/raid1/www/Hosts/bankrupt/TCREUR_Public/030103.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

     Friday, January 3, 2003, Vol. 4, No. 2


                              Headlines


* F R A N C E *

ALCATEL: Sells 74% Shareholding in CTC Marine Projects
SCOR: Confirms Successful Subscription of 99 Million New Shares
SCOR: Fitch Affirms Ratings Following Increase in Equity
VIVENDI UNIVERSAL: Closes US$1.66B Sale of Houghton Mifflin

* G E R M A N Y *

DEUTSCHE TELEKOM: Reduces Debt With Sales of Real Estate

* I R E L A N D *

ELAN CORP: Sells Remaining Holding in Athena for US$82 Million

* I T A L Y *

FIAT SPA: Former Telecom Italia Head May Come to the Rescue

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

DEMIR HALK: Fitch Downgrades Individual Rating to 'C/D'

* P O L A N D *

ELEKTRIM SA: Rejects Merrill Lynch's Request for Acknowledgement
ELEKTRIM SA: Obtains Deal With Banks on Financing of Patnow II

* R U S S I A *

CENTRO CREDIT: Fitch Assigns Long-term Rating of 'CCC+'

* S W I T Z E R L A N D *

CREDIT SUISSE: Group to Consolidate Certain Swiss Operations
ZURICH FINANCIAL: Injects Capital Into Zurich Insurance Company

* U N I T E D   K I N G D O M *

AMEY PLC: Warns of Lower Earnings for the Current Year
BRITISH TELECOM: Sells Stake in Asian Operation at a Loss
GLAXOSMITHKLINE: Consumer Healthcare Obtains Dermatology Products
GLAXOSMITHKLINE: Issues Update On Paxil Patent Litigation
INPOWER LIMITED: Fitch Downgrades Senior Bank Loan to 'DD'
INVENSYS PLC: Sells Fasco Motors to Tecumseh for US$415 Million
MARCONI PLC: Reaches Deal on Return of Capital From Joint Venture
NTL INC.: Adviser Sues for More Than GBP7 MM in Unpaid Fees
NTL INC.: To Replace Facility With Issuance of Bonds
V THOMAS POTTS: Reports Nearly GBP1 Million Pre-Tax Loss


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


ALCATEL: Sells 74% Shareholding in CTC Marine Projects
------------------------------------------------------
Alcatel (Paris: CGEP.PA and NYSE: ALA), the world leader in
optical networking, sold its 74% shareholding in British-based
undersea cable installation specialist, CTC Marine Projects, in
order to adapt its marine resources to the persistent downturn in
the submarine cable networking market. Two existing shareholders,
Managing Director Charles Tompkins and Finance Director John
Johnson, will acquire the shares. Gaining full control of the
company will allow CTC's directors to implement a diversification
plan to enter the oil field and energy cable sectors, where the
company has a wealth of past experience.

"CTC's modern and technologically advanced fleet of cable ships
(the Ocean Challenger and Skandi Neptune), ploughs and remote
operated vehicles (ROVs) allow us to provide reliable undersea
cable laying and enhanced burial services", said Charles
Tompkins, Managing Director of CTC. "Our purchase of  Alcatel's
share  in  CTC will allow us to diversify our activities and
offer  our  services  to  the  oil  &  gas  and  power  markets.
While the telecommunications industry will still be a key market
for us, our move into new markets will provide the opportunity
for substantial and immediate growth."

"Our partnership with CTC has been successful during the last two
years and we wish them a lot of success in their diversification
program", said Jean Godeluck, President of Alcatel's submarine
activity. "We will continue to provide our customers with
advanced installation and maintenance marine services provided
through our state-of-the-art fleet of cable vessels. We plan to
maintain a strong relationship with CTC and expect them to remain
one of our key suppliers."

Based in Darlington (UK), CTC is a specialist in offshore
construction work.  Since Alcatel purchased a share of CTC in
2000, the two companies have successfully worked together on
projects such as FLAG Atlantic-1, Apollo systems in the Atlantic,
the Japan-US and Southern Cross transpacific systems and MAC and
MAYA-1 systems in the Americas.

About CTC Marine Projects
CTC Marine Projects, based in the UK, is a submarine cable
installation and maintenance contractor, specialising in enhanced
cable burial.  CTC's fleet, comprising 2 cableships, 1 trenching
support vessel, 3 ploughs and 6 heavy weight ROV-based jetting
vehicles is one of the most modern and technically advanced in
the industry and is supported by world leading seafloor
(geotechnical) engineering, training and R&D facilities.

About Alcatel
According to leading telecom market research firm RHK, Alcatel
was the 2001 world leader in global optical transport -
encompassing terrestrial andsubmarine applications - with 17%
market share, in terrestrial optical transport with 14.2% market
share and in submarine optical transport with 41% market share,
an unprecedented achievement in the telecom industry.

Alcatel's optics business comprises optical components, optical
fibers, SDH/SONET and DWDM systems, cross-connects, microwave
radio links, network intelligence, and services for both
terrestrial and submarine applications.

Alcatel designs, develops and builds innovative and competitive
communications networks, enabling carriers, service providers and
enterprises to deliver any type of content, such as voice, data
and multimedia, to any type of consumer, anywhere in the world.
Relying on its leading and comprehensive products and solutions
portfolio, stretching from end-to-end optical infrastructures,
fixed and mobile networks to broadband access, Alcatel's
customers can focus on optimizing their service offerings and
revenue streams.  With sales of EURO 25 billion in 2001, Alcatel
operates in more than 130 countries.

CONTACT:  ALCATEL
          54, rue La Bo,tie
          75008 Paris, France
          Phone: +33-1-40-76-10-10
          Fax: +33-1-40-76-14-00
          Toll Free: 800-777-6804
          Home Page: http://www.alcatel.com
          Contact:
          Serge Tchuruk, Chairman and CEO
          Philippe Germond, President
          Andre Navarri, President, Operations
          Jean-Pascal Beaufret, Chief Financial Officer


SCOR: Confirms Successful Subscription of 99 Million New Shares
---------------------------------------------------------------
SCOR confirms that the capital increase it launched on November
20, for EUR 381 million, the equivalent of 99 million new shares,
has been successfully completed and fully subscribed.

98.26 million shares were subscribed on an irreducible basis and
pro-rata reducible orders were placed for an additional 24.27
million shares, only 759,132 of which remained available and were
allocated.

