/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/050208.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, February 8, 2005, Vol. 6, No. 27 Headlines B E L A R U S BELARUSBANK: Fitch Affirms 'CCC+' Long-term Rating G E R M A N Y BREITENKAMP EINRICHTUNGEN: Creditors Claims Due April CDI DEUTSCHE: Munich Court Accepts Bankruptcy Application DERSA SANITATSHAUS: Sets Creditors Meeting March DRUCK & MEDIA: Provisional Administrator Takes over Operations FD VERWALTUNGSGESELLSCHAFT: Under Bankruptcy Administration FIRST REISEBURO: Falls into Bankruptcy FRIEDRICH THAU: Cedes Control to Court-appointed Administrator G+S KUNSTSTOFFTECHNIK: Creditors Meeting Next Week HEIDELBERGCEMENT AG: Bares EUR700 Million One-time Charge HEIDELBERGCEMENT AG: Ratings Unaffected by Extraordinary Loss IESY REPOSITORY: Moody's Rates Proposed Senior Notes (P)Caa1 MATHIAS WUNDERLICH: Gera Court Appoints Administrator P&W POLSTER: Calls in Administrator from Wolff, Rapp & Kollegen SCHEFENACKER AG: Moody's Sees Gloomy Outlook I T A L Y ALITALIA SPA: Berlusconi Offering Air France 20% Stake ALITALIA SPA: Parliament Okays Privatization PARMALAT FINANAZIARIA: Prosecutors Grill Founder Anew PARMALAT U.S.A.: Intends to Put up Insurance Programs N E T H E R L A N D S KONINKLIJKE AHOLD: Terminates Credit Facility to Reduce Cost KONINKLIJKE AHOLD: Unsecured Debt Ratings Raised LAURUS N.V.: Supervisory Board Chairman to Step down May 12 ROYAL SHELL: Relaunches Buyback Program ROYAL SHELL: Senior Unsecured Rating Affirmed at 'AA+' R O M A N I A S.C. HIDROELECTRICA: Takes EUR66 Mln Loan to Upgrade Power Plant R U S S I A GELNOS: Proofs of Claim Deadline Expires Next Month IRKUTSK-FISH: Creditors Have Until Next Month to File Claims LES-TORG-TRANS: Moscow Court Appoints Insolvency Manager NIVA: Deadline for Proofs of Claim March 21 NOVO-KURILOVSKOYE: Undergoes Bankruptcy Supervision Procedure OB-NEFTE-MONTAZH: Hires R. Shafikov as Insolvency Manager PRIMOR-ZOLOTO: Appoints N. Dutova Insolvency Manager STROY-MODUL: Gives Creditors Until March to File Claims TERMINAL SOLNECHNOGORSKIY: Declared Insolvent UST-LABINSK-AGRO-PROM-SNAB: Court Appoints Insolvency Manager YUKOS OIL: Rosneft Not Paying Yugansk's Tax Arrears S P A I N IZAR: Liquidation Process Takes off S W I T Z E R L A N D AVIREAL AG: Sold for CHF262 Million to Burgring-led Group CONVERIUM AG: Expects US$132 Million Pre-tax Net Loss U K R A I N E APOSTOLIVAGROMASH: Applies for Bankruptcy Proceedings AVTOTRANS: Temporary Insolvency Manager Steps in CONSULTANT-PLUS: Succumbs to Bankruptcy GEKA LTD.: Kyiv Court Appoints Insolvency Manager GUTYANSKIJ ELEVATOR: Applies for Bankruptcy Proceedings PROMSTANDART: Declared Insolvent SLAVUTSKO-POLYANSKA: Bankruptcy Supervision Begins TEST TECHNICS: Insolvency Manager Takes over Helm YAROSLAV: Under Bankruptcy Supervision U N I T E D K I N G D O M AB2 LTD: Hires O'Hara & Co. as Liquidator ACTION CLEANING: Appoints Liquidator from Harris Lipman AGENCY SOLUTIONS: Names William Antony Batty Administrator AIMERS MCLEAN: Sets Final Creditors, Members Meeting March ALLDERS PLC: Joint Administrators Ditch Bulk Sale AMBER U.P.V.C.: Members Decide to Dissolve Firm APOLLO INSULATION: Applies for Liquidation APPLEBY & MATTY: Names David Rubin & Partners Liquidator ASA TRAINING: Calls in Liquidators from CBA BMI BRITISH: 'Winter' Stats Defy Glum Forecast BOURNEHILL SERVICES: Sets General Members Meeting March COX PLANT: Calls in Administrator from Ernst & Young EDENBALLYMORE LODGE: PwC Expects Sale Within Weeks ESOUK.COM LIMITED: Members Final Meeting Set Next Month ESSEX ELECTRICAL: Hires Begbies Traynor as Liquidator FLS REAL: Liquidator's Final Report Out Next Month GARDINER BROS: Members Decide to Wind up Firm GRANT JAMES: Hires Liquidator from Tenon Recovery HOLSWORTHY BIOGAS: Appoints BDO Stoy Hayward Administrator KELLOGG BROWN: Nets US$146 Million in December LONDON AND HALIFAX: Calls Final General Meeting LOXA FINANCE: Hires Deloitte & Touche as Liquidator M A HOLDINGS: Hires Joint Liquidators from Baker Tilly MASTER DISTRIBUTORS: Liquidator to Give Final Report Next Month OSPREY KITCHENS: First Creditors Meeting Next Week PARKER GRAPHICS: Creditors to Meet Next Week RENTOKIL INITIAL: Drafts Veteran Aegis Executive Doug Flynn RUTLAND PRESS: Creditors Meeting Set Next Week SERIF SOFTWARE: Claims Filing Period Expires June SOUTHAMPTON AND SOLENT: Calls in Liquidators from Buchanans STEEL FRAME: Joint Administrators Take over Operations TEC TRADING: Calls in Receivers WIRRAL RE-HAB: Creditors Meeting Wednesday * Fourth-quarter Company Liquidations Slightly Down * Large Companies with Insolvent Balance Sheets ********* ============= B E L A R U S ============= BELARUSBANK: Fitch Affirms 'CCC+' Long-term Rating -------------------------------------------------- Fitch Ratings upgraded Belarus-based Belarusbank's Individual rating to 'D/E' from 'E'. Its other ratings have been affirmed at Long-term 'CCC+', Short-term 'C' and Support '5'. The upgrade reflects BBK's better asset quality, following improvements in the, albeit still very weak and volatile, operating environment in Belarus. BBK's equity base has grown, largely due to periodical injections from the Belarusian authorities, and its capitalization, while still weak, is stronger now than it was several years ago. At the same time, BBK's Individual rating considers its well- diversified and historically stable funding base, which partially mitigates substantial negative liquidity gaps (mismatch between the maturities of liabilities and assets). It also reflects the bank's concentrated loan book, the risks associated with rapid loan book growth, a low level of loan-loss reserves and the bank's susceptibility to state interference. The Council of Ministers of the Republic of Belarus owns around 65% of BBK, while various city and regional authorities own the remaining 35%. The Belarusian government has stated its intention to remain majority owner of the bank until 2010 at the earliest. BBK is the largest bank by assets in Belarus. It was founded in 1922, but has been in its current form only since 1995, when a merger took place between State Belarus Savings Bank (the former regional office of Sberbank of the USSR) and Joint-Stock Commercial Bank Belarusbank. BBK dominates the retail market, where it benefits from an extensive nationwide branch network. BBK is also very active in the corporate sector. CONTACT: BELARUSBANK 220050 Minsk, 32 Myasnikova Str. Phone: +375 (17) 289 38 14 Fax: +375 (17) 226 47 50 E-mail: info@belarusbank.minsk.by Web site: http://www.belarusbank.minsk.by FITCH RATINGS James Longsdon, London Phone: +44 (0) 20 7417 4309 Lindsey Liddell Phone: +44 (0) 20 7417 3495 James Watson, Moscow Phone: 007 095 956 9901 Media Relations: Campbell McIlroy, London Phone: +44 20 7417 4327 ============= G E R M A N Y ============= BREITENKAMP EINRICHTUNGEN: Creditors Claims Due April ----------------------------------------------------- The district court of Berlin-Charlottenburg opened bankruptcy proceedings against Breitenkamp Einrichtungen am Gendarmenmarkt GmbH on Jan. 13. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until April 10, 2005 to register their claims with court- appointed provisional administrator Hartwig Albers. Creditors and other interested parties are encouraged to attend the meeting on Feb. 22, 2005, 9:40 a.m. at which time the administrator will present his first report of the insolvency proceedings. The court will verify the claims set out in the administrator's report on June 7, 2005, 9:40 a.m. at the district court of Charlottenburg, Amtsgerichtsplatz 1, 14057 Berlin, II. Stock Saal 218. CONTACT: BREITENKAMP EINRICHTUNGEN AM GENDARMENMARKT GMBH Charlottenstr. 59,10117 Berlin Hartwig Albers Lutzowstr. 100, 10785 Berlin CDI DEUTSCHE: Munich Court Accepts Bankruptcy Application --------------------------------------------------------- The district court of Munich opened bankruptcy proceedings against CDI Deutsche Private Akademie fur Wirtschaft GmbH on Jan. 1. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until Feb. 28, 2005 to register their claims with court-appointed provisional administrator Dr. Kurt Bruder. Creditors and other interested parties are encouraged to attend the meeting on Feb. 22, 2005, 9:45 a.m. at Infanteriestr. 5, Sitzungssaal 101 at which time the administrator will present his first report of the insolvency proceedings. The court will verify the claims set out in the administrator's report on March 31, 2005, 9:00 a.m. at the same venue. CONTACT: CDI DEUTSCHE PRIVATE AKADEMIE FUR WIRTSCHAFT GMBH Taunusstr. 38 in 80807 Munchen Dr. Kurt Bruder, Insolvency Manager Herzog-Wilhelm-Str. 17, 80331 Munchen Phone: 089/236858-0 Fax: 089/2603440 DERSA SANITATSHAUS: Sets Creditors Meeting March ------------------------------------------------ The district court of Munich opened bankruptcy proceedings against DERSA Sanitatshaus + Orthopadietechnik GmbH on Jan. 1. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until Feb. 21, 2005 to register their claims with court-appointed provisional administrator Andree Wernicke. Creditors and other interested parties are encouraged to attend the meeting on March 22, 2005, 9:20 a.m. at Infanteriestr. 5, Sitzungssaal 102 at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors committee and or opt to appoint a new insolvency manager. CONTACT: DERSA SANITATSHAUS + ORTHOPADIETECHNIK GMBH MUnchener Str. 16 in 85221 Dachau Andree Wernicke, Insolvency Manager Ohmstr. 13, 80802 Munchen Phone: 089/3838710 Fax: 089/338308 DRUCK & MEDIA: Provisional Administrator Takes over Operations -------------------------------------------------------------- The district court of Coburg opened bankruptcy proceedings against Druck & Media GmbH on Jan. 1. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until Feb. 28, 2005 to register their claims with court-appointed provisional administrator Jurgen Wittmann. Creditors and other interested parties are encouraged to attend the meeting on Feb. 28, 2005, 10:00 a.m. at the district court of Sitzungssaal G, I. Stock, Nebengebaude at which time the administrator will present his first report of the insolvency proceedings. The court will verify the claims set out in the administrator's report on March 21, 2005, 9:45 a.m. at the same venue. CONTACT: DRUCK & MEDIA GMBH KRONACH Guterstr. 8-9 in 96317 Kronach Contact: Lorenz Wachtler, Manager Am Flugelbahnhof 48, 96317 Kronach Jurgen Wittmann, Insolvency Manager Adolf-Kolping-Strasse 1, 96317 Kronach Phone: 09261/62200 Fax: 09261/622020 FD VERWALTUNGSGESELLSCHAFT: Under Bankruptcy Administration ----------------------------------------------------------- The district court of Hannover opened bankruptcy proceedings against FD Verwaltungsgesellschaft mbH on Jan. 12. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until Feb. 21, 2005 to register their claims with court-appointed provisional administrator Manuel Sack. Creditors and other interested parties are encouraged to attend the meeting on March 22, 2005, 9:10 a.m. at Saal 226, 2. Obergeschoss, Amtsgericht Hannover, Dienstgebaude Hamburger Allee 26, 30161 Hannover at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors committee and or opt to appoint a new insolvency manager. CONTACT: FD VERWALTUNGSGESELLSCHAFT MBH Delitzscher Str. 70, 06112 Halle/Saale Contact: Jochen Binsau, Manager Delitzscher Str. 70, 06112 Halle/Saale Manuel Sack, Insolvency Manager Theaterstr. 3, 30159 Hannover Phone: 0511/36602-0 Fax: 0511/36602-55 FIRST REISEBURO: Falls into Bankruptcy -------------------------------------- The district court of Hagen opened bankruptcy proceedings against First Reiseburo Richter GmbH on Jan. 18. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until Feb. 24, 2005 to register their claims with court-appointed provisional administrator Uwe Grunert. Creditors and other interested parties are encouraged to attend the meeting on March 17, 2005, 10:15 a.m. at the district court of Hagen, - Haupthaus (Neubau) -, Heinitzstrasse 42, 58097 Hagen, Etage 2, Raum 251 at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors committee and or opt to appoint a new insolvency manager. CONTACT: FIRST REISEBURO RICHTER GMBH Bahnhofstr. 7, 58300 Wetter Contact: Michael Richter, Manager Brauhausstr. 9, 58119 Hagen Uwe Grunert, Insolvency Manager Kaiserstr. 155, 58300 Wetter Phone: 02335/17444 Fax: +4923353890 FRIEDRICH THAU: Cedes Control to Court-appointed Administrator -------------------------------------------------------------- The district court of Coburg opened bankruptcy proceedings against Friedrich Thau Elektrogrosshandlung GmbH on Dec. 29, 2004. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until Feb. 28, 2005 to register their claims with court-appointed provisional administrator Jurgen Wittmann. Creditors and other interested parties are encouraged to attend the meeting on Feb. 28, 2005, 9:30 a.m. at the district court of Sitzungssaal G, I. Stock, Nebengebaude at which time the administrator will present his first report of the insolvency proceedings. The court will verify the claims set out in the administrator's report on March 21, 2005, 9:30 a.m. at the same venue. CONTACT: FRIEDRICH THAU ELEKTROGROSSHANDLUNG GMBH Judengasse 49/51 in 96450 Coburg Contact: Hans-Joachim Michael Thau, Manager Hohe Str. 16 a, 96450 Coburg Jurgen Wittmann, Insolvency Manager Adolf-Kolping-Strasse 1, 96317 Kronach Phone: 09261/62200 Fax: 09261/622020 G+S KUNSTSTOFFTECHNIK: Creditors Meeting Next Week -------------------------------------------------- Creditors of G+S Kunststofftechnik GmbH are called for a meeting on Feb. 14, 2005, 2:00 p.m. at the district court of Aalen, Stuttgarter Str. 9, Erdgeschoss, Saal 0.09 to examine the claims filed after the expiry of the filing period and discuss the insolvency administrator's report. The insolvency plan is available for viewing at the insolvency court of Aalen, Stuttgarter Str. 7, Zimmer 2.10. CONTACT: G+S KUNSTSTOFFTECHNIK GMBH Osterlangstr. 60, 73529 Schwabisch Gmund-Lindach Contact: Jurgen W. Strobel, Manager Wolfgang Hauser, Insolvency Manager Mohringer Landstr. 