/raid1/www/Hosts/bankrupt/TCREUR_Public/010515.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
Tuesday, May 15, 2001, Vol. 2, No. 95
Headlines
* B E L G I U M *
SABENA SA: Cancels Seven European Flights
* C Z E C H R E P U B L I C *
CKD BLANSKO: Cash and Capital Acquires Bankrupt CKD
DESTA DECIN: Owes Creditors 500 Million Korunas
KOMERCNI BANKA: B.C.L. Trading to Sue KB
VITKOVICE: Bad Deals Cost Vitkovice Millions
* G E R M A N Y *
PHILIPP HOLZMANN: Appoints Joachim Manke on Management Board
TELDAFAX AG: TelDafax Remains Connected After Ruling Delayed
* I R E L A N D *
WEXAL INTERNATIONAL: Wexal Plant to Close
* I T A L Y *
ALITALIA-LINEE: Posts First Quarter
Net Loss of 387 Billion Lire
HDP: First Quarter Net Loss Widens
* N E T H E R L A N D S *
AD PEPPER: Closes Unprofitable Branch Operations
* S W E D E N *
BOLIDEN LIMITED: In Debt Talks With Investors
FRAMFAB AB: Divests Framfab Technology
* S W I T Z E R L A N D *
ANDRE & CIE: Winding Up Operations
* U N I T E D K I N G D O M *
BRITISH TELECOM: BT Boss Rings Up 2.9 Million Pounds
MARKS & SPENCER: Head of Women's Wear Quits
=============
B E L G I U M
=============
SABENA SA: Cancels Seven European Flights
------------------------------------------
Sabena Airlines had to cancel seven European Flights on Friday
after a strike broke out among technical maintenance workers in
Brussels demanding a general pay increase, the May 11 edition of
AFX News said.
The unions had a meeting that day with a mediator at the ministry
of Labor together with Sabena, said Sabena spokesman Wilfried
Remans.
===========================
C Z E C H R E P U B L I C
============================
CKD BLANSKO: Cash and Capital Acquires Bankrupt CKD
----------------------------------------------------
Domestic Cash and Capital has acquired bankrupt engineering firm
CKD Blansko for less than 200 million korunas, Czech AM said
Thursday.
Blansko board of directors chair Miroslav Raska reported that the
turbine producer plans to raise annual revenues to 800 million
korunas within two years.
CKD Blansko has been under bankruptcy proceedings since 1997.
DESTA DECIN: Owes Creditors 500 Million Korunas
------------------------------------------------
Bankrupt forklift maker Desta Decin owes its creditors
approximately 500 million korunas, which is twice as large as its
total assets, Czech AM reported Wednesday.
The bankruptcy administrator Narcis Tomasek reported the company
had sold assets and property worth 100 million korunas.
KOMERCNI BANKA: B.C.L. Trading to Sue KB
-----------------------------------------
Barak Alon, the owner of Austria-based B.C.L. Trading, which
allegedly caused Komercni Banka losses of 8 billion korunas,
reported that B.C.L. will sue KB for damages worth 15 billion
korunas, Czech AM said Wednesday.
An Austrian court recently refused a KB bankruptcy petition
against B.C.L. Trading. Komercni Banka says it will appeal the
decision.
VITKOVICE: Bad Deals Cost Vitkovice Millions
---------------------------------------------
The Moravian steelworks company Vitkovice lost nearly 500 million
korunas due to unprofitable contracts signed by former members of
management, Czech AM said in its May 11 report.
Since last year, the present management has filed eight criminal
complains in connection with suspected tunneling at the company.
CEO Vaclav Novak confirmed that the company had filed complaint
against Herbert Batliner, head of Liechtenstein-based Nalko.
=============
G E R M A N Y
=============
PHILIPP HOLZMANN: Appoints Joachim Manke on Management Board
-------------------------------------------------------------
The Supervisory Board of Philipp Holzmann AG appointed Dr.
Joachim Manke a new member of the Board of Management with effect
from 1 August 2001. In this function, he will be responsible for
Accounting, Controlling, Risk Management and Information
Management, a May 11 company press release said.