In the context of this offering, SCOR sold the 3.7 million
preferential subscription rights attached to its treasury shares
on the market for a total amount of EUR 14.7 million. In
addition, at its December 19 meeting, the Board of Directors
decided to cancel all of the 3.7 million shares SCOR held as
treasury stock, effective as of December 31, 2002.

As a result, the total number of SCOR shares outstanding on
December 31 will be 136,544,845.

Further to the capital increase, the structure of SCOR's
shareownership is as follows:
- Groupama remains SCOR's largest shareowner with 19.23% of its
capital.
- The 20 largest identified shareowners of SCOR Group, excluding
Groupama, represent approximately 45% of its capital. Of these,
approximately half are non-domestic institutional investors and
half are French institutional investors.

Denis Kessler, Chairman and Chief Executive of SCOR Group, said:

-The strengthening of its equity allows SCOR to maintain its
underwriting capacities in the segments of activity that were
identified as offering the best prospects for profitability, as
presented on November 18 in the "Back on Track" recovery plan.

On behalf of SCOR, I would like to thank all of our existing and
new shareowners for their participation in the offering and their
demonstration of support for our Group.

This capital increase is the first step of the plan that is
designed to allow SCOR to get back on the path to profitability
in 2003. The success of this offering is a first sign that SCOR
is regaining the market's confidence.

The next step of the recovery plan, involving changes in SCOR
Group's organisation, will be announced at the end of January
2003.

CONTACT:  SCOR
          1, Avenue du General de Gaulle
          92074 La D,fense Cedex, France
          Phone: +33-1-46-98-70-00
          Fax: +33-1-47-67-04-09
          Home Page: http://www.scor.com
          Contact:
          Jacques Blondeau, Chairman and CEO
          Denis Kessler, Chairman and CEO
          Serge Osouf, President and COO


SCOR: Fitch Affirms Ratings Following Increase in Equity
--------------------------------------------------------------
Fitch Ratings affirmed SCOR's Insurer Financial Strength ratings
at 'BBB', its long-term ratings at 'BBB-' and short-term ratings
at 'F3'.  The rating outlook is changed to Stable from Rating
Watch Negative.

The IFS rating action affects the operating reinsurance company
members: SCOR, SCOR Reinsurance Co. (US), General Security
Insurance Co., General Security Indemnity Co., General Security
Property & Casualty Co., General Security National Insurance Co.,
General Security Indemnity Co. of Arizona, SCOR Life U.S. Re
Insurance Co., Investors Insurance Corp., Republic-Vanguard Life
Insurance Co., SCOR Canada Reinsurance Co., Commercial Risk Re-
Insurance Co., Commercial Risk Reinsurance Co. Ltd., SCOR
Deutschland Ruckversicherungs AG, SCOR Italia Riassicurazioni
SpA, SCOR U.K. Co. Ltd., SCOR Reinsurance Asia-Pacific Pte Ltd,
SCOR Reinsurance Co.(Asia)Ltd.

SCOR is able to raise EUR381 million in additional equity, and
Fitch believes that this success will strengthen the company's
weakened financial profile.

The rating agency considers the group's capital adequate, and
affirms that the more conservative investment policy implemented
by the group has also contributed to a lower risk profile.

Although the success of the offering reflects the support of
shareholders to the group's recovery plan, the agency warns of
execution risks in the project and of the sluggishness of the
process.

According to Fitch, the current ratings are supported by the
group's position as a top ten global reinsurance operation; the
withdrawal from several business areas the group considers
unlikely to produce adequate returns in the near term; the
planned reduction in risk undertaken for 2003; and the expected
rise in premium rates and tightening of terms and conditions on
the remaining portfolio.


VIVENDI UNIVERSAL: Closes US$1.66B Sale of Houghton Mifflin
-----------------------------------------------------------
Vivendi Universal announced that it has sold the U.S. publishing
company Houghton Mifflin to a consortium comprising Thomas H. Lee
and Bain Capital. The transaction values Houghton Mifflin at
US$1.66 billion (around EUR1.7 billion), of which US$1.28 billion
in cash was received and US$380 million in debt was taken on by
the consortium.

Note:

Vivendi Universal announced the sell-off of Houghton Mifflin in
November as part of its asset sales started in January 2002.
During the announcement, the group confirmed that as revealed in
September, it is targeting disposals of EUR12-billion-worth of
assets within 18 months.  The French company plans to use the
proceeds of the sales to trim down EUR19 billion of borrowings.

CONTACT:  VIVENDI UNIVERSAL
          42 avenue de Friedland
          75380 Paris Cedex 08, France
          Phone: +33-1-71-71-10-00
          Fax: +33-1-71-71-11-79
          Home Page: http://www.vivendiuniversal.com
          Contact:
          Jean-Bernard Levy, Chief Operations Officer
          Robert de Metz, Executive Vice President


=============
G E R M A N Y
=============


DEUTSCHE TELEKOM: Reduces Debt With Sales of Real Estate
-------------------------------------------------------
Deutsche Telekom AG generated proceeds totaling EUR 1.7 billion
from sales of the Group's real estate in 2002. EUR 0.7 billion
was realised from the sale of real estate in 2001. The total real
estate sales accrue to EUR 2.4 billion, which represents a
considerable contribution to reducing the Deutsche Telekom
Group's debt and interest burden. Sales of around EUR 1.1 billion
were concluded in the fourth quarter of 2002.

"As part of its four division strategy, Deutsche Telekom is
concentrating on its core business activities in the main growth
segments of the telecommunications market and has therefore spun
off the sale of the Group's real estate activities. As the good
business results for Sireo's second financial year show, this
strategy is proving its worth. With this realisation of our real
estate holdings, this Deutsche Telekom affiliate is making an
important contribution to the reduction of costs and debt",
explained Dr. Karl-Gerhard Eick, Chief Financial Officer of
Deutsche Telekom AG.

Various paths have been taken to generate these proceeds. Sireo
Real Estate Asset Management GmbH - the Deutsche Telekom
affiliate entrusted with the systematic development of Deutsche
Telekom's real estate portfolio - generated almost EUR 1 billion
from individual sales of properties. Approximately EUR 750
million was additionally generated through the sale of sub-
portfolios, i.e. the bundling of Deutsche Telekom properties at
mainly metropolitan locations. Structured funds were also
developed. The "Sireo Immobilienfonds No. 1" (Sireo No. 1 real
estate fund) was positioned with insurance and pension companies
with a volume of EUR 525 million. Sireo worked together with well
known partners in the conclusion of the real estate transactions.
The positioning of the real estate fund was supported by
Stadtsparkasse K"ln. Hypothekenbank AG in Essen arranged the
leverage debt financing for the fund.

