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        T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

             Friday, June 20, 2003, Vol. 4, No. 121


                            Headlines


C Z E C H   R E P U B L I C

UNION BANKA: Board Appeals Settlement Rejection, Bankruptcy


F I N L A N D

IOCORE PLC: Investors OK Board Proposals Including Name Change
STROMSDAL OYJ: Downtime to Result in Second Quarter Loss


F R A N C E

ALSTOM: 5,000 Workers to Lose Jobs in Redundancy Program


G E R M A N Y

INTERSHOP COMMUNICATIONS: CEO Gives Up Stake in Subsidiary
MOBILCOM AG: Banks Allow Freenet.de Takeover to Proceed
MUNICH RE: First Quarter in Line With Expectations, Says S&P


I R E L A N D

ELAN CORP: Terminates Joint Venture with CeNeS Pharmaceuticals


N E T H E R L A N D S

BUHRMANN N.V.: Sale of Paper Merchanting Unit to Help Cut Debt
BUHRMANN N.V.: S&P Ratings Outlook Revised to Positive
KONINKLIJKE AHOLD: Appoints New Chief Financial Officer


N O R W A Y

PETROLEUM GEO-SERVICES: Posts Details of Proposed Restructuring
PETROLEUM GEO-SERVICES: Restructuring to Result in 'D' Downgrade


P O L A N D

DAEWOO-FSO: MG Rover, Govt Near Deal Over Firm's Revival
PHS STEEL: Rival Bidders Put Finishing Touches on Proposals


R O M A N I A

MOBIFON HOLDINGS: S&P Assigns 'CCC+' Rating on Unsecured Notes


S W E D E N

SAS GROUP: Could Potentially Face Further Competition in Norway


S W I T Z E R L A N D

ABB LTD.: Declines to Comment on Possible Deal with Candover
FLEXTRONICS TECHNOLOGY: Swiss Exit to Result in 300 Job Losses
SWISS INTERNATIONAL: Sees Grave Consequences in Court Ruling


U N I T E D   K I N G D O M

ABBEY NATIONAL: Issues Trading Statement for First Four Months
AMEY PLC: Chief Executive Vows to Expand Scottish Operations
AMP LIMITED: Raises only AU$96 Mln from AU$500 Mln Share Issue
AWG PLC: Lone Bidder Fails to Come Up with Offer at Deadline
BLOOMS OF BRESSINGHAM: Attracts Takeover Interest from Rival

BRITISH AMERICAN: To Close Darlington Factory Next Year
BULLOUGH PLC: Tobull Takeover Offer Now Unconditional
CABLE & WIRELESS: Sells Domestic Business In Germany to Arques
CABLE & WIRELESS: Former CEO Accepts Severance Package
CHUBB PLC: United Technologies Cash Offer Already Available

CORUS GROUP: Announces Restructuring of Narrow Strip Operations
GLAXOSMITHKLINE PLC: Deloitte Talks to Investors Over Exec Pay
GOLDSHIELD GROUP: Says Annual Results Below Expectations
INDIGOVISION GROUP: Posts Third Quarter Performance Update
IQ LUDORUM: Chairman Admits Failure to Turnaround Business

LAURA ASHLEY: Divests Operations in Switzerland, Austria, Italy
MOTION MEDIA: Restructures Board, Rationalizes Operation
PIZZAEXPRESS PLC: GondolaExpress Declares Offer Unconditional
PPL THERAPEUTICS: Places Joint Project with Bayer on Hold
PPL THERAPEUTICS: Announces Major Business Restructuring


                            *********


===========================
C Z E C H   R E P U B L I C
===========================


UNION BANKA: Board Appeals Settlement Rejection, Bankruptcy
-----------------------------------------------------------
Ostrava Regional Court Deputy Chairman Rostislav Krhut said the board of
directors of Union Banka appealed last week the rejection of its settlement
proposal and declaration of bankruptcy.

Union Banka CEO Petr Votoupal questioned the rejection of the board's
petition for settlement saying it was wrong for factual and procedural
reasons.  The court dismissed the motion two days before declaring the bank
bankrupt on May 29.  Mr. Votoupal argued that the decision left no time for
Value Added, the liquidator appointed by the court at the proposal of the
Czech National Bank, to verify the court's statement that the bank is no
longer viable.  He said the court failed to direct an assessment that would
compare the effects of a settlement with bankruptcy to creditors.

Value Added head Roman Ceska declined to comment but admitted to Czech
Happenings that the liquidator could also appeal against the bankruptcy.
Mr. Krhut, who is ready to submit files to the High Court in Olomouc within
six weeks, said the appeals would not delay the bankruptcy proceedings.

Union Banka, which lost its banking license at the end of February, entered
liquidation on May 19 and went bankrupt on May 29 this year.


=============
F I N L A N D
=============


IOCORE PLC: Investors OK Board Proposals Including Name Change
--------------------------------------------------------------
The Extraordinary Shareholders' Meeting of Iocore Plc resolved on Wednesday
to change the company name to Sentera Oyj, translated in English as Sentera
plc.  The Extraordinary Shareholders' Meeting resolved further in accordance
with the above and the proposal of the Board of Directors released on
Helsinki Exchanges May 27, 2003 to amend the heading as well as Paragraphs
1, 3, 6 and 10 of the Articles of Association of the company.

The Extraordinary Shareholders' Meeting of Iocore resolved according to the
proposal of the Board of Directors released on Helsinki Exchanges on May 27,
2003 to extend the current financial period.  In addition, the number of the
members of the Board of Directors was decided to be seven (7).  The new
members of the Board of Directors elected are Henrik Gayer, Kari Katajamaki,
Kari Kontuniemi, Richard Lehtola, Johanna Lindroos, Ilkka Parssinen and Timo
Tiihonen.

Furthermore, the Extraordinary Shareholders' Meeting has on Wednesday
pursuant to the proposals of the Board of Directors released on Helsinki
Exchanges on May 27, 2003 approved the increase of share capital of the
company and the granting of new stock option rights in connection with the
combination of Iocore and Solagem Oy (Solagem) and the exchange offer
proposed by Iocore's Board of Directors.  Based on the above and the
combination agreement signed on May 27, 2003, the Extraordinary
Shareholders' Meeting has now approved the actions required by the
combination as well as other combination-related proposals submitted by the
Board of Directors.  As a prerequisite for the increase of share capital and
for the exchange offer still remains that the shareholders of Solagem,
representing more than 90 percent of all shares of Solagem and the votes
attached thereto (calculated on a fully diluted basis taken into account the
share subscriptions to be exercised under Solagem stock option rights),
irrevocably and bindingly accept the exchange offer.

The Extraordinary Shareholders' Meeting resolved to authorize the Board of
Directors of the company to decide on the increase of share capital through
new issues, convertible bonds or granting stock option rights, on purchasing
and transferring company's own shares.  In addition, the Extraordinary
Shareholders' Meeting resolved to invalidate the stock option rights, total
number of 220.800, currently in the possession of the company so that the
Stock Option Plan II (2001-2005) approved on January 22, 2001 shall be
invalidated in whole and the terms and conditions of the Stock Option Plan I
(2000-2005) approved on May 18, 2000 shall be amended pursuant to which
amendment the share capital of the company may as a result of the share
subscription carried out under the stock option rights be increased with a
maximum amount of EUR9,460.

The new Board of Directors of Iocore has in the organization meeting held on
June 18, 2003 resolved to appoint Markku Toivanen as a Managing Director of
the company.  The present Managing Director of Iocore, Kari Katajamaki, has
notified on the resignation from the duties of the Managing Director as from
August 1, 2003, until when Mr. Toivanen shall act as a deputy of the
Managing Director.  It was further resolved to elect Henrik Gayer as
Chairman of the Board of Directors and Kari Kontuniemi as deputy Chairman.

Iocore Plc
Kari Katajamaki
CEO

CONTACT:  IOCORE PLC
          Kari Katajamaki, Chief Executive Officer
          Phone: + 358 9 374 7800
          E-mail: kari.katajamaki@iocore.fi
          Home Page: http://www.iocore.fi


STROMSDAL OYJ: Downtime to Result in Second Quarter Loss
--------------------------------------------------------
As a result of downtime due to sluggish markets and investment downtime
scheduled to begin in Midsummer, Stromsdal Oyj will show a loss during the
second quarter, Managing Director Bjorn Forss said in a statement recently.

It is also likely that the first-half results as a whole will be slightly in
the red, he said.  But due to the increase in volume orders this month, the
scheduled downtime won't adversely affect performance during the rest of the
summer.


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


ALSTOM: 5,000 Workers to Lose Jobs in Redundancy Program
--------------------------------------------------------
French power and transport engineering company, Alstom, on Wednesday
unveiled plans to cut 5,000 jobs at its power, transport and energy
transmission and distribution divisions, including its Paris headquarters,
Dow Jones says.  The company presented these plans to its European works
council at a meeting in Poland recently.

TCR-Europe reported Thursday that cable manufacturer, Nexan, is considering
the possibility of acquiring the profitable transmission and distribution
business from the troubled engineering group.  Analysts value the unit at
between EUR1 billion and EUR1.5 billion, according to the Financial Times.
The company first peddled the unit in March as part of a plan to cut EUR5
billion debts in half by 2005.


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


INTERSHOP COMMUNICATIONS: CEO Gives Up Stake in Subsidiary
----------------------------------------------------------
Intershop Communications AG on Wednesday confirmed that the share swap
announced on January 23, 2002, under which CEO and Co-founder Stephan
Schambach swapped his shares in subsidiary Intershop Communications, Inc.
for common bearer shares in Intershop Communications AG, is now complete.

Under the transaction, Mr. Schambach exchanged his 4,166,665 shares in
Intershop Communications, Inc., the U.S. subsidiary that is majority-owned
by Intershop Communications AG, for 2,499,999 common bearer shares of
Intershop Communications AG. To this end, Intershop Communications AG issued
2,499,999 new common bearer shares from Conditional Capital III.

This increases the number of shares of Intershop Communications AG that have
been issued by 12.8%, from 19,535,300 before the implementation of the share
swap to 22,035,299 afterwards.  The company expects the transaction will
dilute the consolidated earnings per share for fiscal year 2003 by
approximately 6%.  As a result of the swap, Mr. Schambach's interest in the
capital of Intershop Communications AG has increased from 8.93% before the
implementation of the share swap to 19.26% afterwards.

The share swap represents a consolidation of the shareholder structure
within the Intershop Group between one of the subsidiaries and the parent
company, Intershop Communications AG.  The transaction facilitates the
consolidation of the ownership structure that arose following the company's
IPO in 1998.

In the course of the preparations for the IPO of the newly founded Intershop
Communications AG in 1998, Mr. Schambach was granted the right to swap his
interest in Intershop Communications, Inc. for common bearer shares of
Intershop Communications AG within a period of five years.  As a result of
the swap, Mr. Schambach's entire stake in Intershop Communications, Inc. has
been transferred to Intershop Communications AG, which will hold 100% of the
common stock of Intershop Communications, Inc. following the completion of
the transaction.

About Intershop

Intershop Communications (Nasdaq: ISHP; Prime Standard: ISH1) is the market
leader in Unified Commerce Management, which can create strategic
differentiation for companies by integrating online commerce processes
across the extended enterprise. Intershop has more than 300 enterprise
customers worldwide in a broad range of industries, including multi-channel
retail and high technology.

Customers including Hewlett-Packard, Bosch, BMW, TRW, Bertelsmann, Otto and
Homebase have selected Intershop's Enfinity as the cornerstone of their
global online commerce strategies.  More information about Intershop can be
found on the Web at http://www.intershop.com

CONTACT:  INTERSHOP COMMUNICATIONS
          Investor Relations
          Klaus F. Gruendel
          Phone: +49-40-3641-50-1307
          Fax: +49-40-3641-50-1002
          E-mail: k.gruendel@intershop.com
          Home Page: http://www.intershop.de


MOBILCOM AG: Banks Allow Freenet.de Takeover to Proceed
-------------------------------------------------------
Freenet.de AG, Germany's second-largest online service, has finalized its
takeover of MobilCom's fixed-line business, which was executed April 1,
2003.  On Tuesday evening, MobilCom AG's lending banks and guarantors
approved the takeover.

"The last hurdle has been cleared.  Now we can really rev up the new
freenet," said freenet.de AG CEO Eckhard Spoerr.

The purchase price for the fixed-line business is EUR35 million, payable in
four installments in 2003 and 2004.  The takeover turns freenet.de into a
full-service telecommunications provider offering Internet, telephony and
DSL under one roof.  In the next 12 to 18 months, freenet.de plans to invest
roughly EUR25 million in extending its network to lastingly boost its
competitiveness and set free added earning potential.

