/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/020522.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 Wednesday, May 22, 2002, Vol. 3, No. 100 Headlines * G E R M A N Y * KIRCHGRUPPE: BSkyB Says Kirch Rejects to Buy 22% KirchpayTV Stake * I T A L Y * FIAT SPA: Auto Expects Same Market Share, Hit Profit in Q4 * N E T H E R L A N D S * KPN NV: Records Net Loss of EUR 348MM in Q1 (Unaudited) KPN NV: Announces New EUR 1.75BB Credit Facility * P O L A N D * LOT AIRLINES: Allianz May Offer US$ 1BB in Terrorism Insurance * S P A I N * JAZZTEL PLC: Tierra Resigns as Member of Board of Directors TERRA LYCOS: Enters Into Marketing Deal With Manchester United * S W E D E N * LM ERICSSON: Wins IP Backbone Deal in China With Juniper Networks * U N I T E D K I N G D O M * ANTISOMA PLC: Reveals Results of Q3 Ending March 31, 2002 BIG FOOD: Frozen Food Group Proposes Sale and Leaseback Plan BRAINSPARK: Possible Acquisition of Infusion Spa BRITISH AIRWAYS: Posts Pre-tax Loss of GBP 200MM for Full Year BRITISH TELECOM: Group Finance Director Completes Share Puchase BRITISH TELECOM: Oftel Sets Rules on BT's Marketing Strategy CENES PHARMACEUTICALS: COO Refutes Speculation on CeNeS Bidders COLT TELECOM: Service Group Announces GBP 14 MM Bond Buyback INTERX PLC: Suspension of Listing and Board Changes CONSIGNIA: Annual Profit-sharing Scheme Worth GBP 1,000 Each MARCONI PLC: Appointment of Director, Restructuring Executive MG ROVER: Incurs GBP 200MM Loss in 2001, Will Miss Breakeven TELEWEST: Cable Group Faces GBP 5.3BB Debt-for-equity Swap ============= G E R M A N Y ============= KIRCHGRUPPE: BSkyB Says Kirch Rejects to Buy 22% KirchpayTV Stake ----------------------------------------------------------------- British Sky Broadcasting Group Plc, UK's #1 payTV provider, said its attempt to force Kirch Holding GmbH to buy back its 22% stake in KirchPayTV pay-TV unit for US$1.5 billion has been rendered fruitless. Last week, BSkyB, controlled by Rupert Murdoch's News Corp., exercised its put option to oblige Kirch to buy back 22 % of KirchPayTV, Bloomberg sources say. However, in a Regulatory News Service statement, Kirch said the conditions requiring the sale "have not occurred." BSkyB said two of Kirch's main businesses, the pay-TV unit and KirchMedia GmbH, have filled for insolvency due to the group's inability to pay its US$5.7 billion of debt. Shares of BSkyB fell 15 pence, or 2 %, to 729p. The stock has lost 3.6% this year, the paper adds. After writing off its stake in the Kirch unit, BSkyB in February reported a record 1.26 billion-pound (US$1.8 billion) loss in its second quarter ending Dec. 31, 2001. ========= I T A L Y ========= FIAT SPA: Auto Expects Same Market Share, Hit Profit in Q4 ---------------------------------------------------------- Fiat SpA -- http://www.fiatgroup.com-- expects to have the same market share Italy and Europe and anticipates losses in the second-quarter before achieving profit in the fourth quarter, the Dow Jones Newswires said Friday. At a two-day conference in Italy, Fiat executives told analysts that despite falling vehicle sales, Fiat will retain its market share of 32% in Italy and 4.5% in Europe. According to the Association of European Auto Manufacturers (ACEA) said Thursday, in the first four months of the year, Fiat Auto reported an operating loss of EUR429 million in the first quarter and an 18% registration drop in western Europe. Earlier Friday, Giancarlo Boschetti, Fiat Auto's chief executive, plans to cut 2,400 jobs or about 7% of its European car workforce. The whole group expects a cost-restructuring in the autumn. Fiat adds that cutting cost in areas like information technology and advertising will save about EUR566.3 million in 2002. Boschetti said he aims a turnaround in the trend of depreciating net prices for cars sold. Fiat Auto will attempt to return its western Europe market share to 10%, the report adds. The Fiat and Lancia brands would account for 8.7% and Alfa Romeo 1.3%. The ACEA figures on Wednesday revealed that western Europe market share for the Fiat group in April stood at 7.9% from 10% in April last year. ===================== N E T H E R L A N D S ===================== KPN NV: Records Net Loss of EUR 348MM in Q1 (Unaudited) -------------------------------------------------------- KPN NV recorded a net loss of EUR 348 million in the first quarter of 2002 compared with a net loss of EUR 539 million in the corresponding period last year. The net loss per share was EUR 0.15. As announced on April 25, KPN has a maximum exposure of EUR 700 million in relation to KPNQwest. KPN charged EUR 477 million of this amount to its first-quarter results. KPN Mobile has recorded a book profit of EUR 335 million on the sale of shares in Hungarian mobile operator Pannon. The anticipated loss on the sale of "Network Construction" is EUR 63 million. The exceptional items had a negative effect of EUR 123 million on KPN's first-quarter results. Excluding exceptional items, KPN recorded a loss of EUR 225 million in the first quarter of 2002. This represents an improvement compared with the corresponding 2001 period when the company made a loss of EUR 400 million. Highlights* * Operating profit before depreciation, amortization and impairments (EBITDA) rose by 18% compared with the first quarter in 2001 * EBITDA margin grew by 20% from 26.8% to 32.1% Positive free cash flow ** of EUR 550 million, a significant improvement compared with the corresponding 2001 period when KPN posted a negative free cash flow of EUR 369 million. Free cash flow in the first quarter of 2002 was in excess of the run rate anticipated for the full year due to particularly low interest payments and capex * Despite the consolidation of EUR 930 million following the acquisition of 22.5% of E-Plus, net debt fell to EUR 15.4 billion, including the effect of the sale of Pannon (of approximately EUR 700 million) KPN's CEO Ad Scheepbouwer: "The results of the first quarter clearly show a further positive response to the new strategy we announced with the launch of the equity issue in November 2001. A strategy with a clear focus on cash and margin. The EBITDA margin improved from 27 (in Q1 2001) to 32% (in q1 2002). We have generated a substantial cash flow from operations to help pay down debt. "At the same time we have been able to drastically lower our capex without constraining our revenues, due to the spare capacity in our network. We keep investing in enhanced consumer value propositions like i-mode. The foundations for profitable growth are firmly in place but many steps have to follow." The KPN Board of Management expects the following picture for the full year of 2002 based on developments in the first quarter: - stable revenues on a like-for-like basis, and low single digit revenue growth as a result of consolidation of the remaining 22.5% of E-Plus* - EBITDA growth of at least 12 %* - positive free cash flow of at least EUR 750 million ** - further reduction of capex to EUR 2.0 billion - year end net debt to be reduced to EUR 14.5 billion. *compared with reported figures excluding exceptional items. ** operational free cash flow after capex, interest, tax and restructuring costs. KPN signed a new EUR 1.75 billion credit facility which has replaced the EUR 2.5 billion credit facility concluded on November 16, 2001. The size of the required facility has been reduced because of KPN's improved cash position. The conditions of this new credit