TCREUR_Public/050516.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

              Monday, May 16, 2005, Vol. 6, No. 95

                            Headlines

A U S T R I A

VA TECHNOLOGIES: Books All-time High Order Intake
VA TECHNOLOGIE: Wins EUR33 Million 'Europe Passage' Work


B E L G I U M

REAL SOFTWARE: First-quarter Turnover Drops 17%


C Z E C H   R E P U B L I C

AERO VODOCHODY: New Government Goes Ahead with Sale
CZECH AIRLINES: Profit Up Despite High Fuel Cost
TSAKIS: Tourism Slump Claims Another Victim


D E N M A R K

ISS A/S: Ratings Lowered to Speculative Grade


F R A N C E

BULL SA: Targets Breakeven in Italy this Year
RHODIA SA: Q1 Operating Income Jumps to EUR55 Million


G E R M A N Y

ANGIOLAS MEDICAL: Creditors Claim Due Next Month
AWUS-FORTBILDUNGSZENTRUM: Under Bankruptcy Administration
BABEN HEIZUNGS: Court to Verify Claims June
DUERR AG: Posts EUR4.2 Million First-quarter Net Loss
FIREFIGHTER AUSRUSTUNGEN: Applies for Bankruptcy Proceedings

GANZ BAU: Court Appoints Marc Schmidt Thieme Administrator
GEORG J. MERSCHER: Creditors' Claims Due Next Month
HOHNE VERWALTUNGS: Administrator Takes over Operations
KARSTADTQUELLE AG: First-quarter Sales Down 8.4%
MAWA SYSTEME: Ingolstadt Court Appoints Administrator

RB HAUSBAUREGIE: Sets First Creditors Meeting June 30
SANITEC GMBH: Gives Creditors Until Tuesday to File Claims
UR-BAUTENSCHUTZ: Creditors Meeting Set June 10
VOLKSWAGEN AG: New Cost-cutting Drive Aims to Save EUR1 Billion


I T A L Y

ALITALIA SPA: Deutsche Bank Wants Discount on Leftover Shares
CIRIO FINANZIARIA: Police Firm up Case vs. Cragnottis, 40 Others


L U X E M B O U R G

MILLICOM INTERNATIONAL: Reaping Benefits from Restructuring
THIEL LOGISTIK: Core Markets Difficulties Hit Results


N E T H E R L A N D S

HEAD N.V.: Net Loss Down to US$9.1 Million
KONINKLIJKE AHOLD: Net Sales Fall Slightly in Q1
NUMICO N.V.: Shareholders Approve Share Issuance, Buyback
VERSATEL N.V.: Authorities Investigate Possible Insider Trading


N O R W A Y

DNO ASA: Posts Q1 Net Profit of NOK143.8 Million
PAN FISH: Raising NOK200 Million to Fund Growth
PAN FISH: Reports NOK10.4 Million Operating Loss in Q1


R U S S I A

AKSUBAEVSKOYE BUILDING: Deadline for Proofs of Claim Set June
CRYSTAL-BANK: Declared Insolvent
KRIST: Bankruptcy Proceedings Begin
KUZOVATOVSKOYE: Under Bankruptcy Supervision
MALOYAZOVSKIY: Assets for Public Auction Wednesday

NOVOCHEBOKSARSKAYA: Undergoes Bankruptcy Supervision Procedure
OLIMPIYSKIY: Commercial Bank Succumbs to Bankruptcy
PASHUTINSKOYE: Gives Creditors Until June to File Claims
TULSKIY: Declared Insolvent
ZLATOUSTOVSKIY: Chelyabinsk Court Appoints Insolvency Manager


S W E D E N

SKANDIA INSURANCE: Unit's Managed Assets Grow by SEK1 Bln
SKANDIA INSURANCE: First-quarter Sales Up
SKANDIA INSURANCE: Gets 'Very Good' Rating from Customers


S W I T Z E R L A N D

ABB LTD.: Eyes 7.7% Full-year EBIT Margin
ABB LTD.: Extends Directors' Tenure by a Year
CONVERIUM HOLDING: Long-term Rating Remains at 'B+'


T U R K E Y

DOGUS HOLDING: Ratings Affirmed at 'B+'
VESTEL ELECTRONIC: Fitch Rates Notes 'BB-'


U K R A I N E

DONSNAB: Succumbs to Insolvency
EMAL: Bankruptcy Proceedings Begin
PALLADA-INVEST: Court Freezes Debt Payments
PROMENERGOBUD: Harkiv Court Appoints Insolvency Manager
THERMOELEMENTS PLANT: Declared Insolvent

UKRAINA: Cherkassy Court Opens Bankruptcy Proceedings
VIKTOR: Insolvency Manager Takes over Helm
VKSAF VIKTORIYA: Applies for Bankruptcy Proceedings
ZACHATIVSKE: Succumbs to Bankruptcy
ZHURAVKA: Under Bankruptcy Supervision


U N I T E D   K I N G D O M

3A BUILDING: Appoints BWC Business Solutions Administrator
ALL-IN-ONE WINDOWS: Names PricewaterhouseCoopers Administrator
ALL SAINTS: Appoints Liquidators from Springfields
ASSOCIATED ROOFING: Members Pass Winding-up Resolutions
A VISION: Calls in Liquidators from Valentine & Co.

BRIERKRETE LIMITED: Hires DTE Leonard Curtis to Liquidate Assets
CAMBRIDGE UNITED: Decides to Call in Liquidators
CANTEL LIMITED: Winding-up Report Out July
CAPITAL LOFT: Opts for Liquidation
CAPITAL (SOUTHERN): Members Decide to Wind up Firm

CITY FLOORING: Hires Liquidator from SPW Poppleton & Appleby
COLLEGIUM 134: Sets Final Members Meetings June 22
CYGNUS TECHNOLOGY: Hires Administrator from Sharma & Co.
DALES MOULDINGS: Names Poppleton & Appleby Liquidator
DCF ENGINEERING: Liquidator to Present Report Mid-June

FNL OLDCO: Hires Ian Franses Associates Liquidator
FONTEL LIMITED: Final Creditors Meeting Set Second Week of June
FREEMARKETS LIMITED: Liquidator from Stoy Hayward Moves in
GADGET SHOP: Meeting of Creditors Set Later This Month
HALLADALE HAWORTH: Names Deloitte & Touche Liquidator

HARLEQUIN INNS: Hires Administrator from Citroen Wells
INMARSAT GROUP: Posts Positive First Quarter
JON WILKINS: Calls in Administrator from Albert Goodman
K W PURVIS: Appoints Tait Walker Administrator
MARYHILL CARPETS: Liquidation Account Out Mid-June

MG ROVER: Time's Up for Potential Buyers
MODEL CENTRE: Creditors Meeting Set Tomorrow
N H WOOLLEY: Members Pass Winding-up Resolution
PROGRESS TRUST: Members Decide to Wind up Firm
R G BLAND: Appoints Poppleton & Appleby Liquidator

ROYAL & SUNALLIANCE: Nearly Doubles Q1 Operating Result
SCOTAIRWAYS: Expects to Report Profit at Operating Level
TELEWEST GLOBAL: Operating Income Up 26% in First Quarter
TIS (PORTSMOUTH): Hires Piper Thompson Administrator
TROUTBECK BRIDGE: Liquidator from Geoffrey Martin Moves in
WM MORRISON: Rumored Profit Warning Pulls Shares to 8-month Low


                            *********


=============
A U S T R I A
=============


VA TECHNOLOGIES: Books All-time High Order Intake
-------------------------------------------------
The positive developments in the capital goods sector resulted in
an excellent order position for VA Technologie AG during the
first quarter of 2005.  There were satisfactory growth rates in
both the raw materials and processing industries, leading to
lively investment in the iron and steel, power technology and
infrastructure areas.

The restructuring measures carried out in 2004 in the
Transmission and Distribution Division (VA TECH T&D) and Water
Systems (VA TECH WABAG), as well as the related restructuring
investments, have proved to be an important investment in
increased earnings power.

Order Situation -- Record Order Intake and an All-Time Order
Backlog High

During the first quarter of 2005, order intake in the VA TECH
Group rose by 25% to EUR1,619 million.  This pleasing
development, which represented the highest ever first quarter
order intake, was due largely to the increase in new orders in
Metallurgy (plus 77%).  This followed an especially good first
quarter in 2004.

In regional terms, orders from Europe predominated (46%),
followed by the Near/Middle East, Africa (32%) and Asia (12%).

Order backlog as at March 31, 2005, stood at EUR5,271 million,
which was 13% up on the figure for 2004 and a new all-time high.
This represents a ratio of 1.3 to annual sales in 2004.

VA TECH sales in the first quarter of 2005 were raised by 11% to
EUR984 million.  Here, too, Metallurgy (plus 40%) showed the
strongest growth rates.  Power Generation sales fell slightly
(-4%), while the Transmission and Distribution and Infrastructure
figures were both marginally higher at plus 2% and 5%
respectively.

Sharp Increase in EBITA and Positive Consolidated Result

Earnings before interest, taxes and goodwill amortization (EBITA)
in the first three months amounted to EUR23.6 million, which was
well above the comparative figure for 2004 of EUR4.9 million.
The VA TECH consolidated financial result for the first quarter
shifted from -EUR1.5 million to -EUR3.6 million.

Following the deduction of taxes and minority interests, the
first quarter result improved to EUR18.4 million (2003: -EUR7.6
million).   Therefore, in spite of the traditionally weaker
business pattern in the first months of the year, VA TECH
succeeded in achieving a positive consolidated first quarter
result for the very first time in its history.  Net liquidity was
raised still further and at EUR279 million, was 31% up on the
comparable figure for the first quarter of 2004.

Takeover bid -- 97.15% of VA TECH stock tendered to Siemens
For VA TECH, the first quarter of 2005 was not only characterized
by an excellent order situation, but also far --reaching
development in ownership structure.  A takeover bid from the
Siemens Group, led to the fact that following the end of the
general period of acceptance on February 9, 2005, over 90% of VA
TECH stock had been tendered to Siemens at a price of EUR65 per
share.  Following the extended acceptance period, the number of
shares tendered rose to 97.15%.

The takeover still requires anti-trust approval from the European
Union and Canada, and until this is granted both Siemens and VA
TECH are subject to a prohibition on consolidation.  The decision
of the E.U. Commission is expected by July 20, 2005.

Since March 21, 2005, continuous trading in VA TECH stock in the
prime market of the Viennese Stock Exchange has ceased.
Instead, the shares have been transferred to the "standard market
auction."

At the VA TECH's General Shareholders' Meeting on April 12, 2005,
the capital representatives on the Supervisory Board were reduced
from ten to nine, of whom four were newly elected.
Christian Nowotny, Vienna University of Economics, was chosen as
the Chairman of the newly constituted Supervisory Board with
Peter Michaelis, the Osterreichische Industrieholding AG Managing
Board spokesman, as his deputy.

The Supervisory Board also approved the conclusion of an
agreement with the Managing Board Chairman, Klaus Sernetz and the
Group CFO, Hanno M. Bastlein, regarding a contractual termination
on July 31, 2005, subject to the takeover of VA TECH by Siemens
Osterreich.  Following the approval of this agreement (valid from
May 12), at their own request, Sernetz and Bastlein were granted
leave until July 31, 2005.

Klaus Sernetz's assignments have been temporarily assumed by
Christian Habegger as Chairman of the Managing Board in addition
to his current functions as the head of the Power Generation and
Transmission and Distribution Divisions.  Hanno M.  Bastlein's
activities have been taken over by Erich Ennsbrunner, in tandem
with his post as VAI CFO.  Gerhard Falch remains Deputy Chairman
of VA TECH and VAI and Juergen Wild will continue as a member of
the VA TECH Managing Board with responsibility for the
Infrastructure Division and as the VA TECH ELIN EBG Chairman.

Developments in the Divisions

The first quarter of the year brought the Metallurgy (VAI)
Division another increase in global crude steel production of
6.5% to 267.2 million tons.  Numerous plans remain for the
building of additional production capacity, particularly where
there is low-cost access to raw materials and/or energy, as in
the CIS, Brazil, India and the Gulf States.  Moreover, the
positive order situation among the steel producers led to
investments in modernization, increased productivity and improved
product quality, especially in Europe and the CIS.

The upward trend in the international iron and steel industry
market is underlined by VAI order intake, which in the first
three months of the year rose by 77% to the exceptionally high
figure of EUR805 million (Q1 2004: EUR454 million).  As a result
of this highly satisfactory order development, order backlog also
increased by 53% to the record level of EUR2,042 million (Q1
2004: EUR1,334 million), which corresponds with use of capacity
for around two years.  The positive business trend is again
reflected by an improvement in sales of 40% to EUR340 million (Q1
2004: EUR243 million).  In a quarterly comparison, the operating
result (EBITA) was more than doubled from EUR5.0 million in 2004
to EUR11.1 million in 2005.  Furthermore, the excellent order
position meant that starting from the extremely healthy 2004
level, Metallurgy Division liquidity continued to develop in a
highly positive manner.

International market development in the Power Generation (VA TECH
HYDRO) Division was stable and characterized by a steady increase
in electricity demand.  In the hydropower segment, investments
are being made in both new projects and the modernization of
existing capacity.  In Europe, the trend towards the installation
of pumped storage power stations continued, while the North
American market was steady.  The current tendency in South
America and Africa is towards stagnation, but on the back of
strong power demand expansion, China showed sizeable growth
rates.

After a year characterized by project postponements in 2004,
stable future growth is expected in the European gas-fuelled
combined cycle power plant market, particularly with regard to
southern and southeastern Europe where expansion plans are
already on the table.

In view of the latest developments with Siemens, following the
order for the completion of a gas-fuelled combined cycle power
plant in Bucharest, additional joint orders with General Electric
can no longer be anticipated.

During the first quarter of 2005, Power Generation order intake
was raised by 20% to EUR269 million (Q1 2004: EUR225 million).
Order backlog increased by 2% to EUR1,584 million (Q1 2004:
EUR1,556 million), thus ensuring full use of capacity for a
considerable period.  At EUR213 million, sales were down on the
comparable period of the previous year (EUR223 million), as was
the operating result (EBITA) at EUR2.6 million (Q1 2004: EUR6.5
million).

The market for the products and services of the Transmission and
Distribution (VA TECH T&D) Division was in a positive mood.  On
the basis of brisk investment in China, a clear market upturn has
become evident.  Switchgear business has developed in a positive
manner, while the situation in the international transformer
market has also improved.  The automation market continued to
show a positive tendency in all the main regions.

At EUR294 million, order intake in the first quarter of 2005 was
below the comparable figure for 2004 (EUR369 million).  This was
partly due to the fact that the 2004 total included both the Asta
Elektrodraht company and major orders in the switchgear segment.
Order backlog as at March 2005, was 3% up at EUR985 million
(2004: EUR954 million).  Despite the inclusion of Asta
Elektrodraht in the figure for the previous year, sales in the
first quarter of 2005 rose to EUR243 million (Q1 2004: EUR239
million).

The positive business situation and the streamlined cost
structure derived from restructuring in 2004 led to a marked
improvement in the earnings situation.  The operating result for
the first quarter (EBITA) increased from EUR2.5 million in 2004
to EUR9.6 million in the first quarter of 2005.  This
satisfactory development was based on higher income in the three
switchgear, transformer and automation business areas.

The closure of production at the transformer plant in Edinburgh
at the end of April with the retention of a service centre, as
well as major restructuring at the St. Catharines location in
Canada, proceeded as scheduled.

Despite tougher general conditions in Western Europe, the
Infrastructure (VA TECH ELIN EBG, aii, VA TECH WABAG) Division
was able to look back on positive market development in the first
quarter of 2005.  Above all, the new E.U. member states and the
export markets ensured stable development.  In the industrial
infrastructure sector, the positive economic developments in both
the raw materials and processing industries had an enlivening
effect on business activity.  In particular, the automotive
industry served as a driver for investment in Eastern Europe.

In the building infrastructure area, the trend towards holistic,
technical system solutions continued, whereby as in the municipal
infrastructure area, the investment impulses from Germany and the
CEE states proved beneficial.  In the IT services sector, the
market is characterized by a readiness of medium-sized companies
to outsource their entire information technology requirements.
In the Water Systems business area, the market demand for
wastewater and drinking water plants developed positively in
China, North Africa and new E.U. member states.

The VA TECH Water Systems business area, VA TECH WABAG, has been
under the industrial management of VA TECH ELIN EBG since 2004
and is now included in the results consolidation of the
Infrastructure Division.

In a quarterly comparison, order intake in the Infrastructure
Division rose by 7% to EUR298 million (Q1 2004: EUR279 million),
while order backlog now stands at EUR826 million (Q1 2004: EUR936
million).  In spite of far-reaching restructuring in the Water
Systems area and the related divestment of operative units, in
terms of a quarterly comparison, sales were increased to EUR218
million (Q1 2004: EUR207 million).

At -EUR0.1 million, the operating result (EBITA) was still
slightly negative, but when compared with the added figure for
the preceding year of -EUR8.7 million, the improvement in
earnings is clearly evident.  This upturn can be traced largely
to the restructuring in the Water Systems area.

Key indicators[1]

EUR mln                    Q1/2005    Q1/2004    Change    Total
                                                           2005

Order intake                 1,619      1,295      +25%    4,634

Order backlog[2]             5,271      4,652      +13%    4,695

Sales                          984        889      +11%    4.073

EBITA[3]                        23.6       4.9    +382%      -11

EBIT[4]                         23.6      -9.6        +      -44

Financial result                -3.6      -1.5        -      -22

EBT[5]                          20.0     -11.1        +      -66

Group earnings                  18.4      -7.6        +      -68

Employees[2]                16,582    17,079        -3%   16,562

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
[1] Figures according to the International Financial Reporting
Standards (IFRS),

[2] Closing date,

[3] Earnings before interest, taxes and goodwill amortization,

[4] Earnings before interest and taxes

[5] Earnings before taxes
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

Outlook 2005

Further improvements in the business situation should be
available to the VA TECH Divisions throughout the 2005 financial
year.  Positive influences are evident in both the metallurgy and
the energy branches.

More than three-quarters of the sales planned for 2005 are
already secured through order backlog.  Therefore, the VA TECH
Managing Board has confirmed its forecast regarding the Group
result for 2005 and expects profits of over EUR66 million.
However, the development of VA TECH and its businesses will be
influenced to a major extent by the possible takeover by Siemens.
At present, an estimate of the effects is not possible.

Vienna, May 12, 2005

The listed VA Technologie AG (VA TECH) is a focused Technology
and Service Company, which provides value to customers over the
entire plant life cycle.  Leading international positions are
held in Metallurgy, Power Generation, Transmission and
Distribution and Infrastructure.  Pursuant to IAS, during the
2004 financial year the Group achieved sales of EUR4,073 million
with a work force of 16,562.

Following the announcement on December 10, 2004, by Siemens AG
Osterreich of a takeover bid for VA TECH, the extended period of
acceptance terminated on February 25, 2005.  The total of own and
tendered shares to Siemens amounts to 97.15%.  Consequently, one
precondition for a takeover by Siemens has been fulfilled.
However, until the anti-trust authorities in the E.U. and Canada
approve the takeover, both VA TECH and Siemens are subject to a
prohibition on the concentration process.

CONTACT:  VA TECHNOLOGIE AG
          Lunzerstrasse 64
          A-4031 Linz, Austria
          Phone: +43-732-6986-9222
          Fax: +43-732-6980-3416
          Web site: http://www.vatech.co.at

          Bettina Pepek
          Press Officer
          Phone: +43 1/89100-3400
          Fax: +43 1/89100-4103
          E-mail: bettina.pepek@vatech.at

          Wolfgang Schwaiger
          Communications and Investor Relations
          Phone: +43 70/6986-9222
          Fax: +43 70/6980-3416
          E-mail: wolfgang.schwaiger@vatech.at


VA TECHNOLOGIE: Wins EUR33 Million 'Europe Passage' Work
--------------------------------------------------------
HOCHTIEF Construction AG commissioned the VA TECH ELIN EBG with
the contract for the complete technical building systems of the
Hamburg Europe passage.  The Hamburg-based engineering
consultants Ridder & Meyn designed the concept for the building
engineering.

With 60,000 square meters space for businesses, cafes,
restaurants and offices, it is the glass-covered Europe passage
between Ballindamm and Monckeberg street.  It is the largest
inner-city construction project of the past decades, and at the
same time a balancing act between old and new.  The new
construction shall conserve the qualities of the cityscape
created after the fire in 1842.  The famous Hamburg-based
architects Bothe Richter Teherani have succeeded in this
balancing act: On the one hand, the historic structures will
basically remain, on the other hand, new lovely views will be
offered at the new Jungfernstieg and the Binnenalster.

The Europe passage has one of the longest shopping malls in
Germany with more than a hundred businesses and international
gastronomy on the industrial real estate of 29,000 sq. m.  A
further 34,000 sq. m. space offer representative offices, while
an underground car park with approximately 700 parking spaces on
5 ground-floor stories and an own underground connection provide
additional comfort.

The services to be rendered by VA TECH ELIN EBG include the
complete heating, air-conditioning, ventilation, sanitation
systems and sprinkler, the strong and weak current installation
as well as the complete building and erection planning.
Completion including the development for the tenants (office
area) is planned for February 2007.

Stuttgart Konigsbau Passages, Contract Value: EUR11 Million

The general contractor, Wayss & Freytag Schlusselfertigbau AG,
who is responsible for the order of the complete technical
building systems of the Stuttgart Konigsbau passages commissioned
the VA TECH ELIN EBG with this contract.

In the middle of Stuttgart's heart a new shopping and adventure
world of a size of approximately 70,000 square meters is coming
into existence with the Konigsbau passages.  Situated directly in
the historical city center and connected immediately with the
Stuttgart Konigsstrasse an attractive meeting point for visitors
interested in shopping and culture, and at the same time a
first-class office address, is created with this project.

The modern architecture is docking directly at the existing
Konigsbau.  A glass cupola towers above the classicistic building
from the 19th century.  Thus a classical-modern total ensemble
comes into being in which glass surface and sandstone, filigree
structures and mighty columns complement one another very nicely.
The Konigsbau that is under monumental protection is going to be
substantially modernized on the occasion of the civil works.  The
shopping center consists of a two-story underground car park with
420 parking spaces, the technology center, 5 levels of shopping
area and 5 levels of office space.

The size of the order comprises the construction of all essential
elements in the sectors heating -- air conditioning,
ventilation -- sanitary engineering including sprinkler, concrete
core tempering, storefront spaying system as well as the complete
measuring and control technology.  Project start was in February
2005, the contract is due for completion in April 2006.

The VA TECH ELIN EBG Group, which is part of the listed VA
Technologie AG (VA TECH), is a leading multi-local supplier of
holistic, electromechanical and electronic plants, systems and
services for industrial, building and municipal infrastructure.
Company solutions competence incorporates the areas of industrial
plant, building technology, facility management, power supply,
automation, drive and traction technology.  Pursuant to IAS,
during the 2004 financial year the Group achieved sales of EUR863
million with a work force of 3,920.

Following the announcement on December 10, 2004, by Siemens AG
Osterreich of a takeover bid for VA TECH, the extended period of
acceptance terminated on February 25, 2005.  The total of own and
tendered shares to Siemens amounts to 97.15%.  Consequently, one
precondition for a takeover by Siemens has been fulfilled.
However, until the anti-trust authorities in the E.U. and Canada
approve the takeover, both VA TECH and Siemens are subject to a
prohibition on the concentration process.

CONTACT:  VA TECHNOLOGIE AG
          Bettina Pepek
          Press Officer
          Phone: +43 1/89100-3400
          Fax: +43 1/89100-4103
          E-mail: bettina.pepek@vatech.at

          Wolfgang Schwaiger
          Communications and Investor Relations
          Phone: +43 70/6986-9222
          Fax: +43 70/6980-3416
          E-mail: wolfgang.schwaiger@vatech.at


=============
B E L G I U M
=============


REAL SOFTWARE: First-quarter Turnover Drops 17%
-----------------------------------------------
Highlights

(a) quarterly revenue of EUR30.3 million;

(b) sales pipeline growing;

(c) hiring accelerated in light of improving sales pipeline;

(d) costs under control and to be further monitored;

(e) net result improvement of EUR0.8 million compared with the
    first quarter of 2004; and

(f) announced measures improving extended equity by EUR15.8
    million completed.

Turnover

During the first quarter of 2005, a group turnover of EUR30.3
million was generated.  This expected reduction in revenues is
about proportional to headcount reduction and is a decline of 17%
compared with the first quarter of last year.

Operating Result

Operating result (EBIT) break-even in the first quarter of 2005
versus EUR0.8 million in the same period last year.

Non-operational and Extraordinary Income and Losses

Financial result of -EUR2.6 million in the first quarter of 2005
is EUR0.2 million below last year.  It includes EUR1.3 million
depreciation of goodwill, which is EUR0.5 million lower than the
first quarter of 2004 due to goodwill write off at year end and
EUR1.3 million accrued interests on loans which is EUR0.7 million
higher than the first quarter of 2004 due to waiver of interests
on the major bank debt as part of the Gores transaction in the
first quarter of 2004.

The extraordinary result of EUR1.0 million in the first quarter
of 2005 is EUR1.7 million better than in the first quarter of
2004.  It consists of an extraordinary charge of EUR0.3 million
and an extraordinary income of EUR1.3 million, related to the
debt waiver that was part of the agreement of 3 March 2005 with
Indi N.V.

Net Result

The net group result improved by EUR0.8 million to -EUR1.8
million from -EUR2.6 million, in the same period in 2004.

Net Cash flow

Net cash flow decreased to -EUR0.9 million from -EUR0.7 million,
in the first quarter of 2004.

Announced Measures Improving Extended Equity by EUR15.8 million
Completed

On 29 March 2005 the extraordinary general shareholders' meeting
resolved to issue 1,500 subordinated convertible bonds for a
value of EUR15.0 million, replacing the existing bridge loans.
As a result, in the second quarter, EUR15.0 million will be added
to the capital and reserves and are expected to amount, in the
extended definition, to -EUR7.2 million.

On 3 March 2005, Real Software N.V. entered into a settlement
agreement with Rudy Hageman and Indi N.V.  The net payable of
EUR2.1 million was reduced to EUR0.8 million, which has resulted
in an extraordinary gain of EUR1.3 million in the first quarter
of 2005.  Payment of EUR0.8 million was settled on 25 April 2005
by issuance of 1.6 million shares resulting in an equity increase
of EUR0.8 million in the second quarter of 2005.  At the end of
the first quarter of 2005, the group's capital and reserves
were -EUR38.6 million, out of a balance-sheet total of EUR98.7
million.

