/raid1/www/Hosts/bankrupt/TCREUR_Public/030513.mbx             T R O U B L E D   C O M P A N Y   R E P O R T E R

                             E U R O P E

                 Tuesday, May 13, 2003, Vol. 4, No. 93


                              Headlines

* F R A N C E *

METALEUROP SA: Reports Impact of Metaleurop Nord's Liquidation

* G E R M A N Y *

BAYER AG: Comprehensive Reorganization Successfully Concluded
DEGUSSA AG: Earnings Up in Sound Start to New Year
DEGUSSA AG: Assures Public of Steady Course in Difficult Times
KIRCHMEDIA GMBH: Saban Assures Offer Has Financial Backing
WEDECO AG: Cuts Full-Year Profit Forecast, May Miss Sales Target

* I R E L A N D *

AER LINGUS: Plans to Remodel Fleet With New Short-haul Aircraft

* L U X E M B O U R G *

MILLICOM INTERNATIONAL: Notice of Annual General Meeting
MILLICOM INTERNATIONAL: Notice of Extraordinary General Meeting

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

KONINKLIJKE AHOLD: Clarifies Issue of Internal Investigation
KONINKLIJKE AHOLD: Ratings on Review for Possible Downgrade
ROYAL PHILIPS: Court Confirms Decision on Rotary Shavers

* S P A I N *

SOL MELIA: Fitch Downgrades Ratings to 'BBB-', Outlook Negative

* S W E D E N *

SAS GROUP: Traffic Figures Decreases by 11.8% in April 2003

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

4M TECHNOLOGIES: Announces Changes to Capital Structure
ZURICH FINANCIAL: To Transfer Portfolio of Subsidiary in Taiwan

* U N I T E D   K I N G D O M *

BRITISH AIRWAYS: Virgin Boss Campaigns to Take Hold of Concorde
CORUS GROUP: Alcan Mulls Acquisition of Aluminum Businesses
EQUITABLE LIFE: New Compensation Scheme Boon to 'Late Joiners'
GLAXOSMITHKLINE PLC: Moves to Allay Criticism With Shakeup Plans
IMPERIAL CHEMICALS: Completes Sale of Interests in Huntsman
LAURA ASHLEY: Issues Update Regarding Rights Issue
LOMBARD MEDICAL: Annual Loss Increases to EUR4.11 Million
MARCONI PLC: Issues Amendment to Historic Sales Information
PIZZAEXPRESS PLC: Offer on Behalf of Venice Bidder Has Lapsed
RELIANT RESOURCES: Reports Net Loss of US$56MM for First Quarter
ROYAL MAIL: To Reveal Huge Pension Deficit
ROYAL & SUNALLIANCE: Court Rules in Favor of Turner & Newall
ROYAL & SUNALLIANCE: IPO Final Pricing Achieves Capital Release
SOMERFIELD PLC: Announces Trading Update, Strategic Plan
THISTLE HOTELS: Announces Changes to Composition of its Board
TRINITY MIRROR: Chairman Presents Results, Gives Outlook
* Large Companies With Insolvent Balance Sheets


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


METALEUROP SA: Reports Impact of Metaleurop Nord's Liquidation
--------------------------------------------------------------
During its General Meeting of April 25, 2003, Metaleurop SA
presented the impact of Metaleurop Nord's liquidation and the
sale of Nordenham zinc on the group's consolidated accounts
(unaudited). All of the resolutions, which were submitted for
voting during this meeting, have been approved. The General
Meeting has also confirmed the co-option of two Directors, Mr.
Alain Ostier and Mr. Richard Robinson.

(1) Financial data on the year 2002 (provisional and unaudited)

--The liquidation of Metaleurop Nord, which was pronounced on
March 10, 2003, has resulted in the withdrawal of Metaleurop Nord
in the group's list of consolidated companies from January 1st,
2002, and should generate an exceptional loss of approximately
110 million euros in Metaleurop's 2002 consolidated statements.

--In addition and to give precisions on the accounting effects
described in February 17, 2003 press release, it has been added
during the April 25th general meeting that the sale of the
electrolytic zinc plant in Nordenham should generate a net
capital gain of approximately 62 million euros in Metaleurop's
2002 consolidated statements. The capital gain has the following
breakdown: the gross sale price of 100 million dollars (which
includes a guarantee of 13 million dollars for value of the
stocks) minus 1.5 million dollars for the funding of employees
pension plan has been converted at the exchange rate of 1 euro =
1,045 dollar, showing a result of 94.2 million euros. After
taking into account a 3.2 million euros provision for price
adjustment, and 0.4 million euros for exchange rate losses on
amounts cashed in January, the booked sale price amounts to 90.6
million euros.

The net capital gain of 62 million euros arises from the booked
sale price of 90.6 million euros minus the following elements:
the net book value of the asset sold (18.7 million euros), the
net goodwill and operation costs (5.7 million euros) and the
German tax on the sale (4.2 million euros).

--Although the statutory accounts and consolidated statements
have not been drawn up nor audited, it was mentioned during the
General Meeting on April 25th, 2003, that the 2002 financial year
will show such a loss that on December 31, 2002, Metaleurop's net
equity will be less than half of its share capital (amounting to
88,964,224 euros). This is due to an exceptional loss of
approximately 130 million euros, which corresponds to the write
off of Metaleurop Nord's debts towards Metaleurop SA. This loss
is partially offset by the advances on dividends from Metaleurop
GmbH (German sub holding), amounting to an estimated 70 million
euros -out of which around 40 million euros from the sale of
Nordenham zinc and approximately 30 million euros for internal
restructuring operation in the German sub holding.

(2) The legal and financial situation

--On April 11, 2003, The Bethune Court of First Instance has
rejected the request of the official receivers of Metaleurop Nord
to extend the liquidation procedure of this company to Metaleurop
SA and Metaleurop Commercial SAS. Since then, the official
receivers and the public prosecutor have appealed against this
decision. The Douai Court of Appeal has fixed the hearings on
June 5, 2003.

-- Short term credit lines agreements have ended on March 31,
2003. Metaleurop SA has initiated new negotiations with its banks
to find a solution to discharge the company of its short term
loans. On April 25, 2003, these loans amounted to approximately
48 million euros for the group (out of which approximately 41
million euros for Metaleurop SA).

--Glencore International AG and Metaleurop SA have signed an
agreement, coming into force on April 29, 2003, that grants a
credit line up to 12 million euros to finance Metaleurop SA
short-term cash flow needs. The access to this credit line is
submitted to usual conditions, and in addidtion, to the fact that
Metaleurop SA will not use that money to reimburse any of its
short term debts or in case of event of default, to reimburse its
medium and long term debts. This loan is granted for the time of
the negotiations with Metaleurop's banks and for a maximum of
four months. This financing of 12 million euros should enable
Metaleurop SA to finance its treasury until the end of August,
2003 (apart from the repayment of bank loans.

--Taking into account the different events that affected the
Metaleurop group during the last months, the statutory and
consolidated accounts of Metaleurop SA should be approved by the
Board of Directors in the first half of June, 2003 at earliest.

(3) Consolidated turnover of 1st quarter 2003

(In thousands euros - unaudited figures)


                 2003        2002
                        at similar
                       consolidation scope  Financial year 2002
1st quarter     43 471         55 913          148 634


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


BAYER AG: Comprehensive Reorganization Successfully Concluded
--------------------------------------------------------------
According to Dr. Hagen Noerenberg, Head of Bayer Polymers, the
company is ideally equipped for its future as an independent
public limited company under the umbrella of Bayer Holding now
that the reorganization has been completed.

"After a year of transition, we are fully back - stronger and
better than ever before," said Dr. Noerenberg, speaking at an
international press conference attended by 150 journalists in
Cologne. The company already generates some 90 percent of its
sales from products that occupy one of the top five positions on
the global market.

The current task is to translate these top market positions into
top performance. Bayer Polymers' overriding goal, therefore, is
to achieve profitable growth with a CFRoI of 13 percent and an
operating result before depreciation (EBITDA) of 19 percent in
the medium term.

In the first quarter of 2003, Bayer Polymers increased its
operating result after one-time items 3.5 fold compared with the
same period of 2002, namely from EUR 21 million to EUR 74
million. The operating result before one-time items was EUR 91
million. At the same time, the EBITDA margin went up from 11.3 to
12.5 percent. The savings resulting from cost structure programs
made a significant contribution to the result. However, despite
increased volumes, sales fell by 2.3 percent to EUR 2.55 billion
in the same period due mainly to negative currency effects and
tough price competition on the polymers market. In fiscal 2002,
Bayer Polymers had sales of EUR 10.8 billion and an operating
result before exceptional items of EUR 418 million.

Dr. Noerenberg said: "The developments in the first quarter of
2003 make us reasonably optimistic, but there is still an
enormous amount to do to improve our margins over the long term."

According to the Bayer Polymers Head, the company has already
initiated a range of measures designed to achieve a clear
increase in profitability. Overall, the aim is to achieve savings
of some EUR 700 million every year from 2005 onwards through
cost-cutting measures and improved efficiency. Unprofitable
production sites and facilities are to be closed and production
capacity focused on world-scale plants. As part of this process,
a reduction in headcounts is, according to Dr. Noerenberg,
inevitable. During the period from 2002 to 2005 the plan is to
reduce 5,300 jobs, out of a total of 23,000. Current examples
include the dissolution and closure of the Bayer Shell
Isocyanates joint venture set up for TDI and MDI production in
Antwerp, the dissolution and closure of the Mexican joint venture
with Cydsa for the production of TDI and the closure of a
polyether production facility in Rieme in Belgium.

Growth through investment

In addition to a clear rise in profitability, Bayer Polymer's
main aim is to grow further. EUR 600 million has been earmarked
for investment in capital expenditures in 2003. The focus of new
construction is China, where a production base is currently being
built in Caojing, near Shanghai. The first local plant for the
production of coating raw materials is scheduled to come on line
by the end of May 2003. Facilities for the production of
polycarbonate plastics as well as polyurethane raw materials
follow in the near future. Overall, Bayer Polymers aims to
generate approximately 25 percent of its worldwide sales in the
Asia Pacific region by 2007, also drawing on local production in
the process. The current figure is 18 percent.

As well as in China, the company is currently involved in major
investment and expansion projects in Europe in particular. A EUR
170 million plant for the production of TDA (toluene diamine) is
being constructed in Dormagen, Germany, with commissioning
scheduled for the fourth quarter of 2003. In Maasvlakte, the
Netherlands, Bayer Polymers and the Lyondell Chemical Company are
in the construction of a plant for the production of propylene
oxide and styrene. This plant is also scheduled to come online
during the fourth quarter of 2003. TDA and propylene oxide are
starting products used in the manufacture of polyurethane raw
materials. Styrene is a raw material used in the production of
plastics and insulating foams.

Additionally, together with DuPont, Bayer Polymers is currently
setting up a plant in Hamm-Uentrop, Germany, for the production
of the thermoplastic polyester PBT (polybutylene terephthalate).
This project is also scheduled for completion by the fourth
quarter of 2003. The extension of the polycarbonate production
installation at Bayer's Uerdingen site in Germany was finished in
early 2003. Bayer Polymers is now able to produce up to 300,000
metric tons of the polycarbonate Makrolonr per year in Uerdingen.

Growth through acquisitions and partnerships

Bayer Polymers aims to achieve further growth through
acquisitions as well as partner-ships and joint ventures. "We
have already taken targeted action over the past few years to
strengthen our core businesses and not least thanks to these
measures more than doubled our sales between 1993 and 2002 from
EUR 5.2 to EUR 10.8 billion," explained Dr. Hagen Noerenberg,
citing as examples the acquisition of the Lyondell Chemical
Company's polyether polyol business, the acquisition of Sybron
Chemicals and the considerable strengthening of the company's
position in polycarbonate sheeting. Currently, Bayer Polymers is
also working on the further expansion of its network of
polyurethane systems houses. Systems houses are suppliers of
ready-for-use pre-formulated polyurethane raw material systems
used in specialty applications.

Having acquired the Tectrade systems house in Denmark in 2002,
Bayer Polymers is also set to do business in the joint ventures
Bfa PUR in Germany and BayOne Urethane Systems in North America.
Further examples of Bayer systems houses include Betapur in Spain
and Deltapur in Italy. "We will continue to examine options to
strengthen our entire portfolio through acquisitions and
cooperation projects," added Dr. Noerenberg.

Bayer Polymers' portfolio is currently being intensively reviewed
in terms of profitability, market position and market development
as well as technological leadership. The new organizational
structure is claimed to be even clearer, enabling the company to
better distinguish between value drivers and value destroyers. As
Dr. Noerenberg said: "We at Bayer Polymers have both standardized
products and specialty products in our portfolio. With a view to
coping with the specific success factors of each of these areas,
we have introduced different processes and structures. We regard
the fact that our portfolio consists of both standardized and
specialty products as a specific strength, which we use
consistently to the advantage of our customers and our own
company. After all, the technically sound and cost-effective
production of commodities - which we at Bayer Polymers have
undoubtedly mastered - provides us with the basis and know-how to
produce specialty products of a high quality and at a favorable
cost." The Bayer Polymers portfolio can be broken down into
approximately two thirds standard products and one third
specialty products.