5, 70563 Stuttgart Phone: 0711/90134-20 HEIDELBERGCEMENT AG: Bares EUR700 Million One-time Charge --------------------------------------------------------- As part of the pre-audit of the 2004 annual accounts, the Managing Board in close cooperation with the auditor, the auditing company Ernst & Young, Stuttgart/Germany, has decided on a thorough revaluation of balance sheet items, which will lead to one-time extraordinary charges in the region of up to EUR700 million. Most of the extraordinary charges are due to the revaluation of goodwill for the Western Europe and Northern Europe regions, as well as for Indocement. Other significant amounts result from the laying of restructuring provisions for the Belgian-Dutch cement business and valuation adjustments for deferred tax assets. The impairment test, to be carried out for the first time following the discontinuation of ordinary depreciation, leads to a correction in the amounts recognized on the balance sheet. The valuation of Indocement takes into account the risk of an investment in Indonesia. In view of the restructuring in the Benelux countries, HeidelbergCement lays the foundation for a dramatic improvement of the cost structure in this region. The impairment of deferred tax assets takes place as a result of the decreased possibility of using the losses carried forward, due to the change in the German tax laws. The extraordinary charges are mainly non-cash items. They will result in a loss for the Group for the 2004 financial year. The Managing Board and Supervisory Board will make a decision regarding the proposed dividend for the HeidelbergCement AG at a later date. On the basis of a risk-free balance sheet and strengthened unimpaired goodwill, the whole package puts HeidelbergCement in a position to consistently take advantage of attractive growth opportunities in the future. Operating activities developed within expectations in the fourth quarter. The company will announce details of the development of sales volumes and turnover on 22 February 2005. The 2004 annual accounts will be published on 23 March 2005 on the occasion of the press conference on annual accounts. Heidelberg, 3 February 2005 The Managing Board HeidelbergCement AG Berliner Strasse 6 69120 Heidelberg Deutschland HEIDELBERGCEMENT AG: Ratings Unaffected by Extraordinary Loss ------------------------------------------------------------- Standard & Poor's Ratings Services said the announcement of Germany-based cement producer HeidelbergCement AG (BB+/Stable/B) of an extraordinary loss of up to EUR700 million after tax at the fiscal year ended Dec. 31, 2004, has no impact on the ratings or outlook on the company. Most of the charges reflect impairment of goodwill related to cement assets in Northern and Western Europe, as well as Indocement. Included in the charges are restructuring provisions for the group's Belgian-Dutch cement business and a revaluation of deferred tax assets. Although the magnitude of the extraordinary charges is very material, the cash outflow is limited to about EUR50 million over several years, and is expected to be partly compensated by cost reductions. In addition, the ratings on the group do not critically rely on any specific assumption of improved performance by the assets affected, and already take into account a below-industry-average return on capital. Therefore, we do not believe the write-downs cast doubt on our expectation that credit protection measures will remain in line with the rating category, with a ratio of funds from operations to net debt of about 20%. CONTACT: STANDARD AND POOR'S RATING SERVICES Group E-mail Address CorporateFinanceEurope@standardandpoors.com IESY REPOSITORY: Moody's Rates Proposed Senior Notes (P)Caa1 ------------------------------------------------------------ Moody's Investors Service assigned a (P)B2 senior implied rating to Iesy Repository GmbH. Concurrently, Moody's assigned a (P)Caa1 rating to the company's proposed EUR215 million issuance of senior subordinated notes due 2015. This is a first-time rating for iesy, the largest cable television operator in Hessen, Germany. The outlook for all ratings is stable. These ratings have been assigned: Iesy Repository GmbH: - Senior implied rating at (P)B2; - EUR215 million senior subordinated note due 2015 at (P)Caa1; and - Senior unsecured issuer rating assigned at (P)Caa2. Transaction Overview: Iesy currently plans to issue EUR215.0 million in senior subordinated notes due 2015 as a part of a refinancing package which also includes up to EUR230 million of senior secured bank facilities, of which only EUR200 million will be drawn at the close of the transaction. The bank facilities include a Tranche B in the amount of EUR200 million and a Revolving facility in the amount of EUR30 million. The senior bank debt facilities will be raised at an operating subsidiary level -- iesy Hessen GmbH & Co. KG. The senior bank debt will benefit from the first-priority pledge of the ownership interests in iesy Hessen and any high yield proceeds loan made to the operating company while the notes will be secured by a second-priority pledge of the capital stock in New iesy GmbH (an intermediate holding company), iesy Hessen and iesy Hessen Finanz-Management GmbH (a general partner of Iesy Hessen) and of any inter-company loan made by the issuer to iesy Hessen with proceeds from the issuance of the notes. The notes will also benefit from a subordinated guarantee by iesy Hessen and New iesy GmbH. The proceeds from the overall financing package excluding any transaction costs will be used to repay the existing bank facilities in the amount of EUR93.8 million and for a shareholder distribution of around EUR350 million. However, Moody's notes that iesy is currently bidding for ish, a Level 3 cable operator located in the adjacent federal region of Northern Westphalia. In the event, the transaction is consummated, iesy will use the funds raised primarily to finance the transaction in conjunction with additional debt financing. Due to the drafting constraints, Moody's was not able to review either a draft inter-creditor agreement or a draft Proceeds Loan agreement (governing the mechanism of high yield proceeds on- lending to the operating company). In its documentation review, the rating agency relied on the inter-creditor agreement's proposed terms and conditions as outlined in the draft Offering Memorandum while for the Proceeds Loan -- on a brief description in the draft terms and conditions of the notes. The assigned ratings assume there will be no material variations to the draft legal documentation reviewed by Moody's and assume that these agreements are legally valid, binding and enforceable. Summary Rating Rationale: The ratings take into consideration (a) iesy's relatively modest scale in comparison to its rated peers Kabel Deutschland GmbH (Ba3) and Kabel BW Holdings GmbH ((P)B2); (b) iesy's pro-forma high leverage at 6.2x Total Debt/EBITDA before adjusting for operating leases; (c) competition for multi-channel television services from free- to-air satellite, and, to a lesser extent, digital terrestrial television and for high-speed Internet services from various DSL providers including the incumbent, Deutsche Telekom AG; (d) on-going competition from Level 4 operators for end- customers and housing associations to provide basic cable services; (e) a reasonably high likelihood of changes in corporate and capital structures; (f) the company's active interest to participate in consolidation in the German cable market being manifested by its current bid for another Level 3 operator; and (g) structural subordination of the notes with their debt service being dependent on interest payments on the inter- company loan (the proceeds loan) and/or dividends upstreamed from iesy's operating company, iesy Hessen, which itself will have to service a material amount of the senior bank debt. The ratings positively reflect (a) iesy's position as the largest cable operator in the federal region of Hessen with the penetration of homes passed of 63% and the region's relatively robust economic fundamentals within Germany; (b) favorable characteristics of the German cable market such as high penetration and utility-like characteristics which provide for stable recurring revenue; (c) a significant progress the company has made to streamline its cost structure and increase its EBITDA level; (d) the company's positive cash flow generation and its ability to meet its capital expenditure and mandatory debt amortization requirements from internally generated cash flow; and (e) a moderate level of capital expenditures. The company is currently weakly positioned in its rating category largely due to the uncertainties surrounding the potential acquisition of ish. The stable outlook reflects Moody's expectation that iesy will generate sufficient cash flow to service its debt obligations and should be able to gradually reduce leverage levels through cash flow generation. In the event the ish transaction is consummated, iesy's capital structure is likely to change to accommodate further debt financing of the acquisition. Given a limited visibility of such funding, the rating relies on the expectation that the consolidated leverage for the combined group will not exceed 6.75x EBITDA. Key Credit Risks: The (P)B2 rating reflects a relatively modest scale of iesy's operations versus its closest peers, Kabel Deutschland GmbH (KDG) and Kabel BW Holdings GmbH. For the twelve months ending 30 September 2004, iesy generated EUR137.2 million of revenue while Kabel BW generated approximately EUR250 million and KDG -- approximately EUR1.1 billion for the twelve months ending 30 June 2004. Pro forma for the pending transaction, iesy's debt leverage is high with pro forma Total Debt/EBITDA for the twelve months ending 30 September 2004 of approximately 6.2x while Adjusted debt/EBITDAR for the same period amounted to approximately 6.8x (adjusted for operating leases). Going forward, Moody's expects iesy to generate sufficient operating cash flow to meet its debt service and capital expenditure requirements. The German cable television industry continues to face some substitution risk from existing technologies -- in particular, free-to-air satellite which has more channel offerings (albeit, for a number of lower demand channels) and no-ongoing subscription fees (but higher installation costs). To a lesser extent, the industry also faces potential competition from new technologies such as digital terrestrial television (DTT), which is still at an early stage of development. Iesy also faces vigorous competition in the offering of its high-speed Internet services from Deutsche Telekom AG (Baa1) and various DSL providers. The company is expecting these services to become a meaningful revenue contributor over the medium term, which underscores a potential threat of the competition. Furthermore, iesy's offering of high-speed Internet services relies on the company's progress in its network modernization to ensure its bi-directionality. Iesy's ability to modernize the network to meet competitive demands for broadband services in light of competitive considerations contributes to the execution risk associated with its growth strategy. As is typical for Level 3 operators in the German market, iesy also competes with Level 4 providers for the direct relationship with end-customers and housing associations. Moody's notes that in 2004 iesy experienced disconnects from two of the Level 4 operators which raised a churn rate to 7.1% while the normalized churn rate without the disconnects was at 4.4%. Moody's notes that these Level 4 operators did not secure any new contracts with end customers in 2004. The German cable market is still in a process of consolidation after the regulatory body failed to approve KDG's acquisition of three Level 3 operators (KBW, ish and iesy). Moody's notes iesy's active interest to participate in the market consolidation through potential mergers and acquisitions. The company is currently bidding for another Level 3 operator -- ish - materially larger in scale. As a result of this event risk, Moody's notes a risk associated with potential changes in the capital structure and a likely increase in the level of indebtedness. The current rating relies on the expectation that the consolidated leverage of the combined entity will not exceed approximately 6.8x EBITDA and will be well within the 7.0x debt incurrence test as per the proposed terms and conditions of the notes for iesy standalone. The rating agency notes that the debt incurrence test does not include shareholder loans. In the event the ish acquisition does not materialize, iesy will establish a new wholly owned partnership within the restricted group into which it will contribute a significant ownership interests in New iesy. This is to implement an asset step-up to increase the group's distributable assets to ensure the proposed shareholder distribution. Moody's believes that this change in the corporate structure should not affect the dividend upstreaming and/or the interest payments on the proceeds loan. The servicing of the bond will be dependent on the interest to be received from the Proceeds Loan made to iesy hessen by iesy by a way of downstreaming the high yield proceeds. The loan could be fully or partially repaid to fund the shareholder distribution. In this event, the debt service of the notes will be either fully or partially dependent on the dividends to be upstreamed from the operating company, iesy Hessen, and its intermediate holding company, New iesy subject to the distributing entities having positive net equity. At the close of the transaction, the operating and the intermediate holding companies will have sufficient equity to make dividend payments to the holding company to service the notes debt; e.g. as of 30 September 2004, iesy Hessen had net equity of EUR102.7 million and New Iesy -- EUR114.2 million. Key Credit Positives: iesy is the largest cable television operator in the federal region of Hessen with a 41% market share including all households and with a 63% penetration of homes passed. The ratings take into consideration the region's relative economic affluence within Germany. The ratings also factor in the overall favorable characteristics of the German cable market such as high-cable penetration; e.g. in Hessen the cable penetration stands at 65.5%, and stable utility-like revenue. Moody's notes that the German cable industry's ARPU is comparatively low, c. EUR8/month, and the subscriptions fees are regarded as ongoing cost of living, often included with rent. Since its financial restructuring in 2003, iesy was able to make a significant progress in streamlining its cost structure and increasing its EBITDA from EUR36.5 million to EUR44.2 million for the fist nine months of 2003 and 2004 respectively. The company also improved its EBITDA margin from 36.0% to 43.9%. For the twelve months ending 30 September 2004, EBITDA margin was at 46.4%. For the nine months ending 30 September 2004, iesy generated EUR34.5 million of cash flow from operations while the cash flow from investing activities used EUR3 million. Moody's expects that iesy will continue to generate sufficient amount of cash flow from operations to meet its debt service requirements and its capital expenditures. To implement its high-speed Internet offering, iesy will continue to modernize its network for which it plans to spend approximately EUR14 million annually over the next couple years. The ratings recognize the moderate level and scalable nature of these capital expenditures. Structural Issues: The (P)Caa1 rating of the notes reflects their structural, effective, and contractual subordination to a substantial amount of subsidiary indebtedness, including existing and potential future drawings under the company's senior bank facilities (EUR200 million at the transaction close). The rating does not allow for any further layering of debt instruments. At present, iesy's consolidated capital structure does not contain any inter-company debt but has a modest shareholder loan in the amount of EUR75,000, which is deeply subordinated to the notes. Any future incurrence of the shareholder loans will be outside of the proposed debt incurrence test of 7.0x. Moody's notes that under the outlined in the draft offering memorandum terms and conditions of the inter-creditor agreement, any inter- company (excluding the proceeds loan) and shareholder loans will be subordinated to the notes. Furthermore, to ensure a status of deep subordination of any shareholder loans, Moody's relies on the proposed conditions of the shareholder lending as described in the draft terms and conditions of the notes such as that it does not mature or require any amortization, redemption or other repayment of principal prior to the first anniversary of the notes (including sinking fund payments); it provides for non-cash interest accrual and contains no change of control and does not accelerate and has no right to declare a default or event of default. It does not allow for any security encumbrances and does not contain any financial or any other covenants and it is fully subordinated and junior in right of payment to the notes. Any future changes in the status or rights of the shareholder loans vis-a-vis other creditors relative to these assumptions could have a negative impact on the ratings. The (P)Caa2 senior unsecured issuer rating reflects the subordinated status of any potential unsecured creditors at iesy's level absent any other credit enhancements. Company Summary: Based in Germany, iesy is the largest cable television provider in the federal region of Hessen. For the twelve months ending 30 September 2004, the company reported pro forma revenues of approximately EUR137.2 million. CONTACT: IESY HESSEN GMBH & CO. KG Kleyerstrasse 88 60326 Frankfurt/Main Phone: +49 69 973240 Fax: +49 69 97324159 E-mail: thorsten.keissner@iesy.de Web site: http://www.iesy.de MATHIAS WUNDERLICH: Gera Court Appoints Administrator ----------------------------------------------------- The district court of Gera opened bankruptcy proceedings against Mathias Wunderlich und Joachim Wunderlich GbR Dachdeckerei on Jan. 13. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until March 1, 2005 to register their claims with court-appointed provisional administrator Rolf Rombach. Creditors and other interested parties are encouraged to attend the meeting on March 22, 2005, 9:30 a.m. at the district court of Gera, Rudolf-Diener-Str. 1, Zimmer 317 at which time the administrator will present his first report of the insolvency proceedings. The court will also verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors committee and or opt to appoint a new insolvency manager. CONTACT: MATHIAS WUNDERLICH UND JOACHIM WUNDERLICH GBR DACHDECKEREI Gruntalstrasse 2, 04626 Schmolln Rolf Rombach, Insolvency Manager Magdeburger Allee 159, 99086 Erfurt P&W POLSTER: Calls in Administrator from Wolff, Rapp & Kollegen --------------------------------------------------------------- The district court of Dresden opened bankruptcy proceedings against P&W Polster & Wohnen Pastuschka GmbH on Jan. 11. Consequently, all pending proceedings against the company have been automatically stayed. Creditors have until Feb. 22, 2005 to register their claims with court-appointed provisional administrator Jan Gartner of Wolff, Rapp & Kollegen Dresden. Creditors and other interested parties are encouraged to attend the meeting on April 4, 2005, 9:30 a.m. at Saal D131, Amtsgericht Dresden, Olbrichtplatz 1, 01099 Dresden at which time the administrator will present his first report of the insolvency proceedings. The court will verify the claims set out in the administrator's report during this meeting, while creditors may constitute a creditors committee and or opt to appoint a new insolvency manager. CONTACT: P & W POLSTER & WOHNEN PASTUSCHKA GMBH Industriegelande, Strasse 11 in 02977 Hoyerswerda Contact: Henry Pastuschka, Manager Jan Gartner, Insolvency Manager Weisseritzstrasse 3, 01067 Dresden Web site: http://www.WORAKO.de SCHEFENACKER AG: Moody's Sees Gloomy Outlook -------------------------------------------- Moody's Investors Service has downgraded all the ratings of Schefenacker AG following the severe and sustained intensification of the competitive environment in the North American and European automotive markets and the company's weak operating performance and cash flow generation compared with original expectations. Ratings affected by the action are: (a) The Ba3 rating on the EUR150 million senior secured facilities at Schefenacker AG is downgraded to B2; (b) The B2 rating on the EUR200 million 9 ½ % Senior Subordinated Notes due 2014 issued by Schefenacker AG is downgraded to Caa1; (c) The Ba3 senior implied rating on Schefenacker AG is downgraded to B2; and (d) The B2 unsecured issuer rating on Schefenacker AG is downgraded to Caa2. The ratings downgrade reflects: Schefenacker's weak operating performance during the first nine months of 2004 and Moody's concern vis-a-vis the company's financial flexibility given its low level of headroom under the financial covenants of its senior credit facility, as at the last reported financial figures. Going forward, the rating agency is concerned about the ongoing difficult market conditions for Tier 1 suppliers, such as Schefenacker, where lower volumes from OEMs and higher raw material costs are resulting in material profit deterioration for component manufacturers. This has resulted in free cash flow significantly below expectations. The ratings also reflect the likelihood that the company's operating margins and key credit metrics will remain under pressure throughout 2005 and that continuing adverse industry trends are likely to inhibit any marked improvement in operating margins in the near term. Furthermore, credit statistics materially deteriorated during 2004. As at 30 September 2004, Net Debt/EBITDA was 3.8x this does not compare favorably with a Net Debt/EBITDA ratio of only 2.8x at the initial rating assignment in January 2004. Alternate liquidity also remains a concern. As at 30 September 2004 liquidity was provided by the company's cash balance of Euro 31 million as well as limited availability under its senior credit facility revolver. Given the sharp seasonal swings in working capital investment requirements, this availability may fall short of requirements. It should also be noted that continuing availability under the senior credit facilities will be impacted by the extent to which the company remains compliant with its financial covenants. Tight covenant headroom may also limit amounts that may be drawn. Mitigating factors include: (a) a strong niche market position in the lights systems segments and leading market shares in the rear vision segment; (b) solid contracted order books covering the majority of projected sales for 2005, 2006 and 2007; (c) strong customer relationships, offset by a high degree of concentration particularly regarding exposure to DaimlerChrysler, Ford, GM and Hyundai/Kia; (d) an established reputation as a strong product innovator and a recognized technological leader; (e) diversified geographic sales; (f) good progress to date in reducing inventory levels; (g) continued management focus on purchasing costs improvements and product cost optimization. Costs of goods sold as a percentage of sales have remained flat despite rising raw materials prices. This reflects management's moderate success in achieving purchasing synergies during 2004, which has largely offset higher raw materials costs to date. The negative outlook reflects the agency's concern with regard to the funding of working capital needs and the fact that failure in the future to deliver sustainable margin improvements, improved internal cash flow generation and further annual cost savings combined with rises in absolute debt and increased deterioration in financial covenant compliance capability, would likely put further downward pressure on the group's ratings. Conversely, a substantial and sustainable decrease in absolute debt, sustainable improved operating margins and cash flow generation, a reduction in adjusted debt leverage to around 3.0x and increased visibility in the funding arrangements would put upward pressure on the current ratings. Based in Esslingen am Neckar, Germany, Schefenacker is a leading private Tier 1 automotive supplier of rear vision systems, lighting systems and sound systems. For the twelve months ended 30 September 2004, Schefenacker generated revenues of EUR959.5 million. CONTACT: SCHEFENACKER AG Eckenerstrasse 2 D- 73730 Esslingen Phone: +49 (0) 711 31 54 0 Fax: +49 (0) 711 31 54 102 E-mail: info@schefenacker.com Web site: http://www.schefenacker.com ========= I T A L Y ========= ALITALIA SPA: Berlusconi Offering Air France 20% Stake ------------------------------------------------------ Air France may acquire a stake in troubled national carrier Alitalia at the end of the year, Reuters says. Italian Prime Minister Silvio Berlusconi and his French counterpart Jean-Pierre Raffarin talked about the deal during a meeting last week, according to a government source. "Berlusconi and Raffarin have studied the possibility that Air France enter Alitalia with the purchase of a 20 percent stake by the end of 2005," the source said. "It is a serious possibility; no other options are being studied." The acquisition could either take the form of a capital increase or a convertible bond purchase from the treasury, daily Finanza & Mercati said in a separate report Friday. If a deal materializes, it would help Alitalia avert a possible bankruptcy. Meanwhile, the government has passed a decree allowing Alitalia's privatization that will reduce the state's stake in the troubled carrier from 62% to less than 50%. Currently under an in-depth probe by the European Commission, the carrier expects 2004 net loss to reach EUR850 million and total debt to balloon to EUR1.76 billion. CONTACT: ALITALIA S.p.A. Viale A. Marchetti 111 00148 Rome, Italy Phone: +39 06 6562 2151 Fax: +39 06 6562 4733 Web site: http://www.alitalia.it ALITALIA SPA: Parliament Okays Privatization -------------------------------------------- Italy's parliament officially sanctioned Alitalia's privatization Thursday by passing a decree allowing the reduction of the government's stake in the airline. According to Il Sole 24 Ore, the decree would trim down the government's stake from 62.4% to less than 50%. The government had promised to reduce its stake in Alitalia in exchange for the approval by the European Commission of a EUR400 million government-guaranteed bridging loan to Alitalia. The regulator gave Italy until October 8 to complete the privatization. CONTACT: ALITALIA S.p.A. Viale A. Marchetti 111 00148 Rome, Italy Phone: +39 06 6562 2151 Fax: +39 06 6562 4733 Web site: http://www.alitalia.it PARMALAT FINANAZIARIA: Prosecutors Grill Founder Anew ----------------------------------------------------- Parma prosecutors grilled Saturday Calisto Tanzi, founder and former CEO of collapsed food group Parmalat Finanziaria, The Associated Press says. Prior to Saturday's six-hour interrogation, Parma prosecutors, led by Vito Zincano, had questioned Mr. Tanzi twice -- first in December 2004 and lately on January 15, 2005. According to the report, Mr. Tanzi voluntarily provided vital information on Parmalat's dealings before its collapse in December 2003. His testimony could prove vital in the current case against 89 former Parmalat managers, bankers and auditors, all indicted for false accounting, criminal association, and fraudulent bankruptcy. Mr. Tanzi's statement could further shed light on the roles played by Parmalat's bankers and financial advisers in its collapse. Mr. Zincani refused to reveal the details of the interrogation, saying all information gathered Saturday were placed under the protection of a local law that makes their release a crime. Giampiero Biancolella, one of Mr. Tanzi's lawyers, briefly commented that the prosecutors should try to include as many defendants as possible in the trial. Mr. Biancolella said, "The trial should be as clear and as wide as possible, and it must not be a steeplechase. I don't think the prosecutor's office could be criticized if it took a year and four months to carry out the investigation instead of a year." CONTACT: PARMALAT FINANZIARIA S.p.A. Legal Seat 43044 Collecchio (Pr) Via Oreste Grassi, 26 Administrative Seat 20122 Milan Piazza Erculea, 9 Phone: +39 02 806 8801 Fax: +39 02 869 3863 Web site: http://www.parmalat.net PARMALAT U.S.A.: Intends to Put up Insurance Programs ----------------------------------------------------- Parmalat U.S.A Corporation and its U.S. debtor-affiliates ask Judge Drain of the U.S. Bankruptcy Court for the Southern District of New York for authority to (1) enter into certain workers' compensation policies, automobile insurance policies, general liability insurance policies, umbrella excess liability policies, excess liability coverage, property insurance policies and certain additional documentation and related agreements with certain entities affiliated with American International Group, Inc., and other insurance carriers, and (2) pay when due in the ordinary course, as an administrative expense of the Debtors' estates, all postpetition charges, administrative fees and other obligations to the Insurance Carriers. The Debtors also want to effectuate the exchange of the Collateral currently securing the Debtors' obligations to AIG under their Insurance Program in return for a letter of credit. In addition, the U.S. Debtors seek approval of all prior payments made under the AIG Insurance Program with respect to the workers' compensation and automobile liability insurance policies, which were entered into on June 14, 2004. The Insurance Programs On February 26, 2004, the Court approved the continuation of the U.S. Debtors' various prepetition insurance programs maintained through several different insurance carriers in effect as of the bankruptcy petition date. Subsequently, certain insurance policies expired by their own terms on June 1, 2004. Specifically, the Debtors' workers' compensation and automobile liability policies, both of which were provided by Zurich Insurance Company, terminated in accordance with their related contracts. The U.S. Debtors negotiated with various insurance carriers to replace the insurance policies provided by Zurich prior to the termination of those insurance policies. However, many insurance companies were unwilling to provide the necessary insurance coverage due to the Debtors' Chapter 11 cases. After Zurich granted extensions so as to allow the Debtors to canvass the market further for prospective insurance carriers, and after they reviewed proposals from several insurance carriers for the type of insurance covered by the Insurance Program, the Debtors determined that AIG provided the best proposal. A. Workers' Compensation and Automobile Liability Marcia L. Goldstein, Esq., at Weil, Gotshal & Manges, LLP, in New York, relates that under the laws of the various states in which they operate, the U.S. Debtors are required to maintain workers' compensation policies and programs to provide their employees with workers' compensation coverage for claims arising from or related to their employment. Furthermore, the Debtors' maintenance of workers' compensation policies, as well as certain types of insurance, is required under the Operating Guidelines issued by the Office of the United States Trustee for the Southern District of New York for all cases under Chapter 11. The Debtors also maintain automobile insurance on vehicles owned or leased by the Debtors on behalf of certain employees whose responsibilities require a company vehicle. Effective June 14, 2004, the Debtors and AIG executed a contract for combined coverage of workers' compensation and automobile liability insurance. The combined workers' compensation and automobile liability program required the Debtors to pay to AIG in advance the "ultimate expected loss" under the combined program for all losses within the program's $250,000 deductible for each worker's compensation claim and $500,000 deductible for each automobile liability claim, as well as an additional 15% surcharge in light of the Debtors' financial condition. The "ultimate expected loss" and 15% surcharge totaled $4,432,438. The Debtors were required to pay that amount to AIG, which AIG holds as non-depleting cash collateral for the Debtors' retained losses. The Debtors are also responsible for the payment of various fees and premiums charged in connection with the combined workers' compensation and automobile liability coverage, which total $2,925,309. Furthermore, the U.S. Debtors' obligation to pay any deductible amounts under the workers' compensation or automobile liability policies, among other obligations under the Insurance Program, is secured by the Collateral. B. Increased Automobile Coverage Parmalat U.S.A. and Farmland have increased their automobile insurance coverage from its $1 million limit to a $2 million limit as required by the marketplace. The premium owed to AIG for the Increased Automobile Coverage is $109,463. The amount has been determined on a pro-rata basis for a six-month term to coincide with the automobile liability policy term -- June 14, 2004, to June 14, 2005. C. General Liability Policies The U.S. Debtors maintain general liability insurance, which covers a wide range of potential claims not covered by the workers' compensation or automobile insurance policies. Because Parmalat U.S.A.'s and Farmland's general liability insurance expired as of January 1, 2005, they negotiated new general liability coverage with AIG after soliciting interested insurance carriers. In accordance with the terms of a General Liability Policy, Parmalat U.S.A. and Farmland have $25,000 of self-insured retention for each claim, with limits of $1 million per occurrence and $2 million in the general aggregate, and a $2 million "Products-Completed Operations" aggregate, which provides coverage for anything that causes bodily injury from use and consumption of the Debtors' products. The annual premium that Parmalat U.S.A. and Farmland are required to pay for the general liability policy is $194,250. D. Umbrella Liability Policies The U.S. Debtors maintain an umbrella liability policy, which insures losses in excess of amounts covered by other liability insurance policies. Moreover, the umbrella liability coverage protects the Debtors in many situations not covered by usual liability policies. Parmalat U.S.A. and Farmland have negotiated new umbrella liability coverage with AIG. The Umbrella Liability Policy is for limits of $25 million, and requires Parmalat U.S.A. and Farmland to pay a $585,000 annual premium. E. Excess Liability Policies In addition to coverage under the Umbrella Liability Policy, Parmalat U.S.A. and Farmland have negotiated excess liability coverage with XL American Insurance Co. The Excess Policy enhances Parmalat U.S.A.'s and Farmland's insurance coverage by providing coverage in excess of the limits under the Umbrella Liability Policy. The Excess Policy provides an additional coverage limit of $25 million annually and requires a $225,000 