Headcount

As per 31 March 2005, the Real Software Group had 1,260
employees, compared with 1,457 on 31 March 2004 and 1,251 on 31
December 2003.  During the first quarter of 2005, 30 staff left
the company and 39 new recruits were hired in light of improving
the sales pipeline and expanding the group's technology skills.

Prospects for 2005

The group maintains its perspectives announced at the year-end of
2004.  For fiscal year 2005 the group expects -- based on the
optimization of resources and productivity improvements on the
one hand and more focus on selected niche markets and products on
the other hand -- continued improvement in the operational
results and effective stabilization of the group's activities.

IFRS

The company plans to report according to IFRS as of year-end
2005.  At that time comparable 2004 figures will be reported as
well.

        Group Turnover First Quarter of 2005

Group Turnover per Delivery Organization

During 2004 the group switched over to a functionally oriented
organizational structure.  Reporting per division will be
therefore, as from this first quarter of 2005 on, be done per
delivery organization.

Compared with the first quarter of 2004, revenue generated by
system integration decreased by EUR6.0 million (-22%) during the
first quarter of 2005.  The sales of software products and
maintenance declined 10% compared with the same period of last
year mainly due to the delay in roll out of a POS project within
Retail.  Infrastructure, on the other hand, increased with EUR0.5
million as a result of two large hardware and related services
deals in Luxemburg.

Geographical Breakdown of Group Turnover

70% of consolidated group turnover was recorded in Benelux during
the first quarter of 2005.  France remained in second position
with 27% of group turnover, 4% up on the previous year.

A copy of these results is available free of charge at
http://bankrupt.com/misc/RealSoftware(Q12005).pdf

CONTACT:  REAL SOFTWARE GROUP N.V.
          Prins Boudewijnlaan 26
          2550 Kontich
          Phone: +32 3 290 23 11
          Fax: +32 3 290 23 00

          Dina Boschmans
          Corporate Communications Manager
          E-mail: Dina.Boschmans@realsoftware.be
          Web site: http://www.realsoftwaregroup.com


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


AERO VODOCHODY: New Government Goes Ahead with Sale
---------------------------------------------------
The newly appointed cabinet of Prime Minister Jiri Paroubek is
under pressure to sell aircraft maker Aero Vodochody to save it
from bankruptcy.

The government issued last year eurobonds to cover the firm's
CZK5.5 billion (US$235 million) debt.  The debt will mature in
November and the state has ruled out spending more cash to rescue
it.  Aero posted profit of CZK295 million last year, down from
CZK313 million in 2003.  But it is being weighed down by huge
debt from unpaid loans that currently prevent it from drawing on
additional credit.

Industry and Trade Minister Milan Urban said: "I think this
[privatization attempt] is in a way the last chance for the
company."  He denied there are immediate plans to lay off people
from Aero's 1,610 workforce.

The tender will be made in two rounds, and facilitated by state
bailout agency Ceska konsolidacni Hospodarske noviny, according
to Prague Post.  The first part will be a pre-qualifying stage
where bidders will be asked to prove experience in aircraft
manufacturing and submit a viable business plan.  The second will
be a contest of the best price.  Mr. Urban said a final decision
must come by the end of November.

The government has already called in Deloitte & Touche to review
a possible controlled liquidation of the firm.  The assessment
will determine potential price for the tender.  Several investors
have already expressed interest in the firm.  They include
European aircraft consortium Airbus, as well as Britain's BAE
Systems and Israeli Elbit, according to Mr. Urban.
He said the government plans to continue Aero's aircraft
production, which was halted last year.  Aero currently focuses
on aircraft repairs and cooperation programs.

The state's frantic search for an investor came only seven months
after booting out former shareholder and U.S. plane maker Boeing.
It accused Boeing of not securing enough orders to keep Aero
alive.  It then attempted to restructure the firm by writing off
debt, but the European Commission thwarted the plan saying it was
tantamount to state aid.

CONTACT:  AERO VODOCHODY
          250 70 Odolena Voda,
          Czech Republic
          Phone: +420 25576 1111
          Fax: +420 25576 2111 or +420 25576 5999
          Web site: http://www.aero.cz


CZECH AIRLINES: Profit Up Despite High Fuel Cost
------------------------------------------------
According to the results of the final audit, Czech airlines
showed a net profit of CZK324.2 million in 2004, which is more
than four times higher than in 2003.  Using international
accounting standards, the profit is US$22.9 million.  The total
economic result is better than the originally estimated profit,
especially because of higher earnings from abroad.

"The International Air Transport Association IATA evaluated CSA
as the most dynamically growing air carrier of 2004.  Despite the
very turbulent environment of air transport, we managed to
increase our profit and operational results and thanks to the
modernization of our fleet, we have become a highly competitive
airline on the European market," says Jaroslav Tvrdik, President
and Chairman of the Board of CSA.

The total operational income created by CSA in 2004 showed an
interim increase of 16% to reach CZK22.3 billion.  The plan was
exceeded by 5.2%.  Almost 81% of operational income was created
by transportation income from regular and charter transport.  The
remaining income came from the sale of goods (Duty Free shops and
on-board sales) and other non-transport activities such as
aircraft maintenance, traveler check-in and catering.  The
maintenance of aircraft for other airlines showed especially good
results, which confirmed that the management had made the correct
decision in opting to support this type of activity in the future
as another profitable avenue for the company.

The operational costs of the company were CZK21.6 billion, which
is 16.2% more than in 2003.  The greatest impact on this increase
in costs was caused by fuel prices, which exceeded the plan by
almost CZK900 million.  The reason for these disproportionately
high fuel costs was the extreme growth in global crude oil
prices.

CONTACT:  CESKE AEROLINIE A.S.
          Prague Ruzyni Airport
          160 08 Prague, 6, Czech Republic
          Phone: +42 220 104 310
          Fax:   +42 224 81 04 26
          Web site: http://www.csa.cz


TSAKIS: Tourism Slump Claims Another Victim
-------------------------------------------
Four travel agencies lost their license to operate in the first
quarter, reports Czech Happenings.

Industry and Trade Ministry spokesman Ivo Mravinac identified
them as Tsakis, Discovery Travel, Atlas Adriatic and Hispania,
all of which are now bankrupt.  Nine more risk losing their
license, he said.

About 800 travel agencies operate in Czech Republic but since
2001 their number has steadily dropped.  Between 2001 and 2004,
14 tour operators declared bankruptcy, the latest were Moravia
and Tsakis, which went belly up last year.

CONTACT:  TSAKIS
          Olomoucka 4
          Prostejov
          79601
          Phone: 582 338 200
            585 628 850
          Fax: 582 338 201
          585 628 849
          E-mail: ck@tsakis.cz


=============
D E N M A R K
=============


ISS A/S: Ratings Lowered to Speculative Grade
---------------------------------------------
Standard & Poor's Ratings Services lowered its long-term ratings
on Denmark-based facilities services group ISS A/S and wholly
owned subsidiary ISS Global A/S to 'BB+' from 'BBB+'.  At the
same time, the short-term rating on ISS A/S was lowered to 'B'
from 'A-2'.  The long-term ratings remain on CreditWatch with
negative implications, where they were placed on March 29, 2005.
The short-term rating was, however, removed from CreditWatch.

The lowering of the long-term ratings is a transitory action
following the private equity firm PurusCo A/S' acquisition of
about 92% of ISS' outstanding shares.

"Standard & Poor's finds it highly unlikely that the
post-transaction financial profile of ISS will support a rating
in the 'BBB' category," said Standard & Poor's credit analyst Alf
Stenqvist.  "The long-term ratings could be lowered further when
more information becomes available on the company's prospective
financial profile and future business strategy".

Although details of the acquisition funding are still not known,
Standard & Poor's assumes that ISS' post-acquisition financial
profile will weaken significantly.

The bid price for all outstanding shares of ISS was Danish Krone
(DKR) 470 per share, corresponding to a total of about DKR22.1
billion (US$3.8 billion).  At March 31, 2005, ISS had net
interest-bearing debt of about DKR7.8 billion.  In addition,
Standard & Poor's adjusts ISS' debt for operating lease
commitments, which were about DKR2.4 billion at year-end 2004.

Ratings information is available to subscribers of RatingsDirect
at http://www.ratingsdirect.com. It can also be found at
http://www.standardandpoors.com. Alternatively, call one of the
following Standard & Poor's numbers: London Ratings Desk (44)
20-7176-7400; London Press Office Hotline (44) 20-7176-3605;
Paris (33) 1-4420-6708; Frankfurt (49) 69-33-999-225; Stockholm
(46) 8-440-5916; or Moscow (7) 095-783-4017.  Members of the
media may also contact the European Press Office via e-mail:
media_europe@standardandpoors.com

CONTACT:  STANDARD AND POOR'S RATING SERVICES
          Group E-mail Address
          CorporateFinanceEurope@standardandpoors.com


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


BULL SA: Targets Breakeven in Italy this Year
---------------------------------------------
Group Bull's revenue for the 1st quarter 2005 stood at EUR257
million compared to EUR262 million, a decrease of 2%, for the
same period last year, confirming the upturn already observed in
the second half of 2004.

Orders increased by 24% in the 1st quarter 2005 representing the
highest increase since 2002.  This growth applied to products
and, to a lesser extent, to services and concerned most of the
Group's geographies -- further indication of the Group's ability
to grow its revenues again.

For the 1st half of 2005, Bull expects to reach the objectives
presented together with its 2004 results, i.e. revenue of EUR560
million and an EBIT of EUR18 million.

Operations During the 1st quarter 2005

Bull strengthened its product offering, in particular the
Intel(R) processor based NovaScale servers, the Power 5 based
Escala servers, as well as its security product line.

During the same period, Bull also won a number of key contracts
with its NovaScale servers, both in open and GCOS environments,
and in the management of complex infrastructures.

2005 Action Plan

Backed up by a healthy financial situation and a solid client
base, Bull has defined a five-step action plan for 2005 aimed at
setting the Group on a profitable growth path.

These steps are:

(a) Composition of a top management team bringing together
    internal and external talent;

(b) Implementation of a management system focused on operational
    efficiency;

(c) Definition of five key operational programs:

      (i) Speed up the improvement of French services
          activities, the objective being to improve their
          bottom line performance and achieve operational
          profitability above 5% by 2007,

     (ii) Achieve turnaround of operations in Italy, the
          objective being to reach breakeven at the end of 2005,

    (iii) Launch a sales stimulation effort through process
          optimization as well as focusing on priority markets
          and offerings,

     (iv) Improve productivity and maintain tight cost control,

      (v) Improve execution in both project and supply chain
          management, and in manufacturing;

(d) Redefinition and refocusing of strategic orientations
    prioritized according to their growth potential; and

(e) Finalization during the second half of 2005 of a long-term
    strategic business plan.

Conclusion

Didier Lamouche, Chairman and Chief Executive Officer, stated:
"The focus of our teams helped us to achieve a very good level of
orders in the first quarter and demonstrated Bull's potential to
bounce back.  The gearing up of the new top management team and
the turnaround of areas in which we are weak will certainly boost
our operational performance.  In the short-term, one of our
challenges is to restore our image which does not reflect the
quality of our people and our technology."

CONTACT:  BULL S.A.
          Avenue Jean Jaures BP 68
          78340 Les Clayes sous Bois

          Press Contact
          Anne-Marie Jourdain
          Phone: + (33) 1 30 80 32 52
          E-mail: anne-marie.jourdain@bull.net

          Investors relations
          Patrick Massoni
          Phone: + (33) 1 30 80 32 36
          E-mail: patrick.massoni@bull.net

          Patrick Massoni
          Deputy Director Corporate Finance & Investor Relations
          E-mail: patrick.massoni@bull.net
          Phone: + 33 1 30 80 32 36
          Mobile: + 33 6 80 90 97 96
          Fax: + 33 1 30 80 62 78


RHODIA SA: Q1 Operating Income Jumps to EUR55 Million
-----------------------------------------------------
Following a meeting of the Board of Directors on May 11, Rhodia
S.A. reported Thursday its financial results for the first
quarter of 2005, prepared in accordance with IFRS accounting
standards.

Highlights for the Period

(a) a 9.4% increase in net sales, on the same basis (constant
    structure and exchange rates) 9.3% from price increases,
    1.6% from higher volumes and a transactional exchange rate
    effect of -1.5%;

(b) a strong 28% improvement in recurring[a] EBITDA, compared to
    the first quarter of 2004, on the same basis (constant
    structure and exchange rates);

(c) savings of EUR35 million, in line with the 2005 objective to
    reduce fixed costs by EUR114 million;

(d) operating income of EUR55 million compared to EUR1 million
    for the first quarter of 2004;

(e) faster implementation of action plans concerning less
    profitable businesses;

(f) consolidated net debt stood at EUR2.6 billion due to a
    seasonal increase in working capital requirements;

(g) liquidity (cash + marketable securities + unused confirmed \
    lines of credit) totaled approximately EUR680 million as of
    the end of March, 2005; and

(h) a new EUR300 million syndicated bank line.

Strong Improvement in Operating Performance

Net sales stood at EUR1.5 billion, a 9.4% growth on the same
basis (constant structure and exchange rates), reflecting the
significant impact of price increases (9.3%) with an increase of
1.6% in volumes and a transactional exchange rate effect
of -1.5%.  For the first quarter, price increases more than
offset higher raw materials prices.

The fixed cost reduction program continued to deliver results,
with first quarter savings of EUR35 million (before inflation) in
line with the targeted EUR114 million reduction over the full
year.

Recurring EBITDA rose by 28%[a] and recurring EBITDA margin
increased to 10.6% from 9.1% compared with the first quarter of
2004 on the same basis (constant structure and exchange rates).

Operating income stood at EUR55 million versus EUR1 million in
the first quarter of 2004.

Net financial result totaled -EUR115 million, including EUR17
million in non-recurring costs related to the February 2005
refinancing, a EUR31 million unrealized foreign exchange loss
(conversion of U.S. dollar-denominated debt) to be put in
perspective of a EUR64 million unrealized forex gain booked in
2004, primarily in the fourth quarter.  Interest expense (EUR58
million) and securitization costs (EUR6 million) were unchanged
from the prior-year period.

Accounting for the above items, the net loss for the period came
to -EUR72 million compared with -EUR92 million in the first
quarter of 2004.

The Silicones business is improving its operating performance,
while the signature of a Memorandum Of Understanding marks a new
step in the creation of its strategic alliance with Blue Star.

The Pont-de-Claix TDI unit has been running reliably since the
end of 2004, enabling the business to restore its margins.

Organics (Perfumery & Agro) repositioning on a limited number
technologies continues, as expected, through divestitures and
announced workshop closures.

The signature of a letter of intent with Radici is the first step
in the withdrawal from the European textile fibers business
(Nylstar).

The results of the Pharma business do not show the expected signs
of improvement.

Increase in Consolidated Net Debt

Capital expenditure totaled EUR58 million for the period.  As
expected due to its seasonal nature, working capital requirements
rose by EUR219 million compared with year-end 2004. Compared with
the first quarter of 2004, working capital requirements as a
percentage of net sales improved from 16.4% to 15.4%.

Consolidated net debt stood at EUR2.6 billion at the end of March
2005.  The EUR500 million senior note issue in February extended
the maturity of the Group's bond debt to 2010 and beyond.  On May
11, Rhodia signed a protocol agreement with five banks putting in
place a new credit line of EUR300 million with a due date of
2008, replacing the existing bank syndicated facility (due date
of 2006).  The extended maturity of Rhodia's debt gives the Group
sufficient mid term resources to implement its plan.

Liquidity (cash + marketable securities + unused confirmed lines
of credit) totaled around EUR680 million at the end of March
2005.

Claims and Litigation

Following an investigation opened in 2003 regarding the company's
financial communications, the specialized commission of the
Autorite des Marches Financiers (AMF) notified Rhodia March 29 of
the findings of three alleged rule infringements.  Rhodia has
strong arguments in its defense, which it will present to the AMF
as part of the ongoing proceedings.

Senior management has worked actively, since November 2003,
supported by the Board of Directors, to obtain additional
coverage from Sanofi-Aventis for some environmental liabilities,
above those amounts provided when Rhodia was created which
proved, for different reasons, to be insufficient.  After filing
suit in the United States at the end of 2004 and in Brazil in
early 2005, Rhodia initiated on February 1, 2005 an arbitration
proceeding which also included some pension benefit obligation
claims.

All environmental and pension liabilities were accounted for in
Rhodia's financial statements as of December 31 2004, according
to French GAAP, either in the consolidated balance sheet or in
the notes to the financial statements concerning potential
environmental contingencies and the unrecognized losses on
pension benefit obligations.

Consequently, the various procedures initiated against
Sanofi-Aventis could only translate to reduce future costs to the
Group and in no case call into question Rhodia's recovery plan.

Outlook

Consolidated second quarter 2005 results should be in line with
those of the first quarter.

In an environment characterized by satisfactory demand in its
markets and geographic zones and strong volatility in raw
materials prices and exchange rates, Rhodia remains focused in
2005 on its priorities of improving its margins and controlling
its debt.

Rhodia confirms its 2006 objectives, under IFRS:

(a) a recurring EBITDA margin of at least 13%;

(b) a return to positive net income in 2006; and

(c) a ratio of consolidated net debt to EBITDA of less than 3.5.

A copy of these results is available free of charge at
http://bankrupt.com/misc/Rhodia(Q12005).mht

CONTACT:  RHODIA S.A.
          26, quai Alphonse Le Gallo
          92512 Boulogne-Billancourt Cedex, France
          Phone: +33-1-55-38-40-00
          Fax: +33-1-55-38-44-71
          Web site: http://www.rhodia.com

          Press Relations
          Lucia Dumas
          Phone: +33 1 55 38 45 48
          Anne-Laurence de Villepin
          Phone: +33 1 55 38 40 25


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


ANGIOLAS MEDICAL: Creditors Claim Due Next Month
------------------------------------------------
The district court of Bonn opened bankruptcy proceedings against
Angiolas Medical GmbH on April 20.  Consequently, all pending
proceedings against the company have been automatically stayed.
Creditors have until June 6, 2005 to register their claims with
court-appointed provisional administrator Willi Christ.

Creditors and other interested parties are encouraged to attend
the meeting on July 15, 2005, 9:15 a.m. at the district court of
Bonn, Insolvenzgericht, Wilhelmstrasse 21, 53111 Bonn, 2. Stock,
Saal S 2.22, 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:  ANGIOLAS MEDICAL GMBH
          Geiselgasteigstrasse 122
          c/o BSB GmbH, 81545 Munchen
          Contact:
          Theodor Hetzner, Manager
          Wienerstrasse 16, 81667 Munchen

          Willi Christ, Administrator
          Oxfordstrasse 2, 53111 Bonn
          Phone: 0228/631216
          Fax: 0228633729


AWUS-FORTBILDUNGSZENTRUM: Under Bankruptcy Administration
---------------------------------------------------------
The district court of Leipzig opened bankruptcy proceedings
against AWUS-Fortbildungszentrum GmbH on April 19.  Consequently,
all pending proceedings against the company have been
automatically stayed.  Creditors have until June 13, 2005 to
register their claims with court-appointed provisional
administrator Friedbert Striewe.

Creditors and other interested parties are encouraged to attend
the meeting on July 12, 2005, 1:00 p.m. at Saal 56, Amtsgericht
Leipzig 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:  AWUS-FORTBILDUNGSZENTRUM GMBH
          Karl-Heine-Str. 55, 04229 Leipzig
          Contact:
          Henry Sorgatz, Manager

          Friedbert Striewe, Administrator
          Fichtestrasse 3, 04275 Leipzig


BABEN HEIZUNGS: Court to Verify Claims June
-------------------------------------------
The district court of Bielefeld opened bankruptcy proceedings
against Baben Heizungs und Luftungstechnik GmbH on April 25.
Consequently, all pending proceedings against the company have
been automatically stayed.  Creditors have until June 8, 2005 to
register their claims with court-appointed provisional
administrator Dr. Norbert Westhoff.

Creditors and other interested parties are encouraged to attend
the meeting on June 29, 2005, 10:00 a.m. at the district court of
Bielefeld, Gerichtstrasse 6, 33602 Bielefeld, 4. Ebene, Saal
4065, 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:  BABEN HEIZUNGS UND LUFTUNGSTECHNIK GMBH
          Oetinghauser Weg 97, 32051 Herford
          Contact:
          Dirk Engfer, Manager

          Dr. Norbert Westhoff, Administrator
          Adenauerplatz 4, 33602 Bielefeld


DUERR AG: Posts EUR4.2 Million First-quarter Net Loss
-----------------------------------------------------
The Duerr Group slightly increased incoming orders in the first
quarter of 2005 by 4% versus the same period last year.  In view
of the decline in sales, earnings before taxes amounted
to --EUR6.8 million and were thus lower than in the first three
months of 2004 (EUR2.1 million).  Industrial business outside the
auto sector went well and is to be expanded further.  Duerr
expects earnings development to improve in the remainder of the
year.

Incoming orders rose in the first quarter of 2005 to EUR375.6
million (previous year: EUR361.9 million).  The increase was
largely due to positive development in the Measuring and Process
Systems division, which managed among other things to expand its
industrial business in the growth markets of Asia.  For example,
that region's high energy and raw material needs and dynamic
infrastructure expansion have led to strong demand for process
engineering solutions, such as coal-washing plants and pulverized
coal feeding systems for the basic materials industries.

At EUR337.6 million, consolidated sales revenues in the first
quarter of 2005 expectedly fell short of their year-earlier level
(EUR429.8 million).  However, the 2004 figure was above average
due to high sales contributions from a large order.  The decline
of sales revenues in the Group also reflects the capital spending
restraint of the automotive industry in the past six months.

Gratifying earnings development in Measuring and Process Systems

In addition to reduced sales revenues, an increase of interest
expense by EUR3.7 million to EUR8.9 million contributed
decisively to the earnings decline in the first quarter.  Duerr
made greater use of its credit lines because prepayments from
customers declined for project-specific reasons.  These
fluctuations are not untypical for mechanical engineering firms.
Net financial debt increased accordingly to EUR328.9 million as
of March 31, 2005 (December 31, 2004: EUR242.8 million).

Development of the earnings situation in the Measuring and
Process Systems division was gratifying.  Earnings before income
taxes improved by EUR1.5 million to -EUR0.8 million.  Operations
in industrial business, which Duerr will expand further played a
substantial part in the improved performance.  The earnings of
the Paint and Assembly Systems division declined to EUR1.5
million (previous year: EUR10.8 million) primarily due to lower
sales revenues.

Cost of Sales Reduced More Than Proportionately

The company made progress in the first quarter of 2005 on the
cost of sales, which was reduced more than proportionately
relative to sales.  The gross margin improved from 17.1% to
19.4%.  Earnings before interest, income taxes, depreciation and
amortization (EBITDA) amounted to EUR7.0 million, EUR12.7 million
in the previous year.  At EUR5.5 million, depreciation was near
the previous year's level (EUR5.8 million).  Earnings before
interest and income taxes (EBIT) stood at EUR1.6 million
(previous year: EUR7.0 million).  Net interest expense came to
EUR8.4 million (previous year: -EUR4.9 million).

A net loss of EUR4.2 million was booked for the first quarter of
2005 (previous year: net income of EUR0.7 million).  Earnings per
share after minority interests amounted to -EUR0.29 (previous
year: EUR0.03).

Capacity Expansion in Asia

Duerr had 7,221 employees as of March 31, 2005.  That is 4.8%
fewer than a year before (7,582 employees).  There are now 624
persons employed by Duerr in the growth markets of Asia (+23%).

R&D Ratio and Capital Expenditures Increased

Duerr raised direct expenditures on research and development
(R&D) to 1.8% of sales in the first quarter of 2005 (previous
year: 1.6%).  Including additional development expenditures in
connection with customer orders, the R&D ratio amounted to about
6%.  Energy-saving concepts for the painting process, further
development of our painting robot technology, and more efficient
pulverized coal feeding systems were among the most important R&D
projects.  Duerr increased its capital expenditures on property
plant, and equipment and intangible assets to EUR4.5 million in
the first quarter of 2005 (previous year: EUR3.0 million).

Outlook

Duerr now believes that with consumer sentiment remaining poor,
the difficult market conditions in the automotive industry will
not change substantially in 2005.  The company forecasts that
earnings will develop better in the further course of the year
than in the first three months.  The expansion of our operations
in industrial business and first cost-saving effects from
implementing the leaner Group structure will play a key role in
that.  The aim is, parallel to that, to improve the margin
quality of our sales revenues by means of careful selection of
orders.  Duerr expects that consolidated sales revenues in 2005
will be below the previous year's level.

Expected incoming orders in the next few months are important for
the further course of the business year in the Paint and Assembly
Systems division.  Negotiations with some of our customers are at
an advanced stage.  In the Measuring and Process Systems
division, we believe that earnings can be improved further after
the customarily weaker first quarter.  That is supported by solid
incoming orders, which are 28% higher than last year's.  Against
that background, Duerr's guidance for earnings before taxes in
2005 as a whole is above the previous year's level.

The Duerr Group is one of the world's leading suppliers of
production systems and of modules as well as components for
measuring and process systems.  It focuses primarily on the
automotive and aviation industries as well as the mining and
basic materials industries.

Duerr Group                      Q1/2005    Q1/2004     Change
(in EUR mln)

Incoming orders                    375.6      361.9       3.8%

Orders on hand as of March 31      989.2    1,221.0     -19.0%

Sales revenues                     337.6      429.8     -21.5%

EBT                                 -6.8        2.1    -423.8%

Net loss/income                     -4.2        0.7    -700.0%

Earnings per share (in EUR)         -0.29       0.03 -1,066.7%

Capital expenditures on property,
   plant and equipment and
   intangible assets                 4.5        3.0      50.0%

Employees as of March 31          7,221     7,582        -4.8%

CONTACT:  DUERR AKTIENGESELLSCHAFT
          Otto-Duerr-Strasse 8
          70435 Stuttgart
          Phone: +49 (0) 711 136-0
          Fax: +49 (0) 711 136-1455
          E-mail: corpcom@durr.com
          Web site: http://www.duerr-ag.de

          Stephan Haas
          Corporate Communications & Investor Relations
          Phone: +49 (0) 711 136-1785
          Fax: +49 (0) 711 136-1034


FIREFIGHTER AUSRUSTUNGEN: Applies for Bankruptcy Proceedings
------------------------------------------------------------
The district court of Gifhorn opened bankruptcy proceedings
against Firefighter Ausrustungen GmbH on April 20.  Consequently,
all pending proceedings against the company have been
automatically stayed.  Creditors have until June 13, 2005 to
register their claims with court-appointed provisional
administrator Henning Kempermann.

