/raid1/www/Hosts/bankrupt/TCREUR_Public/030404.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, April 4, 2003, Vol. 4, No. 67


                              Headlines

* C Y P R U S *

GLENOAKS INVESTMENTS: Notice to Creditors to Identify Claims
RODEVA LIMITED: Notice to Creditors to Identify Claims
SILKMILLENIUM TRADING: Notice to Creditors to Identify Claims

* F R A N C E *

ALCATEL: Explains French and U.S. GAAP Accounting Discrepancies
VIVENDI UNIVERSAL: Update on Tax Treatment of DuPont Shares

* G E R M A N Y *

ALLIANZ AG: Reduces Stake in Munich Re to Less Than 20%
DEAG ENTERTAINMENT: Posts Positive EBIT Despite Losses in STELLA
DEAG ENTERTAINMENT: Secures Further Financing From Banks
GERLING-KONZERN: Shareholders Discontinue Negotiations With HDI
ELAN CORP: King Pharmaceuticals Withdraws Bid for Primary Care

* I T A L Y *

TELECOM ITALIA: Investors Demand Better Terms in Proposed Merger

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

KLM ROYAL: Voluntarily Applies for De-listing at German Bourse
KONINKLIJKE AHOLD: Intends to Divest South American Operations
KONINKLIJKE AHOLD: The Pomerantz Firm Files Class Action Lawsuit
RELIANT ENERGY: Standard & Poor's Raises Credit Rating to 'B'

* P O L A N D *

KONSORCJUM FINANSOWO: Declared Bankrupt by Polish Economic Court

* R U S S I A *

JSC NORTH-WEST: Ratings Raised Due to 'B-' Due to Consolidation
JSC SOUTHERN: Rating Raised to 'B-' Due to Consolidation
JSC URALSVIAZINFORM: Rating Raised to 'B' Due to Consolidation

* S P A I N *

JAZZTEL PLC: Announces Resolutions Taken During Board Meeting

* S W E D E N *

TELIASONERA: To Trim Down Workforce to Ensure Competitiveness

* U N I T E D   K I N G D O M *

BRITISH AIRWAYS: Traffic Controllers' Strike Disrupts Services
BUZZ: Staff Left Confused After Takeover Fell Behind Schedule
CABLE & WIRELESS: Appoints Caio New CEO, Loosemore New COO
CORUS GROUP: Reviving Merger Talks With Brazil's CSN
CORUS GROUP: Possible Deal With LNM Likely to Face Opposition
EQUITABLE LIFE: Large Number of Clients Dropped Out of Scheme
FKI PLC: Warns of Reduced Final Dividend for the Year
INTERSHOP COMMUNICATIONS: Expects EBITDA Loss of Up to EUR7 MM
L. GARDNER: Bankers Appoint Administrative Receivers
MARGAUX FASHIONS: Issues Notice of Creditors Meeting
MYTRAVEL GROUP: To Axe 2,000 Jobs as Part of Strategic Review
PICARDY MEDIA: Operation Sold to Welsh Post-Production Company
PIZZAEXPRESS: Bidder Clarifies Remarks Attributed to Director
PRECISION SHEET: Notice of Unsecured Creditors Meeting
QMS: In Surprise Move to Close Down Operation in Scotland
ROYAL & SUN ALLIANCE: Appoints Haste Chief Executive Officer
TELEWEST COMMUNICATIONS: KPMG Has Doubts Over Company's Future


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C Y P R U S
===========


GLENOAKS INVESTMENTS: Notice to Creditors to Identify Claims
------------------------------------------------------------
In the matter of Glenoaks Investments Limited and in the matter
of the Cyprus Companies Law Cap 113 notice is hereby given that
the creditors of the above-named company ,which is being
voluntarily wound up, are required on or before the April 29, 2003
to send in their full names, their full names, their addresses
and descriptions, full particulars of their debts orclaims and
the names and addresses of their solicitors (if any) to the
undersigned Michael C. Georgehiou, of Abacus Financial Services,
City House, 2nd Floor, 19 Th. Dervis Street, CY-1066 Nicosia, P.O.
Box 25549, CY-1310 Nicosia, Cyprus, the liquidator of the said
company, and if so required by notice in writing from the said
liquidator, to come in and prove their said debts or claims at
such time and place as shall be specified in such notice, or in
default thereof they will be excluded from the benefit of any
distribution made before such debts are proved.

CONTACT:  ABACUS FINANCIAL SERVICES
          Michael C. Georghiou, Liquidator


RODEVA LIMITED: Notice to Creditors to Identify Claims
------------------------------------------------------
In the matter of Rodeva Limited and in the matter of the Cyprus
Companies Law Cap 113

Notice is hereby given that the creditors of the above-named
company which is being voluntarily wound up are required on or
before the April 29, 2003 to send in their full names, their full
names, their addresses and descriptions, full particulars of
their debts or claims and the names and addresses of their
solicitors (if any) to the undersigned George Foradaris of
PricewaterhouseCoopers, Julia House, 3 The Dervis Street, P.O.
Box 21612, CY-1591 Nicosia, Cyprus, the liquidator of the said
company, and if so required by notice in writing from the said
liquidator, to come in and prove their said debts or claims at
such time and place as shall be specified in such notice, or in
default thereof they will be excluded from the benefit of any
distribution made before such debts are proved.

CONTACT:  PRICEWATERHOUSECOOPERS
          George Foradaris, Liquidator


SILKMILLENIUM TRADING: Notice to Creditors to Identify Claims
-------------------------------------------------------------
In the matter of Silkmillenium Trading & Investment Limited and
in the matter of the Cyprus Companies Law Cap 113

Notice is hereby given that the creditors of the above-named
company which is being voluntarily wound up are required on or
before the April 29, 2003 to send in their full names, their full
names, their addresses and descriptions, full particulars of
their debts or claims and the names and addresses of their
solicitors (if any) to the undersigned Michael C, Georghiou, of
Abacus Financial Services, City House, 2nd Floor, 19 Th. Dervis
Street, CY-1066 Nicosa, P.O.Box 25549, CY-1310 Nicosia, Cyprus,
the liquidator of the said company, and if so required by notice
in writing from the said liquidator, to come in and prove their
said debts or claims at such time and place as shall be specified
in such notice, or in default thereof they will be excluded from
the benefit of any distribution made before such debts are
proved.

CONTACT:  ABACUS FINANCIAL SERVICES
          Michael C. Georghiou, Liquidator


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


ALCATEL: Explains French and U.S. GAAP Accounting Discrepancies
---------------------------------------------------------------
The following is an extract of the 20-F form filed on March 31,
2003 highlighting major differences between our accounts under
FRENCH GAAP and US GAAP.

Highlights of Differences between our Accounts under French GAAP
and under U.S. GAAP

As stated above, we present our financial statements pursuant to
only one set of accounting rules, in accordance with French GAAP.
However, as a foreign company publicly traded in the United
States, we are required pursuant to regulations of the Securities
and Exchange Commission to provide a reconciliation of our net
income (loss) and shareholders' equity to U.S. GAAP. For a more
detailed discussion of this reconciliation, please refer to Note
37 through 42 in our consolidated financial statements.

Under U.S. GAAP:

Our net loss for 2002 amounted to EUR11.5 billion, compared to a
net loss of EUR4.7 billion under French GAAP; and
Our shareholders' equity at December 31, 2002 was EUR8.2 billion,
compared to EUR5.0 billion under French GAAP.
The variation in the net loss under the two sets of accounting
principles for 2002 is due mainly to the different treatment,
under each set of principles, of the goodwill arising from stock-
for-stock acquisitions, mainly DSC and Newbridge in 1998 and
2000, respectively. The resulting goodwill was charged against
shareholders' equity in our financial statements under French
GAAP, pursuant to the French "pooling of interests" method, but
it was recorded as an intangible asset on our balance sheet in
accordance with U.S. GAAP, and this asset was subject to
amortization.

In 2002, we adopted a new U.S. accounting standard, SFAS 142,
relating to goodwill and other intangible assets, for purposes of
preparing the reconciliation of our accounts to U.S. GAAP. As
explained in "Critical Accounting Policies - Goodwill and other
intangible assets", under SFAS 142 goodwill is no longer
amortized, but rather tested for impairment. As a result of the
impairment tests carried out with respect to the goodwill related
to business divisions into which DSC and Newbridge have been
assimilated, we had to post a charge of EUR6.9 billion in 2002.