Freenet.de AG aims to raise revenues in excess of EUR600 million and
earnings before interest, taxes and amortization (EBITDA) of over EUR75
million in 2004 -- the first full fiscal year following the takeover.


MUNICH RE: First Quarter in Line With Expectations, Says S&P
------------------------------------------------------------
Standard & Poor's Ratings Services said that the first-quarter 2003 results
of Germany-based leading global reinsurer Munich Reinsurance Co.
(AA-/Negative/--) and its core reinsurance and primary insurance
subsidiaries (the Munich Re group) are broadly in line with Standard &
Poor's expectations.

However, further improvement in the operating performance is expected during
2003 as the impact of price increases and tighter terms and conditions takes
effect.  Consequently, the reinsurance and primary insurance combined ratios
should be well below 100%, and ROR of more than 10% should be achieved for
the year.

Following the successful hybrid debt issuance earlier this year, Standard &
Poor's also expects risk-based capitalization to continue to improve both
quantitatively and qualitatively through retained profits.

Furthermore, Standard & Poor's expects to see improvements to the balance
sheet, including further substantial capital-raising initiatives.  Standard
& Poor's expects that Munich Re will restore its capital adequacy to at
least a strong level by the end of this year, a level more consistent with
the ratings on the group operating companies.


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


ELAN CORP: Terminates Joint Venture with CeNeS Pharmaceuticals
--------------------------------------------------------------
CeNeS Pharmaceuticals plc announces that it has reached agreement with Elan
Corporation plc (NYSE:ELN) to terminate the CeNeS/Elan joint venture, which
was established in June 2001 to develop M6G (morphine-6-glucuronide) for the
treatment of pain.  CeNeS alone will now plan to take forward and fund the
clinical development of M6G as it enters its phase III program for the
treatment of post-operative pain.

Neil Clark, Chief Operating Officer and Financial Director of CeNeS said:
"CeNeS is pleased to have reached this agreement with Elan.  The CeNeS/Elan
joint venture has enabled the successful progression of M6G over the last
two years and the M6G clinical package has been enhanced by the technical
assistance Elan has provided."

Under the terms of the agreement, CeNeS and Elan have agreed that the joint
development programs are terminated and that the respective rights to M6G
and certain drug delivery technologies are returned to CeNeS and Elan.  The
minority shareholding held by Elan in CeNeS Bermuda Limited will be
transferred to CeNeS. CeNeS has agreed to pay Elan a percentage of all
future revenues from M6G.

CeNeS and Elan have also agreed that no more funding shall be available to
CeNeS under the convertible loan stock arrangements entered into in June
2001.  Elan has retained its current holding of 16.9 million ordinary shares
representing 9.9% of the current issued ordinary share capital of CeNeS.
Under the terms of the 5% 2009 convertible exchangeable loan stock (CELS)
and the 7% 2007 convertible unsecured loan stock (CULS) CeNeS retains the
option to repay the loan stock together with accrued interest in cash or
convert the outstanding amount into CeNeS ordinary shares in 2007 in respect
of the CULS and 2009 in respect of the CELS.  CeNeS has drawn down
US$12,015,000 under the CELS and US$2,806,000 under the CULS.  If the CELS
and the CULS run to term and each of the CELS and the CULS convert into
CeNeS ordinary shares a further 20.1 million CeNeS ordinary shares would be
issued giving Elan a total shareholding, if added to Elan's existing
shareholding, of 36.9 million ordinary shares (19% of CeNeS issued share
capital as enlarged by the issue of the new ordinary shares on conversion).
The agreement reached between CeNeS and Elan provides that both the CELS and
CULS are freely transferable by Elan and the CELS will no longer be
exchangeable for shares in CeNeS Bermuda Limited.

CeNeS is a biopharmaceutical company specializing in the development and
commercialization of drugs for pain control.  The company has development
assets targeting pain and has a portfolio of carried interests in assets
that it has divested. The company is based in Cambridge, England.  For
further information visit http://www.cenes.co.uk

M6G

M6G, a natural metabolite of morphine, is in development by CeNeS for the
treatment of moderate to severe pain.  Morphine is a highly effective
analgesic that has been used for many years despite the unpleasant side
effects of nausea and vomiting and the potential dangers of respiratory
depression.

M6G has undergone several Phase II clinical trials with more than 450
patients receiving M6G.  The most recent Phase II trials were designed to
establish the analgesic effects of different doses of M6G administered at
different times compared to a standard morphine treatment regime.  Phase III
efficacy studies are currently being planned: a pivotal, dose-ranging
placebo controlled study is scheduled to commence as a multi-centre study in
Europe in 2003 in patients undergoing knee replacement surgery with spinal
anesthesia.  It is planned that this will be followed by a second Phase III
trial in Europe comparing M6G and morphine treatment in patients with
postoperative pain following gastrointestinal and gynaecological surgery.
Side-effect profiles of M6G will be investigated in both studies.  If these
trials are successful then M6G will be on target to be launched in Europe in
2005/6.

Opiate Analgesia

Analgesia is the process of pain-relief and any pain-relieving drug is
called an analgesic.  The most potent known class of analgesics is the
opiates, derived from the opium poppy, which confer a high degree of
pain-relief for severe pain.  Opiates, like morphine and codeine, act
centrally in the brain in an area called the periaqueductal grey area where
they mimic the actions of neuromodulators called endogenous opiates and
'switch off' the sensation of pain centrally.

The markets for M6G

M6G has potential as an analgesic for two types of pain, post-operative pain
and chronic pain, both of which are currently treated with morphine.

CONTACT: CENES PHARMACEUTICALS PLC
         Alan Goodman or Neil Clark
         Phone: +44 (0)1223 266466
         Fax: +44 (0)1223 266467

         Euro RSCG Life NRP
         Dr. Douglas Pretsell
         Phone: +44 (0)20 7726 4452
         Fax: +44 (0)20 7726 4453


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


BUHRMANN N.V.: Sale of Paper Merchanting Unit to Help Cut Debt
--------------------------------------------------------------
Buhrmann has been approached regarding a possible sale of its Paper
Merchanting Division to PaperlinX Limited, the company said in a statement
recently.  The Australia-based merchanting and paper production group has
offered Buhrmann EUR746 million (on a debt and cash-free basis).  An
agreement is within reach.

Commenting on the proposed transaction Buhrmann President and CEO Frans
Koffrie said: "As we have stated previously, a further reduction of net debt
is a top priority for 2003.  The opportunity that has now arisen allows us
to significantly lower the company's debt and thereby its risk profile for
our shareholders.  The offered purchase price represents a fair valuation of
the assets involved despite the current difficult market circumstances.  We
have therefore pursued this opportunity, which the Board firmly believes to
be in the best interest of our shareholders."

Rationale

The envisaged sale of the Paper Merchanting Division will yield significant
immediate benefits:

     (i) The proceeds of the transaction will be used to reduce
         outstanding debt and thereby to reduce financing costs
         going forward;

    (ii) Focus as a leading business-to-business distributor of
         office products and graphic systems will be
         consolidated;

   (iii) Enhancement of the capabilities to further invest in
         service concepts and growth opportunities in the office
         products operations.

Financial details

The offer of EUR746 million represents a multiple of 10x the Paper
Merchanting Division's 2002 EBITA (operating result before amortization of
goodwill).  The transaction will result in a small book loss before tax.
The envisaged transaction structure is expected to lead to a EUR50 million
non-cash tax charge.

As a consequence of applying the proceeds that will be received for a
substantial reduction in debt, it is foreseen that in addition EUR60 million
(of which EUR40 million cash) will be incurred, due to unwinding of interest
rate hedges and a write-off of related capitalized financing fees.  This
will reduce interest expenses in the near future.

Overall, the transaction combined with the one-off charges related to the
debt reduction is expected to result in a book loss of about EUR120 million
(at current exchange rates).

Transaction details

The envisaged transaction is subject, among other things, to completion of
due diligence by PaperlinX, regulatory approvals, the consent of Buhrmann's
banking syndicate, negotiation of a definitive sale and purchase agreement,
completion of works council and trade union consultation procedures, and the
approval of Buhrmann shareholders.  The transaction is not expected to have
a significant effect for the employees of the Paper Merchanting Division.

Buhrmann has secured the required consent of the holders of preference
shares C (Apollo and Bain Capital) for the proposed transaction.  As a
condition these shareholders have been offered a number of revisions of the
terms of the preference shares C (see attachment).

It is expected that a sale and purchase agreement will be entered into with
the subsequent completion of the transaction anticipated in the third
quarter of this year.  Following the execution of a sale and purchase
agreement, the transaction, together with the revised terms of the
preference shares C will subsequently be submitted to Buhrmann's
shareholders for approval.

About Buhrmann's Paper Merchanting Division

Buhrmann's Paper Merchanting Division is Europe's leading distributor of
paper and related products to the commercial print, office, and display
markets.  Operating with 5,300 staffs in 25 nations in Europe, North
America, South Africa and South-east Asia it ships about 2.5 million tons of
paper annually.  With annual sales of approximately EUR3 billion and EBITA
of EUR74 million in 2002, the Paper Merchanting Division currently
represents around 30% of the total sales of the Buhrmann Group.

About PaperlinX Limited

PaperlinX Limited has its head office in Melbourne, Australia and is listed
on the Australian Stock Exchange with a market capitalization of
approximately AU$1.7 billion (EUR 1.0 billion).  PaperlinX is a major
international independent paper merchant and distributor, and leading
Australian manufacturer of communication papers and high performance
packaging papers.

To See Attachment:
http://bankrupt.com/misc/Attachment.htm


BUHRMANN N.V.: S&P Ratings Outlook Revised to Positive
------------------------------------------------------
Standard & Poor's Ratings Services said it revised the CreditWatch
implications on its ratings on Buhrmann N.V. to positive from negative,
including the 'B+' long-term corporate credit and senior secured bank loan
ratings.  Buhrmann is an office products distribution group, based in the
Netherlands.

"The CreditWatch revision follows the group's announcement of a likely sale
of its Paper Merchanting division to Australia-based paper merchanting and
production group PaperlinX for EUR746 million ($880 million)," said Standard
& Poor's credit analyst Omar Saeed.  "The net proceeds of the transaction,
which is subject, among other things, to negotiation of a definitive sale
and purchase agreement as well as regulatory and shareholder approval, will
be applied to debt reduction."

For the first quarter ended March 31, 2003, net debt outstanding (including
securitized receivables) was EUR1.64 billion.

Standard & Poor's believes the envisaged transaction considerably alleviates
concerns regarding the group's ability to meet its financial covenants
during financial 2003.  Furthermore, the transaction is considered to be
neutral to the group's business risk profile, despite reducing diversity, as
the Paper Merchanting business is relatively weaker than the group's office
products distribution businesses.  Standard & Poor's will closely monitor
the finalization of this transaction.

"If Buhrmann fails to secure the sale of the division, the CreditWatch
implications could be revised again to negative reflecting the ongoing
operational challenges the group is facing and, therefore, its ability to
meet its financial covenants by the end of financial 2003," said Mr. Saeed.


KONINKLIJKE AHOLD: Appoints New Chief Financial Officer
-------------------------------------------------------
The Ahold Supervisory Board has announced its proposal to nominate Hannu
Ryopponen as Chief Financial Officer.  Mr. Ryopponen will assume the
position of Acting CFO, effective September 1, 2003.  His appointment to the
Corporate Executive Board will be proposed at the Annual General Meeting of
Shareholders, which will be held at a date to be announced later this year.
Dudley Eustace, currently interim CFO, will stay on until further notice.

Hannu Ryopponen, 51, is a Finnish national who has lived abroad since 1977.
He is currently based in London, England, and is Finance Director of
Industri Kapital Group, a European private equity firm.  Between 1998 and
1999 he was Deputy Chief Executive Officer at Ikano Asset Management in
Luxembourg.  From 1985 to 1998 he served as Executive Vice President Finance
at IKEA Group.  Earlier in his career he held various international
executive positions at the Alfa Laval Group, primarily in the United States,
Chemical Bank in the United States and the United Kingdom, and Hoechst in
Finland.

In commenting on the nomination, Dudley Eustace said: "After a rigorous
international search conducted by Egon Zehnder International Management
Consultants, we were fortunate to find exactly the right man for this
challenging position."

Anders Moberg, Acting President and CEO of Ahold, added, "Having worked with
Hannu in the past, I know he will bring to Ahold considerable expertise and
experience in international finance. We need to hit the ground running and,
on behalf of the Corporate Executive Board, we look forward to working
together to rebuild confidence in Ahold."