Creditors and other interested parties are encouraged to attend
the meeting on July 4, 2005, 9:30 a.m. at the district court of
Gifhorn, Saal 114, Am Schlossgarten 4, 38518 Gifhorn, 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:  FIREFIGHTER AUSRUSTUNGEN GMBH
          Woltorfer Str. 77, 31224 Peine
          Contact:
          Sebastian von Pawelsz, Manager
          Dollberger Str. 19, 31234 Edemissen

          Henning Kempermann, Administrator
          Hindenburgstrasse 5, 31224 Peine


GANZ BAU: Court Appoints Marc Schmidt Thieme Administrator
----------------------------------------------------------
The district court of Darmstadt opened bankruptcy proceedings
against Ganz Bau GmbH on April 19.  Consequently, all pending
proceedings against the company have been automatically stayed.
Creditors have until May 25, 2005 to register their claims with
court-appointed provisional administrator Marc Schmidt Thieme.

Creditors and other interested parties are encouraged to attend
the meeting on July 6, 2005, 10:15 a.m. at the district court of
Darmstadt, Zimmer 4, Gebaude E, Landwehrstrasse 48, 64293
Darmstadtat, 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 at the same venue.

CONTACT:  GANZ BAU GMBH
          Trommstr. 131, 64689 Grasellenbach
          Contact:
          Alexander Roger Ganz, Manager

          Marc Schmidt-Thieme, Administrator
          Soldnerstr. 2, 68219 Mannheim
          Phone: 0621/87708-0
          Fax: 0621/8770820


GEORG J. MERSCHER: Creditors' Claims Due Next Month
---------------------------------------------------
The district court of Heidelberg opened bankruptcy proceedings
against Georg J. Merscher Gesellschaft mit beschrankter Haftung
on April 25.  Consequently, all pending proceedings against the
company have been automatically stayed.  Creditors have until
June 1, 2005 to register their claims with court-appointed
provisional administrator Henrik Schmoll.

Creditors and other interested parties are encouraged to attend
the meeting on July 6, 2005, 11:00 a.m. at the district court of
Heidelberg, 69115 Heidelberg, Kurfurstenanlage 21, EG, Saal 12 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:  GEORG J. MERSCHER GESELLSCHAFT MIT BESCHRANKTER
          HAFTUNG
          Heinrich-Lanz-Str. 5, 69207 Sandhausen
          Contact:
          Otto Schwab, Manager

          Henrik Schmoll, Administrator
          Blumenstr. 17, 69115 Heidelberg
          Phone: 06221/911825
          Fax: 06221/23128


HOHNE VERWALTUNGS: Administrator Takes over Operations
------------------------------------------------------
The district court of Munster opened bankruptcy proceedings
against Hohne Verwaltungs GmbH on April 26.  Consequently, all
pending proceedings against the company have been automatically
stayed.  Creditors have until June 17, 2005 to register their
claims with court-appointed provisional administrator Ralph
Schmid.

Creditors and other interested parties are encouraged to attend
the meeting on July 8, 2005, 10:25 a.m. at the district court of
Munster, Gebaudeteil Eingang B, Gerichtsstrasse 2 - 6, 48149
Munster, EG, Saal 13 B 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:  HOHNE VERWALTUNGS GMBH
          Konrad-Adenauer-Strasse 5, 48734 Reken
          Contact:
          Peter Hohne, Manager
          Konrad-Adenauer-Strasse 5, 48734 Reken

          Ralph Schmid, Administrator
          Dulmener Str. 92, 48653 Coesfeld
          Phone: 02541/915-03
          Fax: +492541915100


KARSTADTQUELLE AG: First-quarter Sales Down 8.4%
------------------------------------------------
KarstadtQuelle Group on May 12, 2005 announced results for the
first quarter 2005 where earnings were lower compared to last
year but better than planned.  The implementation of the
restructuring program continued successfully.  Both, cost basis
and net debt were considerably reduced.  The restructuring and
realignment program is overall on-track.  Management therefore
confirmed its forecast for an adjusted EBITDA for the whole year
2005 of over EUR500 million (comparable to EUR414 million in the
previous year).

Restructuring and Realignment on Track

The position of the KarstadtQuelle Group has improved
significantly since the crisis in autumn 2004.  Restructuring of
the Group remains on track.  At the end of the first quarter, the
disinvestment program achieved a volume of EUR400 million.
Decisive factors in this, were mainly the extensive disposal of
logistics to Deutsche Post World Net as well as the sale of DSF
Deutsches Sportfernsehen and Home Shopping Europe stakes.
Disposal proceeds were in line with or even exceeded
expectations.

Group finances have been successfully restructured, optimized and
lengthened in their maturity profile.  Financing of the
KarstadtQuelle Group is thus secured.  The realignment and
refocusing of over-the-counter retail and mail order segments is
progressing well.  The repositioning of 89 large Karstadt
department stores (core portfolio) progressed significantly in
the first quarter.  The new fashion concept as well as the
lifestyle concept in the "Living" division have already had
positive effects in the first quarter of 2005.  In both,
department stores and mail order, cost cutting programs are
having noticeable effects.  In mail order, the strategic measures
set in motion in the first quarter are expected to have an effect
over the coming quarters.  These measures include, in particular,
the redesigned Neckermann catalogue, that has been in distributed
since April 22.  This is the core component of the realignment of
universal mail order in Germany.

Group Sales Down by 8.4% in Q1 2005

In the first quarter of 2005, the KarstadtQuelle Group generated
sales of EUR2.97 billion in a consistently difficult retail
environment in Germany.  This is 8.4% lower than sales of EUR3.25
billion in the previous year (adjusted for specialty foods
disincorporated as of January 1, 2005).  The comparison is
distorted through effects such as the delayed Easter business and
three fewer sales days in the first quarter.

Sales in larger department stores close to plan -- Mail Order
under strain from weak Universal Mail Order in Germany in the
first quarter, the Over-the-Counter Retail business generated
sales of EUR1.18 billion, down by 6.8% compared to EUR1.27
billion in previous year (adjusted for specialty foods).  This
figure includes the 89 large Karstadt department stores and 32
sporting goods stores that constitute the core portfolio.  In
that core-portfolio, sales in like-for-like space fell by 5.2%
thereby developing almost according to plan.  In addition, this
segment includes the smaller department stores (Karstadt Kompakt)
that are up for sale.  The Mail Order business reported sales of
EUR1.74 billion a decline of 9.5% compared to EUR1.92 billion in
the previous year.  The main contributing factor was sluggish
business performance of the Universal Mail Order in Germany.
While Neckermann almost achieved planned sales, Quelle continued
to be under pressure and has developed in an unsatisfactory
manner.

Adjusted EBITDA reaches EUR73.4 million -- cost cutting measures
successfully implemented -- planned earnings exceeded by EUR14
million.  Adjusted for special factors resulting from
restructuring, the Group posted EBITDA of EUR73.4 million in the
first quarter (EUR90.0 million in previous year).  This is
EUR16.6 million below last years result but EUR14.4 million
better than planned.  Including the restructuring charges, EBITDA
is EUR56.6 million.  The sales-related earnings reduction could
largely be compensated by significantly reduced costs, especially
in personnel.

Net Debt and Working Capital Reduced

The Group reported net debt of EUR4.36 billion.  This represents
a further reduction compared to EUR4.99 billion first quarter
2004.  In accordance with the new International Accounting
Standard (IAS 39), the sale of receivables in the context of the
asset backed securitization program (ABS) is shown for the first
time on the balance sheet as a liability.  Working capital was
EUR2.87 billion a 18% reduction against last year's adjusted
figure.

Outlook unchanged for 2005: considerable earnings improvement
In the second half of the current financial year, the Group is
expecting further effects from the realignment of the department
stores and Universal Mail Order in Germany.  However, in view of
the persistently difficult market environment and on-going
weaknesses in Quelle's domestic operations, management is
forecasting a further decline in sales on a comparable basis in
the lower to middle single-digit percentage range for 2005.
Based on the positive development in restructuring and
realignment, the KarstadtQuelle Group expects a considerable
increase in earnings in 2005 and adjusted EBITDA of over EUR500
million (comparable to EUR414 million in the previous year).

CONTACT:  KARSTADTQUELLE AG
          Detlef Neveling, Head of Investor Relations
          Phone: +49-2 01 / 7 27 - 9817


MAWA SYSTEME: Ingolstadt Court Appoints Administrator
-----------------------------------------------------
The district court of Ingolstadt opened bankruptcy proceedings
against MAWA Systeme GmbH on April 27.  Consequently, all pending
proceedings against the company have been automatically stayed.
Creditors have until July 20, 2005 to register their claims with
court-appointed provisional administrator Dr. Martin Prager.

Creditors and other interested parties are encouraged to attend
the meeting on Aug. 11, 2005, 9:30 a.m. at 85049 Ingolstadt,
Schrannenstr. 3, Sitzungssaal, Zi. 28/I 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 Sept. 15, 2005, 9:30 a.m. at the same
venue.

CONTACT:  MAWA SYSTEME GMBH
          Hohenwarter Strasse 100 in 85276 Pfaffenhofen
          Contact:
          Josef Aigner, Manager

          Dr. Martin Prager, Administrator
          Barthstrasse 16, 80339 Munchen
          Phone: 089/8589633
          Fax: 089/85896350


RB HAUSBAUREGIE: Sets First Creditors Meeting June 30
-----------------------------------------------------
The district court of Bielefeld opened bankruptcy proceedings
against RB Hausbauregie GmbH on April 26.  Consequently, all
pending proceedings against the company have been automatically
stayed.  Creditors have until June 9, 2005 to register their
claims with court-appointed provisional administrator Joachim
Walterscheid.

Creditors and other interested parties are encouraged to attend
the meeting on June 30, 2005, 11:00 a.m. at the district court of
Bielefeld, Gerichtstrasse 6, 33602 Bielefeld, 4. Ebene, Saal
4065, 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:  RB HAUSBAUREGIE GMBH
          Dehmer Str. 32A, 32549 Bad Oeynhausen
          Contact:
          Robert Brinkmann, Manager
          Siedinghausener Str. 101, 32549 Bad Oeynhausen

          Joachim Walterscheid, Administrator
          Am Kurpark 2, 32545 Bad Oeynhausen


SANITEC GMBH: Gives Creditors Until Tuesday to File Claims
----------------------------------------------------------
The district court of Karlsruhe opened bankruptcy proceedings
against SaniTec GmbH on April 15.  Consequently, all pending
proceedings against the company have been automatically stayed.
Creditors have until May 17, 2005 to register their claims with
court-appointed provisional administrator Tobias Hoefer.

Creditors and other interested parties are encouraged to attend
the meeting on June 28, 2005, 10:30 a.m. at the district court of
Karlsruhe, Schlossplatz 23, 76131 Karlsruhe, Saal IV/1. OG 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:  SANITEC GMBH
          Contact:
          Ozlem Kala, Manager
          Fruher Fruhlingsstr. 7, 76131 Karlsruhe

          Tobias Hoefer, Administrator
          Soldnerstr. 2, 68219 Mannheim
          Phone: (0621) 877080


UR-BAUTENSCHUTZ: Creditors Meeting Set June 10
----------------------------------------------
The district court of Hagen opened bankruptcy proceedings against
UR-Bautenschutz GmbH on April 26.  Consequently, all pending
proceedings against the company have been automatically stayed.
Creditors have until May 20, 2005 to register their claims with
court-appointed provisional administrator Hans-Joachim Brussler.

Creditors and other interested parties are encouraged to attend
the meeting on June 10, 2005, 10:00 a.m. at the district court of
Hagen, Haupthaus (Neubau), Heinitzstrasse 42, 58097 Hagen, Etage
2, Raum 283, 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:  UR-BAUTENSCHUTZ GMBH
          Eichendorffstr. 8, 58769 Nachrodt-Wiblingwerde
          Contact:
          Ulrich Hulle, Manager

          Hans-Joachim Brussler, Administrator
          Altenaer Str. 2, 58507 Ludenscheid
          Phone: 02351/3265
          Fax: +49235132670


VOLKSWAGEN AG: New Cost-cutting Drive Aims to Save EUR1 Billion
---------------------------------------------------------------
Volkswagen AG plans to cut cost of materials by EUR1 billion next
year, Interactive Investor said last week.

Citing financial magazine Capital, the report said the
cost-cutting measure is part of a new program aimed at bringing
down overall cost by 20%.  The existing ForMotion program,
according to the company, remains on track and will deliver
EUR3.1 billion in savings this year.

Volkswagen's automotive business recently suffered a EUR107
million net loss, allegedly caused by the delay in launching the
new Golf, Jetta and Passat models.  The company also blamed the
strong euro and the ongoing price reduction in the U.S. and
Europe to increase sales.  The German carmaker expects Passat to
post an operating margin of 4 percent.

CONTACT:  VOLKSWAGEN AG
          Brieffach 1848-2
          38436 Wolfsburg, Germany
          Phone: +49 53 61 90
          Fax:   +49 53 61 92 82 82
          Web site: http://www.volkswagen.de


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


ALITALIA SPA: Deutsche Bank Wants Discount on Leftover Shares
-------------------------------------------------------------
Deutsche Bank is reportedly participating in Alitalia's EUR1.2
billion capital increase, but is demanding several concessions,
Reuters said last week.

A source privy to the matter told Reuters the German bank has
asked the Italian treasury for a 25% discount on leftover shares.
In addition, it has also sought the participation of another bank
in the transaction and the right to review Alitalia's accounts.

"It's true. Deutsche Bank asked the Treasury for a reduction on
leftover (shares)," the unnamed Reuters source said.

Deutsche Bank's participation in the deal was first reported by
MF, the Italian financial newspaper.  Both the bank and Alitalia
would neither confirm nor deny the report.

Proceeds of the EUR1.2 billion (US$1.54 billion) transaction will
be used to finance Alitalia's restructuring, which aims to return
the airline to breakeven by 2006.  The carrier has not fixed a
specific date yet, but observers expect the transaction to follow
the approval of the restructuring plan by the E.U. Commission.
The regulator is still examining the plan for any traces of
illegal state aid.

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

          DEUTSCHE BANK AG
          Taunusanlage 12
          60262 Frankfurt am Main
          Phone: +49-69-910-00
          Fax: +49-69-910-38591
          Web site: http://www.deutsche-bank.de


CIRIO FINANZIARIA: Police Firm up Case vs. Cragnottis, 40 Others
----------------------------------------------------------------
Investigators probing the bankruptcy of Cirio Finanziaria are now
focusing their attention on 46 individuals, Agenzia Giornalistica
Italia says.

After an extensive preliminary investigation, authorities have
determined that these individuals allegedly engaged, among
others, in false communication and fraudulent bankruptcy between
1998 and 2003 to the prejudice of creditors and shareholders.

The Cragnotti family, which include Sergio, his wife Flora
Pizzichemi; and children Andrea, Massimo, Elisabetta, her husband
Filippo Fucile led the list of 46.  The others are bank manager
Angelo Brizi, Michele Casella, Alberto Giovannini, Cesare
Geronzi, Angelo Fanti, Pietro Celestino Locati;

Remo Martinelli and Antonio Nottola for their role in Banca di
Roma; Rainer Masera, Luigi Maranzana e Massimo Mattera (San Paolo
Imi); Gianpiero Fiorani and Giovanni Benevento (Banca Popolare di
Lodi);

Cirio group consultants Emma Benedetti, Riccardo Riccardi
Bianchini, Vittorio Bottazzi, Ernesto Chiacchierini, Tomaso
Farini, Riccardo Ferrero, Livio Ferruzzi, Alfredo Gaetani,
Roberto Michetti, Paolo Micolini, Mauro Luis Silva E Pontes
Pinto, Ettore Quadrani, Vittorio Romano, Grazia Scartaccini,
Ambrogio Sfondrini, Lucio Velo, Giuseppe Vitali;

Mayors Antonio Petrucci, Raffaele Riva, Rossano Ruggeri,
Francesco Scornajenchi, Gianluca Marini, Annunziato Scordo,
Francesco Matrone and Francesco Sommaruga; Sebastiano Baudo,
executive of Deloitte & Touche.

Tiziana Cugini, Gustavo De Marinis, Rodolfo Sabelli and Achille
Toro are the lead prosecutors in the case.

CONTACT:  Administrative Address:
          Strada Provinciale per Podenzano,
          10 - 29010 San Polo di Podenzano
          Phone: 0523 536123
          Fax: 0523 379257
          Web site: http://www.cirio.it


==================
L U X E M B O U R G
===================


MILLICOM INTERNATIONAL: Reaping Benefits from Restructuring
-----------------------------------------------------------
The year 2004 was one of the most successful in Millicom's
history.  The Company started seeing the full benefits of its
successful balance sheet restructuring in the previous two years.
It allowed Millicom to take better advantage of the low mobile
penetration in its markets and to drive growth by combining
higher capital expenditure with a move to GSM technology in a
number of key markets.

At the same time the Company further expanded its distribution
network and fine-tuned its prepaid model by introducing low
denomination prepaid cards and over the air top up of prepaid
accounts.  This increased growth did not come at the expense of
the margin and free cash flow generation as the Company
maintained its margins and set a new record for cash flow up
streaming from its subsidiaries.  A number of key licenses such
as Paktel's in Pakistan, Telemovil's in El Salvador and Mobitel's
in Ghana were successfully renewed in 2004.  At the end of the
year Millicom removed the financing risk of the Company by
raising the funds to face the cost of the license renewals in
2005.

The increased investment in the operating businesses in 2004 led
to exceptional levels of growth in the full-year figures for
2004.  Total subscribers were up 36% to 7.7 million and this led
to a 42% increase in revenues to US$921 million, and a 42%
increase in EBITDA to US$456 million, with a margin of 49.5%.

What was particularly encouraging in these numbers was that the
growth in Central America, South East Asia and Africa continued
to impress, but also South America, which had been disappointing
in the last couple of years, has returned to a growth path.  The
one area that has been held back was South Asia, which was
impacted by the cost of the launch of GSM services in Pakistan
and the delay in obtaining license extensions.

The Company was able to upstream US$171 million in cash from its
subsidiaries during the year after having invested heavily in the
growth of these 17 subsidiaries, with a total capital expenditure
in these businesses before up streaming of US$239 million.  The
capital expenditure was focused on the GSM rollout in Central and
South America and Pakistan and increased capacity in the existing
networks.

One of the key drivers for this upsurge in growth in emerging
markets is the price cuts that are being seen across all emerging
markets, as these cuts in tariffs enable more people to afford
mobile services.  The very strong performance in Vietnam for
example, was driven by price cuts of some 20% in 2004.  The
tariff reductions proved once again the price elasticity in our
markets, resulting in a rise of minutes of use and an increased
subscriber intake, so leading to incremental revenues and
earnings in Vietnam.  Furthermore, the impetus created by falling
tariffs was illustrated by the fact that over the year Millicom
saw minutes of usage increase by 39%, at a faster rate than the
32% increase in proportional worldwide subscribers.

Another driver in Millicom's current success continues to be the
focus on prepaid subscribers across our operations.  Millicom was
the first operator to offer prepaid services and the concept has
been particularly successful as the flexibility is attractive to
consumers, it ensures that there is no credit risk and it enables
Millicom to avoid getting involved in handset subsidies so
customer acquisition costs can be kept at a low level.  With a
low cost per customer Millicom can reach profitability on each
incremental customer in only a few months and can maintain very
high margins by close cost control so that despite falling prices
and revenues per customer, Millicom operates a model which will
enable it, in the long term, to compete successfully in the most
competitive markets.

In December Millicom successfully raised some US$400 million,
split equally between equity and convertible debt and these funds
will be used primarily to fund Millicom's businesses in
Vietnam and Pakistan.  The management took the view that, with
some uncertainty as to the structure of the payments that will be
needed in Vietnam for Millicom to participate in a joint venture
with our partner VMS, it was prudent to remove the financing risk
from this transaction.

With strong generation of free cash flow and substantial cash
reserves in excess of half a billion dollars (after settlement of
the convertible debt on January 7, 2005), Millicom is well placed
to continue to grow its operations and to sustain high levels of
growth.

Now turning to look at each cluster in more detail.  South East
Asia, Millicom's second largest region, saw proportional
subscriber growth of 66% from December 2003, bringing the
proportional subscriber base to a total of 1,125,808 at December
31, 2004.  Revenue was US$231.8 million for 2004, increasing by
32% and EBITDA was US$141.3 million, up 37%.  The EBITDA margin
was 61% for the year.

On November 8, the day of the successful Vietnam Day in Sweden,
our Vietnamese subsidiary Comvik International Vietnam, signed a
second Memorandum of Understanding with Vietnam Mobile Telephone
Services Company (VMS-MobiFone) expressing the wish of both
parties to continue working together in a joint venture following
the expiration of the existing Business Co-operation Contract.
Negotiations for an extension of our co-operation with VMS in
Vietnam are ongoing and a decision on the future of the
co-operation is expected in the second quarter of 2005.

In South Asia, proportional subscribers increased by 25% in the
year to 1,246,132 at the end of December which is the largest
subscriber base of all clusters.  Revenue was US$113.2 million
and EBITDA decreased to US$49.2 million due to the disruption of
our business in Pakistan in 2004, caused by the dispute with the
Pakistan Telecommunication Authority (PTA) with regard to
Paktel's right to switch on its GSM network.  The dispute was
resolved by October and the PTA also brought forward Paktel's
license renewal negotiation, extending the license for 15 years
with payments spread over time.  The effect of this dispute was a
delay in the launch of Paktel's GSM services by four months but a
substantial cash saving compared to the funds initially asked for
by the PTA.

The launch of Paktel's GSM services has gone well and Millicom is
on track to add one million new subscribers in Pakistan within
one year of the launch of GSM services.  The success seen in this
market is t he result of an aggressive marketing campaign to
establish Paktel as the price leading brand.  The upfront sales
and marketing cost however has impacted EBITDA margins and it is
likely to take until 2007 before Group average margins can be
re-established in Pakistan.

In February 2004 Millicom entered into an agreement with
Rafsanjan Industrial Complex (RIC) in Iran to manage the network
to be owned by RIC under a build, operate and transfer (BOT)
contract between RIC and Telecommunications Company of Iran
(TCI).  The BOT contract allows RIC to build and operate a
nationwide GSM network for two million prepaid subscribers for a
period of 11 years.  Millicom will be paid a share of the
revenues generated by the network and has been awarded an option
to acquire 47% of the company that will operate the network.

This agreement allows Millicom an early entry into Iran, which
has a population of 69 million, where penetration is less than 5%
and where there is a huge pent-up demand for mobile services.
The Central America cluster continued to perform well in 2004
showing 19% growth in proportional subscribers to 1,149,299 at
the end of the year.  Revenue grew by 84% to US$305.0 million for
the full year, EBITDA increased by 81% to US$155.6 million and
the EBITDA margin was 51%.

Strong growth in Central America was driven in part by the
reconsolidation of El Salvador in September 2003, but
predominantly by the rollout of GSM services during 2004 under
the common brand Tigo.  Millicom is committed to providing its
customers with the most advanced technology, the best services
and the widest regional coverage at the lowest tariffs and the
value-added services offered by Tigo have enabled our operations
to attract more affluent customers with greater spending power.
The South America cluster demonstrated a significant improvement
in 2004 with a 15% increase in revenue to US$114 million and a
19% increase in EBITDA to US$44.6 million.  Proportional
subscribers reached 916,465 at December 31, 2004 and the EBITDA
margin was 39%.  It is Millicom's intention to bring South
America's margin up closer to the Group average and this will be
helped by the launch of GSM services in Bolivia in 2005.

In the Africa cluster, 431,123 proportional subscribers were
added in 2004, resulting in a 93% increase in subscribers from
463,432 at December 31, 2003 to 894,555 at the end of 2004.  This
was the strongest subscriber growth of all clusters and it
contributed to an annual increase in revenue of 77% to US$150
million and in EBITDA of 85% to US$65.8 million.

In November 2004, Millicom won a tender for a ten-year license to
operate a GSM 900 network in the Republic of Chad in Central
Africa.  Winning this new license is in line with our strategy to
widen our portfolio of countries in Africa and enhance synergies
in the region.  Chad is at an early stage in the development of
its telecoms infrastructure and we look forward to providing a
range of services at competitive prices in this market from Q3
2005 onwards.

At the Annual General Meeting in May 2004 Millicom welcomed Donna
Cordner to the Board.  She is a former Managing Director and
Global Head of Telecommunications and Media Structured Finance at
Citigroup, and she has also held senior positions at Societe
Generale and ABN AMRO Bank N.V., she is currently CEO of HOFKAM
Limited.  Also at the AGM members of the Audit and Remuneration
Committee were re-elected and a Nomination Group was established
for the nomination of Board directors with Cristina Stenbeck as
Chairman.

Millicom has greater flexibility in its business than ever before
in terms of financial resource and there is a wide selection of
opportunities for the Company to consider.  However, management
believes that Millicom should remain tightly focused on its
existing emerging-market cellular operations adding only a few
additional cellular opportunities in its existing regions.
Millicom is already well diversified in some of the most
interesting growth markets in the world.  These businesses are
growing strongly and over the next few years there will be a need
for increased investment in network capacity.

Furthermore Millicom's experience and expertise in the mass
market distribution of prepaid minutes will give it a critical
competitive advantage as penetration rates rise quickly over the
next few years.

Developments such as micro prepaid cards and e-PIN; the
over-the-air top-up system, are enabling Millicom to drive
penetration rates faster while continuing to cut the cost of
distribution.  It is important for the Company that it retains
its leading position as the low-cost producer of minutes as,
ultimately, with tariffs falling, it will be the lowest-cost
producers who will win market leadership and become the dominant
players in each market.

The penetration rates in Millicom's markets in Asia and Africa
have either reached or are approaching the critical 5% level, and
experience from other markets suggests that from this point
subscriber growth should increase dramatically in the standard "J
Curve".  Industry watchers expect that penetration in markets
such as Vietnam and Pakistan could reach 10% within two years and
perhaps 20% by the end of the decade.  In such growth markets the
opportunity is to expand the networks in order to increase or
retain as much market share as possible, and, as opportunities
arise, to buy out partners and even in some cases smaller
competitors.  Millicom has managed to buy out partners in El
Salvador, Ghana and Tanzania in recent years and it expects other
opportunities to arise from time to time.