Dr. Noerenberg went on to say that the world polymer market was
unquestionably a market of the future with excellent prospects
for growth, something that was confirmed by market studies.
Whilst per-head consumption of plastics worldwide lay at just 11
kilos in 1980, market researchers expect this to have risen to 38
kilos by 2010. Current plastic consumption is 26 kilos per head
of population. Against this background Bayer Polymers expects to
record average volume growth of some five percent per annum in
its relevant product groups - thermoplastics, polyurethanes,
coating raw materials and synthetic rubber - by 2006.

Growth through innovation

Alongside above-average participation in market growth through
investments, acquisitions and partnerships, innovations in
processes, products and applications as well as in the non-
technical sector are the most important growth lever. The company
invests some EUR 260 million in research and development in 2003.
Together with investments in application-oriented developments in
the regions and in processing technology, expenditure for
innovations along the entire development chain amounts to more
than EUR 500 million.

Dr. Jurgen Dahmer, Member of the Executive Committee of Bayer
Polymers and Head of the EMEA Region (Europe, Middle East,
Africa), presented a series of innovations from Bayer Polymers
during the press conference in Cologne: from the customized
plastic materials Triaxr and Bayflexr for the production of
external car bodywork parts through to decorative and
individually designed floor coverings with Artwalkr and unique
colors and color effects for engineering plastics, available with
immediate effect with FantasiaTM. Another promising development
featured at the press conference was the increasing use of the
polycarbonate Makrolonr as an alternative to glass in automotive
construction. The rear side windows on the new Smart Roadster
Coupe, for example, are made entirely from Makrolonr.

Focus on Makrolonr: The polycarbonate Makrolonr, discovered by
Dr. Hermann Schnell at Bayer's Uerdingen site 50 years ago, is
now one of the top brands in the Bayer Polymers portfolio. This
is hardly a surprise, since the high-quality product offers
excellent properties: Makrolonr is transparent, impact-resistant
and retains its shape even at temperatures in excess of 100 C.
The polycarbonate can be used, for example, in electrical and
electronic applications, in lighting systems and optical
applications and in transport and medical technology. Examples of
excellent applications include the optical data carriers CDs and
DVDs as well as multi-wall, solid and corrugated sheets,
providing a lightweight, fracture-proof form of glazing in the
construction sector. "One thing is certain: the youngest field of
application for polycarbonate at present - namely car windows -
will not be the last successful application for Makrolonr,"
affirmed Dr. Dahmer.

With 23,000 employees at 120 sites around the world and sales of
Euro 10.8 billion (2002), Bayer Polymers is a leader in the
global industry of performance polymers. The company's materials
and solutions are the backbone of modern life, serving primarily
the automotive, construction, information technology, appliance,
furniture as well as sports and leisure industries.

As a member of the global Bayer Group, Bayer Polymers benefits
from a wealth of resources while enjoying the flexibility to
focus on its primary objective: to be the partner of choice in
polymer materials.


DEGUSSA AG: Earnings Up in Sound Start to New Year
------------------------------------------------
"With the global economic environment in mind, we are satisfied
with our start into the new year," said Prof. Utz-Hellmuth
Felcht, Chairman of the Board of Management of Degussa AG,
Dusseldorf, Germany, commenting on the key figures for the first
quarter of 2003, which were published on the same day as the
company's Annual Shareholders' Meeting.

Sales rose one percent to EUR2.904 billion in the first three
months of 2003 (Q1 2002: EUR2.872 billion). Earnings before
interest and taxes (EBIT) increased 10 percent to EUR205 million
(Q1 2002: EUR187 million) and the operating result after interest
was 29 percent higher at EUR151 million (Q1 2002: EUR117
million). Group net income improved considerably from EUR6
million in the first quarter of 2002 to EUR86 million in the
first quarter of 2003.

Felcht: "In view of the first quarter results, we are upholding
our outlook for 2003 as a whole and continue to anticipate an
improvement in sales, EBIT and the operating result in our core
business."

Further details of the Group's performance in the first quarter
will be published in the interim report on May 13, 2003.

Degussa is a multinational corporation consistently aligned to
highly profitable specialty chemistry. With sales of 11.8 billion
Euro and a workforce of some 48.000, it is Germany's third-
largest chemical company and the world market leader in specialty
chemicals. In fiscal 2002, the corporation generated operating
profits (EBIT) of more than 900 million Euro. Degussa's core
strength lies in highly effective system solutions that are
tailored to the requirements of its customers in over 100
countries throughout the world. Degussa's activities are led by
the vision "Everybody benefits from a Degussa product - every day
and everywhere".

CONTACT:  Corporate Communications
          Hannelore Gantzer, Spokeswoman


DEGUSSA AG: Assures Public of Steady Course in Difficult Times
--------------------------------------------------------------
First quarter results give rise to guarded optimism

"Degussa is well aligned, and despite the difficult economic
situation is clearly keeping to a steady course. We are
consistently expanding our position as the world leader in
specialty chemicals. Our distinct market and customer
orientation, our strong corporate brand and intelligent linking
of knowledge throughout the Group will be making a particular
contribution in this respect," stated Degussa Management Board
Chairman Prof. Utz-Hellmuth Felcht at the company's Annual
Shareholders' Meeting, which took place on Friday in Dusseldorf.

As Felcht continued, Degussa has achieved much in the two years
since its start in February 2001. Despite the lack of stimulus to
the global economic environment, transformation into a pure
specialty chemicals company has come close to completion, and the
company has surpassed the proceeds envisaged from the divestment
of non-core activities by far. Parallel to focusing on specialty
chemicals, core business has been strengthened by a number of
targeted acquisitions.

Degussa can also report considerable success with regard to its
energetic restructuring course. As Felcht stated: "We will start
to reap the first fruits in the 2003 financial year. Our results
will no longer be encumbered by non-recurring expenditures, as in
the past two years, and will be reflecting our progress to a
greater extent."

On the basis of the solid foundations created over the past two
years, Degussa has now initiated the next phase in its continued
strategic development. "I use the term 'continued development'
deliberately, as our plans have nothing to do with a new
portfolio discussion or with strategic re-alignment," emphasized
the Management Board Chairman. Rather, Degussa's corporate
strategy will now be focusing on greater orientation to customer
requirements and intensifying knowledge linking throughout the
Group.

At the Annual Shareholders' Meeting, Degussa also announced the
most important key data for the first quarter of 2003. Sales rose
one percent to EUR2.904 billion in the first three months of 2003
(Q1 2002: EUR2.872 billion). Earnings before interest and taxes
(EBIT) increased 10 percent to EUR205 million (Q1 2002: EUR187
million) and the operating result after interest was 29 percent
higher at EUR151 million (Q1 2002: EUR117 million). Group net
income improved considerably from EUR6 million in the first
quarter of 2002 to EUR86 million in the first quarter of 2003. As
Felcht remarked: "This is a sound start to the 2003 financial
year and in view of the global economic environment it is one we
can be satisfied with."

The Group will be providing further details of the first quarter
in its interim report on May 13, 2003.

Outlook for 2003

In the opinion of the Degussa Management Board Chairman, it is
extremely difficult to say how the global economy will be
developing in the 2003 financial year, particularly in view of
the uncertainties that must be considered. In all probability,
stagnation on a macroeconomic level has to be faced in the first
half-year, and it is fairly unlikely that the second half will
see a reversal of this trend. Degussa's strategy of aligning its
core business to robust operations with low cyclical exposure and
expanding its restructuring program was already beginning to
prove its worth in 2002. Systematic continuation of this strategy
will again underpin its operating profit in the current financial
year.

After presenting the key data for the first quarter, Felcht
clearly confirmed Degussa's forecast for 2003 as a whole:
"Despite all uncertainties, we are confident that our core
business will develop well this year, and continue to anticipate
an improvement in sales, EBIT and operating result in our core
business."

The CEO expressed concern at the European Commission's current
plans regarding chemicals policy. The requirements they made in
terms of paperwork, time and cost were too high. Felcht
commented: "This will hinder innovation, weaken the ability to
compete with non-European companies and threaten jobs."

Degussa is a multinational corporation consistently aligned to
highly profitable specialty chemistry. With sales of EUR11.8
billion and a workforce of some 48.000, it is Germany's third-
largest chemical company and the world market leader in specialty
chemicals. In fiscal 2002, the corporation generated operating
profits (EBIT) of more than EUR900 million. Degussa's core
strength lies in highly-effective system solutions that are
tailored to the requirements of its customers in over 100
countries throughout the world. Degussa's activities are led by
the vision "Everybody benefits from a Degussa product - every day
and everywhere".

CONTACT:  DEGUSSA AG
          Corporate Communications
          Hannelore Gantzer, Spokeswoman
          Phone: +49-211-65 041-368


KIRCHMEDIA GMBH: Saban Assures Offer Has Financial Backing
----------------------------------------------------------
Bankers of Haim Saban assured the court-appointed administrator
of KirchMedia, from which it is buying ProSiebenSat.1 Media AG,
that its offer for the German broadcaster has financial backing.
The bankers wrote a letter that reached the administrator's
Munich office on Friday.

The move follows reports that potential investors had refused
offers to buy up to five stakes worth EUR350 million each,
because they didn't see a worthwhile "exit" opportunity after
four to seven years.

The transaction to buy the asset triggers mandatory takeover
offer to all other shareholders under the German law.

Mr. Saban offered institutional investors including, Apax
Partners & Co. Ltd. and Blackstone Group, stakes in
ProSiebenSAT.1 worth a total of up to EUR1.75 billion.

But while Apax Partners and Permira, the private equity houses,
had rejected his terms, Blackstone, TPG, Thomas Lee and Carlyle
Group were still in talks with Mr. Saban's advisers by the end of
last week, according to the Financial Times.

The terms, which seemed disagreeable to investors, include a
hefty up-front management fees.  Former shareholders in
KirchMedia, including Mediaset of Italy and Saudi Arabia's
Kingdom Holdings, are understood to have rejected the terms, the
report says.

Mr. Saban is due to demonstrate his ability to fund the purchase
of a 36 percent stake, and 72 percent of the votes, in
ProSiebenSAT.1, Germany's largest television broadcaster this
week.

The Financial Times cited Mr. Saban's bankers saying the US
entrepreneur, who is offering KirchMedia EUR7.50 for each of its
Pro SiebenSAT.1 shares, has the corresponding EUR525m (US$602m)
in liquid assets at his disposal.

An executive at Saban Capital Group, Mr. Saban's holding company,
said the entrepreneur would name his partners before the end of
month.  So far, the investor has named only TF1, the French
broadcaster, as its partner.  TF1 has a maximum commitment of
EUR150 million, but it has not yet confirmed exactly how much it
is willing to contribute.


WEDECO AG: Cuts Full-Year Profit Forecast, May Miss Sales Target
----------------------------------------------------------------
WEDECO AG Water Technology warned it will not reach its full-year
target of posting EUR10.5 million in net income.  The report sent
shares in the Dusseldorf-based company down as much as 37%.

The diminished profit targets follow a breakdown in merger talks
with a foreign rival, as well as a slump in first-quarter sales,
Chief Financial Officer Christoph Dicks told Bloomberg.

Mr. Dicks said the failure of the talks cost the company about
EUR3 million.  Wedeco did not pursue the transaction when it
discovered it would not benefit its shareholders, he said.

Mr. Dicks did not name the company he was referring to, but the
report also mentioned Canadian rival Trojan Technologies Inc.
saying it ended talks to acquire "a publicly traded, German-based
water treatment company" on failure to reach agreement after
several months of negotiations.

"Something's gone horribly wrong for the company" said Postbank
analyst Heinz-Gerd Sonnenschein, who rates the shares ``sell.''

Ralf Koenig, spokesman of the water purification systems
manufacturer, which reported first quarter loss of approximately
EUR3.5 million, also warned that slump in first-quarter sales
makes it "more likely" the company will also miss its revenue
target of EUR170 million for this year.

Wedeco has production sites in Germany, the USA, France, Italy,
Hungary and Korea. Via subsidiaries, WEDECO has branches located
in 17 countries on virtually all continents.


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I R E L A N D
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AER LINGUS: Plans to Remodel Fleet With New Short-haul Aircraft
---------------------------------------------------------------
Struggling Irish airline Aer Lingus is in talks to acquire new
short-haul aircraft in an effort to remodel itself as a European
low-fare airline.

The carrier confirmed Friday it is negotiating with both Boeing
Co. and Airbus for an acquisition of a single aircraft type that
would serve U.K. and Europe.

A spokeswoman told Dow Jones Neswires the company "decided" it
will be either Airbus or Boeing, but refused to reveal a
particular preference.

"It's all very much up for grabs. It really depends on who gives
the best deal," she said of the transaction, which could involve
the acquisition of either Boeing 737-800s or Airbus 320s.

Aer Lingus is also considering options to buy future aircraft,
depending on the company's performance over the near- to long-
term.  It plans to ultimately replace all 27 of its short-haul
aircraft.  The old fleet includes eight Boeing 737-500s, three
Boeing 737-400s, four Airbus 320s, six Airbus 321s and six
British Aerospace 146s.

Reports value the deal up to EUR1.6 billion over the long-term.
It could lead to 40 new aircraft for the carrier, including
future options, speculations say. However, Aer Lingus said any
figures are "speculative" at this stage.

Aer Lingus has been struggling from the global economic slowdown,
industrial unrest, decline in tourism, stiff transatlantic
competition and rising fuel prices even before the September 11
attack.  The tragedy only worsened its situation, leading it to
post a EUR52 million loss in 2001.