Dr. Manke, 50, held executive positions at Leybold AG, Hanau
since 1988; his last function there was that of a member of the
board of management responsible for HR and Finance. From 1994, he
was the sole managing director of Balzers und Leybold Deutschland
Holding AG as the legal successor of Leybold AG. Since 1 July
2000, the graduated economist has been active as a freelance
management consultant.
Dr. Jrgen M. Tressin is resigning from the Board of Management
of Philipp Holzmann AG on his own initiative and by mutual
agreement with the company in order to focus on new professional
challenges.
TELDAFAX AG: TelDafax Remains Connected After Ruling Delayed
-------------------------------------------------------------
TelDafax AG said it would remain in operation for the time being
after a court postponed a ruling on an appeal by Deutsche
Telecom, the May 10 edition of Reuters said.
The struggling German telecom, which rents network capacity from
Deutsche Telekom, was cut off by the former monopolist after it
failed to pay 90 million marks ($40.59 million) it owed for line
rental.
Last month a district court in Cologne upheld a temporary
injunction from TelDafax obliging Deutsche Telekom to return
access to its network, a decision Telekom immediately appealed.
TelDaFax, which filed for insolvency in April, said the district
court had delayed a decision on the appeal until May 25, allowing
it to continue with its principal appeal against Deutsche
Telekom.
"The postponement, which we expected, confirms our position,"
TelDaFax administrator Bernd Reuss said in a statement. "We will
now be able to file our main appeal without further delay by June
15," he said, adding that a final decision was not expected until
the beginning of next year.
=============
I R E L A N D
=============
WEXAL INTERNATIONAL: Wexal Plant to Close
------------------------------------------
Wexal International, the manufacturer of radiators and air
conditioners for the automobile industry in Ireland will close
down its plant with the loss of 150 workers, Irish Independent
reported Friday.
Workers were informed that it would stop production in July after
a decision at a board meeting on Wednesday attended by members of
its parent company from Geneva, Alcoa.
The slowdown in the European economy cause the firm to reduce
production in March when employees were asked to choose between
sacrificing some of their holidays and temporary lay-offs.
Managing director Patrick Helft said the reason for the move was
that the Enniscorthy plant had become un-competitive.
=========
I T A L Y
=========
ALITALIA-LINEE: Posts First Quarter Net Loss of 387 Billion Lire
-----------------------------------------------------------------
Italian airline Alitalia SpA reported a first quarter net loss of
387 billion lire, against a loss of 364 billion in the same
period a year earlier, according to a report on the ANSA news
agency citing a draft document of the first quarter results, AFX
News said in its May 11 edition.
The company refused to comment on the accuracy of the report,
saying only that the company would not officially release results
until May 14, 2001.
Gross operating loss was 236 billion lire, increasing from 221
billion and the operating loss was 374 billion, compared to 354
billion.
Last year the struggling airline posted a net loss of 495 billion
liras (158 million pounds).
HDP: First Quarter Net Loss Widens
-----------------------------------
HdP reported a first quarter net loss of 56.7 million euros
versus 10.1 million euros in 2000, Reuters said Friday.
The Italian media and fashion holding company controls fashion
companies including Fila and publishes Italy's leading daily
newspaper Corriere della Sera, also reported a first-quarter
operating loss of 47.5 million euros, against 900,000 euros in
2000.
HdP said it expected to reverse the operating loss and post an
operational profit for the full year.
=====================
N E T H E R L A N D S
=====================
AD PEPPER: Closes Unprofitable Branch Operations
-------------------------------------------------
Ad pepper media International N.V., a leading international
marketer of Internet advertising, eSponsorships and eCommerce
solutions, has today disclosed that its unprofitable sales
offices in the United States, Austria and Switzerland will be
closed in the course of the next few weeks, according to a press
release in Frankfurt Stock Exchange May 10, 2001.
By taking decisive action, ad pepper media will consolidate its
operations and focus its attention on the large Key European
markets where it has already achieved significant market share and
where profitability is most achievable in the near term.