The real estate transactions are important steps along Deutsche
Telekom's path towards reducing its net debt considerably by the
end of 2003. The target, based on a debt level of around EUR 64
billion at September 30, 2002, is to reduce net debt to around
three times the expected Group EBITDA for the coming year of
between EUR 16.7 billion and EUR 17.7 billion.
In addition to the real estate transactions mentioned above,
Deutsche Telekom also concluded sales in the past few weeks which
contribute a total volume of more than EUR 1.2 billion to
reducing the debt level. The sale of around 10 per cent of the
shares of T-Online International to institutional investors
around the world generated a transaction value of around EUR 730
million. The sale of the 10.87 per cent holding in the satellite
operator EUTELSAT S.A. generated a transaction value of
approximately EUR 210 million. A sale price of 55 million dollars
was agreed for the sale of the 16.3 per cent holding in the
Ukrainian mobile communications company UMC to the Russian
company MTS. Furthermore, Deutsche Telekom's subsidiary T-Systems
International sold receivables from customers amounting to around
EUR 273 million as part of an asset backed securities
transaction.

About Sireo Real Estate Asset Management GmbH:
Sireo Real Estate Asset Management GmbH was established in the
financial hub Frankfurt/Main in April 2001 as a joint venture of
Deutsche Telekom AG, Bonn (51 per cent), the U.S. investment bank
Morgan Stanley (24.5 per cent) and Corpus-Immobiliengruppe,
Cologne (24.5 per cent). It was given the task by its majority
shareholder Deutsche Telekom of managing and realising the
Group's real estate and reducing the ancillary costs of the real
estate. Sireo manages all of the Deutsche Telekom Group's real
estate interests in line with the Group's real estate strategy
and markets the portfolio to investors.

CONTACT:  DEUTSCHE TELEKOM AG
          53113 Bonn, Germany
          Phone: +49-228-181-0
          Fax: +49-228-181-8872
          Home Page: http://www.telekom.de
          Contact:
          Hans-Dietrich Winkhaus, Chairman Supervisory Board


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


ELAN CORP: Sells Remaining Holding in Athena for US$82 Million
-----------------------------------------------------------
Elan Corporation, plc, together with the other stockholders of
Elan's subsidiary, Athena Diagnostics, Inc., have completed the
sale of all of the outstanding stock of Athena Diagnostics to
Behrman Capital and certain of its affiliated investment funds.
Per the terms of the transaction that was previously announced
on November 22, 2002, Elan has realized net cash proceeds of
approximately US$82 million.

"The sale of Athena Diagnostics brings cash raised and to be
received pursuant to previously announced transactions through
our asset divestiture program to approximately $680 million.   In
the five months since the announcement of our recovery plan, we
have accomplished nearly 45% of the stated target of $1.5 billion
to be achieved by the end of 2003," said Dr Garo Armen, chairman
of Elan.   "Based on the execution of our recovery plan to date,
I am confident that we will reach our divestiture targets ahead
of schedule. Discussions on other asset divestitures and business
rationalizations are ongoing."

Elan is focused on the discovery, development, manufacturing,
selling and marketing of novel therapeutic products in neurology,
pain management and autoimmune diseases.  Elan shares trade on
the New York, London and Dublin Stock Exchanges.

CONTACT:  ELAN CORPORATION
          Lincoln House, Lincoln Place
          Dublin 2, Ireland
          Phone: +353-1-709-4000
          Fax: +353-1-662-4949
          Home Page: http://www.elan.com
          Contact:
          Garo H. Armen, Chairman
          Shane M. Cooke, EVP and CFO


=========
I T A L Y
=========


FIAT SPA: Former Telecom Italia Head May Come to the Rescue
-----------------------------------------------------------
The hint by Italian Prime Minister Silvio Berlusconi that Fiat
might find new investors among Italian entrepreneurs roused
speculations that former Telecom Italia chairman Roberto
Colaninno may launch a rescue for the troubled group.

According to reports, Colaninno is planning to invest GBP620
million as part of a GBP5 billion package for Fiat.  Under the
scheme, Fiat units, including the Toro insurance company and Fiat
Avio aviation group, will be sold in order to raise cash.

The report came just as Fiat is believed to be in exclusive talks
for the sale of Fraikin, the French truck rental company
controlled by Fiat's Iveco commercial vehicle arm.

The sale of the French unit follows the series of asset disposals
made by the Italian group this year.  Rising debts and low sales
in its car division have pushed the company to sell non-core
business in order to meet loan covenants and reduce borrowings.

Just last week Fiat sold its 5.1 percent stake in General Motors
to Merrill Lynch for US$1.16 billion, and agreed to sell 51% of
Fidis, its profitable consumer lending arm, to its creditor banks
for about EUR400 million.  Fiat in June sold 34 percent of
Ferrari, its luxury sports car unit, and sold Teksid, its
castings unit.

CONTACT:  FIAT SPA
          250 Via Nizza
          10126 Turin, Italy
          Phone: +39-011-686-1111
          Fax: +39-011-686-3798
          Toll Free: 800-804027
          Home Page: http://www.fiatgroup.com/e-index.htm
          Contact:
          Paolo Fresco, Chairman and Co-CEO
          Alessandro Barberis, Co-CEO


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


DEMIR HALK: Fitch Downgrades Individual Rating to 'C/D'
-------------------------------------------------------
Fitch downgraded the Individual rating of Rotterdam-based Demir
Halk Bank (Nederland) NV to 'C/D' from 'C'.  The rating has been
removed from Rating Watch Negative.  The action, aside from
reflecting a change of rating methodology, also aims to show
DHB's modest profitability, weakened earnings, high proportion of
Turkish risk carried on the balance sheet (47.5% as of end-June
2002 assets) and higher levels of non-performing loans compared
to some peers.

The bank's Long-term and Short-term foreign currency ratings,
meanwhile, was assigned 'BB-', and 'B', respectively.  The Long-
term Outlook is Stable.

DHB's support rating, on the other hand, is changed to '5' from
'4' to reflect the fact that after Fitch acquisition of the
company, a support from DHB's new shareholders may come if
required, although it cannot be relied on.

Fitch, meanwhile, acknowledges the sharp improvement in the
specialized trade finance bank's profitability in 2002, as well
as resilience in weathering the Turkish economic crisis in 2001.