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
          Homepage: http://www.ahold.com


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N O R W A Y
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PETROLEUM GEO-SERVICES: Posts Details of Proposed Restructuring
---------------------------------------------------------------
Petroleum Geo-Services ASA (OSE:PGS) (Pink Sheets:PGOGY) announced Wednesday
that it has reached an agreement in principle on the terms for a proposed
financial restructuring with a majority of both its banks and bondholders,
and a substantial group of its largest shareholders.  The parties to the
agreement in principle have signed binding agreements to support the
Restructuring on the proposed terms, subject to conclusion of definitive
agreements and documentation and the satisfaction of certain specified
conditions.  These are the key points of the agreement:

     (i) An agreement in principle on the terms for a proposed
         financial restructuring has been achieved with 54% of
         PGS's banks and bondholders and a 20% group of its
         largest shareholders.

    (ii) The proposed agreement involves a rightsizing of the
         Company's debt to a sustainable level -- from
         approximately US$2.5 billion to approximately US$1.2
         billion.

   (iii) Rightsizing of the debt is achieved through conversion
         of the existing bank and bond debt into new debt and a
         majority of PGS's post-restructuring equity.

    (iv) Existing shareholders would be given 4% of PGS's post-
         restructuring equity and the right to acquire shares on
         fixed terms to reach 34% of the equity, subject to
         underwriting arrangements as detailed below.

     (v) Holders of PGS Trust I Trust Preferreds would be given
         5% of PGS's post-restructuring equity.

    (vi) Based on this pre-negotiated agreement in principle,
         the Company is likely to use a U.S. Chapter 11
         procedure, at the Petroleum Geo-Services ASA (parent
         company) level, as the most effective mechanism to
         carry out the Restructuring

   (vii) The Restructuring and proposed implementation process
         would allow PGS operating subsidiaries to continue full
         operations, leaving current and future customers,
         lessors, vendors, employees and subsidiary creditors
         unaffected.

Basis of The Restructuring

The terms of the Restructuring have been designed to:

     (i) Maximize recovery to stakeholders by maintaining the
         value of the combined PGS group;

    (ii) Provide a solid capital structure that supports a
         competitive and industry-leading business;

   (iii) Give the Company a capital structure that is aligned
         with its projected future cash flows;

    (iv) Offer creditors some flexibility in choosing the
         components of their recovery; and

     (v) Allow existing PGS shareholders to retain an ongoing
         economic interest in the business.

The proposed Restructuring is based in part on a business plan for the
present PGS product lines, which is summarized in Annex
A.  The Company now manages its businesses to maximize cash flow.

This change in focus, together with a comprehensive cost reduction program,
has been instrumental in achieving the agreement in principle.  The
Company's balance sheet and equity position post-restructuring, combined
with its current operational performance, will provide a strong basis for
its future operations.

Recovery to PGS stakeholders would be maximized in the proposed
Restructuring, through a balanced ownership structure representing both
present creditors and shareholders.  Post-restructuring, PGS's banks and
bondholders would own 61% of the Company's shares and holders of the
US$144.75 million of PGS Trust I Trust Preferred securities would own 5%.
PGS's existing shareholders would own 34% of the Company shares, which
includes an acquisition of 30% of the total post-restructuring shares that
would otherwise have been allocated to the banks and bondholders, for US$85
million.

The practical implementation of the proposed Restructuring would most likely
be through a court supervised reorganization plan, at the Petroleum
Geo-Services ASA (parent company) level, pursuant to Chapter 11 of the U.S.
Bankruptcy Code.  It is intended that none of the Company's subsidiaries
would be involved in a Chapter 11 proceeding, unless necessary in the
context of the overall Restructuring.  Therefore PGS's day-to-day business
with current and future customers, vendors and employees would remain intact
and claims from vendors, employees and other subsidiary creditors would be
unaffected by the Restructuring as presently contemplated.

The proposed terms have been developed in discussions with PGS's bank
lenders and an ad hoc committee of PGS bondholders, representing a combined
54% of PGS's US$2,140 million senior unsecured pari passu creditors.  In
addition the proposed terms have the support of a Trust Preferred holder,
and the trustee for the Trust Preferreds participated in the discussions
regarding these terms.  The Company has also obtained support for the
Restructuring from shareholders representing 20% of PGS's ordinary shares.

The parties to the agreement in principle have signed binding agreements to
support the Restructuring on the proposed terms, subject to conclusion of
definitive agreements and documentation and the satisfaction of certain
specified conditions.  The binding agreement signed by the parties provides
for any bank debt, bonds or shares sold by the parties to remain subject to
the same binding agreement to support the Restructuring. Furthermore, to the
extent any of these parties purchase additional bank debt, bonds or shares
they have agreed these will also be subject to the binding agreement.

The Company intends for the Restructuring to be completed before year-end
2003, subject to the satisfaction of a number of conditions.  The timetable
is based on a Chapter 11 filing in July 2003, with subsequent court approval
of disclosure materials and creditor and shareholder approvals solicited
thereafter. The conditions to consummation of the Restructuring include,
among other things, the reaching of a final agreement between PGS, its
creditors and shareholders on the detailed terms of the Restructuring, and
the approval by these parties of the Restructuring.  While PGS is confident
that such an agreement will be reached, there can be no guarantee that such
a final agreement will be reached or consummated.  In addition, the parties
have executed a side letter, which would release the parties' obligations in
regards to consummation of the Restructuring under certain defined and
limited circumstances.

Terms of the Restructuring

PGS's US$2,140 million senior unsecured creditors, comprising US$680 million
of bank debt and US$1,460 million of bond debt (the Affected Creditors),
would be entitled to select between two recovery packages in any proportion
(subject to limitations on over/under subscriptions discussed below):

Package A

     (i) US$475 million in an 8-year unsecured senior term loan
         facility, interest at LIBOR + 1.15%, with US$35 million
         annual repayment in semi-annual installments followed
         by a final repayment of US$230 million at maturity
         (Term Loan) if fully subscribed

Package B

     (i) US$350 million of 7-year 10% senior unsecured notes
         (Senior A Notes)

    (ii) US$250 million of 3-year 8% senior unsecured notes
         (Senior B Notes)

   (iii) 91% of PGS ordinary shares as constituted immediately
         post-restructuring after giving shares to the Trust
         Preferreds and current shareholders, as described
         below, reduced to 61% after PGS shareholders acquire
         30% of the total post-restructuring shares for US$85
         million

    (iv) US$85 million of proceeds from the existing
         shareholders acquisition of 30% of PGS's post-
         restructuring shares

The Restructuring would include terms to provide for circumstances in which
Package A is under or oversubscribed. Oversubscription of Package A would
occur if more than US$680 million of Affected Creditors elected for Package
A, and undersubscription if less than US$680 million elected for Package A.

If Package A were undersubscribed, the Term Loan would be reduced and the
amount of Senior A Notes issued would be increased by up to US$400 million.
If Package A were oversubscribed, the Term Loan would be increased by up to
US$712.5 million, while the Senior A Notes and Senior B Notes would be
reduced by specified amounts.

The new debt issued pursuant to Package A and/or Package B is intended to
contain customary covenants to be further negotiated and agreed between the
parties.  In addition, Affected Creditors would receive, upon completion of
the Restructuring, a pro rata share of the cash of the PGS group in excess
of US$50 million at the earlier of 31 October 2003 and the time of
consummation of the Restructuring.  Affected Creditors would also receive a
make whole payment to reflect interest forgone if the Restructuring is
completed after 31 October 2003, and Package A holders would also receive a
percentage of further proceeds in respect to the sale of Atlantis.

Affected Creditors receiving PGS ordinary shares in the Restructuring would
give 5% of PGS's post-restructuring shares to the Trust Preferreds, provided
that the Trust Preferreds vote in favor of the Restructuring.  This will be
implemented through a conversion of the claims of the Trust Preferreds into
ordinary shares.

Affected Creditors receiving PGS ordinary shares in the Restructuring would
give 4% of PGS's post-restructuring shares to existing PGS shareholders,
provided that existing shareholders vote in favour of the Restructuring.  In
addition, and subject to the terms of the underwriting to be provided (as
described below), existing PGS shareholders would be offered the right to
acquire such number of PGS shares that would increase the ownership of such
shareholders from 4% to 34%, of PGS's post-restructuring shares for an
aggregate consideration of US$85 million.  PGS will not receive any of the
US$85 million in proceeds from the existing shareholders acquisition of PGS
post-restructuring shares.

The exercise of this right to acquire 30% of the post-restructuring shares
from the Affected Creditors would be underwritten by the following
significant existing PGS shareholders -- Umoe AS (US$60 million), CGG (US$22
million) and TS Industri Invest (US$3 million).  These shareholders have
agreed to underwrite the entire US$85 million acquisition, subject to the
binding agreement signed by the parties.  The underwriting shareholders
would receive the right to acquire a quarter of the 30% share acquisition in
consideration for providing this underwriting.  PGS's existing shareholders
would therefore have the right to acquire their pro-rata share of the
remaining three quarters of the 30% share acquisition.

Creditors of the PGS group other than the Affected Creditors and holders of
the Trust Preferreds described above would not be affected by the
Restructuring and would therefore retain their existing claims within the
restructured entity upon completion of the Restructuring.  Unaffected
creditors would include PGS trade and subsidiary obligations, PGS Oslo
Seismic Services Ltd. 8.28% Secured Mortgage Notes, PGS capital and
operating lease and UK defeased lease obligations and PGS Multi Client
Services Securitised Preferred Securities.

The composition of the board of PGS will be structured such that the
Affected Creditors who select Package B will be entitled to select a simple
majority of the board members.  Super-majority (66 2/3%) of shareholders
would be required to change board composition for two years following
completion of the Restructuring.  It is intended that Mr. Ulltveit-Moe will
be Chairman of the Board.

PGS intends to continue the listing of its ordinary shares on the Oslo Stock
Exchange and for its American Depository Shares to continue trading on the
U.S. over-the-counter market with a listing in the U.S. as soon as practical
after completion of the Restructuring subject to relevant listing
requirements.  It is intended that PGS new Seniors A and Senior B Notes will
be rated by the major credit rating agencies.

PGS would retain US$50 million of cash in the business post-restructuring.
In addition, the Company would have the right to establish a US$70 million
secured working capital facility.

UBS Limited and ABG Sundal Collier are acting as financial advisers to PGS
Group (as defined below).

Petroleum Geo-Services is a technologically focused oilfield service company
principally involved in geophysical and floating production services.  PGS
provides a broad range of seismic- and reservoir services, including
acquisition, processing, interpretation, and field evaluation.  PGS owns and
operates four floating production, storage and offloading units (FPSO's).
PGS operates on a worldwide basis with headquarters in Oslo, Norway.  For
more information on Petroleum Geo-Services visit http://www.pgs.com

UBS Limited and ABG Sundal Collier are acting for PGS, PGS Exploration (UK)
Limited and PGS Production AS (the PGS Group) in connection with the
Restructuring.

CONTACT:  Sverre Strandenes, SVP Corporate Communications
          Dag W. Reynolds, Director European IR
          Phone: +47 6752 6400
          Suzanne M. McLeod, U.S. IR
          Phone: +1 281-589-7935


PETROLEUM GEO-SERVICES: Restructuring to Result in 'D' Downgrade
----------------------------------------------------------------
Fitch Ratings maintains the Rating Watch Negative status on Petroleum
Geo-Services ASA (PGO) 'C' senior unsecured debt rating and trust preferred
securities.  This follows announcement that PGO has achieved agreement in
principle on the terms for a proposed financial restructuring with a
majority of both its banks and bondholders and a substantial group of its
largest shareholders.  However, restructuring is considered to be an event
of default and the rating of PGO's senior unsecured debt and its trust
preferred securities will be lowered to 'D' upon implementation of the
restructuring.

The parties to the agreement in principle have signed binding agreements to
support the restructuring on the proposed terms, subject to conclusion of
definitive agreements and documentation and the satisfaction of certain
specified conditions.  Based on this pre-negotiated agreement in principle,
PGO is likely to use a U.S. Chapter 11 procedure at the parent company level
to carry out the restructuring.

PGO is a technologically focused oilfield service company principally
involved in two businesses: geophysical seismic services and production
services.  PGO acquires, processes, manages and markets 3D, time-lapse and
multicomponent seismic data.  This data is used by oil and gas companies in
exploration for new reserves, development of existing reservoirs and
management of producing oil and gas fields. In its production services
business PGO owns and operates four FPSOs and operates numerous offshore
production facilities for oil and gas companies to produce from offshore
fields more cost effectively.


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


DAEWOO-FSO: MG Rover, Govt Near Deal Over Firm's Revival
--------------------------------------------------------
Britain's MG Rover and the Polish government have finally reached an
agreement on the future of Zeran-based car manufacturer, Daewoo FSO.

