/raid1/www/Hosts/bankrupt/TCREUR_Public/030818.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

            Monday, August 18, 2003, Vol. 4, No. 162


                            Headlines


C Z E C H   R E P U B L I C

CK FISCHER: Atlantik FT Buys CZK500 Million Worth of Debt
CK FISCHER: Settles Unpaid Commissions with Tour Dealers
UNION POJISTOVNA: Finance Ministry Forces Firm into Bankruptcy


F R A N C E

ALSTOM SA: U.K. Workers Plot Actions to Prevent Plant Closure
RHODIA SA: North West Workers Strike to Save Pension Scheme
VIVENDI UNIVERSAL: Comcast Abandons Plan to Buy VUE Assets


G E R M A N Y

ALLIANZ GROUP: Posts EUR622 Million Profit in Second Quarter
ALLIANZ AG: Q2 Results Expected, Says Standard & Poor's
DEUTSCHE TELEKOM: Reduces Debt by EUR11 Billion in 2nd-quarter
DRESDNER BANK: Plan to Stabilize Biz, Improve Profit Launched
ENERGIE BADEN-WURTTEMBERG: "Legacy Burdens" Impact Results
NORDDEUTSCHE AFFINERIE: Acknowledges Significant Earnings Slide
THYSSENKRUPP AG: Outlook Remains Bleak, Says Chairman


H U N G A R Y

ALBA REGIA: 200 Workers Detailed at Troubled Units to Go
IKARUSBUS RT: Minority Owner Ikarus Rt Offers to Buy Shares
RABA RT: Cuts Losses in Second Quarter to EUR4.2 Million


I T A L Y

FIAT AUTO: Ford's Leach Rumored to be Next CEO, Reports Say


N E T H E R L A N D S

NUMICO N.V.: Reduces Net Debt by EUR344 Million in First-half
NUMICO N.V.: Shareholders' Equity Negative at end-June
WOLTERS KLUWER: Names Andres Sadler Senior Vice President


N O R W A Y

PETROLEUM GEO: Taps BSI Court Claims, Ballot and Notice Agent


S W E D E N

JOMED N.V.: Swedish Subsidiary Declared Bankrupt


U N I T E D   K I N G D O M

ACCIDENT GROUP: Creditors Call for Liquidators' Intervention
AES DRAX: Goldman Sachs Offers GBP130 Million for 21% of Debt
CNA INSURANCE: Proposes Transfer of Business to Parent Company
COACH EUROPE: Administrative Receiver Offers Business for Sale
EDINBURGH FUND: Pays Deferred Consideration for Acquisition

ENRON METALS: Court Orders Scheme of Arrangement with Creditors
KBC ADVANCED: First-half 'Disappointing,' Says Chairman
ROYAL MAIL: Tells CWU to Submit Wage Row to Formal Mediation
STIRLING COOKE: Administrators Named
UNITED PAN-EUROPE: Expects Less than EUR3 Bln Debt by Year's End
XENOVA GROUP: Buys KS Biomedix; Combined Biz Still Cash-strapped


                            *********


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


CK FISCHER: Atlantik FT Buys CZK500 Million Worth of Debt
---------------------------------------------------------
Atlantik financni trhy, owned by oil tycoon Karel Komarek, will acquire a
share in CK Fischer that is almost the same amount as that of the travel
group's owner, Vaclav Fishcer, according to Czech Happenings.

The report, citing daily Mlada fronta Dnes, said the transaction will be
completed by the end of autumn and will erase CZK500 million of Fischer's
debt.  Atlantik bought the debt from Fischer's largest creditors Komercni
banka, Czech Airlines and the Czech Airports Authority.

"We expect the capital entry in Fischer's group within one to two months,"
Atlantik FT head Miloslav Vyhnal told Mlada fronta Dnes.

Fischer's companies also received operating capital worth tens of millions
of crowns from Atlantik, according to the report.
Fischer owes foreign hoteliers up to several millions of crowns, Mr. Vyhnal
said.  It also has loans amounting to some CZK95 million to Dresdner Bank.
Vaclav Fischer's overall debt is around CZK850 million, the paper says.


CK FISCHER: Settles Unpaid Commissions with Tour Dealers
--------------------------------------------------------
Travel group CK Fischer informed tour dealers that it has sent money to
settle unpaid commissions on Thursday, Czech Happenings said.  Ladislav
Havel of the Association of Czech Travel Agencies and Tour Operators,
confirmed the dealers have received the letter but said the group has not
yet receive the money Fischer owes them.  Fischer's spokeswoman Vera
Kudynova assured the money had been sent.

A previous TCR-Europe report citing the same news agency said, Fischer Air
owes external dealers commission, which usually amounts to some 10% of the
price of a tour, and totals some CZK60 million annually.  According to Euro,
the debt could now be CZK30 million.  Fischer owes the Association of Czech
Travel Agencies and Tour Operators CZK1.5 million.

Fischer's settlement of the liability follows Atlantik financni trhy's
acquisition of Fischer's debts from creditors.  Mr. Havel, who held talks on
the repayment of the debts also with Atlantik financni trhy, said Atlantik
signed intention of further cooperating with them.


UNION POJISTOVNA: Finance Ministry Forces Firm into Bankruptcy
--------------------------------------------------------------
Bankruptcy proceedings have been launched against Union Pojistovna, the
insurance company that posted a loss of CZK233 million in 2002.

Online news agency Interfax, citing spokesman for the ministry, Jaroslav
Dedic, said the Finance Ministry imposed forced administration on the
troubled insurer in order to protect clients' interests.  Zdenek Petricek
was appointed bankruptcy administrator.

The ministry has assured Union's clients the imposed proceedings would not
violate their rights ensuing from concluded insurance plans as the insurer
continues to operate in the insurance sector in line with the law.  The
Finance Ministry is to monitor the situation in the company and will inform
public on developments, Mr. Dedic said.

Union Pojistovna was founded in 1995.  It provides services to corporate
clients, smaller businesses, and individuals.  It is currently part of the
troubled Union Group, and has lent Union Group's collapsed Union Banka
millions of crowns before the bank went under.

Press reports said the Czech venture capital firm Conti Capital is set to
become the main shareholder in Union Pojistovna.  The firm is a venture
capital enterprise active in evaluating investment plans and establishing
and managing private sector companies.

CONTACT:  UNION POJISTOVNA, A.S.
          Havlickova 15
          110 00 Praha 1
          Phone: +420 296 332 881
          Fax: +420 296 332 883
          E-mail: sekretariat_praha@unionpoj.cz


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


ALSTOM SA: U.K. Workers Plot Actions to Prevent Plant Closure
-------------------------------------------------------------
Amicus members at Washwood Heath met on Thursday to plot their campaign
against the French company's plans to cast off over 1,500 jobs at the plant
in Birmingham.  Over 600 workers met to decide what action should be taken
to stop the company from closing the plant.

Tom Keogh, Amicus Regional Officer who attended the meeting, said: "Our
members had become despondent as the company looks set to close the plant
but we were there [Thursday] to reassure them that we are moving the
campaign forward.

"Our next step will be to put pressure on the Government to put in order a
similar understanding for British workers as those on the continent so that
trains for British rail lines will be built in Britain and put a stop to the
export of our irreplaceable highly skilled jobs.

"The Government could make a real impact now and save our ailing
manufacturing industry by offering better protection for British workers.
We aren't asking for charity just a level playing field."

Workers from the plant look set to join thousands of Amicus members in a
massive demonstration being held at the labor party conference this year in
Bournemouth to save Britain's manufacturing industry.


RHODIA SA: North West Workers Strike to Save Pension Scheme
-----------------------------------------------------------
For the second time in a month, workers at the Widnes site of French
Chemical Company, Rhodia, staged a strike in support of their final salary
pension scheme on August 15.  Amicus and GMB members at the site are
determined to stop the company from closing the scheme to new members and,
following the breakdown of talks at ACAS, the unions are preparing for a
long battle.

Derek Simpson, General Secretary of Amicus, said: "The company's decision to
close their final salary scheme to new members makes no sense.  They will
incur significant costs by switching to a money purchase scheme for new
staff, which has drastically reduced benefits for members, and they're not
even proposing to make any new appointments, in fact the company are
planning to reduce staff numbers over the next few years.

"Companies tend to have short memories and have forgotten that they enjoyed
long pension holidays and their promise to members that they would stand by
their commitment to the pension schemes.  It's Amicus' intention to stand by
our members in defending pensions from attack and we will endeavor to make
employers stand by their promises."

Amicus National Secretary, Roger Jeary said: "Our members are 100% committed
to defend their pension scheme and to protect their families' future
financial well-being which is being put under threat by the actions of
Rhodia.  The lack of progress at the ACAS talks was disappointing and we
have now written to Rhodia's Chairman and Chief Executive Jean-Pierre
Tirouflet to seek an intervention from the top."

Amicus has plans for a rolling program of strikes at the company's plants in
Widnes and its West Midlands factory at Oldbury over the coming weeks and
will continue its national campaign to secure decent pension provision for
all workers.


VIVENDI UNIVERSAL: Comcast Abandons Plan to Buy VUE Assets
----------------------------------------------------------
As previously announced, Comcast does not intend to purchase the Vivendi
Universal Entertainment assets.  Separately, Vivendi and Comcast have
announced that they intend to explore an alliance involving both parties'
cable channels and Vivendi's worldwide content with the goal of creating new
channels and services.  Vivendi confirms that this will not interfere with
its current plans to conclude the process for the possible sale of Vivendi
Universal Entertainment.

Comcast Corporation (http://www.comcast.com)is principally involved in the
development, management and operation of broadband cable networks, and in
the provision of electronic commerce and programming content.  The company
is the largest cable company in the United States, serving over 21 million
cable subscribers.  The company's commerce and content businesses include
majority ownership of QVC, Comcast-Spectacor, Comcast SportsNet, E!
Entertainment Television, Style, The Golf Channel, Outdoor Life Network and
G4. Comcast Class A common stock and Class A Special common stock trade on
The NASDAQ Stock Market under the symbols CMCSA and CMCSK, respectively.


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


ALLIANZ GROUP: Posts EUR622 Million Profit in Second Quarter
------------------------------------------------------------
In the first six months of 2003, all segments of Allianz Group significantly
improved their operating results.  Moreover, the turnaround programs at
Dresdner Bank, in the international industrial insurance business as well as
in France and USA have made very good progress.

Adjusted for exchange rates, total gross premium income of the insurance
business is up 11.5%.  The increase in the life and health insurance
business was even 18.2%.  The combined ratio in the property and casualty
business was brought down further to 97.1%.  In the banking business it was
possible to not only reduce administrative expenses by 17.9% compared to the
same period of the previous year, but also to cut loan-loss provisions in
the lending business significantly.

Thanks to the slight recovery in the capital markets, write-downs on the
Group's investments were substantially lower.  In the second quarter they
were down to EUR0.8 billion versus EUR2.3 billion in the first quarter of
2003.

Profit in the first half-year

In the second quarter of 2003 Allianz Group earned a profit of EUR622
million.  In spite of the first-quarter loss, the Group was able to close
the first half of 2003 with an aggregate profit of EUR102 million.

"The trend is pointing in the right direction.  But we are not yet out of
the woods.  Even though the current economic and capital-market environments
are friendlier, we are continuing with our ongoing review of all business
segments, and our focus is on improving our operating results," said Michael
Diekmann, Allianz' CEO, when presenting the company's figures.

On a year-on-year basis and adjusted for exchange-rate effects, global gross
premium income from the insurance business was up 11.5%.  The
euro-denominated accounts showed an increase of 6.3% from EUR42.1 billion to
EUR44.8 billion, mainly due to the weakness of the U.S. dollar against the
euro.

52.9% of total premium income was earned in the property and casualty
business, and 47.1% in the life and health insurance segment, which was able
to increase its share in total premium income by 2.2%age points.

Property and casualty insurance: Lower combined ratio

Compared to the first six months of 2002, premium income in the property and
casualty insurance segment was up EUR0.5 billion to EUR24.1 billion.  Most
of this increase was generated in Europe.  Adjusted for consolidation and
exchange-rate effects, premium income was up 6.0%.  This growth is mainly
due to higher premiums. Considering the portfolio adjustments made across
the globe, this is quite remarkable.

In year-on-year terms, the claims ratio dropped during the first six months
of 2003 by 3.2%age points to 71.4%.  This was mainly due to a more selective
underwriting policy, the decline in natural catastrophes and a more
favorable situation with regard to major damages.  The expense ratio has
improved from 27.6 to 25.7%.