Millicom will also selectively expand into new territories,
particularly in adjacent countries where there is local knowledge
and potential operational synergies to exploit.  The recent entry
into Chad is an example of the type of opportunity where Millicom
can increase its footprint at low risk.  2005 has started well
and Millicom expects that operations will continue to grow
strongly in terms of subscribers, revenue and bottom-line
earnings.  There remain two uncertainties in the business going
into 2005, firstly obtaining the second license in Pakistan for
the Pakcom business and secondly the new terms for operating in
Vietnam.  It is expected that both these matters will be resolved
in the second quarter.

Daniel Johannesson
Chairman

Marc Beuls
President and Chief Executive Officer

Full copy of Millicom's 2004 results can be viewed free of charge
at http://bankrupt.com/misc/Millicom2004.pdf

CONTACT:  MILLICOM INTERNATIONAL CELLULAR S.A.
          75 Route de Longwy
          8080 Bertrange
          Phone: +352-27-759-101
          Fax: +352-27-759-359
          Web site: http://www.millicom.com


THIEL LOGISTIK: Core Markets Difficulties Hit Results
-----------------------------------------------------
The Thiel Logistik Group increased its sales in the first quarter
of 2005 by 1.2% over the previous year's quarter, up from
EUR425.9 million to EUR431.0 million.  After adjusting for
currency effects and divestments, organic growth amounts to
2.6%.  The operating profit (EBIT) of EUR5.9 million is below the
EUR6.4 million of the previous year's quarter (-8.4%).  After a
period net result of -EUR0.1 million in 2004, the Thiel Group
stated a net result of -EUR1.3 million for the first quarter of
fiscal year 2005.

After a deduction of the minority interest of 0.7 million euros
remains a negative result attributable to the shareholders of the
company of -EUR2.0 million.

Business performance in the first quarter was subject to
different developments.  Favorable economic conditions in Eastern
Europe and Asia enabled the activities in these growth markets to
be expanded.  This applied to the Air & Ocean business segment
and the Quehenberger and Delacher business units in particular.
By contrast, the difficult economic environment in the core
markets, in which Thiel Logistik also operates in sectors that
are heavily consumer dependent, had a detrimental effect on the
current business performance.  This affected the Thiel Automotive
and Thiel Furniture Industry Solutions especially.  The
unsatisfactory earnings performance in these business units and
at Suedkraft could not yet be offset by the positive business
performance of the other business units.

Dr. Klaus Eierhoff, Chief Executive Officer (CEO), explained the
situation, "Even though the returns we were anticipating were not
matched by all the business units, the growth in Asia and
Europe, outsourcing projects that were successfully launched and
progress in gaining new customers all show that we are on the
right road toward developing Thiel Logistik into a focused, and
in some market segments leading, logistics Group.  Our many years
of experience, expertise and individual logistics solutions are
key factors here."

In the Industry Solutions business segment the Thiel Logistik
Group offers integrated logistics solutions along the entire
supply chain of an industry.  In the first quarter of 2005 this
segment generated sales of EUR153.5 million compared to EUR158.9
million in 2004.  The result declined from EUR5.7 million to
EUR2.8 million.

The difference in the result is mainly attributable to the Thiel
Furniture and Thiel Automotive business units, which to a large
extent are subject to cyclical conditions.  On top of this, Thiel
Furniture was impacted by start-up difficulties at the new
furniture distribution center in Lemgo-Vossheide and
uncompetitive wages and salaries.  In the meantime an agreement
has been reached here with the unions and the works council on a
savings program, set to begin in the second half of 2005.  In
addition, an overhaul of the logistics processes is now underway.

Thiel Automotive continued to feel the impact of the sustained
weak automotive economy, and this also made it more difficult to
gain new customers.  To ensure the viability of the Heppenheim
site, the utilization of its capacities must be secured through a
follow-on contract after a customer contract expires after
mid-2005.

The Thiel Media and Thiel FashionLifestyle businesses performed
favorably in line with expectations.  Consequently, Thiel
FashionLifestyle and DHL Solutions intend to step up their
long-standing international cooperation in textile distribution,
and to combine operations into a strategic alliance.  The aim is
to establish a textile distribution network covering the whole of
Europe, with uniform standards of operation and harmonized
information logistics structures.

The performance in the Air & Ocean business segment was very
favorable.  The Asia business experienced double-digit growth in
the reporting period.  Net sales of this segment, which is
responsible for air and sea freight operations, increased from
EUR69.2 million in the previous year's quarter to EUR75.5 million
in 2005.  The result improved from EUR0.6 million the previous
year to EUR1.8 million

In the Regional Logistics Services business segment Thiel
Logistik focuses on providing logistics solutions for customers
in the regional core markets.  Here the Thiel Group posted an
increase in sales up from EUR197.4 million to EUR202.0 million.
The result declined from EUR4.7 million to EUR3.9 million, the
Suedkraft business unit being responsible for the decrease.  This
unit is impacted to a particular extent by the weak domestic
economy in Germany, characterized by tougher price competition
with declining margins.  In order to improve the earnings
situation the management has initiated some marketing-oriented
measures.

In line with the pursued growth strategy in Eastern Europe, the
Quehenberger business unit acquired a majority interest in the
Slovakian logistics company Proxar -- subject to the approval of
the antitrust authorities.  The aim is to exploit synergy
potentials within the Thiel Group and to greatly reduce the
number of deadheading transports from Western to Eastern Europe.

As business performance in the first quarter was below
expectations, the estimation of net income for the year was
revised in April 2005.  Accordingly, after an EBIT (according to
IFRS) of EUR34 million in 2004, estimates for fiscal year 2005
are now for an EBIT (according to IFRS) of EUR36 million.  Sales
are expected to increase by three% this year.

About Thiel Logistik AG

Thiel Logistik AG of Grevenmacher, Luxembourg, develops complete
logistics and service solutions as an external partner for
industry and commerce.  In 2004, the Thiel Group achieved sales
of EUR1.7 billion and currently employs approximately 9,000
people in 44 countries.  With more than 446 locations on all
continents, Thiel Logistik operates in the major European markets
and in every important procurement and sales market worldwide.
The Group's business segments are Industry Solutions, Air & Ocean
with its focus on air and sea freight, and Regional Logistics
Services, whose areas of operation extend from Germany and the
Benelux countries via Austria and Switzerland to the countries of
Central and Eastern Europe.  The Industry Solutions comprise
Thiel Automotive, Thiel
FashionLifestyle, Thiel Media and Thiel Furniture.  Thiel
Logistik AG ranks among the market leaders in its business
segments.  Thiel Logistik AG is listed on the MDAX segment of the
German Stock Exchange.  The principle shareholder is DELTON AG,
Bad Homburg, Germany, with 50.26% of the share capital.

Full copy of Thiel Logistics' first quarter results is available
at http://bankrupt.com/misc/Thiel(1Q2005).pdf

CONTACT:  THIEL LOGISTIK AG
          ZIR Potaschberg, 5,
          an de Langten
          6776 Grevenmacher
          Phone: +352-719-690-0
          Fax: +352-719-690-1198
          Web site: http://www.thiel-logistik.com

          Hans Dettmar
          Head of Corporate Communication
          Phone: 00352 / 719690-1360
          E-mail: hdettmar@thiel-logistik.com

          Tino Fritsch
          Head of Media Relations
          Phone: 00352 / 71 96 90-1353
          E-mail: tfritsch@thiel-logistik.com


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


HEAD N.V.: Net Loss Down to US$9.1 Million
------------------------------------------
Head N.V.'s results for the three months ended 31 March 2005
compared to the three months ended 31 March 2004:

(a) Net revenues were down 9.5% to US$83.6 million;

(b) Operating loss before restructuring costs increased by
    US$4.6 million to a loss of US$9.0 million; and

(c) Net loss decreased by US$5.2 million.

Johan Eliasch, Chairman and CEO, commented: "Q1 has been tough on
all of our divisions with a declining diving market in Europe,
the later winter season and poor snow in North West U.S. and
Italy and a decline in the European Tennis market.

As previously communicated, we see restructuring as an ongoing
project and recently announced the decision to outsource 90% of
our remaining tennis racquet production from sites in Austria and
the Czech Republic to China.

Whilst market condition are tough and additional costs will be
incurred as a result of the recently announced tennis
restructuring, we believe that we will report a positive
operating profit for the full year 2005."

Revenues

                       For the Three Months
                         Ended March 31,

                        2004         2005
                    (unaudited)   (unaudited)
                         (in thousands)
Product category:

Winter Sports        $22,082        $21,220
Racquet Sports        49,512         42,380
Diving                19,914         19,078
Licensing              2,891          3,049
Total revenues        94,399         85,727
Other revenues           267            279
Sales Deductions      (2,306)        (2,387)
Total Net Revenues   $92,360        $83,619

Winter Sports

Winter Sports revenues for the three months ended March 31, 2005
decreased by $0.9 million, or 3.9%, to $21.2 million from $22.1
million in the comparable 2004 period.  This decrease was due to
lower sales volumes of skis and bindings as a consequence of very
late winter season 2003/2004 which resulted in higher revenues in
Q1 2004.  This decrease was partly offset by higher sales volumes
of our ski-boots and the strengthening of the euro against the
U.S. dollar.

Racquet Sports

Racquet Sports revenues for the three months ended March 31, 2005
decreased by $7.1 million, or 14.4%, to $42.4 million from $49.5
million in the comparable 2004 period.  This decrease was mainly
due to lower sales volumes in tennis racquets and balls as well
as a change in product mix in tennis racquets.  Tennis racquet
sales were unfavorably impacted by the timing of the launch of
the new Flexpoint racquets in Q2 2005, while we benefited
strongly from the Liquidmetal technology momentum in Q1 2004.  In
tennis balls a part of the decline is a result of the
discontinued original equipment manufacturing (OEM) business.
Due to the closure of our tennis ball plant in Mullingar, Ireland
we predictably lost a part of our tennis ball business with
European OEM accounts.  The strengthening of the euro against the
U.S. dollar, partially offset the negative market impacts.

Diving

Diving revenues for the three months ended March 31, 2005
decreased by $0.8 million, or 4.2%, to $19.1 million from $19.9
million in the comparable 2004 period.  This decrease comes
mainly from Italian market.  The strengthening of the euro
against the U.S. dollar partially offset the negative
development.

Licensing

Licensing revenues for the three months ended March 31, 2005
increased by $0.2 million, or 5.4%, to $3.0 million from $2.9
million in the comparable 2004 period due to new licensing
agreements as well as timing impacts and the strengthening of the
euro against the U.S. dollar.

Other Revues

Other revenues include amounts billed to customers for shipping
and handling and are recognized also as selling and marketing
expense.

Sales Deductions

Sales deductions for the three months ended March 31, 2005
remained stable.

Profitability

For the three months ended March 31, 2005 gross profit decreased
by $3.2 million to $31.3 million from $34.5 million in the
comparable 2004 period due to declining sales.  Gross margin
increased slightly to 37.5% in 2005 from 37.4% in the comparable
2004 period due to improved operating performance and product
mix.

For the three months ended March 31, 2005, selling and marketing
expenses increased by $2.9 million, or 10.3%, to $30.9 million
from $28.0 million in the comparable 2004 period.  This increase
was due to higher advertising expenses promoting the introduction
of our Flexpoint racquets as well as the strength of the euro
against the dollar.

For the three months ended March 31, 2005, general and
administrative expenses decreased by $1.4 million, or 13.0%, to
$9.3 million from $10.7 million in the comparable 2004 period.
This decrease was due to tight expense control and lower expenses
for warehousing due to decreased sales volumes partially offset
by the strengthening of the euro against the dollar.

For the three months ended March 31, 2005 and 2004, we also
recorded $0.1 million of non-cash compensation expense due to the
grant of stock options under our stock option plans 1998 and 2001
and the resulting amortization expense.

In addition, in the three months ended March 31, 2004 we recorded
restructuring costs of $0.3 million consisting of dismissal and
transportation costs in connection with the closing of our
production facility in Mullingar, Ireland and our plant in
Tallinn, Estonia.

As a result of the foregoing factors, operating loss for the
three months ended March 31, 2005 increased by $4.3 million to
$9.2 million from $4.6 million in the comparable 2004 period.

For the three months ended March 31, 2005, interest expense
decreased by $8.4 million, or 65.3%, to $4.5 million from $12.9
million in the comparable 2004 period.  This decrease was mainly
due to the write-off of the capitalized debt issuance costs of
$3.2 million relating to our former 10.75% senior notes, which
were repaid upon issuance of our new 8.5% senior notes in January
2004, the premium of $4.4 million for the early redemption of the
10.75% senior notes, lower interest expenses on our long-term
debt due to the fact that in 2004 we repaid our 10.75% senior
notes one month after the issuance of the 8.5% senior notes and
lower expenses for our short-term loans.

For the three months ended March 31, 2005, interest income
decreased by $0.1 million, or 26.3%, to $0.3 million from $0.4
million in the comparable 2004 period.  This decrease was due to
lower interest bearing cash on hand.

For the three months ended March 31, 2005, we had a foreign
currency gain of $0.9 million compared to a gain of $0.1 million
in the comparable 2004 period.

For the three months ended March 31, 2005, income tax benefit was
$3.0 million, an increase of $0.4 million compared to income tax
benefit of $2.6 million in the comparable 2004 period.  This
increase results from a shift by fiscal jurisdiction of losses
before income taxes.

As a result of the foregoing factors, for the three months ended
March 31, 2005, we had a net loss of $9.1 million, compared to a
net loss of $14.4 million in the comparable 2004 period.

Consolidated Results

                       For the Three Months
                         Ended March 31,

                        2004         2005
                    (unaudited)   (unaudited)
                         (in thousands)

REVENUES
Total net revenues    $92,360        $83,619
Cost of sales          57,851         52,276
Gross profit           34,509         31,343
Gross margin            37.4%          37.5%
Selling and
marketing expense      28,041         30,933
General and
administrative expense
(excl. non-cash compensation
expense and
restructuring costs)  10,705           9,325
Non-cash
compensation expense     139             106
Restructuring costs      272              --
Operating loss        (4,648)          (9,021)
Interest expense     (12,871)          (4,465)
Interest income          403              297
Foreign exchange gain     79              914
Other income
(expense), net           (6)               68
Loss from operations
before income taxes   (17,043)        (12,208)
Income tax benefit      2,648           3,063
Net loss             $(14,394)        $(9,145)

About Head

Head N.V. is a leading global manufacturer and marketer of
premium sports equipment.  Its ordinary shares are listed on the
New York Stock Exchange (HED) and the Vienna Stock Exchange
(HEAD).

The business is organized into four divisions: Winter Sports,
Racquet Sports, Diving and Licensing.  It sells products under
the Head (tennis, squash and racquetball racquets, alpine skis
and ski boots, snowboards, bindings and boots), Penn (tennis and
racquetball balls), Tyrolia (ski bindings), and Mares/Dacor
(diving equipment) brands.

It holds leading positions in all of its product markets and our
products are endorsed by some of the world's top athletes
including Andre Agassi, Gustavo Kuerten, Marat Safin, Juan Carlos
Ferrero, Johann Grugger and Maria Riesch.

For more information, visit: http://www.head.com

CONTACT:  HEAD N.V.
          Clare Vincent, Investor Relations
          Phone: +44 207 499 7800
          Fax: +44 207 491 7725
          E-mail: headinvestors@aol.com

          Ralf Bernhart, Chief Financial Officer
          Phone: +43 1 70 179 354
          Fax: +43 1 707 8940


KONINKLIJKE AHOLD: Net Sales Fall Slightly in Q1
------------------------------------------------
Koninklijke Ahold reported consolidated net sales (excluding VAT)
of EUR13.0 billion for the first quarter of 2005 (16 weeks:
January 3, 2005 - April 24, 2005), a decline of 1.0% compared to
the same period last year (Q1 2004: EUR13.1 billion).  Net sales
were impacted by lower currency exchange rates, in particular
that of the U.S. dollar.  Net sales excluding currency impact
increased by 2.6% in the first quarter of 2005.  The numbers
presented in this trading statement include net sales accounted
for in accordance with International Financial Reporting
Standards (IFRS), which is Ahold's primary GAAP as from 2005.

Stop & Shop/Giant-Landover Arena

Net sales at Stop & Shop/Giant-Landover Arena in the first
quarter of 2005 increased by 4.6% to US$5.0 billion (Q1 2004:
US$4.8 billion).  Net sales in the first quarter of 2005 included
US$83 million of net sales to BI-LO and Bruno's, which prior to
their sale in the first quarter, were eliminated as inter-company
sales.

Identical sales at Stop & Shop declined by 0.2%, while identical
sales at Giant-Landover declined by 3.6%.  Identical sales at
both Stop & Shop and Giant-Landover continue to reflect the
impact of primarily competitive store openings.

Comparable sales at Stop & Shop increased by 0.2%, while
comparable sales at Giant-Landover declined by 3.0%.

        Peapod Continues to Show Strong Net Sales

Giant-Carlisle/Tops Arena

Net sales at Giant-Carlisle/Tops Arena in the first quarter of
2005 increased by 1.7% to US$1.9 billion (Q1 2004: US$1.9
billion).

Identical sales at Giant-Carlisle increased by 3.7% mainly due to
growth in sales per customer driven by a successful customer
loyalty programs within a very competitive market.  Identical
sales at Tops declined by 1.2% mostly impacted by a lower
identical customer count.

Comparable sales at Giant-Carlisle increased by 4.6%, while
comparable sales at Tops declined by 1.0%.

Albert Heijn Arena

Net sales at Albert Heijn Arena in the first quarter of 2005
increased by 4.2% to EUR2.0 billion (Q1 2004: EUR1.9 billion).

Albert Heijn net sales increased by 4.9% to EUR1.8 billion (Q1
2004: EUR1.7 billion).  Albert Heijn continued its repositioning
program in the Dutch retail market by, among other things,
repositioning the Health, Beauty and Care categories in this
quarter.

In a deflationary market, identical sales at Albert Heijn
increased by 4.3%, primarily as a result of a higher number of
customer visits.

Central Europe Arena

Net sales at our Central Europe Arena in the first quarter of
2005 increased by 14.7% to EUR406 million (Q1 2004: EUR354
million).  The net sales growth in the first quarter of 2005
excluding currency impact was 2.5%.  Excluding the Polish
hypermarkets, which were divested during the first quarter, this
growth would have been 9.3% in local currencies.

The identical sales growth of our compact hypermarkets and
supermarkets in Central Europe was positive, resulting from more
customers despite a lower average basket size.  Identical sales
for the entire Arena declined by 0.6% mainly due to our divested
hypermarkets in Poland that were still included for two months.

Schuitema

Net sales at Schuitema in the first quarter of 2005 were
substantially at the same level as in the first quarter of 2004
(EUR0.9 billion).

Despite the ongoing price competition, Schuitema was able to
sustain the same level of net sales mainly as a result of higher
volumes.

U.S. Foodservice

In the first quarter of 2005, U.S. Foodservice net sales
increased by 0.9% to US$5.6 billion (Q1 2004: US$5.5 billion).

Net sales for the quarter were negatively impacted by
approximately 3% as a result of the company's national account
customer rationalization program.

Food price inflation continued to be the primary driver of the
overall net sales growth.  Unconsolidated joint ventures and
equity investees.

Net sales at our unconsolidated joint ventures and equity
investees in the first quarter of 2005 decreased by 0.8% to
EUR2.6 billion (Q1 2004: EUR2.6 billion).

At ICA, the first quarter 2005 net sales decreased by 4.5% to
SEK16.6 billion (Q1 2004: SEK17.4 billion), mainly due to
entering into a 50/50 unconsolidated joint venture involving
Kesko and ICA's Baltic operations in January 2005 and the sale of
the Danish operations in August 2004.

Net sales at ICA Sweden increased due to a successful
price-repositioning campaign, which began in March.  Net sales at
ICA Norway were under pressure as a result of increased
competition from price focused retail players.

Adoption of IFRS

This trading statement includes net sales accounted for in
accordance with International Financial Reporting Standards,
which is Ahold's primary GAAP as from 2005.  The transition to
IFRS did not have an impact on the revenue recognition criteria.
However, the net sales presented in this trading statement
(including comparative figures for the first quarter of 2004) are
impacted by IFRS with respect to discontinued operations. Under
Dutch GAAP, the results from operations that qualify as
discontinued operations are included in continuing operations in
the statement of operations until the date the operations are
sold.  Under IFRS, the results from operations that qualify as
discontinued operations are presented separately from continuing
operations in the statement of operations.  As required under
IFRS, the prior year net sales figures included as comparatives
in this trading statement have been adjusted to exclude net sales
from discontinued operations.

CONTACT:  KONINKLIJKE AHOLD
          Albert Heijnweg 1
          1507 EH Zaandam, The Netherlands
          Phone: +31-75-659-9111
          Fax: +31-75-659-8350
          Web site: http://www.ahold.com


NUMICO N.V.: Shareholders Approve Share Issuance, Buyback
---------------------------------------------------------
Royal Numico N.V. shareholders voted in favor of all agenda items
during the Annual General Meeting of Shareholders on Wednesday 11
May 2005.  32.4% of Numico's total share capital outstanding was
present or represented at the AGM 2005.

These agenda items were approved:

(a) The Annual Accounts 2004, the discharge of the Executive
    Board and Supervisory Board;

(b) Re-appointment of PricewaterhouseCoopers as the accountant
    for 2005;

(c) The annual compensation of the Supervisory Board;

(d) Re-appointment of Messrs. Chris Britton, Rudy Mareel and
    Niraj Mehra as members of the Executive Board for a term of
    four years;

(e) Appointment of Mr. Steven Schuit as member of the
    Supervisory Board for a term of four years;

(f) Subject to the closing of the Mellin acquisition, the
    appointment of Mr. Marco Fossati as member of the
    Supervisory Board for a term of four years;

(g) Authorization of the Executive Board to issue ordinary
    shares and exclude pre-emptive rights; and

(h) Authorization of the Executive Board to buy back own shares.

An audio and video Web cast of the meeting and the related
presentation are available at
http://www.numico.com/en/main/Media+Information/Presentations/

Royal Numico is a high-growth, high-margin specialized nutrition
company with leading positions in Baby Food and Clinical
Nutrition and brings products to the market under the brand names
Nutricia, Milupa and Cow & Gate, among others.  The company
serves customers in over 100 countries and employs approximately
11,000 people (see also: http://www.numico.com).

CONTACT:  ROYAL NUMICO N.V.
          P.O. Box 75538, 1118 ZN Schiphol Airport
          The Netherlands
          Phone: +31 20 456 9000
          Fax: +31 20 456 8000
          Corporate Communications
          Phone: +31 20 456 9077
          Investor Relations
          Phone: +31 20 456 9003


VERSATEL N.V.: Authorities Investigate Possible Insider Trading
---------------------------------------------------------------
The supervisory board chairman of Versatel Telecom International
N.V., Leo van Doorne, temporarily stepped down on Thursday in the
wake of an insider trading probe at the company.  He has been
replaced by Vice president Hans Huber.

Prosecutors seized evidence at raids on Wednesday in relation
investigations being done at Versatel's stock market dealings in
1999.  At the height of the Internet boom, Versatel's shares were
floated at EUR80.  However, about two years later, the firm had
to launch a debt-for-equity swap to avoid bankruptcy.

The prosecutors detained several suspects for questioning, but
did not disclose names or comment further.  Lawyers of Mr. van
Doorne denied his involvement in insider trading or any criminal
offense.  Versatel also denied the company is under probe.
Officials are cooperating with authorities by turning over
documents.

Versatel posted a loss of EUR24.4 million (US$31.4 million) in
2004.

CONTACT:  VERSATEL TELECOM INTERNATIONAL N.V.
          Hullenbergweg 101
          1101 CL Amsterdam
          Phone: +31-20-750-10-00
          Fax: +31-20-750-10-01
          Web site: http://www.versatel.com


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


DNO ASA: Posts Q1 Net Profit of NOK143.8 Million
------------------------------------------------
DNO A.S.A. shall create values from smart exploration, cost
effective field developments and high margin production.  During
the first quarter of 2005 DNO achieved an operating profit of
NOK212.8 million and a net profit of NOK143.8.  The 2 P reserves
increased by 54% at cost less than US$1 per barrel, and DNO
delivered a reserve replacement ratio of 1 200% during the first
quarter.  These achievements clearly demonstrate that the revised
strategy is already adding new values to our shareholders.

Highlights for the First Quarter 2005:

    (i) Continued success from drilling in Yemen,

   (ii) Further expansion of portfolio with substantial un-
        risked resource potential in Norway,

  (iii) Increase in proven plus probable reserves by 15.6 mboe
        to 42.8 mboe,

   (iv) Excellent reserve economics,

    (v) Signed Memorandum of Understanding (MoU) with the
        Ministry of Oil in Baghdad

"We are pleased with our achievements during the first quarter of
2005.  Good progress has been made both in Yemen and Norway,
which is clearly seen from our strong reserve economics.  The
signing of the MOU with the oil ministry in Baghdad is an
important step towards a long-term presence for DNO in Iraq.
Seismic acquisition within the PSA area in Northern Iraq is
expected to commence in the near future.

"Going forward, we will continue our efforts to add reserves at
low cost.  Following the recent basement oil discovery within the
Nabrajah area, a further upgrade of the reserves will be made
during the second quarter of 2005, says Managing Director of DNO
A.S.A.," Helge Eide.

DNO had operating revenues of NOK299.8 million (NOK255.8 million)
in the first quarter 2005, while the operating revenues in the
fourth quarter 2004 was NOK338.0 million.  As expected lower
production is the main reason for the reduction in revenues
compared with Q4 2004, but the effect has been partially offset
by higher oil prices and favorable USD/NOK.

DNO achieved an operating profit (EBIT) of NOK212.8 million
(NOK118.6 million) in the first quarter 2005.  Net profit
amounted to NOK143.8 million (NOK20.1 million).

A full copy of its financial report is available free of charge
at http://bankrupt.com/misc/DNO(Q12005).pdf

CONTACT:  DNO A.S.A.
          Helge Eide, Managing Director
          Phone: 23 23 84 80 or 55 22 47 00

          Haakon Sandborg, Chief Financial Officer
          Phone: 23 23 84 80


PAN FISH: Raising NOK200 Million to Fund Growth
-----------------------------------------------
The Board of Directors of Pan Fish A.S.A. reached agreement with
the main banks and shareholders to carry out a share issue of
NOK200 million at a subscription price of NOK1,00 per share.  The
subscription price is 25% below last official quotation.

The share issue of NOK200 million, in combination with the debt
conversion of NOK500 million, makes Pan Fish one of the most
solid fish farming companies.  Based on the first quarter 2005
financial accounts Pan Fish will have an equity share after the
refinancing of 35%.  In addition to this the company has very low
license values and zero goodwill and deferred tax assets as a
consequence of the major restructuring over the last few years.