The deterioration of the fair value of these business divisions
had no similar impact on our French GAAP financial statements
since, as noted above, goodwill of DSC and Newbridge had already
been charged against shareholders' equity.

A related consequence is that the difference between our
shareholders' equity under each set of principles is diminishing.
Historically, our shareholders' equity under U.S. GAAP has been
much higher than under French GAAP, due in great part to the
charging of acquisition goodwill against shareholders' equity
pursuant to the pooling of interest method under French GAAP. For
example, our shareholders' equity as of December 31, 2001 under
French GAAP was EUR9.6 billion, as compared to EUR20.8 billion
under U.S. GAAP. For 2002, as a result notably of the negative
impact on our shareholders' equity under U.S. GAAP of the
impaired value of the goodwill related to the business divisions
into which DSC and Newbridge have been assimilated, our U.S. GAAP
shareholders' equity was EUR8.2 billion, compared to EUR5.0
billion under French GAAP.

Other differences between the two sets of accounting principles,
such as the accounting for restructuring expenses and the
accounting for financial instruments to hedge exchange risk, have
a smaller impact.

Our financial debt at December 31, 2002 goes from a net cash
position of EUR0.3 billion under French GAAP to net financial
debt of EUR0.3 billion under U.S. GAAP. This is due mainly to the
fact that the fund we use for the securitization of our
receivables (please see "Contractual obligations and off-balance
sheet contingent commitments - SVF Trust Program" below), is not
allowed to be consolidated under French GAAP, but must be
consolidated under U.S. GAAP.

Finally, several differences in presentation in the line items of
the income statement result in a different figure for "Income
(loss) from operations". In effect, for instance, restructuring
costs and the charges related to goodwill are accounted for as
operating expenses under U.S. GAAP, whereas they are treated as
non-operating charges and expenses under French GAAP.

On the other hand, the cash flow generated by operating
activities is the same under both sets of principles: EUR1.9
billion.


VIVENDI UNIVERSAL: Update on Tax Treatment of DuPont Shares
------------------------------------------------------------
Following the publication of two articles that could mislead the
public, Vivendi Universal wants to give an update on the tax
treatment of the DuPont shares. This is a long-standing subject
on which consistent information has regularly been provided in
the company's accounts since the merger of Seagram, Vivendi and
Canal+.

On April 6, 1995, the DuPont group redeemed 156 million of its
own shares from Seagram. For tax purposes, the resulting proceeds
of $8.8 billion were treated as a taxable dividend and, in
compliance with U.S. tax law, 80% of that amount was reported as an
income tax deduction. The tax due on the remaining 20% was paid
in 1995.

At the time, a great deal was written about this transaction, and
its tax treatment even gave rise to public debate in the United
States.

Under the U.S. tax rules in effect in 1995, this dividend received
deduction gave rise to a deferred U.S. income tax liability that
will not be paid until Seagram disposes of the shares that it
holds in DuPont. In accordance with financial reporting and
accounting requirements Seagram recorded that deferred tax
liability of $1.5 billion in its financial statements and
accounts. That provision appears clearly in the Seagram accounts,
then in those of Vivendi Universal since the merger of Vivendi,
Seagram and Canal+, as a separate item under the heading
"Deferred taxes".

Seagram has been in discussions with the U.S. tax authorities since
1998, in the aim of confirming that the dividend tax treatment
used was correct. The matter is currently before the Appeals
Division of the IRS. These discussions are ongoing in line with
normal practice in the United States.

If the transaction had been reported as a sale or exchange
instead of a dividend, then additional tax of $1.5 billion would
have been paid in 1995.

Vivendi Universal's position is that the tax treatment is fully
compliant with US tax laws in force at the time. While the
outcome of any controversy cannot be predicted with complete
certainty, Vivendi Universal believes that this dispute with the
IRS will be resolved so as not to have a material adverse effect
on its financial statements as a whole.

Vivendi Universal deplores the fact that the press draws
attention unnecessarily to information that has been public
knowledge for many years, and which has brought no new element to
light and might cause major harm to the company.


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


ALLIANZ AG: Reduces Stake in Munich Re to Less Than 20%
-------------------------------------------------------
Allianz AG has reduced its stake in Munchener Ruckversicherungs-
Gesellschaft (Munich Re) in the first quarter of 2003 from 22.4
percent to slightly less than 20 percent. Due to this measure, as
of March 31, 2003 Munich Re will no longer be consolidated
according to the equity-method.

There are no further disposals intended at present. However - as
already communicated - it is planned in the course of this year
to partly repay the MILES securities  issued in 2000 in Munich Re
shares. Overall, the Allianz stake in Munich Re is to be reduced
to 15 percent. In return, Munich Re will partially participate in
the planned rights issue of Allianz and thereby reduce its stake
in Allianz to about 15 percent. The existing long-term
partnership of the two groups will continue on this basis.


DEAG ENTERTAINMENT: Posts Positive EBIT Despite Losses in STELLA
----------------------------------------------------------------
DEAG Deutsche Entertainment AG reports audited sales revenues of
EUR 140 million in financial year 2002. Adjusted for the first-
quarter contribution toward sales by the STELLA sub-group, 2002
sales totaled EUR 100.2 million. EBITDA was positive at EUR 1.6
million and, adjusted for STELLA, amounted to EUR 4.5 million.
EBIT was EUR -6.3 million. Adjusted for the STELLA sub-group's
losses of EUR 7.9 million, 2002 EBIT was positive at EUR 1.2
million.

The trend was set in financial year 2002 by the virtual
completion of restructuring measures leading to clear cost
savings. The organization and structural base now established
will ensure for the future a marked improvement in core business
profitability.

The Management Board expressly reaffirms its forecast of EUR 120
million in 2003 sales, EBITDA of EUR 8 million and EBIT of EUR 5
million. Despite a positive 2003 earnings trend, the retrenchment
policy is to be continued, with a markedly higher rate of return
planned for the future.


DEAG ENTERTAINMENT: Secures Further Financing From Banks
--------------------------------------------------------
DEAG Deutsche Entertainment AG announces that its lending banks
have confirmed in writing the extension of all credit lines until
March 31, 2004.

The Management Board plans during this period to reduce external
indebtedness by nearly half from internal financing resources and
the proceeds of selling open spaces adjacent to the
Jahrhunderthalle.

                                    *****

Deag had implemented restructuring and cost reduction measures,
with a view to concentrate on its core business of organizing
national and international concerts and tours and exclusive
management of venues and variety theatres.

CONTACT:  DEAG DEUTSCHE ENTERTAINMENT AG
          Kurfurstendamm 63, 10707 Berlin
          Phone: +49 (0)30 810 75 0
          Fax : +49 (0)30 810 75 519
          E-mail: info@deag.de
          Contact: Adrienne Gehre, Investor Relations
          E-mail: : a.gehre@deag.de


GERLING-KONZERN: Shareholders Discontinue Negotiations With HDI
---------------------------------------------------------------
After several months of negotiations about a sale of the Cologne-
based Gerling Group to the German insurer HDI Haftpflichtverband
der Deutschen Industrie V.a.G in Hannover Gerling shareholders
Dr. Rolf Gerling and Deutsche Bank cancelled the mutual letter of
intent signed on 23 October 2002. The negotiating parties were
unable to reconcile divergent views they have of the Gerling
Group's future.

Gerling has thus regained the required flexibility to speed up
its pursuit of alternative concepts.

                     *****

Cash-strapped German insurer Gerling-Konzern Allgemeine
Versicherungs AG recently revealed it expects to post a loss of
EUR300 million in the financial year 2002.

According to Dow Jones International, the projected loss stems
mainly from the company's weak stock market performance.  A write
down of more than EUR150 million was generated from this area.


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I R E L A N D
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ELAN CORP: King Pharmaceuticals Withdraws Bid for Primary Care
--------------------------------------------------------------
King Pharmaceuticals, Inc. confirmed the Company does not plan to
proceed with its acquisition of Elan Corporation, plc's primary
care business unit, which includes the products Sonatar
(zaleplon) and Skelaxinr (metaxolone).

King's determination not to proceed with the acquisition resulted
from various breaches and misrepresentations by Elan with respect
to the Asset Purchase Agreement dated January 30, 2003, signed by
King, Elan, and certain of their subsidiaries. Elan is suing to
force King to close the transaction. A trial date of May 15, 2003
has been set by the judge in the Supreme Court of the State of
New York.

