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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

                  Thursday, July 3, 2003, Vol. 4, No. 130


                               Headlines


F I N L A N D


BENEFON OYJ: Has Sufficient Liquidity Until March Next Year
HONKARAKENNE OYJ: Axes Jobs in Wake of Uncertain Market Outlook
SATAMA OYJ: Completes Restructuring of International Operations


F R A N C E


ALCATEL: Successfully Resolves Litigation Against Loral
RHODIA S.A.: Faces Threat of Industrial Action Over Pensions
VIVENDI UNIVERSAL: Proposed Notes Rated 'B+'; Outlook Stable


G E R M A N Y


ANTWERPES AG: Anticipates Operating Loss in Second Quarter
BERTELSMANN AG: Completes Sale of 1745 Broadway Headquarter
DEUTSCHE BA: British Airways Completes Divestment to Intro
GLOBALWARE AG: Takes Over Rights to GEDYS Products
HEIDELBERGCEMENT AG: Market Welcomes Capital Measures

MANNHEIMER AG: Denies Sale of Financial Services Unit to ASTA
RINOL AG: Mulls Abandoning Plans to Refund Remaining Bonds
WESTLB AG: New Review Could Possibly Require Fresh Writedowns


N E T H E R L A N D S


GETRONICS N.V: Fulfills Partial Early Repayment and Annuity Plan
HEAD N.V.: Outlook Revised Due to Weak Industry Conditions
JOMED N.V.: First Public Report of Bankruptcy Trustees
JOMED N.V.: Unloads Coronary and Peripheral Business to Abbot
JOMED N.V.: SWX Swiss Exchange Halts Trading Early in the Week

NOWA ZARZYNA: Holding's Case Summary & Unsecured Creditor


S W E D E N


NCC AB: Sells Property Development Project for SEK 200 Million


S W I T Z E R L A N D


ABB LTD: Credit Facility Amendments Improve Contingent Liquidity
ASCOM: Sells PBX and Energy Systems Units to Canadian Asstra
SWISS INTERNATIONAL: Takes Delivery of First Airbus A340-313
SWISS AIR: Debt Restructuring Agreement Now Legally Enforceable
ZURICH FINANCIAL: BNP Deal Leaves Zurich Capital Ratings Unmoved


U N I T E D   K I N G D O M


ABERDEEN ASSET: Unveils Details of Fund Restructuring Project
AES DRAX: Parent Agrees with Creditors Regarding Restructuring
AES DRAX: Fitch Downgrades Bonds; Comments On Restructuring
ARDAGH GLASS: Long-Term Credit Rating at 'BB'; Outlook Stable
ASPINALLS ONLINE: Still Bleeding Despite Steps to Contain Losses

BALTIMORE TECHNOLOGIES: Update on Controlled Sale Process
BRITISH AIRWAYS: Ratings Cut to 'BB+'; Removed From CreditWatch
CAZENOVE PLC: Year-end Results Show 30% Decline in Revenues
CORDIANT COMMUNICATIONS: To Delist to Save Put Option Value
EQUITABLE LIFE: Reacts to Parliamentary Ombudsman's Report

GLAXOSMITHKLINE: Wants to Remove Paxil Patents from Orange Book
HAMLEYS PLC: Children's Stores Now Owns 13.6% of Share Capital
ITRAIN PLC: Reports Pre-tax Loss as Sales Took a Sharp Nosedive
LE MERIDIEN: Allowed to Miss End-June Rental Payment Deadline
MMO2 PLC: O2 Customers Get Active With Mobile Data

NEWMARK SECURITY: Issues Loan Notes to Meet Obligations
PROFILE MEDIA: Bankers Agree to Defer Payment for Obligations
ROYAL DOULTON: Disposes Interest in China Millers to Reduce Debt
UNITED PAN-EUROPE: Extends Further Dutch Implementing Offer
YELL GROUP: Yell Finance Says Parent to Raise GBP433 M Capital

YELL GROUP: On CreditWatch Positive After IPO Announcement

* Fitch Comments on Earnings Recovery of Major European Banks





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


BENEFON OYJ: Has Sufficient Liquidity Until March Next Year
-----------------------------------------------------------
As an addition to the interim report about the first quarter of
this year made public on June 30, 2003, the company reiterates
the following report on the sufficient liquidity in the period
April 2003-March 2004, first made public within the Operational
Result Report for the Period 1-3/2003 of May 15, 2003.

"Report on sufficient liquidity in period April 2003 to
March/2004

The account on the sufficient cash flow provided hereinafter is
based on the prepared reorganization plan whereupon a standing
presumption is the approval of the reorganization arrangement and
the prepared plan.

The account does not assume new equity but is based on radical
cost-cutting measures through forced leaves, among others, and on
strict cost control by which means the company targets already in
June 2003 to reach about 50 % reduction in monthly fixed cost
level compared with the actual monthly fixed cost level of early
year and, further, on sharp focusing on business producing cash
flow and profit already in short term and, furthermore, on
continuing reduction of inventories.  The sales income making a
central element of the operating result, the starting point of
the account, has been assessed prudently in the account but the
monthly sales are estimated to gradually increase in the next 12
months according to the objective described in the chapter The
State of the Company.

The account takes no standpoint regarding the change of loans or
non-interest bearing debt during the period as the company is in
negotiations with the creditors. However, no new non-interest
bearing debt is assumed.

Cash flow account of period April 2003 to March 2004

Operating result before extraordinary items  -1.6
Depreciations                                 0.6
Reduction of current receivables              0.6
Reduction of inventories                      3.1
Change of non-interest bearing debt           0.0
Paid interests                               -0.5
Investments                                  -0.2
Paid share issue                              0.0
Extraordinary income                          0.0
Change of interest bearing debt               0.0
Change of cash at hand                        2,0

Should the sought reorganization solution or other development
deviate from one presented in the reorganization application, it
may substantially affect the construed cash flow account.

BENEFON OYJ

Jukka Nieminen
President


HONKARAKENNE OYJ: Axes Jobs in Wake of Uncertain Market Outlook
---------------------------------------------------------------
The statutory cooperation negotiations with personnel initiated
at Honkarakenne in April have resulted in a decision to terminate
30 jobs as planned.  Some of these can be arranged by means of
retirement pensions and other similar plans.  The goal has been
to adapt operations and ease the cost structure to match the
market situation.

The company has managed to cut costs also by other improvement
efforts.  Honkarakenne will continue focusing on its core
operations and develop networking in accordance with its
strategy.

Honkarakenne Group's personnel today numbers about 480.  Most of
the attritions will be at the factories in Karstula and Alajarvi;
discontinuation of Honka's own sawmill operations is one reason
for the reduction at the main factory in Karstula.

The market situation for fall and winter remains uncertain due to
economic developments, and cooperation negotiations about
temporary lay-offs will be continued.

Following the implemented or contemplated measures, the result
will improve already this year, although their full effect will
not show until 2004.

HONKARAKENNE OYJ
Mauri Saarelainen
President

CONTACT:  HONKARAKENNE OYJ
           Mr. Mauri Saarelainen, President
           GSM +358 400 463 266 or Executive
           Vice President Juha Kohonen
           Phone: +358 20 575 7816
           GSM +358 400 608 312


SATAMA OYJ: Completes Restructuring of International Operations
---------------------------------------------------------------
Satama Interactive Oyj ends its subsidiary's operations in
Sweden.  Satama continues providing services to the Swedish
market from its Helsinki office in collaboration with a company
owned by Mr. Ajje Ljungberg. The company will be part of Satama's
cooperation network. Mr. Ljungberg, from whom Satama acquired its
Swedish subsidiary in 1999, has long experience in Internet and
media business. He has, for example, founded Nojesguiden
magazine.

In conjunction with actions taken in Sweden, Satama will wind up
functions connected to the management of its international
operations, which has been located in Amsterdam.  To cover
severance payments for 10 people in Sweden and other write-down
expenses resulting from these arrangements, Satama will make a
one-time provision of EUR 0,7 million in the January to June 2003
financial statements.

Ending the restructuring of international operations, these
arrangements are part of efforts to turn Satama's operations
abroad profitable.  Due to the cost provisions caused by these
actions in Sweden and Amsterdam as well as the previously
announced write-downs in Germany, Satama's result will be
negative for the financial year 2003.

After the arrangement, Satama employs 217 professionals in
Finland (Helsinki and Tampere).  International operations are
centralized in Satama Amsterdam that employs 30 professionals.
Satama's remaining operations have been profitable in the
beginning of this year.

CONTACT:  SATAMA INTERACTIVE OYJ
           Jan Sasse, CEO
           Phone: +358 40 8619151



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


ALCATEL: Successfully Resolves Litigation Against Loral
-------------------------------------------------------
Alcatel (Paris: CGEP.PA and NYSE: ALA), Europe's largest
satellite manufacturer, announced that it will acquire Loral
Space & Communications, Ltd.'s 47% share of the Europe*Star
satellite system as part of a transaction that successfully
terminates Alcatel's joint ventures with Loral and resolves
Alcatel's litigation against Loral and its subsidiary, Space
Systems/Loral, Inc.

Acquiring Loral's share in Europe*Star will increase Alcatel's
stake to 95%.  The Europe*Star transfer is subject to German
antitrust review, which Alcatel expects to complete this summer.
Loral also agreed to pay Alcatel US$13 million in cash, US$5
million now and US$8 million no later than one year from now.

In addition, Loral has transferred its interest in the SkyBridge
satellite project to Alcatel, while Alcatel has given up its
interest in Loral's Cyberstar partnership.  As part of these
arrangements, Alcatel plans to terminate its arbitration and
lawsuits against Loral.

At the same time, Alcatel, Intelsat and Loral have agreed that
Intelsat will pay Alcatel directly, rather than through Loral,
for Alcatel's share of orbital incentives on the Intelsat IX and
VII satellite programs.

Alcatel expects these direct payments to reach in the range of
US$60 million over the next few years.

Pascale Sourisse, Chairman and CEO of Alcatel Space, stated: "We
are pleased to resolve our disputes with Loral in this fashion.
Now owning 95% share in Europe*Star, plus present and future cash
payments, provides substantial value.  Equally important, we have
clarified our relationship with Loral.  Lastly, Alcatel will
receive directly from Intelsat Alcatel's Intelsat IX and VII
orbital incentives payments."

Alcatel's litigation against Loral began in the spring of 2001,
when Alcatel obtained a federal court order in New York
prohibiting Loral and SS/L from violating joint venture
arrangements dating back to 1991.  Alcatel then initiated an ICC
arbitration in Switzerland against Loral for breach of contract.
Alcatel won partial awards in that arbitration upholding
substantially all of Alcatel's claims and rejecting all of
Loral's counterclaims.  Earlier this year Alcatel brought another
lawsuit in New York to block SS/L from transactions that would
have substantially endangered Alcatel's future orbital incentive
payments on the Intelsat IX and VII programs.

About Alcatel, Alcatel Space, Europe*Star and SkyBridge

Alcatel provides end-to-end communications solutions, enabling
carriers, service providers and enterprises to deliver contents
to any type of user, anywhere in the world.  Leveraging its long-
term leadership in telecommunications networks equipment as well
as its expertise in innovative applications and network services,
Alcatel enables its customers to focus on optimizing their
service offerings and revenue streams.  With sales of EURO 16.5
billion in 2002, Alcatel operates in more than 130 countries.

Alcatel Space, a wholly owned subsidiary of Alcatel, is the
world's third largest satellite manufacturer and Number 1 in
Europe.  Deploying extensive dual expertise in civil and military
applications, Alcatel Space develops satellite solutions for
telecommunications, navigation, radar and optical observation,
meteorology and science.  The company is also the leading
European prime contractor for earth observation, meteorology and
navigation ground segments, and for space system operation.  For
more information, visit the Alcatel Space website:
http://www.alcatel.com/space

Alcatel Space affiliate Europe*Star is a satellite owner-operator
headquartered in London, with regional marketing offices in Cape
Town, South Africa and New Delhi, India. Europe*Star operates its
own mission control center in Toulouse, France, for tracking,
telemetry & control of the satellites.  Europe*Star offers
satellite capacity on its geostationary satellites; leasing whole
& fractional transponders for full-time and occasional use
requirements.  Brought into service at the start of 2001, the
innovative Europe*Star 1 satellite has five high-power beams
covering Europe, Southern Africa, the Middle East, the Indian
subcontinent and South East Asia.  Its Europe*Star B satellite
provides additional capacity for markets in Central and Eastern
Europe. http://www.europestar.com

Alcatel Space affiliate SkyBridge LP designs and delivers
broadband satellite solutions and services.  SkyBridge, with its
team of Alcatel-led partners, has designed a unique global
broadband satellite system.  Prior to launching this system,
SkyBridge is delivering leading-edge broadband services using
geosynchronous satellites to clients on a worldwide basis. Visit
SkyBridge at http://www.skybridgesatellite.com


RHODIA S.A.: Faces Threat of Industrial Action Over Pensions
------------------------------------------------------------
Industrial workers at U.K. plants of Rhodia SA, which recently
closed its final salary pension to new members, have voted to
strike against the pension rule.

According to the Financial Times, more than 600 employees from
plants in Oldbury, Chesterfield and Widnes have agreed to take
industrial action in what could be the first revolt by unions
trying to protect the rights of future members.

Rhodia is one of the world's leading manufacturers of specialty
chemicals; however, it has been loss-making for several years now
and has become so heavily indebted that it has lost its
investment grade debt rating.  Like other chemicals industry, it
closed its final salary pension to new entrants due to poor stock
market returns and new American Accounting Standards on pension
fund liabilities.

GMB general secretary Kevin Curran said closing the scheme to new
members was the first step to eventually stripping current
workers' entitlements.  He said: "Employers need to get the clear
message that they cannot back off from their duty.  People cannot
be left to face pensioner poverty after a lifetime of hard work."

Bob Tyler, head of human resources at Rhodia U.K., told the
Financial Times: "I think it is very unlikely that we will [re-
open the scheme].  This is coming from financial pressure and
shareholders.  We are quoted on the American Stock Exchange, so
this all comes down to American Accounting Standards in the end."

Rhodia will hold talks with union officials from GMB and Amicus
following the threat of strike action.  GMB believes victory is
on its side.


VIVENDI UNIVERSAL: Proposed Notes Rated 'B+'; Outlook Stable
------------------------------------------------------------
Standard & Poor's Ratings Services said it assigned its 'B+'
long-term senior unsecured debt rating to the proposed EUR1.11
billion (US$1.28 billion) high-yield notes issue, due 2008, by
French media giant Vivendi Universal S.A.

At the same time, Standard & Poor's affirmed its 'BB/B' corporate
credit ratings, and its 'B' commercial paper and 'B+' senior
unsecured debt ratings on the group and related entities. The
outlook is stable.