"Pan Fish demonstrates a very strong operational development with
falling production costs in all regions both on harvested fish
and fish in sea.  We are very satisfied with the confidence that
our two main shareholders again confirm when it comes to our
business plan and our targets, and that they contribute to giving
Pan Fish a financial platform that makes it possible to realizing
our ambitious production targets," says CEO Atle Eide.

The company had in 2004 a production of 54,445 tons round weight
and has a target to increase this to 66,100 tons round weight
this year and further to 107.700 tons round weight in 2008.

The share issue marks the end of the refinancing and
restructuring of Pan Fish -- a process that started in 2003.  In
addition to this last refinancing of NOK700 million it is a clear
target to reduce interest-bearing debt with a further NOK200
million through divestment of non-core assets.

"This is a milestone.  When the refinancing is completed by the
end of May, Pan Fish will be back as a solid, leading fish
farming company.  This will put us in a position meet the
demanding market and competitive situation that characterize our
main market, E.U., without forcing us to take actions that weaken
our ability to reach the targets we have set," says Atle Eide.

The subscription period is from May 13 to May 27.  First
Securities and DnB NOR Markets are the company's advisors in
connection with the refinancing and the coming share issue.

CONTACT:  PAN FISH A.S.A.
          Atle Eide, chief Executive
          Phone: +47 911 52 977


PAN FISH: Reports NOK10.4 Million Operating Loss in Q1
------------------------------------------------------
The positive trend continues for Pan Fish in the first quarter of
2005, and its Norwegian fish farming industry has made a
particularly strong contribution to the positive results.  The
efforts to bring down the production costs are already producing
good results, and results from the analyses of the current live
fish stock are very promising both with regards to lower costs
and outstanding quality.

Pan Fish now completes the last leg of the refinancing of the
company, through a public share issue of NOK200 million and a
conversion of NOK500 million of the company's debt into shares.
These initiatives will establish the financial framework that
will enable Pan Fish to operate as an independent fish farming
company with the required means to rebuild production to full
capacity.  After the refinancing, Pan Fish will be on of the most
robust fish farming companies.

Pan Fish achieved an operating result before depreciation
(EBITDA) of NOK51.9 million in the first quarter, an impressive
result considering the substantial reduction in harvesting
compared to the same period in 2004.  The company's gross
operating revenues amounted to NOK452.0 million in first quarter
2005, down approximately 150 million compared to the same period
last year.  The fall in revenues is a consequence of the
comprehensive restructuring and temporary downsizing the company
has carried out.

(NOK million)                    Q1-05       Q1-04
Gross operating revenues         452.0       602.7
EBITDA                            51.9        61.4
EBIT                              12.4        15.2
Loss before tax                  -14.6       -58.1
Loss after tax                   -14.6       -57.8

The figures are adjusted for unrealized income on biomass (IFRS)

Capital Increase

Pan Fish has reached an agreement with the company's main
shareholders and bank relations concerning a final refinancing
package for the company.  Based on the balance per 1Q, the
agreement will provide an equity share of 35%.  This will enable
Pan Fish to endure periods of difficult market conditions without
having to resort to agreements that have a negative effect on the
company's long-term position.  The agreement implies:

(a) Increase of capital through a public share issue of NOK200
    million at a price of NOK1, corresponding to a discount of
    25%; and

(b) Increase of capital through a process whereby Nordea an DnB
    NOR convert NOK500 million of the Pan Fish's debt into
    equity (presupposes that Pan Fish succeeds at conducting the
    NOK200 million public share issue).

"The total refinancing package of NOK700 million establishes the
necessary financial framework to enable Pan Fish to operate as an
independent fish farming company with the required ability and
muscle to lift production to the targeted level.  The refinancing
and share issue will provide Pan Fish with a solid financial
platform and the required work space to be able to focus on the
company's most important task: high quality, profitable salmon
farming.  Together with the structural initiatives we have
carried out during the past two years, this places Pan Fish in a
very good position to realize the goal of becoming the most
cost-effective supplier of quality salmon to customers," says
Atle Eide, CEO of Pan Fish.

Operations and Outlook

Fish farming: The company's fish farming business generated
operating revenues of NOK352,6 million (adjusted for unrealized
income biomass - IFRS) in first quarter 2005, compared with
NOK531.2 million in the same period of 2004.  The fish farming
operations had an operating income (adjusted for unrealized
income biomass - IFRS) of NOK20.2 million, compared to NOK24.4
million from the same period in 2004.  13,891 tons of round
weight of fish were slaughtered in the first quarter of 2005,
compared with 18,294 tons round weight in first quarter of 2004.
Production costs on both harvested fish and fish in sea is on the
right track in relation to achieving the goal of becoming the
lowest cost producer.

VAP: Pan Fish's value added products (VAP) business, which
comprises Pan Fish France and Pan Fish Denmark (formerly Vestlax
Hirtshals), generated gross operating revenues totaling NOK109.3
million in the first quarter 2005, compared with NOK144.5 million
in the first quarter of last year.  The total operating loss
(EBIT) was NOK10.4 million, compared with a loss of NOK5.5
million in the corresponding period last year.  The results for
the VAP business are not satisfactory, and Pan Fish is currently
in the process of initiating measures to counteract this negative
development.

Outlook: "Our goal of achieving the most cost-effective
production of quality salmon in the industry is well established
in our organization, and we have placed the entire biological
production cycle on the agenda, with concrete goals and
initiatives designed to ensure excellent performance throughout
the value chain.  With the solid financial platform we are now
establishing, the goal is to lift production to a level, which
makes the most of our current infrastructure capacity, in a way
that is compatible with biological and market sustainability.  We
have now established a strong foundation in order to achieve this
goal," says Atle Eide, CEO of Pan Fish.

"The situation with completely unreasonable and unacceptable
trade restrictions in the E.U., one of our core markets, is
damaging both for our customers and the industry.  If a permanent
anti-dumping duty is introduced, this will be harmful for workers
within the EU as well.  It is alarming that a minority in the
Scottish fish farming industry, comprising a total work stock of
265 employees, are able to find support for such comprehensive
actions against an entire industry with thousands of employees.
I have hope and faith that the E.U. and Norwegian authorities
will shortly agree on a solution, before even more jobs are
affected and before the punitive duty inflicts lasting damage on
the industry, including on E.U. fish farmers," says Atle Eide.

CONTACT:  PAN FISH A.S.A.
          Atle Eide, Chief Executive
          Phone: +47 911 52 977


===========
R U S S I A
===========


AKSUBAEVSKOYE BUILDING: Deadline for Proofs of Claim Set June
-------------------------------------------------------------
The Arbitration Court of Tatarstan republic commenced bankruptcy
proceedings against Aksubaevskoye Building Management #2 after
finding the open joint stock company insolvent.  The case is
docketed as A65-14634/2004-SG4-16.  Mr. V. Prkofyev has been
appointed insolvency manager.  Creditors have until June 2, 2005
to submit their proofs of claim to 420029, Russia, Kazan, Post
User Box 44.

CONTACT:  AKSUBAEVSKOYE BUILDING MANAGEMENT #2
          Russia, Tatarstan republic, Aksubaevo

          Mr. V. Prkofyev
          Insolvency Manager
          420029, Russia, Kazan,
          Post User Box 44


CRYSTAL-BANK: Declared Insolvent
--------------------------------
The Arbitration Court of Moscow commenced bankruptcy proceedings
against Crystal-Bank after finding the international commercial
bank insolvent.  The case is docketed as A40-5356/05-88-9 B.  The
Agency on Investment Insurance has been appointed insolvency
manager.  Creditors have until June 2, 2005 to submit their
proofs of claim to 123022, Russia, Moscow, Post User Box 11 or
call (095) 959-47-97, 589-40-88.

CONTACT:  CRYSTAL-BANK
          127220, Russia, Moscow region,
          Nizhnyaya Maslovlka Str. 8

          Agency on Investment Insurances
          Insolvency Manager
          109240, Russia, Moscow region,
          Verkhniy Taganskiy Tupik. 4


KRIST: Bankruptcy Proceedings Begin
-----------------------------------
The Arbitration Court of Sverdlovsk region commenced bankruptcy
proceedings against Krist (TIN 6603002961) after finding the open
joint stock company insolvent.  The case is docketed as
A60-4178/2004-S4.  Mr. E. Artyukh has been appointed insolvency
manager.  Creditors have until June 2, 2005 to submit their
proofs of claim to 620014, Russia, Ekaterinburg, Lenina Pr. 5/4 -
130.

CONTACT:  KRIST
          624260, Russia, Sverdlovsk region,
          Asbet, Komsomolskaya Str. 1

          Mr. E. Artyukh
          Insolvency Manager
          620014, Russia, Ekaterinburg,
          Lenina Pr. 5/4 - 130


KUZOVATOVSKOYE: Under Bankruptcy Supervision
--------------------------------------------
The Arbitration Court of Ulyanovsk region has commenced
bankruptcy supervision procedure on open joint stock company
Kuzovatovskoye (TIN 7308004054).  The case is docketed as
A72-1251/05-21/9-b.  Ms. N. Bataeva has been appointed temporary
insolvency manager.

Creditors may submit their proofs of claim to 432063, Russia,
Ulyanovsk, Post User Box 7024.  A hearing will take place on Aug.
18, 2005, 10:00 a.m.

CONTACT:  KUZOVATOVSKOYE
          433760, Russia, Ulyanovsk region,
          Kuzovatovo, Polevaya Str. 3a

          Ms. N. Bataeva
          Temporary Insolvency Manager
          432063, Russia, Ulyanovsk region,
          Post User Box 7024

          The Arbitration Court of Ulyanovsk region
          432063, Russia, Ulyanovsk region,
          Zheleznodorozhnaya Str. 14


MALOYAZOVSKIY: Assets for Public Auction Wednesday
--------------------------------------------------
The open joint stock company Maloyazovskiy will sell its property
on May 18, 2005, 4:30 p.m.  The public auction will take place at
Russia, Bashkortostan republic.  Up for sale are industrial
buildings and equipment.  Starting price:  RUB1,870,540.

Preliminary examination and reception of bids are done from 10:00
a.m. to 4:00 p.m. on May 18, 2005.  The list of documentary
requirements is available at Russia, Bashkortostan republic,
Salavatskiy region, Maloyaz, Pervomayskaya Str. 61.

To participate, bidders must deposit an amount equivalent to 10%
of the starting price to the settlement account
40602810001280000025 at OJSC Sots-invest-bank, Maloyaz,
correspondent account 30101810900000000739, BIC 048073739, KPP
024001001, TIN 0240003527 on or before May 17, 2005.

CONTACT:  MALOYAZOVSKIY
          Russia, Bashkortostan republic, Salavatskiy region,
          Maloyaz, Pervomayskaya Str. 61


NOVOCHEBOKSARSKAYA: Undergoes Bankruptcy Supervision Procedure
--------------------------------------------------------------
The Arbitration Court of Cheboksary has commenced bankruptcy
supervision procedure on open joint stock company
Novocheboksarskaya Factory Pike.  The case is docketed as
A79-1627/2005.  Ms. T. Karandaeva has been appointed temporary
insolvency manager.

Creditors may submit their proofs of claim to 429956, Russia,
Chuvashiya republic, Novocheboksarsk, Post User Box 6.  A hearing
will take place on Aug. 12, 2005, 10:00 a.m.

CONTACT:  NOVOCHEBOKSARSKAYA FACTORY PIKE
          429956, Russia, Chuvashiya republic,
          Novocheboksarsk, 10th Pyatiletki Str. 23

          Ms. T. Karandaeva
          Temporary Insolvency Manager
          429956, Russia, Chuvashiya republic,
          Novocheboksarsk, Post User Box 6


OLIMPIYSKIY: Commercial Bank Succumbs to Bankruptcy
---------------------------------------------------
The Arbitration Court of Moscow region commenced bankruptcy
proceedings against Olimpiyskiy after finding the commercial bank
insolvent. The case is docketed as A40-7416/05-101-18B.  The
agency on investment insurance has been appointed insolvency
manager.  Creditors have until June 2, 2005 to submit their
proofs of claim to 123022, Russia, Moscow, Post User Box 39 or
call (095) 959-47-97, 589-40-88.

CONTACT:  OLIMPIYSKIY
          127006, Russia, Moscow region,
          Sadovaya-Karetnaya Str. 20/6, Building 1

          Agency on Investment Insurance
          Insolvency Manager
          109240, Russia, Moscow region,
          Verkhniy Taganskiy Tupik, 4


PASHUTINSKOYE: Gives Creditors Until June to File Claims
--------------------------------------------------------
The Arbitration Court of Krasnoyarsk region commenced bankruptcy
proceedings against Pashutinskoye after finding the close joint
stock company insolvent.  The case is docketed as A33-3459/04-s4.
Mr. D. Makhov has been appointed insolvency manager.  Creditors
have until June 2, 2005 to submit their proofs of claim to
660043, Russia, Krasnoyarsk, Vodyannikova Str. 2 A, Post User Box
910.

CONTACT:  PASHUTINSKOYE
          663430, Russia, Krasnoyarsk region,
          Boguchanskiy region, Khrebtovyj

          Mr. D. Makhov
          Insolvency Manager
          660043, Russia, Krasnoyarsk region,
          Vodyannikova Str. 2 A, Post User Box 910


TULSKIY: Declared Insolvent
---------------------------
The Arbitration Court of Tula region commenced bankruptcy
proceedings against Tulskiy after finding the mining-and-chemical
plant insolvent.  The case is docketed as A68-61/B-04.  Ms. V.
Polyakova has been appointed insolvency manager.
Creditors have until June 2, 2005 to submit their proofs of claim
to 300002, Russia, Tula, Post User Box 255.

CONTACT:  TULSKIY
          301131, Russia, Tula region,
          Leninskiy, Gagarina Str. 4

          Ms. V. Polyakova
          Insolvency Manager
          300002, Russia, Tula region,
          Post User Box 255
          Phone: (0872) 40-21-20


ZLATOUSTOVSKIY: Chelyabinsk Court Appoints Insolvency Manager
-------------------------------------------------------------
The Arbitration Court of Chelyabinsk region commenced bankruptcy
proceedings against Zlatoustovskiy (TIN 7404031550) after finding
the metallurgical plant insolvent.  The case is docketed as
A76-21333/03-34-165.  Mr. S. Rogov has been appointed insolvency
manager.  Creditors have until June 2, 2005 to submit their
proofs of claim to 456207, Russia, Chelyabinsk region, Zlatoust,
Karla Marksa Str. 26.

CONTACT:  ZLATOUSTOVSKIY
          456207, Russia, Chelyabinsk region,
          Zlatoust, Karla Marksa Str. 26

          Mr. S. Rogov
          Insolvency Manager
          456207, Russia, Chelyabinsk region,
          Zlatoust, Karla Marksa Str. 26


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


SKANDIA INSURANCE: Unit's Managed Assets Grow by SEK1 Bln
---------------------------------------------------------
Skandia Insurance Company Ltd. reported Thursday that its new
business [**] increased by 2% and amounted to SEK289 million,
while premiums written decreased from SEK3.1 billion to SEK3.0
billion.  New sales [***] increased by 7% compared with the same
period last year while cancelled annual premiums decreased by
22%.

At 31 March 2005, Skandia Liv's managed assets amounted to SEK252
billion.  On the same date a year ago assets totaled SEK243
billion.

The total return on Skandia Liv's investments in the first
quarter amounted to 1.9% compared with 3.8% in the same quarter
last year.  This return does not include the capital gains from
the recent sale of unlisted shares.

Mats Andersson, head of investment management at Skandia Liv,
said: "The lower return during the first quarter compared with
the same period last year is mainly explained by a fall of over
2% in the U.S. stock market during the first quarter.  On the
other hand we benefited from a continued positive price trend on
the Stockholm Stock Exchange as well as falling interest rates
which increased the value of the bond portfolio."

Operating expenses amounted to 0.60% in relation to managed
assets compared with 0.59% in the first quarter of 2004.

The collective funding ratio on 31 March was 102% compared with
98% on the same date last year.  This means that Skandia Liv has
met the Swedish Financial Supervisory Authority's requirement
that the funding ratio may not be less than 100% for more than
three years.  Skandia Liv has now had a funding ratio of at least
100% for two consecutive quarters.  This means that a
reallocation is now no longer required.

The bonus rate was raised on 1 January 2005 to 3.5% for all
savings and was raised again from 1 March to 4%.

Solvency amounted to 149% as per 31 March 2005 compared with 147%
a year ago.

The most recent Customer Satisfaction survey carried out by
Skandia Liv (private customers) shows a substantial improvement
for Skandia Liv.  Customers' overall approval of the company has
improved from 56% at year-end 2004 to 70% today.

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
[*] Pertains to Skandia Liv Sweden.  The group also includes
Skandia Liv's subsidiaries in Denmark and Finland.

[**] New business is measured according to the industry
definition: single premiums divided by 10 plus annual premiums.

[***] New sales consist of new business and extensions to
existing insurance contracts.

CONTACT:  SKANDIA INSURANCE COMPANY LTD.
          Sveavagen 44
          S-103 50 Stockholm, Sweden
          Phone: +46-8-788-1000
          Fax: +46-8-788-3080
          Web site: http://www.skandia.com

          Bengt-Ake Fagerman, Deputy CEO
          Phone: +46 8 788 21 50

          Mats Andersson, Head of Investment Management
          Phone: +46 8 788 41 73

          Pia Marions, CFO
          Phone: +46 8 788 19 69

          Gunilla Svensson, Head of Public Relations
          Phone: +46 8 788 42 97


SKANDIA INSURANCE: First-quarter Sales Up
-----------------------------------------
Skandia Insurance Company Ltd. revealed Thursday sales increased
to SEK27.0 billion compared with SEK25.3 billion during a very
strong first quarter of 2004.  Sales increased by 6% in Swedish
kronor and 9% in local currency.

Sales of unit linked assurance in local currency rose 15% to
SEK19.1 billion (17.0).  New sales of unit linked assurance
increased by 15% to SEK2.7 billion (2.4).

Sales of mutual fund savings products decreased slightly and
amounted to SEK7.5 billion (7.9).  Sales of life assurance remain
at the previous year's level.

U.K., Asia Pacific & Offshore Sales in the U.K. (including Royal
Skandia) amounted to SEK14.8 billion (13.6), which correspond to
an increase of 12% in local currency.  Of this total, unit linked
assurance accounts for SEK12.4 billion (11.0) while mutual fund
savings products account for SEK2.4 billion (2.6).  New sales of
unit linked assurance increased by 12% in local currency.  Sales
of single premium unit linked bonds and pension products continue
to grow.

Sales in Offshore, excluding Royal Skandia, rose 79% in local
currency.  In Australia, sales of mutual fund savings products
decreased by 6% in local currency mainly due to an unusually high
sales level in March 2004.  Sales in March 2005, however, showed
an increase compared with February.

Nordic

Combined sales (excluding Skandia Liv) amounted to SEK4.2 billion
(4.0).  Sales of unit linked assurance increased by 6% in local
currency.  New sales of unit linked assurance decreased by 8% in
local currency.  Sales development has stabilized, however, and
Swedish new sales in March were 12% higher than corresponding
month last year.

Europe & Latin America

Sales increased to SEK5.7 billion.  Sales during the same period
2004 amounted to SEK5.6 billion, which included one-time effects
in Spain and Italy of approx. SEK0.8 billion.  Sales of
unit-linked assurance increased by 7% in local currency to SEK3.0
billion (2.9).  New sales of unit linked assurance increased by
43% in local currency, which is mainly attributable to increases
in France and Germany.  As reported earlier, new sales in Germany
rose sharply during the fourth quarter of 2004 due to changes in
tax legislation.  This inflow of new business also had a positive
effect on new sales during the first quarter of
2005.  In France, a strengthening of capacity within distribution
and sales contributed to the increase in sales.

Sales of mutual fund savings products were largely unchanged at
SEK2.5 billion (2.5).

In view of the fact that market statistics in some markets are
made available prior to publication of Skandia's interim reports,
it has been decided that during 2005 Skandia will present the
Group's sales approximately six weeks after the end of each
quarter.  Skandia will no longer report on financial effects
prior to publication of its interim reports.

Skandia's interim report for the first quarter of 2005 will be
released on 31 May 2005.

CONTACT:  SKANDIA INSURANCE COMPANY LTD.
          Sveavagen 44
          S-103 50 Stockholm, Sweden
          Phone: +46-8-788-1000
          Fax: +46-8-788-3080
          Web site: http://www.skandia.com

          Bengt-Ake Fagerman, Deputy CEO
          Phone: +46 8 788 21 50

          Mats Andersson, Head of Investment Management
          Phone: +46 8 788 41 73

          Pia Marions, CFO
          Phone: +46 8 788 19 69

          Gunilla Svensson, Head of Public Relations
          Phone: +46 8 788 42 97


SKANDIA INSURANCE: Gets 'Very Good' Rating from Customers
---------------------------------------------------------
On May 20, the Swedish Insurance Federation will publish the
industry's quarterly statistics for the first quarter of 2005.
These statistics also include information about Skandia Insurance
Company Ltd.'s sales development.  Consequently, Skandia released
Thursday sales information for the first quarter of 2005.

Skandia's sales in the Swedish market were stable during the
first quarter.  The fee reduction for unit-linked assurance that
was carried out in November has not had any effect on new sales
during the first quarter mainly since new sales were weaker
during the first two months.  However, March and April shows a
positive trend within unit linked assurance.

Sales During the First Quarter

Combined sales (excluding Skandia Liv) increased by 4% compared
with the same quarter a year ago and amounted to SEK4.0 billion
(3.9).

Unit Linked Assurance

Sales of unit linked insurance amounted to SEK2.7 billion in the
first quarter, which is 4% higher than in the same period last
year.

Accumulated new sales for the first quarter amounted to SEK0.5
billion which is 9% lower than in 2004.  Compared with the fourth
quarter of 2004, on the other hand, new sales increased by 4%.

Skandia Liv

Sales within Skandia Liv for the first quarter of 2005 amounted
to SEK3.0 billion compared with SEK3.1 billion in the same
quarter of 2004.

New sales for the first quarter amounted to SEK0.6 billion, which
is 7% higher than in 2004.

Healthcare & Group Insurance

Within the Healthcare & Group Insurance business area premiums
written amounted to SEK0.2 billion, which corresponds to an
increase of 13% compared with 2004.  The portfolio totaled
123,000 insured at the end of the first quarter of 2005.  This
makes Skandia market leader in the Nordic region within private
healthcare insurance.

SkandiaBanken

SkandiaBanken's lending increased by 4% to SEK36.5 billion.
Deposits increased by 5% to SEK42.6 billion.  The number of
customers increased by 17,000 to 858,000 during the first
quarter.

Preliminary Market Shares

Skandia's market share of the life assurance market on a moving
12-month basis is estimated at 19.0% at the end of the first
quarter compared with 19.6% in the previous quarter.

For Skandia Unit Linked Assurance, the market share was 17.3% in
the first quarter of 2005 compared with 18.0% in the previous
quarter.  The corresponding market share for Skandia Liv in the
traditional life segment amounted to 21.0% compared with 21,6% in
the previous quarter.

Skandia's quarter-on-quarter market share of the life assurance
market is 14.4% for the first quarter of 2005 compared with 16.1%
in the first quarter of 2004.  The market share for Unit Linked
Assurance amounts to 14.3% for the first quarter of 2005 compared
with 16.6% for the same period last year.  During the first
quarter the market scenario is affected by so-called tick-the-box
products where Skandia both historically and recently holds a
lower market share.

During the first quarter the market was also affected by changed
legislation relating to inheritance and gift tax and the
introduction of the new Kapitalpension savings product.  This has
contributed to a degree of redistribution within the total
savings market and consequently led to some shift in market
shares.  Skandia does not, to the same extent, have the same
possibilities as other market players to carry out transfers
between different savings forms.

New Market Offerings and Competitive Situation

The market has shown considerable interest in the new savings
product Kapitalpension.  Total new sales for the first quarter
amounted to SEK0.5 billion (including insurance registered
outside Sweden).  New sales of this product also give rise within
Skandia to a redistribution from existing contracts, which is
indicated by an increased proportion of repurchases among private
customers.  This effect is expected to continue during the
remainder of 2005 and then decline in coming years.

Skandia established a strong position in the market for risk
insurance during the first quarter.  In Sweden's largest-ever
pension procurement process, UIG II, Skandia was chosen as sole
supplier of disability insurance.  Within the Private Healthcare
and Group insurance product area there was considerable market
interest in the rehabilitation insurance Skandia Health, which is
expected to have a positive impact on sales in the latter part of
2005.

Customer Surveys

The results of Skandia's customer surveys during the first
quarter show a significant improvement among Skandia's private
customers.  A total of 60% of customers (life and unit linked
assurance and occupational pension customers) rated Skandia as
very good or fairly good as an overall assessment.  The
corresponding figure for the fourth quarter of 2004 was 51%.
Customer satisfaction among Skandia's corporate customers
amounted to 62% compared with 68% at the previous survey.  During
the first survey, performed in June 2004, the customer
satisfaction was 52%.

CONTACT:  SKANDIA INSURANCE COMPANY LTD.
          Sveavagen 44
          S-103 50 Stockholm, Sweden
          Phone: +46-8-788-1000
          Fax: +46-8-788-3080
          Web site: http://www.skandia.com

          Bengt-Ake Fagerman, Deputy CEO
          Phone: +46 8 788 21 50

          Mats Andersson, Head of Investment Management
          Phone: +46 8 788 41 73

          Pia Marions, CFO
          Phone: +46 8 788 19 69

          Gunilla Svensson, Head of Public Relations
          Phone: +46 8 788 42 97


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


ABB LTD.: Eyes 7.7% Full-year EBIT Margin
-----------------------------------------
ABB Ltd. Chief Executive Fred Kindle said Thursday the company
still aims for a full-year EBIT margin of 7.7 percent.

According to AFX News Limited, Mr. Kindle is counting on ABB's
business development plan, which is based on its major endeavor:
energy and automation technology.  The company's five-year
program will be out in September.

Meanwhile, Chairman and former CEO Juergen Dormann expects the
U.S. operation to be back in black in 2005, while he stressed
sales in China will be doubled to US$4 billion in three years.

Earlier, communications director Jean-Luc Raphet revealed the
closure of the Champagne-sur-Seine factory in Seine-et-Marne is
still on.  This contradicts claims by trade unions that the
company has suspended the shutdown of the factory, which employs
3,200 people.