King, headquartered in Bristol, Tennessee, is a vertically
integrated pharmaceutical company that manufactures, markets, and
sells primarily branded prescription pharmaceutical products.
King, an S&P 500 Index company, seeks to capitalize on
opportunities in the pharmaceutical industry created by cost
containment initiatives and consolidation among large global
pharmaceutical companies. King's strategy is to acquire branded
pharmaceutical products and to increase their sales by focused
promotion and marketing and through product life cycle
management.

CONTACT:  KING PHARMACEUTICALS
          501 Fifth Street
          Bristol, Tennessee 37620
          James E. Green, Executive Vice President
          Corporate Affairs
          Phone: 423-989-8125


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


TELECOM ITALIA: Investors Demand Better Terms in Proposed Merger
----------------------------------------------------------------
Institutional investors at Telecom Italia are demanding better
terms in the proposed merger of Telecom Italia with Olivetti, the
holding company partly controlled by Telecom Italia chairman,
Marco Tronchetti.

Investor representatives threatened to file legal complaints
against the plan unless better conditions were offered, according
to the Financial Times.

Under the scheme, seven shares of heavily-indebted company
Olivetti will be swapped for each Telecom Italia share.  Olivetti
will further take on up to EUR9 billion (US$9.8 billion) more in
debt to satisfy a legal requirement and pay cash to Olivetti
shareholders who do not want to become Telecom Italia
shareholders.

But some fund managers called the offer a "mugging" that required
Telecom Italia to assume EUR9 billion in fresh debt for Olivetti
in order to pay off Olivetti's shareholders, the report says.

Investors also attacked investment banks Deloitte & Touche and
Reconta Ernst & Young which set the merger terms.  They claimed
that the entities had not been entirely independent because they
were paid by the company.

The investment banks are due to issue their independent
assessments of the merger terms in the middle of the month.

Shareholder rights group Deminor is set to disclose legal grounds
in a bid to improve the terms of the deal, but legal experts do
not believe the argument will gain footing even if it shows that
the deal is unfair to both parties.

The group needs to ban Olivetti from voting on the plan if it
were to block the bid at all, since two-thirds of votes present
at the meeting are needed to approve the merger.

Deminor is expected to discourage Olivetti from voting at
Italia's shareholder meeting because of its apparent conflict of
interest. It is also understood to suggest a reverse merger, with
Telecom Italia absorbing Olivetti, obviating the need for the
EUR9 billion payoff for Olivetti shareholders under the original
plan.

Olivetti needs to change its "purpose of corporation" in order to
qualify as phone license operator.  Under Italian law, it must
offer cash to investors who no longer wish to remain in the
company.

Telecom Italia maintained that Olivetti must be the one to absorb
Telecom Italia since it would not be able to make an effective
buy-back of 55% of its ordinary shares if the transaction is
reversed.

CONTACT:  TELECOM ITALIA
          Corso d'Italia 41
          00198 Rome, Italy
          Phone: +39-06-368-81
          Fax: +39-06-368-83388
          Home Page: http://www.telecomitalia.it
          Contact:
          Investor Relations:
          Phone: +39 06 36882119
                 +39 06 36883378
                 +39 06 36882634


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


KLM ROYAL: Voluntarily Applies for De-listing at German Bourse
-------------------------------------------------------------
Effective April 23, 2003, KLM Royal Dutch Airlines will
voluntarily de-list from the Frankfurt Stock Exchange. In recent
years, the number of common shares traded on the Frankfurt Stock
Exchange has been low. As a result, the company has decided to
apply for de-listing from this stock exchange.

KLM shares will continue to be traded on the Amsterdam Stock
Exchange Euronext and the New York Stock Exchange.

                     *****

KLM agreed last month to sell its low cost subsidiary Buzz to
Ryanair after a strategic review of the business in light of the
increasing competition in the European low cost sector.

It also recently announced taking further measures to "effect a
direct improvements in results" due to the adverse effects on
transport brought by the crisis in Iraq and the SARS virus.

CONTACT:  KLM ROYAL DUTCH AIRLINES
          Amsterdamseweg 55
          1182GP Amstelveen, The Netherlands
          Phone: +31-20-649-9123
          Fax: +31-20-648-8069
          Homepage: http://www.klm.nl
          Contacts: Floris A. Maljers, Chairman
                    Leo M. van Wijk, President


KONINKLIJKE AHOLD: Intends to Divest South American Operations
--------------------------------------------------------------
Ahold announced its intention to divest its operations in four
South American countries -- Brazil, Argentina, Peru and Paraguay
-- in order to concentrate on its mature and most stable markets
and to generate funds to pay down debt.  As announced on February
5, 2003, the company is in current negotiations to divest its
holdings in Chile.

No timing has been set for any specific divestment as Ahold is
determined to negotiate transactions that maximize value.  In
addition, Ahold intends to withdraw froum the South American
market in a responsible way with respect to its customers,
associates and suppliers.

Commenting on the exit from South America, Theo de Raad, Ahold
Corporate Executive Board members responsible for Latin America
and Asia, said: "We will continue to fully support our operations
during this divestment process by ensuring that all our
obligations to suppliers continue to be met.  We will also seek
to ensure that any new owners will continue to meet the
obligations to our current associates as well as the expectations
of our customers.  Although we intend to process expeditiously
with out divestment plan, we are determined to maximize the value
we receive for these operations and obtain the best possible
results for all our stakeholders."

Brazil
In Brazil, Ahold plans to sell its three wholly-owned operations:
Bompreco, G. Barbosa and Hipercard.  Ahold first entered Brazil
in 1996.  Operations in Brazil are profitable and unaudited net
sales in 2002 reached an estimated EUR 1.3 billion generated
through 119 Bompreco and 32 G. Barbosa supermarkets and
hypermarkets at year-end.  More than two million people hold the
Bompreco Hipercard, the leading customer credit card in the
Northeast of Brazil.

Argentina
In Argentina, Ahold intends to divest its wholly-owned subsidiary
Disco S.A., once the 2002 annual accounts have been signed off.
Ahold entered the Argentine market in 1998.  Unaudited 2002 net
sales reached an estimated EUR 762 million, generated through 236
stores at year-end.  The turbulent economic circumstances in the
country in recent years have led to a marked erosion of buying
power across all income groups.  Despite the regional slowdown,
Disco is a strong competitor with substantial market share.

Peru
In Peru, despite the double-digit growth of its business, Ahold
views the scale of the operations as small.  Given the company's
intended withdrawal from its major South American markets, Ahold
plans to exit this market as well.  Unaudited 2002 net sales
reached an estimated EUR 243 million, generated through 32
supermarkets and hypermarkets at year-end.

Paraguay
In Paraguay, Ahold plans to sell its 10 stores that generated
unauditied 2002 net sales of EUR 36 million.

CONTACT:  KONINKLIJKE AHOLD
          Albert Heijnwe 1, Zaandarn
          P.O. Box 3050, 1500 HB Zaanbarn
          The Netherlands
          Phone: +31 (0)75 659 5720
          Fax: +31 (0)75 659 8302
          Homepage: http://www.ahold.com


KONINKLIJKE AHOLD: The Pomerantz Firm Files Class Action Lawsuit
---------------------------------------------------------------
A class action lawsuit has been filed by Pomerantz Haudek Block
Grossman & Gross LLP (http://www.pomerantzlaw.com)in the United
States District Court for the District of Maryland against Royal
Ahold NV, two of the Company's top officers/directors, and the
company's independent auditor, Deloitte & Touche Registered
Accountants, on behalf of investors who purchased the American
Depository Receipts of Royal Ahold during the period between May
15, 2001 and February 21, 2003, inclusive.

The lawsuit alleges that defendants issued false and misleading
statements concerning the company's publicly reported earnings.
In particular, it is alleged that defendants overstated operating
earnings by $500 million in fiscal years 2001 and 2002 by
recognizing more money in promotional allowances provided by
suppliers to promote their goods than that company actually
received.

Before the market opened on February 24, 2003, Royal Ahold
announced that it will restate its financial statements for
fiscal year 2001 and the first three quarters of fiscal year 2002
to correct the inappropriate accounting for discounts from
suppliers at its U.S. Foodservice division, which is
headquartered in Columbia, Maryland. The company also announced
that its Chief Executive and Chief Financial Officers, defendants
Cees van der Hoeven and Michael Meurs, respectively, had been
fired and that several U.S. executives had been suspended. In
addition, the Company announced that it has uncovered
"questionable" transactions in its investigation of certain
transactions and the accounting treatment thereof at its
Argentine subsidiary, Disco. In response to the company's
announcement, Royal Ahold's ADRs fell $6.52, or 61%, to $4.16 on
volume of 16,197,900 units traded. The Securities & Exchange
Commission has launched an investigation of the company's
accounting practices.

