators: David J Pallen IPno: 5317 Michael D Rollings 8107
Firm Name: Ernst & Young
Address: Rolls House 7 Rolls Building Fetter Lane
City Postcode: London EC4A 1NH


METROCAB: Administrators Cut 170 Jobs
-------------------------------------
Metrocab administrators from the accountancy firm Leonard Curtis
have dismissed 170 workers citing "difficult conditions in the
taxi industry."  Partner Jonathan Schapira told the Evening
Standard they are anticipating a quick sale of the Staffordshire-
based taxi maker but no buyer has since made an offer. In the
meantime, production at Tamworth remain suspended and the board
has found it necessary to make the workforce redundant.

Metrocab's rival cab manufacturer Manganese Bronze has expressed
no interest in acquiring the firm - it already controls 85% of the
London market with its Fairway and TX-1 cabs. Bob Oddy, general
secretary of the Licensed Taxi Drivers Association said, rising
fuel and insurance cost contribute to the industry's uncertainty.
Manganese Bronze revealed, sales of its cabs are down 30 percent
this financial year. In November it recall its TX-1s units for
steering wheel safety checks.

Metrocab, previously a part of Reliant motor group, was bought out
of receivership in 1991 by the London coachbuilder Hooper. Now,
it's up for sale again.


SCOOT.COM: Sales Drop 34 Percent
--------------------------------
The online business directory Scoot.com suffered financial losses
in the past year despite an 85 percent increase in its subscriber
base for the last quarter, Silicon.com said. The increase of
subscribers from 25,589 to 55,658 in the three months to 29
December eclipsed third quarter losses of pounds 38 million. Sales
dropped 34 percent to pounds 10.1 million and long term debt
stands at pounds 61.10 million.  Wright Investors' Service profile
place the company's total liabilities (i.e., all monies owed) at
78.18 million pounds.


TEAMWORKS ADVERTISING: Now in Voluntary Liquidation
---------------------------------------------------
Interactive ad agency Teamworks Advertising is now into voluntary
liquidation.  It has appointed Harrison's as its administrator and
has dismissed it 40 employees. Operations director Austin Heraty
said, the board reached the decision after considering their
clients' questionable commitment to marketing spending and its
marketing forecasr for 2001.

Among the agency's clients are Hewlett-Packard, Symantec UK,
Datatec, Novartis, Cybex, Logical, Global Telematics, Codemasters
and Racal.

Heraty told the Net Imperative that Teamworks had considered a buy
out but could not get enough commitment from its clients, pre-
dominantly HP, for the company to be considered a safe option.

Similar announcements have been made recently. Engage plans to
trim its staff by 50 percent; 24/7 Media has reduced its staff by
17 percent and is rumored to be looking for a buyer; add paper
failed to meet its expected sales target; and US based
Advertising.com has unveiled plans to cut a quarter of its staff.



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 -- Europe is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Trenton, NJ USA,
and Beard Group, Inc., Washington, DC USA. Lexy Mueller, Jessie
Elumba and Cristina Pernites Editors.

Copyright 2001.  All rights reserved.  ISSN 1529-2754.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing  and photocopying) is strictly prohibited without prior
written permission of the publishers.  

Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

The TCR Europe subscription rate is $575 per half-year, delivered
via e-mail.  Additional e-mail subscriptions for members of the
same firm for the term of the initial subscription or balance
thereof are $25 each.  For subscription information, contact
Christopher Beard at 301/951-6400.


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