CONTACT:  ABB LTD.
          Affolternstrasse 44
          8050 Zurich, Switzerland
          Phone: +41-43-317-7111
          Fax: +41-43-317-4420
          Web site: http://www.abb.com


ABB LTD.: Extends Directors' Tenure by a Year
---------------------------------------------
ABB Ltd. shareholders approved the re-election of the board of
directors for a further one-year term of office at the group's
annual general meeting Thursday.

Shareholders overwhelmingly voted in favor of reappointing the
board, which is made up of eight members from six countries.

The shareholders also overwhelmingly approved other items on the
agenda, including the annual report, the consolidated financial
statements and the annual financial statements for 2004.

A total of 1,030 shareholders attended the annual general
meeting, representing 47,9 percent of the total share capital
entitled to vote.

CONTACT:  ABB LTD.
          Affolternstrasse 44
          8050 Zurich, Switzerland
          Phone: +41-43-317-7111
          Fax: +41-43-317-4420
          Web site: http://www.abb.com


CONVERIUM HOLDING: Long-term Rating Remains at 'B+'
---------------------------------------------------
Fitch Ratings affirmed the Insurer Financial Strength (IFS)
ratings of Converium AG, Converium Insurance (U.K.) Limited and
Converium Ruckversicherungs (Deutschland) AG at 'BBB-', following
the release of the group's Q1 results.  At the same time,
Converium Holdings AG's Long-term rating is affirmed at 'B+'.
The rating of Converium Finance S.A.'s US$200 million guaranteed
subordinated notes due 2032 is also affirmed at 'BB'.  The rating
Outlooks on all the ratings are Stable.

Converium reported disappointing results for the first quarter of
2005 with a net loss of US$61.8 million.  This loss was below
Fitch's expectations, but was not of sufficient magnitude to
alter the group's current ratings or the rating Outlooks.

The loss included a number of one-off components including
US$32.5 million relating to European storm Erwin and the negative
earnings impact from the commutation of a number of retrocession
contracts of US$40.0 million.  Although the commutation
represents an accounting loss today, it is unlikely to result in
an economic loss over the long-term due to the conservative
discount rate applied to the transaction.

Fitch takes some comfort from the fact that development of prior
year loss reserves was relatively stable for the quarter with
reserve deterioration of US$10.4 million, which represents
approximately 0.1% of net loss reserves held at December 2004.

The rating also reflects the group's strong prospective
capitalization and viable, albeit diminished, business position.
Offsetting rating factors include very unsatisfactory operating
performance recorded in 2004, challenges associated with
downsizing the group's expense base and material weaknesses
identified by management and the group's external auditors in the
group's internal control environment.

The group remains exposed to further reserve deterioration and
related franchise damage.  As a result, Fitch will closely
monitor reserve movements on a quarterly basis throughout 2005.
Stability in reserving and a return to consistent profitability
would be viewed positively from a rating perspective, whereas
further reserve deterioration and continued weak earnings
relative to peers' would be viewed negatively.

The issuer did not participate in the rating process other than
through the medium of their public disclosure.

CONTACT:  FITCH RATINGS
          Chris Waterman, London
          Phone: +44 (0) 20 7417 6328
          E-mail: chris.waterman@fitchratings.com

          Andrew Murray
          Phone: +44 (0) 20 7862 4303
          E-mail: andrew.murray@fitchratings.com

          Media Relations:
          Julian Dennison, London
          Phone: +44 20 7862 4080


===========
T U R K E Y
===========


DOGUS HOLDING: Ratings Affirmed at 'B+'
---------------------------------------
Fitch Ratings affirmed Dogus Holding A.S Senior Unsecured foreign
and local currency ratings at 'B+'.  The Outlook is Stable.

The ratings reflect the relatively low up streaming of dividends
from operating companies in to Dogus and the debt of the holding
company, which in Fitch's view needs to be materially reduced.
Accelerated de-leveraging could only be funded through share
offerings or fixed asset sales in the short term and cash
dividends might increase only in the medium term.  Dogus'
standalone debt slightly decreased to US$645 million at FYE04
(from US$682 million in FYE03) mainly from share and fixed asset
disposals and is expected to fall further in 2005 through
additional disposals.

Market capitalization of Dogus-owned shares in the operating
companies was US$2933 million, exceeding their book values and
covering 4.6 times the standalone debt as of 31 December 2004
providing some comfort.  The ratings of Turkiye Garanti Bankasi
(Garanti), rated 'BB-'), have also been factored into the
company's standalone ratings as the majority of the group's cash
generating base is sourced from Garanti.  However, Garanti is
rated one notch higher than Dogus in order to reflect the
structural subordination that lenders in Dogus have compared to
those in Garanti.

Expected cash dividends to the holding company are at around
US$18.8 million from Dogus Otomotiv Servis ve Ticaret A.S. (DOAS)
in 2005 and about US$70 million from DOAS and Garanti combined in
2006.  Dogus has unused committed credit lines of US$200 million
which provides some financial flexibility.  The presence of
Garanti in the group is believed to provide a degree of financial
flexibility meaning an easier access to a diversified base of
lenders due to bank's strong name and bank's historical good
reputation in the international financial markets.  Of the
standalone debt, 75% matures within two years, creating rollover
risk in adverse economic conditions.  To reduce this risk, Dogus
has commenced spreading this debt to longer maturities in H105.

Dogus has a favorable profile in the Turkish financial sector.
Partial disposal of the company's significant assets, would
provide the holding company with a potential tool for debt
repayment.  In recent years, Dogus has gradually disposed of its
shares in operating companies to de-leverage at the stand alone
holding company level.  Fitch believes that Dogus still pursues
with this strategy and the latest efforts to find possible
partners for Tansas and Garanti supports the agency's view. Fitch
expects Dogus to dilute its shareholdings below majority in
Garanti or Tansas but to seek ways to secure its management
control or remain as an influential shareholder in case a
partnership is formed.  Fitch will assess the impact of possible
share dilutions on a case by case basis depending on whether or
not the disposal receipts are used to repay stand alone debt,
Dogus retains its management control and the dividend generation
base remains sufficient.

Dogus group's performance in 2004 improved when compared with
2003: consolidated revenues increased to TRY7,932 billion from
TRY6,482 billion, and operating profit almost quadrupled to
TRY821billion.  However, the agency does not regard this
improvement to be sufficient for any rating upgrades.  Fitch
views the de-leveraging at the holding company level and presence
of a more predictable and stable dividend stream from operating
companies in to the holding company as important requirements for
a change in Dogus's ratings in the short to medium term.  The
group continues to diversify away from financial services, but
the finance segment driven by Garanti still forms 52% of the
group's consolidated revenues, 86% of the group's EBITDA and 82%
of market capitalization of Dogus owned shares as of FYE04.

Founded in 1975 and wholly owned by the Sahenk family, Dogus is
the parent company of the Dogus Group a diversified Turkish
conglomerate with interests in a variety of financial services
(including banking, leasing, factoring and insurance),
automotives, food retail, construction, tourism and media.

CONTACT:  FITCH RATINGS
          Kaan Kiziroglu, Istanbul
          Phone: +90 (212) 279 1065

          Karsten Frankfurth, Frankfurt
          Phone: +49 (69) 7680 76170

          Gulcin Orgun
          Phone: +90 (212) 279 1065

          Media Relations:
          Alex Clelland, London
          Phone: +44 20 7862 4084


VESTEL ELECTRONIC: Fitch Rates Notes 'BB-'
------------------------------------------
Fitch Ratings assigned Vestel Electronics Finance Ltd.'s (VEF)
issue of US$225 million 7 year 8.75% notes a 'BB-' rating.  The
notes are unconditionally and irrevocably guaranteed by Vestel
Elektronik Sanayi ve Ticaret A.S. (Vestel).  Vestel is rated
Senior Unsecured local currency and foreign currency 'BB-' with
Stable Outlook (please see rating action commentaries dated 9
February 2005 and 20 April 2005).

The majority of the proceeds from the notes will be used to
redeem 94% of VEF's previous US$200 million 11.5% 14 May 2007
bond and the remainder will be maintained as a cash reserve.

The terms and conditions of the notes are governed by English law
and include standard covenants like consolidated gross debt-
(including all letters of credits and notes payables)
to-consolidated EBITDA lower than 4.0x, payments (including
dividends or acquisition spending) out of Vestel capped at 25% of
the consolidated net worth, fixed charge coverage minimum at
2.25x and net worth above US$300 million.  Fitch views the
rollover of existing bonds with the new issuance as a positive
attempt to reduce the interest burden on Vestel and the company
now has a more balanced debt maturity profile reducing the
rollover risk.  This should enable Vestel to have a better
asset/liability management by way of funding capital expenditures
with long-term debt rather than short-term loans.

Vestel, based in Turkey, is a leading manufacturer of television
sets, white durable goods, PC monitors, digital convergence
devices and other information appliances.  Listed on the Istanbul
and London stock exchanges, Vestel is 51.6%-owned by Collar
Holding B.V., which is itself wholly owned by Ahmet Nazif Zorlu,
chairman of Zorlu Holding, which has interests in textiles,
energy, tourism and banking/financial services.  The remaining
shares are in free-float.

CONTACT:  FITCH RATINGS
          Kaan Kiziroglu, Istanbul
          Phone: +90 212 279 1065

          Elisabetta Zorzi, Milan
          Phone: +39 02 87 90 87 213

          Media Relations:
          Alex Clelland, London
          Phone: +44 20 7862 4084


=============
U K R A I N E
=============


DONSNAB: Succumbs to Insolvency
-------------------------------
The Economic Court of Harkiv region commenced bankruptcy
proceedings against Donsnab (code EDRPOU 31465971) on April 11,
2005 after finding the limited liability company insolvent.  The
case is docketed as B-31/02-05.  Ms. 0. Trizna (License Number AA
216777) has been appointed liquidator/insolvency manager.

CONTACT:  DONSNAB
          Ukraine, Harkiv region,
          Dergachivskij district, Solonitsivka,
          Zavodska Str. 49

          ECONOMIC COURT OF HARKIV REGION
          61022, Ukraine, Harkiv region,
          Svobodi Square, 5, Derzhprom, 8th entrance


EMAL: Bankruptcy Proceedings Begin
----------------------------------
The Economic Court of Donetsk region commenced bankruptcy
proceedings against EMAL (code EDRPOU 02969515) after finding the
close joint stock company insolvent.  The case is docketed as
24/241 B.  Ms. Svitlana Atamanenko (License Number AA 419436) has
been appointed liquidator/insolvency manager.

CONTACT:  EMAL
          83048, Ukraine, Donetsk region,
          Artema Str. 157

          Ms. Svitlana Atamanenko
          Liquidator/Insolvency Manager
          84500, Ukraine, Donetsk region,
          Artemivsk, Sibirtsev Str. 17/321

          ECONOMIC COURT OF DONETSK REGION
          83048, Ukraine, Donetsk region,
          Artema Str. 157


PALLADA-INVEST: Court Freezes Debt Payments
-------------------------------------------
The Economic Court of Donetsk region commenced bankruptcy
supervision procedure on limited liability company Pallada-Invest
(code EDRPOU 31534389) on February 15, 2005 and ordered a
moratorium on satisfaction of creditors' claims.  The case is
docketed as 27/18 B.  Mr. Oleksandr Tihonov (License Number AA
250446) has been appointed temporary insolvency manager.  The
company holds account number 2600630150054 at JSCB National
credit, Gorlivka branch, MFO 335797.

CONTACT:  PALLADA-INVEST
          84646, Ukraine, Donetsk region,
          Gorlivka, Rudakova Str. 78/118

          Mr. Oleksandr Tihonov
          Temporary Insolvency Manager
          84627, Ukraine, Donetsk region,
          Gorlivka, Gagarin Str. 51a/40

          ECONOMIC COURT OF DONETSK REGION
          83048, Ukraine, Donetsk region,
          Artema Str. 157


PROMENERGOBUD: Harkiv Court Appoints Insolvency Manager
-------------------------------------------------------
The Economic Court of Harkiv region commenced bankruptcy
proceedings against Promenergobud (code EDRPOU 18008120) on March
22, 2005 after finding the limited liability company insolvent.
The case is docketed as B-39/96-04.  Mr. Dmitro Zadruzhnij
(License Number AB 216763) has been appointed
liquidator/insolvency manager.  The company holds account number
2600400003119 at JSPPB Aval, Chuguyiv branch, MFO 350589.

CONTACT:  PROMENERGOBUD
          63524, Ukraine, Harkiv region,
          Chuguyiv district, Eshar,
          152 Striletskoyi Diviziyi Str. 12

          Mr. Dmitro Zadruzhnij
          Liquidator/Insolvency Manager
          61057, Ukraine, Harkiv region,
          Pushkinska Str. 5, Room 408

          ECONOMIC COURT OF HARKIV REGION
          61022, Ukraine, Harkiv region,
          Svobodi Square, 5, Derzhprom, 8th entrance


THERMOELEMENTS PLANT: Declared Insolvent
----------------------------------------
The Economic Court of Zaporizhya region commenced bankruptcy
proceedings against Thermoelements Plant (code EDRPOU 32149688)
on April 4, 2005 after finding the limited liability company
insolvent.  The case is docketed as 25/63.  Mr. Oleksij Zabrodin
(License Number AA 630146) has been appointed
liquidator/insolvency manager.  The company holds account number
26005001116001 at JSC Index-Bank, MFO 313861.

CONTACT:  THERMOELEMENTS PLANT
          69000, Ukraine, Zaporizhya region,
          Gvardijskij Boulevard

          Mr. Oleksij Zabrodin,
          Liquidator/Insolvency Manager
          69121, Ukraine, Zaporizhya region, a/b 6335
          Phone: (067) 780-39-60

          ECONOMIC COURT OF ZAPORIZHYA REGION
          69001, Ukraine, Zaporizhya region,
          Shaumyana Str. 4


UKRAINA: Cherkassy Court Opens Bankruptcy Proceedings
-----------------------------------------------------
The Economic Court of Cherkassy region commenced bankruptcy
proceedings against Ukraina (code EDRPOU 03791999) on March 25,
2005 after finding the limited liability company insolvent.  The
case is docketed as 01/3260.  Mr. Sergij Nazarenko has been
appointed liquidator/insolvency manager.

CONTACT:  UKRAINA
          Ukraine, Cherkassy region,
          Kanivskij district, Stepantsi

          Mr. Sergij Nazarenko
          Liquidator/Insolvency Manager
          18000, Ukraine, Cherkassy region,
          Dobrovolskij Str. 3/1-25
          Phone: 8 (0472) 43-22-93
                 (050) 464-03-04

          ECONOMIC COURT OF CHERKASSY REGION
          18005, Ukraine, Cherkassy region,
          Shevchenko Avenue, 307


VIKTOR: Insolvency Manager Takes over Helm
------------------------------------------
The Economic Court of Zaporizhya region commenced bankruptcy
proceedings against Viktor (code EDRPOU 13611538) on March 14,
2005 after finding the company insolvent.  The case is docketed
as 25/56.  Mr. S. Bagmet (License Number AA 779159) has been
appointed liquidator/insolvency manager.

CONTACT:  VIKTOR
          69002, Ukraine, Zaporizhya region,
          Zhukovskij Str. 71

          Mr. S. Bagmet
          Liquidator/Insolvency Manager
          69104, Ukraine, Zaporizhya region, a/b 1064
          Phone: (0612) 17-66-17, 17-33-40

          ECONOMIC COURT OF ZAPORIZHYA REGION
          69001, Ukraine, Zaporizhya region,
          Shaumyana Str. 4


VKSAF VIKTORIYA: Applies for Bankruptcy Proceedings
---------------------------------------------------
The Economic Court of Donetsk region commenced bankruptcy
proceedings against Vksaf Viktoriya (code EDRPOU 234121422) after
finding the limited liability company insolvent.  The case is
docketed as 15/106 B.  Ms. Svitlana Atamanenko (License Number AA
419436) has been appointed liquidator/insolvency manager.  The
company holds account number 26009190015011 at JSCB Ukrsocbank,
Artemivsk branch, MFO 334033.

CONTACT:  VKSAF VIKTORIYA
          Ukraine, Donetsk region,
          Aretemivsk district, Kodemo

          Ms. Svitlana Atamanenko
          Liquidator/Insolvency Manager
          84500, Ukraine, Donetsk region,
          Artemivsk, Sibirtsev Str. 17/321

          ECONOMIC COURT OF DONETSK REGION
          83048, Ukraine, Donetsk region,
          Artema Str. 157


ZACHATIVSKE: Succumbs to Bankruptcy
-----------------------------------
The Economic Court of Donetsk region commenced bankruptcy
proceedings against Zachativske (code EDRPOU 30844743) on March
3, 2005 after finding the limited liability company insolvent.
The case is docketed as 27/87 B.  Mr. Anatolij Grinko (License
Number AA 779155) has been appointed liquidator/insolvency
manager.

CONTACT:  ZACHATIVSKE
          85761, Ukraine, Donetsk region,
          Volnovahskij district, Zachativka,
          Shkilna Str.

          Mr. Anatolij Grinko
          Liquidator/Insolvency Manager
          83003, Ukraine, Donetsk region,
          Illich Avenue, 91, room 33
          Phone: (062) 386-85-67

          ECONOMIC COURT OF DONETSK REGION
          83048, Ukraine, Donetsk region,
          Artema Str. 157


ZHURAVKA: Under Bankruptcy Supervision
--------------------------------------
The Economic Court of Sumi region commenced bankruptcy
supervision procedure on limited liability company Zhuravka (code
EDRPOU 30841365) on April 4, 2005.  The case is docketed as
7/15-05.  Mr. Igor Filenko (License Number AA 783139) has been
appointed temporary insolvency manager.

CONTACT:  ZHURAVKA
          42446, Ukraine, Sumi region,
          Krasnopillya district, Lozove

          Mr. Igor Filenko
          Temporary Insolvency Manager
          Ukraine, Sumi region, Bortsiv Revolutsii Str. 2

          ECONOMIC COURT OF SUMI REGION
          40030, Ukraine, Sumi region,
          Shevchenko Avenue, 18/1


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


3A BUILDING: Appoints BWC Business Solutions Administrator
----------------------------------------------------------
Paul Andrew Whitwam and David Leighton Cockshott (IP Nos 8346,
8974) have been appointed joint administrators for 3A Building
Services Limited.  The appointment was made April 29, 2005.  The
company offers plumbing and heating services.  Its registered
office is located at BWC Business Solutions, 8 Park Place, Leeds
LS1 2RU.

CONTACT:  BWC BUSINESS SOLUTIONS
          8 Park Place
          Leeds
          West Yorkshire LS1 2RU
          Phone: 0113 243 3434
          Fax: 0113 243 5049
          E-mail: bwc@bwc-solutions.com


ALL-IN-ONE WINDOWS: Names PricewaterhouseCoopers Administrator
--------------------------------------------------------------
Stuart David Maddison and Edward Mark Shires (IP Nos 1338, 7925)
have been appointed joint administrators for All-In-One Windows
Limited.  The appointment was made April 29, 2005.  The company
manufactures double glazed window units.  Its registered office
is located at 87 Parker Drive, Leicester, Leicestershire LE4 0PJ.

CONTACT:  PRICEWATERHOUSECOOPERS LLP
          Hill House
          Richmond Hill
          Bournemouth BH2 6HR
          United Kingdom
          Phone: [44] (1202) 294621
          Fax: [44] (1202) 556978
          Web site: http://www.pwc.com


ALL SAINTS: Appoints Liquidators from Springfields
--------------------------------------------------
At the extraordinary general meeting of All Saints Caterers
Limited on May 5, 2005 held at 80 Hinckley Road, Leicester LE3
0RD, the subjoined extraordinary resolution to wind up the
company was passed.  Situl Devji Raithatha and John Patrick
Thomas Redmond of Springfields, 80 Hinckley Road, Leicester LE3
0RD have been appointed joint liquidators of the company.

CONTACT:  SPRINGFIELDS
          80 Hinckley Road
          Leicester
          Leicestershire LE3 0RD
          Phone: 0116 299 4745
          Fax: 0116 299 4742
          E-mail: situl.r@springfields-uk.com


ASSOCIATED ROOFING: Members Pass Winding-up Resolutions
-------------------------------------------------------
At the extraordinary general meeting of the members of Associated
Roofing and Building Contractors Limited on May 3, 2005 held at
1640 Parkway, Solent Business Park, Whiteley, Fareham, Hampshire
PO15 7AH, 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 PO15 7AH have
been appointed joint liquidators of the company.

CONTACT:  PORTLAND BUSINESS & FINANCIAL SOLUTIONS LTD.
          1640 Parkway
          Solent Business Park
          Whiteley
          Fareham
          Hampshire PO15 7AH
          Phone: 01489 550 440
          E-mails: carl.faulds@portland-solutions.co.uk
                   james.tickell@portland-solutions.co.uk


A VISION: Calls in Liquidators from Valentine & Co.
---------------------------------------------------
At the extraordinary general meeting A Vision (London) Limited on
April 27, 2005 held at the offices of Valentine & Co., 4
Dancastle Court, 14 Arcadia Avenue, London N3 2HS, the
extraordinary and ordinary resolutions to wind up the company
were passed.  Robert Valentine and Mark Reynolds of Valentine &
Co, 4 Dancastle Court, 14 Arcadia Avenue, London N3 2HS have been
appointed joint liquidators of the company.

CONTACT:  VALENTINE & CO.
          4 Dancastle Court
          14 Arcadia Avenue, London N3 2HS
          Phone: 020 8343 3710
          Fax: 020 9343 4486
          Web site: http://www.valentine-co.com


BRIERKRETE LIMITED: Hires DTE Leonard Curtis to Liquidate Assets
----------------------------------------------------------------
At the extraordinary general meeting of Brierkrete Limited on
April 29, 2005 held at DTE Leonard Curtis, 24 Wellington Street,
St John's, Blackburn, Lancashire BB1 8AF, the extraordinary
resolution to wind up the company was passed.  J. M. Titley has
been appointed liquidator of the company.

CONTACT:  DTE LEONARD CURTIS
          24 Wellington Street,
          St John's, Blackburn,
          Lancashire BB1 8AF
          Web site: http://www.dtegroup.com


CAMBRIDGE UNITED: Decides to Call in Liquidators
------------------------------------------------
Ian S. Carr (IP No 8741) and Nick S. Wood (IP No 9064) have been
appointed joint administrators for Cambridge United Football Club
Limited.  The appointment was made April 29, 2005.  The company
owns a football club.  Its registered office is located at Abbey
Stadium, Newmarket Road, Cambridge CB5 8LN.

CONTACT:  GRANT THORNTON U.K. LLP
          Byron House
          Cambridge Business Park
          Cowley Road
          Cambridge CB4 0WZ
          Phone: 01223 225600
          Fax: 01223 225619
          Web site: http://www.grant-thornton.co.uk

          GRANT THORNTON U.K. LLP
          Grant Thornton House
          Melton Street
          Euston Square
          London NW1 2EP
          Phone: 020 7383 5100
          Fax: 020 7383 4715
          Web site: http://www.grant-thornton.co.uk


CANTEL LIMITED: Winding-up Report Out July
------------------------------------------
            IN THE MATTER OF THE INSOLVENCY ACT 1986

                               and

IN THE MATTER OF CANTEL LIMITED

Notice is hereby given, pursuant to section 146 of the Insolvency
Act 1986, that a Meeting of the Creditors of the Company will be
held at RSM Robson Rhodes LLP, Centre City Tower, Birmingham B5
4UU, on Tuesday July 12, 2005, at 3:00 p.m. for the purpose of
receiving the Liquidator's report of the winding-up and
determining whether the Liquidator should be released under
section 174 of the Insolvency Act 1986.

A Creditor entitled to attend and vote at the Meeting may appoint
a proxy to attend and vote in his place.  It is not necessary for
the proxy to be a Creditor.  Proxy forms must be returned to RSM
Robson Rhodes LLP, Centre City Tower, 7 Hill Street, Birmingham
B5 4UU, by not later than 12:00 noon, July 11, 2005.

G. C. Smith, Joint Liquidator
May 3, 2005

CONTACT:  RSM ROBSON RHODES LLP
          186 City Road
          London EC1V 2NU
          Phone: +44 (0) 20 7251 1644
          Fax: +44 (0) 20 7250 0801
          Web site: http://www.rsmi.co.uk


CAPITAL LOFT: Opts for Liquidation
----------------------------------
At the extraordinary meeting of the members of Capital Loft Co
Ltd. on May 4, 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


CAPITAL (SOUTHERN): Members Decide to Wind up Firm
--------------------------------------------------
At the extraordinary general meeting of the members of Capital
(Southern) Limited on April 26, 2005 held at Spinney Brook, Manor
Farm Road, Sandleheath, Fordingbridge, the subjoined special
resolution to wind up the company was passed.  Peter Robin Bacon
and Carl Derek Faulds of Portland Business & Financial Solutions,
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 PO15 7AH
          Phone: 01489 550 440
          E-mails: carl.faulds@portland-solutions.co.uk
                   james.tickell@portland-solutions.co.uk


CITY FLOORING: Hires Liquidator from SPW Poppleton & Appleby
------------------------------------------------------------
At the extraordinary general meeting of the members of City
Flooring Limited on May 4, 2005 held at Gable House, 239 Regents
Park Road, Finchley, London N3 3LF, the extraordinary and
ordinary resolutions to wind up the company were passed.  A.
Clark has been appointed liquidator of the company.

CONTACT:  SPW POPPLETON & APPLEBY
          Gable House
          239 Regents Park Road
          London N3 3LF
          Phone: 020 8371 5000
          Fax: 020 8346 8588


COLLEGIUM 134: Sets Final Members Meetings June 22
--------------------------------------------------
            IN THE MATTER OF THE INSOLVENCY ACT 1986

                               and

             IN THE MATTER OF Collegium 134 Limited

Notice is hereby given that a Final Meeting of the Members of
Collegium 134 Limited will be held at the offices of Grant
Thornton, 31 Carlton Crescent, Southampton, Hampshire SO15 2EW,
on June 22, 2005, at 2:00 p.m. for the purpose of having an
account laid before them by the Liquidator (pursuant to Section
94 of the Insolvency Act 1986), showing the manner in which the
winding-up of the company has been conducted and the property of
the company disposed of, and of hearing any explanation that may
be given by the Liquidator.

A Member entitled to attend and vote at the meeting may appoint a
proxy to attend and vote in his place.  It is not necessary for
the proxy to be a Member.  Proxy forms must be returned to the
offices of Grant Thornton, 31 Carlton Crescent, Southampton,
Hampshire, SO15 2EW at or before the Meeting.