The combined ratio, i.e. the ratio of claims and expenses to premiums
earned, was improved further, i.e. in the first six months it was brought
down to 97.1%.

"The measures initiated for our turnaround candidates are already taking
effect and are reflected in a lower combined ratio.  Not only in France but
also in the USA and in the industrial insurance business, the progress made
is clearly visible.  For instance, in our U.S. operation Fireman's Fund, the
combined ratio was lowered to 91.7% in the continued lines of business,"
said Helmut Perlet, member of the Allianz Board of Management responsible
for Controlling.

After amortization of goodwill, taxes and minority interests, the net income
from the property and casualty business was EUR769 million, up EUR742
million from the first quarter of 2003.

Life and health insurance: Continued growth

In the life and health insurance business, Allianz Group was able to
continue its growth course and to raise total sales, adjusted for
exchange-rate and consolidation effects, by 18.2% from EUR18.9 billion to
EUR21.1 billion.  52.4% of this increase was generated by
investment-oriented products whose sales increased by 34.8%.  The IFRS
accounts show a 1.1% increase in premium income to EUR10 billion.

Successful business operations in the USA, Italy and Germany contributed
substantially to the sales growth of Allianz Group.  In the USA, the
distribution network was significantly expanded in recent years, which was
one of the factors contributing to the substantial growth of 47.8% in local
currency to a total of EUR4.6 billion.  In Italy, the bancassurance
operations, mainly run by UniCredito and Banca Antoniana Popolare Veneta,
continued to generate substantial growth.  Premium income in Italy increased
by 26.2% to EUR4.9 billion.

In Germany, Allianz Leben was able to take advantage of the positive trend
in the life insurance market.  "In this business, the financial strength as
well as the performance of Allianz Leben plays a special role.  More brokers
are offering our products and seeking cooperation with a financially strong
product supplier.  Also the new business of Allianz Pensionskasse was very
successful with 110,000 contracts," said Helmut Perlet.

Earnings from investments are still affected by the weak capital markets.
They are down from EUR5.2 billion to EUR4.0 billion.  After amortization of
goodwill, taxes and minority interests, the life and health insurance
segment posted net income in the amount of EUR191 million.

Banking business: Administrative costs slashed further

In the banking business, mainly driven by the performance of Dresdner Bank,
operating revenues were further stabilized.  Total net interest income, net
fee and commission income and trading income generated EUR3.7 billion, with
the trading income more than doubled against the prior-year period to
EUR1.071 million.  Almost half of this increase is attributable to
successful trading in fixed income products.

Net interest and commission revenues further declined as a result of
excluding Deutsche Hyp from the scope of consolidation, the scheduled
reduction of risk-weighted assets and the wait-and-see attitude adopted by
customers.

Administrative expenses were further slashed by EUR659 million or 17.9% on a
year-on-year basis.  "This result clearly demonstrates that Dresdner Bank is
speedily and consistently implementing the measures initiated so far,"
commented Michael Diekmann.  Loan-loss provisions were down from EUR1,068
million to EUR699 million.  Overall, the banking segment closed with an
operating loss of EUR21 million.

The high balance of other expenses and income, totaling -EUR795 million
versus EUR346 million in the previous year, is mainly attributable to
write-downs and restructuring expenditure.  After write-down of investments,
amortization of goodwill, taxes and minority interests, the banking business
closed with a negative result of EUR437 million (versus -EUR1,058 million in
the previous year).

Asset management: Operating profit

In the asset management segment the Group posted an operating profit of
EUR320 million.  Owing to more stringent cost management, the cost-income
ratio was brought down from 71.9% to 69.0%.  After deducting loyalty bonuses
and retention payments, mainly for the management and staff of PIMCO Group
as well as Nicholas-Applegate, write-downs on goodwill, taxes and minority
interests, this segment showed a loss of EUR130 million for the first six
months of the year, less than expected.

As of June 30, 2003, the Assets under Management by Allianz Group totaled
EUR1,020 billion.  Since year-end 2002 this means an increase of EUR31
billion or 3.1%.  Since the end of 2002, the Group's own investments have
increased slightly by EUR17 billion or 4.2% to EUR420 billion.  Investments
for third parties also increased by EUR10 billion or 1.8% to EUR571 billion.

The main factors behind this growth were high net inflows of EUR18 billion,
portfolio appreciation spurred by rising stock and bond markets to the tune
of EUR32 billion, and translation losses due to the weaker dollar, amounting
to EUR40 billion.

Outlook: Too early for an all-clear signal

"As promised, we are working very hard to improve our profitability and are
very pleased that this is beginning to produce a positive impact on our
results.  In order to strengthen this early trend, we will continue to work
with great discipline in all areas of the Group," said Michael Diekmann when
presenting the figures.

"Our goals remain unchanged, i.e. to achieve a combined ratio in the
property and casualty insurance business of below 100%, and profitable and
above-market growth in the life and health insurance business as well as in
asset management.  In the banking business we continue to pursue a very
ambitious goal: a break-even operating result.  Although so far we have made
good progress in this respect, it will be necessary -- in order to secure
the future competitiveness of Dresdner Bank -- to initiate another very
substantial cost-cutting program," announced Diekmann.

To See Financial Statements:
http://bankrupt.com/misc/Allianz_Results.pdf


ALLIANZ AG: Q2 Results Expected, Says Standard & Poor's
-------------------------------------------------------
Standard & Poor's Ratings Services said that Munich-based Allianz AG's
(AZAG; AA-/Negative/A-1+) first-half 2003 net earnings are broadly in line
with expectations and do not in themselves affect the ratings and outlook on
the company and related entities.

The current ratings are based on Standard & Poor's expectations, which are:
a non-life combined ratio below 100% at year-end 2003, particularly in the
U.S.; and for the group's industrial lines portfolio, including further
improvement in the non-life technical performance in France to a combined
ratio of around 103%.  A stringent review of business lines and product
design, particularly on the life side, with the aim to improve profitability
and reduce the group's exposure to market risk.

AZAG will remain committed to managing capitalization to a level that is in
line with the current rating through active balance-sheet management,
including divestments and capital re-allocation.  The operating
profitability of its banking arm, Dresdner Bank AG (A/Negative/A-1) has
improved during the first six months of 2003 after heavy losses in 2002.

The bank's stand-alone profile continues to be weak, however, and the aim to
achieve operating break-even results in 2003 remains challenging.  Standard
& Poor's will, therefore, monitor the effects of the announced new strategic
initiatives, in particular the speed and success of further cost-cutting
measures, the progress in restructuring its loan portfolio, and the effect
of the group's stronger focus on retail banking, including the announced
legal separation of its investment banking division.


DEUTSCHE TELEKOM: Reduces Debt by EUR11 Billion in 2nd-quarter
--------------------------------------------------------------
Deutsche Telekom released this second quarter results recently.  These are
the highlights:

(a) Group revenue increases by 5.7% in year-on-year to EUR27.2
    billion in the first half-year

(b) Net income up by EUR5.0 billion to EUR1.1 billion

(c) Adjusted EBITDA increases by 17% to EUR9.1 billion

(d) Free cash flow before dividend improved from EUR2.8 billion
    to EUR4.0 billion, and after dividend by EUR2.7 billion to
    EUR3.9 billion

(e) Net debt reduced by EUR11.3 billion to EUR53.0 billion
    compared with EUR64.3 billion as of September 30, 2002.

(f) The Board of Management aims to reinstate dividend payments
    for the 2004 financial year.

Overview of selected key figures
millions of euros              Q2 2003    Q2 2002    Change in %
Total revenue                     13,593     12,984       4.7
Net income/(loss)                    256     (2,083)     n.a.
EBITDA                             4,710      3,777      24.7
EBITDA adjusted for                4,598      3,975      15.7
special factors

Millions of euros    H1 2003    H1 2002   Change in %   FY 2002
Total revenue        27,211     25,754      5.7           53,689
Net income/(loss)    1,109     (3,891)    n./a.         (24,587)
EBITDA               9,614      7,559     27.2           16,116
EBITDA adjusted for  9,074      7,757     17.0           16,314
special factors
Free cash flow       3,912      1,260    210.5            3,256
after dividend
Net debt             53,009     64,529    (17.9)          61,106
balance sheet date)

The revenue of the Deutsche Telekom Group increased by 5.7%, EUR1.5 billion,
compared with the same period last year to EUR27.2 billion in the first half
of 2003.  The T-Mobile and T-Online divisions were the major contributors to
revenue growth in the second quarter and the first half of 2003.

Group revenue increased by 4.7% year-on-year to EUR13.6 billion in the
second quarter of 2003.  The impact of the deconsolidation of the cable
business, sold effective March 1, 2003, and the strength of the euro --
against the U.S. dollar and the pound sterling in particular -- which has
the effect of reducing revenue figures when translated, should be taken into
consideration.

Net income improved by EUR5 billion year-on-year from approximately -EUR3.9
billion in the first half of 2002 to a positive EUR1.1 billion, mainly as a
consequence of favorable tax effects, recorded especially in the first
quarter, as well as the improvement in results from ordinary business
activities.  Adjusted for the relevant special effects, in particular as a
result of sales of interests, the adjustment of pension accruals,
write-downs and tax effects, net income for the first half of 2003 amounted
to EUR275 million, as compared with a net loss of approximately EUR3.1
billion in the same period last year.

Group EBITDA improved by 27.2% in the first half of 2003 to EUR9.6 billion,
compared with EUR7.6 billion in the same period last year.  Special factors
amounting to a net total of around EUR0.1 billion had a positive effect on
EBITDA in the second quarter.  These special factors were primarily a result
of the income from the sale of financial assets (principally from T-Mobile's
disposal of interests in MTS).  This was offset by expenses from higher
additions to pension accruals occasioned by changes in discount rates
(additional minimum liability, AML), particularly at T-Com.  Adjusted for
the special factors listed above, and special influences from the first
quarter of 2003, which amounted to EUR0.4 billion (relating in particular to
the sale of the remaining cable activities and Telecash), adjusted EBITDA
improved year-on-year by 17% to EUR9.1 billion.  The adjusted EBITDA margin
improved considerably from 30.1% to 33.3% at the same time.  Group EBITDA in
the second quarter of 2003 increased by almost 25% year-on-year to EUR4.7
billion; adjusted for special influences, it increased by almost 16% to
EUR4.6 billion.

Adjusted EBITDA also increased by approximately 2.7% compared with the first
quarter of 2003 (EUR4.5 billion).

Free cash flow before dividend amounted to EUR4.0 billion in the first half
of 2003, slightly more than 40% higher than in the first half of 2002
(EUR2.8 billion).  After dividend, free cash flow amounted to EUR3.9
billion, compared with EUR1.3 in the same period last year.  Net debt
decreased by around EUR8.1 billion since December 31, 2002 to EUR53.0
billion at June 30, 2003.

With just half the year gone, therefore, the debt reduction target for the
end of 2003 has almost been achieved.

Compared with EUR64.3 billion at September 30, 2002, net debt has decreased
by EUR11.3 billion.

The Board of Management aims to reinstate the dividend for the 2004
financial year, payable in 2005.

In addition to the results prepared in accordance with German GAAP provided
throughout this press release, Deutsche Telekom has presented non-GAAP
financial measures, such as EBITDA, EBITDA adjusted, net debt and free cash
flow.  The non-GAAP financial measures should be considered in addition to,
but not as a substitute for, the information prepared in accordance with
GAAP.  To interpret these non-GAAP financial measures, please refer to the
"Reconciliation to pro forma figures". To view these and other
reconciliations, visit our 'Investor Relations' link under
http://www.telekom.de


DRESDNER BANK: Plan to Stabilize Biz, Improve Profit Launched
-------------------------------------------------------------
On Thursday, Dresdner Bank presented its "New Dresdner" program for the
future in Frankfurt.  The goal of the program is to "secure the Bank's
economic base, facilitate profitable growth and conquer the future."  This
is to be achieved via the new opportunities for income offered by an
optimized business model, cost and risk reduction and the efficient
utilization of the capital employed.  The divisions will focus squarely on
customers, current results and powerful growth initiatives.  "Our clear goal
is to ensure excellent implementation at an operational level," said Herbert
Walter, the new Chairman of the Board of Managing Directors of Dresdner
Bank, introducing the program.

The figures for the first six months of 2003, which were presented on
Thursday, demonstrate that Dresdner Bank is making progress.  Mr. Walter
said: "We made a slight profit from operations, and stabilized income."
However, the Bank could not afford to rest on its laurels, he said: "We have
to continue increasing our ability to weather future challenges."  The Bank
must be able to generate a profit from operations whatever the economic
environment.