Following a change of shareholders, in April 2002, two prominent
Turkish businessmen and Halk Bank, the second largest Turkish
state bank acquired ownership of the company.


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


ELEKTRIM SA: Rejects Merrill Lynch's Request for Acknowledgement
----------------------------------------------------------------
Referring to disclosure no. 184/02 of December 11, 2002 relating
to the letter sent to Elektrim S.A. by lawyers representing
Merrill Lynch & Co. Inc., Merrill Lynch International Inc. and
Paul Pittman, the Management Board of Elektrim S.A. conclude
that the claims relating to the proceeding in NY are unjustified.

The Agreement of 25 January 1999 did not provide for all services
rendered by Merrill Lynch to Elektrim, but for those that were
explicitly specified. Further analysis of the documentation is
being conducted with regard to the basis for Elektrim's liability
and the essence of dispute between PenneCom and Merrill Lynch &
Co. Inc., Merrill Lynch International Inc. and Paulem Pittmanem
in New York.

Disclosure no. 184/02:
The Management Board of Elektrim S.A. announces that on 10
December 2002 it received a notification that Merrill Lynch & Co.
Inc., Merrill Lynch International Inc. and Paul Pittman request
acknowledgement by Elektrim S.A. of liability for damages
resulting from the agreement dated 25 January 1999 pursuant to
which Elektrim S.A. engaged Merrill Lynch International Inc. to
provide financial advisory services.

The above request for acknowledgement is related to the claim
filed on 23 September 2002 against Merrill Lynch & Co. Inc.,
Merrill Lynch International Inc. and Paul Pittman by PenneCom
B.V. PenneCom B.V. claims damages from the respondents relating
to their undertaking unlawful actions they have been accused of
in connection with their rendering advisory services to Elektrim
S.A. pursuant to the above mentioned agreement. The damages
claimed from Merrill Lynch & Co. Inc., Merrill Lynch
International Inc and Paul Pittman are in excess of
USD 100,000,000.  Elektrim's Management Board analyzed the
request made by Elektrim S.A.


ELEKTRIM SA: Obtains Deal With Banks on Financing of Patnow II
--------------------------------------------------------------
The Management Board of Elektrim announces that on 20 December
2002 Elektrim SA, ZE PAK SA and Patnow II Sp. z o.o. signed a
Mandate Agreement with PEKAO SA, BPH PBK SA, BRE Bank
SA, Kredyt Bank SA, West LB AG to organize financing of the
Power Plant Patnow II.

It is anticipated that in organizing the financing, in addition
to the above mentioned leading group of banks other Polish and
foreign banks will also participate.

Meanwhile, the Extraordinary General Meeting of Shareholders of
Elektrim SA has resolved to announce a break in the debates.  The
Meeting will be continued on Friday, January 17, 2003 at 10:00 in
the Company's seat in Warsaw at Panska 77/79.


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


CENTRO CREDIT: Fitch Assigns Long-term Rating of 'CCC+'
-------------------------------------------------------
Fitch Ratings assigned to Centro Credit Bank a long-term rating
of 'CCC+', a short-term rating of 'C', Individual rating of 'D',
and support rating of '5T' to reflect the bank's "short track
record of operating in its current form and its undeveloped
funding base."

According to the international rating agency, the action also
reflects the bank's high level of exposure to market risk through
its securities operations, and the consequent dependence on
potentially less sustainable sources of income.

The ratings, at the same time, reflect the bank's good
profitability and its adequate capitalization, as well as its
effective management of risks so far.

While acknowledging the good performance of the bank for the past
two years, Fitch expresses concern on the bank's reliance on
potentially volatile securities income.  The agency therefore
recommends that Centro Credit diversify its business.

Fitch also notes that the bank remains dependent on short-term
and more volatile interbank market, and thus warns of higher
liquidity risk for the bank in comparison with many other banks.

The rating agency further recommends support for future growth in
the bank's activities.

Centro Credit ranks among the top 50 Russian banks by total
assets.  It has been working on attracting new customers and
diversifying its customer base.   While searching for an
appropriate business model, it is also looking to attract a
foreign investor to provide a platform for further expansion.
Centro Credit had only two branches as of the end of September.


=====================
S W I T Z E R L A N D
=====================


CREDIT SUISSE: Group to Consolidate Certain Swiss Operations
------------------------------------------------------------
Credit Suisse Group announced that Credit Suisse First Boston's
Zurich-based securities and treasury execution platform -
including the respective mid- and back-offices and IT functions -
will be fully integrated into Credit Suisse Financial Services by
June 30, 2003. With this realignment, the Group expects to
achieve significant efficiency gains, while at the same time
maintaining its high standard of service for its Swiss clients.

In the future, Credit Suisse Financial Services (CSFS) will
execute securities and treasury transactions for its private
banking, retail and corporate clients on the Swiss platform under
its own name. In the Swiss franc market, Credit Suisse will be
the Group's sole funding name (incl. Swiss Interbank Clearing)
and will represent Credit Suisse First Boston's (CSFB) Swiss
franc fixed income and primary market businesses. CSFB will, in
the future, use its London execution platform to deliver
securities and treasury products to its Swiss institutional,
corporate and government clients. CSFB's investment banking and
Swiss institutional coverage businesses in Switzerland will be
maintained and are not affected by these changes.

The realignment is expected to result in cost synergies for the
Group of approximately CHF 140 million p.a. and in a reduction of
approximately 300 jobs overall by the end of 2003. It is planned
that the integration process will be finalized by the end of the
first half of 2003.

Oswald J. Grbel, Chief Executive Officer of CSFS and Group Co-
CEO effective January 1, 2003, said: "We are convinced that with
this move, we can make even better use of our skills and
infrastructure in Switzerland, while continuing to create value
for our clients throughout the Group. We will continue to
cooperate closely with CSFB as our preferred provider of
securities and treasury products."

Credit Suisse Group
Credit Suisse Group is a leading global financial services
company headquartered in Zurich. The business unit Credit Suisse
Financial Services provides private clients and small and medium-
sized companies with private banking and financial advisory
services, banking products, and pension and insurance solutions
from Winterthur. The business unit Credit Suisse First Boston, an
investment bank, serves global institutional, corporate,
government and individual clients in its role as a financial
intermediary. Credit Suisse Group's registered shares (CSGN) are
listed in Switzerland and Frankfurt, and in the form of American
Depositary Shares (CSR) in New York. The Group employs around
80,000 staff worldwide. As of September 30, 2002, it reported
assets under management of CHF 1,221.8 billion.