A restructuring, which trimmed 40% of its 6,500-strong workforce,
yielded an operating profit of EUR63.8 million for 2002.  It has
almost doubled its cash reserves over the past year to EUR367
million.  But the conflict in Iraq again weakened the airline
industry.

The Irish government is looking for a private sector investor
after a slump in airline stocks ruled out a market flotation
originally proposed in 2000.

Aer Lingus denied that the purchase of new short-haul aircraft
was designed to lure private investment.


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L U X E M B O U R G
===================


MILLICOM INTERNATIONAL: Notice of Annual General Meeting
--------------------------------------------------------
Notice is hereby given that the ordinary general meeting of
shareholders of Millicom International Cellular S.A will be held
at Chateau de Septfontaines, 330, rue de Rollingergrund,
Luxembourg, Grand Duchy of Luxembourg at 4.00pm CET on May 27,
2003 to consider and vote on the following resolutions:

(1) To receive the Management Report of the Board of Directors
and the Report of the Auditors on the consolidated and parent
company accountsat December 31, 2002

(2) To approve the consolidated and parent company accounts for
the yearended December 31, 2002

(3) To allocate the result of the year ended December 31, 2002

(4) To discharge the Board of Directors and the Auditors for the
year ended December 31, 2002

(5) To appoint the Directors

(6) To appoint the Auditors

(7) To determine the Directors' fees

(8) To pass a resolution in accordance with the requirements of
article 100of the law of August 10, 1915 on commercial companies
as amended

(9) Miscellaneous

Participation in the annual general meeting is reserved for
shareholders who file their intention to attend by mail and/or
return a duly completed proxy form at the following address:
Millicom International Cellular SA, 75, route de Longwy, L-8080
Bertrange, attention: Veronique Mathieu Tel: +352 27 759 287,
Fax: +352 27 759 359 no later than 5.00pm CET on Friday, May 23,
2003.

Proxy forms are available upon request at the registered office.

Millicom International Cellular S.A. is a global
telecommunications investor with cellular operations in Asia,
Latin America and Africa. It currently has a total of 16 cellular
operations and licenses in 15 countries. The Group's cellular
operations have a combined population under license (excluding
Tele2) of approximately 382 million people. In addition, MIC
provides high-speed wireless data services in five countries. MIC
also has a 6.4% interest in Tele2 AB, the leading alternative
pan-European telecommunications company offering fixed and mobile
telephony, data network and Internet services to 17.7 million
customers in 22 countries. The Company's shares are traded on the
Luxembourg Bourse and the Nasdaq Stock Market under the symbol
MICC.

CONTACT:  MILLICOM INTERNATIONAL
          Marc Beuls, President and Chief Executive Officer
          Phone: +352 27 759 101

          ANDREW BEST
          Phone: +44 20 7321 5022
          Investor Relations
          Shared Value Ltd, London


MILLICOM INTERNATIONAL: Notice of Extraordinary General Meeting
---------------------------------------------------------------
Notice is hereby given that an extraordinary general meeting of
shareholders of Millicom International Cellular S.A will be held
at Chateau de Septfontaines, 330, rue de Rollingergrund,
Luxembourg, Grand Duchy of Luxembourg at 4.30pm CET on May 27,
2003 to consider and vote on the following resolutions:

(1) To reduce the share capital of the Company from USD
142,249,458 to an amount of USD 98,955,270 by means of
cancellation of an amount of USD 43,294,188 and 7,215,698 shares
with a par value of USD 6 each, the 7,215,698 shares cancelled
having being repurchased by the Company in accordance with the
provisions of the Articles of Association for the purpose of
being cancelled.

(2) To adapt article 5 of the Company's Articles of Association
to takeaccount of the resolution adopted pursuant to item 1 of
the agenda of the meeting.

Participation in the extraordinary general meeting is reserved
for shareholders who file their intention to attend by mail
and/or return a duly completed proxy form at the following
address: Millicom International Cellular SA, 75, route de Longwy,
L-8080 Bertrange, attention: Veronique Mathieu Tel: +352 27 759
287, Fax: +352 27 759 359 no later than 5.00pm CET on Friday, May
23, 2003.

Proxy forms are available upon request at the registered office.

Marc Beuls, President and CEO of Millicom International Cellular,
commented: "Since the merger that formed MIC in 1993, MIC has
held 7,215,698 shares in a direct subsidiary of Millicom
International Cellular S.A. This treasury stock has neither
voting rights nor economic interest in MIC. Therefore the Board
of Directors is proposing to the Company shareholders to cancel
the 7,215,698 shares, with a par value of $6 each, currently held
as treasury stock."

Millicom International Cellular S.A. is a global
telecommunications investor with cellular operations in Asia,
Latin America and Africa. It currently has a total of 16 cellular
operations and licenses in 15 countries. The Group's cellular
operations have a combined population under license (excluding
Tele2) of approximately 382 million people. In addition, MIC
provides high-speed wireless data services in five countries. MIC
also has a 6.4% interest in Tele2 AB, the leading alternative
pan-European telecommunications company offering fixed and mobile
telephony, data network and Internet services to 17.7 million
customers in 22 countries. The Company's shares are traded on the
Luxembourg Bourse and the Nasdaq Stock Market under the symbol
MICC.

CONTACT:  MILLICOM INTERNATIONAL
         Marc Beuls, President and Chief Executive Officer
         Phone: +352 27 759 101

         ANDREW BEST
         Phone: +44 20 7321 5022
         Investor Relations
         Shared Value Ltd, London


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


KONINKLIJKE AHOLD: Clarifies Issue of Internal Investigation
------------------------------------------------------------
Ahold wishes to make clear that the internal legal investigation
into accounting irregularities at U.S. Foodservice, as stated in
its announcement of May 8, 2003, is continuing in close co-
operation with PricewaterhouseCoopers' forensic accounting work.

Statements that the investigation has concluded and that only two
executives of U.S. Foodservice were responsible for these
accounting irregularities are inaccurate. The investigation
continues to probe the possible involvement by U.S. Foodservice
personnel other than the two individuals identified so far.

CONTACT:  ROYAL AHOLD N.V.
          P.O. Box 3050 1500 HB
          Zaandam Netherlands
          Phone: +31 (0)75 659 57 20
          Fax: +31 (0)75 659 83 02
          Home Page: http://www.ahold.com
          Corporate Communications
          Phone: +31.75.659.57.20


KONINKLIJKE AHOLD: Ratings on Review for Possible Downgrade
-----------------------------------------------------------
Moody's Investors Service affirmed the senior unsecured debt
ratings of Koninklijke Ahold and guaranteed entities at B1 and
the subordinated debt ratings at B2, following Ahold's disclosure
of a larger than expected overstatement of earnings at its U.S.
Foodservice operations.

Ahold's senior implied rating remains at Ba3, and all ratings
remain on review for further downgrade.

The actions were also based on the company's analysis of the
impact on the company's debt protection measures. Moody's says
the ratings continue to depend largely on continued support from
the lending banks.

The review for possible downgrade reflects Moody's continued
concerns over the company's liquidity profile, the significant
refinancing risks that the company faces and its ability to
deleverage in the intermediate term.

A statement from Moody's says it believes "the impact of
significantly weaker operating metrics of Ahold's US Foodservice
business will be to constrain the group's capacity to generate
free cash-flow and that this in turn will affect the company's
ability to improve its financial structure."

Another concern that the rating agency expresses is with regards
to the impact of the forensic accounting investigation at US
Foodservice and Ahold's own accounting reviews.  Moody's fears
these could result in the auditors not being able to complete
their work in time for the deadline set for the consolidated
accounts, and under the conditions of an unsecured tranche of a
EUR2.65 billion 364-day committed credit facility.

Under the terms of the credit facility Ahold is required to
submit audited 2002 consolidated accounts by June 30.  In order
to make the trance available for drawing, Ahold must also submit
audited 2002 accounts for the two borrowers under the facility
('Stop n Shop' and 'Albert Heijn') by May 31.

In light of the conditions associated with accessing the EUR2.65
billion facility, its estimated EUR2.65 billion debt maturities,
and the short tenor of the facility, Moody's considers the
company's liquidity profile as weak.  The debt matures within the
next seven months and the short tenor of the facility matures in
February 2004.

Moody's also warns that refinancing risk for the company will
continue to remain high until it is able to term out a
significant portion of the EUR2.65 billion facility.

It mentions the need for a significant committed back-stop
liquidity lines given the potential puts that could be exercised
from April 2004 by one (or both) of its partners in ICA Ahold.


ROYAL PHILIPS: Court Confirms Decision on Rotary Shavers
--------------------------------------------------------
Royal Philips Electronics announced that the Cologne Court of
Appeals ('Oberlandesgericht') in Germany confirmed a preliminary
injunction obtained by Philips in August 2002 prohibiting
Remington from introducing and selling triple head rotary shavers
in Germany.

'We are pleased with this decision on one of our most important
markets for triple head rotary shavers - it is a positive sign
for Philips,' said Niels Onkenhout, CEO of the Business Unit
Shaving and Beauty of Philips Domestic Appliances and Personal
Care. 'Since its first introduction about thirty years ago, we
have continuously invested in the unique design of one of the
icons of Philips, the Philishave triple headed razor. Since then,
hundreds of millions of Philishaves have been sold, an average of
700 products per hour everyday, making Philishave the number one
in electric razor shaving over its 63 year history.

People recognize the shape of our three-headed Philishave as
Philips and can be confused by identical products in the market.
We shall do everything possible to avoid that confusion so that
our customers can continue to buy the quality they expect.'

The ruling of the Cologne Court of Appeals in Germany was in
favor of Philips after the earlier decision of the European Court
of Justice (ECJ) dated 18 June 2002 setting the standards to
register shape marks.

Royal Philips Electronics of the Netherlands is one of the
world's biggest electronics companies and Europe's largest, with
sales of EUR 31.8 billion in 2002. It is a global leader in color
television sets, lighting, electric shavers, medical diagnostic
imaging and patient monitoring, and one-chip TV products. Its
166,000 employees in more than 60 countries are active in the
areas of lighting, consumer electronics, domestic appliances,
components, semiconductors, and medical systems. Philips is
quoted on the NYSE (symbol: PHG), London, Frankfurt, Amsterdam
and other stock exchanges. News from Philips is located at
http://www.philips.com/newscenter

                     *****

Royal Philips, which reported first quarter net loss of EUR 69
million, announced plans to cut additional jobs in its Dutch
operations to further pursue its cost savings plan. The cuts will
be taken as the company shifts production of low-end two-head
shavers and some mid-end three-head shavers to China in 2005.
Some 100 jobs were lost to China in a similar fashion last year.

CONTACT:  ROYAL PHILIPS
          Andre Manning, Philips Corporate Communications
          Phone: +31 20 59 77199
          E-mail: andre.manning@philips.com


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


SOL MELIA: Fitch Downgrades Ratings to 'BBB-', Outlook Negative
---------------------------------------------------------------
Fitch Ratings, the international ratings agency, has downgraded
Sol Melia's Senior Unsecured rating to 'BBB-' (BBB minus) from
'BBB'. The Short-term rating is maintained at 'F3'. The ratings
have been taken off Rating Watch Negative, and the rating Outlook
is Negative.

The ratings had been placed on Watch Negative in February 2003
following the announcement of weaker than expected 2002 results
and industry prospects for 2003. Sol Melia's FY02 reported
revenues were flat at EUR1.0 billion, while EBITDA decreased by
3.3% to EUR233 million. Revenue per available room (RevPar)
decreased by 3.6%, particularly dragged down by the strong
decline of 15.4% in the Americas division, which represents some
19% of owned/leased property revenues. Tough conditions across
the group's markets were only partly offset by relatively
resilient Spanish mainland demand.

The group's FYE02 lease-adjusted interest cover and net
debt/EBITDAR ratios, at 2.5x and 5.6x respectively, remain very
weak compared to a number of rated international peers. Sol
Melia's previous 'BBB' rating had been based on the company's
ability to enhance profitability as early as 2003 and on a
swifter improvement of trading conditions.

The Negative Outlook reflects the risk that indications of some
recovery in Sol Melia's financial profile are unlikely to
materialise in the near-term, particularly when taking into
account the hotel sector's unfavourable operating environment and
stagnant key feeder markets, including the US and Germany. In
order to sustain a 'BBB-' (BBB minus) rating Sol Melia, among
other aspects, must reach a lease-adjusted net debt/EBITDAR ratio
of less than 5.0x by December 2004.

