/raid1/www/Hosts/bankrupt/TCREUR_Public/031223.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
E U R O P E
Tuesday, December 23, 2003, Vol. 4, No. 253
Headlines
B E L G I U M
TELENET GROUP: US$319.7 Million Sub Notes Assigned 'CCC+' Rating
C Z E C H R E P U B L I C
CK FISCHER: Elects New Board of Directors for Merged Business
F R A N C E
SUEZ SA: AB Group Tenders Bid for Paris Premiere Stake
VIVENDI UNIVERSAL: U.S. SEC Opens Probe into Books, Ex-CEO's Pay
G E R M A N Y
EM.TV & MERCHANDISING: Sets EGM to Tackle Bond Restructuring
WESTLB AG: Financial Strength Down to E on Write-off Concerns
WESTLB AG: Robin Saunders Leaves Principal Finance Unit
G R E E C E
ROYAL OLYMPIC: Bankruptcy Filing Has No Major Effect on Cruises
I T A L Y
PARMALAT SPA: Bank of America Denies Existence of Bonlat Account
PARMALAT SPA: Cut to 'D' Following Default on Put Option Payment
PARMALAT SPA: No Further Action on Synthetic CDOs after Default
L U X E M B O U R G
MILLICOM INTERNATIONAL: Rolls Out GSM Networks in Latin America
STOLT OFFSHORE: Likely to Get Extension on Default Waiver
STOLT OFFSHORE: Expects More than US$100 Mln from Share Offering
N E T H E R L A N D S
KONINKLIJKE AHOLD: Regulator Orders Break-up of Brazilian Assets
KONINKLIJKE AHOLD: Term of Interim CFO Dudley Eustace Ends
NUMICO N.V.: New Credit Facility Offers More Favorable Terms
XANSA: Sells Activities in Belgium, Netherlands to Ewycksgroep
N O R W A Y
PETROLEUM GEO-SERVICES: Appoints Senior Vice President
U N I T E D K I N G D O M
BAE SYSTEMS: Talks to Sell Aerostructures Unit Fail
BOMBARDIER: MPs, Labor Unions Fight to Save U.K. Operations
CANARY WHARF: Reichmann Family to Block Sale of Properties
CANARY WHARF: Defends Plan to Sell Canada Square Properties
KWELM COMPANIES: Puts Early Closure of 'Run off' to Vote
MEDIA ZEROS: Meeting of Unsecured Creditors Set December 31
QUARTERLY HIGH: Unsecured Creditors Meeting December 31
THOMAS COOK: Wolfgang Beeser Nominated Chairman, CEO
WE BERRY: Administrators Cut Jobs, Offer Firm for Sale
* Large Companies with Insolvent Balance Sheets
*********
=============
B E L G I U M
=============
TELENET GROUP: US$319.7 Million Sub Notes Assigned 'CCC+' Rating
------------------------------------------------------------
[This release has been republished to reflect that the currency
denomination of the subordinated discount notes issued by Telenet
Group Holding N.V. are in U.S. dollars rather than euros, and
that the amount has been raised to US$319.7 million from US$304
million. This change has no effect on the credit ratings of
either Telenet Group Holding or Telenet Communications N.V.]
Standard & Poor's Ratings Services assigned its 'B+' corporate
credit rating to Telenet Group Holding N.V., the parent company
of Belgium cable operator Telenet Communications N.V. (Telenet).
At the same time, Standard & Poor's assigned its 'CCC+' debt
rating to the new offering of US$319.7 million (EUR258.2 million)
subordinated discount notes issued by Telenet Group
Holding.
In addition, Standard & Poor's affirmed its 'B-' debt rating on
Telenet Communications' senior unsecured notes issue maturing
2013, which has been increased to EUR500 million from EUR400
million. The 'B+' long-term corporate credit rating on Telenet
was also affirmed. The outlook is stable.
The increase in the amount of the senior notes issue follows
strong demand in the capital markets.
"The additional EUR100 million is intended either to be applied
solely to the reduction of Telenet's existing bank loan debt or,
alternatively, will be redeemed to bondholders at par. No
specific maturities have been designated yet for the application
of the additional amount," said Standard & Poor's credit analyst
Leandro de Torres Zabala. "The change in the amortization
schedule and distribution of debt will not affect headroom under
the covenants of the bank facility, which will be modified to
this effect."
The rating on the US$319.7 million subordinated discount notes
reflects not only their subordination to the senior unsecured
notes, but also the minimum covenant of net debt to EBITDA of
3.5x necessary for Telenet to upstream cash to service the
subordinated discount notes at Telenet Group Holding.
The ratings on Telenet reflect its position as a modestly sized
and highly leveraged cable operator in Flanders, Belgium.
Telenet operates an analogue cable TV business, which generates
stable and positive cash flows. It also operates smaller, but
growing telephony and Internet operations that face strong
competition from the incumbent Belgacom S.A. (AA/Watch Neg/A-1+),
among others.
Telenet will need strong growth in sales and cash flows (mainly
from fixed-line telephony and broadband Internet services) to pay
down its high levels of debt, secure adequate liquidity at all
times, and maintain ample headroom under its bank covenants.
Strong growth will be challenging to achieve against strong
competition from Belgacom and fixed-to-mobile substitution.
Telenet is expected to maintain a conservative financial policy,
with no major acquisitions (other than the acquisitions currently
in progress) or network upgrades other than the upgrade to
voice-over Internet protocol and the upstream upgrade to be
implemented over the medium term.
===========================
C Z E C H R E P U B L I C
===========================
CK FISCHER: Elects New Board of Directors for Merged Business
-------------------------------------------------------------
Travel group CK Fischer elected a new board of directors during
an extraordinary general meeting held Thursday last week, Prague
Business Journal reported.
Elected to the board were Miloslav Vyhnal, Kamila Cermakova, and
Tomas Kozoubek, who will represent K&K Capital Group owned by
Karel Komarek. The travel group's owner, Vaclav Fischer, will
chair the board. The meeting was originally set for November 24,
but was postponed because of lack of regulatory approval. It was
primarily held to decide the changes in the articles of
association and management board of the combined companies of
entrepreneur Vaclav Fischer and Karel Komarek.
Fischer's financial troubles were ignited by the global slump in
the travel industry in 2000. The firm has since been posting
modest profits. Five months ago, creditors went to court in an
effort to seize Fischer's property. Fischer companies owe CZK420
million to Komercni banka and CZK36 million to Czech Airlines and
the Czech Airport Authority. In July, court-appointed bankruptcy
administrators took over Fischer's properties, but within a week
the company was able to secure financing from Atlantik. The
court halted the last claim on the companies last September 9.
K&K Capital has a 66% stake in Atlantik Financial Markets. The
merger of three companies owned by Mr. Fischer with K&K Capital
Group will give Mr. Komarek 75% of the three Fischer group
companies: travel agency Fischer a.s., real estate owner Fischer
s.r.o. and Fischer Air, owner of the group's fleet of airplanes.
Vaclav Fischer, on the other hand, will retain a 25% share in
each of the companies and serve as chairman of the board. He
will retain full control of Vaclav Fischer a.s., which operates
cafes, a publishing house and a fashion collection.