Mr. Walter presented a clear road map for the program: "From now until the
end of the current year, the Bank intends to further stabilize its results.
The new business model is to be implemented by the middle of next year, and
by the end of 2004, the Bank's competitive position should have improved
tangibly.  If we succeed in cutting costs and implementing our growth
initiatives as planned by mid-2005, we will be able to cover our costs of
capital at the end of 2005."

In future, Dresdner Bank will make a distinction between its strategic and
non-strategic business.  The strategic divisions comprise Private and
Business Clients (PBG), Corporate Banking and Dresdner Kleinwort
Wasserstein.  The Bank's non-strategic business consists of the
Institutional Restructuring Unit (IRU) and Corporate Investments.  The IRU
is responsible for winding up the Bank's non-strategic loan portfolio and
selective restructuring measures.  The role of Corporate Investments is to
reduce the Bank's investment portfolio without disrupting the market. In
addition, the Bank will ensure clear responsibilities by separating sales
and infrastructure tasks and streamlining support and service functions.

An equally important part of the "New Dresdner" program is a growth
initiative designed to enable the Bank to wholeheartedly seize its
opportunities on the market.  To this end, each of the strategic divisions
will establish a superior business model.  Mr. Walter said: "PBG offers
customers integrated financial solutions for all stages of their lives."  In
the Corporate Banking division, the support model will focus on large
enterprises and groups, creating value for the Bank and meeting customer
requirements.

The Bank intends to strengthen its core competencies in corporate finance
and drive forward profitability within the division.  Supporting this will
be an innovative range of capital market oriented financial solutions based
on the close integration of Corporate and Investment Banking.

The investment bank Dresdner Kleinwort Wasserstein has made substantial
progress.  A strict savings program was implemented in 2001.  A clear-cut
business model focusing on selected markets such as Germany and the United
Kingdom has been established and a new management team installed that is
tackling the challenges with vigor.  DrKW has been turning a profit for
three quarters now, and the Bank is confident that it will continue to make
progress.  Mr. Walter said: "However, I would like to stress that DrKW has
succeeded in reducing the capital tied up in the business over the past few
years; capital requirements are guaranteed for at least the next two years."
During this period, the investment bank will have the full support of
Allianz for its development into a Group business unit that is capable of
generating sustained profits and strong enough to attract growth capital
from outside the group.

A further sustained cut in administrative expenses will be made and
redundant functions eliminated in order to achieve the goal of a positive
contribution to income for Allianz.  "However, this will definitely not
impact our customers," he said.  According to him, the current cost ratio
between front-office and back-office staff is unsatisfactory.  As a result,
further substantial cost cuts of an additional one billion euros are needed
in the period up to 2005.  This includes a further headcount reduction of
4,700 in the next two years.  The IT unit will contribute the bulk of the
cost savings (around 50 percent).

Mr. Walter's aim with the "New Dresdner" program is "to become -- in
cooperation with Allianz -- one of the best suppliers of integrated
financial solutions for retail and business clients, large enterprises and
groups in Germany and in those European markets in which the Bank is already
well positioned today."

CONTACT: DRESDNER BANK
         Dr. Hartmut Knuppel
         Phone: +49 (0) 69 2 63-49 74
         Karl-Friedrich Brenner
         Phone: +49 (0) 69 2 63-8 36 37
         Elke Pawellek
         Phone: +49 (0) 69 2 63-1 67 12


ENERGIE BADEN-WURTTEMBERG: "Legacy Burdens" Impact Results
----------------------------------------------------------
The half-year figures have confirmed and defined more closely the potential
impact on earnings already presented in the ad-hoc announcement from July 3,
2003.

The result of the first half year of 2003 reflects substantial one-off
burdens.  In the energy and environmental services segment, the
non-recurring effects related to impairment losses and risk provisions,
primarily in the thermal disposal area amounting to EUR283 million, and the
discontinuing activities of the Salamander group amounting to EUR195
million.  The result in the core business segment electricity was impacted
in particular by write downs of several investments on account of impairment
tests (particularly Stadtwerke Dusseldorf AG with EUR208 million), valuation
allowances in the area of capital investments, expenses for
personnel-related provisions and one-off selling expenses.  These factors
mainly stem from problem areas rooted in the past, so-called "legacy
burdens" that now have to be reflected in the earnings or external
reporting.

Prof. Dr. Utz Claassen, CEO of EnBW comments: "On the one hand, the negative
influences on earnings stemming from 'legacy burdens' are largely of a
non-recurring nature without a sustained effect on the core operating
business, and to a large extent will not effect liquidity; on the other, the
entire board of management agrees that in light of the current situation,
'sleeves need to be rolled up even higher' than previously planned."

The non-recurring burden on earnings before taxes in the first half-year of
2003 comes to approximately EUR1.1 billion. As things stand today, a further
drain on earnings of nearly EUR200 million is expected for the second half
year.  The interim financial statements will be on the agenda of the next
meeting of the audit committee of the supervisory board at the end of
August.  The pre-tax result for the whole of 2003 is estimated at around
minus EUR1 billion.

Adjusted to eliminate one-off burdens on the EBITDA of some EUR525 million,
the half-year figures do, however, at the same time evidence a stable
operating result in the core business segments electricity and gas.
Adjusted for one-off effects, the EBITDA has risen by around 30%.  The
beginning of the second half year 2003 sees the start of extensive
restructuring in the group.  The TOP-FIT program to cut costs and enhance
profitability, that is to run until 2006, will also have a positive impact
on earnings in the current business year.

"Our efforts must focus above all on closing the short-term 'earnings gap'
of 2003 as quickly as possible by significantly improving the operative
performance of the group and then, in the medium and long term, on the
erection of a building with firm foundations of sustainable value
enhancement, an adequate return on capital and highly competitive value
added chains for our shareholders, our customers and our workforce," to cite
Prof. Dr. Utz Claassen.

To See Financial Report:  http://bankrupt.com/misc/EnBW_financial.pdf

CONTACT:  ENBW ENERGIE BADEN-WURTTEMBERG AG
          Communications department
          Durlacher Allee 93
          76131 Karlsruhe
          Phone: +49 (07 21) 63-1 43 20
          Fax: +49 (07 21) 63-1 26 72
          E-Mail: unternehmenskommunikation@enbw.com


NORDDEUTSCHE AFFINERIE: Acknowledges Significant Earnings Slide
---------------------------------------------------------------
In a very difficult economic environment with persistently weak raw material
and product markets, Norddeutsche Affinerie AG recorded, as already
announced, reduced earnings in the 3rd quarter of fiscal year 2002/03.  The
pre-tax profit as at June 30, 2003 declined to EUR1 million.  Norddeutsche
Affinerie AG in Hamburg made a positive contribution to earnings.

As announced on July 22, the decline in earnings is mainly attributable to
the continued losses at NA's subsidiaries Huttenwerke Kayser AG (HK) and
Prymetall due to the structurally changed copper scrap market as well as the
decline in sales of copper semi-finished products caused by the weak
economic environment.

HK has responded to the very strained situation by applying extensive
cost-cutting measures.  Personnel adjustments currently being implemented
have weighed on results further due to the respective severance payments.
At Prymetall and Schwermetall performance enhancement and cost-cutting
programs have also been implemented.

Norddeutsche Affinerie is countering the significantly deteriorated trend in
earnings for the Norddeutsche Affinerie Group by implementing a Group-wide
performance enhancement and cost-cutting program.  The program represents an
improvement potential of EUR80 million annually.  Potential savings of more
than EUR50 million have already been opened up by concrete steps and can be
implemented as quickly as possible.  Further measures with a total potential
of EUR30 million are still at the design stage.  The program will affect
results as from fiscal year 2003/04.

The target is that, even if the economic downturn continues, the
Norddeutsche Affinerie Group should again generate positive results in
fiscal year 2003/04 and resume its dividend policy.
The squeeze-out resolved by Huttenwerke Kayser AG (HK) on April 3, 2003 at
its Annual General Meeting was entered in the Commercial Register on August
4, 2003.

Consequently, Norddeutsche Affinerie AG now holds 100% of HK's subscribed
capital.  It is generally expected that the economy will pick up. This will
also result in an increase in copper demand since copper demand follows
economic growth.  Norddeutsche Affinerie will participate in this at once.


THYSSENKRUPP AG: Outlook Remains Bleak, Says Chairman
-----------------------------------------------------
The 3rd quarter of fiscal 2002/2003 continued to be impacted by the weak
state of the world economy.  Sales and orders slipped.  The Group's income
before taxes and minority interest in the 3rd fiscal quarter was EUR221
million, compared with EUR316 million a year earlier.

The highlights for the 3rd quarter and the first nine months of fiscal
2002/2003 were:

(a) Order intake in the reporting quarter was EUR9.1 billion, 4%
    lower than the year-earlier period.  Orders in the first
    nine months of 2002/2003 were EUR27.2 billion, 1% lower than
    a year earlier.

(b) Sales in the 3rd quarter were EUR8.9 billion, 8% down from
    the prior-year quarter.  Sales in the first nine months were
    EUR26.8 billion, likewise 1% lower than a year earlier.

(c) EBITDA in the 3rd quarter was EUE645 million, 18% lower than
    the previous year; in the first nine months EBITDA was
    EUR1,924 million, 4% higher than a year earlier.

(d) 3rd quarter earnings before taxes and minority interest were
    EUR221 million, compared with EUR316 million a year earlier.
    The prior-year quarter benefited from profits on the sale of
    activities in the Automotive and Technologies segments in
    the total amount of EUR47 million and particularly high
    income from the fair value measurement of foreign currency
    positions and derivatives in the amount of EUR42 million.  \
    In the first nine months earnings before taxes and minority
    interest were EUR612 million, EUE172 million more than a
    year earlier.

(e) Basic earnings per share were EUR0.42 in the 3rd quarter,
    compared with EUR0.39 a year earlier.

(f) Normalized earnings per share amounted to EUR0.23, compared
    with EUR0.31 a year earlier.

(g) The Group's net financial payables amounted to EUR4.9
    billion at June 30, 2003.  Despite the dividend payment and
    the repurchase of shares for a total price of approximately
    EUR0.4 billion, they increased only EUR126 million against
    September 30, 2002.  Compared with June 30, 2002, the
    Group's financial debt was lowered by EUR1.4 billion.

Prof. Dr. Ekkehard Schulz, Executive Board Chairman of ThyssenKrupp AG,
said: "There was still no brightening of the economic picture in the 3rd
quarter of fiscal 2002/2003.  Due to declining orders in key sectors, a
rapid improvement in the situation is not expected."  Assuming no further
deterioration in the world economic parameters at least in the short term,
normalized pre-tax earnings of EUR700 million are targeted for fiscal year
2002/2003.

Prof. Dr. Schulz: "If the weakening tendencies in the key auto, construction
and mechanical engineering sectors continue in the coming months, we will
review our plan of achieving pre-tax earnings of EUR1.5 billion in fiscal
year 2003/2004."  Since the plan was presented at the 2002 Annual
Stockholders' Meeting, the economic parameters have continuously
deteriorated.

The full interim report is available in German and English; both versions
can also be viewed online or downloaded at http://www.thyssenkrupp.com

CONTACT:  THYSSENKRUPP AG
          Dr. Jurgen Claassen
          Corporate Communications and Central Bureau
          Phone: +49 (211) 824-36002
          Fax: +49 (211) 824-36005
          E-mail: presse@tk.thyssenkrupp.com
          Homepage: http://www.thyssenkrupp.com


=============
H U N G A R Y
=============


ALBA REGIA: 200 Workers Detailed at Troubled Units to Go
--------------------------------------------------------
Construction company Alba Regia Holding Rt will trim down its employees
amidst plans to end troublesome operation, according to the Budapest
Business Journal.

The report quoted the company's press office Peter Bencze Szabo saying Alba
Regia Holding will dismiss 200 employees.  It already has advised the first
batch of 75 employees at one of its deficient unit, high-building
construction specialist Monoliton Kft, to find alternative work.

Alba Regia Holding has six Kft's in the holding that have deficits, and it
plans to terminate the operations of these.
The company currently employs 450 people.


IKARUSBUS RT: Minority Owner Ikarus Rt Offers to Buy Shares
-----------------------------------------------------------
Ikarusbus minority owner, Ikarus Rt, might soon rescue the
Szekesfehervar-base bus manufacturer from closure, according to Budapest
Business Journal.  Ikarus Rt President Gabor Szeles has offered to buy the
shares of IkarusBus Rt from the majority owner Irisbus Rt, which is a joint
venture of Renault and Iveco.