If you purchased the ADRs of Royal Ahold during the Class Period,
you have until April 28, 2003 to ask the Court to appoint you as
lead plaintiff for the Class. In order to serve as lead
plaintiff, you must meet certain legal requirements. If you wish
to review a copy of the Complaint, or if you would like to
discuss this action or have any questions, please contact Andrew
G. Tolan, Esq. of the Pomerantz firm at 888-476-6529 (or (888) 4-
POMLAW), toll free, or at agtolan@pomlaw.com by e-mail. Those who
inquire by e-mail are encouraged to include their mailing address
and telephone number. CONTACT: Andrew G. Tolan, Esq. of Pomerantz
Haudek Block Grossman & Gross LLP, 888-476-6529 ((888) 4-POMLAW)
or agtolan@pomlaw.com

CONTACT:  Pomerantz Haudek Block Grossman & Gross LLP
          Andrew G. Tolan, Esq.
          Phone: (888) 476-6529/(888) 4-POMLAW
          E-mail: agtolan@pomlaw.com


RELIANT ENERGY: Standard & Poor's Raises Credit Rating to 'B'
-------------------------------------------------------------
Standard & Poor's Ratings Services on Wednesday raised its
corporate credit ratings on electricity provider
Reliant Resources Inc. (RRI) and three of its subsidiaries,
Reliant Energy Mid-Atlantic Power Holdings LLC (REMA), Orion
Power Holdings Inc, and Reliant Energy Capital (Europe) Inc., to
'B' from 'CCC'. The ratings on each of these companies were
placed on CreditWatch with developing implications. In addition,
Orion Power's senior unsecured rating was raised to 'CCC+' from
'CC'.

The CreditWatch listing for Reliant Energy Power Generation
Benelux B.V. (REPGB) was revised to positive from developing.

Houston, Texas-based RRI's outstanding debt totaled $7.5 billion,
including off balance sheet debt equivalents of $1.8 billion, as
of Sept. 30, 2002.

The rating actions follow the completion of RRI's $6.2 billion
global bank refinancing, which eliminates the immediate threat of
insolvency by pushing off any substantial debt maturities to May
2006, and provides RRI with an additional $300 million in
liquidity to support collateral postings. It also allows RRI to
exercise its option to purchase Texas GenCo Holdings Inc. if it
so desires.

The CreditWatch developing listing reflects the overhang of the
FERC's show cause order relating to power trading during the
California energy crisis. The penalty for this may be a
revocation of RRI's authority to sell power at market-based
rates. RRI has 21 days from the date of the order to show cause
as to why its authority should not be revoked. The alternative
for selling power at market-based rates is to sell at cost of
service-based rates. At this point, it is unclear what the
financial effect of such a penalty would be. RRI's ratings may be
raised, lowered, or affirmed depending on the resolution of the
show cause order and the ultimate effect on RRI's business
position.


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


KONSORCJUM FINANSOWO: Declared Bankrupt by Polish Economic Court
----------------------------------------------------------------
The Economic Court in Gliwice declared Konsorcjum Finansowo-
Inwestycyjne Colloseum bankrupt at the request of the National
Grid (PSE).

Konsorcjum Finansowo, which entered the steel mill market in
Poland in 1997 as an unknown investor, was once considered as a
significant player in the industry, and is reportedly regarded as
one of the most controversial in history.

According to Warsaw Business Journal, the infamous company began
cooperation with PSE in 1998 by collecting debts from a Bedzin-
based energy plant (BZE) and transferring the funds back to PSE.

In 2001, Jerzy Watroba, the then-new director, disclosed that BZE
transferred around PLN360 million to Colloseum, including PLN99
million in cash and the rest in debts.

The money was never returned to the creditor, prompting the
prosecutor handling the case to issue an international warrant
for the head of Colloseum, Jozef Jedruch.

Colloseum's liabilities are currently estimated at around PLN400
million, the report said.


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


JSC NORTH-WEST: Ratings Raised Due to 'B-' Due to Consolidation
---------------------------------------------------------------
Standard & Poor's Ratings Services said on Wednesday it raised
its long-term corporate credit ratings on Russia-based
telecommunications services provider JSC North-West Telecom
(NWT) to 'B-' from 'CCC'.

At the same time, Standard & Poor's raised its Russian national
scale ratings on NWT and the company's Russian ruble (RUR) 300
million ($10 million) senior unsecured bond issue to ruBBB from
ruBB. The rating action reflects the net benefits of the merger
of NWT with eight other fixed-line incumbents in the North-West
federal region, all of which are controlled by the state-owned
holding Svyazinvest. The merger results in a stronger overall
competitive position and improved business profile for the
company. The outlook is stable.

"Compared with the rated predecessor of the same name, the new
company--which, pro forma, had about double NWT's revenues of
$316 million in 2002--should benefit from its larger scale by
receiving better terms from vendors of telecommunications
equipment and other economies of scale.

The merger will also give it a stronger market position that is
less vulnerable to weaknesses in a particular area or customer
segment, and easier access to capital markets," said Standard &
Poor's credit analyst Michael O'Brien. "Offsetting these gains,
to some extent, is the fact that the enlarged service area is
weaker and will require integration work and additional
investments to reconcile and improve network characteristics to a
more uniform level across the whole area."

The revised ratings are constrained by:
     -- Regulatory control of tariffs of core revenue streams;
     -- Risks involved in consolidating operations of nine newly
united units and the continuing need for capital expenditure to
upgrade and modernize the network infrastructure;
     -- NWT's weak competitive position in terms of provision of
services to the more lucrative business segment; and
     -- Increasing competition for more profitable, value-added
services.

The ratings are supported by NWT's:
     -- Relatively attractive service area;
     -- Dominant market share in terms of subscribers in the
North-West region fixed telephony market;
     -- Generation of moderate free operating cash flow in 2002;
and
     -- NWT's plan to refinance maturing foreign denominated debt
with rubles, thereby reducing foreign exchange risk.
     The stable outlook on NWT reflects Standard & Poor's
expectation that the company will continue with structural
reorganization, management improvement, and network
modernization, and that it will operate without materially
weakening its financial profile.


JSC SOUTHERN: Rating Raised to 'B-' Due to Consolidation
--------------------------------------------------------
Standard & Poor's Ratings Services said Wednesday it raised its
long-term corporate credit rating on Russia-based fixed-line
telecommunications service provider JSC Southern
Telecommunications Co. to 'B-' from 'CCC+'.

The rating action reflects the net benefits of the merger of
Southern Telecom with nine other fixed-line incumbents in the
southern region of Russia that are controlled by the state-owned
holding Svyazinvest. The outlook is stable.

The merger has resulted in a stronger competitive position and
improved business profile for the company.

"Compared with the rated predecessor of the same name, the new
company--which had approximately 3x greater revenues of about
$331 million in 2002 (calculated if the merger had taken place at
the beginning of 2002)--should benefit from its larger scale by
receiving better terms from vendors of telecoms equipment and
other economies of scale," said Standard & Poor's credit analyst
Michael O'Brien. "The merger will also give it a stronger market
position that is less vulnerable to weaknesses in a particular
area or customer segment, and make it easier to access capital
markets."

Offsetting these gains to some extent is the fact that the
enlarged service area has marginally less attractive average
market characteristics and will require integration work and
additional investments to reconcile and improve network
characteristics to a more uniform level across the whole area.

"It is expected that Southern Telecom will continue with its
structural reorganization, management improvement, and network
modernization, and that it will execute its business plan without
materially weakening its financial profile and ability to service
its debt obligations," said Mr. O'Brien.

A manageable increase in debt is already factored into the rating
on Southern Telecom. The rating assumes, however, that operating
cash flow will be sufficient to service debt in the short-term
and that the company can return to free operating cash flow
generation in the medium term as network investments are
completed.


JSC URALSVIAZINFORM: Rating Raised to 'B' Due to Consolidation
--------------------------------------------------------------
Standard & Poor's Ratings Services said Wednesday it raised its
long-term corporate credit rating on Russia-based regional
telecommunications operator JSC Uralsviazinform to 'B' from 'B-',
reflecting the net benefits of the company's merger with six
other fixed-line incumbents in the Urals region of Russia, which
are controlled by the state-owned holding Svyazinvest. The
outlook is stable.

"Standard & Poor's expects Uralsviazinform to continue to perform
well and make progress toward free cash flow generation with a
stronger business profile and improving credit metrics," said
Standard & Poor's credit analyst Simon Redmond.