annual premium. F. Property Insurance Policies Parmalat U.S.A. and Farmland have also secured property insurance coverage through the Allianz Group. The Property Policy covers all real property, plant, and equipment. The Property Policy has a one-year term commencing January 1, 2005, which includes a total annual premium of $322,941 to be paid upon inception. The Property Policy includes a $100,000 deductible for each claim, with a coverage limit of $160 million per occurrence and in the annual aggregate. Conditions to Coverage Under the Insurance Programs While the Insurance Carriers agreed to bind the Insurance Programs effective January 1, 2005, AIG has conditioned its provision of coverage on the U.S. Debtors' seeking a Court order providing that: (a) the Insurance Program is effective as of June 14, 2004, with respect to workers' compensation and automobile liability insurance, and January 1, 2005, with respect to increased automobile liability coverage, general liability coverage, umbrella liability coverage, excess liability coverage, and property insurance coverage, and the Debtors are authorized to execute all agreements under the Insurance Program and any amendments or schedules; (b) the U.S. Debtors are authorized to execute further renewals of the Insurance Program without further Court order; (c) the Debtors are authorized to pay their obligations under the Insurance Program, including premiums and deductibles, in the ordinary course of business, without further Court order; (d) all prior payments under the Insurance Program are approved; (e) the Insurance Carriers may adjust, settle and pay insured claims, utilize funds provided for that purpose, and otherwise carry out the terms and conditions of the Insurance Program, without further Court order; and (f) in the event of a default due to any failure by the Debtors to AIG under the Insurance Program, AIG may exercise all contractual rights in accordance with the terms of the Insurance Program without further Court order, including, without limitation, its rights to: -- cancel the Insurance Program; -- foreclose on the Collateral; and -- receive and apply the unearned or returned premiums to the Debtors' outstanding obligations under the Insurance Program. Farmland is in discussions with General Electric Capital Corporation regarding effectuating the Collateral Swap, wherein Farmland will post a letter of credit for $4,432,438 in exchange for the Collateral. Subject to the terms of the AIG Insurance Program and the Letters of Credit Facility, the Letter of Credit would be posted on terms amenable to AIG and General Electric, and by a bank approved by AIG. AIG wants the Collateral Swap sanctioned by the Court. Insurance Programs Are Essential Ms. Goldstein states that failure to maintain the Insurance Programs would expose the U.S. Debtors to significant liability for damages resulting to persons, property and others. Moreover, the maintenance of the workers' compensation policies is mandated by state laws in the various states in which the Debtors operate. Criminal and civil penalties may be levied against the Debtors for noncompliance with the statutory workers' compensation laws. Furthermore, pursuant to the guidelines established by the United States Trustee, the Debtors are obligated to maintain those primary insurance policies. Authorization of the Collateral Swap is equally important. It provides Farmland with the opportunity to replace the Collateral with the Letter of Credit and obtain the immediate use of the $4,432,438 in Cash Collateral for its day-to-day business needs. Should Farmland find itself in a position to post the Letter of Credit, the Collateral Swap will benefit Farmland, its estate, and all parties-in-interest. Headquartered in Wallington, New Jersey, Parmalat U.S.A. Corporation -- http://www.parmalatusa.com/-- generates more than EUR7 billion in annual revenue. The Parmalat Group's 40- some brand product line includes milk, yogurt, cheese, butter, cakes and cookies, breads, pizza, snack foods and vegetable sauces, soups and juices. The company employs over 36,000 workers in 139 plants located in 31 countries on six continents. It filed for chapter 11 protection on February 24, 2004 (Bankr. S.D.N.Y. Case No. 04-11139). Gary Holtzer, Esq., and Marcia L. Goldstein, Esq., at Weil Gotshal & Manges LLP represent the Debtors in their restructuring efforts. On June 30, 2003, the Debtors listed EUR2,001,818,912 in assets and EUR1,061,786,417 in debt. (Parmalat Bankruptcy News, Issue No. 42; Bankruptcy Creditors' Service, Inc., 215/945-7000) CONTACT: PARMALAT U.S.A. CORPORATION 520 Main Ave. Wallington, NJ 07057 Phone: 973 777 2500 Fax: 973 777 7648 Toll Free: 888 727 6252 Web site: http://www.parmalatusa.com ===================== N E T H E R L A N D S ===================== KONINKLIJKE AHOLD: Terminates Credit Facility to Reduce Cost ------------------------------------------------------------ Koninklijke Ahold on Friday announced its intention to terminate its EUR300 million and US$1.45 billion secured back-up credit facility in the course of this month. This three-year facility was signed with a syndicate of banks on December 17, 2003. With the high cash balances resulting from the success of its asset divestment program, Ahold's liquidity position is strong and the company is able to reduce financing cost by terminating the facility. Ahold will be cash collateralizing up to US$700 million worth of letters of credit that are currently issued under this facility. The company is in discussion with financial institutions to establish a new credit facility later this year at more favorable conditions. "[Fri]day's announcement shows that we are delivering on our commitment to restore the company's financial health, which is a key element of our 'Road to Recovery' strategy," said Hannu Ryopponen, Ahold's Chief Financial Officer. "We are ahead of schedule in executing our divestment program and are nearing completion of this process. We feel we are now well positioned to move into a new financing phase on better terms." CONTACT: ROYAL AHOLD Corporate Communications Phone: +31.75.659.5720 KONINKLIJKE AHOLD: Unsecured Debt Ratings Raised ------------------------------------------------ Moody's Investors Service upgraded the senior unsecured bond rating of Ahold (and its guaranteed subsidiaries) and the issuer rating to Ba2 from Ba3. The subordinated debt rating has also been raised to Ba3 from B1. The senior implied rating remains at Ba2. The rating outlook remains positive. The ratings affected by this announcement are: (a) Ahold Finance U.S.A. Inc: Guaranteed Senior Unsecured Notes issued under the Euro Medium-Term Note program; (b) Ahold U.S.A. Holdings Inc: Guaranteed Eurobonds; (c) Albert Heijn: Guaranteed Eurobonds; and (d) Koninklijke Ahold N.V.: Euro Medium-Term Notes, Subordinated Eurobonds. [The] upgrade follows Ahold's announcement that it will cancel its senior secured revolving credit facility and rely upon its significant cash balances to meet its liquidity needs pending the negotiation of a replacement credit facility. Moody's understands that the company is currently in discussions with financial institutions to establish the new credit facility. The upgrade factors in the agency's view that the cancellation of the credit facility will remove the priority claims of bank lenders on certain group assets and as a consequence improve the implied recovery rates for unsecured creditors. Following the cancellation of the credit facility Moody's considers Ahold's liquidity profile will be adequate. With Q3 2004 freely available cash balances of EUR2.4 billion bolstered by the proceeds from the disposals of its Spanish operations and of Bi Lo/Brunos Moody's considers Ahold's liquidity profile to be sufficiently robust to: (a) repay debt maturities falling due within the next 12 months; (b) cash collateralize up to USD700 mm of outstanding L/C exposure; and (c) meet other moderate sized potential contingencies over the next 12 months. At the operating level Moody's notes that the 9-month results of Ahold for 2004 were a little weaker than expectations with the operating performance of its U.S. Food retail business being the key driver. Moody's recognizes that in 2004 the U.S. food retail segment faced some significant challenges including integrating Stop and Shop with Giant Landover and Giant Carlise with Tops in addition to a tougher competitive environment. With the integration of these businesses now essentially complete and the sale of Bi-Lo/Bruno's now concluded Moody's considers this business segment better positioned to meet the challenges of the highly competitive U.S. food retail segment. The Ba2 rating continues to factor in our expectation that within the next 12 months RCF (post working capital)/Net pension adjusted debt will reach the mid ten percent (15-17%), total coverage will have migrated towards 2 times and that there will be a significant improvement in net leverage. Moody's positive outlook continues to reflect these elements: (a) the progress the company is making in executing disposals with the agency estimating that proceeds now exceed EUR2 billion. Moody's expects the company will meet its targeted EUR2.5 billion of proceeds; (b) the progress that the company has made in resolving the investigations in which it has been involved will continue. Moody's notes that the investigation with the S.E.C. was concluded without a fine. However, the investigation initiated by the U.S. Department of Justice in connection with supplier allowances in the U.S. is continuing and the company is still subject to a class action law suit; and (c) our expectation of the progressive improvement in the operating performance of the group and its U.S. Foodservice division over intermediate term. The ratings affected by the announcement are: (a) Ahold Finance U.S.A. Inc: Guaranteed Senior Unsecured Notes issued under the Euro Medium-Term Note program, comprising EUR1,500 million due June 2005, USD500 million due May 2009, EUR600 million due March 2012, GBP500 million due March 2017, USD500 million due May 2029; (b) Ahold U.S.A. Holdings Inc: Guaranteed Eurobonds NLG500 million due November 2006; (c) Albert Heijn: Guaranteed Eurobonds; NLG300 million due December 2007; Koninklijke Ahold N.V. Euro Medium-Term Notes: CZK3 billion due September 2005, EUR66 million due October 2007, EUR200 million due November 2007, EUR1,500 million due May 2008, EUR95 million due December 2008. Subordinated Eurobonds: NLG200 million due December 2005. Based in Zaandam, the Netherlands, Koninklijke Ahold N.V. is a leading international food provider, with operations in Europe and the United States. In 2003, the company reported revenues in excess of EUR56 billion. CONTACT: ROYAL AHOLD Albert Heijnweg 1 1507 EH Zaandam, The Netherlands Phone: +31 (0)75 659 9111 Web site: http://www.ahold.com Investor Relations: E-mail: investor.relations@ahold.com Phone: +31 (0)75 659 58 28 LAURUS N.V.: Supervisory Board Chairman to Step down May 12 ----------------------------------------------------------- Laurus N.V. announces that Mr. K. J. Storm will stand down as member and chairman of the Supervisory Board at the General Meeting of Shareholders on May 12, 2005, having served the maximum term set by the Corporate Governance Code. Mr. Storm has been a member of the Supervisory Board of Laurus and its predecessors for twelve years and its chairman for the past four years. The Supervisory Board proposes to appoint Mr. J.A.N. van Dijk, who has been a member since May 2003, to succeed him as chairman. The Supervisory Board has decided to reduce the number of members from seven to five. On the basis of the current situation, in which Casino holds 45% of the Laurus shares, two members of the Supervisory Board will be nominated by Casino and three, including the chairman, will be independent, taking into account the works council's enhanced right of recommendation. Laurus and the Road to Recovery With distinctive retail formats, each with its individual identity and commercial policy and each independently addressing its specific market segment, Laurus aims in the coming years to strengthen significantly its position as the second-largest player in the Dutch food retailing sector. The company is resolutely pursuing its step-by-step recovery plan, which runs until the end of 2007, while closely monitoring its operating costs and back-office processes on a continuous basis. The priority for Laurus in 2005, in addition to further efficiency improvements, will be to upgrade its retail formats. CONTACT: LAURUS N.V. Parallelweg 64 5223 AL Hertogenbosch Web site: http://www.laurus.nl ROYAL SHELL: Relaunches Buyback Program --------------------------------------- The "Shell" Transport and Trading Company, p.l.c. (ST&T) and Royal Dutch Petroleum Company (N.V. Koninklijke Nederlandsche Petroleum Maatschappij) (RD) are pleased to announce that, effective immediately, they will relaunch the share buyback program. Share buybacks have been suspended since 28 October 2004. Background On 3 February 2005, it was announced in the Royal Dutch/Shell Group of Companies' 4th Quarter and Full Year 2004 Results that, given strong cash and debt position from 2004, the buyback program would be re-launched on 3 February 2005, with return of surplus cash to shareholders for the year 2005 in the range of $3 billion to $5 billion, assuming continued high oil prices. Any purchases will be made in accordance with applicable regulations and consistent with an exemption received from the U.S. Securities and Exchange Commission as described below. The 2004 US$2.0 billion share buyback program announced on 29 April 2004 was suspended on 28 October 2004. By the time of the suspension RD, ST&T and other Royal Dutch/Shell Group companies had completed approximately US$1.7 billion of buybacks under the 2004 program. The suspension was announced due to U.S. securities laws, applicable as a result of the announcement of the proposed unification of the Royal Dutch/Shell Group of Companies under Royal Dutch Shell plc. RD and its affiliates have been granted exemptive relief by the S.E.C. to make purchases of RD shares outside the offer that Royal Dutch Shell plc intends to make for all the outstanding RD shares in connection with the Transaction. Any such purchases of RD shares will be made outside the United States. Further, any such purchases will comply with applicable Dutch law and the rules of Euronext Amsterdam and will be subject to price limitations based on the market price of RD shares on Euronext Amsterdam. Effect of buybacks The funds used to purchase the shares as part of the buyback program will be distributable cash reserves held by ST&T and RD respectively. The buybacks will not affect RD and ST&T's "60:40" ownership of the Group. As a result of any changes in the issued ordinary share capital of ST&T and RD, which may result from the buybacks, the number of Royal Dutch Shell plc shares offered to ST&T shareholders, in exchange for their existing holdings, to implement the Transaction, may differ from the expected exchange ratio indicated on 28 October 2004. Notwithstanding any change in the expected exchange ratio, RD shareholders will be offered 60% of the ordinary shares of Royal Dutch Shell plc and ST&T shareholders will be offered 40 per cent. The definitive exchange ratio will be set out in the documents to be issued to RD and ST&T shareholders containing further details of the Transaction. * * * NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART INTO CANADA OR JAPAN CONTACT: ROYAL SHELL Investor Relations: U.K. David Lawrence Phone: +44 20 7934 3855 Gerard Paulides Phone: +44 20 7394 6287 Europe Bart van der Steenstraten Phone: +31 70 377 3996 U.S.A. Harold Hatchett Phone: +1 212 218 3112 ROYAL SHELL: Senior Unsecured Rating Affirmed at 'AA+' ------------------------------------------------------ Fitch Ratings affirmed Royal Dutch/Shell Group's (RDS) Senior Unsecured 'AA+' and Short-term 'F1+' ratings. The rating Outlook remains Stable. The affirmation of the group's rating considers the near term production profile, increased replacement costs and low levels of reserve replacement against the expectation of continuing prudent financial management, higher pricing and further financial flexibility availed through asset divestment. "Fitch anticipates significantly improved reserve replacement levels next year and further improvement thereafter. Fitch