facility reflect the improved financial position of KPN. The most important improvements are briefly explained in appendix 2. Amounts in millions of euros Results Including exceptional items Excluding exceptional items Q1 2002 Q 1 2001 Q1 2002 Q1 2001 % Operating revenues 3,259 2,961 2,924 2,961 -1.2 Operating expenses -2,200 -2,166 -1,984 -2,166 -8.4 Operating profit before depreciation, amortization and impairments (EBITDA) 1,059 795 940 795 18.2 Depreciation -582 -540 -559 -540 3.5 Amortization -140 -301 -109 -301 -63.8 Operating profit or loss (EBIT)337 -46 272 -46 n/a Financial income and expenses -267 -454 -267 -315 15.2 Taxes -27 -102 -109 -102 -6.9 Income from participating interests-392 10 -122 10 n/a Minority interest 1 53 1 53 n/a Profit or loss after taxes -348 -539 -225 -400 43.8 Increased revenues in all three core activities (Fixed-network Services, KPN Mobile, Data/IP) were offset by a fall in operating revenues for the other activities, caused by the disposal of non- core activities, the deconsolidation of KPNQwest and lower revenues at "Network Construction" and the business unit Business Communications. EBITDA rose sharply through consistent cost control at all KPN divisions. Amortization decreased as a result of the impairment charge on the goodwill of E-Plus, which was recognized in 2001. In March, KPN Mobile was the first operator in Europe to introduce i-mode, the mobile data services success formula developed by NTT DoCoMo of Japan. Marketing activities have only just started. So far 34,000 handsets have been sold in the Netherlands and Germany, which is in line with current expectations of one million subscribers in 2003. At the end of 2001, KPN employed 29,377 FTE's (full time equivalents, own personnel) in the Netherlands who are subject to KPN's collective labour agreement and social plan. Per the end of March 2002, this number had decreased by 2,112 to 27,265 FTE's. At the end of 2001 also 1,674 FTE's (temporary personnel) were active within KPN. That number decreased by 699 to 975 at the end of March. The number of FTE's (own personnel in The Netherlands) is expected to be less than 25,000 at the year- end 2002. The figures shown for 2001 in the tables below have been restated in line with the new organization. Amounts in millions of euros Excluding exceptional items Q1 2002 Q1 2001 Operating revenues 1,649 1,586 EBITDA 463 434 EBIT 254 217 KPN's fixed-telephony operating revenues fell because of a decrease in call minutes (from 15.8 billion in Q1 2001 to 14.4 billion in Q1 2002). The decrease stems from the success of new broadband services and introduction of a new billing method under which Internet Service Providers bill call charges directly to customers; both developments are in part mitigated by a corresponding increase in revenues in other business units. Carrier Services (services provided to other telecom operators), SNT and Customer Internet and Media Services all again recorded growth in the fixed-network sector. The EBITDA margin increased by 0.7 percentage points compared to Q1 2001. KPN Mobile Amounts in millions of euros Excluding exceptional items Q1 2002 Q1 2001 Operating revenues 1,049 1,028 EBITDA 354 172 EBIT 81 -253 The increased operating result of the KPN Mobile division was driven by a higher income from mobile traffic and line rentals as a result of the increased number of customers compared with the first quarter of 2001 (from 13.0 million to 13.6 million). Compared with yearend 2001, there was a slight decrease in the number of mobile customers (from 13.7 million to 13.6 million). However, KPN improved the ratio of post-paid to pre-paid customers from 37.4% to 38.2% evidenced by an increase in year- on- year ARPU of 10% at E-Plus. Income from data traffic accounted for 10.6% of total income in the first three months of 2002. The results of German mobile subsidiary E-Plus have been fully consolidated in KPN 's results since March 13, 2002 (compared with 77.49% consolidation previously as a result of BellSouth's share in E-Plus). Data/IP Amounts in millions of euros Excl. exceptional items Q1 2002 Q1 2001 Operating revenues 511 485 EBITDA 166 149 EBIT 28 38 All business lines contributed to the growth of Data/IP operating revenues. There is increasing interest in the business market for KPN services built on ADSL technology. By the end of the first quarter of 2002, KPN had 175,000 Mxstream subscribers of these services compared with 29,000 a year ago. Other activities Amounts in millions of euros Excl. exceptional items Q1 2002 Q1 2001 Operating revenues 298 460 EBITDA -43 40 EBIT -91 -48 Deconsolidation of KPNQwest and the disposal of Datacenter and KPN Lease impacted significantly on the revenues of Other activities. In addition, there were sharply declining operating revenues at Network Construction and Business Communications because of decreasing capex. KPN NV: Announces New EUR 1.75BB Credit Facility ------------------------------------------------ On May 20, 2002, KPN signed a new EUR 1.75 billion credit facility which has replaced the EUR 2.5 billion credit facility concluded on November 16, 2001. The size of the required facility has been reduced because of KPN's improved cash position. The conditions of this new credit facility reflect the improved financial position of KPN. The most important improvements are briefly explained below. The early termination clause depending on KPN's credit rating has been deleted and the final termination date is November 16, 2004. Significantly improved interest margin related to KPN's credit rating also leading to lower commitment fees: BBB+ / Baa1 or higher 1.00% (previously 1.50%) BBB / Baa2 1.25% (previously 1.75%) BBB- / Baa3 1.50% (previously 2.50%) BB+ / Ba1 3.25% BB/Ba2 or lower or no rating from either S&P or Moody's 4.00% Only two financial covenants remain, which will be tested semi annually on a rolling basis for the immediately preceding twelve months, instead of quarterly. These covenants are total consolidated net borrowings to EBITDA, which may not exceed 4.75:1 at June 30, 2002, gradually decreasing to 3.50 at June 30, 2004 and EBITDA to net interest expense, which is required to be equal to or greater than 2.75:1 on June 30, 2002 gradually increasing to a minimum of 4.00:1 at June 30, 2004. Minimum requirements related to absolute EBITDA and the cap imposed on our total consolidated net debt have been deleted. Restrictions on cash acquisitions and the payment of dividends will be deleted as soon as KPN obtains a credit rating of at least BBB and/or Baa2 (with stable outlook). At this moment KPN has a credit rating of Baa3 (Moody's) and BBB- (S&P), both with a stable outlook. =========== P O L A N D =========== LOT AIRLINES: Allianz May Offer US$ 1BB in Terrorism Insurance -------------------------------------------------------------- In line with The Polish state's guarantee (to expire at end of June 2002) to protect its flag carrier LOT Polish Airlines against acts of terrorism, Allianz emerges as the first insurance firm to offer to replace the guarantees with commercial insurance amounting to US$1 billion in coverage. This value equals the amount of the Polish government's level of coverage, the Poland AM said Tuesday. Ryszard Micyk, deputy president of Allianz Polska said Tuesday, "At the moment we are investigating the market, and within a few days we are going to make an offer to LOT and White Eagle Aviation (WEA)." LOT has a