Compared with the rated predecessor of the same name, the new
company should benefit from its larger scale by receiving better
terms from vendors of telecoms equipment and other economies of
scale.

"The merger will also give the company a strong market position
that is less vulnerable to weaknesses in a particular area or
customer segment, and further facilitate access to capital
markets," added Mr. Redmond.

These gains are partly offset by the fact that, although the
enlarged service area incorporates regions that are generally at
least as attractive as those of the predecessor company,
continued integration work and additional investments are
required to reconcile and improve network characteristics to a
more uniform level across the whole area.

Standard & Poor's expects Uralsviazinform to continue with its
network modernization and structural reorganization without
materially weakening its financial profile. The rating assumes
that operating cash flow will be sufficient to service debt in
the short term and that progress toward free cash flow generation
will result in improving credit metrics.


=========
S P A I N
=========


JAZZTEL PLC: Announces Resolutions Taken During Board Meeting
-----------------------------------------------------------
JAZZTEL p.l.c., pursuant to Article 82 of Law 24/1988 of 28 July
on the Equities Market, is hereby giving written notice of the

Relevant Fact

The Board of Directors of JAZZTEL p.l.c. in its meeting held on
March 20, 2003, adopted, among others, the following resolutions:

- To cancel and leave without effect the Company's ordinary stock
option plan known as ""Plan 2002"" on a total of 3 million
ordinary shares of JAZZTEL, as well as the stock options granted
to Mr. Antonio Carro, ex-Chief Executive Officer and new Vice-
Chairman of the Company, and Mr. Miguel Salis, former Vice-
President of Jazztel, under the same Plan.

In accordance with the provisions set forth in sections 1.3 and
3.10 of the Agreement with High Yield Bond Holders and sections
0.2.3 and 2.0.4.1, among others, of the Unabridged Prospectus for
the increase of JAZZTEL p.l.c.'s share capital registered at the
official register of the National Stock Market Commission
(Comision Nacional del Mercado de Valores) on November 28, 2002,
the Company will not, as a consequence thereof, proceed to issue
any of the 18,627,092 additional ordinary shares to former
holders of JAZZTEL High Yield Bonds.

- To approve a new exercise price of  EUR 0.20 for all the stock
options outstanding over ordinary shares of JAZZTEL granted to
directors and employees of the JAZZTEL Group that have yet to be
exercised under stock option plans prior to the restructuring of
the High Yield Bonds (excluding the aforementioned Plan 2002),
i.e. Plan 10%, Plan 5%, Plan 2000 for employees and Plan 2000 for
directors.

- Likewise, to approve a new stock option plan called ""Plan
2003""which relevant features are as follows:

(a) Number of shares object of the Plan: up to a maximum of
57,774,312 shares, which are subject to anti-dilution adjustments
in certain circumstances.


(b) Destinees: all employees and directors of JAZZTEL as well as
the companies comprising the Group who have been selected by the
Appointment and Remuneration Committee may take part in the Plan.

(c) Features of the stock options:

- The stock options will be granted free of charge, and anyone
granted such options will not be required to pay any premium
whatsoever.

- The stock options will be not transferable, apart from any
exceptions the Appointments and Remunerations Committee may duly
authorize.

- The Appointment and Remuneration Committee is fully authorized
to administer the Plan, which includes, among others (i)
conceding options and, whenever appropriate, canceling them; (ii)
setting the conditions for the stock options, including duration
and exercise requirements, price of acquiring shares, ways of
liquidating shares, etc.; and (iii) setting, changing and
interpreting the Plan's regulations, as well as making exceptions
to them.

- In any event, the stock options will have a maximum exercise
period of ten years from the date they are granted.

Alcobendas (Madrid), March 31, 2003

Secretary to the Board of Directors

CONTACT:  JAZZTEL PLC
          Home Page: http://www.jazztel.com
          Investor Relations
          Phone:34 91 291 7200
          E-mail: Jazztel.IR@jazztel.com


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


TELIASONERA: To Trim Down Workforce to Ensure Competitiveness
-------------------------------------------------------------
As a step towards ensuring TeliaSonera's competitiveness and
establishing a cost level that enables TeliaSonera Sweden to
offer the market value-for-money products and services,
management of TeliaSonera Sweden have initiated discussions with
the personnel organizations with respect to redundancies.

Discussion is under way, and negotiations will take place this
spring.

Redundancies relate to decisions in three areas:

- A new customer-oriented organization with a simplified legal
structure is being set up in the Swedish operation.

- As of 1 January 2003, the TeliaSonera Group has one Corporate
Head Quarter.

- As of 1 April 2003, Group competence centers for product and
development has been introduced. These centers will take overall
responsibility in all of the markets as regards products and
services of strategic importance to the Group.

This process is part of the efforts to realize synergies and make
stand- alone improvements at TeliaSonera Sweden.

In the various phases of implementing these decisions,
redundancies will occur inasmuch as the entire organization in
Sweden will be affected over the long term.

The first phase will affect staff functions, administration and
development resources and the first measure will be to reduce the
number of external consultants and personnel under contract.
Nevertheless, TeliaSonera's own personnel will also be affected.
It is the intention to be ready with the first phase before
summer, and to arrive at an overview and a developed plan for the
process by that time.

In collaboration with the personnel organizations, the intention
is to utilize the good experiences from earlier redundancy
projects, and it is intended to carry out the process with
respect for everyone involved. The already established Telia
Resource & Adjustment Program will be an important factor in
facilitating for the employees who are affected.

"We have to secure our competitiveness and our capability to
offer our customers value-for-money products," said Marie
Ehrling, President of TeliaSonera Sweden. "Thus it is important
that we take the consequences of the changes that we have decided
to implement."


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


BRITISH AIRWAYS: Traffic Controllers' Strike Disrupts Services
--------------------------------------------------------------
British Airways has cancelled a number of its services to and
from France as a result of planned strike action by French air
traffic controllers between 5am and 9pm on Thursday April 3.

It is likely that up to 80 per cent of British Airways' services
will be cancelled during the period of the strike.

It is expected that up to 95 individual British Airways flights
out of a normal Thursday schedule between the U.K. and France of
120 individual flights will be cancelled.

British Airways flights to and from France will be affected at
Heathrow, Gatwick, London City, Birmingham, Manchester, Bristol
and Edinburgh.

British Airways apologizes to all customers for any inconvenience
caused by the industrial action that is beyond its control.

At this stage British Airways plans to operate the following
services, some of which will be using larger aircraft to
accommodate additional re-booked passengers wherever possible.

The only operating services on Thursday 3 April will be:

Heathrow/Paris Charles de Gaulle
BA306/BA309
BA318/BA325
BA314/BA319
BA324/BA329
BA326

Heathrow/Nice
BA344/BA345
BA352

Heathrow/Lyon
BA364

Gatwick/Paris Charles de Gaulle
BA2838/2839
BA2844

Gatwick/Marseille
BA2366

Gatwick/Toulouse
BA7955

British Airways' services may also experience some delays due to
re-routing to avoid French airspace.

Passengers whose flights have been cancelled are advised to:

-- Contact British Airways reservations on 0845 77 999 77 to make
an alternative flight reservation.

-- Contact their travel agent for assistance with alternative
flight arrangements.


BUZZ: Staff Left Confused After Takeover Fell Behind Schedule
-------------------------------------------------------------
The failure of Ryanair to take over Buzz on April 1 left union
leaders scrambling to schedule meetings with the Irish airline in
order to clarify the status of Buzz workers.

Ryanair said it had completed due diligence process and the final
legal papers are being finalized but the deal still lacks the
approval of the Office of Fair Trading in the U.K.

Ed Blisset, an official with GMB Union, described the situation
in the company as "a complete mess."

Employees are being lost by hundreds, and the staff turned up at
Stansted Airport in Essex on Tuesday expecting to receive
redundancy pay.  Former check-in staff and other administrative
workers have found other jobs but were left "confused" by the
latest development, according to reports.

Buzz services ended Tuesday.  Ryanair plans to reopen 13 routes
on May 1.

Owned by Dutch airline KLM Royal, Buzz operated 21 routes from
London Stansted to points in Germany, Holland, France and Spain,
as well as two French domestic routes.