===========
F R A N C E
===========
SUEZ SA: AB Group Tenders Bid for Paris Premiere Stake
------------------------------------------------------
Suez has received a formal bid from AB Group regarding the
buy-out of its 89.34% stake in Paris Premiere.
Suez has undertaken since Friday the customary consultation
procedures with employee representatives and has given M6 the
required month's notice to exercise the pre-emptive right that it
holds as minority shareholder of Paris Premiere. Paris Premiere
is broadcast by cable and satellite and was set up by the Suez
Group in December 1986 within the framework of the French cable
TV plan. Today it has become the third specialized channel with
more than 5.5 million household subscribers.
Suez, (http://www.Suez.com)a worldwide industrial and services
Group, active in sustainable development, provides companies,
municipalities, and individuals innovative solutions in Energy
(electricity and gas) and the Environment (water and waste
services). In 2002, Suez generated revenues of EUR40.218 billion
(excluding energy trading). Suez is listed on the Euronext
Paris, Euronext Brussels, Luxembourg, Zurich and New York Stock
Exchanges.
*****
Standard & Poor's says Suez's operating performance during first
half 2003 has been satisfactory, with cost-cutting measures and
organic growth of 5% for its core utility businesses stabilizing
EBITDA levels on a constant group basis and on constant exchange
rates. But it warned that despite these improvements, the
company's free cash flow generation after dividends may remain
negative until at least 2005. This will remain a credit concern.
VIVENDI UNIVERSAL: U.S. SEC Opens Probe into Books, Ex-CEO's Pay
----------------------------------------------------------------
The U.S. Securities and Exchange Commission will be conducting a
single investigation into Vivendi Universal S.A.'s accounts and
into the EUR20.5 million layoff package of ousted chief executive
Jean-Marie Messier, Liberation reports, according to Dow Jones.
The U.S. financial watchdog, which has been investigating the
French media and communications group for the past 18 months,
intervened on September 24 to freeze Mr. Messier's US$23 million
"golden parachute" for 90 days until it had completed its probe
into the company. The regulator's report is due Wednesday.
The regulator is investigating the company's share-selling
activities for possible breach of U.S. Securities law when Mr.
Messier was chief executive. Mr. Messier sold propriety share
days before the company dumped US$4 billion of Vivendi shares on
the market. The report said Mr. Messier could be fined
US$500,000 while neither Vivendi nor he may recover the currently
frozen payoff.
=============
G E R M A N Y
=============
EM.TV & MERCHANDISING: Sets EGM to Tackle Bond Restructuring
------------------------------------------------------------
Before the end of December, the company will issue an invitation
to an extraordinary general meeting, to take place in Munich on
February 15 and 16, 2004. The main topic of the extraordinary
general meeting is to gain shareholder approval for the
restructuring concept of the EUR400 million 4% convertible bond
running from 2000 to 2005, which was agreed with a significant
part of the institutional bondholders on November 27, 2003.
Approval of the restructuring concept requires 75 percent of the
votes of those shareholders present at the extraordinary general
meeting. The invitation to the extraordinary general meeting
will be published on the electronic Bundesanzeiger before the end
of December 2003.
Based on the current estimates of the Management Board, by the
end of January 2004, EM.TV will have used up 50% of the share
capital. Therefore the agenda for the extraordinary general
meeting will, as a precaution, include the announcement by the
Management Board of a loss in share capital amounting to 50%, in
accordance with section 92, paragraph 1 Aktiengesetz.
In addition, the company will call a meeting of the holders of
the convertible bond, to take place on January 9, 2004 on the
company premises, with the intention to finalize these with
immediate effect for all bondholders:
(a) Reduction of the annual interest due on the convertible bond
between February 16, 2003 and February 15, 2006 to 0%.
(b) Postponement of the repayment date provided in section 3,
paragraph 1 of the terms of the convertible bond to January 9,
2007.
(c) Waiver of interest accumulated under the terms of the
convertible bond between the last interest payment date and the
date of the bondholder meeting, and of all termination rights or
any other rights potentially arising from the restructuring of
the convertible bond, or the preparation thereof. About 73.3% of
the bondholders have committed to these resolutions so far;
further bondholders have expressed support.
CONTACT: Frank Elsner Kommunikation fur Unternehmen GmbH
Phone: +49-5404-91 92 0
WESTLB AG: Financial Strength Down to E on Write-off Concerns
-------------------------------------------------------------
Moody's Investors Service downgraded to E from D- WestLB AG's
financial strength rating on expectations the bank will again set
aside a significant amount to cover loan losses.
The rating agency said: "[T]he downgrade of the FSR reflects the
unsustainably high charges for loan losses and fair value
adjustments that WestLB has to bear again, against a very low
recurring earnings power and thin economic capital base."
WestLB had EUR1.7 billion losses in 2002. The negative result is
expected to carry on towards 2003 and to deplete the EUR3.25
billion in equity the bank received during the last eighteen
months. As future performance of the bank cannot be determined
as yet, Moody's said: "a sufficient capital base to absorb
potential further losses will be critical."
After July 2005, concerns also persist as to the resilience of
the bank's business model and the sustainability of its
franchise, it added.
WESTLB AG: Robin Saunders Leaves Principal Finance Unit
-------------------------------------------------------
WestLB AG announced Friday that Robin Saunders, Managing Director
of its Principal Finance Unit in London, is to leave the Bank
with effect from December 31, 2003.
Dr. Manfred Puffer, the Managing Board member of WestLB who has
been responsible for Principal Finance since June 2003, said:
"Our restructuring of the Principal Finance business is now well
under way. To date this process has included the successful sale
of debt and equity holdings in Pubmaster and the early redemption
of the Bank's loans to BhS. I would like to thank Robin for her
commitment to the business over the last five years. We wish her
well in her future career."
Robin Saunders said: "I believe there are many excellent
opportunities out there to do business in the principal finance
arena and in the light of WestLB's decision to change its
strategic focus, I have decided to pursue my career elsewhere."
===========
G R E E C E
===========
ROYAL OLYMPIC: Bankruptcy Filing Has No Major Effect on Cruises
---------------------------------------------------------------
Responding to a published report that their vessel Olympia
Explorer was ordered by the court in Honolulu to remain in
Hawaiian waters, Royal Olympic Cruise Lines Inc. (Nasdaq:ROCLF)
announced on Thursday that a temporary restraining order issued
by the U.S. Bankruptcy Court at 1 p.m. Wednesday, December 17,
was rescinded two hours later.
The vessel sailed from Honolulu the same day and is presently
continuing the performance of its scheduled cruise among the
Hawaiian islands and its voyage to San Diego and Los Angeles.
The vessel Olympia Voyager, which also is subject to the Chapter
11 reorganization proceeding pending in Honolulu, sailed from
Fort Lauderdale, Florida on Wednesday night on its next scheduled
voyage.
CONTACT: ROYAL OLYMPIC CRUISE LINES
Mr. Yiannos Pantazis, Chief Executive Officer
Phone: + 30 210 429 1000
Mr. John Wickham
Phone: + 44 7766 718109
Mr. Jim Lawrence, MTI Network (USA)
Phone: + 1 203 406 0106
Mr. Pat Adamson, MTI Network (U.K.)