The proposed five-year notes will rank pari-passu with the
group's other senior unsecured debt, primarily its existing
public bonds, but will be subordinated to Vivendi's credit lines,
which are secured by the group's assets.  At June 30, 2003, the
group had net debt of about EUR13.5 billion.

"The notes will be used to refinance a EUR1.1 billion credit
facility, which will enable Vivendi to simplify its 70% ownership
interest in French telecoms operator Cegetel Groupe S.A. and gain
better access to dividends from Cegetel," said Standard & Poor's
credit analyst Trevor Pritchard.

"Vivendi will also benefit from lower interest costs and further
improvements in its debt maturity profile."



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


ANTWERPES AG: Anticipates Operating Loss in Second Quarter
---------------------------------------------------------
Following a slight operating profit in the 1st quarter of
  2003, antwerpes ag (ISIN DE0005471007 // Symbol 547100) is,
according to the preliminary calculations, expecting a loss at
EBIT level for the second quarter of 2003.

The Board of Directors has therefore introduced measures in order
to adapt the cost situation to the income situation.  Provisions
amounting to about EUR400,000 are being set up in the second
quarter in respect of these measures and this will place an
additional burden on the operating result in the 2nd quarter.

Antwerpes ag will publish information on sales and the operating
result for the 2nd quarter and the 1st six months of 2003 in
calendar week 28.

CONTACT:  ANTWERPES AG
           Tanja Mumme
           Corporate Communications
           Vogelsanger Str. 66
           D-50823 Koln
           Phone: +49-221-92053-139
           Fax: +49-221-92053-133
           E-Mail: ir@antwerpes.de


BERTELSMANN AG: Completes Sale of 1745 Broadway Headquarter
-----------------------------------------------------------
Bertelsmann AG, the German media giant that posted a substantial
loss for the first quarter of the year, has sold the New York
headquarters of its Random House book-publishing division to a
U.S. real-estate fund, Jamestown, for US$297 million.

According to the Financial Times, Bertelsmann announced the
completion of the sale of 1745 Broadway only five months after
acquiring it.  The media giant said it would lease the 645,000
square feet of office space for 15 years, with an option to
extend the contract for a further 20 years.

Bertelsmann has been selling assets and rationalizing operations
for the past year in an effort to reduce excessive debt, the
report said.  The group recently auctioned its 1540 Broadway, the
landmark 45-storey Times Square tower that houses its U.S.
headquarters, in a move that could fetch US$400 million.

The company, however, sought to dispel fears the decision to sell
heralds the beginning of a gradual withdrawal from the U.S.  TCR-
Europe recently cited insiders emphasizing that the disposals are
purely a financial move, as Bertelsmann's plan is to find a buyer
so it could exercise the option, pocket the profit and become a
tenant again as part of a new sale-and-lease-back transaction.

Besides the fact that several profit-making units of Bertelsmann
are headquartered in the U.S., the company remains in talks with
a U.S. rival about merging their respective music business.

First quarter results of Bertelsmann showed net loss of EUR399
million due to a EUR60 million restructuring charge related to
the integration of Zomba into the group.  Bertelsmann bought the
music label last year for EUR2.7 billion.

CONTACT:  BERTELSMANN AG
           Carl-Bertelsmann-Straae 270
           33311 Gtersloh
           Germany
           Phone: ++49.5241.80-0
           Fax: ++49.5241.80-9662


DEUTSCHE BA: British Airways Completes Divestment to Intro
----------------------------------------------------------
British Airways said it has completed the sale of its wholly
owned German subsidiary Deutsch BA to Intro
Verwaltungsgesellschaft mbH, the Nuremburg-based aviation
consultancy and investment company.

Previously, TCR-Europe citing The Times said Deutsche BA's new
owner, German millionaire Hans Rudolf Wohrl, plans to cut the
salary of the airlines staff by up to 20% to save cost in order
to expand throughout Europe.

Mr. Wohrl believes the airline, which has been loss-making under
British Airways, could achieve long-term productivity by the
offering more routes, even if this would mean competing with its
former parent.

Deutsche BA has accumulated losses of GBP250 million and has yet
to turn a profit since its formation in 1992.


GLOBALWARE AG: Takes Over Rights to GEDYS Products
--------------------------------------------------
Effective immediately, GlobalWare AG, provider of technologies
for all aspects of mono- and multilingual information,
particularly for Human Language Technology and Customer
Relationship Management has taken over the rights to the products
of GEDYS AG, which is in insolvency proceedings.

The take-over of the GEDYS product rights applies mainly to the
products GEDYS Sales, GEDYS Office and GEDYS Help.  According to
statements made by GEDYS AG, these products account for
approximately 90 percent of its sales volume in the area of
product licenses.

The GEDYS products, just as the IntraWare CRMsuite, are built on
the same technological basis and have been offered side-by-side
in the market for IBM/Lotus applications.  GlobalWare is planning
the integration of both product lines and anticipates offering a
complete migration for current GEDYS installations in 2003.
Further development of a separate GEDYS product line is not
planned.

With the take-over of the product rights, GlobalWare, during the
transition, will offer Support and Maintenance of the GEDYS
products.

According to GlobalWare, this take-over is a further step in the
consolidation of the market for CRM applications based on IBM
Lotus Notes/Domino.

CONTACT:  GLOBALWARE AG
           Kirstin Fischer

           Branch Petersberg:
           Brueckenmuehle 93
           D - 36100 Petersberg
           Phone: +49 (0) 6 61/96 42-619
           Fax" +49 (0) 661/96 42 99-619
           E-Mail: kfischer@globalware.ag
           Home Page: http://www.globalware.ag



HEIDELBERGCEMENT AG: Market Welcomes Capital Measures
-----------------------------------------------------
HeidelbergCement has successfully placed the three capital
measures announced on 27 May 2003, comprising of a rights issue,
a high yield bond and a syndicated credit facility.

Existing and new investors exercised more than 99% of the
subscription rights of the new shares.  Through the rights issue
the Group will receive EUR404 million.  The number of shares
increased by 31,100,000 new shares to 99,649,850.  In view of the
strong interest the available sub-underwriting commitment was not
utilized.

Due to extremely strong market demand the high yield bond has
been upsized to EUR700 million.  The senior notes have a seven-
year tenor, a coupon of 7.375% and were rated BB+ by S&P and Ba1
by Moody's.

In addition, we have successfully completed the re-financing of
two syndicated credit facilities.  The high demand in the banking
market allowed us to increase the volume of the new syndicated
credit facility to EUR1.5 billion.

Through the combination of these measures we will not only
improve the debt maturity profile but also significantly increase
the financial flexibility for a further successful development of
HeidelbergCement.  With the proceeds we will reduce our net debt.
In addition, HeidelbergCement is provided with comfortable
committed and confirmed credit lines.


MANNHEIMER AG: Denies Sale of Financial Services Unit to ASTA
-------------------------------------------------------------
German insurer Mannheimer Holding AG denied reports that it has
sold its financial services unit Mannheimer Asset Management to
Berlin-based property and trust company ASTA, saying the division
remains a determining factor in the future of the group.

"The asset management unit continues to belong to the holding, a
sale hasn't taken place," Mannheimer Spokesman Peter Swienczek
told Dow Jones Newswires Monday.

"The asset management unit is part of the question of the future
of the entire group," Mr. Swienczek said.

Both the Financial Times and the Financial Times Deutschland said
on Monday the insurer sold the unit as a last-minute attempt to
tap financial reserves after it was put into insolvency two weeks
ago.

The Down Jones report, meanwhile, said, the insurer which has
searched for a buyer for the asset management unit since 2002,
has decided early in 2003 to stop its hunt after a buyer was not
found.

Spokespeople at ASTA weren't immediately available to comment,
according to the report.


RINOL AG: Mulls Abandoning Plans to Refund Remaining Bonds
----------------------------------------------------------
RINOL, world market leader in industrial flooring, announces that
the "ABS" alternative to refund the remaining bonds will not
longer be pursued.

At its concluding meeting on the matter the bank, which has been
exclusively commissioned with this project, has come to the
decision that after all it now no longer intends to proceed with
the project.

This is despite a positive evaluation from the rating agency, a
positive assessment from lawyers, and positive decision made in
the preliminary stages by authoritative bodies from within the
bank.

Since this means the refunding of the remaining bonds hat not yet
been settled RINOL is now pursuing the other options.

                      *****

Rinol AG said last month it was able to make a "narrow escape
with minor bruises" out of an extremely difficult operating
environment.  Earnings before interest and taxes (EBIT) fell from
(EUR3.450) million to (EUR7.623) million.  Turnover figures for
the first quarter were down to 70% of previous year's result to
EUR53.978 million.

CONTACT:  RINOL AG
           Uwe Hanle, Director Corporate Finance/IR
           Phone: +49(0)7159/164-166
           Fax: +49(0)7159/164-163
           E-mail: info@rinol.com
           Home Page: http://www.rinol.com


WESTLB AG: New Review Could Possibly Require Fresh Writedowns
-------------------------------------------------------------
WestLB confirmed it is reviewing all of the bank's recent
transactions under the order of its acting chief executive
Johannes Ringel.

According to the Telegraph, the review could lead to fresh
writedowns.  Citing reports circulating in Germany, Telegraph's
article said the bank faces provisions of up to EUR1.5 billion
(GBP1 billion).

Ernst & Young, which reviewed the disastrous refinancing of TV
rental business BoxClever for banking regulator BaFin, is
understood to be carrying out the work, the report said.  But the
potential writedowns that could emerge under the review are not
thought connected to the bank's principal finance unit run by
Robin Saunders, which made the financing to BoxClever.

The bank made a EUR430-million (US$503 million) provisions
related to a loan made by the division to the U.K. television
rental business.  The amount forced WestLB to report a EUR1.67
billion- (US$1.2 billion) loss for 2002 in May, up from an
initial estimate of EUR1 billion.



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


GETRONICS N.V: Fulfills Partial Early Repayment and Annuity Plan
----------------------------------------------------------------
(a) Getronics has paid its bondholders EUR325 million in cash in
accordance with the previously announced partial early repayment
and annuity scheme agreed by the bondholders

(b) Trading in the 2008 Bonds started on 25 June 2003

(c) Bondholder's principal debt position now reduced to circa
250million

(d) The Company has agreed a term sheet for a new credit facility
with ABNAMRO, ING and Barclays

Getronics paid its bondholders EUR325 million in cash as a
partial early (re) payment following the approval of the proposal
to amend the terms of the bonds given by the bondholders on 10
June.  The former 2004 and 2005 subordinated convertible Bonds
now trade as one series of 2008 Installment Bonds (to be repaid
in installments, as previously announced).

The swift and successful implementation of the key parts of the
Entrepreneurial Solution has resulted in a bondholder's principal
debt position at the half-year of circa EUR250 million.

Further more the Company has agreed a term sheet for a new credit
facility with ABN AMRO, ING and Barclays.  The date of signing of
the agreement is expected to be 30 July 2003.  The new facility
will amount to EUR100 million and will also allow the release of
the Company's cash collaterals of approximately EUR55 million.
This facility will replace the revolving credit facility
announced on 23 December 2002, consisting of tranch A for EUR125
million and tranch B for EUR75 million.  As previously disclosed,
under tranch A the company was able to draw a maximum
unrestricted amount of EUR75 million and faced restrictions on
the use of circa 55 million of working capital for cash
collaterals.  Tranch B was only usable in conjunction with the
cancelled Revised Invitation to Tender.

This new facility reflects the potential working capital needs of
the Company following the implementation of the main constituent
parts of the Entrepreneurial Solution.

Klaas Wagenaar, Vice Chairman comments: "The advantage of the new
credit facility is that the Company will have more cash headroom
available to it with an additional EUR25 million of credit freely
available and full usage of EUR55 million of cash collaterals.
The new credit facility, together with the implementation of our
agreement with Bondholders, underscores the successful financial
restructuring of Getronics."


HEAD N.V.: Outlook Revised Due to Weak Industry Conditions
----------------------------------------------------------
Standard & Poor's Ratings Services said it revised its outlook on
The Netherlands-based sports equipment company Head N.V. to
negative from stable, as ongoing weak industry conditions impair
profitability and credit protection measures.

At the same time, Standard & Poor's affirmed its 'BB-' long-term
corporate credit and its 'B' senior unsecured debt ratings on the
company.

At March 31, 2003, Head had lease-adjusted total debt of $167
million.

"The outlook revision follows 18 months of weak industry
conditions in the sports equipment market, highlighting the
discretionary nature of sports equipment spend and a poor outlook
for the rest of 2003," said Standard & Poor's credit analyst Olli
Rouhiainen.

The recent weakness has depressed Head's profitability and credit
ratios.

Although the winter sports division is expected to show some
improvement in profitability in 2003, it is expected that this
will be more than offset by a weak performance in the racquet
sports division, where Head saw a 10% decline in sales in the
first quarter.  Diving is also expected to have a poor year, due
to reduced numbers of holidaymakers to popular diving
destinations such as the Red Sea area following the war in Iraq
and severe acute respiratory syndrome.  The combined impact of
the performance in the three divisions is expected to result in
flat EBITDA at best, compared with 2002.

The ratings on Head continue to reflect the competitive nature of
this cyclical and seasonal industry, and the company's aggressive
financial profile.  These factors are offset by its leading
market positions in tennis, alpine skiing, and diving equipment,
as well as its solid geographical diversification.

"Head is expected to show some improvement in its credit ratios
by financial year-end 2003, through cost control and market share
gains, and allocate free cash flow generation to debt repayment,"
said Mr. Rouhiainen.  "Share buybacks are not factored into the
ratings and would trigger a ratings review."


JOMED N.V.: First Public Report of Bankruptcy Trustees
-------------------------------------------------------
In the bankruptcy order issued by the District Court Amsterdam on
2 May 2003 for: JOMED N.V. in Amsterdam

Bankruptcy number: 03.0233-F (suspension of payments: 03.003-S)

Trustees in bankruptcy: R.J. graaf Schimmelpenninck and M.Ph. Van
Sint Truiden (Houthoff Buruma, Parnassusweg 126, 1076 AT
Amsterdam) Supervisory Judge: Ms A. van Dijk

(a) Introduction

      (i) Introductory observation

         The present report is a first report of the trustees in
         the bankruptcy of JOMED N.V., although the trustees -- at
         the time in their capacity as administrators in the
         suspension of payments provisionally granted by the
         District Court in Amsterdam to JOMED N.V. on 23 January
         2003 -- prepared a first public report pursuant to
         section 227 of the Netherlands Bankruptcy Act on 10
         March 2003.  This public report in the bankruptcy is a
         follow-up to and should be read in connection with the
         public report of 10 March 2003.