major advantage over commercial insurance coverage as government guarantees come free. The airline has not released any comment on the proposal yet, assuming that it will be possible to renew governmental guarantees. The state, however, has not presented its stance on guarantees for the stricken airline. Warta, an alternate insurance company, which insures LOT and WEA, is preparing to offer terrorism policies to Polish air carriers, in place of governmental guarantees. ========= S P A I N ========= JAZZTEL PLC: Tierra Resigns as Member of Board of Directors ----------------------------------------------------------- Jazztel p.l.c. announced through a press statement Tuesday that Mr. Gonzalo San Cristobal Tierra, President of Dragados Industrial, S.A., has submitted his resignation as member of the Board of Directors of Jazztel. The Board of Directors is grateful for his support and contribution to Jazztel during the last years. According to the Spanish paper Cinco Dias, the resignation of Dragados' chairman Santiago Foncillas in April, is fuelling speculation over the possible sale of the construction group's stake in the telecommunciation business. Dragados controls 2.9 % of Jazztel, with the option of acquiring another 3%, the newspaper reports. TERRA LYCOS: Enters Into Marketing Deal With Manchester United -------------------------------------------------------------- Terra Lycos -- http://www.terralycos.com--, the largest global Internet network, and Manchester United PLC announced a strategic agreement Monday. The broad-ranging and global deal calls for Terra Lycos to become Manchester United's online partner, helping the club exploit its content and brand strength in interactive media around the world for the benefit of its many non-English speaking fans. The strategic alliance will showcase Terra Lycos's global reach. Terra Lycos will also become a platinum sponsor of Manchester United, joining a select group that today consists of Anheuser- Busch, Nike, Pepsi and Vodafone, and will benefit from many exclusive branding programs through this sponsorship. In addition, the alliance will draw on Terra Lycos's new-media expertise and global resources to deliver on the following attributes of the alliance: --Lycos Asia will build an online destination for the football club in China, bringing Manchester United closer to its millions of fans in that country. --Terra Lycos Latin America will reinforce the Manchester United presence and brand in the Latin American marketplace leveraging Terra Lycos's vast resources and dominant market position in that region. --Lycos Europe and Lycos Asia will also become the sales agents for Manchester United's online properties in their respective marketplaces. --Lycos U.S. will serve as the exclusive online partner for the recently announced Manchester United U.S. Tour in 2003. "When we launched our interactive subsidiary company, Manchester United Interactive, we did so with the stated objective of connecting and interacting with more of our fans around the world," said David Gill, group managing director of Manchester United. "We are excited to be working with Terra Lycos, one of the most popular Internet brands in the world, to significantly extend our global reach and to leverage Terra Lycos's experience as the destination for the world's largest online community. This will greatly assist Manchester United in building our own online communities to allow our fans to interact with us and with each other in their own languages." "This agreement brings together the respective global leaders in their fields and allows us to leverage each other strengths to satisfy millions of Terra Lycos users and Manchester United fans to satisfy their passion for online sports and specifically for Manchester United football," said Stephen Killeen, president of Terra Lycos, U.S. "We are pleased to be able to bring the vast and global resources of Terra Lycos to assist Manchester United in bringing their 50 million fans from around the world into one online community of fans." Terra Lycos is a global Internet group with a presence in 43 countries in 20 languages, reaching 115 million unique users per month around the world. The group, which is the result of Terra Networks S.A.'s acquisition of Lycos, Inc. in October 2000, operates some of the most popular Web sites in the United States, Canada, Europe, Asia and Latin America, and is the largest access provider in Spain and Latin America. With headquarters in Barcelona and operating centers in Madrid, Boston and elsewhere, Terra Lycos is traded on the Madrid stock exchange (TRR) and the Nasdaq electronic market (TRLY). Manchester United is the world's most popular football club, with 57m fans around the globe, including about 30m in Asia. Formed in 1878, United have won the English league title 14 times, the European Cup twice, and the FA Cup 10 times. In the past 10 years alone it has won the Premier League on seven occasions. In 1999, the team won an historic Treble of trophies: the FA Premier League, the FA Cup and the European Cup. Old Trafford, the club's stadium, is the largest club ground in England, with a capacity of 67,700. The club has 50,000 season- ticket holders and 130,000 members. Every game is sold out. There are more than 200 Manchester United Official Supporters' Branches in 24 different countries around the world. Manchester United PLC floated on the London Stock Market in 1991. Since then the company has grown into the wealthiest and most profitable club in world football. Last year it announced profits of GBP22 million on turnover of GBP 130 million. Manchester United Interactive is a subsidiary of Manchester United PLC in which TWIinteractive, a unit of the IMG group, has a small stake. Contact Information: Brian Payea Terra Lycos Email: brian.payea@corp.terralycos.com Manchester United Paddy Harverson Telephone: 44 161 868 8216 Email: patrick.harverson@manutd.co.uk =========== S W E D E N =========== LM ERICSSON: Wins IP Backbone Deal in China With Juniper Networks ----------------------------------------------------------------- Telefonaktiebolaget LM Ericsson -- www.ericsson.com -- and Juniper Networks announced Monday the second phase of their IP backbone deployment with FuJian CT, a subsidiary of China Telecom Group in FuJian province. Under the new contract, the second IP backbone contract for Ericsson with FuJian CT, Ericsson will provide its Packet Backbone Network solution, including its AXI 580 IP Backbone Routers (based on Juniper Networks M160 Internet routers) and switches from Extreme Networks. This is the second phase of a project announced in October 2001 to deploy the operator's provincial IP backbone network covering nine major cities in China's FuJian Province including FuZhou, XiaMeng, QuanZhou, and PuTian. Upon completion of the project, the routers will form an expansive broadband IP backbone providing a carrier-class platform for new, value-added services. With the expanded IP backbone, FuJian CT will offer Multiprotocol Label Switching (MPLS)-based Virtual Private Network (VPN) services to its customers. As the sole end-to-end solution provider, Ericsson will supply the core network equipment, as well as extensive customer services such as installation, system support, and hardware replacement to FuJian CT. An earlier deployment of Ericsson's AXI 520 routers, based on Juniper Networks M40 Internet routers, in FuJian Telecom's multi- vendor-environment