The Negative Outlook also incorporates Fitch's concern that
unsecured funding at attractive rates might be harder to obtain
in view of the group's weakened credit fundamentals. Sol Melia's
YE02 short-term debt maturities appear manageable at some
EUR225m, given that domestic banks tend to grant short-term
lines, and assuming that core relationship banks will remain
supportive of the group. However, the agency will closely follow
management's refinancing strategy going forward, particularly
with regard to a EUR200m out-of-the-money convertible bond, which
becomes due in September 2004. Net of plans for the use of some
disposal proceeds, the company is intent on accessing the secured
bank debt route, adding further financing to YE02's EUR380m
secured debt relative to some EUR2.7bn of wholly-owned hotels, as
recently revalued. At YE02, the ratio of these unencumbered
assets to unsecured debt of EUR890m was therefore around 2.5x.
The EMTN programme's Negative Pledge clause does not limit the
amount of secured debt from bank funding. However, at this stage,
Sol Melia plans to increase its secured funding by a maximum of
EUR200m, with the actual amount partly a function of the
availability of other funding sources. The ratings continue to be
supported by Sol Melia's position as the largest hotel company in
Spain, Latin America and the Caribbean. It is also the world's
leading resort hotel chain. Although somewhat dependent upon
Spain, where around 62% of 2002 EBITDA was generated, the group
has successfully diversified into Latin America & Caribbean,
Europe, Africa-Mediterranean, and Asia. Its four different brand
names (Melia, Paradisus Resorts, Sol and Tryp) benefit from
strong recognition in Spain and Latin America but less so in
other regions. An expansion plan, mainly on the basis of
management contracts (rather than wholly owned / leased), is
designed to reduce the capital intensity of the business.


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


SAS GROUP: Traffic Figures Decreases by 11.8% in April 2003
-----------------------------------------------------------
The SAS Group transported a total of 2.6 million passengers in
April 2003 vs. 2.9 million in 2002, a decrease of 11.8%.

- Total traffic (RPK) decreased by 5.6%.

- Overall group passenger load factor decreased by 5.6 p.u to
60.5% for April 2003 vs. 2002.

Market trends and yield development

The traffic development in April was affected by weak economies,
the conflict in Iraq and the situation with the SARS virus. In
addition, the timing of Easter (in March 2002 vs April 2003) put
additional pressure on traffic and yield development compared
with 2002. Indications of passenger yield development in April
show significant pressure on yields for Scandinavian Airlines as
a result of Easter, negative mix, campaigns and other market
activities. Yield (unit revenues) for March 2003 was positively
affected by Easter and was down 7% vs. March 2002. It must be
noted that the yield is also significantly affected by more
capacity on intercontinental routes with lower yields. Yields on
the European routes were down 4% in March.

The yield development in March is in line with the figures
reported for the previous months when adjusted for the Easter
effects. Forceful measures are initiated to offset the negative
development in passenger volumes and yield. Since the end of the
Iraq war, bookings have recovered particularly to/ from the U.S.,
but from low levels. On the positive, traffic on European routes
has improved and showed good growth on group level in April. Due
to the situation with continued weak economies and the SARS virus
in Asia, the outlook remains cautious.

Scandinavian Airlines

Scandinavian Airlines traffic (RPK) decreased by 13.0% in April
2003 compared with 2002. Scandinavian Airlines passenger load
factor decreased by 9.2 p.u. to 60.2%

Intercontinental traffic decreased by 12% in April. Traffic
to/from the U.S was weak due to the conflict in Iraq. The traffic
to/ from South East Asia was affected by the SARS situation and
reductions in capacity has been initiated. The demand on the
European routes has improved somewhat and traffic was down 3.4%.
In its first full month of operation, passenger load factor on
the new low price initiative, Snowflake, was above 70% in April.
Intrascandinavian traffic continued to be weak. Danish domestic
traffic was down mainly as a result of the discontinued Greenland
route. The Norwegian and Swedish domestic traffic was affected by
Easter, changes in the network with reduced capacity and the
markets continued to be weak.


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


4M TECHNOLOGIES: Announces Changes to Capital Structure
-------------------------------------------------------
In its last press release of March 25, 2003, 4M Technologies
Holding announced several measures that the board of directors
intended to submit to the shareholders in order to complete the
restructuring process initiated in early 2002.

These measures were approved by the company's shareholders at the
occasion of the Company's annual ordinary shareholders' meeting
held on May 2, 2003 in Yverdon-les-Bains. In particular, the
shareholders adopted the following changes to the capital
structure of the company:

- the share capital of the company was reduced from CHF
80,000,000 to CHF 60,000,000 by the reduction of the nominal
value of each share from CHF 10 to CHF 7.50 in order to cover
past losses and reinforce the balance sheet;

- the conditional capital of the company was increased by a
maximum amount of CHF 22,830,000, i.e. a maximum of 3,044,000
registered shares of a nominal value of CHF 7.50 each, reserved
for the exercise of conversion rights by the investors and
lenders subscribing to a CHF 20,000,000 convertible loan to the
company projected to provide for future working capital
requirements.

In addition, the company reports that Mr. Adel Michael, founder
and past Chairman/CEO of the company, decided to step down from
his position as a director of the company, now that the 4M Group
is in a position to recapture market share with its new products
and resources. Mr. Michael remains a large shareholder in 4M
Technologies Holding and will pursue other sectors of investment
not competing with 4M.

CONTACT:  4M TECHNOLOGIES HOLDING
          Avenue des Sports 42
          CH-1400 Yverdon-les Bains
          Phone: ++41 (0) 24 4237 111
          Fax: ++44 (0) 24 4237 177


ZURICH FINANCIAL: To Transfer Portfolio of Subsidiary in Taiwan
---------------------------------------------------------------
Zurich Financial Services announced that it will transfer the
mutual fund portfolio of its subsidiary Zurich Securities
Investment Trust Company Ltd. ('Z-SITE') in Taiwan to Taiwan Life
securities investment Trust Co. Ltd ('Taiwan Life SITE') after
the Securities Futures Commission in Taiwan approved the
transaction. Terms and conditions of the sale have not been
disclosed.

This decision is in line with Zurich's action program announced
last year to focus Zurich's activities on its core Life and Non-
Life insurance businesses, on improving operational efficiency
and strengthening profitability.

Z-SITE was established in February 2001 and had by the end of
2002, raised four funds with a total size of USD 51 million (NTD
1.8 billion). Taiwan Life SITE's main shareholder is Taiwan Life
Insurance Company, who enjoys a reputation as one of the most
solid insurance companies in Taiwan. Zurich is confident that
Taiwan Life SITE will continue to offer outstanding services to
Zurich's mutual funds customers affected by the transaction.

Z-SITE will immediately commence a communications program to keep
its customers informed.

The agreed transfer does not involve Zurich's Life and Non-Life
businesses in Taiwan.

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 about 68,000 people.

CONTACT:  ZURICH FINANCIAL SERVICES
          Public Relations
          8022 Zurich, Switzerland
          Phone: +41 (0)1 625 21 00,
          Fax: +41 (0)1 625 26 41
          Home Page: http://www.zurich.com

          ZURICH FINANCIAL SERVICES (UK)
          Jane Reed-Thomas
          Phone direct: +44 (0) 1489 561686
          Fax: +44 (0) 1489 564471
          Mobile: +44 (0) 7768 803920
          E-mail: jane.reed-thomas@uk.zurich.com


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


BRITISH AIRWAYS: Virgin Boss Campaigns to Take Hold of Concorde
---------------------------------------------------------------
Virgin head Sir Richard Branson, who is trying to buy Concorde
from British Airways, threatened to dig out history to force the
latter to allow another carrier to operate the fleet.

British Airways abandoned Concorde last month after Airbus,
provider of maintenance for the jet, ruled the aircraft was too
expensive to keep.

The billionaire demanded that British Airways pay the government
GBP600 million for profits it made after on seven Concordes
entrusted to it in 1977.

Under the deal, British Airways must pay 80% of all profits to
the government.  But the latter ended the agreement seven years
later upon termination of a GBP2 billion project.  British
Airways paid GBP16 million for spare parts, enabling it to make
profits, which according to Branson totaled GBP750 million.

Sir Branson said: "I'm writing to the NAO requesting that they
look into the transfer history,' Branson said. 'Why has the
taxpayer not got 80 per cent of the profits? How come BA got
Concorde for nothing and, more importantly, if BA is not going to
allow anyone to run Concorde, the British government must get a
share of the profits."

British Airways insisted the flotation prospectus in 1987 made
clear Concorde's contractual history.  It added that shareholders
are due to receive compensation if it is forced to return cash.


CORUS GROUP: Alcan Mulls Acquisition of Aluminum Businesses
-----------------------------------------------------------
Metals giant Alcan is reportedly considering plans to bid for the
GBP543 million aluminum businesses of Anglo Dutch steelmaker
Corus Plc, an unsourced report of The Business says.

An offer from the group could boost the hopes of Corus chief
executive Philippe Varin of finally completing the sale after the
failure of an earlier deal, the report says.

Alcan has carried out due diligence on the assets when they were
first put up for sale last year, the report noted.

Corus, which is trying to offload its aluminum division in a bid
to revive the business, had agreed to sell the assets to the
French group for EUR750 million (GBP523 million) in October last
year.  But the deal fell through after the Dutch side of the
business blocked the deal in opposition to the idea of using the
proceeds of the sale simply to subsidize loss making U.K. steel
plants.

Corus is scaling down its aluminum-smelting business to
concentrate on making higher margin aluminum products under its
restructuring plan.

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


EQUITABLE LIFE: New Compensation Scheme Boon to 'Late Joiners'
-------------------------------------------------------------
Insurer Equitable Life has devised a new scheme to settle its
liabilities to former clients who were missold insurance policy
contracts, according to The Times.

The insurer has decided to set aside a sink-fund to compensate
70,000 former savers who were offered life insurance policies
after September 1998 when Equitable knew it had problems with
some of the guarantees it had promised to existing policyholders.

The society said claimants must hold policies without of
guaranteed annuity rates (GARs) and must have left the society
before the 2002 compromise deal was struck.

A review of each case will begin this month and reach completion
by the autumn, the report says.

The scheme, which grants special treatment to "late joiners"
could cost Equitable up to GBP70 million.

The move to put the plan in place comes as the Financial
Ombudsman Service prepares to confirm that Equitable mis-sold
policies to a number of savers, according to the report.

FOS is expected to rule that clients were made to believe
Equitable had only a limited exposure to the rising cost of GARs.

Equitable Life's liabilities to holders of GARS took a GBP2.6
bilion hole in the insurer's finances, and forced it to close to
new business in December 2000.

CONTACT:  EQUITABLE LIFE
          City Place House, 55 Basinghall St.
          London EC2V 5DR, United Kingdom
          Phone: +44-20-7606-6611
          Fax: +44-20-7796-4824
          Home Page: http://www.equitable.co.uk
          Contact:
          Vanni Treves, Chairman
          Charles Thomson, Chief Executive
          Charles Bellringer, Chief Finance and Investment
          Officer


GLAXOSMITHKLINE PLC: Moves to Allay Criticism With Shakeup Plans
----------------------------------------------------------------
GlaxoSmithKline announced plans to restructure its board and
review severance packages for senior executives ahead of its
annual meeting this month.

Sir Christopher Hogg, chairman of GSK, suggested in a letter to
the Association of British Insurers that the composition of its
board was to undergo some changes, and that the review of
compensation levels at the group would look into the severance
packages for senior executives.

Investors believe that any board shake-up will likely lead to the
departure, among others, of Sir Roger Hurn, the former Marconi
chairman, and Paul Allaire, head of the remuneration committee,
from GSK's U.S.-style board.  The panel is seat to two executives
and 10 non-executive directors.

The release of the letter before the company's annual general
meeting on May 19 is seen as an attempt to assuage criticism of
the company's pay package.

GlaxoSmithkline proposed in November to increase stock-related
bonuses of Chief Executive Jean-Pierre Garner.  But the award was
delayed due to the opposition of institutional investors.

Mr. Garnier's "golden farewell" package has also been subject to
criticisms of shareholders.  GSK's remuneration policy adopts the
concept of two-year rolling contracts for directors.  Under the
policy, Mr. Garnier could be given around GBP5 million in
severance pay were he to leave the company.

GSK contends its compensation level is lower than many rival drug
groups in the US.  But the Association of British Insurers said
it would not change its guidance that GSK was in "serious breach"
of its guidelines, according to the Financial Times.

The National Association of Pension Funds, meanwhile, has
recommended abstaining on the resolutions on executive
remuneration and re-electing Mr Garnier and John Coombe, finance
director.

The pharmaceutical giant has hired accountancy firm Deloitte &
Touche to review all aspects of its remuneration policy.  The
report is expected "later this year", a spokesman said -- long
after the annual meeting.

CONTACT:  GLAXOSMITHKLINE PLC
           U.S. Analyst/ Investor inquiries
           Frank Murdolo
           Phone: (215) 751 7002

           Tom Curry
           Phone: (215) 751 5419

           European Analyst/Investor
           Duncan Learmouth
           Phone: (020) 8047 5540

           Anita Kidgell
           Phone: (020) 8047 5542

           Philip Thomson
           Phone: (020) 8047 5543


IMPERIAL CHEMICALS: Completes Sale of Interests in Huntsman
-----------------------------------------------------------
ICI has completed the sale of its interests in Huntsman
International Holdings for a gross total of US$440 million.
Interest of $25 million has also been received. This is in
accordance with the agreement announced last June with CSFB
Global Opportunities Partners,LP ( now Matlin Patterson Global
Opportunities Partners). $160million was received when the
agreement was first announced and the balance, including
interest, of $305million has now been paid. The proceeds of the
sale will be used to to reduce indebtedness.

The transaction will give rise to a profit after tax of about
GBP55million which will be accounted for as an exceptional item
in the second quarter.


LAURA ASHLEY: Issues Update Regarding Rights Issue
--------------------------------------------------
In the company's announcement earlier today [Thursday], the
company reported that 101,499,739 New Shares had not been taken
up or subscribed in the Rights Issue.