According to the report, talks over the production handover are in progress,
and an agreement may be made in September.  Irisbus Group attributed the
plan to close Ikarusbus on the lack of domestic demand and on the declining
Russian market.  The firm revealed that the only major foreign order for the
year was a hundred chassis.

Last year, only 280 buses were made in Szekesfehervar, from which 180 pieces
were exported to Romania, Tunisia and Russia.  There have been no orders in
2003 because major regional bus operator Volan companies are not interested
in the company's suburban bus model.


RABA RT: Cuts Losses in Second Quarter to EUR4.2 Million
--------------------------------------------------------
Raba, the vehicle maker, narrowed its second quarter loss to EUR4.2 million
from EUR8.5 million in the first quarter.  The group's operating results was
EUR10.5 million, while its after tax loss amounted to EUR12.7 million.
Total turnover was EUR5.6 million, down from EUR81.6 million last year
because of weaker dollar, the recession in the entire industry, and the
"successful" rationalization.  The company's rationalization resulted to a
minimal growth in sales in Europe and the U.S.

Raba is one of Hungary's largest automotive manufacturers, producing axles,
automotive components, commercial vehicles and engines.  It is one of the
largest independent manufacturers of axles in the world.  Raba sells automot
ive components to leading European car and commercial-vehicle manufacturers.
Employing around 5,000 people, Raba is based in Gyor in Western Hungary, and
owns several manufacturing and testing facilities throughout the region.


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


FIAT AUTO: Ford's Leach Rumored to be Next CEO, Reports Say
-----------------------------------------------------------
Former Ford Europe President and Chief Operating Officer Martin Leach could
soon replace current Fiat Auto head Giancarlo Boschetti, according to
reports.

Agenzia Giornalistica Italia said he might replace Mr. Boschetti, who is set
to retire November 2004, by the end of the year.  He could arrive in Turin
as soon as the new models, aimed at re-launching the car market, are
introduced to the market this September.  These models include the new Alfa
156, the new Punto and the new Lancia Ypsilon, according to the report.

Mr. Leach resigned from Ford Europe last week to "try out new
opportunities," but people believe he will soon join the loss-making
carmaker.  According to Italian newspaper II Giornale, Fiat Chief Executive
Giuseppe Morchio had been asking Leach to join Fiat for some time already.
Fiat has neither denied nor confirmed the impending appointment ever since
it circulated a month ago.


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


NUMICO N.V.: Reduces Net Debt by EUR344 Million in First-half
-------------------------------------------------------------
Numico N.V. released this first half figures recently.  These are the
highlights:

(a) Combined sales and EBITA Baby Food and Clinical Nutrition up
    6.6% and 20.8%, respectively.

(b) GNC: underlying sales, excluding ephedra products and
    substitutes, slightly up.

(c) Total sales of continued businesses up 0.8% and EBITA down
    3.2%.

(d) Strong free cash flow of EUR232 million.

(e) Net debt position reduced by EUR344 million, excluding
    proceeds divestiture Rexall Sundown.

(f) Slightly negative shareholders' equity at -EUR4 million on
    30 June 2003; returned to positive territory by the end of
    July 2003.

(g) Numico does not expect to pay any dividend for the year
    2003.

Numico is pleased to announce good results for the first half of 2003.
These positive results were driven by continued momentum within the Baby
Food and Clinical Nutrition divisions, which each showed increases in net
sales and EBITA margins.  GNC had an especially good second quarter, despite
the ephedra impact, with sales only slightly down versus last year and a
strongly improved EBITA margin.

Our equity situation has moved to a slight negative position at the end of
June 2003 as a result of the restructuring provision, currency translation
effects and the goodwill write-down of recent divestitures.  Importantly,
free cash flow was strong and showed another improvement over last year.

In the first half, we executed against key components of our five-pronged
strategic program, to become a high-growth, high-margin specialized
nutrition player.

(a) A renewal of the Executive Board and the implementation of a
    divisional structure.

(b) Near completion of the divestiture of our non-
    strategic/high-investment assets.

(c) Concluded debt refinancing successfully and reduced working
    capital by EUR50 million since September 2002.

(d) Successfully started the optimization of the European
    production platform of Baby Food, providing EUR35 million
    annualized cost savings by 2006.

(e) Launched overhaul of our IT systems and strengthened
    financial controls.

With the good results of the first half and the execution of our strategic
plan well underway, we feel confident to raise our net sales target for the
combined Baby Food and Clinical businesses to 5-7% for the total year.  Net
sales of GNC are expected to decline only slightly in the second half of
2003, resulting in a decline of 3-5% in net sales in 2003.  Full year EBITA
for the total continued businesses is expected to be between EUR340 and 360
million.

(1) Comparable basis is at constant scope of consolidation and
    constant exchange rates.

(2) All comparisons exclude exceptional items.

We will continue to focus the company on reducing its debt level and to
strengthen shareholders' equity.  As a consequence, we do not expect to pay
any dividend for the year 2003.

UPDATE ON STRATEGIC REVIEW

Organization

The renewal of the Executive Board is completed.  In the second quarter of
2003, two new members were added to the Executive Board - Rudy Mareel
responsible for the Clinical Nutrition Division and Ajai Puri responsible
for Research & Development.  Next to this, the organizational structure has
been converted from a geographical structure into a divisional structure --
with dedicated divisions for Baby Food, Clinical Nutrition, GNC, Operations
and Research & Development -- in June 2003.  These organizational changes
have helped to create a focused organization with clear functional and
profit responsibilities.

Finance

Numico successfully refinanced its debt through a EUR1.2 billion senior
unsecured revolving credit facility (maturing December 2006) and a EUR345
million convertible bond (maturing July 2010).  This financing structure
will enable Numico to comfortably repay all current outstanding senior debt
and the 2004 and 2005 convertible bonds by or at their respective maturity
dates.

In addition, Numico has been able to reduce working capital in the last nine
months by EUR50 million.  Numico remains confident that the target to reduce
working capital by EUR100 million (excluding currency effects) by the end of
2003, will be met.  With the successful refinancing and the continuous
improvements in working capital, Numico has created a stable financial
situation characterized by a strongly improved liquidity position and a
steady and improving cash flow.

Focus

With the new organizational structure in place, Numico is able to fully
focus on its core businesses.  In streamlining the organization to become a
high-growth, high-margin specialized nutrition company, several non-core
assets were divested.  The largest low-growth/low-margin businesses, Rexall
Sundown and Unicity, were sold in July 2003.  Furthermore, Biodermal and the
Health & Diet Group (GNC U.K.) were divested in March and Pulmoll and the
dairy activities of Mococa were sold in July 2003.  It is expected that
Vitamex in Sweden and the operations in India will be divested in the second
half of 2003.  Excluding the related net sales and EBITA of these
divestitures in the first half of 2003, the EBITA margin of Numico improves
by 360 basis points (bps) on a pro forma basis.  GNC is still "on probation"
.  A decision on the future of GNC will be made by May 2004, depending
amongst others on the achievement of GNC's growth and profitability targets.

(3)On a comparable basis

Operations

In order to reduce the overall cost base and improve service levels, the
efficiency and effectiveness of the supply chain will be improved.  On July
7, 2003, the optimization plan for the European Baby Food production
platform was announced.  This program is an integral and important part of
Numico's strategy to become a high-growth, high-margin specialized nutrition
company.  The program is aimed at substantially improving the efficiency of
the manufacturing platform of Baby Food in Western Europe by maximizing the
utilization of the plants and improving the efficiency of the production
processes.  The number of plants will be reduced from 16 to 9 by the end of
2005.  This program will lead to annualized pre-tax cost savings of EUR35
million from 2006 onwards, although initial cost savings will be generated
as of 2004.

In addition to this efficiency program, Numico successfully started project
"Booster" at the beginning of 2003.  This project targets to reduce global
purchasing costs by EUR50 million at the end of 2003.  To date, EUR23
million of cost savings have been realized through this project.  These cost
savings will be used to sustain current gross margin levels.

Financial Controls

Upgrading the IT systems and improving the financial management reporting
systems are prerequisites to further improve the necessary checks and
balances and achieve the strategic objectives in the long term.  Therefore,
two interlinked projects were started in 2003 to assure that the financial
reporting systems are ERP standardized and IFRS compliant in the course of
2004 and that the corporate IT systems are completely upgraded by 2007.

OUTLOOK

Based on the good performance of our core businesses in the first half of
2003 and the progress made on the five-pronged strategic plan, the outlook
for 2003 has been raised.

On a comparable basis, net sales of Baby Food and Clinical Nutrition
combined are expected to grow by 5-7% in 2003.  Net sales of GNC are
expected to decline only slightly in the second half of 2003 compared to the
same period last year, resulting in a decline of 3-5% in net sales in 2003
(on a comparable basis).

Normalized EBITA (excluding exceptionals) for the continued businesses is
expected to be between EUR340 million and EUR360 million for the full year
2003, on a comparable basis.

FINANCIAL REVIEW (on a comparable basis)

Baby Food and Clinical Nutrition experienced a healthy performance in the
first half of 2003, notwithstanding the various strategic challenges Numico
faced during this period.  Additionally, the improvement in the performance
of GNC in the first quarter continued in the second quarter of 2003.

Group sales in the first half of 2003 amounted to EUR1,744 million, a
decline of 5.1%.  This performance was driven by a decline of 5.5% in GNC
and 23.4% in the discontinued businesses, which was partly offset by healthy
growth in Baby Food (+5.1%) and Clinical Nutrition (+9.6%).

In the second quarter of 2003, group sales declined 4.5% to EUR881 million,
compared to the second quarter in 2002.   This decline was fully driven by
the weak performance of the discontinued businesses.  Excluding these, total
sales of the continued businesses in the second quarter exceeded last year's
level by 1.5%.

EBITA in the first half of 2003 showed a similar pattern as in the second
quarter.  Normalized total EBITA in the first half of this year decreased by
15.6% to EUR194 million.  Excluding the discontinued businesses, EBITA of
the continued businesses declined by 3.2% in the first half year of 2003.

In the second quarter of 2003, normalized total EBITA - excluding
exceptional items of EUR78 million - declined 7.7% compared to the same
period last year.  This decline in EBITA was driven by a significant
decrease of EUR12 million in EBITA of the discontinued businesses.
Excluding the discontinued businesses, EBITA of the continued businesses
increased by 6.8% in the second quarter.

In the first half of 2003, gross margin improved by 92 bps to 63.5% compared
to the same period last year.  Gross margin in the second quarter was 63.7%,
an improvement of 140 bps compared to the same period last year.  These
improvements can mainly be attributed to the mix of businesses.

Cash earnings, excluding exceptional items, amounted to EUR37 million in the
second quarter of 2003, resulting in normalized cash earnings of EUR85
million in the first half of 2003.  Consequently, normalized cash earnings
per share -- excluding exceptional items -- decreased to EUR0.51 in the
first half of 2003.

Shareholders' Equity (Capital & Reserves) (at actual rates) Shareholders'
equity stood at -EUR4 million at the end of the first half of 2003, compared
to EUR138 million at the end of the first quarter of 2003.  This decline was
driven by (1) the restructuring charge of EUR61 million (post tax) related
to the optimization of the European Baby Food production platform, (2) a
write-off related to the divestment of Rexall Sundown of EUR58 million and
(3) negative currency translation effects of EUR37 million, mainly caused by
the continued depreciation of the US dollar.

Given the historical and expected future retained earnings, Numico is
confident that it will be able to sufficiently strengthen its shareholders'
equity through retained earnings in the short term.  As such the
shareholders' equity is positive again by the end of July 2003.
Furthermore, any adverse changes in shareholders' equity will not have any
impact on Numico's operations, access to funding or stock exchange listing.

Cash Flow (at actual rates)

The free cash flow position in the first half of 2003 amounted to EUR232
million compared to EUR199 million in the same period last year.  This
strong performance was driven by a strong cash flow from operational
activities of EUR251 million, coupled with the proceeds from the sale of
several non-core assets (excluding Rexall Sundown) and a reduced level of
capital expenditure.

(4) Comparable basis is at constant scope of consolidation and
    constant exchange rates.

(5) All comparisons exclude exceptional items.

Debt Position & Banking Covenants (at actual rates) (please see appendix 6)

The net debt position improved by EUR344 million to EUR2,045 million in the
first half of 2003.  This improvement was due to the strong free cash flow
and continued depreciation of the US dollar.  In the second quarter of 2003,
the company bought back EUR52 million and EUR8 million (nominal) of the
subordinated convertible bonds that are due in 2004 and 2005, respectively.
As a result, the nominal amount of total outstanding subordinated
convertible bonds decreased to EUR1,176 million by the end of June 2003.
This buy-back positively impacted "Net interest expenses" by EUR6 million
and negatively impacted "Other financial income and expenses" by EUR(1)
million in the second quarter of 2003.