has demonstrated seamless interoperability with other vendors' equipment. This contract reinforces Ericsson's solid relationship with FuJian CT and shows Ericsson's strength in implementing large- scale deployments of IP backbones for global operators. The Ericsson AXI 520 and 580 IP backbone routers are built to deliver highly reliable, scalable, and cost-efficient IP services across high-speed networks. Based on leading edge ASIC technology, and incorporating consistent JUNOS Internet software, these routers help service providers and carriers lower their capital and operational costs by simplifying rollout and support. This accelerates the time it takes to design, test, and deploy the network, and provision new IP services. FuJian Telecom, a subsidiary of China Telecom (Group) corporation, is responsible for managing fixed telephony, data communications, network elements and Internet services within the FuJian province of China. FuJian is a major venture with exclusively nation-owned investment and approximately 15,000 employees. FuJian's subscribers of fixed telephony reached more than 7 million, while Internet users reached 1.2 million. The website address is http://www.fjtelecom.com. Juniper Networks leads the industry in turning network innovation into the reliable delivery of core, edge, mobile and cable Internet services at scale for the New Public Network. Headquartered in Sunnyvale, California, Juniper Networks offers additional information on its product and service offerings at http://www.juniper.net. Ericsson's Packet Backbone Network (PBN) is carrier-class data backbone that enables operators to offer new or expanded services over an IP infrastructure in an extremely reliable and ultra- scalable configuration. PBN's Virtual Private Network (VPN) Solutions provide carrier- grade reliability and provisioning of VPN services to their customers over both IP and ATM networks. The solutions feature highly scalable IP platforms enabling rapid delivery of new value-added services in an interoperable, multiservice network environment: the AXI 540-series Edge Aggregation Routers, AXD Multiservice Switches, and AXI 580 and AXI 520 series IP Backbone Routers (based on Juniper Networks M- series routers). Contact Information: Telefonaktiebolaget LM Ericsson Public Relations: Michele Nichols Telephone: 240/314-3765 Email: michele.nichols@ericsson.com Communications: Kathy Egan Telephone: 212/684-4030 Email: Pressrelations@ericsson.com Investor Relations: Glenn Sapadin Telephone: 212/685-4030 Email: Investor.relations@ericsson.com Juniper Networks Kathy Durr Telephone: 408/745-5058 Email: kdurr@juniper.net =========================== U N I T E D K I N G D O M =========================== ANTISOMA PLC: Reveals Results of Q3 Ending March 31, 2002 --------------------------------------------------------- Antisoma plc -- www.antisoma.com --, the U.K.-based biopharmaceutical company developing novel therapies for cancer, announced Monday its results for the three months ended March 31, 2002. Dr Barry Price, Antisoma's chairman reports: "In April, we successfully completed a Rights Issue raising approximately GBP21.7 million net of expenses (GBP23.7 million gross) through the issue of approximately 118 million New Ordinary Shares at 20 pence per share. "The Rights Issue, announced in February, was fully underwritten by SG Cowen and ING Barings and sub-underwritten by a number of existing and new institutional and other shareholders and by the Company's Directors. "Proceeds from the fund-raising are now being used to further advance our clinical projects and to help ensure that our pre- clinical candidates enter human trials as soon as possible. "Current recruitment of patients into the Phase II gastric cancer and Phase III ovarian cancer studies should enable the Company to announce completion of recruitment into these studies on or before June 30, 2002 and December 31, 2002 respectively. Initial data from the gastric study is expected to be available in the third calendar quarter of 2002. "In January we announced amendments to the Development and Licensing Agreement with Abbott Laboratories for our lead product pemtumomab. Subsequent to these amendments Antisoma will receive royalties of 30 % on any sales of pemtumomab following marketing approval. In return for the higher royalties and for slightly enhanced milestone payments, Antisoma will assume Abbott's remaining share of development costs. Antisoma continues to work with Abbott to plan for the final stages of development and prepare for launch of the product following any marketing approval. "In January we announced positive in-vivo results for the treatment of solid tumours with DMXAA in combination with chemotherapy agents. The studies were undertaken by the University of Auckland, New Zealand, to examine the effect of combining a single dose of DMXAA with single doses of nine widely-used chemotherapy agents in solid tumour in- vivo models. Co-administration with DMXAA produced a significant delay in tumour growth for eight of the nine chemotherapy drugs. The greatest effect was seen with Taxol and Taxotere. A toxicology programme is underway in preparation for an application to the U.S. regulatory authorities to allow the Company to conduct human clinical studies in the U.S. under an Investigational New Drug (IND) approval. The manufacture of clinical grade DMXAA is also underway prior to commencement of the next clinical studies in New Zealand. "The suppliers of the antibodies for AngioMab and Therex have now completed the manufacture of bulk clinical grade batches, subject to final quality control and release, in preparation for the start of clinical trials. "Antisoma recognises amounts received under the Agreement with Abbott as revenue when earned and has so far recognised GBP6.3 million of the GBP8.2 million received. The remaining GBP1.9 million will be recognised as revenue through the period to the end of the Phase III ovarian cancer study. We have recognised GBP0.4 million during the quarter ended March 31, 2002 compared with GBP0.8 million for the quarter ended March 31, 2001. Lower revenues this quarter reflect the extension of the Phase III ovarian cancer study, and hence extended time for the outstanding revenues to be recognized. "Results of operations - three months ended March 31, 2002 Revenue in the period totalled GBP0.4 million. Net operating expenses of GBP4.0 million (Q3 2001: GBP3.3 million) include research and development spending of GBP3.2 million (Q3 2001: GBP2.5 million). The increase in research and development spending represents the manufacturing and pre-clinical costs of the additional products in the development pipeline. As a result of the higher research and development costs and lower revenues, losses in the period have increased to GBP3.6 million (Q3 2001: GBP2.3 million). "Results of operations - nine months ended March 31, 2002 Revenues for the nine months ended March 31, 2002 totalled GBP1.5 million (Q3 2001: GBP2.5 million). Losses for the nine months ended March 31, 2002 were GBP9.7 million (Q3 2002: GBP6.2 million). Net operating expenses were GBP11.3 million (Q3 2001: GBP9.2 million) and included research and development expenses of GBP8.7 million (Q3 2001: GBP6.8 million). "The successful Rights Issue has considerably strengthened the Company's financial resources since the quarter end. Cash at bank and held in short term investments at April 30, 