also considers the short to medium term objective of 100% reserve replacement and low cost production both achievable and affordable under both anticipated and low case near term pricing scenarios," said Isaac Xenitides, Senior Director in Fitch's European Corporates Group. "However, the desire to control unit costs of finding and development, within an environment of industry wide cost inflation, could affect the rate of replacement over this period." Following completion of an internal audit of its reserve bookings for compliance with S.E.C. rules, the group has reduced its FYE 03 reserves by a further 9.7% or 1.4 billion barrels. The review process has made use of external consultancy and represents the culmination of improvements effected in the internal controls of the organization for reserve bookings. RDS anticipates that production is expected to fall by approximately 5% over the short term. Despite this drop, production levels will nevertheless be expected to remain high compared to its international peer group and unit profitability in line with historic levels. Basic reserve replacement during FY04, inclusive of divestments and pricing adjustments, is forecast in the range 15-25% and as such finding and development costs will be high for FY04. This represents a relative underperformance although significantly lower average reserve replacement is expected across its peer group for FY04 SEC filings. This is in part due to year-end pricing effects, which have reduced reserve replacement by 14%. As part of a strategy to improve replacement performance, the group is increasing upstream headcount and is raising investment levels by approximately 10%. It has forecast average reserve replacement of 100% through to 2008. The current financial profile of the group remains conservative with gross and net debt reductions to historically low levels. RDS's calculated gearing ratio at FYE04 stands at 16%, well below the group's relatively conservative targeted gearing level of 20-25%. Adequate financial flexibility required to maintain this gearing level is expected as a result of a continuing robust pricing environment and planned divestments, which may raise up to US$8 billion during FY 05 and 06. Excess cash will be distributed through higher dividends and a reinstated share buyback program although this is expected to take into account short and medium term funding requirements. Preliminary results for FY04 show operating cash flow of US$25.6 billion, a rise of 20% on FY03, and flat capital expenditure of US$12.7 billion. FYE04 net debt of US$5.9 billion was down 67% on FYE03 after dividends of US$8.7 billion. The group's upstream production for FY04 was 3.77 mmboe/d, 3% less than FY03. CONTACT: FITCH RATINGS Isaac Xenitides, London Phone: +44 (0) 207 417 4300 Josef Pospisil Phone: +44 (0) 207 417 4266 Media Relations: Alex Clelland, London Phone: +44 20 7862 4084 ============= R O M A N I A ============= S.C. HIDROELECTRICA: Takes EUR66 Mln Loan to Upgrade Power Plant ---------------------------------------------------------------- On 27 January 2005, the IBRD Board of Directors has approved the loan agreement in the amount of EUR66 million, a loan contracted by Hidroelectrica for the Refurbishment of the equipment in the Lotru-Ciunget hydro power plant located in Valcea county and for technical assistance for its institutional development and project implementation. The refurbishment of Lotru hydropower plant will ensure reliable services to the national power grid for another 20 years, representing around 85% from the ancillary services as supplied by Hidroelectrica and over 60% of the national power grid ancillary services, maintaining the power supply at the level of the plant installed power of 510 MW. Hidroelectrica S.A. will consequently benefit of a very advantageous loan, payable in 17 years with a grace period of 5 years. Negotiations and any loan approval formalities were discussed within an exceptional period of time, the first discussions being initiated in February 2004. The bidding process for selection of the general contractor will take place during April 2005 the latest. According to the statement of the project manager from IBRD, mister Kari Nymans: "In view of Romania's progress with its energy sector reforms and its active participation and important role in the Energy Community's development, it is appropriate for Romania to be the first beneficiary of the ECSEE APL facility." * * * In October 2004, Standard & Poor's Ratings Services assigned its 'BB-' long-term corporate credit rating to Romania-based electricity generation company S.C. Hidroelectrica S.A. The outlook is stable. The rating reflects the company's exposure to the remaining transition economy features of the Republic of Romania (foreign currency rating BB+/Stable/B; local currency BBB-/Stable/A-3) where it operates; the requirement to sell a large share of generation (currently 40%) at low regulated prices; poor historical financial performance; significant partly debt-funded medium-term capital expenditure plans that are expected to weaken debt protection metrics; and limited financial flexibility. This is mitigated by access to competitive low- cost hydro-generation assets; a strong competitive position in the region; the prospects of regulatory pricing constraints decreasing as the market gradually opens and tariffs increase; and implicit support from the 100% owner, the Romanian government. CONTACT: S.C. HIDROELECTRICA S.A. 3, Constantin Nacu Street Sect. 2, Bucharest Phone: 021-311 2231 Fax: 021-311 1174 E- mail: generala@hidroelectrica.ro Web site: http://www.hidroelectrica.ro =========== R U S S I A =========== GELNOS: Proofs of Claim Deadline Expires Next Month --------------------------------------------------- The Arbitration Court of Khanty-Mansiyskiy autonomous region of Tyumen region commenced bankruptcy proceedings against Gelnos after finding the close joint stock company insolvent. The case is docketed as A75-203-B/04. Mr. R. Shafikov has been appointed insolvency manager. Creditors have until March 21, 2005 to submit their proofs of claim to 628624, Russia, Khanty- Mansiyskiy autonomous region, Nizhnevartovsk, Druzhby Narodov, Str. 31, apartment 93. CONTACT: GELNOS Russia, Khanty-Mansiyskiy autonomous region, Nizhnevartovsk, Pobedy Pr. 3-40 Mr. R. Shafikov Insolvency Manager 628624, Russia, Khanty-Mansiyskiy autonomous region, Nizhnevartovsk, Druzhby Narodov, Str. 31, Apartment 93 Phone/Fax: 8 (3466) 129-791 IRKUTSK-FISH: Creditors Have Until Next Month to File Claims ------------------------------------------------------------ The Arbitration Court of Irkutsk region commenced bankruptcy proceedings against Irkutsk-Fish (TIN 3807001209) after finding the close joint stock company insolvent. The case is docketed as A19-7766/04-34. Mr. L. Firyulin has been appointed insolvency manager. Creditors have until March 1, 2005 to submit their proofs of claim to 664081, Russia, Irkutsk, Post User Box 54. A hearing will take place on Nov. 16, 2005, 9:50 a.m. (local time). CONTACT: IRKUTSK-FISH 665813, Russia, Irkutsk region, Angarsk, Chaykovskogo Str. 2A Mr. L. Firyulin Insolvency Manager 664081, Russia, Irkutsk, Post User Box 54 The Arbitration Court Of Irkutsk Region 664081, Russia, Irkutsk, Post User Box 54 LES-TORG-TRANS: Moscow Court Appoints Insolvency Manager -------------------------------------------------------- The Arbitration Court of Moscow region commenced bankruptcy proceedings against Les-Torg-Trans (TIN 7708139563, OGRN 1037739602890) after finding the timber company insolvent. The case is docketed as A40-37830/04-36-17B. Mr. V. Pristupa has been appointed insolvency manager. Creditors have until March 21, 2005 to submit their proofs of claim to 125222, Russia, Moscow, Post User Box 13. CONTACT: LES-TORG-TRANS 107066, Russia, Moscow, Olkhovskaya Str. 45, Building 1 Mr. V. Pristupa Insolvency Manager 125222, Russia, Moscow, Post User Box 13 NIVA: Deadline for Proofs of Claim March 21 ------------------------------------------- The Arbitration Court of Saratov region commenced bankruptcy proceedings against Niva after finding the close joint stock company insolvent. The case is docketed as A57-246B/04-23. Mr. A. Gudkov has been appointed insolvency manager. Creditors have until March 21, 2005 to submit their proofs of claim to: (a) Insolvency Manager 413118, Russia, Saratov region, Engels, Vokzalnaya Str. 37, Post User Box 1 (b) The Arbitration Court Of Saratov Region 410600, Russia, Babushkin vzvoz, 1, department 32 (c) Niva Russia, Saratov region, Piterskiy region, Niva NOVO-KURILOVSKOYE: Undergoes Bankruptcy Supervision Procedure ------------------------------------------------------------- The Arbitration Court of Novosibirsk region has commenced bankruptcy supervision procedure on open joint stock company Novo-Kurilovskoye. The case is docketed as A45-20485/04-SB/171. Mr. V. Ivanov has been appointed temporary insolvency manager. Creditors may submit their proofs of claim to 630099, Russia, Novosibirsk, Potaninskaya Str. 3a, Apartment 50. A hearing will take place at Russia, Novosibirsk, Kirova Str. 3-915 on March 23, 2005, 9:30 a.m. CONTACT: NOVO-KURILOVSKOYE 633556, Russia, Novosibirsk region, Cherepanovskiy region, Kurilovka Mr. V. Ivanov Temporary Insolvency Manager 630099, Russia, Novosibirsk, Potaninskaya Str. 3a, Apartment 50 Phone: (383-2) 22-51-25 OB-NEFTE-MONTAZH: Hires R. Shafikov as Insolvency Manager --------------------------------------------------------- The Arbitration Court of Khanty-Mansiyskiy autonomous region of Tyumen region commenced bankruptcy proceedings against Ob-Nefte- Montazh after finding the close joint stock company insolvent. The case is docketed as A75-234-B/04. Mr. R. Shafikov has been appointed insolvency manager. Creditors have until March 21, 2005 to submit their proofs of claim to 628624, Russia, Khanty- Mansiyskiy autonomous region, Nizhnevartovsk, Druzhby Narodov, Str. 31, apartment 93. CONTACT: OB-NEFTE-MONTAZH Russia, Khanty-Mansiyskiy autonomous region, Nizhnevartovsk, ZPU, Panel 9, 11 P Str. 18a, Building 2 Mr. R. Shafikov Insolvency Manager 628624, Russia, Khanty-Mansiyskiy autonomous region, Nizhnevartovsk, Druzhby Narodov, Str. 31, Apartment 93 Phone/Fax: 8 (3466) 129-791 PRIMOR-ZOLOTO: Appoints N. Dutova Insolvency Manager ---------------------------------------------------- The Arbitration Court of Khabarovsk region commenced bankruptcy proceedings against Primor-Zoloto (TIN 2700000063) after finding the gold mining production insolvent. The case is docketed as A73-9420/2002-17/36. Ms. N. Dutova has been appointed insolvency manager. Creditors have until March 21, 2005 to submit their proofs of claim to 680000, Russia, Khabarovsk, Dzerzhinskogo Str. 61-1. CONTACT: PRIMOR-ZOLOTO: 680007, Russia, Khabarovsk, Shevchuka Str. 28A Ms. N. Dutova Insolvency Manager 680000, Russia, Khabarovsk, Dzerzhinskogo Str. 61-1 STROY-MODUL: Gives Creditors Until March to File Claims ------------------------------------------------------- The Arbitration Court of Khanty-Mansiyskiy autonomous region commenced bankruptcy proceedings against Stroy-Modul after finding the limited liability company insolvent. The case is docketed as 75-322-B/04-1536/2005. Ms. N. Bondarenko has been appointed insolvency manager. Creditors have until March 21, 2005 to submit their proofs of claim to 628400, Russia, Tyumen region, Khanty-Mansiyskiy autonomous region, Surgut, 50 Let VLKSM Str. 2/1, apartment 8. CONTACT: STROY-MODUL 628400, Russia, Khanty-Mansiyskiy autonomous region, Nefteyugansk, 16A, Location, 56, Apartment 6 Ms. N. Bondarenko Insolvency Manager 628400, Russia, Tyumen region, Khanty-Mansiyskiy autonomous region, Surgut, 50 Let VLKSM Str. 2/1, Apartment 8 TERMINAL SOLNECHNOGORSKIY: Declared Insolvent --------------------------------------------- The Arbitration Court of Moscow region commenced bankruptcy proceedings against Terminal Solnechnogorskiy (TIN 5044017931) after finding the close joint stock company insolvent. The case is docketed as A41-K2-10575/04. Ms. O. Barysh has been appointed insolvency manager. Creditors have until March 21, 2005 to submit their proofs of claim to 141400, Russia, Moscow region, Khimki, Leningradskaya Str. 1, Building A, Post User Box 10. CONTACT: TERMINAL SOLNECHNOGORSKIY 141500, Russia, Moscow region, Solnechnogorsk, Krasnaya Str. 161, Building 1-EG Ms. O. Barysh Insolvency Manager 141400, Russia, Moscow region, Khimki, Leningradskaya Str. 1, Building A, Post User Box 10 UST-LABINSK-AGRO-PROM-SNAB: Court Appoints Insolvency Manager ------------------------------------------------------------- The Arbitration Court of Krasnodar region commenced bankruptcy proceedings against Ust-Labinsk-Agro-Prom-Snab after finding the open joint stock company insolvent. The case is docketed as A- 32-12613/2004-1/95 B. Ms. Y. Chernenko has been appointed insolvency manager. Creditors have until March 21, 2005 to submit their proofs of claim to 350030, Russia, Krasnodar, 9th Tikhaya Str. 7/25. CONTACT: UST-LABINSK-AGRO-PROM-SNAB 325330, Russia, Ust-Labinsk, Zapolotnyanaya Str. 21 Ms. Y. Chernenko Insolvency Manager 350030, Russia, Krasnodar, 9th Tikhaya Str. 7/25 The Arbitration Court of Orenburg region 460046, Russia, Orenburg, 9go Yanvarya Str. 64 YUKOS OIL: Rosneft Not Paying Yugansk's Tax Arrears --------------------------------------------------- Yukos shareholders absorbed another blow, as Rosneft announced last week it will pass off to them nearly US$5 billion in tax debt owed by Yuganskneftegaz, The Associated Press reports. "As a result of a specific policy, which Yukos conducted in relation to Yuganskneftegaz, the company has suffered damages," Interfax quoted Rosneft President Sergei Bogdanchikov. "And so, we must now turn back this (debt) to the shareholders of Yukos, which mismanaged the company." Tim Osbourne, a director of the Group Menatep holding company that controls 60 percent of Yukos, said Rosneft's plan is "totally ludicrous." "Even as a matter for Russian law ... you buy the company you buy. They knew about the tax claims against Yuganskneftegaz," Mr. Osbourne said. "Now they are reneging on the debt. I think it's a farce." Yuganskneftegaz, once Yukos' main production unit, was forcibly auctioned off in December as part of the government's drive to collect a US$28 billion back-tax bill. Yugansk was eventually purchased by Rosneft for US$9.3 billion. CONTACT: YUKOS OIL Web site: http://www.yukos.com/ International Information Department Hugo Erikssen Phone: +7 095 540 6313 E-mail: inter@yukos.ru Press Service: Alexander Shadrin Phone: +7 095 785-08-55 E-mail: pr@yukos.ru Investor Relations Contact Alexander Gladyshev Phone: +7095 788 00 33 E-mail: investors@yukos.ru ========= S P A I N ========= IZAR: Liquidation Process Takes off ----------------------------------- Troubled shipbuilder Izar's liquidation to repay around EUR1.1 billion in illegal state aid has started, El Pais says. The group's board of directors is expected to call a shareholders' meeting within two months to approve the liquidation process. Izar's restructuring entails splitting the shipbuilder's military and civilian units as well as liquidating its EUR240 million assets. After the liquidation process, Sociedad Estatal de Participaciones Industriales (SEPI) will sell four of its civilian yards to private investors and retain control of its profitable military division under the New Izar. SEPI recently received offers to acquire its civilian yards from shipping firm Boluda, shipbuilder Astilleros de Huelva and defense firm General Dynamics. SEPI is currently holding talks with wind farm manufacturer Gamesa, which offered to acquire Izar's civilian yard in Manises. CONTACT: IZAR CONSTRUCCIONES NAVALES a.s. Velazquez Street 132 28006 Madrid, Spain Phone: +34 91 335 84 00 Fax: +34 91 335 86 52 E-mail: izar@izar.es Web site: http://www.izar.es SOCIEDAD ESTATAL DE PARTICIPACIONES INDUSTRIALES Velasquez, 134 28006 Madrid, Spain Phone: +34-91-396-10-00 Fax: +34-91-562-87-89 Web site: http://www.sepionline.com ===================== S W I T Z E R L A N D ===================== AVIREAL AG: Sold for CHF262 Million to Burgring-led Group --------------------------------------------------------- Avireal AG, a wholly owned subsidiary of SAirLines, which is in liquidation, has been sold. The agreed purchase price is CHF262 million, subject to potential closing balance sheet adjustments. Avireal provides facility management services at the airports