Applying a 12-month rolling average for both EBITDA and net interest
expenses of EUR532 million and EUR92 million respectively, we continued to
operate well within the existing banking covenants in the second quarter of
2003.  The ratio EBITDA to net interest expenses was 5.76 (this should not
fall below the 4.5 level) and the ratio total senior net debt to EBITDA was
1.53 (this should not exceed the 2.5 level).

In the second half of 2003, Numico will use the new EUR1.2 billion senior
unsecured revolving credit facility and the EUR345 million subordinated
convertible bond to redeem the existing bank loan facilities.  Subsequently,
the covenants related to the new senior bank loan will come into effect.
These new covenants are related to the total net debt position compared to
EBITDA and EBITDA compared to net interest expenses.  It is to be noted that
the terms of the new interest coverage covenant are less strict than the
existing interest coverage covenant.

In the second quarter, net sales in Baby Food (including dairy activities)
increased 4.8% to EUR262 million.  A broad range of countries contributed to
this growth with the strongest contribution stemming from the developing
countries.  In the first half of 2003, net sales in Baby Food (including
dairy activities) increased 5.1% to EUR517 million.  In line with the second
quarter, this healthy performance was driven by strong growth of 12% in the
developing markets and a slight growth of 1% in Western Europe.  From a
product perspective, sales growth was driven by strong growth in IMF (6-7%)
and dry weaning food (7-8%) and only slight growth in wet weaning food (1%).

Milupa Germany, which captured the market leader position in Infant Milk
Formula in Germany by the end of the first quarter, was able to maintain
this position throughout the second quarter of 2003.  In the U.K., Cow &
Gate successfully relaunched the organic jar assortment in the second
quarter, allowing Cow & Gate to further strengthen its position in the
premium segment of weaning food.  In Indonesia, an additional follow-on
Infant Milk Formula called "SGM 4" was introduced in the quarter.  In July,
Nutricia successfully introduced a variety of ambient ready meals and fruit
purees under the Olvarit brand in the Netherlands.

In the second quarter, the Baby Food division was able to keep the level of
costs stable, notwithstanding an increase in marketing spend.  Consequently,
the EBITA margin improved by 80 bps and 150 bps in the first half and second
quarter of 2003, respectively.

Net sales in Clinical Nutrition grew by 9.5% to EUR136 million in the second
quarter of 2003.  This performance was driven by virtually all countries,
with a balance in growth coming from the Western European countries compared
to the developing countries.  As a result, net sales in Clinical Nutrition
increased 9.6% to EUR261 million in the first half of 2003 with a solid
growth (+8%) in Western Europe and particularly strong growth in the rest of
the world.  From a product perspective all segments posted a strong growth
except for enteral supply products (ESP), which experienced only a slight
growth.

The overall strong performance can particularly be attributed to an
increased focus on both the pharmacy channel and the home care sector,
coupled with a specific product focus on metabolics and disease specific
products, most notably diabetes and wound care.

Due to the healthy performance in all areas of the Clinical Nutrition
division in general and the higher margin products specifically, coupled
with limited cost increases in anticipation of a more focused Clinical
Nutrition strategy, EBITA and the EBITA margin increased by 37.4% and 590
bps, respectively, in the first half of 2003.

In the first half of 2003, Clinical Nutrition has launched renal nutrition
products in eight European countries, with the aim to roll out this product
range in another six countries in the next 6 to 12 months.  Nutricia's
woundcare tube feed "Cubison" is now launched in most European countries,
whereas Nutricia's Diabetic feed range has been (re)launched in most
European countries.  In addition, the Clinical Nutrition division has
started a number of different campaigns in several European countries to
stimulate awareness of Disease Related Malnutrition and usage of its disease
specific products.

In the second quarter, net sales in GNC declined by 4.2%.  However,
excluding the sales of ephedra products and ephedra substitutes, the
underlying sales growth was positive.  In the quarter, comparable US store
sales decreased by 5.0%.

In the first half of 2003, total net sales of GNC declined by 5.5%.
Excluding sales related to ephedra products and ephedra substitutes,
underlying net sales in the first half of this year increased slightly
compared to the same period last year.  Comparable US store sales in the
first half of the year decreased by 5.7%.

The first signs of the start of a positive trend in the number of
transactions as seen at the end of the first quarter, continued in the
second quarter.  As a result, the total number of transactions increased by
1.2% in the second quarter, which can be attributed to the remodeling of our
stores and the implementation of an "EDLP" strategy around the beginning of
this year.

Ephedra-related sales fell substantially in the quarter, compared to the
second quarter of 2002.  However, due to a more than doubling of
ephedra-substitutes sales compared to the same period in 2002, sales of
ephedra substitutes have compensated for 50% of ephedra-related sales in the
second quarter.  Additionally, it is to be noted that by the end of June
2003, the sale of all ephedra-containing products at GNC has been completely
ceased.

As a result of the decline in net sales and the slight increase in operating
expenses, normalized EBITA decreased 31.0% to EUR31 million, which was,
however, a continued improvement compared to the normalized EBITA in the
fourth quarter of 2002 of EUR1 million and the normalized EBITA of EUR17
million in the first quarter of 2003.  The normalized EBITA margins in the
second quarter and first half of 2003 were 380 bps and 510 bps lower
compared to the same periods last year.  However, compared to the first
quarter of 2003, the EBITA margin improved 440 bps in the second quarter.

The discontinued businesses included Rexall Sundown, Unicity, VMS Europe and
the dairy activities in Brazil and India in the first half and second
quarter of 2003.  The negative results are mainly driven by Rexall Sundown,
Unicity and the dairy activities in Brazil (Mococa) that have been divested
in July.  The EBITA of these discontinued businesses was negatively impacted
by a trademark infringement litigation claim related to Rexall Sundown.

DIVIDEND

Given the current level of shareholders' equity and net debt, the main
financial focus is to improve shareholders' equity and continue to reduce
the current debt level.  As such, Numico does not intend to pay any dividend
for the year 2003.

The same accounting principles as used in the Annual Report 2002 have been
applied to prepare the second quarter and first half-year 2003 results,
except for the presentation of the extraordinary items, which have been
classified as exceptionals due to a change in the Dutch accounting
principles.


NUMICO N.V.: Shareholders' Equity Negative at end-June
------------------------------------------------------
Royal Numico N.V. reports that on June 30, 2003 Numico's shareholders'
equity amounted to -EUR4 million.  This change in shareholders' equity does
not have any impact on Numico's operations or access to funding.  Also,
Numico's stock exchange listing remains unaffected as long as Numico
complies with the additional transparency obligations set by Euronext
Amsterdam for listed companies with negative shareholders' equity.
Moreover, Numico is confident it will be able to sufficiently strengthen its
shareholders' equity through retained earnings in the short term.

The reduction in shareholders' equity in the second quarter 2003 was
primarily driven by:

(a) A restructuring charge of EUR71 million (pre-tax) related to
    the optimization of the European production platform;

(b) Currency translation effects -- mainly caused by the U.S.
    dollar -- which negatively influenced shareholders' equity
    by EUR37 million; and

(c) A write-off related to the divestment of Rexall Sundown of
    EUR58 million (post-tax).

Prior Changes in Shareholders' Equity

In 1999 and 2000, Numico made three acquisitions in the nutritional
supplements market.  Subsequently, market conditions for nutritional
supplements in the U.S. worsened, leading to lower results.  As a result,
Numico's shareholders' equity was negatively impacted by several impairment
charges amounting to a total of EUR2,186 million which related to the
nutritional supplement activities in the United States.

In the second half of 2002, Numico revised its strategy with the aim to
become a high-growth, high-margin specialized nutrition player with a clear
focus on baby food, clinical nutrition and GNC.  Consequently, it was
decided to divest some non-strategic/high investment assets, which resulted
in a write-down of assets in emerging markets.  In addition, the
depreciation of the US dollar negatively impacted Numico's shareholders'
equity in 2002 and the first quarter of 2003.

Strong Cash Flow

Over the years, Numico has proven to be highly cash generative, resulting in
a free cash flow of EUR232 million in the first half of 2003.  Based on this
strong cash flow generation capacity, coupled with proceeds from selected
divestitures and continuing improvements in working capital, Numico is
confident that its future cash flow will more than adequately cover all
payment obligations.

Reduced Debt Position

Primarily due to its strong cash flow generation capacity and the continued
depreciation of the U.S. dollar, the net debt position improved since the
end of 2002 by EUR344 million to EUR2,045 million at the end of the first
half of 2003.  In addition, the proceeds of EUR218 million related to the
divestment of Rexall Sundown were used to reduce Numico's net debt position
to approximately EUR1.8 billion (pro forma) by the end of July 2003.

Improved Liquidity

Numico successfully refinanced its debt in June 2003.  The new financing
package consists of a EUR1.2 billion senior unsecured revolving credit
facility with a maturity of 3.5 years (2006) and a EUR345 million-
subordinated convertible bond with a maturity of 7 years (2010).  This
financing structure will enable Numico to comfortably repay all current
outstanding senior debt and the 2004 and 2005 convertible bonds by or at
their respective maturity dates.

Execution of new strategy

Numico is confident that it will be able to generate sufficient retained
earnings that will result in the strengthening of its shareholders' equity
in the short term.  This confidence is based on the fact that the key
aspects of Numico's strategic plan are well underway.  Many initiatives have
meanwhile been executed, of which the most essential items are listed below:

(a) The Executive Board has been renewed and a divisional
    structure is implemented;

(b) The divestment of non-strategic/high investment assets -- as
    announced in November 2002 -- is virtually completed;

(c) The refinancing of Numico's debt is successfully completed;

(d) The reduction in working capital is progressing well, in
    nine months the working capital was reduced by EUR50
    million; and

(e) Numico successfully started the optimization of European
    production platform of the Baby Food division in July.

Numico is confident that, with these strategic initiatives, the company will
be able to deliver on its strategic objective to be become a high-growth,
high-margin company, thereby further improving profitability.


WOLTERS KLUWER: Names Andres Sadler Senior Vice President
---------------------------------------------------------
Wolters Kluwer N.V. announced the appointment of Andres Sadler to the newly
created position of Senior Vice President, Strategy for the global
multi-media publishing and information services organization, as per August
14, 2003.  Mr. Sadler will report directly to Nancy McKinstry, who will
formally assume the Chairmanship on September 1.

In his new role, Mr. Sadler will lead the development and implementation of
Wolters Kluwer's global strategy under McKinstry's direction.  Mr. Sadler
brings to the business more than 12 years of experience in strategy
development and performance improvement for media and entertainment
companies, with a specialization in magazine, book, newspaper and electronic
media.

"I am extremely pleased to welcome Andres to Wolters Kluwer in this pivotal
role," commented Ms. McKinstry.  She added, "His vast experience in
executing successful strategic initiatives for major media organizations
fits perfectly into our strategic vision as we transition from a traditional
publisher to a comprehensive information services provider for our
professional customers.  Andres will work closely with each of our clusters
on their planning, and will begin his efforts by focusing on the realignment
of the Legal, Tax & Business North American cluster, which we announced
earlier this year."

Prior to joining Wolters Kluwer, Mr. Sadler was a Partner at Accenture's
strategy and business architecture practice conducting work both in the
United States and Latin America.   Before Accenture, he was a Principal at
Booz, Allen & Hamilton's strategy practice where he worked with a broad set
of media and entertainment companies.  A U.S. citizen who is originally from
Argentina, Mr. Sadler holds a Master degree in Business Administration from
Harvard University and a Bachelor of Science in Computer Science degree from
Tufts University.

                     *****

Wolters Kluwer recently cut its forecast for full-year earnings after
posting a steep first-half profit slide.  It said "benchmark ordinary net
income" would be "significantly" below the EUR453 million last year, and
lower than prior guidance.

It reported a net loss of EUR115 million, compared to a profit of EUR32
million a year ago, after amortisation and a EUR155 million pre-tax
impairment charge


===========
N O R W A Y
===========


PETROLEUM GEO: Taps BSI Court Claims, Ballot and Notice Agent
-------------------------------------------------------------
Petroleum Geo-Services ASA, seeks approval from the U.S.
Bankruptcy Court for the Southern District of New York in its
application to employ Bankruptcy Services LLC as the claims,
noticing and balloting agent in connection with this proceedings.