2002 was GBP21.1 million. Cash at bank and held in short term investments totalled GBP1.1 million at March 31, 2002, GBP9.1 million at June 30, 2001 and GBP11.4 million at March 31, 2001. "Net cash outflow from operating activities was GBP4.1 million in Q3 compared to GBP1.6 million in Q2. The cash outflow from operating activities for the nine-month period was GBP7.8 million compared to GBP4.6 million in the same period in 2001. "Creditors have increased to GBP5.5 million from GBP4.7 million as at March 31, 2001 and GBP5.0 million as at June 30, 2001. The increase in creditors since March 2001 is largely due to the increased number of products in pre-clinical and clinical development. "Loss per share for the quarter was 4.0p. Loss per share has increased from 7.3p in the nine months ended 31 March 2001 to 10.9p in the nine months ended March 31, 2002" For further information on Antisoma plc, contact: Raymond Spencer Chief Financial Officer Glyn Edwards Chief Executive Officer Telephone: +44 (0)20 8799 8200 Financial Dynamics Jonathan Birt/Ben Atwell Telephone: +44 (0)20 7831 3113 BIG FOOD: Frozen Food Group Proposes Sale and Leaseback Plan ------------------------------------------------------------ The Big Food Group plc announces that it has conditionally agreed to effect a sale and leaseback of 31 of its properties to AXA for a total cash value of approximately GBP129.3 million. The Sale and Leaseback will be effected by selling Montwell Limited, a Jersey subsidiary of The Big Food Group, which owns the portfolio of 31 properties and leases them to operating subsidiaries of The Big Food Group. The sale is conditional, inter alia, on approval of the Sale and Leaseback by shareholders and there being no material increase in the borrowing requirements of the Group prior to completion. The properties which are the subject of the Sale and Leaseback comprise 12 cash and carry premises, 3 distribution centers and offices and 16 retail shops, and are leased to operating subsidiaries of The Big Food Group under occupational leases. Montwell Limited does not carry on any business other than owning the Properties. AXA was selected as the purchaser of Montwell Limited after a competitive tender process. In July 2001, The Big Food Group announced that it had commenced a strategic review of its businesses in order to meet the overall objective of capitalizing on the group's position as the UK's only integrated food group. On March 6, 2002, The Big Food Group announced that it had completed its strategic review and set out the financial implications and investment programs associated with the implementation of those initiatives. The Big Food Group also announced that it was developing detailed financing proposals involving refinancing and reducing The Big Food Group's senior credit facilities from the current levels through a sale and leaseback transaction and debt from banks and capital markets. Since the announcement on March 6, Big Food has made considerable progress in implementing its refinancing strategy. The refinancing strategy developed by the Board consists of three components: * Sale and Leaseback: approximately GBP129.3 million will be raised from the Sale and Leaseback. * New Senior Debt: Big Food has entered into a GBP300 million new senior debt facility with its bankers, led by Barclays Capital and The Royal Bank of Scotland plc. The Big Food Group's ability to borrow under the New Senior Debt Facility will be subject to, among other things, the Sale and Leaseback taking place (which requires the approval of the shareholders) and the issue of the High Yield Bonds. * High Yield Bonds: The Big Food Group intends to raise approximately GBP150 million from the proposed issue and sale of the High Yield Bonds. The Big Food Group expects that the HighYield Bonds will be marketed to potential institutional investors in early June. Subject to demand, the High Yield Bonds will be issued when all conditions for the drawing of funds under the New Senior Debt Facility (other than the issue of the High Yield Bonds) are satisfied, immediately prior to completion of the Sale and Leaseback and the New Senior Debt Facility. The proceeds of the Sale and Leaseback, the High Yield Bonds and the New Senior Debt will be used to refinance and replace The Big Food Group's existing senior debt facilities. The Big Food Group anticipates that, assuming that the Sale and Leaseback is approved by shareholders, the refinancing of the existing senior debt facilities pursuant to the arrangements described above will take place on or around June 18, 2002. Financial effects of the Sale and Leaseback The Properties, which are the subject of the Sale and Leaseback are agreed to be sold for GBP129.3 million. Since the proceeds receivable exceed the book value of the Properties, the Sale and Leaseback will increase The Big Food Group's net assets by the estimated profit on disposal of approximately GBP18 million, after deducting expenses relating to the transaction of approximately GBP6 million. The ongoing profit and loss account effect of the Sale and Leaseback will be to replace the depreciation charge of o1.6 million per annum and interest payable of approximately GBP7 million per annum under part of the existing senior debt facilities of The Big Food Group with an annual operating lease cost under the occupational leases for the Properties. The annual operating lease cost will be approximately GBP10.9 million and the rent payable under the leases will increase annually at a compound rate of 3 %. Conditions Due to its value, the proposed Sale and Leaseback is conditional upon shareholders' approval being obtained at an Extraordinary General Meeting of the Company due to be held on June 14, 2002 and is conditional, inter alia, on there being no material increase in the borrowing requirements of the Group prior to completion. Circular to shareholders A circular to shareholders of The Big Food Group containing further details of the proposed Sale and Leaseback and containing a notice of Extraordinary General Meeting will be sent shortly. Current Trading and Prospects The Group has made progress in reducing certain central costs in the second half of the year ended March 29, 2002. In addition, the Board is satisfied that the strategies employed to promote turnover in non tobacco in Booker, growth in Woodwards and improvements in the Iceland retail operation are beginning to show a positive impact on sales. The Group's unaudited reduction in net debt in the year ended March 29, 2002 was GBP100 million, with unaudited net debt at the end of the year of GBP 404 million. Average unaudited net debt in the six weeks to May 10, 2002 was GBP366 million. The full year results of the Group for the year ended March 29, 2002 will be announced on May 30, 2002. In acknowledging the trading results for the Group since the year end the Board considers that the prospects of the Group for the current financial year, during which we will continue to implement the initiatives developed during our strategic review, are encouraging. For inquiries, contact: Michael Sandler; Telephone: 020 7796 4133 BRAINSPARK: Possible Acquisition of Infusion Spa ------------------------------------------------ The Board of Infusion and Brainspark announced on May 20, 2002 that they have entered into discussions with a view to assessing the potential acquisition by Brainspark of certain of assets and liabilities of Infusion for