Phone: + 44 20 7823 9444
=========
I T A L Y
=========
PARMALAT SPA: Bank of America Denies Existence of Bonlat Account
----------------------------------------------------------------
Parmalat Finanziaria S.p.A. communicates that on December 17,
2003 Bank of America N.A., New York Branch, informed Grant
Thornton, the auditor of Bonlat Financing Corporation, a company
based in the Cayman Islands and part of the Parmalat Group, that
it does not have "an account" in the name of Bonlat.
Further, Bank of America denied the authenticity of a document
dated March 6, 2003 that certified the existence of securities
and liquidity amounting to approximately EUR3,950 million as at
December 31, 2002 relating to Bonlat. This document was taken as
the basis for the certification of Bonlat's 2002 accounts.
The letter from Bank of America follows a request for information
made on the same date by Grant Thornton.
The above information was provided to Parmalat by Consob in the
late afternoon of December 18, 2003.
Further to the above, the Company has initiated the necessary
urgent verifications. The Company also informs that the Chairman
called an Extraordinary Meeting of the Board of Directors on
Friday with "Chairman's Communication" on the agenda.
PARMALAT SPA: Cut to 'D' Following Default on Put Option Payment
----------------------------------------------------------------
Standard & Poor's Ratings Services lowered its corporate credit
ratings on Parmalat Finanziaria S.p.A. and Parmalat S.p.A. to
'D', reflecting a default, from 'CC', following a missed payment
on a put option due on December 17, 2003. In addition, Standard
& Poor's withdrew its ratings on Parmalat Finanziaria, Parmalat,
and related entities.
"The reliability of all key information supporting a credit
opinion is now questioned," said Standard & Poor's credit analyst
Hugues De La Presle, following Thursday's press release by
Parmalat indicating that Bank of America has denied the
authenticity of a document used to certify the existence of about
EUR3.95 billion of securities and bank deposits, which
represented almost all of the firm's liquidity.
On December 18, 2003, Parmalat announced that negotiations were
still in progress over delaying the execution of an approximately
US$400 million put option to buy out the minority shareholders of
its Brazilian subsidiary Parmalat Emprendimentos e Administracao
Ltda. A portion of the total obligation fell due on December 17,
2003, with the remainder coming due on
December 22, 2003.
The missed payment on the due date -- which was immediately
followed by the confirmation that the company had hugely
misrepresented its liquidity position, at least over the past
year -- constitutes a default under Standard & Poor's criteria.
Parmalat on Friday announced that Bank of America denied the
authenticity of a document certifying the existence of about
EUR3.95 billion of bank deposits and securities as of December
31, 2002. The purported bank confirmation was used by Parmalat's
local auditors, Grant Thornton, for the certification of the 2002
accounts of Bonlat Financing Corporation, a
100% owned and consolidated Cayman-based subsidiary of the
Parmalat group.
This information leaves Standard & Poor's with no way of
substantiating an opinion that Parmalat could service any of its
other financial obligations.
This disclosure also clearly confirms Standard & Poor's previous
opinion that the information provided by Parmalat's top
management and its advisors up to December 5, 2003, dramatically
misrepresented the group's liquidity position.
"This situation, compounded by a continued lack of access to
reliable information on the group's exact financial position, has
left Standard & Poor's with no other option than to withdraw all
of its ratings on Parmalat and related entities," Mr. De La
Presle said.
PARMALAT SPA: No Further Action on Synthetic CDOs after Default
---------------------------------------------------------------
Following the default of Parmalat Finanziaria S.p.A. and the
withdrawal of the ratings, Standard & Poor's Ratings Services
confirms that the default alone will not have a further negative
effect on the ratings on those synthetic CDO transactions on
which a downgrade or affirmation occurred Thursday.
The long-term rating on Parmalat Finanziaria was lowered to 'CC'
on December 10, 2003, and at that time both the 'CC' and default
scenarios were analyzed in Standard & Poor's assessment of the
reference portfolios of these CDO transactions.
*****
Standard & Poor's Ratings Services on Thursday lowered its credit
ratings on and removed from CreditWatch four series of notes
issued by Eirles Two Ltd. and Eirles Four Ltd., two
Irish-domiciled multi-issuance SPEs arranged by Deutsche Bank AG.
At the same time, the ratings on three series of notes issued out
of these vehicles were removed from CreditWatch, where they had
been placed on December 12, 2003, and affirmed.
RATINGS LIST
Transaction name
Series Rating
To From
Ratings Downgraded and Removed From CreditWatch
Eirles Two Ltd.
EUR11.9 Million Floating-Rate Credit-Linked Notes
Series 74 AA AAA/Watch Neg
EUR16 Million Credit-Linked Secured Accrual Notes
Series 70 AA AAA/Watch Neg
Eirles Four Ltd.
EUR5.575 Million Floating-Rate Credit-Linked Notes
Series 41 AA AAA/Watch Neg
EUR20 Million Fixed/10-Year Euro Swap Rate Secured Notes
Series 44 BBB+ A/Watch Neg
Ratings Removed From CreditWatch and Affirmed
Eirles Two Ltd.
EUR25 Million Floating-Rate Credit-Linked Notes
Series 58 AAA AAA/Watch Neg
$10 Million Secured Credit-Linked Notes
Series 63 AAA AAA/Watch Neg
Eirles Four Ltd.
$15 Million Secured Credit-Linked Notes
Series 63 AA AA/Watch Neg
===================
L U X E M B O U R G
===================
MILLICOM INTERNATIONAL: Rolls Out GSM Networks in Latin America
---------------------------------------------------------------
Millicom International Cellular S.A. (Nasdaq:MICC) announced
Friday that it has selected a supplier to overlay its existing
TDMA networks in Guatemala (Comcel) and Paraguay (Telecel) with
GSM 800 networks. According to the deal signed on December 15,
2003, the nationwide networks will become operational during the
second quarter of 2004.
Marc Beuls, President and Chief Executive Officer of Millicom
International Cellular commented: "This move is part of our
ongoing strategy to roll-out GSM services across our operations,
in order to create further product and procurement synergies. The
roll-out of GSM in Latin America will enable us to accelerate
growth as a result of the lower cost and increased functionality
of GSM technology."
Millicom International Cellular S.A. is a global
telecommunications investor with cellular operations in Asia,
Latin America and Africa. It currently has a total of 16
cellular operations and licenses in 15 countries. The Group's
cellular operations have a combined population under license of
approximately 382 million people. In addition, MIC provides
high-speed wireless data services in five countries.
*****
An improved liquidity position and reduced leverage as a result
of the completion of the company's exchange offer and subsequent
issuance of 5% mandatory exchangeable bonds that will help retire
approximately US$167 million of 11% senior notes led Moody's to
upgrade its ratings on Millicom International Cellular S.A.
recently.
The debt instruments upgraded were its senior implied rating (to
B1 from Caa1), issuer rating (to B2 from Caa2), and 13.5% senior
subordinated discount note due 2006 (to B3 from Caa3). Its 11.0%
senior unsecured notes due 2006 was assigned a B2 rating.
CONTACT: MILLICOM INTERNATIONAL CELLULAR SA
Luxembourg
Marc Beuls
President and Chief Executive Officer
Phone: +352 27 759 101
SHARED VALUE LTD.
London
Andrew Best
Investor Relations
Phone: +44 20 7321 5022
STOLT OFFSHORE: Likely to Get Extension on Default Waiver
---------------------------------------------------------
Stolt Offshore was expected Friday to get further extension of
its bank covenant waivers. The waiver of covenant defaults was
originally extended from November 26. At that time, the company
also announced it was scrapping interim dividend.