The Warsaw Business Journal did not elaborate on its report, but it cited
Nick Stephenson, deputy head of MG Rover saying: "We are happy with the
course of the negotiations.  The announcement concerning joint decisions is
to be published [Wednesday].  It will be issued by our company and the
Polish State Treasury."

TCR-Europe previously said that negotiations between MG Rover and Daewoo-FSO
have been going on since June.  Among the key points considered in these
talks called for the treasury department, which currently holds a 9.2%
stake, to exchange debt for additional shares.

Daewoo-FSO's financial trouble started when it posted a net loss of PLN2.3
billion in 2000.  General Motors subsequently took over Daewoo, but did not
include the Polish investments in its acquisition.  The American car giant
has offered to hand over intellectual property rights over the Matiz and
Lanos models.

In a recent development, Warsaw Business Journal cited General Motors Poland
Spokesperson Przemyslaw Byszewski saying the company was getting ready to
sell Daewoo cars in Poland.  Detailed information on these plans will be
announced this fall, the report said.

CONTACT:  DAEWOO-FSO MOTOR CORPORATION
          Ul. Jagielloivska 88
          03-215 Warszawa
          Phone: +48-22-676-3955
          Fax: +4822-676-1501
          Homepage: http://www.daewoo.com.pl


PHS STEEL: Rival Bidders Put Finishing Touches on Proposals
-----------------------------------------------------------
Netherlands-based steel-maker LNM and Pittsburgh-based US Steel are now
finalizing their offers for state-owned Polish steelmaker Polskie Huty Stali
(PHS), according to the Financial Times.

The report said that while details of both offers are kept private, it is
believed that both are considering backing their bids with close to US$1
billion to include takeover costs, estimated debts, and future investments.
PHS, one of the largest steel producers in Eastern Europe, has estimated
debts of US$400 million.

Indian entrepreneur Lakshmi Mittal, who manages LNM, refused to comment on
the negotiations, according to the report, but promoted his company as the
"ideal partner."  US Steel, on the other hand, said the acquisition would
help it in its "growth strategy" in the U.S. and central Europe.  Both are
required to present how much they are planning to invest in the company, and
how many employees they wish to retain.

PHS has sales of some US$1.5 billion a year, from about 5.8 million tons of
steel, and employs 20,000 workers.  The possible transaction, which stands
to become one of this year's biggest privatizations in Europe, could also
prove that the Polish government, which is set to enter the European Union
next year, could let private entities manage a key industry.  Some steel
observers, though, caution that Warsaw could still delay a possible sale.


=============
R O M A N I A
=============


MOBIFON HOLDINGS: S&P Assigns 'CCC+' Rating on Unsecured Notes
--------------------------------------------------------------
Standard & Poor's Ratings Services said it assigned its 'B' long-term
corporate credit rating to cellular holding company Mobifon Holdings B.V.
At the same time, Standard & Poor's assigned its 'CCC+' rating to the
company's $230 million senior unsecured notes due 2009. The outlook is
stable.

Proceeds of the $230 million senior notes will be used to make distributions
to Clearwave, which in turn will distribute net proceeds to Telesystem
International Wireless Inc. (TIW) and to Clearwave's minority shareholders.
Amounts received by TIW will be sufficient to fully retire the remaining
principal amount of $173 million on the company's 14% senior guaranteed
notes due December 2003.

The ratings on Mobifon Holdings are analytically consolidated with its
57.1%-owned operating subsidiary Mobifon S.A., its sole holding.  "The
ratings reflect Mobifon's position as the leading cellular operator in
Romania, continuing subscriber and revenue growth, high (more than 50%)
EBITDA margins, and substantial free cash flow after debt servicing at the
operating company level," said Standard & Poor's credit analyst Joe Morin.

The ratings are supported by the strategic support from Vodafone Europe
B.V., which holds a 20% interest in Mobifon S.A., as well as a reasonably
stable economic and political environment in Romania.  These strengths are
offset by relatively high leverage for an operator in a developing country,
substantial foreign currency exposure given all of Mobifon's debt is
denominated in U.S. dollars, and the capital structure, whereby interest
payments on the Mobifon Holding's notes are dependent on dividends or other
shareholder distributions from Mobifon S.A.

Standard & Poor's expects that pro forma consolidated debt for Mobifon will
peak at about $543 million in 2003, consisting of the $230 million Mobifon
Holdings notes; and at the Mobifon S.A. level a senior secured credit for up
to $300 million and a capital lease facility of $13 million.

As at March 31, 2003, $271 million of the $300 million senior secured credit
facility was drawn, however, Mobifon will likely fully draw down the
facility in 2003 to fund capital expenditures.  The facility permits
dividends to shareholders after interest and principal repayments (principal
repayments begin in 2004), and provided Mobifon S.A is in compliance with
all financial covenants, including the maintenance of a minimum cash balance
equivalent to six-months debt servicing on the senior secured credit
facility.  Estimated corporate overhead and interest expense at Mobifon
Holdings is about $32 million-$35 million, requiring minimum distributions
from Mobifon S.A. of $56 million-$60 million, with Mobifon Holdings
receiving 57%-58% of distributions.

The ratings on Mobifon Holding's notes are notched two levels below the
Mobifon corporate credit rating, reflecting the substantial amount of
priority debt at the operating company, Mobifon S.A., level.

The stable outlook for Mobifon reflects Standard & Poor's expectation that
Mobifon will maintain its leading market position in Romania, as well as
continue to grow its subscriber base resulting in growth in revenues,
EBITDA, and cash flows.   The outlook also assumes a relatively stable
economic and political environment for Romania.


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


SAS GROUP: Could Potentially Face Further Competition in Norway
---------------------------------------------------------------
Struggling airline SAS could be facing additional problems before the end of
the year, as Oslo's Gardermoen International Airport plans to lure budget
carrier easyJet to Norway.

OSL marketing chief, Knut Staebekk, told Aftenposten it will send a new
application to easyjet.  Europe's largest budget carrier has been offering
itself to any willing airports.

Aftenposten recalls SAS boss Soeren Belin saying earlier this year that the
entry of a company like easyJet into the Norwegian market would be the
"worst thing possible."  Travelers are apt to prefer easyjet for its low
prices and frequency to major capitals.

"We are prepared for the arrival of new competitors and we wish them
welcome, but that is on the assumption that they will not receive better
conditions than we do," SAS Spokeswoman Siv Meisingseth said.

easyjet Spokesperson Samantha Day said the company had made no decisions
about opening a base in Norway, but if it did, domestic flights would only
begin in the long run.


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


ABB LTD.: Declines to Comment on Possible Deal with Candover
------------------------------------------------------------
ABB Ltd. Spokesman Wolfram Eberhardt neither denies nor confirms reports
that the firm is selling its oil, gas and petrochemical division to U.K.
investment firm, Candover, Agence Telegraphique Suisse said recently.

He confirmed, though, that a sell-off depended on the outcome of the
asbestos suit in the U.S.  The approval of ABB Ltd.'s complex asbestos
settlement in the U.S. could come in the next two weeks, Dow Jones sources
previously said.  The suit is related to ABB's Combustion Engineering, which
produced boilers that were insulated with asbestos.  More than 100,000
people claiming to have come in contact with the cancer-causing fiber have
filed a case against the firm.

ABB plans to use the proceeds of the sale, estimated at up to $1.4 billion,
to pay down its US$8 billion- debt.  Recently, CEO Juergen Dormann said the
firm is holding talks with three potential buyers.


FLEXTRONICS TECHNOLOGY: Swiss Exit to Result in 300 Job Losses
--------------------------------------------------------------
A total of 300 jobs, or more than 90% of the workforce at Flextronics
Technology (Switzerland) GmbH, are to be made redundant, as the company
closes its production site in Solothrun.

A unit of Singapore-based Flextronics International Ltd., Flextronics cited
lack of orders and the ongoing consolidation in the telecommunications
sector as the main reasons for the job cuts, Dow Jones Newswires reported.
Only 30 engineers will retain their jobs in Switzerland.

Flextronics is the leading Electronics Manufacturing Services provider
focused on delivering operational services to branded technology companies.
It provides end-to-end operational services that include innovative product
design, test solutions, manufacturing, IT expertise and logistics.

CONTACT:  FLEXTRONICS TECHNOLOGY (SWITZERLAND) GMBH
          Weissensteinstrasse 26
          CH-4503 Solothurn
          Switzerland
          Phone: +41.32.628.2828
          Fax: +41.32.628.2929
          E-mail: info@flextronics.ch
          E-mail: markus.schulze@flextronics.com (Design)


SWISS INTERNATIONAL: Sees Grave Consequences in Court Ruling
------------------------------------------------------------
The court of arbitration has rejected the SWISS PILOTS' demand that, in the
event of job cuts, all former Swissair pilots should be made redundant
before the first former Crossair pilot can be dismissed, Swiss said in a
statement.

In a decision issued on June 17, 2003, the court of arbitration rejected the
application by SWISS PILOTS that, if the fleet is reduced and pilots
dismissed, all former Swissair pilots working on European and long-haul
routes should be the first to go, even if 50 to 100-seater regional aircraft
are grounded.  The court also rejected an application by SWISS to the effect
that if aircraft in the regional fleet are grounded, former Crossair pilots
working on these aircraft would be dismissed and conversely, if aircraft
serving big European and long-haul routes are taken out of service, former
Swissair pilots will lose their jobs.

The court of arbitration ruled that if aircraft are grounded and pilots have
to be dismissed, a proportional zipper system will come into play.  This
ruling will have very serious consequences for SWISS should it acquire legal
validity.  The zipper system will cause substantial additional costs and
will rob SWISS of any possibility of executing the planned fleet reduction
on the basis of economic criteria, or of fully exploiting the savings
potential associated with the reduction.

SWISS intends to discuss the consequences of the ruling with the pilots'
unions.  SWISS will be holding a media conference at its head office in
Basel on Tuesday, June 24, at 2 p.m. to explain the forthcoming
restructuring and the consequences of the ruling by the court of
arbitration.

CONTACT:  SWISS
          Corporate Communications
          P.O. Box, CH-4002 Basel
          Phone: +41 848 773 773
          Fax: +41 61 582 3554
          E-mail: communications@swiss.com
          Homepage: http://www.swiss.com


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


ABBEY NATIONAL: Issues Trading Statement for First Four Months
--------------------------------------------------------------
Abbey provided this summary of business and financial trends based on
results for the first 4 months (unless otherwise stated):

At the presentation of the 2002 full year results on February 26, 2003, we
announced our move towards a 'pure-play' focus on UK personal financial
services, with businesses outside this remit to be managed for value and
capital release in the Portfolio Business Unit.  The task of re-engineering
and revitalizing the personal financial services operations is a significant
one that we expect to accomplish over the next three years.  Whilst a good
start has already been made, and asset sales in the PBU are running ahead of
target, the task ahead remains considerable.

A full update on the implementation of the new strategy and the detailed
disclosures made with the 2002 full year results will again be provided at
the interim results, and in some key areas supplemented.

Highlights from the statement:

(a) Implementation of the new strategy is progressing to plan.
    We are also on track to deliver gross cost savings in excess
    of GBP200 million annualized by the end of 2005;

(b) Two Board level appointments have been made, completing the
    Executive Director team;

(c) Asset sales from the Portfolio Business Unit are running
    ahead of target, bringing forward associated risk reduction,
    capital ratio improvement and loss recognition;

(d) PFS trading profit before tax is running circa 10-15% below
    a proportionate amount of the pro forma figure given in
    February for 2002 as a whole.  This is consistent with
    guidance previously provided. Certain additional charges
    relating, inter alia, to the cost program are expected as
    described herein;

(e) With the exception of significantly lower investment sales,
    personal financial services new business flows remain
    robust, with mortgage lending running at levels well ahead
    of the comparable period last year; and

(f) Personal financial services credit quality remains very
    strong.

Portfolio Business Unit

Excellent progress has been made in reducing asset balances in the Portfolio
Business Unit portfolios and at a pace ahead of plan.  As at the end of May,
asset balances had been reduced from GBP60 billion at the year-end to around
GBP33 billion, a reduction approaching 45%, and equating to a broadly
comparable reduction in risk weighted assets.

Substantial losses on asset sales (charged against income) have been
recorded at levels consistent with "mark-to-market" disclosures at the 2002
full year results.  New provisioning in the Wholesale Bank is running lower
than the first half of last year.  Other charges resulting from cost
elimination and business closures should also be anticipated.  A minority of
the Portfolio Business Unit losses will not be fully tax-deductable.

Given this faster than expected reduction in asset balances to date across
the Portfolio Business Unit, there will be a corresponding impact on the
overall Portfolio Business Unit losses expected in 2003, reflecting the
realized cost on sale, and the reduced pre-provisions income expected from
lower asset levels.  Overall, while speed of risk reduction is improved, the
likely range of cost for exiting the Portfolio Business Unit has not changed
materially as improved areas are largely offset by declines in other parts.
Until the Portfolio Business Unit assets are substantially eliminated, there
will inevitably be uncertainty as to the eventual cost of exit.