of Zurich and Geneva and owns real estate in the Zurich airport region. The purchasers are a group of Swiss private investors associated with Dr. H Hereth and Burgring AG. Subject to the approval by the creditors' committees of SAirLines and SAirGroup, the liquidators and the purchasers signed a sale and purchase agreement for all Avireal shares on 20 January 2005. The transaction is expected to close by the end of March 2005. CONTACT: BURGRING AG Glattbrugg Phone: +41 (0)44 829 80 00 Konrad Schwitter Rene Schmid WENGER PLATTNER Filippo Th. Beck, Phone: 043 222 38 00 Fax: 043 222 38 01 Web site: http://www.liquidator-swissair.ch CONVERIUM AG: Expects US$132 Million Pre-tax Net Loss ----------------------------------------------------- Converium AG announces estimates of losses from the South Asia tsunami and European winter storm Erwin as well as revised estimates of losses from 2004 hurricanes and typhoons. Following a diligent review of loss reports so far, Converium expects pre-tax net losses from the devastating tsunami that hit South and South East Asia on Dec. 26, 2004 of approximately US$15 million. Expected losses are concentrated in property and non-life personal accident lines of business. Severe winter storm Erwin that swept across Northern Europe from Jan. 7 to 9, 2005 is expected to result in pre-tax net losses for Converium of between US$25 million and US$40 million, which is reflective of the Company's market position in the region. Total estimated industry losses from Erwin range from US$1.3 to US$1.8 billion. In addition, Converium has increased its estimate of expected net losses arising from third quarter Atlantic hurricane activity and Japan typhoons by US$23 million and US$13 million, respectively. Converium therefore expects total pre-tax net losses of US$132 million related to these hurricanes and typhoons. The majority of the development for the hurricanes stems from Ivan, where total industry claims (including Caribbean losses) are now believed to reach US$9 billion, up from earlier estimates of between US$4 and 6 billion. This unusual string of natural catastrophes is, however, not expected to materially weaken Converium's strong capitalization. About Converium Converium is an independent international multi-line reinsurer known for its innovation, professionalism and service. Today Converium employs more than 700 people in 20 offices around the globe and is organized into three business segments: Standard Property & Casualty Reinsurance, Specialty Lines and Life & Health Reinsurance. Converium has a "BBB+" rating (outlook stable) from Standard & Poor's and a "B++" rating (outlook stable) from A.M. Best Company. CONTACT: CONVERIUM HOLDING Michael Schiendorfer Media Relations Manager Phone: +41 (0) 1 639 96 57 Fax: +41 (0) 1 639 76 57 E-mail: michael.schiendorfer@converium.com Zuzana Drozd Head of Investor Relations Phone: +41 (0) 1 639 91 20 Fax: +41 (0) 1 639 71 20 E-mail: zuzana.drozd@converium.com ============= U K R A I N E ============= APOSTOLIVAGROMASH: Applies for Bankruptcy Proceedings ----------------------------------------------------- The Economic Court of Dnipropetrovsk region commenced bankruptcy proceedings against Apostolivagromash (code EDRPOU 30871179) on December 21, 2004 after finding the limited liability company insolvent. The case is docketed as B 15/44/04. Arbitral manager Mr. Sergij Sidko (License Number AA 419257) has been appointed liquidator/insolvency manager. The company holds account number 26002315309001 at CB Privatbank, Krivij Rig branch, MFO 305750. CONTACT: APOSTOLIVAGROMASH 53801, Ukraine, Dnipropetrovsk region, Apostolove, Kamanin Str. 1a Mr. Sergij Sidko Liquidator/Insolvency Manager 49600, Ukraine, Dnipropetrovsk region, Dzerzhinskij Str. 29, Room 40 Phone: (056) 744-21-37 770-22-92 Fax: (056) 744-21-37 770-22-92 ECONOMIC COURT OF DNIPROPETROVSK REGION 49600, Ukraine, Dnipropetrovsk region, Kujbishev Str. 1a AVTOTRANS: Temporary Insolvency Manager Steps in ------------------------------------------------ The Economic Court of Harkiv region commenced bankruptcy supervision procedure on OJSC Avtotrans (code EDRPOU 03115117) on December 17, 2004. The case is docketed as B-31/59-04. Arbitral manager Mr. O. Tryaskunov (License Number AA 779297) has been appointed temporary insolvency manager. The company holds account number 26009301750059 at JSCB National credit, MFO 350705. Creditors may submit their proofs of claim to: (a) AVTOTRANS 64200, Ukraine, Harkiv region, Balakliya, Zavgorodnya Str. 1 (b) Mr. O. Tryaskunov Temporary Insolvency Manager 61002, Ukraine, Harkiv region, Petrovskij Str. 6/8-15 Phone: (057) 700-55-97 (c) ECONOMIC COURT OF HARKIV REGION 61022, Ukraine, Harkiv region, Svobodi Square, 5, Derzhprom, 8th entrance CONSULTANT-PLUS: Succumbs to Bankruptcy --------------------------------------- The Economic Court of Lviv region commenced bankruptcy supervision procedure on LLC Consultant-Plus (code EDRPOU 31658329). The case is docketed as 6/398-29/330. Arbitral manager Mr. O. Vinyarskij (License Number AA 487814) has been appointed temporary insolvency manager. The company holds account number 260087271 at JSCB Lviv region, Lviv branch, MFO 325268. Creditors may submit their proofs of claim to: (a) CONSULTANT-PLUS 79003, Ukraine, Lviv region, Chornovol Avenue, 63 (b) Mr. O. Vinyarskij Temporary Insolvency Manager 79020, Ukraine, Lviv region, Varshavska Str. 66/21 (c) ECONOMIC COURT OF LVIV REGION 79010, Ukraine, Lviv region, Lichakivska Str. 81 GEKA LTD.: Kyiv Court Appoints Insolvency Manager ------------------------------------------------- The Economic Court of Kyiv region commenced bankruptcy proceedings against Geka Ltd. (code EDRPOU 21628926) on December 24, 2004 after finding the limited liability company insolvent. The case is docketed as 43/1049. Mrs. Svitlana Babich has been appointed liquidator/insolvency manager. The company holds account number 26000301330305 at Prominvestabank, Shevchenkivske branch in Kyiv region, MFO 322216. Creditors had until February 5, 2005 to submit their proofs of claim to: (a) GEKA LTD. 03057, Ukraine, Kyiv region, Ezhena Potye Str. 10A (b) Mrs. Svitlana Babich Liquidator/Insolvency Manager Ukraine, Kyiv region, Melnikov Str. 2/10 (c) ECONOMIC COURT OF KYIV REGION 01030, Ukraine, Kyiv region, B. Hmelnitskij Boulevard, 44-B GUTYANSKIJ ELEVATOR: Applies for Bankruptcy Proceedings ------------------------------------------------------- The Economic Court of Harkiv region commenced bankruptcy proceedings against Gutyanskij Elevator (code EDRPOU 00956402) on December 22, 2004 after finding the open joint stock company insolvent. The case is docketed as B-19/69-04. Arbitral manager Mrs. T. Chekshturina (License Number AA 630039) has been appointed liquidator/insolvency manager. The company holds account number 2600030187 at Oshadbank, Harkiv regional branch, MFO 350051. CONTACT: GUTYANSKIJ ELEVATOR 62132, Ukraine, Harkiv region, Bogoduhivskij district, Gubarivka, Gutyanska Str. 91-a ECONOMIC COURT OF HARKIV REGION 61022, Ukraine, Harkiv region, Svobodi Square, 5, Derzhprom, 8th entrance PROMSTANDART: Declared Insolvent -------------------------------- The Economic Court of Zaporizhya region commenced bankruptcy proceedings against Promstandart (code EDRPOU 23880618) on November 30, 2004 after finding the limited liability company insolvent. The case is docketed as 19/205(04). Mr. Petro Chulakov (License Number AA 719815) has been appointed liquidator/insolvency manager. Creditors may submit their proofs of claim to: (a) PROMSTANDART 69000, Ukraine, Zaporizhya region, Yatsenko Str. 4 (b) Mr. Petro Chulakov Liquidator/Insolvency Manager 69050, Ukraine, Zaporizhya region, a/b 7683 (c) ECONOMIC COURT OF ZAPORIZHYA REGION 69001, Ukraine, Zaporizhya region, Shaumyana Str. 4 SLAVUTSKO-POLYANSKA: Bankruptcy Supervision Begins -------------------------------------------------- The Economic Court of Hmelnitskij region commenced bankruptcy supervision procedure on OJSC Slavutsko-Polyanska Paper Factory (code EDRPOU 14149444). The case is docketed as 4/327-B. Mr. Leonid Gritsaj (License Number AB 116057) has been appointed temporary insolvency manager. The company holds account number 26001301260298 at Prominvestbank, Slavutske branch, MFO 315472. Creditors may submit their proofs of claim to: (a) SLAVUTSKO-POLYANSKA PAPER FACTORY 30036, Ukraine, Hmelnitskij region, Slavutskij district, Polyan, (b) Mr. Leonid Gritsaj Temporary Insolvency Manager Ukraine, Hmelnitskij region, Starokostyantiniv, Kotsyubinskij Str. 12 (c) ECONOMIC COURT OF HMELNITSKIJ REGION 29000, Ukraine, Hmelnitskij region, Nezalezhnosti Square, 1 TEST TECHNICS: Insolvency Manager Takes over Helm ------------------------------------------------- The Economic Court of Harkiv region commenced bankruptcy proceedings against Test Technics Centre (code EDRPOU 22700554) on December 6, 2004 after finding the joint stock company insolvent. The case is docketed as B-48/96-04. Arbitral manager Mr. S. Orobinskij (License Number AA 668297) has been appointed liquidator/insolvency manager. The company holds account number 260003013758 at JSCB Zoloti vorota, MFO 351931. CONTACT: Mr. S. Orobinskij Liquidator/Insolvency Manager 61125, Ukraine, Harkiv region, Chervonoshkilna Naberezhna, 18/129 ECONOMIC COURT OF HARKIV REGION 61022, Ukraine, Harkiv region, Svobodi Square, 5, Derzhprom, 8th entrance YAROSLAV: Under Bankruptcy Supervision -------------------------------------- The Economic Court of Kyiv region commenced bankruptcy supervision procedure on LLC Yaroslav (code EDRPOU 25661524) on October 25, 2004. The case is docketed as 23/724-b. Arbitral manager Mr. S. Donkov (License Number AA 485220) has been appointed temporary insolvency manager. The company holds account number 26004012813567 at OJSC Ukreksimbank, Kyiv region branch, MFO 322313. Creditors may submit their proofs of claim to: (a) YAROSLAV 01001, Ukraine, Kyiv region, B. Grinchenko Str. 3 (b) Mr. S. Donkov Temporary Insolvency Manager Ukraine, Kyiv region, Gorkij Str. 10/6 (c) ECONOMIC COURT OF KYIV REGION 01030, Ukraine, Kyiv region, B. Hmelnitskij Boulevard, 44-B =========================== U N I T E D K I N G D O M =========================== AB2 LTD: Hires O'Hara & Co. as Liquidator ----------------------------------------- At the extraordinary general meeting of the members of Ab2 Ltd. on Jan. 28, 2005 held at O'Hara & Co, Wesley House, Huddersfield Road, Birstall, Batley, West Yorkshire WF17 9EJ, the extraordinary and ordinary resolutions to wind up the company were passed. Peter O'Hara of O'Hara & Co, Wesley House, Huddersfield Road, Birstall, Batley, West Yorkshire WF17 9EJ has been appointed liquidator of the company. CONTACT: O'HARA & CO. Wesley House, Huddersfield Road, Birstall, Batley, West Yorkshire WF17 9EJ ACTION CLEANING: Appoints Liquidator from Harris Lipman ------------------------------------------------------- At the extraordinary general meeting of the members of Action Cleaning Co. Limited on Jan. 11, 2005 held at SPW Poppleton & Appleby, Gable House, 239 Regents Park Road, Finchley, London N3 3LF, the extraordinary resolution to wind up the company was passed. Martin J. Atkins of Harris Lipman, 2 Mountview Court, 310 Friern Barnet Lane, Whetstone, London N20 0YZ has been appointed liquidator of the company. CONTACT: HARRIS LIPMAN 2 Mountview Court, 310 Friern Barnet Lane, Whetstone, London N20 0YZ Phone: (020) 8446 9000 Fax: (020) 8446 9537 Web site: http://www.harris-lipman.co.uk AGENCY SOLUTIONS: Names William Antony Batty Administrator ---------------------------------------------------------- William Antony Batty (IP No 1049) has been appointed administrator for insurance company Agency Solutions Limited. The appointment was made Jan. 26, 2005. CONTACT: ANTONY BATTY & COMPANY New House, Suite 24, 67-68 Hatton Garden, London EC1N 8JY AIMERS MCLEAN: Sets Final Creditors, Members Meeting March ---------------------------------------------------------- IN THE MATTER OF THE INSOLVENCY ACT 1986 and IN THE MATTER OF Aimers McLean (Engineers) Limited (In Liquidation) Notice is hereby given pursuant to section 106 of the Insolvency Act 1986, that the Final Meeting of Members and Creditors of Aimers McLean (Engineers) Limited will be held within the offices of Thomson Cooper, Castle Court, Carnegie Campus, Dunfermline, Fife KY11 8PB, on March 4, 2005, at 10:00 a.m. and 10:30 a.m. respectively for the purpose of receiving the Liquidator's final report showing how the winding-up has been conducted and of hearing any explanations that may be given by the Liquidator. Creditors are entitled to attend in person or alternatively by proxy. A Creditor may vote only if his claim has been submitted to the Liquidator and that claim has been accepted in whole or in part. A Resolution will be passed only if a majority of those voting in person or by proxy vote in favor. Proxies must be lodged with the Liquidator at or before the Meeting. Alan C. Thomson, CA, Liquidator January 14, 2005 CONTACT: THOMSON COOPER Castle Court Carnegie Campus Dunfermline Fife KY11 8PB Phone: 01383 722815 ALLDERS PLC: Joint Administrators Ditch Bulk Sale ------------------------------------------------- The man who originally led the buyout of Allders from the Hanson conglomerate in 1989 is now among the bidders for the insolvent retail group's department stores. According to The Times, former chief executive Harvey Lipsith, backed by U.S. private equity group Sun Capital Partners, has offered GBP50 million for 12 of Allders' department stores. He is up against Bhs, Debenhams, and Primark, which are eyeing 35 of the 45 stores up for grabs. The chain's interim administrator Kroll had originally wanted to sell the entire business to a single buyer, but scrapped the plan last week after nobody came forward. Since then, Kroll has entertained 36 separate offers and talks are reportedly fast approaching a conclusion. In backing Mr. Lipsith's bid, Sun Capital Partners cited his previous stint with Allders. "Harvey is a good manager and knows the business very well," a Sun insider told The Times. Mr. Lipsith oversaw the group's flotation in 1989, but was forced out in 2003 when Allders was acquired for GBP162 million by Scarlett Retail, the investment vehicle backed by Minerva, Lehman Brothers and recently resigned CEO Terry Green. While negotiations are ongoing, the chain will remain open, according to joint administrators Andrew Pepper and Alastair Beveridge. Staff working in stores that are eventually sold will be transferred to the new owners as well. As for the ten stores that have not attracted interest, "closing down sales" began Saturday, according to Kroll. These stores include the Oxford Street flagship and stores in Reading and Leeds. "We are still willing to consider offers for these ten stores and would encourage parties interested in these particular outlets to come forward and make their interest known immediately," the administrators said. "We are not making any redundancies at any of the stores at this time," they added. CONTACT: ALLDERS PLC 131 Park St. London W1K 7BB, United Kingdom Phone: +44-20 7855 3800 Fax: +44-20 7855 3809 Web site: http://www.allders.com KROLL LIMITED 10 Fleet Place London EC4M 7RB United Kingdom Phone: 44 (0) 207 029 5000 Fax: 44 (0) 207 029 5001 Web site: http://www.krollworldwide.com KROLL GLASGOW Afton House 26 West Nile Street Glasgow, Scotland G1 2PF United Kingdom Phone: 44 (0) 141 248 1250 Fax: 44 (0) 141 248 1262 Web site: http://www.krollworldwide.com Bhs Ltd. Marylebone House, 129/137 Marylebone Road London NW1 5QD, United Kingdom Phone: +44-20-7262-32-88 Fax: +44-20-7723-11-15 Web site: http://www.bhs.co.uk Debenhams plc 1 Welbeck St. London W1G 0AA, United Kingdom Phone: +44-20-7408-4444 Fax: +44-20-7408-3366 Web site: http://www.debenhams.com Primark Stores Ltd. Primark House, 41 West St. Reading RG1 1TT, United Kingdom Phone: +44-118-960-6300 Web site: http://www.primark.co.uk Lehman Brothers U.K. Holdings Ltd. 25 Bank St. London E145LE, United Kingdom Phone: +44-20-7102-1000 Minerva plc 10 Gloucester Place London W1U 8EZ, United Kingdom Phone: +44-20-7535-1000 Fax: +44-20-7535-1001 AMBER U.P.V.C.: Members Decide to Dissolve Firm ----------------------------------------------- At the extraordinary general meeting of the members of Amber U.P.V.C. Roofline Limited on Jan. 25, 2005 held at 181-183 Summer Road, Erdington, Birmingham B23 6DX, the extraordinary and ordinary resolutions to wind up the company were passed. Gerald