         It should be emphasized that the financial and (also
         partly) other information included in this report mainly
         originates from JOMED N.V. and its subsidiaries
         (jointly: the JOMED Group).  This information is not
         always reliable (or turned out not to be always
         reliable) and is -- still -- being examined. It may be
         necessary to adjust this information at a later stage.

     (ii) Provisional suspension of payments and bankruptcy

         The public report of 10 March 2003 already mentioned a
         group of creditors that had claimed its convertible
         loan in January 2003 and that had accelerated its claim
         later to approximately EUR61 million.  On 25 March
         2003, this group of creditors (hereafter referred to
         as: the US Bondholders) filed -- by virtue of section
         225 of the Netherlands Bankruptcy Act -- a petition with
         the District Court requesting that, even during the
         provisionally granted suspension of payments, a
         creditors committee be set up and to rule that
         administrators provide the US Bondholders with all
         available information with respect to the JOMED Group.

         The District Court Amsterdam decided in its order of 22
         April 2003 that the administrators had to provide the
         available information to all creditors with an interest
         in this information.

         However, before being able to provide this information,
         the interested creditors must agree to a
         confidentiality agreement to be drawn up by the
          administrators.

          Such an agreement was never reached because of the
          bankruptcy on 2 May 2003.

          On 2 April 2003 the creditors meeting as meant in
          section 218 of the Netherlands Bankruptcy Act was held
          before the District Court in Amsterdam.  The District
          Court heard all attending creditors, the counsel of
          JOMED N.V., the administrators and the Supervisory
          Judge, after which the District Court postponed the
          creditors meeting to 2 May 2003.  The US Bondholders
          appealed against this order.  In its interlocutory
          order of 25 April 2003 the court of appeal in
          Amsterdam allowed the appeal of these creditors.  In
          its final decision of 1 May 2003, the court of appeal
          reversed the court order of 2 April 2003 and referred
          the case to the District Court, to be heard on 2 May
          2003.

          On 2 May 2003 the meeting of creditors was continued
          before the District Court.  At this meeting a vote was
          taken on the final granting of a suspension of
          payments.

          The US Bondholders, representing more than a fourth
          part of the amount of the creditors present at the
          meeting, voted against the final granting of
          suspension of payments. Subsequently the District
          Court ex officio declared JOMED N.V. bankrupt,
          appointing Ms A. van Dijk as Supervisory Judge and the
          administrators as trustees.  The order of the District
          Court Amsterdam of 2 May 2003 is hereby attached as
          Annex 1.

    (iii) Activities of the administrators

          After 10 March 2003 the administrators and (a
          delegation of) the management and the supervisory board
          of JOMED N.V. continued to make efforts to realize a
          refinancing of JOMED N.V. For this purpose negotiations
          were conducted with a consortium of shareholders which
          stated that it represented the majority of the
          shareholders.

          On 13 March the administrators sent a letter to all
          creditors known to them.  By means of this letter the
          administrators gave advice on the vote about the final
          granting of suspension of payments.  The letter has
          been published on http://www.houthoff.com/jomed

          In the period of the provisionally granted suspension
          of payments, administrators and JOMED N.V. frequently
          consulted with the major creditors of JOMED N.V. and of
          some of its subsidiaries.  On 27 March 2003, for
          example, a meeting was held in Amsterdam attended by
          the majority of the major creditors.  At this meeting
          the administrators and a delegation of the management
          of JOMED N.V. provided information, which information
          was also made public after this meeting by means
          of a press release (see the press release of 28 March
          2003; on http://www.jomed.com)

          On 1 April 2003 JOMED N.V. engaged Credit Suisse First
          Boston (CSFB) to render assistance as investment bank
          with a view to the sale of activities of the JOMED
          Group.

          On 4 April 2003, an extension of the Standstill
          Agreement entered into on 3 February 2003 was agreed
          with the banks. Pursuant to this agreement the banks
          maintained the respective credit lines at the formerly
          frozen level of 3 February 2003 without making use of
          their contractual rights such as a setoff. The
          extension of the Standstill Agreement was valid up to
          and including 2 May 2003.

          Also on 4 April 2003, two subsidiaries of Jomed N.V.
          i.e. JOMED Benelux S.A. and JOMED, Inc.  raised funds
          from a third party to the amount of EUR5 million in
          order to face urgent liquidity problems.  These
          subsidiaries provided securities to
          obtain the funds.

          On 8 April 2003 the administrators, JOMED N.V. and
          three shareholders who indicated that they held the
          majority of the JOMED N.V. shares (the Consortium)
          signed a Term Sheet regarding the conditions for a
          refinancing (see also the press release of 11 April
          2003 on http://www.jomed.com). In accordance with this
          Term Sheet the consortium would provide a loan for an
          amount of EUR55 to EUR60 million against a yearly
          interest of 8%.  To this loan, 20,000 warrants per loan
          amount of EUR100,000 would be attached. The warrants
          would be exercisable at a price of CHF 6 per
          share.

          Later, on 24 April 2003, an interested third party made
          an offer to JOMED N.V., JOMED Inc. and the
          administrators.  This offer concerned the acquisition
          of assets of the product groups intravascular ultra
          sound (IVUS) and functional measurement (FM).  These
          product groups belong to JOMED, Inc., although some
          other companies also carry out such activities.

          On 28 April 2003 an extraordinary general meeting of
          shareholders of JOMED N.V. took place in Amsterdam.  At
          this shareholders meeting, a vote was cast on the two
          present alternatives for a restructuring of JOMED N.V.
          The first alternative - i.e. a refinancing by a
          consortium - was adopted by the shareholders. The
          second alternative was a proposal to disinvest certain
          business assets (such as the IVUS and FM business
          assets: see above).  This proposal was rejected by the
          majority of the shareholders present.

          Partly because the refinancing offer, as proposed by
          the Consortium, offered the best possibility for the
          repayment of all creditors of JOMED N.V., it was
          decided on 29 April 2003 not to accept the IVUS and FM
          offer dated 24 April 2003.  The negotiations with the
          Consortium were then continued.  A condition for the
          refinancing was an agreement with the US Bondholders to
          limiting their disputed claims.  On 2 May 2003, the US
          Bondholders voted against the final granting of the
          suspension of payments, after which the bankruptcy was
          declared.  Should refinancing previously have led to
          withdrawal of the suspension of payments, later
          on refinancing was only possible within the framework
          of a plan of composition (akkoord) during bankruptcy.

     (iv) Activities of the trustees

          After 2 May, the Consortium continued negotiations in
          order to provide JOMED N.V. with new funding by means
          of a plan of composition.  Within this framework
          the Consortium was only prepared to provide funding on
          the condition that the number of warrants to be issued
          was doubled and the exercise price was divided
          into halve.  However, on 16 May 2003 it appeared that
          the Consortium did not (longer) represent the majority
          of the shareholders, which resulted in doubt
          whether it would be possible to obtain the necessary
          shareholders approval. It also appeared that the
          Consortium was no longer prepared to purchase the claim
          of the US Bondholders against JOMED N.V., as desired by
          the US Bondholders.  As a result, no agreement could be
          reached between the Consortium and JOMED N.V. on
          several important aspects. Subsequently the
          negotiations were broken off.  The Consortium recently
          required compensation from JOMED N.V. for the costs it
          had made.  This claim, regarded by the Consortium as a
          claim on the estate, amounts to  EUR0.5 million and
          will be rejected by the trustees. After 16 May 2003,
          the trustees with the management board of the
          subsidiaries of JOMED N.V. and with CSFB, made further
          efforts to sell the assets of, in particular, the
          subsidiaries.

          On May 26th 2003, Jomed N.V. and its subsidiaries have
          signed an asset purchase agreement with Abbott AG, an
          affiliate of Abbott Laboratories.

          As a consequence of this agreement, Abbott and its
          local subsidiaries have acquired certain assets of
          Jomed N.V. and substantially all of the assets of
          Certain of its subsidiaries, with the exception of: (i)
          assets belonging to the IVUS and FM divisions; (ii)
          minority participations; and (iii) some minor assets.
          The transaction closed on June 30th, 2003 and the total
          purchase price is EUR83 million, which consists of EUR23
          million, which consists of current liabilities of the
          subsidiaries of Jomed N.V. assumed by Abbott, and a
          cash consideration of EUR60 million.  Certain
          deductions for the full repayment of the bridge loan
          made by Abbott to Jomed N.V. and its subsidiaries on
          May 26, 2003; and (ii) EUR5 million for the payment of
          Certain secured loans and fees. Of the remaining EUR50
          million, approximately EUR5 million has been paid to
          Jomed N.V. and approximately EUR45 million has been paid
          to the subsidiaries of Jomed N.V. Different from what
          was intended on 26 May 2003, it was decided that an
          Abbott affiliate purchase the shares in JOMED Japan Co.
          Ltd. (instead of certain assets and obligations of JOMED
          Japan Co. Ltd.).  The purchase price for these shares
          is EUR4 million and is included in the approximately
          EUR5 million that JOMED N.V. has meanwhile received.

          Within the framework of the bridge loan, the banks
          agreed to a new Standstill Agreement on 27 May 2003.
          In accordance with this agreement the banks
          reopened the credit lines - that had been frozen as of
          the date of the bankruptcy -- on the understanding that
          this time the credit lines had been frozen at the level
          of 27 May 2003.  This Standstill Agreement will be valid
          until 30 June 2003.

          The trustees, JOMED N.V. and JOMED, Inc. further
          negotiated on the sale of the IVUS and FM divisions,
          with the result that the party that had already made an

          offer on 24 April 2003, even increased its offer. This
          increased offer was considered acceptable.  Currently
          an  Asset Purchase Agreement is being negotiated.  The
          closing is expected to take place during the month of
          July 2003.

          The part of the purchase price that JOMED, Inc is
          entitled to, will, in combination with some other
          proceeds, most likely enable JOMED, Inc. to meet its
          remaining obligations, including the inter company
          obligations, after which the balance left after
          winding-up can be paid to its shareholder, JOMED N.V.
          Also, JOMED N.V. will receive approximately $1 million
          directly from this purchase price because of the sales
          of some patent applications belonging to JOMED N.V.

          The managing directors of JOMED, Inc. decided, with the
          consent of the trustees, to add an officer to the
          management of JOMED, Inc, by appointing Holly O'Hara as
          Chief Executive Officer.  She had not been working
          within the JOMED Group before.

          JOMED N.V. and its subsidiaries took out a Directors &
          Officers liability insurance with an insured amount of
          EUR23 million per claim and an absolute maximum of
          EUR46 million.  Not more than two claims per year can
          be allowed.  This insurance terminated on 1 April 2003,
          although certain claims may still be notified for a
          limited period of time. In this respect the trustees
          notified some circumstances that (may) result in
          claims.  The trustees have also notified a claim of
          SIREF S.p.A. because of damage suffered with respect to
          the purchase of shares JOMED N.V. for an amount of CHF
          21,470,000.  Finally, also in relation herewith, the
          trustees have held the members of the supervisory
          board, directors and officers of JOMED N.V. and its
          subsidiaries liable for damage that JOMED N.V. has
          sustained as a result of the irregularities ascertained
          up to now and the irregularities to be
          ascertained in the future.  The trustees will carry out
          further investigations on this issue and may conclude
          that some persons are not personally liable.

          The US Bondholders filed or announced to file various
          requests with the supervisory judge or the District
          Court for instructions to the trustees or for
          information, none of which has been allowed so far.

(b) Finances

      (i) Bookkeeping

          With respect to the bookkeeping of JOMED N.V. it should
          be observed that the irregularities found in this
          bookkeeping, are in fact the cause of the suspension of
          payment and bankruptcy of JOMED N.V. The results of
          this were analyzed by KPMG forensic accountants earlier
          this year.

          The public report of 10 March 2003 made mention of the
          fact that PricewaterhouseCoopers agreed to act as the
          new accountant to the JOMED Group.  The pro forma
          annual accounts for the financial year 2002 have been
          attached to this report as Annex 2, as well as a letter
          on this matter that the trustees received from PwC,
          dated 25 June 2003.  In this letter, PwC makes a
          statement on the pro forma balance sheet of JOMED N.V.
          as per the end of 2002.

     (ii) Assets

          The public report of 10 March 2003 mentioned the major
          assets as per the end of February 2003.

          After selling the assets of the subsidiaries, these
          companies will in principle be liquidated. At present
          it is not yet possible to indicate what exact amounts
          can be paid to JOMED N.V. on the basis of its inter
          company claims or in its capacity as shareholder.
          There are good reasons to expect that, apart from the
          Liquidation payment of JOMED, Inc., sums will be
          received from other subsidiaries as well.

          Bankruptcy account EUR19.7 million

          The above amount is exclusively made up of the balances
          on accounts that are directly administered by the
          trustees.  Estate costs must be paid from this amount.
          In connection with the sale to Abbott, approximately
          EUR5 million has been in connection with the sale of
          the IVUS/FM activities and $ 1 million will be received
          in the near future.

    (iii) Liabilities

          A list of claims filed has been attached as Annex 3.
          The result of the aforementioned sales is that several
          claims against subsidiaries for which JOMED N.V. is
          jointly liable, will be paid, so that the total amount
          of the claims of JOMED N.V. will decrease.

(c) Miscellaneous

         (i) Submission of Claims

            The supervisory Judge has not yet set a date for the
            submission of claims.  If so, the trustees will
            notify the creditors known to them, as well as
            advertise any such date in the Dutch newspapers 'Het
            Parool' and 'Het Financieele Dagblad' and by posting
            it on a website to be referred to below.

            Granting of the claims and claims admission meeting
            Under Dutch law, the creditors have the right to
            attend the claims admission meeting.  Not later than
            at this meeting, the trustees will decide which of
            the claims, and what amount thereof, they will admit.
            At this meeting, the creditors as well as the
            bankrupt party may dispute the trustees' decisions
            regarding admission of both their own claims and
            those of other creditors.

            All creditors of JOMED N.V. will be informed on time
            of the claims admission meeting and be allowed to
            attend and cast their vote.

            The trustees do not expect that JOMED N.V. will offer
            a plan of composition on which a vote would have to
            be cast at the claims admission meeting.

       (ii) Provision of information to Creditors

            The public reports of the trustees can be consulted
            on: http://ww.houthoff.com/jomed


            The next public report will appear on or around
            Wednesday 1 October 2003.  If there is any reason for
            an interim announcement, the trustees will also inform
            the creditors in between.

            Creditors that wish to be kept informed of
            announcements of the trustees, are required to send an
            e-mail to c.zijderveld@houthoff.com

The Dutch version of this report is available on:
www.houthoff.com/jomed.  In the event of any difference between
the Dutch report and the English translation, the Dutch text will
prevail.  The public reports are available for inspection, free
of charge, at the bankruptcy registry of the Amsterdam District
Court.  The District Court does not provide free copies.