Subject to market conditions, we remain confident of a meaningful capital
release from the Portfolio Business Unit wind-down.  The extent to which
reinvestment in the personal financial services business is required will be
influenced significantly by Basel II, International Accounting Standards and
related regulatory and accounting changes currently being developed
industry-wide.

Wholesale Bank

Wholesale Bank asset portfolios have been reduced across all credit rating
bands and most sectors, with a substantial reduction in single name risk
concentrations.

In particular, reduction of the debt securities portfolio has been
prioritized, which as at the end of May was over 60% lower than the December
closing position.  Within this category, good progress has been made in
reducing the large portfolio of Collateralized Debt Obligations structured
assets, despite this being a relatively illiquid market.  The most
problematic areas have been in direct and Asset Backed Securities repackaged
exposure to airline leases, which appear more challenged today than at the
time of the year-end results, and to US and UK power project loans.

Details on the remaining unrealized mark-to-market deficit of the debt
securities portfolio and on outstanding exposures across different
portfolios will again be provided at the interim results.

First National

The sale of the consumer and retail finance businesses to GE Capital was
completed in April, reducing assets by GBP4.8 billion and realizing a
surplus to net tangible assets (after costs) of around GBP200 million.
Goodwill associated with these businesses was written down in 2002 to a
level in line with the proceeds expected from the transaction, resulting in
minimal profit and loss impact from the sale in 2003.  However, the sale
completion does meaningfully strengthen the cash and capital position of
Abbey National.

In May, the decision to close First National Motor Finance to new business,
and wind down the existing book was announced.  Most of this will be
accomplished over the next 2 1/2 years.  Before restructuring costs a modest
trading loss is expected during the run-down.

International Life Businesses and European banking

The Scottish Provident Ireland and Scottish Mutual International life
operations are now effectively closed to new business. Options for
accelerating capital return will be explored during coming months, together
with any actuarial impacts on current embedded value.

Plans in relation to the mortgage businesses in France and Italy are well
underway.

Personal Financial Services - Financial and Business Update

Personal financial services trading profit before tax is running circa
10-15% below a proportionate amount of the pro forma figure given in
February for 2002 as a whole, largely reflecting reduced operating income.

The reduction in operating income is consistent with issues highlighted in
the full year results and AGM statements.  These included the impact of the
2002 embedded value re-basing and a fall in investment new business.  In
addition, higher interest expense relating to capital hedging, and a further
narrowing of the retail banking spread was flagged--now expected to be at or
a little below 1.60% for the first half (2002 Half 2: 1.75%), impacted by
strong new lending and re-mortgaging changing the mix of the mortgage book,
and putting pressure on the asset spread, and lower interest rates more
generally.

Costs on a trading basis across the personal financial services business are
running at levels below the second half of last year.  This means that cost
savings already in place largely offset normal cost inflation, as well as
additional cost increases such as those relating to pension fund
contributions.

Gross and net mortgage lending is on track to deliver growth of around 40%
and 60% respectively on the first half of last year (excluding the impact of
the disposed First National businesses).  This is not at the expense of
credit quality, with lending over 90% of loan to value (LTV) and the overall
average LTV on new business both currently running below 2002 levels.
However, redemptions are also running at significantly higher levels,
impacting net market share and reducing the proportion of 'free-to-go'
standard variable rate asset.

Credit quality remains strong, with further reductions in 3 month plus
arrears cases.

New business sales in terms of bank account, credit card, and general
insurance remain robust.

As flagged in the AGM statement, investment sales are running substantially
lower than 2002 levels.  This reflects the volatile equity market conditions
and associated investor confidence, and our withdrawal from the manufacture
of with-profits products, currently only marginally offset by sales of the
Prudential Bond through the branch network.  Excluding the with-profit
product, annualized premium equivalents of sales to the end of May are
running circa 25% lower than the same period in 2002, with reduced pension
and investment sales at lower margins partly offset by strong protection
sales despite pricing turbulence and reinsurance margin pressures in this
segment.

Substantial internal work is underway to make major front-to-back changes to
the investment product range and their sales channels, and to achieve
improved alignment of Abbey National's broad competencies in this area.  As
fundamental change works through the whole industry, we are focusing hard on
positioning Abbey National well for the future in these areas.

The ongoing Treasury Services businesses are performing well in aggregate.

Excluded from the trading profit guidance above are a number of additional
charges that will be made.  These, inter alia, will reflect investment
variances in the life funds (dependent on market levels and review of
actuarial assumptions) and current period restructuring / cost program
expenses. Certain adjustments relating to previously capitalized project
costs and the Scottish Provident contingent loan are being evaluated.

Personal Financial Services - Strategic Update

The re-engineering and revitalization of the personal financial services
businesses represents a significant strategic and organizational change, and
is expected to take 3 years to implement.  At the full year results
announcement, priorities for 2003 were highlighted, against which good
progress can be reported:

(a) The new organizational structure representing a fundamental
    change to a 'one company' functional model is now fully
    operational;

(b) A substantial reorganization of our customer-facing branch
    staff has been effected, which will be integral to the new
    service and advice model that is being tested.  This
    includes plans to increase customer facing staffing levels
    by around 450 full time equivalents which are being
    implemented;

(c) New Customer Relationship Management software (One on One)
    is in the initial roll-out stage, aimed at improving the
    customer experience and our ability to identify and meet
    their needs;

(d) Significant projects are underway to upgrade telecoms and IT
    systems capabilities across the branch network; again, an
    enabler to expanding customer business;

(e) Initial closures and consolidation of operational sites are
    in progress, including the Manchester and Didsbury
    operations, and transfer of Inscape operations from
    Billericay to Glasgow;

(f) Cost savings are on track to exceed GBP200 million (gross)
    of annualized savings at the end of 2005 as targeted;

(g) Two new Board level positions have been created and
    subsequently filled with external appointments, Angus Porter
    will join as Customer Propositions Director in July and
    Priscilla Vacassin joined as Human Resources Director in
    June; and

(h) Substantive work is ongoing, with important new initiatives
    expected to be unveiled in the second half of the year
    focusing on driving customer activity forward.

A more comprehensive update will be provided at the interim results.

Luqman Arnold, Group CEO, said: "Our new strategy was presented with the
2002 results announcement in February of this year.  I am pleased to note
that our actions to deliver that strategy are on track overall and even
ahead of schedule in the Portfolio Business Unit.  We are clear that huge
challenges remain, with root and branch change required to deliver the Abbey
National of which customers, staff and shareholders can be proud.  There are
no short cuts to this work and 2003 is very much about putting in place the
foundations and establishing clarity on the financial start point.
Nevertheless, work is continuing apace and the impact of changes will become
more visible by the time the 2003 full year results are presented."

Future diary dates:

2003 Interim Results                            July 30, 2003
2003 Full Year Preliminary Results Announcement Feb. 26, 2004

CONTACT:  ABBEY NATIONAL
          Thomas Coops, Director of Communications)
          Phone: 020 7756 5536
          Jon Burgess, Head of Investor Relations
          Phone: 020 7756 4182
          E-mail: investor@abbeynational.co.uk


AMEY PLC: Chief Executive Vows to Expand Scottish Operations
------------------------------------------------------------
Troubled engineering group, Amey Plc, which was recently taken over by
Spanish construction firm Ferrovial, vowed to expand its operations in
Scotland.

Amey CEO Mel Ewell told The Scotsman they are a "key player" in the Scottish
market.  He said the group will be "investing a lot of time, money and
energy to grow the existing business."

The group currently employs 1,400 staff in Scotland and has maintenance
contracts for about half of the trunk roads, The Scotsman said.  It sold its
stake in the Edinburgh and Glasgow school building and maintenance PFI
Portfolio in January, but continues to provide cleaning and IT services to
them.

Shares in Amey went down more than 90% in 2002 as investors gradually lose
confidence in the company.  The drop in share value resulted to the
resignation of former CEO Brian Staples in December.  Two finance directors
of the company also departed from the board, further aggravating the
situation.

The company issued several profit warnings and changed its accounting for
contract bidding costs.  The latter turned an underlying profit of GBP55
million in 2001 into a GBP18.3 million loss.  Early this month, Ferrovial
acquired Amey through a tender offer of GBP81 million.

CONTACT:  AMEY PLC
          Sutton Courtenay
          Abingdon, Oxfordshire OX14 4PP, United Kingdom
          Phone: +44-1235-848-811
          Fax: +44-1235-848-822
          Homepage: http://www.amey.co.uk


AMP LIMITED: Raises only AU$96 Mln from AU$500 Mln Share Issue
--------------------------------------------------------------
AMP announced Wednesday details of its Share Purchase Plan, which forms part
of the capital raising for the proposed demerger of the company.  Under the
Share Purchase Plan, approximately 29,000 eligible shareholders subscribed
for around AU$96 million worth of shares out of a total underwritten issue
size of AU$500 million.

AMP will raise the full AU$500 million as the Share Purchase Plan is
underwritten by UBS.  In terms of the underwritten shortfall, AMP has been
advised by UBS that it has received quality demand, in excess of the
shortfall, from a broad range of domestic and international institutional
investors.

AMP CEO Andrew Mohl said AMP had raised a total of AU$1.72 billion to
facilitate the proposed demerger of the company, announced on May 1, 2003.
He said AMP had included the SPP as part of its capita-raising to ensure
equity for retail shareholders.

"We have a large retail shareholder base, reflecting AMP's demutualization
five years ago, and we felt it was important that these holders were
provided with the opportunity to participate in the capital raising
following the institutional placement," Mr. Mohl said.

The pricing period for the SPP will commence on June 23, 2003 and close on
July 11.  The final price that shareholders will pay for shares will be
announced on July 14, 2003.  Ordinary shares under the SPP will be offered
at the lower price of:

(a) AU$5.50 (the price at which institutional investors
    subscribed for shares under the recent institutional
    placement); or

(b) A 5% discount to the average market price of AMP shares
    calculated during the pricing period.

CONTACT:  AMP LIMITED
          Level 24, 33 Alfred Street
          Sydney NSW 200 Australia
          ABN 49 079 354 519
          Contact: Mark O'Brien
          Phone: 9257 7053


AWG PLC: Lone Bidder Fails to Come Up with Offer at Deadline
------------------------------------------------------------
Bream Investments, which struggled at the last minute to find funding for a
planned takeover of AWG, missed the deadline to offer the bid on Wednesday.

Star Capital Partners, which is backing the consortium together with
Caxton-Iseman Capital, said in a statement, in behalf of the group, that it
had not been "possible to formulate a definitive proposal with regard to an
offer for AWG on terms acceptable to the company."

The backers were understood to have agreed to provide up to GBP200 million
in equity leaving another GBP800 million of debt to be raised.  WestLB was
supposed to offer its support, but it withdrew seven days before the
deadline for the submission of bidding.

The failure bars it and its private equity backers, under panel rules, to
participate again in the bidding for at least six months; although this
condition might be waived if a rival offer emerges or they win the support
of the AWG board, according to the Financial Times.

In April, the consortium made an indicative offer to AWG, owner of Anglian
Water, of up to 545p, valuing the group at just under GBP1 billion.  But AWG
rejected this as "too low."

Star, Caxton and Bream declined to comment on whether they might return to
bid for AWG, according to the report.   No other potential bidders have
since surfaced for the business, which has water interests outside the UK,
and is also involved in construction, and property and management.  Analysts
say AWG is more attractive for its break-up value.  Merrill Lynch estimates
the company's sum-of-parts valuation at 813p a share at the end of March.

Members of Bream include Francis Gugen, a former Anglian Water executive and
Gordon Morrison, a former board member of Morrison construction group.


BLOOMS OF BRESSINGHAM: Attracts Takeover Interest from Rival
------------------------------------------------------------
Edinburgh-based garden center operator, Dobbies, which is currently looking
for acquisitions, is interested in bidding for loss-making rival Blooms of
Bressingham, according to The Scotsman.

Blooms of Bressingham, based in Gloucestershire, is trimming its 12-centre
portfolio to reduce long-term losses.  The chain reported a loss of
GBP253,000 in the year to end-January from GBP1 million a year earlier.
Like-for-like sales were up 7% from January to May.  In March, Blooms told
the Stock Exchange it was exploring possible takeover transactions with
unnamed parties.

Recently, a spokesman for Blooms confirmed talks were ongoing with "a number
of parties."  There are more than two groups interested to either acquire
the business or provide cash injection.  He promised to update shareholders
of any development at the company's annual general meeting in July, though
an announcement could already be made before that date.