In June Stolt Offshore S.A. announced substantially poorer than
anticipated performance and cost overruns on three major EPIC
contracts and several smaller projects. In addition, it
anticipated activity levels to be slightly lower than previously
anticipated. These factors forced Stolt Offshore to seek
amendments to two of its primary bank credit facilities,
including the waiver.
CONTACT: STOLT OFFSHORE S.A.
Julian Thomson/Fiona Harris
Phone: U.S. +1 877 603 0267 (toll free)
U.K. +44 1224 718436
E-mail: julian.thomson@stoltoffshore.com
Patrick Handley (U.K.)/Tim Payne (U.S.)
Brunswick Group
Phone: U.K. +44 207 404 5959
U.S. +1 212 333 3810
E-mail: phandley@brunswickgroup.com
tpayne@brunswickgroup.com
STOLT OFFSHORE: Expects More than US$100 Mln from Share Offering
----------------------------------------------------------------
Stolt Offshore S.A. (NasdaqNM: SOSA; Oslo Stock Exchange: STO)
announced Friday:
(a) a Private Placement of 34.1 million ordinary shares to
institutional investors, which is fully subscribed;
(b) an additional 11.4 million ordinary shares issued to
Stolt-Nielsen S.A. in consideration for conversion of US$25
million of subordinated debt;
(c) a Subsequent Issue of up to 13.0 million ordinary shares to
shareholders as of December 18, 2003 who were not given the
opportunity to participate in this Private Placement;
(d) subscription price for all the issues to be US$2.20 per
share; gross proceeds are expected to be US$75 million from the
Private Placement and up to US$28.6 million from the Subsequent
Issue;
(e) book equity to increase by a minimum of $100m and up to a
maximum of $128.6 million;
(f) the Stolt Offshore Board will be calling an extraordinary
general meeting of shareholders to approve the Private Placement
and Subsequent Issue;
The Stolt Offshore Board has proposed an equity capital raising
in this form in order to:
(a) accelerate the financial restructuring of the company;
(b) enhance working capital to satisfy Stolt Offshore's
commercial needs;
(c) establish a capital structure from which to reap the full
advantages of the strategic and organizational changes under the
Blueprint.
The closing of the Private Placement will be subject to various
conditions being met by January 20, 2004 including, among others:
(a) approval by the Stolt Offshore shareholders;
(b) Stolt Offshore having entered into a new bonding facility in
an amount not less than US$150 million;
(c) Stolt Offshore having amended certain terms of its existing
revolving credit facilities, including extending the maturity
date; and Stolt-Nielsen Board approval for the conversion of
subordinated debt.
These measures provide a basis for concluding negotiations with
Stolt Offshore lenders.
The Stolt Offshore shares will be traded exclusive of rights from
December 19, 2003. It is anticipated that the Subsequent Issue
will take place before the end of the second quarter 2004. The
subscription rights for the Subsequent Issue will not be
tradeable or transferable. Shareholders of record as of
December 18, 2003 who have not had the opportunity to participate
in the Private Placement, will have the right to subscribe for
0.6 new shares per existing share held in the Company.
Tom Ehret, Stolt Offshore CEO, said, "This fully subscribed
equity raising is a vote of confidence in the progress Stolt
Offshore has made in recent months, in our strategy and in the
commercial opportunity before us. Raising equity in this fashion
should allow us to complete our financial restructuring well
ahead of schedule, and will brings us swiftly back to our full
competitive potential in our market place."
The securities to be offered in the private placement have not
and will not be registered under the U.S. Securities Act of 1933,
as amended, and may not be offered or sold in the United States
without registration or an applicable exemption from the
registration requirements. This press release does not
constitute an offer to sell or the solicitation of an offer to
buy any securities in the United States nor shall there be any
sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful. Any public offering of
securities to be made in the United States will be made by means
of a prospectus that may be obtained from the issuer and that
will contain detailed information about the company and
management, as well as financial statements.
CONTACT: STOLT OFFSHORE SA
Julian Thomson/Fiona Harris
Phone: U.S. +1 877 603 0267 (toll free)
U.K. +44 1224 718436
E-mail: julian.thomson@stoltoffshore.com
Patrick Handley (U.K.)/Tim Payne (U.S.)
Brunswick Group
Phone: U.K. +44 207 404 5959
U.S. +1 212 333 3810
E-mail: phandley@brunswickgroup.com
tpayne@brunswickgroup.com
=====================
N E T H E R L A N D S
=====================
KONINKLIJKE AHOLD: Regulator Orders Break-up of Brazilian Assets
----------------------------------------------------------------
Brazil's antitrust authority, the Administrative Council for
Economic Defense, ruled that Dutch retailer Royal Ahold must sell
its Brazilian assets not to one, but several buyers to address
competition concerns, according to Reuters.
The ruling has serious implications on the talks between Ahold
and potential buyers Wal-Mart and Brazil's Companhia Brasileira
de Distribuicao. The ruling now means that either of the bidder
could acquire 16 of Ahold's 32 G. Barbosa supermarkets together
with the Bompreco supermarket chain and Hipercard credit card
company. But they will have to let another party get the
remaining G. Barbosa stores and Ahold's distribution centers.
Ahold's disposal drive comes after it was discovered the retailer
has overstated profits by EUR1 billion in its books late
February. The misrepresentation was mostly at the company's U.S.
Foodservice unit in late February. As a result, shares in Ahold
went down to EUR2 and its bonds were downgraded to junk status.
KONINKLIJKE AHOLD: Term of Interim CFO Dudley Eustace Ends
---------------------------------------------------------
Royal Ahold Friday announced that Dudley Eustace, the man brought
in as interim CFO in March, has completed his term as a member of
the Corporate Executive Board at Ahold. His primary
responsibilities had been to stabilize the financial fundamentals
of the company and recruit a permanent Chief Financial Officer.
"There is no doubt that Ahold is now in better shape than when
Dudley came on board," said Ahold President & CEO Anders Moberg,
commenting on Mr. Eustace's achievement. "He has made an
enormous contribution to improving the liquidity position of the
company. It is largely thanks to Dudley's stewardship of the
financial restructuring process in the months following the
announcement of February 24 that we were able to draw a line
under the past and move forward to where we are today. Together
with Hannu Ryopponen, whose appointment as CFO was confirmed in
September, he spent countless hours with our financial advisors
and guided the preparation of our numbers for full-year 2002 and
the first three quarters of 2003. He also laid the groundwork
for the new credit facility and the recent rights offering, which
was successfully placed. We are grateful to Dudley for what he
has done for our company and wish him well for the future."
Mr. Eustace, 67, will now be able to devote more time to his
family and to his position as non-executive chairman of Smith &
Nephew plc, a London-based global leader in advanced medical
devices. Mr. Eustace was appointed Chairman in 2000 following a
year as Deputy Chairman. Prior to that, the British national was
also based in The Netherlands as Deputy Chairman and Director of
Finance at Royal Philips Electronics N.V. from 1992 through 1999.
Mr. Eustace remains a member of the Supervisory Boards of KLM
Royal Dutch Airlines N.V., Royal KPN N.V., Hagemeyer N.V. and
Aegon N.V.