Amsterdam, 1 July 2003.
R.J. graaf Schimmelpenninck
M.Ph. Van Sint Truiden
Parnassusweg 126
1076 AT Amsterdam


JOMED N.V.: Unloads Coronary and Peripheral Business to Abbot
-------------------------------------------------------------
Abbott announced it has completed the asset purchase of the
coronary and peripheral interventional business line of the JOMED
group for a cash purchase price of EUR60 million.  Abbott
announced plans to acquire JOMED in May.

"This is a significant milestone in our efforts to build a global
cardiovascular device business," said Robert B. Hance, vice
president, vascular devices, hospital products, Abbott
Laboratories.  "We look forward to integrating the new products
into our portfolio and welcoming our new colleagues to the Abbott
Vascular Devices (AVD) family."

JOMED's broad line of interventional cardiology and peripheral
devices, which include stents, stent grafts, angioplasty balloon
devices, and guiding and diagnostic catheters, will be integrated
into AVD.  These vascular products are used in the treatment of
arterial obstructions in the coronary arteries, bypass grafts,
lower extremities, kidneys and carotid arteries. Abbott currently
markets complementary products in the vessel closure, coronary
stent and embolic protection segments.

The JOMED asset purchase supports Abbott's strategy to build an
expansive array of vascular products.  Specifically, it enhances
AVD's global research and development, manufacturing and
commercial capabilities in the cardiovascular devices arena.

Abbott Vascular Devices will gain an experienced and dedicated
sales force to market its current and future products, as well as
a more substantial presence to complement its international
infrastructure.  The JOMED coronary and peripheral interventional
business line has strong relationships with clinicians and
institutions in more than 20 countries, further enabling AVD to
provide patients and customers outside the United States with
innovative vascular products.  Abbott Vascular Devices also will
gain sales, distribution and administrative offices including all
associated employees and administrative assets and intellectual
property in the peripheral and coronary cardiovascular devices
arena.

About Abbott Vascular Devices
Abbott Vascular Devices, Abbott's cardiovascular device
franchise, headquartered in Redwood City, Calif., is a medical
technology pioneer that combines its entrepreneurial spirit with
Abbott's pharmaceutical and hospital products heritage to deliver
specialized treatment options that dramatically improve the care
of people with cardiovascular disease.  Abbott Vascular Devices
brings the best of these backgrounds together to develop unique
vessel closure, coronary stent, and peripheral and embolic
protection technologies that meet the specialized needs of
cardiovascular disease treatment.

About Abbott Laboratories
Abbott Laboratories is a global, broad-based health care company
devoted to the discovery, development, manufacture and marketing
of pharmaceuticals, nutritionals, and medical products, including
devices and diagnostics.  The company employs more than 70,000
people and markets its products in more than 130 countries.  In
2002, the company's sales were US$17.7 billion.


JOMED N.V.: SWX Swiss Exchange Halts trading Early in the Week
--------------------------------------------------------------
JOMED N.V., a medical technology company incorporated in the
Netherlands and listed on the SWX Swiss Exchange asked the SWX
Swiss Exchange to suspend trading in its shares from 10.30h and
the remainder of Monday.

JOMED in brief

JOMED is the leading European developer and manufacturer of
products for minimally invasive vascular intervention.  It
currently provides a range of over 2,000 products in over 70
countries. JOMED's shares are listed on the main segment of the
SWX Swiss Exchange (SWX: JOM). For more information, please visit
http://www.jomed.com

CONTACT:  Christiaan Zijderveld
           Assistant to the bankruptcy trustees
           Phone: + 31 20 577 2366

           Jorgen Peterson
           Acting Chief Executive Officer
           Phone: +46 42 490 6014

           Lars-Johan Cederbrant
           Acting Chief Financial Officer
           Phone: +46 42 490 6048


NOWA ZARZYNA: Holding's Case Summary & Unsecured Creditor
---------------------------------------------------------
Debtor: Nowa Sarzyna Holding B.V.
Equity Trust Co. N.V.
Schouburgpleim 30-34
3012 CL Rotterdam
Netherlands

Bankruptcy Case No.: 03-14228

Type of Business: The Debtor is an affiliate of Enron Corp.

Chapter 11 Petition Date: June 27, 2003

Court: Southern District of New York (Manhattan)

Judge: Arthur J. Gonzalez

Debtors' Counsel: Brian S. Rosen, Esq.
Weil, Gotshal & Manges LLP
767 Fifth Avenue
New York, NY 10153
Tel: 212-310-8602
Fax : 212-310-8007

Estimated Assets: $10 Million to $50 Million

Estimated Debts: $1 Million to $10 Million

Debtor's Largest Unsecured Creditor:

Entity                      Nature Of Claim     Claim Amount
------                      ---------------     ------------
Belastingdienst Grote      Income Tax Payable     $70,000
Ondernemingen



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


NCC AB: Sells Property Development Project for SEK 200 Million
--------------------------------------------------------------
NCC Property Development has sold the second phase of the
property-development project at Mannerheimvagen, close to central
Helsinki.  The sales price is approximately SEK200 million and
the purchasers are three trade union organizations.  The sale
will yield a healthy development gain and will affect NCC's
earnings for the second quarter of 2003.

The second phase, which is now being sold, comprises 13,700
square meters, including 8,200 square meters of office space.
The building is fully leased.  The property, which has an
attractive location on Mannerheimvagen, close to central Helsinki
and about a 20-minute car journey from the airport at Vanda, is
scheduled for completion at the beginning of summer 2004.

The first phase was sold in December 2002 to Nordisk Renting.

All of NCC's press releases are available on http://www.ncc.info
NCC is one of the leading construction and property development
companies in the Nordic region. NCC had in 2002 sales of SEK 45
billion, with 25,000 employees.

                      *****

NCC announced last month it is cutting half of the 200 positions
at its property development business as continued market decline
necessitates further restructuring.

CONTACT:  NCC AB
           Jorma Ahokas
           Senior Vice President, Property Development
           Phone: Tel +358 506 7390



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


ABB LTD: Credit Facility Amendments Improve Contingent Liquidity
--------------------------------------------------------------
Standard & Poor's Ratings Services said that amendments recently
agreed to Switzerland-based engineering group ABB Ltd.'s
(BB+/Negative/B) key $1.5 billion credit facility will improve
the group's contingent liquidity.

"Most significantly, proceeds from specific capital market
transactions of up to US$500 million, and specific asset
disposals will no longer, or only partly, reduce the amounts
available under the credit facility," said Standard & Poor's
credit analyst Ralf Kortuem.  "Lenders now also allow ABB
Ltd. to resort to additional specific secured funding of up to
US$300 million with third banks."

The financial covenants of the credit facility remain essentially
unchanged.  In the absence of any major negative events, the
levels required at June 30, 2003, appear to be achievable.  In
view of the disposals that have been completed over the past few
weeks, the same holds true for the minimum level of proceeds from
disposals and other specified alternative sources that are
required to be received by ABB by June 30,
2003.

On June 30, 2003, ABB filed the Form 20-F for the fiscal year
ended Dec. 31, 2002, with the U.S. Securities and Exchange
Commission.  The filing contains the details of its $1.5 billion
revolving credit facility agreement of Dec. 17, 2002, and the
amendment agreement of June 23, 2003.


ASCOM: Sells PBX and Energy Systems Units to Canadian Asstra
------------------------------------------------------------
Ascom sells the PBX business to the Canadian Aastra Technologies
Limited for around CHF35 million.  Simultaneously the already
announced sale of Energy Systems to Delta Electronics (Thailand)
Public Company Limited has also been successfully concluded.
With these divestments Ascom has taken an important intermediate
step on the path to becoming a solutions and services oriented
technology company with a strong market presence.

With the sale of the Energy Systems and PBX business units, Ascom
has achieved an important objective.  In July 2002 Ascom decided
to focus the company on a few core markets with profitable growth
possibilities and low capital investment.

"With the divestment of Energy Systems and PBX Ascom has
succeeded in a difficult M&A environment in taking an important
intermediate step for the continued development of the company",
says Juhani Anttila, Ascom Chairman of the Board of Directors and
CEO.  Through the divestments, the debt relief of Ascom has made
important progress and the balance sheet structure has been
tightened further.

The other intended divestments, in particular the sale of
property, will be implemented in the second half of 2003.

Sale after successful turnaround of PBX

Ascom sells the PBX business unit with five companies and assets
in a further 9 countries to Aastra Technologies Limited for
around CHF35 million.

The two companies signed a purchase contract on 30 June 2003.  In
the context of a continuous search for strategic partnerships,
the opportunity arose at short notice to pass PBX into new hands
without book loss prior to transaction costs.  PBX and Aastra
operate in complementary technologies and markets.

PBX employs a staff of around 500.  PBX closed the year 2002 with
a loss of CHF27 million.  Thanks to the consistent adaptation of
the cost structures, the Ascom management team has brought the
business unit back into the black in the current year.

With Aastra Technologies Limited, Ascom has found a stable and
successful purchaser for PBX.  The future-oriented solution meets
the interests of the whole group as well as those of the business
unit.

Aastra Technologies Limited has its headquarters in Concord
(Province of Ontario, Canada).  Aastra develops and markets
products and systems in the field of telecommunications networks.
"With the takeover of PBX we can almost double our revenues and
significantly strengthen our position in Europe", says Francis
Shen, Aastra Chairman of the Board of Directors and CEO.  "With
the PBX systems we achieve a strong position in the market for
enterprise communications."

Successful closure of the sale of Energy Systems

The sale of the Energy Systems business unit has been
successfully concluded at the conditions announced in April 2003.
Ascom has sold Energy Systems and its companies, as well as all
associated assets for around CHF150 million to Delta Electronics
(Thailand) Public Limited Company.  In addition, Delta will also
take over long-term liabilities of approximately CHF30 million.

In 2002 Energy Systems suffered an operational loss of CHF25
million.

Ascom core areas on course in 2003

The profitability of the Wireless Solutions, Security Solutions
and Transport Revenue business units developed positively during
thefirst months of 2003. T he measures that were announced in
January 2003 to improve the results are having an impact.

The development with Wireless Solutions is pleasing.  The
business unit's profitability in the first five months of 2003
lies over the budget and over last year's result.  The turnaround
of Transport Revenue also developed positively. Critical projects
were brought to a conclusion.  In the current year, Security
Solutions has been able to increase profitability.

In spite of initiated restructuring measures, Network Integration
failed to achieve its targets for the first months. Further
measures to improve the result will be implemented.

In the remaining cooperation areas (Payphones and Manufacturing)
Ascom will consistently carry out further programs to improve
profitability and simplify structures.

Ascom will report in detail on the results of the first half-year
of 2003 on 4 September 2003.

About Ascom
Ascom is a solution and services oriented technology company that
claims a market-leading role in its areas of business activity.
Ascom plans, builds and maintains worldwide, secure, high-
availability voice and data networks and develops solutions for
revenue collection systems.  Ascom's business units offer
demanding customers tailor-made comprehensive solutions along the
whole of the added-value chain - with a service-oriented
portfolio and proven technology know-how.  Ascom strives for a
profitable growth worldwide.  The Ascom registered shares (ASCN)
are quoted on the SWX Swiss Exchange in Zurich.

CONTACT:   Ascom Group Finances
            Ascom Management AG
            Rudolf Hadorn
            Chief Financial Officer
            Stettbachstrasse 6
            CH-8600 Dubendorf
            Phone: +41 1 631 14 15
            Fax +41 1 631 28 00
            E-Mail: investor@ascom.com
            Homepage: http://www.ascom.com


SWISS INTERNATIONAL: Takes Delivery of First Airbus A340-313
------------------------------------------------------------
With the introduction of the new Airbus A340-313, SWISS is
embarking on the renewal of its long-haul fleet.   SWISS will be
taking delivery of a total of seven A340-313s, scheduled to
progressively replace the existing Boeing MD-11s.  Reclining
seats in Swiss Business, the largest individual screens in the
airline branch for Swiss Economy and a camera mounted beneath the
cockpit are just some of the highlights of the new aircraft.

Comfortable, environmentally friendly, economical and state-of-
the-art both technically and operationally - these are some of
the many favorable aspects of the new Airbus A340-313 purchase.
It is an investment in the future of SWISS, despite the currently
difficult economic environment.  SWISS is banking on an
attractive fleet of aircraft, optimized to meet the requirements
of its passengers.  With the A340 SWISS can offer the most modern
product in every respect that SWISS is competitive in this
segment and is in keeping with the new Business model --
Excellence in international travel -- Efficiency in European
traffic.

Seven aircraft will be delivered in 2003, with two more following
in 2004.  The first seven machines will be introduced in a three-
class configuration, with a total of 228 seats (8 First Class, 48
in Swiss Business and 172 in SWISS Economy).

Despite the investment costs, the SWISS A340s will be saving
money from day one.  Compared with the current MD-11s, the
operating costs are about 10% lower.  In addition, the new
aircraft will benefit the environment by causing less noise and
noxious emission pollution

The first Airbus A340-313 "Matterhorn", with the registration HB-
JMA, is on Monday being flown from the Airbus facilities in
Toulouse to Switzerland.  The anticipated time of arrival at
Zurich-Kloten was between 20:30 and 21:30.

The new A340 will start scheduled flights with SWISS on July 8.
The first destinations to be served will be Dubai and Karachi.

Financing

A binding basic agreement for the financing of the nine aircraft
has been concluded with Airbus, the manufacturer.  SWISS
negotiated until the last moment before delivery and has now
reached agreement on the leasing rates, which totally conform
with the market for the nine A340s which are to be delivered in
2003/2004.  SWISS is relieved that Airbus, as the prime partner,
has made the necessary concessions which are essential for the
implementation of the new Business Plan.  The contracts for all
nine machines are valid for 12 years.

Internal configuration

The new SWISS Business features a generous seat pitch of about
152 cm and the new lie-flat seats which may be converted into a
level resting surface at an angle of 13°, thus providing the
passenger with a really relaxing night's repose.  SWISS is the
first airline in continental Europe to offer reclining comfort of
this kind: The seats are also notable for extremely practical
details, such as storage space for shoes, bottled drinks and
reading material.  The unpopular middle seat has been dispensed
with.

SWISS Economy represents good quality with at a fair
price/service ratio.  It features the largest individual screens
in the airline branch with an impressive diagonal measurement of
23 cm.  The seat pitch may be increased to a comfortable 84 cm.
This has been made possible by means of the use of new materials
for the seat backs which permit about 5 cm to be saved without
any loss of comfort.

The seats in SWISS First have been further improved and can now
be converted into a completely flat bed 203 cm in length and 60
cm in width.