CONTACT:  RYANAIR
          Paul Fitzsimmons
          Phone: +353-1-8121212

          MURRAY CONSULTANTS
          Pauline McAlester
          Phone: +353-1-4980300

          RYANAIR HOLDINGS PLC
          Dublin Airport
          Dublin, Ireland
          Phone: +353-1-812-1212
          Fax: +353-1-812-1213
          Homepage: http://www.ryanair.ie


CABLE & WIRELESS: Appoints Caio New CEO, Loosemore New COO
----------------------------------------------------------
Cable and Wireless plc on Wednesday announced the appointment of
Francesco Caio as its new Chief Executive Officer. At the same
time it announces the creation of a new post, Chief Operating
Officer, which is to be filled by Kevin Loosemore.

Both appointees have first-hand experience in the
telecommunications and technology sectors: Francesco Caio as CEO
and founder of Netscalibur and previously CEO of Omnitel and
Merloni; and Kevin Loosemore as Regional President for EMEA of
Motorola and formerly CEO of IBM UK. They were elected to the
company's Board yesterday evening, with effect from 4 April for
Francesco Caio and from 2 April for Kevin Loosemore.

Graham Wallace will immediately relinquish the role of Chief
Executive and will leave the Board on 4 April. He will be
available to the new CEO during an interim handover period. The
terms of his departure remain under discussion.

Richard Lapthorne, Chairman, Cable & Wireless, said, "Cable &
Wireless has a great deal to do and as the Board's thinking
developed during the search process it became clear that making
two senior appointments was the way forward. In taking over
responsibility for the performance of Cable & Wireless, Francesco
will focus on our customers and other key relationships around
the world, as well as on the development and execution of
strategy to meet those customers' needs. Kevin will take day-to-
day operational responsibility for the management of our
businesses. They will work together very closely as a team.

"Francesco has proven leadership and strategic skills, combined
with great energy and drive and is very customer oriented. He
brings an excellent understanding of the sector, the competitive
environment and the key issues. Kevin has extensive experience of
leading transformation in technology businesses and great
discipline and determination to deliver in line with strategy.

"We have been extremely fortunate to attract two world-class
managers and I am very excited by the prospects this offers for
the development of the company.

"Finally, I would like to offer my thanks to Graham for his
continued commitment over the last couple of months. The period
would have been much more difficult for me personally without his
willing support."

Francesco Caio said, "Cable & Wireless clearly faces a number of
issues but we also have the opportunity to build on its undoubted
strengths and experience as an international communications
company. I have already agreed a modus operandi with Kevin, whom
I've known for some time, which will enable us to move forward
very decisively from day one."

Commenting on the new CEO's priorities, Richard Lapthorne said,
"A great deal of thought has gone into the company's likely long-
term strategic direction. Francesco will now apply his industry
experience to a rapid and critical examination of our recent
thinking so that we can, at the time of our full-year results in
June, clarify the way forward for Cable & Wireless."

Remuneration

Francesco Caio will be paid a base salary of GBP700,000 p.a. with
a maximum annual bonus of up to 150% of salary, subject to
meeting performance targets. In the first year he will be
guaranteed a minimum bonus payment of GBP375,000 (54%). Under the
company's policy to encourage executives closely to align their
interests with shareholders', he will be able to reinvest a
proportion of any bonus in Cable & Wireless shares, to be held
for three years, with 1:1 matching from the company at the end of
the three-year period. He will receive an initial share option
award of four times salary.

In recognition of arrangements with Netscalibur that he will
forego, he will also receive a one-off payment of GBP375,000 that
must be invested in Cable & Wireless shares, to be held for a
minimum of three years. The company will provide a matching award
of GBP375,000 in restricted shares vesting at the end of three
years. He will receive a defined contribution pension with the
company contribution rate set at 25% of salary. He will have a
one-year rolling contract, with an initial two-year notice
period.

He will also receive a relocation package. This will consist of a
housing allowance, payable for the first three years of
employment, sufficient to pay the cost of renting a two-bedroom
apartment in Central London. If he relocates his main family home
to London, relocation costs (stamp duty, professional fees,
removal charges, etc.) will be paid. While his principal family
home remains in Italy, reasonable travel costs for himself and
his family between Italy and London will be met.

Kevin Loosemore will be paid a base salary of GBP490,000 p.a.
with a maximum annual bonus of up to 100% of salary, subject to
meeting performance targets. He will be able to reinvest a
proportion of any bonus in the company's Deferred Short Term
Incentive Plan. He will receive an initial share option award of
four times salary. He will make an initial investment of
GBP375,000 in Cable & Wireless shares, to be held for a minimum
of three years; the company will provide a matching award of
GBP375,000 in restricted shares vesting at the end of three
years. He will receive a defined contribution pension with the
company contribution rate set at 25% of salary. He will have a
one-year rolling contract, with an initial two-year notice
period.

He will also receive a relocation package. Subject to an overall
limit of GBP150,000, relocation costs (stamp duty, professional
fees, removal charges, etc.) will be paid for him to buy and set
up a home in Central London.

Each of the investments to be made in the company's shares and
the share option awards referred to above will occur following
the publication of the company's results for the year ending 31
March 2003.

Biographies

Francesco Caio
Francesco Caio founded Netscalibur, the European business
telecoms and Internet services provider, in 2000. From 1997-2000
he was CEO of Merloni Elettrodomestici, one of Europe's leading
household appliances companies. He was the first CEO, from 1994-
96, at Omnitel Pronto, Italy's second largest mobile company
before its acquisition by Mannesmann, and led its creation and
launch. From 1991-93 he was with Olivetti where he was head of
the telecommunications and multi-media division from 1992. From
1986-91 he specialized in the telecommunications sector while at
McKinsey in London. He began his career with Olivetti in 1982 as
a product manager in telecommunications systems.

He has been a board member of Motorola since November 2000 and
remains on the board of Merloni.

Born in Italy in 1957, he is married with two children and has an
electronic engineering degree from the Politecnico di Milano and
an MBA from INSEAD.

Kevin Loosemore
Kevin Loosemore joined Motorola as Corporate Vice President and
General Manager, EMEA, Global Telecommunications Solutions Sector
in June 2001, becoming Regional President shortly after. He has
recently led their Professional Services Group, developing
wireless and communications solutions for this market. He was
previously Chairman and CEO of IBM UK, Ireland and Netherlands
from 2000-01 and from 1997-99 Managing Director for De La Rue
Card Systems. He began his career with IBM in 1981, remaining
with them until 1997.

Born in the U.K. in 1959, he is married with two children and has a
Politics and Economics degree from Oxford.

CONTACT:  CABLE & WIRELESS
          Investor Relations:
          Samantha Ashworth
          Phone: +44 (0) 207 315 4460
          Caroline Stewart
          Phone: +44 (0) 207 315 6225
          Virginia Porter (US)
          Phone: +1 646 735 4211


CORUS GROUP: Reviving Merger Talks With Brazil's CSN
----------------------------------------------------
Anglo-Dutch steel maker Corus is reviving talks about a GBP2.8
billion (US$4.4 billion) merger with Brazilian steel company CSN.

Corus chairman Sir Brian Moffat and CSN chairman Benjamin
Steinbruch embarked on a new negotiation months after dropping
earlier talks because of financial and economic reasons.

A person close to Corus cautioned, "Everything is at a very early
stage," noting that Mr. Moffat is "talking to lots of people
about possibilities."

Corus is known to have started negotiations with Indian
entrepreneur Lakshmi Mittal over the sale of some or all of
Corus' steelmaking assets.

The Financial Times also said that Corus has updated other
companies--including Arcelor of Luxembourg and Germany's
ThyssenKrupp-- about necessary developments in case they might
consider bids for parts of Corus.

The renewed discussion is seen unlikely to give CSN managers the
control of the new, combined company, in view of the company's
problems.

Corus, which has lost more than GBP2 billion since it was formed
in 1999, is currently in urgent talks with banks about extending
a EUR1.4 billion loan facility, and is searching for a new chief
executive to replace Tony Pedder.

CONTACT:  CORUS GROUP PLC
          Anthony Hamilton
          Phone: +44 (0)20 7717 4444
          Home Page: http://www.corusgroup.com

          CSN
          Rua Lauro Muller 116, 36ø andar, Botafogo
          22299-900 Rio de Janeiro, Brazil
          Phone: +55-21-2586-1550
          Fax: +55-21-2586-1400
          Home Page: http://www.csn.com.br
          Contact:
          Benjamin Steinbruch, Chairman, President and Director
          Albano Chagas Vieira, Executive Officer, Operations


CORUS GROUP: Possible Deal With LNM Likely to Face Opposition
-------------------------------------------------------------
Analyst believe workers at Corus Group are unlikely to support
the group's plan to sell some of its steel assets to rival LNM
Holdings given their opposition to the sale of the aluminum
assets.