"When I came on board, I said that I was delighted to be able to
assist Ahold," Mr. Eustace said on his final day at the company.
"It has been an intensive 10 months but the teamwork between key
players throughout the company has been outstanding and the
confidence of the financial community in our ability to deliver
is gradually being restored. I wish Anders, my colleagues on the
Corporate Executive Board and indeed all Ahold associates the
very best of luck in rebuilding the reputation of this fine
company going forward."
CONTACT: KONINKLIJKE AHOLD
Corporate Communications
Phone: +31.75.659.5720
NUMICO N.V.: New Credit Facility Offers More Favorable Terms
------------------------------------------------------------
Royal Numico N.V. announced Friday the successful refinancing of
its existing senior bank loan facility. The new credit facility,
granted by a consortium of 19 international banks, offers Numico
more favorable terms and conditions.
Jean-Marc Huet, CFO of Numico [said]: "As a result of the
divestment of GNC, Numico's operational and financial risk
profile has significantly improved and the credit needs of the
Company are diminished. The terms and conditions of this new
bank loan facility now better reflect Numico's improved risk
profile. This in turn will reduce the Company's financial
expenses. The speed with which we have been able to renegotiate
our existing bank loan facility further reflects the confidence
that our banking partners have in Numico's current strengths and
future prospects."
The new bank loan facility consists of a committed unsecured
senior revolving credit facility amounting to EUR850 million,
maturing at December 17, 2008. In comparison with the current
3.5-year facility, maturing December 31, 2006, the new facility
carries a 5-year maturity. The interest margin, which is linked
to a leverage ratio grid, will vary from 1.25% to 0.60% over
EURIBOR. The commitment fee amounts to 45% of the applicable
interest margin. The new facility will be used for general
purposes and the repayment of the convertible bonds, which are
due in 2004 and 2005. The current EUR1.2 billion credit facility
has been cancelled.
Royal Numico is a specialized nutrition company with leading
positions in Baby Food and Clinical Nutrition.
The company operates in over 100 countries and employs
approximately 11,000 people (http://www.numico.com).
XANSA: Sells Activities in Belgium, Netherlands to Ewycksgroep
--------------------------------------------------------------
Xansa has withdrawn from the Belgian and Dutch market to focus
its activities in the U.K. where it received a more encouraging
response for its IT services.
On Thursday, the company said it sold its loss-making businesses
in the region to Ewycksgroep, a private Dutch company, for a
nominal sum.
"In making this announcement with Ewycksgroep, Xansa is pleased
to ensure continuity of support for our clients, as well as
continuity of employment for our staff in these countries," the
company said.
The announcement follows a statement two weeks ago of its
intention to exit continental Europe because of tough market
conditions.
Xansa believes the marketplace was not yet ready for large-scale
outsourcing of IT and business processes, which worked well for
its Indian offshore model.
The company's interim revenues from continental Europe fell 13%
to GBP2.7 million, and losses increased to GBP0.8 million. In
the U.K. turnover rose 1% to GBP210 million and revenues of its
Indian business,
Xansa also has operations in France, the U.S., India, Malaysia,
and Singapore.
===========
N O R W A Y
===========
PETROLEUM GEO-SERVICES: Appoints Senior Vice President
------------------------------------------------------
Petroleum Geo-Services ASA (OSE: PGS; OTC: PGEOY) announced
Friday that Sverre Skogen is appointed President of Petroleum
Geo-Services Production AS, and Senior Vice President Petroleum
Geo-Services ASA, effective January 12, 2004.
Sverre Skogen has 16 years of managerial experience in business
and project management, and most recently held the position of
President and CEO of Kvaerner Oil & Gas Division. More
information about Mr. Skogen can be found on the Petroleum
Geo-Services website http://www.pgs.com
Petroleum Geo-Services is a technologically focused oilfield
service company principally involved in geophysical and floating
production services. Petroleum Geo-Services provides a broad
range of seismic and reservoir services, including acquisition,
processing, interpretation, and field evaluation. Petroleum
Geo-Services owns and operates four floating production, storage
and offloading units. Petroleum Geo-Services operates on a
worldwide basis with headquarters in Oslo, Norway. For more
information on Petroleum Geo-Services visit http://www.pgs.com
*****
Standard & Poor's Ratings Services withdrew its 'D' ratings on
Petroleum Geo-Services ASA, and revised its CreditWatch listing
on subsidiary Oslo Seismic Services Inc. to positive from
developing following the exit of the company from Chapter 11 in
November.
CONTACT: PETROLEUM GEO-SERVICES ASA
Sam Morrow, Svein Knudsen
Phone: +47 6752 6400
Suzanne M. McLeod
Phone: +1 281-589-7935
===========================
U N I T E D K I N G D O M
===========================
BAE SYSTEMS: Talks to Sell Aerostructures Unit Fail
---------------------------------------------------
Defense giant BAE Systems said the year-long discussions with
U.S. firm Vought Aircraft Industries regarding the sell-off of
its aerostructures operation ended without an agreement. The
aerostructures unit will now be classified among a portfolio of
BAE's non-core assets, which could be sold anytime in the future.
The Scotsman quoted one industry source saying: "It looks like
there was an unbridgeable gap in terms of valuation between BAE
and the potential buyer."
The board of the aerostructure division recommended Vought's
offer in September, but they were still hoping that an upturn in
the civil aviation market and an influx of fresh orders for its
wing structures and fuselages could fetch in a higher price than
the original offer. Analysts believe the business, which has
annual revenues of around GBP313 million, could have been sold
for GBP300 million.
The failure of the negotiations puts into uncertainty the future
of more than 700 Prestwick-based workers, who knew the company no
longer has plans to put more investment into the unit. The alarm
regarding the workers' long-term status came despite assurance
from BAE there will be no job-cuts as a result of the failure.
Union leaders fear the move could render the division
uncompetitive in the fast-moving aerospace industry.
According to the report, Bernie Hamilton, the regional officer
for Amicus in Scotland, plans to seek an urgent meeting with BAE
to discuss the termination of the sale. He said: "[The] plant
needs substantial investment for it to be able to supply the next
generation of Airbus and Boeing aircraft."
The unit's largest customer is Airbus, the European aircraft
maker 60% owned by BAE.
BOMBARDIER: MPs, Labor Unions Fight to Save U.K. Operations
-----------------------------------------------------------
Trade union Amicus is launching a campaign to keep train
manufacturer Bombardier in the U.K. The announcement follows a
meeting of MPs representing constituencies with Bombardier plants
and officials from Amicus on Wednesday December 17. At the
meeting they agreed to lobby Ministers and Bombardier bosses to
avert job losses.
MPs and Amicus officials have also asked to meet with Transport
Minister Kim Howells early in the New Year to ask for government
help in finding interim contracts for the Bombardier Derby plant.
Derby is Bombardier's most productive and cost efficient plant in
Europe.
The move comes after Bombardier announced it is conducting a
European-wide restructuring exercise and Bombardier's Chief
Executive, Paul Tellier, has already identified operations in the
U.K. and Germany as most likely to face rationalization and
closure.
Amicus and constituency MPs are also hoping to influence the
government's procurement review to ensure that indigenous train
building companies benefit from the award of valuable U.K.
contracts. This is because Bombardier says that a 'gap' in
orders at their Derby plant from 2005-08 -- the result of losing
a lucrative contract for a new Trans-Pennine train to Siemans in
Germany -- threatens the plant's future and that of another
Bombardier plant in Crewe.