CONTACT:  CREDIT SUISSE GROUP
          Investor Relations Telephone
          Phone: +41 1 333 4570


ZURICH FINANCIAL: Injects Capital Into Zurich Insurance Company
---------------------------------------------------------------
Zurich Financial Services Group has increased the capital of
Zurich Insurance Company, one of its key operating entities, by
CHF 1.7 billion. The nominal share capital was increased by CHF
340 million to CHF 825 million through the issuance of 34 million
fully paid registered shares with a nominal value of CHF 10 each
at an issue price of CHF 50 per share.

This capital injection follows the ordinary capital increase of
Zurich Financial Services, completed on October 30, 2002, which
raised CHF 3.744 billion. The Group-internal injection of capital
replaces inter-company loans to Zurich Insurance Company.

Zurich Financial Services is an insurance-based financial
services provider with an international network that focuses its
activities on its key markets of North America, the United
Kingdom and Continental Europe. Founded in 1872, Zurich is
headquartered in Zurich, Switzerland. It has offices in
approximately 60 countries and employs well over 70,000 people.

CONTACT:  Zurich Financial Services
          Home Page: http://www.zurich.com
          SWX Swiss Exchange/virt-x: ZURN


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


AMEY PLC: Warns of Lower Earnings for the Current Year
------------------------------------------------------
Further to the Stock Exchange announcement made on 9th December
2002, the Board of Amey is today providing an update on progress.

Good progress is being made towards the financial closure of the
London Underground Public Private Partnership contract. If
progress continues as planned the deal will complete on 31st
December 2002. The Board will make a further announcement once
completion is achieved.

Amey has completed the sale of Amey Resource Management to Futuro
Group for GBP1.4 million, with a further sum of up to GBp0.25
million due by the end of April 2003 subject to certain contracts
being retained. The sale of Amey Vectra remains on course to
complete in January.

The sale of the Group's portfolio of PFI investments to Laing
Investments Limited will not complete before the end of the year,
although good progress is being made, and signing of a
conditional contract is expected by mid-January.

That contract is likely to be conditional upon the successful
conclusion of Amey's banking discussions and shareholder
approval, among other matters. The total consideration payable is
likely to be lower than the Group had previously anticipated.

These disposals form part of the Group's strategy of focusing on
its core support services businesses.

As a result of the reduced proceeds arising from the PFI sale,
and the delay into 2003, the Board now expects that EBITA (pre
FRS17 and exceptional items) for 2002 will now be around GBP27
million, (GBP35 million indicated previously), and exceptional
charges closer to GBP95 million (GBP85 million indicated
previously).

Amey's discussions with its lenders are proceeding and the Group
considers that they remain supportive.

CONTACT:  CardewChancery:
          Anthony Cardew
          Pager: 07659 550465

          Melvyn Marckus
          Phone: 020 7930 0777
          Pager: 07659 104878


BRITISH TELECOM: Sells Stake in Asian Operation at a Loss
---------------------------------------------------------
British Telecom sold its stake in SmarTone, a HongKong mobile
carrier, to Sun Hung Kai Properties with a loss of GBP160 million
in the HK$1 billion (GBP82 million) transaction.

Sun Hung Kai, the controlling shareholder, raised a general offer
for the outstanding shares by 3% after its stake increased over
the 30% minimum threshold as a result of a dividend payment.

According to The Independent, analysts who had earlier doubted
the timing of the deal regarded the move as opportunistic.

The sale of the 20.1% stake, which the group acquired for GBP240
million in 1999, is part of the company's non-core asset
disposals to reduce debt to below GBP1 billion by early 2005.
The company, so far, has halved its debt to GBP13.1 billion
through a GBP6 billion rights issue aided by asset disposals.

After selling Maxis Communications, a Malaysian cellular company
in May 2001, and the stake in Smartone, BT is left only with a
handful of other Asian telecoms companies, including StarHub in
Singapore, LG Telecom in South Korea and India's Mahindra BT.

The group is currently refocusing on growing organically after
reviving its business from combined losses of almost HK$650
million in 2000 and 2001, as a result of strong competition in
Hong Kong's mobile sector.

CONTACT:  BRITISH TELECOM
          BT Centre, 81 Newgate St.
          London EC1A 7AJ, United Kingdom
          Phone: +44-20-7356-5000
          Fax: +44-20-7356-5520
          Home Page: http://www.btplc.com


GLAXOSMITHKLINE: Consumer Healthcare Obtains Dermatology Products
-----------------------------------------------------------------
GlaxoSmithKline Consumer Healthcare, a division of
GlaxoSmithKline Corporation (NYSE: GSK), announced today that it
has obtained five dermatology products from Elan Pharmaceuticals,
which is exiting the dermatology business.

Beginning January 1, 2003, GSK Consumer Healthcare will market
Aclovater, Cutivater, Temovater,Oxistatr, and Emgelr.

"These proven pharmaceutical products are an excellent fit with
our over-the-counter brands, including Oxyr acne products and
Abrevar cold sore medication," said Manfred Scheske, president,
GlaxoSmithKline Consumer Healthcare North America. "Many of our
existing products, including Ecotrin, Citrucel and Os-Cal, are
very well regarded by the medical community. The addition of
Aclovate, Cutivate, Temovate, Oxistat and Emgel will help us
continue to deliver innovative specialty products to healthcare
professionals and consumers."

"We have a world-class medical sales force," added David Van
Brunt, director of marketing, prescription brands. "We currently
have significant coverage of primary care physician offices, and
with our new Specialty Sales Force, we'll be able to reach
dermatologists and pediatricians with information on these and
our other products."

GSK Consumer Healthcare has a very successful record of marketing
prescription products alongside its over-the-counter portfolio.
The company marketed Nicoretter as a prescription brand before it
switched to its current over-the-counter status. In addition, it
has co-promoted Bactrobanr Cream and currently sells Zofranr, and
Flonaser.

"The dermatology specialty is a relatively small group of
physicians, and tends to be more consumer-oriented than some
other medical specialties," said Van Brunt. "Our consumer
marketing competency, combined with our medical marketing
expertise are a great foundation for us to grow these brands and
build our dermatological portfolio."

Elan has reported that the five products generated revenues of
US$35 million through June 30, 2002 and US$62 million in 2001.