"Corus people would prefer to continue on a stand-alone basis,"
said Luc Pez, an analyst at ING Financial Markets in Paris.

The supervisory board of the Dutch side of the business could
block the deal, just as it did with the EUR750-million (US$818
million) plan to unload its aluminum assets to Pechiney of
France.

LNM, owned by Indian entrepreneur Lakshmi Mittal, had a history
of aggravating the problems in British steelmaking industry with
its aggressive cost-cutting schemes.

After LNM won a bid to acquire Romanian steelmaker Sidex, last
year, Corus and other steelmakers were beset with concerns that a
restructured Romanian steel industry might undercut rivals with
its low-cost production.

But even if Corus successfully puts together a deal with LNM it
still faces possible opposition from its supervisory board,
according to the report.

Cazenove & Co. is advising Corus.

CONTACT:  CORUS GROUP
          Corporate Relations
          Phone: +44 (0) 20 7717 4502/4505
          Corus Investor Relations
          Phone: +44 (0) 20 7717 4503/4504
          Credit Suisse First Boston
          Stuart Upcraft/Hugh Richards
          Phone: +44 (0) 20 7888 8888

          CAZENOVE GROUP PLC
          12 Tokenhouse Yard
          London EC2R 7AN, United Kingdom
          Phone: +44-20-7588-2828
          Fax: +44-20-7606-9205
          Home Page: http://www.cazenove.com
          David L. Mayhew, Chairman
          Charles Bishop, Operations Director
          Michael Power, Group Finance Director


EQUITABLE LIFE: Large Number of Clients Dropped Out of Scheme
-------------------------------------------------------------
Equitable Life has excluded a significant number of policyholders
in line to receive pay out on annuity guarantees under its
"rectification scheme."

Equitable Life said it had taken cared of only 17,000 of the
80,000 cases under the GBP420 million scheme designed to repay
guarantees between 1994 and 1999, according to The Herald.

The insurer earlier said the original scheme put in place to
compensate GAR (guaranteed rate) members was being redesigned in
consultation with the Financial Services Authority to allocate
properly funds from existing policies.

According to Stuart Bayliss of Annuity Direct, the man who
advised the original group of Equitable policyholders which took
the case to court: "The scheme was meant to be the same for
everyone but it is has already changed significantly. The society
is twisting and twisting to try to prove that people would not
have taken the guaranteed annuity rate if they had been offered
it."

GAR members gave up their right to a guarantee, when they were
sold an income drawdown plan as an alternative investment when
they were allegedly told the guarantee rate is not available.

The policyholders may lodge complaints for grounds that they were
missold, but their claims must wait in line with the 3,600
complaints that the ombudsman is currently tackling.

"The hurdles for winning a mis-selling claim are even higher.
This is the new board behaving in a similar fashion to the old
board," Mr. Bayliss said.

                     *****

Maturity and surrender values for Equitable Life are unchanged,
the insurer clarified yesterday. The stated "new" exit penalty of
11.1% is in fact effectively still 20%.


FKI PLC: Warns of Reduced Final Dividend for the Year
-----------------------------------------------------
In line with market practice, FKI plc is providing a brief update
on trading prior to entering its closed period.  The preliminary
results for the year ended March 31, 2003 will be announced on
Tuesday June 3, 2003.

FKI confirms that despite the uncertain economic environment it
expects to meet current market forecasts on operating performance
for the full year.  The Board anticipates recommending a final
dividend reduced from last year's.  The appropriate level has yet
to be decided.

In February, due to a prolonged period of difficult trading
conditions, the company announced the proposed closure of the
Hawker Siddeley Power Transformer business at Walthamstow.  The
cost of this proposed market exit, together with other actions
already taken by the group, will result in a total exceptional
charge of c. GBP18 million for the year.

                     *****
The reduction in the company's dividend has been expected by
analysts, who have been thinking the debt laden-company is closed
to breaching its banking for the past months.

Paul Heiden, the chief executive who joined in January from
Rolls-Royce, is thought likely to eventually announce disposals,
possibly from the hardware division, according to the Financial
Times.

The company's debts stand at GBP440 million.

CONTACT:  FKI PLC
          Lintas House, 15/19 New Fetter Lane
          London, EC4A 1LY
          Phone: 0207 8320000
          Fax: 0207 8320001
          Paul Heiden
          John Biles

          BRUNSWICK GROUP
          Tom Buchanan
          Simon Sporborg


INTERSHOP COMMUNICATIONS: Expects EBITDA Loss of Up to EUR7 MM
--------------------------------------------------------------
Intershop Communications AG, the market leader in Unified
Commerce Management, on Wednesday, announced revenue
expectations for the first quarter of 2003, ended March 31, 2003.

Intershop expects first quarter 2003 revenue will be
approximately Euro 6 million to 7 million, down from Euro 12.0
million in the previous quarter.

Although the company had expected a decline in first quarter 2003
total revenue, the significant shortfall in license revenue was
larger than internally expected.

The company expects to incur a first quarter 2003 EBITDA
(earnings before interest, taxes, depreciation and amortization)
loss of approximately Euro 6 million to 7 million.

Stephan Schambach, Intershop Chief Executive Officer commented,
"Due to the highly uncertain global economic environment combined
with ongoing weakness in information technology (IT) spending,
the number of deals closed during the first quarter of 2003 did
not meet our expectations.  As many prospective first quarter
customers have deferred IT spending, we expect that a significant
number of these deals could materialize in subsequent months.  In
the interim, we continued to implement measures to reduce costs
in the first quarter of 2003 as announced on January 21, 2003."

Intershop will report full financial results for the first
quarter of 2003 on April 30, 2003.

CONTACT:  INTERSHOP COMMUNICATIONS
          Klaus F. Gruendel
          Phone: +49-40-23709-128
          Fax: +49-40-23709-116
          E-mail: k.gruendel@intershop.com


L. GARDNER: Bankers Appoint Administrative Receivers
----------------------------------------------------
On March 20, 2003 L Gardner Group plc, whose shares have been
suspended since January 9, 2003, announced that its bankers had
appointed administrative receivers to the Company and Gardner
Aerospace Limited in exercise of powers contained within security
held by its bankers.  The L Gardner Group's indebtedness to its
bankers exceeded GBP55 million.

On the same date, and following the appointment of the
administrative receivers, ABN Amro Capital and Dunedin Capital
Partners announced that they had co-led a management buy-out of
Gardner Aerospace Division from the receivers.  The management as
been led by Steve Hollis (CEO), Simon Frost (Chairman), Nick
Gutteridge (Business Development Director) and Ian Whybrow
Finance Director).

The value of the transaction was GBP21.5 million including
working capital.

Having regard to the high levels of group indebtedness and the
fact that the non-aerospace subsidiaries of the L Gardner Group
are already in receivership, it is unlikely that receivership
realizations will be sufficient to result in any funds being
available for shareholders of L Gardner Group plc.


MARGAUX FASHIONS: Issues Notice of Creditors Meeting
----------------------------------------------------
In the matter of the Margaux Fashions Limited and in the matter
of the Insolvency Act 1986

Notice is hereby given that a Meeting of Creditors of the above
matter is to be held at the Roebuck Inn, London Road, Stevenage,
Hertfordshire SG2 8DS on April 9, 2003 at 10.00am to consider our
proposals under Section 23 (1) of the Insolvency Act 1986 and to
Consider establishing a creditors' committee.

Proxy Forms should be completed and returned to us at RSM Robson
Rhodes, 186 City Road, London EC1V 2NU by the date of the meeting
if you cannot attend the Meeting and wish to be represented.  In
order to be entitled to a vote at the Meeting, you must give to
us, not later than 12.00 hours on the business day before the day
fixed for the meeting, details in writing of your claim.

CONTACT:  Simon Peter Bower
          Michael Jonathan
          Christopher Oldham
          RSM Robson Rhodes
          186 City Road
          London EC1V 2NU


MYTRAVEL GROUP: To Axe 2,000 Jobs as Part of Strategic Review
-------------------------------------------------------------
MyTravel Group is due to axe 2,000 jobs in order to survive until
the end of the year, the Financial Times reported.

The company, formerly known as Airtours, has 23,000 full-time
employees.  The cuts, along with other proposed measures, are
expected to save GBP50 million.

The move comes after company shares tumbled to an all-time low
due to a year of profits warnings and the discovery of accounting
regularities, as well as the business consequences of the war in
Iraq.