With the new Inflight Entertainment System, all passengers have
the possibility of calling up, at any time, the films on offer
(Video and Audio on Demand) on their individual screens.  In
addition, there are video games and an SMS service, with which
the passengers can send short-text messages to all types of
mobile phones, fax or to all E-mail addresses worldwide.  A
further interesting plus point is the under-nose camera, which
enables take-offs and landings to be seen from an unusual
perspective.  During the flight, pictures of the landscapes being
seen will also be displayed.

Less noise

The new SWISS long-haul aircraft not only provide more comfort
for the passengers but are also more economic to operate and more
environmentally friendly than the MD-11 because of lower fuel
consumption and this will please residents near airports. In
comparison with the MD-11, the A340-313 on final approach
generates a noticeable 5 bB(A) less noise.  The four-engine
aircraft generates even less noise than the considerably lighter
MD-80.  The A340-313 is also three to four decibels less noisy
than the MD-11 at take-off.  This will be clearly evident to
residents in the approach and landing sectors at Zurich Airport.

CONTACT:  SWISS
           Corporate Communications
           P.O. Box, CH-4002 Basel
           Phone: +41 (0) 848 773 773
           Fax: +41 61 582 35 54
           E-mail: communications@swiss.com
           Homepage: http://www.swiss.com


SWISS AIR: Debt Restructuring Agreement Now Legally Enforceable
---------------------------------------------------------------
No appeals against the confirmation decision of the debt
restructuring judge in the case of Swissair Swiss Air Transport
company AG were received within the set appeals period.  As such,
the debt restructuring judge's confirmation of the debt
restructuring agreement involving the surrender of assets became
legally enforceable on 16 June 2003.

It applies both to creditors who voted in favor of the agreement
and to those who voted against.  Karl Wuthrich was appointed
Liquidator and Messrs. Kurt Meier, Armin Vuillemin, Felix
Kuster, Markus Johl, Franco Lorandi, Dieter Hauser and Aurelio
Ferrari appointed as members of the Creditors' Committee at the
meeting of creditors on 6 March 2003.  In his ruling dated 22 May
2003 the judge in Bulach appointed Niklaus B. Muller of Zurich,
attorney-at-law, as deputy to the Liquidator in the event of any
conflicts of interest with SAirGroup, SAirLines or Flightlease
AG.

The Liquidator and Creditors' Committee will continue to realize
the company's assets.

Statements are currently in preparation for those employees who
accepted the offer made in the debt restructuring agreement.
They will be informed of the procedure for paying out their
claims.  The Liquidator and his staff will draw up a schedule of
claims in order to ascertain the other creditors entitled to
receive a share of the liquidation proceeds and the priority to
be awarded to their claims.

Now that the confirmation decision of the debt restructuring
judge is legally enforceable in the case of Swissair Swiss Air
Transport Company Ltd, the debt restructuring judge in Zurich
will make his decision with regard to the debt restructuring
agreements in the cases of SAirLines and SAirGroup.

CONTACT:  Administrator/Liquidator
           Home Page://www.sachwalter-swissair.ch

           Filippo Th. Beck
           Wenger Plattner
           Phone: +41 (0)1 914 27 70
           Fax: +41 (0)1 914 27 88


ZURICH FINANCIAL: BNP Deal Leaves Zurich Capital Ratings Unmoved
----------------------------------------------------------------
Fitch Ratings, the international rating agency, said its ratings
and Outlook on Zurich Capital Markets remain unchanged (see
below) following the recent announcement that Zurich Financial
Services and BNP Paribas are negotiating the transfer of certain
Zurich Capital Markets group businesses to BNP Paribas.

Zurich Financial Services's announcement stated that it had
signed a letter of intent with the Paris-based BNP Paribas
(Ratings: Long-term: 'AA', Short-term: 'F1+').  The letter of
intent provides a framework for the transfer of certain
derivatives transactions and related assets from Zurich Capital
Markets to BNP Paribas.  It is envisioned that the transfer of
assets and operations will include the transfer of some Zurich
Capital Markets staff along with proprietary technology and
intellectual property.

The Insurer Financial Strength rating of Zurich Insurance Company
remains unchanged at 'A' with the Long-term rating remaining at
'A-' (A minus).  In addition, the rated entities of the Zurich
Capital Markets group (Zurich Capital Markets Matched Funding
Corp., Zurich Bank and Zurich Capital Markets Inc.) are affirmed
a Long-term 'A' and Short-term 'F1'.  The rating Outlook for the
IFS and Long-term ratings remains Positive.

The ratings assigned to the above members of the Zurich Capital
Markets group are principally based on surety bond commitments
from Zurich Insurance Company of up to USD3 billion for each
entity, which are expected to rank pari-passu with other
policyholder obligations.  In addition, the three rated entities
benefit from an unlimited guarantee that is offered jointly by
ZFS and Zurich Group Holding.  Fitch understands that under the
proposed terms of the transfer, Zurich Capital Markets Matched
Funding Corp., Zurich Bank and Zurich Capital Markets Inc. will
continue to be part of the Zurich Group.  The surety bonds and
guarantees that protect these entities will remain in place and
their ratings therefore remain unchanged.

Zurich Capital Markets provides financial products and services
to financial institutions, investment funds and ultra high net
worth individuals.  The group provides a range of services
including structured products (to allow clients to modify
investment returns and improve asset liquidity), asset management
(through fund of hedge funds and multi-manager funds) and
administrative services.  Zurich Capital Markets reported a loss
of USD150 million in 2002, including before tax restructuring
costs of USD57 million, compared to a net income of USD118
million in 2001.  It has assets of around USD12.4 billion.

Fitch believes that the framework for transferring transactions
to BNP Paribas is a further positive step towards the execution
of Zurich Financial Services's strategic plan.  As the ultimate
parent of Zurich Insurance Company, it announced in September
2002 that it would focus on its core insurance activities and has
made substantial progress.  A sale of Zurich Capital Markets
assets would be expected to reduce the required level of risk-
based capital as well as improving the liquidity profile of the
group.  The update concerning Zurich Capital Markets is the
latest of several made during recent weeks, which have included
announcements on the future of Zurich Life (USA), Threadneedle
Asset Management (U.K.) and Zurich Invest Bank (Switzerland).
The agency expects further progress on the strategic plan during
the next 6 to 9 months, which will include delivery on a profit
improvement plan for 2003 and a risk-based capital improvement
target by early 2004.



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


ABERDEEN ASSET: Unveils Details of Fund Restructuring Project
-------------------------------------------------------------
Aberdeen Asset Managers, announced full details of its fund
rationalization project across its range of U.K., Dublin
(Aberdeen International) and Luxembourg (Aberdeen Global)
domiciled open-ended funds.

The aim of the restructuring, subject to investor and regulatory
approval, is to position Aberdeen as a provider of specialist
funds and differentiated mainstream products while streamlining
product offerings and eliminating inconsistencies and overlaps.

The rationalization is a further significant step in Aberdeen's
overall strategy of focusing on core strengths in the active
management of equity and fixed income securities based on a
rigorous and consistent, but distinctive, investment process.
The key driver is to position funds fully in line with that
investment process and to eliminate those which do not have
critical mass, or whose positioning is inconsistent with the
business strategy, or which overlap with other funds in the
Aberdeen range.

In line with this strategy Aberdeen sold six U.K. retail funds to
New Star Asset Management in February 2003 and, more recently,
two small emerging market debt sub-funds of a Guernsey-domiciled
protected cell company to Convivo in May 2003.

Gary Marshall, Head of Sales & Marketing at Aberdeen Asset
Managers, comments:

"At the end of the project Aberdeen will have clearly
differentiated product offerings in established asset classes
based on a distinctive investment process which aims to deliver
significant outperformance when compared to the more commoditized
benchmark driven funds on the market.  These will be complimented
by an extensive range of specialist funds, many of which are
highly regarded in their field and have benefited from
application of the same investment process over many years.
Indeed, the conditions experienced in emerging markets in recent
years have enabled the process to be strengthened in an extremely
testing environment."

"It is our view that the panoply of change currently facing the
investment funds industry will see a significant transformation
in distribution patterns and product offerings.  We are setting
our stall out clearly as a specialist provider of high added
value products to professional investors: we see demand growing
as fund-of-fund providers proliferate and as professionals look
to add 'spice' to otherwise commoditized portfolios."

Aberdeen also plans to move its entire U.K. unit trust range
wholly within the corporate structure of an open-ended investment
company (OEIC).  The flexibility of an OEIC to offer different
share classes to different segments of the marketplace is a key
driver in this decision and it is our belief that there is the
growing acceptance that the OEIC is the more modern product
structure.  Aberdeen has had funds available within an OEIC
structure for some years now, but intends to move the remainder
of its U.K.-domiciled unit trusts to that structure over the near
term to ensure consistency across the entire open-ended fund
range in Europe (U.K., Dublin and Luxembourg).  All such plans
are subject to regulatory and investor approval.

Following the current round of re-structuring (should all
proposals become effective), Aberdeen will have 47 open-ended
funds domiciled in Europe, as opposed to 68 previously.  Full
details of the changes are listed on the print version of this
release.

To See Print Version: http://bankrupt.com/misc/Print_Version.pdf

CONTACT:  Gary Marshall
           Aberdeen Asset Managers
           Phone: 020 7463 6000

           Louise Hatch/Claire Burston
           Penrose Financial
           Phone: 020 7786 4885


AES DRAX: Parent Agrees with Creditors Regarding Restructuring
--------------------------------------------------------------
The AES Corporation announced that its subsidiaries (referred to
as the AES Drax Companies) reached agreement with the steering
committees representing the Senior Creditors on the terms of the
restructuring of AES Drax.  In conjunction with the agreement,
AES Drax is requesting a further extension of the standstill
period to permit the parties to prepare the more definitive
documentation necessary to secure the approval of the
restructuring and to obtain consent of the relevant judicial
authorities.

Pursuant to the terms of the proposed restructuring, AES will
receive a net operating fee of GBP3.5 million under a long-term
operations and maintenance agreement.  AES will also be able to
invest an amount not to exceed GBP60 million to purchase certain
classes of restructured debt.  AES's new investment will be as a
secured creditor to the restructured Drax project.  Closing of
the restructuring transaction is expected to occur in the forth
quarter of 2003 and is subject to finalization of the terms and
conditions of the transaction documents, the requisite consent of
senior creditors, as well as approval from the relevant courts in
England, Cayman Islands, and Jersey.  There can be no assurance
that the approvals and/or other conditions to the proposed
restructuring will be satisfied.

Paul Hanrahan, President and Chief Executive Officer, commented
"This restructuring represents the first opportunity for AES to
participate in the distressed asset market as an O&M operator and
investor.  This is one of the areas of strategic interest that we
have been evaluating for several months.  What is particularly
attractive about the Drax opportunity for us is that we know both
the market and the asset extremely well.  The successful
restructuring of DRAX provides us with a strong base to develop
other select opportunities where there are distressed power
assets with a need for strong operation and management
capabilities.  We are pleased with the restructuring agreement
reached between the parties and the cooperation evidenced between
the AES Drax Companies and the AES Drax senior creditors as they
navigated through the collapse of TXU Europe."

AES is a leading global power company comprised of contract
generation, competitive supply, large utilities and growth
distribution businesses.

The company's generating assets include interests in 158
facilities totaling over 55 gigawatts of capacity, in 28
countries.  AES's electricity distribution network sells 108,000
gigawatt hours per year to over 16 million end-use customers.

For more general information visit our web site at
http://www.aes.comor contact investor relations at
investing@aes.com

CONTACT:  The AES Corporation
           Kenneth R. Woodcock, 703/522-1315


AES DRAX: Fitch Downgrades Bonds; Comments On Restructuring
-----------------------------------------------------------
Fitch Ratings, the international rating agency, has downgraded
the ratings of the Senior Secured bonds issued by AES Drax
Holdings Ltd (DrxHold) to 'C' from 'CC', and kept them on Rating
Watch Negative.  At the same time, Fitch is maintaining the
ratings of the senior secured bank loan issued by Inpower Ltd and
the senior notes issued by AES Drax Energy Limited (DrxEn) at
'DD' and 'D', respectively.  All these issues relate to 3.96 GW
coal-fired Drax power station located near Selby in the U.K.,
which represents about 8% of the U.K. market.

Interest payment on DrxHold bonds and Inpower debt due on June 30
will be met.  Nevertheless, the downgrade of DrxHold's bonds to
'C' reflects their imminent default, as Fitch expects DrxHold to
enter into a court-sanctioned scheme of arrangement to effect a
debt restructuring in the coming months.  The difference of
rating between the bonds issued by DrxHold and the bank loan to
Inpower, which are both pari passu senior obligations in the
complex financing structure of Drax, continue to reflect the fact
that, unlike Inpower bank debt, DrxHold's bonds are not currently
in default.

On Tuesday, Drax requested a further extension of the senior
standstill arrangement -- which started in December 2002 -- until
the end of July, with possible further extension until Aug 14,
2003.  While such an extension must be approved by 67% of senior
bank lenders and 51% of senior bondholders, Fitch expects the
approval to be forthcoming given the steering committees'
involvement in the negotiations.  At the same time, Drax
announced that it will meet interest payment due on Inpower and
DrxHold's debt on June 30.  This extended standstill period will
allow Drax to finalize the details of the debt restructuring and
present it for the approval of its senior creditors, on the basis
of cash flow projections to be presented.  Fitch notes that the
restructuring is expected to result in a considerably reduced
financial burden for the company.

The broad restructuring principles have now been agreed with the
senior creditors' steering committees and involve the conversion
of c. GBP1.3 billion outstanding senior debt into 30% super-
senior amortizing debt ('A-1'), 34% senior debt ('A-2|'), which
will start to amortize when A-1's principal has been reduced by
50%, 25% of 'B' debt secured by proceeds to be received from TXU
Europe following termination of the power hedge agreement between
it and Drax, and 10% of quasi equity ('C' tranche and associated
equity).  Each tranche is subordinated to the previous one in
terms of position in the cash flow waterfall and security, except
that Tranche B creditors have a priority claim on TXU
receivables.

The senior lenders will also be provided with a cash-out option,
funded by a mixture of Drax's remaining cash and up to GBP60
million facility provided by AES Corp, which gives them the
option to sell their A-2 tranche at 47% of par and their C
tranche at 1% of par (both tranches have to be tendered
together).  To the extent that the cash out option is funded by
AES Corp, it will have the option to acquire a corresponding
amount of equity.  The remaining equity in the project will be
issued to Tranche C debtholders.  DrxEn notes are secured by the
shares of a holding company above the level in which senior
creditors hold security, so that the value of senior creditors'
equity stake post restructuring would not be affected by any
enforcement action of DrxEn noteholders.