The volatility and depressed Situation currently characterizing
the American online advertising market, conditions which emerged
shortly after ad pepper media's entry into that market, according
to CEO Ulrich Schmidt, "also suggest that we cannot reasonably
expect profitability there even in the medium term."
Hence, according to Schmidt, withdrawal from this market by ad
pepper media is "an imperative for delivering Shareholder Value".
Despite this development, ad pepper media advertising customers
will still be able to book online campaigns reaching U.S.
audiences through ad pepper's co-operative agreements with local
marketers. The Austrian and Swiss markets which have, at the same
time, proven to be too small to warrant a continued local presence
given the difficulty of achieving the necessary critical mass for
reaching profitability, will be handled in the future by ad pepper
media's existing German offices.
The costs of this restructuring, including the closing of branch
offices, is estimated at EUR 750,000 and will be accounted for in
the Second Quarter of the current year 2001.
With this action, ad pepper media management takes difficult but
meaningful steps toward profitability for the total enterprise,
directing the future focus of the Company toward build-out of its
position as one of the leading European online networks, with
local sales offices in the key core markets.
===========
S W E D E N
===========
BOLIDEN LIMITED: In Debt Talks With Investors
----------------------------------------------
The Swedish-Canadian mining and metals company Boliden Limited
has confirmed reports in the Swedish media that the company is in
negotiations with potential investors regarding financing,
restructuring of debt and possible new share issue, Reuters said
Wednesday.
The troubled company reported $8.87 million operating loss for
the first quarter of 2001.
FRAMFAB AB: Divests Framfab Technology
---------------------------------------
Internet consultancy company Framfab AB has divested its shares
in Framfab Technology AB to the investor Bure Equity AB for 17
million kronas, according to M2 Communications on Friday.
Framfab Technology provides embedded systems and IP-based
solutions for biotechnology and communication. The company
employs 50 workers.
In connection with the transaction Framfab Technology will change
its name to Erda Technology AB.
The agreement is part of an extensive project to restructure
Framfab.
=====================
S W I T Z E R L A N D
=====================
ANDRE & CIE: Winding Up Operations
-----------------------------------
Andre & Cie the Swiss-based commodities trader saddled with bank
debts of $400 million has no choice but to shut down the firm and
sell off remaining assets, chief executive officer Friedrich
Sauerlaender said Thursday.
The 123-year old firm would seek a further six months of court
protection from creditors this week as it winds up operations,
according to Reuters in its May 10 edition.
The company had slashed 60 percent of its 1,430 workforce in
January. Andre confirmed it had established contacts with several
partners with the objective of them taking over several of its
sectors of activity.
About 100 employees remained in Lausanne to oversee liquidation
of the firm, according to CEO.
Andre, which at one time had annual revenues of $10 billion, was
one of the five original major grain traders worldwide along with
Cargill Inc., Louis Drefyus, Bunge and Continental.
===========================
U N I T E D K I N G D O M
===========================
BRITISH TELECOM: BT Boss Rings Up 2.9 Million Pounds
-----------------------------------------------------
Sir Peter Bonfield the chief executive of British Telecom, could
earn almost 3 million pounds in 2001 after signing a new contract
with he group, reported Press Association in its May 14 edition.
The amount is likely to anger shareholders who had to forego a
dividend and are being asked to subscribe to a record o5.9
billion share issue to help BT reduce its 28 billion pounds debt
mountain.
According to a BT spokesman Sir Peter would qualify for the 2.9
million pounds payment if he stayed with the group until the end
of 2002 and met various performance-related targets in its
restructuring.
MARKS & SPENCER: Head of Women's Wear Quits
--------------------------------------------
Barry Morris, head of women's wear at Marks & Spencer, the
struggling high street retailer, has stepped down after
disappointing sales in the sector continued to fall, Press
Association reported yesterday.
He had decided to take early retirement after being with the
group for 31 years. An M and S spokeswoman said: "He has tried
hard to stem the decline in women's wear and feels he has given
it his best shot. It was his decision to leave, and we have
accepted that decision."
*************
S U B S C R I P T I O N I N F O R M A T I O N
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Copyright 2001. All rights reserved. ISSN 1529-2754.
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