Paul Reuter, Amicus' National Transport Officer, said: "The next
few months will be critical if we are to save the U.K. train
building industry. We know that German politicians are lobbying
the company hard and we need to be exerting the same pressure
here to ensure we don't lose essential U.K. skills again."
Amicus is also lobbying for stronger U.K. employment protection
laws to ensure a level playing field with those in mainland
Europe. They say lesser employment protection makes it quicker
and cheaper to cut jobs in the U.K. The other train building
plant still operating in the U.K., the Alstom plant at Washwood
Heath, Birmingham, is also due to close next year with a loss of
1,400 jobs after a contract for new London Underground trains
awarded last year went to Spain.
CANARY WHARF: Reichmann Family to Block Sale of Properties
----------------------------------------------------------
On December 17, 2003, IPC Advisors Corporation announced that
certain Reichmann family interests, which are interested in
51,915,085 ordinary shares of Canary Wharf Group plc
(representing approximately 8.9% of the existing issued share
capital of Canary Wharf), are using their commercially reasonable
efforts to procure that such shares are not voted in favor of the
proposal to dispose of 5 Canada Square and 25 Canada Square on
the terms announced by Canary Wharf on December 5, 2003 at the
meeting of Canary Wharf shareholders which has been convened for
9:00 a.m. on Monday, December 22, 2003.
IPC Advisors announces that the Reichmann Interests are in fact
using their commercially reasonable efforts to procure that as
many as possible of such 51,915,085 ordinary shares which can be
released from constraints on voting will be voted against the
Disposal Proposal.
The implementation of the Disposal Proposal is a condition to the
MSREF offer.
Initially, IPC Advisors did not object to the Disposal Proposal
because it did not want to deprive shareholders of the
opportunity to receive the offer made by MSREF. Following the
arrangements made on December 17, 2003 between Brascan
Corporation and IPC Advisors, IPC Advisors believes that under
its proposal or under Brascan's proposal shareholders should
receive more value than that offered under the MSREF proposal and
that the Disposal Proposal could damage the Company's prospects.
IPC Advisors therefore believes that it is not
in shareholders' best interests to vote in favor of the Disposal
Proposal.
IPC Advisors believes that the implementation of the Disposal
Proposal will significantly and adversely affect Canary Wharf's
ability to deal in future (whether through a sale, refinancing,
privatization or otherwise) with properties which are subject to
the Canary Wharf 'Securitization 2' ('Sec 2') financing
arrangements. Specifically, IPC Advisors believes that the sale
of the two properties pursuant to the Disposal Proposal and the
related repayment of a portion of the Sec 2 indebtedness will
seriously deplete certain favorable repayment rates negotiated by
Canary Wharf within the Sec 2 arrangements and render further
sale or refinancing of any of the Sec 2 properties more difficult
and expensive to achieve.
CONTACT: LEHMAN BROTHERS EUROPE LIMITED
Phone: 020 7102 1000
John McIntyre
CANARY WHARF: Defends Plan to Sell Canada Square Properties
-----------------------------------------------------------
The Independent Committee of Canary Wharf Group plc has noted the
announcement made by IPC Advisors Corporation.
The Independent Committee continues to recommend that
shareholders vote in favor of the resolution at the extraordinary
general meeting on December 22, 2003 to approve the disposal of 5
Canada Square and 25 Canada Square to The Royal Bank of Scotland
plc. The Independent Committee regards the Disposals as being in
the best interests of shareholders.
(a) The Disposals are an integral part of the independent
strategy of the group in the absence of any successful offer and
are in the interests of the company for the reasons set out in
the circular to shareholders.
(b) The Independent Committee reiterates that there can be no
certainty that an offer will be forthcoming from either Brascan
or the Reichmann family interests.
(c) Shareholder approval of the Disposals is a condition of
Silvestor's offer.
(d) The Board does not accept any of the criticisms of the
Disposals set out in the recent IPC and Brascan announcements.
(e) The Independent Committee believes that the actions of IPC
Advisors Corporation and Brascan over the last few days has been
an attempt to frustrate the ability of Silvestor to complete its
announced scheme, or any other offer. As such this is contrary
to the interests of other Canary Wharf shareholders.
Accordingly the Independent Committee urges shareholders to vote
in favor of the Disposals at the extraordinary general meeting on
Monday December 22.
CONTACT: LAZARD
Phone: 020 7187 2000
William Rucker
CAZENOVE
Phone: 020 7588 2828
Duncan Hunter
Richard Cotton
BRUNSWICK
Phone: 020 7404 5959
James Bradley
Fiona Laffan
KWELM COMPANIES: Puts Early Closure of 'Run off' to Vote
--------------------------------------------------------
A proposal to close early the run off of London-based KWELM
insurance companies will be presented to creditors in January.
As set out in a document currently being circulated to creditors,
early closure offers them the prospect of receiving total
payments ranging between 58% and 76% of sums due. That compares
to average distributions of 47% to date. The level of potential
payout is substantially higher than expected when the original
scheme was put in place 10 years ago.
The early closure proposals envisage that the bulk of the US$1.3
billion held for payment to creditors will be paid within two to
three years. The original outline timescale for the run off
extended beyond 2015.
Chris Hughes and Ian Bond, the scheme administrators responsible
for the run off of the businesses, recommend early as being in
the best interests of the general body of creditors, and the
route to the maximum payment within the minimum timeframe.
The KWELM companies are subsidiaries of the failed London United
Investments plc. They comprise Kingscroft Insurance, Walbrook
Insurance, El Paso Insurance, Lime Street Insurance and Mutual
Reinsurance. They specialized in U.S. casualty, professional
indemnity and other liability insurance business, which was
principally written through HS Weavers (Underwriting) Agencies
Limited. Over 90% of the KWELM assets and liabilities are in
U.S. dollars and most of the policyholders are based in the
United States.
Total funds recovered for distribution to creditors now exceed
US$3.1 billion with total ultimate liabilities estimated at
US$5.8 billion, including a US$1.2 billion special margin.
Chris Hughes and Ian Bond explain that they have collected around
89% of potential recoveries and expect that to rise to 97.5% by
the amending scheme effective date. In addition, investment
returns -- nearly US$1 billion to date -- are now falling in the
wake of lower interest rates and the amount of cash returned to
creditors.
"The main scope for further increases in the level of payment
percentages comes from achieving greater certainty in the total
value of outstanding and contingent claims. As a result, we will
be able to reduce the level of special margin we had built into
our calculations over the years to ensure all creditors are
treated fairly," they say.
The amending scheme being put to creditors in January provides a
mechanism for earlier closure by establishing a bar date expected
to be September 29, 2004 for submitting claims with full
supporting information.
The revised scheme also sets out a "cut-off" or estimation
methodology to evaluate and quantity liabilities. This provides
a framework for determining both current and future claims
early -- allowing for a faster run-off and cutting run-off costs
by up to US$75 million.
Court hearings in London on November 28 and on December 2, 2003
paved the way for the amending scheme to be put to creditors.
Each of the five companies has two classes of creditors --
protected and general. Each class of creditor for each company
will vote separately at a series of meetings to be held in London
on January 29, 2004.