Of these New Shares, 10,500,000 have today [Thursday] been sold
in the market at 6.06p per share.  The balance of the New Shares
not taken up or subscribed in the Rights Issue and not sold as
above (comprising 90,999,739 New Shares) will be taken up by the
Underwriters, Bonham Industries Limited (as to 27,015,193 New
Shares) and Bank of East Asia Limited or the latter's placees (as
to 63,984,546 New Shares).

Definitions used in the Circular relating to the Rights Issue
dated April 16, 2003 apply in this announcement unless the
context otherwise requires.

                     *****

Earlier announcement:

The company announces that the 1 for 4 Rights Issue of
149,207,073 New Shares at 6p per share as detailed in the
circular to shareholders dated 16 April 2003 closed at 10.30 am
on May 7, 2003.

The company received valid applications in respect of 47,707,334
New Shares from Qualifying Shareholders, which represents an
aggregate take-up of approximately 32 per cent.  This includes
the New Shares that certain of the Directors and Bonham
Industries Limited irrevocably undertook to take up.

A provisional order for some of the remaining New Shares not
taken up or subscribed, (the total of these New Shares not taken
up or subscribed being 101,499,739 New Shares), has been received
but was not able to be executed before the latest time by which
sales for the benefit of shareholders could be made under the
terms of the Underwriting Agreements and the Placing Letter.

With the agreement of the company and the relevant Underwriter,
the latest time by which this matter can be resolved has been
extended to 3.00pm on Monday May 12, 2003.  The balance of the
New Shares not taken up or subscribed for, after any such sale
(if it is effected), has been underwritten by Bank of East Asia
Limited (as to part) and Bonham Industries Limited (as to the
remainder).

Further to its preliminary statement for the year ended January
25, 2003, the company also announces that its discussions
relating to the disposal of some or all of its stores in
Continental Europe are continuing.  Whilst the company is hopeful
that discussions will ultimately be successful, their outcome
remains uncertain and an announcement will be made if heads of
terms are agreed.

The company also announces that movements in like-for-like
turnover and margins for the 14 week period from January 26, 2003
to May 2, 2003 were as follows:

                     Fashion  Home Furnishings  Total

Sales
UK                   2.4%       3.4%            3.1%
Europe             (21.4%)    (30.1%)         (27.2%)
Total               (1.0%)     (1.0%)          (1.0%)

Margins
UK                   2.4%       8.3%            6.4%
Europe             (31.6%)    (31.8%)         (31.8%)
Total               (2.5%)     2.4%             0.8%


Note: Percentage movements are calculated on changes in absolute
retail sales and gross profit amounts.

Definitions used in the Circular apply in this announcement
unless the context otherwise requires.

CONTACT:  LAURA ASHLEY HOLDINGS PLC
          Phone: 020 7880 5100
          David Cook

          NUMIS SECURITIES LIMITED
          Phone: 020 7776 1500
          Charles Crick


LOMBARD MEDICAL: Annual Loss Increases to EUR4.11 Million
--------------------------------------------------------
Lombard Medical plc, the cardiovascular devices company,
announces its audited results for the year ended September 30,
2002.  The audited annual report and accounts are being posted on
the company's website (http://www.lombardmedical.co.uk)and they
will also be posted to shareholders.

Copies of audited annual report and accounts will also be
available from the company's offices at 67 Milton Park, Abingdon,
Oxon OX14 4RX.

As a result of the publication of the audited report and
accounts, the company's shares will today be released from their
current suspension from trading on AIM and will recommence
trading.

Chairman's statement

The initiatives announced in the Strategic Review published in
January 2003 have been progressed. The business focus is on Anson
Medical and PolyBioMed, both of which are engaged in vascular
related devices and technologies.

The key objectives of the company following the Strategic Review
are:

- To progress three core product areas to generate a mix of
licence and distribution revenues.

- To develop innovative products that address growth sectors with
potential for unlocking new markets.

- To move into profitability within 2 years after two major
product launches and at least one licence agreement in 2003.

- To maintain robust IP protection.

- To operate a company structure and Board responsibilities to
leverage greater value whilst minimizing costs.

Results

The loss for the year ended 30 September 2002, before
amortization and impairment of goodwill, amounted to GBP4,111,000
(period to 30 September 2001 loss of GBP2,440,000).

The turnover for the year ended 30th September 2002 at GBP359,000
(period to 30 September 2001: GBP100,000) was disappointing.

The shortfall in sales was principally due to the slower roll out
than originally forecast of the Anson Aorfix(TM) AAA stent graft
devices. This was due to a strategic decision to keep the
Aorfix(TM) Uni-iliac stent graft within a limited number of key
centers during the initial phase, in order to permit these key
centers of influence to become experienced in the use of the
device.

A total of 12 Aorfix(TM) stent grafts have now been implanted in
9 patients. The Company announced on July 9, 2002, that a total
of six implants of the Aorfix(TM) stent had been made, four of
which were carried out by Professor Hopkinson, a leading surgeon
in the field of aneurysm surgery. Professor Hopkinson commented
at that time that he was impressed with the performance of the
Aorfix(TM) device, as it would have been very difficult to
perform such cases with other available stent grafts. Professor
Hopkinson also presented the Anson Aorfix(TM) stent graft at the
Veith Symposium in New York in November 2002, and after his
presentation there was substantial interest in both the device
and the manufacturing and testing methods used in its production.

Practitioners and distributors alike are eagerly awaiting the
commercialisation of the Aorfix(TM) Bifurcated stent graft in
2003, and Lombard believes this will drive the Company forwards.
Anson's initial device the Aorfix(TM) Uni-iliac device,
represents less than 5% of the world market for AAA stent graft
devices, with the significant majority share being attributable
to the Bifurcated graft.

Lombard's shortfall in sales is also attributable to the
disappointing performance of its AME subsidiary. AME specialises
in the marketing and distribution of cardiovascular surgery,
interventional cardiology and neuro-surgical devices, equipment
and supplies to the Middle East.  AME has been significantly
affected by the current adverse political situation in the Middle
East region and the directors of the company can see no ease to
this situation in the foreseeable future. The position of AME
within the company has been under review, and the current
strategy is to exit this sector of the Group's business at
minimal cost.

PolyBioMed (surface modifications, surface coatings and drug
delivery coatings, principally for medical devices) has become an
area of strategic focus for the company, with the growing
worldwide interest in drug delivery coatings for coronary stents.
PolyBioMed is continuing to work in collaboration with a number
of stent companies in the area of drug delivery coatings, and is
in the pre-clinical phase with a variety of customized coatings.
Coatings can be tailored to molecule size and elution
rates/volumes. The company has traded in line with the Board's
expectations.

DMC Medical (distribution and marketing of a range of devices for
cardiac surgery), although achieving a reasonable level of sales
despite the complex U.S. distribution structure, is still not
generating positive cash flow for the Group. As with AME above,
the company cannot see this situation dramatically improving in
the foreseeable future and therefore the current strategy would
be to exit this sector of the Group's business at minimal cost.

The accounts incorporate a reduction in the carrying value of the
operating companies and investments through an impairment of the
goodwill in the consolidated balance sheet and the investments
held in the holding company's balance sheet. The adjustment
reflects the recent market value of the company and the
directors' current estimate of the realizable value of the
investments, in view of the inherent uncertainties and milestones
still to be achieved. The directors believe that with further
funding and the meeting of pre-defined milestones the future
value of the businesses will be significantly greater.

Anson Medical

Anson's two core products are Aorfix(TM) Reinforced Grafts for
treating  abdominal aortic aneurysms (AAA) and Refix(TM)
Repositional Surgical Clips for surgical closures.

Aorfix(TM) - the next generation AAA stent graft

The worldwide market for AAA stent grafts is estimated to be
worth $700 million by 2004. Abdominal aortic aneurysms occur in
nine per cent of people over 65, mostly men.

The market for AAA stent grafts has grown rapidly over the past
three to four years, but existing first generation devices are
hitting a plateau. The market appears to be waiting for new
products and technology that can help treat more vessels and thus
expand the market for these types of products.

The Aorfix(TM) device is the first product in the next generation
of stent graft devices with the Uni-iliac version of the device
already CE marked. The Aorfix (TM) Bifurcated device is shortly
to enter clinical trials, and is expected to be awarded a CE mark
later this year.

Major companies are seeking this technology, and a decision
regarding a worldwide distribution partner will be made when the
clinical trials are completed.

The methods that Anson uses to both manufacture and fatigue test
its AAA stent grafts, have attracted the interest of several
companies. Anson has developed valuable IP in this area, and
there are discussions in progress with a view to licensing.

RefixTM Repositionable Clips

RefixTM is a device that delivers through a small aperture
surgical clips, which can be repositioned.  More than 10 million
surgical procedures are carried out each year worldwide. As the
medical market shifts towards keyhole surgery, the demand for
complementary and unique devices like RefixTM will increase. The
RefixTM device will also be crucial in an environment of
increasing litigation due to surgical errors.

Documents have been filed relative to the obtaining of the CE
mark for this product, and preparations are in hand for the
filing of a 510k for approval to launch in the U.S. market.
Negotiations are current with U.S. regional distributors and
European national distributors for the open surgery version of
Refix(TM)

An agreement was signed in December 2002 with Wilson Cook for the
supply of clips for endoscopic gastro-intestinal use.

PolyBioMed

PolyBioMed develops drug delivery coatings for coronary and
peripheral stents and vascular grafts, as well as polymer
coatings that can be used to reduce friction and inflammatory
responses caused by devices, infection from biofilm formation on
device surfaces and blood clot formation on indwelling devices in
the cardiovascular system.

The coronary stent market is set to more than double to in excess
of $5 billion in the next three years due to drugs delivered
locally via polymer coatings on the surface of the stent. It is
expected this will result in a significant reduction of stent
blockages (restenosis). PolyBioMed's coating technology has shown
to be capable of delivering a variety of drugs and it is
currently working with two companies in developing drug eluting
stents. One of these companies is a major player in the world
coronary stent market, and is close to entering pre-clinical
trials with PolyBioMed's drug delivery coating.

PolyBioMed has also developed and patented a second-generation
drug delivery polymer coating, which can precisely control the
dosage and elution profiles for both hydrophilic and hydrophobic
drugs. In addition the coating can contain and elute more than
one drug at different times including heavier compounds such as
genetic material. It is believed this new generation polymer
coating will give greater flexibility for local drug delivery
treatment of diseases including in-stent restenosis.

AME

With the turbulence in the Middle East markets since 11 September
2001 it has been incredibly difficult to develop business in this
market place. This situation has now been compounded by recent
events in Iraq, which will have a 'knock on' effect on business
in other Arab markets, even if the situation in Iraq is resolved.
Our strategy would be to exit this business at minimum cost, as
we do not see a significant upturn in the business in the coming
years.

DMC

The early expectation for the cardiovascular products of DMC has
not been realized. Although a certain level of sales has been
achieved, this does not cover the overheads of the business, and
therefore it has not generated positive cash flow for the group.
We do not foresee a major change in this progression, and have
therefore decided to exit this business also at minimal cost to
the Group.

Funding and outlook

The company is committed to meeting employment and certain
operational costs, as well as supporting its main trading
subsidiaries through intercompany funding.  Forecasts have been
prepared taking into account the requirements to complete product
development and achieve commercial sales.  Bank and loan
facilities held at the date of approval of the financial
statements within the group are fully utilized and are
insufficient to continue funding the forecast trading activities
of the group for a further twelve months from the date of
approval of the financial statements.  Accordingly, the directors
plan to secure additional funds to enable the Group to continue
its activities for the foreseeable future.

In the Strategy Statement issued on 22 January 2003, the company
announced that it was in the process of evaluating funding
options to fulfil its stated strategy and to ensure success. The
Company has not been able to raise additional equity funding to
fulfil its stated strategy and to secure its future as a stand-
alone AIM quoted entity and does not expect to be able to do so
given the general market conditions and the stage of its
development.

Funds are therefore now expected to be provided as a result of an
offer for the Company announced by a new unlisted company,
Advanced Medical Technologies PLC ('AMT') on 2 May 2003. Under
the terms of its offer AMT will provide funds from new equity of
at least GBP2.5m, arrange continuance of the existing bank
facility of GBP1m until 30 January 2004 and the Loan Notes 2007
will be exchanged for shares in AMT. The company also has an
option to defer repayment of the loan from Lion Capital Partners
PLC until 28 February 2004. The forecasts indicate that these
terms will provide the group with sufficient funds and facilities
to meet its requirements until January 2004. The funding is
primarily dependent on the offer being accepted by the holders of
not less than 90% of the company's shares, or such lesser
percentage as AMT may decide.  There is also uncertainty over the
amount of funds which may be raised from existing shareholders,
outside of the concert party, with an option to subscribe for new
shares in AMT, the timing of future commercial sales and whether
further funds can be raised to meet the projected requirements
from January 2004 onwards.

However, the directors believe that the offer is likely to be
accepted and that progress with the company's focused strategy
will allow it to obtain additional funds before the end of
January 2004 and therefore it is appropriate that these financial
statements are prepared on the going concern basis.

Alistair Taylor
Chairman
9 May 2003

Directors' report for the year ended September 30, 2002

The directors present their report and the audited financial
statements of the Company and Group for the year ended September
30, 2002.

Principal activities

The company was initially floated on the AIM market in October
2000 with the specific intention to build, primarily through
acquisition, a group of companies exploiting the high growth area
of medical devices principally in the cardiovascular area. In
October 2001 the company completed the acquisition of
LionMedical Limited.