According to him, the move to sell the asset, which is included in the
category of small and underperforming businesses, could increase the value
of the group.  Shares in Blooms are trading at 33p.

As for Dobbies, the transaction would almost double its size.
Seymour & Pierce retail analyst Richard Ratner, while affirming the possible
deal, said the talks are still far from certain.

He also warned: "Since Blooms' promising financial improvement was announced
in May, the board will be looking to attract a top-dollar bid.  I don't know
if Dobbies will risk a serious amount of cash."


BRITISH AMERICAN: To Close Darlington Factory Next Year
-------------------------------------------------------
British American Tobacco said operating companies in the U.K. and Canada
have announced proposals to restructure their businesses.  In the U.K., it
is proposed that the Darlington factory closes by the end of 2004 and
cigarette manufacturing be consolidated at the larger Southampton plant,
resulting in the loss of some 490 jobs.

About 90 percent of output from the two U.K. factories, including Dunhill,
State Express 555 and Rothmans International brands, is exported outside the
European Union.  However, production volumes have been transferring overseas
as a result of an increasing trend towards local manufacture in key markets
including South Korea, Russia and Nigeria, and relatively higher
manufacturing costs in the U.K.

The Group's subsidiary Imperial Tobacco Canada plans a major restructure,
with the loss of almost 840 jobs, in order to maintain its leadership
position in the tobacco industry despite a reduction in sales, the steady
decline in total industry volume and the resulting overall industry
over-capacity.  The company makes leading brands such as Player's and du
Maurier.

The principal changes, which will occur largely by the end of 2003, include
the closure of its Montreal factory and transfer of production to its other
Canadian facilities, as well as the closure of its leaf threshing operations
at Aylmer, Ontario.

Restructuring of Montreal head office will be completed by the end of 2004.
Paul Adams, British American Tobacco's Managing Director, commented: "We
very much regret job losses, especially when our people contribute so much
to the Group's success. However, we are committed to improving productivity
in order to strengthen our competitive position in the world, deliver profit
growth, and ensure the continued long-term success of the Group."

Appropriate consultation and discussions with employees and trade unions
will be held in both countries.

The plans will create an exceptional charge of around GBP 320 million in the
first half of 2003 for redundancies and asset write-downs.  Annualized cost
savings of around GBP 65 million are expected from 2005.


BULLOUGH PLC: Tobull Takeover Offer Now Unconditional
-----------------------------------------------------
On May 13, 2003, Tobull (a wholly owned subsidiary of Montpellier) published
an offer document containing details of a recommended increased cash offer
made by Rowan Dartington & Co.  Limited on behalf of Tobull to acquire the
whole of the issued and to be issued ordinary share capital of Bullough,
other than the 15,876,318 Bullough Shares already owned by Tobull,
representing approximately 29.85% of the issued share capital of Bullough.

As of 3:00 p.m. on June 17, 2003, the second closing date of the Increased
Offer, Tobull had received valid acceptances of the Increased Offer in
respect of 29,282,402 Bullough Shares, representing approximately 55.07% of
Bullough's issued share capital.  These figures include all of the 609,742
Bullough Shares in respect of which Tobull received irrevocable undertakings
from the Independent Directors to accept the Increased Offer.  Tobull
therefore either owns or has received acceptances in respect of a total of
45,158,720 Bullough Shares, representing approximately 84.93% of the issued
share capital of Bullough.  As such the board of Tobull is pleased to
announce that the Increased Offer is wholly unconditional.

The Increased Offer will remain open for acceptance until further notice.
Tobull has now requested that Bullough cancels the listing of Bullough
Shares on the Alternative Investment Market.  An announcement by Bullough
regarding the cancellation is expected to be made shortly.

On receipt of valid acceptances in respect of not less than 90% of the
Bullough Shares, which are the subject of the Increased Offer, Tobull
intends to apply the provision of sections 428 to 430F of the Companies Act
to acquire compulsorily any Bullough Shares in respect of which valid
acceptances have not been received.

Save as disclosed herein, neither Tobull nor any party deemed to be acting
in concert with Tobull holds, has acquired or has agreed to acquire any
Bullough Shares during the Offer Period and no acceptances of the Increased
Offer have been received from persons deemed to be acting in concert with
Tobull.

This announcement, for which the directors of Tobull are responsible, has
been approved for the purpose of section 21 of the Financial Services and
Markets Act 2000 by Rowan Dartington & Co. Limited.

Rowan Dartington & Co. Limited, which is regulated by the Financial Services
Authority, is acting as financial adviser to Tobull and no one else in
relation to the Increased Offer and will not regard any other person as its
customer or be responsible to anyone other than Tobull for providing the
protections afforded to customers of Rowan Dartington & Co. Limited nor for
providing advice in relation to the Increased Offer.

Bullough Shareholders who wish to accept the Increased Offer, who have not
yet done so, should return the Form(s) of Acceptance (for certificated
Bullough Shares) or send a TTE instruction (for uncertificated Bullough
Shares) as soon as possible.

Unless the context otherwise requires, words and expressions defined in the
Offer Document shall have the same meaning in this announcement.

CONTACT:  Ralph Baber, Tobull Limited
          Phone: 0207 522 3211
          Paul Sellars, Montpellier Group plc
          Phone: 0207 522 3200
          John Wakefield, Rowan Dartington & Co. Limited
          Phone: 0117 933 0020


CABLE & WIRELESS: Sells Domestic Business In Germany to Arques
--------------------------------------------------------------
Cable & Wireless, the global telecommunications group, on Wednesday
announced it has completed a transaction to sell parts of its domestic
business in Germany to Arques (Schweiz) AG, a private equity company
focusing on investments in special situations such as corporate turnarounds.
The Arques group holds a significant stake in Versatel Deutschland Holding,
one of the largest fixed network operators in Germany, headquartered in
Stuttgart.

The disposal is part of Cable & Wireless' strategy to focus its activities
on multinational enterprises and service providers in continental Europe and
to withdraw from providing domestic only services.  Cable & Wireless retains
offices in Munich, Dusseldorf, Frankfurt and Hamburg and its data centre in
Munich as well as network and operations in Germany to serve strategic
customers with a full portfolio of end-to-end business information and
communications solutions.  All voice, data and IP (internet protocol)
services for this strategic customer base will be unaffected by this
disposal.  In addition, Cable & Wireless will work closely with Arques to
ensure a seamless service to the business customers affected by the
transaction.

"This disposal is the latest in our divestment program to achieve a
responsible exit from the domestic business in continental Europe.  This is
about allowing us to focus on providing services to our core customers,"
said Robert Drolet, CEO continental Europe, Cable & Wireless.  "We look
forward to a close working relationship with Arques and to ensuring a smooth
transition for customers and employees."

The disposal of parts of the German business follows sales of Cable &
Wireless' domestic businesses in Belgium, Sweden, the Netherlands,
Switzerland and Italy.  The value of the net assets of the German business
being sold is approximately EUR2 million. Other transactions are
contemplated to complete the withdrawal from non-core activities announced
in November 2002.

Within continental Europe, Cable & Wireless is focused on serving
multinational enterprises and service providers, such as Heinz, Royal Dutch
Shell, Diesel and Vodafone, providing IP, data and wholesale voice services
on an international basis.   Cable & Wireless also supplies IP transit to
major telecommunications operators in virtually every European country,
including nearly two thirds of European incumbents.

About Cable & Wireless

Cable & Wireless is one of the world's leading international communications
companies.  It provides voice, data and IP (Internet Protocol) services to
business and residential customers, as well as services to other telecoms
carriers, mobile operators and providers of content, applications and
Internet services.

Cable & Wireless' principal operations are in the United Kingdom,
continental Europe, the United States, Japan, the Caribbean, Panama, the
Middle East and Macau.

About Arques (Schweiz) AG

Arques (Schweiz) AG is a leading private equity investor focussing on
special situation transactions. Special situations include turnarounds,
insolvencies, corporate restructurings and family business succession.  Over
the last 12 years, the Arques-management has conducted over 30 successful
transactions in Germany, Austria and Switzerland.

CONTACTS:  CABLE & WIRELESS
           Peter Eustace
           Phone: +44 (0)20 7315 4495
           Ed Knight
           Corporate Communications Manager
           E-mail: ed.knight@cw.com
           Phone: +44 20 7315 6759
           Fax: +44 20 7315 5052

           Nicola Porter
           Phone: +44 (0)20 7315 4031

           KAFKA KOMMUNIKATION
           Ursula Kafka
           Phone: +49 (0)8152 999 840

           (SCHWEIZ) AG
           Dr. Rudolf Boos, Arques.
           Phone: +41 41 7693 101


CABLE & WIRELESS: Former CEO Accepts Severance Package
------------------------------------------------------
Cable & Wireless announced Wednesday that it has reached an agreement with
Graham Wallace on the terms of his departure.  Mr. Wallace resigned from the
Board on April 4, 2003, remaining available for a period to support the
Chairman and the new Chief Executive Officer.  His employment termination
date will be July 20, 2003.

Mr. Wallace has agreed to waive a significant proportion of his contractual
entitlements.  Accordingly he will receive a cash payment of GBP387,500,
equivalent to six months' salary, in lieu of notice.  To allow for the
possibility of further mitigation, this amount will be spread over six
monthly payments following his employment termination date.  He will also
receive additional pension credit, equivalent to fourteen months'
pensionable service, the capital value of which is GBP500,000.  He will
receive no payment under any of the Company's short term or long-term
incentive plans.

Graham Wallace's contract, dating from his appointment as Chief Executive of
Cable & Wireless Communications on January 21, 1997, included a notice
period of 2 years.  At March 31, 2003, the unexpired term of his service
contract was one year and ten months.

Richard Lapthorne, Chairman of Cable & Wireless, said: "We have reached a
rational settlement with Graham Wallace which is sensible for both parties."

CONTACT:  CABLE & WIRELESS
          Investor Relations
          Louise Breen
          Phone: 020 7315 4460
          Virginia Porter
          Phone: 001 646 735 4211


CHUBB PLC: United Technologies Cash Offer Already Available
-----------------------------------------------------------
United Technologies Corporation announces that the formal offer document
containing the recommended cash offer for the entire issued share capital of
Chubb plc announced on June 11, 2003, made outside the United States by UBS
Limited and J.P. Morgan plc on behalf of Ceesail Limited, a wholly owned
subsidiary of UTC, and in the United States by the Offeror, has been posted
on Wednesday.

Forms of Acceptance should be completed, signed and returned in accordance
with the instructions set out in the offer document and in the form of
acceptance, so as to be received as soon as possible and, in any event, not
later than 3:00 p.m. on July 9, 2003.  Any extensions of the Offer will be
publicly announced by 8:00 a.m. (London time) on the business day following
the day on which the Offer was due to expire.

The Offer in the United States is made solely by the Offeror, and neither
UBS Investment Bank nor JPMorgan (nor any of their respective affiliates) is
making the Offer in the United States.

The UTC Directors and the Offeror Directors accept responsibility for the
information contained in this announcement.  To the best of the knowledge
and belief of the UTC Directors and the Offeror Directors (who have 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.

Each of UBS Investment Bank and JPMorgan is acting for UTC and the Offeror
and no one else in connection with the Offer and will not be responsible to
anyone other than UTC and the Offeror for providing the protections offered
to clients of UBS Investment Bank and JPMorgan (as the case may be) nor for
providing advice in relation to the Offer.

This announcement does not constitute an offer to sell or an invitation to
purchase any securities or the solicitation of an offer to buy any
securities.


CORUS GROUP: Announces Restructuring of Narrow Strip Operations
---------------------------------------------------------------
Corus Construction and Industrial announces a restructuring of its narrow
strip operations, aimed at enhancing the competitive position of each.  The
restructuring will create two strong businesses for hot-rolled and
cold-rolled narrow strip, each with a cost base redesigned for the
anticipated future business environment, and each capable of delivering high
standards of product specification, quality, and service.

It involves the concentration of all Narrow Strip Cold Rolling operations on
the Brinsworth site at Rotherham in South Yorkshire, and closure of the
Firsteel Cold Mill and Service Centre, located in Tipton, West Midlands.  A
small slitting operation to guarantee the service needs of Firsteel Cold
Rolled and Service Centre customers will, however, be maintained in the West
Midlands area, initially on the Firsteel site.

The restructuring also involves downsizing the Brinsworth Hot Mill and Hot
Rolled Processing to match the anticipated level of future demand.  The
reorganization will result in a manning reduction of 102 on the Firsteel
site and of 34 on the Brinsworth site.

A spokesman for Corus said: "The current operating losses of both the
Firsteel and Brinsworth businesses are significant and unsustainable.  This
restructuring, although regrettable, is necessary in order to reduce costs
and to secure a viable business for the future."