For the revised scheme to go ahead, the majority of creditors
voting in person or by proxy in number terms and 75% in value of
claims must vote in favor. If approved by creditors, the
amending scheme would go back to the relevant Court in March 2004
to be sanctioned and registered before the scheme comes into
effect.
*****
The major proportion of insurance cover provided by the KWELM
companies was written between 1972 and 1990.
Protected creditors are those who are entitled to compensation
from the Financial Services Compensation Scheme Limited (formerly
the Policyholders' Protection Board) under the Policyholders
Protection Act 1975.
The meetings of KWELM creditors to consider the amending scheme
of arrangement will start at 2:00 p.m. on Thursday January 29,
2004 at the Chartered Insurance Institute, 20 Aldermanbury,
London EC2V 7HY, United Kingdom.
Copies of the proposed amending scheme of arrangement and claims
forms can be obtained via the Creditor Help Des +44 (0) 20 7645
4991 or viewed on the KWELM web site at http://www.kwelm.com
CONTACT: Chris Hughes
Phone: +44 (0) 20 7398 2901
Chris Reynolds
Phone: +44 (0) 20 7645 4990
Caroline Cecil, Caroline Cecil Associates
Phone: +44 (0) 7610 4110
E-mail: cc@carolinececil.co.uk
Homepage: http://www.carolinececil.co.uk
MEDIA ZEROS: Meeting of Unsecured Creditors Set December 31
-----------------------------------------------------------
Notice is hereby given pursuant to Section 48(2) of the
Insolvency Act 1986, that a meeting of the unsecured creditors of
Media Zeros Plc will be held at RSM Robson Rhodes LLP, 186 City
Road, London EC1V 2NU on December 31, 2003 at 10.30 a.m. for the
purpose of having laid before it a copy of the report prepared by
the Joint Administrative Receivers under section 48 of the said
Act. The meeting may, if it thinks fit, establish a creditors'
committee to exercise the functions conferred on it, by, or under
the Act.
Creditors are only entitled to vote if:
(a) they have delivered to us at the offices of RSM Robson Rhodes
LLP, 186 City Road, London EC1V 2NU, no later than 1200 hours on
the business day before the meeting, written details of the debts
they claim to be due, and the claim has been duly admitted under
the provisions of the Insolvency Rules 1986; and
(b) there had been lodged with us any proxy which the creditor
intends to use on his behalf.
Dated this 10th December 2003.
Simon Peter Bower and Michael John Hore
Joint Administrative Receivers
Creditors may obtain a copy of the report, free of charge, on
application to the Joint Administrative Receivers at RSM Robson
Rhodes LLP, 186 City Road, London EC1V 2NU.
QUARTERLY HIGH: Unsecured Creditors Meeting December 31
-------------------------------------------------------
Notice is hereby given pursuant to Section 48(2) of the
Insolvency Act 1986, that a meeting of the unsecured creditors of
the above-named company will be held at RSM Robson Rhodes LLP,
186 City Road, London EC1V 2NU on December 31, 2003 at 10.00am
for the purpose of having laid before it a copy of the report
prepared by the Joint Administrative Receivers under section 48
of the said Act. The meeting may, if it thinks fit, establish a
creditors' committee to exercise the functions of conferred on
it, by, or under the Act.
Creditors are only entitled to vote if:
(a) they have delivered to us at the office of RSM Robson Rhodes
LLP, 186 City Road, London EC1V 2NU, no later than 1200 hours on
the business day before the meeting, written details of the debts
they claim to be due, and the claim has been duly admitted under
the provisions of the Insolvency Rules 1986; and
(b) there had been lodged with us any proxy which the creditor
intends to use on his behalf.
Dated December 10, 2003
Simon Peter Bower and Michael John Hore
Joint Administrative Receivers
Creditors may obtain a copy of the report, free of charge, on
application to the Joint Administrative Receivers at RSM Robson
Rhodes LLP, 186 City Road, London EC1V 2NU.
THOMAS COOK: Wolfgang Beeser Nominated Chairman, CEO
----------------------------------------------------
The presiding committee of the Supervisory Board of Thomas Cook
AG put forward to the Supervisory Board proposals for
appointments to the Executive Board, which it discussed at its
extraordinary meeting on December 18, 2003.
The shareholders of Thomas Cook AG, Deutsche Lufthansa AG and
KarstadtQuelle AG, intend to appoint quickly an experienced,
competent and internationally recognized management team in order
to underline their clear commitment to the leisure travel group
and its future.
Wolfgang Beeser is to become Chairman and CEO of the four-man
Executive Board of Thomas Cook AG with effect from January 1,
2004. The former Chairman of the Board at NUR Touristik is an
experienced and recognized top executive in the leisure travel
business. "Wolfgang Beeser knows the leisure travel group and
the industry, and enjoys the confidence of both its owners," said
Supervisory Board Chairman Jurgen Weber and his Deputy Wolfgang
Urban on the new CEO's proposed appointment.
The Supervisory Board has also proposed that Heinz-Ludger Heuberg
and Ralf Teckentrup be appointed to seats on the Executive Board
of Thomas Cook AG.
Heinz-Ludger Heuberg is to become Chief Financial Officer and
Labour Director of the leisure travel group, effective January 1,
2004. A business management graduate, he joined the Lufthansa
Group in March 2002 on his appointment to the Board of Lufthansa
Cargo AG with responsibility for Human Resources and Finance,
based in Frankfurt/Main.
Ralf Teckentrup is to take over responsibility for airline
business on the Thomas Cook Executive Board, also with effect
from January 1, 2004. He began his career at Lufthansa in 1986
and, since 1997, has been a member of the board of Lufthansa
Passenger Airlines with responsibility for network management, IT
and purchasing. Dr. Peter Fankhauser remains responsible for the
tourist product on the Thomas Cook Executive Board.
"Thomas Cook AG has a future. The new top management, committed
staff and an attractive product are the best prerequisites for
expediting the group's necessary restructuring and exploiting and
developing the group's future potential,' commented Jurgen Weber
and Wolfgang Urban.
Pending the Supervisory Board's approval, the interim members of
the Thomas Cook Executive Board, Peter Gerard (CEO) and Dr.
Karl-Ludwig Kley (CFO) will relinquish those posts on December
31, 2003 and return as planned to their currently dormant
positions on the Thomas Cook Supervisory Board.
*****
Thomas Cook, owned by Deutsche Lufthansa AG and KarstadtQuelle,
is pursuing a program aimed at saving EUR600 million over the
next two years starting January. In July the company said there
could be deeper job cuts at its German locations. In June it
said it would reduce its fleet by as many as 13 planes. Thomas
Cook posted a EUR120 million after-tax net loss for 2001/2002.
WE BERRY: Administrators Cut Jobs, Offer Firm for Sale
------------------------------------------------------
Administrators Paul Flint and Richard Fleming from KPMG Corporate
Recovery announced 83 redundancies at the commercial web printer,
WE Berry Ltd. A total of 59 members of staff remain at the firm'
s base in Shipley, West Yorkshire.
Paul Flint, Joint Administrator at KPMG Corporate Recovery, said:
"It is unfortunate that we have had to make redundancies at this
stage. However, after trading the business for the past three
weeks, it has become clear that the orders in the pipeline for
January, coupled with the relatively low levels of activity
experienced by the print sector at the start of the year, means
that it is not viable for us to continue to trade the business at
full capacity.