In addition to the debt noted above, a new credit support
facility of GBP60 million-100 million would be provided to
support Drax's trading activity, which would be senior to all
other debt in the company.  Under these proposed terms, the
ultimate financing structure of Drax after the restructuring will
depend, inter-alia, on the final details of the restructuring
agreement as well as the proportion of lenders exercising the
cash out option, and the final termination payments due on the
interest rate and cross-currency swaps.  As previously noted, the
restructuring is nevertheless expected to result in a
considerably reduced financial burden for the company.  The
majority of equity is expected to be held by senior lenders,
although AES Corp is expected to continue to operate the plant
under an operating and management contract.

Fitch notes that Drax has filed a GBP351 million claim for unpaid
amounts and liquidated damages as a result of the November 2002
termination of the power purchase contract with TXU Europe.
There is still considerable uncertainty regarding the precise
quantum and also the timing of amounts to be received from this
claim, due to the ongoing administration of TXU Europe.  Even if
Drax was successful in recovering 100% of its claim (resulting in
100% repayment of Tranche B), the senior lenders exercising their
cash out option would ultimately receive a package of cash and
debt equal to 71% of the original debt amount, a loss level which
is consistent with the 'DD' rating assigned to Inpower.

In addition, Fitch notes that holders of DrxEn notes gave notice
of enforcement of their security at the end of May.  Following a
90-day period, they will have the possibility, subject to the
terms of the inter-creditor agreement, to enforce their security
and sell the shares of DrxEn.  As stated above, Fitch does not
believe that this action will affect Drax' senior creditors.

The ratings of DraxHold and Inpower are expected to be equalized
when the borrowers initiate the court actions necessary to effect
the debt restructuring.


ARDAGH GLASS: Long-Term Credit Rating at 'BB'; Outlook Stable
-------------------------------------------------------------
Standard & Poor's Ratings Services said it assigned its 'BB'
long-term corporate credit rating to Guernsey-based glass
packaging group Ardagh Glass Ltd. (Ardagh), the leading producer
of glass bottles for the food and beverage market in the
U.K. The outlook is stable.

At the same time, Standard & Poor's assigned its 'B+' senior
subordinated debt rating to guaranteed related-entity Ardagh
Glass B.V.'s proposed EUR175 million ($202 million) notes.  At
March 31, 2003, Ardagh had pro forma (after the proposed
transaction) total debt of EUR286 million, including secured bank
lines of EUR111 million and EUR175 million of senior subordinated
notes.

"The ratings on Ardagh reflect the group's aggressive financial
profile, due to high leverage, and the increased business risk
from exposure to the difficult German glass bottle market,
through troubled subsidiary Heye Glas, and the global glass
equipment market, through Heye International," said Standard &
Poor's credit analyst Vanessa Brathwaite.  "Although Heye
International should make a contribution to the group's cash
flows in 2003, Heye Glas is suffering from overcapacity and
pricing pressure in the German market, and is not expected to
make a meaningful contribution to the group's earnings in the
short term."

The ratings are also constrained by the group's limited
diversification, with a heavy dependence on the U.K. food and
beverage market, and high customer power, which has been
increased by the acquisition of Abruzzo Vetro in the Italian
market, which has just one customer.

"The ratings are supported, however, by Ardagh's leading position
and market share in the small but lucrative U.K. glass bottle
market and good cash flow generation that should enable the group
to reduce debt," said Ms. Brathwaite.

Ardagh's secured bank lines are made up of a EUR94 million
proposed bank facility, which will be put in place at the same
time as the new notes, and EUR17 million of short-term debt. This
large proportion of secured debt, which will rank ahead of the
proposed notes, means that the new bond will be rated two notches
below the corporate credit rating, reflecting the significant
level of structural subordination.

"Standard & Poor's expects Ardagh to continue to generate enough
free cash flow to reduce its debt," added Ms. Brathwaite.  "The
ratings do not factor in any debt-financed acquisitions."


ASPINALLS ONLINE: Still Bleeding Despite Steps to Contain Losses
----------------------------------------------------------------
Chairman's Statement

Introduction

I present the results for Aspinalls Online plc for the year ended
31 December 2002.

As referred to in my last Chairman's Statement, following the
acquisition in June 2001 of Gaming Ventures International
Limited, a company which operates two online gaming licenses, the
Group unfortunately suffered a sharp deterioration in trading
caused by the unsuccessful re-launch of the casino operations,
and the greatly increased rejection rates on attempted credit
card charges by GVI's customers.

These two factors, one specific to the Group and the other an
industry-wide phenomenon, led to a cut back of the business as
its management sought to preserve its customer base.  Despite
every effort to improve the software's performance and to provide
alternative means for customers to credit their accounts, the
Group continued to sustain unacceptable losses and depletion of
its cash resources.

Following a strategic review, the company announced on 16 April
2002 that its subsidiary, Aspinalls Online Limited, had entered
into an agreement with Golden Palace Limited under which the
management of the Group's online casino operations would be
outsourced to Golden Palace in return for a share of net revenue.
Under the revenue share agreement, Golden Palace has agreed that
it will pay Aspinalls Online Limited a commission based on the
aggregate of all monies staked by players on the existing
Aspinalls Online casino sites and any new site it establishes
using the company's URLs, less winnings and certain costs.   The
day-to-day running costs of the sites are now largely borne by
Golden Palace.

Following completion of the transfer of the operational business,
the overheads of the Group have been substantially reduced.

Results

Turnover for the Group was GBP559,000, and the Group made a loss
on ordinary activities before interest of GBP1,483,000.

As at 31 December 2002 the Group had net assets of GBP780,000,
including net cash of GBP1,244,000.

Future

The Group now has minimal ongoing costs associated with the
online casino operations, and the Board has taken steps to ensure
that continuing operational costs of the Group have been reduced
to the minimum necessary. The Board will write to shareholders
concerning any developments as they arise.

Damian Aspinall
Chairman

To view financials: http://bankrupt.com/misc/Aspinalls_Online.htm


BALTIMORE TECHNOLOGIES: Update on Controlled Sale Process
---------------------------------------------------------
Baltimore Technologies plc (London: BLM) announced the following
update to the controlled sale process it commenced on 22nd May.

Baltimore confirms that it is in advanced discussions regarding
several offers for the whole of the company, as well as several
offers regarding specific parts of the company, and will update
the market on the progress of those discussions in due course.

About Baltimore Technologies

Baltimore Technologies' products, services and solutions solve
the fundamental security and trust needs of e-business.
Baltimore's e-security technology gives companies the necessary
tools to verify the identity of who they are doing business with
and securely manage which resources and information users can
access on open networks.  Many of the world's leading
organizations use Baltimore's e-security technology to conduct
business more efficiently and cost effectively over the Internet
and wireless networks.  Baltimore also offers worldwide support
for its authorization management and public key-based
authentication systems.

Baltimore's products and services are sold directly and through
its worldwide partner network, Baltimore TrustedWorld.  Baltimore
Technologies is a public company, principally trading on London.
For more information on Baltimore Technologies please visit
http://www.baltimore.com

                      *****

Last month, Baltimore Technologies plc announced at its Annual
General Meeting that it is commencing a controlled sale process
to select a strategic partner.  The main highlights of the sale
process and current trading are:

- Baltimore to take opportunity to select strategic partner
through controlled sale process to best exploit its long-term
growth potential.

- JPMorgan appointed to manage controlled sale process, to seek
binding offers by 30 June 2003.

- GBP15.6 million cash balance at 30 April 2003, not including
GBP2-3 million due in the next 6 months from earlier divestments.

- Cash burn rate at the lowest level since end 2000.

- Loss before interest, tax and amortization for the four months
ended 30 April 2003 is broadly in line with management's
expectations.

- Revenues for the second quarter are currently anticipated to be
better than in the first quarter.

The loss before interest, tax and amortization for the first four
months ended 30 April 2003 was broadly in line with management's
expectations, despite revenue in the same period being below
expectations. Management anticipates that revenues for the second
quarter, ending on 30 June 2003, will be better than in the first
quarter.

CONTACT:  Smithfield Financial
           Andrew Hey
           Phone: 020 7903 0676

           Nick Bastin
           Phone: 020 7903 0633


BRITISH AIRWAYS: Ratings Cut to 'BB+'; Removed From CreditWatch
---------------------------------------------------------------
Following review Standard & Poor's said it lowered its long-term
corporate credit and senior unsecured debt ratings on British
Airways PLC to 'BB+' and 'BB-' from 'BBB-' and 'BB+',
respectively.  The downgrade concludes a review of the impact on
British Airways' creditworthiness of the war in Iraq and of the
severe acute respiratory syndrome-related demand weakness in
Asia.

In addition, the ratings on New York City Industrial Development
Agency's senior secured special facility revenue bonds, series
1998 and 2002 (a British Airways project), were also lowered to
'BB-' from 'BBB-'.  All ratings were removed from CreditWatch,
where they were placed on March 18, 2003.  The outlook is stable.

At March 31, 2003, British Airways reported GBP6.8 billion ($11.4
billion) of on-balance-sheet financial debt.

"As a result of the more challenging industry environment,
Standard & Poor's believes that British Airways' financial
profile and credit measures are no longer, nor are likely to be,
over the next several years, appropriate for an investment-grade
rating," said Standard & Poor's credit analyst Bob Ukiah.

The downgrade of the airport revenue bonds reflects the recent
review of protections available to bondholders, which concluded
that recoveries in the event of a British Airways insolvency
would be substantially similar to those of unsecured creditors,
as the bondholders are not secured by the underlying lease
between the airline and The Port Authority of New York and New
Jersey.

The ratings on British Airways reflect the group's high financial
leverage, additional future pension contributions, sustained
competition in key markets, structural deterioration in its
business mix, and an above-average exposure to North Atlantic
traffic.  These weaknesses are only partly mitigated by British
Airways' proven ability to reduce costs, its position as the main
player at London Heathrow Airport and in the "oneworld" airline
alliance, as well as modest investment requirements over the
foreseeable future.

British Airways' financial profile has deteriorated markedly over
the past few years.  The end of the airline's fleet renewal
program will, however, allow management to dedicate most company
cash flows to debt repayment, although it will take several years
before the company can significantly reduce its net debt-to-
capital ratio.

"British Airways should be able to improve its financial
position, despite the challenges and uncertain outlook of the
industry," said Mr. Ukiah.  "This should allow it to achieve
credit ratios appropriate for the revised ratings over the next
year or two."


CAZENOVE PLC: Year-end Results Show 30% Decline in Revenues
-----------------------------------------------------------
Cazenove Group plc announces results for the year ended 30 April
2003.

Financial Highlights:

(a) Revenues of GBP213 million showed a decline of 30% from
GBP305 million for the year to 30 April 2002.

(b) Investment Banking income was GBP177 million, 31% down from
GBP256 million in 2002, and Fund Management income was 27% lower
at GBP36 million from GBP49 million in 2002.

(c) Administrative expenses, before restructuring costs and
employee profit share, were GBP173 million, down 16% from GBP206
million on a comparable basis.  Total costs, excluding
restructuring costs, fell by 22%.  Cost reduction measures taken
during the year are expected to lead to a further fall in the
region of 4-5 % in operating expenses in the current financial
year.

(d) Profit before taxation and exceptional items was GBP14
million, down 77% from GBP60 million on a comparable basis.

(e) A final dividend of 3.5p per share is proposed, making a
total of 6.0p per share for the year, compared with 15.0p for
2002.

Business Highlights:

(a) Against a market background of fewer corporate transactions,
Cazenove has maintained its position as the U.K.'s leading
corporate broker and a well-established financial adviser, while
making further progress in these areas in Europe.

(b) The Equities business produced another resilient performance,
increasing market share in declining markets with client rankings
showing steady improvement.

(c) The debt advisory and distribution business has grown as a
result of increased client recognition of our skills as an
independent adviser and the current economic cycle.

(d) Our Asian business had an excellent year on the back of
strong corporate business - 24 transactions during the financial
year.  Our Asian small-cap research is recognized by investors as
amongst the best in the region.  In South Africa, we strengthened
the corporate finance team, secured our position as the leading
corporate sponsor and improved our research rankings.

(e) In Fund Management we have made substantial progress in
redefining the business model.

At the same time, investment performance has improved, stemming
client losses and leading to strong sales of investment funds.

(f) We successfully moved to our new offices in Moorgate, while
at the same time renewing our IT platform.

(g) We will be introducing our internal dealing facility
following the publication of these figures.

Commenting on the results, Chairman David Mayhew said:

"Continuing economic and major political uncertainty, coming
during the third year of the bear market in equities, undermined
the confidence of investors during 2002 and made companies
cautious about expansion.  This combination of factors made the
year ended 30 April 2003 the most difficult for our firm in a
generation and one in which all of our main businesses were
adversely impacted.  Nevertheless, I am hopeful that the return
of confidence, albeit clearly brittle, will result in more benign
market conditions and an improved prospect for shareholders in
the next year."

Cazenove Chief Executive Robert Pickering said:

"We have made good progress over the past twelve months in
refining our structure and resizing our cost base.  Our client
franchises remain strong, our fund management business is
reestablishing momentum and there are some signs that a cyclical
upturn is in the offing.  Having reduced our costs, even a
relatively modest upturn in revenues should lead to much improved
returns for shareholders."

To view financials: http://bankrupt.com/misc/CAZENOVE_PLC.pdf

CONTACT:  CAZENOVE PLC
           Kate Bolsover
           Director of Corporate Communications
           Phone: 020 7155 5501/07799 582875
           E-mail: kate.bolsover@cazenove.com

           Gill Ackers
           Brunswick
           Phone: 020 7404 5959/07974 982382
           E-mail: gackers@brunswickgroup.com


CORDIANT COMMUNICATIONS: To Delist to Save Put Option Value
-----------------------------------------------------------
Advertising firm Cordiant Communications, which is currently at
the center of a tug-of-war between its management and largest
shareholder, is delisting shares to preserve the value of a GBP75
million put option.

Cordiant's option to sell a remaining 25% in media buyer Zenith
Optimedia to France's Publicis could potentially lose up to 97%
of its value under the proposed sale to rival WPP.  WWP holds all
the company's GBP256 million of secured debt.  It values the
Zenith disposal at GBP75 million.

According to the Telegraph, a circular sent by Cordiant detailing
the recommended offer to shareholder said: "There are certain
options over Cordiant's 25% interest in Zenith Optimedia Group,
the exercise price of which may, in certain circumstances, whilst
Cordiant remains subject to the Listing Rules, be subject to
material reduction.

"By delisting Cordiant shares at this stage, Cordiant is seeking
to ensure that the value of [its] interest in Zenith Optimedia
Group would not be less than GBP75 million.  Accordingly, the
Cordiant directors have concluded that it is in the best
interests of Cordiant to cancel the listing of Cordiant shares as
soon as practicable."