Full consultation will take place immediately with the Trade Unions and
employees concerned, and a comprehensive counseling and outplacement program
will be provided to assist the employees affected.  It is anticipated that
the closure of the Firsteel Cold Mill and the rationalization of the Hot
Mill will be complete by end of December 2003.


GLAXOSMITHKLINE PLC: Deloitte Talks to Investors Over Exec Pay
--------------------------------------------------------------
Advisers of GlaxoSmithKline, Deloitte & Touche, met with shareholders anew
to discuss a new pay package for the pharmaceutical company's executives.

According to the Financial Times, the advisers explained the rationale
behind the existing policies.  The presentation touched on remuneration
policy for all senior executive, though it is understood most of the
discussions pertain to chief executive Jean-Pierre Garnier's pay package.

The pharmaceuticals company confirmed the "introductory" meetings took
place.  It hopes to finalize the new plan in the summer for submission to
the remuneration committee.  Shareholders previously rejected an earlier
version of the pay package.  About 63% of votes cast on GSK's remuneration
report during an annual meeting were either against or abstentions.

The rejection, though, is not considered binding as remuneration reports are
only subject to advisory votes.  But the dissent on the matter is feared to
potentially brew an even stronger investor action, according to the report.


GOLDSHIELD GROUP: Says Annual Results Below Expectations
--------------------------------------------------------
Drug retailer Goldshield issued its second profit warning since the
beginning of the year, blaming deterioration in the US healthcare market and
"even higher than anticipated costs" for its difficulties.

It said earnings before tax, interest and amortization for the 12 months to
March 31 would be "slightly below expectations."  The group also expects to
write down the carrying value attributable to goodwill by up to GBP5 million
and book it as an exceptional charge.

Goldshied issued a profit warning in March.  It was kicked out at the same
period from the FTSE4Good ethical indices for not meeting enhanced
environmental criteria.  Marring its reputation further is the GBP28
million- lawsuit brought against it and two other generic medicine makers by
the Department of Health.  It was also subject to a separate criminal
investigation with five other companies.

Shares in the drug company went down to an all-time low of 115p in March.
The recent profit warning pushed the shares down 43½ p to 169p in late
Wednesday morning trade in London but recovered to 180p by early afternoon,
according to the Financial Times.


INDIGOVISION GROUP: Posts Third Quarter Performance Update
----------------------------------------------------------
IndigoVision Group released these third quarter financial highlights:

(a) Revenues increased 14% on Q2 at GBP0.48 million

(b) Nine month revenues GBP1.2 million (2002: GBP1.8 million)

(c) Operating overhead reduced 13% on Q2 at GBP1.26 million

(d) Cash burn reduced 23% on Q2 at GBP 1.0 million, ahead of
    expectation

(e) Gross margin 46%

(f) Cash return of 17p per share completed

Third quarter operational highlights:

(a) Supply agreement concluded with new European CCTV
    manufacturer

(b) First three deployments of MPEG4 concluded

(c) Recent installations showing significant cost advantage over
    competition

(d) Prestige university reference site completed at Jesus
    College, Cambridge

Oliver Vellacott, Chief Executive Officer, said: "Following our planned
change of business model from technology licensing to being a product
business we are starting to see some revenue growth.  This, combined with
our continued focus on cost reduction, is moving IndigoVision steadily
towards breakeven."

To View Full Report and Financials:
http://bankrupt.com/misc/INDIGOVISION_GROUP.htm

CONTACT:  INDIGOVISION
          Oliver Vellacott (CEO)
          Phone: 0131 475 7200


IQ LUDORUM: Chairman Admits Failure to Turnaround Business
----------------------------------------------------------
IQ Ludorum Chairman William L. Holt issued this statement recently:

One year ago I predicted that 2002 would be a challenging year. Our primary
goals were revenue growth and profitability -- twin goals, which we did not
achieve.

For the year ended December 31, 2002, IQ-L's turnover amounted to $5,878,000
versus $6,037,000 for 2001. Expenses of $11,259,000 ($12,169,000 in 2001)
resulted in a loss before depreciation, amortization, interest and taxes of
$5,381,000 ($6,132,000 in 2001).  Non-cash charges amounted to $2,104,000
resulting in an operating loss on ordinary activities before taxation of
$7,447,000 ($7,644,000 in 2001) and a loss on ordinary activities after
taxation of $7,468,000 ($7,667,000 in 2001).  This resulted in a loss per
share of 9.34 cents (9.59 cents in 2001).

Management initiated a significant cost reduction program during the year
with the closing of the Company's Edmonton (Canada) facilities as well as a
general reduction of general and administrative overheads.  Overall
operating expenses were reduced by 55% between December 2001 and December
2002.

Capital expenditures during the year amounted to $438,000, principally on
computer equipment for development.

IQ-L ended the year with net funds of $826,000.

In 2002, IQ-L enjoyed its most successful NFL football season - evidenced by
the following quote from David Carruthers (CEO of Betonsports, our largest
customer): 'IQ-L delivered what they promised for our 2002 NFL season.  We
had an uninterrupted season, and the stability of the Sportstech and casino
software was one of the main contributors to our continued growth. We are
looking forward to continuing the valuable partnership with IQ-Ludorum.'

During 2002 there was a significant consolidation of the offshore gaming
market and a higher than anticipated level of turnover in our client base.

However, we did manage to add 22 new customers to our client base having
lost 12 and our professional services team made over 50 installations of
various products.

In the first 5 months of 2003, the Company's cost reduction program
continued.

Our Costa Rican office has been reduced significantly without prejudicing
the quality of services to clients. As a result of these various cost
reduction initiatives, our monthly expenses rate has continued to decline
from 2002 levels.

In order to focus only on costs related to direct and immediate revenue
generation - IQ-L has sold its Indian operation and the UK consulting
division.

As an integral part of this sales agreement, IQ-L has secured access to the
Indian and UK software activities on an 'as needed' basis.

By the end of 2002 our geographical expansion included first revenues from
Mexico, the Dominican Republic, and Venezuela (which despite that country's
economic problems is producing encouraging first results for us), and our
new horse racing and EPOS products made revenue contributions of $92k and
$102k respectively.  In early February the Panamanian government approved
the registration of IQ-Ludorum as the first formally approved supplier of
software for the interactive gaming industry in that jurisdiction.

In early May we signed our first contract in Argentina to supply an on-line
casino and we continue to add significantly to our EPOS user base in Central
America.

We had expected our kiosk program to be generating revenue from Brazil in
the fourth quarter of 2002.  This did not happen, due to a realignment of
the funding arrangements of our primary Brazilian partner.  We remain
confident that the Brazilian kiosk initiative will generate 2003 revenue for
your Company, and lead to other worldwide opportunities for the casino kiosk
product range.

Legislatively - the Internet based gaming industry continues to experience a
degree of uncertainty both in the U.K. and in the USA.  The 'hoped for'
legislation, allowing on-line casino gambling in the United Kingdom has been
deferred until after the next general election.  In the United States,
Congress is currently debating various measures to ban the use of credit
cards for Internet related gambling, which may worsen the operating
environment for some our customers.

More recently, IQ-L was saddened by the untimely death of Lord McGowan - one
of the original directors and investors in the Company on its flotation.
Lord McGowan's wise counsel and good humor were key to the Company's early
growth.  We will all miss him.

Malcolm King resigned as the Chief Financial Officer in April 2003 and as a
Director on June 16, 2003.  I would like to thank Malcolm for his tireless
contribution to IQL. His professionalism was a hallmark of Malcolm's efforts
on behalf of the company.  I wish Malcolm every success in his future
endeavors.

Tony Norris, the Group's Financial Controller, was appointed the Group's
Chief Financial Officer.

Finally I would like to thank all the employees of the Company for their
effort and dedication during a difficult year.

Annual General Meeting

Notice is hereby given that the Annual General Meeting of the Company will
be held at 9:00 am on September 4, 2003 at the offices of KBC Peel Hunt Ltd,
111 Old Broad Street, London EC2N 1PH.

To See Financial Statements:
http://bankrupt.com/misc/IQ_Ludorum_Financials.htm

CONTACT:  IQ-LUDORUM PLC
          Roger Stone
          Phone: 020 79322451
          Tony Norris


LAURA ASHLEY: Divests Operations in Switzerland, Austria, Italy
---------------------------------------------------------------
The Board of Laura Ashley Holdings plc announces that the Group has entered
into conditional Heads of Terms for the disposal of its operations in
Switzerland, Austria and Italy with EDMI Holdings SA for a consideration of
EUR2.  Under the Heads of Terms, the businesses being disposed of will enter
into new separate franchise agreements with the Group.

For the year ended January 25, 2003, the businesses being disposed of had
reported turnover of GBP6.6 million, a loss before tax of GBP1.3 million and
combined net assets of GBP0.02 million.

At the completion of the proposed transaction, it is expected that the
businesses being disposed of will have a net asset value of GBP0.9 million
and the cash impact to the Group's UK operations will be broadly neutral.

As of January 25, 2003, the Group had made provisions of GBP0.8 million to
close 4 of the 10 stores, which are the subject of this transaction.  The
Group now anticipates that additional provisions of approximately GBP0.2
million will be required in respect of the closure of these 4 stores.
However, the directors expect that these additional provisions together with
a net asset write off of GBP0.9 million, arising from the disposal, will be
more than offset by premiums which the Group has already received or
anticipates receiving on disposal of certain other of the Group's premises
in Continental Europe.

CONTACT:  LAURA ASHLEY
          Iain Nairn, Joint Chief Operating Officer
          Phone: 020 7880 5100
          Tom Buchanan/Brunswick Group Limited
          Phone: 020 7404 5959


MOTION MEDIA: Restructures Board, Rationalizes Operation
--------------------------------------------------------
Motion Media announces a board restructuring and rationalization program in
order to reduce costs further, while increasing the marketing focus of the
Company towards the US.

As a consequence of the delays in the anticipated volume deployment of the
Company's Carestation products in the US, which, as previously announced at
the AGM on May 12, 2003, are not expected to commence until the end of 2003
and the slower than expected build up of supplies of the mm745 browser
videophone the Board has decided that it is prudent in the interim to reduce
the Company's cost base still further.  To this end it is proposed that up
to 12 employees in total will be leaving the Company, which, combined with
other cost saving measures should result in a reduction in operating costs
of approximately GBP1 million per annum.  In order to assist in this cost
saving exercise both Graham Brown (Managing Director) and Iain Silvester
(Finance Director) have offered their resignations to the Board, these
resignations have been accepted with regret with immediate effect.

Rex Thorne, currently Non-executive Chairman, has assumed the role of
Executive Chairman.  Rex has extensive experience of the telecommunications
industry having held senior executive directorships within Standard
Telephones and Cables, ITT, EMI and Astec.  He is also Non-executive
Chairman of Advance Power Components plc.

An increasing level of importance has been attached to opportunities which
are being addressed by our subsidiary, Motion Media Technology Inc. and the
Board has therefore appointed Garey De Angelis as a Director of the Company.
Garey will continue to hold his current US responsibilities and will also
assume duties for global sales and marketing.

Tony Aldridge, financial controller of Motion Media Technology Limited, is
appointed Company Secretary and will take on the finance responsibilities of
Iain Silvester.  Tony is to be appointed to the boards of Motion Media
Technology Limited and Motion Media Technology Inc.

The Company continues to pursue the opportunities which have been identified
in the US for the Carestation range of products and more recently the
opportunities which have appeared in the consumer broadband market in the
US.  The mm745 is still in its early stages of marketing and product is
currently being shipped in relatively low volumes to channel partners for
them to develop their customer base - consequently we anticipate demand to
increase as the year progresses.

The Board wishes to extend its thanks and best wishes to Graham Brown and
Iain Silvester and to the other employees who are leaving.

Garey De Angelis is 52 years old and joined Motion Media Technology Inc. in
May 2001.  He is CEO of MMTI and previously worked as Director of European
Business Development of Softbank Inc. He was a senior manager at Apple
Computer Inc. where he was Director of OEM Licensing and Strategic
Alliances.  Within the past five years he served as a Director of Evoke
Communications BV.  Save for the information disclosed above there is no
other information falling to be disclosed under Rule 15 of the AIM Rules.

CONTACT:  MOTION MEDIA
          Rex Thorne, Chairman
          Phone: +44(0)1454 635400


          Jim McGeever, ARM Corporate Finance
          Phone: +44(0)20 7512 0191


PIZZAEXPRESS PLC: GondolaExpress Declares Offer Unconditional
-------------------------------------------------------------
On April 3, 2003, GondolaExpress announced the terms of a recommended cash
offer for PizzaExpress.  The Offer was made by ING Barings on behalf of
GondolaExpress by means of an Offer Document published on April 17, 2003.
On June 13, 2003, GondolaExpress declared the Offer unconditional as to
acceptances.