a consideration to be satisfied by an issue of Brainspark Ordinary Shares. It is intended that the transaction, which will be treated as a related party transaction under the AIM Rules, will be structured so that it is not a reverse takeover under those Rules. The Board of Infusion and Brainspark have appointed Ernst &Young to conduct an independent valuation of both companies. Brainspark Ordinary Shares are traded on the Alternative Investment Market of the London Stock Exchange Plc. Infusion is a wholly owned subsidiary of AISoftw@re SpA. AISoftw@re is listed on Nasdaq Europe (AISW) and the Italian Nuovo Mercato (AISW) and owns approximately 65.5 % of the issued share capital of Brainspark. Brainspark, a venture capitalist group based in London, has cut 40% of its staff to reduce costs and some of holdings have folded or merged. For further information: Marco Mancini Telephone: +39-02-28014 Fax: +39-02-2610853 Email: mmancini@ais.it BRITISH AIRWAYS: Posts Pre-tax Loss of GBP 200MM for Full Year -------------------------------------------------------------- British Airways posted a pre-tax loss Monday of GBP200 million (2001: GBP150 million profit) for the full year to March 31, 2002. There was a pre-tax loss for the fourth quarter of GBP85 million (2001: GBP65 million loss). The operating profit for the fourth quarter was GBP35 million, GBP96 million better than last year, with a full year operating loss of GBP30 million, all excluding exceptional restructuring costs of GBP80 million (2001: GBP380 million profit). Passenger capacity, measured in available seat kilometers (ASKs), reduced by 12.6 % for the quarter and 12.4 % for the full year. Revenue passenger kilometers (RPKs) were down by 5.9 % for the quarter and 13.7 % for the full year. Seat factor up by 5.1 % points to 72.1 % in the quarter, down 1 % point to 70.4 for the full year. The actions taken by British Airways in response to the global economic slowdown earlier in the year and decisions immediately after September 11 have driven the improved quarterly cost performance. The effect of the company's Future Size and Shape review announced in February will be realized during this financial year and the next. Total costs were down 12.1 % for the quarter and unit costs fell by 2.8 % in the same period, all before exceptional restructuring costs. Total overall costs for the full year fell by 5.9 %, excluding exceptional restructuring costs. Rod Eddington, British Airways' Chief Executive, said: "We have had to take a series of tough decisions this year to protect British Airways for the long term. It has meant sacrifice and hardship for our people. "The market is expected to remain soft but the swift and decisive actions we have taken show we are determined to return the business to acceptable levels of profitability. The cost reductions have helped to deliver better than expected year end results. The quarterly improvement is due to the dedication of staff in delivering cost efficiencies and high standards of customer service during these difficult times. "Throughout the year ahead, our drive on costs will continue along with tight capacity management and cost control. These are key to our 'Future Size and Shape' recovery strategy." Lord Marshall, British Airways' Chairman, said: "Reform and re-structuring against a substantially changed competitive background are well under way. The concentration is on providing customers with the services they want at prices which are of value and at costs which make a satisfactory return for shareholders. "The current year is one of transition and still subject to global economic and political uncertainty. The market is expected to remain soft but further capacity cuts should help to underpin yields and to support increases in seat factors. In a weak revenue environment, costs remain the focus." A copy of the airline's preliminary financial result, profit and loss report and balance sheet may be viewed at: http://bankrupt.com/misc/financial_results_2001_2002.pdf BRITISH TELECOM: Group Finance Director Completes Share Purchase ----------------------------------------------------------------- The BT Group confirmed Monday that Ian Livingston, the company's finance director, has purchased GBP300,000 worth of BT shares as a personal investment. The purchase took place at the earliest opportunity following BT's fourth quarter and full year results. Following his purchase, Livingston receive Monday a matching GBP300,000 worth of BT shares from the company, as detailed in his contract under the retention share plan (RSP). These shares may be exercised, under the rules of the RSP and subject to Ian retaining the shares, on the third anniversary of the purchase. Further, BT will grant Livingston an award of shares to the value of GBP1,350,000 under the RSP exercisable over three years in three equal tranches, on the anniversaries of his commencement date if he is still employed by BT at the date of exercise. Livingston joined the BT board on April 8, and became group finance director on April 23, 2002. BRITISH TELECOM: Oftel Sets Rules on BT's Marketing Strategy ------------------------------------------------------------ On Monday, U.K. telecommunications industry regulator Oftel, set out the customer information and procedures BT Group can use to market its Internet services, reports Dow Jones Newswires. Oftel said BT will not be allowed to use detailed information contained in residential customers' bills in order to target its Internet access services to particular customers because no other operator has access to this information. To ensure that the compliance to Oftel rules, Oftel will monitor BT's compliance as BT sales staff will be subject to strict procedures. Oftel will review the situation after six months. BT is also allowed to use its residential "blue bill" to charge for its new "BT Broadband" service. If at any time there are breaches in compliance, Oftel will consider invoking tougher procedures. David Edmonds, Director General of Telecommunications, said: "Oftel wants to see fair competition across the market. This means that BT's competitors must be sure that BT is complying with competition law and its license. "BT can market Internet services on a generic basis, for example by including information about a new product with everyone's bill." CENES PHARMACEUTICALS: COO Refutes Speculation on CeNeS Bidders --------------------------------------------------------------- CeNeS Pharmaceuticals plc refuted Monday press speculation regarding the future of the company, noting that it was considering a number of options. These options include the possible merger or sale of the company. Neil Clark, Chief Operating Officer and Financial Director commented: "CeNeS has received no formal approaches. Under our restructuring plan we are reviewing several alternative strategies going forward. The Board is committed to delivering value for shareholders and a secure future for our employees." According to a report obtained from the Independent, CeNeS has received five approaches from interested potential buyers. At the end of last year, the biotech group failed to hit a deal on rescue financing from shareholders and a number of venture capital firms, the daily adds. Subsequently, the group has implemented cost-cutting measures, including a reduction of its board members to five, stopping research activities and winding up of U.S. operations. The group's business