Irwin has been appointed liquidator of the company. APOLLO INSULATION: Applies for Liquidation ------------------------------------------ At the extraordinary general meeting of the members of Apollo Insulation (U.K.) Limited on Jan. 28, 2005 held at 43 Pall Mall, London SW1, the extraordinary and ordinary resolutions to wind up the company were passed. Peter Robin Bacon and Carl Derek Faulds of Portland Business & Financial Solutions Ltd, 1640 Parkway, Solent Business Park, Whiteley, Fareham, Hampshire have been appointed joint liquidators of the company. CONTACT: PORTLAND BUSINESS & FINANCIAL SOLUTIONS LTD. 1640 Parkway, Solent Business Park, Whiteley, Fareham, Hampshire APPLEBY & MATTY: Names David Rubin & Partners Liquidator -------------------------------------------------------- At the extraordinary meeting of the members of Appleby & Matty Limited on Jan. 27, 2005 held at the offices of David Rubin & Partners, Pearl Assurance House, 319 Ballards Lane, London N12 8LY, the extraordinary resolution to wind up the company was passed. Lane Bednash of David Rubin & Partners, Pearl Assurance House, 319 Ballards Lane, London N12 8LY has been nominated liquidator of the company. CONTACT: DAVID RUBIN & PARTNERS Pearl Assurance House, 319 Ballards Lane, London N12 8LY Phone: 020 8343 5900 Fax: 020 8446 2994 Web site: http://www.drpartners.com ASA TRAINING: Calls in Liquidators from CBA ------------------------------------------- At the extraordinary general meeting of ASA Training Limited on Jan. 28, 2005 held at Holiday Inn Nottingham-Castle Marina, Castle Marina Park, Nottingham NG7 1GX, the extraordinary and ordinary resolutions to wind up the company were passed. Neil Charles Money and Neil Richard Gibson of CBA, 39 Castle Street, Leicester LE1 5WN have been appointed joint liquidators of the company. CONTACT: CBA (Leicester) 39 Castle Street Leicester LE1 5WN Phone: (0116) 262 6804 Fax: (0116) 217 1404 E-mail: leics@cba-insolvency.co.uk Web site: http://www.cba-insolvency.co.uk/ BMI BRITISH: 'Winter' Stats Defy Glum Forecast ---------------------------------------------- Despite a gloomy outlook aired by rival Ryanair, BMI British Midland said Thursday its low cost arm would report increases in yields, passenger volumes and load factors for 2004. David Byron, managing director of BMIbaby, the group's low cost arm, told The Financial Times the "improving trend" has even spilled over to 2005, with yields rising by 5.2 percent in January. BMI CEO Nigel Turner says BMIbaby passenger volumes rose 18 percent last year from 2.8 million to 3.3 million. He forecasts a further increase this year by more than 20 percent to 4 million. He did not say whether the low cost operation is still loss-making. Ryanair CEO Michael O'Leary, who issued the gloomy forecast last year, backtracked last week from his early warnings of a bloodbath this winter in the short-haul airline market. As a matter of fact, Ryanair, which originally warned of a steep fall of between 10% and 20% in average fares, said its yields had actually risen by one percent in the three months to December 31. BMIbaby started operating in March 2002 and since then its fleet has increased to 16, which include 11 148-seat Boeing 737-300s and five smaller 737-500s. It has also expanded its operations from the Nottingham East Midlands airport to five other bases in Cardiff, Durham Tees Valley, Manchester and Birmingham. "The Birmingham base was launched last month with five aircraft and is at the forefront of BMIbaby's effort to make itself one of the leading low cost carriers in the Midlands and northern England," The Financial Times says. CONTACT: BMIbaby Ltd. Phone: 0870 264 2229 Web site: http://www.bmibaby.com BOURNEHILL SERVICES: Sets General Members Meeting March ------------------------------------------------------- Name of companies: Bournehill Services Limited Townlink Associates Limited Wheelbase 3000 Limited The general meeting of the members of these companies will be on March 11, 2005 at 11:00 a.m. It will be held at the offices of Portland Business & Financial Solutions, 1640 Parkway, Solent Business Park, Whiteley, Fareham, Hampshire PO15 7AH. The purpose of the meeting is to receive the account showing how the winding-up has been conducted and the property of the company disposed of, and to hear any explanation that may be given by the liquidator. Members who want to be represented at the meeting may appoint proxies. Proxy forms must be lodged with Portland Business & Financial Solutions, 1640 Parkway, Solent Business Park, Whiteley, Fareham, Hampshire PO15 7AH not later than 12:00 noon, March 10, 2005. CONTACT: PORTLAND BUSINESS & FINANCIAL SOLUTIONS 1640 Parkway, Solent Business Park, Whiteley, Fareham, Hampshire PO15 7AH COX PLANT: Calls in Administrator from Ernst & Young ---------------------------------------------------- Ian Best and Simon Allport (IP Nos 8631 and 8763) have been appointed administrators for Cox Plant Limited. The appointment was made Jan. 28, 2005. Its registered office is located at Broad Lanes, Bilston, West Midlands WV14 0RH. CONTACT: ERNST & YOUNG LLP No.1 Colmore Square Birmingham B4 6HQ Phone: +44 [0] 121 535 2000 Fax: +44 [0] 121 535 2001 Web site: http://www.ey.com EDENBALLYMORE LODGE: PwC Expects Sale Within Weeks -------------------------------------------------- Talks to save Derry's Edenballymore Lodge nursing home are underway, PricewaterhouseCoopers receiver Paul Rooney told The Derry Journal last week. "We are now in negotiations with a potential purchaser to sell Edenballymore Lodge nursing home as a going concern and hope to make an announcement in a matter of weeks," Mr. Rooney said. The nursing home went into receivership on December 7, but continued operating through the holidays, thanks to its staff and bankers, the paper says. "That avoided the distress and disruption that a closure would have caused to the mainly elderly patients and their relatives," Mr. Rooney said. "In the intervening period we sought potential buyers for the nursing home and have received a number of offers." Owned and operated by McGilloway Care Homes (NI) Ltd., the 44- bed nursing home in Northland Road in Derry provides specialist and long-term care for elderly and infirm patients in the North West. CONTACT: PricewaterhouseCoopers LLP Web site: http://www.pwcglobal.com/uk/ ESOUK.COM LIMITED: Members Final Meeting Set Next Month ------------------------------------------------------- The final meeting of Esouk.Com Limited will be on March 11, 2005 at 11:00 a.m. It will be held at Mazars LLP, The Atrium, Park Street West, Luton, Bedfordshire LU1 3BE. The purpose of the meeting is to receive the account showing how the winding-up has been conducted and the property of the company disposed of, and to hear any explanation that may be given by the liquidator. Members who want to be represented at the meeting may appoint proxies. CONTACT: MAZARS The Atrium Park Street West, Luton, Bedfordshire LU1 3BE Phone: 01582 700700 Fax: 01582 700701 Web site: http://www.mazars.co.uk ESSEX ELECTRICAL: Hires Begbies Traynor as Liquidator ----------------------------------------------------- At the extraordinary general meeting of Essex Electrical (Contracts) Limited on Jan. 20, 2005 held at The Old Exchange, 234 Southchurch Road, Southend-on-Sea, Essex SS1 2EG, the subjoined special resolution to wind up the company was passed. Mark Robert Fry of Begbies Traynor, The Old Exchange, 234 Southchurch Road, Southend-on-Sea, Essex SS1 2EG has been appointed liquidator of the company. CONTACT: BEGBIES TRAYNOR The Old Exchange, 234 Southchurch Road Southend-on-Sea SS1 2EG Phone: 01702 467255 Fax: 01702 467201 E-mail: southend@begbies-traynor.com Web site: http://www.begbies.com FLS REAL: Liquidator's Final Report Out Next Month -------------------------------------------------- The final general meeting of the members of FLS Real Estate No.4 Limited will be on March 11, 2005 at 10:30 a.m. It will be held at KPMG, 8 Salisbury Square, London EC4Y 8BB. The purpose of the meeting is to receive the account showing how the winding-up has been conducted and the property of the company disposed of, and to hear any explanation that may be given by the liquidator. Members who want to be represented at the meeting may appoint proxies. Proxy forms must be lodged with KPMG Corporate Recovery, 8 Salisbury Square, London EC4Y 8BB not later than 12:00 noon, March 10, 2005. CONTACT: KPMG LLP P.O. Box 695, 8 Salisbury Square, London EC4Y 8BB Phone: (020) 7311 1000 Fax: (020) 7311 3311 Or +44 (0) 20 7694 3533 Web site: http://www.kpmg.co.uk GARDINER BROS: Members Decide to Wind up Firm --------------------------------------------- At the extraordinary general meeting of the members of Gardiner Bros (Commercial Vehicles) Limited on Jan. 27, 2005 held at The Old Rectory, Church Street, Weybridge, Surrey KT13 8BE, the special resolution to wind up the company was passed. Michael Sutcliffe of Sutcliffe & Co., 288 High Street, Dorking, Surrey RH4 1QT has been appointed liquidator of the company. CONTACT: SUTCLIFFE & CO. 288 High Street, Dorking, Surrey RH4 1QT GRANT JAMES: Hires Liquidator from Tenon Recovery ------------------------------------------------- IN THE MATTER OF THE INSOLVENCY ACT 1986 and IN THE MATTER OF Grant James Food Specialists & Co. Limited (In Liquidation) I, Kenneth Robert Craig, of Tenon Recovery, 2 Blythswood Square, Glasgow G2 4AD, hereby give notice that on January 13, 2005, I was appointed Liquidator of Grant James Food Specialists & Co Limited by a Resolution of the First Meeting of the Creditors held in terms of section 138(3) of the Insolvency Act 1986. No Liquidation Committee was established. Accordingly, I hereby give notice that I do not intend to summon a further Meeting for the purpose of establishing a Liquidation Committee unless one-tenth in value of the Creditors require it in terms of section 142(3) of the Insolvency Act 1986. K. R. Craig, Liquidator CONTACT: TENON RECOVERY 2-4 Blythswood Square Glasgow G2 4AD Phone: 0141 272 8000 Fax: 0141 272 8001 E-mail: glasgow@tenongroup.com Web site: http://www.tenongroup.com HOLSWORTHY BIOGAS: Appoints BDO Stoy Hayward Administrator ---------------------------------------------------------- Simon James Michaels and David Harry Gilbert (IP Nos 8824/01 and 2376/01) have been appointed joint administrators for biogas plant Holsworthy Biogas Plc. The appointment was made Jan. 26, 2005. CONTACT: BDO STOY HAYWARD LLP 8 Baker Street London W1U 3LL Phone: 020 7486 5888 Fax: 020 7487 3686 E-mail: london@bdo.co.uk Web site: http://www.bdostoyhayward.co.uk KELLOGG BROWN: Nets US$146 Million in December ---------------------------------------------- Kellogg Brown & Root, Inc. Unaudited Balance Sheet As of December 31, 2004 (in thousands) Assets Current Assets: Cash and equivalents ($598,979) Escrow - prepetition payments - Trade receivables 102,796 Unbilled work on uncompleted contracts 17,576 Other receivables 29,721 Inventories 11,800 Other current assets 43,494 --------- Total current assets (393,592) Net property, plant and equipment 33,696 Investments in consolidated subsidiaries 248,679 Equity in related companies 55,741 Intercompany with related companies 344,755 Intercompany with Parent 115,194 Goodwill, net 171,213 Non-current deferred income taxes 255,000 Insurance for asbestos & silica-related PI claims - Right to Halliburton shares - Other assets 56,152 --------- Total assets $886,838 ========= Liabilities and Shareholder's Equity Current Liabilities: Short-term notes payable - Current maturities of long-term debt - Accounts payable $70,664 Accrued employee compensation and benefits 46,082 Accrued interest payable 452 Advanced billings on uncompleted contracts 51,183 Asbestos and silica-related PI claims 74,337 Other current liabilities (465,507) --------- Total current liabilities (222,789) Long-term debt - Employee compensation and benefits 52,837 Asbestos and silica-related PI claims - Minority interest in consolidated subsidiaries - Other liabilities 83,959 --------- Total liabilities (85,993) Total shareholder's equity 972,831 --------- Total liabilities and shareholder's equity $886,838 ========= Kellogg Brown & Root, Inc. Unaudited Income Statement Month ended December 31, 2004 (in thousands) Revenues $105,476 Operating costs and expenses 86,984 --------- Operating income 18,492 Interest expense (6,869) Interest income 1,555 Foreign currency gains (losses) (4,228) Other non-operating income - net - --------- Income before taxes and minority interest 8,950 Income tax benefit/(provision) 137,205 --------- Income from continuing operations 146,155 Loss from discontinued operations - --------- Net Income $146,155 ========= Headquartered in Houston, Texas, DII Industries, LLC is the direct or indirect parent of BPM Minerals, LLC, Kellogg Brown & Root, Inc., Mid-Valley, Inc., KBR Technical Services, Inc., Kellogg Brown & Root Engineering Corporation, Kellogg Brown & Root International, Inc., (Delaware), and Kellogg Brown & Root International, Inc., (Panama). KBR and its subsidiaries provide a wide range of services to energy and industrial customers and government entities in over 100 countries. DII has no business operations. DII and its debtor-affiliates filed a prepackaged chapter 11 petition on December 16, 2003 (Bankr. W.D. Pa. Case No. 02-12152). Jeffrey N. Rich, Esq., Michael G. Zanic, Esq., and Eric T. Moser, Esq., at Kirkpatrick & Lockhart LLP, represent the Debtors in their restructuring efforts. On June 30, 2004, the Debtors listed US$6.255 billion in total assets and US$5.295 billion in total liabilities. The Bankruptcy Court's July 17, 2004 confirmation of the Debtors' Prepackaged Plan and the District Court's affirmation order on July 26, 2004 allowed the Debtors to emerge from bankruptcy protection on Jan. 3, 2005. (DII & KBR Bankruptcy News, Issue No. 25; Bankruptcy Creditors' Service, Inc., 215/945-7000) CONTACT: HALLIBURTON COMPANY (NYSE: HAL) 5 Houston Center, 1401 McKinney, Ste. 2400 Houston, TX 77020 Phone: 713-759-2600 Fax: 713-759-2635 Web site: http://www.halliburton.com KELLOGG BROWN & ROOT, INC. 601 Jefferson St. Houston, TX 77002 Phone: 713-753-2000 Fax: 713-753-5353 KELLOGG BROWN & ROOT (U.K.) LIMITED Hill Park Court, Springfield Drive Leatherhead Surrey KT22 7NL, United Kingdom Phone: +44-1372-865-000 Fax: +44-1372-864-440 LONDON AND HALIFAX: Calls Final General Meeting ----------------------------------------------- The final general meeting of London and Halifax Investments Limited will be on March 15, 2005 at 9:00 a.m. It will be held at Anson Court, La Route des Camps, St Martin, Guernsey. The purpose of the meeting is to receive the account showing how the winding-up has been conducted and the property of the company disposed of, and to hear any explanation that may be given by the liquidator. Members who want to be represented at the meeting may appoint proxies. LOXA FINANCE: Hires Deloitte & Touche as Liquidator --------------------------------------------------- At the extraordinary general meeting of Loxa Finance Limited on Jan. 27, 2005 held at Haden Cross, Halesowen Road, Cradley Heath, West Midlands B64 7JB, the special and ordinary resolutions to wind up the company were passed. Andrew Philip Peters and Christopher James Farrington of Deloitte & Touche, Four Brindleyplace, Birmingham B1 2HZ have been appointed joint liquidators of the company. CONTACT: DELOITTE & TOUCHE LLP Four Brindleyplace Birmingham B1 2HZ, UNITED KINGDOM Phone: +44 (0) 121 632 6000 Fax: +44 (0) 121 695 5678 Web site: http://www.deloitte.com M A HOLDINGS: Hires Joint Liquidators from Baker Tilly ------------------------------------------------------ At the extraordinary general meeting of the members of M A Holdings Limited on Jan. 31, 2005 held at the offices of Baker Tilly, 27 Osborne Street, Grimsby, North East Lincolnshire DN31 1NU, the special resolutions to wind up the company were passed. Alec David Pillmoor and Robert Henry Barker of Baker Tilly, 27 Osborne Street, Grimsby, North East Lincolnshire DN31 1NU have been appointed joint liquidators of the company. CONTACT: BAKER TILLY 27 Osborne Street, Grimsby, North East Lincolnshire DN31 1NU Phone: 01472 351171 Fax: 01472 240458 Web site: http://www.bakertilly.co.uk MASTER DISTRIBUTORS: Liquidator to Give Final Report Next Month --------------------------------------------------------------- The final meeting of the members of Master Distributors Holdings Ltd. will be on March 10, 2005 at 