The directors are believed to have agreed with WPP to delist the
shares on July 16, or before Cordiant is acquired to prevent the
value of the option to be reduced to a quarter of Cordiant's
market capitalization, in certain circumstances.  Under WPP's
Scheme of Arrangement, which offers shareholders GBP10 million,
the value of the option could be reduced to GBP2.5 million.

WPP can only acquire Cordiant if it obtains a 75% approval under
the Scheme of Arrangement.  Active Value, Cordiant's largest
shareholder, who has since been opposed to the scheme, could
still block the deal, though.  Active Value has now built a
26.69% shareholding in the advertising firm.

According to the report, at WPP's annual meeting, chief executive
Sir Martin Sorrell insisted he would not raise his offer to
prevent Active Value scuppering the deal. "Our offer is our
offer. There will be no renegotiation," he said.

An option for WPP if its plan is blocked is to put Cordiant in
administration and receive assets as payment for debt.


EQUITABLE LIFE: Reacts to Parliamentary Ombudsman's Report
----------------------------------------------------------
Commenting on the publication of the Parliamentary Ombudsman's
Report, Charles Thomson, Chief Executive of Equitable Life said:

"Policyholders will be disappointed with the conclusions of the
Parliamentary Ombudsman's report."

"Everyone acknowledges that the main event is the publication of
Lord Penrose's long-awaited report.  His terms of reference are
much broader and his inquiry is therefore more complex.  He is
investigating decades of history and will cover the roles of the
various regulatory agencies that supervised the Society's
business over the years.  We are keen to see his report published
as soon as practicable and it must give us a detailed and
thorough picture of what went wrong.  Only then can we determine
our next steps on behalf of policyholders.

If Lord Penrose were to be critical of the regulatory supervision
of the Society, we would, of course, consider with our legal
advisers whether the Society is able to seek financial redress
from the government agency responsible.  It is frustrating for
all of us that these issues take a long time to be resolved but
we believe there is no action that we can take at this stage and
we must hold our fire until his report is published."


GLAXOSMITHKLINE: Wants to Remove Paxil Patents from Orange Book
-------------------------------------------------------------
GlaxoSmithKline plc announced that it is requesting the U.S. Food
and Drug Administration (FDA) to remove three patents related to
the antidepressant PaxilŽ (paroxetine hydrochloride) from the
register of pharmaceutical patents maintained by the FDA and
known as the "Orange Book".

The action follows the FDA's release on 12 June of new
regulations concerning, among other matters, the listing of
patents in the Orange Book.  Although the new regulations do not
specifically apply to patents already listed, FDA did provide new
criteria for listing certain types of patents in the future.
GlaxoSmithKline is voluntarily seeking the de-listing of three
product-by-process patents -- U.S. Patent No. 6,172,233 ("the
'233 patent"); U.S. Patent No. 6,080,759 and U.S. Patent No.
6,063,927 -- to proactively align with the new criteria.

GSK's delisting does not affect the validity of these patents.
The company continues to pursue patent infringement claims in
litigation in Philadelphia against Apotex Corp. and other generic
companies under these and other patents.  No trial date has been
set in the Philadelphia litigation.

Delisting the '233 patent from the Orange Book removes the
related Hatch-Waxman Act stay on final FDA approval of Apotex's
abbreviated new drug application for paroxetine hydrochloride,
although the litigation against Apotex continues.  The Apotex
stay was set to expire on 19 September 2003.

Timing of the launch of generic PaxilŽ remains unclear;
consequently GSK's published business performance earnings per
share guidance for 2003 remains as previously stated.*

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

*Earnings Guidance
The 2003 forecast is for high single digit percentage growth in
business performance earnings per share as long as there is no
generic competition to PaxilŽ in the U.S. Business performance,
which is the primary measure used by management, is presented
after excluding merger items, integration and restructuring costs
and disposals of subsidiaries. Growth is at constant exchange
rates.

CONTACT:  GLAXOSMITHKLINE PLC
           European Analyst/Investor
           Duncan Learmouth
           Philip Thomson
           Anita Kidgell
           Phone: 020 8047 5540/020 8047 5543/020 8047 5542

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


HAMLEYS PLC: Children's Stores Now Owns 13.6% of Share Capital
--------------------------------------------------------------
On 27 June 2003 the Board of Children's Stores announced the
terms of a cash offer of 230 pence per Hamleys share, to be made
by ING Investment Banking on behalf of Children's Stores, for the
entire issued and to be issued ordinary share capital of Hamleys.

At the request of the Panel on Takeovers and Mergers, Children's
Stores announces that it has on Monday released certain of
Hamleys' institutional shareholders from the irrevocable
undertakings that they had given to accept the Offer in respect
of, in aggregate, 1,816,024 Hamleys shares, representing
approximately 7.9% of the existing issued share capital of
Hamleys.

As a consequence of such release, Children's Stores owned, in
aggregate, 3,130,955 Hamleys shares, representing approximately
13.6% of the existing issued share capital of Hamleys.

Subsequently, Children's Stores has purchased a further 382,593
Hamleys shares representing approximately 1.7% of the existing
issued share capital of Hamleys and received irrevocable
undertakings to accept the Offer from certain of Hamleys'
institutional shareholders in respect of, in aggregate, 1,433,431
Hamleys shares, representing approximately 6.2% of the existing
issued share capital of Hamleys.  These irrevocable undertakings
will cease to be binding in the event that a competing offer is
made which exceeds 253 pence in cash per Hamleys share.

As a consequence of the matters referred to above, as at the date
of this announcement, Children's Stores has purchased, in
aggregate, 3,513,548 Hamleys shares representing approximately
15.2% the existing issued share capital of Hamleys and received
irrevocable undertakings to accept the Offer in respect of, in
aggregate, 1,433,431 Hamleys shares, representing approximately
6.2% of the existing issued share capital of Hamleys.

Therefore, as at the date of this announcement, Children's Stores
has either purchased Hamleys shares or received irrevocable
undertakings to accept the Offer in respect of, in aggregate,
4,946,979 Hamleys shares, representing approximately 21.4% of the
existing issued share capital of Hamleys.

Subject to The City Code on Takeovers and Mergers, Children's
Stores is not under any restrictions as regards entering into
further irrevocable undertakings to accept the Offer or making
further acquisitions of Hamleys shares.

ING Investment Banking, which is authorized in the United Kingdom
by the Financial Services Authority for investment business
activities, is acting exclusively for Children's Stores as
financial adviser in relation to the Offer and is not acting for
any other person in relation to such offer.  ING Investment
Banking will not be responsible to anyone other than Children's
Stores for providing the protections afforded to its clients or
for providing advice in relation to the contents of this
announcement or any transaction or arrangement referred to
herein.

CONTACT:  Bell Pottinger
Financial
           Phone: 020 7861 3232
           (PR adviser to Children's Stores)
           Jonathon Brill
           John Coles

           ING Investment Banking
           Phone: 020 7767 1000
           (Financial adviser and broker to Children's Stores)
           Fraser Marcus
           Simon Newton


ITRAIN PLC: Reports Pre-tax Loss as Sales Took a Sharp Nosedive
---------------------------------------------------------------
Chairman's Statement

Overall, it has been a disappointing year when compared with our
original expectations, mainly caused by an unexpectedly large
fall of over 70 percent in sales of third-party English language
training CDs in Germany.  Also, market conditions meant that the
company did not raise additional capital at the time of its AIM
flotation in September 2002.

However, despite the above, iTrain's sales of e-learning services
increased by 10 percent in a climate of reduced training spend.
The company has made a substantial investment of resources, time
and effort in creating over 70 hours of learning time in generic
IT training products in recognition of the considerable
opportunities that exist and as a result of the ongoing
distribution and partnership discussions with major sales
channels.

I believe that iTrain is now well positioned for growth through
the exploitation of its proprietary software and generic content
library at low cost and that our presence on AIM will make for
easier access to capital as required.

For the year ended 31 December 2002, turnover was GBP856,381
(2001: GBP1,301,913).  The loss before tax of GBP318,863 is after
charging flotation expenses of GBP257,208 and the underlying loss
is GBP61,655 (2001: GBP268,818 profit).

E-Learning Services

iTrain's service sales have increased in difficult market
conditions with new and repeat orders from customers including:
BMW, Bayer, Bauhaus, Chelsea and Westminster NHS Trust, Ferrero,
Ford, Peugeot, T-Mobile and Virgin Atlantic.

Although our sales cover most of the main market sectors, we are
increasing our focus on healthcare, both in the U.K. and Germany,
in the light of increasing training opportunities in these
countries.  A key element of this focus is intended to be in the
form of partnerships with medical software providers, two of
which are at an advanced stage of contractual discussion.

Our training services (and products) offer a very comprehensive
set of core functions that provide end-users with the means to
navigate easily through the learning sequences and include pause,
play, fast-forward, rewind and jump to interaction.
Additionally, users can choose between demonstration and
interactive modes.  Other options include text captions, as well
as or instead of audio, glossary, multiple-choice tests,
simulation tests, certificate of achievement, introductory
sequence and other functions chosen by customers.

Generic Products

iTrain has created over 70 user learning hours of generic content
for Microsoft Office and Lotus Notes training for the U.K. and
German markets.  These products can be delivered in whole, or in
part, via the Internet or Corporate Intranet, CD-ROM or Network
Server.  The R&D costs have been capitalized and the Company is
confident of an excellent return on this investment.

The company recently announced a cooperation agreement with
Bertelsmann subsidiary wissen.de GmbH whereby iTrain has licensed
wissen.de to market specially designed online training courses
and tests to enable purchasers to learn how to use Microsoft
Office XP applications.  wissen.de is the leading content web
site in the German speaking world with over 2 million users per
week.  Courses include Word XP Core, Word XP Expert, Excel XP
Core, Excel XP Expert and PowerPoint XP.  These form part of
wissen.de's 'Software Diploma', which is awarded to successful
students via the University of Duisberg.  The license is global
and covers fixed and mobile communications networks as well as
the Internet.

We are in final stages of contractual discussions with other
large distributors and will make the appropriate announcements as
and when contracts are signed.

Technology

iTrain develops in-house and owns the technology and software
which underpin its authoring and delivery, facilitating its
ability to deliver bespoke training products faster and to a
higher standard of fidelity, reliability and functionality than
industry norms.

A key element in delivery technology is the iTrain Player, which
is used by hundreds of thousands of learners via both
corporate/global intranets and the Internet.  In the past year,
we have further improved our Player to provide both web server
and CD-based content delivery from one universal player and added
further functionality in terms of more interaction types and the
ability to automatically e-mail test results to administrators.
The Player also now delivers multimedia training content through
a web browser without the need for a plug-in or ActiveX control.
It also complies with internationally recognized guidelines for
CBT delivery.

The iTrain authoring system is highly optimized for software
training and provides for simplified content collection, a large
range of user interaction types and allows fast, seamless
updating.  The system has been refined further to maximize the
ability on non-programming authors to use it and provide
increased local control.

Prospects

The benefits of 'just-in-time' IT training, whereby iTrain's
solution permits the final versions of new Company-wide
applications to be created and delivered to users within weeks,
are becoming clearer to more and more companies and government
organizations.  There is an increase in the number of 'bigger-
ticket' opportunities as the market warms to the potential
benefits of fast, seamless global content delivery and updating -
all at large per capita cost savings.  iTrain's track record,
proprietary technology, continuous improvement and reliable
delivery, position it well to exploit this growing market.

In addition, the emergence of large publishers and distributors
into the e-learning market, offers the possibility of massive
channel being harnessed to generic content.

We are well placed to exploit these growing opportunities through
our customer base, partnership agreements (such as wissen.de) and
our ownership and development of both technology and content.
Despite current market conditions, the Company is well positioned
to make good headway over the next year.

Dr J D S Moore
Chairman

To View Financials: http://bankrupt.com/misc/iTrain_PLC.htm


LE MERIDIEN: Allowed to Miss End-June Rental Payment Deadline
--------------------------------------------------------------
The negotiations between Le Meridien Hotel's lenders and Royal
Bank of Scotland, which is owed GBP20 million in rents, went on
as the end of June deadline for the payment of the rent passes
by.

The lenders and Royal Bank, which owns 12 prime sites including
London's Waldorf and Grosvenor House hotels, are discussing the
terms of a refinancing plan, authored by Lehman Brothers, holder
of more than GBP20 million of mezzanine debt.

The refinancing plan would see the bank inject GBP100 million
into the company to prevent the company from going into
administration, in which case Lehman Brothers stands to get
nothing.  The mezzanine debt it provided to Le Meridien ranks
below the senior debt held by a consortium of banks led by CIBC
World Markets and Merrill Lynch.

According to the Telegraph, the controlling senior debt holders
are demanding that Royal Bank reduces its rental demands as the
price of approving a deal.

Sources of the report said the deal could be agreed but that the
talks were still "touch and go".


MMO2 PLC: O2 Customers Get Active With Mobile Data
--------------------------------------------------
The number of customers actively using multimedia messaging
services, Java games and GPRS services continued to accelerate
over the last two months mmO2 revealed.  Growth in new mobile
data services and plans to deliver significant customer benefits
through enhanced market segmentation were detailed by mmO2 at a
presentation Tuesday to city analysts and the media.

MmO2 almost doubled the number of multimedia messaging services
active users to more than 180,000 and saw the number of Java
games purchased to date increase from 278,000 to more than half a
million since its last reported figures at the end of March 2003.
In the same period, active GPRS users jumped by 120,000 to
643,000 as more customers took up O2's Blackberry 'email on the
move' solution, with 27, 000 units sold to date, and sales of the
xda from O2 grew to 64,000.

Launched on 2 June 2003, O2 Active has gained more than 60,000
active users and now around 580,000 customers have compatible
handsets.  O2 Active is an easy to use service, offering
ringtones, MMS, games, music, video, information and pictures
through a color icon driven menu.

The success of these services and the continuation of the
explosive growth in text messaging have been further boosted by
the company's sponsorship of Big Brother 4 and other events.
mmO2 carried around 2.2 billion text messages during April and
May and U.K. customers alone sent around one billion SMS's in the
same period.

In addition, mmO2 made a number of other key announcements in the
fast growing mobile data market.  These include:

(a) Plans for the commercial launch of wLAN in the U.K. and
extended service offerings in Germany and Ireland.  The company
aims to offer access to around 1,000 sites across Europe by the
end of this year supported by international roaming through a
common O2 interface.

(b) Results from its recent customer trials of video over mobile
and music over mobile.  mmO2 found that breaking news was the
most popular video service and Avril Lavigne topped the music
chart.

(c) The introduction later this year of version two of the xda
from O2 - a combined color PDA and mobile handset.

(d) A group-wide agreement with America Online to bring AOL's
popular instant messaging to O2 customers across Europe.