GlaxoSmithKline Consumer Healthcare is the world's second largest
over-the-counter healthcare products company and also ranks
second globally in sales of oral care products. Its more than 40
well-known products include such medicine cabinet staples as
Abreva, Aquafreshr toothpastes and toothbrushes, Nicorette,
NicoDermr CQ, Oxy, Sensodyner and Tumsr.

GlaxoSmithKline - one of the world's leading research-based
pharmaceutical and healthcare companies - is committed to
improving the quality of human life by enabling people to do
more, feel better and live longer.


GLAXOSMITHKLINE: Issues Update On Paxil Patent Litigation
---------------------------------------------------------
GlaxoSmithKline (GSK) announced that a federal judge for the
United States District Court for the Eastern District of
Pennsylvania (Philadelphia) has ruled on summary judgment motions
filed by TorPharm Pharmaceuticals (a wholly owned subsidiary of
Apotex) in litigation over GSK's anti-depressant drug, PaxilO
(paroxetine hydrochloride). The judge ruled in GSK's favour on
one patent, denying the motions for invalidity and non-
infringement; in Apotex's favour on a second patent, holding the
patent invalid; and split the decision on the remaining two
patents, holding some claims in the patents invalid but denying
Apotex's motions on other claims. Claims in three of the patents
will proceed towards trial in the normal course of the
litigation. A trial date for the case has not yet been set.

With respect to the claims held invalid, the judge noted that
there was conflicting legal precedent and he commented, "it is
impossible to know which approach is correct.. We encourage
counsel to seek clarification of the law on this issue." GSK will
seek an immediate appeal of the rulings with respect to the
claims held invalid.

The summary judgment rulings represent one element of the current
legal action between GSK and Apotex. GSK is continuing to pursue
litigation against Apotex in the United States District Court for
the Northern District of Illinois (Chicago) on its patent
covering the hemihydrate form of Paxil expiring in 2006. Summary
judgment motions seeking to invalidate this patent have already
been dismissed and the time for filing of further summary
judgment motions in this case has now expired. A trial date for
this case has not yet been set.

GSK continues to believe there are significant hurdles that
prevent launch of a generic Paxil product. Accordingly, GSK's
published earnings guidance for 2002 and 2003 remains as
previously stated.*

GSK's anti-depressent, Paxil was launched in the US in early
1993, with patent expiry in 2006. The first generic company,
Apotex, sought marketing approval in 1998 - only 5 years after
first launch.

GlaxoSmithKline, one of the world's leading research-based
pharmaceutical and healthcare companies, is committed to
improving the quality of human life by enabling people to do
more, feel better and live longer. For more information, please
visit the company's web site at www.gsk.com

Notes

Patent          Ruling

5,900,423       Apotex motions denied

6,080,759       Split decision

6,113,944       Apotex motions upheld

6,172,233       Split decision

*Earnings Guidance

GSK expects business performance to deliver earnings per share
growth of at least 10% in 2002 and high single digits in 2003.
This guidance assumes GSK successfully defends its intellectual
property surrounding Paxil in the USA. GSK is engaged in legal
proceedings regarding validity and infringement of the Group's
patents relating to Paxil. Business performance growth is at
constant exchange rates and excludes merger items, integration
and restructuring costs and disposals of subsidiaries

CONTACT:  European Analyst/Investor Duncan Learmouth
          Philip Thomson
          Joan Toohill
          Phone: 020 8047 5540
                 020 8047 5543
                 020 8047 5542

          US Analyst/Investor Frank Murdolo
          Tom Curry
          Phone: (215) 751 7002
                 (215) 751 5419


INPOWER LIMITED: Fitch Downgrades Senior Bank Loan to 'DD'
----------------------------------------------------------
Fitch Ratings downgraded the senior secured bank loan rating for
Inpower Limited, Drax's related company, to 'DD' from 'C'.  The
action follows deferral of principal payable senior lenders under
the GBP905 million facility due December 31, 2002.

Last month, Drax agreed to standstill arrangements with its
senior lenders and senior bondholders.  Under the deal, Drax will
pay its senior lenders only the interest of its GBP905 million
facility.  Fitch says that failure to pay the principal on the
bank loan amounts to a change in payment terms, which under the
agency's criteria constitutes a default.

After warning of this possible default earlier, Fitch predicts
that a recovery for investors is in the range of 50 to 90%.  The
forecast takes into account current estimate of ringfenced cash
available within the structure going forward of c.GBP125m-165m
and an estimated sales value for the plant of c.GBP800m, all of
which is pledged to the senior lenders.

Including Drax's claim for capacity damages of c.GBP267 million
in respect of the terminated TXU hedge agreement and unpaid power
deliveries to TXU, the total recovery value for senior lenders
amounts to c.GBP1.2 billion.  As at end-November 2002 total
amounts outstanding under the Inpower bank loan and the DrxHold
senior secured bonds were c.GBP1.2bn.  But this value could still
be reduced by variability in incremental costs in case of
insolvency, timeframe for a potential sale process, the success
of the TXU claim, and the outlook for baseload pricing.

Meanwhile, the ratings of the senior secured bonds issued by AES
Drax Holdings Limited and the senior notes issued by AES Drax
Energy Limited remain at 'CC' and 'C' respectively. The ratings
all remain on Rating Watch Negative.


INVENSYS PLC: Sells Fasco Motors to Tecumseh for US$415 Million
---------------------------------------------------------------
Invensys plc, the international production technology and energy
management Group, announces that it has completed the sale of its
Fasco Motors business to Tecumseh Products Company for the
previously agreed cash consideration of US$415m. The sale
proceeds will be used by Invensys to continue to reduce its level
of indebtedness.

Rick Haythornthwaite, CEO of Invensys, said: "With the completion
of this sale, our program to dispose of the businesses earmarked as a
result of our strategy review is now complete. At a total consideration
of over GBP1.8bn we have surpassed our stated GBP1.5bn target and
we have delivered this vital element of our strategy three months ahead
of schedule. The disposals have reduced our debt significantly, removed
concerns about our financing and given us the headroom to implement
our strategy. The single focus of Invensys will now be on achieving
our stated performance targets for the company."

Fasco Motors
Headquartered in Eaton Rapids, Michigan, Fasco is a leading
manufacturer in the U.S. fractional horsepower motors industry.
Fasco manufactures AC motors, DC motors, blowers, gearmotors and
linear actuators, with integrated design and manufacturing
facilities in the North American and Asia Pacific regions. The
Company's products are used in a wide variety of applications
within the HVAC, automotive, healthcare and appliance industries
among others.