The Board of GondolaExpress is pleased to announce that all conditions
relating to the Offer, as set out in the offer document dated 17 April 2003,
have now been satisfied or waived. Accordingly, GondolaExpress on Wednesday
declares the Offer wholly unconditional.  The Offer remains open for
acceptance until further notice.

PizzaExpress Shareholders who have not yet accepted the Offer and who wish
to accept the Offer, should complete the Form of Acceptance (whether or not
their PizzaExpress Shares are held in CREST) enclosed with the Offer
Document and return it by post or by hand, together with supporting
documents, as soon as possible to the receiving agents to the Offer,
Computershare Investor Services PLC, PO Box 859, The Pavilions, Bridgwater
Road, Bristol BS99 1XZ or by hand only (during normal business hours only)
to Computershare Investor Services PLC, 7th Floor, Jupiter House, Triton
Court, 14 Finsbury Square, London EC2A 1BR.  Shareholders who have any
questions as to how to complete the Form of Acceptance or who need to obtain
a further Form of Acceptance should contact Computershare Investor Services
PLC by telephone on 0870 702 0100.

Delisting, compulsory acquisition and re-registration

GondolaExpress intends to procure that PizzaExpress applies to the UK
Listing Authority for the cancellation of the listing of PizzaExpress Shares
on the Official List and to the London Stock Exchange for the cancellation
of the admission to trading of the PizzaExpress Shares on the London Stock
Exchange's market for listed securities.  It is expected that these
cancellations will take place following the expiry of a notice period of 20
Business Days commencing on the date of this announcement.  Accordingly, it
is expected that such cancellations will take effect on 16 July 2003 or as
soon as is practicable thereafter.

As stated in the Offer Document, as and when GondolaExpress receives
acceptances in respect of 90% or more of the PizzaExpress Shares to which
the Offer relates, GondolaExpress intends to exercise its rights to acquire
compulsorily any outstanding PizzaExpress Shares to which the Offer relates
on the same terms as the Offer by applying the provisions of sections 428 to
430F of the Act.

It is also proposed that after the PizzaExpress Shares are delisted
PizzaExpress will be re-registered as a private company under the relevant
provisions of the Companies Act.

Consideration

Consideration under the Offer will be despatched by 2 July 2003 to
PizzaExpress Shareholders who have, by Wednesday, provided valid acceptances
under the Offer.  Consideration in respect of valid acceptances received
after Wednesday will be dispatched to accepting PizzaExpress Shareholders
within 14 days of receipt of such acceptances.

Acceptances

The Board of GondolaExpress announces that, as at 1.30 p.m. Wednesday,
GondolaExpress had received valid acceptances of the Offer in respect of a
total of 54,862,606 PizzaExpress Shares, representing approximately 76.42%
of the Existing Issued Share Capital of PizzaExpress.

On 3 April 2003, GondolaExpress announced that it had received irrevocable
undertakings to accept the Offer from PizzaExpress Executive Directors and
from a PizzaExpress institutional Shareholder amounting, in aggregate, to
6,632,475 PizzaExpress Shares, representing approximately 9.24% of the
Existing Issued Share Capital of PizzaExpress.  Valid acceptances have been
received in respect of all of these PizzaExpress Shares and these Shares are
included in the total above.

Immediately prior to the commencement of the Offer Period, GondolaExpress
and persons deemed to be acting in concert with GondolaExpress owned or
controlled, in aggregate, 36,700 PizzaExpress Shares, representing
approximately 0.05% of the Existing Issued Share Capital of PizzaExpress.
Valid acceptances of the Offer have been received by GondolaExpress in
respect of these Shares and they are included in the total above.  Save as
disclosed herein, neither GondolaExpress nor any of the directors of
GondolaExpress nor (so far as GondolaExpress is aware) any party deemed to
be acting in concert with GondolaExpress, owned or controlled any
PizzaExpress Shares or had 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.

Certain terms used in this announcement are defined in the Offer Document
dated 17 April 2003.

ING Bank N.V., London branch, which is regulated in the United Kingdom by
The Financial Services Authority, is acting exclusively for GondolaExpress
and no one else in connection with the Offer and will not be responsible to
anyone other than GondolaExpress for providing the protections afforded to
clients of ING Barings or for giving advice in relation to the Offer or in
relation to the contents of this announcement or any transaction or
arrangement referred to herein.

CONTACT:  TDR CAPITAL
          Phone: 020 7399 4200
          Manjit Dale
          Stephen Robertson

          CAPRICORN
          Phone: 020 7326 8440
          Robbie Enthoven
          Charles Luyckx

          ING BARINGS
          Phone: 020 7767 1000
          Tom Quigley
          Simon Newton
          Adam Fraser-Harris

          GAVIN ANDERSON & CO
          Phone: 020 7554 1400
          Neil Bennett
          Ken Cronin


PPL THERAPEUTICS: Places Joint Project with Bayer on Hold
---------------------------------------------------------
Bayer BP and PPL to Place Recombinant Alpha-1 Antitrypsin Development
Project on Hold

Bayer Biological Products and PPL Therapeutics plc announced Wednesday a
decision to put their recombinant Alpha-1 Antitrypsin (recAAT) development
program on hold.  Although significant advances have been made since the end
of Phase II clinical trials, the resources required to move the project
forward, combined with the decision not to build a commercial purification
facility because of the financial risk, have led the companies to the
decision to place the project on hold.  As a result, Bayer Biological
Products will devote its resources to process and development improvements
for Prolastin(R), Alpha-1 Proteinase Inhibitor (human), which will benefit
the Alpha-1 community more immediately.  PPL's future strategy is the
subject of a separate announcement made Wednesday.

Bayer Biological Products and PPL are currently negotiating the terms of the
agreement necessary to put the project on hold while preserving Bayer's
right to restart the project at a later date.

PPL will have no development, manufacturing, or financial commitments in the
program moving forward.  Both parties will retain their existing IP rights.
Bayer retains its exclusive license to recAAT in hereditary emphysema and
Cystic Fibrosis.

Commenting on this decision, Dr. Gunnar Riemann, president, Bayer Biological
Products Division said: "It is clear that the best use of our resources is
to focus on ways to increase available supplies of Prolastin(R).  Building
on our more than 15 years of commitment to the Alpha-1 community, we will
continue to invest in research and technology to not only increase product
supply, but also to produce innovative products and delivery techniques."

Geoff Cook, PPL's CEO, commented: "We are of course deeply disappointed to
put this program on hold, one in which both companies have devoted major
efforts.  Wednesday's decision to put the program on hold in no way reflects
upon the significant endeavors of the work force over the last few years."

About Bayer HealthCare

Bayer HealthCare combines the global activities of the divisions of Bayer AG
in the fields of Biological Products, Consumer Care, Diagnostics, Animal
Health, and Pharmaceuticals.  More than 34,000 employees support the
worldwide operations of Bayer HealthCare.

Bayer Biological Products is part of the worldwide operations of Bayer
HealthCare, a subgroup of Bayer AG.  Bayer HealthCare is one of the world's
leading innovators in the health care and medical products industries.

Information about Bayer Biological Products Division can be found at
http://www.bayerbiologicals.com.

Further information about PPL Therapeutics, its products and technologies
can be found at: http://www.ppl-therapeutics.com


PPL THERAPEUTICS: Announces Major Business Restructuring
--------------------------------------------------------
In the light of Wednesday's joint announcement by PPL and Bayer concerning
the future of the Alpha-1 Antitrypsin (AAT) program PPL also announces a
significant restructuring of its business.

Focus on Fibrin I

Whilst management is disappointed at the outcome of the negotiations with
Bayer, PPL has for some time been focused on the potential for building a
surgical sealants business around PPL's Fibrin I program.  Fibrin I
addresses a potential market of 3 to 4 million surgical procedures per year
in the US alone.    The market for surgical sealants in the US and EU is
growing rapidly and is expected to exceed $500m by 2006.  PPL intends to
develop Fibrin I as a device in Europe as this entails a more rapid and
straightforward regulatory route than that associated with a medicine.

The Board continues to believe the business opportunity for Fibrin I is
substantial because it addresses a key unmet need i.e. a ready-to-use fibrin
sealant, in a rapidly growing market. Fibrin I is being developed by PPL as
a liquid which is ready for the surgeon to use from the refrigerator, in
contrast to existing fibrin sealants which require significant preparation
before use.  PPL intends to partner the product late in its development,
thereby maintaining control and capturing more value from the program.  The
Board reiterates its view that the Company has sufficient funds and
resources to bring Fibrin I to market.  The Board believes that this will be
in 2006.

PPL is in late stage discussions with plasma fractionators who will
manufacture Fibrin I and is also negotiating to acquire additional medical
sealant/adhesive intellectual property (IP), which would open up additional
market opportunities, to build the portfolio.  The end result would be a
strong sealants business founded upon the distinct competitive advantage of
Fibrin I.

Corporate restructuring resulting from AAT delay

AAT was a major component of PPL's business, both in terms of its research
and development activities and also its manufacturing capacity.  PPL retains
its IP in relation to AAT and will seek to maximize value for this.

In the short term, placing this program on hold will mean the potential loss
of between 90 and 140 jobs in the Company at its sites in Scotland and New
Zealand.  This will also include a reduction in the size of the PPL Board to
reflect the size of the ongoing business.  The final number of job losses
will be a function of the outcome of the strategic review referred to below.
These and consequent measures will substantially reduce PPL's cash burn to
below half of the existing level of approximately GBP0.6m per month (after
the impact of the R&D tax credit).

In respect of recBSSL, PPL continues to evaluate options to accelerate its
development at low cost.

PPL recently appointed KPMG Corporate Finance to assist the Board in the
evaluation of strategic options for the Company, in order to maximize
shareholder value.  This review includes evaluating whether PPL retains
sufficient critical mass to maintain the viability of its transgenic
technology platform.

As at 31 May 2003 the Company had gross cash deposits of GBP11.2 million and
net cash deposits of GBP8.7 million, after deducting debt of GBP2.5 million.
Since that date GBP1.5 million has been received in R&D tax credits from the
Government.

Geoff Cook, PPL's CEO commented: "The desire to restructure the business is
a consequence not only of the decision on AAT, but also the significant
opportunity offered by Fibrin I.  The Company is taking immediate action to
reduce its cash burn and is reviewing additional options to maximize value
for shareholders.

"AAT has been central to PPL's business since the foundation of the Company.
The decision to put the program on hold in no way reflects the significant
endeavors of the workforce over the last year."

                     ****

Fibrin I is based on a fibrin monomer that is mixed with a neutralizing
buffer at the site of surgical application by means of a dual chamber
syringe, where it polymerizes to stop bleeding and seal tissue.  It will be
supplied as a liquid in pre-filled syringes and stored in the refrigerator,
from where it is ready to be used.

It is at least as effective as traditional fibrin sealants in sealing tissue
and promoting haemostasis.  Preclinical data suggests the product may
promote a more natural and rapid wound healing process than traditional
fibrin sealants, which may reduce the potential for the formation of post
surgical adhesions.

An extensive patent portfolio provides comprehensive protection for the
product in major markets until 2015 in the fields of haemostasis, tissue
sealing, adhesion prevention and other biosurgery indications.

PPL has the rights under this intellectual property to develop Fibrin I
based on human plasma derived fibrinogen and recombinant fibrinogen.  The
quickest route to market is Fibrin I based on plasma derived fibrinogen and
this is the development route that PPL is currently pursuing.

BSSL is an enzyme normally produced in the pancreas which breaks downs
lipids in the human digestive system.  Fatty acids, the products of lipid
digestion, play a vital role in energy supply and general metabolism.
Patients with cystic fibrosis do not produce and secrete sufficient amounts
of BSSL, resulting in poor fat digestion.  In the first weeks of life babies
do not produce BSSL, relying on that produced in the maternal milk.  This
source of BSSL is not always available to pre-term infants and fat digestion
suffers as a result, slowing the growth of the infant and potentially
prolonging time in critical care.

Further information about PPL, its products and technologies can be found
at: http://www.ppl-therapeutics.com

CONTACT:  PPL THERAPEUTICS
          Geoff Cook, Chief Executive Officer
          Lindsay Dunsmuir, Chief Financial Officer
          Phone: 0131 440 477

          Alistair Mackinnon-Musson
          Philip Dennis
          Hudson Sandler
          Phone: 020 7796 4133
          E-mail: ppl@hspr.co.uk


                            *********


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
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Washington, DC USA.  Larri-Nil Veloso, Ma. Cristina Canson, and Laedevee
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Copyright 2003.  All rights reserved.  ISSN 1529-2754.

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