The Debtor reports that it has in excess of 200 creditors,
potential creditors and numerous other parties in interest in this chapter
11 case. The Debtor respectfully submits that the
engagement of an independent third party to act as agent for the
Court is the most effective and efficient manner by which to
perform certain tasks.

As agreed, BSI will:

     a. Assist the Debtor with all required notices in this case
        including, among others:

        -- a notice of the commencement of this chapter 11 case
           and the initial meeting of creditors under Section
           341(a) of the Bankruptcy Code;

        -- notice of objections to claims and interests, if
           necessary;

        -- notices of any hearings on the Debtor's disclosure
           statement and confirmation of the Debtor's chapter 11
           plan of reorganization; and

        -- such other miscellaneous notices as the Debtor or the
           Court may deem necessary or appropriate for the
           orderly administration of this chapter 11 case;

     b. Promptly after the service of a particular notice, file
        with the Clerk's Office a certificate or affidavit of
        service that includes:

          (i) a copy of the notice served;

         (ii) a list of persons upon whom the notice was served,
              along with their addresses; and

        (iii) the date and manner of service;

     c. Comply with applicable federal, state, municipal and
        local statutes, ordinances, rules, regulations, orders
        and other requirements;

     d. Promptly comply with such further conditions and
        requirements as the Clerk's Office or the Court may at
        any time prescribe;

     e. Provide such other claims processing, noticing and
        related administrative services as may be requested from
        time to time by the Debtor;

     f. Oversee the distribution of the applicable solicitation
        materials to each holder of a claim against or interest
        in the Debtor;

     g. Respond to mechanical and technical distribution and
        solicitation inquiries;

     h. Receive, review and tabulate the ballots cast, and
        making determinations with respect to each ballot as to
        its timeliness, compliance with the Bankruptcy Code,
        Bankruptcy Rules and procedures ordered by this Court
        subject, if necessary, to review and ultimate
        determination by the Court;

     i. Report the results of the balloting to the Court; and

     j. Perform such other related plan-solicitation services as
        may be requested by the Debtor.

BSI's professional fees are:

          Kathy Gerber           $210 per hour
          Senior Consultants     $185 per hour
          Programmer             $130 to $160 per hour
          Associate              $135 per hour
          Data Entry/Clerical    $40 to $60 per hour
          Schedules Preparation  $225 per hour

Petroleum Geo-Services ASA, headquartered in Lysaker, Norway is a
technology-based service provider that assists oil and gas
companies throughout the world.  The Company filed for chapter 11 protection
on July 29, 2003 (Bankr. S.D.N.Y. Case No. 03-14786).  Matthew Allen
Feldman, Esq., at Willkie Farr & Gallagher represents the Debtor in its
restructuring efforts.  As of May 31,  2003, the Debtor listed total assets
of $3,686,621,000 and total debts of $2,444,341,000.


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


JOMED N.V.: Swedish Subsidiary Declared Bankrupt
------------------------------------------------
On July 30, 2003, JOMED i Helsingborg International AB, a Swedish subsidiary
of JOMED N.V., was declared bankrupt by the district court in Helsingborg.
Mr. Leif Ljungholm has been appointed by the district court as bankruptcy
trustee.

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

          JOMED N.V.
          Jorgen Peterson, Acting CEO
          Phone: +46 42 490 6014

          Lars-Johan Cederbrant, Acting CFO
          Phone: +46 42 490 6048


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


ACCIDENT GROUP: Creditors Call for Liquidators' Intervention
------------------------------------------------------------
Creditors of The Accident Group wants to put the personal injury claims firm
into liquidation to possibly recover an amount which was wrongly dispensed
from the company, according to the Telegraph.

Unsecured creditors of the company lost all their claims after the firm was
put under administration.  The preferential creditors, predominantly the
Inland Revenue, stands to get only GBP1.2 million -- the amount expected to
be raised from the scheme -- of the GBP14.4 million it is owed.  The payment
represents 8.2p in the pound.  The Accident Group's debts to 3,500
creditors, including 2,500 former staff, are not yet known.

But the firm's administrators, PricewaterhouseCoopers, is currently
investigating whether GBP11.8 million of dividends paid in the company's
last two years' trading can be recovered.  This could set the grounds for
legal proceedings to be brought against the firm's directors, according to
the report.  The dividends should not have been paid because the company was
technically insolvent.

Some 25% of the dividends went to Mark Langford, TAG's founder and chairman,
and his wife Debbie, while the remaining 75% went to a British Virgin Isles'
company called Leverington, which in turn was owned by a trust in
Luxembourg.

PricewaterhouseCoopers has not yet established the exact ownership of the
structure as Mr. Langford denied past and future benefits from the trust,
which he says was an employee benefit scheme.

Michael Horrocks, of PricewaterhouseCoopers, said: "It is difficult to get
to who the beneficiaries of these trusts are... We have written to the
directors but have not been provided with details.  We have asked Mr.
Langford."  He also said their investigation were "very much at the early
stage".

Some of the 40 creditors who attended a meeting at Manchester's Midland
Hotel said: "Any further investigations are best dealt with by a liquidator
who has greater powers to take action."

Administrators were called in for The Accident Group in May after it failed
to obtain a GBP4.5 million-credit line that Mr. Langford said was to pay
staff's wages.  The company still reported a pre-tax profit of GBP17.8
million for the year to August 2002.  But eight months later it said its
loss was GBP56.7 million, and its net liabilities as of June were GBP81
million.

The group had also retained lawyers Clifford Chance as advisers.


AES DRAX: Goldman Sachs Offers GBP130 Million for 21% of Debt
-------------------------------------------------------------
Investment bank Goldman Sachs submitted a heavily discounted offer of GBP130
million for 21% of the GBP1.3 billion debt of Drax, the country's biggest
power station, currently under the management of creditors.

The offer, which tops International Power's GBP80 million bid, values the
Yorkshire-base power plant at GBP700 million.  Goldman Sachs aims to take an
almost 25% stake in the restructured business for its offer.

Creditors took responsibility of AES Drax after U.S. parent AES withdrew its
support of the power station.  AES' walkout follows the rejection of its
financial restructuring offer by the lenders who favored a rival offer from
International Power.  International Power promised an offer worth about
GBP80 million, and 55p in the pound for debt in return for up to 36% of
Drax.
AES offered only 47p to lenders.

Goldman's offer would give creditors 64p in the pound for their debt
tranches against 55p from International and 44p from AES.  According to the
Telegraph, Goldman argues it is paying a premium to the market price but is
banking on a continued rise in power prices to enhance the value of its
investment for a "distressed asset".

Drax's former owner, Innogy, is also reportedly considering a bid along with
BHP.  The deadline for the submission of offers is August 22.


CNA INSURANCE: Proposes Transfer of Business to Parent Company
--------------------------------------------------------------
In the High Court of Justice Chancery Division, Companies Court and In the
Matter of Can Insurance Company (Europe) Limited and In the Matter of Can
Insurance Company Limited and In the Matter of the Financial Services and
Markets Act 2000,

Notice is hereby given that on June 26, 2003 Can Insurance Company (Europe)
Limited applied to High Court of Justice for:

(a) An Order under Part VII of the Financial Services and
    Markets Act 2000 sanctioning a scheme providing for the
    transfer to Can Insurance Company Limited of the whole of
    the general insurance business of CIE; and

(b) An Order making ancillary provision in connection with the
    implementation of the Scheme under Section 112 of the Act.

The proposed transfer will result in the business formerly carried on by CIE
in the U.K., Denmark, France, Germany and the Netherlands being carried on
by CICL.  Both CIE and CICL are subsidiaries of Can Financial Corporation.
The proposed transfer will secure the continuation by or against CICL of any
legal proceeding by or against CIE that relate to rights and obligations in
respect of the transferred business.  All claims being dealt with before the
transfer by CIE will following the transfer be dealt with by CICL; all
claims arising after the transfer will be dealt with by CICL.

The application is directed to be heard before the Companies Court Judge at
the Royal Courts of Justice, Strand, London WC2A 2LL on October 2, 2003 and
any person (including any employee of CIE or CICL) who alleges that he or
she would be adversely affected by the carrying out of the Scheme may appear
at the time of the said hearing in person or by Counsel.  Any person who
intends so to appear, and any policyholder of CIE or CICL who dissents from
the Scheme but does not intend so to appear, should give not less than two
clear days' prior notice in writing of such intention or dissent, and the
reasons therefore, to the solicitors names below.

Copies of a report on the terms of the Scheme prepared pursuant to Section
109 of the Act and a statement setting out the terms of the Scheme and
containing a summary of the Independent Expert's Report can be accessed at
http://www.cnaeurope.com/transferand will be provided free of charge by the
solicitors named below.

CONTACT:  LOVELLS, ATLANTIC HOUSE
          Holborn Viaduct
          London EC1A 2FG
          Phone: +44 (0) 20 7296 2000
          Fax: +44 (0) 20 7296 2001
          Ref: C1/TJG, Solicitors for CIE and CCL


COACH EUROPE: Administrative Receiver Offers Business for Sale
--------------------------------------------------------------
The Joint Administrative Receiver, Ian Best offers for sale as a going
concern the business and assets of the above company.

Key features of this dealer of new and used coaches are:

(a) Turnover GBP20 million pa with estimated number 2 position
    in the U.K. heavy coach market.

(b) Sole U.K. distributor for Irisbus and Beulas with body shop
    and servicing facilities.

(c) Model range includes Eurorider, Eurocargo and Euromidi.

(d) Newly introduced Scolabus model - an innovative school bus.

(e) Range of both new and used vehicles in stock.

For further information please contact Tom Lukic or Paula Wolff, Ernst & You
ng LLP, One Colmore Row, Birmingham, B3 2B, Telephone 0121 535 2925, Fax:
0121 535 2448 or E-mail: pwolff@uk.ey.com

The United Kingdom firm of Ernst & Young LLP is a limited liability
partnership and is a member of Ernst & Young International and is authorized
by the Institute of Chartered Accountants in England & Wales to carry on
investment business and is registered in England and Wales with registered
number OC300001.


EDINBURGH FUND: Pays Deferred Consideration for Acquisition
-----------------------------------------------------------
Following the announcement on June 2, 2000 of the acquisition of Northern
Venture Managers Limited, Edinburgh Fund Managers Group plc confirms that,
Northern Venture Managers having achieved certain growth targets, the
vendors of Northern Venture Managers have become entitled to receive
GBP2,363,884 of deferred consideration from Edinburgh Fund Managers.
Edinburgh Fund Managers has settled this sum today through the issue of
GBP2,363,884 of unsecured redeemable loan notes 2003-2008.  EFM's obligation
to repay the principal amount of the loan notes has been guaranteed by the
Bank of Scotland.

                     *****

Edinburg Fund's assets under management have halved since 2001 to GBP3.5
billion and its share price has fallen from 278.5p this time last year after
a period of continued under performance.

CONTACT:  POLHILL COMMUNICATIONS
          Penny Clarke/ Lucy Copeman
          Phone: 0207 655 0540


ENRON METALS: Court Orders Scheme of Arrangement with Creditors
---------------------------------------------------------------
In the High Court of Justice Chancery Division Companies Court Nos 2870 of
2003

July 10, 2003

In the Matter of ENRON METALS & COMMODITY LIMITED (In Administration and
Scheme of Arrangement) and in the Matter of the Companies Act 1985

Notice is hereby given that by an Order dated July 8, 2003 made in the High
Court of Justice in the above matters by Mr. Justice Lindsay, the Scheme of
Arrangements between Enron Metals & Commodity Limited (in Administration)
and its Scheme Creditors (as therein defined), which was sent to persons
believed to be Scheme Creditors of the company on or shortly after May 8,
2003, was sanctioned without modification, pursuant to Section 425 of the
Companies Act 1985.

A copy of the Scheme was delivered for registration to the Registrar of
Companies under Section 428(3) of the 1986 Act on July 9, 2003.
Accordingly, for the purposes of the Scheme the Effective Date is July 10,
2003.

Under the terms of the Scheme M. J. A. Jervis, D. M. Ghosh, S. A. Pearson
and A. V. Lomas c/o PricewaterhouseCoopers LLP of Plumtree Court, London,
EC4A 4HT (ref: MJAJ/EMCL) were appointed the Scheme Supervisors.

All persons who claim to be creditors of the Company must notify the Scheme
Supervisors of their interest by submitting a Notice of Claim on or before
the Bar Date of August 26, 2003.  This is not withstanding the fact that
they may have given earlier notification of claim.