11:00 a.m. It will be held at the offices of Wilkins Kennedy, Gladstone House, 77-79 High Street, Egham, Surrey TW20 9HY. The purpose of the meeting is to receive the account showing how the winding-up has been conducted and the property of the company disposed of, and to hear any explanation that may be given by the liquidator. Members who want to be represented at the meeting may appoint proxies. Proxy forms must be lodged with Wilkins Kennedy, Gladstone House, 77-79 High Street, Egham, Surrey TW20 9HY not later than 12:00 noon, March 9, 2005. CONTACT: WILKINS KENNEDY Gladstone House, 77-79 High Street, Egham, Surrey TW20 9HY Phone: +44 (0) 1784 435561 Fax: +44 (0) 1784 430584 E-mail: egham@wilkinskennedy.com Web site: http://www.wilkinskennedy.com OSPREY KITCHENS: First Creditors Meeting Next Week -------------------------------------------------- IN THE MATTER OF THE INSOLVENCY ACT 1986 and IN THE MATTER OF OSPREY KITCHENS AND BEDROOMS LIMITED (In Liquidation) I, Fraser J Gray, of Kroll Limited, Afton House, 26 West Nile Street, Glasgow G1 2PF, hereby give notice that I was appointed Interim Liquidator of Osprey Kitchens and Bedrooms Limited on January 6, 2005 by Interlocutor of the Sheriff at Kirkcaldy. Notice is hereby given, pursuant to section 138 of the Insolvency Act 1986, that the First Meeting of Creditors of the above Company will be held within Afton House, 26 West Nile Street, Glasgow G1 2PF, on February 16, 2005, at 3:00 p.m. for the purpose of choosing a Liquidator and determining whether to establish a Liquidation Committee. A Resolution at the Meeting will be passed if a majority of those voting have voted in favor of it. A Creditor will be entitled to vote at the Meeting only if a claim has been lodged with me at or before the Meeting, and it has been accepted for voting purposes in whole or in part. For the purpose of formulating claims, Creditors should note that the date of commencement of the Liquidation is November 11, 2004. Proxies may also be lodged with me at the Meeting or before the Meeting at my office. Fraser J. Gray, Interim Liquidator January 14, 2005 CONTACT: KROLL GLASGOW Afton House 26 West Nile Street Glasgow G1 2PF Phone: 44 (0) 141 248 1250 Fax: 44 (0) 141 248 1262 Web site: http://www.krollworldwide.com PARKER GRAPHICS: Creditors to Meet Next Week -------------------------------------------- The creditors of Parker Graphics Limited will meet on Feb. 15, 2005 at 10:30 a.m. It will be held at Trinity House, Heather Park Drive, Wembley, Middlesex HA0 1SU. Creditors who want to be represented at the meeting may appoint proxies. Proxy forms must be submitted together with written debt claims to Trinity House, Heather Park Drive, Wembley, Middlesex HA0 1SU not later than 12:00 noon, Feb. 14, 2005. RENTOKIL INITIAL: Drafts Veteran Aegis Executive Doug Flynn ----------------------------------------------------------- Rentokil Initial plc appointed Sunday Doug Flynn, 55, as Chief Executive. Mr. Flynn is currently Chief Executive of the global marketing services company Aegis Group PLC and will join Rentokil Initial with effect from 4 April 2005. He joined the Aegis board in 1998 as a non-executive director and was appointed Chief Executive in 1999. Prior to this he spent 13 years with the News Corporation Ltd in the UK and Australia, latterly as Managing Director of News International Plc. Before joining the News Corporation Ltd he was with ICI for 10 years working in Australia and Hong Kong in various management roles. Doug Flynn's five year tenure at Aegis has seen the business double in size, transforming it from a European media buying business to a marketing services group with global coverage employing approximately 10,500 staff in over 60 countries. As Chief Executive he has been responsible for re-thinking the strategy to meet the challenges posed by increased competition in the market and global consolidation. Aegis, which is listed on the London Stock Exchange, currently has annualized turnover of over GBP7 billion, revenues of GBP650 million and a market capitalization of circa GBP1.2 billion. Over the last two years the company has delivered record profits that have been achieved by a mix of strong organic growth and acquisitions. Prior to joining Aegis, Mr. Flynn was responsible for major structural and management changes at News International, improving operations and achieving a more commercial focus and more aggressive pursuit of market opportunities. Chairman Brian McGowan said: "Doug Flynn's extensive international experience at driving through structural change, building strong management teams and growing businesses to meet challenging and competitive markets are exactly the qualities we believe are required at Rentokil Initial. He has strong experience of running a diversified global services business made up of multiple operating units and has a proven track record of developing businesses operating in diverse geographies. "The Board was very impressed by Doug's energy, enthusiasm and obvious leadership qualities. We are delighted to welcome him to Rentokil Initial." Doug Flynn commented: "Rentokil Initial is a world class business with strong brands and a committed workforce. I am very much looking forward to working with the Board and management team to meet the competitive challenges in the market place and maximize the opportunities for growth in the business." CONTACT: RENTOKIL INITIAL PLC Felcourt East Grinstead West Sussex RH19 2JY Phone: +44-1342-833-022 Fax: +44-1342-326-229 E-mail: pr@rentokil-initial.co.uk Web site: http://www.rentokil-initial.com RUTLAND PRESS: Creditors Meeting Set Next Week ---------------------------------------------- The creditors of Rutland Press Litho Limited will meet on Feb. 15, 2005 at 12:00 noon. It will be held at Rothman Pantall & Co, Clareville House, 26-27 Oxendon Street, London SW1Y 4EP. Creditors who want to be represented at the meeting may appoint proxies. Proxy forms must be submitted together with written debt claims to Rothman Pantall & Co, Clareville House, 26-27 Oxendon Street, London SW1Y 4EP not later than 12:00 noon, Feb. 14, 2005. CONTACT: ROTHMAN PANTALL & CO Clareville House, 26-27 Oxendon Street, London SW1Y 4EP Phone: +44 (0) 20 7930 7272 Fax: +44 (0) 20 7930 9849 E-mail: london@rothman-pantall.co.uk Web site: http://www.rothman-pantall.co.uk SERIF SOFTWARE: Claims Filing Period Expires June ------------------------------------------------- IN THE MATTER OF THE INSOLVENCY ACT 1986 and IN THE MATTER OF Serif Software Limited (In Liquidation) I, I Scott McGregor, of Begbies Traynor, 4th Floor, 78 St Vincent Street, Glasgow G2 5UB, hereby give notice, pursuant to Rule 4.19 of the Insolvency (Scotland) Rules 1986, that on January 12, 2005, I was appointed Liquidator of Serif Software Limited by a Resolution of the First Meeting of Creditors held in terms of section 138(3) of the Insolvency Act 1986. No Liquidation Committee was established. Any creditors, who have not already done so, are required to lodge their claims with me on or before June 30, 2005. I. Scott McGregor, Liquidator January 12, 2005 CONTACT: BEGBIES TRAYNOR 4th Floor 78 St. Vincent Street Glasgow G2 5UB Phone: 0141 222 2230 Fax: 0141 222 2330 E-mail: glasgow@begbies-traynor.com Web site: http://www.begbies.com SOUTHAMPTON AND SOLENT: Calls in Liquidators from Buchanans ----------------------------------------------------------- At the extraordinary general meeting of Southampton And Solent Building Preservation Trust Company Limited on Jan. 27, 2005 held at Latimer House, the special, ordinary and extraordinary resolutions to wind up the company were passed. Peter Whalley and Peter Hall of Buchanans plc have been appointed liquidators of the company. CONTACT: BUCHANANS PLC Latimer House 5 Cumberland Place Southampton SO15 2BH Phone: 023 8022 1222 STEEL FRAME: Joint Administrators Take over Operations ------------------------------------------------------ Kenneth W. Touhey (IP No 8369) and Richard Toone (IP No 9146) have been appointed joint administrators for Steel Frame Services Limited. The appointment was made Jan. 21, 2005. CONTACT: CHANTREY VELLACOTT DFK 16-17 Boundary Road, Hove, East Sussex BN3 4AN Phone: 01273 421200 E-mail: info_hove@chantrey-vellacott.com Web site: http://www.cvdfk.com CHANTREY VELLACOTT DFK Russell Square House, 10-12 Russell Square, London WC1B 5LF Phone: 020 7509 9000 Fax: 020 7436 8884 Web site: http://www.cvdfk.com TEC TRADING: Calls in Receivers ------------------------------- IN THE MATTER OF THE INSOLVENCY ACT 1986 and IN THE MATTER OF Tec Trading Ltd. (In Receivership) I, Alexander Iain Fraser, of Tenon Recovery, 10 Ardross Street, Inverness IV3 5NS, give notice that on January 7, 2005, Thomas Campbell MacLennan and I were appointed as Joint Receivers of the whole property and assets of Tec Trading Ltd. in terms of section 51 of the Insolvency Act 1986. In terms of section 59 of the said Act, preferential Creditors are required to intimate their claims to me within six months of the date of this notice. A. I. Fraser, Joint Receiver January 7, 2005 CONTACT: TENON RECOVERY 10 Ardross Street Inverness IV3 5NS Phone: 01463 235321 Fax: 01463 231040 E-mail: inverness@tenongroup.com Web site: http://www.tenongroup.com WIRRAL RE-HAB: Creditors Meeting Wednesday ------------------------------------------ The creditors of Wirral Re-Hab (Mental Health) Limited will meet on Feb. 9, 2005 at 10:30 a.m. It will be held at Begbies Traynor, No. 1 Old Hall Street. Creditors who want to be represented at the meeting may appoint proxies. Proxy forms must be submitted together with written debt claims to Begbies Traynor, No 1 Old Hall Street, Liverpool L3 9HF not later than 12:00 noon, Feb. 8, 2005. CONTACT: BEGBIES TRAYNOR No 1 Old Hall Street, Liverpool L3 9HF Phone: 0151 227 4010 Fax: 0151 227 4009 Web site: http://www.begbies.com * Fourth-quarter Company Liquidations Slightly Down --------------------------------------------------- Statistics showing insolvencies in the fourth quarter 2004 was published Friday by the Department of Trade and Industry. Company Liquidations There were 2,938 liquidations in England and Wales in the fourth quarter of 2004 on a seasonally adjusted basis. This was a decrease of 0.9% on the previous quarter and a decrease of 11.1% on the same period a year ago. This was made up of 1,136 compulsory liquidations, an increase of 0.8% on the previous quarter and an increase of 0.3% on the corresponding quarter of last year, and 1,802 creditors voluntary liquidations, a decrease of 2.0% on the previous quarter and a decrease of 17.1% on the corresponding quarter of last year. About 0.7% of active companies went into liquidation in the twelve months ended Q4 2004, the same as the previous quarter and a decrease on the corresponding quarter of 2003. Individual Insolvencies There were 13,013 individual insolvencies in England and Wales in the fourth quarter of 2004 on a seasonally adjusted basis. This was an increase of 8.0% on the previous quarter and an increase of 34.6% on the same period a year ago. This was made up of 9,803 bankruptcies, an increase of 6.3% on the previous quarter and 28.9% on the corresponding quarter of last year, and 3,210 Individual Voluntary Arrangements (IVA's), an increase of 13.3% on the previous quarter and an increase of 55.8% on the corresponding quarter of the previous year. CONTACT: DEPARTMENT OF TRADE AND INDUSTRY 1 Victoria Street London SW1H 0ET Phone: 020-7215-5000 Web site: http://www.dti.gov.uk * 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) Rhi AG (531) 1,471 129 BELGIUM ------- Carestel N.V. CSTL.BR (3) 178 (68) City Hotels CITY.BR (7) 210 (15) Real Software REAL.BR (202) 176 (17) Sabena S.A. (86) 2,215 (297) CZECH REPUBLIC -------------- Ceskomoravska Kolben & Danek Praha Holding (89) 192 (2,186) DENMARK ------- Elite Shipping (28) 101 19 FRANCE ------ Acces Industrie (32) 124 (63) Arbel PA.ARB (50) 213 (47) Banque Nationale de Paris Guyane BNPG (41) 352 N.A. BSN Glasspack (101) 1,151 179 Bull S.A. BULP.PA (912) 902 (38) Compagnie Francaise de l'Afrique Occidentale (65) 256 21 Compagnies de Machines Bull (139) 137 (6) Charbo De France (3,872) 4,738 (2,868) Euro Computer System (110) 682 377 Grande Paroisse S.A. (927) 629 330 Immob Hoteliere (68) 233 29 LVL Medical Group LVLM.PA (8) 149 (6) Pneumatiques Kleber S.A. (34) 480 139 SDR Centrest (132) 252 N.A. 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 (0) 134 10 Usines Chausson (23) 249 35 GERMANY ------- Agor AG DOOG.BE (8) 392 (126) Dortmunder Actien-Brauerei DABG (13) 118 (29) F.A. Guenther & Son AG GUSG (8) 111 N.A. Glunz AG GLUG (0) 428 (17) Kamps AG KMPSF.PK (93) 1,075 (61) Kaufring AG KAUG (19) 151 (51) Mannheimer AG (15) 879 N.A. Marbert AG MTBG (13) 144 (50) Nordsee AG (8) 195 (31) Primacom AG PRIG (106) 1,264 (50) Rinol AG RLIG (25) 178 (53) Schaltbau Hold SLTG (38) 150 (26) Senator Entertainment AG SENGk.BE (153) 126 (148) SinnLeffers AG WHGG (4) 454 (145) Spar Handels- AG SPAG (442) 1,433 (234) VBH Holding AG VBHG (54) 337 (80) Vivanco Gruppe (55) 131 (31) GREECE ------ Delta Ice Cream (3) 183 (14) DryShips Inc. DRYS (4) 184 (29) ITALY ----- Binda S.p.A. BND (11) 129 (20) Cirio Finanziaria S.p.A. (422) 1,583 (396) Credito Fondiario e Industriale S.p.A. (200) 4,218 N.A. Finpart S.p.A. (31) 793 (248) Gruppo Coin S.p.A. GC (111) 974 (97) Lazio S.p.A. LAZI (27) 426 (175) Olcese S.p.A. OLCI.MI (13) 180 (64) Parmalat Finanziaria S.p.A. (16,510) 5,285 (332) Technodiffusione Italia S.p.A. TDIFF.PK (90) 152 (24) LUXEMBOURG ---------- Millicom International Cellular S.A. MICC (59) 1,523 4 Oriflame Cosmetics S.A. ORI.ST (44) 378 97 NETHERLANDS ----------- Baan Company N.V. BAAN (8) 610 46 Numico N.V. NUMC (558) 2,030 83 United Pan-Euro Air UPC (5,266) 5,180 (8,730) NORWAY ------ Pan Fish ASA (24) 514 327 Petroleum-Geo Services PGO (32) 2,963 (5,250) POLAND ------ Gruppo Media Capital SGPS S.A. GMPTF.PK (21) 399 (85) Mostostal Zabrze MECOF.PK (6) 227 (366) RUSSIA ------ Kamchatskenergo (107) 291 (7,319) Zil Auto (147) 349 (9,974) SPAIN ----- Altos Hornos de Vizcaya S.A. (116) 1,283 (278) Avanzit S.A. AVZ.MC (117) 457 (247) Santana Motor S.A. (46) 223 41 Sniace S.A. (16) 136 (34) SWITZERLAND ----------- Kaba Holding AG KABZN (19) 569 372 Swisslog Holding-R SLOG (98) 354 151 TURKEY ------ Dyo Boya Fabrikalari Sanayi Ve Ticare (11) 106 (66) Nergis Holding (24) 125 22 Yasarbank (948) 623 N.A. UNITED KINGDOM -------------- Abbott Mead Vickers (2) 168 (16) Alldays Plc (120) 252 (202) Amey Plc (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 BWL (1,774) 867 (1,157) British Energy Plc BGY (5,342) 3,438 229 British Nuclear Fuels Plc (4,248) 40,326 977 Center Parcs (UK) Group Plc CQY (77) 423 (227) Compass Group CPG (668) 2,972 (298) Costain Group COST (65) 396 (4) Danka Bus System DNK.L (51) 585 82 Dawson Holdings DWN.L (29) 142 (32) Dignity Plc DTY.L (148) 485 (89) Easynet Group ESY.L (45) 323 38 Electrical and Music Industries Group EMI (1,318) 3,472 (293) Euromoney Institutional Investor Plc ERM.L (113) 236 (66) Gallaher Group GLH (492) 6,304 116 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 (130) 997 (56) Intertek Testing Services ITRK (64) 508 77 Invensys PLC (559) 5,885 882 IPC Media Ltd. (685) 254 16 Jarvis Plc JRVS.L (26) 1,176 (182) Jessops Plc JSP.L (8) 297 7 Lambert Fenchurch Group (1) 1,827 3 Lattice Group (1,290) 12,410 (1,228) Leeds United LDSUF.PK (73) 144 (29) M 2003 Plc (2,204) 7,205 (756) Manchester City (17) 154 (21) Misys Plc MSY (334) 934 44 Mytravel Group MT.L (1,118) 2,551 (533) Orange Plc ORNGF (594) 2,902 7 PD Ports Plc PDP.L (282) 361 0 Premier Foods Plc PFD.L (565) 1,105 34 Probus Estates Plc PBE.L (28) 113 (35) Regus Plc RGU.L (46) 367 (60) Rentokil Initial Plc RTO (1,092) 3,245 (68) Saatchi & Saatchi SSI (119) 705 (41) Seton Healthcare (11) 157 0 SFI Group (108) 178 (162) Telewest Communications Plc TLWT (3,702) 7,581 (5,361) Virgin Mobile Holdings Plc VMOB.L (101) 278 (80) Each Tuesday edition of the TCR-Europe contains a list of companies with insolvent balance sheets based on the latest publicly available balance sheet available to our editors at the time of publication. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter -- Europe is a daily newsletter co- published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland USA. Larri-Nil Veloso, Ma. Cristina Canson, Liv Arcipe and Julybien Atadero, Editors. Copyright 2005. 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. * * * End of Transmission * * *