The Company has marketed its products under the well-known Fasco
brand name for nearly a century and is widely recognized for its
comprehensive product portfolio, engineering expertise,
manufacturing capabilities and its high quality, customer-
oriented service and solutions. Fasco has 13 manufacturing
facilities and over 5,000 employees worldwide.

About Invensys plc
Invensys plc is a global leader in production technology and
energy management. The group helps customers improve their
performance and profitability using innovative services and
technologies and a deep understanding of their industries and
applications.

Invensys Production Management works closely with customers in
order to drive up performance of their production assets,
maximise their return on investments in production technologies
and remove cost and cash from their whole supply chain. The
division includes APV, Baan-Wonderware-Avantis, Eurotherm,
Foxboro, SIMSCI/Esscor and Triconex. These businesses address
process and batch industries -- including oil, gas and chemicals,
food, beverage and personal health care -- and the discrete and
hybrid manufacturing sectors.

Invensys Energy Management works with clients involved in the
supply, measurement and consumption of energy and water, to
reduce costs and waste and improve the efficiency, reliability
and security of power supply. The division includes Energy
Management Solutions, Appliance Controls, Climate Controls,
Building Systems, Global Services, Metering Systems, Powerware
and Home Control Systems. These businesses focus on markets
connected with power and energy infrastructure for industrial,
commercial and residential buildings.

The company also serves the specialized rail, wind-power and
electronic manufacturing (power components) markets through
Invensys Rail Systems, Hansen Transmissions and Lambda,
respectively, in its Development division.

Invensys operates in more than 80 countries, with its
headquarters in London. For more information, visit
www.invensys.com

CONTACT:  Duncan Bonfield
          Phone: +44 (0)20 7821 3712
          Fax: +44 (0)20 7821 3709

          INVENSYS PLC
          Phone: +44 (0)20 7404 5959
          Fax: +44 (0)20 7831 2823


MARCONI PLC: Reaches Deal on Return of Capital From Joint Venture
-----------------------------------------------------------------
Marconi plc (MONI) has reached agreement with RT Group plc (in
members' voluntary liquidation), and its subsidiary RT Group
Telecom Services Limited, on a return of capital from Ultramast, the joint
venture set up in December 2000. Subject to completion of the reduction
of capital, the agreement provides for both companies to waive all
outstanding litigation relating to the joint venture.  RT Group will also
assume full control of all of Ultramast.

Upon completion of the reduction of capital, which is expected in
February 2003, Marconi should receive approximately #45 million
in cash, of which approximately GBP20 million was paid into court
pending the outcome of a lawsuit between the parties in August
2002. The agreement proposes that approximately GBP8 million cash
will remain in Ultramast to finance ongoing operations following
completion of the reduction of capital.

About Marconi plc

Marconi plc is a global telecommunications equipment and
solutions company headquartered in London. The company's core
business is the provision of innovative and reliable optical
networks, broadband routing and switching and broadband access
technologies and services. The company's aim is to help fixed and
mobile telecommunications operators worldwide reduce costs and
increase revenues.

The company's customer base includes many of the world's largest
telecommunications operators. The company is listed on the London
Stock Exchange under the symbol MONI. Additional information
about Marconi can be found at www.marconi.com

CONTACT:  MARCONI PLC
          1 Bruton St.
          London W1J 6AQ, United Kingdom
          Phone: +44-20-7493-8484
          Fax: +44-20-7493-1974
          Homepage: http://www.marconi.com
          Contacts:
          Derek C. Bonham, Chairman
          M. W. J. (Mike) Parton, CEO
          Steve Hare, Finance Director


NTL INC.: Adviser Sues for More Than GBP7 MM in Unpaid Fees
-----------------------------------------------------------
Morgan Stanley, NTL's adviser on its Chapter 11 bankruptcy
filing, is suing the cable operator for over more than GBP7
million in alleged unpaid fees that date back as far as 1999.

Although both parties declined to comment further, and while NTL
executives has yet to issue an official decision, a spokeswoman
said that the group has grounds to object the demand, says the
Scotsman.

The banking adviser, which is expected to earn up to US$20
million (GBP12.4 million) for its services, is currently working
with Credit Suisse First Boston and JP Morgan on NTL's debt-for-
equity swap. Under the restructuring proposals currently being
discussed by creditors, NTL plans to become two businesses - NTL
UK and NTL Euroco.

NTL, whose exit from Chapter 11 in November was delayed by
ongoing discussions over a replacement for the company's standby
funding, is expecting to emerge from creditor protection in the
"very near future."

Reacting to reports that negotiations with creditors have hit a
snag, NTL said the so-called legal dispute with creditors is not
substantive.


NTL INC.: To Replace Facility With Issuance of Bonds
----------------------------------------------------
Cable television group NTL intends to replace its US$630
million existing facility, of which only US$220 million was
drawn, with the issuance of US$500 million of bonds maturing in
January 2010.

According to the Wall Street Journal, the bonds will pay a high
deadline yield of 19%, but the company said the cost of the debt
was lower than a yield range of "23 to 25 per cent" that had been
previously discussed.

NTL ran into debt as a result of huge infrastructure investment
to develop its cable networks, just as it battles competition
with satellite rival, British Sky Broadcasting.  Its investment
in fiber-optic network amounted to US$8.2 billion.

In order to exit from creditor protection, the company is
orchestrating a restructuring that involves a GBP6.7 billion
debt-for-equity swap.  After the process, NTL will be left with
debts totaling around GBP4 billion (US$6.24 billion) including
GBP3.2 billion of bank debt.


THOMAS POTTS: Reports Nearly GBP1 Million Pre-Tax Loss
----------------------------------------------------------------
Chairman's statement

When last year's final results were announced in August, we
warned that the current year would be much more difficult; and so
it has proved. In the six months to the end of September the
Group made a pre-tax loss of GBP988,000, including GBP233,000 of
exceptional charges. Although we believe the trading deficit will
be significantly reduced in the second half, we anticipate losses
arising from the disposal of certain Group businesses. This
exceptional charge is likely to be in the region of GBP 1.5
million, mainly from the writedown of fixed assets. Under the
circumstances there will be no interim dividend payment and the
directors do not anticipate recommending any payment for the full
year.

Overall results were particularly disappointing in manufacturing,
though the print management division made a small trading profit.
Since the end of September 2002 the Company has sold B P Cook
(silk screen printers) and Premier Metropolis (lithographic
printers), the latter to an MBO team. The GBP1.5 million
exceptional charge mentioned above will greatly exacerbate the
second-half loss, but we have taken the view that we would rather
be out of print manufacturing altogether than pursue the only
feasible alternative, which would be to invest further in
manufacturing capacity.