The operating review is contained within the Chairman's
statement.

Results and dividends

The Group's results for the year are set out in the profit and
loss account. DOCPROPERTY 'COMP' /* MERGEFORMAT  DOCPROPERTY
'COMP' /* MERGEFORMAT

The directors do not recommend the payment of a dividend.

Post balance sheet event

An offer to acquire the whole of the share capital of the company
was announced by Advanced Medical Technologies PLC on 2 May 2003.
The offeror has been incorporated as a new company in order to
make the offer, and acceptance of the offer would result in
further funding being provided for the group. Details are
included in note 1 to the financial statements.

Directors and their interests

The directors who held office during the year with their
interests in the ordinary shares of the company, are as follows:
                31 March        30 September     30 September
                 2003            2002             2001*

A H Taylor     7,206,622       7,206,622        7,153,113
C G Stainforth   142,858         142,858          142,858
J W E Kerslake    57,143          57,143           57,143
S J Terry (appointed
17 October 2002)    -               -                -
A J Elbrick       14,286          14,286           14,286
P N Gray (appointed
25 April 2002)   250,000         250,000          175,000
W D Potter         7,143           7,143            7,143
M T Rothman       49,012          49,012           20,004

* = or date of appointment if later.


The directors' interests in GBP1,000 8% unsecured convertible
redeemable Loan Notes 2007 were as follows:
                    31 March         30 September
                      2003             2002

P N Gray             GBP50,000          GBP50,000
S J Terry            GBP25,000          -

Under certain circumstances the Loan Notes 2007 are convertible
to ordinary shares of the Company (see note 15).

The directors interests in share options or warrants to subscribe
are as follows:
                                 At 30 September
         2001 and 2002   Exercise price       Period of exercise
A H Taylor     A Warrants      214,286                       70p
To 26/10/07

               B Warrants      1,600,258                     77p
To 26/10/07

               Options         594,472                     17.4p
20/02/02 to 19/02/11

C G Stainforth A Warrants      142,858                       70p
To 26/10/07

               B Warrants      1,066,844                     77p
To 26/10/07

J W E Kerslake A Warrants      42,857                        70p
To 26/10/07

               B Warrants      320,050                       77p
To 26/10/07

               Options         471,429                       70p
11/04/04 to 11/04/11

A J Elbrick    A Warrants      14,286                        70p
To 26/10/07

               B Warrants      106,686                       77p
To 26/10/07

W D Potter     A Warrants      7,413                         70p
To 26/10/07

               B Warrants      53,343                        77p
To 26/10/07

M T Rothman A Warrants         20,004                        70p
To 26/10/07

               B Warrants      149,387                       77p
To 26/10/07


The mid market price of ordinary shares at 30 September 2002 was
6.25 p.

S J Terry and P N Gray, having been appointed since the last
annual general meeting, together with A J Elbrick and W D Potter
who retire by rotation, are offering themselves for re-election
as directors at the annual general meeting.

Messrs Taylor and Kerslake have contracts which were determinable
at the earliest on 11 April 2003 and other directors have
contracts which are determinable within one year.

Directors' interests in contracts significant to the Group are
set out in note 25 to the financial statements.

Political and charitable donations

The Group made no political or charitable donations during the
year (2001: GBPnil).

Research and development

The Group is committed to research and development in order to
develop its business and bring its products to market. Costs of
GBP1,473,000 during the period relate specifically to this aspect
of the Group's activities (2001: GBP739,000).

Payment policy

It is the Group's policy to agree terms with its suppliers, terms
of settlement which are appropriate for the markets in which they
operate and to abide by such terms where suppliers have also met
their obligations.  The company had 54 days purchases outstanding
at 30 September 2002 (2001: 33 days), based on amounts invoiced
by suppliers during the year.

Substantial shareholders

At 31 March 2003 the company was aware of the following interests
of 3% or more in the company's ordinary share capital

Percentage of the

                                                  issued share
                                                    capital
                                Number of shares

A H Taylor                      7,206,622              13.3
A W Anson                       3,212,156              5.9
B Wixted                        3,000,000              5.5
Morgan Nominees Limited         2,975,616              5.5
Lion Capital Partners PLC       2,706,476              5.0
P W Phillips                    2,312,446              4.3
K Al-Lamee                      1,988,744              3.7
HSBC Global Custody Nominee (UK) Limited
                                1,760,000              3.3
T M Cooke                       1,736,106              3.2
R O Connelly                    1,728,965              3.2

Auditors

PricewaterhouseCoopers transferred their business to a limited
liability partnership, PricewaterhouseCoopers LLP, on 1 January
2003, following which PricewaterhouseCoopers resigned and the
directors appointed PricewaterhouseCoopers LLP as auditors. A
resolution to reappoint PricewaterhouseCoopers LLP as auditors to
the company will be proposed at the annual general meeting.

By order of the Board

Rhod Jones
Company Secretary
9 May 2003

Statement of Directors' responsibilities

Company law requires the directors to prepare financial
statements for each financial year that give a true and fair view
of the state of affairs of the company and Group and of the
profit or loss of the Group for that period. The directors are
required to prepare the financial statements on the going concern
basis unless it is inappropriate to presume that the Group will
continue in business.

The directors confirm that suitable accounting policies have been
used and applied consistently. They also confirm that reasonable
and prudent judgments and estimates have been made in preparing
the financial statements for the year ended 30 September 2002 and
that applicable accounting standards have been followed.

The directors are responsible for keeping proper accounting
records that disclose with reasonable accuracy at any time the
financial position of the company and the Group and enable them
to ensure that the financial statements comply with the Companies
Act 1985. They are also responsible for safeguarding the assets
of the company and Group and hence for taking reasonable steps
for the prevention and detection of fraud and other
irregularities.

The maintenance and integrity of the Lombard Medical plc website
is the responsibility of the directors; the work carried out by
the auditors does not involve consideration of these matters and,
accordingly, the auditors accept no responsibility for any
changes that may have occurred to the financial statements since
they were initially presented on the website.

Legislation in the United Kingdom governing the preparation and
dissemination of financial statements may differ from legislation
in other jurisdictions.

By order of the Board

Rhod Jones
Company Secretary
9 May 2003

Independent auditors' report to the members of Lombard Medical
plc

We have audited the financial statements which comprise the
consolidated profit and loss account, the balance sheets, the
consolidated cash flow statement and the related notes.

Respective responsibilities of directors and auditors

The directors' responsibilities for preparing the annual report
and the financial statements in accordance with applicable United
Kingdom law and accounting standards are set out in the statement
of directors' responsibilities.

Our responsibility is to audit the financial statements in
accordance with relevant legal and regulatory requirements and
United Kingdom Auditing Standards issued by the Auditing
Practices Board.  This report, including the opinion, has been
prepared for and only for the company's members as a body in
accordance with Section 235 of the Companies Act 1985 and for no
other purpose.  We do not, in giving this opinion, accept or
assume responsibility for any other purpose or to any other
person to whom this report is shown or in to whose hands it may
come save where expressly agreed by our prior consent in writing.

We report to you our opinion as to whether the financial
statements give a true and fair view and are properly prepared in
accordance with the Companies Act 1985. We also report to you if,
in our opinion, the directors' report is not consistent with the
financial statements, if the company has not kept proper
accounting records, if we have not received all the information
and explanations we require for our audit, or if information
specified by law regarding directors' remuneration and
transactions is not disclosed.

We read the other information contained in the annual report and
financial statements and consider the implications for our report
if we become aware of any apparent misstatements or material
inconsistencies with the financial statements. The other
information comprises only the directors' report and the
chairman's statement.

Basis of audit opinion

We conducted our audit in accordance with Auditing Standards
issued by the Auditing Practices Board. An audit includes
examination, on a test basis, of evidence relevant to the amounts
and disclosures in the financial statements. It also includes an
assessment of the significant estimates and judgments made by the
directors in the preparation of the financial statements, and of
whether the accounting policies are appropriate to the company's
circumstances, consistently applied and adequately disclosed.

We planned and performed our audit so as to obtain all the
information and explanations which we considered necessary in
order to provide us with sufficient evidence to give reasonable
assurance that the financial statements are free from material
misstatement, whether caused by fraud or other irregularity or
error. In forming our opinion we also evaluated the overall
adequacy of the presentation of information in the financial
statements.

Fundamental uncertainty - going concern

In forming our opinion, we have considered the adequacy of the
disclosures made in the financial statements concerning the basis
of preparation.  The financial statements have been prepared on
the going concern basis and the validity of this depends on the
Group successfully obtaining adequate additional funds to
continue its activities.  The financial statements do not include
any adjustments that would result from a failure to secure such
funds.  Details of the circumstances relating to this fundamental
uncertainty are described in Note 1. Our opinion is not qualified
in this respect.

Opinion

In our opinion the financial statements give a true and fair view
of the state of affairs of the company and the Group at 30
September 2002 and of the loss and cash flows of the Group for
the year then ended and have been properly prepared in accordance
with the Companies Act 1985.

To see financials: http://bankrupt.com/misc/LOMBARD_MEDICAL.htm


MARCONI PLC: Issues Amendment to Historic Sales Information
-----------------------------------------------------------
Marconi provided a correction to Appendix 2 of its Trading Update
dated May 7, 2003 in relation to the historic quarterly breakdown
of sales by product area for the year ended 31 March 2002.

The table below sets forth the corrected information.

Core Sales by Product Area for the year ended March 31, 2002.

                                            in GBP million
                                                  FY02

                                           Q1   Q2   Q3   Q4
Optical Networks                          146  211  189  191
Broadband Routing and Switching (BBRS)     52   61   40   56
European Access                            78  111   85   87
North American Access                      34   31   24   32
Outside Plant & Power (OPP)                91   65   48   43
Other Network Equipment                    25   38   21   45
Network Equipment                         426  517  407  454
Installation, Commissioning & Maintenance 126  145  122  135
Value-Added Services (VAS)                 98  136  103  104
Network Services                          224  281  225  239
Core                                      650  798  632  693

About Marconi plc

Marconi plc is a global telecommunications equipment and
solutions company. 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 customer base includes many of the world's largest
telecommunications operators.


PIZZAEXPRESS PLC: Offer on Behalf of Venice Bidder Has Lapsed
-------------------------------------------------------------
On April 16, 2003 PizzaExpress revealed a third consecutive
quarter of disappointing like-for-like sales performance, with an
acceleration in the deterioration of like-for-like sales in the
core PizzaExpress operation from minus 5.1 percent in the second
quarter to minus 9.4 percent in the third quarter and with the
Cafe Pasta/Marzano sites moving from growth into decline for the
first time.  In addition, PizzaExpress stated that a number of
operational initiatives had been introduced but intense
competition coupled with well-documented economic and political
factors were continuing to delay improvements in sales
performance.

Against this trading background, and after careful consideration,
the Board of Venice Bidder has decided against increasing its 367
pence Offer, which has now lapsed.

Consequently, the Board of Venice Bidder announces that it
intends to accept the GondolaExpress offer of 387 pence per
PizzaExpress Share in respect of its entire holding of 6,131,658
PizzaExpress Shares, representing approximately 8.5 percent of
the existing issued ordinary share capital of PizzaExpress.

On April 24, 2003 Venice Bidder's Offer was extended until May 9,
2003. As at 3.00 pm on May 9, 2003, valid acceptances had been
received in respect of 1,616,887 PizzaExpress Shares,
representing approximately 2.3 percent of the existing issued
ordinary share capital of PizzaExpress. On 27 February 2003,
Venice Bidder announced that it had received undertakings to
accept the Offer in respect of, in aggregate, 109,750
PizzaExpress Shares, including undertakings to accept from
parties acting in concert with Venice Bidder in respect of, in
aggregate, 80,750 PizzaExpress Shares.  Valid acceptances have
been received in respect of all of these PizzaExpress Shares and
these are included in the totals above. Following commencement of
the Offer Period, Venice Bidder acquired 6,131,658 PizzaExpress
Shares, representing approximately 8.5 percent of the existing
issued ordinary share capital of PizzaExpress. Immediately prior
to the commencement of the Offer Period, Venice Bidder and
persons deemed to be acting in concert with Venice Bidder owned
or controlled 80,750 PizzaExpress Shares, representing
approximately 0.1 percent of the existing issued ordinary share
capital of PizzaExpress.  This comprised the beneficial holdings
of the Venice Management Team. Save as set out above, neither
Venice Bidder nor any of the directors of Venice Bidder nor (so
far as Venice Bidder is aware) any party deemed to be acting in
concert with Venice Bidder owned any PizzaExpress Shares or
rights over PizzaExpress Shares on 13 December 2002 (the last
business day before the commencement of the Offer Period) nor
have they acquired or agreed to acquire any PizzaExpress Shares
or rights over PizzaExpress Shares during the Offer Period.

Venice Bidder's Offer for PizzaExpress was subject to valid
acceptances being received by not later than 3.00pm on 9 May 2003
in respect of not less than 90 percent of the PizzaExpress Shares
to which the Offer relates. This condition has not been satisfied
and the Offer has now lapsed.

In accordance with the Venice Bidder Offer Document, all share
certificates and/or other documents of title of PizzaExpress
Shareholders who have accepted the Venice Bidder Offer will be
returned by post within 14 days of this announcement.