CONTACT:  M. J. A., Joint Supervisor
          PricewaterhouseCoopers LLP
          Plumtree Court, London EC4A 4HT
          (Ref: MJA/EMCL)


KBC ADVANCED: First-half 'Disappointing,' Says Chairman
-------------------------------------------------------
On April 24, 2003, the Board of KBC announced that it would undertake a
review of the strategic options for the business in the light of what, at
the time, was a challenging trading environment.  The purpose of the
strategic review was to consider all options available to maximize the full
potential of the business to provide value for shareholders.  The Board has
concluded this review and believes that at this stage, given the expectation
of an upturn in current trading, shareholder value will be maximized by the
business continuing to pursue its strategy as an independent company, while
at the same time restructuring the balance sheet and examining dividend
policy and employee incentivisation.

As part of the strategic review the Board held discussions with interested
parties in relation to a possible offer for the company, as announced on 11
June 2003.  Whilst approaches were received from a number of parties, the
Board believes that the level of interest did not attribute sufficient value
to the prospects of the company and, therefore, would not achieve full value
for shareholders.  Accordingly, the Board has now terminated all such
discussions.

The Board is now examining its alternative plan to maximize the value of the
Group to shareholders as an independent company.  This alternative will not
only yield value to shareholders but will also incentivise and retain the
Group's key business asset, its people.  At the present time a significant
proportion of the market value of KBC is represented by cash and the Group
is largely free from debt.  In an improving environment for the business the
Board is in the early stages of formulating proposals to establish a capital
structure appropriate for the company and in the interests of all
shareholders in the form of either a share buy-back or a special dividend.
Concurrently, the Board will examine the company's dividend policy such that
it more closely relates to the earnings capacity of the business in the
short to medium term.  As part of this review, and in consultation with
shareholders, the Board also intends through more appropriate
incentivisation to align the interests of management and employees across
the business more directly with those of shareholders.

As a package of measures, the Board believes that these steps, combined with
the medium term prospects for the business as described below, will provide
a solid platform from which to rebuild shareholder value in the business.

Results

Turnover fell from the same period last year by GBP2.0 million, or 10% at
constant exchange rates, with the impact of the weak sales performance in
2002 felt across most areas of the business. Turnover was hit by a further
GBP1.5 million, or 7%, from the weakening U.S. dollar, making a total fall
of GBP3.5 million, or 17%.

Operating costs before exceptional items and goodwill amortization fell by
7%, or GBP1.3 million at constant exchange rates, due to the benefits of the
2002 cost reduction program.  Staff costs in particular were reduced by 11%
and comprised GBP1.1 million of this total.  Operating costs for the period
have also benefited by GBP0.9 million from the weak U.S. dollar when
compared to the average rates in 2002, making a total reduction of GBP2.2
million, or 12%.

Operating profit before exceptional charges and goodwill amortization fell
by GBP1.2 million to GBP0.04 million for the period, GBP0.5 million of which
was a result of the foreign exchange impact described above.  Operating
exceptional charges totaling GBP1.0 million have been incurred relating to
the costs of the ongoing legal proceedings with AEA Technology PLC and Aspen
Technology Inc (GBP0.8 million) and to the costs of the continuing office
rationalization and redundancy program started last year (GBP0.2 million).
Net funds fell by GBP2.9 million overall with the major factors being a net
cash outflow from operations of GBP0.9 million, exceptional operating costs
of GBP1.0 million and the 2002 final dividend of GBP1.3 million.

Dividend

The Board has decided to maintain the interim dividend at 1.3p per share
(2002: 1.3p), which will be paid on September 26, 2003 to shareholders on
the register at the close of business on September 5, 2003.  This reflects
the Board's confidence that the second half of 2003 will show an improvement
on the first half as the workload and utilization improves.

Operational review

KBC started 2003 with a low backlog of work following disappointing contract
awards in the previous year.  The order book deteriorated further in the
first quarter of 2003 as contract awards remained low, particularly in the
Middle East where awards of new work were delayed before and during the Iraq
war.  Manpower utilization in the first quarter was low and, despite the
cost reduction program implemented in 2002, operating margin was negative.

Contract awards steadily improved during the second quarter.  The order book
has grown from a low point at the end of April, with utilization for the
last two months being close to optimum.  The operating margin subsequently
turned positive and ensured results somewhat better than forecast in our
trading statement of April 24, 2003 so that the first half-year as a whole
broke even at the operating level before exceptional costs.

As part of the reorganization implemented last year Process Consulting and
Implementation Services were merged on a regional basis.  This reflects the
growing trend for Profit Improvement Program (PIP) contracts to include
early implementation.  This area suffered particularly during the first
quarter although it improved considerably after the April low point, with
material awards in Japan, the Far East and the Middle East.  Reliability and
Maintenance has continued to grow, albeit at a slower pace than in 2002.
Growth has also come in the Planning area with notable success from
strategic planning work in Latin America. Turnover from software sales was
maintained at constant exchange rates as demand for model sales continued.

Although Process Consulting has suffered an overall fall in revenue, the
Americas region has seen stronger sales awards and has benefited from the
stability of sales and operations resources working closer together and the
success of a customer re-engagement program.  The main impact of 2002's
reorganization was felt outside the Americas where the new structure has
taken longer to become effective.  The model being followed outside the
Americas region is that which has become successful in the Americas after
several lean years in the late 1990s and is expected to improve future sales
performance once established.

The reorganization program and the office moves in the last 12 months have
been highly unsettling for KBC's employees.  Further uncertainties have been
created by the strategic review announced in April.  Despite this, staff
turnover has remained low and a period of stability following the completion
of the strategic review will be welcomed.  The contribution of all staff to
the improvement in trading and results over recent months is recognized.

Software Dispute

The legal proceedings with AEA and Aspen continue.  The costs incurred came
mainly in the first quarter (when arbitration hearings were held) and have
reduced since then.  Following the partial arbitration award made in March,
KBC gave notice of termination of the Master Agreement with AEA in June.
AEA has contested the validity of the notice and has itself issued notice of
termination.  In either event KBC is now free of the onerous non-compete
conditions of the Master Agreement, which will allow KBC greater freedom to
develop and market its own software.  Discussions have been held with both
Aspen and AEA in an attempt to resolve all matters without recourse to
further legal proceedings.

2003 Outlook

Although the first half of 2003 as a whole has been disappointing, there
were clear signs of recovery during the second quarter, which have continued
since the end of the period.  The cost reduction program is complete and the
consulting staff have been at optimal utilization in recent months.
Following the low point marked by the Trading Statement issued on 24 April
2003 and the end of the Iraq war, trading has picked up and indicators are
for a much improved performance in the second half of the year.  The sales
pipeline has increased considerably during this period and the value of
realistic prospects stands at a two-year high point.  The conclusion of the
first part of the strategic review referred to above will allow focus to
return to business performance.

Further contract awards are needed in the short term to maintain the
improved performance of recent months and opportunities in strategic
planning, software and long term technical services are being developed to
stand alongside the traditional process consulting work.

Notes to Editors: KBC Advanced Technologies plc is a leading independent
process engineering group which provides consulting services and implemented
solutions worldwide to owners and operators of oil refineries and other
clients in the process industries.  KBC analyses plant operations and
management systems, recommends changes that deliver material and measurable
improvements in profitability and offers implementation services to assist
clients in realizing measurable financial improvements.  It also offers
economic and pricing studies focused on the future outlook for the oil
industry.  KBC works with its clients both to implement its recommendations
and to realize and monitor the resulting improvements in profits on a
continuing basis. In carrying out this work its consultants make extensive
use of the process simulation software tools that KBC has developed.

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

CONTACT: KBC ADVANCED TECHNOLOGIES PLC
         Phone: 020 7067 0700

         Nicholas Stone, Finance Director
         Phone: 01932 236314

         Weber Shandwick Square Mile
         Phone: 020 7067 0745
         Christian Taylor-Wilkinson


ROYAL MAIL: Tells CWU to Submit Wage Row to Formal Mediation
------------------------------------------------------------
Following unsuccessful talks Wednesday, Royal Mail has recommended to the
Communication Workers Union that both parties move to formal mediation at
ACAS, to try to resolve outstanding issues about the 14.5% pay offer for the
U.K.'s 160,000 postmen and women.

Chief Executive Adam Crozier said, "This union has campaigned for GBP300 a
week and now has it in its sights.  I think the message from most postmen
and women will be, 'Don't blow it.'

"Royal Mail has a long standing agreement with the CWU that either side can
call for mediation.  We expect the union to honor it and we're waiting to
hear from them.

"We've made a very strong offer for a company losing GBP0.75 million every
day.  Royal Mail will not emerge from even the threat of a ballot unscathed.
It's simple -- if postmen and women walk out, customers will walk away and
competitors walk in."

Royal Mail lost GBP611 million last year.  The offer on the table will cost
GBP340 million annually.  Royal Mail has also committed an additional GBP100
million annual payment to postmen and women's pension funds while the funds
remain in deficit.

"We can't fund this offer without change," Mr. Crozier emphasized.  "Moving
to a single delivery is common sense.  It gives us a straightforward way to
make the productivity improvements that release the cash to improve our
people's pay.  These simple changes were already agreed with the union
leadership, who recommended them to their conference.  Now we need to get on
with it.

"We need to remember the important thing here -- it's to get postmen and
women onto GBP300 a week.  We're determined to do everything we can to make
this happen -- but it has to be right for us as a business, right for the
customers who rely on our services and right for the people who deliver
them."

CONTACT:  ROYAL MAIL
          148 Old Street
          LONDON
          EC1V 9HQ
          Homepage: http://www.royalmail.com


STIRLING COOKE: Administrators Named
------------------------------------
Insolvency Rules 1986
STIRLING COOKE BROWN
INSURANCE BROKERS LIMITED
Registered number: 1881645

Nature of business:  Lloyd's insurance brokers
Trade classification: 33
Administration Order made: Thursday, July 17, 2003

Paul Anthony Brereton Evans and Dan Yoram Schwarzmann
Joint Administrators (office holder nos 5942 and 1284)


UNITED PAN-EUROPE: Expects Less than EUR3 Bln Debt by Year's End
----------------------------------------------------------------
United Pan-Europe Communications N.V. announces its operating and financial
results for the second quarter, 2003.

(a) Record quarter as Adjusted EBITDA 1) reaches EUR120 million
    for the three months ended June 30, 2003;

(b) Net income of EUR75 million generated in Q2 2003;

(c) Continuing generation of free cashflow 2) of EUR8 million
    for the second quarter 2003.

(d) New UPC to be known as UGC Europe, Inc. upon successful
    emergence from financial restructuring.

Executive Summary

The company is pleased to announce UPC's second quarter 2003 financial
results.  Our businesses have demonstrated operational improvement and have
focused on cost control, which have boosted Adjusted EBITDA to record levels
reaching EUR120 million in the quarter.  Net income was EUR75 million for
the quarter.  We continue to see opportunities for cost savings and
operational efficiencies across our network and we will work to achieve our
financial goals by realizing economies of scale.  Annualizing our second
quarter Adjusted EBITDA of EUR120 million delivers a run-rate figure of
EUR480 million.

During the first six months of 2003 UPC has added more than 59,000
subscribers to our new services (internet, telephony, DTH and digital),
which on a run rate basis is below guidance for the year.  This shortfall is
almost entirely related to the implementation of a new subscriber management
system, involving the consolidation of a number of customer databases in the
Netherlands, (as highlighted in both our Q4 2002 and Q1 2003 results).  This
database consolidation began in Q4 2002 and was substantially complete at
the end of Q2 2003.  This process has had and will continue to have a
positive impact on UPC's cashflow as it has enabled us to improve our cash
collection.  In all other countries net sales and net subscriber gains are
largely on budget.

Revenues have been negatively impacted by approximately EUR8 million in Q2
2003 due to exchange rate movements, particularly in Poland and to a lesser
extent in Norway.  Excluding the impact of exchange rate movements, total
consolidated revenues increased by 2% during the second quarter 2003 growing
to EUR367 million at Q2 2003 from EUR359 million at Q2 2002.

This quarter we were pleased to announce the commencement of the financial
restructuring of our 100% owned subsidiary, UPC Polska.  This is a separate
process from the restructuring nearing completion at the UPC NV level.  The
successful completion of the Polish restructuring will reduce consolidated
debt at the UPC Group level by approximately EUR314 million as at June 30,
2003.  The Plan of Restructuring filed in the US Chapter 11 proceeding
contemplates that UPC will continue to hold 100% of the equity of the
restructured company.  We expect the restructuring of UPC Polska to be
completed during the fourth quarter 2003.