We had been intending for some time to switch the focus of the
business from manufacturing to print management. We will not
pretend that the disposals of B P Cook and Premier Metropolis
were not forced on us by poor results, but the end result is to
reposition the Group roughly to where we were intending to be.

Within print management, Fairway and Eurographics had a good
first half but CCS Potts continued to find trading difficult. As
mentioned earlier in the year Alan Barnett is now working full
time within our print management companies, specifically at CCS,
and there are signs that the remedial action which he and the
team in Cardiff are taking is starting to have positive effects.

The Group is trading comfortably within its banking facilities
and the recent disposals will further enhance our cash position.
We are currently investigating the possible sale of the Company's
site on the fringes of Docklands in London E14, which in due
course should provide a further significant boost to our finances
and leave the Group with positive net funds.

Proposed cancellation of AIM listing

As far as the Board can see, the Company is gaining very little
benefit from having its shares listed on the Alternative
Investment Market of the London Stock Exchange ('AIM'). It is
therefore proposed to cancel the AIM listing, which the Board
believes should be put to shareholders for approval, at around
the time of our financial year-end, 31 March 2003. The Company
will then continue to function as a PLC and the Board will be
responsible to shareholders as before, but there will be no
market in the shares (though in practice there has been very
little market anyway, and the wide bid-offer spread has been
unattractive to both buyers and sellers). Shareholders may wish
to consider whether they would want to retain their shares in
such circumstances. I will be keeping all of mine. A notice of
EGM setting out a resolution to delist the Company from AIM will
be sent to shareholders with the interim results shortly.

Stephen Hargrave

Chairman

31 December 2002



Consolidated Profit & Loss Account

                  (Unaudited)       (Unaudited)      (Audited)
                  Six months        Six months       Year
                   ended                ended        ended
                 30th September    30th September    31st March
                   2002                2001           2002
                   GBP'000             GBP'000        GBP'000



Turnover          16,300            19,022           38,252

Cost of sales     12,564            14,030           27,432

Gross profit       3,736             4,992           10,910

Operating expenses 4,267             4,037            8,786

Exceptional costs
(Note 2)             233              -                  -

Operating profit/(loss)
before amortisation (764)              955            2,124

Amortisation         128               109              216

(Loss)/Profit
on ordinary activities before interest
                    (892)               846           1,908
Net interest payable  96                198             317

(Loss)/ Profit on ordinary activities before taxation
                    (988)               648           1,591

Taxation            (289)               205             585

(Loss)/Profit for the period
                    (699)               443           1,006

Equity minority interests
                      -                 30               72

Profit attributable to ordinary shareholders
                    (699)              413              934

Dividends paid and proposed
                     -                 159              339

Amount transferred to reserves
                   (699)               254              595

Earnings per share

On profit for the financial period
                      -              0.195p           0.440p

Diluted earnings per share
                      -              0.192p           0.440p

Dividend per share
                      -              0.075p           0.160p


Consolidated Balance Sheet

                 (Unaudited)       (Unaudited)     (Audited)
                 30 September      30 September      31 March
                     2002              2001          2002
                     GBP'000         GBP'000         GBP'000

Fixed assets

Intangible assets      1,828             2,157         1,709

Tangible assets        4,264             5,032         4,625
                       6,092             7,189         6,334

Current assets

Stocks                 1,127             1,452         1,397

Debtors                6,269             8,343         8,002

Cash
at bank and in hand   1,095             829           2,466

                       8,491            10,624        11,865

Creditors: amounts falling due within one year
                       8,334            10,594        10,917

Net current assets
                         157                30           948

Total assets less current liabilities
                       6,249             7,219         7,282

Creditors: amounts falling due after more than one year
                         486               978           642

Provisions for liabilities and charges
                        807               773           802

Net assets employed
                      4,956             5,468         5,838

Capital and reserves

Called up share capital
                      2,114             2,114         2,114

Share premium account
                      3,040             3,040         3,040

Profit and loss account
                      (198)               161           502

Equity shareholders' funds
                     4,956             5,315         5,656

Minority interests
                         -               153           182


                     4,956             5,468         5,838


Consolidated Cashflow Statement

                   (Unaudited)    (Unaudited)      (Audited)
                   Six months      Six months       Year
                        ended           ended       ended
                   30 September  30 September      31 March
                     2002            2001            2002
                    GBP'000          GBP'000        GBP'000


Operating (loss) / profit
                   (892)             846            1,908

Depreciation and amortisation
                    531              452            1,063

Working capital and provisions
                   (142)           1,231           2,308

Net cash (outflow)/inflow from operating activities
                   (503)           2,529           5,279

Net capital expenditure and financial investment
                    (93)             (37)           (102)

Operating cashflow
                   (596)            2,492          5,177

Interest and minority interest dividends
                    (96)            (198)           (330)

Tax paid
                    (285)             (61)           (539)

Acquisitions and disposals
                    (308)            (221)             -

Dividends paid
                      -              (359)          (518)

Net cashflow before financing
                  (1,285)           1,653          3.790

Net cashflow from financing
                    (256)           (275)           (552)

(Decrease) / Increase in cash
                  (1,541)           1,378          3,238


Notes

1. Basis of preparation

The financial statements set out on the preceding pages do not
comprise statutory accounts for the purpose of Section 240 of the
Companies Act 1985. Statutory accounts for the year ended 31st
March 2002 on which the auditors of the Group made an unqualified
report, have been delivered to the Registrar of Companies.

2. Exceptional costs

During the six months ended 30 September 2002, the Group made a
loss on the disposal of its 50% equity interest Rosoman Litho
Limited of GBP102,000 and incurred redundancy costs within
operations.

3. Earnings per share

No earnings per share numbers have been calculated for the
current period as the Group has incurred losses.

The comparative figures are calculated on the profit on ordinary
activities after taxation of; 2001 six months: GBP413,000; 2002
twelve months: GBP934,000 attributable to shareholders and on the
number of ordinary shares being the weighted average number in
issue during the period.

The comparative calculations are based on 211.3 million shares
(interim) and 211.3 million shares (final) being the weighted
average number in issue during these periods.

4. Dividend

No dividend has been declared for the sux months ended 30 September
2002.

                                      ************

           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, Ma. Cristina Canson, and Laedevee
Gonzales, Editors.

Copyright 2003.  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 * * *