Samantha Keen, Liquidator
May 5, 2005

CONTACT:  GRANT THORNTON U.K. LLP
          31 Carlton Crescent
          Southampton SO15 2EW
          Phone: 023 8022 1231
          Fax: 023 8022 4017
          Web site: http://www.grant-thornton.co.uk


CYGNUS TECHNOLOGY: Hires Administrator from Sharma & Co.
--------------------------------------------------------
Ms. G. D. Sharma (IP No 9145) has been appointed administrator
for Cygnus Technology Solutions Limited.  The appointment was
made May 3, 2005.  The company makes information technology
security products.  Its registered office is located at 50
Newhall Street, Birmingham B3 3QE.

CONTACT:  SHARMA & CO.
          50 Newhall Street
          Birmingham
          West Midlands B3 3QE
          Phone: 0121 248 5007
          Fax: 0121 248 5010
          E-mail: gagen@sharmaandco.com


DALES MOULDINGS: Names Poppleton & Appleby Liquidator
-----------------------------------------------------
At the extraordinary general meeting of the members of Dales
Mouldings Limited on April 29, 2005 held at Malmaison Hotel, 1
Swine Gate, Leeds LS1 4AG, the extraordinary and ordinary
resolutions to wind up the company were passed.  M. S. E.
Solomons has been appointed liquidator of the company.

CONTACT:  SPW POPPLETON & APPLEBY
          Gable House
          239 Regents Park Road
          London N3 3LF
          Phone: 020 8371 5000
          Fax: 020 8346 8588
          E-mail: mike@spwca.com


DCF ENGINEERING: Liquidator to Present Report Mid-June
------------------------------------------------------
            IN THE MATTER OF THE INSOLVENCY ACT 1986

                               and

            IN THE MATTER OF DCF Engineering Limited

Notice is hereby given, pursuant to section 146 of the Insolvency
Act 1986, that a General Meeting of Creditors of DCF Engineering
Limited will be held at the offices of BDO Stoy Hayward LLP, 125
Colmore Row, Birmingham B3 3SD, on June 15, 2005, at 10:00 a.m.
for the purpose of having an account laid before the Meeting
showing the manner in which the winding-up has been conducted and
the property of the Company disposed of, and of hearing any
explanation that may be given by the Liquidator.

M. W. Russell, Liquidator
April 29, 2005

CONTACT:  BDO STOY HAYWARD
          125 Colmore Row
          Birmingham B3 3SD
          Phone: 0121 200 4600
          Fax: 0121 200 4650
          E-mail: birmingham@bdo.co.uk
          Web site: http://www.bdostoyhayward.co.uk


FNL OLDCO: Hires Ian Franses Associates Liquidator
--------------------------------------------------
At the extraordinary general meeting of FNL Oldco Limited on
April 25, 2005 held at 24 Conduit Place, London W2 1EP, the
subjoined special resolution to wind up the company was passed.
Ian Franses of Ian Franses Associates, 24 Conduit Place, London
W2 1EP has been appointed liquidator of the company.

CONTACT:  IAN FRANSES ASSOCIATES
          24 Conduit Place
          London W2 1EP
          Phone: 020 7262 1199
          Fax: 020 7262 2662
          E-mail: if@ianfranses.co.uk


FONTEL LIMITED: Final Creditors Meeting Set Second Week of June
---------------------------------------------------------------
            IN THE MATTER OF THE INSOLVENCY ACT 1986

                               and

                 IN THE MATTER OF Fontel Limited

Notice is hereby given, pursuant to section 146 of the Insolvency
Act 1986, that a Meeting of the Creditors of Fontel Limited will
be held at RSM Robson Rhodes LLP, 186 City Road, London EC1V 2NU,
on June 9, 2005, at 10:30 a.m. for the purpose of receiving the
Liquidator's report of the winding-up, and determining whether
the Liquidator should be released under section 174 of the
Insolvency Act 1986.

A Creditor entitled to attend and vote at the Meeting may appoint
a proxy to attend and vote in his place.  It is not necessary for
the proxy to be a Creditor.  Proxy forms must be returned to RSM
Robson Rhodes LLP, 186 City Road, London EC1V 2NU, by not later
than 12:00 noon on June 8, 2005.

M. J. Hore, Liquidator
April 27, 2005

CONTACT:  RSM ROBSON RHODES LLP
          186 City Road
          London EC1V 2NU
          Phone: +44 (0) 20 7251 1644
          Fax: +44 (0) 20 7250 0801
          Web site: http://www.rsmi.co.uk


FREEMARKETS LIMITED: Liquidator from Stoy Hayward Moves in
----------------------------------------------------------
At the extraordinary general meeting of Freemarkets Limited on
April 26, 2005 held at Baronsmede, 20 The Avenue, Egham, Surrey
KT20 9AB, the subjoined special resolution to wind up the company
was passed.  C. K. Rayment of BDO Stoy Hayward LLP, 125 Colmore
Row, Birmingham B3 3SD has been appointed liquidator of the
company.

CONTACT:  BDO STOY HAYWARD LLP
          125 Colmore Row,
          Birmingham, B3 3SD
          Phone: 0121 200 4600
          Fax: 0121 200 4650
          E-mail: birmingham@bdo.co.uk
          Web site: http://www.bdo.co.uk


GADGET SHOP: Meeting of Creditors Set Later This Month
------------------------------------------------------
Creditors of The Gadget Shop Limited will meet on May 23, 2005 at
12:00 noon.  It will be held at Farringdon Place, 20 Farringdon
Road, London EC1M 3AP.

Creditors who want to be represented at the meeting may appoint
proxies.  Proxy forms must be submitted together with written
debt claims to Farringdon Place, 20 Farringdon Road, London EC1M
3AP not later than 12:00 noon, May 20, 2005.

CONTACT:  PKF
          Farringdon Place,
          20 Farringdon Road, London EC1M 3AP
          Phone: 020 7065 0000
          Fax:   020 7065 0650
          E-mail: info.london@uk.pkf.com
          Web site: http://www.pkf.co.uk


HALLADALE HAWORTH: Names Deloitte & Touche Liquidator
-----------------------------------------------------
At the extraordinary general meeting of Halladale Haworth
Carlisle Limited on April 27, 2005 held at 93 West George Street,
Glasgow G2 1PB, the special and ordinary resolutions to wind up
the company were passed.  John Charles Reid of Deloitte & Touche
LLP, Saltire Court, 20 Castle Terrace, Edinburgh EH1 2DB and
James Robert Drummond Smith of Deloitte & Touche LLP, Athene
Place, 66 Shoe Lane, London EC4A 3BQ have been appointed joint
liquidators of the company.

CONTACT:  DELOITTE & TOUCHE LLP
          Saltire Court,
          20 Castle Terrace,
          Edinburgh EH1 2DB
          Web site: http://www.deloitte.com

          DELOITTE & TOUCHE LLP
          Athene Place
          66 Shoe Lane
          London EC4A 3BQ
          Phone: 00 44 (0) 207 936 3000
          Fax: 00 44 (0) 207 779 4001
          Web site: http://www.deloitte.com


HARLEQUIN INNS: Hires Administrator from Citroen Wells
------------------------------------------------------
Mark Richard Phillips and Murzban Khurshed Mehta (IP Nos 9320,
6224) have been appointed joint administrators for Harlequin Inns
Limited.  The appointment was made May 5, 2005.

The company is a public house.  Its registered office is located
at Devonshire House, 1 Devonshire Street, London W1N 2DR.

CONTACT:  CITROEN WELLS
          Devonshire House,
          1 Devonshire Street, London W1W 5DR
          Phone: +44 (0) 20 7304 2000
          Fax: +44 (0) 20 7304 2020
          Web site: http://www.citroenwells.co.uk


INMARSAT GROUP: Posts Positive First Quarter
--------------------------------------------
Inmarsat Group Limited, the leading provider of global mobile
satellite communications services, reported consolidated
financial results for the first quarter 2005, ended March 31,
2005.

(a) First quarter 2005 total revenue US$127.4 million and EBITDA
    US$83.9 million;

(b) First Inmarsat-4 next generation satellite successfully
    launched on March 11; and

(c) Strong maritime revenue performance in both voice and data
    services.

Andrew Sukawaty, Inmarsat's Chairman and Chief Executive Officer
said, "The successful launch of the first next generation
Inmarsat-4 satellite in March was an enormously important event
for Inmarsat and is the culmination of several years of dedicated
work by our technical staff.  The deployment and payload testing
of the new satellite has gone better than we could have expected
and I am able to report that more than 95% of the overall
pre-operational risks are behind us and we are currently only 15
days away from the satellite arriving at its final location where
preparations will be completed prior to the start of commercial
operations.

"We are excited by the launch and the chance to truly begin the
countdown to the start of our Broadband Global Area Network
(BGAN) services which will address the growing need for mobile
communications via satellite."

Total revenue for the first quarter 2005 was US$127.4 million, an
increase of US$9.1 million, or 8%, compared to US$118.3 million
recorded for the first quarter 2004.  EBITDA for the first
quarter 2005 was US$83.9 million, an increase of US$12.4 million,
or 17%, from US$71.5 million reported for the first quarter 2004.

Net operating costs for the first quarter 2005 were US$43.5
million, a decrease of US$3.3 million compared to US$46.8 million
recorded for the first quarter 2004.  Compared to the same period
last year, net operating costs were adversely affected by foreign
exchange movements as our sterling costs have risen as a result
of prolonged US dollar weakness, increased costs for our capacity
lease with Thuraya to support our Regional BGAN service, and,
since November 2004, by rental payments for our headquarters
building in London.  Offsetting these increases were the benefits
of cost reductions implemented after the end of the first quarter
2004.

Rick Medlock, Inmarsat's Chief Financial Officer, commented: "The
volume discounts we offer our distributors have the least impact
on our revenues in the first quarter of the year when our
wholesale rates are at their highest.  As our distributors reach
certain volume targets we reduce our wholesale rates and this
will impact our margins as the year progresses.  Certain of our
operating costs are also phased during the year and do not accrue
evenly.  I would encourage investors to consider both of these
factors in forecasting our revenues and EBITDA for the remainder
of 2005."

Depreciation and amortization for the first quarter 2005 was
US$29.5 million, a decrease of US$10.9 million compared to
US$40.4 million recorded for the first quarter 2004.  This
decrease primarily reflects the change in the useful estimated
lives of our Inmarsat-3 satellites as discussed in our previous
financial reports and in our form 20-F annual report filing with
the U.S. SEC.

Net interest payable for the first quarter 2005 was US$40.0
million, a decrease of US$1.5 million over the net interest
payable of US$41.5 million recorded for the first quarter 2004.
The decrease in interest reflects lower borrowings on our senior
bank facility and higher cash balances on which we receive
interest income.  Interest for the first quarter 2005 includes
non-cash interest of US$18.9 million for our subordinated parent
company loan and US$2.4 million of other non-cash interest items.

Profit after taxation for the first quarter 2005 was US$6.3
million, compared to a loss of US$10.0 million recorded for the
first quarter 2004.

Cash used to fund capital expenditure during the first quarter
2005 was US$59.9 million including a number of payments directly
related to the successful launch of the first Inmarsat-4
satellite.  Net cash used to meet interest payments during the
first quarter 2005 was US$27.5 million.

First Quarter 2005 Financial Results for Inmarsat Holdings
Limited

Our parent company, Inmarsat Holdings Limited, through its
subsidiary Inmarsat Finance II plc, is the issuer of US$450
million of 10.375% Senior Discount Notes due 2012.  Holders of
these notes are referred to the financial report for the first
quarter 2005 of Inmarsat Holdings Limited which can be accessed
via our Web site and which will be filed with the U.S. SEC.
Other Information

          Inmarsat Group Limited Revenue Breakdown

Revenue Breakdown                 First quarter ended March 31,
(US$ in millions)                       2005           2004

Mobile satellite communications services

  Maritime sector:

     voice services                       26.6           26.3

     data services                        39.6           34.4

  Total maritime sector                   66.2           60.7

  Land sector:

     voice services                        6.5            7.7

     data services                        28.5           27.0

  Total land sector                       35.0           34.7

  Aeronautical sector                      5.4            3.8

  Leasing (including navigation)          14.5           14.0

Total mobile satellite communications
  services revenue                       121.1          113.2

Subsidiary revenue                         4.5            3.4

Other income                               1.8            1.7

Total revenue                            127.4          118.3

                     Active Terminal Data

Active Terminal (1)(000s)                  As of March 31,
                                        2005           2004

Maritime                                 115.8          100.2

Land                                      72.7           68.7

Aeronautical                               6.2            5.6

Total active terminals                   194.7          174.5

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
(1) Active terminals means terminals registered with us as at the
end of the relevant financial period that have been used to
access our services at any time during the preceding twelve-month
period.
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

            Consolidated Profit and Loss Accounts
                    (as restated)

                                  First quarter ended March 31,
(US$ in millions)                       2005           2004

Revenue                                  127.4          118.3

Depreciation and amortization            (29.5)         (40.4)

Other net operating costs                (43.5)         (46.8)

Total operating costs                    (73.0)         (87.2)

Group operating profit                    54.4           31.1

Interest receivable and similar income     2.3            0.6

Interest payable and similar charges     (42.3)         (42.1)

Profit/(loss) before taxation             14.4          (10.4)

Taxation                                  (8.1)           0.4

Profit/(loss) after taxation               6.3          (10.0)


Consolidated Balance Sheets            As of          As of
(US$ in millions)                     March 31,     December 31,
                                        2005     2004 (restated)


  Current assets                       1,677.0        1,635.6

    Stocks                                 1.1            1.2

    Debtors                              171.2          160.6

    Cash and Short-term investments      191.3          215.1

    Restricted cash                      159.9          163.4

  Total current assets                   523.5          540.3

Total assets                           2,200.5        2,175.9

  Creditors amounts falling due
    within one year

    Other creditors                     (108.9)        (143.0)

    Loans and other borrowings           (29.0)         (29.1)

  Creditors - amounts falling due
    after more than one year

    Other creditors                      (84.0)         (67.6)

    Loans and other borrowings        (1,766.4)      (1,745.8)

  Provisions for liabilities
    and charges                         (148.6)        (132.0)

Total liabilities                      2,136.9        2,117.5

Net assets and shareholders' funds        63.6           58.4

CONTACT:  INMARSAT GROUP LIMITED
          99 City Rd.
          London EC1Y 1AX
          Phone: +44-20-7728-1256
          Fax: +44-20-7728-1179
          Web site: http://www.inmarsat.com

          Investor Enquiries
          Simon Ailes
          Phone: +44 20 7728 1518
          E-mail: simon_ailes@inmarsat.com

          Media Enquiries
          Christopher McLaughlin
          Phone: +44 20 7728 1015
          E-mail: christopher_mclaughlin@inmarsat.com


JON WILKINS: Calls in Administrator from Albert Goodman
-------------------------------------------------------
Laurence Russell (IP No 9199) has been appointed administrator
for Jon Wilkins & Co (UK) Limited.  The appointment was made
April 15, 2005.

The company offers health and safety services.  Its registered
office is located at 8 Hayman Road, Minehead, Somerset TA24 5PA.

CONTACT:  ALBERT GOODMAN
          Mary Street House
          Mary Street
          Taunton
          Somerset TA1 3NW
          Phone: 01823 286096
          Fax: 01823 257319


K W PURVIS: Appoints Tait Walker Administrator
----------------------------------------------
Gordon S. Goldie and Allan David Kelly (IP Nos 5799, 9156) have
been appointed joint administrators for K W Purvis Limited.  The
appointment was made May 4, 2005.

The company handles freight transport by road.  It also conducts
operation of gravel and sand pits.  K W Purvis Limited accepts
rental on construction and civil engineering machinery and
equipment.

CONTACT:  TAIT WALKER
          Bulman House,
          Regent Centre, Gosforth,
          Newcastle upon Tyne NE3 3LS
          Phone: 0191 285 0321
          Fax:   0191 284 9117
          E-mail: advice@taitwalker.co.uk
          Web site: http://www.taitwalker.co.uk


MARYHILL CARPETS: Liquidation Account Out Mid-June
--------------------------------------------------
            IN THE MATTER OF THE INSOLVENCY ACT 1986

                               and

            IN THE MATTER OF Maryhill Carpets Limited
                     (In Liquidation)

Notice is hereby given, pursuant to Section 106 of the Insolvency
Act 1986, that the Final Meetings of Members and Creditors of
Maryhill Carpets Limited will be held within the offices of PKF,
Accountants and business advisors, 78 Carlton Place, Glasgow on
June 16, 2005 at 10:45 a.m. and 11:00 a.m. respectively in order
that I may present my final account of the winding-up of the
Company.

The Meetings will also consider these resolutions:

(a) To approve my discharge from the position as Liquidator of
    Maryhill Carpets Limited; and

(b) To authorize me to dispose of both my own and the Company's
    books and records three months from the date of my release
    as Liquidator.

All members and creditors whose claims have been accepted are
entitled to attend, in person or by proxy, and a Resolution will
be passed by a majority in value of those voting in favor of it.
Attendance at these Meetings is not mandatory; and, to be valid
for voting purposes, the form of proxy must be lodged with me at
PKF, Accountants and business advisors, 78 Carlton Place, Glasgow
G5 9TH before or at the meeting.

Bryan A. Jackson, Liquidator
May 5, 2004

CONTACT:  PKF
          78 Carlton Place
          Glasgow G5 9TH
          Phone: 0141 429 5900
          Fax: 0141 429 5901
          E-mail: info.glasgow@uk.pkf.com
          Web site: http://www.pkf.co.uk

          Bryan Alan Jackson
          E-mail: bryan.jackson@uk.pkf.com


MG ROVER: Time's Up for Potential Buyers
----------------------------------------
Companies interested in buying MG Rover had until Friday to
present their bids, following a week-extension set by
administrators PricewaterhouseCoopers.

According to BBC News, PwC has disclosed the sale of Rover assets
is scheduled this week unless a viable proposal turns up before
deadline.

Rover, which is retained by former owner BMW, has received more
than 200 bids from as far as Iran and Russia, but most of these
companies have lost interest already.

On Wednesday, Alchemy head Jon Moulton dropped its takeover
plans, blaming problems with intellectual property rights,
supplies and warranties.

A research and development and engineering center backed by
Shanghai Automotive Industry Corporation was earlier speculated
to be housed at the Longbridge plant.  However, the Chinese firm
has so far offered only to acquire tooling for the Rover 25 and
75, the series K and L engines, and some R&D equipment.

SAIC, which earlier refused to employ anyone directly in the
U.K., owns the intellectual property rights to the 25, the 75
and two engines.  The setup makes its all the more difficult for
potential bidders to exploit Longbridge facilities.

The company fell into administration on April 8 after
a tie-up with SAIC failed to materialize, leaving more than 5,000
workers jobless.

These workers face more problems regarding their pensions after
two of Rover's schemes were found out to be not covered by the
new Pension Protection Fund.

CONTACT:  MG ROVER GROUP LIMITED
          Longbridge, Bickenhill
          Birmingham
          B31 2TB, United Kingdom
          Phone: +44-121-475-2101
          Fax: +44-121-482-2403
          Web site: http://www1.mg-rover.com


MODEL CENTRE: Creditors Meeting Set Tomorrow
--------------------------------------------
The creditors of The Model Centre Limited will meet on May 17,
2005 at 10:00 a.m.  It will be held at the office of RSM Robson
Rhodes LLP, Centre City Tower, 7 Hill Street, Birmingham B5 4UU.

Creditors who want to be represented at the meeting may appoint
proxies.  Proxy forms must be submitted together with written
debt claims to RSM Robson Rhodes LLP, Centre City Tower, 7 Hill
Street, Birmingham B5 4UU not later than 12:00 noon, May 16,
2005.

CONTACT:  RSM ROBSON RHODES LLP
          Centre City Tower,
          7 Hill Street,
          Birmingham B5 4UU
          Web site: http://www.robsonrhodes.co.uk


N H WOOLLEY: Members Pass Winding-up Resolution
-----------------------------------------------
Name of companies:
N H Woolley (1987) Limited
N H Woolley & Co Limited
N H Woolley (Nominees) Limited

At the extraordinary general meeting of the members of these
companies on May 4, 2005 held at Russell Bedford House, City
Forum, 250 City Road, London EC1V 2QQ, the special resolution to
wind up the companies was passed.  Laurence Baehr has been
appointed liquidator of the companies.

CONTACT:  BAEHR LUBBOCK FINE
          Russell Bedford House
          City Forum
          250 City Road
          London EC1V 2QQ
          Phone: 020 7490 7766
          Fax: 020 7490 5102
          E-mail: laurencebaehr@lubbockfine.co.uk


PROGRESS TRUST: Members Decide to Wind up Firm
----------------------------------------------
At the extraordinary general meeting of the members of The
Progress Trust Company Limited on April 20, 2005 held at The Town
Hall, Manchester, the special resolution to wind up the company
was passed.  John H. C. Lee of Horsfields, 8 Manchester Road,
Bury, Lancashire BL9 0ED has been appointed liquidator of the
company.

CONTACT:  HORSFIELDS
          Belgrave Place
          8 Manchester Road
          Bury
          Lancashire BL9 0ED
          Phone: 0161 763 3183
          Fax: 0161 763 1283


R G BLAND: Appoints Poppleton & Appleby Liquidator
--------------------------------------------------
At the extraordinary general meeting of R G Bland Limited on
April 28, 2005 held at 1 Copthall House, Station Square, Coventry
CV1 2FY, the subjoined special resolution to wind up the company
was passed.  M. T. Coyne of Poppleton & Appleby, 35 Ludgate Hill,
Birmingham B3 1EH has been appointed liquidator of the company.

CONTACT:  POPPLETON & APPLEBY
          35 Ludgate Hill,
          Birmingham B3 1EH
          Phone: 0121 200 2962
          Web site: http://www.pandabirmingham.co.uk


ROYAL & SUNALLIANCE: Nearly Doubles Q1 Operating Result
-------------------------------------------------------
Strong Improvement in Group Results:

(a) operating result of GBP160 million - an increase of 95% on
    Q1 2004;

(b) profit after tax of GBP122 million - up from GBP44 million
    in Q1 2004;

(c) net written premiums of GBP1.5 billion (Q1 2004:
    GBP1.2 billion);

(d) ongoing business combined operating ratio (COR) of 91.2% (Q1
    2004: 94.2%); and

(e) group COR of 94.8% (Q1 2004: 101.0%).

Good Performance From Core Group:

(a) U.K. COR of 94.3% - strong commercial and personal results
    (Q1 2004: 98.2%);

(b) good Scandinavian result - COR of 88.4% (Q1 2004: 90.6%);
    and

(c) international shows continued strength with a COR of 97.0%
    (Q1 2004: 98.8%).

Delivering On Key Priorities:

(a) group's U.S. exposure reduced;

(b) good growth in our Scandinavian and International
    businesses;

(c) operational improvement program has delivered annualized
    expense savings of over GBP200 million;

(d) Bridget McIntyre appointed as U.K. Chief Executive; and

(e) subordinated debt returned to investment grade by Moody's.

---------------------------------------------------------------
                               3 Months     3 Months    Movement
                                  2005       2004
Revenue
Net written premiums         GBP1.5 bln   GBP1.2 bln       +24%
Combined Ratios
- Ongoing business               91.2%          94.2%    3.0pts
- Overall                        94.8%         101.0%    6.2pts

Operating result             GBP160m           GBP82m       +95%
Profit after tax             GBP122m           GBP44m      +177%

Operating earnings per share
for Core Group                   3.2p           2.3p       +39%
Earnings per share - Basic        3.6p           0.9p      +300%

Balance sheet                  31 March    31 December
                                  2005         2004

Shareholders' funds          GBP2,411m      GBP2,321m        +4%
Net asset value per share
(pre IAS 19)                       96p            95p        +1%
---------------------------------------------------------------

Andy Haste, Group Chief Executive of Royal & Sun Alliance
Insurance Group plc, said:  "It has been a strong start to the
year.  Our net written premiums, operating result and profit
after tax have all increased significantly over the last year and
we've delivered good performances from each of our core
businesses.  Our results reflect the quality of the portfolio,
the benefits of our operational improvement program and our focus
on maintaining underwriting and claims disciplines."

CEO Review

It has been a strong start to the year, with good performances
from all our core businesses.  The operating result of GBP160
million is almost double that of last year.  Profit after tax is
GBP122 million, an improvement of GBP78 million on Q1 2004[*].
Net written premiums increased by GBP289 million to GBP1.5
billion, reflecting the recapture of the Munich Re quota share
and underlying growth in Scandinavia, Johnson (Canada), Latin
America and Italy.  The increase also included a benefit from a
timing difference relating to the Munich Re portfolio transfer,
which impacted net written premiums in 2004 by GBP156 million.
Excluding this timing difference, underlying growth in net
written premiums was 7%.  The total Group COR is 94.8%, an
improvement of over six points on Q1 last year (Q1 2004: 101.0%).
The ongoing COR of 91.2% is also significantly ahead of last
year's 94.2%.

Business Performance

eWe set out below the combined operating ratios of our main
businesses:
              Q1 2005              Q1 2004[*]           Movement
                    %                    %                points
UK Personal      98.8                 98.5                 (0.3)
UK Commercial    91.9                 98.7                  6.8
---------------------------------------------------------------
UK Total         94.3                 98.2                  3.9
Scandinavia      88.4                 90.6                  2.2
International    97.0                 98.8                  1.8
---------------------------------------------------------------
Core Group       91.8                 95.7                  3.9

---------------------------------------------------------------
Group            94.8                101.0                  6.2
---------------------------------------------------------------
Ongoing          91.2                 94.2                  3.0
---------------------------------------------------------------
Our U.K., Scandinavian and International businesses again
achieved excellent CORs, well below 100% for the quarter and
almost a four point improvement over Q1 last year.  These results
have been achieved while continuing to strengthen the
Group's reserves and after absorbing a number of large losses
during the quarter.  The result also reflects the management
actions taken to restructure the Group and the benefits of our
operational improvement program.  Across the Group this program
has now achieved annualized expense savings of over GBP200
million and we remain confident of reaching our GBP270 million
target.

As anticipated, the ratings environment continues to be mixed,
with differences by geography and business line.  Through the
operational improvement program, the business has stronger
underwriting and claims disciplines, better targeted portfolio
selection and good business retention.  This has enabled us to
selectively write new business and retain key accounts.  However,
we remain committed to achieving technical price and will
sacrifice volume for profit to maintain the quality of our
portfolio.