From a 12-month high of 250p, valuing the group at GBP1.23
billion, the shares closed up 0.8p on Wednesday at 10.7p, giving
it a market capitalization of only GBP52.8 million, the report
said.

Mytravel told its 23-membered banking syndicate on Wednesday it
intends to focus on costs instead of sale volume as part of its
strategy of staying afloat.

It is known that the review was a condition of the syndicate's
decision to extend MyTravel's GBP250m revolving credit facility
until the end of 2003.

The focus on cost reportedly marks a decisive break by the new
management team from the strategy of founder David Crosslan, who
quit as chairman last month after 30 years at the helm.  Eric
Sanderson succeeded him.

Previously, MyTravel aimed to build market share by chasing
volume while developing the group on a global basis.

MyTravel, which has been selling non-core businesses, must
refinance the revolving credit and its other borrowings,
including a GBP220m convertible bond, by the end of the year.

CONTACT:  MYTRAVEL GROUP PLC
          Parkway One, Parkway Business Centre, 300 Princess Rd.
          Manchester M14 7QU, United Kingdom
          Phone: +44-1-61 23-20-066
          Fax: +44-1-61 23-26-524
          Home Page: http://www.airtours.com


PICARDY MEDIA: Operation Sold to Welsh Post-Production Company
--------------------------------------------------------------
Picardy Media, the Glasgow post-production house under
receivership, was sold to Welsh post-production company Barcud
Derwen for an undisclosed amount, The Scotsman reports.

The sale was completed after former chairman Iain Hogg, which
owns about two-thirds of the company, changed mind and agreed to
sign the lease on 1 Park Circus, Picardy's Glasgow office, owned
by a company in which he has a large shareholding.

He previously asserted claims on rent for studios in Glasgow and
also Knutsford of up to GBP50,000 to cover the period since
receivers Grant Thornton were appointed on January 30.

Donald McGruther, the receiver, however, contested the claim
saying Mr. Hogg has no right to collect rents since the office in
Knutsford was not in use after the appointment of receivers.

Mr. Hogg invested some GBP250,000 into the firm months before it
fell into receivership.  Picardy's usual orders did not come up
during the Christmas season, forcing the company into
receivership.

Brian Suttie, Picardy's former technical director, will head the
new company.


PIZZAEXPRESS: Bidder Clarifies Remarks Attributed to Director
-------------------------------------------------------------
At the request of the Panel, the Board of Venice Bidder wishes to
clarify remarks attributed to one of its directors in today's
Daily Telegraph in an article reporting on yesterday's statement
from Venice Bidder calling for clarification as to both
PizzaExpress' current trading and prospects and the intentions of
TDR Capital LLP and Capricorn Ventures International Limited.

The Board of Venice Bidder is unable, at the present time and in
the absence of an up-to-date and detailed trading statement from
PizzaExpress, to formally substantiate, as required by the Code,
the view expressed that PizzaExpress' pre-tax profits for the
year ending June 30, 2004 would hit just GBP25 million, rather
than GBP38 million as the City expected, and therefore retracts
this opinion.

Certain terms used in this announcement are defined in the Offer
Document dated February 27, 2003.

CONTACT:  FINANCIAL DYNAMICS
          Phone: 020 7831 3113
          Fergus Wheeler


PRECISION SHEET: Notice of Unsecured Creditors Meeting
------------------------------------------------------
Notice is hereby given pursuant to Section 48(2) of the
Insolvency Act 1986, that a meeting of the unsecured creditors of
the above-named company will be held at RSM Robson Rhodes, 186
City Road, London EC1V 2NU on April 24, 2003 at 11.00am for the
purpose of having laid before it a copy of the report prepared by
the Joint Administrative Receivers under section 48 of the said
Act.  The meeting may, if it thinks fit, establish a creditors'
committee to exercise the functions conferred on it, by, or under
the Act.

Creditors are only entitled to vote if:

(a) they have delivered to us at the offices of RSM Robson
Rhodes, 186 City Road, London EC1V 2NU, no later than 1200 hours
on the business day before the meeting, written details of the
debts they claim to be due, and the claim has been duly admitted
under the provisions of the Insolvency Rules 1986; and

(b) they had been lodged with us any proxy which the creditor
intends to use on his behalf.

Creditors may obtain a copy of the report, free of charge, on
application to the Joint Administrative Receivers at RSM Robson
Rhodes, 186 City Road, London EC1V 2NU.

CONTACT:  Geoffrey Paul Rowley
          Michael Jonathan Christopher Oldham
          Joint Administrative Receivers


QMS: In Surprise Move to Close Down Operation in Scotland
---------------------------------------------------------
North Sea oil services company, Weatherford International will
close QMS, its Scotland-based plant that manufactures liners,
hangers and flow control products for the oil and gas industry in
the Angus town.

Officials in its main plant in Scotland said the closure was
prompted by the uncertainty in the global climate, and the
downturn in the offshore oil and gas industry in Britain, which
reduced global demand, according to Weatherford president, Stuart
Ferguson.

Mike Weir, the Scottish National Party MP for Angus, meanwhile,
attributed the close down to Chancellor Gordon Brown's decision
to impose a 10% tax hike on the North Sea oil industry.

The shutdown will result to the loss of 163 jobs in Arbroath and
35 related support posts at the company's office at the Bridge of
Don in Aberdeen.

Mr. Ferguson promised to exert every effort to find alternative
jobs for the employees.  He also mentioned the possibility of
relocating some jobs to the Bridge of Don facility.

The report of the closure come as a surprise to the populace.
The loss of the jobs is seen as a blow to Arbroath, which has the
plant as its second largest manufacturing employer.


ROYAL & SUN ALLIANCE: Appoints Haste Chief Executive Officer
------------------------------------------------------------
Royal & Sun Alliance Insurance Group plc confirms the appointment
of Andy Haste as both Group Chief Executive Officer and main
Group Board member on Tuesday. Mr. Haste's intended appointment
was announced in December 2002.

Bob Gunn, who has been Acting Chief Executive, will retire from
the Board. He will retire from the Company at the end of
September 2003.

                     *****

During the company's announcement of Mr. Haste's appointment last
year, analysts expressed concern that the chairman is an unknown
to insurance.  Mr Haste's experience lies in life and pensions
business, while RSA is steering a course to become a property and
casualty insurer.

"At a time when the company is at such a crucial stage, there
will be no one on the board that either knows the industry or
knows the company," one analyst said.

Roger Hill at UBS Warburg told the Independent Andy Haste will
have to be judged on his results. "Shareholders are not
immediately behind him because he doesn't have a profile. The
company is in desperate need of proper shareholder support and
that would have been helpful to have at the start of a new
appointment," Mr Hill added.

After a 75% plunge in the company's stock price last year, Royal
& SunAlliance was left with a GBP800 million capital shortfall.

It recently launched the initial public offering of Promina Group
Limited, formerly Royal & Sun Alliance Australia Holdings
Limited, to help plug the hole.


TELEWEST COMMUNICATIONS: KPMG Has Doubts Over Company's Future
--------------------------------------------------------------
KPMG Audit PLC, the independent auditor of Telewest
Communications PLC, says it has doubts about the company's
ability to continue as a going concern.

In Telewest's filing with the Securities and Exchange Commission,
KPMG cited the company's financial restructuring as the reason
for its doubts.

It can be recalled that Telewest reached a preliminary agreement
for a financial restructuring with an ad hoc committee of
bondholders on September 30, 2002.

Under the agreement, all outstanding notes and debentures will be
cancelled in exchange for new shares representing 97% of the
company's issued shared capital.  Current shareholders will then
receive 3% of the issued share capital.

On January 15, Telewest Communications reportedly reached a
nonbinding agreement with its lenders and the bondholder
committee on the terms of an amended credit facility, which has
further reached approval from the credit committee.

Telewest Communications is an integrated broadband communications
company, providing digital and analog multichannel TV, telephone
and Internet services.

It currently has GBP5.4 billion of debt as a result of expansion
and acquisition.

To See Audited Financial Results:
http://bankrupt.com/misc/Telewest_Communications.htm

CONTACT:  TELEWEST COMMUNICATIONS PLC
          Charles Burdick, Managing Director
          Phone: 020 7299 5000

          Jane Hardman, Director of Corporate Communications
          Phone: 020 7299 5888

          Richard Williams, Head of Investor Relations
          Phone: 020 7299 5479

          Brunswick
          John Sunnucks
          Phone: 020 7404 5959

          Sarah Tovey
          Phone: 020 7404 5959

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

       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-
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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.

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