is now concentrated on selling four small painkilling products and developing a new form of morphine in a joint venture funded by Elan, the Irish company which holds a 10% stake in CeNeS. Insiders say the approaches come from private companies interested in acquiring the portfolio of marketed products, and from those seeking an interest in the morphine project, M6G. Analysts estimate that sales of M6G may top GBP 200 million in the forms currently under development. CeNeS made a record loss of GBP69 million in 2001. However, the group says it is self-sufficient up to 2003. The company, founded and chaired by the biotech entrepreneur Alan Goodman, is attempting to sell off some of its assets. Last week, CeNeS revealed promising data on one product for pain caused by a malfunctioning central nervous system and said it may have a product that may treat schizophrenia. For further information, contact: Neil Clark CeNeS Pharmaceuticals plc Telephone: 01223 266 466 Alan Goodman CeNeS Pharmaceuticals plc Telephone: 01223 266 466 Nick Rodgers Beeson Gregory Telephone: 020 7488 4040 Neil Mackison ING Barings Telephone: 020 7767 1000 COLT TELECOM: Service Group Announces GBP 14 MM Bond Buyback ------------------------------------------------------------ COLT Telecom Group Plc, a leading European provider of business communication services, said on Monday that it had purchased a further GBP14 Million of COLT bonds for a cash outlay of GBP6 Million. The purchases were undertaken by COLT Telecom Finance Limited as set out below. COLT Telecom Finance Limited has no intention to sell the notes it has purchased and arrangements may be made in due course to cancel such notes. COLT may purchase additional bonds in the future. The following bonds have been purchased: US$6.6 Million accreted principal amount of our US$314 Million 12% Senior Discount Notes due December 2006; EUR3.1 Million face amount of our EUR306.8 Million 7.625% Senior Notes due July 2008; EUR3.2 Million accreted principal amount of our EUR368 Million 2% Senior Convertible Notes due December 2006; and EUR8.1 Million accreted principal amount of our EUR402.5 Million 2% Senior Convertible Notes due April 2007. In aggregate COLT has now purchased: US$47.3 Million accreted principal amount of our US$314 Million 12% Senior Discount Notes due December 2006; GBP3.0 Million face amount of our GBP50 Million 10.125% Senior Notes due November 2007; EUR4.5 Million face amount of our EUR76.7 Million 8.875% Senior Notes due November 2007; EUR41.5 Million face amount of our EUR306.8 Million 7.625% Senior Notes due July 2008; EUR32.8 Million face amount of our EUR320 Million 7.625% Senior Notes due December 2009; EUR16.8 Million accreted principal amount of our EUR306.8 Million 2% Senior Convertible Notes due August 2005; EUR84.8 Million accreted principal amount of our EUR295 Million 2% Senior Convertible Notes due March 2006; EUR68.7 Million accreted principal amount of our EUR368 Million 2% Senior Convertible Notes due December 2006; and EUR85.4 Million accreted principal amount of our EUR402.5 Million 2% Senior Convertible Notes due April 2007. For further information, contact: John Doherty Director Investor Relations Email: jdoherty@colt.net Telephone: +44 20 7390 3681 INTERX PLC: Suspension of Listing and Board Changes ---------------------------------------------------- The Board announced that at the EGM held Monday, all resolutions were passed, including approval of the sale to The Innovation Group plc of the business, certain assets and intellectual property of InterX Technology Limited and certain other assets of the Group. In favor of the Ordinary Resolution were 99.9 % of votes. Completion was expected to occur on the same day. Richard Jewson, Chairman, made the following statement to shareholders: "As stated in the circular of April 26, 2002, following approval of the sale of the software business, InterX's shares will be suspended from the Official List of the U.K. Listing Authority and from trading on the London Stock Exchange upon the passing of these resolutions. "InterX will remain suspended until it has control over the majority of its trading assets (in accordance with Rule 3.6 of the Listing Rules of the U.K. Listing Authority or is otherwise de-listed. "Following completion of the sale, the Group's major trading asset will be Exemplar, which is majority-owned by Diligenti. In order, therefore, to comply with Rule 3.6 and to have the suspension lifted, InterX must control Diligenti and demonstrate to the U.K. Listing Authority the suitability of the Group for listing. InterX currently holds 34 % of Diligenti's issued share capital. "InterX has entered into option agreements with other Diligenti shareholders to increase its holding of Diligenti's issued share capital, for nominal consideration, to approximately 95%. "The exercise of these options is conditional on the funding by InterX of Diligenti's company voluntary arrangement and other restructuring actions in relation to the Diligenti group having been completed. These option agreements expire on 31 December 2002. It is the Board's view that gaining control of Exemplar, through the exercise of these options, is central to the on-going strategy of the Group. "However, prior to the exercise of these options, in addition to the conditions outlined above, InterX requires the completion of a fundraising by Exemplar which is currently being undertaken. "The exercise of these options is likely to be deemed a reverse takeover under the Listing Rules and as such would be subject to shareholder approval. This will involve the publication of a further circular, at a significant cost to theCompany. Such a circular would have to contain a positive working capital statement for the enlarged Group which, notwithstanding the current financial position of Exemplar, the Company could not currently give owing to continuing office rental liabilities and advisers' fees in relation to this new transaction. "The Board has considered providing shareholders with an alternative market for its shares and has, as previously reported, been investigating the possibility of admission of its shares to AiM, where it is anticipated that the costs of maintaining a listing would be reduced, especially in relation to completing the on-going reorganization of the Group. "The results of this investigation have identified that, as of Monday, the Company is not in a position to be admitted to trading on AiM, because the Board is not in a position to make a firm commitment with regard to the Company completing the reverse takeover of InterX by Diligenti. "To make this firm commitment the Board is required to be confident that a positive working capital statement for the enlarged Group would be made at the time the reverse takeover is completed. "The enlarged Group would also have to comply with the AiM Rules. A reverse takeover, while the Group's shares are trading on AiM, would still require shareholder approval and the publication of a circular. "Notwithstanding the above, the Board is committed to maximizing the value of the Group's assets and implementing the most cost- effective and appropriate method of returning that value to shareholders, while being mindful of the need for a liquid market in the Company's shares. "The Board continues to review all options for value realisation and will report back to shareholders in due course." Board Changes As noted in the circular of April 