Peter Erskine, chief executive of mmO2, said: "The mobile data
day is all about providing a greater depth of understanding of
the activities that will contribute to our target of achieving
25% of revenues from data by the end of 2004.  We will provide an
insight into how mmO2 will continue with its strategy of growing
new mobile data customer propositions and maintaining our lead in
SMS and online services, while keeping strong financial
discipline."

                      *****

mmO2 will publish its first quarter Key Performance Indicators on
22 July 2003

Following the recent completion of the sale of O2 Netherlands,
mmO2 has 100% ownership of mobile network operators in three
countries -- the U.K., Germany and Ireland -- as well as a
leading mobile Internet portal business.  All of these businesses
are branded as O2.  Additionally, the company has operations on
the Isle of Man (Manx Telecom) and owns O2 Airwave -- an
advanced, digital emergency communications service.

mmO2 was the first company in the world to launch and rollout a
commercial GPRS (or 2.5G) network and has secured third
generation mobile telephony licenses in the U.K., Ireland and
Germany.

mmO2 has approximately 18.2 million customers and some 11,750
employees and reported revenues for the year ended 31 March 2003
of GBP4.874 billion.  Data represented 19.4% of total service
revenues in the quarter ending 31 March 2003.

Mmo2 reported loss before tax of GBP(10,203) million due to
exceptional charges of GBP(9,664) million for the year ended
March.


NEWMARK SECURITY: Issues Loan Notes to Meet Obligations
-------------------------------------------------------
Newmark announces that it has agreed terms for the issue of
secured loan notes to raise up to GBP1,500,000 before expenses.

The Loan Notes are being issued to parties connected to Alexander
Reid, a Non-Executive Director of the Company, and to Elie Dwek
or parties associated with Elie Dwek.  As part of the Fund
raising the Company is to issue certain warrants to the Loan Note
Holders to subscribe for ordinary shares of 1p each in the
Company.

As Alexander Reid is a Director of the Company, and as Elie Dwek
is deemed to be acting in concert with his brother Maurice Dwek,
the Chairman of Newmark, the issue of the Loan Notes to the Loan
Note Holders and grant of the Warrants is a 'Related Party
Transaction' under the AIM Rules.  Accordingly, the Independent
Directors, having consulted with their Nominated Adviser Seymour
Pierce Limited in respect of the AIM Rules, consider the terms of
the Fundraising to be fair and reasonable insofar as shareholders
are concerned.

The Independent Directors of Newmark have written to shareholders
on Tuesday with a notice convening an Extraordinary General
Meeting to be held on 24 July 2003.  The purpose of the EGM is to
obtain shareholders' approval to grant the Directors authority to
allot ordinary Shares and dis-apply statutory pre-emption rights
to enable the Company to create the instrument constituting the
Warrants and to issue the Warrants to the Loan Note Holders.

The Loan Notes are being issued to enable the Company to meet
certain financial obligations relating to the disposal of the
trading business and assets of its subsidiary company, Vema N.V.,
in April 2002.  Although the Board, and its advisers, were
satisfied at the time that the Company would have sufficient
resources to meet its obligations, the Company has been adversely
affected by the level of trading within its Belgian subsidiary
where a large export order that had been expected did not
materialize.  A banking facility, which had been anticipated at
that time, has also not been realized.  This has depleted the
cash resources of the Company and the Board believes that the
proposal set out in this document is a necessary measure to
provide the financial resources to meet these obligations.

The Loan Note Holders have committed to subscribe in cash for
GBP1,000,000 of Loan Notes conditional on approval of the
resolutions at the EGM.  On agreement between the Company and the
Loan Note Holders, the Loan Note Holders can further subscribe in
cash for up to GBP500,000 of Loan Notes.  The Loan Notes will
bear interest at a rate of 6% per annum, payable quarterly in
arrears.  The Loan Notes are repayable three years after the date
of the instrument constituting the Loan Notes, with an option for
early repayment, without penalty, on the Company giving the
relevant Loan Note Holder five business days' written notice.
The Loan Notes shall become immediately repayable on certain
events taking place.  The Loan Notes shall be secured by fixed
and floating charges over the assets of the company and certain
of its subsidiaries.

Under the terms of the Loan Notes, the Loan Note Holders will be
issued 50 Warrants for each GBP1 of Loan Notes held.  Each
Warrant will grant the Warrant holder the right to subscribe for
1 Ordinary Share at any time between 24 July 2003 and 24 July
2008 at a price of 1 pence per Ordinary Share.

Neither the Loan Notes nor the Warrants will be dealt in on any
stock exchange in the United Kingdom or elsewhere and no
application has been made to any stock exchange or regulatory
authority for permission to deal in or for an official listing or
other quotation of the Loan Notes or the Warrants.

Change of Adviser

The Company also announces that it has appointed Seymour Pierce
Limited as its Nominated Adviser with immediate effect.

CONTACT:  NEWMARK SECURITY PLC
           Brian Beecraft
           Phone: 020 7355 0070 or 07977 467 295

           SEYMOUR PIERCE LTD.
           Jeremy Porter
           Phone: 020 7107 8000


PROFILE MEDIA: Bankers Agree to Defer Payment for Obligations
-------------------------------------------------------------
On 24 December 2002 it was announced that Profile Media had
reached agreement with its bankers for the provision of funding
for the Group for a period of 12 months and that, as part of this
agreement, Profile Media had undertaken to repay not less than
GBP7 million of sums outstanding to its bankers on or before 30
June 2003.

Further it was disclosed at that time that the Repayment was to
be financed by the disposal of assets other than in the ordinary
course of trading, and in addition to any sums repaid from (inter
alia) the disposal of property assets.

Over the past months, the Group has been working towards
disposing of certain of its assets in order to finance the
Repayment.

The Group's bankers have been kept appraised of progress in this
regard and the Group and its bankers are currently in ongoing
discussions.  To enable these discussions to continue, the
Group's bankers have agreed to defer the date for the Repayment
for a period of up to one month.

A further statement will be made when appropriate.

CONTACT:  PROFILE MEDIA
           David Ellingham, Chief Executive
           Phone: 020 7332 2000

           Martin Thorneycroft, Finance Director
           Phone: 020 7332 2000

           BUCHANAN COMMUNICATIONS
           Mark Edwards
           Phone: 020 7466 5000


ROYAL DOULTON: Disposes Interest in China Millers to Reduce Debt
---------------------------------------------------------------
Royal Doulton has entered into an agreement to dispose of their
50% interest in China Millers Ltd. to Gelatine Smits Beheers B.V.
for approximately GBP0.7 million in cash.  Completion is expected
to occur no later than 31st July 2003 and the proceeds will be
used to reduce bank debt.

China Millers is a supplier of raw materials to the ceramic
industry.  In the year to 31 December 2002, China Millers was
fully consolidated as part of Royal Doulton and had sales of
GBP2.8 million, profits before tax of GBP0.4 million and net
assets of GBP2.1 million including GBP0.7 million of cash at that
date.  As at 1st July China Millers have net assets of
approximately GBP1.2 million.

This transaction allows Royal Doulton

(a) To focus more closely on their core activities

(b) To obtain full value for China Millers net assets.  This
exceeds book value

(c) To secure savings in their cost of production through lower
raw material purchase prices.  These savings are expected to
exceed the loss of share of China Millers profit before tax.'

CONTACT:  G E Barnes
           Company Secretary
           Phone: 01782 404010


UNITED PAN-EUROPE: Extends Further Dutch Implementing Offer
-----------------------------------------------------------
United Pan-Europe Communications N.V. (EURONEXT Amsterdam: UPC)
announces a further extension to the Dutch Implementing Offer,
until Monday September 1, 2003, 15.00 cet, for holders of
ordinary shares A of UPC, domiciled outside of the United States.

The Company will provide more information on the expected timing
of completion of the restructuring as soon as it is available.


YELL GROUP: Yell Finance Says Parent to Raise GBP433 M Capital
--------------------------------------------------------------
Yell Finance B.V. announces that its parent company, Yell Group
plc, has announced its intention to conduct a capital raising of
approximately GBP433 million (gross proceeds) as part of a
primary and secondary equity offering.  In the event our parent
company completes the capital raising, we expect that a portion
of the net proceeds will be used to repay existing debt of our
parent company.

In addition, we expect that a portion of the net proceeds will be
provided to us, which we expect to use among other things to
repay a portion of existing debt, including approximately GBP54
million under our senior credit facilities and up to
approximately GBP173 million, or 35%, of the outstanding
principal amount of our senior notes pursuant to the optional
redemption features under the senior notes indentures.

This announcement does not contain or constitute an offer of
securities for sale in the United States. The securities referred
to above have not been and will not be registered under the
Securities Act of 1933 and may not be offered or sold in the
United States absent registration or an applicable exemption from
registration requirements.  Stabilisation/FSA.


YELL GROUP: On CreditWatch Positive After IPO Announcement
----------------------------------------------------------
Following the announcement by U.K.-based classified directory
publisher Yell Group PLC that it intends to float on the London
stock exchange, Standard & Poor's said that it placed its 'BB-'
long-term corporate credit rating on Yell on CreditWatch with
positive implications.

"The CreditWatch placement reflects management's intention to
reduce Yell's cash paying net debt to GBP1.30 billion ($2.20
billion) in financial 2003/2004 from GBP1.55 billion at the end
of March 2003, to repay GBP100 million of vendor loan notes held
by British Telecommunications PLC, and to exchange GBP700 million
of shareholder bonds into equity," said Standard & Poor's credit
analyst Anna Overton.  "The extent of any potential upgrade
following the IPO would depend on the new capital structure of
the group and finalization of dividend policy once the
transaction is completed.  Any upgrade is likely to be limited to
one notch."

Following the IPO, the anticipated free float of Yell's common
shares is expected to be between 44% and 51%. Of the GBP227
million intended for reducing cash paying debt, about GBP54
million is to be used to reduce senior credit facilities and
GBP173 million could be used to repay about 35% of senior notes
issued by subsidiary Yell Finance B.V.

The ratings on Yell reflect the group's leading position in U.K.
printed classified telephone directories supported by substantial
growth prospects in the U.S., where Yell is the largest
independent publisher of classified telephone directories.  These
business strengths are offset, however, by the group's highly
leveraged capital structure.

Following the McLeod acquisition in 2002, the group reported
sales of GBP1.11 billion in financial 2003, with an EBITDA margin
of 29%, in line with expectations.  EBITDA of GBP323 million in
financial 2003 and the net debt target of GBP1.3 billion would
translate into a lease-adjusted debt-to-EBITDA ratio of about
4.2x and interest coverage by EBITDA of about 3.0x.

"Yell still has to prove its ability to maintain a stable nominal
EBITDA base in the U.K., as sales growth of 7% in the first year
after the U.K. regulator's price cap became effective was
significantly boosted by the introduction of color
advertisements.  The group has the potential to achieve this goal
through its continuing focus on incremental customer base growth
and higher average revenues per account.  Yell is also expected
to continue building up the profitability of its U.S. operations,
although the addition of a slightly more mature McLeod business
has aided operating margins," added Ms. Overton.



* Fitch Comments on Earnings Recovery of Major European Banks
------------------------------------------------------------
In a special report published Tuesday, Fitch Ratings, the
international rating agency, comments that after a year of
intense pressure, ratings for the major European banks are now
stabilizing and a sudden rapid deterioration in asset quality
would be one of the few triggers for further downgrades in the
next 12 months.

The major challenge for most banks within this group will be
revenue generation.  Costs have been, on the whole, well
contained, with most banks reducing non-interest expenses and,
furthermore, restructuring efforts are finally beginning to bear
fruit.  Cost/income ratios nevertheless remain too high at many
banks (particularly the Swiss, Dutch and most of the German
banks), and are unlikely to improve until revenues pick up again.

While the best performers continue to be the major U.K. banks,
the German banks clearly have the most to do in terms of earnings
recovery.  While their cost cutting efforts are starting to show
through now, their chronic revenue problem is far from being
resolved.  It is thus not surprising that the German banks have
been hardest hit in terms of rating downgrades.  In the case of
Dresdner Bank, both the Long-term and Individual ratings have
been downgraded twice since July 2002.  It should be noted,
however, that Dresdner Bank's Long-term rating has now reached a
floor, determined by its high Support rating (based on Fitch's
conviction that the German state would support the bank in the
event that the bank were to run into severe difficulties) -- see
comment "Fitch Announces New Support Rating Methodology" dated 16
April 2003 and available on its website,
http://www.fitchratings.com

Given the ongoing economic environment, the agency notes that the
German banks are of course not the only ones to have suffered
during the past year: 10 of the 20 largest European banking
groups have been the object of a negative rating action.  At the
same time, there has been only one positive rating action within
the major European banking group: the revision of the Outlook on
Banco Santander Central Hispano's Long-term rating to Positive
from Stable in June 2003.  UBS is now the only European
privately-owned commercial bank to still cling on to a 'AAA'
Long-term rating from Fitch, albeit with a Negative Outlook
(reflecting the continued uncertainty in the financial markets
and potential negative impact on the group's investment banking
and private banking/asset management operations).

Looking ahead, Fitch remains convinced that most of Europe's
major banking groups have the capacity to ride out the current
unfavorable conditions.  While the agency expects bottom-line
earnings for many banks to slide further in 2003, their
underlying financial strength is underpinned by solid
capitalization, generally sound asset quality and strong
(principally retail) franchises.  Thus, with 16 of the 20 banks'
Long-term rating Outlooks now Stable, further downgrades should
be more the exception than the rule.

A copy of 'Update on Major European Banks: Earnings Recovery Some
Way Off' is available on www.fitchratings.com (Financial
Institutions / Banks & Securities Firms / Special Report).

TELECONFERENCE DETAILS: Wednesday, 2 July 2003, 16.00BST

Telephone numbers: +44 (0)1296 618 700; for US/Canada : 888 339
2688 ; access code for both is 505986.

Replay (78 hours): +44 (0)1296 618 700, access code 433721; for
US/Canada : 888 286 8010, access code is 27214428.

The teleconference will also be available on Fitch's web site
following this replay [About Fitch/Company Events and Online
Media]

Media Relations: Kris Anderson +44 20 7417 4361, London

CONTACT:  Alison Le Bras
           Paris
           Phone: +33 1 44 29 91 46
           Mobile: +44 (0)7960 336 290




S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter -- Europe is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Trenton, NJ
USA, and Beard Group, Inc., Washington, DC USA.  Larri-Nil
Veloso, Ma. Cristina Canson, and Laedevee Gonzales, Editors.

Copyright 2003.  All rights reserved.  ISSN 1529-2754.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
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Information contained herein is obtained from sources believed to
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The TCR Europe subscription rate is US$575 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for
members of the same firm for the term of the initial subscription
or balance thereof are US$25 each. For subscription information,
contact Christopher Beard at 240/629-3300.


                   * * * End of Transmission * * *