"We are still hopeful, however, of finding a buyer in the New
Year. While we have received a reasonable level of interest so
far, we now need to look carefully at all of the options and
continue our discussions with the various parties to identify a
solution."
Paul Flint and Richard Fleming were appointed Administrators to
WE Berry Ltd. at the directors' request on December 2, 2003.
KPMG Corporate Recovery has over 500 professional staff in 22
offices around the U.K. and provides two distinct types of
service: advice and assistance to insolvent companies, their
creditors, and their other stakeholders (known as Insolvency
Services); and restructuring advice to companies who are
under-performing or experiencing liquidity problems (known as
Restructuring Services).
KPMG is the global network of professional services firms whose
aim is to turn knowledge into value for the benefit of its
clients, its people and its communities. KPMG LLP operates from
22 offices across the U.K. with more than 9,000 partners and
staff. KPMG recorded a U.K. fee income of £1,018 million in year
ended September 2002. KPMG LLP is a U.K. limited liability
partnership and the U.K. member of KPMG International, a Swiss
non-operating association.
CONTACT: KPMG
Katy Broomhead, Corporate Communications
Phone: 0161 838 4623
Mobile: 07775 708917
KPMG Press Office
Phone: 020 7694 8773
* Large Companies with Insolvent Balance Sheets
-----------------------------------------------
Shareholders Total Working
Equity Assets Capital
Ticker (US$MM) (US$MM) (US$MM)
------ ----------- ------ --------
AUSTRIA
-------
Libro AG (111) 174 (182)
BELGIUM
-------
Real Software REAL (110) 216 (10)
CZECH REPUBLIC
--------------
Ceskomoravska Kolben &
Danek Praha Holding (89) 192 (2,186)
DENMARK
-------
Elite Shipping (28) 101 19
FRANCE
------
Banque Nationale
de Paris Guyane (41) 352 N.A.
BSN Glasspack (101) 1,151 179
Bull SA BULP (760) 893 (130)
Compagnie
des Machines Bull (116) 136 (20)
Compagnie Francaise de
l'Afrique Occidentale (65) 256 21
Cofidur S.A. (5) 102 19
Dollfus-Mieg & Co. DOLP (0) 187 28
European Computer System (110) 682 377
Grande Paroisse S.A. (927) 629 330
Pneumatiques Kleber S.A. (34) 480 139
SDR Picardie (135) 413 N.A.
Soderag (3) 404 N.A.
Sofal S.A. (305) 6,619 N.A.
Spie-Batignolles (16) 5,281 75
St Fiacre (FIN) (1) 111 (33)
Trouvay Cauvin TRCN (0) 134 10
Usines Chauson (23) 249 35
GERMANY
-------
Dortmunder
Actien-Brauerei DABG (13) 118 (29)
F.A. Guenther & Sohn AG GUSG (8) 111 N.A.
Kaufring AG KAUG (19) 151 (51)
Nordsee AG (8) 195 (31)
Schaltbau AG SLTG (16) 163 20
Vereinigter
Baubeschlag-Handel
Holding AG VBHG (24) 307 (63)
ITALY
-----
Binda S.p.A. BND (11) 129 (20)
CIRIO FINANZIARI CBDI (422) 1,583 (396)
Credito Fondiario
e Industriale S.p.A. CRF (200) 4,218 N.A.
Lazio S.p.A. (57) 495 (330)
NETHERLANDS
-----------
Baan Company N.V. BAAN (8) 610 46
NORWAY
------
Pan Fish ASA PAN (117) 806 (259)
Petroleum-Geo Services PGO (32) 2,963 (5,250)
POLAND
------
Animex S.A. (1) 108 (86)
Exbud Skanska S.A. EXBUF (9) 315 (330)
Motostal Zabrze (6) 227 (366)
Stalexport S.A. (57) 229 (51)
SPAIN
-----
Altos Hornos de Vizcaya S.A. (116) 1,283 (278)
Santana Motor S.A. (46) 223 41
Sniace S.A. (11) 128 (24)
Tableros de Fibras S.A. TFI (43) 2,107 125
SWITZERLAND
-----------
Kaba Holding AG KABZN (47) 572 278
UNITED KINGDOM
--------------
Abbot Mead Vickers (2) 168 (16)
Alldays Plc ALD (120) 252 (202)
Amey Plc AMY (49) 932 (47)
Bonded Coach
Holiday Group Plc (6) 188 (44)
Blenheim Group (153) 198 (34)
Booker Plc BKRUY (60) 1,298 (8)
Bradstock Group BDK (2) 269 5
Brent Walker Group (1,774) 867 (1,157)
British Energy BGY (5,342) 3,438 229
British Nuclear Fuels Plc (2,627) 36,359 1,948
British Sky Broadcasting BSY (175) 3,347 (144)
Center Parcs (UK)
Group Plc (77) 423 (227)
Compass Group CPG (668) 2,972 (298)
Costain Group COST (34) 329 (12)
Dawson Holdings DWSN (32) 142 (29)
Easynet Group Plc ESY (12) 332 53
Electrical and Music EMI
Industries Group (885) 3,053 (435)
Euromoney Institutional ERM (119) 173 20
Gallaher Group GLH (543) 5,527 68
Gartland Whalley (11) 145 (8)
Global Green Tech Group (156) 408 (18)
Heath Lambert
Fenchurch Group PLC (10) 4,109 (10)
HMV Group PLC HMV (211) 762 (66)
Imperial Tobacco Group ITY (117) 10,083 (190)
Intertek Testing Services ITRK (134) 425 67
IPC Media Ltd. (685) 254 16
Lambert Fenchurch Group (1) 1,827 3
Lattice Group (1,290) 12,410 (1,228)
Leeds United PLC (73) 144 (29)
Manchester City (17) 154 (21)
Misys PLC MSY (161) 949 41
Orange PLC ORNGF (594) 2,902 7
Regus PLC RGU (46) 367 (60)
Rentokil Initial Plc RTO (1,130) 2,809 (37)
Saatchi & Saatchi SSI (119) 705 (41)
Seton Healthcare (11) 157 0
Viatel Holding (Bermuda)
Limited (548) 2,155 (2005)
Yell Group PLC (196) 3,964 289
Each Tuesday edition of the TCR-Europe contains a list of
companies with insolvent balance sheets based on the latest
publicly available balance sheet available to our editors at the
time of publication. At first glance, this list may look like
the definitive compilation of stocks that are ideal to sell
short. Don't be fooled. Assets, for example, reported at
historical cost net of depreciation may understate the true value
of a firm's assets. A company may establish reserves on its
balance sheet for liabilities that may never materialize. The
prices at which equity securities trade in public market are
determined by more than a balance sheet solvency test.
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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., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA. Larri-Nil Veloso, Ma. Cristina Canson, and
Laedevee Gonzales, Editors.
Copyright 2003. All rights reserved. ISSN 1529-2754.
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.
Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.
The TCR Europe subscription rate is US$575 per half-year,
delivered via e-mail. Additional e-mail subscriptions for
members of the same firm for the term of the initial subscription
or balance thereof are US$25 each. For subscription information,
contact Christopher Beard at 240/629-3300.
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