26, 2002, Mike Shinya and Philip Sant have resigned as directors with effect from May 20, 2002. Richard Jewson commented: "I would like to thank both Mike and Philip for their contribution and support during what has been a difficult time for both the Company and our shareholders." For further information, please contact: InterX Simon Barker / Simon Miesegaes Telephone: 020 8817 4000 ING Barings Colin La Fontaine Jackson Telephone: 020 7767 1000 CONSIGNIA: Annual Profit-sharing Scheme Worth GBP 1,000 Each ------------------------------------------------------------ Consignia's postal office staff may benefit from a share option plan speculated to be worth up to GBP1,000 a year each, the Journal sources said Monday. Under chairman Allan Leighton's revival of the business, if the business has returned to profit, it is believed that the first shares could be worth between GBP600 and GBP1,000 a year per head to staff and would be distributed after three years. Since Consignia has no publicly traded shares because it is state-owned firm, the group is enacting a scheme which is understood to involve the creation of "phantom shares" which would mirror the performance of the business. Leighton's strategy will involve the reported profit-sharing scheme combined with the goal to employees' raise salaries. He said that it would work like corporate executive's incentive program, "If you are part of something, you will want it to succeed." MARCONI PLC: Appointment of Director, Restructuring Executive ------------------------------------------------------------- Marconi Plc announced Monday that it had appointed Allen L. Thomas as a non-executive Director with immediate effect. Allen Thomas, 62, is a dual qualified U.S./U.K. lawyer who was a partner of Paul, Weiss, Rifkind, Wharton & Garrison (an international law firm headquartered in New York) for 20 years. He is currently Chairman of Ockham Holdings plc and a non- executive Director of Eidos Plc and Penna Consulting plc. Allen Thomas led the financial restructuring of Dialog Corporation Plc / Bright Station Plc in 2000/01. He was General Counsel to the Municipal Assistance Corporation, which was responsible for the financial rescue of New York City after the financial crises that it suffered in the 1970's. In addition Marconi officially appoints Talbot Hughes Llp to lead the financial restructuring process on behalf of the company. John Talbot and Chris Hughes will report to the Board of Marconi. In 2001, John Talbot and Chris Hughes formed Talbot Hughes Llp as a specialist financial restructuring firm. John Talbot was a partner of Arthur Andersen until 1999 where he ran, first its Corporate Recovery business and latterly its Corporate Finance practice. Chris Hughes is a former partner of PricewaterhouseCoopers, where he was a senior partner in the Corporate Recovery practice. Derek Bonham, Chairman of Marconi said: "Both these appointments strengthen the Company's knowledge and experience in the financial restructuring process that we are now actively involved in. I am delighted that we have been able to appoint Allen Thomas to the Board. His experience of financial restructuring and general wise counsel will be a great asset. "John Talbot is the person that we have been looking for to help us drive the financial restructuring process and lead our negotiations with our bank and bondholder creditors. His appointment has been welcomed by creditors as a further assistance in this process." Marconi Plc is a global telecommunications equipment and solutions company headquartered in London. The company's customer base includes many of the world's largest telecommunications operators. MG ROVER: Incurs GBP 200MM Loss in 2001, Will Miss Breakeven ------------------------------------------------------------- MG Rover will announce to its employees next month that it lost GBP200 million in 2001 and will miss its break-even target this year due to tough European markets, the Telegraph said Monday. The group's chairman John Towers said he would return the struggling Longbridge car maker to back to financial profitability this year. However, this target had "moved back by several months," a spokesperson disclosed. Refusing to confirm whether the group will break even in 2003, he says: "When you have a GBP2 billion business, reducing losses from GBP800 million to zero, it is difficult to predict when you will move from a minus to a plus." MG Rover was bought from BMW by the Phoenix consortium of West Midlands businessmen on May 9, 2000. In its last months of BMW ownership, Rover was losing GBP2 million a day. The new owners, who were handed a debt-free company and GBP500 million by BMW, halved the losses to GBP254 million in the nine months to December 2000 through cutting costs. Last year, as Continental European sales dropped and the euro remained weak against the pound, losses were close to GBP200 million, more than observers had expected. MG Rover sold 171,000 cars in 2001 - 14pc short of the Longbridge plant's 200,000 capacity. TELEWEST: Cable Group Faces GBP 5.3BB Debt-for-equity Swap ---------------------------------------------------------- Telewest Communications, the beleaguered second-largest cable company in the U.K., is on the verge of exchanging the bulk of its GBP5.3 billion debt for equity a report obtained from the Herald reported Monday. The embattled cable TV and telecom services provider, according to the Herald's sources, Telewest has nominated an investment bank, which was not named, to advise the company on its debt restructuring scheme, a move seen as a likely precursor to a debt-for-equity swap. The report adds that the bank is expected to be appointed by the end of this month and will begin a process that will see creditors seize some 90% of Telewest's equity. Telewest, which employs 988 workers in Edinburgh, recently revealed that part of an internal restructuring efforts will slash 1500 jobs off its workforce or 14% of its U.K. employees to help cut its growing debt mountain. Adam Singer, chief executive, said the job losses, which will cut the company's workforce to about 9000, were "aimed at helping stabilize our financial future and are a necessary, but painful, response to market conditions". Telewest shares have droped dramatically since the beginning of the year and slipped to a further low of 6.4p on Friday on fears that the debt swap was imminent, the report said. Last week, the paper adds that after Microsoft pulled its three directors off Telewest's board, speculation abound that the U.S. software giant is preparing to sell its 23.6% stake in the operator. Microsoft paid about US$3 billion (GBP2.1 billion) in 2000 for its Telewest stake, which is now valued at slightly over GBP60 million. Liberty Media stands as Telewest's other main shareholder, with 25% of the operation. Telewest, with 1.8 million subscribers to its cable TV, internet and telephone operations in the UK, has insisted it does not need to restructure financially. According to Charles Burdick, Telewest's financial director, the group has enough cash to last at least 15 months. *********** 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. Kimberly MacAdam, Larri-Nil Veloso and Maria Lourdes Reyes, 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 US$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 US$25 each. For subscription information, contact Christopher Beard at 240/629-3300. * * * End of Transmission * * *