In the U.S. we continue to derisk the business.  During the
quarter we reduced open claims by 11% and collected a further
US$244 million of reinsurance.  We also reached a settlement with
PNC Bank in the ongoing Student Finance litigation, reducing our
exposure by US$129 million, and reduced our collateralized debt
obligations (CDO) exposure by US$437 million having now settled
all but two of the CDOs.  The sale process of our non-standard
auto business is proceeding as planned.

Management actions, combined with our strengthened capital
position, have been reflected in the recent decision by Moody's
to upgrade the Group's credit rating, returning our subordinated
debt to investment grade.

As announced on the 4th of May, we have appointed Bridget
McIntyre as our new U.K. Chief Executive.  Her appointment
follows Duncan Boyle's decision to retire from the role after 32
years with Royal & SunAlliance.  Duncan led the turnaround and
return to profitability of the U.K. business and has made an
enormous contribution to the Group.  Bridget's track record in
the sector and proven ability to drive through change and deliver
growth, make her the ideal choice to take the U.K. business to
its next stage.

Summary

Despite a mixed ratings environment, these results demonstrate
the benefits of a well-balanced portfolio with strong
underwriting and claims disciplines.  We have made a good start
to the year and through management actions taken we are confident
of meeting our targets and delivering sustainable returns.

- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
[*] All prior period comparatives are unaudited and restated in
accordance with the new accounting policies.
Operations Review
- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -

Accounting Basis

We have successfully completed the transition from U.K. GAAP to
the anticipated International Financial Reporting Standards
(IFRS).  Certain standards followed by the Group have yet to be
endorsed by the European Union.  The Q1 2005 result and 2004
comparatives have been prepared in accordance with the new
accounting policies, which we intend to adopt in preparation of
the annual financial statements.  While this does not affect how
the business is run, it involves changes to the balance sheet and
the structure of the income statement.  The 2004 operating result
has also been adjusted to reflect the reclassification of our
life businesses, which is now reported as a discontinued
operation.

Operating Result

The operating result for the quarter was a profit of GBP160
million (Q1 2004[*]: GBP82 million), with a Group COR, including
the U.S., of 94.8% (Q1 2004: 101%).  Despite a number of large
losses, our ongoing businesses achieved a COR of 91.2%.  This
improvement of three points on last year (Q1 2004: 94.2%) was
achieved while strengthening the Group's reserves.  Our
operational improvement program is continuing to produce good
results.  We have now delivered annualized expense savings of
over GBP200 million and remain confident of reaching our GBP270
million target.  To date we have incurred reorganization costs of
GBP245 million of the GBP300 million total.

Core Group

U.K.

The U.K. produced strong results with an overall combined ratio
of 94.3% (Q1 2004: 98.2%).  The insurance result was GBP117
million (Q1 2004: GBP72 million).  The underwriting profit for
the quarter was GBP33 million (Q1 2004: GBP2 million).  Net
written premiums of GBP653 million were up 2% on the same period
in 2004, with U.K. Personal achieving 6% growth and U.K.
Commercial broadly flat.

Commercial

U.K. Commercial delivered a COR of 91.9%, almost a seven point
improvement on the 98.7% achieved in Q1 2004.  The underwriting
profit was GBP31 million, an improvement of GBP27 million on
prior year.  This good performance is underlined by the quality
of the portfolio and our continued focus on operating excellence
within claims.

Commercial property produced a COR of 86.8% (Q1 2004: 85.6%) with
improved underlying claims performance offset by weather losses
of GBP24 million, including the January floods in Carlisle.
Commercial casualty improved its COR by almost six points on Q1
2004 to 101.2%, through strong claims performance. Commercial
motor achieved a COR of 83.2%, an excellent performance compared
with the COR of 96.8% in Q1 last year.

Personal

U.K. Personal delivered another quarter of sub 100% performance,
with a COR of 98.8%, (Q1 2004: 98.5%).  The household result was
particularly strong with a COR of 95.3% (Q1 2004: 97.7%).  The
motor result produced a COR of 104.3%, which included the adverse
impact of a single large claim.  MORE THN achieved a COR of 98.0%
(Q1 2004: 101.9%), reduced its expense ratio from 27.1% in Q1
2004 to 25.5% and is making good progress towards meeting its
target expense level.

Scandinavia

In Scandinavia, net written premiums were up 14% on Q1 2004 to
GBP489 million.  This reflects the recapture of the Munich Re
quota share, good underlying growth and a strong performance in
its key renewal season.  The COR of 88.4% is a 2.2 point
improvement on last year and reflects a GBP6 million improvement
in the underwriting result to GBP20 million, despite the impact
of heavy storms in January.  The insurance result was GBP51
million (Q1 2004: GBP36 million).

The Commercial COR improved by over three points to 82.9%, while
Personal has improved one point to 94.2%.  These strong results
reflect the operational improvements, the focus on underwriting
disciplines and the benefits of maintaining a low cost operating
platform.

We continue to target profitable growth opportunities and
recently reached an agreement to acquire Topdanmark's marine
portfolio which consolidates our number one position in Danish
marine.

International

In International, net written premiums of GBP301 million were up
nearly 8% on Q1 2004*, reflecting the recapture of the Munich Re
quota share and strong performances in Johnson (Canada), Latin
America and Italy.  International produced a first quarter COR of
97.0% (Q1 2004: 98.8%) and an underwriting result of GBP13
million (Q1 2004: GBP7 million).  All major regions delivered a
sub 100% combined ratio, reflecting the underlying quality of the
businesses and the positive impact of the operational
improvements and expense initiatives.  The insurance result was
GBP48 million (Q1 2004: GBP34 million).

Canada made an underwriting profit of GBP6 million (Q1 2004:
GBPnil), while the COR of 98.5% was a 3.5 point improvement on Q1
last year.  Our direct business, Johnson, has continued to
deliver strong top and bottom line performance through organic
growth and portfolio acquisitions.  In Ireland our operational
improvement program led to a halving of claims leakage since Q1
2004.

In Latin America net written premiums of GBP51 million were up
24% on Q1 2004.  We generated strong growth in our target markets
of Brazil and Mexico, which represent 50% of our Latin American
portfolio.  The Q1 COR of 97.7% for Latin America was achieved
despite a high incidence of large losses.

During the quarter we also completed the disposal of our Japanese
operation, which generated a profit on sale of almost GBP60
million.

U.S.

We have made good progress in the U.S. and continue to reduce the
Group's exposure, although the U.S. operation remains exposed to
a number of risks and uncertainties.  In the quarter we reduced
staff headcount by 9%, open claims by 11% and collected
reinsurance of US$244 million.  In April, we reached a legal
settlement with PNC Bank, one of the plaintiffs in the ongoing
Student Finance case.  This has reduced our exposure by US$129
million and has no net impact on the Group's results.
Since the start of the year we have also reduced our CDO exposure
by US$437 million and as at May 2005, have only two such
contracts outstanding, which are carried at fair value in the
balance sheet in accordance with IAS 39.

The COR for non standard auto was 90.2%, a 0.7 point improvement
on Q1 2004.  The sale process of non standard auto, announced in
March, is progressing as planned.

Investment Result

The investment result of GBP174 million was up GBP37 million on
the same period in 2004.  This includes investment income of
GBP147 million, up GBP25 million on Q1 2004.  The increase
primarily reflects an improvement of 0.4 points in the average
yield to 3.9% and the return on the proceeds arising from the
disposal of the life businesses in the second half of 2004.
Realized gains were GBP30 million (Q1 2004: GBP36 million).
Unrealized gains were GBP9 million and primarily relate to
improvements in the market value of our investment property
portfolio.

A full copy of the financial results is available free of charge
at http://bankrupt.com/misc/Royal&Sunalliance(Q12005).mht.

CONTACT:  ROYAL & SUNALLIANCE
          Helen Pickford
          Phone: +44 (0) 20 7111 7212

          Phil Wilson-Brown
          Phone: +44 (0) 20 7111 7047


SCOTAIRWAYS: Expects to Report Profit at Operating Level
--------------------------------------------------------
ScotAirways is considering reviving flights from Glasgow as it
predicts a return to operating profit in years.

At the inauguration of the firm's jet aircraft flights between
Scottish and English capitals on Tuesday, controlling shareholder
Brian Souter said: "Part of our 'niche' is that we use London
City and passenger numbers are holding up well.  We are
re-examining some of the possibilities.  We were in Glasgow
before and we are looking at whether we should get back in."

The route was closed three years ago in the wake of the Sept. 11
terrorist attack in the U.S.  At the time, ScotAirways' losses
had reached GBP7.1 million.

For 2004, the firm is expected to show a surplus at both the
operating and pre-tax levels, according to The Herald.  The
profit is mainly on the back of existing services between
Edinburgh airport and London city.

Mr. Souter's shareholding in the company reached 94% in 2003
after a series of investments.  He and his sister Ann Gloag
poured into the carrier a total of GBP5 million.  ScotAirways,
formerly Suckling Airways, reported GBP650,000 operating loss at
the time.  This was despite a GBP1 million surplus at pre-tax
level.

CONTACT:  SCOTAIRWAYS
          Phone: 0870 6060707
          Web site: http://www.scotairways.co.uk/


TELEWEST GLOBAL: Operating Income Up 26% in First Quarter
---------------------------------------------------------
Highlights:

(a) adjusted EBITDA growth of 10% over Q1 04;

(b) operating income increased 26% over Q1 04;

(c) consumer sales division revenue growth of 5% over Q1 04;

(d) triple play penetration increased by 11.4 percentage points
    over Q1 04 to 30.3%;

(e) Revenue Generating Units grew by 113,000 in the quarter;
    RGUs per customer grew from 1.93 at Q1 04 to 2.08 at Q1 05.

Financial Highlights
---------------------------------------------------------------
                Telewest Global, Telewest Global,
                     Inc.             Inc.         Predecessor
                ---------------  ---------------  --------------
(unaudited in GBP m)Q1 2005          Q4 2004        Q1 2004
Revenue                338              336            328
Operating income        24               18             19
Adjusted EBITDA        134              128            122
Net income/(loss)        1             (17)            (4)
Free cash flow          63              (3)[*]          25
---------------------------------------------------------------

[*] Q4 2004 free cash flow was impacted by an extra 87 days or
GBP34 million of bank cash interest, as a result of the timing of
interest payments in connection with the refinancing of bank
facilities during Q4.

Operational highlights
---------------------------------------------------------------
                         Q1 2005          Q4 2004        Q1 2004
Customer net adds         23,000           30,000         12,000
Broadband net adds        88,000           91,000         51,000
RGU net adds             113,000          132,000         77,000
Triple play percentage     30.3%            27.4%          18.9%
---------------------------------------------------------------

Barry Elson, Acting Chief Executive Officer of Telewest Global,
Inc., said: "Telewest continues to build on its strong
performance and we are encouraged by the operational and
financial trends in our consumer and content businesses.  In
particular, we have seen increased triple play penetration and
ARPU and reduced churn and our customer growth and RGU growth is
higher than the corresponding quarter last year.  Our roll-out
plans for DVR and VOD are progressing and we are optimistic that
these products will add to our competitiveness and increase
loyalty as we strive to provide the best service and product
suite for our customers."

                    Operational Review

Cable Segment

(a) Consumer Sales Division

The Consumer division has had another strong quarter with a net
increase of 23,000 customer relationships, further increases in
ARPU to GBP45.34 and a reduction in monthly churn from 1.1% to
1.0% as compared to quarter 4, 2004.  Customer and RGU growth was
lower than in the seasonally strong fourth quarter, but higher
than in the corresponding quarter last year.

The company has achieved the quarter's strong results through
effective marketing and continued use of promotional campaigns,
such as our triple play "3 for GBP30" offer and our "Easy Switch"
broadband offer, which offers a discount on entry level broadband
when taken with a phone line.

The continued increase in ARPU is particularly encouraging and
reflects successful focus on selling bundled products.  The
percentage of "triple play" customers has increased by 3
percentage points to 30% in the quarter.  34% of customer
acquisitions in the quarter took the full "triple play".
Consequently, RGU per customer also grew to 2.08 in the first
quarter.  Triple play growth over the last two quarters has been
stronger than expected.  Consequently, the company now expects to
reach 40% triple play penetration during 2007, over two years
earlier than its previously stated guidance.

It will implement selected price increases in television from
July 1, 2005, which is expected to have a positive impact on
household ARPU in the third quarter of 2005.

(b) Consumer Internet

The company has experienced continued strong growth in the number
of broadband subscribers, with 88,000 net additions in the
quarter.  Most of the growth has been in the lowest tier, where
it has increased connection speeds from 256Kb to 512Kb. This has
impacted the mix of broadband subscribers and broadband ARPU,
which fell GBP 0.34 (less than 2%) in the quarter to GBP19.89.
Over 60% of our broadband subscriber base take a 1Mb or higher
speed service.

Broadband continues to be successful in attracting new customers
to Telewest -- 41% of broadband installations were for customers
who were not existing customers.  Multi-service penetration
remains high in broadband, with 70% of all broadband Internet
subscribers subscribing to the full "triple play" and 93%
subscribing to at least one other product.

(c) Consumer Television

Digital TV subscribers rose by 27,000 in the quarter and total TV
subscribers rose by 8,000 net additions.  TV ARPU increased by
GBP0.24 in the quarter to GBP21.12 due to a full quarter's effect
of last November's GBP1 price increase on the "Starter" package
and selected price increases on premium channels.  It has
introduced promotions to improve the take-up of higher tier
packages and consequently the number of subscribers to the
"Supreme" package, increased during the quarter.

From July 1, 2005, it will be increasing the price of two lowest
digital TV tiers by GBP1 each.  The price of the "Starter" tier
will increase to GBP5.50 per month and the "Essential" tier will
increase to GBP10.50 per month.

87% of TV subscribers now take digital service.  The company is
accelerating migration of the remaining 171,000 analog customers
to digital.  It estimates that it will be fully digital by the
end of 2006.  Once complete, this will free up significant
amounts of bandwidth in its network, which will allow extra
capacity for Video-On-Demand, (VOD), High Definition TV,
broadband speed increases and other services.

It launched VOD services in Bristol in the first quarter and the
next stage of the roll-out is scheduled for early July to 26,000
subscribers in Cheltenham.  It plans to complete the national
roll-out of VOD by early 2006.  It continues to work on its plans
for the launch of DVR (Digital Video Recorder) services later in
the year.

(d) Consumer Telephony

The number of telephony subscribers increased by 17,000 in the
quarter, primarily as a result of the continued success of its
bundled offerings.  Telephony penetration is now 35.8%.

It has continued its strategy of migrating subscribers to flat
rate packages to minimize the impact of declining telephony
usage.  As a result, 37% of all telephony subscribers are now on
a "Talk" flat rate package.  At the start of the quarter, it
withdrew its 3-2-1 metered telephony package from sale to new
customers.  From July 1, 2005, it will be migrating all its
existing 3-2-1 subscribers to "Talk Weekends" which gives
subscribers free local and national calls at weekends.  This
package is charged at GBP10.50 per month compared to GBP10 for
the existing 3-2-1 service.

(e) Business Sales Division

Revenues fell by GBP2 million to GBP61 million compared to the
previous quarter primarily due to continued weakness in the
business voice market.  It is addressing these market conditions
through new and more advanced products.  For example, within the
Public Sector, it has signed a new deal worth GBP2.2 million over
5 years with Maidstone and Tunbridge Wells NHS Trust for its
managed voice product Centrex and its new SRS Advanced platform
to integrate telephony services across three hospital sites.

It has signed a large number of data contracts in the quarter
including large IPVPN contracts with Oxford Swindon and
Gloucester Co-op and Royal London.  Its new Ethernet portfolio
has enabled the division to sign some new Ethernet deals,
including a three-year deal with Bristol City Council for GBP1.3
million.

Content Segment

Overall revenue growth in our content segment, Flextech, was up
19% from GBP26 million in the first quarter of 2004 to GBP31
million in the first quarter of 2005, although it was down GBP1
million as compared to the fourth quarter of 2004.  Advertising
revenue was up GBP1 million on the fourth quarter of 2004 and up
GBP4 million on the first quarter of 2004.  This growth was
driven by increases in U.K. Pay-television penetration, the
strong performance of Flextech's channels and strong growth in
the U.K. advertising market in the first quarter.

Subscription revenue remained flat at GBP11 million compared to
the previous quarter, but up GBP1 million compared to the same
quarter last year.  Other non-core revenues fell by GBP2 million
compared to the fourth quarter of 2004, but were flat at GBP3
million compared to the first quarter of 2004.

The portfolio of content assets is soon to be enhanced by the
acquisition of sit-up Limited, which we expect to complete during
June 2005.

Costs

Total gross margin increased to 74% from 72% in the fourth
quarter and from 71% in the first quarter of last year, due
primarily to the growing number of high margin broadband
subscribers, television price increases and reduced cable segment
expenses.

SG&A of GBP115 million was up GBP1 million from the fourth
quarter of 2004.

Debt and Capital Resources

Capital expenditure was GBP54 million for the quarter.  Capital
expenditure is expected to be in the range of GBP230 million to
GBP250 million in 2005.

Telewest's soon to be completed acquisition of the remaining
equity in sit-up Limited will in part be financed by a new GBP
130 million senior secured bank facility entered into by
Telewest's Flextech subsidiaries.  The bank facility consists of
GBP110 million of term loans, which were fully drawn in
connection with the acquisition and a GBP20 million revolving
credit facility, which remains undrawn.

As at March 31, 2005, net debt was GBP1.728 billion.  This
consisted of GBP1.701 billion drawn down on our credit
facilities, GBP114 million of leases and other loans, offset by
cash balances of GBP87 million.  The GBP1.7 billion drawn amount
includes US$150 million and EUR100 million, with the remainder in
pounds sterling.

Financial Results

GAAP Financial Measures                 3 months ended March 31,
                                    ----------------------------
(unaudited in GBP   millions)                2005           2004
                                      Reorganized    Predecessor
                                          Company        Company

Operating income                               24             19
Net income/(loss)                               1            (4)
Net cash provided by operating activities     116             82

Operating income for the first quarter of 2005 was GBP24 million,
up from GBP19 million for the first quarter of 2004, due
principally to revenue growth, lower cable segment expenses and
SG&A partially offset by increased content segment expenses,
depreciation and amortization.  SG&A in the first quarter of 2004
was impacted by GBP9 million of financial restructuring charges
compared to GBP0 in the first quarter of 2005 and the first
quarter of 2005 was impacted by GBP3 million of stock-based
compensation expense compared to GBP0 in the first quarter of
2004.

The improvement from net loss of GBP4 million for the first
quarter of 2004 to net income of GBP1 million for the first
quarter of 2005, was due principally to enhanced operating income
and lower interest costs following our financial restructuring,
partially offset by lower foreign exchange gains. There were
GBP77 million of foreign exchange gains in the first quarter of
2004 relating to dollar-denominated debt, which was extinguished
as part of our predecessor's financial restructuring.  This is
the first time that Telewest has generated net income.

Net cash provided by operating activities increased from GBP82
million for the first quarter of 2004 to GBP116 million for the
first quarter of 2005.  This increase arose principally as a
result of improvements in operating income and reduced interest
payments being partially offset by increased net working capital.

Non-GAAP Financial Measures             3 months ended March 31,
                                     ---------------------------
(unaudited in GBP millions)                   2005          2004
                                       Reorganized   Predecessor
                                           Company       Company

Adjusted EBITDA                                134           122
Free cash flow                                  63            25

Adjusted EBITDA (earnings before interest, taxation,
depreciation, amortization and financial restructuring expenses)
for the first quarter of 2005 was GBP134 million, up 10% as
compared to the first quarter of 2004.  This increase reflects
increased revenues, particularly in the consumer sales division
and content segment, lower operating costs and expenses in the
cable segment, and improved gross margin, partially offset by
higher operating costs and expenses in the content segment.
Adjusted EBITDA margin (Adjusted EBITDA as a percentage of
revenue) has increased from 37.2% to 39.6%.

Stock-based compensation expense of GBP3 million was incurred in
the first quarter of 2005.  SBCE arises as a result of options
and restricted stock granted upon completion of the financial
restructuring of our predecessor.  SBCE will similarly affect
future periods.  This is a non-cash item and no such expense was
incurred in the first quarter of 2004.  Adjusted EBITDA before
the deduction of SBCE was GBP137 million in the first quarter of
2005, an increase of GBP15 million, or 12%, over the first
quarter of 2004 on the same basis.

Free cash flow (cash flow from operating activities excluding
financial restructuring expenses less capital expenditure) for
the three months ended March 31, 2005 was GBP63 million, compared
with GBP25 million for the three months ended March 31, 2004.
The increase was primarily due to reduced cash interest payments
relating to our bank facilities, reduced capital expenditure and
increased Adjusted EBITDA.  Cash interest paid in the first
quarter of 2005 was lower than the first quarter of 2004 by
approximately GBP20 million.  This decrease resulted primarily
from the lower levels of our bank facilities and capital lease
obligations for the first quarter of 2005 compared to the first
quarter of 2004.  In addition, capital expenditure was GBP12
million less in the first quarter of 2005 compared with the same
period in 2004, due to reduced CPE costs, increased efficiency in
the install process and improvements in the supply chain.

Principal Affiliates

UKTV

(unaudited in GBP millions)             3 months ended March 31,
                                     ---------------------------
                                               2005         2004

Share of net income of UKTV                       5            4
Cash inflow from UKTV, being interest
received, repayment of loans made, net,
and dividends received                           6            3

Telewest owns 50% of the companies that comprise UKTV, a group of
joint ventures formed with BBC Worldwide.  UKTV offers a
portfolio of multi-channel television channels based on the BBC's
program library.

Telewest accounts for its interest in UKTV under the equity
method and recognized a share of net income of GBP5 million for
the three months ended March 31, 2005.  This compares with GBP4
million share of net income for the three months ended March 31,
2004.

UKTV is funded by a loan from Telewest, the balance of which was
GBP184 million at March 31, 2005.  Total cash interest and
repayments received in respect of this loan by Telewest were GBP4
million in the first quarter of 2005.  Telewest's cash interest
receipts from UKTV are recorded in free cash flow but not in
Telewest's Adjusted EBITDA.  During the three months ended March
31, 2005, we received GBP2 million of dividends from UKTV.  We
expect to continue to receive dividends from UKTV as it continues
to generate cash.

sit-up

On March 23, 2005, Telewest acquired 21.2% (on a fully diluted
basis) of sit-up Limited (sit-up), a U.K.-based interactive
television retailer, for a cash consideration of approximately
GBP41 million, bringing its total holding of sit-up's share
capital to approximately 49.7% (on a fully diluted basis).  In
addition, pursuant to agreements entered into with sit-up's
founders and an offer to sit-up shareholders, Telewest has since
acquired or offered to acquire the remaining 50.3% (on a fully
diluted basis) of sit-up not already owned by it for an aggregate
consideration of approximately GBP97.5 million.  In addition,
sit-up's existing management will remain with the company
following completion of the acquisition.  Telewest expects to
complete this acquisition in June 2005 and to finance it in part
from borrowings under a new GBP130 million bank facility entered
into by its Flextech subsidiaries on May 10, 2005.

Sit-up owns the second, third and fourth most distributed
television home shopping channels in the U.K., with over five
million viewers per month.

A full copy of the financial results is available free of charge
at http://bankrupt.com/misc/TelewestGlobal(Q12005).mht

CONTACT:  TELEWEST GLOBAL, INC.
          160 Great Portland St.
          London
          W1W 5QA, United Kingdom
          Phone: +44-20-7299-5000
          Fax: +44-20-7299-5495
          Web site: http://www.telewest.co.uk

          Richard Williams
          Phone: 020 7299 5479

          Vani Gupta
          Phone: 020 7299 5353


TIS (PORTSMOUTH): Hires Piper Thompson Administrator
----------------------------------------------------
Tony James Thompson (IP No 5280) has been appointed administrator
for TIS (Portsmouth) Limited.  The appointment was made April 29,
2005.

The company assembles and sells printed circuit boards.  Its
registered office is located at Mulberry House, 53 Church Street,
Weybridge, Surrey KT13 8DJ.

CONTACT:  PIPER THOMPSON
          Mulberry House,
          53 Church Street, Weybridge,
          Surrey KT13 8DJ
          Phone: 01932855515


TROUTBECK BRIDGE: Liquidator from Geoffrey Martin Moves in
----------------------------------------------------------
At the extraordinary general meeting of Troutbeck Bridge Services
Limited on April 29, 2005 held at Applethwaite Lodge, The Common,
Windermere, Cumbria LA23 1JQ, the special resolutions to wind up
the company were passed.  Geoffrey Martin of Geoffrey Martin &
Co, St James's House, 28 Park Place, Leeds LS1 2SP has been
appointed liquidator of the company.

CONTACT:  GEOFFREY MARTIN & CO.
          St. James's House
          28 Park Place
          Leeds
          West Yorkshire LS1 2SP
          Phone: 0113 244 5141
          Fax: 0113 242 3851
          E-mail: geoffrey.martin@geoffreymartin.co.uk


WM MORRISON: Rumored Profit Warning Pulls Shares to 8-month Low
---------------------------------------------------------------
Wm Morrison shares tanked to 190.5 pence Thursday last week, the
lowest in eight months, according to The Independent.

The shares lost 3.75 pence, as rumors about another profit
warning swirled.  The supermarkets group will accordingly make
the announcement at the annual meeting on May 26.  The losses are
expected to be tied to Safeway, a rival retailer it took over in
March 2004.

A day before Thursday's fall, Merrill Lynch allegedly urged
clients to exit the stock in the run up to the statement.  The
U.S. broker was heard saying, "Although the shares have already
fallen a long way, we believe there can still be one rating:
sell."

Merill Lynch predicts Safeway to continue losing all year,
according to the report, suggesting that the poor performance is
no longer a "transition hiccup", but a serious problem in the
business.  The latest warning would be the fourth, if ever, since
Morrison bought Safeway.

                            *   *   *

In March, shareholders expressed disappointment over Chairman Sir
Ken Morrison's performance, with some even hoping him to bow out.
Pre-tax profits fell to GBP297 million in the year to the end of
January, compared with GBP320 million the previous year.  The
group also took a GBP40 million charge resulting from an audit of
Safeway's supplier discounts.

CONTACT:  WM MORRISON SUPERMARKETS PLC
          Hilmore House
          Thornton Road
          Bradford
          West Yorkshire
          England
          BD8 9AX
          Phone: +44 1274 494166
          Fax: +44 1274 494831
          Web site: http://www.morereasons.co.uk


                            *********


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

Troubled Company Reporter -- Europe is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA.  Larri-Nil Veloso, Ma. Cristina Canson,
Liv Arcipe, Julybien Atadero and Jay Malaga, 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 * * *