                     *****

The term 'Offer' used in this announcement is defined as 'the
cash offer (including the Loan Note Alternative) being made by
Hawkpoint on behalf of Venice Bidder to acquire all of the
PizzaExpress Shares on the terms and subject to the conditions
set out in the Offer Document and the Form of Acceptance and
including, where the context requires, any subsequent revision,
variation, extension or renewal thereof'.  Certain terms used in
this announcement are otherwise defined in the Offer Document
dated 27 February 2003.

The directors of Venice Bidder, whose names are set out in the
Offer Document, accept responsibility for the information
contained in this announcement and confirm that, to the best of
their knowledge and belief (having taken all reasonable care to
ensure that such is the case), the information contained in this
announcement is in accordance with the facts and does not omit
anything likely to affect the import of such information.

Hawkpoint, which is regulated in the United Kingdom by the
Financial Services Authority, is acting exclusively for Venice
Bidder and no one else in connection with the Offer and will not
be responsible to anyone other than Venice Bidder for providing
the protections afforded to its customers or for providing advice
in relation to the Offer or in relation to the contents of this
announcement or any transaction or arrangement referred to
herein.

ABN AMRO Hoare Govett is acting as broker for Venice Bidder and
is not acting for anyone else in connection with the Offer and
will not be responsible to anyone else other than Venice Bidder
for providing the protections afforded to its customers or for
providing advice in relation to the Offer.

This announcement does not constitute an offer to sell or
invitation to purchase or subscribe for any securities.

CONTACT:  FINANCIAL DYNAMICS
          Nic Bennett
          Phone: 020 7831 3113


RELIANT RESOURCES: Reports Net Loss of US$56MM for First Quarter
----------------------------------------------------------------
Reliant Resources, Inc. reported a loss from continuing
operations of $56 million, or $0.19 per share, for the first
quarter of 2003, compared to income from continuing operations of
$81 million, or $0.28 per share, for the same period of 2002.
Excluding an accrual of $47 million, pre-tax ($29 million, or
$0.10 per share, after-tax) for the payment that will be due to
CenterPoint Energy in 2004 under Texas' deregulation legislation,
the loss from continuing operations in the first quarter of 2003
was $27 million, or $0.09 per share.

Effective February 2003, Reliant Resources began reporting its
European energy segment as discontinued operations.  This change
is a result of the company's agreement to sell its European
energy operations to nv Nuon, a Netherlands-based electricity
distributor.  Reliant Resources expects to close this transaction
in the summer of 2003.

In addition to the accrual for the payment to CenterPoint Energy,
Reliant Resources' 2003 first quarter loss reflected a decline in
wholesale earnings due to significantly lower trading margins,
including a previously disclosed trading loss of approximately
$80 million, continued weakness in the wholesale markets and
hedge ineffectiveness losses.  Additionally, the company incurred
an increase in interest expense, primarily associated with the
acquisition of Orion Power Holdings and amortization and
expensing of financing costs associated with the company's
recently announced financings.  These items were partially offset
by a reversal of California-related reserves and continued strong
performance in the company's retail electric operations in Texas.

"Our first quarter was one of progress and accomplishment despite
the earnings performance," said Joel Staff, chairman and CEO.
"We closed a new financing package that has stabilized the
company's capital structure, and we are now positioned to
transition our capital structure to one that reflects our
business profile.  The agreement to sell our European business
and the decision to discontinue proprietary trading were
important steps in our ongoing effort to sharpen our strategic
focus.  By aligning our business activities with the commercial
opportunities in today's market, we are positioning the company
to survive the difficult period in the business cycle and to
benefit from future improvements in wholesale market conditions,"
Staff added. "Our top priorities going forward will be to achieve
resolution of outstanding legal and regulatory issues and to
accelerate the momentum we have begun to see in regaining our
corporate credibility."


                 Segment Results of Operations
                    (Unaudited, in millions)

                Three Months Ended March 31, 2003

              Retail     Wholesale   Other         Consolidated
              Energy      Energy    Operations

Operating income
(loss)        $26          $(9)      $(11)             $6

Gains from
investments   -            -            1               1

Loss of equity
investments of
unconsolidated
subsidiaries  -            (1)          -             (1)

Other, net   (3)            -           -             (3)

Earnings (loss)
before interest and
income taxes $23           $(10)       $(10)           $3

Interest expense, net                                (85)
Income tax benefit                                   (26)
Loss from continuing operations                     $(56)
Loss from discontinued operations, net of tax       (381)
Cumulative effect of accounting charges,
net of tax                                           (25)
Net loss                                           $(462)


                Three Months Ended March 31, 2003

              Retail     Wholesale   Other         Consolidated
              Energy      Energy    Operations

Operating income
(loss)       $46           $109       $(8)            $147

(Loss) gain from
investments    -          (1)           4               3

Income of equity
investments of
unconsolidated
subsidiaries   -           4            -               4

Other, net     -           3           (6)             (3)

    Earnings (loss)
before interest
and income taxes $46      $115         $(10)           $151

Interest expense, net                                 (24)
Income tax expense                                     46
Income from continuing operations                     $81
Income from discontinued operations, net of tax        15
Cumulative effect of accounting change, net of tax   (234)
Net loss                                             $(138)

SEGMENT EARNINGS DETAILED

Retail Energy

The company's retail energy segment produced earnings before
interest and taxes (EBIT) of $23 million in the first quarter of
2003, compared to $46 million of EBIT in the first quarter of
2002.   Excluding the $47 million accrual for a payment to
CenterPoint Energy, which is discussed below, EBIT for the first
quarter of 2003 would have been $70 million.

The first quarter 2003 EBIT, excluding the accrual for the
payment to CenterPoint Energy mentioned above, benefited from a
full month of usage during January, which was a month of customer
transition from the regulated utility in 2002; the contribution
from Texas generating units that began commercial operations
after the first quarter of 2002; revised estimates for electric
sales related to prior periods and higher margins due to
improvements in the management of supply costs relative to the
first quarter of 2002.  These improvements were partially offset
by customer attrition, primarily in the small commercial customer
class, and increased expenses to support the expanded retail
business.

Payment to CenterPoint Energy: Texas deregulation legislation
requires an affiliated retail electric provider to make a payment
in 2004, not to exceed $150 per customer, if 40 percent of the
residential and small commercial customers' load in the
affiliated transmission and distribution utility's service
territory has not switched to an alternative electric provider by
the end of 2003.  The payment is individually calculated for the
two customer classes.  Through the first quarter of 2003, Reliant
Resources has recorded $175 million for the estimated payment the
company expects to make to CenterPoint Energy in 2004.  The
accrual was based on the maximum payment of $150 per residential
customer retained.  The company does not anticipate making a
payment for the small commercial class.

Accounting change: Due to changes in accounting rules (EITF No.
02-03), the results of operations related to our contracted
electricity sales to large commercial, industrial and
institutional customers and the related supply costs are not
comparable between the first quarter of 2002 and the first
quarter of 2003.  Prior to 2003, the company used mark-to-market
accounting for earnings of its contracted electricity sales and
recognized a $2 million loss related to these contracts during
the first quarter of 2002.  The company has discontinued the use
of mark-to-market accounting for these contracts.  Earnings
related to contracted electricity sales are now recognized as the
volumes are delivered, and the corresponding unrealized gains
recorded in prior periods are reversed.  During the first quarter
of 2003, the company reversed $20 million of previously
recognized unrealized earnings.  As of March 31, 2003, our retail
energy segment had $83 million of unrealized gains recorded in
prior years that will reverse upon the delivery of related
volumes ($54 million in the remainder of 2003 and $29 million in
2004 and beyond).

Wholesale Energy
The wholesale energy segment reported a loss before interest and
taxes of $10 million in the first quarter of 2003 that included a
$61 million reversal of California-related reserves, compared to
EBIT of $115 million in the first quarter of 2002, which included
a $33 million California credit reserve reversal.

The decrease compared to the first quarter of 2002 was primarily
the result of significantly lower trading margins including a
previously disclosed trading loss of approximately $80 million,
increased losses associated with hedge ineffectiveness and
continued weakness in wholesale energy market conditions
primarily in the west.  Partially offsetting the declines were
the reversal of California-related provisions mentioned above and
improved margins from the coal plants in the Mid-Atlantic region
due to higher power prices that resulted from increased natural
gas prices.

Other Operations
The company's other operations segment recorded a loss before
interest and taxes of $10 million for the first quarter of 2003,
compared to a loss before interest and taxes of $10 million in
the first quarter of 2002.

Discontinued Operations
Effective February 2003, Reliant Resources began reporting its
European energy segment as discontinued operations.  This is a
result of the company's agreement to sell its European energy
operations to nv Nuon, a Netherlands-based electricity
distributor.  Reliant Resources expects to close this transaction
in the summer of 2003.

The company recorded a loss from discontinued operations of $381
million for the first quarter of 2003 compared to earnings of $15
million in the first quarter of 2002.   The loss for the first
quarter of 2003 includes a $384 million charge related to the
estimated loss on disposal.

Outlook for 2003
The company expects 2003 income from continuing operations to be
between $0.50 and $0.70 per share.  This guidance excludes the
impact of transitioning from mark-to-market to accrual accounting
(EITF Issue No. 02-03), ($0.15); the accrual for payment to
CenterPoint Energy under Texas deregulation legislation, ($0.10);
and the reversal of California-related reserves, $0.15.

Webcast of Earnings Conference Call

Reliant Resources has scheduled its first quarter 2003 earnings
conference call for Thursday, May 8, 2003, at 10:00 a.m. central
time.  Interested parties may listen to a live audio broadcast of
the conference call at http://www.reliantresources.com.  A
replay of the call can be accessed approximately two hours after
the completion of the call.

Reliant Resources, Inc., based in Houston, Texas, provides
electricity and energy services to retail and wholesale customers
in the U.S. and Europe, marketing those services under the
Reliant Energy brand name.   The company provides a complete
suite of energy products and services to approximately 1.7
million electricity customers in Texas ranging from residences
and small businesses to large commercial, industrial and
institutional customers.  Its wholesale business includes
approximately 22,000 megawatts of power generation capacity in
operation, under construction or under contract in the U.S.  The
company also has nearly 3,500 megawatts of power generation in
operation in Western Europe.  For more information, visit our web
site at http://www.reliantresources.com

CONTACT:  RELIANT RESOURCES
          Investors: Dennis Barber
          Phone: (713) 497-3042


ROYAL MAIL: To Reveal Huge Pension Deficit
-------------------------------------------
Royal Mail is expected to reveal as early as next week one of the
biggest ever revealed pension hole in a British business.  The
postal group is seen revealing a GBP4 billion gap when it reports
annual accounts that would also show operating loss of about
GBP230 million for 2002-2003.

The group would not discuss its pension and financial position
ahead of a consultation with its staff, according to the report,
but it can't escape declaring the blackhole next week under the
recent FRS17 accounting rules.

Industry sources do not expect Royal Mail to be surprised by the
pension liabilities since there are coming data that could give a
clearer picture of the company's financial positions.

"The details you get from FRS17 are just a snapshot and they were
obtained at the end of March when the company's financial year
ended and when the stock market was at a particularly low ebb,"
one source said.

"The Royal Mail is currently in the middle of a proper actuarial
review of its pension liabilities which it undertakes every three
years. The results of that review should be known in the autumn
and give a much better view of the real liabilities faced."

The gap could force the cash-strapped management to consider
injecting up to GBP2 billion over the next 10 years into its
GBP15 billion retirement scheme, according to The Guardian.

But Chairman Allan Leighton is expected likely to insist the
company's three-year restructuring plan, which commenced during
the prior financial year, is beginning to show improvements,
mainly due to a significant cost reduction.


ROYAL & SUNALLIANCE: Court Rules in Favor of Turner & Newall
------------------------------------------------------------
A judge ruling ordered insurer Royal & SunAlliance to pay
asbestos-related compensation to former employees of engineering
group Turner & Newall.

The High Court of Mr. Justice Lawrence Collins made the ruling on
the case filed by Engineer Turner, now owned by US outfit
Federal-Mogul.  Turner lodged the legal action on behalf of
former employees with asbestos-related diseases who were exposed
after 1969.

The suit contends that RSA is liable as the company's provider of
employer liability policies.

But the case is not yet considered closed since Royal &
SunAlliance is still likely to appeal the judgment. The insurer
said it has enough cash reserve to cover the case.

Some lawyers, according to the Financial Times, think the UK
threat could prove more serious.

Royal & Sun last year doubled the amount it set aside to meet
asbestos-related liabilities.  The insurer is currently launching
an Initial Public Offering of its Australian arm Promina in an
effort to raise cash to refurbish its finances and fund asbestos
claims in the U.S.

The warm response of investors to the offering fueled hopes that
the company would be able to get GBP750 million from the float.


ROYAL & SUNALLIANCE: IPO Final Pricing Achieves Capital Release
---------------------------------------------------------------
Royal & SunAlliance announces that, following the closing of the
book build process on Friday May 9, the final offer price for the
institutional offer on the Promina IPO has been determined at
A$1.80 per share.  This price is above the mid point of the
indicative institutional price range of A$1.50 to A$2.00 per
share.  The risk based capital release from the IPO will be
around GBP540m.

Andy Haste, Group Chief Executive, Royal & SunAlliance said,

"I am delighted by the success of the IPO and the excellent
demand for Promina shares. There was a strong level of
oversubscription and the register is of high quality.