UPC N.V. Restructuring Update

Since we updated the market with our first quarter results in May we were
pleased to announce that the Dutch Attorney General has delivered his advice
to the Dutch Supreme Court, which concluded that all of the grounds for the
appeal by InterComm Holdings L.L.C. (ICH), in relation to the decision of
the Amsterdam Court of March 13, 2003 to ratify the Akkoord are without
merit and that therefore the appeal should be dismissed.  The Supreme Court
is independent of the Dutch Attorney General and, in most cases, reaches the
same conclusion as the Attorney General.

Following the advice received from the Attorney General, the Supreme Court
is expected to rule on the appeal expeditiously. We anticipate judgment in
August and emergence from restructuring during the third quarter 2003.

We are pleased to formally announce that on the successful completion of our
restructuring New UPC will be known as UGC Europe, Inc. and it is
anticipated its issued common stock would trade on the NASDAQ national
market in the United States under the ticker symbol UGCE.  We are also
please to announce that Gene Musselman will be promoted from Chief Operating
Officer to President of UPC Broadband (previously UPC Distribution).

John F. Riordan, CEO of UPC said: "I would once again like to extend my
sincere thanks to the management and staff of UPC for their hard work during
the second quarter 2003."

Group Financial Review

UPC's core operations have historically been split into four principal
divisions as:

(1) UPC Distribution - local broadband operating systems
    providing video, telephone and internet services for
    residential customers (Triple Play).

(2) UPC Media -broadband internet and interactive digital
    products and services, transactional television services
    such as pay-per-view movies, digital broadcast and post-
    production services and thematic channels for distribution
    supporting UPC Distribution through UPC's network, third
    party networks and DTH platforms.

(3) Priority Telecom - providing network solutions to the
    business customer.

(4) Investments Division - managing our non-consolidated
    investment assets.

During April 2003, UPC sold its shares in SBS Broadcasting SA to
UnitedGlobalCom for EUR100 million, against a book value at April 9, 2003 of
EUR57 million.  UPC will continue to focus on rationalizing its investment
portfolio to maximize value.

Following our successful emergence from restructuring, UPC's core operations
will be split into two principle divisions as:

(1) UPC Distribution - to be renamed UPC Broadband - local
    broadband operating systems providing video, telephone and
    internet services for residential customers (Triple Play).

(2) Chello Media, which would encompass: The UPC Media
    businesses of broadband internet and interactive digital
    products and services, transactional television services
    such as pay-per-view movies, digital broadcast and post-
    production services and thematic channels, as highlighted
    above

The Investments Division highlighted above -- managing our non-consolidated
investment assets and Priority Telecom -- providing network solutions to the
business customer.

Revenue

UPC's consolidated revenue in the three months ending June 30, 2003 was
EUR359 million.  Revenues have been negatively impacted by approximately
EUR8 million in Q2 2003 due to adverse exchange rate movements, particularly
in Poland and to a lesser extent in Norway.  Excluding the impact of
exchange rate movements, total consolidated revenues increased by 2% during
the second quarter 2003 growing to EUR367 million at Q2 2003 from EUR359
million at Q2 2002.  UPC Triple Play Distribution revenue from continued
operations increased 6% to EUR331 million in Q2 2003, compared to EUR314 (4)
million in Q2 2002 (including the impact of exchange rates).  Revenues
increased due to price rises in the period and increasing take up of new
services.

4 Assumes 1:1.05 USD: EURexchange rate

Revenues at Priority Telecom decreased to EUR28 million in the second
quarter 2003 from EUR31 million in the second quarter 2002 as a direct
result of its revenue rationalization strategy whereby low margin or high
price erosion and credit risk customer contracts are reduced or even
eliminated.  During the second quarter 2003, Priority has focused resources
towards high margin direct business customer contracts, adhering to Priority
's internal margin and profitability guidelines.  Priority continues to
refocus its product portfolio to concentrate efforts on profitable products
and services.  While Priority anticipates weak market conditions in the
business telecommunications market during 2003 it is proactively introducing
initiatives that will enable it to continue to enhance its profitability and
expand the business during the remainder of the year.

UPC Media performed well in Q2 2003 and generated an increase in revenue of
21% in Q2 2003 compared with Q2 2002 with revenues increasing from EUR18
million in Q2 2002 to EUR22 million in Q2 2003, driven by a strong
performance in the internet access business.

Use of Adjusted EBITDA and Other Financial Measures

Adjusted EBITDA is the primary measure used by our chief operating decision
makers to evaluate segment-operating performance and to decide how to
allocate resources to segments.  EBITDA is an acronym for earnings before
interest, taxes, depreciation and amortization.  As we use the term,
Adjusted EBITDA represents net income before cumulative effects of
accounting changes, share in results of affiliates, minority interests in
subsidiaries, income taxes, reorganization expense, other income and
expense, gain on issuance of common equity securities by subsidiaries,
provision for loss on investments, gain (loss) on sale of investments in
affiliates and other assets, foreign currency exchange gain (loss), interest
income and expense, impairment and restructuring charges, depreciation,
amortization and stock-based compensation.  We believe Adjusted EBITDA is
meaningful because it provides investors a means to evaluate the operating
performance of our segments and our company on an ongoing basis using
criteria that is used by our internal decision makers.  We reconcile the
total of the reportable segments' Adjusted EBITDA to our consolidated net
income as presented in the accompanying condensed consolidated statements of
operations, because we believe consolidated net income is the most directly,
comparable financial measure to total segment operating performance.
Investors should view Adjusted EBITDA as a supplement to, and not a
substitute for, other GAAP measures of income as a measure of operating
performance.

Q2 2002 Adjusted EBITDA has been restated in the table above following the
reallocation of previously centralized costs including Information
Technology and Other (including marketing) costs to cost centers in the
relevant countries.

Priority Telecom and UPC Media all demonstrated significant continued
operating improvements in Q2 2003.  For the second quarter 2003, Priority
Telecom improved its Adjusted EBITDA loss from -EUR1.5 million in the second
quarter 2002 to positive EUR3m in Q2 2003.  UPC Media improved its Adjusted
EBITDA loss from -EUR0.1 million in Q2 2002 to positive EUR6 million Q2 in
2003.

The table below highlights the reconciliation of Adjusted EBITDA to the most
closely comparable US GAAP measure Net income (loss).

Net Results

UPC generated net income of EUR75 million, during Q2 2003 compared with a
net income of EUR567 million for Q2 2002.  Net income includes currency
gains of EUR201 million in the second quarter 2003 and EUR577 million in Q2
2002.

Free Cashflow Reconciliation, and Capital Expenditures Update

As previously highlighted, UPC is focused on improving underlying cashflow
generation.  The table below demonstrates the positive Free Cashflow of EUR8
million achieved during the second quarter 2003.  In addition, UPC repaid
EUR177 million of debt in the quarter.

Free Cashflow is not a GAAP measure of liquidity.  We define free cashflow
as cashflow from operating activities less capital expenditures.  We believe
our presentation of free cashflow provides useful information to our
investors because it can be used to gauge our ability to service debt and
fund new investment opportunities.  Investors should view free cashflow as a
supplement to, and not a substitute for, GAAP cash flows from operating,
investing and financing activities as a measure of liquidity.  We continue
to target tighter working capital management during the year and recurring
free cashflow.

Capital Expenditure

Capital expenditure was EUR60 million for the second quarter 2003 from EUR71
million in Q2 2002.  This reduction in capital expenditure reflects both the
variable nature of UPC's capital expenditure requirements -- impacted by the
subscriber growth achieved in the quarter and the company's ongoing focused
investment in new build and upgrade; ensuring this investment generates a
NPV (net present value) positive return.

In the three months ended June 30, 2003, total consolidated revenues
remained in line with the first quarter of 2003.  Our revenues have been
negatively impacted in the second quarter 2003 by approximately EUR8 million
due to exchange rate movements, particularly in Poland and to a lesser
extent in Norway.  Excluding the impact of exchange rate movements total
consolidated revenues increased by2% during the second quarter 2003 to
EUR367 million in Q2 2003 from EUR359 million in Q1 2003.

Total consolidated Adjusted EBITDA increased 14% to EUR120 million in Q2
2003 compared with EUR106 million in Q1 2003.  Net income improved from
EUR46 million in Q1 2003 to EUR75 million in Q2 2003.

Consolidated Operating Statistics

During the first six months of 2003 UPC has added more than 59,000
subscribers to our new services (internet, telephony, DTH and digital),
which on a run rate basis is below guidance for the year.  This shortfall is
almost entirely related to the implementation of a new subscriber management
system, involving the consolidation of a number of customer databases in the
Netherlands, (as highlighted in both our Q4 2002 and Q1 2003 results).  This
database consolidation began in Q4 2002 and was substantially complete at
the end of Q2 2003.  This process has had and will continue to have a
positive impact on UPC's cashflow as it has enabled us to improve our cash
collection.  In all other countries net sales and net subscriber gains are
largely on budget.

In July 2003 UPC announced it had secured the exclusive pay television
rights to the UEFA champions league football for a three-year period in the
Netherlands and Belgium.  We expect that offering these premier football
channels in the Netherlands, coupled with the expansion of the digital basic
package to more than 60 channels, will boost demand for UPC's digital
product.

UPC has added close to 50,000 internet subscribers during the first six
months of 2003.  In July 2003 UPC announced the extension of its chello
Internet product range, offering subscribers a choice of products with
different connection speeds and price points in the Netherlands, France and
Austria.  We expect these product launches will further boost demand for the
chello product across our footprint.

The table below highlights UPC's average revenue per subscriber per month.
These subscriber statistics have historically been calculated excluding
Germany (the EWT/TSS Group), which was deconsolidated on August 1, 2002.
However, for completeness the table below highlights ARPU both with and
without our German operations during Q2 2002.

2003 Outlook

The Company continues to priorities Adjusted EBITDA and free cashflow
generation.  A key variable for UPC's 2003 financial results continues to be
the resolution of the Europe Movieco Partners court case regarding minimum
program guarantees which may negatively impact UPC's consolidated Adjusted
EBITDA by up to EUR25 million in 2003 and for each of the next two years.
In addition, the company's financial results will be impacted by its success
in reaching its targeted net additions of 430,000 subscribers during the
year.

Given our Q1 and Q2 2003 financial results and in particular the net
subscriber shortfall compared to guidance, we are forecasting full year 2003
Adjusted EBITDA of EUR500 million and reducing capital expenditure guidance
to EUR300 million for the full year 2003.

We are unable to provide a reconciliation of forecasted Adjusted EBITDA to
the most directly comparable GAAP measure, net income, because certain items
are out of our control and/or cannot be reasonably predicted.  For example,
it is impractical to: (1) estimate future fluctuations in interest rates on
our variable-rate debt facilities; (2) estimate the fluctuations in exchange
rates relative to our U.S. dollar denominated debt; (3) estimate the
financial results of our non-consolidated affiliates; and (4) estimate
changes in circumstances that lead to gains and/or losses such as our
restructuring and the restructuring of UPC Polska and/or sales of
investments in affiliates and other assets.  Any and/or all of these items
could be significant to our financial results.

Following the successful completion of the restructuring at both UPC Polska
and UPC N.V., UPC forecasts total year-end net debt of less than EUR3.1
billion, significantly reducing UPC's leverage to less than 6.5x using Q2
annualized Adjusted EBITDA of EUR480 million, and approaching levels
achieved by comparable US cable operators.

This filing will be found on the UPC website at http://www.upccorp.com


XENOVA GROUP: Buys KS Biomedix; Combined Biz Still Cash-strapped
----------------------------------------------------------------
Biotech group Xenova agreed to buy its rival KS Biomedix in an all-paper
transaction valued at GBP8.48 million, according to the Telegraph.

Xenova and KS Biomedix expects their combined company to be a stronger
oncology business, but according to the report, the cash of the merged
business will still only be enough to last it about a year.

Julie Simmonds of volution Beeson Gregory affirmed the synergies of the
business and agreed that the merged business would be more attractive, but
the combination still leaves the new entity short in cash.  Xenova have
GBP10 million in cash, while KS has GBP7.4 million.

David Oxlade, chief executive of Xenova said the combination would save
about GBP10 million in cost a year, excluding exceptional and merger costs.

He also said the business plans to cut its workforce by 50 from 154 and to
raise some GBP9 million of extra money to develop KS's lead oncology
product, TransMID.  The successful launch of TransMID by August 14, 2011
could give shareholders a deferred payment of around GBP6.46 million.


                            *********


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.

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