"The IPO will deliver a major component of the actions we are
taking to reshape the Group and to strengthen our capital
position.  Through the IPO, we will successfully unlock the
significant value of our Australian and New Zealand businesses.

"The capital release from the IPO, together with the release of
capital from the sale of our U.K. Healthcare and Assistance
business last month, will significantly improve our risk based
capital position.  It will also greatly increase our statutory
surplus."

Assuming the over allotment option is exercised over at least 100
million shares, the aggregate proceeds to Royal & SunAlliance,
including repayment of the intra group subordinated debt and
after associated costs, will be GBP662m1.  To the extent that the
Royal & SunAlliance over allotment option is not exercised over
at least 100 million shares, Royal & SunAlliance could retain up
to 10% of the shares in Promina.

Trading of the Promina shares is anticipated to begin on a
conditional and deferred settlement basis on the ASX and NZSE on
May 12, 2003.  Settlement is anticipated to take place on May 16,
2003 and unconditional trading of Promina shares will take place
thereafter.

                     *****

-- Of the 900 million shares offered for sale before the exercise
of the over allotment options, 272 million were allocated to
retail investors at a price of A$1.70.

-- If the Promina over allotment option of 57 million primary
shares is exercised in full this implies a market capitalisation
of Promina of A$1,903m (GBP764m1).

-- The aggregate proceeds comprise: consideration for the sale of
the shares owned by the Group in Promina of GBP344m1; the
outstanding consideration payable for the transfer of Royal & Sun
Alliance New Zealand Limited to Promina of approximately
GBP211m1; and the repayment of intra group subordinated debt owed
to Royal & SunAlliance totalling approximately GBP137m 1.

-- As indicated in the announcement of 31 March, Royal &
SunAlliance will be making available up to A$100m of capital to
LMI, the mortgage insurance business in run off within the
Promina Group.

-- Royal & SunAlliance's share of associated IPO and rebranding
costs is estimated to be GBP30m1.

-- Promina's ASX code will be 'PMN'.

-- 1 Currency translations have been calculated at an exchange
rate of GBP1 = A$2.49, being the rate as of Friday, 9 May 2003.

CONTACT:  ROYAL & SUNALLIANCE
          Malcolm Gilbert
          Phone: +44 (0)20 7569 6138


SOMERFIELD PLC: Announces Trading Update, Strategic Plan
--------------------------------------------------------
Somerfield plc announces today [Friday] its sales results for the
year ended April 26, 2003.

Group like-for-like sales growth for the full year was 1.0%.
Second half growth was 1.3%. Total sales are estimated at
GBP5.0bn and have increased by 0.7%.

Somerfield fascia like-for-like sales growth for the full year
was 0.9% and for the second half was 1.5%.

Kwik Save's growth in full year like-for-like sales was 1.2% and
for the second half was 1.0% (excluding retail partner sales).

From the beginning of February to mid March, major product range
changes were implemented at Kwik Save causing some disruption to
availability. In that period, the value range 'Simply' was
introduced, a number of products were destocked and a new own
label range was launched. These new products are now outselling
those they replaced and have better margins.

In addition to the six new concept stores opened in the first
half year at Kwik Save, a further eight were added in the second
half of the financial year. The first group of six stores has
maintained its sales uplifts and the second group is also
performing strongly. Both groups of stores are trading
substantially ahead of their pre-refit sales.

Strategic Plan

Over the past 4 months, the Group has been re-appraising its
strategy and market positioning. The principal conclusions are:

  * Somerfield and Kwik Save are strong brands with significant
market positions

  * The Group has added pace to its renewal programme and its new
and evolving Somerfield and Kwik Save concepts are designed to
meet that challenge
  * The Group has a substantial and valuable property portfolio.
Aligning that portfolio more closely to the core Somerfield and
Kwik Save customer propositions will improve operating
efficiencies as well as creating opportunities to realise its
inherent value

  * There are considerable opportunities to reduce costs and
improve efficiencies throughout the Group and actions to do so
have commenced

Executive Chairman, John von Spreckelsen, commented:

'The Somerfield Business Unit has delivered a solid overall
improvement in performance and the new Kwik Save concept stores
are showing substantial sales uplifts.

The Board will provide a full update with its preliminary results
announcement in July 2003.'

CONTACT:  CUBITT CONSULTING
          Fergus Wylie
          Phone: 020 7367 5100


THISTLE HOTELS: Announces Changes to Composition of its Board
-------------------------------------------------------------
Following the announcement by BIL (UK) Limited, on May 1, 2003,
that it had declared its increased offer for Thistle Hotels Plc
unconditional in all respects and the announcement by Thistle on
the same date recommending acceptance of the increased offer,
Thistle today announces the following changes to the composition
of its Board of Directors and to the responsibilities of
individual directors:

-- David Newbigging, Ian Burke, Charles Mackay, Arthur Hayes and
Baroness O'Cathain have resigned as directors of Thistle.

-- Michael Cairns and Thomas Robson have been appointed as non-
executive directors of Thistle.

-- Tan Sri Quek Leng Chan, an existing director of Thistle and
Chairman of BIL International Limited, has been appointed
Chairman of Thistle.

-- Arun Amarsi, an existing director of Thistle and Chief
Executive Officer of BIL International Limited, has been
appointed Chief Executive Officer and Managing Director of
Thistle.

The changes detailed above are effective as of May 10, 2003.

Submitted by Ian Cattermole, Company Secretary on behalf of
Thistle Hotels Plc.


TRINITY MIRROR: Chairman Presents Results, Gives Outlook
--------------------------------------------------------
The following statement was provided to shareholders by the
Chairman of Trinity Mirror plc, Sir Victor Blank, at the
company's Annual General Meeting:

"At the Group's preliminary results announcement on February 27,
2003, we stated that advertising conditions remained volatile and
uncertain. The war in Iraq has accentuated these conditions
impacting on both our advertising and circulation revenues.

"Group advertising revenue for the first four months was
marginally ahead of 2002. An increase of 1.4% for our national
titles was offset by a fall of 1.0% for our regional titles
(excluding Metro's). Advertising conditions for our regional
titles in London and the South East continue to be challenging
(in particular recruitment advertising) with year on year
declines of 5.4% for the first four months of the year. Excluding
London and the South East, the regional titles achieved
advertising growth of 0.5% for the first four months of the year.

"Group circulation revenues for the first four months of the year
have fallen by 6.5% year on year reflecting the impact of price
cutting for the Daily Mirror in the first quarter coupled with a
reduced circulation performance. The cost of price cutting in the
period was GBP5.7 million, representing an increase of
GBP4.4million over the same period in 2002.

"Following the appointment of Sly Bailey as Chief Executive in
February, further senior appointments have been made to the
management team. Vijay Vaghela has been appointed Group Finance
Director, Humphrey Cobbold as Director of Strategic Development
and Phil Hall as Editorial Development Director, National titles.
These appointments, coupled with a streamlining of the reporting
functions in the national newspapers division, will strengthen
the Group. The review of the businesses is progressing well and
we will report back to shareholders at our interim results
announcement on July 31.

"The directors believe the uncertain external trading environment
will continue for the remainder of the year. Nevertheless,
subject to there being no further adverse changes to the trading
environment the Board anticipates a satisfactory outcome for the
year."


* Large Companies With Insolvent Balance Sheets
-----------------------------------------------

                                Shareholders  Total    Working
                                   Equity     Assets   Capital
                        Ticker     (US$MM)    (US$MM)   (US$MM)
                        ------   -----------  ------   --------
AUSTRIA
-------
Libro AG                            (120)         189     (182)

BELGIUM
-------
Mobistar SA               MOSG       (33)       1,167       (61)
Real Software             REAL       (39)         275        (1)

CZECH REPUBLIC
--------------
Ceskomoravska Kolben &
   Danek Praha Holding            (3,337)       7,175    (2,186)
Prazske Pivovary AS               (1,275)       3,398       190




DENMARK
-------
Elite Shipping                      (176)         642        19

FRANCE
------
Banque Nationale
   de Paris Guyane                   (33)         286       N.A
BSN Glasspack                       (114)       1,293       179
Bull SA                   BULP       (44)       1,698       (17)
Centrest Societe
   de Developpement
   Regional                         (131)         250       N.A.
Compagnie
   des Machines Bull                  (7)         259        (3)
Compagnie Francaise de
   l'Afrique Occidentale             (49)         192        21
Cofidur SA                            (6)         114        19
Docks Des Alcool                     (31)        (162)       46
European Computer System            (539)       3,347       377
France Telecom            FTE       (171)     106,587   (31,035)
Grande Paroisse SA                  (949)         430       107
Immobiliere Hoteliere     HOIN       (70)         197       (54)
Pneumatiques Kleber SA              (198)       2,843       139
Sa des Usines Chausson               (17)         187        35
SDR Picardie                        (722)       2,206       N.A.
Soderag                               (2)         329       N.A.
Sofal SA                            (248)       5,385       N.A.
Spie-Batignolles                     (13)       4,297        75
Trouvay Cauvin            TRCN         0          147        10

GERMANY
-------
Brau Und Brunnen AG       BBAG       (16)         570      (210)
Dortmunder
   Actien-Brauerei        DABG       (14)         125       (29)
Edel Music AG             EDLG       (72)         388      (159)
Eurobike AG               EUBG       (35)         173       (31)
F.A. Guenther & Sohn AG   GUSG        (8)         102       N.A.
Kaufring AG               KAUG       (20)         161       (51)
Nordsee AG                           (18)         431       (31)

ICELAND
-------
Hydrafrystistod
   Thorshafnar hf                   (275)       1,948      (141)

ITALY
-----
Binda SpA                 BND        (10)         110       (20)
Credito Fondiario
   e Industriale SpA      CRF       (199)       4,190       N.A.
Vemer Siber Group SpA     VEM         (3)         264       (79)

NETHERLANDS
-----------
Baan Company N.V.         BAAN        (8)         606        46
Laurus N.V.                         (156)       1,489      (822)

NORWAY
------
Loki ASA                  LOI        (39)         699      (265)
NETnet International SA              (12)         225      (134)
Northern Oil ASA          NOI        (83)       1,830      (272)

POLAND
------
Animex SA                             (2)         447       (86)
Centrozap                            (82)         262      (102)
Exbud Skanska SA          EXBUF      (35)       1,250      (330)
Lodzka Drukarnia
   Akcydensowa Invest SA             (29)         107       (72)
Ocean Company SA                    (128)         149      (145)

RUSSIA
------
Samson                              (124)         386      (304)

SPAIN
-----
Altos Hornos de Vizcaya SA          (100)       1,104      (278)
Santana Motor SA                     (36)         174        41
Tableros de Fibras SA     TFI        (41)      (2,006)      116

SWEDEN
------
Infinicom AB              INFIb      (15)         150       (74)
Nordifagruppen                       (18)         107        70

SWITZERLAND
-----------
Kaba Holding AG           KABZN      (95)         765       252

UNITED KINGDOM
--------------
Abbot Mead Vickers                    (1)         102       (16)
Alldays Plc               ALD        (84)         176      (202)
Amey Plc                  AMY        (30)         578       (47)
Bonded Coach
   Holiday Group Plc                  (4)         114       (44)
Blenheim Group                       (98)         128       (34)
Booker Plc                BKRUY      (38)         816        (8)
Bradstock Group           BDK         (1)         171         5
Brent Walker Group                (1,034)         506    (1,157)
British Nuclear Fuels Plc         (1,843)      25,510     1,948
British Sky Broadcasting  BSY       (301)       2,202       (40)
British Telecom Group               (286)      27,673       732
Compass Group             CPG       (452)       2,011      (298)
Costain Group             COST       (21)         204       (12)
Cox Insurance
   Holdings Plc           COX        (10)       1,318       N.A.
Easynet Group Plc         ESY         (7)         206      (53)
Electrical and Music      EMI
   Industries Group                 (889)       1,916    (1,158)
Euromoney Institutional   ERM        (76)         110        20
Gallaher Group            GLH       (337)       3,432        68
Global Green Tech Group              (96)         251       (18)
Heath Lambert
   Fenchurch Group PLC                (7)       2,883       (10)
HMV Group PLC             HMV       (416)         456      (133)
Imperial Tobacco Group    ITY        (75)       6,472      (190)
Intertek Testing Services ITRK       (83)         264       (67)
IPC Media Ltd.                      (463)         172        16
Lambert Fenchurch Group               (1)       1,132        (3)
Lattice Group                       (905)       8,707    (1,228)
Misys PLC                 MSY        (59)         658        (7)
Orange PLC                ORNGF     (358)       1,749         7
Rentokil Initial Plc      RTO       (702)       1,744       (37)
Saatchi & Saatchi         SSI        (74)         436       (41)
Yell Group PLC                       (50)       2,201       325

Each Tuesday edition of the TCR-Europe contains a list of
companies with insolvent balance sheets based on the latest
publicly available balance sheet available to our editors at the
time of publication.  At first glance, this list may look like
the definitive compilation of stocks that are ideal to sell
short.  Don't be fooled.  Assets, for example, reported at
historical cost net of depreciation may understate the true value
of a firm's assets.  A company may establish reserves on its
balance sheet for liabilities that may never materialize.  The
prices at which equity securities trade in public market are
determined by more than a balance sheet solvency test.

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

      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.


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